hello to c-span and cnn. thanks for following this. we are on twitter. jake sherman will join me in a minute for some pre-game. one of our great congressional correspondents is going to take us behind the scenes a little bit, set the table for a great conversation with house majority leader erich -- eric cantor. i would like to think the bank of america for their continued partnership, talking about the issues that matter most in washington. thank you for coming and making this possible. >> it is great to be here. enjoy getting applause. we do not get that everywhere,

so thank you. we did announce earnings this morning, and actually made money. >> that was the applause. >> hopefully there is a future for our relationship and support of politico. we appreciate the opportunity to have a sober political dialogue on important topics of the day. it is my job to meet with a lot of consumer groups, groups where we engage in discussion about important issues facing the future of the financial-services sector. we know that those conversations have been heated at times. the opportunity to really have a balanced, sober conversations about tough issues, i think is something we feel strongly is very important as we head into challenging times for the country. one other point i want to make is we are very proud to have a relationship. you will see on your chairs some cereal -- some material about the urban alliance foundation, a

mentoring and jobs program for high-school students here in the district. a shameless plug -- i was one of the early founders of that group about 15 years ago. in my absence as i moved to charlotte, it has become one of the great youth employment and job training programs here in the district. it is always looking for host sites to take students and put them into employment opportunities, internships, given the job training for their futures, to have great opportunities. we have some of the students representing the program here. i would encourage you, if you have the time, talk to them. they are a source of great inspiration and optimism for the future of the country. it makes us all feel like there is hope ahead. if you are interested in

hosting a student, you all worked at institutions and organizations here in town that i know would be interesting places for these students to have an opportunity to work. look at the material. feel free to call veronica nolan, the executive director. truly one of the great nonprofits in the country. reach out. we would love to have additional support for the program. thank you. >> thank you for coming up from charlotte. i appreciate you having the idea for the urban alliance, which is a great program. thank you very much. before we get started, i want to remind you, #playbookbreakfast. jay sherman, a gw graduate, a hard-working congressional correspondent. you do my homework for me. what is the most important question i could ask the house

majority leader, eric cantor? >> the big thing as we get toward the end of the year will be the tax rates. all the income brackets go up. >> taxmageddon. >> and there is an election going on, so this is not an easy time for things to get done. we will see toward the end of the year republicans tried to force a lot of votes on tax rates, corporate stuff, individual stuff, trying to get democrats on the record for supporting higher taxes. that will be a big thing. >> back up. get them on the record supporting higher taxes. this is a show trial, right? >> it is also a way for republicans to lay the groundwork for the rest of the year. they want to show what they support, which is important for them, as they go to this taxmageddon. there is not much moving. it is almost may.

we have until november for the elections. they have to fill the time, which is always interesting. on capitol hill, there are always interesting things to fill time with. that will be what we pay attention to. obviously, the election is huge. i would be interested to hear what cantor says about this. >> you had a story, "your congress at work." the story is the top of our home page. it is about the do-nothing congress. tell us what you said in the story. >> it is always interesting to take a step back and look at what congress is doing, as if you were not involved in the political process. if you looked at yesterday as an individual day out of a year, there were votes to honor roll alan berg -- to honor traul allengerg.

there are striking a coin for jack nicklaus. opening federal land for hunting. remember, we have gas prices above $4, $15 trillion in debt, as a backdrop for those books. the senate is trying to reform the postal service. that is bogged down in an unrelated argument over aid to egypt. >> let us say reforming the postal service is the big thing the senate is doing. >> right. also marking up a budget, but they will not allow any amendments to come to the floor for a vote. so if you are watching from ohio or west virginia and you see this, my sense is you would not be particularly proud of your elected officials. >> some of these art easy punch lines. but you point out in your story that this raises larger questions. >> the large question people should ask and to ask is -- is it congress's mission to lay out

messy votes, or work together to find solutions? you'll get various answers from people. that is the constant struggle. there is a vote today on the 20% business tax cut. a lot of support from republicans. but the obama administration and the senate have said they have no interest. >> is there support from democrats? >> to be seen. they say it will give tax cuts to hedge fund managers and rich folks, which is always the argument they have when tax boats go up. we will see, but it has no chance of passing. >> will democrats work with republicans? we had a fascinating story about the death of the blue dogs. i think there are maybe 24 blue dogs. six of them are retiring and five are in danger, largely because of redistricting. >> one bright point for republicans yesterday is they passed a highway bill that is going to go to congress. the senate, there will be a

highway bill in the next couple of months. it cut huge democratic support, and democratic support to build a pipeline from canada, the keystone pipeline, which has been a huge political issue. they worked together, and it passed. the payroll tax cut is another example. but there has been no grand debt deal. there has been no huge "we put the nation on a stable fiscal trajectory puzzle -- trajectory." >> we are going to ask at the top about the possibility for some sort of deficit deal this year, or in the lame-duck session after the election. what wheels are turning on that? what is underway? >> at this point, there is not much in plain view. the idea is that when the tax rates are up at the end of the year, there is a chance for a massive deal. it depends whether romney wins the white house or obama wins the white house.

obama has said he is interested in an executive deal. so has romney. we will see. they have tried, as chronicled in recent news stories and books, to get a deficit deal, and they have stumbled at every opportunity. >> what is the most optimistic case for a deal? what are the conditions where a deal could happen? or is it impossible? >> we saw that it was close. the idea would be when the tax rates are expiring, obama would say, "i am not extending the top rates." the idea would be to reform the tax code and do something to change the rates that republicans would like and democrats could agree to come and kind of lump in their medicare, medicaid, social security -- a grand bargain. that is the best-case scenario at this point, to couple them with these tax rates, which both parties agree need changing. democrats say they do not want to extend the bush tax cuts.

republicans want to reform the whole code. >> it was said on one of these programs the other day that there just are not the conditions or the incentives for there to be a deal in the lane duck. on the other side, i cannot imagine these guys having the guts to raise all those people pay taxes. i can imagine at least an extension. >> that is right. >> you think jim is wrong? >> well, no,. ' -- well, no. jim is right, for the record. but if obama wins the white house, they might do an extension. once there are new legislators in place, january, february, march, there could be a large- scale deal. if romney wins the white house, i do not see there being an incentive to get anything done, if the senate gets more republican. >> when there are no cameras around, what do they tell you about mitt romney? >> even when there are cameras

around, they do not say the greatest thing. a conservative republican from texas is more excited about the prospect of beating obama than about romney. >> can you explain to them they are related? >> that are related. that has been the tenor. a lot of people are excited. they could be obama if the conditions are right. >> i would not have predicted that. >> republicans on capitol hill would not have predicted that either. >> why is that? there have been stories about it. but why? it is in their interest for him to do well. why do they not at least act fired up? "like to complain is the main thing. -- >> they like to complain, is the main thing. at the end of the day, they need to rally around him. john boehner and page mcconnell have been quiet throughout the

process. >> went out on a limb. >> a moment of courage. but they need to get excited. that art starting to, behind the scenes. there are machinations, getting them on the same page, talking about the policy of the leadership. >> walk through that. >> the hudson conference calls, at least two, between top romney policy advisers in boston and top advisers to eric cantor and john boehner, mostly planning sessions. when mr. chen was in d.c., he met with congress members not committed to romney, trying to get everybody on the same page, talk about how they can work together. this is going to, if not complicate -- it will complicate. it will make the coordination difficult, going forward. they have to make sure their presidential nominee is on the same page. even people close to romney say

they are not always on the same page. it will be interesting to watch. >> while congress was on its district and state work period, jake, for spring break, went out and covered mitt romney. >> in beautiful pennsylvania. >> what is it like to cover mitt romney on the road? >> it is different. on capitol hill, there is never a time you cannot ask the decisionmaker a question about his decision. they do not always answer, but you can always -- there are very few times you cannot find somebody to answer questions. romney, you are lucky to get a question on the rope line. that is the defining difference between covering the campaign and covering congress. >> that is intrinsic to a national campaign. what specifically moves from the? how long were you with him? >> i was out with him two days. i have been out with him for

similar times throughout the year. he gives speeches and shakes hands. other than that -- >> did you talk to him? >> i shouted a question. i would not say he was -- >> have you shaken his hand? >> i do not know. maybe in new hampshire, early on. but it was really cold. >> there truly is very little interaction. >> the reporters on the trail, he has not been available in months. if john boehner or eric cantor was not available for a month, i can not -- i cannot imagine the outcry from reporters on capitol hill. >> what did you learn about the country or the process? you are coming at this process with fresh eyes. >> mostly that it is a lot different from capitol hill. it is really a bubble. i know it is a cliche, but it cannot be overstated how kind

of -- >> we sort of knew that. but what raised it? >> after the first event, hearing the same thing for several days in a row -- i was at an event at the launch of his pennsylvania operation. rick santorum was still in the race. he was giving a speech from a rooftop of the building where his offices are. i was not even able to view -- i was in a side room, listening on speakers. i could just stay home. there is not much. but news organizations have to be there because it is important. but there is not much interplay with reporters. >> you have also been on the road, covering congressional races. interesting primaries coming up. >> in arizona, an interesting one between the son of former vice president dan quayle and a traditional conservative guy and a tea party guy. in florida, john mica, the

transportation committee chairman. it is very close. quayle is losing by a hair, but his people are confident he will pull that out. in florida, the transportation committee chairman, a longtime member of congress, versus a freshman, and the atoms. -- andy adams. they got redistricted together. mica is favored. there are some nasty races across the country. baucus is in arizona. florida is also this summer. republicans will hold both of those seats, so it is not a big deal for the overall outlook of the house. but inside the republican conference, which is kind of what insiders care about, and very interesting.

>> we have already had at least one long-time member about up. >> who is that? i forget. >> who is in danger of being knocked off? "interesting strategy from the democrats -- your talking about gene schmidt. i am sorry. the democrats think they can capture seats in california, illinois, and new york. that is one of their paths to winning the house. they are trying to knock off longtime members of california, a big stake. they think that is their way to gain seats. if you talk to republicans, i think mr. cantor will agree, between 8 and 15 seats is the ceiling of what republicans think they can lose, which is a long way off. >> and the flip is -- >> 20 something. the math is not so clear at this point in the morning. that would put them a long way

off. >> take us behind the curtain. what is it like to cover eric cantor, they today? >> covering the house republican leadership, there is a lot of availability. they have a conference every week. they do speak to the press. mr. cantor is very accessible to reporters. he does not do a weekly session anymore. a lot of members of congress are frustrated with the 24-hour news cycle. he is not even close to the only one. >> what do they articulate? i think it would love it. most members of congress want coverage. what is the frustration? >> i think twitter is a big thing. @jakesherman follow me. not a big problem for me. steny hoyer and two democrats in the house -- his staff has asked

people to not tweet, not file from inside the room. the have not prohibited it, but they have asked for attention. congressmembers one respect, to think people are listening to them and paying attention. >> but they are treating themselves. >> a lot of them are not. the smart ones are not. they want things to be about substance, and not quick questions. people like ceri -- eric cantor have 900 million things on their plate. they might not know the answer to question x, and that becomes a big story. >> next tuesday, a book is coming out by robert draper. he had a lot of behind-the- scenes access. his shtick was that he was physically on the hill every day of the session from the midterm to when he finished the book. you have not seen it. >> i read the excerpts. >> part of a good breakfast.

what do you hear about the book? >> there has not been much buzz. i do not know how much new ground there will be tread. >> people know he spent a lot of time with the north 3 house republican. >> he spent a lot of time with kevin republican. -- he spent a lot of time with kevin. he had a favorable peace in the "new york times "about kevin mccarthy and his process as a whip. because of the 24-hour news cycle, a lot of this stuff gets out. a detail from the meeting will not hold five months, let alone five minutes. >> what do you wish you knew? if we took you out for a month, which we are not going to do, so do not get your hopes up -- if you had a month, what would you like to know about the hill?

>> if i were him and i was not good to report everything for months at a time, i would want to go into a closed republican conference. that is kind of where the sausage is made. >> what do you hear about them? are the collegial, hospital? >> a lot. they are friendly. there are a group of people who are not afraid to share their opinions. >> let us be specific. who are you talking about? >> there are members to stand up -- >> like who? >> i am trying to think how to answer that fairly. there is definitely -- i will put it this way. is during the debt ceiling deal, an sterling, the house republican conference chair, held up a copy of "politico" and was not happy with the leaks.

people have the incentive to share what is going on, because they do not want to be blamed. they want somebody else to be blamed. they want to shelter their allies. you have 242 republicans. one member said it best to me. it is like being in a group of high-school class presidents. they all are trying to outmaneuver one another in subtle ways and very bold ways. i would want to get inside of those meetings even more than we do already. >> people talk to you because you are charming and hard- working. why else? >> you have to ask other people. i think the key is a lot of reporters who are here -- you just have to be here all the time. >> that is different from the white house. >> you could be there all the time and not break news and it would not have to do with you. the white house wants a story out and they will go to "the new

york times" or "usa today." for capitol hill, people do not always have press secretaries. members of congress, people who have power, they are walking alone, and they will talk. these are former state legislators. these are former state political people. they like edition. they love the game. that is why they are here. they are playing the game, and they are better at it than anybody else. they want to be liked. they want to show how smart they are, how they are gaining the system, how other people are gaming the system. that is what information is free-falling on capitol hill. >> who is known to talk a lot? we know mccain would talk after the tuesday lunches. >> there are a lot of people on the hill. jason chavis is on all the time. anthony wiener was on all the time, but not anymore. >> that is one of the experts

from the robert draper book. he would go and complain to his staff who would not talk. >> there are people who complain to their staff still. it is a double-edged sword. some republicans love the fight. others shy away from it. there are people who will not talk to hill newspapers like "politico "and "roll call," because it does not help them back home. >> to bring you into the conversation -- this is your chance to take a shot at "politico" hill reporter. what have you got for jake? >> i read the "new york times" piece about why the debt deal, the grand bargain, fell apart. maybe this is living outside of

washington. but it seems so obvious that you could get a deal done. there seems to be a common sense approach that will raise some revenues and cut the spending, and that there is a massive consensus in the country that would support that. and i always am stunned that it cannot get done. why can't simpson-bowles simply get enacted? >> the framework was up for a vote, and i think 33 out of 435 members of the house voted for it. here is an overriding problem. the republican leadership has spent 16 months since the new majority -- they have spent a year saying, "revenue is not a problem. this is spending." if you have people who you are supposed to trust, and that you admire, people in the

leadership, saying, "we do not have to raise taxes," at what point do they come back and say, "let's do that." this has been a talking point for a year. they do not fundamentally believe that raising taxes is a good thing. everything needs to be revenue neutral with these guys. every deal that they have done, they have made sure it was generally -- some of it had a little bit of revenue, selling off spectrum, things of that nature. they have said it is not the problem. these are people who fundamentally, a lot of them, do not believe that government is any part of the solution. they do not believe in government, a lot of them. they do not believe the government has the answer. giving the government more money, they do not think, will solve anything. >> that is half an answer. one of the tension points in the

story was that there is blame to share. i think he put more of the blame on the house republicans, but the white house was also to blame. >> john boehner set that up everywhere he karen. >> this is half of 1/3 of the government. that is what he says. >> said on cbs that the president lost his courage. i think it is a mix of both. i think a lot of democrats think the president has gone too far already. why keep going and doing what house republicans want? and now we are kind of way beyond any reasonable point of return, at least for this year, at least until the election. >> how do house democrats look at the white house? >> depends who you ask. a lot of people are disappointed, but they see 242 republicans who, in their review

-- in their view, have been unwilling to do anything, and unwilling to strike a compromise. they think the president of hands are tied. other people think that if he had said no, republicans would have relented. obviously, there are shrewd people down at the white house. >> if we put house democrat leader nancy pelosi on truth serum, do you think she would regret what she did, losing the gavel? >> i think she thinks she will get it back. she thinks the once and future speaker. they think they will get the house back. she raises twentysomething million dollars for them. that is hard to say no to. even by democrats who do not like her. >> do they really think they will get the house back? >> a lot of them, yes. but remember that in 2010, after the were called -- after

it was called a republican house, they did not believe it. this is not over yet. nancy pelosi is a masterful fund-raiser. she has done north of 200-some events this year, which is unheard of. she is an animal. she is everywhere. she raises money in texas. she raises money all over the country. >> breakfasts, lunches. >> and the time the house is in session, she has raised money. she is the rainmaker for them. >> cantor is a prolific fundraisers himself. >> he has done a lot of good fund-raising in new york. >> he has been doing this since before he was elected. >> one of the ways he got into leadership, one of the ways he is so powerful, is he has a lot of money, and he gives a ton of money away.

he raises money in new york, chicago, los angeles, and increasingly san francisco. >> clothes are all blue areas. >> there are still people in financial services who lean republican. he raises money from pro-israel and jewish donors, being the highest-ranking jewish official, or jewish democrats who think he is very strong on israel. money is the who else is been known for being at it? >> john boehner. eric cantor tends to raise and give money out. it is an interesting distinction of the less. mccarthy is very good. you have to be good at this game. alan west, a freshman.

>> with cantor, it is putting in the time. constantly. >> you need to be personable. these are people who are cutting checks. they can donate $50,000. you are asking for $50,000 with little return. that is a lot of money to hand over to someone you may not see again. you need to be personable. you need to put in the time. you need to be willing to be away from your family on the weekends. >> is the author of a book called "young guns." art it is still the three -- are they still the three amigos? >> paul ryan is very interested in the budget staff. less political, but interested

in policy. there is a young gone up super pac -- young gun super pac. there is decanter brand attached to it. -- cantor brand attached to it. there are two eric cantor people running it. they have all donated to it, i think. the to have all given money to the super pac. >> what about the speakers? there is also a speaker's pac. "politico" had an interesting story. how much is there regarding does? >> it will be super important.

the congressional fund i believe this suit in -- swooped in. that will be a force. very established super pac. a lot of money behind it. this'll be the first election were these super pacs with a brand play a big part. they will play a huge part >> do super pacs la. >> day super pacs last? -- do super pacs last? >> i recall him saying he does not remember any cry to not have them anymore. you run the risk that it and not

allowed to coordinate officially. that could be a problem. >> last question, if republicans keep the majority, with their be a change of leadership? >> if they keep the majority by one seat, i guess there is a possibility at that point. it would be difficult to see how somebody as a majority speaker would be in any danger of leaving. >> what about on the democratic side? >> that is a mess. nancy pelosi will do what nancy pelosi wants to do. a lot of people try to get her out last time. it'll be interesting to see who will be the next democratic leader. there is a gap in a lot of different parts. >> who would be on the list? >> i think that there are two it means that people should watch

out for. >> thank you to you, jake sherman. glad to welcome eric cantor. thank you for coming. we appreciate. thank you for coming. i have been covered before a while. >> yes, you have. good morning. >> thank you for being here. what was the first political office you held? >> being a delegate in the 73rd district in the virginia house. >> how is that similar to what you do now? >> it is somewhat similar. there is a confidence that voters give you to be able to go and reflect their views in policy making role. i tell you, i started my

political career based on the experience i had as a small- business person. i was a real-estate lawyer and developer and ran a family business along with my brothers. i face the challenges that most businesses do every day. i brought that experience with me to the table at the state level and policy making level and interacting with regulators and administration there. trying to make it easier for entrepreneurs to succeed. >> what we are hearing from business people now is there is some sort of deficit deal that there could be a slowdown of the consumer side and the business side. >> there is a lesson to be learned from what happened last year. i think the public expects

results from washington. a lot of us are frustrated that we are unable to see the results that we would like. as you recall, speaker boehner put a goal out there that if we are going to increase the debt ceiling, we will make sure that we will find the right cuts to match that increase. unfortunately, we cannot get congress to go along with it. i think we need to do everything we can to watch the spending. we need to be managing this deficit in a big way. over time, people are beginning to appreciate that watching the spending and shaving off unnecessary spending and getting rid of waste, fraud, and abuse is one thing. but getting to the root of the problems is where the two sides have a lot of difficulty coming together. >> what is the chance that there will be some sort of deal after

the election? >> again, i think the country is in no mood. the economy is a very frail. we cannot see another near calamity. the debt ceiling is not a positive thing. we all need to work together towards resolving differences. in the lame duck session, the country will have spoken. there is some indication of a direction that the majority wants to see us go. we need to avoid calamity on the debt ceiling. >> let's say that governor romney is elected. >> you can look at it that way. a month later, the tide can turn. the new party can be in place.

hopefully the election will serve at the end point of this big discussion and we can get on about solving problems. that is my hope. the lame duck will then be, ok, voters have the opportunity to speak out. we are where we are. let's get together and solve problems. >> do you foresee a deal by december 31 to avoid the bust tax cuts? what will happen? >> the house will do everything it can to make sure that taxes do not go on anyone. we will make some moves to out there year to reflect the notion that we do not think washington -- >> of the house can do everything it can, that is fine. but some said there is a possibility that these tax cuts will expire. >> it depends on who wins. it really does. i believe that mitt romney will

win. he is in a position to make sure that no taxes will go up on anyone. we can also provide for a transition period so we can put tax reform in effect. >> a letter was sent to house republican leaders in ways to avoid spending. as i look through the ways that you suggest to cut, it sounds very much like the ones that you were dismissing a moment ago. restraining spending on bureaucracy and waste. >> i did not diminish the importance of doing that. >> what is the dollar volume

you're likely to get out of the next few months? >> you will see rick jone reconciliation package that will allow us to save at least for a year pursue the region not see the pentagon hit with a sequester after the president's budget. these are not e inconsequential spinning's. -- savings. it really is the entitlement question that we have to address. >> if i am working out the pentagon, should i be worried or not? >> there is no question that the

pentagon is trying to do more with less. >> let me try to digram that sentence. you want to support the pentagon in trying to do more with less. >> they are trying to do their best under the president of's budget. budget.dent's they are going through the motions of where there can be savings. they are finding out more efficient ways to do things. bring innovation to bear. managing techniques. we want to preserve investments in our defense community. we want to shave off the inefficiency and waste and get on about what the mission that the pentagon lives under, which is the defense of our country. >> i had a conversation with

jake sherman earlier. it seems as if there could be a lot of changes for taxes, but it could not help people. >> the 20% business tax cut was never proposed to be the ultimate. we know what we have to do. we need broad tax reform. it lends itself to the competitiveness of our country worldwide. it will make sure that investment flourishes again in this country and get washington out of the way it from picking were capital should go. that is what tax reform does. the trent 2% small business tax cut is something that we felt -- the 20% small-business tax cut is something that we felt would help. we know jobs in the economy is the number one issue facing

people today. they want to do something about it. >> let's see how good you are. how many democratic votes when you get today? >> i never pretended to be a good counter on the other side of the aisle. i think the president signaled that he was to help small business. that is why i question the signal that he will veto a small business tax cut. >> you mentioned tax reform. "politico" had an interesting story. there is a push to get tax reform that you can take up in 2013. how far do you think the tax reform will go this year? >> the whip and another are planning sessions on what to do

with our tax codes. >> that does not sound very specific. >> we know that the goal is to bring down rates. we know that the goal is to get washington out of the business of honing capitalism and rewarding those with affluence. get rid of the preferences and the loopholes. make the system a lot flatter and simpler and fairer. we also know that over 45% of people in this country did not pay income taxes at all. we have not questioned whether that is fair. it should be broadened the base in a way to lower the base for everybody. if you have 45 percent of the people who are not paying income taxes in the country, should they even have a dollar in the

game of income taxes? the purpose should be to bring down rates for everyone. look at the corporate rate. we have the first highest corporate tax rate in the world. that does not look well for america. >> how might that be addressed? >> we need to look at where the burden is and what is best to help those who are at the bottom sector of the income scales. how do we help them with their income mobility? that is what we want to do. how do you help people who want to have a better life? who want to have higher wages? you create growth in the economy. how did you do that? street and out the tax code and fly and not the rates. -- straighten out the tax code and flatten the tax rates.

look at the reality of the income disparity in this country. how do you fix it? increase income mobility. >> after many years, the shape of the tax reform debate is clear. president obama has put out a plan where he talked about lowering corporate tax rates and getting rid of loopholes. it sounds like this should be doable, but you are smiling. >> again, we should be putting into effect tax reform. what we hear from the white house is that tax reform means tax increases. >> but that is not what they say. they say they want to lower its. >> but that does not happen. when president obama unveiled his proposals for international tax reform, all of a sudden,

there is now a minimum international tax that american- based companies will have to pay. that puts them at a disadvantage. >> that would be a deal killer for you. >> you have to think about what the goal is. we need to be more competitive. we want more revenue generated by a growing economy so we can help manage the deficit and debt. you did not do that by saying that he will raise taxes. there are consequences to that. we want to create jobs here at home. but companies may move abroad to escape higher taxes. >> so house republicans will have a package to move forward? >> we have been very bold in putting forth prescriptions, something the other side has not

done. i believe that we will be looking at all of the issues. there was a hearing on the retirement provision in the tax code and what did tax reform means to those retirement provisions. this is not easy stuff. >> day will be the comprehensive tax reform will pass in 2014 -- do you think the comprehensive tax reform will pass in 2014? >> this is tough stuff. we want to make it simpler. >> it sounds like you are not really confident on comprehensive tax reform. >> i believe that there will be some comprehensive tax reform. we know the we are working with 435 members in the house and more in the senate. we all have to learn that in order to get results, we will have to come together. when you say my kind of tax

and other tax reforms, we all want results. >> for those of you on c-span and live stream land and twitter, give us your questions and responses. that will be handed to me in a minute. we will hear from a white house respondent. but first, let me ask you about the house leadership. "politico" talk about peace talks. why cannot get along? >> we really do get along. there is some notion among your profession that we need to have a story there and say that we do not get along. we do get along. the speaker and i meet all the time, one on one and in groups. >> let's be accurate.

>> i can tell you that we do get along. we have a professional relationship and a personal relationship. we are able to match as a speaker and majority leader in a way that allows us to function. we have regular communication. i think that there is a fascination that is misguided. >> does it bother you? do you think you should do more to correct it? >> i think the misplaced fascination no longer bothers me. >> so you are saying that there is the reality to it at all? >> no. >> at the white house, they are giddy at the opportunities that you have represented to make this a contrast composition between president obama and the republicans.

do you feel in the sense of where this goes now that you need to listen to what's the republican nominee wants going forward in order to knit that contrast but white house is eager to get? >> the public polling suggests that it will be bought jobs and the economy. we welcome the opportunity for voters to see the difference as to our vision of the direction the economy and country should president's.the his policies have failed. people understand that. that is why you can see in pulling that anxiety levels are very high in this country. they do not have confidence in their ability to make it through

the month. it is tuition prices and health care prices and gas prices. it is the uncertainty. that is why we welcome the opportunity to debate the differences that we have with the white house. >> is mitt romney a true conservative? >> yes, and he is. he is someone who has a proven track record in the one area where voters are most interested to see results, and that is jobs in the economy. he is the only one who has that track record. he's certainly beats the president in terms of job creation. he is also want to put out a bold plan for growth. this president has not done that. >> you have a lot of irons in the fire. what are you playing in the

romney campaign? >> we want to help him in any way we can. i am very focused on helping our candidate deliver the message that we are the party of small business, opportunity, and job growth. we have the prescriptions and want to put them out there to help small businesses and entrepreneurs and how to ensure that america becomes a star a country again. we used to be known as the place to come to if you wanted to make a better life and strike out on your own. we really are the country of economic freedom. we are the country that says that that economic freedom for its ordinary people the ability to do extraordinary things. that is what we want to restore. mitt romney has the track record to say to people, it is all of us together reclining that

dream. >> why are so many republicans look warm toward mitt romney? >> i do not think that is true. >> do you talk to them? >> again, i would say that we need to stop selecting the ones who may want to give you the message that the narrative you want to betray, but our conference is excited -- you ant to portray, but our conference is excited about uniting behind mitt romney. this election is about making life better for people who seem to think that america has forgotten what has made us so great. >> you think republicans are on fire and excited about mitt romney?

>> i have been to a primary process and it has been pretty rigorous. i think we are now at a point where members in our conference are satisfied that mitt romney is going to be a terrific candidate for us. they are getting behind his candidacy and his policies in contrast to those in the administration. >> what is the law for the house? >> i am very bullish on the house. i am very confident that we will strengthen our majority. as you know, we had a program in place that stemmed from the young guns program that is in place. it served as an excellent vetting and grooming program for

candidates. redistricting has yielded a safer playing field for us. i think many incumbents that were elected and what were swing seats have been shifted off the category. we are looking at playing offense and potentially to have 30-40 seats in play. >> what is the most that you can gain? >> if we are looking to make sure that we are playing offense -- >> i am sorry. how many do you think you will gain? >> 30-40 seats in play is our goal in offense. >> you'd think it and pick up how many seats? >> we will see how things will go. on offense, 30-40 seats. >> most people seem to think

that you will lose some seats, but you are saying that we will gain seats. >> i am optimistic about our ability to strengthen. >> but that does not we said before. >> but that is what i said. we've got to a question about running. should he put bob macdonald on the ticket for vp? >> i think he would be a great bp. >> how would that help? >> i think he would be great. if he is on the ticket, and he will help us in virginia and north carolina and in a lot of states where voters matter. bob macdonald come he was my seatmate in the house of delegates when you and i first met. he is a father, a family man, a

businessman. he is someone who understands what the independent voters wants and that his results. >> and you heard some of the issues that came up in virginia? >> i think that his leadership in virginia has been stellar. look at the public polling in virginia. bob macdonald is a very popular. he has been able to manage the budget. the state has unemployment numbers that are much less than the average. i think he is very strong. >> what about paul ryan? >> paul ryan is terrific. i said that before and i will see it again. he would be a great leader. >> how would he helped mitt romney? >> paul ryan demonstrated the ability to lead on matters of budget. he has a clear grasp on the

budget than anyone i know. he is serving in congress. he understands that we need to get our fiscal house in order. >> would that give him some vulnerabilities with the middle? >>people want to see higher wag, tuition in college come down, they want to see gas prices come down. they want to see neighbors with more job security. all of these things have been out there with uncertainty in people's lives for too long. and the leadership in the warehouses not responding to that anxiety. that is why -- in the white house is not responding to that anxiety. that is why mitt romney with whoever he picks will be what the people are looking for. >> i was going to ask about brian mcdonald. i want to follow-up on that, but something you mentioned -- and

i've heard this mentioned a lot by conservatives, 45% of americans not paying any federal income tax. what are you doing about that? are you saying we need to have a tax increase on the 45% that right now do not pay any income tax? >> i'm saying that on a macro level, you've got to discuss that issue. what is going to fund the necessary operations of the federal government? how do we allow for that to take place in a way that we can see a growing economy. what ever the scenario you, you may choose to embrace about cutting the spending or reforming the entitlement programs, the necessary piece is a growing economy or you will never manage down and back to balancing the budget. that has got to be the goal. how do you deal with that? how do you deal with a shrinking

pie, and a number of people and entities that support the operations of government? and how do you go about continuing to milk them more, if that is what some want to do, but preserve their ability to provide the growth engine? that leads me back to saying those at the bottom end of the income scale want nothing more than to increase their income, to get up the ladder of success. the goal should be, how do you do that? i have never believed that you go and raise taxes on those that have been successful, that are paying in, taking away from them so that you just hand out and give to someone else. they want the ability to get up the ladder. those are the kinds of issues we've got to be asking and fighting resolution to together to affect -- a finding resolution to together to affect tax reform. >> on the bp that surge up, i'm

wondering if you can give some guiding principles to romney in who he should be looking for. should he try to put a woman on the ticket? your name was on the list for mccain. should eric cantor be on the list? >> no to that answer. eric cantor is not interested at all in that. and jonathan, i will just say this. the election is going to be very clear. there will be a very clear choice. it is mitt romney's choice. he will make that decision. he will set the tone on what the terms of the debate are. and we welcome that contrast with obama in terms of the economic vision with this country that is so central on the minds of so many in america

right now. >> you got in a little hot water for supporting a challenger to a house member. what did you learn from that episode? >> i made a commitment to a colleague of mine way back and i felt it necessary to live up to the word that i gave that kolly. >> and what sort of -- what have you learned? you got a lot of blow back from your conference. what did you learn? >> decisions that you make are sometimes not easy. but most importantly, you live up to your commitments and you make sure that your word stays good. and your word does not mean that some days it is good and others is not. >> a very interesting behind- the-scenes story on politico about this. it said that the member who lost, the representative of illinois -- you supported his challenger -- said that according to a half-dozen

reports, it said that you would not be saved. what do you have to say about that? >> i will say only that it was a commitment i made to a colleague. >> you believe that he said that? >> again, i am not commenting on that he is an upstanding individual who served his constituents well. >> you think there's any anti- semitism among members of congress? >> no, i do not want to say anything about those remarks. i do not want to talk about anything having to do with the sort of darker side of any kind of comments made or whatever. >> you are saying there is a darker side. >> all of us know that in this country, we've not always gotten it right in terms of racial matters, religious matters, whatever. as we continue to strive for equal treatment for everybody.

but to sit here and say that in america we've got it all right now, i think pretty much all of us can say that we've still got work to do. >> we are talking about the house republican conference, not america. you are just back from a trip to google facebook. tell us about your tweet wall. >> we've got to go where the people are. we have tried to be very aggressive in opening up the kinds of things that we are doing here, making them acceptable to the people of the country. so much of what the people of the country see and feel coming out of washington has, for the longest time, been controlled by others. social media has enabled the people to actually assumes some ownership, to control the kind of news they want. they want to be able to

interject themselves in the debate on certain issues. >> tell us what your twitter wall looks like. >> is a twitter what, a panel. >> is it in the waiting room? >> it is in the lobby, a central place where everybody has to walk by to get to the office. it is a clear reminder that everything we are doing should be ventilated with the public and the people that sent us here. we will end up getting a better work product if we pay attention to the fact that we've got to engage the public. it is they who sent us here. that is a social media, whether twitter or facebook. is any of the platforms now online, and in your pocket. they allow people to engage in a much more rapid fashion, for sure, and in a much fuller way. the more we can do that, the more we can invite people in. we have a project called the citizens co-sponsor project. >> that is on facebook.

>> we just launched it and is to be compatible with facebook and other social media platforms dot where people can incorporate what they like and the things they are tracking in the legislative process into their home page, into their profile page, so that their friends can see what is going on and they can also get the update. they can see what is going on and it can spark some interest. they can say, i can go in and figure this out as well and become an honor of the process, too. >> what can washington learned from silicon valley? >> one thing i was told when i went out there early on was that in silicon valley, you wake up thinking globally. that is an interesting added because i think it means -- and interesting adage, because i

think it means that we are the first to innovate and we can take those ideas and bring them to the market. what i think we learn from that is the onta and a real drive -- entrepreneurial drive, that commitment, that we do not stymie innovation -- that is what we learned from silicon valley. america is the frontier to the world. >> very specifically, how could the house changed its approach to mirror those lessons? >> one of those things is to ventilate, be open for ideas. that is why we have the twitter wall. that is why you see so much activity with vermont -- republican members of congress on line. and the more we can stay close to the exchange of ideas and the input of the people that put us there, the better the product is here. one of the things we try to do with the schedule in the house

this tart -- this term, is to make sure that members of the house are going home and meet with the people that elect them and do not stay in the beltway conference, under the dome, if you will, to think that all answers come from washington. because they do not. this is a country that is unique in that power virus -- power derives from the people. >> tell us about the google driverless cars. >> our road in the driverless cars. it is awesome. >> tell us about it. >> it is a pre s -- prius where they have taken cameras and put them on the roof and in the rear, and they have a laptop in the front seat and they put google maps onto the lap top and then images at filling that out. the car knows what you are

passing by, whether it is trees, bushes, whatever. it also knows another car or truck, a person walking across a crosswalk. it senses where things are moving around it, and is utterly -- i was speechless to see what was going on. there was a driver in the seat in case anything went on -- went wrong, and an easy shot off switch. the goal that they've got is to make sure that those who are less fortunate, may be wounded veterans, or those who are handicapped have the ability to get around. imagine what you could do to provide mobility to people like that. obviously, they are going through more testing and things like that. >> you have always been an apple pie. you are one of the first offices on the hill that was totally a knack environment. >> yes, but i was all about

this. this was the first unbelievable tool we had before us. one thing i wanted to assure you, i had my political open -- politico open right there. but we had some difficulties with politico the other day. >> is a fix now? >> yes, it is. but the amazing thing is the drop box app. my office is trying to go completely paperless. when we talk about preparations, and the staff is exchanging memos, etc. it is all done electronically now. it is all portable. it is all right here. >> your briefings come in the drop box? >> it all comes into the drop box. >> and what other 8 bps do you like? app.have the politico.co 8

and there are others as well. i do not want to slight anybody, but we really do -- >> do you play games? >> do i play games? >> you are not a scrabble die? >> i have so daukoru on here and say -- i have sudoku on here and a few others. [laughter] >> one of the reasons you're here is to learn about how people live, shot, etc. tell us about that. >> you got to learn about people, learn about what drives them, what makes them choose their lifestyle, and what kind of outcomes they want. i got into real estate development after law school because i had a father who was a real estate lawyer and developer, and a family in that business. what i saw is that you have an

ability to start literally from the ground up. when you plan a project -- and my family is in land development -- and when you start a neighborhood, a subdivision, you start thinking about what people will see and do every day driving into that neighborhood, turning onto the main thoroughfare. what kind of shopping is available? what kind of entertainment? what kind of services do they need? it is about patterns of life. >> tell us about a place to shop. give us an example. >> how would applies to shopping? >> when you think about patterns of life. >> i was just recently in florida and i was on an island where people live and i think, how do they go shopping? how do they get a carton of milk? or if their child is sick, how do they go get medicine quickly?

you know, without having to go off the island. i was told later that there were some stores on the island that i did not see. but it is that kind of thing. what are the necessities of life? what are the elements that families require to support their existence? i know, from being a parent when your child has a hallmark of time and do and suddenly they forgot to tell you something they need to bring to school the next day, thank goodness there is a wal-mart down the street open 24 hours that you can access to get what you need. but it is that kind of access that forms the basis of support in a community. and it is not just school supplies, but what kind of health care services are available. when you have a retirement community that you may be involved in building, what would they be interested in? they are certainly interested in health care facilities, and and making sure that a hospital

is nearby. it starts with community and it starts with people and trying to understand in a market way what the market will demand and what will make the project successful. >> we are about to give the look really quickly with a book that is on there. what do you think we should read? >> i am reading "boomerang" by michael lewis. it is the sequel, or prequel to the big short that he wrote. it is fascinating. and obviously we are trying to figure out how not to step into that here. >> and music, the red hot chili peppers. >> yes, it is true. and you have a little jay-z and kalisha and the rest. obviously, we have the cleaned

up version. but when you live with teenagers, you have to understand what they are about and try to correct their direction sometimes. >> and i've seen you play golf with my key, and i guess now we have to call him michael because he got into you va. >> i still want to call him mikey. >> you just got one going out of you va. >> i do. he is heading to new york. he is going to work in the financial-services industry. my wife has always had a terrific quantitative head as a cpa, nba, and j.d.. he is probably following in her steps. he gets terrific grade. >> you also have a daughter at the university of michigan. >> she is finishing up her sophomore year next year. and i do have the youngest, to

17, just alerted of his acceptance to you va. next year, will be empty nesters. >> and in two months, he will be 49, and you are a young done. -- a young done. >> thank you. >> thank you very much. [applause] [captioning performed by national captioning institute] [captions copyright national cable satellite corp. 2012] >> the house approved a small business tax cut bill today. the vote was 2352 100 -- 235 to 173. it gives a onetime tax break to

small businesses. we will hear from house republicans in just over an hour. then senate democrats' way in auburn legislation's prospects in the senate. -- will weigh in over the legislation's prospects in the senate. the space shuttle discovery will be transferred over to the smithsonian for permanent display. the national air and space museum at a welcoming ceremony. it moved from the dulles international airport to the smithsonian institution in virginia. coming up, we will hear from nasa administrator charles bolden, and former senator and nasa astronaut, john glenn. this one-hour event is courtesy of nasa. ♪

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[applause] >> ladies and gentlemen, please welcome to our distinguished panel of presenters. [applause]

>> ladies and gentlemen, please rise for the presentation of the colors and the singing of our national anthem by ms. denise graves.

g"] ♪and ol' fla ♪

oh, say can you see by the dawn's early light what so proudly we hailed at the twilight's last gleaming? whose broad stripes and bright stars thru the perilous fight, o'er the ramparts we watched

were so gallantly streaming? and the rocket's red glare, the bombs bursting in air, gave proof through the night that our flag was still there. oh, say does that star-spangled banner yet wave o'er the land of the free and

the home of the brave? ♪ [applause] >> tamarine card -- the marine guard color before you is unique wild in on commissioner officer carries the official better core of the marine corps. the vans is played with the battle corps commemorate to the campaigns in which the marines have per dissipated. they span the entire history of our nation from the revolutionary war to the president, declared with palms, oakley's, and clusters of stars. they represent the campaign of the united states marines. it is the oldest post of the core to be entrusted with the

colors of this battle corps. ♪ ♪

>> ladies and john, please be seated. -- ladies and gentlemen, please be seated. in honor of this historic event, we would like to recognize the dedication and patriotism of all branches of our armed services. once your service song is played, please feel free to stand and be recognized. we are proud to present armed forces salute. here is once again, the commandants alone, the united states marine and drum and bugle corps. ♪

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[applause] >> ladies and all men, the commandants of, the united states marine drum and bugle corps. [applause]

>> ladies and gentlemen, please welcome the director of the smithsonian air and space museum, general jack daley. [applause]

>> if your blood is not moving now, let me know and i will send a gurney for you. [laughter] how about another hand for the tremendous performance as we have had here by miss denise graves said, the cover -- the color guard and the drum and bugle corps of the united states [applause] marine corps] good morning -- united states marine corps. [applause] good morning. it is my pleasure to welcome you here. this is the most mispronounced name of any smithsonian facility. we are delighted to have you here to transfer the space shuttle discovery into america's collection of aviation and space treasures. it is great to see such a large, enthusiastic crowd. and many of you have been standing for several hours. we realize that and we will keep

this program moving. but i hope the memories you take from today will make it worthwhile. the center opened in 2003 in the recognition of the wright brothers a century before. the wright flyer is one of the most iconic aircraft in the museum's collection today. and today, we will welcome another. another treasure, one that recommended -- represents the 30-year history of the shuttle program, that symbol of the trams of human space flight. -- a triumph of human space flight. the represent courage, creativity, skill, and that unique quality that we all share, the american spirit. for every major milestone in space history, americans have participated in the excitement, pride, and optimism of the occasion, and today is no

different. since 1960, nasa and the smithsonian have worked together to make space objects accessible to the public. discovery is the latest example of this collaboration. on behalf of the national air and space museum and the american people, grateful to nasa for its continuing generosity. it is ok to apply there, folks. [applause] without private support, the museum would not be able to present exhibitions and programs. today's ceremony was made possible through the generous support of the boeing co. and lockheed martin corp. another opportunity. [applause] to set the stage for the celebration, i would like to introduce a short video produced by nasa. please, turn your attention to the screens for highlights of

discovery. ♪ >> the space shuttle discovery, named for past ships of exploration, was delivered from it palmdale california factory to the kennedy space center in 1983. since then, discovery has lived up to the historic legacy of its name it has been up more than any spacecraft. in order, a probe -- it carried laboratories to study with us as, and insurance to study the earth and its atmosphere. it became the first spacecraft to bring his satellite back to earth. [cheers and applause] but perhaps even more compelling

than the discovery is enabled in space, the spirit of this vehicle has help humanity to discover on earth. it's missions include flights that showcase how one time cold war adversaries can become a longtime friends for exploration. it's like have expanded space travel beyond boundaries of age, gender, and race, counting among those who flew on it, the oldest astronaut, the first female shuttle pilot, and a first african-american space walker. [applause] but above all, discovery twice proved that america had the will and determination to persevere and to succeed in the face of devastating grief and tragedy, returning america to space after the challenger and the columbia accidents. discovery is the most this -- most accomplished space shuttle endeavour, amounting to over 5000 trips around the earth, and more than 300 days in space.

[applause] >> although it is impossible to recognize that thousands of people by name who contributed to discoveries achievements, we are honored to have 15 of the 32 commanders of discovery who are here on stage. we have both of co, whose 1985 mission contributed to two satellites in orbit. jo english, whose crude delivered three satellites -- whose crew deliver three satellites. if you are going to cheer for one of them, you ought to cheer for all of them. mike coast who is now director of the johnson space center. [applause]

fred gregory. [applause] he commanded eighth classified -- he commanded a classified mission. remember your days in space? >> [unintelligible] [laughter] >> you can tell an astronaut, but you cannot tell him much. [laughter] bob, who served on the discovery mission ken cameron, who deserve doniger that said the atmosphere. -- that studied the atmosphere. i got to get these pages here. that is what moister does for you on a morning like this. just stand up. frank culbertson. he commanded a mission that it

astrophysics research. [applause] charlie moulton, now administrator of nasa, and commanded a mission with a scientific laboratory on board. [applause] stay up. [laughter] curt brown, the only one to man 3 discovery missions, including one to service the hubble space telescope charlie mere court. dr. horowitz, completed the first docking and crew exchange with the international space station. eileen collins, -- [cheers and applause] flew two missions on discovery, first as product, and then return commander to the space station. [applause] [applause] steve]. -- steve lyndsey.

[applause] he commanded two missions from the space station and brought it home for its final unassisted light. get it? [laughter] will work on that one. sterko.o [applause] alan poindexter -- [applause] became the largest contingent in space ever at one time, 13 people. and also with us, 13 more shuttle astronauts. and welcome pilots bill reedy -- [applause] -- don williams -- [applause] -- joe allen -- [applause] -- chris ferguson -- a [applause] -- tom jones [applause]

-- ] -- [applause] tom jones -- [applause] can writer. -- ken ritenour. [applause] steve robinson [applause] casey torn [applause] and last but not least, payload specialist, john glenn. [applause] this is one of the greatest gatherings of astronauts

probably in the history of nasa. [applause] the things we have to do to become an astronaut are incredible. but when you are commander, you are the top of the bunch. this is only a handful of the incredible people at nasa. they are risking their lives every day in space and developing new capabilities to get there. you will not see this again either. 2012 is the 100 anniversary of the marine corps aviation. and we will celebrate this the entire year, and you will see to

read of it as a evidence by the new zocor -- the drum and bugle corps. he was a distinguished aviator preserved in the record 35 years and it -- in the marine corps 35 years. it is my pleasure to introduce major general usns he retired, charlie bolden. -- retired united states marine corps, charlie bolden. >> thank you very much. to my mazing colleagues who flew this incredible machine and the entire shuttle fleet, thank you very much for what you've given to my country. there is a group to my left and to my right. you see those?

they wear those iridescent green safety jackets and stuff. they are part of the incredible career of people who make it possible for us to do what we do. they represent the united states alliance, boeing, lockheed, you name it. it is the entire nasa family. please, give them a hand. [applause] and i will tell you, if you want to meet some incredible people and shake their hands and get some stories about where the skeletons are hidden, you can talk to the crowd. [laughter] it is my pleasure to be here to welcome discovery to her new home and opened this chapter of her historically. i welcome all of you to share in the accomplishments of discovery and a fleet of which she is a part as we look forward to the future which she has led

us. it drew this nation together in times of tragedy and triumph. we are now happy to share this legacy with millions of visitors in this fantastic venue. alongside this historic air and space craft that has changed our world and turned science fiction into science fact, and how does realize what seemed to many to be impossible dreams. we have been able to travel $148,000,221.600 75 miles. i was privileged to board discovery twice, first as the hubble mission in 1990, finally as commander when we flew for the first time with their russian crew member in 1994.

discovery also was of the mir space station torrez, conducting the -- twice, conducting service missions to the hubble and to the international space station. and speaking of the international space station, when the coastguard saw was played got -- kasab was played, a coast guard member was with us in spirit. dan was with us in spirit. [applause] i also want to look forward to what she and the shuttle fleet have helped to make possible. the we are embarked on an expired -- exciting new space exploration journey. and we are relying on american ingenuity and know how. nassau is partnering with private industry to provide crew and cargo to the international

space station, while developing the most powerful rocket ever built, to take the nation are the never before into the solar system political -- the source system. the shuttle fleet was amazing and we have learned what we will apply to the next generation of space transportation systems. even now, the shuttles have been at transferred to the space center for early testing of the heavy launch vehicle that will take us further into space than ever before, to an asteroid and on to mars. the shuttle and space that we had in order was something we could accomplish it regularly, although i will not say routinely, because every time a human set off for space and leave for the planet, i know we describe it as white, but you will notice it is start a little bit. try going through three dawson degrees and see if you do not get a little charge.

-- 3000 degrees and see if you do not get a little charred. ultimately, they helped us construct the international space station, where astronauts have lived and worked continuously for more than a 11 years now, helping with experiments that help to further destinations. that unique laboratory will be our stepping stone to the rest of the solar system. as nasa retires the shuttle fleet, we are transitioning to a new era of exploration. with technology at the forefront to help us to reach higher and leave future generations with greater capabilities. today, we turn discovery over to the smithsonian with great expectation that as we have always done, nasa will continue to inspire young people today and tomorrow to dream of space, to dream of on covering the secrets of the universe, and

take steps to pursue their careers that will make them the exploration leaders of tomorrow. the hope we leave you with today is that this magnificent flying machine that carried more people into space than any vehicle ever before will be a testament, not only to overcoming the human and technological obstacles of the day, but a tangible example that our dreams of exploration, of reaching our higher potential are always within reach if we stretch for them. to the smithsonian institution and the national air and space museum, i know you will take care of discovery as you have the many, fax -- space artifacts that you're taking care for more than a decade now. i know that sunday, my grandchildren will be able to of this great white

bird that our innovation is continuing to pursue. to innovate and create the on the next horizon. now we have another speaker will talk a little bit more about the incredible life of discovery. >> the space shuttle began in august of '94 through its final flight in march 2011, during which it delivered the permanent multi-purpose module to the international space station. discovery launched a year in space during 39 flights over 27 years of service and travel more than 148 million miles during 5 miles -- 5038 orbits of earth. all told, the space shuttle's

lost half billion miles in space over 30 years of space flight and 135 missions and conducted scientific research. >> those machines include the delivery of interplanetary probes that deployed the servicing of the hubble space telescope. we remember discovery fondly and wish her well at her new home at the center in virginia. [applause] >> overseeing the museum with its 19 research centers and its global duties is a big job. especially with the 37 million objects in the collection.

but when it comes to adding that to the national collection, the secretary is an enthusiastic supporter. it is my pleasure to introduce the secretary of the smithsonian institution, dr. wayne kollhoff. [applause] >> thank you. it is a pleasure to be here. i have one of the best jobs in the world. i even have a general that reports to me. notice he did not show up when he introduced me. [laughter] you'd have a general that reports to me. these are two of the magna magnificent museums here. let's give him a round of applause. we're certainly pleased to be here. we value our great partnership

led nasa. i am proud to be here with our smithsonian chair. i would ask the members of the board to stand up, please. of course, it is always an honor to see our friends senator john glenn. discovery is just one of the thatlettuce'types of artifacts senator glenn used on his personal explorations. you can see the fiberglass couch that he was strapped in or a drug store camera he bought a modified for his historic

flight from ships 7. this'll be a centerpiece here. canada is there are no second acts in american life. now this discovery begins its second act as an inspiration. ray lahood said on tuesday that was a wild moment in american history. they stood and cheered. i had the great pleasure of introducing a senator glenn we were there to commemorate the 40th anniversary of the apollo program.

keynoted people all over the world said we landed on the moon. that united all cultures across our planet. meaninmy own brother was a masst employee. he worked on the discovery program. and he brought back blacks from space. two of them were commanders. this is from russia, europe, japan, canada.

this still resonates. no matter where you are from, you to my travel to the stars. the discovery embarks on its new mission. we will continue to teach that lesson. although millions of people will have a chance to see discovery here in person, we can reach many more worldwide. 3000 tweets generated to million people -- generated 10 million people talking about the

discovery. we are especially excited about the potential to reach and inspire young people everywhere. we are glad you're with us today. our scientists discovered the hospitable world. today represents the best of that. maybe one of our visitors to be the first to set foot on such a universe. discovery is not simply a reminder of the power of ingenuity to sell grain problems. it is a challenge to keep the wisdom of the " exploration is be existence of the american. " we can do again. thank you.

>> thank you. our next speaker is an american icon. he served our country in many capacities and has contributed to the space program in many ways. the congressional gold medal for his pioneering contributions to space exploration. it is my great privilege to introduce another marine aviator who made his historic first fight to orbit in 1962 and return to space aboard discovery 36 later. please welcome senator john glenn. cried thank you.

>> thank you. thank you very much. perhaps this started with a pioneer sippers landed on this new land that americans have always had a curious nature that has served us well. what is over the next hill? what is around the next bend? if we could just learn how to separate out of this chemical, it could use it to do whatever? explore they did. it paid out beyond their wildest dreams. they sent out scouts followed by wagon trains over insurmountable obstacles of forests, mountains, rivers, does it. sometimes there were -- deserts.

sometimes there were losses but they moved on. a good trip was about 10 miles as they made the six month journey to oregon or california. discovery in the travel that 10 miles in just two seconds. albeit at a little higher altitude. new science breakthroughs were changing our nation. railroad replaced wagon trains. gasoline engines brought on automobiles. 23 years after the last wagon train, the wright brothers flew a hawk in 1993. for tens of thousands of years, people looked up at the blue sky by day and the stars and moon by night. they wondered what was up there. could we ever go of their?

where to go if we could go up their attacks there seem to be insurmountable odds against that ever happening. we must count ourselves among the most fortunate people of all time when we could realize that ages old dream can finely go. mercury and gemini i developed our abilities followed by apollo and neil armstrong's never to be forgotten first footprint on someplace other than the earth. we transition from apollo to a new vehicle, the space shuttle but was intended to broaden opportunities for orbital activities. it certainly did. it is the star.

it has the most extensive record of all the fleet. the missions included a wild bunch of things. it became a science platform for nine flight, a telescope repair station. this has literally written the astronomy books for all time. it is a flat out truck. it was the first space station delivery truck, at 13 flight it made to put together the space station that goes over us even today. discovery westerly a heavy haller any space station. that station is now doing continuing research with 15 international partners for us and the most unique scientific laboratory ever conceived.

the unfortunate decision made a 0.5 years ago to terminate the prematurely grounded our discovery. we recovered and now we move on with new programs and possibilities unlimited. today we also honor those who may discover possible. the work force kept if flightworthy. they were represented here today by 15 former flight commanders. today they take on a new mission.

it is important. it will be on display not only as a testament to the events of our time, but also as an inspiration to future generations. adobe symbol for our nation a space flight and hope unchallenged and leadership and aspiration to explore and to excel. that is a big mission. we recently celebrated its 50th anniversary of our first orbital flight in a speech to congress. i closed with a statement that i would repeat today. as our knowledge of the universe in which we live increases, may god grant as the wisdom and guidance to use it wisely. thank you. [applause]

>> thank you. an internationally known physicist, our next speaker is also helping to shape the future of the smithsonian. it is an honor to introduce the chair of board of regents, dr. france cordiva. >> thank you. i would like to add my welcome to senator glenn. our colleagues from nasa and all our guests here today thank you for your support at the smithsonian. it is your support of our american values of freedom and exploration and discovery.

i would like to congratulate the staff of the national air and space museum. i do not know about you, but i will never forget those two big birds touching each other like that. wasn't that extraordinary? i am particularly pleased to be here today not only in my capacity as chair of the board of regents but also as the former chief scientist for nasa. and as president of perdue university where one of our goals is launching tomorrow's leaders. at perdue, we have had 22 of our space going tgo into

including the first and last astronauts on the moon. following senator glenn's remarks, hundreds of engineers and scientists who have helped ensure that the shuttle program makes a tremendous impact for us all. since before senator glenn first orbited the earth in 1962, at nasa and the smithsonian have recognized the need to preserve and make it accessible artifacts that can best tell the story of american in space. as a result, millions of americans annually visit the national air and space museum including this, the hockey center. there are thousands of historic

objects that have interested. some of these are iconic. but there is maybe less so. parachutes, engine parts. all of them help us understand the unique flight that the space program holds in our imagination. before discovery can officially joined them and the national collection, we have a little bit of paper work to complete. the agreement transferring discovery from nasa to the smithsonian. i will now like to ask the general bouldin and general dailey as representatives to

step forward. senator glenn, would you please join them as the witness? >> i am a witness. [laughter] [applause] >> no. sure they don't screw it up. >> keep an eye on them. it is done. >> the space shuttle discovery is not officially part of the national collection.

quite the pc presiding. we can learn a lesson. can you notice how the suspect of these guys are? -- how disrespectful of these guys are? or let them get away with it one more time. i like to recognize all those involved. the washington dulles airport is celebrating its 50th

anniversary. the department of common security which work in cooperation with shuttle flies over -- signature flight support for tugs and telling. they provided all of the support for the telling to and from. we appreciate that very much we welcome the discovery family weakened this saturday and sunday. our discovery festival is just beginning. these will remain on display this afternoon until about 4:00. all of you have -- who have been

held up while take your family of voters. we ask that you have some educational programs on the stage. we ask that you do not move the chairs. it did not come up on the stage. leave the chair is when you go. we want me to feel free to stay and enjoy the day. this is an extraordinary opportunity that we have. these are some video scenes that were films and the last three days. if you will stand by and give us a chance, we will get organized. we will turn you lose your photo opportunity.

we appreciate the support you have given us. as we introduce the latest, thank you very much. ♪ [captioning performed by national captioning institute] [captions copyright national cable satellite corp. 2012] ♪

>> from the colonial era,

prohibition era to today, it drinking for better or worse has always been a part of the american landscape. saturday night live, met a history of alcohol in america. watched the back story with the american history guide. they have tells of beer and spirits. it is a part of american history television on c-span3. >> the house approved a tax bill today. it is a onetime tax break to small businesses. they spoke to reporters before the vote. a senate democrats lay in on the prospects in the senate.

>> go morning. today we have a simple choice to make. do we vote or send it to washington to be squandered? we're struggling through a very tough recovery. the slowest recovery since the great depression. we have literally tens of millions of americans who cannot find full-time work. we have millions of americans that have given up hope of a job that they're not even looking for any more. we have women and not returning to the workforce. when president obama took office. we have just a tsunami of government spending and programs. we had the bailout. we had the stimulus.

the green energy bailout. clash for clunkers. today there are fewer americans working in our country them when president obama took office. it is the small businesses that bear the brunt of this poor economic recovery. if you walk main street, you what your community any day past the number of years to tell you how much they are hurting. in the house, we're taking action to help them survive this recovery. our tax cuts lower the tax rates by about five%. most of them are mom-and-pop operations. what we will do is let them keep more of their hard earned money

said that they can survive the economy. maybe by that any piece of equipment. this is a dramatic contest. we seek a first the buffett role to punish those. that is what democrats want to do, punish those who work hard. republicans want to grow more people who invest and work hard. they now start with those to create jobs and our economy. at this point i would like to introduce one of the leaders on economic issues in congress. >> it is a great day to be cutting taxes. we are thrilled that house republicans are going to go to

the floor and that we're going to pass a reduction in taxes, make a cut. this is what the american people are wanting to see. kevin rudd friends of the moms and pops -- reference to the moms and pops that are going to benefit. what you are going to do is give them the ability to hang onto more of their money. my small business owners tell me they have too much month left at the end of their money. they're going to hire more workers. most of those moms and pops are now owned by moms. 30% of the small businesses are owned by women. when i talk with women across this country, the number one thing they say is the

uncertainty in washington and regulations and the uncertainty about litigation is what is costing them to not innovates, not higher, not create jobs. this is one way we can lower the rate. we can leave more money in the pocket of those that are in it. we can put it another nation forward to board fiscal help. >> i a agree with the president. a year ago he said that now is not the time to raise taxes on any american in a down economy. i would say not much has changed a year ago.

i would say the same should be sure today. that is exactly what the united states senate is attempting to do, embracing the president's call for the buffet tax which would take money away from many of the same job creators that we are spreading to lead as to economic recovery. people can have different opinions but cannot have the facts. seven out a tin jobs created are small businesses. over the last 17 years, 65% of all jobs created during this big booms are people that employ less than 500 people. i do not believe that the vision for america could be any more stark. the contrast between our vision

for economic recovery and getting people back to work to be marred imore different. i think this is a call for the american people to way into the to embrace the vision of giving more money back to the people who will hire people that will create the opportunity for more americans to go back to work. the biggest obstacle to businesses growing is access to capital. if you do not have cash at the end of the month, you cannot hire. this tax cuts, will give them the cash they need to be able to invest in equipment and people to put us back to work. >> the morning.

i represents texas 22. i'm proud to be here with my colleagues in support of these small business taxes. i like to think kevin brady for putting this together. the house has passed this bill. by doing so we will get our economy rolling. he said by giving 22 million jobs in this country a tax cut of 20%, i represent the johnson space center. i know a little bit about rocket science. this is not rocket science. it is simple. it is common sense. give the american entrepreneur their money back and or reinvested in businesses to get our economy turned around. when the sun sets this afternoon, this bill will be honest with across the hill.

it seems destined to join the over 30 bills creating good paying jobs for our country that are still waiting for his actions to bring him through the senate. it doesn't matter. the american people are listening. they are watching. they know that one party is trying to strangle the american dream. they're trying to make the american dream thrive. we republicans are the ones trying to make it thrive. thank you. >> good morning. i represent the twin cities and in minnesota. i also serve in the means and ways committee. i recently conducted a small business tour that was composed of women on businesses. i have been listening to what

they have been asking for. they are asking for help to invest in their people and companies. this is a small business tax cut that will be targeted toward giving small employers the ability to hire more people, to invest in their people, and to purchase more capital. this is where the vast majority of our jobs come from. i did every other economic recession, small business -- out of every other economic recession, small business has led the way. this is a target to cut to help get our economy growing and create jobs and bring in more revenues to grow the economy and reduce the deficit. >> the morning. i would like to thank heaven for

putting this together. i am from the illinois district. i sit on the small-business committee. for me this is great news for small business. i have to say over the past year we have seen our business climate. we have lost 35% and our business. the one thing that we understand as small-business owners is that more regulation and more taxes do not help our business. it deftly does not help us to hire new folks. what we have seen in the last three years is a president that just has been unwilling to give proper tax reforms that are needed for the small businesses. the one thing we like to focus on in the things that we can do. rather than advancing unserious boat sped did not lower gas

prices are encourage economic growth, which the buffett tax rolls would not help out at all, we want to insure more opportunity for job seekers are out there and the job traders are able to offer those. rather than raising taxes and discouraging investment and punishing the many small businesses that file their taxes, we want to make it easier for an illinois it folks we want to cut wasteful job destroying business and debt. i really appreciate the opportunity to be here today.

>> foot 6 and questions. -- we would like to see some questions. >> have you done the map of what it?get the maout of >> it will definitely sit as to thousand bucks a year. the corporations that have the flow through, any downturn economy is the most ridiculous thing he can do. you can raise the price of your product or you can do one of the toughest things for small businesses which is to let someone go. it will save several thousand dollars. every little bit helps as by a

piece of equipment are key people on and retain what we have. >> you call this showboating. >> i do not see it dead on arrival. they have borne the brunt of this very week obama recovery. >> democrats say they will propose an alternative. it would require hiring new

workers. we do support bring in that bill over here? >> we need not to pick winners and losers. we need to allow more to pull bonn and hopefully grow as this occurs. ibm and pressed the senate is considering anything wrong. it has been three years since the proposed and passed the budget. we think they will have a bill over there this afternoon that can help provide timely relief to our small businesses. >> can i ask about the loss of the year? we have seen the boavote in the senate that they think those that are welfare pay more.

do you see this as a defining week? >> they want to know the key difference between republicans and senate democrats makes it crystal clear. they want to work hard and exceed over the years. this will not improve unless main street grows as well. >> they should pay a little more.

>> most people when you ask them if the problem in washington is that washington spends too much for takes too little of your income, most americans believe washington has a serious spending problem. if we award small businesses along main street, i guarantee they will grow jobs that will create their recovery we deserve. > >> the house went on to pass this small business tax. 235-173. the republican measure which passed along party lines is the one break for small businesses. now reaction from senate

democrats to talk about the context in the senate. >> all efforts to help small businesses are not equal. there's no better example of that but what the house is attempting to do and what we are going to do. this is targeted for the kind of incentives small businesses need to grow and expand our economy. our plan encourages small businesses to expand their operations. the more they expand, the more benefits we receive. this approach not only help things grow but it will help our economy grow as well.

this provides benefits for small business owners. by contrast, this is just another example of giveaway is a big cutcorporations. keep in mind that one half of all benefits will go to people that make more than $1 billion a year. five of every $6 will go to people who are making more than $200,000 a year. one half of all benefits go to people making more than $1 million a year. there's nothing in their bill that is designed to promote growth for hiring.

corporations would reap the giveaways to giving away zero without having to hire a single new employees. this consistent with a pattern of passing the corporations on the back. it has always been wealthiest to the wealthy. in the past few months, they have proven this so often. a track record of defending millionairess and oil speculators, big corporations consider working with us to build a stronger middle-class. i would hope in the senate would work with us to pass the bill. it is possible this is the kind of proposal that should not have to be. a proposal to provide growth and

hiring. we help this'll be the case. >> walked into millionaires week. they defeated our attempt to establish a basic tax of the selling over million dollars a year. they know what is happening across the rotunda. they are struggling to survive. folks mckee over a million dollars a year and not struggling. member that battle if the months ago only wanted a to% payroll tax cut for working families

ta? now they're calling for a 20% tax break for those making over a million dollars a year. the goodness for donald -- that is good news for donald trump. all it does is add to the deficit by providing a tax break up 45 belsen dollars more a year for those making over a million dollars. the senate bill is very basic. it provided tens term credit on the payrolls for hiring and increase wages. this is an incentive for a business to give them a salary increase or hire a new employee

and to make capital purchases. which is more likely to create more jobs that it would deserve tax break for donald trump or this kind of investment across america? cognition not be passing this to the rich. they have a fighting chance. >> there is no greater contrast between how democrats think and how republicans think. their bill is missing a vital to words, and new jobs. -- two words "new jobs."

you get that tax credit with the great job or not. let's say you're a multimillionaire and yet if the people in your company. your profits are 20 million a year. you are going to make 4 million extra dollars even if you do not hire a single person. he will make 4 million extra dollars even if he fired some people. what kind of job is that? missing one vital thought, a new jobs. it is utterly amazing how our colleagues across the whole can figure out more ways to help the very wealthy in label them jobs bills even when they do not see a single job. they've been making this into an art form. we checked.

be figured out what is going to create the greatest amount of jobs that have been tried and true. if you hire someone new the get a 10 cent tax credit for hiring that person. the second provision said if you have new capital expenditures you can depreciate them on the first year. you are a bakery in new york. more orders for cakes. you need to buy an of been any need to bring the people to work. you will get a very significant tax break for both buying the oven that create jobs by the of the maker and by hiring those three new people. i travelled across upstate new york. our small businesses are beginning to see more orders coming through. they told me that these two

instances are really going to push them over to hire new people. they're gradually getting better. we're still doing things to accelerate the hiring. this is what the doctor ordered. it has been estimated on the bonus appreciation for every dodollars spent. our colleagues are not talking about jobs. and not just believe about us. the republican tax plan will do nothing whatsoever to increase employment. our plan was recommended to congress by cbo as a meaningful step we could take to address unemployment. look at the contrast. what do the house republicans to yesterday's? they cut $33 billion on food

stamps which many americans depend on. the next day they get $40 billion in tax breaks. this is just another week approached over there for the house republicans. we have to change things around. the business community is on our side. people who are working and want to work are on our side. that is why when these come together we will prevail. >> i do think you have to get republicans credit for their persistence. i think there matzo this year at first massive tax cuts for the wretched did not succeed, try again. we did not good to anything for those of the highest end of the

latter was digging a middle- class families with the bill. this is a budget that provides the wealthiest corporations with tax cut of about $3 billion -- $3 trillion. it pays for all of that with cuts to health care and nutrition in investments for our children and families out there who are struggling so much. we saw in their protections for tax cuts for the wealthiest. there posting billion dollar profits for prices at the pump. we saw it earlier this week when republicans opposed a up their role to require every billionaire to pay their fair share of tax cuts. today we are seeing it in a massive tax giveaway. this is a bill that not only provide a handout to those that are most fortunate but it does

it in a way that discourages investment and growth and cost us $46 billion. it is the kind of investment strategy that led this to the point where middle-class families are stalled in the privileged few have enjoyed. is trickle-down economics that almost never trickle-down perrin there's a tax bill of almost $45,000. i am pretty sure it the as the average working family today at the recipe for economic recovery was $45,000 checks for millionaires, they would tell you know. republicans are focused not on what works for ordinary middle- class americans of what they can get to those of the very top.

our approach is very different. our tax relief bill provides an incentive for businesses to hire and grow. it reduces the cost of businesses to increase payroll. it makes each dollar we spend our tax and census count on actual job creation. it is an investment of what works to higher in grow this. it is time for republicans to realize that tax cuts for the rich are not an ominous the dick synonymous. i think there are signs here and the senate that some republicans are finally coming to their senses. i just came out of the appropriations committee.

they voted with the democrats to set the levels at those levels we agreed to last august in the bipartisan control act. that is a good sign. it is a sign that republicans are moving away from the radical right and budgets to a place where we can count on agreements that have been made the. i hope they can persuade their house members and colleagues of a there to come to their senses income back to the deal that we made last august. >> questions? you are bringing up some tax cuts. they will inspire a whole pocket a payroll tax cut. there is talk that that will not be dealt with until they lame

duck session. >> we tried to renew the expiring tax operations. the republicans refuse to do that. i assume it appears what they are doing is waiting until after the election to find out if they can use that as leverage to the tax cuts, the bush tax cut. i think they're planning to wait until after the presidential election to see what position they are in at that time. .ut there's nothing to debate we wanted to do that. we still want to do that.

>> can you give an update on another jobs bill, the transportation bill? >> i still have not worked out what the ratio will be. we are working on that. we are not going to do the conference here. the speaker needed to get that in the bill. heaney is to get his people to vote for this. it is pretty clear where we stand on this. maybe so we do not come up was the magic formula that will allow us to do more. clearly progress has been made. we know the problem has been with the middle part of our country. that is worthy president

rightfully so signed off on allowing the pipeline to go from the middle part of the country to the coast. that will allow the oil to be refined. as far as the northern part of the keystone pipeline, there is no decision. >> we have to do this as quickly as we can. >> do you plan to offset the house backs >> the house has not offset theirs. but the republicans wanted to help us get this thing passed, i personally would do it either way. >> we are as whether there are certain compromises. they did not have an answer. >> you talk to the wrong people.

this is helping the millionaires today, tomorrow, and any other time. i hope you folks do a good job writing about this. it is laughable. have the benefits go to people making a million dollars a year. that is not a small business bill. that does not mean it is a small business bill. >> the president will send that out. that is his response ability to do that. the senator spoke out against her. chairman bachus has spoken out against already. that is why we h