>> i'm jamie colby. good to have you here. america's headquarters continues from washington with shannon bream. have a great day, everybody. take care. captions by closed captioning services >> shannon: emergency meetings, staffers called from the hill white house to the capitol. lawmakers scrambling to come up with a debt deal just days away. i'm shannon bream live in washington where republicans say they will lay out a new debt plan today with or without the support of democrats. mike emanuel live at the white house where they say stressful days are coming for the markets. that debt deal will happen. well, mike, good morning to you. we have heard about a lot of ideas about how this could possibly be solved. what is the treasury secretary saying about the administration's preferences on getting this done? >> well, shannon, it sounds like talks are continuing on separate tracks, if you will, where speaker boehner is talking to other congressional leaders about what possibly could be done. the white house continues talking with speaker boehner about what else could be done.

and, basically, what the house is saying is no short-term deals. here's more from the treasury secretary on his vision, regarding the way ahead. >> the two key things are we take default off the table through the election and we put in place a framework of tough reforms forces congress to act relatively soon. we don't want to fall behind the curve of this. it's important we not just take default off the table. but we demonstrate to the world we that k. start to make changes. >> comment about demonstrating to the world. of course, key thing in all of this is that asian markets are going to open in a matter of hours. there has been a pressure here here in washington to try to get some kind of frame work. some kind of tentative deal at least to essentially say to the world markets we have a plan, we are moving forward. shannon? >> shannon: mike, also today we are hearing that the white house chief of staff is warning there are going to be stressful days ahead. we all know that. what more is he saying about where we stand right now?

>> he also is talking about the idea of, you know, speaker boehner has said we might need to do this in two steps. one step immediately to avoid that august 2nd default and second step that might carry us through the election. here is the white house chief of staff on his thoughts at this point. >> must be extended in a way that gives certainty economy through 13 and not some short-term gimmick where we are right back in this fix in six or eight months and the world looks at us once again and says in the middle of a political election year of presidential politics the world looks at us and say these people just can't get their act together. >> all right, so -- >> of course, the president's critics have said he is more concerned about his re-election than he is finding the proper deal but the white house says they do not want this to come up again and have presidential politics complicate this even further. shannon? >> shannon: i can't imagine. all right. mike emanuel live at the white house. thank you, mike. >> thank you. >> shannon: one of the senators behind the cut, cap and balance bill is calling senate majority

leader harry reid's moved to block that bill from getting to the senate shameful, despicable and abuse of the chamber. mike lee republican from utah joins us now. senator, welcome to you. >> thank you. good to be with you. >> shannon: strong words. >> strong words for important moment. a moment in which he would less than 10 days away from impending deadline that americans are concerned about. we had legislation moving through the congress that had beens passed out of the house of representatives with bipartisan support. five democrats joining republicans. to grant the president the exact debt limit increase that he wanted. and senator reid in the senate wouldn't allow it to move forward. wouldn't even allow debate, discussion, or an amendment process much less an up or down vote. >> shannon: there are some pretty significant strings attached to getting that debt limit increase including a balanced budget amendment which a lot of people have called for. let's talk about fox news polling. in general 72% of those polls

say they favor something along those lines a balanced budget limit. when you talk about how to get through that either through program cuts or tax hikes, those numbers flip. people are a lot less likely to go for it. how do we get to some sort of compromise when they athey like the idea of balancing the buckets. they don't -- the budget. they don't like how you get. >> there my book the freedom agenda that explains some of these points. because americans don't agree in the advance how we balance the budget. we need to get them behind the point they overwhelmingly agree we are going to balance it put that mandate in the constitution so each congress can be bound by that same set of rules. we may not agree in advance how we will balance it because we agree it does need to be balanced we have got to strike that right now. >> shannon: you are lawyer educated in that field. you have had dynamic background including clerking of the supreme court. i have to ask you a question, constitutional nature and comes off of what your book you have written as well, this idea that

the 14th amendment provides some room possibly for the president to override what's happening if we get to a debt ceiling without a limit. i mean, without a solution to where we are going. secretary geithner, secretary of the treasury, has talked about this. he has read the 14th amendment aloud at a press conference and went on to say as part of a negotiating strategy you can't say if things don't go my way i'm going to force the townhouse default not pay the bills pred says tores by congress. not a credible negative yalgt strategy and not going to happen. where do you stand on this idea that the 149 amendment may give the president some staff. >> secretary geithner is mistaken. section 4 of the 14th amendment reads in pertinent part that the debt of the united states as authorized by law shall be held in violet. what that means is not that the secretary of the treasury or the president can unilaterally raise the debt limit, but because it refers to the term authorized by law, as authorized by law, that's referencing congress' power, pursuant to article 1 section 8 clause 2 of the

constitution. to incur debt in the name of the united states. what's that's been authorized, it has to be honored. what that actually says is we may not default. it would be unconstitutional for the treasury secretary to allow a default. fortunately, we don't have to default and that's why it's irresponsible for the treasury secretary to suggest otherwise. we have got $200 billion a month coming in the door. less than 10% of that covers our debt service obligations. that's what the 4th amendment requires. >> use of the word default is it semantics, scare tactic or legitimate? >> it's unfortunate somatic, poor use of words depending on your viewpoint to refer to the debt limit as default. it refers to what would happen if we stopped making our debt payments. we have more than enough to make our debt payments. we have a call failure to raise the debt limit something else. it would be bad to be sure but it's not a default. >> shannon: i very quickly want to ask you because you remember the senate tea party caucus, how

do you respond to criticism that members of the tea party, whether it's the senate or the house, are the ones who are making it impossible to come to a compromise because they won't bend on issues like revenue? >> i couldn't disagree more. and the facts bear me out on that disagreement. look, it's the senate tea party caucus and our counterparts in the house of representatives who, quite ironically, who are the ones who drafted the legislation that actually passed the house of representatives. that authorized the debt limit increase the very one, the very size that the president is seeking. we were ready to support it in the senate to help get it passed. so it's very ironic and absolutely untruthful for some people to be suggesting that somehow it's the tea party members of congress that are blocking it because right now the only deal that's actually been proposed and has garnered significant support in congress and from outside groups was backed by tea party republicans. >> shannon: all right. senator mike lee, always great to see you. we know you are busy. thanks for making time for us. >> thank you. >> shannon: we want to ask you.

are you fed up with the way debt limits have been going so far. we want to hear from you. send us tweets at shannon bream. we'll be very happy to read some of them later on in the show. well new york is now the sixth and largest states to allow same sex marriage and couples who wanted to be among the very first to say their vows opted for midnight weddings. performed more marriages at 12:01 this morning in the common counsel's chambers. same sex marriage was legalized in new york last month. >> pray that the norwegian man suspected of friday's bombing and masked deadly shooting. he has confessed but is not accepting criminal responsibility. greg burke is streaming live outside the hospital in norway. he joins us with the latest, hello, greg. >> hi, shannon. that's right. the latest is actually from police saying that just recently

when he was apprehended on the island. not far from here, that he had lots of ammunition with him. but he put down his guns immediately. he had two guns with him. he clearly wanted to come out of this alive and perhaps during the trial get out his message or try to in any case. now this morning a mass of greece lieu than threald. they are not calling it a service it was in sorts. certainly looking at the faces there. there was at this point still a lot more grief than there was hope as people try to figure all this out. now, in the hospital this morning. appears that some of the survivors. -- shoulder. he told us an amazing story about a 10-year-old boy whose father had been shot and killed but who stood up to the gunman.

>> the boy defended himself and said leave us alone. go away. we have had enough now. i'm too young to i do. he was so strong in the words he said and he was so brave. no one had the guts to go up to this man and say something he did and he he left. in other news, people are now poring over every word of a long -- it's called the declaration for independence of uranium. certainly one thick that he was interested in was or against was the muslim integration, also what he called cultural marxism taking over the country. massacre on the island no coincidence that it was the labor party. he saw lot of problems in that type of politics. people looking at this manifest seeing similar to the unabomber in the united states. finally, shannon, anybody interested in criminal psychology, the manifest

something on certainly has a lot of material to deal with it looks like it's record breaking stuff as well. not the kind you want to look at in terms of massacre by a single person. if, indeed, he was acting alone that would be a new record. shannon? >> just devastating, greg burke with the latest. thank you. the u.s. has invited a top north korean official to new york the country's nuclear program. in a written statement. secretary of state hillary clinton called the trip, quote, an exploratory meeting. a team of u.s. officials will meet with north korean foreign minutester kim qui and explore the possibility of disarmament. turning now to the 2012 presidential contest with several hopefuls which contender has the best chance in the hawkeye state.

we now know that 9 g.o.p. candidates will appear on the august 13th ballot. that's not every major contender. rick per i can't understand former alaska governor sarah palin will not be on the ballot in ames. they have not declared either one of them. do not getting support from very important supporter his wife. >> she says you need to will get out of your comfort zone. your country is in trouble and you need to do your duty. and i listen to my wife. >> always good advice. well, perry is getting momentum according to a fox news channel he comes in second behind mitt romney with 14%. palin 4th with 9%. and in another swing state. straw poll in ohio. romney took 25% of the vote with tim pawlenty and michele bachmann 10 points behind him. interesting move, perry got enough write-in votes to take fourth place.

rick santorum fifth place. rounded out by newt gingrich and john huntsman. some of you are getting relief from the deadly heat. many others are dealing with scorching temperatures. we will check in with meteorologist maria molina next. inside look at the life of somali pirates. we will talk to the author of a new book growing number of deadly across the coast of africa and, what if anything can be done to stop them. sweetie i think you need a little extra fiber in your diet. carol. fiber makes me sad. oh common. and how can you talk to me about fiber while you are eating a candy bar? you enjoy that. i am. [ male announcer ] fiber beyond recognition. fiber one. helps defends against occasional constipation, diarrhea, gas and bloating. with the strains of good bacteria to help balance your colon. you had me at "probiotic." [ female announcer ] phillips' colon health.

>> a little bit of relief is hitting the northeast but not so fast for other parts of the country that are still baking out there. maria molina is at the fox weather center with today's forecast. is it going to improve at all,

maria. >> mid-atlantic will improve especially as we head into tomorrow cold front that will be swinging through. bringing in a few scattered showers and thunderstorms and more importantly, a little bit of a cool down and relief from those hot temperatures. but head southbound, the carolinas, southeast and the state of texas not expecting a relief any time soon. we're still looking at hot temperatures for days to come. and the city of class, texas, by the way, is expected today to reach 23rd weather day. very unfortunate for them dealing with that heat and expected to continue again coming up next week. turbulent temperatures across the country 87 in new york city, 8 a in kansas city and a degrees is the actual current temperature in raleigh, north carolina. knack tore in the humidity and it feels hotter than that. it feels like 101 in raleigh, north carolina and d.c. where you guys are at. feels like 90 in new york. those will be on the ride throughout the day, shannon.

not going to feel too good. feel like triple digits. >> we have never been more thankful for airconditioning. >> yes. stay safe, everyone. >> shannon: heat is still on not just over debt negotiations. we couldn't resist showing video for you. how long it takes an ice cream bar and popsicle to melt in the d.c. heat a great project by one of our photographers eric councilner. we appreciate that high temperatures broke records all across the country yesterday central park and reagan national airport just outside of d.c. somali pirates have plagued africa's coast line hijacking ships and taking hostage, even killing them. what is it actually like to live among them. jay, thoroughly of the pirates of somalia joins us with unbelievable inside look. welcome, jay. >> thank you very much. >> tell us about your time inside this community and just how people get drawn into this lifestyle in choosing piracy. >> spent about three months in

northern somalia in a region puntland in 2b 9. shortly after the story really exploited on the headlines. what i ended up doing was embedding with a pirate gang for about like i said for about three months. and these were original fishermen who had started their fight against foreign fishing ships because of incursions into their territory and destruction of their livelihood. since then, it's become an out-of-control problem. really to get into the trade, all you really need to own is a gun. that was one condition. you need to have -- to be fearless and not afraid of death is another according to one of the pirates i spoke to. basically need to know people who are planning and organizing it organized among clan structures and kin and friendship. you need to know the right people. >> shannon: you mentioned the financing. this isn't done without some type of financial backing.

ooftentimes there are large ram sons if you have ships carrying very expensive cargo or human beings, where does that money go when they do successfully have a ran some paid? >> the financiers will take half of it off the top. sometimes this is one hand or more likely it's two or three. i have seen lists of financiers that seem to be about 30 key businessmen in somalia financing this. they are businessmen who hold foreign passports which means they are educated. they spend a lot of time outside of the country. they speak english and arabic. this has given rise to the thoughts that somali piracy is some international criminal sinsd cat or something along these lines. really it's very simple. and it's just so lucrative for the men actually investing in it that it's very easy to find people willing to do this. it doesn't cost that. to finance a pirate mission. you might be looking at $30,000. maybe 50,000 upfront costs. really there is not a lot of capital investment in it for the

financiers they get, like i said, huge chunk off the top for virtually no risk. those lower down and end up making 10, $20 an hour. so not a lot. >> shannon: bottom line very quickly, what's the best way to put an end to it? >> well, i think first of all you need to end the whole strategy of dealing just with the official transitional government, which is essentially a group of exwar lords in mogadishu trying to fight off and driven into the sea. you need to start dealing with local regions that have sprung up out of anarchy. puntland the region i was in and a few others that are the reality on the ground and really know the territory but really get no financial aid whatsoever from the international community. >> shannon: all right. jay the author of pirates inside somalia. lawmakers working through the weekend trying to end our debt dilemma. up next the congressman who knows a lot about this debate.

co-sponsored the cut cap and balance ability he drawing the graduated in economics. details right after the break. [ male announcer ] you sprayed them. thought they were dead. [ laughter ] [ grunting ] huh? [ male announcer ] should've used roundup. america's number one weed killer. it kills weeds to the root, so they don't come back.

guaranteed. weeds won't play dead, they'll stay dead. roundup. no root. no weed. no problem.

schwabb shan this just in we have a winner for the tour de france. divert your ears and eyes. cadel evans. 34-year-old. defeated two brothers. they came in second and third. they're the first brothers to share the tour winner's podium. right now lawmakers on capitol hill are working the phones. no formal meetings have been announced for today. but it is still a very busy weekend for members of congress. peter doocy is standing by with your top stories. hi, peter. >> you are right, shannon. john boehner could release. boehner said the debt deal would likely be part of a two-stage

process and the house speaker added he liked to have democrats on board but is he prepared to go ahead without them. police say 32-year-old brevick has confessed to the attack in norway. not will responsibility. his acted alone. raid in oslo. those people who were taken into custody have now been released. the historic walter reid army medical center here in washington, d.c. is closing its doors. the government commission voted to close the facility and move operations to hospitals been in operation since 1909. a goodbye ceremony is planned for wednesday. the nfl could be one step closer to reaching a deal. the players association executive committee meets today in washington or rather tomorrow in washington. if players and owners reach a deal, preseason could start august 11th. the annual hall of fame game scheduled for august 7th has already been cancelled. those are the top stories right now.

shannon, back to you. >> shannon: all right. peter, thank you very much. maybe sunday but capitol hill is buzzing with work on a possible debt deal that a plan that may come from house speaker john boehner and house republicans. they want it outlined today. steve centanni joins us with the latest on that. >> house speaker john boehner wants some kind of agreement before the asian markets open this evening. now, boehner says it would have to be a two part deal with 1 billion in cuts now and bigger cuts down the road that reform tax codes and entitlements like social security and medicare that second round of cuts could come within six months. the president says he wants it to come after the november election. prompting boehner to accuse the president of putting politics before policy. here's boehner spelling out his approach this morning, exclusively on "fox news sunday." >> there is going to be a two-stage process. it's not physically possible to do all of this in one step. having said that, chris, i know

the president's worried about his next election. but my god, shouldn't would he be worried about the country? >> now the president for his part has said he won't sign a short-term deal and whatever is proposed will need to pass congress. tea party republicans are opposed to anything that can be interpreted as a tax hike and democrats are opposed to the g.o.p. idea of a balanced budget amendment. one leading democrat talked about why he thinks the short-term deal is not a good idea. >> a short-term extension of the debt ceiling is going to jeopardize our economy. global economy is so weak when we are facing a downgrade of america's credit rating. they have warned us not to do it. speaker boehner is ignoring that warning. we can't do that. >> so as you said it's going to be a busy day on capitol hill. republican conference call scheduled for 4:30 this afternoon. we don't expect that to be the unveiling of a new plan. behind the scenes, wrangling continues, especially between boehner and his rebellious tea party republicans who are still

standing fast against any kind of tax hike, shannon? >> shannon: steve centanni with the very latest. thank you, steve. cut cap and balance act couldn't get to the floor for a vote senate this week. nine days to to go before the august 2nd deadline what now? brooks the co-sponsor of the cut cap and balance act of 2011. good grate to have you in today, thank you. >> my pleasure. thank you. >> shannon: it got to the senate and no further. what's next it? >> may go further. we have to wait and see. senate or the white house proposes something. and has as of today. they have proposed nothing that's in the legislative form that the public can examine. determine the merits of. cut cap and balance is the only game in town how do you respond tom their criticism that republicans imposing budget tear philosophy to everybody else on capitol hill. >> that's what's it is supposed to be. we are supposed to share our belief system in the legislation that we sponsor. so that should not strike anyone

as abnormal. but let's look at the merits of it. cut, we're only cutting $111 billion when we have got a 1.5 trillion-dollar problem yet the democrats holler that's too much. that's only a 7% or 8% solution. you have got a cap to try to get the amount of government spending to historical levels. instead of being on spending binge that the democrats have had in play in the last three or four years. balanced budget constitutional amendment that will force washington to do the right thing. that, quite frankly, will give congress the backbone that right now it lacks. >> shannon: we talked about the fact that maybe you think that a two tiered approach could work here that part of the debt ceiling is approved with the notion that it's a balanced budget amendment will get out to the states. they have got to ratify two thirds of them. the rest of the money to raise the debt ceiling would kick in after that ratification. how long do you think that process would take and do you think it is going to happen? >> well, my personal preference is exact leyly as have you described it the balance budget constitutional amendment has to

be the core of any kind of solution to this mounting debt that threatens america with a insolvency and bankruptcy. to me, we can't just pass a balanced budget constitutional amendment and wait five, six, or seven years for the states to act. that risk in insolvency and bankruptcy that is a major threat to the united states of america's economy international defense capabilities. so from my perspective, first, if you are going to have a debt ceiling increase say of $2 trillion, jewels to throw out a number, okay, first trillion when congress passes that balanced budget. and then the second trillion only goes into effect after the states have ratified it therefore, there is pressure on the states to approve a balanced budget constitutional amendment that will protect future generations from the kind of problems we are facing today. >> shannon: is there a rift within the g.o.p. >> we have 240 something house members and 240 something different opinions. i suspect that the same can be said of the democrats. now, we tend to have groups of us that are closer together and groups of us that are further

apart. same thing with the democrats. you have got 435 congress mental. you will have different values and opinions fleecketting each of our congressional districts. >> congressman brooks out of alabama. thank you for your time today. >> thank you for the opportunity. >> shannon: we will hear from one of congressman brooks colleagues, democrat adam schiff. is he coming up in the next hour. stay tuned for the other side of the debate. with all the urgent discussions taking place about how to solve our debt crisis here in the u.s., market watchers are ego tore see what's going to happen in when trading begins in asia later this evening. fox business senior correspondent brenda buttner what to expect when the markets do open up overseas hi, brenda. >> hi, shannon. it will be interesting because this will be the very first time that wall street and the asian markets, on which many u.s. stocks are sold, will have a chance to respond to what happened because, basically, it was after 4:00, you know, the closing bell rang, and after

4:00, everything fell apart. then they tried to work it out together. so so much has happened this weekend. the real question is what will happen when the asian markets open. i would expect a lot of volatility, depending on if there is a deal done or if only one side comes out. it really depends on kind of the devil is in the details. but, so far. the markets have responded kind of shrugging their shoulders at this whole thing. they expected. they are used to this kind of politics. but now the issue is will u.s. debt be downgraded? it's now a.a.a. we have a a.a.a. credit rating. this f. that goes down. just like if your credit rating goes down, you have to pay more to get credit. that would be the same case in the united states. that would be unprecedented and could cause a lot of issues in the market. >> shannon: they are very

delicate. brenda, thank you for breaking it down so we can always understand. >> thanks, shannon. >> shannon: amid calls for his resignation congressman david lewis spoke with house leader nancy pelosi. oregon democrat unwanted sexual encounter with a teenage girl the daughter of a long-time friend after his election victory in enough. wu has not complicated publicly on the allegations but does say the matter is very serious. several oregon lawmakers want him to resignsmanu battled allegations about unusual behavior after sending this photo to a staff member. arnold schwarzenegger will revise the divorce papers he just signed to make sure his estranged wife maria shriver does receive spousal support. lals week he signed patience denying that support. he reportedly did not read the documents carefully and never intended to deny her the money. the initial filing came as both patience were dealing with medical emergency involving their 13-year-old son who remains hospitalized following a boogie boorld accident that left him with a collapsed lung and

broken ribs. two puzzling debts in one week. the girlfriend of executive found hanging balcony at their home. days later the man's son died because of injuries he had suffered after falling down a flight of stairs earlier in the week. casey stegall joins us live from the l.a. bureau with more details on this very bizarre case. hello, casey. >> we are trying to break this all down for you because it literally is something you would see out of a movie. as of right now, no arrests have been made in connection with either of the deaths. but, at the center of them both is this man right here, jonah shackni. he is the founder of a multi-million-dollar pharmaceutical company and the father of max shackni who reportedly fell down the grand staircase at his san diego mansion july 119. the 6-year-old died from his injuries after being in the hospital for nearly a week. now, here's where things really get strange. during that time, the pharmaceutical tycoon's younger

brother found the body of rebekah, jonah's girlfriend. she was naked, hanging from a balcony at the mansion with her hands and her feet bound. the same mansion where jonah's son fell down the stairs two days before. now, authorities will not elaborate on their investigation or name anyone as a suspect. but radar online now reporting that investigators want to get ahold of surveillance video at the children's hospital where max was being treated. because jonah told police that is where he was when his girlfriend's body was discovered. clearly, questions remain regarding the circumstances of her death. in fact, that woman's sister saying, quote, obviously the investigation is not complete yet but as far as what i know about my sister. my sister did not commit a suicide. my sister was not depressed. my sister was not frantic. my sister was planning on calling my parents the next day.

meantime, investigators are waiting on toxcology results from the autopsy to determine an official cause of death here. and jonah shackni reportedly returned to another home in scottsdale, arizona, not far from phoenix where his pharmaceutical company is based. shannon? >> shannon: casey stegall with the latest from la. thank, casey. >> attention all travelers hit the f.a.a. partial shut down could mean cheaper flights. don't get too excited just yet. don't get excited potentially lower fares may be coming. the news may not be as good as sounds. [ male announcer ] this is coach parker...

whose non-stop day starts with back pain... and a choice. take advil no and maybe up to four in a day. or choose aleve and two pills for a day free of pain. way to go, coach. ♪ a network of possibilities. in here, the planned combination of at&t and t-mobile would deliver our next generation mobile broadband experience to 55 million more amecans, many in small towns and rural communities, giving them a new choice.

we'll deliver better service, with thousands of new cell sites... f greater access to all the things you want, whenever you want them. it's the at&t network... and what's possible in here is almost impossible to say. it's the at&t network... diabetes testing? it's all the same. nothing changes. then try this. freestyle lite® blood glucose test strip. sure, but it's not gonna-- [beep] wow. yep, that's the patented freestyle zipwik™ design. did it just-- [both] target the blood? yeah, drew it right in. the test starts fast. you need just a third the blood of one touch.® that is different. so freestyle lite test strips make testing... easy? easy. great. call or click-- we'll send you strips and a meter, free. free is good. freestyle lite test strips. call or click today.

>> shannon: u.s. airline saving a bit of money. that doesn't mean travelers are going to get any deals booking flights. federal taxes expired friday night. pass along to consumers are

actually raising their fares and pocketing the extra money. a few airlines decided not to take the extra cash and are instead turning the tax holiday to their advantage. vir vin smern telling passengers to evade taxes, take flight. two teens in new jersey could be labeled sex offenders for life. because of something horseplay. woman to did engage in sexual contact when when they held down two younger boys and put back sides in the boys faces. sex offenders, bullies. matthew jay o'connor and david wall. thank you, gentlemen both for joining us today. >> hi there, shannon. >> thank, shannon. >> shannon: how would you argue this for your clients. should these two young boys be labeled sex offenders for the rest of their lives because of what happened? >> you know, shannon, even the judge said there was no sexual inpentagon here. that's key in this thing. these were two 14-year-old boys

doing precisely what 14-year-old boys do. this is a little overboard. i will grant you that the idea that this somehow this is a sexual offense and that these boys have to register under megan's law. let's look at megan's law for a second. it was named after a 7-year-old girl who was raped and murdered in 1996 and contrast that with what happened here between these 14-year-old pranksters engaging in -- what can only be seen as a prank. these lawyers need to get back into court because it's up to the lawyers, including the prosecutor to make sure that justice is served. vacate this conviction. let's refile as it a simple assault even a felony assault. have him plead guilty to that. get rid of this registration as a sex offender which will ruin these boys lives. no question about it simply is not deserved under these circumstances. let's make sure justice is served and can only be done by filing the appropriate charges and getting the appropriate punishment. >> shannon: matthew, where do we draw the line it's clear the court found there there was

sexual contact here. body parts that are sexually related. where do you draw the line between horseplay and crime. >> first of all, it's not horseplay. this was a vicious assault. any time you are putting your bare back side on another person. it's not towel snapping in the locker room. it's vicious assault. unfoyer first have them register as sex offenders for the rest of their life. bigger issue two kids assaulting others and vicious manner and bullying such an epidemic in our country. third leading cause of death. strong hard look at this. if the cons sequence many sex offenders then so be it. we need to send a clear, strong mess stage to children and to teenagers that you can't bully your piers. and to suggest that this is just mere horseplay is ridiculous. i agree that it's probably an assault. that it wasn't for the purpose of gratifying or arousing these two young men at all.

i think it is in this application. the other thing that we miss here is that as a juvenile under making's -- megan's law there is a way to keep to have the book. after they reach adulthood they can be removed from the book so they don't have to register. i don't have a lot of sympathy for two kids unfortunately. >> shannon: appeals court can going to send this back down may be able to withdraw guilty plea. one may be able to ineffective sentence of counselor. do you see a different resolution attorneys have to get together and stipulate they will vacate this conviction all together. the punishment can't fit the crime unless the charge itself fits the crime. thisson s. an assault. i i agree with matt. this is probably bullying in worst forms. that is such a far leap from a sexual offense and the time of registration that results from that sexual offense that will ruin two kids' lives that is absurd. there is no way megan's law patterned after a horrible offense against a 7-year-old

girl ever intended to cover something like this. this has got to be dealt with it's up to the prosecutor not just a notch in his belt make sure that justice is served. justice simply was not served in this case, shannon, by any measurable. >> shannon: we like it when we can find agreements on both sides of the issues. counselors, excellent points on both sides. thank you. >> thank you. >> shannon: death toll in that shocking mass shooting and bombing in norway continues to rise. the suspect is talking to police, the very latest on what he has got to say, next. plus, as our debt keeps climbing the time left until we reach the debt ceiling is coming down. coming up g.o.p. senator and former office of management and budget director rob portman with the very latest on the debt talks. [ male announcer ] it's simple physics... a body at rest tends to stay at rest... while a body in motion tends to stay in motion. staying active can actually ease arthritis sympms. but if you have arthris,

staying active can be difficult. prescription celebrex can help relieve arthritis pain so your body can stay in motion. because just one 200mg celebrex a day can provide 24 hour relief for many with arthritis pain and inflammation. plus, in clinical studies, celebrex is proven to improve daily physical function so moving is easier. and celebrex is not a narcotic. when it comes to relieving your arthritis pain, you and your doctor need to balance the benefits with the risks. all prescription nsaids, like celebrex, ibuprofen, naproxen, and meloxicam have the same cardiovascular warning. they all may increase the chance of heart attack or stroke, which can lead to death. this chance increases if you have heart disease or risk factors such as high blood pressure or when nsaids are taken for long periods nsaids, including celebrex, increase the chance of serious skin or allergic reactions or stomach and intestine problems, such as bleeding and ulcers, which can occur without warning and may cause death. patients also taking aspirin and the elderly are at increased risk for stomach bleeding and ulcers. do not take celebrex if you've had an asthma attack, hives,

or other allergies to aspirin, nsaids or sulnamides. get help right away if you have swelling of the face or throat, or trouble breathing. tell your doctor your medical history anfind an arthritis treatment for you. visit celebrex.com and ask your doctor about celebrex. for a body in motion.

>> shannon: the gang of six plan has been getting a lot of attention this week. senator and former office of management and budget director rob portman says it could be a step in the right direction. he joins us live now to talk about whether that plan is going to be the one to lead to some type of consensus on capitol hill. thanks for coming in today. >> shannon, thanks for having me. >> shannon: what do you find to be the most positive about the gang of six plan. >> it's bipartisan.

republicans and democrats coming together. both acknowledging we need to deal with our spending issue and it does, i think, do a good job in terms of laying out some of the parameters. also, it has tax reform in it, which is important not just to deal with the revenue issues but mostly to get our economy going. so, the devil is in the details. i have not endorsed the plan. it does have some elements that i'm a little concerned about. including i think on the revenue side it raises revenue on the economy relative to where we are today. but i'm encouraged by it i have tried to encourage the process. i also think some of the gang of six proposals for the longer term because they also have a two step process which i know have you been talking about today a lot. some of those longer term proposals could fit into what's being discussed right now debt limit talks. they have come up with bipartisan approach here. there are plenty of spending cuts out here that some democrat republican groups have agreed to. i have counted about $2.8 trillion worth of cuts that democrats have support biden group or in the gang of six or in the president's discussions. that is positive. there are proposals on the table

that can be done to get the spending under control. >> shannon: how do you feel about a short-term, you know, something to get us through the immediate future? we saw, you know, bill daily, the white house chief of staff say this morning they didn't want anything that didn't get us through at least 2013. do you think there is any room for the white house to change that position or nuance it a bit? >> we should do as much as we can i am a supporter of the cut, cap, and balance proposal and we need to get the spending under control. so, if the white house was willing to cut spending and not raise taxes on a weak economy. that would be final. but they are not. the question is what can we do in the short-term. and listened to what mr. daily said and also listened to what secretary geithner said this morning. i think there is a opening here. what they're concerned about is that there would not be a process to get to the longer term issue. i think that is something that the house and senate leaders have laid out clearly with this idea of a joint select committee. required to report six months second stage. i'm hopeful that something could

happen. i don't think it's sustainable that instability to talk about something short-term. because of the election. in other words, i don't think people are going to be particularly understanding if the president blocks. since the election. right thing for the country. many sustainable. something i hope credible cuts. that are meaningful cuts. and in a process to have even more cuts before the comes up. by the way in the last 40 years. 38 times short-term so short-term is the rule the exception would be something longer term. >> in addition to serving the senate. you have a unique background and did you held other positions in washington that give us a different perspective on exactly what we are dealing with here. what is your opinion on what happens if we get to august 2nd without a deal. >> i think it's bad for the country. i think it's bad for our economy. i have heard this morning people talking about the impact on

interest rates. i think it's likely that there would be a downgrade. by the way, if we simply extended the debt limit without doing anything about the underlying problem, the spending, i think there would will also be a downgrade. extending the debt limit is necessary but there has to be meaningful reductions in spending along with the extension. it's not something that we want to get into nor do we have to. again, there are plenty of spending cuts that have been proposed by democrats and republicans alike. we need to come together here in the next 24 hours and come up with a proposal that actually deals with the underlying problem while extending it short-term and setting up this longer process to look at tax reform, which is going to take a little longer to do but very important for growing the economy and some of the longer term problems particular whether i regards to entitlement spending. >> shannon: there is some room for agreement on spending cuts from both sides of the aisle. thank you for bringing that into the discussion today senator portman. great to see you. >> thanks, shannon. thanks for bringing me on.

>> shannon: rick perry may not be running for president yesterday. he is getting attention in new polls. we will show you those yet. g.o.p. congressman thaddeus mccotter joined the race because he didn't think any of the other candidates are doing a good job. what has he added to the race so far? we will talk to him live later on in the show. [ male announcer ] 95% of all americans aren't getting enough whole grain. but actually, it's never been easier to get

the whole grain you want from your favorite big g cereals. from cheerios to lucky charms, there's whole grain in every box. make sure to look for the white check. with diabetes, it's tough to keep life balanced. i don't always have time to eat like i should. and the more i focus on everything else, the less time i have to take care of me. that's why i like glucerna shakes. they have slowly digestible carbs to help minimize blood sugar spikes, which can help ler a1c. glucerna products help me keep everything balanced. [ golf ubs clanking ] [ husband ] i'm good! well, almost everything. [ male announcer ] glucerna. delicious shakes and bars. helping people with diabetes find balance.

>> shannon: we hear a lot about the august 2nd debt ceiling deadline. what happens if politicians fail to raise the ceiling. james rosen spells it out. >> debt to me is experience through the eyes of president obama himself and what what happens if he and lawmakers fail to raise the debt ceiling before august 2nd. as the president sits in the oval office and surveys what the nation takes in and also the bills it must pay out he could potentially face a slew of important but agonizing budgetary decisions.

first the revenue side the bipartisanship policy center used treasury data from august 2009 and 2010. how much uncle sam will rake in about 203 billion. half of that revenue 100 billion gets imobled up immediately by the major entitlement programs, medicare, medicaid and social security. another 60 billion or so would take care of the folks who do business with the pentagon and the interest we owe on our debt. but then you have got other things like federal salaries and benefits almost $15 billion. we want to give a helping hand for the nation's 14 million unemployed people. that costs us about 13 billion. there is something called temporary assistance for needy families. aka welfare. we also want to send out those checks to our active duty soldiers and fund our veterans programs and what about irs refunds? we wouldn't want those to come to a halt. the federal government for the month of august would face a short fall of $160 billion. which bills would we likely pay first? it would be the interest on our debt. even if that means foreign creditors like the saudis and the chinese get paid first.

j. powell of the bipartisanship policy center explained why. >> if we default on a bond, no one knows what would happen it could actually collapse the world financial system as almost happened in 2008. it would make the lehman brothers event potentially look like a tempest in a tea pot. it's not a risk that anybody it the treasury department would ever take and they shouldn't. >> they could punt these to congress but president obama and geithner will no deal struck august will prove as jay powell told us possibly difficult for the nation's chief executive. back to you. >> shannon: new details at this hour terror attack in norway. the man suspected in friday's bombing and mass shooting attack confessed and claims he acted along. andres breivik will appear in tomorrow. the death toll is 93. i'm shannon bream.

hour two live in the nation's capitol starts right now. captions by closed captioning services >> shannon: sundays are often pretty sleepy here in washington not this afternoon. congressional leaders are racing to strike a deal hours from now. john boehner stepped up the pressure outline of an agreement in place before that at 4:00 p.m. eastern. mike emanuel is live at the white house latest on the dent talks or the lack therefore we should say today. the question many americans are asking right now will washington get this done, mike? >> that is a great question, shannon. i can tell you our colleague chris turner, who cover the senate says that a senior senate democratic leadership aide says the talks have hit a dead lock that speaker boehner wants to do a short-term deal. the president has said he will veto that it sounds like things have hit a brick wall for now. as you mentioned, there is great pressure because there is concern about how the financial

markets in asia and also here in the united states will react to the lack of a concrete plan so far. here is white house chief of staff bill daily on the tension of the moment. >> congressman must pass. this it is their responsibility to extend the debt ceiling. and so my sense is in the end they will act. we may only have a few -- a stressful days coming up and stressful for markets of the world and the american people. in the end, there is no question in my mind, the government of america will not default. >> and in the end, if the markets do take a hit, the white house is prepared to put this squarely on speaker john boehner's soldiers, shannon? >> shannon: mark, we understand all sorts of private discussions in case of what to do in case of default. what is treasury secretary geithner saying about that in. >> that's right. there is concern. what happens if we do get to august 2nd and there is no deal. how does the government proceed from there. that is something chris wallace

tried to nail down with treasury secretary tim geithner. here is their exchange. >> our plan is to get congress to raise the debt ceiling on time. >> chris: that's not a plan. >> that's their plan too. it will happen this time, too. we do not have the ability, chris, tom protect the american people from the consequences of congress not taking that action. >> here at the white house can i tell you we have been talking to officials here. they say discussions continue and it's not clear whether we will get to a point of some framework later this afternoon or not, shannon? >> shannon: all right. mike emanuel live at the white house. thank you, mike. >> thank you. >> shannon: cut, cap and balance act would cut federal spending by $111 billion future caps on future spending and establish the framework for a balanced budget amendment. this week the senate blocked the measure the house had already passed. so what options are left? joining us now a house democrat who said cut, cap and balance would, go, quote nowhere. california congressman adam schiff. thank you for coming in today. >> great to be with you. >> the prediction of you shared

by many other people came true so now what? >> i don't think it was any surprise. i think the chief motivation behind the plan was to is give republicans in the house something to vote for that was easy so they could vote for something hard later on. that's fine, i guess as far as it goes. but time is running out. we really need to get something done. i think the gang of six did a tremendous job in setting out a bipartisan outline. i don't like everything in it. if i did, it wouldn't stand any chance. but, i think it set out some reinforcement mechanisms and really laid out something that both parties could begin working on. but time is running short. we have to find a way just to take this debt ceiling issue off the table so we don't rattle the markets anymore than we already have. the failure to raise the ceiling is simply catastrophe and we can't allow that to happen. >> shannon: how do you respond to those who say where is the democrats' plan? where is the president plan? why is the coming gang the six we have one bipartisan

measurable or the house. another two tier plan released this afternoon. where is the democrats' plan. >> many democrats, like the chief democrat, the president have been willing to embrace something like the gang of six. so, that represents a major step towards compromise by a democratic party. that hasn't been resip created beyond the gang of six, at least not in the house. i think many democrats in the house are willing to entertain something along those lines. so, democrats have come a long way. but, the republicans in the house have come nowhere in terms of the willingness to raise revenues. i think most responsible parties, both in and out of the government realize that heavy knew has to be part of the equation. there is going to have to be that piece. i think, you know, revenue on the table in a way that lowers overall rates that simplifies the tax code, that puts the country on a long-term, more stable footing. that is a winner for the united states. i think it would improve our economy. it would improve the solvency of some of our safety net programs.

i think that's the direction we really need to move. >> shannon: what for is you a deal breaker or deal maker? what couldn't you vote for. >> i can't support something that balances our budgetary problems on the backs of our most vulnerable, our seniors, that does nothing to raise revenue, that allows, you know, these special interest tax cuts that go on at the expense of people on social security or medicare. medicare and social security haven't resulted in the current deficit. they do need work in terms of their long-term solvency. we shouldn't mix the two and, you know, balance our current deficit problems on their back. i don't think that's right. i don't think it's fair. i am willing, and i think most people are outside the beltway to have a shared sacrifice where things that are sacred to me have to sacrifice, some people that are sacred to the other side have to sacrifice, and, you know, we have seen it in the past with reagan and tipp o'neal. if ronald reagan and tipp o'neal could come to an agreement and are willing to compromise, why can't we?

>> shannon: you mention entitlement reform and say this isn't the time to get it done. if you are talking about long-term solutions and clearly the under pinnings of those programs are shaky at best. why not address that at the same time that we're addressing the overall economic health of this country moving forward? >>. no i think that's perfectly fine to address the long-term fiscal challenges in those programs. what i don't think is fine is let's not balance our current deficit problem on the back of programs that aren't responsible for those deficits. but, yes, if this can be the catalyst for us to make some difficult decisions on those long-term programs, then that's just fine. i have some question about whether we can do that in the next 10 days, but, you know, there are ways that we can sequence this have some of the mechanisms like the gang of six provided where we can be sure that those long-term issues will also be addressed. >> shannon: all right, congressman schiff. we appreciate your time. we know have a long way to go to find a solution. >> thanks. >> shannon: we are going to be

joined by michael crapo. i'm going to ask him why the gang of six plan has failed to gain any more traction than it has so far. breivik the norwegian man will appear in court tomorrow. he has confessed but is not accepting criminal responsibility. greg burke is streaming live outside a hospital in moreway where many of the victims are being treated. joins us with the latest. hello, greg. >> hi shannon, that's right. the suspect is due in court tomorrow. still unclear at this point whether that is going to be an open hearing. can i tell you if they do let cameras in it could be interesting. from the amount of material he put out just before the massacre, he certainly sounds like someone who wants to talk, who wants to get his message out. every day brings new information and more mystery, i might add about andrews breivik looking

for hints in youtube cultural marxism in europe and also the rise of islam. showing a very troubled mind and a very angry one as well. this morning, in oslo, a mass of grief and hope in the lutheran cathedral. it's not a lot of church goers in oslo. today something different as people try cope with this. sad one in the record books if in fact he was acting alone, it could be the biggest massacre ever by a single person. stories of the survivors from the massacre on the island are just amazing this morning. young man in the hospital here told us about his story trying to get away by swimming and then having to come back because he had jumped in with his boots on. it got too heavy. he got too scared. he came back, he was shot. he heard the kill earl say you are all going to die. he talked about him as a very method call man not wasting any ammunition. finally shannon, the police just a short time ago had a news

conference. they said that andrews breivik did have a lot of ammunition with him. when they got to him, he surrendered almost immediately avment lot of debate how long it took please to get out to the island. fact is they don't have helicopter on stand by. the ones they do have small ones not fit to bring a lot of police with them. the only way to get to that island is by the ferry or the boat it took them about 55 minutes. once they got there he surrendered immediately. shannon? >> shannon: greg with the very latest from norway, thank you. the u.s. has invited a top north korean official to new york to discuss the country's nuclear program. in a written statement, secretary of state hillary clinton called the trip, quote, annual exploratory meeting. team of u.s. officials will meet with north korean foreign minister kim guan this week explore six party talks and possibility of disarmament. a bit of relief finally for the northeast but not so fast for

other parts of the country still baking in the heat. maria molina is live at the fox weather center with more. hi, maria. >> hi, shannon. that's right. still some areas continue with hot temperatures for the week coming up. one area in particular is northern texas. we're still expecting temperatures to reach the triple digits for most of next week. otherwise, new york city already expecting a bit of a relief today. we're looking at high of 89 degrees. that's still above what's normal for this time of the year. but when you consider 104 degrees our high temperature from friday, this is definitely some improvement from that. otherwise, high temperatures across upper midwest, portions of the country are also much improved for today. expecting high of 84 degrees in minneapolis. raleigh, north carolina looking at hot temperatures again at a high at 96. factor in the humidity and it's going to feel a lot hotter for many of these areas. it's going to feel like 102 in d.c. 102 in raleigh, north carolina. especially during the peek afternoon hours where you get sunshine and also expecting a

very hot heat index value in memphis, tennessee with the temperature reaching or heat index reaching 102. this is why we do have a number of heat advisories into the midwest tennessee valley and eastern seaboard. some of these heat index values in localized areas could reach up to 115 degrees and shannon, the relief for the parts of the upper midwest and also the northeast is all due to a cold front that's sweeping through the region right now with scattered areas of showers across the northeast and very heavy rain in the chicago area. we actually saw some flooding early this morning out there. >> shannon: all right. maria molina with the very latest update. thank you so much. >> thanks. >> shannon: who can blame these folks in northern california for not wanting to get up the very last week of winter. they came out for run last run in the mountain. latest opening ever at this resort. mountain resort located on top the summit got a record of 66 feet of snow this year. that let them stay open a lot

longer than normal. the place to be there the f.a.a. is now in shut down mode after funding ran out friday. the many shut down could mean cheaper flights for travelers. don't celebrate just yet. peter doocy joins us to explain why. hi, peter. >> hi, shannon. because of the failed agreement on capitol hill the f.a.a. had to furlough about 4,000 of their 47,000 employees and some federal taxes on plane tickets have now been suspended. that would mean all tickets just got cheaper since those taxes have been taken off the top. but, that's not the case if you are fly on u.s. airways or american airlines. their prices are the same. you will pay the same and they will pocket the difference. raise their prices slightly 8 bucks a round trip. the transportation department is expecting to lose $200 million a week as long as these taxes are not being added on to the ticket. the problem here is purely political. here's republican senator tom coburn explaining why the f.a.a. is in crisis. >> the american people ticket in

subsidy to people that are riding from airports with six passengers on a plane when they could drive an hour and a half and get an airplane and we wouldn't be paying the thousand dollars. so it continued waste and duplication in the federal government. >> the president's chief of staff bill daily said nothing about waste and blamed republicans instead. 4,000 people were laid off on friday because of a political inability for the house and the senate to get together the republicans in the house said it's our way or sorry, 4,000 people are laid off. it's not the way the government is supposed to to work. >> shannon, none of the problems here are going to effect air traffic controllers. they are all going to stay on the job. >> shannon: good to know. thanks, peter. >> yeah. >> shannon: new york is the sixth and largest state to allow same sex marriage. some couples couldn't wait to say their vows. couples across the state opted

for midnight weddings. mayor jennings performed weddings 12:o1 in the common counsel's chambers. same sex marriage was legalized in new york last month. it was supposed to be a bipartisan solution to our debt mess but the gang of six's debt solution it's not even been formalized into any kind of vote just yet. we will talk to senator mike crap it's -- crepe -- governor rick perry is moving in some key states. take a look how close is he to running and the latest polling coming up.

an accident doesn't have to slow you down. with better car replacement, available only with berty mutual auto insurance, if your car is totaled, we give you the money for a ca one model year newer. to learn more, visit us today. responsibility. what's your policy? we're putting them to the test against the speed of a rescue unit. go ! they're downloading a music album. the first network to finish gets rescued. does your phone know that we're racing ? done ! verizon's done ! i've got seven left !

the fastest networin america. verizon. built so you can rule the air. now powering the lg revolution.

>> shannon: the heat is on. congressional staffers are working around the clock behind closed doors to come up with a new plan to fix the debt crisis.

before the asian markets open this evening. steve centanni is watching watct all from here in washington. he has the latest. >> hi, shannon. the latest word from capitol hill is the talks have hit a dead lock that from a senior leadership aide from the democratic side of the senate. someone close to the ongoing talks. the stumbling block seems to be the length of the agreement. speaker boehner wants a short-term plan in two stages and the president wants a longer term plan ethics tends passed the election. now, here's the speaker appearing exclusively this morning on "fox news sunday." >> i'm going to continue to work with my congressional colleagues from both parties and my house republican conference to try to develop a framework within the cut, cap, and balance effort that the house passed this past week. i do believe that such a framework could come together. but it is not in place as we sit here. >> now, the president has said he will not sign a short-term deal and wants an agreement that carries over until after the

november elections not for just a few months. one leading democrat explained why he agrees with that. >> listen to the economists who are telling us all of them together do not lurch from one five month period to another when it comes to the united states of america. not at this moment in history. it's going to hurt us. it's going to stall our recovery. i might say to speaker boehner he should remember six words, if you break it, you own it. >> could get further clues to what's dropping from that call. back to you, shannon? >> shannon: steve, thank you investment. the senate's gang of six is only the by part son group on capitol hill that has produced some type of plan to handle the looming debt crisis. what are the for that plan. talk with mike crapo, he joins us live. senator, thanks for coming in today. >> thank you. good to be with you. >> shannon: there has been a lot of the spotlight on gang of six.

it is the only bipartisan concept we have seen thus far. what is the next stand? how do you get legislative or codified form that folks can vote on. >> we have been working hard to get the legislative language put into place. remember, this was put together not as a vehicle to solve the debt ceiling battle but to solve the much broader debt crisis issue. it puts everything on the table it's really a paradigm shift in american fiscal policy. with that said, we are able to put this into legislative language and it could be a part of either all of it or part of it worked into a solution for the debt ceiling crisis. >> shannon: it's got fans on both sides of the aisle and critics on both sides of the aisle as you would imagine any piece of compromised legislation would have. how do you build in enough of a coalition to get behind, something that would please both the white house and the house tea party caucus? >> that's what we have been doing for six months as we have tried to negotiate it among very, very strong conservatives and moderates and liberals in the senate.

the way we must approach it and the way it must end up is that we have to take on spending agreivelly. i think the vast majority of americans know that the problem in washington is spending. not lack of revenue. that being said, we also need to reform the tax code and we need to focus on growth. because growth is one of the key problems we face. and our approach does just that. we generate the revenue that's needed for the revenue side of the equation by reducing rates, flattening the code, and then growing the economy. and using that additional revenue from a stronger, more powerful economy to help pay down the national debt. >> shannon: any time you say the word raising revenue though. you say those words, people immediately some out there think tax hike there are those on capitol hill who say they cannot possibly and will not vote for anything that amounts for a tax hike. i know to some people it's semantics. how are you going to convince people to get on board. >> you have put your finger on one the huge problems. as soon as you say revenue.

people think you think you are trying to sneak a tax increase in on them. that attack has been made on our plan. the bottom line is we have to continue to fight this fight and we are getting much greater penetration of the notion that our approach does not raise taxes. in fact, it dramatically cuts the tax rates. flattens out the code and generates the revenue part of the equation from growth in the economy. and that is exactly the kind of policies we need right now. in fact, raising taxes right now would be the very worst thing we could do to this economy. >> shannon: all right. so the only legislative motive we have seen vote on so far is cut, cap and balance passed the house, locked in the senate, won't get to a vote there you mentioned they are working on legislative language for the gang of six plan. nine days out from the august 2nd deadline. how quickly could you get something on to paper. >> something could be on paper very quickly it would then need to be scored. i think that could also be done quickly. i want to make a point. the gang of six plan is not inconsistent with the cut, cap and balance bill. i'm a co-sponsor of the cut cap

and balance bill. frankly, america needs both. if we are going to get out of trouble we are in. we need a cut, cap and balance. primarily a balanced budget amendment. we need a huge change in our tax policy. we need to focus on the spending. then we will probably need to do it again. just to be able to climb out of the hole that our 14.5 trillion-dollar debt leaves us with. >> shannon: okay. the balanced budget amendment, we talked about that a lot. we talked about it with senator mike lee, one of your colleagues earlier in the last hour. we talked about the fox news polling results that show us more than 70% of americans say they definitely support something like a balanced budget amendment. when you start spelling it out for them about how you are going to do it through cutting programs or raising taxes, the numbers shift. so how do you convince not only your leagues here on capitol hill but the american people to get on board with this when, you know, the balanced budget amendment has got to go through the states and be ratified by two thirds of them. >> i think you keep the focus of the debate on the threat to our nation. the threat to our nation not only at a national security level but right down to the

individual in the family level is so great and the impacts on their lives will be so great the threat to the american dream is so great that we must create the kind of process protections in our system to avoid this kind of a debt crisis and build out of it. and when you approach the debate on that, from that way, then you are able to get the people to support the process reforms that they know will make the tough decisions for them. or help them to make the tough decisions as they go forward. i think the vast majority of americans would agree that if they felt the decisions were going to be made in a fair and balanced way and that their particular interests weren't going to be called on a more than a pro rata share of the solution. then they would step forward and support it. >> shannon: we are big fans of fair and balanced. weigh wish you the best to finding that solution. senator mike crapo. you have a lot of work to do. keep us update on the progress. >> thank you.

>> shannon: congressman david wu has spoken with house minority leader nancy pelosi. the oregon democrats being accused of having unwanted sexual encounter with a teenaged daughter of a long-time friend after his election victory in november. he has not commented publicly on the allegations but did say the matter is very serious. several oregon lawmakers want him to resign immediately. earlier this year he battled allegations unusual photo he sent to a staff member. have you ever been late to work because you wanted to see the end of a car chase? were you one of the people enthralled by the balloon boy saga? if you answered yes we have a must see fox news special for you. >> fasten your seat belts,. >> this guy is flying down the road now. >> the chases. >> i just hit a tree. >> the crash. >> trying to get out while it's moving. she is on the run. >> the just plain bizarre. >> as you can see it's a dramatic situation. >> unscripted, out of control,

broadcast live. >> gasps] >> you could couldn't stop watching. >> that's the name. that's the make greg gutfeld you couldn't stop watching right here on the fox news channel. walter read is -- walter reed preparing to close its doors. john boehner and treasury a second tim geithner hit the airwaves. >> this specter of default that republicans have put over the country is hurting the confidence of average americans. that's why it's so important they take that off the table definitively not for august 2nd. for the next 18 months. as long as they can. >> i would prefer to have a bipartisan approach to solve this problem. if that's not possible. i and my republican colleagues in the house are prepared to move on our own. almost tastes like one of jack's als. fiber one. h, forgot jack cereal. [ jack ] what's for breakfast?

um... try the number one! [ jack ] yeah, ts is pretty good. [ male announcer ]alf a day's worth of fiber. fiber one. but it's our job to make them say sothing interesting. so how about this weekend we learn some new tricks of the trade... then break out our doing clothes and get rolling. let's use some paint that helps us get the job done in record time and makes a statement when we're finished. we're lowering the cost of a new favorite color. more saving. more doing. that's the power of the home depot. glidden premium paint has been rated a best buy, and you can only get it at the home depot.

>> shannon: it is a working weekend for members of congress. no formal meetings have been announced. the lawmakers are working the phones on capitol hill. peter doocy is standing by with all the latest. hey, peter. >> you are right, shannon. house speaker john boehner could release a debt plan in a few hours. boehner set the debt deal would likely to be a two stage process. he would like to have democrats on board but that he is prepared to go ahead without them. the g.o.p. conference call is scheduled for 4:30 eastern. disturbing new details about the shooting massacre in norway. the chief surgeon treating victims says the killer used special bullets designed to disintegrate inside the body and cause more internal damage. a 32-year-old manor weej man anders breivik has confessed but not accepting criminal responsibility. army read medical center is closing its doors. a government commission voted to close the facility and move operations. the hospital has been in operation since 18909 and a

goodbye ceremony is planned for wednesday. experts say the sequel to james cammeron's blockbuster "avatar" will do more than excite movie goers. the film's production is going to create jobs. two projects will be an welcome opportunity for visual effects artists currently unemployed. the sequels are due for release in december of 2014 and december 2015. those are the top stories right now shannon, back to you. >> all right, peter, thank you very much. >> i never thought they would take it this close to the edge and let politics get in the way of demonstrating will we pay our bills on time? it's taken us six, seven months. the idea that we are going to spend another seven months lifting the cloud of default from the american economy, it seems irresponsible approach. >> shannon: that's treasury secretary timothy geithner. frustrations over the debt talks are obvious. earlier today i sat down with "fox news sunday" host chris wallace. he gave us a preview of one on one debt talk and also speaker

of the house john boehner. chris, you had two of the men who were at the center of this entire debt debate today. let's start with treasure riff secretary timothy geithner. he said something about the possibility of a grand bargain that seemed to be a little bit different than what we may have been hearing the last couple of days. >> you know, we had these press conferences, remarkable press conferences on friday night. the president and the speaker boehner blaming each other and, you certainly had every reason to believe that the talks had collapsed. but i think as they are looking to try to find some answer, and the republican plan would basically be a short-term plan, a trillion dollars in cuts, gets you into early next year. then you have got to go through this all over again. and democrats aren't buying that. the treasury secretary dangle the idea let's go back to the grand bargain. they had basically agreed on $800 billion in new revenue. it fell apart when the president asked for auto% more. 1.2 trillion. boehner gave the impression let's go back to the 800 billion that we were agreeing on.

and geithner did. and boehner then said, you know what? my deal is still on the table. my offer. i haven't taken it off. i would not say that the grand bargain is dead by any means. i don't even think it's on life support. >> shannon: you had the man on the other side of that conversation, of course, the speaker to tell his side of the story as well. >> exactly. what he says is that they were in bill daily, the white house chief of staff's office last sunday, and that they agreed on 800 billion. can you say, until everything is agreed to. nothing is agreed to. they had a number. that's a big concession by boehner. he is saying i'm willing to accept $800 billion in new revenue go against the antitax pledge. he says it doesn't violate that because rates would actually go down as parts of tax reform. this comes from glowing the growing the economy and doing away with loopholes and deductions. he was willing to go with that he said my offer is still on the table. we will see where they go. the grand bargain which seemed dead, you know, may be the only way out of this.

>> shannon: maybe "fox news sunday" solved the debt crisis. >> the "fox news sunday" frame work. i think it should be called that. >> shannon: thank you, chris. >> you bet. two great interviews you can catch all of chris wallace's with secretary geithner and also speaker boehner coming up. speaker of the house john boehner after our 2:00 show. 2:00, 6:00 eastern. you can watch right after our show ends at 2:00. several g.o.p. hopefuls, including michele bachmann are campaigning in iowa this weekend. upcoming straw poll could reveal a lot about which contender has the best chance in the hawkeye state. nine g.o.p. candidates will appear on the august 313th straw poll ballot. that's not every major presidential contender. still missing from the list texas governor rick perry and sarah palin will not be on that straw poll ballot in ames. don't count perry out just yet. is he gaining momentum according

to a brand new fox news poll. perry comes in second behind mitt romney with 14%. and in some indication the feelers are out there. perry has given his first new hampshire interview to the new hampshire union newspaper. in it he talks about wanting to engage with voters in a person-to-person type of campaign. something that is expected in the first in the nation primary state. governor perry gave his first interview in iowa earlier this month. now here to give us an inside look at the straw poll field are former rnc spokesperson and senior counsel for the committee harley la bone and former director david mercer. >> good to be with you. >> shannon: talk about the fact that ohio had a straw poll last night and i believe mitt romney came out pretty strong there finishing 25% behind him tim pawlenty and michele bachmann 10 percentage points back. what do you make of that? >> i think that those results are pretty, i think, standard of what we are expecting right now. because romney is ahead and i

think he represents what the voters are looking for. someone with strong experience, experience leading a state. economic background, and that's what we're not seeing with this president. >> shannon: what do you make of pawlenty jumping very small precise measurements. he has been having tough time gaining traction. second place showing with. >> pawlenty is he beginning to get a little bit more momentum as he is becoming more comfortable with being out there and people are saying that he has more of a personality and is starting to talk more about his record in minnesota. >> shannon: david, are democrats worried about any of these candidates just yet? >> not yet at all. the g.o.p. is in quite a pickle here in that they want or they have doubts about a candidate like romney who appeals to independent voters. and could position well for a general election. but then on the other hand, they want to see lean toward a candidate like bachmann who is

to the extreme right and probably unlikely to be elected in a general election. and that poses the problem that we saw in 2008. they tried to graduate of those two elements being with mccain and palin. we saw the results of that i think they are kind an uncertain position. especially given what obama did in the last quarter fund raising with $86 million raised. almost doubling his last showing from last year, and showing the uncertainty on the republican side you have the republicans who in 2007 at at this time raid 100 million together now they have only raised 34 million. there is a lot of confusion and uncertainty on that side. >> let's talk about the fact this is unsettle because look at some of the late sexual offense fox news poll, when you ask among republican primary voters who do you prefer, we have got in the top five romney, then perry, then bachmann, giuliani, and pay lineal. and so share lynn, that means three out of the top five are people who haven't even declared they may get in. >> you know, i think this is an

indication of how unstable our situation is in the united states. people want someone who can show some leadership. i love david's expression pickle because we are in a pickle. and when i'm -- when we are looking at this debt debate we have the president of the united states who has walked away from this debate and said okay now, congress, you handle it i will tell you something, i liken it to having discussions with my children. i say to my kids, if you don't do what you're going to do you are going to lose your privileges. well, this president has walked away from his duty. in my opinion he should lose his privileges, too. >> shannon: you are going to ground him. >> absolutely. i hope the american voters will as well. >> shannon: iowa announced who is going to be in the straw poll. big indicator. to for a lot of people make or break fundraising or not. perry hasn't declared there is all but this assumption that he probably will get. in he is not going to be on that

ballot though david in iowa. how much of a handicap is that or isn't it for him? >> i think it's a big handicap especially for romney who is also not going to be on that ballot having chosen this time. >> actually, i think he might be. >> is he on the ballot? >> is he going to make it on the ballot. >> i don't know i don't think is he running -- is he not actively participating in the straw poll. with that you are going to have there is the public policy polling in addition to here at fox news' polling that shows increase in support for bachmann she is now actual in the public policy polling showing a slight lead against romney. when she is likely to win, being a native iowaian. appealing to social conservatives. she is probably going to blow the field out which is trouble for pawlenty and trouble for romney and puts us in the same situation or as pickle ace mentioned before where it's going to be undetermined as we, on the democratic side are seeking to coalesce, unite, and post the numbers both in polling

and in fundraising to put the organization forth to get our message out on behalf of the american family. >> it's not even august. we have 9.2 unemployment. we have a long way to go. these polls, it's so early. i think that a very strong republican candidate nominee is going to emerge. and, again, with problems in the middle east, 9.2 unemployment. very low economic growth, i think the democrats have a very difficult job and so does this president. >> shannon: i think you will agree to disagree on that point. >> we do disagree. >> shannon: thank you both for coming in. >> pleasure to be with you. thank you. >> he made his big announcement. >> today i am announcing my candidacy of the nomination of my republican party to serve as your president of the united states. but can he get up the frontrunner status if is he not really showing up in the polls just yet. we are going to ask him congressman thaddeus mccotter live right after this break.

diabetes testing? what else is new? you get the blood, hope it's enough, it's-- what's this? freestyle lite® blood glucose test strip. sure, i'll try it, but-- [beep] wow. yep, that's the patented freestyle zipwik™ design. it's like it-- [both] targets the blood. yeah, draws it right in. the test starts fast. you need just a third the blood of one touch.® okay. freestyle test strips. i'll take 'em. sure. call or click-- we'll send you strips and a meter, free. can't i just have these? freestyle lite test strips. call or click today.

>> shannon: debt debate has spread from capitol hill to the campaign trail. joining us now to talk about how the two mix michigan congressman and presidential candidate thaddeus mccotter. thanks for joining us today. >> thanks for having me on. >> shannon: you are on both sides of this. actively on capitol hill and engaged in this debate. you are also out there campaigning. what's your solution to the debt crisis? >> supporter and co-sponsor of cut, cap, and balance, i believe that is the way to go. one of the things i find frustrating is i know our speaker does and many americans do is the way the democratic party has been irresponsible throughout this process. this is the party that couldn't produce a budget. this is the party that went on a spending bender and expects to raise taxes to cover part of it. the party still not put forward concrete plan to cut, cap, and balance. when we start to look at this both on the campaign trail and inside washington, people are starting to understand that the real problem here san administration and democratic party that refuses to be serious

about the restructuring of government that is necessary for the 21st century. >> shannon: how too we change that at this point? >> i think the speaker continues on the right path. is he going to try to continue to work in a by partisan way with people that are willing to try to address the challenges we face. in fact, i point out that cut, cap and balance in the house was a bipartisan vote. there were brave democrats that went along with us to try to do what the public wants. at this point in time, i don't know how you can convince the senate or the president to actually do the right thing except to continue to press forward as we are doing in the house. >> all right, when you are out there on the campaign trail, this is this the number one issue? what else are potential voters worried about. >> clearly they are worried about this issue, shannon. also very concerned most importantly about the safety economy. they will understand that having 14 million unemployed people over 30 million that can't trade jobs in a time of rising inflation and declining wages is of the utmost importance to them. it touches and effects directly the heart of home every single day. >> the iowa straw poll the decision came out yesterday who is going to be on the ballot.

your name is going to be there. how do you plan to pull off an upset in iowa. >> well, we don't. [ laughter ] to be brutally honest with you. we have been at this for three weeks. obviously we don't have the name recognition of other candidates. going to continue to try to get the message out. we treat the iowa straw poll as a test not of a test of organization but introduction to see if the message can get traction. i think that's the appropriate way to show respect not only for the process but for the people of iowa. >> shannon: you mentioned gout in because you felt like maybe the current field wasn't the best representatives of the g.o.p. and what a candidate could do that's going to have to go up against president obama. what do you bring different to the table? >> well, we're continuing to see it shannon, your last panel pointed out, we have had people spending millions of dollars and spending years, if not several years running for this office that are at 17% of the top vote getter within the poll. we have seen very volatile electorate. what i wanted want to do continue structuring of the federal governments to mirror or consumer driven economy. i would like to continue to press for the restructuring of

the banks bailed out on wall street because we have to get credit flowing down to move this economy forward. i would like to see the people's republican of communist china treated as a threat of rival governance and colonel to our pros spater yet to be really addressed in this campaign. i would like to see a fund mental approach, sound policy for the overarching war for freedom against terror which has not been a large part of the discussion we have been having on the campaign trail thus yet. >> shannon: thaddeus mccotter thanks for spending time with us. >> thanks for having me. >> shannon: tucson shooting suspect laughner is on a suicide watch after asking a staff psychologist to kill him newly released court documents also revealed the 22-year-old has been screaming and cry for hours in his federal prison sale. laughner pleaded not guilty from the january shooting that left six people dead and critically wounded. congressman woman gabriel giffords. new information coming to light.

amy white house. her daughter seemed out of it before she died. according to the sunday mirror who also saying she knew it was only a matter of time before her daughter died. rumors had been swirling that her death may have been caused by drug overdose. scotland yard said it won't have any answers before autopsy was performed. she was found dead yesterday in her london apartment she was just 27 years old. absolutely horrible. that's what the chief surgeon is saying about the aftermath of friday's mass deadly shooting in norway. coming up new details about that tragedy. and, later, looking to start your own business. believe it or not, in this downed economy, future businesses are actually getting off the ground and doing well. more on that. stay with us. we used to bet who could get closest to the edge. took some crazy risks as a kid. but i was still over the edge with my cholesterol. anyone with high cholesterol may be at increased risk of heart attack. diet and exercise weren't enough for me. i stopped kidding myself. i've been eating healthier, exercising more,

and now i'm also taking lipitor. if you've been kidding yourself about high cholesterol...stop. 80% of people who have had heart attacks have high cholesterol. lipitor is a cholesterol lowering medication, fda approved to reduce the risk of heart attack and stroke in patients who have heart disease or risk factors for heart disease. [ female announcer ] lipitor is not for everyone, including people with liver problems and women who are nursing, pregnant or may become pregnant. you need simple blood tests to check for liver problems. tell your doctor if you are taking other medications or if you have any muscle pain or weakness. this may be a sign of a rare but serious side effect. great ride down. if you have high cholesterol, you may be at increased risk of heart attack and stroke. don't kid yourself. talk to your doctor about your risk and about lipitor. with diabetes, it's tough to keep life balanced. i don't always have time to eat like i should. and the more i focus on everything else, the less time i have to take care of me. that's why i like glucerna shakes. they have slowly digestible carbs to help minimize blood sugar spikes,

which can help ler a1c. glucerna products help me keep everything balanced. [ golf ubs clanking ] [ husband ] i'm good! well, almost everything. [ male announcer ] glucerna. delicious shakes and bars. helping people with diabetes find balance.

>> shannon: disturbing new details from that deadly mass shooting at a youth camp in norway. the chief surgeon treating the victims said the killer used special bullets designed to descent great inside the body and cause even more internal damage. that amid reports the gunfire lasted for an astonishing hour and a half. at least 93 people were killed in the bombing and shooting attacks on friday. >> do you want to start your own business but you are not exactly sure how to do that?

elizabeth plan has an idea how business owners are getting off the ground in this tough economy. how are they doing it. >> they are getting off the ground. they are doing it by opening up franchises. because believe it or not there are more than 400,000 franchises -- excuse me 700,000 franchisers across the united states. it's wildly popular. especially for entrepreneurs who are first time business owners trying to get off the ground because there is a model in place for them to follow. also piers to consult and franchise or to listen to. one mother we spoke to has always wanted to open up a school. she tells us her sophomore i engineering agree and mba didn't set her up in a education sector which is why she contacted goddard school. programs across the nation, proven over and over again to be a successful one. in fact, it's the number one child care franchise in the u.s. by republican magazine. take a -- entrepreneur magazine.

>> make sure that it manages the standards across the board. be it quality of education we are providing. the safety of the children. so all this mechanisms in place. that helps me. i know that, you know, what i may miss is something that the franchise is supporting me with. >> and one local marketing expert who we spoke with say the school is so successful partly due to background as well as ironically enough a tough economic landscape because he said so many weaker business owners were weeded out. >> the shift that happened in 2008 is the economy is definitely taken a nose dive and it was going up, um, up. so franchise dpsz able to award franchise left and right. go to the bank, you are. in the banks started shutting off and the peek only the lead

franchises being let into the system. >> she has about 100 students in school. only been open for a year. around this fall she'll be at full capacity. shannon, back to you. >> always good to have a little bit of success during this economy. great to hear the story. elizabeth, thank you. >> thanks. >> all right. check this out. could you pass the salt? you would definitely have a tough time doing that if you are sitting at this table. at least 400 feet long it could wind up in the guinness book of world records for the largest longest table ever made it was unveiled yesterday as part of the singapore food feivel. the tweets are rolling. in many of you say you are getting press straighted about the way the debt talks are going. share some of your thoughts on the debt mess next. keep it right here. as a manager, my team counts on me to stay focused.

so i take one a day men's 50+ advantage. it's the only complete multivitamin with ginkgo to support memory and concentration. plus it supports heart health. [ bat cracks ] that's a hit. one a day men's. motorcycles, boats, even rv's. nobody knows where he got his love for racing. all we know is, it started early. casey mears, driver of the number thirteen geico toyota camry. geico, saving people money on more than just car insurance.

but it's our job to make them say sothing interesting. so how about this weekend we learn some new tricks of the trade... then break out our doing clothes and get rolling. let's use some paint that helps us get the job done in record time and makes a statement when we're finished. we're lowering the cost of a new favorite color. more saving. more doing. that's the power of the home depot. glidden premium paint has been rated a best buy, and you can only get it at the home depot. [ female announcer ] sweet honey taste. 80 calories per serving. 40% daily value of fiber. i'm here in the downtown area where the crowd is growing. [ female announcer ] watching calories at breakfast never tasted this sweet... i'll go get my bowl. [ female announcer ] ...or this huge. new fiber one 80 calories.

yes, you can actually love breakfast. passenger jet moments after it took off from spain looked out the windows and saw flames

shooting out of one of the plane's engines. took an hour to land that plane. all 180 people on board are safe. lawmakers on both sides of the aisle are working this weekend trying to come up with a debt deal before august 2nd. we have been asking you at home if you are fed up with the way talks are playing out so far. here are some of your tweets. the marilyn writes the debt is like a diet. eat, spend less to lose weight. exercising taxes will not compensating too much ever. scott writes absolutely fed up. incensed that senate failed to could its job. if my business was on a crisis and i went on a i have acation i would fired stop beating up on congress. point the finger where it belongs. obama mantd dems who have no plans. john says only part of government working on the crisis. the senate and president is just watching. thank you aay