production of oil and natural gas, both onshore and offshore, is critical to jobs for all americans, a stronger economy, and enhanced energy >> on the economic front, the progress rehab made and the opportunity for future growth -- we have made it depends on the choices we make now. the right policy, those that create a clear, positive climate for investment, will help us realize gains in job creation and economic growth, generating increased revenues to the government. the wrong policies will put these gains at risk. for the past few years, revenues from the u.s. treasuries from these sales have decreased due to the lack of opportunity. our industry is eager to initiate new projects.

but without an adequate level of business certainty, with concerns about policies that might curtail this industry's ability to access new resources, those projects might never get off of the drawing board. companies need to know they can get access to the domestic resources for oil and natural gas and they can be developed. they need clear guidelines from policy makers of what is required in the rules for safe and reliable operations. we also cannot keep the industry on indefinite hold while the regulatory process is improved. questions linger about whether new projects can move forward. where u.s. regulatory certainty is lacking, those projects will move elsewhere. we have already seen some companies send their rigs waters

off the coast of africa and south america. they are discussing even today plans to locate their rigs places where exploration and production can continue. as these rigs leave us, so do the jobs and the revenues they can create. certainty for all energy sources will help us drive the recovery. if anything else will idle its. the way i see it, our policy makers are at a crossroads. they face two fundamental choices. one leads us forward, promotes jobs, investments, revenue, and growth. the alternative takes us backwards, threatening progress we have made and closing the door on future opportunities.

choosing the right path requires making the right choices in two critical areas. the first, is access. i have discussed what greater access to our domestic energy reserves would mean for our team -- our domestic economy. our nation will require more oil and natural gas from ---four decades to come. a lot of it will come from deep sea wells. if it does not come from here, we will import it. this is why we opposed a recent decision by the department of interior to delay the five-year plan process for offshore leasing. the placement of domestic gas off limits in areas where exploration and production are allowed. closing the eastern gulf, the atlantic, and the pacific coast

to offshore drilling and exploration and the laying -- delaying drilling in alaska's closes the door to economic growth. -- alaska closes the door to economic the moment. -- economic development. we hear much about china and how they are securing their own future. we can look at brazil, home to some of the largest offshore oil finds the the last decade, finds believed to hold as much as 100 billion barrels of oil. over the next four years, $224 billion will be invested to

double production by 2020. about 95% of that investment will stay in brazil. u.s. oil and natural gas companies stand to benefit from this development and could play a role in helping brazil meet its target. we should be increasing production here at home. we should welcome new investments and we should be creating jobs and revenue here in the united states. at a time when we are attempting to reduce the deficit and put more americans back to work, closing off the outer continental shelf development opportunities is the wrong choice. it is one we will be feeling the effects of our many years to come. the second area where making the right decision is critical is in the area of taxes. there has been significant

political debate about federal spending leavitt's levels -- carol spending levels and revenues. -- federal spending levels and revenues. u.s. oil and natural gas companies are already an important source of government tax revenues. they pay their fair share and more. our industry paid an effective tax rate of 48.4% of pre-tax net income, nearly double what other industries pay. in 2008, it paid more than $95 billion in income taxes alone. still some believe more taxes on the industry equals more money for federal programs. today, we are releasing a new economic analysis. it shows why this is not the

case. we will provide copies to each of you, probably at the door as you exit. here is what the study shows. increasing taxes on oil and natural gas actually decreases government revenue. in the long run, the negative economic consequences of higher taxes more than offset any short-term tax revenue gains. an additional $5 billion in new annual taxes, as proposed by some in the administration and in congress, could decrease government revenue by $128 billion by 2025. even worse, higher taxes could result in the loss of tens of thousands of jobs between now and 2025. in 2014 alone, it is estimated we would lose 170,000 of these

jobs. however, the oil and natural gas industry can still provide the answer the government is looking for. the study concludes that if we open areas that are currently off limits to development, we can create more than 530,000 jobs throughout the economy and generate an additional $150 billion in government revenue by 2025. what this says is that we can either take the momentum away from recovery or put it behind american prosperity. we can watch jobs and billions of dollars in federal revenue disappear, or we can welcome 500,000 new jobs and what are the $50 billion in new government revenue. the public under -- and welcome

$150 billion in government revenue. the public understands this. 54% said an increase in taxes could destroy jobs. they are right. we are ready to help this country achieve the energy and economic security it needs. to meet our fullest potential, we must be clear on the kinds of policies that will shape the american economy of the future. congress and policy makers at all levels of government make the decisions that willmerican a message last november. they want policy members focused on an agenda that promotes growth, an agenda that is focused on job creation. we want the same things. we are committed to working with the administration and the new congress to make them happen. i spend --i have spent a lot of

time talking about what could be or how the oil and gas industry is poised to do more. but imagine we were looking at at a time when we got energy policy right. and as a looking back and pointing to a new energy products -- energy projects and increase production resulting in new jobs, increased corporate investment and government revenue while continuing to improve our efficiency and environmental performance. imagine looking back and seeing a policy climate that allowed us to improve our energy security at home and enhance america's competitiveness abroad. the museum is dedicated to chronicling the most seminal moments in american history, the way we overcame challenges or define our greatness. the story of how we overcome

this challenge is yet to be written. other countries are writing bears. the development of new and additional energy sources at home and around the world plays a leading role in their emeritus -- their narratives. what we are faced with today is choosing the future we want to see, with jobs and economic growth as part of it, or the future that will be handed to us if we continue on the current course, one that involves more imports, more expensive energy, and more deficits. let's make the right choice and set the right agenda. let's get right to work on a story that we can all be proud of, one that will be chronicled here in this wonderful building

as an american success story. i believe we can. i am confident that we will. thank you for your attention. [applause] >> thanks. a challenging address. we have about 10 minutes for questions. we will plunge right in. one of the favorite indoor sports this time of year in washington among the pundits is telling the president what he should be saying in the state of the union address. by the authority invested the-- authority vested in me as a trustee of the museum, i want to make you an honorary member. with the possibility to go to

the higher level, the chatterati. what do you think the president should be talking about in the state of the union address? >> i think there are couple of things we should focus on trade with the economic reality we are facing today and what the voters said in november, it is clear they want to focus on economic recovery and job creation. the administration and congress should be focused clearly, in a laser-like way on job creation. energy is the potential to create a huge number of new american jobs. we want people to work or back to work in areas that will benefit our broader economic and help our economy recover. that is the first thing i would suggest. the other thing we should talk more about is the energy reality. we are going to require 50% more

energy around the world between now and 2020 by. we are going to need at least 13% more in just here in the united states. 60% of that energy today comes from oil and natural gas. even after the next 25 years passes, oil and gas will continue to provide over 50% of the energy the american economy will consume. we need to get away from the partisan bickering. we need to quit worrying about political advantage. we need to focus on the energy reality. when we do that, it will bring benefits for economic recovery and bring the benefits we so desire. >> that brings me to another washington-race question -- washington-phrased question.

take the woods-mackenzie report. what would be wrong for -- wrong with more access? >> do we want to discourage the economic investment in the united states? or do we want to encourage economic investment in the united states and generate significantly more revenue than you would under a tax approach. if you look at the woods- mckinsey conclusions today, it is clear. additional access in the united states result in new jobs and increases in government revenue. if we are after increasing government revenue, the way to get there and create new jobs in the process is by allowing additional access. >> we have some questions from the audience. i think you have a good teacher in the punditocracy.

this one says, well -- will brad and angelina still be together in 2020 by? >> who is that? >> let's take it to the consumer level. >> there has been a lot of talk recently about the price of diesel fuel. we are not in that business. i cannot tell you what the price will be. however, when you talk people who are big consumers of energy, they will tell you that the price of energy to their success and their well-being is a significant factor. the way for us and the issues we do have the ability to control

our the supply and demand equation. this is fundamental. the price of gasoline and diesel is driven by the price of crude oil. crude oil is traded by a world market price. it is influenced by increased demand in china and elsewhere. if we want to keep the consumer price low, we have to make sure we have adequate supply. that goes back to the fundamental question of access, job creation, additional revenue to the federal government. if you give us an opportunity, it creates uncertainty. >> another question. when do we reach the tipping point? how much time have we got in terms of the workable amount of oil in place? >> we have passed -- have v

ast supply of oil and gas globally. what we thought we knew about the outer continental shelf, particularly in the central and gulf inter continental shelf, we have produced much more than we thought was there. we need to do surveys to figure out what that resource is. i mentioned north dakota. it is a stake, one of the few, where the unemployment -- a state, of the few, where the unemployment rate is under 6%. it has about has4.30--4.3 -- it has 4.3 billion barrels of oil. i do not know if there is a

tipping point. >> the clean air act gives almost unlimited power to the epa. the supreme court authorized the epa to regulate co2. should we amend the clean air act to take away some of the epa power to control energy policy? >> energy policy should be developed in a comprehensive way. unfortunately, we have failed to do that. former chairman johnson has tried to develop a comprehensive policy. we need to continue to do that. let me touch on what i think questioner was after. we do not strongly oppose the epa unilaterally regulating greenhouse gas emissions. we believe it is in the purview

of congress to decide when and how greenhouse gases should be regulated. the clean air act was never thought of or created to regulate greenhouse gases. that has created a lot of uncertainty. that is the reason the epa is proposing to change the provisions of the clean air act through regulatory processes. it was never caught up to regulate greenhouse gases. we think the epa should move aside and turn to the congress or direction on how they see the climate issue and when and how they should regulate it. >> we are at the end of our questions. i have your punditocracy union card with me. thank you for being here. [applause] a couple of last things as we

wind up. this is just the kind of dialogue that we wanted the newsium to have. if you want to see more about this, energy.org, is the website. we will have the media briefing. thank you so much for coming here. bill free to give me a call anytime. we have a great museum beneath -- feel free to call me anytime. we have a great museum the need here. thanks again to jack gerard. >> following the luncheon, jack gerard held a news conference with the media or just over 30 minutes. [captioning performed by national captioning institute] [captions copyright national cable satellite corp. 2011]

>> that you all for being here. we appreciate the time and attention to an issue that is significant for the country. i will let you manage it. i will be the good guy. >> what do you think should be the top priority of congress when it comes to energy in the united states? >> there are a lot of issues they should take a look at. when it comes to energy, they should focus on some of the fundamental decisions. >> week into what this program with a news update. we have multiple reports that representative gabrielle giffords had been shot and killed outside a grocery store in tucson. gabrielle giffords some of her staff were holding a conference on your corner event when an unidentified man ran up and started shooting. a number of reports are coming

in citing 12 other people have also been injured with unconfirmed reports of fatalities, possibly as many as six people killed. the congress what it was shot in the head. she was taken -- the congress will act -- congresswoman was shot in the head. she was taken to the nearest medical facility. she was serving her third term and was reelected in november. representative gabrielle giffords shot outside a safeway in tucson. we will continue to bring the updates as they become available. >> it is an opportunity to create 84 all americans. >> speaking of jobs, unless i

miss hurt you, did you not indicate you felt canadian oil sales could produce 340,000 american jobs? could you explain to us how that would unfolds? >> canada is our number one trading partner. the vast majority of what they produce comes to the united states. when they expand their oil reserves in canada, much of that will be sent to the united states. recent economic analyses showed that we could create 340,000 jobs in the united states by the year 2015. over the next three to 5 years,

we have an opportunity to be a significant economic engine to help stimulate the recovery. these are well paying, highly saw after in jobs. what we need is political will. >> why are gas prices rising right now? what is your prediction for 2011? >> we have no position -- no prediction when it comes to gas prices. we did not speculate on that. gas prices relate to crude oil. the pressures on crude oil are due to demand around the world. the price of crude oil is set on a global basis. you look at the the men coming out of china and other places and, hopefully, increased demand coming from the united states based on our economic recovery. it is the simple law of supply

and demand. the experts are telling us that by 2035, we will need 50% more energy than we produce and consume today. that is the big number. in order to achieve that, we are going to have to get started today. these are multi-billion dollar investors. we need certainty today and the political will to provide that opportunity. what we can contribute long-term to benefit consumers and keep the prices where we would prefer them to be is to do our part to continue to bring supply to the equation. >> do you think this year will be a difficult year for consumers? >> i do not know how to predict or a judge that. >> moderator?

>> the first question comes from anthony. >> your question? >> someone else in the audience? >> what are the chances that none will be started this year? >> we hope the department moves more quickly than it has in putting us back to work. we thought the moratorium was a necessary to improve safety. they approve meant -- the approval process has been delayed.

there have been no deep water well permits issued in the gulf of mexico following the moratorium. i cannot predict how it will happen. rests with the regulators at the department of the interior. the industry is doing whatever it can to put the industry back to work to produce the oil and gas the country needs as quickly as possible, particularly to put those people back to work who have been put out of work as a result of the moratorium. >> you said earlier in your speech that you --what are you going to do other than wait on congress to act on this? >> we believe it is not the world of the regulators to regulate >> we believe it is within the purview of the

elected officials in the congress to make a determination of when and how they will regulate greenhouse gases. we are continuing to advance our educational efforts. the impact of the regulatory environment has been estimated to be huge. job loss and adverse economic impact has been brought to our economy. we believe it is something that the legislators should look at. the clean air act was never designed to regulate greenhouse gases. we believe it is important to put it back in the purview of the congress and let congress make that decision. we will work to that end. >> thank you for launch. do you believe yesterday's announcement about using regulatory pathways is a concession by the

administration? do you think they are starting to feel the heat? >> the announcement yesterday was a positive step forward, but it was only one piece of the puzzle. the announcement was clarity as to how much of an environmental review would be required. it was operating prior to the moratorium. we are pleased with that clarity, but it all the answers one question. what to keep your eye on should be how many deep water permits have been issued. it is important we put our people back to work in the gulf of mexico. 1/3 of the oil produced in the united states comes from the gulf of mexico. 80% of the oil produced in the gulf of mexico comes from deep water. we need to increase our reliance

on other forms and sources of energy. we believe the best solution is to develop resources for all americans. >> i was wondering if you have any concerns that the decision on the keystone pipeline might be delayed. >> that issue goes back to the potential for job creation in the united states and canada. we hope it is not delayed. there has been an adequate study. we believe it should be approved. once those approvals are made, the industry will move quickly and the countries will move quickly to create some of those 340,000 jobs that are estimated at a result of expanded oil drilling coming from canada.

>> next week the national oil spill commission is going to come out with their findings and recommendations. almost certainly one of their recommendations will be the creation of some kind of independent, separate entity along the lines of what the nuclear industry has. during the hearings, they made it clear that they do not think [unintelligible] because of lobbying activity. what do you think of that recommendation? do you support it? >> immediately following the spill, the industry put together the best known experts in the world and develop task forces to address these issues. what can we do as an industry to elevate the performance of the broader industry across all segments when it comes to safety

performance. we moved quickly to address fundamental safety issues. i have met with the commission as an some of their staff and we have talked about these issues. the american petroleum institute was originally established and started in 1924 to develop standards for the broader industry. since that time, we have been accredited by an independent third party to make sure what we do is independent and what we do is transparent. we do not want to second-guess what the commission might conclude. we have had those conversations. as an industry, we are working and moving down the road. the case moves faster -- i hope the case moves faster than the nuclear industry to develop a safety program. we have had conversations about it with the highest levels of

industry and we are moving forward quickly. let me make one other comment. the nuclear industry model was a success in one regard. it dramatically improved safety. we have not built one nuclear plant in this country since then. now we are talking about the need for it. we have to look how these -- look at how these proposals affect our industry and how it will affect how we perform in the safety area. we have a long performance track record. that job will never be done. it will always be the priority of the oil and gas industry. >> a lot of what you talk about is what we have seen in washington over the last two years. we are going to see offshore issues.

we will probably see an anwar hearing, it could be like the spring of 2001. what has changed and what has not? in many ways, this is the same debate we have been having with the last two zero decades. -- the last two decades. >> this country will need oil and natural gas well into the future. we need to gauge the debate and put aside the partisan issues and say, what do we do to it bans the best interests of this country to restore our economy, create high-paying jobs, and generate additional revenue for the federal government. the woods mackenzie report is significant. it takes two approaches. what happens if you impose

additional taxes on the industry? and what happens if you provide additional access? the clear winner is additional access and increased revenue for the federal government. if he attacks that and take the revenue from the industry, you discourage the investment necessary to create the jobs and generate the revenue. in some ways, we are going back to be future. the underlying issue is the energy reality of the united states. oil and gas provides 60% of the energy we consume. it is going to be required to -- we are going to be required to provide 50% of it 20 years from now. >> other than what you have talked about here, what should congress do, other than oversight, to benefit the oil

and natural gas industry? >> the direction congress should take will largely come out of some of the oversight conversations. what does it mean to delay the next five-year plan? we believe we will have to live with the adverse consequences of that for many years to come. our hope would be that we would be able to sit down on a bipartisan basis with the administration and work through this injury reality equations. the reality is the moratorium on the outer continental shelf was lifted after a short and intense debate surrounding the price of gasoline. we we need to get back to what it is going to take to create these high-paying jobs, generate the revenue we are capable of doing, and focus that outside the realm of partisan bickering. we hope that in sitting down and working with congress and the

administration, we can formalize those issues. we should not have to go elsewhere for our energy resources. we have vast amounts here. we will continue to use oil and gas. the question is, where will we get it. we are on the second phase of the compensation. we should stay focused on what they compensation means. we should have an open dialogue with congress and the administration and then decide what necessary legislation might be required. >> just to follow up on that, if the administration cannot be convinced to allow drilling in the eastern gulf and subscribe to your drilling plan, would you support or urge lawmakers to include language in the interior department's spending bill to open those areas? >> that would be an option that could be look at.

that is an option that is always out there. our hope is that we can look long term at the five-year plan and work with the department of interior and develop a long- term planning process that allows us to develop american resources. fundamentally, that would be the best outcome. others may resort to legislating solutions. the fundamental position of taking the pacific, the atlantic, and parts of the eastern gulf of of the table will clearly have adverse impact on our economy and our ebay -- our ability to produce the oil and gas we need. been done option has before. it is the only way -- the clean option has been done before. it is the only way you can resolve it. >> shouldn't we be concerned

about the large portion of oil on the global market and how it is going to affect us? china is obviously taking a huge portion of it. >> we should be concerned and we should be focused on those energy realities. unfortunately, we have not had a debate around that. if you look at the global economy, as i mentioned earlier, we will need 50% more energy over the course of the next 20 years. where is that going to come from. we have the ability in the united states to create large amounts of energy. we just need the political will to do it. china should be part of that conversation, the broader

global of recession. there are big consumers, india, and the list goes on. today, we have not had the political will to think seriously about the energy reality. the one thing i police had -- i believe has changed is that the public gets it. after it took us a when they rose up and said, prices are beginning to increase significantly and we are sitting on large amounts of our own energy. the public said, develop our own domestic resources. if we get to a point when the pressure continues to rise, the public will engage the debate in a serious way and will remind those who are elected to reactors -- to represent them that we have the opportunity to create jobs and increased revenue. we can do it on american soil with american workers and pay them an increased taxes. >> on congress, what does api

think congress should do to address climate change? >> congress will be a secondary issue -- climate will be a secondary issue. the election in november showed that americans want congress focused on one thing, job creation. the climate discussion will likely be put off for another day. it was to be introduced as part of an energy conversation, we will see as things began to unfold. the leadership in the house and the senate expect the issue to be put on the sidelines for the time being as a focus on job

creation. >> dave michaels with "dallas morning news." in the last congress, the industry [unintelligible] a federal regulation. how much of that was extinguished? what role is the epa going to play? >> as you have heard here today, increased reserves in the united states are a true american success story. it has occurred over the past decade. there are those who would like to regulate it differently than the industry would. hydraulic fracturing is

regulated at the state level. we support the federal regulation of it. it is the appropriate place to regulate it. the epa is currently doing a study that try to conclude that it is --clued -- tried to conclude if there was scientific evidence about hydraulic fract uring. epa should conclude their study. we are working with individual texas, pennsylvania, west virginia. it is appropriate to regulate

that at the local level. we are working with local regulators to achieve that. >> you mentioned that your initial concern with congress was speeding up the permitting process. how do you see influencing that? >> we have a continental shelf development issue. we have to increase the dialogue with the new congress and the administration to conclude if there is the ability to develop something moving forward. after that, i think decisions can be made as to what else can be done. clearly, it is something we should do. it is in the best interest of the nation and our economic recovery. we have to set aside partisan differences and focus on what the voters said in november. we have to focus on job creation

and economic recovery. the oil and natural gas industry is a huge economic engine. we could do even more given the right opportunities and certainty. as the the various reports have shown, there is potential to create hundreds of thousands of new jobs given the right access and the right circumstances in the united states. i mentioned earlier today that some of you will be surprised to know that in 2004 and 2007, the oil and natural gas industry created 2 million jobs here in the united states. we are a huge economic powerhouse. we continue to be so. we can contribute to a fast economic recovery if given the right opportunities. >> you mentioned the three mile island incident and how it was a setback to the nuclear industry.

how much of a setback was the bp oil spill to the well and gas industry? >> i will tell you that the industry moved quickly with a free view, self scrutiny to determine what we could do better. it has moved quickly working with regulators and others. a lot of what you see coming out of regulation came from us working to improve safety and our performance. history will eventually judge the outcome of the impact of the bp oil spill. i will tell you that the general public believes it was an isolated incident. when you look at the experience

of the industry, we have been in the gulf war over 65 years. we have drilled over 42,000 wells. this was a rare incident. we will figure out how history besides the impact of the gulf spill. industry is laser focus on safety and getting our people back to work. >> in terms of the five-year plan that the administration announced in december, there are restrictions but - restrictions put out in march. >> when you say restrictions, what are you talking about? >> in march, before the bp oil spill, it wanted to expand

drilling. now they want to restrict it. bp is the reason for that. how are you want to change that? >> recently, they made an announcement that they would contract and pulled back. we believe the energy reality is going to require the united states to look for other forms of oil and natural gas on the inner continental shelf. we will continue to meet and ask the administration to take look. they announced a program where they will begin a discussion. the ndp reality needs to enter more into that conversation. we need to look more closely at what we are going to need now and well into the future to sustain the vast [unintelligible]

we have in the future. we may find a middle ground that will allow us to develop energy we need for the nation. teaching -- >> you agent where you believe the climate issue will go. do you believe -- you mentioned where you believe the climate issue will go. do you believe it should be a secondary issue? >> many had to step forward and oppose what was being done in the waxman bil. bill. right now, congress is focused on a jobs creation agenda. we as an industry is focused on a job creation agenda. there may be a time in the

future when we come back to a climate dialogue. as i hear the white house and congressional leaders, that will not be in the near term. >> do you believe there is anything at stake with putting the climate issue on hold? >> it is a question of priority. the american people have made clear that what the priority to be on job creation. it is something we can make a significant cause addition to as an industry. >> the president and some leaders in congress have said they want to tackle in a deposit in china. what you have described in the report today paint a broader picture in the energy policy. are you going to be satisfied if they just tackle a few of the smaller pieces? if so, which pieces do you think should come first? >> strategically, it should be

done in a comprehensive way. if they decide to do it a piece at a time, i will leave that to those on capitol hill. one of the areas they need to address is the development of oil and natural gas resources here in the united states, particularly those controlled by the government which the government can make decisions as to whether we have access to them. what it is handled in a comprehensive way or in pieces, we will see how that unfolds. maybe it will be on the agenda in the middle of the year. >> thank you for taking my question. you mentioned taxes imposed on the industry and stop creation. what tax issues will be off of the table because the republicans will be in charge?

what tax issues were off the table? you make comments that there were particular tax initiatives. >> you are talking about revisions. fundamentally -- >> what do you think will be off of the table? >> it is a fundamental question. what drives the discussion. what drives those who feel the need to impose additional taxes on the oil and gas industry. generally, it is driven by the need for revenue. if revenue is the issue, let's go where revenue can be found in the oil and gas industry. that is in the development of new resources. we can complement that with new job creation. the mackenzie report concludes

that that will be more significant than it they impose additional taxes on the industry. we need to encourage the development of our resources, not discourage it to go elsewhere. these investment dollars will find their way to edit the project. the question is will they find their way to u.s. energy projects? we believe the way to do that is to provide access and to allow the economic activity to generate to did it happen to the federal government? in 2008, the industry contributed over $20 billion as a result of bonus bids and rental fees for access to the outer continental shelf. some of these will generate hundreds of billions of dollars. that is the way to generate revenue. it is a clear alternative to the

approach being discussed. >> can you elaborate on why your organization or the industry at large has been reluctant to embrace -- perhaps it is redundant. >> i do not want to speculate as to what the commission will conclude or not conclude. there are a lot of different models for safety programs. we had a responsible care program, which was similar, but was what -- was run differently. as an industry, we have reviewed all of the models that we could find that we believe were effective in creating a culture of safety, or an improved culture of safety. we believe the best approach for

the oil and gas industry is customize in the way we do our work and the way we go about drilling wells in different places and at different times. we believe a safety policy the industry would come forward with have to manage risk that is associated with safety programs. what we are trying to do is find the best of all programs and adapt that to our industry to continue to promote safety as a top priority. >> last question over here. >> you mentioned this will be a back burner issue for congress, but at the same time stopping epa regulations is a priority. is there a message for congress to do that. what does it look like to encourage them to take action on that front?

>> we believe, as i mentioned earlier, it should be the product of the elected officials to determine greenhouse gas emissions. we will support the moves necessary to make sure congress ultimately makes the decision. the clean air act was never designed to regulate greenhouse gases. the epa has overstepped its bounds in attempting to go much further than the clean air act allows them to go in changing greenhouse gas regulations. we need to have a conversation. we need to let the elected body beside the impact of such a far- reaching policy. greenhouse gas regulation has the potential to be one of the most far reaching, impact 0 policies ever adopted by the united states congress.

-- far reaching impactful policy is ever adopted by the united states congress. it should be decided and determined by those elected to legislate. >> you can follow up with us online. you can go to www.energytomorrow.com. thank you again. >> thank you.

>> there are conflicting reports about whether gabrielle giffords has died. there are reports that say 12 other people have also been shot. they were holding a conference on your corner event when an unidentified man walked up and started shooting. the congresswoman was shot in the head. she was taken to university medical center in tucson. the gunmen was tackled by a bystander and taken into custody. representative giffords is 40 years old and is married to an astronaut. a spokesperson for the hospital said nine others were brought to the same hospital. most of them are in critical or

serious condition. again, gabrielle giffords and possibly as many as 12 others, shot outside a >> defense secretary robert gates outlined tens of billions of dollars in potential savings with the pentagon budget, part of an ongoing effort to slow the growth of defense spending. he and mike mullen spoke with reporters for just over one hour. >> the chairman brought a book with him. [laughter] >> it is to read along. >> good afternoon. first, i want to take a moment to announce that i am recommending to the president of the nomination of general martin dempsey to be the new army chief

of staff, replacing general george priest -- casey. he was previously acting commander of central command. he also led the multinational training effort in iraq, and commanded the first armored division in baghdad. he is scheduled to finish his for later this spring, and we obviously will have more to say at that point about his nearly four decades of dedicated service to the army and to the country. today, i'm announcing a number of decisions and measures that mark the next major step in the reform agenda. first, i will provide an update on our efforts in the department as a whole to generate efficiency savings by reducing overhead costs, or pulling access or troubled programs. second, i will summarize the substantial even as --

investments that the department will be able to make in programs, investments made possible by the savings identified by the service leadership. third, i will describe how these reform- -- efforts will make it possible to protect the size reach and fighting strength, despite a declining rate of growth, and eventual slackening of the defense budget over the next five years. i believe it is important to present some -- presents each info, so my opening remarks will be long. i want to thank you for your patience in advance. copies of the statement will be brought out briefly. i want to emphasize, while america is at war, it is important not to repeat the. -- the mistakes of the past by making drastic and ill-conceived cuts.

at the same time, it is imperative eliminate wasteful, and unneeded spending to make every defense dollar so count. as a reminder, the last two budgets have reformed and rebalance priorities, curtailing or canceling troubled or access programs that would have cost over $300 billion it seemed to completion. at the same time, we -- this follows the overall approach to budgeting accepted by the president. hughes precious taxpayer dollars to invest in key priorities, while cutting or reporting programs that are outdated or ineffective. at this point, i should note the failure of the congress to pass the appropriations bill for fiscal year 2011.

operating at significantly reduced funding levels, under a continuing full year revenue this resolution would causist apartment severe problems, likely for telling us -- curtailing as. last rain in recognition of the fiscal pressures the country is facing, we launched a comprehensive effort to reduce overhead expenditures. the goal was, and is, to sustain the u.s. military's size and strength over the long term by reinvesting those efficiencies savings and other key combat capabilities. they were instructed to find a least $100 billion in savings said they could keep and shift to higher priority programs. undersecretary ash carter also launched an effort to get better value and results in the contracting arena for defense goods and services. then, in august, i announced a set of initiatives aimed at

reducing overhead costs and improving efficiency across the department as a whole, with special attention to the massive headquarters and support bureaucracies outside the four military services. first, the military department savings. to achieve the savings targets set last year, the uniformed service leadership conducted a thorough and vigorous scrub of our military's bureaucratic structures, business practices, modernization programs, civilian and military personnel levels, and associated overhead costs, identifying savings that totaled approximately a hundred billion dollars over five years. the air force proposed efficiency measures that will total some $34 billion over five years. among those proposals are consolidating two air- operations centers in the united states and two in europe, consolidating three numbered air force staffs, saving $500 million by reducing fuel and energy consumption within the air mobility command, improving depot and supply-chain business

processes to sustain weapons systems, thus improving readiness at lower cost, and reducing the cost of communications infrastructure by 25%. 25&. -- the army proposed $29 billion in savings over the five years. these include reducing manning by more than a thousand civilian and military positions by eliminating unnecessary task forces and consolidating six installation-management commands into four, saving $1. $4 billion in military construction costs by sustaining existing facilities, and beginning consolidating the services' e-mail infrastructure and data centers, which should save $500 million over five years. the department of the navy proposed savings of more than

$35 billion over five years. some of their measures include reducing manpower ashore and reassigning 6,000 personnel to operational missions at sea, using multi-year procurement to save more than $1. 3 billion on the purchase of new airborne surveillance, jamming and fighter aircraft, disestablishing staffs for submarine patrol aircraft and the destroyer squadrons plus the staff of one carrier strike group. the navy also proposes to disestablish the headquarters of second fleet in norfolk. during the cold war, this command had distinct and significant operational responsibilities. today its primary responsibility is training and mission preparation, a function that will be transferred to the navy's fleet forces command. this change would affect approximately 160 military positions, and no ships will depart norfolk, as a result. now let me turn to dod-wide savings. we also examined how the department is staffed, organized and operated as a whole. special attention was paid to those dod headquarters, administration and support elements outside the four

services -- the office of the secretary of defense, the joint staff, the combatant commands and the defense agencies and field activities -- all of which have seen significant growth in budget, staff and contractors over the last decade. this effort, combined with a government-wide freeze on civilian salaries, has yielded about $54 billion in additional savings over the next five years, savings that include, with some very limited exceptions, a dod-wide freeze on the number of civilian positions. several actions do not require budgetary approval, and we will begin implementation immediately. first, reforming how the department uses information technology, which costs us about $37 billion a year. at this time, all of our bases and headquarters have their own separate it infrastructure and processes, which drive up costs and create cyber- vulnerabilities. the department is planning to consolidate hundreds of data

centers and move to a more secure enterprise system, which we estimate could save more than a billion dollars a year. at the same time, i'm not satisfied with the progress we've made in this area since august, and expect to make a follow-on announcement with a specific plan of action by next month. second, as i've said before, this department has become far too reliant on contractors to perform functions that should either be done by full-time employees or in some cases to staff activities that could and should be discontinued. as a result of the reviews conducted since august, several dod components are moving ahead with significant reductions in contractor staff support. for example, osd's policy division and acquisitions, technology and logistics office between them will cut nearly 270 contractors, the defense tricare agency more than 780, and the missile defense agency more than 360. overall, we will cut the size of the staff-support contractor

cadre by 10% per year for three years and realize nearly $6 billion in total savings. third, since the beginning of this fiscal year, which began october 1, we've been operating under a freeze in the number of positions, with very limited exceptions, such as the acquisition workforce within the office of the secretary of defense, the defense agencies and field activities and the combatant commands. these entities were also directed to conduct a clean- sheet review to rebalance resources, staff and functions within and across their components to reflect the department's most pressing priorities. the resulting review produced a number of opportunities to trim the size of the workforce, yielding more than $4 billion in savings over the next five years. i will recommend to the president that we hold to these limits in overall dod staff levels for the next three years. while new requirements may emerge that require further staff support, those needs should be met by shifting

personnel from other less important activities within the organization. fourth, in consultation with the director of national intelligence, we examined the defense department's sprawling intelligence apparatus. since september 11th, the u.s. government as a whole has seen a proliferation of new intelligence organizations, many that are excess and duplicative, many that are spread out among the different services, agencies, task forces of various kinds and combatant commands. based on this review, i have approved a number of changes. they include downsizing the new intelligence organizations that have grown up around a number of the combatant commands in recent years, most of which are not directly engaged in the post-9/11 military conflicts. in place of having a large, permanent, organic apparatus, staffed on a wartime level, the department will transition to an arrangement that can surge intelligence support as needed from the defense intelligence agency. the review also found that many intelligence organizations

across the department and among military services focus on counterterrorism and terrorism finance. we will consolidate the various redundant programs into two task forces located within dia. fifth, i have approved the elimination of more than a hundred general-officer and flag-officer positions out of the roughly 900 currently on the books. of those, 28 are billets that were created after 9/11, primarily for the wars in iraq and afghanistan. they will be reduced as appropriate, as major troop deployments wind down. more than 80 general- or flag- officer billets in the services, osd and the combatant commands will be eliminated or downgraded. additionally, i have directed the elimination or downgrading of nearly 200 civilian senior executive positions, or equivalent positions, out of a total of 1,400 civilian executives. the monetary savings from these reductions in senior personnel

will be relatively modest, and mostly consist of the extra staff and amenities that by tradition follow high rank. the primary purpose behind this shift is to create fewer, flatter, more agile and thus more effective organizations. sixth, and related, we looked at the department's organizational charts, command structures, force posture and basing arrangements. as announced in august, the office of the assistant secretary of defense for network intelligence and information, the business transformation agency, and the joint forces command (jfcom) are the process of being eliminated or disestablished, with a reduced number of their most essential functions transferred to other

organizations. in the case of jfcom, we have identified a number of missions since the august announcement that should be retained in the norfolk-suffolk, virginia area. we are still refining the details, but expect that roughly 50 percent of the capabilities under jfcom will be kept and assigned to other organizations. and seventh, another area of focus was european command. based on our review, it is clear we have excess force structure in europe. we are looking closely at alternative courses of action, but none would be implemented before 2015 or without consulting with our allies. it is also no longer necessary to retain four-star service component headquarters for the army, navy and air force in european command, each of which is too large and too senior given the number of troops they lead and the military operations they oversee. these commands will be reduced to the three-star level, with concurrent streamlining in the headquarters and personnel staff. the change to u.s. navy europe will take place over a longer period because of that command's unique role in the nato transformation effort. eighth, we are eliminating nearly 400 internally generated reports that over the years have consumed vast amounts of staff time and energy, often to produce documents that are of questionable relevance, value, and in many cases have been

rarely read. nearly a third of the total reporting requirements originated decades ago, and in some cases date back to the 1950s. overall, this reduction in dod's reporting -- internal reporting burden -- about 60% of all non-statutory reports -- when coupled with the reduction in funding for studies represents an estimated $1. 2 billion in savings over the next five years. i'm also instructing that, effective april -- in april, the requirement for any internal report with a commissioning date prior to 2006 will be canceled. furthermore, starting in february, every report must include the cost of its production. for all of these dod-wide initiatives, a major objective beyond creating monetary savings is to make this department less cumbersome, less top-heavy and more agile and effective in the execution of its responsibilities. my hope and expectation is that

as a result of these changes over time, what had been a culture of endless money where cost is rarely a consideration will become a culture of savings and restraint. i'll now turn to some of the significant program decisions included in the hundred billion dollars identified by the services for reinvestment that will be incorporated in the fy '12 budget request. given the variety and complexity of the threats america faces, we need a portfolio of affordable and versatile military capabilities that can be produced on a reasonable schedule and in sufficient quantities. so at the same time the military services are digging -- were digging deep for excess overhead, they were also taking a hard look at their modernization portfolios for weapons programs that were having major development problems, unsustainable cost growth, or had grown less relevant to world -- real-world needs. as a result, the army has

decided to cancel procurement of the slamraam surface-to-air missile. the army leadership also recommended terminating the non- line-of-sight launch system, the next-generation missile launcher originally conceived as part of the future combat system. the joint strike fighter program received special scrutiny, given its substantial cost, ongoing development issues, and its central place in the future of u.s. military aviation. in short, two of the jsf variants, the air force version and the navy's carrier-based version, are proceeding satisfactorily. by comparison, the marine corps' short take-off and vertical-landing variant is experiencing significant testing problems. these issues may lead to a redesign of the aircraft's structure and propulsion, changes that could add yet more weight and more cost to an aircraft that has little capacity to absorb more of either. as a result, i am placing the stovl variant on the equivalent of a two-year probation.

if we cannot fix this variant during this time frame and get it back on track in terms of performance, cost and schedule, then i believe it should be canceled. we will also move the development of the marine variant to the back of the overall jsf production sequence. and to fill the gap created from the slip in jsf production schedule, we will buy more navy fa-18s. today, i'm also announcing my agreement, with the recommendation of the secretary of the navy and the commandant of the marine corps, to cancel the expeditionary fighting vehicle. ehind what i know will be a this program is of great interest to the marine community, so i'd like to explain the reasons behind what i know will be a controversial decision. the efv's aggressive

requirements list has resulted in an 80,000- pound armored vehicle that skims the surface of the ocean for long distances at high speeds before transitioning to combat operations on land. meeting these demands has, over the years, led to significant technology problems, development delays and cost increases. the efv, originally conceived during the reagan administration, has already consumed more than $3 billion to develop, and will cost another $12 billion to build, all for a fleet with the capacity to put 4,000 troops abroad -- ashore. to fully execute the efv, which costs far more to operate and maintain than its predecessor, would essentially swallow the entire marine vehicle budget, and most of its total procurement budget for the foreseeable future. to be sure, the efv would, if pursued to completion without regard to time or cost, be an

enormously capable vehicle. however, recent analysis by the navy and marine corps suggest that the most plausible scenarios requiring power projection from the sea could be handled through a mix of existing air and sea systems employed in new ways, along with new vehicles, scenarios that do not require the exquisite features of the efv. as with several other high-end programs cancelled in recent years, the mounting costs of acquiring this specialized capability must be judged against other priorities and needs. let me be clear. this decision does not call into question the marines' amphibious assault mission. we will budget the funds necessary to develop a more affordable and sustainable amphibious tractor to provide the marines a ship-to-shore capability into the future. the budget will also propose funds to upgrade the existing amphibious vehicle fleet with new engines, electronics and armaments to ensure that the marines will be able to conduct ship-to-shore missions until the next generation of systems is brought online. finally, for some time, i've spoken about the department's

unaffordable health costs, and in particular the benefits provided to working-age retirees under the tricare program. many of these beneficiaries are employed full-time while receiving their full pensions, and often forego their employers' health plan to remain with tricare. this should not come as a surprise given that the current tricare enrollment fee was set in 1995 at $460 a year for the basic family plan, and has not been raised since. during this time, insurance premiums paid by the private sector and other government workers have risen dramatically. for example, the fees for a comparable health insurance program for federal workers costs roughly $5,000 a year. accordingly, with the fiscal year 2012 budget, we will propose reforms in the area of military health care to better manage medical cost growth and better align the department with the rest of the country. these will include initiatives to become more efficient, as well as modest increases to tricare fees for working area -- working-age retirees, with fees indexed to adjust for

medical inflation. potential savings from these initiatives could amount to nearly $7 billion over the next five years. so now let me turn to the areas -- having identified $100 billion in savings in the services, let me turn to the areas where they are now going to invest those savings from overhead and weak programs. to recap, approximately $100 billion was identified by the services through shedding excess overhead, improving business practices or troubled programs. another $54 billion in savings was generated by dod-wide overhead efficiencies and freezes and civilian positions and salaries. of the $100 billion identified by the military departments, approximately $28 billion will be used over the next five years by the army, air force, navy and marine corps to deal with higher than expected operating costs. these costs include health

care, pay and housing allowances, sustainment of weapon systems, depot maintenance, base support and flight hours and other training. frankly, using these savings in this way was not my original intent or preference, but we have little choice but to deal with these so-called must-pay bills. and better to confront them honestly now than through raiding investment accounts later. nonetheless, the military services' reform efforts have left them more than $70 billion from overhead and program savings to spend on high- priority military capabilities, funds that would not otherwise be available. i'll now summarize some of these new areas of investment. for the air force, this process made it possible to buy more of the most advanced reaper uavs budget.portantle need going forward, advanced strike and reconnaissance

move essential intelligence, surveillance and reconnaissance programs from the temporary war budget to the permanent base budget. going forward, advanced unmanned strike and reconnaissance capabilities must become an integrated part of the air force's regular institutional force structure. the air force will increase procurement of the evolved expendable launch vehicle to assure access to space for both military and other government agencies while sustaining our industrial base. the air force will modernize the radars of f-15s to keep this key fighter very viable well into the future. and it will also buy more simulators for joint strike fighter aircrew training. finally, a major area of new investment for the air force will be a new long-range, nuclear-capable penetrating bomber. this aircraft, which will have the option of being remotely piloted, will be designed and developed using proven -- using proven technologies, an approach that should make it possible to deliver this capability on schedule and in

quantity. it is important that we begin this project now to ensure that a new bomber can be ready before the current aging fleet goes out of service. the follow-on bomber represents a key component of a joint portfolio of conventional deep- strike capabilities, an area that should be a high priority for future defense investment, given the anti-access challenges our military faces. the army intends to use its savings, first, to provide improved suicide prevention and substance abuse counseling for soldiers, second, to modernize its battle fleet of abrams tanks, bradley fighting vehicles and stryker wheeled vehicles, and to accelerate fielding to the soldier level of the army's new tactical communications network. the demand from ground commanders for intelligence, surveillance and reconnaissance assets continues to exceed the military's supply. in response, the military, with the army, will buy more mc-12 reconnaissance aircraft, accelerate procurement of the service's most advanced gray eagle uavs, and begin development of a new vertical unmanned air system to support

the army in the future. the department of the navy, as a result of the efficiencies savings, is proposing to accelerate the development of a new generation of electronic jammers to improve the navy's ability to fight and survive in an anti-access environment. they'll increase the repair and refurbishment of marine equipment used in iraq and afghanistan. they will develop a new generation of seaborne unmanned strike-and-surveillance aircraft. they will buy more of the latest model f-18s, and extend the service life of 150 of these aircraft as a hedge against more delays in the deployment of the joint strike fighter. and finally, the navy will purchase additional ships, over the next five years, including a destroyer, a littoral combat ship, an ocean-surveillance vessel and fleet oilers. in the area of missile defense, i'm proposing more funding for long-range defense interceptors that will support the phased adaptive approach in europe, and extend that level of protection to the continental united states.

in order to improve theater missile defenses, we will also purchase additional advanced radar systems that have been requested by combatant commanders in europe, pacific and the middle east. now, let me close with discussion of future budget projections. meeting real-world requirements, doing right by our people, reducing excess, being more efficient, squeezing costs, setting priorities and sticking to them, making tough choices -- these are all things that we should do as a department and as a military, regardless of the time and circumstance. but they are more important than ever at a time of extreme fiscal duress, when budget pressures and scrutiny fall on all areas of government, including defense. when every dollar spent on excess overhead or unneeded programs, such as the extra engine for the jsf, there's a dollar not available to support

our troops and prepare for threats on the horizon. which brings me to the president's defense budget outlook. the president's base budget request for fiscal year 2012 will be approximately $553 billion. this is some $13 billion less than we expected for fy '12 in last year's five-year budget plan that represents about 3 percent real growth over the funding the department would receive in fy '11 under the current continuing resolution and about 1. 5% real growth over the appropriations committee's defense bills for fy '11. the proposed budget plan will reduce real growth in the department's top line in fy '13 and in fy '14, and then provide zero real growth in fy '15 and '16. in all, this budget proposal anticipates a total reduction of roughly $78 billion to the five-year defense plan submitted

last year. even with this top-line reduction, we were able to adhere to the original intent of the reform initiative and permit the military services to keep and reinvest the roughly hundred billion dollars they identified for savings. so where did we come up with the $78 billion for the top-line reduction? first, the approximately $54 billion in dod-wide overhead reductions and efficiencies i described earlier in this statement, which include a freeze on all government civilian salaries. second, roughly $14 billion, reflecting shifts in economic assumptions and other changes relative to the previous five- year defense plan -- for example, decreases in the inflation rate and projected pay raises. third, $4 billion in savings to the joint strike fighter program, to reflect re-pricing and more realistic production schedule, given recent

development delays. and fourth, more than $6 billion was saved by our decision to reduce the size of the active army and marine corps starting in fy 2015. under this plan, the u.s. army's permanent active-duty end strength would decline by 27,000 troops, while the marine corps would decline by somewhere between 15,020 thousand troops, depending on the of 2014 in acch the president's strategy. of their force structure review. these projected reductions are based on an assumption that america's ground combat commitment in afghanistan would be significantly reduced by the end of 2014, in accordance with the president's strategy. ever since taking this post, now more than four years ago, i have called for protecting force structure and for maintaining modest but real

growth in the defense top line over the long term. i would prefer that this continue to be the case, but this country's dire fiscal situation and the threat it poses to american influence and credibility around the world will only get worse unless the u.s. government takes its finance -- gets its finances in order. and as biggest part of the discretionary federal budget, the pentagon cannot presume to exempt itself from the scrutiny and pressure faced by the rest of our government. no doubt these budget forecasts and related program decisions will provoke criticism on two fronts -- that we're either gutting defense or we have not cut nearly enough. as to the former, some perspective and a reality check are in order. even after the projected reductions in the active army beginning in 2015, the service'' permanent end strength would continue to be larger by nearly 40,000 soldiers than it was when i became defense secretary four years ago. and as i've described in previous speeches, when it comes to global reach and striking power, the gap between the u.s. military and the rest of the world, including our biggest potential rivals, will continue to be vast, and in some key areas will grow even wider. we must come to realize that not every defense program is

necessary, not every defense dollar is sacred and well spent, and that more of nearly everything is simply not sustainable. under the proposed budget plan, the defense department will continue to see real, albeit steadily diminishing, growth for the next three fiscal years before flattening out in the fourth and fifth year. what is important is to have a budget baseline with a steady, sustainable and predictable rate of growth that avoids extreme peaks and valleys in defense spending that can be enormously harmful to readiness, planning and financial management. this budget proposal is such a plan. it represents a reasonable, responsible and sustainable level of defense spending for the next five years. but only with the continued reform of business practices, reduction in overhead and smarter acquisitions can we execute this plan and realize the savings for reinvestment without increang risk to america's security or hollowing out our military.

this plan represents, in my view, the minimum level of defense spending that is necessary, given the complex and unpredictable array of security challenges the united states faces around the globe -- global terrorist networks, rising military powers, nuclear-armed rogue states, and much, much more. in recent weeks, there have been calls from various quarters for major reductions in defense spending, to include substantial cuts in modernization, force structure, troop levels and overseas bases. i consider such proposals risky at best, and potentially calamitous. for more than 60 years, the united states, backed up by the strength, reach and unquestioned superiority of our military, has been the underwriter of security for most of the free world. the benefits in terms of stability, prosperity and the steady expansion of political freedom and economic growth have accrued not only to our

allies and partners, but above all to the american people. we shrink from our global security responsibilities at our peril, as retrenchment brought about by short-sighted cuts could well lead to costlier and more tragic consequences later -- indeed, as they always have in the past. surely we should learn from our own national experience since world war i that drastic reductions in the size and strength of the u. s. military make armed conflict all the more likely and with an unacceptably high cost in american blood and treasure. to maintain the kind of military needed for america's leadership role requires not only adequate levels of funding, but also fundamentally changing the way our defense establishment spends money and does business. that is why it is so important to follow through on the program of reform and overhead reduction that i've spoken about today.

this department simply cannot risk continuing down the same path where our investment priorities, bureaucratic habits and lax attitudes toward costs are increasingly divorced from the real threats of today, the growing perils of tomorrow and the nation's grim financial outlook. these times demand that all of our nation's leaders rise above the politics and parochialism that have too often plagued considerations of our nation's defense, whether from inside the pentagon, from industry and interest groups, and from one end of pennsylvania avenue to the other. i look forward to working through this next phase of the president's defense reform effort with congress in the weeks and months ahead, to do what's right for our armed forces and to do what's right for our country. admiral, thanks for your patience. >> actually, i too want to thank you for your patience. i know we've got about 20 or 25 minutes, and that's actually the length of my remarks. [laughter] thank you, mr. -- actually, i'll be very brief.

thank you, mr. secretary. and i would only add that the chiefs and i are in complete support of these decisions. these were decisions that we helped the secretary make, and i applaud the process that he led. ocess. this is the second time we'vecut ien with the secretary on this, review and a more inclusive fact detailed, d teliberate and of thoughtful way and he deeper guidance. we helped craft the specifics and these are our decisions, to make. euphony service chief myself thd way it typicaly works is you get large bills of the and the rocess of forces that decision and it offers absolutely no fro maneuvering room. that was not the case here. it was avoided because the upfront work by the psychiatryhe and by the services and the wnership that we took with respect to the efficiency initiatives. i believe it is ever dhaka in ex

the military to eliminate security threats as best we cant and these reforms and budgetd es proposals helpless to exactlytat that.ing cuts the secretary is right we can't hold ourselves exempt from the g beltet tightening neither can wa allow ourselves to contribute th the debt that puts our long-term security at risk. this isn't about just cutting o, saving it this isn't about just cutting or saving, it is about readiness. not only do reforms preserve -- these reforms preserve essential capabilities, which is the highest priority of this process, but i believe will actually improve our readiness. we'll be able to do things smarter, more efficient -- more efficiently and more in line with the challenges we face in the fiscal environment that we're in. the services have been able to reinvest savings significantly

into programs and capabilities most -- that most meet their needs as they see and we see the future. finally, i want to strongly support the recommendation to nominate general marty dempsey. i don't think there's anybody more qualified, more in step with the challenges and opportunities facing our army and our military. he's an extraordinary leader with whom i've worked closely and have great confidence in him. and i look forward to working with him throughout the confirmation process. thank you, sir. >> anne. >> the budget decrease -- the cuts that you propose in the later years seem to presume that you'll need fewer troops overseas total and that you can end the war in afghanistan on time. given that that war and the one in iraq didn't -- weren't something you planned for ahead of time, and given the rise of new threats in places like yemen, somalia and the persian gulf, what assurances can you give that your successors won't come back in a few years' time and say, guess what, we were wrong, we need more money? >> well, i think that, you

know, when you're looking out five years, you have to accept the reality that conditions around the world can change. the fact is, these are relatively modest reductions. in the case of the marine corps, both general conway and general amos have talked for some time about the need -- their view that the marine corps is too large now that they're out of iraq and so on. and they have talked for some time about getting back to some between 175 -- between where they were before i increased th the marine between where they were before i increased the size of the marine corps to 175,000 and the addition of the 27,000 that brought them to 202,000. so i think they see this as -- this has been more of an organic process within the

marine corps in terms of their priorities and their needs. in the case of the army, this is a situation where the army is supportive of this decision. i think it is a product of -- that support derives from understanding the importance of this in terms of their other priorities as well. and again, i would -- i would emphasize, both of these services will be larger after these cuts than they were when i became secretary -- the army almost 40,000 troops larger, and the marine corps anywhere from 7000 to 12,000 troops larger. . >> i would have the risk. e looked at the risk and i think to your po so i think it's important to keep some perspective here as well.

>> got a couple -- one -- a macro budget question. i -- >> did you want to add anything? >> only thing i would add to that, again, is the risk -- we've looked at the risk, and i think to your point, obviously, predicting the future's very difficult. but i would echo what the secretary said in terms of, these are modest changes and ones that we think are well within the risk envelope as we understand things right now, particularly given where we think we'll be with respect to afghanistan in 2015, when these force structure changes start to kick in, and with the -- this world of persistent conflict that we talk about and the need to have forces to be able to engage, but an understanding of the total force, all services that will be required to do that. so the risk -- there's certainly some risk there, but we think it's acceptable risk right now. >> one of your primary goals was to grow modernization and research accounts by 2 to 3 percent real growth over the future years defense plannse pln was that accomplished or not? it doesn't seem to be, given that there's no growth, it

looks like, in the budget. >> well, what i -- let's be clear. when i talked about the $100 billion last year, it was in the recognition that the overall defense budget was not going to grow at 2 to 3 percent real growth a year. so the objective was, by cutting overhead, to ensure that the investment accounts, force structure and taking care of our people -- that part of the budget would in fact grow at 2 to 3 percent. i think with this transfer of $100 billion to that, we've accomplished that objective. >> one on the f-35, that's getting special scrutiny. how close did the stovl come to cancellation? and how much of this $4 billion in savings comes from delaying purchases beyond 2016? you cut 122 aircraft in this current five-year plan. is there more there coming? >> well, first of all, the plan is to -- what we will do in 2012 is keep the production rate at the same level as fy '11.

so 32 aircraft. so we get a year further into the development before we really begin to ramp up production. in terms of the internal process, you know, all of these things were -- everything i've talked about has been debated for hours over the last number of months. i think that -- i think that the marine corps made a compelling case that they need some time to try and get things right with the stovl. and we will give them that opportunity. >> mr. secretary, regarding the $78 billion in cuts over the next five years, how confident are you, given the fiscal realities facing the hill and the administration, that this isn't just the first shoe to drop, that there will be pressure to cut more? >> well, i mean, you've got two ends to this debate, as i suggested in my remarks -- those who felt -- feel we've already gone too far, and those

who feel like we haven't gone nearly far enough. my view is that we've got it about right. and there clearly will be a lot of debate on the -- on the hill about this. but let me be very clear about something. when we're starting to talk -- a lot of the stories last year were about how i was cutting the defense budget by $100 billion. i was not cutting the defense budget by $100 billion. i was moving $100 billion from what i thought was waste and unnecessary spending to higher- priority issues. what we are talking about, over the next five years, is a decline in the rate of growth. and zero real growth means we get inflation. so the reality is, every year for the next five years, according to our plan, because

of inflation and the modest growth rate for the first three years, the defense budget in absolute dollars will be bigger than the year before. so my message to both our allies and to our friends, and in light of what some of our closest allies have had to do in terms of their own military capabilities, is that this president understands and accepts our global responsibilities. and we will continue to invest in the defense capabilities that are necessary to sustain our military strength and meet our global responsibilities. so i think, as you write your stories, the focus here is on a reduction in the rate of growth, as opposed to absolute cuts. >> i'd just -- the only thing i would add to that is -- to one of the points in your question is, i believe that we're pretty close to the limit in terms of

what we can do to sustain our force structure overall and that, you know, any significant additional budget cuts can almost only be met -- keeping us whole, not hollowing us out -- can only be met through substantial reductions in force structure, and that's against the national security requirements that we see in the world we're living in. and we think this budget and this future and its capabilities is about right. >> i want you to talk a little bit more about the army cut. you've talked -- as you mentioned before, you've cautioned against drastic declines in defense budgets after wars. what it looks like here is, after the afghanistan war is scheduled to wind down, we'll have a dramatic force cut. so, a, why is that not a taking of a peace dividend?

and two, a lot of the problems you confronted over the course of being defense secretary had to do with an overstretched army, suicides, extended tours, all of which had to be solved in part by growing the army. why don't you -- are you -- how can you be confident that we're not going to need an army the size that we've had? because you've used all of your army that you've had. so why isn't this a peace dividend, and why aren't we inviting more problems by cutting the size of the army? >> well, first of all, over the past year-and-a-half, we have brought 120,000 soldiers out of iraq. over that same period of time, we have increased the number of soldiers in afghanistan by about half that number. and we will begin a process of

conditions- based gradual draw- downs in afghanistan beginning next -- beginning this coming july. as i say, i think perspective here is important. first of all, the numbers that we're talking about are relatively small, and the army is still left significantly larger than it was four years ago. and, you know, we've had -- we've had several increments in the increase in military -- in army strength, partly to deal with the dwell time problem, partly to get rid of stop-loss. in addition to the 65,000 increase in the army that i approved in 2007, i approved last year an additional 22,000. that 22,000 was temporary, and the army itself acknowledged

that that will begin coming out and basically be gone in 2013. so the army's planning for these things. you know -- i mean -- let's be realistic. looking five years into the future -- and the chairman referred to this, and i referred to it also, earlier -- looking five years into the future is through a pretty cloudy crystal ball. and any number of these decisions could be reversed or changed in some respect if the situation around the world were to change in some dramatic way beyond what we see right now. we plan for -- we are the only place in government, i think, that plans on a five-year basis. but obviously, the further out in that five years you go, the more uncertain things become. but you still have to do some planning along these lines. but because we are still

engaged in iraq, because we are still in afghanistan, that's why we're not even going to begin this process in our plan until 2015. that's a long time from now. yoshi. >> mr. secretary, you seem to be saying two somewhat different things -- on the one hand, that the pentagon can't exempt itself from the belt- tightening that's happening across the government, on the other hand, as you emphasize again and again, some of these are fairly modest costs. i mean, the army and marine corps remaining bigger than when you took office, for instance. how do you square those? i mean, if the pentagon can't exempt itself, why not make bigger cuts? i mean, the deficit reduction commission -- these were serious people making serious recommendations, and the recommendations were for much deeper cuts than what you've outlined. and admiral, you talked before about the force structure. our closest allies, the british, obviously, have just gone through a very similar review, and their conclusions

were again quite different. they thought that they could cut more, mothball more. why is there this difference in strategic -- in understanding between us and between our closest ally? >> first of all, we are having to tighten our belt. $13fy '12 budget will be billion smaller than we thought it would be a year ago. and overall defense spending for the next five years, that top line will be a total of $78 billion smaller. now, the $13 billion by the way, is included in the $78 billion, so it's not additive. so we are tightening. but we also have to realize that we are still engaged in a very active war in afghanistan and a -- and still have 50,000 troops in iraq. we confront the problems that we have in iran and in north

korea. we obviously have very ambitious military programs in both china and russia, and modernization programs. so i think, you know, the -- defense also needs to be looked at, and i obviously have a very parochial view here, okay? the defense of the republic is one very unambiguous responsibility of the federal government, and we face a very complex world. we think we are -- have tightened up a good bit. we think that this is a sustainable budget. but i would say, you know -- and again, i would go back to remind that last year we cut programs that, had they been -- gone to completion over a period of years, would have cost the taxpayers about $330 billion. so it's not like we haven't been trying to be responsible in the management of this process.

in terms of the recommendations for much, much deeper cuts, i would respond the same way that i did a few weeks ago. as far as i'm concerned, that's math, not strategy. >> and with respect to our allies who've cut their defense budgets significantly before this, i'd -- i would just pick up, i think, on what the secretary said in his remarks, which is this budget, and not just this year, the '12 budget, but as we look out for the next four or five years, just reaffirms the responsibility, the global responsibility, and the security environment that the united states has filled for a significant period of time. we're also at a time where we do this with our allies. there's no question about that, whether it's iraq or

afghanistan or operating in other parts of the world. we do routinely. so certainly cognizant of that, but the united states' leads in this, empowers, i think, the security environment globally in ways that we have for the last 60 years and that we'll continue to do this. and then one other comment i'd make -- and julian, you talked about peace dividend, and you used the term "drastic." and we think it's modest, and i understand trying to frame it. but, you know, we have -- this budget has basically doubled in the last decade. and my own experience here is in that doubling, we've lost our ability to prioritize, to make hard decisions, to do tough analysis, to make trades. we're now, i think, in a very good environment here in the building because of this effort

to do exactly that. and that's the output that you see that is this budget that meets national security needs and at the same time recognizes the fiscal reality that this country is in. and i think we can do both. >> the thing to stress -- and i mentioned it in the prepared remarks -- is that the only way we can realize the savings for reinvestment is by the execution of the efficiencies and the changes in doing business. the two are integrally linked. there won't be any more money coming from the outside to feed those programs. we're going to have to do it ourselves. we think we can do it, but we've got to execute this program. >> there's a lot of speculation about whether you plan to step down this year, as you said in the past. does this budget mean that you plan to stay through the budget process? and can you give assurances that you plan to say longer -- to the end of the year, till next year, until the end of this term? >> no. [laughter]

>> [unintelligible] briefed this congress this morning on your initiatives. can we ask you what their reactions were? and how much of the total that you're presenting today actually hinges on congressional support? because potentially some of these weapons -- funding for these weapons programs could come back. how much of that would impact your proposal and -- >> well, i would say that, first of all, i think -- and i certainly don't want to speak for them, but i think the amount of information that we communicated in a relatively short period of time was a little overwhelming, and they're clearly going to need to take some time and look at our proposals in detail. and what i told them was that we would be prepared -- the president authorized me to go forward with these changes. obviously there's a great deal more to do with the fy '12 budget than what i've talked about here today. and getting into those details will have to await the finalization of the budget and

then its presentation to the congress. on those aspects that i've talked about today, the services and the department are prepared to go up and start briefing the committees next week, and so they will begin to have greater understanding of the -- of these -- as to the details of this. some aspects of this, the details probably won't be nailed down until the budget itself is finalized in a couple weeks or so. but we will -- we will go up there. and i would say that i think a fair characterization of the meeting was that there were a number of questions but very little editorial comment. >> and how much of this -- how much of this will actually -- >> well, everything having to do with the fy '12 budget will go through the regular congressional budget process. so a lot of these program

changes that i talked about clearly will have to -- have to go through them. >> "don't ask, don't tell," it's been a few weeks since the repeal. can you give us an update on how anything has proceeded since then, given the promise was no foot-dragging? >> yeah. our goal here is to -- is to move as quickly but as responsibly as possible. i see this as a -- as a three- step process. the first is to finalize changes in regulations, policies, get clearer definition on benefits. the second phase is to then prepare the training materials for use first of all with the experts, if you will, the personnel people, the chaplains, the judge advocate generals, and second, the leaders, commanders, and then third, the troops. so there's the policy piece,

the training -- preparation piece, and then the actual training. we're trying to get the first two phases of that process done as quickly as possible. my hope is that it can be done within a matter of a very few weeks so that we can then move on to what is the real challenge, which is providing training to 2. 2 million people. and we will -- we will do that as expeditiously as we can. but as the -- to use the term the chairman's used, there's just a certain element of physics associated with the number of people involved in this process. but we are moving it as -- and i have asked under secretary stanley to accelerate the first two phases of this process as much as he possibly can so that we can get on with the training process. i was very struck by one of the

chief's comments that it's better to -- better to do this sooner rather than later. so we're kind of approaching it with that -- with >> the only thing i would add is that the law has not changed and will not until it is certified. from my perspective, -- >> we leave this program to go to a press conference on the shooting of gabrielle giffords, a democratic congresswoman from the eighth district in tucson. d.c. -- >> so far, we have received 10 patients. of those, one died. we have by patients in critical

condition. we have five patients in the operating room undergoing surgery. the rest of them are in stable condition. they do not have life- threatening injuries at this point. that is all i have in announcements. i will take a few questions at this point. patients that we have received at the current time. one patient is dead here at the hospital. we have five patients in critical condition. by patients are in the operating room undergoing surgery. the congresswoman is now deceased. she is in critical condition. the surgeons have finished operating on her. at the current time, i am optimistic about the recovery. she was shot in the head.

[unintelligible] >> i did not know that specific information at this point. i can tell you that the person who didn't die at the hospital was a young child. >> if she conscious at all? can you give us an idea of her condition. >> she was following commands. her condition is optimistic. she was shot one time. in the head through and through. i cannot tell you for forensic purposes from what direction. but she was shot through and through on one side of the head. >> are you optimistic for a full recovery or is it too early to tell? >> i am at about as optimistic as you can get in this situation. the surgery has been completed.

she will go to our intensive care unit. >> is he conscious? >> she is under anesthesia. what is also anticipating is that the next 24 hours will give me a lot more information about her prognosis. [unintelligible] >> i cannot tell you anything else about the other patients right now except for gabrielle giffords. the other patients that died was about nine years old. [unintelligible] >> that was the only child who came into our hospital. thank you. >> thank you. can you join us, please?

>> this clearly is a grave tragedy for this community and a great tragedy for the state of arizona and for this country. this is a time for all of us to give our thoughts and our prayers to the victims of this tragedy that has just happened in front of us. i want you to know that what i have done is i have instructed our chief of police, whom you are going to hear from in a moment, to give absolute and complete support to the sheriff's office. they are the ones in charge of this tragedy. our responsibility is for the citizens of tucson and for the university hospital. i want everyone to understand, the significance of what this means to all of us -- of what it

means to our country. i had a chance to talk to gabby's other as he came in. i told him this community and this state has her prayers and her thoughts in our hearts for her recovery. i am pleased to hear the doctor's report that she is still alive and fighting for her life. for those who are fighting for their lives, this is time for us to say our prayers for a recovery. for those who died today, they will not be for gotten. they are citizens of this country, citizens of arizona in tucson. with that, i would like to turn the microphone over to the chief of police, who will go into the details of how we can best serve the share of -- sherrif's department in this

investigation. you need to be sure as media that you have the correct information to get to the total magnitude of this great tragedy. with that, i would like to introduce our chief of police. >> good afternoon, unfortunately, i will not have much information to give to you. as the mayor pointed out, this is an investigation. they have given out details about the investigation. our role here is that we have secured the offices and residences of the congresswoman and the other car was people and members of the house of representatives. we did that as a cautionary measure. we had no measure -- no information that there was a threat.

we wanted to take every precaution to maintain the safety of everyone involved. we will assist the sherriff's department and will assist them. we are there to assist in any way possible. there is not much other information i can tell you. i threats -- i stress and ask that you verify your information. you have different agencies involved. as far as the medical issues and the investigation from the sherriff's department. >> who was involved? >> like i said, as far as here and up at the scene, it was the department and the department of public safety. they are still conducting the

investigation. at the hospital, it was the tucson police department as well as representatives from the sherriff's department. >> can you give us any information about the shooter? >> no, i do not. that has to come from the police department. they have a suspect in custody. we just made an evaluation on who we needed to provide security for. >> or their state representatives? >> no, not at that level. >> can you tell us what the congresswoman's bother said to you and what he said to you -- father said to you and what you said to him?

>> he wanted to be with his daughter. he wanted to know where the operating room was. we instructed the police officers to escort him to the operating room where he could be close to her. he wanted to have a chance to be close to her at a moment's notice. her mother was here as well. family is gathered and they are by her side, that is where they need to be. there is not a person in this room who does not understand the emotion of lewisohn -- of losing a citizen in such a tragic. losing such citizens will not ever be forgotten. there have been people injured who are near and dear to our hearts. we have lived with many of them. it is a decent emotion.

we tear up when we lose people. this is a time for us to remember them and to put them in our prayers and wish them the best because they are near and dear to all of us. >> can you confirm or deny rumors that [unintelligible] >> i cannot do that. i can only report on what has happened at umc. you need to get the information from the sherriff's department. it is a little complicated, but you must do that. we know exactly what has happened here. you need to put it all together from other sources. [unintelligible]

i will ask the chief to go into what he knows about the sherriff's office press conference, which was just held. >> do you know if they gave the last rites to the congresswoman? >> i do not have any information on that. my understanding is that the press conference was held [unintelligible] they will be having another press conference tonight. they will be putting out that information to other media outlets. >> is there any reason to believe there is anyone else out there at this point? >> we have nothing to indicate that is an issue. obviously, we take all precautions. [unintelligible] that is going to have to be answered by the sheriff's department. we have officers here to provide security.

there is no lockdown of any kind. thank you. >> we have another speaker, the president of the university of arizona. >> good afternoon. i will be brief. you have heard from the key people so far. in addition to convey our thoughts and prayers to the victims and their families, i want to take a moment to acknowledge the extraordinary work of the security people of the county and the city, the uapd and the staff here and umc, the physicians, the nurses, all of the people about in providing the kind of care that is unique to this facility. i will take this moment to thank him for all that they have done. thank you again for being here. i am sure there will be more information coming out.

>> thank you. that concludes our briefing. at 6:00 p.m. this evening, the sherriff's office will have another briefing. >> we heard from the trauma director at u of a. he reported that there were 10 patients. it is heartbreaking to hear about the person who died. we have a nine-year old girl. i have a nine-year old son. a nine-year old girl has died. five people in critical condition. by people in the operating room. representative gabrielle giffords he is optimistic about.

>> that is optimistic. she was shot once in the head through and through. that means it went in and it came out. she was talking and responding to commands. he said he was extremely optimistic about his recovery, as optimistic as he could be considering the nature of the wound. that is good news to hear. what i found interesting, according to the chief, is that all of the federal congrressmen have been given protection, surveillance at their homes. not that they think this is a massive plot. but they do not know. it is precautionary. >> we do not want to compare this. we saw with september 11 how things blue and became bigger than we expected. we have gotten e-mails from viewers wanting to see the

football game. we will show it in a box. it is our civic duty to follow this big story. a mass shooting. a basketball game postponed until tomorrow. >> there are folks in law enforcement working to investigate today's shooting. one of the reasons is out of respect to what has happened. the dam was set for 4:30 p.m. it will be tomorrow -- the game was set for 4:30 p.m. >> one thing that keeps coming up in all of this is that the u.s. district judge is a victim in this. it is confirmed by janet napolitano. the associated press is saying he has passed away. we have not heard this from umc. >> they told us one person had

died. >> the numbers do not add up. >> they are saying there are 18. >> four law enforcement agencies are involved. three hospitals and one trauma center. the numbers are not adding up. what we do know at umc is that one person has died. at a complete side note to all of this, one of christy's kids -- her mother was to remind people to donate blood. the blood bank always needs blood. now we have a mass trauma where undoubtedly blood has been lost. if you can, it is good to do that. >> a lot of people will need help in a lot of ways,

spiritually and psychologically. ministers are offering their ear, their heart, and their time. there is a member of the church outside the congresswoman's office. mental health professionals have offered their services to those who need them. the community is coming forward. we will keep you apprised of all of that. we will keep all the details on our website. we have more information outside umc. >> actually, i am speaking to some women who were closed -- close to gabrielle giffords. they are current stakes in a terror -- state senator linda

lopez. we are -- >> we are in shock. gabby is not just a colleague. she is what our best friends. she got married last month. after the shower, we sat up until 1:30 a.m. she said, it is so wonderful to be with my friends. we talked about the current section -- the current session. we cannot believe what has happened. >> i am in a state of shock. i am relieved to hear that she appears to be pulling through this. we have to wait and see what the long-term implications are. i am thinking of the best i can for her. i want her to be well and to go on and have a wonderful life. i am think about her mother and her daughter and her husband and her sister, melissa.

i want them to be okay and want them to now we are rooting for them. >> this is amazing how sad and how tragic a 9-year-old little girl lost her life. >> i am short whatever brought her there was teaching her about the government and what is right with america. the child will never find out anything about life. there are other people who have been totally knocked down. what is the reason to try to be good and serve the people and do the right thing? there are not even words to describe it. >> gabby was doing what she did best, that was meeting with her constituents, talking to them about what was going on in washington, hearing their concerns. she did an incredible job. she has always done an

incredible job helping the people in our community. i had had so many people tell me about the good work she has done for the folks in her district. this is tragic when this happened when she was reaching out to her constituents and working with them and hearing from them. it is so tragic or the other folks involved in this and the little girl. that is so devastating to hear. toeverybody's heart goes out the family. we cannot imagine the tragedy. >> thank you. thank you for joining us. our thoughts and prayers with of the family and all families who have been hit by this devastating blow, especially with the nine year old child. our thoughts are with them.

>> we just got a statement in from senator john mccain. he is upset, naturally. >> the disbelief you have just heard from two friends. senator john mccain said he is horrified by the violent attack by a person who has no sense of justice or compassion. i pray for gabby and her family. whoever did this, they are a disgrace to the country. they will receive the stunned as punishment from the law. that is a statement from john mccain. we are waiting for the president. he is due to speak live and make a statement on the tragedy from washington. >> a reminder that the nfl game will be seen in a box. we will continue our coverage. there was some concern from

yours -- from viewers. we will show that in a box. we have some file video. that is the judge. he, apparently, had some death threats over a case he was presiding over, a $32 million case. i was looking at judgepedia. it says that judge roll faced death threats after a lawsuit filed by illegal immigrants against an arizona rancher. the judge ruled the case would be certified. threat came from talk radio shows, which spurred audiences into making threats against the judge. the threats materialized after one shot.

some callers threatened the judge and his family. we do not know who was the target. was there one specific person being targeted? this is what they are investigating now. the gunmen is 22 years old. >> security at federal courthouses and federal buildings has been stepped up since 9/11. it is difficult to try to sneak a weapon into a federal building. you have to go through metal detectors. the judge was out this morning making a public appearance. he sadly becomes one of the victims of this tragedy. even as we absorb what happened today, what are the long-term repercussions going to be? i go back to when the pope was shot. that was another tragic event.

the world was watching. this just perpetuates this thing spiraling out of control. it will bring up the discussion about gun control. it will bring up how much security public people need. it will bring up questions about what is going on in this country. unfortunately, it takes an event like this to bring all of this to a head. we are piecing together what happened today. we are still trying to digest it and everything that is going on. we want to show you some video of people dropping off a lot -- at act congresswoman 0 office onsswoman's

the east side, people dropping off momentos. she is alive. she is out of surgery, we understand. we understand doctors are optimistic about her recovery. her family is here. her husband is on his way from wherever he was in the country to be by his -- to be by her side. things are looking relatively good for her. there are still a lot of people in critical position -- critical condition. there are people at several hospitals around tucson. we are trying to keep tabs on everything that is going on. it has paralyzed the community on a saturday afternoon. >> governor jan brewer is going to make a comment. she was preparing to do that at any time. as soon as we get that statement

or a news conference, we will pass that along to you. there have been a lot of people wondering about that. next we will keep you apprised. >> this thing started our jurisdiction. people are deeply saddened and extend their thoughts and prayers to the congresswoman and the victims and families. the helicopter in thing came down today to cover this story. there is a 22-year-old man in custody in the shooting. he is a man who showed up with a pesto with an extended magazine. -- showed up with a gun with an extended magazine. obviously, he was able to do a lot of damage. he has been taken to a facility, a county facility, to be

questioned. the fbi is involved. there are search warrants issued. detectives are searching vehicles. they are looking into the background of this person looking for clues to find out if any other person was involved. we do not know of any effort to find anyone else. all reports seem to indicate a lone gunmen. this report -- a lone gunman. >> they did not know if you walked or rode the bus. they have not been able to tie a vehicle to him. it makes you wonder how corporate debt or tight-lipped this suspect is being. -- how cooperative or tight- lipped this suspect is being.

they are trying to get their feet planted on this whole thing to find out which direction they need to go in. >> i am short all the businesses are closed out in that area. the area surrounding it is completely shut down. that paralyzes a large part of northwest to sign. on saturday afternoon, a lot of people are transiting around town trying to get aaron's -- errands done. >> one thing that law enforcement has done is they need a place to go. they have established the resort as a place where they are communicating with us. our reporter is live in westwood. naomi, what can you tell us from their? >> we were earlier at the scene.

we were told everything that happened this morning. congresswomangiffords -- congresswoman giffords was having any bench early this morning. 18 people were hurt, including the congresswoman. we do not know her condition at this point. we know that six people were killed, including at least one child. the suspect is currently in custody. he is a 22-year-old male with limited interaction with law enforcement up to this point. some people tackled him to the ground. e is in share -- sherriff's custody right now. we do not know how he got to be sent away. by department and police

departments are part of this investigation. the latest information we have is that six people are dead and that includes one child. live, news 4 to sign. >> the associated press is naming the suspect. >> a guy named jarrod lee lockner. he attended mountain view high school. he was named at a local man who was behind this crime. that is what the associated press is reporting. >> we are standing by. the president made a statement earlier. we were told he would be going

on later. we apologize about the game. we know it is the plan now say it is an important game. -- it is an important game. the president is preparing to speak on this matter. he is sending condolences. he is stunned. arizona senator john mccain seems pretty angry. everybody is in a state of shock. >> and a nine-year old girl. i cannot get that out of my mind. >> we do not have all of the names. judge roll is injured. >> we do not know anything about him other than he was one of the people attacked by the

22-year old man. we are reluctant to pass information along to you. we have not personally confront it. viewers have sent in the same name. that is why we have attributed it so strongly. that is what the associated press is saying. the catcher is out there. we have not heard from the fbi. >> in case you have just joined us, when i found out, i turned to channel 4. this morning, at a safeway at a town hall meeting that gabrielle giffords was conducting, a 22-

year-old man opened fire and mowed down several people. he killed a child, a 9-year-old girl. we do not know if congresswoman gabrielle giffords was the target. we are still trying to piece this together. department iss investigating. patients are scattered around the city at several hospitals. the really seriously injured patients were taken to university medical center. some of them are in surgery. some of them are in critical condition. gabrielle giffords is out of surgery and the prognosis is good. >> information coming from every direction. we are getting a lot of news from people who are out and about. they say they know something about what is going down. i am looking at e-mails.

we will attribute reports to the associated press. we want to make sure we have it right. we want to make sure we are on target with any more facts and figures. just know that the investigation is wrapped up. this went down at 10:00 a.m. this morning. >> apparently, there were a lot of 911 calls. you were saying it was almost like a stampede was the gunshots began. some patients suffered other types of injuries because probably everybody panicked. you cannot forget or stop to think that here is a 9-year-old girl who woke up this morning

and said, mom, dad, let's go to the grocery store. let's be a kid. >> this thing just kind of shakes you. it gets your attention. the adrenaline starts flowing. the realization starts flowing. i found myself shaking with disbelief knowing that we have to get in motion. we have to get the word out and bring you this story. it is going to be a long and trying effort. that is what we are trying to do. we will bring you information as quickly as we get it. the northwest side is a mecca for soccer and shopping. i came down oracle south.

i could not get through mcgee. people were looking around thinking, we do not get jams like this in tucson. i had the radio on. they had not reported it yet. there was the realization dawned that there was something awful happening. >> we will be getting more information. department has had a news conference. we are expecting that the sherriff's department will be having another press conference. the suspect has been transferred to a county facility and is being questioned at this point. until the release information on the suspect, we have no information to exchange with you at this point in terms of who he is and why he did it, is there anyone else involved?

none of those questions have been answered for us. the associated press as namedjarrod lockner. he is a mystery to us now. we have held for -- helpful viewers providing us with information. the about when you were 22 years old. nothing had happened to you at that point in your life that would make you angry enough to take a gun. it is a lot to wrap our heads around today. we have tapped into facebook and myspace and youtub. e.

and information about a suspect is pouring in. we have another challenge. we do not want to jump to conclusions too quickly. we want to hold back on what is so quickly. we do not want to bring in information that is not accurate. we are working hard to find out as much as we can as fast as we can. we are at the mercy of the authorities, the officials at the hospital and officials in government, who are trying to sort out what happened. the priority is getting to the bottom of what happened and getting to those responsible in making sure they are caring for the victims and the families as best they can. >> the university medical send -- center sent the doctor out.

he said the congresswoman is alive. he also gave us bad news. a 9-year-old girl has died. we have a little more information. we are at the mercy of the authorities to give us more information. our sister station in phoenix sent down their helicopter. we are able to get some aerial use -- aerial views. you are looking at video of the congresswoman campaigning. she won a really tight race in november. probably the tightest race she has faced in her not so long political career. she has not been in politics that long. i am sure she was just settling

down after that long fight. now this has happened. it is hard to wrap your mind around something like this. we have differences of opinion. i find it hard to believe that someone would bring a gun into a public place and start shipping. >> this was a deranged person who saw an opportunity to do something. we may not know for a long time. we are hearing now -- we are going to take the football game audio. you want to know what is happening with the tragic situation. we will continue broadcasting on line. we will continue bringing you the latest. you will not miss a thing. if something major developed in this situation, we will get right to you.

let's take the audio of the game. continue to follow us on kvoa.com. \ >> we are waiting to hear from president obama at the white house about the shootings earlier today in tucson. representative gabrielle giffords, the democrat from the eighth district in arizona was shot. she is in critical condition. she was shot outside a state with her staff and others. an earlier briefing from a certain set 89-year-old was killed on the same. the congresswoman and that others are at that hospital in critical condition. by others are at that hospital and were in surgery. we are going to go to the abc affiliate for more on the

shootings. >> there are a number of candlelight vigils plant. we are working to get more information. this is one of those events when you feel better talking to someone else. it was so surprising. was so sudden. you are reminded how fragile life really is. it is one of those times. as we continue to get more information about the big chill we will let you know. we are expecting to hear from president obama. any moment now, he is expected to speak from the white house. he has been briefed on the congresswoman and the others who were shot in tucson. we are expecting to hear from the sherriff's office. they were hoping to provide some more information for us.

the investigation is moving forward. we also want to remind you, just in case you happen to be a u of a basketball game, we want to remind you that it has been postponed following the shooting. we have a statement from the athletic director. the university deals began should be delayed in respect for the victims and families impacted by this tragedy. the game is set to be played tomorrow at 12:30 p.m. i wanted to make a brief mention of that. i know how many of you followed the team and go to the games. it is a big event here in town. >> president obama is expected to make a comment. we have heard from a number of elected leaders. we are still waiting to hear from governor jan brewer.

her name comes to mind as one person we have not heard from. >> we are also still waiting for word from a congressman who is a tandem partner with gabrielle giffords. i am short he is well aware of what happened . -- sure he is well aware of what happened. >> there are federal representatives and folks at a local level who represent us and who were doing similar things to what congresswoman gabrielle giffords was doing this morning. you can see their anger and disbelief that this happened in southern arizona. >> this is the kind of thing we hear about happening in other places, not the shooting up a

local representative. a shooting of this kind. the rampage, the tragedy, the mass fitting. this is not the kind of thing we see happening. you think in your mind, that happens somewhere else. this would never happen in tucson. that is the thought process we have when something like this happens. it adds to the shock and disbelief that this actually happened here. as tragic as today has been, and as sad as we are that we have lost a nine-year old girl, so tragically, such an innocent bystander, we are optimistic in the work of the doctor from umc that we have people fighting for their lives. they are putting on the ultimate fight for their lives.

the congresswoman is one of them. >> there are nine other names that we do not know. five of them are in critical condition. five are still in surgery. >> go live to the white house or a statement by president obama. >> earlier today, a number of people were shot in tucson, arizona, including several who were meeting at a supermarket with their congresswoman, gabrielle giffords. we are still assembling all the facts. we know that representative giffords was one of the victims. she is currently at a hospital in the area and she is battling for her life. by -- five people lost their lives in this tragic. one of them was judge john

rolls. the other was a 9-year-old girl. i have spoken with governor jan brewer. i have offered the resources of the federal government. a suspect is in custody and we do not know what provoked this unspeakable act. an investigation is underway. fbi director bob muller is en route to the area. gabby giffords was a friend of mine. she is not only an extraordinary public servant, she is also somebody who is warm, and caring. she is well liked by her colleagues and well liked by her constituents. her husband is a navy captain and one of america's valiant

astronauts. it is not surprising back -- surprising that gabby was doing what she always does, listening to the hopes of her neighbors. this is a tragedy for those involved is a tragedy for arizona and a tragic for our entire country. what americans do in times of tragedy is come together and support each other. at this time, i ask all americans to join me and michelle in keeping all of the victims and their families, includinggabby, -- including gabby in our thoughts and prayers. i know she is as tough as they come. i am is hopeful she is going to pull through. obviously, our hearts go out to

the family members of those who have been slain. we are going to get to the bottom of this and we are going to get through this. in the meantime, i think all of us need to make sure we are offering our thoughts and prayers to those concerned. thank you. >> we will return shortly to the abc of italy for more on the shootings. again, represents a test of gabrielle giffords was shot and is in critical condition. she was shot outside a safeway store with staff and others. federal judge john roll was killed as well as a nine-year old. representative giffords are at

the hospital in critical condition. there are a number of statements being released by senators, including arizona senator john mccain. you can find those statements on our web site, c-span.org. >> wants to make sure she has what she needs as we try to make -- tied to move follower. they want to make sure this is handled the way it needs to be. she was called an extraordinary person, warm, and caring, well liked by her constituents and her friends. that is the overall feeling we get when we asked people about congresswoman giffords. she was doing what she loves to do when this happened. >> he said he was not apprised to learn that is where she was

when this tragedy took place. >> that is what we were saying all day. we know firsthand. as part of the media and you as being part of our family and humidity, you know this about her. the president -- part of our family and community, you know this about her. that is what the president is learning. >> just to let you know, we are bringing up dates on a shooting from earlier today. representative gabrielle giffords along with her staff and others were shot earlier today outside a safeway store. the hospital where she was taken said she was in critical condition. the doctor working on her says he is optimistic about her

outlook. a 9-year-old was killed. there are 10 other patients at the university medical center in tucson. five or in surgery. gabrielle giffords was holding a conference on your corner event. an unidentified man ran up and started shooting. police say they may happen -- may have recovered the gun. the gunmen -- the gunman was tackled by a bystander and taken into custody. he is somebody named jared loughner. little information is known

about him at this time. there is no information about his possible motive. we have a number of statements from officials on our website, including statements from house speaker john boehner, the republican from ohio. he released a statement about the attack saying these attacks were on one who serves. it is an attack on all who serve. threats of violence have no place in our society. this is a sad day for our country. that from a statement by speaker banner. house minority leader nancy pelosi also releasing a statement saying this is a terrible act of violence pitted it is a national tragedy. today is a sad day -- act of

violence. it is a national tragedy. congress gabrielle giffords woman is one of a new generation of leaders. she was meeting with her constituents -- her constituents who she stars with distinction. that was from a statement from minority leader domestic low so -- minority leader nancy pelosi. janet napolitano says there is no place for senseless acts of violence. she said she is deeply saddened by the shooting. she says the homeland security department has offered all possible assistance to the fbi. the pima county sherriff's office is leading the

investigation. we will continue to bring you updates on the shootings in tucson and earlier today. for now, we will go to an earlier segment of the washington journal. inal guest is frank oliveri, a congressional defense and foreign policy reporter. can you tell us about the cuts for the defense budget and put that in the context of the whole budget? guest: absolutely. you were looking at $178 billion. about $100 billion is money they will put back into the defense department for modernization. the $78 billion is a top-line kind. to an average american, that sounds like a lot of money. i would love to have a fraction of that personally.

$78 billion over five years. not a huge number in that context. on capitol hill where there are many parochial programs and concerns that lawmakers have and where they are concerned about two wars, the drawback in iraq, 140,000 troops in afghanistan with a tough were there, there are concerns that is this the time to be cutting back on defense. secretary gates made a compelling point the other day. basically, but compared to the rest of the world, we spend a significant portion more than all of them combined.

the u.s. defense, the military, is quite clearly the best in the world. when he is saying is there are areas in which they have made some cuts and the have made cases where there are problems and they have been consistent problems over several years now. host: did the secretary initially resist the idea of cutting the budget? guest: initially, yes. the status quo is a much more comfortable place to be. the relative, and even a based on what he had done in past years were last year's five- plan, he is only fractions of of that, too. it is a very small change. it is easing into this. they kill programs that were troubled, the marine corps's amphibious vehicle of the future. they had anticipated buying twice as many at one point then

they eventually were going to be able to because the cost had grown so great. you have real difficulties on both ends. this is really the opening volley of a long budget priority between democrats and republicans on capitol hill and on this link with the president. host: can you give a broad brush of how they affect the individual branches? guest: the navy found about $35 billion in savings. the year force found about $34 billion in savings. -- the air force down $34 billion. it is roughly about $100 billion they came up with in savings. they will get some things back. the navy shifted 6000 people from atlanta-based post -- land- based to sea-based. they changed how they'll buy

the f-35's. the second fleet was based in >> the president convey his heartfelt sympathies for our state and ensured that justice would be fully served. i am just heartbroken. gabby is more than just a colleague. she is actually a friend. she has always been a noble public servant. my thoughts and my prayers are with congresswoman gifford her

family as well as other victims of this senseless islands. i have ordered the flags to be flown at half staff in honor of those who have lost their lives today. unbelievable tragedy. of arizonaeople experience today. one of the worst nightmares we could have ever imagined would take place. i must tell you, a lot of information has been provided to all of you. we are in constant contact with some officials. we will be kept abreast and we will do whatever is necessary for us to do. i will say that i asked the

people of arizona and i ask the people of america to keep the victims and their families in their prayers and to pray for their recovery. pray that we never again have to experience a tragedy like this ever again. i would be glad to answer questions. >> can you talk about how that -- how far back your friendship goes? >> gabby certification in the arizona senate when i was in the secretary of state's office. i grew to respect our. campaigning state why, she campaign in southern arizona. i campaigned in the same areas. not only during the campaign effort, but certainly going down

and speaking to different groups like the red cross and library classes. she always showed up. we were often appearing together on the same stage. she was a nice, kind, hard- working servants for the people of district 8, always courteous to everyone. she never really played partisan politics. she was serious about what she did. she was always concerned about what was good for her district. she was a very gracious and is a very gracious elected public servant. >> [unintelligible] >> it is something that a state

would not like to have happen in their state. tragedies happen. we know that people should be held accountable and responsible for their actions. it does not show favor on the state of arizona. but we have a lot of good, decent people. this is one of those horrible tragedies that we face. we need to move on and make sure those kinds of things do not happen. it is interesting. i have always been the kind of person who always was with the people. i had an incident when i served on the board of supervisors in maricopa accounting -- county where one of the supervisors was shot.

there was a realization at the time that these things can happen. we have for whatever reasons disturbed people in our communities. they can sometimes do terrible, violent things. sometimes those who served in elected positions are a target. at that time, i was a little concerned. but i was not afraid. security was beefed up. security was beefed up here because i believe governments should be open. people should be able to access the facilities. i think it is important. i would assume under the circumstances we've seen today that security will probably be increased. >> has the president conveyed his sympathies? >> and he was very gracious. it was totally non-partisan. it was not political.

he wanted to tell me as the united states that whatever they could do, they would send resources. they would be there for whatever was needed. they would be working with my team. i made sure the numbers were conveyed to their staff and that we would be posted. he indicated the fbi would be doing the investigation. and that we would be in touch. i tried to explain to him what a horrible tragedy and what a sad day it was for arizona and america. >> have you spoken to anyone circle?ffords' >> i have not. i have spoken with someone who has spoken with her father. he has assured me that he would keep me posted. i spoke to the speaker, but i

have not been able to reach them. >> will this have any event on the events -- will this have any impact on the events scheduled on monday? >> we had just begun the first few minutes for the activity tomorrow when we got news that this awful tragedy had happened. we shut everything down. speaking with the speaker, i think this afternoon and early tomorrow morning, we will determine what direction we will be going. >> have you worked with miss difference giffo -- giffords on any specifics things? >> i remember talking with her about legislation and when i became secretary of state. it would be something i would have to go back in my records

and look at. >> you were rehearsing? >> we were on our way to the courthouse. [footsteps]

>> we just heard from arizona gov. jim brewer on the shooting earlier today in tucson, arizona. a federal judge and a nine-year old child for reportedly killed in the event in northwest tucson. gabrielle giffords was shot and is in critical condition. a surgeon said he is optimistic about her condition. she remains in critical condition with four and others who were on the scene. they were holding a "congress on your corner" event at a safeway. the other people at last word were still in surgery. people familiar with the investigation tell the associated press that the gunman held in the shootings has been identified as a 22-year-old.

there is little information known about him such as his background or a possible motive in the attack. we take you now to the local news. >> she was not afraid to tackle issues and put herself out there as a public servant. sadly, that willingness to be part of our community that such an aggressive, local, and personable level is unfortunately what led to the shooting -- not what led to the shooting but what landed her in the hospital. she is and i see you -- icu and in serious surgery for a bullet through the brain. a lot of folks are expressing condolences for those who did not survive and for gabrielle

giffords and others who are fighting for their lives. >> she thrived on those meetings with constituents. the president said he was not surprised to hear that is where she was this morning when something this tragic took place. we want to replay part of a news conference from university medical center earlier. it was an update on the status . >> thank you for your cooperation. this has been a catastrophe for a lot of people. a lot of people have been concerned about their family members. i will give you a brief update but without a lot of details so we do not get the information to the families in the wrong order. we have received 10 patients. one died. we have five patients in critical condition.

we currently have five patients in the operating room undergoing surgery. the rest of them are in stable condition with non-life- threatening injuries. that is all i have been announcements. i will take a few questions. >> 10 patients, one dead. five critical. five being operated on. >> that is correct. one patient is dead here at the hospital. we have by patients in critical condition. we have five patients in the operating room undergoing surgery. the congresswoman is not deceased. she is in critical condition. the neurosurgeons have finished operating on her. i am very optimistic about recovery. she was shot in the head.

i do not know that specific information at this point. i can tell you the person that did die of the hospital was a young child. >> can you give us an idea of what her condition was like? conditionlle giffords' was optimistic. she was following commands. she was shot one time in the head through and through. i cannot tell you what direction. she was shot through and through on one side of the head. it went through her brain. >> are you optimistic for a full recovery? is it too early to tell? >> it is too early to tell, but i am optimistic in the situation. the surgery is complete. she will go to our intensive

care unit. she is under anesthesia right now. i am anticipating a recovery in the next 24 hours will give us a lot more information that will tell us more about her prognosis. i cannot tell you anything specifically about the other patients except for gabrielle. my understanding was she was about nine years old. that was the only child that came into our hospital. thank you very much. >> mayor, would you join us?

>> this clearly is a grave tragedy for this community. it is a great tragedy for the state of arizona and for this country. i think this is a time for all of us to give our thoughts and prayers for the victims of this tragedy that just happen in front of us. i have instructed our chief of police to give the absolute complete support to the sheriff's office conducting the investigation. the incident officer in charge of this tragedy our police department responsibility is for the citizens of the city of tucson and for the university hospital. i would like everybody to understand the significance of what this means to all of us.

i had a chance to talk to gabby's father. i told him that this community our prayers andr thoughts and our hearts for her recovery. i am very pleased to hear the doctor's report that she is still alive and fighting for her life. those who are fighting for their lives, this is the time for us to say our prayers for recovery. those that died today will not be forgotten. they are citizens of this country, citizens of arizona, and of tucson. i would like to turn the microphone over to the chief of police who will go into the details of how we can best serve the sheriff's department in conducting the investigation.

as media, you need to be sure you have collected information from sources to get to the total magnitude of this great tragedy. i would like to introduce our chief of police. >> good afternoon. i do not have much information i am able to give to you. as the mayor pointed out, this is an investigation of the county sheriff's department. i believe they have already held a press conference giving out details about the investigation. our role is that we have secured the offices and residences of congresswoman giffords as well as other people and members of the house of representatives. we did that as a cautionary measure. we had no information there was a threat. we wanted to take every precaution to maintain the safety of all involved.

we will assist the sheriff's department in any capacity that they need from us. i have been in direct contact with the sheriff's office handling the investigation. i have assured them that we're here to assist in any way possible. there's not much other information i can tell you other than that i stress and ask that you verify your information. you have three different press conferences. you have different agencies involved. thank you. produc>> who was involved? >> here and on the scene, it was the county sheriff's department and public safety that controlled the scene. they are still conducting the investigation. at the hospital, it was the

tucson police department with the assistance of the university of arizona police department and representatives from the county sheriff's department to help to come conduct the follow-up investigation. >> [unintelligible] >> mike understanding is they do have one suspect in custody. >> what other representatives' homes were secured? >> i do not want to discuss that. we had some to provide security for and took care of that. federal level. thank you very much. >> can you tell us what her father said to you and what you said to him? >> he is in a wheelchair. he was clearly overcome with emotion. he had family members around him. he wanted to be with his

daughter. he wanted to know where the operating room was. [no audio] >> we are getting reports on the shooting of represented gabrielle giffords from arizona's eighth district. a federal judge on the scene in tucson earlier this morning was killed along with a 9-year-old at a "congress on your corner" event being held by rep giffords. some statements are being released. senator harry reid said that congresswoman giffords is one of the most dynamic members of congress. he says he has watched her career closely and admires her work on behalf of the state of arizona and says she will be in

the thoughts of every american as she and he. a statement released earlier by senator john mccain says that he is horrified by the violent wicked person with no sense of justice or compassion. he said whoever did this and for whatever reason, they are a disgrace to arizona, the country, and the human race. they will receive and deserve the strongest content and punishment of the law. that statement was from arizona senator john mccain. you can see a number of other statements from officials in their entirety at c-span.org we take you now to an earlier statement about the shooting by president obama from the white house.

>> as many of you are aware, earlier today, a number of people were shot in tucson, arizona. that included several who were meeting at a supermarket with their congresswoman gabrielle, giffords. we are still assembling the facts. we know that rep giffords was one of the victims. she is currently at a hospital in the area. she is battling for her life. we also know that at least five people lost their lives in a tragedy. among them were a federal judge who has served america's legal system for almost 40 years and a

young girl who was barely 9 years old. i have spoken to arizona gov. jim brewer and offered the full resources of the federal government. a suspect is in custody. we do not know what provoked this unspeakable act. a comprehensive investigation is currently under way. at my direction, globular is on his way to arizona to coordinate the efforts. -- mueller is on his way to arizona to coordinate the efforts. gabrielle giffords is a friend of mine. she is an extraordinary public servant. she is warm and caring sha. she is well liked by her colleagues and constituents. her husband is a navy captain

and one of america's valiant astronauts. it is not surprising that today she was doing what she always does, listening to the hopes and concerns of her neighbors. that is the essence of what our democracy is all about. that is why this is more than just a tragedy for those involved. it is a tragedy for arizona and our entire country. when americans do in times of tragedy is come together to support each other. i ask all americans to join us in keeping all the victims and their families and our thoughts and prayers. those who have been injured, we are rooting for them. gabby is as tough as they come. i am hopeful that she will pull through.

our hearts go out to the family members of those slain. we will get to the bottom of this. we will get through this. in the meantime, i think all of us need to make sure we're offering our thoughts and prayers to those concerned. thank you. >> earlier today, 10 patients were taken to university medical center in tucson. we heard from a surge in there that rep. giffords was in critical condition. a federal judge and a nine-year old were killed at the scene. we take you now to kgun for the latest breaking news. >> it was right after 10:30 this morning. there was an event that congresswoman giffords was

hosting. we're working to get the numbers updated. they do appear to be changing. we have confirmed that congresswoman giffords has undergone surgery. the one death we know of is the nine year-old girl who did not make it. >> we have heard from the president. we have heard that federal district judge john roll died in the shooting. we're not sure what hospital he was being treated at. we know he did not survive his injuries. we want to give you a live look at the scene. we're several hours removed from the shooting. look at the scene. we are still working on that.

the scene is still locked down. it is very active. there is no traffic coming through. you cannot get in or out. it is still an active investigation and crime scene. they have a lot of first responders and investigators working on the investigation. the scene of the shooting is still very active. >> we heard from president obama a short time ago. he spoke about being in contact with the governor offering federal resources. he also said the fbi director was heading to arizona. he will be overseeing the large investigation that will span quite some time. we're not seeing a lot of movement in the area where it happened. they want to make sure they talk with everyone and get the witness accounts of what happened. pima county sheriffs were not

sure if the gunman was inside or outside the store or how he approached her. they want to answer those questions to push the investigation forward. >> sergio headed out to her office. we understand he has a report he as balkh from the location. -- he has filed from the application. let's listen to that. -- he has a report he has filed from that location. let's listen to that. [singing, drums] ♪ from the rhetoric forests --

redwood forests ♪ >> we are still in a state of shock. a wonderful woman. she loved the people of arizona. it is almost beyond words. >> i was in my car on my way to meet my husband at the gym. i did not know what else to do but come here. >> when you have this kind of tragedy happen in your town, people respond in different ways. they express feelings in different ways. this is a way that many people have found helpful today for them. not really knowing what to do or say, but knowing the location of her office in midtown. it is in office we have been to

on numerous occasions. it is now covered with people, flowers, candles, and well wishes, thoughts, and prayers. congresswoman as she begins what will likely be a long road to recovery. sergio avila brought as those images, sites, and sounds. >> it is powerful to see how many people turned out for something like this. with a tragedy, immediate reaction is to not be alone. i think a lot of people are feeling that as well. the democratic party meeting was slated for this morning the west to get underway in tucson. we talked to the chair of the pima county democratic party. he said the return to decide whether or not to call the meeting off. congresswoman giffords was expected to attend the meeting later this afternoon. grief counselors have been brought in. they were not just in the same

political party. they are much closer than that. they have known her and her family. they have been in tucson for three generations. this video coming in from the meeting. it appears it turned into a prayer vigil or gathering where folks were consoling one another and try to take in the raw emotion of what happened. >> the tears on the woman's face tell you how to overcome many of these people are with the motion. this is going to be a scene that plays out across southern arizona tonight. we're getting word of all kinds of officials and per services. if this is something you are interested in being a part of, send us an e-mail. you can also call a couple of places to find out where you can go to be a part of this.

we've finally heard from the congressman on the shooting. steve nunez had a chance to speak with the congressman on the phone. >> the congressman has worked in public service for 35 years. he has worked many years with gabrielle giffords. she is a political ally and personal friend. he is calling it a sad day for all of us and for arizona. he says now's the time to offer prayers for gabrielle giffords and all of the victims. doctors have confirmed a 9-year- old was shot and killed. let's hear from him. >> >> pray for her and her staff and all of the innocent people who faced with a face.

it is unbelievable. the prayers continue to go out. there is optimism about her recovery. that is great. you feel for the people that have lost their lives in the senseless tragedy that just happened. i do not know how we will get to the bottom of this. i hope all of us have learned a lesson. the tenor and tone of the debate about the issues facing all of us have to be where we respect one another and do not make enemies. we can be opponents but we do not have to be enemies. her whole future is in front of her. we pray for her recovery and for the future to be fulfilled. >> raul grijalva says that the

shooting today may change the way politicians interact with their constituents and how they hold a town hall meetings or meet with constituents in public. grijalva says he and his family had been told to stay where they are at. they have extra security. the same is true for his staff. he says that democracy and politics is not about killing people. it is about disagreeing and walking away from it all. >> thank you for that report from the newsroom. we want to welcome guy ashley. >> there are grim faces everywhere you look. this is disbelief. people to the south of the shopping center say that they know people who work over there. they are waiting to find out whether they were victims.

>> so much is unknown when something like this happens. there is a total lockdown when something like this happens. this is a sense of chaos. you cannot do much. lot of not give a mont information. the scene has calmed down. it is not quite the hot set that it was. >> i drove around the entire perimeter of the shopping center. at all of those various driving possibilities you have a deputy stationed presumably with a swat team holding an automatic rifle. they're not taking any chances. they have the entire area back and down as the interviewed people inside to find out exactly what went on. >> we were showing a video moments ago from a couple of vigils taking place across town.

one was that congress meant giffords'office and another at democratic of course. we're seeing information posted on our facebook page. many of you have taken to the internet to share your thoughts and ask questions. it has been a very interactive day for all of us. talking in feeling emotions. talking to people helps. we have people posting information letting us know about vigils going on throughout the evening. there is a prayer vigil congresswoman giffords and others at the lake at 5:30 today. she is letting us know about that. there is a 5:30 p.m. prayer vigil for a congresswoman and

other victims. we have heard from governor brewer, senator mccain, congress grijalva, and the president. at first, you go through shock and disbelief, then probably the tears and sadness. then you get to the point where you are angry. we have heard so many of our local leaders and national leaders expressing anger and outrage over what has happened in tucson today. >> this will have profound ramifications for all members of congress. oehner said ifbrain one is attacked, they are all attacked. >> from a security perspective,

things are going to change for our public servants as a result of what happened. these are everyday people. they are public servants and leaders, but they operate just like the rest of us. they do not move in big detailed as or have high security with them everywhere they go. >> i know when the congresswoman was running for reelection, you traveled with her. what did you see as far as security. >> nothing really other than the locale or location may have provided local officers to help control traffic or that kind of thing. they are vulnerable. they put themselves out there. they do it because they want to work on that level with the people. congresswoman giffords is not dealing one operates that way. they all do.

the work in the grassroots movements. amy was 5 for 10 people at the coffee shop. they may meet with 200 at a town hall meeting. -- they may meet with five or two people at the coffee shop. security has probably been an afterthought up to this point. we are not talking about bulletproof guards or windows. the governor alluded to something we had suspected. as a result of what happened today, we're likely to see different security with regards to our representatives. we're getting information from the school district. the spokeswoman from the moranis school district says the man suspected in the shooting was a student in that district for at least five years. the mayor says jared loughner

attended a middle school for three years and high school at moranis mountain view high. he had withdrawn from high school after his junior year. she said she could not say anything more about him. the school does her record of his behavior. she did say information about students is private. this is iinteresting information we're getting in about a shooter. >> i heard you break the news about the suspect on the radio as i was driving in. my first question was to wonder how the last name was spelled. his first name is jared. laughner for the last thing.

>> we have made it clear to our friends and yours that our policy is to make sure that before we give you any information, we have to confirm. there have been a lot of rumors going around. you may be seeing pictures of the suspected shooter. you may be seeing pictures on the internet or different networks. we are aware that there are photos of the suspected shooter circulating. we are waiting for confirmation to make sure that before we show tucson, ariz., and the country a photo that we have the right photo. >> we do have another statement that has come into the newsroom. this is from jesse kelly. "may god's strength comfort her as we pray together for her recovery. we mourn for those who lost

their lives in this horrible, senseless act of violence. senseless acts of violence like this have no place in american policy parco kelly was an opponent. >> people from both sides of the aisle have put politics aside and said it is not a day for that. this is about a woman. she is a wife. she has a daughter -- she is a daughter. this is about the woman and other victims -- it is about human tragedy. it is not about politics. even her opponent, the staunchest opponent against him she ran a heated campaign is reaching out to her and the other victims of the shooting. >> as well they should. we have a statement from raul grijalva.

what we're hearing from people across the country sending well wishes and condolences, including from the president. as we take a minute to think about the folks responding, we want to recap what has been going on. we have been on the air for several hours. this morning. we have been on the air since bringing you up-to-date information. we want to take a moment to let you know exactly what went down today in the event you may be just joining us.

you may have been out running errands and want to bring you up-to-date on what happened. the first for 911 call came in at 11:00 a.m. today that the shooting had taken place. we later found out there were at least 11 victims. we found out from umc that 10 victims were taken to the hospital. she is in critical condition. she is out of surgery for wounds from a bullet that went through her brain. they called it a "through and through injury." it went in and out of her brain. she is in critical condition. a nine-year old little girl did not survive today's shooting. we also have a federal district judge john roll who did not

survive the shooting. according to the president, he said there were five fatalities. that information has not been confirmed locally. according to the president, we had five people who died in the shooting today. we also have other victims sent to other hospitals. four went to st. mary's. others went to st. joe's. they're said to be in stable condition. we do have a suspect in custody. it turns out he was in the school district for some time. we heard from a spokeswoman who gave us that information. >> we leave this now to take you to remarks by the minority leader. >> congresswoman giffords, her staff, his constituents, and a

federal judge as well. our prayers and thoughts are with all of them and their families. congresswoman giffords is a great patriotic american, a representative in congress of a new generation of leaders. brilliant, patriotic. her husband is a navy captain who was on the endeavor space flight. her brother in law is in the space flight now. their commitment to our country is a great one. congresswoman giffords is a strong fighter. the news has improved in terms of her condition. we're all very prayerful as we learn more. there is some loss of life. i want all of you to join us for a moment of silence for those

who lost their lives, for their families, to the staff of giffords congresswoman -- congresswoman giffords, family. let us join in prayer with her constituents in arizona as well as to have suffered a terrible loss today. [moment of silence] now a lot of love for our country and to lift our spirits, we're pleased to have the san francisco girls chorus sang about our beautiful country.

[applause] ♪ beautiful, for spacious skies for amber waves of grain majestyple mountains' across the fruited plains america, america god shed his grace on the

and crown thy good with brotherhood from sea to shining sea ♪ beautiful as sorrows pass across the land america, america god bless

♪ o beautiful dream that sees beyond the years america, america god shed his grace on thee and crown they good with brotherhood from sea to shining sea

from sea to shining sea shining sea ♪ [applause]

>> we go now to comments from earlier by arizona gov. jan brewer. >> all of arizona is shock and saddened by the tragedy that transpired this morning in tucson. i have been in contact with law enforcement officials and the mayor. a short while ago, with the president of the united states. the president conveyed his heartfelt sympathy for our state and shared determination to ensure that justice is police served -- felipe served. i am just heartbroken. -- to ensure that justice is served. i am heartbroken. she is a friend. she has always been a noble public service. my thoughts and prayers are with giffords congresswoman -- congresswoman giffords, her

family, staff, and the other victims of this senseless violence. i have ordered the flag to be flown at half staff in honor of those who lost their lives today. it is an unbelievable tragedy that the people of arizona experienced today. in our worst nightmares, we never could have imagined it would have taken place. a lot of information has been provided to all of you. we are in constant contact with some officials. we will be kept abreast. we will do whatever is necessary. i ask the people of arizona

and of america to keep the victims and their families in their careers --prayers. pray for their recovery. pray that we never again experience a tragedy like this ever again. i would be glad to answer -- >> can you talk about your relationship? the last time you saw her? " she served in the arizona state senate when i was in the secretary of state's office. i have grown to love her and respect her. she campaigned statewide. i campaigned in the same areas. not during the campaign but also

speaking to different groups like the red cross or other causes, she always showed up. we appeared often together on the same stage. she was genuinely nice, kind, hard-working servant for the people of district 8. she was always courteous to everyone. she never play partisan politics. she was serious about what she did. she was always concerned with what was good for her district. you have to admirer of someone like that. gracious and is ai very gracious elected public servant. i think it is something that the state will not like to have

happen. tragedies happen. people should be held accountable and responsible for their actions. it does not show favor on the state of arizona. we have a lot of good, decent people here. this is one of those horrible tragedies that we face. we need to move on and make sure that those kinds of things do not happen. i have always been the kind of person that was with the people. i had an incident when i served on the board of supervisors in maricopa county. we had a shooting take place. one of our supervisors were shot.

there was a realization that these things can happen. we have disturbed people in our communities that sometimes do terrible things. sometimes those of us and elected positions are a target. at that time, i was concerned but i was not afraid. security was beefed up. security was beefed up. i have always believed that government should be open and people should be able to access the facilities. i think it is important. i would assume under the circumstances that security will probably be increased. the president was very gracious. it was totally non-partisan. it was not political.

he wanted to assure me as the president that whatever they could do, they would send resources. there would be there for whatever was needed. they would be working with my team to make sure that the numbers were conveyed to their staff. he indicated the fbi would be doing the investigation and that we would be in touch. i tried to explain to him what a horrible tragedy and said they this is for arizona and america. >> have you spoken to anyone circle?ffords' >> i have not. i have spoken with someone who has spoken with her father. he assured me he would keep me posted. i spoke to the speaker.

i have not been able to reach them. >> what about monday? >> we have discuss that. we have just begun working on the activity for tomorrow when we got news that this awful tragedy had happened. we just shot everything down. -- we just shut everything down. we will be determining what direction we will be going. s. did you ever work with m gabrielle giffords on specific legislation? >> they are remember being on the floor with her talking about legislation. that was when i became secretary of state. and have to go back into my

records. >> thank you. >> he is working on that. >> we're working on the logistics. >> arizona rep giffords has been shot and least five people killed. police say the alleged shooter is in custody. he has been identified by people familiar with the investigation as a 22-year-old. the sheriff's county office says he used a pistol during the shootings.

federal officials are examining a myspace page and youtube video linked to him. the myspace page was removed within minutes of him being identified. it included goodbye message published hours before the shooting. it asked his friends not to be mad at him. that is the latest on the shootings today in tucson. we take a look at an earlier briefing from the hospital where they were taken after the shooting. . .

>> so for we have received 10 patients. we currently have five patients in the operating room undergoing surgery at the current time period, and the rest of them are in stable condition without any life-threatening injuries at this point. actually, that's all i have as an announcement, and then i'll take a few questions at this point. >> 10 patients, one dead, five critical, five operating room? >> yes. again, 10 patients that we have received at the current time period. one patient is dead here at the hospital. we have five patients in critical condition and five patients in the operating room right now undergoing surgery. >> can you tell is if the congresswoman is one of the deceased? >> no. the congresswoman is not deceased.

>> can you tell us her condition currently? >> she is in critical conditions. the neurosurgeons have finished operating on her, and at the current time period i'm very optimistic about recovery. >> can you tell us where she was shot and the extent of her injuries? >> she was shot in the head. [inaudible question] >> i do not know that specific information at this point. i can tell that you the person that did die here at the hospital was a young child. >> was she conscious, though? can you kind of give us an idea what her condition was like? >> which patient? >> giffords. >> gabrielle's condition was very optimistic. she was following commands. >> [inaudible question] >> she was shot one time in the head, through and through. >> back to front? >> i can't tell you right now, obviously, for forensic purposes what direction. but she was shot through and through on one side of the head. it went through her brain.

>> when you say optimistic, are you optimistic for a full recovery? >> we cannot tell what kind of recovery, but i'm about as optimistic as you can get in this situation. >> she's currently being operated on? >> surgery has been completed. >> and what is her recovery like now? where is she? >> she will go to our intensive care unit. >> is she in a coma or is she conscious? >> she's under anesthesia right now. i'm anticipating her recovery in the next 24 hours, and i can give you a lot more information and about her prognosis. i can't tell you anything specifically about any of the other patients right now except for gabrielle. >> can you tell us about the child who is deceased? >> my understanding is that she was about 9 years old. >> can you tell us how many other children are victims? >> that was the only child that came into our hospital. ok. well, thank you very much.

>> thank you. >> thank you. mayor, could you join us, please? mayor. bob walkup. >> this clearly is a grave tragedy for this community, a grave tragedy for the state of arizona and for this country. i think this is a time for all of us -- all of us to give our thoughts and our prayers for the victims of this tragedy that has just happened in front of us. i want you to know that what i have done is i have instructed our chief of police that you're going to hear from in a moment to give the absolute complete support to the sheriff's office, who is conducting this investigation. they are the ones -- the incident officer in charge of this tragedy.

our police department responsibility is for the citizens of the city of tucson and for this university hospital. i'd like everybody to understand that the significance of what this means to all of us. to me, it really means to our country. i did have a chance to talk to gabby's father as he came in, and i told him that this community and this state, has gabby's prayers and her thoughts in our hearts for her recovery. i'm very, very pleased to hear the doctor's report that she is still alive and fighting for her life. so those that are fighting for their lives, this is time for us to really say our prayers for a recovery. and for those that died today, they will not be forgotten. they are citizens of this country, citizens of arizona and tucson. with that, i'd like to turn the

mic over to the chief of police that will go into the details of how we can best serve the sheriff's department in conducting this investigation. and i'll also tell you that you need to be sure, as media, that you have the collective information not only from u.m.c., but from other sources to get to the total magnitude of this great tragedy. with that, i'd like to introduce our chief of police villa senor. >> good afternoon. unfortunately i won't have much information to give to you. as the mayor pointed out, this is an investigation of the pima county sheriff's department. i believe they've already held a press conference giving out the details of our investigation. our role here with the tucson police department and within the city of tucson is that we have secured the offices and residences of congresswoman giffords as well as other

congress people and members of the house of representatives. we did that as a precautionary measure. we had no information that there was any threat. but obviously, we wanted to take every precaution needed to maintain the safety of all involved. we will assist the pima county sheriff's department in any capacity that they need from us. i've been in direct contact with the deputy chief from the pima county sheriff's office, who is handling the investigations, and i've assured him that we are here to assist in any way possible. there's not much more information i can tell you except i do stress that you verify your information, because you have two different press conferences and you have different agencies involved. as far as the medical issues involved here at u.m.c. and the investigation is with the pima county sheriff's department. so, thank you. >> sheriff, who is involved? >> well, like i said, as far as

here or up at the scene, it was pima county scherr rflp's department and department -- sheriff's department and they are still conducting their investigation. here at the hospital, it was tucson police department with, the assistance of the university of arizona police department, as well as representatives from the pima county sheriff's department to come down here to help conduct the follow-up investigation. >> can you give us any information about the shooter? >> no, i cannot. that has to come from the pima county sheriffs. my understanding from the sheriff's department is they do have one subject in custody, yes. [inaudible question] i don't want to talk about that at this point. we just made evaluation on who we want to provide security for and we've taken care of that. >> state representatives? >> no, not to that level. federal level. ok, thank you very much. >> can you tell us what congresswoman's father said to you, what you said to him?

>> well, he was -- he's in a wheelchair, and clearly he was overcome with emotion. he had the family members around him. he wanted to be with his daughter. know where was the operating room. and we instructed police officers to escort him down to the operating room so he could be close at hand. and he was very appreciative that he would have a chance to meet with them at a moment's notice. and my understanding is her mother was here as well. so the family has gathered and the family is by her side, and that's where they need to be. >> mayor, you're tearing up right now. how difficult is this day for you >> well, i think that there's not a person in this room, i don't think, that doesn't understand the emotion of losing our citizens in such a tragedy and losing those

citizens, and they will never be forgotten, and those people who have been injured that are near and dear to our hearts. we've lived with many of them. so it's a decent emotion, i think, to tear up when we lose people, and we have people so, as i said, this is a time for us to remember them, to put them in our prayers and wish them the very best, because they're near and dear to all of us. thank you very much. >> mayor, can you confirm or deny rumors that a judicial officer was involved in the shooting? >> i cannot do that. all i can do is really report on and understand what has happened here at u.m.c., and that's why it's essential that you put all this together. you need to get the information from the sheriff's department. you need to put that together, which is a little complicated. but you must do that. and as the good doctor reported, we know exactly what

has happened here. but you need to put it all together from other sources. >> we're a bit unclear on who to contact at the sheriff's department. >> i'm going to ask the chief to kind of go into what he knows about the sheriff's office press conference, which apparently was just held. >> thank you, sir. >> mayor, you know -- [inaudible] >> i do not have any information on that. we don't have any information on that. as far as for the sheriff's department, my understanding is held at the westward look. they will be having information, i think, also, another press conference tonight. so they will be putting out that information to all media outlets. >> can you tell us if there's any reason to believe if there's anyone out there at this point in terms of -- >> we have nothing that the sheriffs have relayed to us to indicate that that's an issue.

but obviously, we take all precautions. >> right now you think it's one shooter? >> like i said, right now that's going to have to be answered by the sheriff's department. that's something we can't say. >> is the hospital on lockdown right now? >> no, we have security provided, but there is no lockdown of any kind of thank you all. >> thank you, chief. we have another speaker. president shelton of the university of arizona. >> good afternoon. heard from the key people so far. i want to take a moment to acknowledge the extraordinary work of the security people, whether of the county or the city, the uapd, and in particular, the staff here at u.m.c., the physicians, the nurses, all of the people who are involved in providing the kind of care that is unique to this facility. and so i just take this moment to acknowledge them and thank

them for all that they have done, from dr. rhee and all of his team. thank you again for being here. i'm sure there will be more information coming out. >> some of the earlier coverage olt shooting of representative gabrielle giffords, who was shot in the head earlier today by a man who opened fire during an event she was hosting in northwest tucson. several other people were wounded and at least five people were killed, including federal judge john roll and a 9-year-old. according to the a.p., doctors say representative giffords was responding to commands. the 40-year-old congresswoman was re-elected to her third term last november. she tweeted shortly before the shooting. she described the event. she was holding the "congress on your corner" event writing in a tweet, "my first congress on your corner starts now. please stop by and let me know what's on your minds or tweet me later."

we've also heard from a number of political leaders, including john boehner and house speaker nancy pelosi and you can find those on our website, c-span.org. we'll take a look now at previous comments by president obama from the white house. >> as many of you are aware, earlier today a number of people were shot in tucson, arizona, including several who were meeting at a supermarket with their congresswoman, gabrielle giffords. we are still assembling all the facts, but we know that representative giffords was one of the victims. she is currently at a hospital in the area d