of them use those. >> that is not unique. >> believe me i know. but to know that all of us imbeciles because we wanted to know why this company could raise the price of a pill from $7 or $13 to dissents up at $750? so nobody can tell me all over the pharmaceutical industry. so what has to have the effect. isn't everything but what do you suggest?

you are the experts. what do you suggest we do about that? do we just sit back and let that happen? >> itt you know, we proposed earlier this year some projects for cost in the i'm medicare program so we are making char thinking of of total cost of care that all the folks are thinking of the total cost is thinking about the quality and the quantity. >> >> i will not get into what we are or not doing with the pharmaceutical cost that is outside the framework.

but certainly. >> would you like gcs do something about it? to make absolutely especially specialty pharmaceuticals have a significant increase. >> as we look at the market it is something we have to address but also at affordable health care and i can tell you someone i have seen increased premiums with higher deductibles and less benefits than when i was purchasing in the private sector. that will go to the gentleman from alabama. >> so far there are others

that are coming down the pipeline we have heard the clip to say if you like your doctor you can keep him. which it turns out was completely not true hundreds of thousands of people then this will likely mean new doctors. what kind of comfort but it is the exact opposite of what they promise. >> those of pre-existing conditions. >> i am talking about those but the promise the president made to the people who already have insurance that were doing business with some of the company's hundreds of millions of dollars. >> in the employer market we

have seen very little change of what employers are offering in terms of coverage that is when they talk about this abo projections that they see less erosion. >> and light of the fact enlighten those who have insurance and now there are 50 million additional people since the open enrollment began so looks like they are being injured in the government plan. for a half-million of private insurance that have lost insurance. i think for all of of political speak, it hasn't

worked the way it is supposed to work and hundreds of thousands that have lost access to the health care prior. and unlike my colleagues like to have a battle to correct this to get a back to where it works lacrosse blue shield of alabama editor rate increase yes one dash three yet they increase those individual plants can you give me an idea what accounts for the disparity? >> lacrosse blue shield association of the independently run plans is what i am not privy to. >> alex back to have some concern about the losses of lacrosse lucio of minnesota

with a health care service in illinois montana and new mexico texas lacrosse placentia the tennessee lost 300 million west virginia lost 266 million and the companies that you represent sustain this type of losses greg. >> that is the primary loss for those rate increases. >> double-a-2 point out not only impacting the economy but they are restricting their expansion of the planet to cut back hours having a devastating impact with a budget hearing with former cbo director and looking at the economic growth and how overregulated the economy is there now

projecting over the next few years with the 70 year average but that has to do with health care. it is having a devastating impact on the economy and individuals and families and driving companies out of the marketplace those who provided insurance from lacrosse placentia '04 years. nighttime is almost expired but listening to the opening statement that it failed because nobody had done it the right way i think that is the arguments for the affordable care act. i yield back.

>> welcoming the gentleman from south carolina. >> have a couple of follow-up questions on this memo that was sent out action it was public regarding the risk corridors and i think you are right as the videotaped your the client that makes sense. why would you send this out to? why would they tell you not to talk to the people that might be some new? don't talk to the people who will sue you let me do that. >> arrest of of the documents describe but was happening as well as reiterating our commitment to of program and says that

whenever there is litigation risk you can go talk to our lawyers. >> that is not what says you can read that we know number of issuers are looking to see that risk corridor that have not been paid to date and they are vigorously defending those claims as an all cases where up then to discussing the resolution and willing to begin discussions at any time it doesn't say call the doj or don't call us has anybody called you? >> i think they know the department of justice represents us. >> yes they do so why send this? >> normal course of business but. >> litigation is. >> we know you can sue us

but we can talk settlement without doj have you done that? >> what the paper says last year is we have an obligation and we have always said that yes reset that out with our obligations. >> did it have an invitation at the yen to have people call you to begin discussions. >> at that .1 year ago there was no litigation. but now they are suing us in federal court. >> as anybody contacted you? >> i imagine those conversations are happening. >> i imagine a lot of things with that is not my question . update may have contacted dlj and you would not know that.

>> they candles' of matters. >> for everybody who might be able to sue over the are risk corridor what is the deadline to file the lawsuit >> i don't know. >> the end of the term? >> as we said it is a three-year program and there is an obligation. nothing new we had and said last year. >> but to mention briefly whether or not the judgment fund could be used that there is no money and appropriations and that was senator rubio amendment but there was no money left an appropriations for the risk

corridor payments spread is the opinion of hhs that the judgment fund might be available to make those payments but i want to read and this is a quote from the department of justice, the judgment fund is not available simply because an agency may have insufficient funds at a particular time to pay a judgment prevail lack sufficient funds to pay a judgment of statutory authority, the recourse is to seek funds from congress to be legally available to pay a judgment or settlement and it is not available misses the clinton administration decision 1998. for those rethinking about calling you they should know is the opinion of some

lawyers others that are democrats from clinton that in order for these payments to be made that converse should appropriate that many and it is not proper for this administration for any war under the judgment fund. >> the chair recognizes a series of questions in your testimony said there are signs that the financial performance is improving. do you stand by that statement? the financial conditions? >> i was citing a goldman sacks report. >> you may be quoting babette in the insurance industry is improving.

>> ambitious citing a report >> that is your testimony i asking you to clarify. is the financial condition improving quite. >> i think it will after this price correction there was underpricing in 2014 then that fades out. >> so let me go with that. this is my five minutes. you are pontificating and not answering the question. if this day a onetime adjustment is what will fix the aca because they underprice things because of the corridor. is that correct? >> there will be a transition house fast that happens depends on whether

congress can take additional action. >> let's assume congress will not take additional action because the risk corridors in the of bill and of law that you helped to work on? you were part of that team byword for the hen -- senate health committee. >> is set your part of the team that actually drafted protection the patient protection pledge. >> correct. >> is there working the way you win tended it to work? to make it is insuring a lot more americans. >> that is not what i asked is it working the way you intended quick. >> it is taking longer than i expected. >> that is fair enough. how does your statement of a

onetime fixes and adjustment correspond with your sworn testimony in 2013? converging evidence indicates the changes are working as intended competition among plans improvisers that was your testimony 2013 now with says it isn't working so we may have to do a one time fix or adjustment hattie you reconcile the two of those? >> actually the competition was too competitive and the rates came to love -- they came into low. >> you don't have a degree in economics greg. >> now. >> finance? >> you say to much

competition is what created this? i want to find that economic principle that you will grab to suggest that. what economic principle. >> markets are hyper competitive that encouraged them to underprice their premiums are now a correction is due for the underpricing. >> so you are suggesting, when the government is involved we create false markets with subsidies that has nearly effect whatsoever on the financial viability? >> did understand the question. >> when you have a subsidy it comes with the guarantee having to pay for pre-existing conditions with

the unintended and surer, does that not make the market reacted in unusual ways? to make it was a new market with the uncertainty about pricing. >> with your sworn testimony today that we had to much competition? we had to much pricing uncertainties and yes they came into los. >> you are a lawyer i guess you have a degree of public policy? >> i have a lot degree from university of virginia is any of that allowing you to do models? >> most of of testimony,

united healthcare is lost the billion dollars on the exchanges over the last to plan years. and now is expected to lose 600 net -- 650 million and 475 million. and with the five states has lost 1.5 billion. are you saying this is caused by too much competition by. >> by underpricing and with congress to step been to constrain the program and it all comes to ahead and 2017. >> so you say it is congress's fault you draft of law? >> congress came in an amended after past. >> whoever voted for the allot fault that this is happening?

>> my testimony was congress by constraining the programs selected any republicans vote for that block? you were here. new nell. >> i don't believe so. >> is a your sworn testimony that it is a working? >> no. >> whose fault is that? you drafted that. i am trying to figure out. let me say your testimony doesn't line up with the facts are you aware of the internet there is a way to gain the system if you quit paying your premium in the fall then you come back to reapply in january are you aware greg. >> know i am not. >> are you aware that some people tried to gain the

system to quit playing premiums because you are required to cover them even though they don't pay the premium price begins we are familiar with that problem. >> ru? >> yes we would like to see some type of action to prevent that from happening. >> isn't that a good idea not allow them to gain the system price hike we have the program integrity unit focused on related to the marketplace of various assets we are very much focused. >> how many have been denied when they apply and january what. >> when they apply through healthcare.gov. >> deal had the number? , a people have be stopped to quit paying in the of ball but then apply a in

january have many say by the way they are gaming the system wexner those are two different systems so the issue words are those folks. >> they cannot do anything about it. the people were doing three months of insurance to reapply and they cannot do anything about it they need your help. >> that is why that partnership previous activities. >> family people have you caught in fraud and prosecuted? >> the answer it is zero. >> fair enough. >> i am asking you. >> fair enough. >> tammany have been prosecuted for fraud? >> zero. >> recognize the ranking member. >> we will get to the bottom

of that? >> absolutely. we are focused to make scheerer the of market is solid for the future that the folks take it seriously and we work closely with the state regulators and others that they follow the rules of the road and the problem continues to mature we will do that. >> practicing law for many years with all walks of life if we define a way to get around something coming to get people out of trouble trying to get around a system that doesn't mean

that you deny the people that health coverage it doesn't mean they will allow them to sit there and die. sit there and die. so we need to go after that to deal with that. i agree we need to deal with that. >> with other avenues of fraud in the marketplace we have taken action whether to rescind coverage or those proper authorities taking action we are not that authority that we pass that along. >> i think what you are saying in a bipartisan way we need to address this very

real problem because it is affecting the insurer. the chair recognizes the gentleman from new mexico. >> actually this is not my intended question but i will take the privilege for my five minutes to follow up on the fraud issue on one instance we robustly delta with fraud but those incredible allegations hhs cns allowed by virtuous acquisition to have 100 percent of the health care provider contracts the following review finds no credible allegations and now we have no access of fire insurance coverage so this

is a very important question of the chairman and ranking member to identify and how to be careful these mechanisms are not used that we don't understand those provisions. here is my opinion. the federal government and state government are ill equipped to deal with insurance companies prior to the affordable care act to navigate health care for constituents, countless underutilization over utilization the narrow ring of networks and contracts for parity and inappropriate transfer inappropriate billing supplies i could spend 20 minutes just on the issue of insurance companies

and including the profits of the affordable care act medicaid and medicare components i am not so sure that we talk about that context of the entire health care system we want to repeal or do nothing. it is complicated for those that are ill-equipped to deal with the system as it is then the insurance companies so people pay more to provide consumer protection. >> and outside of premiums and subsidies to out of pocket cost. >> i do think that cns

they're rarely hear this from me i do think adjusting the enrollment . were helpful but not be enough. what more can you be doing? >> i appreciate that we are taking steps within the authority and even last week with those to the special enrollment . >> i want more than that. >> we are encouraging states to discuss with us of the pathway for what they can do at this date global. >> the affordable karan racked wanted to move away from the high risk schools.

but if you look at the medicaid expansion and related issues we are in trouble so look at what this committee i only have one minute left, i don't think insurance companies have done their fair share to address this issue in a fair or productive way and the aca gives many ways to do this as a subsidy began as the debate of the affordable care act the stock price has increased by more than 200% despite those increase profits and the fact we don't talk about the private market exchanges and i keep reading about my state pulling out of exchanges

with those guaranteed access they were promised, i thinks congress did a the industry a huge favor to give thousands more enrollees and thousands of opportunities to maintain your access to managed-care. so i am very interested in the dnc emerging like the managed-care options we may think minimum participation is required if you keep those managed-care protections have you feel about that greg. >> i am not familiar with those of the this is beyond my ability to comment on them. from a premium standpoint standpoint, the the actuaries from what it costs

to deliver the care on the exchanges. >> i am not of time but the population would not be as sick as they are the favored getting care from insurance companies.

> if i could just point out, in the markets that existed before the affordable care act, prescription drug coverage was not a guarantee. on that.e you a stat about 20% of plans did not cover any prescription drugs. via fort care act, by including

essential health benefits and coverage for prescription drugs is actually increasing. >> any other comments? >> i guess not. i will yield my final 10 seconds to my chairman. >> thank you, gentlemen. yournk each of you for testimony. dr. cohen, you have been here before, and i appreciate your testimony. hopefully in light of some of the questions today, you see there are a number of things that are bipartisan, in terms of our desire to get you to address. the loophole, as i see it, it may have been intentional, i don't know what it is. the 90 day, what i would say, it does not allow the insurers to

do what they have normally done in the past. the premium,aid the coverage quits. the ranking member and i are hoping that you address that. comments,rom your that you are willing to address that. is that correct? >> within the statute that we dayrequired to provide a 90 grace. -- >> let me ask. here is my concern. the front end, whether it is hhs a car, butlooks like when you open the hood, all of the parts are not in there. anetimes there is not

air-conditioning. i will give you a prime example. you are looking at fraud. usebody actually contacted and said they were able to enroll through healthcare.gov with the exchange of of birth 1124. if they are able to do that, under our system, fraud robust.on is less than wouldn't you agree? how do we ensure someone who is a hundred 98 years old? be. not know who they might >> we are bouncing things here. we want to make sure that somebody who had a fat finger when they were typing something in does not -- >> that is what i'm saying.

it says you are a hundred 80 -- 889 years old. there is a high probability that you are not. how could they enroll? >> when someone puts that information into health care about of -- healthcare.gov, we do a check immediately. >> i know. i'm really familiar. you know i have. the problem is, it does not go from you to the insurers. between this huge wall hhs and the insurers when it comes to fraud. decision andlicy the two of you do not talk. is them hearing insurance companies want you to talk to them, to engage, and when they inquire, they get crickets, the hear nothing.

i guess, in the nicest way, i am that 90 dayon issue, if they are seeing fraud, with the fullgo doingand say we are not this. you are aware it is on the internet, right? aware aboutry much how to get around the program. i believe you that it is there. >> you have seen it, right? seen it.e >> has anyone seen the site? >> i don't know. i have not.

>> i'm shocked. we would be glad to show you. with that, if there is no further business, the committee stands adjourned. >> thank you. [captions copyright national cable satellite corp. 2016] [captioning performed by the national captioning institute, which is responsible for its caption content and accuracy. visit ncicap.org]

> today, republican presidential candidate> donald trump speaks to families of victims of illegal immigrants in houston. live coverage begins at 1:00 eastern on c-span. event towait for that begin, on tuesday, republican vice president shall candidate, mike pence, joined paul ryan and other house republican leaders for a joint conference at the headquarters in d.c. governor pence discussed hillary

clinton's comment that half of donald trump supporters came from a quote basket of deplorables. this is about 20 minutes. >> first of all, we just left our conference, and there was an excitement in the air to have our friend, mike pence, back with us. on the floor this week, we have

four different bills. we will deal with tax increases to obamacare, changing the veterans a administration. transparency in government. security. those issues that mike has been talking about across this country. they are issues that america has been telling him about. first of all, we will deal with, as you know, obamacare. the premiums continue to rise, and so to the taxes. secondly, we watched the failure of the v.a. system. the backlog invisibility claims. it has become so bad, you cannot even fire an employee when they show up late. as all americans believe, you should have transparency when it comes to washington and bureaucracy. dealingbe moving a bill which is that a less, jackie and

the challenge of where we find security around the world. this is not the time to be releasing those terrorists in gitmo and bringing them to america. we will have a bill to prevent that as well. just as our governor mike pence travels the country talking about the future and the house will be leaving a better way agenda, i look forward to, after this election, having a team in the white house that will side protect us from tax increases, give us better transparency, reform the v.a. system, and give us all the security we need. >> it is great having our friend mike pence join us at the republican conference today. you can tell the enthusiasm of the members, many of them who like served with.

you can sense in states whether a swing state or not, and there is incredible support the trump-pence ticket and it's growing. i personally thanked mike for what they did when donald trump and mike pence came down to south louisiana just a few weeks ago. and while people were at their lowest point, gutting their houses during and after this tragic flood that we experienced, you could see not only how much they lifted people up at an incredibly low time. how much it really gave people spirit to know that there was somebody who really cared. the fact that they showed up,

went to churches and gave out relief supplies to people. that's the kind of people that they are when you look at the momentum behind the trump/pence ticket. it shows you that people are really responding to their message to making america great again. and as we talk about our message of a better way, the agenda that we've pushed as house republicans to show how you can get the country back on track, how you can create jobs, how you can rebuild this middle class, and how you can strengthen a military that's been depleted, it goes hand-in-hand with the message that donald trump and mike pence have been delivering all around the country. it is why you've got such great enthusiasm. it's why we're going to win this election and be able to finally start turning this country around again. so again, it was great seeing mike before our conference. the members are excited. but more importantly, you're seeing people all around the country excited about this optimism that their ticket, the trump/pence ticket, is giving to making america great again. >> well, it was a highlight of this year, actually, to have mike pence here today addressing our conference. and we are very proud to have

him on the ticket, proud of the leadership that he is bringing. as you think about this election, it's been anything but status quo. clearly, this country is hungry for new, fresh, dynamic leadership. and what we see being offered by the other side is a defense of the status quo. it's a defense of the top-down government- knows-best approach. and what we've been offering as republicans from the beginning of this year has been that bottom-up, empowering people, making sure that the people's voice is restored in this government; that we have a government that reflects the consent of the governed. because at the end of the day, we need to be about the farmer, the builder, the stay-at-home parent, or the veteran. it should not be one in which a government continues to think that it knows best. and that is the choice that faces the country this fall. we are excited about the leadership of donald trump and mike pence, that they're bringing to this country to help make america great again. >> it's good to see everybody. we had our last political

conference today and we were joined by someone who needs no introduction. for hoosiers, mike pence is their governor. for americans, mike pence is donald trump's running mate, the next vice president. for us, mike pence is a friend. mike pence is a former colleague. seven out of 10 americans believe that this country is headed in the wrong direction. he is working with all of us to make sure that we put this country back on the right track. we are offering an agenda to this country to show how we can get this country back on top; to show this country how we can get jobs; show this country how we can fight poverty, rebuild our military, restore self- government and the constitution. that is why we are just honored to have with us today our friend and our colleague who we believe is going to be the next vice president of the united states. mike pence joined us today. our members were excited to have him. we feel the wind at our backs. and we're excited about getting this agenda and moving it into law. and if you want to learn more about it, go to better.gop and you can see just in fact what we have in store for solving this country's big problems with our

partners. with that, i'd like to introduce mike pence. >> thank you, mr. speaker. thank you so much to this whole leadership team. it -- it is a great privilege for me to be back among so many men and women who live out every day a dedication to this nation that's truly inspiring. i'm grateful for the hospitality. it was for me an emotional return to a group of men and women that i served with for 12 years and have so admired. i know donald trump and i are so grateful for the support that we're receiving from this -- not just this leadership team, but members all across this country who are rallying to the cause to make america great again and to be -- to be at the house republican conference today was a great privilege.

i particularly want to express my appreciation to speaker paul ryan. his development of the better way agenda so aligns with donald trump's vision to make america great again. the american people should be confident that 56 days from now, we can elect a president and reelect majorities in the house and senate that will be ready on day one to restore american strength at home and abroad. the house commitment to and plans to rebuild our military, reduce taxes, end the war on american energy, roll back job-killing regulations, repeal obamacare and support the kinds of policies that will result in a stronger, more prosperous america, represents an extraordinary start on the important work that we have to do as a country.

seven-and-a-half years of the leadership of barack obama and hillary clinton during her years as secretary of state have weakened america's place in the world and stifled america's economy. and with the strong leadership that donald trump will bring to the white house, with our strong partners in the house and in the senate, leaders and members of which i'll be meeting with later today, we're very confident that we can bring real change in real time to the american and i leave here today with a grateful heart to be among my friends and those men and women that i hope and pray we have the opportunity to work together to make this country great again. >> questions. >> governor pence, would you like to amend your recent comment (inaudible)? >> let me say first and foremost i think millions of americans were shocked and saddened to see

hillary clinton refer to people across this country as a basket of deplorables in a prepared speech before wealthy donors in new york city on friday night. she said that at the time, half of the people supporting donald trump and i were irredeemable, were not american. and frankly, i've never heard a major party candidate in the united states speak about the american people with such contempt. i'm out on the campaign trail every day. i'm campaigning with donald trump and for donald trump.

and what hillary clinton apparently doesn't know is that the people that are supporting this campaign are hardworking americans who come out to our rallies, come out to our town halls, who stop us in diners, who visit with us at meetings at factories. they're people that work with their hands. they're people that run businesses. they're veterans, members of the armed forces. they're law enforcement officers, moms and dads and farmers. for hillary clinton to express such disdain for millions of americans i think is one more reason that disqualified her to serve in the highest office of the land. anyone who has that low an opinion of the american people should never serve as president of the united states of america. as i said this weekend, i'll say again, donald trump supporters are not a basket of anything, they are americans and they deserve the respect of the democrat nominee for president of the united states. donald trump -- his ambition is to be president of all the people of the united states of america. and as he said this weekend and we believe from our heart, even those who do not support us, even those who are critical of us or have strongly different views have our respect because they are americans and we

respect their right to their views and it would be the highest honor of our life to serve them. now, with regard to your question, i will tell you, i was -- i was asked yesterday once again a question that i am -- i continue to -- for all the world, i have no idea why this man keeps coming up. i mean, donald trump and i have denounced david duke repeatedly. we have said that we do not want his support and we do not want the support of people who think like him. and yesterday, i was -- i was asked a question about that. i repeated that again. and the simple fact is that i'm not in the name calling business. my colleagues in the house of representatives know that i believe that civility is essential in a vibrant democracy, and it's just never been my practice. but i'm also not going to validate the language that hillary clinton used to describe the american people.

i mean, look, millions of americans know and frankly you all know hillary clinton wasn't talking about that bad man. she was talking about people all across this country who are coming out in record numbers to stand by donald trump and to stand with him in his vision to make america great again. so we'll call on her again to apologize and retract her comments. i mean, the only thing she's -- she's said so far is she was wrong about the math i guess and she's sorry she said half. the truth of the matter is, her remarks were deeply insulting to sincere people all across this country who know we can do better, who know we can be stronger. and we call on hillary clinton and her campaign once again to fully retract those offensive statements and apologize to the american people as she should.

>> governor, do you have any concerns that -- whether it's david duke or others who hold views that are considered racist or misogynist or any of those things -- that they are attracted to your campaign and want to attach themselves to you? again today, david duke talked about you specifically. are you concerned that there's something about the trump candidacy in these political times and the rhetoric that's been used that draws them to you? live in a free country and people have built motives and associate themselves with politics. i would draw no more conclusion that that man's expressions of support than i would the fact that the father of a terrorist who killed 49 americans was seen at a hillary clinton rally, cheering her on. and said he was there because she was good on national security. i mean look, folks; there are two people on the ballot, here. hillary clinton and donald trump and one of them is going to be president of the united states of america. and i would submit to you this is all a distraction, i get it.

i understand why hillary clinton and her campaign want to change the subject after that speech on friday night. i mean we all have recognized -- even the media have recognized -- this was a catastrophic insult to the american people. and its so important that people around the country know, this was a prepared speech. this is not the first time she called millions of americans a "basket of deplorables." and i just -- as i said, i think anyone that's got that low an opinion of the american people should never serve in the highest office in the land. [indiscernible] [laughter] >> can i head your thoughts on

the ncaa division gaining (ph) some its championship series out of north carolina over what's perceived as an anti-lgbt law? the nba has done something similar with the all-star team. >> well, i just heard about that this morning and wouldn't have the details to comment other than to say we -- the ncaa is based in indianapolis. we have a great relationship with the ncaa. and donald trump and i simply believe that these decisions are best made at the state level, by the people and where dispute arise that they should be resolved in the courts. >> last question. >> this guy, right here. he was patient and he wasn't shouting out. >> thank you. governor pence, speaker ryan has repeatedly and at times forcefully reviewed donald trump -- >> ok somebody else. [laughter] >> thanks, man.

>> i did not hear the question. >> i did not either. i can tell where you are going. >> speaker ryan has repeatedly spoken out about donald trump. i'm wondering if that's made it difficult for you as you've been reaching out to some republicans who are on the fence, that our goals are identical. what was so inspiring to me to be at the republican conference , how much consistency between donald trump's vision to rebuild our military and revive the american economy, uphold the rule of law between's , and the agenda that house republicans have put forward in a better way. do believe we have a historic withtunity before us today

the enormous talent here in the house of representatives, led by speaker paul ryan. with the energy and vision of , to turn donald trump this country around very quickly. i said to the conference today, this is the most dramatic choice in an election in my lifetime this is not a choice between one candidate who will grow america this much and another candidate who will grow america that much. will continuer we to go downhill to a weaker america at home and abroad and whether we will continue to walk away from that constitutional liberties and try the interpretation by the supreme court, whether we will walk away from the highest office in the to march backt uphill to greater prosperity. house republicans, senate

republicans are committed to marching back up that hill. when we elect donald trump as the next president, they will have a team and a partner in the to march back up to a stronger and greater america. thank you very much. this is from the omni hotel in houston where donald trump will be speaking shortly. it is called the remembrance project help for victims of families. we talk to a reporter about campaign financing in california. how a congressional race in

santa are brought, california became one of the most rest of in the country. thank you for being with us. seat.s an open tell us about the candidates. a supervisor in santa barbara. he has made his way up through local santa barbara politics for 20 years. he has the backing of lois caps as well as nancy losey -- nancy pelosi. a 28-year-old. it is on a medical devices company in santa barbara. edworks for congressman

whitfield in kentucky for a year before moving back to the district and working for his hair and company. 2014 but did not make it out of the primary. >> how much will be spent by the candidates and outside money? is $5.5 million, 1.5 in outside spending. i expect that to go on. i would expect because santa barbara is such a cheap media ,arket compared to los angeles you could see another million dollars in outside alone. it will get more expensive before election day. here are some of the ads now on the air.

>> when congress can't agree on a budget they shut down the government and keep their salaries. when the great recession hit and hundreds of county workers were furloughed, he stood with them and gave a part of his salary. importantht it was that we do the same day. i believe that's what leadership is all about. three an third-generation rancher was born and raised right here on the central hills. barbara high he wasn't unstoppable running back. building a small family business he would never take no for an answer. justment to washington long enough to realize the place needs new ideas. someone unstoppable.

>> just two of the many ads. joining us on the phone from the panzar. isjavier >> you couldn't it to more different candidates in that area. --fareed was a staffer for a year. 20 carver hall has that years in politics. raises a lot of money for this race and also one he was running for county's supervisor

he has the backing of loispelosi, lois capps, , she is backing him. he has been hit with a lot of attacks for being a career politician. fareed doesn't have much of a career in politics. he says he's young, a new republican and run against the dysfunction and congress. >> let's talk about the demographic -- demographics. san luis obispo and santa barbara. who does it favor? >> for a long time, because of

gerrymandering it is known as a ribbon of shame. the district cut a thin slice of the coast to maybe malibu. further inland. you start off on the coast with the liberal cities like santa barbara and go more inland and you get into the old republican ranchers, that produces more republicans. interesting area in that sense. a six-point lead over republicans. favor mr. should

carver hall. becominge race that is the most expensive in the races. .is work is available online thank you for being with us. >> we are waiting for donald trump to arrive at this event in houston, texas at a luncheon being held for families of victims of illegal immigrants. outgoing nigelom ferriss. he gives his final address to members and supporters at the annual conference.

[applause]

>> thank you. ladies and gentlemen, thank you. thank you for that fantastic welcome. we did it. we got our country back. and we would not have done it without you, the people of the of everyi'm very proud single one of you. thank you. [applause] events of june the 23rd at 3:30 in the morning we realize we were going to win seemed like a fairytale. a very longn journey indeed. joined theo i

anti-federalist league. not monday people can see that. there were many others. became --.an -- . sent it doesn't matter my friends and family thought i went mad. to me the history is impossible office --ew political in this country. govern fore should justice. six weeks after the party had been formed the conservative member of congress died overnight in there was an election. volunteered and i was the first-ever candidate of the uk

independence party. i went out there and i campaigned and i did my best and i can tell you on the night of the results by a crushing clear 44 i be -- the. things changed in 1999 with representation of european elections. nobody thought we had a chance. i always did. i will never forget that night when three of us were elected and ukip was just starting to get on. it was an amazing feeling. interview.er live

about a live interview 1:00 in the morning. he said congratulations, nigel. you said you were going to do it youyou have but next week will be talking to the european parliament. lunches, champagne reception s. do you think you will become corrupted? and are applied limoneira, i have always lived like that. -- and i replied on air, i have always lived like that. at least it was true. your -- we went on year sailors -- dramatic

failures. we first got into the political big-time early in 2013. when suddenly the british public realized what we had to say about the taboo subject. subject you were not supposed to discuss in polite company. these -- as if raising it you are committing a criminal offense. we talked openly about the need for sensible immigration into this country. and we talked about it. it and it wasbout rapidly becoming the number one issue that nobody else would touch the subject. they were all committed to membership of the european union.

big story. got a we went into the county elections that year. i remember how number four mill bank, i was there until 9:00 to do interviews. overnight getting 23% of the national vote. saw a big throng of cameramen by the entrance. and i thought something big must have happened. oblivious to what we had done. election inuropean .014 pit -- the first party that wasn't labeled to win a national election since 1996.

without us, there would have .een no referendum without you, with you and the people's army there would have been no ground campaign and together we have change the course of british history. [applause] and we have brought down a run minister -- prime minister. of --.got rid and we got rid of a european commissioner. i sent four years ago i predicted that ukip would cause

an earth like in british politics. .ell it has the question is what now? we have a new prime minister who is it.d that brexit feeling that things are beginning to change. her speechher making afterward she said, the british people voted for some control of immigration from the european union. no, prime minister, we voted to take control of our borders.

and we have cabinet ministers like the home secretary still writing the referendum, cost uson that it might 50 quit to get a visa. half of his cabinet did not only fail but it seems to me they want to do their utmost to keep us out of the single market. there is a great political battle ahead. my concern is this with labor in the mix, and it is in a mix isn't it a leadership election going on, and yet there is no conversation with half of the labor voters. , andlabor in trouble

conservatives heading towards 2020, the temptation on the prime minister will be to go for soft brexit opposed to a hard brexit. we can be proud that we won the must win thew peas. the only mechanism to put pressure on the government to , 17.4he debate live million people get what they utip to beour healthy and strong. [applause] we will find out who our new leader is. we wish them the best of luck and my job is not to try to

ifluence that my job will be they want help and advice i am still foursquare behind this party and its aims. i have to say that if at some point in time ukip gets mindnized, and bearing in that the liberal democrats have ,ver 100 in the house of lords, if anything like that was to come our way then i think you

ought to be part of our list for everything you have done for this party. he talks about reform, he talks about change. remember this, ukip was a grass roots party. in the 1990's did not have national figures. until 1999 it didn't even have elected representatives. we chose to manage yourself through a national executive committee of willing volunteers. that was fine then. but we have moved on without a third biggest political party we have to change our management because one of the problems of success is that it brings people into the party who perhaps don't do it for altruistic aims, perhaps are

more motivated by their own professional careers in politics. applause] things that need to change. in essence i know from that referendum campaign and since, i know this party is united. i know this party is strong. look at the elections since the referendum. ukip is winning. there are millions of people out there who now identify as ukip voters. they believe in us and trust us. change theat we center of gravity of politics, the fact that many of the things we campaigned on, whatever it may be, the fact that people are

talking about it doesn't mean they are going to deliver it. it is us that have to keep pushing all of those agendas. i don't think that the harvest of road so we could restrict it -- potentially get on the labour party has even started yet. applause] , corban is a decent and principled man. but he does not believe in britain. he doesn't even sing the national anthem. referendum, to the and i think we have fantastic potential in wales and in the north and elsewhere in picking up labor votes. believe me, if brexit does it think there then i

will be a large number of conservatives that will say, there's only one party that we can support. they will judge whether brexit means brexit for three simple measures. the next general election comes along will we have back our territorial wishing water around the coast of the united kingdom? be outside the single market, so that 90% of our businesses don't get regulated by europe? brexit, the test of only time -- you might have seen this before. the only time we will know that brexit means brexit is one that has been put in the bin and we

--.back a british [applause] i have a feeling they are not going to deliver all of that. i am certain they will not deliver it until -- unless ukip is fighting strong in every constituency in this country. we won the war and we must now win the peace. today raises the chapter i want to see a pretty extraordinary new year. i honestly looking back and never really addressed that we would achieve what we have. this. put all of me into

[applause] i literally could not have worked any harder or could not be more determined. in a sense i guess it is my life were to help get the party to this point. i don't think i can do anymore. i think i have done my bit. i am not giving up on politics completely. i will support the new leader. i will continue to lead a group in the european parliament to --.

and making my constructive contributions. [applause] traveld this autumn to to other european capitals to try and help independence and democracy movements in those countries, also. [applause] who knows, i may even go back to the united states of america as some point. i am going to be engaged in political life without leaving a political party, it will leave constrained--ss on, i am going to speak

my mind. as i toured the country i said, on that wonderful open top buses and met thousands of you, i said i want my country back and i want my life that. i want to thank everybody for the massive contributions that you have made for me to help meet do this job. thank you. [applause]

♪ on our road to the white house coverage continues in houston. we are waiting to bring you donald trump's comments to remember victims of illegal immigrants. until he arrives more from the u.k. and diane james the incoming independence party leader.

gentlemen, good afternoon. what a morning we have. sent, i asked everybody provide a sendoff for nigel, the man who changed the course of british history. you did just that. but just to be sure that he got the message, let's have one final cheer for nigel. [applause and cheering]

in just a few minutes, we will know who has been elected to take our party to the future. but first let us spend a few final moments to reflect on what has passed. i remember what things were like one year ago. onlyt 4 million votes but -- the election was just onto the verge of financial ruin and nigel had just resigned. times over the last two months they seem like the good old days. said, it did look good at the time. through the tenacity, dedication and passion of ukip members we put our first steps forward. we dusted ourselves off and do

what ukip members do best. we campaigned. we engage with voters and knocked on doors and deliver the arguments that the country needed to hear. one of the things that frustrated me the most have been listening to one media outlet don'tanother tell us that leave brexit. does anyone believe it was vote leave? was ukip?e thinks it i am proud that we worked with all forces and came together at the right time. be under no illusions as much as the establishment may deny it with there not have been an referendum without nigel and ukip but without the party it would not have been one. [applause]

that is exactly what we did. we won. reconnected with kindred spirit and now they are waiting to see what more we can offer. is more important now than ever. we are still here and we are still relevant. we have seen an example of that last week with the announcement from theresa may that she is now in favor of grammar schools. an interesting policy that we could not have written better ourselves. in fact, i think we did. i can't wait to see what policy ideas the conservatives will claim two, next. you can be far more than it pressure group.

this demonstrates how we drive the agenda to this day. our new leader will appoint their own chairman and i will go back to being happy. been one of my greatest honors to serve as nigel's last chairman and handing the role over to somebody else before the end of the month. help to whoever picks up the baton. it is a time for our party to unite and to support our new leader. when we work together we proven we have the ability to move mountains and now a brand-new leader. we have to look at which mountain we will move next. i am very proud now to announce the results of our leadership contest. overseeingt has been

by the electoral reform services votes.eived 17,900 with 1000, 203 votes is elizabeth jones. [applause] in fourth place with 1545 votes bratton. place with 2000 52 --bills built as syringe ethridge. place with 4500 91

votes is lisa duffy. so ladies and gentlemen it is a pleasure to announce with8451 votes the leader of the uk independence party is diane james. [cheers and applause]

>> we did it, ladies and gentlemen.

you did it, ladies and gentlemen. and i have just done at. chairman, nigel, thank you for that. it will take me a little while to come back to earth but thank you for your good wishes and for such a wonderful reception. thank you to everybody who voted and took part in the contest. you have handed over a mantle so there we go. it is one that i am deeply nigel. to take on for i still quite haven't come to grips with it. i am immensely grateful for what he's done and what you have bestowed on me. are andember where we

what you have asked me to take on. i was part of that european elections winning team. -- been one of your mvps in brussels. i supported a number of our candidate. we were the third political force in that general election. we really did move mountains in that political landscape. the -- we might well have been morallyped by a bankrupt system. >>[cheers and applause] away fromody can take ukip the disruption we caused.

tonight can i mark one particular sentence. projects that have had their day. they have had their day everyone in we prove why they had their day and we are going to ensure that they never, ever rise from the ashes ever again. [applause] also think the media for being here. why are they here? political police -- change of the united kingdom. there is more interest in you and this party than others would

dream of. thank you media, thank you indeed. let me go back to people like you out there in the audience, maybe other ukip members looking at what is going on. -- forcking up things the individuals i have met at events across the country, as you'd thank you. appreciation.e for making me aware of the talent that we now have out there, for the enthusiasm we now have a there, and for those who really want to see ukip deliver further change in this country. you are the grass roots. you are the pivotal base of this

party. on behalf of everyone who has spoken today matt akamai thanks for everything -- akamai thanks for everything you do. they face a huge challenge in 2017. i can give you this commitment. i will be behind you, i will make sure that you get the and wherevereed, you are in this country in the united kingdom, you will have the backing of the united kingdom independence party winning machine. [applause] we cannot take our eye off that important elephant in the room, can we?

heat, i'm not even going to talk about battles and. i'm going to talk about keats and races and getting over the finish line. we have only just won a heat. i am grateful and i appreciate all the other cultures who are now looking to england and hoping to emulate what we have done here in their own country. the u.k. signature inc. is not yet dry on the document. dry, to every single -rson who talks to you applause]

just remind them that until we in a signature, we are still . they still tell us what to do. everything that goes through the european union, various levels of what they purport the democratic process. mind.hat in outlined my wonder -- 100 days priority. focus oneast is the this party's policies and making for we are that total ready the next general election whenever that might come. applauded for the quality of our manifesto in

2015. and rightly so. it was independently trusted. it stood up to scrutiny. word is that it is the best one on the street. we have to do that again i will be asking all of you to make a contribution to that, make sure that your views are captured, counted and included in the policies that we will take forward can put to the united kingdom population to make them aware that we truly are a political force that we will deliver on this what is necessary for the country. [applause]

on defense spending, they also to -- tried to seal a grammar school. just remember, when you try and bury these kids when you throw everything at us, when you try to undermine us, d motivate us ,emember where the best ideas where they came from and in all like the hood where they will come from again in the future. [applause] the man i will pay my next tribute, it is to life fellow colleague, their contribution to

2016 ineral election in think sometimes goes on under remarked. i worked with them on a weekly basis with those individuals, the work ethic of those individuals and a commitment to our cause in europe i think sometimes is undermined or ignored. i say to each and everyone of you, thank you for all you do on behalf of the party and work to continue what you are doing and -.ant you to continue i wantt importantly nigel giving them grief at the same time. [applause] just remember that message that we develop. develop from a

referendum campaign. the one that some of the other organizations have tried to do. the one that you must constantly remind people in the message remember, take back control. take back control. [applause] the academics out there, they are working hand in glove for the opposition. what people ignore voted for. what 17 point 4 million people voted for. they voted to reach out to the world, to reach out to the rest of the world, the bilateral trade deals. they vaulted for an outward looking globally successful

britain that can thrive and survive and build on the strength that this country has. they voted to return to full control and they voted to control our borders. if any of that is going to be signed away under brexit life associated brexit membership or , may i rhymeoction -- remind you again this is what we are going to fight for, what we will continue fighting for. major -- and my third major tribute, an individual who spoke for lunch, somebody who has given up -- and did a mental to me who still

wants to be beside me as your stalwarter, cool be a person to make sure it is deliver. to thinkk you with me nigel once more. [applause] the european union referendum

and the outcome and great britain is embarking on a new era. and just is the same for our party the ukip. light, i will never pretend to do so. i will be stepping into his leadership shoes, but i will be doing everything to achieve the political success that he is handing over to me and you. i recognize the politics is what int scenario than have been used to in terms of leading companies, leaving boards both private public sector. but what i do appreciate is i

could be leader in name but if i am not leader with you people behind me, that title is meaningless. this, ave you the -- reassurance that i believe in of liberty, common sense, democracy and pragmatic approaches to the challenges this country faces. my language might be a little different. -- i tell you one thing, you will always get honesty from me on any question that is posed to me. and i will uphold all of the beliefs and values that this party stands for and let nobody suggests otherwise. applause]

professionalism will be at the top of my agenda. -- reach going to read the goals that this party is capable of reaching then change is going to have to happen. it is not going to be change for sake, not that i think i it's goingange it, to be because change is necessary -- necessary and justified. and the caveats and what is behind that will be to provide and make sure we have a winning political machine under my leadership, and was something coming to you which you know delivers all of your successes and make sure you are part of a winning team.

[applause] let me talk about some of the questions that have been asked to me. the threats to the referendum --come by increasing acing increasingly, no two were european associate membership, note to brexit light, no two single market control, and note to unrestricted or uncontrolled freedom of movement into this 500 million, whatever the european union looks like by the time i believe we will leave. if they come in, they come in on a fair basis. is what i want you to

believe in and work with me on. 100% european union exit. can i be any more clear? [applause] yes to a sovereign independent united kingdom. [applause] yes to a united kingdom free to make trade deals with whoever and whenever we want. [applause] policy to an immigration that allows entry regardless of origin to those with the skills and expertise and the social

values that this country wants. [applause] may i say 17.4 million people signed up for those issues. 17.4 million people voted to leave the european union. that is what independence means and that is what independence and the united kingdom in name means. so don't ignore it. promises made, you are now looking and if you are watching tv this afternoon, you will be watching the opposition party in waiting.

[cheers and applause] and mrs. may from one grammar and getirl to another, on with it.

and give ukip the best christmas -- 25th ofth of its december, 2016. [applause] -- ladies and gentlemen, thank you indeed, thank you from the bottom of my heart. we will leadership confirm to critics, we will outwit our opponents, we will build on our success that we have achieved today, and we are the opposition party in waiting so watch out. all of you, wherever you are in the united kingdom at the moment, i ask you support me,

work with me, win with me and machine ithe winning will become. thank you, everyone. [cheers and applause] [applause] [applause]