Progress made on public-option alternatives, but abortion amendment expected to fail Senate Democratic negotiators said they had made significant progress in identifying alternative coverage options to replace a government insurance plan that liberals have fought to retain as part of health-care reform, but moderates have refused to support. Later Tuesday, the chamber is expected to vote on another contentious unresolved issue, the scope of restrictions on coverage of abortion services for people who receive subsidies to buy insurance. An amendment extending the ban on federal abortion funding beyond current law is expected to fail, potentially costing the support of sponsor Sen. Ben Nelson (D-Neb.), who has threatened to filibuster the $848 billion bill unless abortion restrictions are tightened. But on the public option, lawmakers said they have made major strides, and could reach agreement as early as Tuesday night. Three new coverage alternatives are under consideration. The proposal that appears to be gaining widespread support would create two national plans run by private, non-profit health insurers and regulated by the Office of Personnel Management, which oversees health benefits for federal employees. Liberal lawmakers also are pressing their colleagues to support a Medicare buy-in program for individuals over age 55 who do not have access to employer coverage. And they want to further boost Medicaid coverage beyond the significant expansion to the low-income program already included in the bill. The Medicare and Medicaid proposals are encountering some resistance, however, and given the pressure from Senate Majority Leader Harry Reid (Nev.) to keep the bill moving, they may have to be scaled back, altered or discarded to secure a deal. One key critic is Sen. Olympia Snowe (Maine), a moderate Republican whose support is essential if Nelson defects over abortion. Snowe has expressed support for the OPM idea; she also is seeking to improve small business provisions in the bill before committing to support it. "What we're trying to figure out here, certainly within our caucus and then maybe with Olympia, is how much government involvement there should be in health care, how much private involvement," said Sen. Charles Schumer (D-N.Y.), a leader of the public option talks. And there are disagreements. And what we're trying to do is reconfigure that, not having more of one or less of one, but in different ways that are more acceptable to people.