>> why? >> because he came back the next day because he could not purchase the cigarillos with marijuana, he came back the next day to steal them. >> did they believe that mike brown was a drug dealer, or just somebody to buy paraphernalia to maybe use drugs? >> somebody that came in and didn't have money and then was trying to buy merchandise with marijuana. you know, you get, in the retail business, you get lots of strange characters. that was just one of them that evening. that's why they didn't call the police. this has kind of been blown out of proportion. it was a non-event until this filmmaker put it together in this false narrative. >> as we promise, counselor, we're always going to tell both sides of the story. thanks for coming on. thanks to you, our international viewers for watching on newsday. for you, "cnn newsroom" is next. for our u.s. viewers, let's get after it. >> announcer: this is cnn breaking news. good morning. welcome to your "new day." alisyn is off. the one and only poppy pharlow

joining me this morning. great to have you. >> good to be here. >> we have breaking news of the weren't storm variety. a powerful winter storm slamming the northeast and mid-atlantic right now. tens of thousands of people in the path. eight states under blizzard warnings. >> this is a nor'easter, it is expected to dump 1 to 2 feet of snow up and down the east coast. you've got schools closed in major cities including right here in new york city, in philadelphia, in boston. whiteout conditions already leading to more than 5,000 flights being canceled. let's begin our storm coverage this hour with our meteorologist, chad myers, live in new york central park. all right, it was coming down pretty hard, whipping wib inpin about an hour ago. what's it look like right now? >> it changed over to sleet, at least briefly. we now have a sleet storm coming down, which hurts when it hits you, let me tell you. but that also is going to reduce the amount of snow that we get, because a sleet pellet is not a snowflake. a sleet pellet just kind of packs on down, so it isn't going

to be possibly now the 15 to 20-inch snowfall, but an awful lot less, because the low is tracking up into the chesapeake, not offshore just yet near the delmarva peninsula. but we're still going to see big-time snows in western parts of maryland, into parts of pennsylvania. the poconos, catskills, alleghenies will likely see between 10 and 25 inches of know. and northern counnnecticut, allf massachusetts into vermont, new hampshire, another 25 inches there. the closer you get to the coast, the more there'll be rain. right now we're seeing a slight rain, but it's freezing on the way down. so that is what's called sleet. a reporter just came over and asked, this freezing rain or sleet? no, freezing rain freezes when it hits the ground. this is frozen when it hits the ground, that's why it's sleet. we expect a changeover, back and forth, back and forth all day long, for most of i-95 all the way to boston.

chris? >> i'll pick it up from here, chad. thank you very much. this is a major nor'easter that is forcing a lot of schools to close today. many parents trying to figure out what you're going to do with your kids. my nanny just said, i can't get there, so it goes. let's go to ryan young in philadelphia, where they could get more than a foot of snow and all the public schools closed, right? >> reporter: yeah, the schools are closed, but we're really getting hit by those snow pellets at this point, maybe just sleet coming down and the winds have been constant. that's the story so far. we've been getting pushed by that wind all day long. as we're talking, i'll show you what's going on over there. as the crews are started to clear these streets, they've been keeping the streets pretty clear here. this is the first time we've seen them go by with the plows. they're pushing whatever's left out of the street. the snow really stopped around 3:30 this morning. what we're noticing, what they're pushing to the side is just this, this sloppy mess. that's everywhere, because everything is melted down to a certain extent. of course, that could be a problem with black ice.

but right now, we've seen people driving all over the roads, all morning long. look, there's a semigoing goin. a guy with an exotic car go by. one lady walked by and said, hey, this is not too bad. so far, so good, for philadelphia. >> ryan young, you are the face of distress, getting hit with that freezing rain right now. i do not envy you, my friend. stay safe. stay safe. appreciate you being there. >> thank you. >> this powerful storm already grounding thousands of flights. that was to be expected, especially along the east coast. how will it reverberate all across the country? cnn's renee marsh live at reagan national airport. what do you see? >> reporter: it is going to reverberate. what do i see? i see that there are no passengers here. you look at these pords, this pretty much tells you the story, chris. more than 6,000 flights canceled between today and tomorrow. more than 5,000 of those are from today. compare that to a typical day,

where there's only about 125 cancellations. i mean, take a look at this security line. not a soul in sight. the only action we're seeing here, pretty much just the snowplows on the airfield there. chris, a lot of these airlines, they proactively canceled flights before any sign of the snow, because they just didn't want that scene of passengers being stuck and stranded within the airports. we do know, like, for example, american airlines, the largest airline that they have essentially, they've created a travel alert for some 39 airports, some of the hardest hit airports are going to be new york city airports, philadelphia airports, and right here in washington, d.c. the good news, though, if you're traveling, you're on one of those canceled flights, you can rebook and you will not have to pay that change fee. and if you're taking a train, you'll run into some issues, too. there is limited service on amtrak, as well. back to you, poppy. >> renee, thank you so much.

turning to politics now, 24 million more americans will lose their health insurance over the next decade if the republican plan to replace obamacare becomes law. this is according to a brand-new report from the nonpartisan congressional budget office run by a guy the republicans put in to run it. these numbers not even close to what the white house were hoping to see. this as we enter day 54 of the trump presidency. even hhs secretary tom price says these numbers are, quote, not believable. but he was one of the main guys to put in keith hall, who runs the entire cbo. >> reporter: that's absolutely right, poppy, and that point not lost on many people up here on capitol hill. frankly, this bill was already facing a very tough slog ahead. but these new numbers are potentially devastating, looking forward at the build fate up here on capitol hill. so now you do have white house and republican leaders really now shifting into damage mode.

attempting to downplay the impact of this explosive new report up here on capitol hill. the congressional budget office projecting 14 million americans would lose their coverage next year. with 24 million people uninsured by 2026 under the republican health care plan to replace obamacare. >> we disagree strenuously with the report that was put out. >> reporter: the white house denouncing the findings. >> we believe that our plan will cover more individuals a at lower cost and give them the choices that they want for the coverage that they want. >> reporter: their strategy, attacking the nonpartisan office throughout the week, even before seeing the numbers. >> if the cbo was right about obamacare to begin, there would be 8 million more people on obamacare today than there actually are. sometimes we ask them to do stuff they're not capable of doing. >> reporter: but the report does provide some good news for the gop. the cbo also predicting their legislation would reduce federal deficits by $337 billion over a

decade. and though premiums are expected to increase by up to 20% over the next two years, the cbo anticipates they'll actually drop by an average of 10% by 2026. >> something the cbo may have gotten right in this report, it's that the premiums are actually going to come down if cost. >> but the hardest hit by those higher preemiums, older, lower-income americans, shattering this promise by then-candidate trump. >> we've got to take care of people who can't take care of themselves. >> reporter: the report complicating the gop's already troubled efforts to pass their bill. house speaker paul ryan trying to put a positive spin on what they call unreliable numbers. >> i'm excited about this analysis. and yeah, i think they sort of overestimate the uninsured number, just like they overestimated who would be insured by obamacare. but i do believe that if we're not going to force people to buy something they don't want to buy, they won't buy it. >> reporter: but now with ryan trying to push through the repeal, the conservative website

breitbart releasing audio of the house speaker slamming mr. trump after the now-infamous "access hollywood" tape was leaked. ryan at the time saying he is done with then-candidate mr. trump. >> i am not going to defend donald trump, not now, not in the future. you guys know i have real concerns with our nominee. >> cnn had previously reported what paul ryan had said back in october, after this first happened, but what's new here is the emergence of this audio clip, at this particular moment, especially because it was done so by the conservative website, breitbart. this comes at a time when many conservatives up hill on capitol hill, they want to try to force paul ryan to make some changes to the bill. they also want to force president trump to step away from parts of the bill, as well. chris? >> what a message to ryan when steve bannon's fringe mouthpiece punches you in the nose. how is he going to take it? thank you, sunlen. joining us right now for some

perspective, republican congressman, adam kinzinger of illinois. he's a veteran of the iraq and afghanistan wars. i saw you laughing, as i was saying what happened to ryan. but you're happy you're not him this morning. were you on that call back in october? >> yeah, look, you know, that was a call between members, obviously, you get that. and i think it was around august or september. look, it just -- i mean, it was wildly reported what he said. he basically said, in public, what he said, which is -- and you know, this is right after the "access hollywood" issue. so for breitbart to release this and act like this is some behind-the-scenes, you know, secret thing that happened, everybody already knew this. and again, it just goes to show that sometimes these news groups, they think that they can be the next branch of the government. >> well, look, news groups would be a very generous assessment of this particular outlet that we're talking about right now. >> right. >> but the point is pretty clear. this is steve bannon's mouthpiece organization. and they're basically trying to out ryan as disloyal to the

president of the united states. fair appraisal? >> no, not at all. look, in the campaign, we all -- we were all struggling with what was being done, what was being said, very unorthodox. and of course, with the "access hollywood" tape, it was difficult. but since the election, there have been a lot of us who have said, including mr. ryan, look, we'll be supportive in every way we can of this president. we have a lot of big things we want to do. at the same time, if something happens that we need to be clear and call out, we'll do that. so i think there's really not been anybody that's been more loyal to, frankly, president trump than speaker ryan in terms of saying, we've got to work together to do some big things. >> one more step down this road and to your own point, no leader has been more noticeably quiet about the lack of proof backing this wiretapping claim made by president trump, not only accusing a former president of a felo felony, but calling president obama a bad or sick man. ryan, relatively quiet. do you believe the wiretapping claims? do you think the president should have to put up the proof

before anybody investigates further? >> i -- yeah, i think he should put that proof up. i think, you know, look, if in fact, the former president wiretapped a campaign, then, obviously, we need to know that. that's very important. at the same time, if there was a legal fisa order to listen in on to whether it was michael flynn or somebody else, we ought to know that and what was the compelling evidence for a fisa order. that's something we ought to know. that's the foreign intelligence surveillance act order. and if, in fact, some conversations may have been caught up, as we were doing what we should do, which is monitoring the conversations of foreign ambassadors, that's important to know, too. but, yeah, i think anytime you make an accusation of a former president, in essence of committing a felony, we need to know the answer to that. and it seems like over the last few days, and i'm happy for this, the white house has begun to walk that back. i think they need to come out and say, look, maybe the word wiretap was used, this was not a wiretap, it was x, y, or z or nothing.

and that's what we need to find out. and the intel committees are doing their jobs to get to the bottom of it, as well. >> but why is it their job? the president comes out. he's a phone call away from getting the answer. he can declassify any information he gets wherever he wants. he's got almost the most power in that regard, more than anybody else. why should these committees that were supposed to be chasing down russia connections and leaks have to take on this thing that only came up because the president wanted to create this issue? >> i actually agree with you. i think the onus is on the white house to say, hey, here is the proof that it happened or here's the proof that it didn't or maybe this is what we mixed up, again, if there was a fisa court order to monitor maybe general flynn when he was in the trump tower, something like that. but short of the president and the white house saying, this is exactly what happened, it is incumbent on the intel committees to get to the bottom of this. and it seems like they are. yesterday was a deadline and,

you know, i'm not sure what information came in -- >> none. >> i think this serves as a -- if i was the president, i would clear this up. it serves a as a major distraction, frankly, for some of the big issues he wants to accomplish and we want to accomplish with him. >> hard to clear it up if there's nothing there. seems to be the bind he is in. let's move on to another issue, the cbo. how damagining is this cbo repo to getting this bill passed in the house? >> obviously, it's a big headline. but i think there are a couple of big things to remember in this process. this is very important. the cbo is scoring one third of what we want to do. that's not their fault, that's all the information they have and that's all they can actually act on. the next thing, if we pass this reconciliation bill and we're very limited as to what we can actually do in reconciliation, in order to get it on 51 votes, next is secretary price who has a lot of things he can do. he can't communicate those directly with congress because of ethics rules. and third is, even broader

things like cross-state competition, et cetera, for insurance. and i think in that third tranche is where we actually deal with a lot of the truth in billing issues, the back room, how do we rice thprice this, ho competitively shop. that's where we hope to bring in some democrats. it's not the best headline in the world, that's for sure. but there are some good things in this cbo score. they did get a lot of stuff wrong with obamacare. and frankly, this is one of three things we want to do for health care. >> they got how many people would be covered wrong, but there were reasons for that. they also got things right. and the cbo is headed up by a guy who, secretary price, said his vast understanding of economic and labor market policy will be invaluable to the work of the cbo and the important role it will continue to play and now he's trashing the cbo. kind of reeks of politics. do you think it would be compelling to say to people on the left or the right, i know these numbers are bad, but go

along with us with. phase 2 is sympathetic we can't talk about, and phase 3 will be across state line. which no economist will argue compellingly will reduce costs. you base insurance on where you are, not where the company is. you may buy it in new york, but if you're driving in georgia, it's priced in georgia. that's not seen as a home run for cost cutting. there's a lot of unknown here to justify numbers that are pretty scary to someone like president trump who said he wanted to keep people covered if they couldn't take care of themselves. this plan doesn't do that. >> a lot of the numbers this shows are people that don't choose to take health insurance, because the individual mandate will be taken away -- >> a portion. you still have 10 to 14 million people will get thrown off medicaid. >> there is no doubt that this is a difficult process. there is no doubt that, look, anytime you make big changes, big moves, we're not doing earmarks to help pass this. we're trying to do this on our

own in terms of saying, this is the right thing to do. there's going to be a difficult process in this. this is why we like to bring democrats in on that third traumplg, for instance, to say, how can we make this better better. >> why would they join you if they knock 10 to 14 million people off to join you? >> this is what i hear now. you have basically health insurance by name only. you have gigantic deductibles with, gigantic premiums, to where the average family in some cases is paying 20 or $30,000 per year before they see the first dollar of benefit. when it comes to medicaid, we're allowing the states that have expanded to stay expanded, to continue to roll until 2020. and at that point then, only when somebody cycles off, do they come back on at that lower rate. and then the state can decide what to do beyond that. look, this isn't -- this is a very difficult process, but we know the situation we're in right now isn't working wi, and we're going to do our best to make it better for the american

people. >> kinzinger, always a pleasure to have you on "new day." thank you. >> you bet. anytime. coming up, president trump's budget director, mick mulvaney is making the rounds to make the case for why the plan is a good plan and why the cbo testing and scoring should not be trusted. poppy? >> he says the cbo got it wrong. the white house, meantime, and several of the president's cabinet members take issue with the way that this was priced out, essentially. a number of them, what exactly goes into a cbo score? we're going to ask a guy who used to run the place how reliable these numbers are, next. how was your weekend? average sequence of standardized activities. duplicate response. ♪ thrivent mutual funds. managed by humans, not robots. before investing, carefully read and consider

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so even before the cbo came out late yesterday with its price tag, its assessment of what the gop health care plan would cost, there was skepticism from many on the right about the accuracy of their findings. here's what the president's budget director said just on sunday. >> if the cbo was right about obamacare to begin with, there would be 8 million more people on obamacare today than there actually wiare. i love the folks at the cbo,

they're great at what they do, but sometimes they're unable to ask what we do. >> that is what they do. joining us, someone who knows that charge very well, robert raushauer, he ran the place under george h.w. bush and president clinton. nice to have you here. let me get your reaction to what some very close to the president are saying about this score from the cbo. tom price, hhs secretary, calls it just not believable. newt gingrich called for the cbo to be abolished after this number came out and said they're corrupt and dishonest. mick mulvaney, the budget director says this assessment is just wrong. what say you? >> i say this is a very uncertain kind of task that they are responsible for and they're about as good as anybody could be, putting together estimates. they've also been very transparent about where they're wrong and why they're wrong. but overall, it's a very good

estimate, i think. >> so, a lot of focus from the white house and mulvaney there on the part that they got wrong. and the cbo was wrong in estimating how many people would insured under the obamacare exchanges, right? it was about half of their estimate. but they were spot on when it came to how many americans would be insured total by 2016. they predicted, you know, 89% and it was 89.7% of americans had insurance last year. they've been wrong, but right, too. >> this is a very complex kind of issue. you have to guess how employers are going to respond. and they didn't drop as much insurance has cbo had assumed they would. you have to make an assumption about how many sometimes are going to stand medicaid, when the supreme court surprises everybody with its ruling about expansion being voluntary, rather than mandatory. and so there are a lot of

complexities that go into this. >> so you ran the cbo under a republican president and under a democrat. all of a sudden, it seems like the cbo is getting politicized. even before this number is dropped, you heard the white house and other republicans sort of bad mouthing it, saying they really don't have any legs to stand on in this. did you ever face that when you were heading -- >> oh, certainly. the clinton administration was not very happy with cbo's estimate of the clinton/health care bill, nor were the many other health care bills that were rivals to the clinton plan. their sponsors were not very happy, too. so this just comes with the territory. >> so do you think that it's too soon, though, for democrats to call this a win, to look at this as someone that will help them in the mid-terms in 2018? because the republican pushback is, look, they're scoring part one of what we say is going to be a three-part plan here, including some of these different -- as chris was just talking about, buying insurance

over state lines, whether that will move the needle or not. is it too soon for democrats to say this is a win for us? >> i do think it's too soon, but it certainly points in that direction. remember that part two and part three, that the congressmen were talking about require the cooperation of the democrats. and nothing that we've seen so far suggests that that's going to be forthcoming. >> how often would you say, in your five years, almost six years leading the cbo, did you guys get it right? what's a reality check for the american people? >> i would say that 95% of the time, cbo is spot-on and when it isn't, it's very transparent about why and american people and the congress should have some faith in that. >> so douglas holtz-eakin,

another republican who ran the c cbo after you wrote, the cbo is indispensable, but it doesn't always get it right because it's forced by law to provide assumptions. fantasy in, fantasy out. is he right? >> well, we all know that certain pieces of legislation can't continue unchanged. for example, social security and medicare are going to run out of money in a decade or two. and cbo has to assume that the payments are going to continue. so there are sort of requirements that adhere to rules that the congress has set for it. not, it is made up by itself. so, you know, there is an element of truth in that. but i don't think that undermines the value of what cbo does and has done in this case.

>> all right. thank you so much for joining us, robert rishhauer, we appreciate it. >> you're welcome. >> a quick programming note for you, you're going to want to watch cnn, wolf blitzer, and y dana bash for a live town hall with robert reich about this new gop replacement plan, that's tomorrow night, nine o'clo9:00 eastern time. up next, a massive winter storm hammering the northeast and mid-atlantic states. we have the latest forecast with chad myers. you're going to want to know what comes next. wait your turn. what are you guys up to? people love progressive's name your price tool so much it's hard to get their attention. that's where moves like this come in... [ grunts ] we give people options based on their budget with our name your price tool. what does an incredibly awkward between the legs dribble do? what's the matter flo? scared you can't keep up? jaime! swing a wide paint, hollow scoop on three. [ screams ] guess i have more jump than i thought. progressive's name your price tool.

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a massive blizzard slamming northeast and mid-atlantic states this morning. millions of people are in the path. cnn meteorologist, chad myers, live in new york's central park. what's the flow like right now, my friend? >> reporter: it has changed over to a sleet storm, chris. and although that may slow down or knock down our snow totals, it's not going to be as deep here, if it keeps sleeting. it's not going to reduce how much this snow weighs to move.

by the time we're done with the sleet and the rain and more snow on top, it's going to be about 11 pounds per square foot to shovel this. how many square feet are in a driveway? 11 pounds. almost every single scoop will be 11 pounds or more. now, back out to the west, that's where it's going to continue to snow. the alleghenies, the poconos, harrisburg, lancaster, on up towards schenectady and towards new england. that's where it will be all snow. no sleet mixing in. it will be tougher there, because we'll have to move that snow in a 40-mile-per-hour wind, because the wind will pick up here, but even if we get a little bit of rain and this sleet mixed in today, poppy, it is going to be 20 degrees tomorrow morning. this isn't going to health overnight. in fact, if it gets wet, like it is down where ryan is in philadelphia, it's going to re-freeze into a lot of black ice. >> i was just thinking about the odds of me getting home to brooklyn tonight and getting back here in the middle of the night for the show tomorrow morning. we'll see. thank you so much, chad myers.

joining us now is new york governor andrew cuomo. great to have you here. because of the weather, the signal's a little bit in and out. we might you see come and go in this interview, but we're glad you're with us. give us the latest assessment from your office about where the models are showing you and what places of new york are at the greatest risk. >> well, thanks, poppy. good to be with you. this storm is a little tricky for us, because it's a statewide event. normally with a state as big as new york, it's either one end or the other. it's the east end towards long island or the western end towards buffalo. this is statewide. so we are fully deployed. we are 5,000 plows. we are 2,000 national guards people who have been called out to help. one of the good things is, we got ahead of it yesterday. the airports are basically closed in new york. john f. kennedy and laguardia airport. government is closed. schools are closed. there's no real reason to be on the roads. the subways are operating in new

york city. the above-ground railroads are operating for the time being. we'll probably suspend the service on the metro north, which goes up to the northern part of the state, but by and large, so far, so good. again, it is statewide and the snow plus sleet plus wind is a nasty mix, but because of the light traffic, the light volume, we've been able to stay ahead of it. >> and no calls for cars to stay off the road or anything at this point? but that could happen at any point, so best for folks to stay home? >> yes, it is best to stay home. people who came in on mass transit, there's a possibility that we'll suspend bus service later in the morning in new york city. as i mentioned, suspend metro north railroad later upon. we'll do a tractor-trailer ban on some of the roads in new york, because they are getting worse, as we speak.

so it's -- there is no good reason to be on the road, unless it's a real emergency. and when people are on the roads, you're going to get stuck out there. that's then a problem. it stops and impedes the first responders. so unless it's a really emergency, you shouldn't be there. i declared a state of emergency, which means unless you're a first responder or in pursuit of an emergency, you shouldn't bonnet road in any way. >> what are you expecting tomorrow in the commute? we know this is going to be about 12 hours of consistent snow. it should be over by later tonight, but chad myers, our meteorologist, just warning everyone about some pretty severe black ice. >> well, it depends on how bad it gets overnight. the change from snow to sleet is problematic. there'll be temperatures tonight that are below freezing. and ice, as you know, is much tougher to deal with than snow.

and that's what we're going to have to watch. if that happens, the commute tomorrow would be especially problematic. >> all right. well, we know you're very busy. thank you for being with us. and before i let you go, i should let you know, your hero brother this morning on the way into work managed to push out a sideways taxi. doing his job before 6:00 am, before the show even starts. >> well, i want you to know, poppy, i was there before he woke up. i actually shoveled out his driveway. >> oh, yeah? >> so he could get out. because -- >> oh, yeah. the snow is heavy. it's about 10 to 11 pounds with the sleet. it's more than he can handle. so on the way in, i shoveled him out, because i thought it was important he got to work. >> see, his much muscles -- >> i live in an apartment building. point of fact. that's all i'm going to say. >> only facts here on the program, governor. >> fake facts. >> no alternative facts.

>> don't stand in the cold too long. you know how cold your nose gets, because it's so far from your face. stay warm, gov.. >> i don't want to comment on his facts. >> can we cut this feed? >> we're going to cut the feed. i don't think i'll ever again say we're going to cut the feed on the governor other than right now, governor cuomo, stay safe. thanks for all you're doing for the city. >> chris? >> shouldn't he be out there shoveling snow or -- >> i don't see you out with your snow gear on. >> it's not my job! >> sometimes you can anchor from the snow. doubling down and facing fire. iowa congressman steve king standing by controversial statements. fellow republicans turning on him, but not that fast and not as loudly and as proudly as might have been expected. why, next? ( ♪ ) upstate new york is a good place to pursue your dreams. at vicarious visions, i get to be creative, work with awesome people, and we get to make great games. ( ♪ )

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iowa congressman steve king already under fire for a controversial tweet, feeling even more heat following his interview on "new day" yesterday. king doubled down on his tweet in support of far-right anti-immigrant dutch politician, wilders, saying that he understands that culture and demographics are our destiny. we can't restore our civilization with somebody else's babies. i asked the congressman if he really wanted to stand by those words. here's what he said. >> well, of course i meant exactly what i said, as always is the case. you cannot rebuild your civilization with somebody else's babies. you've got to keep your birthrate up and you need to teach your children your values. and in doing so, then you can grow your population and you can strengthen your culture, you can

strengthen your way of life. >> all right. let's discuss with abby phillips, cnn political analyst and "washington post" reporter and kathy own eeownerdoveich, political columnist for the "des moines register." great to have you back. steve king, often on the show, likes to mix it up and be provocative, but this was a real head scratcher. he paused when i asked him whether or not, whether if you're a christian american, muslim american, jewish american, whatever american that we're all the same. he paused and he seemed to want to make a point about how everybody kind of contributes in their own way and certain people don't teach the right things and certain communities and i just didn't get it. how does that play back home? >> well, you know, steve king is well-known to iowans. and he is well known for saying outrageous things. and he regularly wins re-election with 60% of the vote. he said something similar about this whole western civilization

and protecting western civilization last year during the republican national convention. made national news for it. and it does not affect him during his re-election campaigns. the governor of iowa yesterday said, oh, that's just steve king. you know, we don't agree with what he says, but, you know, he's been good for the state, because he's for ethanol and other things that the governor does agree with. so it is, you know, i think that for republicans in iowa, it's kind of a balancing act. i mean, steve king is very popular in his district. that is the most republican district in the state. you don't want to upset his constituency. on the other hand, people who have to run statewide are also dealing with republicans who think that steve king is an embarrassment. so they have to walk a very narrow line and it will be interesting to see how this plays in and out 2018. democrats are energized and they want to get the statehouse back. >> one point of fact in question to you, we all spend a lot of

time in iowa, we've been there. and forget about what the demographics are of the state, it's a very inclusive place. people talk about america writ large all the time. it is not a place that's known for being at the tip of the sphere of intolerance in this country. and then you have this from steve king. but abby, just as impressive as what steve king said is the lack of what we heard everyone else in d.c.. it took a while for people in his party to come forward and start saying, yeah, i don't believe that there's a difference between different kinds of americans. we're all the same. why? why the delay? why the pause all over the place. >> it really did take a while for these comments to really penetrate. and the response from someone like paul ryan, who was like, i hope it's a misunderstanding, was incredibly tepid, but it reflects the place that republicans are in right now. the idea that the united states needs to protect its culture by keeping other people out is something that is reaching to the highest levels of the u.s. government right now. top advisers to the president,

including steve bannon and steve miller, firmly believe that that's the foundation of their immigration policy and of their policy toward refugees and other things. so these issues are, in many ways, related and republicans are tiptoeing around it, because they don't want to go too far in condemning steve king. also, they also recognize that he tends to say things like this quite a bit. and to kathy's point, it doesn't have a demonstrative effect on his ability to gain re-election, which for people like paul ryan and people like mitch mcconnell, that's the most important thing. they want to make sure the republicans remain in office. and even if they have to tolerate some comments that are less favorable to their viewpoints, they will do it. that is politics at this moment in time. >> i just, i can't think of anything that stlrikes more to the heart, kathy, of what we're struggling with right now on a national level here, about who are we? wlar we about? what do we embrace?

have you seen any percolating of iowans saying, this is not who we are? >> yeah, i mean, we are just like everybody else. people started responding to this. it was on a sunday, so it may have taken a little bit longer than it might have otherwise. but, yes, and you know, of course, we hear it most loudly and strongly from democrats. but, you know, the chairman of the republican party in iowa has said, you know, diversity makes us stronger. and you know, he has a goal of getting a third of the hispanic and latino vote in iowa in 2018 and 2020. so this definitely does not help his cause when he wants the republican party to reach out to people who, you know, may have felt excluded by the party for a long time. >> boy, two big ideas pop up. one, the countries that steve king was talking about in europe, they look at america because of its diversity. that's what they herald about this country, as it being the

big melting pot. abby, your point's right about people being slow on this. and that which we ignore, we empower. kathy, abby, thanks for being with us. appreciate it. pop? >> important conversation. coming up for us, crunching those health care numbers. after the congressional budget office scored this gop health care plan, how do the numbers all add up? our chief business correspondent, christine romans, brings us that, next. ( ♪ ) it's off to work we go! woman: on the gulf coast, new exxonmobil projects are expected to create over 45,000 jobs. and each job created by the energy industry supports two others in the community. altogether, the industry supports over 9 million jobs nationwide. these are jobs that natural gas is helping make happen, all while reducing america's emissions. energy lives here. won't replace the full value of your totaled new car. the guy says you picked the wrong insurance plan. no, i picked the wrong insurance company. with liberty mutual new car replacement™, you won't have to worry

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no question republicans are in damage control this morning after the congressional budget office released its report on the impact of the replacement of obamacare. >> here are the takeaways of the score. the number, the federal deficit would shrink by $337 billion. why? because the government would spend less on medicaid and other aid. and premiums would spike by

falling in 2026, and that's just the average. if you are lower and middle income expect to pay more. a 64-year-old making $26,500 would pay 1,7$1,700 for coverag under obamacare, and under the gop plan that plan would be $14,6 $14,600. what does this mean for the uninsured? >> 14 million fewer with insurance next year. what does that look like? 50 million americans were uninsured before obamacare, and with the new plan the uninsured would rise to 15 million, and it would be about 28 million would be aaussumption would be there. is the cbo gospel truth?

no, they are estimates. the cbo estimated those that would enroll in obamacare, they were off by about half. >> you had former employers that didn't supply health care, and then you had expansions when they said it was an alternative. thank you, christine, as always. let's discuss this with people that know who they are talking about. he advised president trump during the campaign, and also joining us, chief economists for chase. thank you for being here. the cbo testing, the scoring of this, steven, saying 24 million people will be uninsured in the next few years because of this,

that seems to be a big price to pay. how damaging is this for getting it passed? for the people at home, you are seeing the impacts on your screen. premium rise over the next two years and then fall, and then you have deficits going to fall because of less spending on the plan. >> chris, i don't think you can pass a health care bill out of congress if tens of millions are going to lose their health care insurance over the next few years. and i am fully supportive of the idea of abolishing obamacare and moving to somebody that makes more sense. we are on the titanic right now and we have to get off it and get something that will work better. i think at this point they will have to educate americans that their plan is going to provide more coverage for people, and look if you have $300 billion of

deficit reduction, maybe they should devote some of the money to make sure people are not losing their insurance. right now our health insurance program -- our national plan, obamacare, is not just bankrupting the government, it's bankrupting a lot of middle class families that can't afford it. >> is that true, is the obamacare in a death spiral? is it a jobs sucker? are those true assumptions? >> you have to ask yourself why is it costing so much money and the reason is because so many people are covered. this republican plan is scary in the sense of 24 million people at some point will be completely uninsured. you can argue that somehow they have access. you know, the american people have access to a rolls-royce show room, and everybody can look at the car but not everybody can afford it.

i don't think people can drop their insurance policies because they choose to do so and if people would drop the insurance for their families, it's because they can't afford it and not because they choose to. if you have $337 billion worth of savings, some of that should be invested to pick sure you don't get a huge drop off. right now do you. one of the things i have a major problem with, when people look at the plan, you argue, i don't believe this number. when you have good things -- you can't cherry-pick and you have to take the whole plan. the premiums are coming down by 2026, but that doesn't do anything good for the people that are going to be in the plan in 2018, and they are going to experience 20% to 18%. >> right now it's speculative. when you start hearing the

stories about the older people that voted for trump who are very low income or sustainable by fixed income and they start not having the ability to get care because it's so expensive, that's going to be on you. right now it's just politics. secretary price saying the cbo, they shouldn't be in this, and newt gingrich saying get rid of cbo, and the guy running the cbo is price's pick, and the white house estimates, the ones that will not have insurance is 26 million, higher than the cbo estimate. >> i think you have to explain to the american people why they disagree with the numbers. i think a lot of the numbers are fantasy. >> hold on a second, steven. if that number is fantasy, again, politico has a piece up right now that anybody can go and read, the white house's own internal estimate is more severe

than the cbo about how many people will be uninsured, so how can you attack the cbo number when your own number is worse? >> because what i am saying is that right now we are -- we truly are in a death spiral in the insurance market, and talk to employers, we saw a 25% increase next year and expecting 25% next year, and the point i am picking is these people that will lose their insurance if they move to the gop plan, no, people will lose their insurance because they can't afford obamacare. i heard this from them firsthand when i was on the campaign trail. when you are facing thousands of increases every year, you can't

afford insurance. >> do you believe what is being offered by the republicans right now is better than what we have right now? >> i think there are good aspects. i was impressed with the savings and i am impressed with the f future savings, but we need more people insured and not less people insured, but i agree if we use some of the savings -- remember, we are going to save more than $800 billion with this plan. but how are we going to do that? by reducing expenditures to medicare. that's not the way to increase the number of people enrolled. when we criticize the white house under the obamacare that the cbo overestimated how many people would join the epbgxchan, you can criticize that, and when you look at the people that joined under the medicaid portion, you can