**Health Care
*"President Obama continues to face significant public resistance" to his health care reform proposal. But "after a summer of angry debate and protests, opposition to the effort has eased somewhat, and there appears to be potential for further softening among critics if Congress abandons the idea of a government-sponsored health insurance option," according to a new Washington Post-ABC News poll.

*In an interview on "60 Minutes," Obama said he's confident not only that a health care bill will pass, but a good bill. Asked why, given the array of challenges on his plate, he didn't scale back his health care goals, Obama said: "The problem I've got is that the only way I can get medium- and long-term federal spending under control is if we do something about health care. Ironically, health care reform is critical to deficit reduction. I know it seems counterintuitive."

*At his annual steak fry, Iowa Sen. Tom Harkin predicted that a health care reform bill would pass Congress "before Christmas, with Republican votes." He also declared that the legislation would "have a strong public option," the Des Moines Register reports.

*But, per The Hill: "Key senators said Sunday the 'public option' favored by House Democrats for healthcare is all but dead, but a pivotal Republican said it's not dead enough. President Barack Obama 'should take it off the table,' said Sen. Olympia Snowe (R-Maine) on CBS's 'Face the Nation.' 'It would give real momentum to building consensus.' "

*"The vitriolic debate in Congress is likely to intensify this week, when Democrats seek to reprimand" Rep. Joe Wilson (R-S.C.) for shouting during Obama's joint session speech, the Wall Street Journal reports. On Fox New Sunday, Wilson said: "I've apologized one time. The apology was accepted by the president, by the vice president, who I know. I am not apologizing again."

Rep. Eric Cantor (R-Va.) told CNN it's time to move on. "Let's go about the business that we are trying to get done which is to affect real health care reform," he said.

**Economy
AP: "Obama's speech in New York on Monday will push Congress to take action on regulatory reform to prevent the kind of tailspin that the economy went through last year. Obama also plans to repeat his call for global partners to coordinate to prevent future crises."

*NY Times: "One year after the collapse of Lehman Brothers set off a series of federal interventions, the government is the nation's biggest lender, insurer, automaker and guarantor against risk for investors large and small. ... Government spending accounts for a bigger share of the nation's economy -- 26 percent -- than at any time since World War II." Obama plans to argue "that these government intrusions will be temporary. At the same time, however, he will push hard for an increased government role in overseeing the financial system to prevent a repeat of the excesses that caused the crisis."

*One year ago, the trajectory of the race for president changed with the collapse of Lehman Brothers, illustrated by the polls. Today, the DNC releases a web video called, "Lest We Forget."

*"Legislation to crack down on the financial industry faces long odds on Capitol Hill, with lawmakers buried by the health care debate and an avalanche of opposition from business groups," Politico reports.

**Campaign Stuff
*GOP Too Extreme? "Amid a rebirth of conservative activism that could help Republicans win elections next year, some party insiders now fear that extreme rhetoric and conspiracy theories coming from the angry reaches of the conservative base are undermining the GOP's broader credibility and casting it as the party of the paranoid," L.A. Times reports.

*David Axelrod said this weekend's protests in Washington "don't represent a mainstream view."

*Bob McDonnell dropped an F-bomb during a live radio interview, CNN reports. Answering a question about transportation, the Republican gubernatorial hopeful said: "I'm going to find other ways to be able to fund transportation. I've outlined twelve f--ing funding mechanisms that are creative, that are entrepreneurial." His camp later said it was simply a stumble. "Anyone who spends any time around Bob knows he does not use such language. It was an accident. It is that simple."

*We'll have more shortly on a New Jersey governor poll from Monmouth University that shows Chris Christie maintaining his lead.

*After flirting with it, former White House chief of staff Andy Card announced he won't run for Senate from Massachusetts. "Now is not the right time for me to enter a political race," Card said in a statement. "In these critical times, I know that Massachusetts would be well served to have Senator Scott Brown as the Commonwealth's next United States Senator. He has my full support."

*The Register also rounds up some of the laugh lines from the steak fry, many aimed at Govs. Sanford and Palin.

*GOP12 flags Rick Santorum's comments about a potential presidential run. "Six months ago I would not have spent ten seconds on your question, but it's not six months ago. ... I see that 2012 is not just throwing somebody out to be eaten, but it's a real opportunity for success."

*Two items that may dampen Republican hopes in Florida. First, it looks like Bill McCollum will have to endure a primary in the gubernatorial race. But the must read from the St. Pete Times' Adam Smith: "Something ominous and unpredictable is brewing in Florida, and a growing number of Republicans are starting to consider the unthinkable: The people's governor could lose his campaign for U.S. Senate."

*A race to watch: the New York Times on the primary challenge to Rep. Steve Cohen (D-Tenn.) from the eccentric mayor of Memphis, Willie Herenton. "To know Steve Cohen is to know that he really does not think very much of African-Americans," Herenton said in a recent radio interview on KWAM. "He's played the black community well."

**Pop Culture Beat: Kanye West has now officially lost his mind.

--Mike Memoli and Kyle Trygstad