Yes, according to this story from the AP:
"President Barack Obama and his Democratic allies are conceding for the first time that they may have to accept a less ambitious health overhaul bill than the massive one they've struggled for a year to assemble.
Shorn by Massachusetts voters of their pivotal 60th Senate vote and much of their political momentum, the White House and congressional leaders are considering a more modest version of Obama's top legislative priority. It could focus on curbing insurance company practices like denying coverage to sick people and on helping low-earning people and small businesses afford coverage, officials said.
Also fueling the Democratic search for a fresh health care strategy is a conviction by many in the party that it's time for an election-year focus on jobs and the economy, which polls show are easily the public's top concerns."
Better late than never. Bullet dodged.