How Hillary Won Over the Health-Care Industry

But there's a downside to her careful courtship of the industry. Her chief rivals for the Democratic nomination, Barack Obama and John Edwards, have repeatedly blasted her for accepting contributions from federal lobbyists. (On the GOP side, Rudy Giuliani and Fred Thompson have tried a different tack, sounding the "socialized medicine" bell, in a not-so-veiled attempt to scare voters about Hillary's intentions.) She's raised more money directly from lobbyists—including those representing health-care interests—and their families than any other presidential candidate, according to the Center for Responsive Politics. While she's been challenged by Edwards not to accept lobbyist cash, she's attended fund-raisers hosted by lobbyists themselves, including a $1,000-a-plate event last month in Chicago, according to ABC News. Clinton defended herself at this summers YearlyKos convention, where liberal bloggers both applauded and booed her. "A lot of those lobbyists, whether you like it or not, represent real Americans," she said. "The idea that somehow a contribution is going to influence you—I just ask you to look at my record."

But some consumer groups aren't convinced. They look at the healthy contributions she's received from health-care groups and wonder how far into the industry's pocket she's climbed. "There's nobody in this race with her knowledge to make health care available to every American at a cheaper cost, but it would take going after the insurance industry that's funding her candidacy," say Jamie Court, president of consumerwatchdog.org. "I don't know if there was a smoky back room, but her positions are certainly not threatening her cash stream, and their cash stream is helping her maintain her position as a front runner. In politics there aren't too many coincidences." Phil Singer, a spokesman for the Clinton campaign responds: "Reaching out, talking to and listening to the stakeholders is how you make change. Americans from all walks have a stake in seeing a better health-care system."

The nurses' union is equally glum about the chances for real reform. "Given how much money she's gotten from the industry, the room for innovation is very limited," says Michael Lighty, director of public policy for the California Nurses Association/National Nurses Organizing Committee, whose research arm conducted the health-care-donations study. "You either have to take on the stakeholders or you have to accommodate them. She is likely to accommodate all the major ones, certainly all the ones with deep pockets." That's a charge Harry and Louise would never have seen coming.

With Karen Springen, Eleanor Clift, Richard Wolffe, and Roya Wolverson

© 2007