[captioning performed by national captioning institute] [captions copyright national cable satellite corp. 2009] >> i do not know if this is the one that is not out. see if the question is beyond that. >> for something completely different. a congressman from michigan has come back from afghanistan, and he said that he was there, they were reading the miranda rights to the high value presidents, this is now a common practice, to read them the miranda rights, this is a policy change -- policy change that shows that the administration has changed in the orientation that comes from fighting and the law- enforcement with the use of miranda rights. can you comment on that?

>> i would need more information. >> is this true? >> i have no reason to disbelieve a member of congress, but i do not know the examples. >> would it be surprising that -- would this be surprising that this was happening? >> it would not be surprising to me but i would need more information to talk about what the congress -- with the congressman has seen. i do not know if he saw the general. i am have been to look at whatever information is coming through, and i hate to speculate on the sentences off of the report. >> when you said this would not come as a surprise, what do you mean? >> i am not surprised by this.

>> you are not saying that this is being used? >> i feel like you should be reading me my rights. that is why i hope to get my lawyer. i am happy to look at what ever you have, to give you an informed opinion, based on someone with greater jurisdiction on the detainee's, this is outside of my portfolio. >> the republicans have begun to complain about a missions from the question, information that they think is relative -- relevant. this is something that they would prefer. is the white house satisfied with this, is this as complete as it will be? >> as is the case, they give

the nominees information based on what they have, going back into the record. the work that she has as a district attorney, this was a number of years ago, those files have to be taken, and anything that is not in the questioning will be provided to the committee. this is similar to -- in the case of john roberts, there were thousands of pages that were in archives, that ultimately had to be delivered after the original questions were sent to capitol hill. this is obviously something that seems to be fairly usual. >> when will this happen?

>> as soon as the information is there, with the work as a district attorney or the other information. >> use of flexibility on everything. >> this is the back spot. >> this is with the finance committee. this is a representation of what the president said, i want to make certain that this means that the president is there for the questioning and the benefits. >> the leader of the finance committee said, yesterday, he considers this a good option, to provide the financing that may not currently exist. and he said in public

yesterday, this is an issue that has been revealed in a briefing. >> he also said this one week ago and i was asked about that then. >> your information may be better than mine on this. >> iran for the presidency a few years ago, and was not a member of many committees, this is a process that you saw, the letter that was based on the principles, it would like to see health care reform and he will watch what is happening on capitol hill. >> i want to make sure if he is interpreting the president's position on this issue? >> this will be answered in the

preceding week's from this podium. the president will watch what happens and we will know as soon as this is closer to us. >> two questions, we have the 20th czar you have named. in terms of bringing these people from the outside, i want to know -- >> we do not have any special names for them. >> why not use someone who is already in the administration? >> obviously, the seven companies that we are talking about, 100 employees for each of these companies, obviously this is something that will take a great deal of time, and something that we think is better focused on by the use of

a special master. >> and the plan, you said the president is very flexible on the details, he has been specific about this and he says that he wants this to be in there. in terms of the structure, which is the subject of a lot of debate, is this owned by the government? it's the open to all the possible forms of the public plan? >> these and other questions, i appreciate the opportunity to comment on every single juncture of the legislative process -- this is something i am asked every day. we will let the process go through and have a sense of where we are going. >> organizing for america, which is important for this agenda, this is making a very strong

push for this plan, to say that this is consistent with the approach. does the public have a right to say what the general -- >> that is why the president included this, to increase choice because competition is important. in terms of the design for the exchanges, i will not do that every day. >> there is not a did that -- detail on this every day? congress set to schedule -- when they set a schedule, to do this by the end of july, the public has a very limited time for the policy implications, for what this will mean in their lives. the lawmakers say this will affect a certain percentage of americans.

does the white house need to say what will change their lives? >> i refer you to the times that the president has talked in the region spoke about this, there is a town hall meeting tomorrow that i would look forward to your network for the basis of which 100% of the americans will be able to share with the president, and those attending the meeting, their feelings on health care reform. i will see what percentage of that meeting is shared with the 100% of the public you just ask me about. the basis of your question is that all public information is good, and i can hardly wait, we will watch and see how much they

cover tomorrow. >> for the speech on monday, the president has said that if you want health care, you can keep this, but he has not spoken to the doctors, the doctors are concerned that the reimbursements will be cut, there is the rising cost of malpractice insurance. what will we be hearing from the doctors? >> whether there are specifics about hospital reimbursements, what amount practice, this is something that has been spoken about, obviously, health care professionals and doctors are as

important as anyone in the delivery of health care and the process of health care, the president has spoken about this and he will talk about this in his case for reform, and we have heard people talking about this, how to improve the way that health care is delivered, the steps that we will take as part of the recovery, to make this more easy and cost- efficient. these are the things that we will hear tomorrow. >> and we will hear this with the reimbursements? >> i have not seen a draft, to see if those specific topics will be covered. >> the president, five days ago, -- he say anything to you, that the visit may get people

thinking about the holocaust, or the issues, and there may be a backlash like from the person at the holocaust museum? >> obviously, for both the president and everyone who was there, this was a powerful reminder of the horrors that we saw not too long ago. but without having a conversation with law enforcement, and the circumstances about what happened, i would hate to connect any thing. >> is there a candidate in the elections in iran that are most conducive to engagement? and how does the white house interpret the outburst of campaigning to the elections?

>> the president, he obviously believes that the fair elections and the task of democracy in choosing your own governments is tremendously important, this is not just that, this is how they react. there was an increase in activity and the turnout, related to the elections, we will wait and see what happens. >> as the president have anything to say about the closing of the clinic run by george tiller? >> i do not know.

>> newt gingrich says the media has to pretend that joe biden knows what he is doing? >> should i speak on behalf of the elite media? the vice president is among the most trusted advisers that the president has, in the role that he plays is very significant, from his efforts to implement the recovery plan, through the efforts on foreign policy, we are grateful to have him, as the country is for his service. >> when you briefed the president, did you have any information about the suspect? >> this was, about one out of

55, 2:00. all that i knew was, somebody had gone in with a gun, shot at the security guard, the individual was fired at, the individual was 89 years old, or 90 years old. i did not have the age when i was talking to the president. i assume he has been given more updates. if there is information -- >> 90 years old? >> that is what i have seen on the way out, the age of the gunmen who entered the museum. i saw this on television, i have not been on the e-mail or

blackberry. >> did you have an indication that this was a hate crime? >> at that time i was just giving the facts. >> the new leader of general motors said that he does not know anything about cars. i think the business principles of the same. what would you say to anyone that the -- who was alarmed that he does not know about cars, and you look at this as a virtue? >> the one company that we have not spoken about, in receiving assistance or asking for assistance is ford motor co., the leader came from boeing. . the idea that you have to come

from the auto industry to change the management mindset, or to make tough decisions, in restructuring the company, this is what the task force was looking for and what the american people are confident for, we found someone exhibiting the toughness, with experience running a company, of the size that general motors is. and the craze has been universal for mr. whitaker, since we have announced his name. if you look at the experiences of the companies, that we have spoken about, the company that we didn't talk about, the prior experience in the car industry is not required, what is

required is someone with big business experience, that can change the management culture and make the tough decisions to put this on the pathway to viability. thank you. >> a bipartisan commission on wartime contract in said that operations in iraq and afghanistan created opportunities for waste and fraud and abuse. topics on washington journal include the automobile industry, oil drilling, and republican oil lot -- oil registration. -- legislation.

and the house will open at 10:00 eastern, and will work on pakistan legislation. live house coverage on c-span. >> later this morning, the ceo of bank of america will testify at a hearing looking into the acquisition of merrill lynch. this included $20 billion of federal aid. watch the coverage on c-span 3, and later we will bring you a house senate conference meeting as the members work out their differences on the supplemental spending bill for iraq and afghanistan. this is at 3:00 eastern time. >> a new report says that the u.s. military contracts in system in iran and afghanistan is still susceptible to waste and fraud.

the commission on contrasting appeared before the subcommittee, this is one hour 45 minutes. >> the quorum being present the subcommittee on national security on wartime contract income interim findings and path for relook come tort. finance consent only the chairman and ranking member of e said committee be allowed to make opening statements and without objection sword. eyes finance consent the hearing record be kept open for five business days of members will be allowed to submit a written statement for the record. without objection, so ordered. good morning. i want to thank all of you for being with us here today. as i promised you, you were there and i am here, but i did have to restrain mr. shays on

that. so today the subcommittee on national security and foreign affairs is going to continue its sobersided defense spending issues. with a hearing to discuss what is becoming all too familiar issue in recent years, aways, fraud abuse and lack of accountability in wartime contract thing in both iraq and afghanistan. with hundrs of billions of dollars the united states taxpayer dollars invested in these two theaters since 2001 and more to come, it is critical we continue to strengthen our oversight in contracts in these areas. before i begin my remarks i want to address a procedural issue for the benefit of subcommittee members and the public. we did have an arrangement with the commission earlier on that we would have the report released to us and not by the press until the evening of this hearing. that did not occur, and i want to apologize to the other members on that. were about to find out why that didn't occur a we wanted to give the members in opportunity to be prepared and to ask questions of

the committee and to work on that, so we are going to find out what happened there. i still suspect members of that and opportunity to prepare themselves notwithstanding. united states reliance on contractors has reached unprecedented levels of the last eight years, reaching upwards of a court of a million contractors on the ground in iraq and afghanistan from the department defense alone. that does not even include those working for the department of state in the united states agency for international development or other agencies. it is an extraordinary number by all accounts but civilian contractors in a contract endermic elwell members of personnel related expenditures as the land the opposite trend occurred with respect to oversight. the united states national security department allowed their program oversight staff and expertise to dwindle to the point in many circumstances contractors have been hired to oversee other contractors work. report after report had identified the key need to rebuild branch oversight

capacity but as yet we have seen little to show for it. we need to fix a broken contract and oversight function in the executive branch and add to it a oversight from independent sources of congress. that was the product of efforts by several of us in congress dating back to 2005. at that time it became clear to us we needed an entity that could provide sustained over the side of wartime contracts similar to the efforts of the truman committee during the 1940's. waste fraud and abuse in wartime contracts transcends politics. oversight should not be the luxury of the divided government and languish when congressional majorities in the president share a common political party. wiesel the disasters as we initiated in prosecuted action in iraq. i have by expectations for the contract thing can accomplish and we are here to assess progress to date. the commission's interim report highlights a number of issues related to management and

accountability, logistics', secure in reconstruction efforts in iraq and afghanistan. one interesting case described in the reports as the costly construction of a duplicative dining facility at the cost of $30 million. that certainly is represented in such issues. ism portsmouth commissioner mckracken krampert others nuss in sync grading alvis i did the deed that merely duplicates the work going on by the government accountability office. we do expect to review those and synthesize them and use them to inform your work. i look forward to hearing what the commissioners finding help that we don't know about an inch shorter expect the witnesses this morning will insure us and the investment in narrative these was a worthwhile decision. we in congress as sponsors of the comish need to hear about any challenges or hindrances the commission faces in conducting its work. i'm concerned the commission will not able to fulfill its mandate without a semipermanent presence in theater and perhaps you'll feel a little bit about that today. cordy to report the commission is only taken two trips to iraq

and afghanistan. i'm concerned the current one-year mandate might above responsible government officials and contractors to wait it out. this charge is too important to suffer defeat and i don't want to see a lack of subpoena power to deter the commission from going after recalcitrant parties that that is a problem susceptively stands ready to assist the commission in regard to whatever is appropriate. the dynamic in iraq and afghanistan is changing significantly, specifically as we move to drawdown activities in iraq while the same time increasing resources and afghanistan. within this framework we must look of the mistakes of our her decision-making with respect to contracts in iraq and avoid a repeat of those mistakes in afghanistan. as we have said before lessons learned must be lessons bolles. we will need every bit of experience, judgement and resolved at our disposal to get this right. as such it is imperative the commission has every opportunity to perform its work without hindrance. so i want to take this

opportunity to thank the commissioners that are here and the rest of the members if you would be good enough to exchange debt with them and the staff for undertaking this assignment. over a month ago when i appeared before the commission on its first hearing, we noted we would be looking for to this date when we would switch seats. done write, your help safeguard the lives of our civilian and military personnel in iraq and afghanistan. done write your work will rebel the trust of the united states sade-- taxpayers to spend their dollars. those twin goals benefiting our people in harm's way in rebuilding the trust of those here, represent the bedrock intention behind accretion of the commission so thank you for being here and at this point i defer to chairman flake. >> i am pleased to be here in pleased to hear the testimony particularly from congressman shays. i know he traveled to iraq and afghanistan a couple of times, right? more than a few.

and i just am pleased that we are doing more oversight here. obviously there is never too much oversight that can be done and particularly in this area. the u.s. military base budget for the current fiscal year is more than 500 billion. congress has appropriated roughly-- for the wars in afghanistan and iraq. i king commiserate with the commission on how tough it has to be to get access to information that you need to do. i had been waiting for more than two months for competitive bidding information just on a small subset of 2008 defense contracts. on details appeared to be shrouded in mystery here. in fact, i look forward to the possibility of having someone who is knowledgeable about the pentagon's process of-- contracting process appear under oath so we can get answers to some of these questions that we have wanted answers to for a long time on the competitive

bidding process, and to that and i look forward to the witness testimony and think of the chairman again for holding this hearing. >> now the subcommittee will receive testimony on efforts panel and i would like to introduce you, if i may, mr. shays. let me introduce the panel. understand you are going to deliver remarks, is that what you are signaling? [inaudible] >> i definitely will. it never goes away, does that chris? [laughter] chris was in their comic he would always be buzzing over sharing-- [laughter] mr. michael j. thibault services the co-chairman was appointed by house speaker nancy pelosi and senate majority leader harry reid. from 2007 to 2008 mr. thibault worked at the navigant consulting and prior to that he was the chief compliance officer at younis is bedell systems. mr. thibault served as the debt the director of the audit agency report from 1973 to 2005.

mr. thibault holds a b.a. from seven ogon university and a master's apart from central michigan university. the honorable christopher shays serves as co-chair of the commission of wartime contacting and was appointed by house minority leader john boehner. from 1987 to 2009 mr. shays served in the house of representatives where he represented the fourth district in connecticut. during his time in congress mr. shays served as ranking member of the subcommittee on foreign affairs as well as chairman of the committee. mr. shays holds a bachelor of arts from principia colleges wallison nda and mpa from new york university. mr. charles deaver serves as a wartime contrasting appointed by senate majority leader harry b. pirg aliza professor university of baltimore school of law, specializes in government contracts and contract legislation. from 1993 to 1994 he has served as acting general counsel on the house of representatives, from 1984 to 1995