that's it for tonight on "the willis report." thank you for joining us. have a great night. we will see becker tomorrow. ♪ ♪ lou: believing. thank you for being with us. breaking news tonight, the city of detroit has filed for bankruptcy and becomes the largest american city ever to go bankrupt. the filing against and 30 to 90 days in which it will be determined whether deterred is eligible for chapter nine bankruptcy protection and lays out the rules by which to try its creditors can compete for the city's extremely limited and rapidly dwindling resources. detroit's long-term debt is estimated to be as high as $20 billion. among the most critical issues now confronting the city, how detroit can manage to pay its first responders.

after determining how much of the city's pensions are funded, deciding what percentage of that money will actually be paid out to detroit retirees. we will be taking the story up with some of the best political and economic minds in the country tonight. the failure of detroit's past and present leaders leading to its economic calamity. and in the nation's capital is also at risk. it is said that major aborts a vacuum and if ever there is a vacuum it is in washington d.c. a president who leads from behind is often not interview. the loyal opposition all but absent in the u.s. senate. for whatever reason senate republicans are content to watch mccain take up the mantle of. it is almost as if there had been a quiet recount of the 2008 presidential election which put

john mccain firmly in charge and charging he is seeminglyywith old democratic party support. in the senate republican support here is senator mccain earlier today lecturing joint chiefs chairman general martin dempsey on the situation in syria before telling fox news you will put a hold on the general's renomination. >> i would like to know an answer rather than a filibuster. we will ask you for the third time, do you believe that we should take military action, which is more -- has greater risk. our continued limited action for significant action such as the establishment of a no-fly zone and arming the rebels with the weapons they need, which they have not been giving, general. i know. and i know. perhaps better than you because

i've been there. lou: directly answering this is a decision for our elected officials and not an appointed head of the military. mccain however vowed to block his renomination while paving the way for the president's controversial cabinet appointments to both the epa and labor department. mccain brokering a so-called deal with majority leader harry reid, a deal that earred him a shot out from his new friend in the white house. a sure sign that the agreement was a loser foo republicans. here is the president praising his partner of convenience in the republican party. >> yesterday and richard was officially confirmed. want to thank senators from both parties including senator reid, mcconnell, mccain for coming together to help get him confirmed. lou: the seemingly start crossed alliance of president obama and

sentenced to five senator mccain born of frustration and confusion of the 2008 to the election and much of what is followed. we can all expect more of the same from senator mccain moments away in tech "chalk talk." we'll have some of the reasons why senator mccain and president obama look more like co words than opponents and ryan's. based on the city's polic policy shifts. also tonight, samantha has accused the united states of committing and sponsoring global crimes. she has been nominated to be the next u.s. ambassador to the united nations. that used to be john bolton's job. we will see what the ambassador thinks of all. with the obama administration rousing emotions over the zimmerman verdict leading psychotherapist joins us to take a look at the role of race and politics and the american psyche

the house oversight committee demonstrated its brand of by focusing on corruption at the internal revenue service. the ira's targeting of conservative groups. witnesses today claimed innocence in the cincinnati office and pointed instead the finger of blame at the washington d.c. office held by one of two, one of two irs appointees of the president. fox news chief congressional correspondents with our report. >> the investigation into the ira starting of conservative groups focus on hearing from two key figures, recently retired 48-year veteran of the irs said is handling a two-party applications was delayed by the office led by william wilkins, and a obama appointee. >> he said one group should be approved for tax-exempt status and what should be disapproved and get further information. is that correct? >> that's correct. >> the given to someone who had no experience and to come away from you after you met with the

chief counsel's office. is that correct. >> as correct. >> in cincinnati agent said washington was involved in her work on two-party applications as well. >> i was frustrated because of what i perceive as micromanagement. >> after the targeting scandal broke the early political narrative was it was the fault of to rogue agents in cincinnati >> did you and other people in the cincinnati office feel that they were being unfairly blamed for use to to excuse this political activity that was going on in will the washington office? >> i can't comment on what others did. personally i felt like it was a nuclear strike. i felt like there were blaming us. >> the republican blasted the press secretary for planning the little guys. >> when you have a spokesperson for the president of the united states make a definitive statement said it was to rogue agents and start poking at these

people who have no power to do anything about it, that is wrong >> at time the public's between the committee chairman and elisa coming to cover the hearing. >> as the ig released his report we have been hearing over and over again from the republican sector, the obama administration and the white house responsible for the targeting oo two-party groups for political reasons, even the chairman's op-ed this morning, "usa today" continues to raise questions about whether the white house directed to. >> i would hope that they are not linking the two. i have never said that it was the president. i never said he directed it. certainly my question was posed as a question, not as a conclusion. >> after several testy exchanges a rank-and-file member tried to restore order. >> is disgraceful that we are squandering the server to the to get to the bottom of this

because of partisan bickering. >> the inspector general testified and took considerable heat from democrats for not mentioning senate that liberal groups may have gotten extra scrutiny. george says he is disturbed that the irs never gave those are documents and defended the work of his team. lou: thank you. chief congressional correspondent. president obama today was out touting the benefits of his battered health care law despite serious questions about how and when it can be implemented. >> competition in ways that we have not seen before. %-for your business.will compete states that are working hard to make sure that this law delivers for the people, we are seeing consumers by giving a hint of how much money they're potentially going to say because of the slot. lou: running a stop former congressional budget office director and president of the

american action form. former u.s. senator scott brown, now may fox is a contributor. thank you for being here. let me start, if i may, with you . your response to the president, a significant reduction in premiums in new york state but did not mention what those premiums would be for the nation on average. >> welcome on the numbers we know first of all the new york state is now wire. the president left out the fact that he is talking about averages. for some people we will see significant increases. for the older and sicker, there will be subsidies. that part gets left out a lot. have to ask how you get the cost down. so we saw in california is you get a cheaper insurance policy because it can't cassini doctors that is an empty promise. lou: your thoughts? >> i have said for many, many

years that obamacare is a mass every is nothing like we did in massachusetts. eighteen new taxes, premiums rising. got any business and see what they do. they're laying off employees. the union severed a letter. our employers are laying a soft because of the high cost of obamacare. it's a mess. the president has done what i call the political bougie bougie, trying to sell something the public does not want. employers don't want to redo need to go back to basics, start again, and to what we did in massachusetts, get costs under control and allow for plans without raising taxes with complete bipartisan support to get the people to care. i think i get the meaning. does it apply as well to the immigration, the gang of a bill that just came out of the senate and guided the house?

>> well, the senate bill was not brought forward in the house. the house was going to take up smaller bills were one issue of the time there will look at things that there really concerned about, the border security. parts more hearings on that incremental approach than the united states senate held on a completed gang of a bill that they then sent on to the house. that is averages. >> i think they're going to do to diligence. one of the things you will see, the house will insist on writing down the metrics for what constitutes success. there's a tremendous distrust of leaving it up to the a ministration. so we will look different in the house. i think that's a good thing. it will be a much more conservative version. >> you just said the bill. are you saying that you believe honestly that the house is so

filled with fools that they're going to bite on of the bill? >> they're going to do numerous bills. lou: are you happy with the way it's going in the house are would be a preferred the gang of eight? >> the ticket up piecemeal. what they need to do is he's as her -- it's clear. you need to have a strong verification plan right away. he can work on the high skill visas, people who are here in want to come here to learn. get a diploma and an ability to stay in port here. the biggest think as many people are deeply concerned that the people are here illegally and don't give 1 penny of benefits until they have fallen through on a plan, whether that is and get in line behind the people

that have done it legally. we need to fix the program that's in effect now because as you know 40 percent of the people that are actually here illegally have overstayed their legitimate pieces. it's a big mess, with the ticket a piece by piece. the seeate should adopt these issues piece by piece. they can at least tackling some white. lou: thank you for being with us. it will have much more on the president's push. we will be talking with the "a-team" coming up. elusive middle east peace. the secretary of state says he now has the support of the arab league. former u.s. ambassador to the united nations next. any last requests mr. baldwin? do you mind grabbing my phone and opening thcapital one purchaseraser? i need to redeem some venture les before my demise.

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♪ lou: disturbing developments. first, listen to this delegation from congressman frank wolf today. >> according to ed sources that have contacted my office many, if not all the survivors of the benghazi attacks along with others at the department of defense and cia have been asked or directed to sign additional nondisclosure agreements about their involvement in the benghazi attacks. lou: back in march white house press secretary shikari insisted the white house was not preventing anyone from speaking to the benghazi survivors. lawmakers also being stonewalled in their efforts to talk with marine corps colonel george bristol who is an accurate position in the chain of command of the night of the benghazi terrorist attack. the pentagon has claimed bristol

can be forced to testify because he is retired. the marine corporation times says that is entirely inaccurate reporting that he is on active duty through the end of this month. the senate foreign relations committee is expected to vote next week on some of the power, the president's nominee to become ambassador to the united nations. expected to be confirmed despite evading questions over her past remarks suggesting the united states should, among other things, apologize for its sense. >> we have nothing to apologize for. >> are you don't have any in mind now that we have committed or sponsored? >> i will not apologize for america. i will stand there proudly of confirmed behind the u.s. packard. >> i understand, but do you believe the united states has committed or sponsor crimes? >> heavily the as it's the greatest country on earth. lou: could be forgiven for

thinking that the person that he was addressing his questions to was an imposter. joining us now, former u.s. ambassador to the united nations and a fox is contributor john bolton. great to have you here. she is following the proud tradition which you are one of the most distinguished examples. how do you feel? >> she will be confirmed. not think there's any question. she said in her prepared testimony she would be a blunt and outspoken champion for american values. democrats and republicans, that's great. i was up their pay heed you can't have both in and his ambassador in the un. you will be a blood an outspoken champion of american values, and that's not diplomatic. i'm glad to see this debate result. lou: it's amusing. senator revealed is amused. everyone watching.

the senator tried to get the nominee to respond to the language he has used for your help her career. fundamental. she is apparently, he a fundamental transportation overvalues, thinking, policies and perhaps this will influence the entire obama administration. >> it happens all the time, no question about it. i think it's going to be very disillusioning when she arrives of the united nations. she also said in the testimony, the way the security council had mishandled syria was a disgrace. in my view to you can disguise yourself only if you fall from my level of the steam. that is business as usual in the security council. lou: a want to turn to what is a prospect, great significance. president obama ttlking with

prime minister netanyahu urging that peace talks with the palestinians resume. your thoughts? >> i think it is a complete waste of time. the secretary has spent six trips to the region cannot make any progress. the idea that you could resolve the israeli-palestinian dispute any time soon when there is nobody on the palestinian side you can make and keep commitments, i think, is delusional. it is not the arab-israeli conflict as the source of instability in the middle east. a lot of other sources, not least of which is the iranian support for terrorism and pursuit of a clear weapons which the present pace inadequate attention to. lou: your reaction to senator mccain today. i mean, he was browbeating the general dempsey. the joint chiefs chairman. we have not seen that. here is a military man acting with outright contempt as he

addressed the general. what to you make of it? >> i think this goes obviously to the question of arming syria and opposition. g and a peak the obvious direction is syria, the government. it is doing better. even more importantly opposition is committing fratricide. the terrorists are attacking the elements you could consider as possible. and if the opposition continues to fragment, he will walk the victor. lou: t think u.s. senators to walk like that? tough talk like that? >> no. the answer to that is no. i think all of washington could do for a little bit of civility. the president talks about a does not practice it. i think we should try and disagree on policy and not personality. that is my idealistic view. lou: i agree with you. i don't know. sometimes i can -- that can masquerade as something else.

i do think respect to be highly in order. >> you can have a policy disagreement without making a personal. >> especially when a man is wearing the uniform of the united states. i think the senator could of back-to-back. ambassador to madrid to have you with us. turning to wall street, stocks closing at new record highs following a larger than expected decline in weekly jobless claims testimony for fed chair bernanke dow climbing. the s&p up eight, nasdaq up one. up next, noted psychotherapist will be here to talk about the zimmermann verdict, the psychology of a presidential administration that is driving racism in the public arena. they were opponents in the 2008 presidential election. they looked kind of like buddies these days. the obama mccain phenomenon in the "chalk talk" next. ♪

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lou: it is almost as if they're is new senator in washington by the name of senator mack.

we're having . it might as well be senator john mccain is named these days. the positions that he has taken recently so closely mirrored the president's back in 2008. in any rivalry between the two is clearly ancient history now. senator mccain has met with president obama six times this year. six times. what's going on? let's go through some of that. the nominees. senator mccain. the president himself was so happy with the deal that he gave the senator a shot at during a

white house event. immigration. senator mccain co-authored a gang of eight bill that passed the senate last month, a bill that would have handed the president a huge legislative victory had it not been killed in the house and have not been such a disastrous piece of legislation not offering true border security and every other issue. thirdly the gun control. there are locked up. one of only four republicans this year voted to expand background checks. one of four. this guy handily won reelection in the grazed it of arizona. you better love him as a seeator even though he was lined up with a president that they did not vote for. go figure. foreign-policy. don't take my word for it. here is senator mccain back in april. there are times these days when i feel that i have more in

common on foreign policy with president obama than i do with some party. it said to say there's really nothing new about his statements . i mean good grief, taxes? if conservatives are not already alarmed and appalled, the willingness to raise taxes on all boss, it's part of our broad deficit reduction deal. and a new article in the hell. today mccain is telling democratic leaders he wants a major role in those debt talks this fall. this fellow is acting like he not only wants to be leading the senate but the entire country. does it all mean that the senator will contribute to a host of to our credit victories? we will have to wait and see.

for now at least one thing is clear. mccain's good buddy, senator lindsay gramm is, i think, probably agree with phyllis you're now because the title of the cannes best friend forever is going to president barack obama. >> the obama white house, the attorney general fanning the flames of division. noted psychotherapist robbie ludwig answers the question why is the administration playing the race card next. every day we're working to be an even better company -

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lou: the george zimmerman trial raising questions about whether there is such a thing as opposed racial america. it certainly did not begin with the election of this president. our next guest says absolutely there is no such thing. here to analyze racism, what

this administration is doing. one of the leading psychotherapists and the country. i am so frustrated watching the semesters to behave horribly. as if they wanted in sight the black community in this country in particular. in doing so before the naacp. >> i was really impressed with his parents who went on television and said they did not want to insight anything other than peace. they would like to use this situation that happened to their son to raise awareness. i think that is the correct approach. is there racism? absolutely. lou: but that's not the question. you know, racism this exists. white racism, black racism, hispanic racism. get over it. we are watching it seems to me

and administration trying to incite racism rather than trying to of leave -- lead and died. as a member of this -- we talk about a teachable moment. it is as if he has learned nothing and all. >> in no, i guess part of the appeals like he needs to align himself with the black community and in some ways was raised in a very wide world. perhaps every now and again he feels people in them with. lou: what does a man is the president ended, you have to understand the traditions of the country, the responsibilities of the office, behaving like a community organizer he just got out of class. >> not one for inciting anger or

hatred. as a place for protesting. help people to raise awareness. for example, and she is free to jesup of these pitch its? lou: like what? >> like there is racial profiling, stereotyping that goes on to read on not saying that the results were incorrect. lou: would you want us to talk about his racial profiling. the only people guilty was in d.c. when they ended that tape and try to project george zimmerman as a racist defining his race for the dispenser when it turns up in d.c. is the one who edited their results on that tape. this is what the country is much bigger and better. >> they're is a psychologist area said it is where he's.

he should be leading us. the people says obama. he is leading the way he leads. now -- lou: to have to accept that? >> i don't have to. lou: i think everyone watching should say, dear mr. president, he hit were believed,. the people think it's great and. let them send in flowers. >> the way i would start to see it handles this with the knowledge they're is a psychology of stereotyping in a way that can really help us handle these issues in a much more charismatic way. where a great country. lou: what i think is interesting despite everything, six people, it should havv been 12.

the second part of his is a net been convened. authorities make decisions. >> racism one year. the mob one here. >> really? lou: absolutely. forty-four days without charges. the president of the united states decided to inject themselves. we would of had it quite differently. >> to read and he was devised to? lou: but on his big black pants every day in last act as the president of the united states talking about a child that is this emotionally incendiary potentially, whether it's going to breakfast with the congressional leaders. what in the world is devises

have to do with it. this is a man who knows his heart. >> its natural instinct. let's look at gun-control. that was his natural instinct of. >> in that had nothing to do with the case. and after the fact to make a listen to, align yourself with your grouping. that's when he stepped in and have a different conversation. lou: those innocent of months for the country. at thank you very much -- were going to have you back. >> next american make everybody happy. lou: thank you so much. up next, the president pedaling obamacare to an unresponsive and an interested and frankly a public and opposition.

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♪ lou: the dozens industrials closing at its 27 to record of the year. the s&p hit number 21. here with his effort for the market and the economy, global chief in business strategist for private bank. good to have you here. >> thank you. lou: these records are rolling out like popcorn and theater. i we now is going to see a continuation of this interrupted occasionally marching higher? >> the second half of this year we are frankly going to seek more volatile oil market with less robust returns the media to keep in context to that the stock market in the u.s. is 67% higher than it was in 2007 to be

earnings we expect to be 30% higher. this time the economy very clearly is not in its peak. lou: we have seen -- unfortunately we have seen crude oil prices in the midst of all this move higher just as we're watching greater production. we're watching the greatest bonanza in american history. >> particularly the u.s. these things are counterturn rallies. what's happening with the legalization, pulling crude. the production just getting started, a great deal on world is being changed. lou: changing it. for some time, this talk of a rotation -- in 2008 we had a

collapse in fundamentals. for a long time people said that the pushing and strength. >> your outlook. we think that we are fundamentally positioned for a better equi return in the next couple of years, including the second half relative to bond -- bond returns. lou: it will take all that. thank you for being with us. up next, washington state man arrested on gun charges. guess what, he has the defense thinks the vice-president joe biden. he will take that up with the "a-team". what is happening in the body of politics next. this man is about to be the millionth customer. would you mind if i go ahead of you? instead we had someone go ahead of hi and win fiy thousand dlars.

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♪ lou: it was bound to happen. remember this advice from vice-president joe biden. >> if there is ever a problem, just walk out on the balcony here. walkout, but that double barrel shotgun and fired two blasts outside the house. lou: a washington state man is now accused of illegally discharging a firearm after a fire shut again to scare people he thought were trying to break into his car. he pled not guilty this week saying he was doing what joe biden told me to do. the vice-president is again leaving the door open for 2016, telling gq, i can die a happy man never having been president of the united states of america. but it does not mean that i won't run. it has been my experience, by

the way, covering politicians and presidents that when people start referring to the office of president as the office of the president of the united states %-that to a, they add thinking seriously about becoming one of those. some inflammatory comments from health and human services secretary telling the naacp convention obamacare opponents rival segregationist's. >> the affordable character is the most powerful law for reducing health disparities says medicare and medicaid were created in 1965. the same fear and misinformation that opponents used are the one's opponents are spreading now. this will work. it will destroy the health system. we have to slow down. we have to wait, they said.

lou: joining as now, former reagan political director, fox news political analyst, fox news contributor. thank you both for being here. let me start. this administtation seems to have as a matter of strategy they're going to make every issue of race, at least they have for a week. >> at the end of the day they created a plan that they can't sell. people looking at it as a make any sense. basically she talked about destroying the health care system. this will destroy the health care system in america. what they have to do is, they can't get young people to sign up for this. if it's such a bargain, standing in line to do that. >> was so sad about this, liberals a desperate on that play the race card. the bottom line is the naacp and noble organization.

to have all these folks down and listen and compare to my health care legislation to the voting rights act, that this travesty. where is the protest about that? we can go out there. we are not protesting health and human services. lou: you know, today as to what president obama has not spoken about the zimmerman first directly said president obama will probably address the issue. yesterday he indicated that the press -- the presideet seems to agree. how can this president remained silent while sending his entire administration out to drive race as an integral part of every issue and aligned himself with reverend al sharpton to mop pretty good television host. >> i disagree. at the end -- he's too skinny.

decides to at the end the day here they're playing the race card. i think whether it's laden or not blatant, but for him to basically say people should not defend themselves, that is sort of the policy of this of ministration. at the to a certain extent the idea that you are basically saying to a state like florida or california or anywhere else and you can't pastor of was absurd. >> i think this is one time when the race card might backfire. people in the black community now want the president to do more. they said that the president is the president of the united states. now they show your president of black and brown people. the bottom line is when you can invoke race and i think you can invoke more and it might backfire. the bottom line is, we cannot

engage in more paramount. >> let him sit there and be totally ineffective. >> he has all of the characteristics of a lame-duck president already. it is interesting. no criticism from the leaders, the naacp even. for this president, for children were killed during the course of the 20 days of the zimmerman child. the president did not talk once about them. the president did not talk with their families, not once. and in debt, his hometown. what is going on? what is the racial component drives this president to behave as he is and to align himself with al sharpton and to absolutely attack the integrity

of the verdict, attack the to integrity of the jury system, the judicial system. what is driving a man who has the highest office in milan, the man who has the most powerful job in the country. >> i think he can't do the job. what's frustrating is that he can't get his will to the congress. he has his own vice-president talking about running. i would love to see joe biden run. let's see if he can break is 1%. for the vice-president of the net estate same going to run, keeping as an option weakens the president by the day. >> deflect deflect and retract. i was in chicago when they have the rainbow push coalition of an where you had 11 black children killed over the fourth of july weekend. this is obama country. where is the protest? this president is self-serving.

lou: we'll have to come up with solutions and answers. this is appalling what is happening in chicago and other cities as well. we thank you both for being here. appreciate it. that's it for us. good night from york

>> health care law is crumbling no wonder the president picked today to really start selling. charles: welcome i am charles payne in for neil cavuto. >> health care costs have slowed. you are getting better protection, more value for each dollar that you spend. on your health care. healthcare inflation is not skyrocketing the way it was. charles: audience do not look too enthusiastic, he talked up the good but not a peep about the bad.