Overcoming major differences over how to fund health-care reform, Democratic leaders say they may finally be on track to pass legislation after a breakthrough in negotiations. The White House helped broker a compromise to appease labor groups upset that some workers would be affected by a tax on expensive health plans. Under the agreement, the tax would not kick in until $8,900 a year for individuals and $24,000 for family plans and would be put in place later. In addition, workers in collectively bargained plans could buy coverage through the new regulated markets known as "exchanges" that are a centerpiece of health care legislation. Labor leaders hailed the changes and their backing should make the bill easier for progressive lawmakers to support after the loss of a public option.
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