that's it for "the lead." join me took at 11:00 p.m. for a cnn special. we'll speak with angus king form for now i turn you over to wolf blitzer in "the situation room." with a private found to\s . front the money, there are some debt ceiling deniers who are reswrekting the forecast the economic ka at that time troir. who is right? we'll have the debate this hour. i'm wolf blitzer, you're in "the situation room."

this -- threatening a debt default, the white house has just begun a series of meetings with lawmakers. house democrats are the first group to sit down with the president. republican leaders are next in line. let's go live to our chief congressional correspondent, dana bash, who is following all of this. the full gop conference won't be going to the white house. all 233 members. what's going on over here? all the democrats, the entire democratic caucus was invited. >> reporter: that's right. house gop leaders believe it would not be best for all the republicans to go to the white house, because it wouldn't be productive. the whole house republican message is they want a chance to sit down with the president, with the white house and talk. so they are taking advantage of this invitation, which is for tomorrow for republicans, saying just the gop leaders, and the key committee chairmen will be attending.

they are the only ones who will attend. let's just face it, having a discussion with 233 people generally isn't that productive, but more importantly, nobody has said this or on the reporter oeven close, know the makeup of the caucus, i think leaders feel maybe it would be best for some of their more conservative, and maybe more importantly the more outspoken members to not be there. what are you hearing about any possible movement especially when it comes to the debt ceiling. >> there's still no official talks, particularly between the republicans here on capitol hill and the white house, but there are certainly unofficial bipartisan discussions going on all over, particularly in the united states senate. that is something that senator dick durbin, the number two in the signal sort of spilled the beans on to jake tapper on "the lead quest. listen to what he said. >> i think you probably would guess, and it would be true, there are conversations under

way to what we will discuss, what we will negotiate over, what things will be on the table. now, house republicans say they are not having any discussions, as i said, with the white house, and no official discussions, but that, of course, is going to be the toughest nut to crack when it comes to any deal, particularly on the debt ceiling. i'm told today, wolf, that they are beginning to realize that they are likely going to have to pass a debt ceiling increase with the help of democrats, something they have not been willing to do when it comes to the funding bill, which ended up with a government shutdown. i'm also told they're sort of prepares, at least, some people to pass a clean debt ceiling increase, but -- and this is a big but -- along with it the promise with specifics for negotiations to deal somehow with the debt and deficit.

this is something they're realizing -- that they are getting at least negotiations in the short term. there aren't any active discussion going on one the republican caucus, because they were told by senior republican source that they can't do that, because they don't know what to talk about, so we're still in this kind of odd situation, almost parallel university going on. >> still in a mess out there. thanks very much. maybe they'll get movement going. >> one of the most disturbing consequences, the death benefits paid to families of fallen service men and women have been cut off, to even pay for funerals expenses. now there may be a temporary fix? let 'bring in barbara starr. what are you learning? >> there may be a fix, but tonight it may well be worth

remembering what president lincoln said when he said it was the solemn responsibility of government, and i quote, to care for him who have aabove the battle and for his widow and orphan. tonight many in washington will tell you the government is failing to do that. 24 years old army ranger cody patterson came home to his fame at dover. as defense secretary chuck hagel paid his respects. killed on his second deployment for afghanistan, his colonel called him a courageous soldier. unbearable grief made much more because the government shutdown left them without benefits. condemnation from all political leaders. >> lord, when our federal shutdown delays payments of death benefits to the families

of children dying on faraway battlefields, it's time for our lawmakers to say enough is enough. >> reporter: publicly the white house was promising the president wanted to fix the tragedy for the families that had become a pr disaster. > he was not please the to learn of this problem. >> reporter: as hagel stood on the tarmac, top aides were urgently working on a solution. the pentagon signed a contract with fisher house foundation, a private organization that helps war wounded. fisher house will pay the families' bills and a $100,000 death benefit. the government will pay it back when the shutdown ends. this-year-old army special agency joseph peters also killed in afghanistan a few days ago. his friends upset about the payments being frozen. >> it's absolutely ridiculous

that his family was lose ugh their son, husband. they shouldn't have to worry about that right now. >> reporter: now, a senior official here at the defense department, wolf, says that hagel warned without officials and congress several days ago when the shutdown was imminent that the death benefits would not be paid. there was even a news briefing for reporters on that very fact. >> barbara, there's other potential serious new represented to the shutdown for those who have served in the military. >> well, the next disaster looming is for veterans who will likely not get their november 1st benefits check. the secretary today said november 1st, it is possible more than 5 million veterans, their surviving spouses and therapy children will not get the checks that they are owed, because the government will run out of the money unless something is done. wolf? >> they've got to fix this and

fix it quickly. barbara starr at the pentagon, thanks very much. even as the country faces a looming financial crisis, president obama just a little while ago named janet yellin to be the next secretary of the federal reserve. she'll succeed ben bernanke, if confirmed, and become the first woman to chair the bank. jim? >> reporter: wolf, president obama introduced her as the next change, noted she would be the first woman to lead the federal reserve in the 100-year history, and paid a lot of compliments, noting the fact that she is tough but fair and not only because she's from brooklyn, talked about her bona fides as an economic policymaker, saling shy warned of the housing meltdown before it happened in 2007 and 2008, but at one point,

wolf, he didn't make any direct reference to the debt ceiling deadline that is looming, but he did make sort of an implicit message, when he said talking about the progress that's been made since the recession said we shouldn't do anything to threaten that progress. wolf, this was the one optic, perhaps the only one of the day, that the president could control. >> so, jim, is there anything else going on as far as the meeting that the president is now having with house democrats, all 200 house democrats who were invited over? what is the white house saying about that? and also the fact that only some republicans will show up at the meeting, even though all house republicans were invited. >> reporter: right. the president invited all members of congress for these meetings this week, and you're right, house republicans did respond to that, by saying no are they're just going to send the leadership and their committee chairmen. dana was mentioning a few

moments ago, that that meeting is under way, starting at about 4:40 this afternoon. we didn't see all of them go in. many slipped through side entrances to white house, but white house press secretary jay carney after receiving word from speaker boehner as office that only house republican leadership and key committee chairmen would be coming over fired off a pretty tough statement. here it is. it mentions that the president is disappointed that the speaker is preventing all of the member, but quote, the president will talk to anyone at any time and looks forward to their visit at the white house, but will not pay the republicans' ransom for doing their job. if they want a real discussion, they should take the threat of default off the table. so, wolf, not is that pretty tough talk, it's an indication that both sides can't even agree about. thanks very much, jim

acosta. rejecting the idea that it could be liming. using the hash stash #sitroom. at least potentially suspected, sir rich and brandon, he is here, today, in "the situation room." how much protein

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nthat's why they deserve... aer anbrake dance. get 50% off new brake pads and shoes. republicans are tan a hit. so are the democrats. let's discuss what's going on. cnn's richard quest is here, our chief political correspond gloria borger, and candy crowley, afternoonor of "state of the union. ygs gloria, the favorable rating is now at 28%. the gal limb, better.

they're down as well. as you know, the congressional approval rating. clearly the of ties. to funding the government. this is something he and others warned of. that was not to be the case, but there was a group who felt differently. so now they're stuck. they're going to talk a lot more. to raising the -- a defunding of obama care to the funding of the government. by the way, wolf, they alwaysual

they could never get it down. that's what's drive everybody's numbers down. 53% disapproval. how -- only 33% approval. look at this, only 12% of republicans approve of the jock he'sing doing. >> it's been lower. this is now a -- this is the heaviest hit from the government's shutdown. what the democrats are far more worried about is how the president's affordable medical act is -- affordable care act is

going to play out. that's their big 12014 worry. this will somehow work out. they're going to get hit and the democrats will hit them, but if they have more stories about people whose insurance has quadrupled than they have stories of people who finally have insurance, they're in trouble. >> but the republicans stepped on their own message. that's the trouble. >> and the looming debt ceiling is a huge issue as well. you're here in washington, broadcasting your show from washington, because the meetings of the imf. the rest of the world must be pretty nervous, jittery seeing what's going on here in the united states. >> absolutely conflicted. on the one hand they are saying this is no way to run a country, sort of saying those americans have got no idea what they are doing, but on the other hand

they are serially worried about the -- -- the rest of the world probably with it. two, you somehow manage to finagle robbing peter to pay paul. you start paying the debt.

even if it's a technical default, or a moment tear default than in 1979, everybody start to worker what's next, what's going to happen? that uncertainly -- there is a few there shall let it happen, and did you who wants to take the risk? >> that's actually what the treasury secretary said. if you press him, he says, we don't want to find out. >> yesterday the imf downgraded world economic growth. >> they also threw in the possibilities of what's happens in the u.s.? >> it's a very fragile global situation this if one medicare

paper cannot be made -- if we start going into the recession like we did in 2009. we already see the early signs. we're going to show you what it really could look like. stand by. debt ceiling deniers. they reject the -- two economists. you could tweet the suggested questions. stay with us. you're in soich soiism. sfx: oil gushing out of pipe.

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is. the threat of a default is already impacting the economy, but just how bad could things get if the congress doesn't

extend the debt ceiling. what are you seeing, tom? >> a variety of warning signs are already flashing in the economy over a possible default, and here is the first and clearest one these are notes sold to investors. those investors give the money to operation, in return they get money back plus interest. that interest rate is rising because of all the uncertainty. other possibility warnings signs are not so clear right now. for example, what about the markets? well, they have been more down than up lately, and the s&p 500 in particular has fallen a good bit, though recently a bit high, so it's hard to know precisely what that decline means right now. so far that was just talk.

>> how does this picture change when and if an actual default were to occur? >> that's when we move into completely speculative ground here, wolf. whether or not that happens this months on the 17th or so, or if it comes later on, some time later, we don't really know. there's a lot the disagreement about how to even dwid default, but the dahl we are undeniably in default, almost everything changes, and probably for the worse. if the government can't pay its bills, americans who get some kind of assistance, they -- and millions of older folks, who absolutely rely on social security to stay alive and have their homes. in that environment, loans for new or growing businesses, the stock market, housing values, jobs, even the gross domestic

product, could all start falling and fast. here's one of the most ominous possibilities. go back to the idea of the government selling treasury bills. there's the real fear that in a default situation, no one will buy them, or not enough people will buy them. these investors who routinely roll over their investments might suddenly say no, it's too risky, i want to catch in. wolf? >> very dire situation, potentially out there. good explanation. tom, thanks very much. so we're seeing other dire warnings about what could happen if congress doesn't extend the debt ceiling and the united states were to go into default. but there are some debt ceiling deniers as they're called, rejecting the forecast of economic catastrophe if the debt ceiling isn't raise the by october 17th. who is right? the former clinton labor

secretary robert now with california berkeley, and steven moore who writes for "wall street journal." guys, thanks very much for coming in. i'll start with you, steve. go ahead and tell us, if the dead ceiling is not raise by october 17th, would there be a catastrophe? >> well, wolf, great to be with us. i hope you're not going to call me a debt ceiling denier. >> no. i don't want to see this happen. i think it's crazy that we're in this situation, it is hurting the economy, but some of these really dire forecasts, like a bankruptcy for the united states, or i would even make the case to you, wolf. that the chance of actually a default on our debt -- and this is a case the president has making. your analyst just made, i think that's irresponsible, because the chance of a default on the debt is very close to zero. the reason for that is even if

we hit that debt ceiling, which i hope we don't do. even if we do, there is still monday to pay off the in fact i make the kay they make the first claim. let's not scare people who own bonds that they're not going to get paid. >> robert, get. >> i think that art, steve, with due respect is irresponsible. even though there might be theoretically be money to pay the interests to the bondholders for a few days, it is only a few days. jack lew has, what, about 30 billion on hand on the 17th, could be the 18th, but we're talking about only a few days. in the meantime there would not be any money to pay social security payments or medicare payments or anything that the government is doing. this would be a calamity for americans, for millions of americans, and for a huge number of people in the global economy.

we should not even get close to this kind of a situation. i'm worried not only about october 17th. i'm worried about the days leading up to october 17th, as more and more people who are lending the united states money, or who have lent the united states money get nervous about the ability of the united states to deliver on its full faith and credit, and interest rates start rising. >> bob, let as say you're right. i don't agree with everything you said, but i agree, we don't want to get to that point of no return. the question i would ask you. you worked for bill clinton. i was working for the republican congressional leadership then back in 1995, 1996, when we had a similar situation. bill clinton got on the telephone with newt gingrich, made a deal, clinton gave a little bit. gingrich gave a little bit, and we got out of this. wolf, the problem i have with this crisis, everything is blaming republicans, but it takes two to tango, and you

can't negotiate with a president who has said repeatedly for the last three weeks he will not budge, he will not move an inch. that is not negotiation, that is not compromise, and that is not getting us out of this crisis. >> steve, let me distinguishes 1995-1996. i was there. that was not an attempt by republicans to stop or mac or change a rule of law. that was a disagreement between republicans and democrats over a about the. right now we have the republican party cease we have shut down the entire government. we have not going to called the affordable act on the books, already signed into law, already

affirmed, unless that law is changed or delayed or amended or rescinded. that's not the way in a democracy we work. that is dangerous. that is playing with fire, unethical. i'm sure the framers of the constitution did not consider that would be done by one party, and you know something -- just one fine point, steve. if that is the way the game is played, no law on the books is safe. quong can fund or not fund anything it wants to in the budget. you can disagree with the priority of not wanding to fund some parts, but this is the prerogative of the house, you work it out. this is something that's very legitimate. congress is funding things they want to fund and defunding things they don't. the power of the purse read is

the constitution. it that wir the way we and our government would operate, then what -- we would have showdown after showdown. you name it, there would be extortion -- >> i mean, this health care law is not ready -- why not delay it for a year. bob, it's not ready for primetime. you know that. hold on for a second. >> that's not the issue. i don't think it will happen, but if there were this debt ceiling. who get paid first? steve? >> well, that's a deemsday scenario, but i believe the

creditors do, because the u.s. constitution guarantees the full faith and credit. i believe it's the 14th amendment. wolf, i think that would give authority to the president, not only to pay off the debt and to pay interest on the debt, but also to pay all of the other obligations incurred by the united states. in fact, i hope he uses it and hope hi basically, if we get to october 17th or 18th and republicans still want to play extorsion, i hope the president says you're forcing my hands, the constitution requires me to do this. >> hi could be impeached for that. >> well, i think that's why exactly what the republicans are planning. >> all the they want is a deal here. >> look it, they already had a deal. the affordable care act has

already been negotiated to death. that's what we call the legislative process. it's over. it's done. let's leave it on that note and hope the 14th amendment won't be necessary. let's hope they do come up with some sort of solution so there won't be any default. all the obligations are paid for, and all the recipients -- >> congratulations to bob reich on his new movie. indeed, guys. >> i thought you would never mention it. thank you very much. thank you very much. a good solid debate. much more ahead, including senator john mccain, making his frustration very clear. how does he think this crisis can be involved? he's joining us live. tweet us your questions using the #sitroom. ♪ norfolk southern what's your function? ♪ ♪ hooking up the country helping business run ♪ ♪ build! we're investing big to keep our country in the lead. ♪ load! we keep moving to deliver what you need.

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the redskins' owner sense a letter to the fans. we'll have details after this.

the united states is now cleared to hunt terrorists inside libya suspected in the deadly attack in benghazi. a senior officials tells cnn that the libyan government has been given tacit approval. four americans were killed in that attack including the am bass do chris stevens. the united states says it's, quote, recalibrating the assistance for egypt, most of it military aid. the state department says support to civilian sectors continues. the owner of the washington redskins is taking his argument for keeping the team's name directly to the fans. in an e-mails dan snyder writes of the deep meaning the name

has, and he says he owes it to the fans along with players and coaches to preserve that heritage. some find the name offensive to native-americans. up next, how worried is the corporate world about a possible u.s. debt default. i'd ask rich and brandon. he's here live in "the situation room." bus a nascar driver cheating death is back on track, using his experience to help others. joe carter has the story in this "impact your world." at the start of the 2010 nascar season, ryan vickers was a driver to watch, and then his world stopped. >> i just couldn't breathe. every single breath became so painful. i couldn't stand it. i said we have to do something. >> he had blood clots in his left legs, lungs and fingers. they also found a hole in your

heart. >> i think the first reaction is sorting through, will i be okay? and then what do you have left to do? and that's racing. as the doctor put it, you take the risk of dying of another close or potential an internal injury, bleeding to death, being on blood thinners. >> he was eventually clearedly doctors. >> i wasn't sure if i would ever race again, period, much less get back to this level in a winning car. >> vickers sees his second chance as a chance to help others. he supports clot connect, a foundation started by one of his doctors. >> trying to support as often as i can, putting them on the race dar and donating time and money. through the ups and downs, i kept my eyes open and said, this sucks but what can i learn from it? i grew more as a person through the negative experiences than i did the positives.

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in our next hour, i will speak with senator mccain. tweet us using the #sitroom.

the political turmoil has huge implications for businesses around the united states, instead av the world. let's bring in sir richard branson. thanks very much for coming in. when you see what's going on,

this debate here in the united states, from the business perspective, your business perspective, what do you think? >> um, we find it completely bizarre. i think, you know, the fact that a few people can hold up america, hold up the world, you know, is astonishing. and i'm very worried. i think, you know, we just have to hope this gets resolved extremely quickly, so this frajed economy that we have on a global basis is not damaged and we continue to gro out of the -- >> how would it impact your business, for example? >> well, look, i think it would impact all businesses worldwide if american didn't pay its bills. if a company doesn't pay its bills, it goes bankrupt.

if a company like america doesn't pay its bills, it will send horrendous ramifications worldwide. so, i know, i just hope sense prevails over the next day or two. it shouldn't be left longer than that, so we can continue to work to try to get the world back on its feet again, and make sure that people out of the work can get jobs, and that no more damage is done. >> you've been hugely successful with the business world, you're also very creative. you have a lot of ideas. do you have any good ideas you can offer all the folks here in washington? how they should resolve this? >> well, i'm decidededly biased. i see a health system in great britain that is not perfect, but it works well, and if you needed an operation in great britain, i would choose to have it under the nhs than to go privately.

and, you know, that applies to any single person who is living in the uk. i think, you know, if this new health system in america, with all the imperfections of anything new, can be given a chance, i think ten years from now, we will look back and think, you know, why didn't america always have a system where you looked after the poorest person and you didn't have a situation, you know, where people were not properly looked after? i just very very much hope, you know, this can get resolved and this law that's already been passed be given a chance to work. >> you're in washington to promote the new film on the war on drugs. totally different subject, but let me play a clip from the film. watch this. >> we must wage what i have called total war against public

enemy number one in the united states, the problem of dangerous drugs. >> since 1971, $2.5 trillion have been spent on the war on drugs. >> when we say no to drugs, it will be concluder that we mean absolutely none. >> some think there won't be room for them in jail. we'll make room. >> if you can't control drug use in a maximum security prison, how could you control drugs in the free society? >> it's a business worth $320 billion worldwide. >> if all you do is try to find a police or military solution to the problem, a lot of people die and it doesn't solve the problem. >> so, sir richard, what do you think? how do we have to deal with this problem? >> well, i've been privileged to sit on the global commission on drug policy over the last two years. we've examined is the war on drugs. it's been an abject failure for 60 years. in business, if i've had a

company that failed for 60 years, i would have closed it down 59 years agoful what we have done is looked at countries which got on top of the problem. portugal 12 years ago said we will not lock up our children, we will not lock up our brothers and sisters standpoint for any drugs they're taking, we will instead hem them. they come in front of a psychiatrist and health worker, and are given advice, given help, given treatment the in that way, they've managed to get on top of the problem, portugal doesn't suffer the costs that hundreds of thousands of people in prison, their lives ruined. instead there's people weaned off drugs, they become useful members of society again, and it's, it's brought it from number three item in portugal to almost a nonevent. i hope a big country like

america can see sense and do something similar. >> look forward to seeing the film. as usual, thanks very much for dropping bivities thank you very much. cheers, wolf. >> cheers to you. the government is pamplly sit down, but the gym where members of congress can work out, guess what? open for business. i am today by luck. i put in the hours and built a strong reputation in the industry. i set goals and worked hard to meet them. i've made my success happen.

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here rea jeanne moos on the shutdown. >> this 5-year-old -- >> what do you mean it's not working? >> reporter: doesn't understand the shutdown. just knows he can't play games on his favorite website. >> nasa, it's gone! >> reporter: the democrats have gone to great lengths, using metaphors to make their case against the shutdown. >> you do not hold people hostage. >> american people, this is the

gop. we have your economy. >> the daily show even got advise from a former hostage negotiator on how to deal with a strategist. >> what is your your demands? >> can you just put the microphone down? >> it's called a megaphone. >> don't be conned sending. >> it's almost as if the metaphor has taken us hostage. from a republican congressman came this comparison. >> it's kind of like you telling cnn that you want to go ahead and you want to extend your contract for a year. and cnn tells you that you have to sign the dotted line right now. you can negotiate on the terms of your contract later. >> but it's not really that way, because congress hasn't passed my contract. >> reporter: certainly congressmen must have bugged this congressman, because he compared them to cicadas. >> they come every 17 years.

they make a strange and unpleasant noise, then they shut down. >> reporter: a metaphor tweet from think progress, a democrat read it on the house floor, likening it to republican tactics. >> can i burn down your house? no. let's talk about what i can burn down? no. you're not compromising. >> why just dress up your argument with a metaphor when you can actually dress up? rachel mad do you portrayed them as a harpooned whale. >> it turns out the crew is bunkers form the air got more poisonous when jon stewart radsed republicans for not owning up to having engineered it. >> own it. don't fart and point at the dog. >> reporter: at least we haven't had to suffer think -- independents but the wack adao crew says no, don't do it.

>> i can't stay mad at you, boy. >> reporter: jeanne moos, cnn, new york. >> the government is shut down. >> no. [ crying ] >> i'm sorry. crisis talks at the white house. and the president's concerns about image control. also shutdown outrage. members selfcongress are working out wile federal workers are doing without. new examples of a system that many find random and unfair. john mccain joins us. he's pleading with both parties to sit down and negotiate a way out of the madness. >> stop! stop attacking each other. we want to welcome or viewers in the united states and around the world. i'm wolf blitzer, and you're in "the situation room." every day, every minute, the

united states of america is getting closer to a potential disastrous double whammy, a -- on top of a partial government shutdown. president obama has been meeting with hout democrats, as he works for a way out of this crisis. he faces a much tougher crowd tomorrow when he meets with the house gop leaders, or senior leader is following all of these late-breaking developments, what is going on? >> reporter: white house officials say president obama is meeting with as many members of congress as he can before next week's debt ceiling deadline. the meeting should break up at any moment now, but the most important message this white house is getting out today is that military service members and their families are not left behind in the shutdown. >> with the administration warning of an economic catastrophe, the president is inviting every member of consequence to the white house

this week. the first group, how democrats. >> this is about the president meeting with as many members of conas he can to make sure we don't inflict severe damage. >> reporter: house speaker john boehner notified the white house republicans will send their leadership and key economiee chairmen, but not every member. a apologyr spokesman said a meeting is -- white house press secretary jay carney fired back, saying the president is disappointed, and he will talk to anyone anytime and looks forward to their visit to the white house, but will not pay the republicans ransom for doing their job. that's why the favorable of the gop has plunged to just 28% in a gallup poll. not much better for democrats at 43%. the growing public outrage explains why both parties were

moving frantically to restore death benefits with the white house announcing it was handling it administratively, as the house prepared to -- >> and that's what -- >> he was not pleased to learn of this problem, and he has directed the omb and his lawyers to find a solution. he expect to have one today. >> but the defense department warned of this painful side effect of the shutdown days ago. >> we would also be require -- just some examples, we couldn't immediately pay death gra attitudeities to those who die on active duty. >> one option, his selection of janet yellin, a move expected to calm global financial markets, at least for now. >> we've made progress, and we shouldn't do anything to threaten that progress, for these hard-won gains have made a difference to millions of americans. >> as for janet yellin, she is

widely expected -- as for -- a without official tells yen that the defense department with the military charity to provide those payments should resolve the issue. >> let's so what happens. thank you, jim acosta. on this ninth day of the shutdown, there are plenty of new reasons for americans to be outrages. what's going on on this front, erin? >> some people are starting to fill in for the government. is this what it's come to? >> it's like a golf course around here. i have over 100 hours logged in eight days. >> with the national mall shut down, charleston, south carolina resident chris cox trekked up to washington to clean it up himself. >> i bought the blower and the law mowers, and i started cutting the grass this morning.

i ended the day the citizens are the stewards of the memorials. >> hello, i'm sorry, the park is closed today. >> reporter: inside grand canyon national park, another problem. the park is closed and seasonal workers without pay are running out of money to buy food. local food banks are pitching in. >> thousands of people inside the park without food or pay. this great nation we're having have charities deliver food to people who are trapped in the grand canyon. >> reporter: back on capitol hill, the gym where members of congress can work out? open for business. it was deemed essentially for the members who voted to shut down the rest of the government. >> the electricity, the hot water, the towels, they're not provided by gym fairies. they're provided by taxpayers. >> reporter: though something want to hold onto their routine.

>> i find it ironic there's a big push to shut down the gym, where it's one of the rare places where people come together and talk about how to build relationships. there's no towel service. >> meanwhile, federal workers are getting whiplash from who is in and who is out on the essentials list. tens of thousands have applied for temporary unemployment insurance. the intelligence community, which furloughed 70% of its staff last week, decided some cia staff are necessary after all. >> thanks for your service. >> other at the nuclear regulatory commission, the money ran dry. today think furloughed thousands, with congress yet to guarantee thesis by paid for the missed work. >> take care. >> like the chron gressional ., some -- the utah national guard parent placed an order for $47,000 mechanical bull, which they say was for recruiting purposes. they have since told us they

delayed that order. the state department, the day of the shutdown, apparently awarded a $5 million during the time -- this is what "the daily mail" reported for stemware for u.s. embassies. they haven't cut the check yet and say it's a lot less. >> thanks very much, erin mcpike. still ahead, i'll speak live with republican senator john mccain and ask how he would break the painful deadload. if you have a request for the senator, tweet that question. we're also learns about early warnings that the obama care enrollment westbound side had serious problems, but the white house decided to launch it anyway. tdoor sounds ] ♪ [ male announcer ] laura's heart attack didn't come with a warning. today her doctor has her on a bayer aspirin regimen to help reduce the risk of another one. if you've had a heart attack, be sure to talk to your doctor before you begin an aspirin regimen.

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chris christie says he doesn't like obama care, but he's learneded to live with it. he's distancing himself from some of the tactics. here's what he said in a debate last night. >> if i don't agree with the law, but we comply with it, and that's the law you have as govern governor. i've enforced this one and i'm

proud of our record on health care. i think we have done a great job. more right after this. across america people are taking charge of their type 2 diabetes with non-insulin victoza®. for a while, i took a pill to lower my blood sugar, but it didn't get me to my goal. so i asked my doctor about victoza®. he said victoza® is different than pills. victoza® is proven to lower blood sugar and a1c. it's taken once-a-day, any time, and comes in a pen. and the needle is thin. victoza® is not for weight loss, but it may help you lose some weight. victoza® is an injectable prescription medicine that may improve blood sugar in adults with type 2 diabetes when used with diet and exercise. it is not recommended as the first medication to treat diabetes and should not be used in people with type 1 diabetes or diabetic ketoacidosis. victoza® has not been studied with mealtime insulin. victoza® is not insulin. do not take victoza® if you have a personal or family history of medullary thyroid cancer,

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about non-insulin victoza®. it's covered by most health plans. today the white house is standing by its explanation of the glitches, blaming it on the large number of people trying to log on. the administration was apparently warned in advance, but went ahead with the roll-out anyway. brian todd, what are you finding out? >> reporter: we're hearing of contentious meetings between insurance execs and the without, where warnings were issued that the system just wasn't ready. a short time ago, one computer data expert took us thus his own frustrations with the system. luke chung is an expert on heavily trafficked web sites, but even he is frustrated.

>> this is interesting. i just tried to log into the account i already established. >> reporter: since the roll-out, chung has been trying to only get quotes on prices, not even to enroll. error messages, slow connections, getting booted out of the system. other problems have exasperated hundreds of thousands. and now we're hearing the obama administration was warned that the online exchange can big problems. one rob andrews says he spoke with the white house. >> i spoke about things they already knew that an undertaking of this size would be very complex. >> reporter: andrews -- rob leshevsky, a consultant, disagrees. he says many of his clients had contentious meetings. >> insurance executives had been warning the administration

bluntly that this whole system is not ready for primetime. it wasn't going to be ready on october 1 to appropriately enroll people. >> reporter: but he says the white house ignored them. >> the administration didn't seem to understand the seriousness of it. they are blase about it. they continued to assure the industry that there weren't going to be any problems. >> and he says they were not about to delay the roll-out. the white house insists it listened to insurers and knew about the problems. >> everyone was aware and we told you there would be glitches. >> reporter: what they're not telling us is exactly how many people have enrolled. they say they don't know the pry precise numbers. luke chung says -- >> the data exists. i would hope the database would be able to tell you everyone who's enrolled, much less the number of people who are enroll. >> reporter: we just got off the phone with white house officials. they say they have to collect those numbers from sever

different sources, so they are sticking to a palace to release to once a month so they can ensure that accuracy. >> we've done some tallying of our own. >> we found out that 112,000 people in nine states and the district of columbia have created accounts to at least get information. that's going on ends logging on. the first reporting actual enrollments, kentucky, maryland, washington state have reported more than 16,700 people have enrolled in obama care. those are three states with actual enrollment. white house officials are insisting they are working out these glitches, working hard to streamline the problem. they at it 24/7. >> do they say when it will be perfect? >> they didn't give an indication of perfection, but say they are working hard and furiously to smooth over the glitches. >> brian todd, thanks very much. coming up republican senator

john mccain is standing by. i'll ask him who he blames for the gridlock in washington, and still time to ask a question to the senator. use the #sitroom. jpm ♪ [ crashing ]

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a mixed day on wall street after the many nominated janet yellen. the s&p 500 also inched up, the nasdaq fell slightly. fears of a possible default still ways heavily on investors. we'll have that and more when we come back. ou fifteen percent or more on car insurance. mmmhmmm...everybody knows that. well, did you know that old macdonald was a really bad speller? your word is...cow. cow. cow. c...o...w...

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nor john mccain has been venting his frustration with the failure of both sides to get into real negotiations. he's joining us live from

capitol hill right now. thanks very much for coming in. >> thanks, wolf. i know you're active on twitter. i'm active on twitter. this quinn came in from robert snyder -- what does the senator honestly believe potus -- the president of the united states -- should do to stop this from happening over and over again. senator? >> i think the first thing the president should probably do, what bill clinton did back in '9 a when we went through this kind of crisis again, before. that's to call people over and sit down and talk and talk and talk. it may not lead to breakthroughs, but you don't lead to breakthroughs unless you do have conversations. i wish he would do in in that area. >> second of all, i think the members of congress have got to understand how terribly offensive this is to the american people and also sit

down and talk with the president seriously and put literally everybody on the table. >> as you know, the democratic caulks in the house, all 200 members at the white house. the president invited all republicans in the house to come over tomorrow, but the republican leadership said only the leaders, the chairmen of the key committees should go over. was that smart? >> i don't know, wolf. it's hard for me to critique what my friend in the house of representatives do. i know they resent it a lot if i do. so i can't really respond to that. i do know if the president invited all of us together in the senate, i think it might be helpful so we could have a healthy exchange. by the way, conversations are going on today that i think are at least heading in the right direction among democrats and republicans, republicans and republicans, democrats and democrats. rarely have i seen so many

conversations going on at once. how do you resolved this? there are constituent a lot of republicans that say any deal to reopen the government fully has to includes something from obama care u well, remember, we started this on a fool ease errand, convincing so many millions of americans and our supporters that we had defund ointo mania care. which obviously wouldn't happened. now we are down to proposals such as a repeal of the medical devices tax. the reason why that's so attractions i can't. we voted by 70 to 30 roughly to repeal that tax. i think there's a number of other ways and things to look at

that have been out there on the table that i think could help us to come to a conclusion. at least we're in the same ballpark now in our conversations. >> who is to blame for that fool's errand? >> well, i think the people that convinced so many millions of americans, tea partiers specifically we're talking about, that there was some way to defund obama care. we can't. the 2012 election, at least in my campaigning us was repeat and replace obama care. it doesn't happen. i fought against obama care for 25 days on the floor of the senate. it wasn't going to happen. i think the american people -- or a lot of americans should not have been told it was possible. >> there are some republicans out there saying if the u.s. doesn't raise the debt ceiling by october 17th, there wouldn't necessarily be a catastrophe of

economic and financial ka at that time troir. what say you? >> i say that technically they may be correct, because there are tack revenues coming in, but i know some people on wall street that are telling me that the markets would react in a very, very negative fashion. not because we couldn't continue to find the government, but because we are sending a signal that our good faith and credit, at least over time, would not be something that borrowers and creditors, lenders, include the chinese, would believe that it's safe investments. so there be a clean vote in the house of representatives without any strings attached to reopen the government, just an up or down vote? >> well, i would like to see that myself. but i also, again, i really am hesitant to pile on to the

members of the house of representatives. i try to keep in mind that many ran in 2010 promising their constituents that they would do everything in their power to repeal obama care. i respect that. what i'm trying to convince them of is let's try to sit down, negotiate, get something off this, which i think we can, because i think the president and the democrats realize you don't want to humiliate your adversary. then let's get this thing behind us. the american pea are disgusted. i saw another poll that the approval rating is 5% now. that's republicans and democrats. they don't want that. republican approval ratings are going down, but so is the president's and the democrats. not as rapidly, but they are going down. so let's stop it. could i mention one thing in we focused on the death ben fits and how horrible that was.

let me give you another example. the grand canyon. one of the jewels of our national park system. people who work for the concession yars, who won't get back pay, we're now having to ship food up there. isn't that outrageous this. >> there's so much outrageous stuff going on. you point out the families of those troops who were killed in afghanistan, to come back, and at least for now the government will not pay for the funeral experiences. they'll have to go to the fisher house foundation. there's a lot going on that's pretty awful right now. thanks very much for coming in, senator. >> thank you, wolf. remember, you can always follow what's going on on twitter. tweet me @wolfblitzer. thanks for watching. "crossfire" starts right now. tonight on "crossfire", running out of time. running out of money, running

out of patient. does anyone have a solution. >> back in the '90s, the republican party and mr. gingrich respected this isn't a sensible way to do business. >> how about now? on the left, van jones. on the right, newt gingrich, in the "crossfire", democratible representative rosa delora and raul labrador, who wants the president to negotiate. is a deal in the works? is one even possible? tonight on "crossfire." welcome to "crossfire." i'm van jones on the left. >> i'm newt gingrich on the right. the president is getting his history exactly wrong. we negotiated all the way through in 1995 and 1996. that's how we got a deal. this president says he wants a deal first, then he'll negotiate? here's how he fantasized about history yesterday. >> the republican party and mr. gingrich