>> every day. every day. >> steve: the channel started 17 years ago yesterday. >> i watched every day since then. how old would i have been? >> brian: after the show show, you'll meet the entire band. >> wow. >> steve: see you tomorrow, everybody. bill: what a cool guy. kenny rogers, a gentleman. day 8 of the partial government shutdown. the white house is threatening ththe social security checks may be delayed. welcome to america's newsroom. martha: that will get a little attention. great to see you this morning. the government shutdown so far has had no impact on social security. but that could change we are hearing. failure to raise the nation's credit limit the government is

saying could jeopardize the checks of millions of seniors. bill: the house speaker says it's obvious the president doesn't want a deal. >> the senior white house official said the president would rather default than sit down and negotiate. a senior white house staffer this morning said the president would rather default on our debt than to sit down and negotiate. the american people expect when their leaders have differences in a time of crisis we'll sit down and at least have a conversation. really, mr. president, it's time to have that conversation before our economy is put further at risk. bill: mike emanuel is tracking all of this on the hill. is this really going to happen? >> a senior republican official i spoke with called this scare

mongering. the administration official says the debt ceiling is different and cannot guarantee payments beyond november 15. meanwhile republicans on capitol hill say it is time to instill some fiscal discipline and sit down and negotiate. >> we are not going 0 get the president a clean debt ceiling increase. that's like maxing out your credit card and you want more credit to borrow more money. that's a recipe for disaster on our country. >> the house continues to pass targeted funding bill. the children's program and other funding for local schools. >> is there a split you are seeing on the democratic side? >> senate majority leader harry reid is pushing for a debt

increase with no negotiation. at the white house they are signaling they would be willing to something perhaps a little shorter. >> we think the congress ought to raise the debt ceiling without drama or delay. it's up to them to set the duration of that. >> as for when all this will wrap up, everyone i stalked to said capitol hill is deadline driven. even when they have a deadline, sometimes they can fudge it a bit. >> talking to each other or at each other. thank you, mike emanuel, leading our coverage on the hill. martha: senator ted cruz, one of the men leading the fight to keep balk care out of the budget is not mincing word. he told our own megyn kelly that

the president he believes is m.i.a. >> the president has kept such a low profile. he has been awol. he has not been part of the negotiations. he has been refusing to talk to congress. he finally invited congressional leaders to the white house and they sat down and he said you are sheer because i want to tell you i'm not going to negotiate. martha: the president says it's the republicans, not him to refuse to negotiate. bill: if you try to log on to the justice department's amber alert yesterday, this is what you saw. shutdown, due to a lack of fund. there is anout cry. a furloughed center work was called back to get the page back and up and running again. bulletins were still going out to law enforcement across the

country. martha: hundreds of thousands of civilian employees at the department of defense also back to work. at the pearl harbor shipyard in hawaii, that's 2,500 people. >> it's frustrating and embarrassing to see that neither side will give a little and all these people are suffering. there are people at work crying last week about the furloughs going on. martha: congress is considering a bill that would give furloughed employees back pay for the days they lost. a gentleman by the name of jason fuhrman explained how we know what the magic day is for default in the first place. >> that at that point you can no longer borrow. you are $30 billion in a bank in a place that's running $40 trillion a year is not a lot of

the money. it's days not weeks until you deplete that money. >> that's the white house position. bill * others like rant paul say that's not true. the government will have enough money to pay its bills past the october 17 deadline. martha: the president is warning the lawmakers not to play game's over our debt. let's talk to stuart varney about that on the fox business network. what do you think about this issue of potentially paying the interest on the debt and not the underlying bills first. >> that's called prioritization. you play favorites with who you pay off first. you pay the interest on the debt first. if you do that you avoid technical default.

you do not default if you are paying interest on your debt. all these top bankers that held a meeting with president obama and top republicans said this prioritization pay the interest first, that will not work. you go past the deadline with no deal, interest rates will go up, stock market prices will go down and the economy will take a very big hit. they are saying prioritization, paying interest first, it won't work. that's what they say. but look at the timetable. between october 17 and november 15 we have to pay $36 billion in interest and we have to pay $50 billion out in medicare, social security and military pay. we have enough money coming in in fox receipts to cover those bills. pry sortization is not required. so you have got a warning from the banks, a warning from china and wall street is yawning.

stock prices are actually oping higher. martha: rand paul made the argument over the weekend as well. that we have enough revenue coming in. so what's up? >> remember the politics. there is a scare thing going on here. if you say wall street is going take a tumble, the economy will take a hit. if we go past that deadline, saying to congress, you have got to get past. we have got to have a deal before that deadline. if you don't, all hell breaks loose. it's scare tactic in many respects. >> i feel in many ways we saw the same thing with the sequester. it would be armageddon after the sequester. the results of this is it's like the boy to cried wolf and people maybe are not cognizant enough of the true underlying fundamental financial difficulties the country does

face. >> it's the sky is falling argument. with assess questioner the sky did not fall. >> we'll see what happens. we'll see you later. bill: now on obama-care, how many people have signed up for insurance? the health and human services secretary kathleen sebelius went on the daily show and answered that question. >> fully enrolled? i can't tell you because i don't know. we'll be giving monthly reports. but i can tell you we have had not only lots of web hits, hundreds of thousands of accounts created. >> hundreds of thousands of people have signed up. >> account.created and then they will go shopping. bill: i think stuart was as confused at the end of the segment as he was when he began.

we sent byron york out. this is something we are watching on a daily basis. the white house and sebelius saying they will provide monthly updates. a hit is one thing. a white house slog joins one --e house log-on is one thing. but when you actually buy insurance is another thing. martha: it will take people a while to find out what makes sense for them. but when that one-month period rolls around people will expect to see certain numbers. bill: there is a reason you do that on the jon stewart show. that's a young, young audience. martha: karl rove will talk about those number and whether we should know what they are at this point. a captured al qaeda mastermind will soon be on his way to new

york city. abu al-libby. what can the cia hope to learn from that man? >> a would-be armed robber going up against the wrong guy. that's the wrong store clerk. we'll show you the rest of what happened here in this stickup. so i can reach ally bank 24/7, but there are no branches? 24/7. i'm sorry, i'm just really reluctant to try new things. really? what's wrong with trying new things? look! mommy's new vacuum! (cat screech) you feel that in your muscles? i do... drink water.

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martha: an armed robber got way more than he bargained for. the clerk brings out a huge machete. look at him. he chased him clear across the parking lot with that thing.

bill: and he knew how to use it. >> i don't think we should default on our debt, it's not good for our country. but after 55 years of spenting more than you bring in something needs to address. this year we'll have more revenue than the history of our country but still have a $17 billion deficit. if we are going to raise the amount of money we can borrow we need to do something about our spenting program and the lack of economic growth in our country. >> that was from last friday. a number of people agree with them. our new fox polling found half the country is against raising the debt limit. 58 per of americans. per are in favor. the communications director for the former new jersey governor jon corzine.

gentlemen, what does that number tell you? 58% say they don't favor raising the debt limit. >> they don't favor raising the debt limit unless there is some tough love. they live within this every day. they have to have a budget. they have to live within their means. we have seen this he stereo time and time again. the american people are sick of it. we need to make the cuts to live within our means. we have been in the funk for five years. the day of reckoning has come and the american people are with us to make the tough cuts. >> you wonder how much they are listening to this poll. >> i think the polls are in a lot of different places opening default. you had a cnn poll that had the

same results when asked if the default would be harmful. bill: but that wasn't the question. nobody wants that to happen. it would damage the country. >> correct. bill: we are talking about how would you vote on raising the debt limit. 58% say they are against it. i'll get to the next poll which goes to the answer. should the debt limit be raids only after major cuts. 62 per se only after major cuts. >> so that is exactly my point which is the obama administration has tried time and time again to make an agreement and actually have a negotiation that cuts spenting, cuts government spending and increases revenue. but speaker boehner who just said that it will be terrible to default had a chance two years ago to have that negotiated agreement but the reckless tea

party extremists wouldn't let him do it. now they are forcing the manufactured crisis brad just railed against. bill: i hear your point. but this is whether if only after make cuts, brad. that's like sequester 2.0. the president came out yesterday ann yesterday and said you have got to restore those cuts he agreed to. >> the sequester is a joke. $85 billion in cuts and spending against a $4 trillion annual budget is ridiculous. the kind of cuts we need will be dramatic. it means entitlement reform. we have to take on the responsibility of reforming those entitlements that were obligate to for decade. social security, medicare, medicaid will be on sits way to insl convenient i. unless democrats get real and

talk about sustained cuts. the president didn't lead to a deal. soot democrats have been trying for five years to reach a larger deal. the tea party is talking about keeps going backward and relitigating a 4-year-old law that is settles law that the people of the united states voted against boris yeltsin who agreed to vote against it. bill: . how week is this president that he's telling the american people that a small band of tea party

opponents to obama-care is able to bring down the government? this is crazy. bill: if you look at the poll, there is plenty of blame to go around here. they are all getting good dose of this if you look at all the polling here or cnn or across the board. steven, thank you for your time. brad, thanks to you. martha: another huge story. a brand-new look at the terrorist mastermind behind the murder of hundreds of people. there he is in his car outside his home moments before he was nabbed. a team of investigators is on their way mighty ship where he's being held. we are getting an indication when he will be in new york. bill where some people have crippling the entire disability program, and the numbers are

staggering. the claim and the suffer because we don't do any favors when we wrongly abort benefits, and we'll certainly hurt those who justifiably are receiving those benefits on the trust fund runs out of money probably in less than 18 months. hey, i notice your car yeah. it's in the shop. it's going to cost me an arm and a leg. you shoulda taken it to midas. they tell you what stuff needs fixing, and what stuff can wait. high-five! arg! brakes, tires, oil, everything. (whistling) [ crashing ] [ male announcer ] when your favorite food starts a fight, fight back fast with tums. heartburn relief that neutralizes acid on contact and goes to work in seconds. ♪ tum, tum tum tum tums!

bill: that big storm hat moved across the country. this from iowa. some people lost everything. they say they are taking it one day at a time. they say the damage was nothing compared to the loss of their daughter some 10 years ago. >> this is just stuff. we can live through anything.

that was the worst. this was. see you just saw, thank god for keeping me safe. he did exactly way asked him. >> they had hundreds of people from local neighborhoods show up to help with that cleanup. the state of iowa. >> a fox news alert. we are getting exclusive information and a new look at the most wanted died terror leader captured by terror forces. abu al-liby is pictured outside his house after he returned home from morning prayers. this was moments before our delta forces swept in and captured him in libya. he's being interrogated by the cia onboard a u.s. navy ship.

catherine herridge joins us now from washington. what are we learning about al-liby and his connection to al qaeda? >> reporter: according to u.s. coalitions al-liby is the operative behind al qaeda's expanding network. this is the more recent picture of al-liby. al qaeda saw a growing opportunity to build a network after the fall of the libyan dictator qaddafi. u.s. officials are season sifting his intelligence value is high because he began serving al qaeda in the 1990s. the target of the somali raid was sanctioned by al qaeda's

core leadership. fox news asked how al qaeda can be in decline when its current memberare operating. >> pakistan and afghanistan have been severely weakened because of our operations. report report they are running operations in libya, somalia as well as kenya. martha: i understand you have more information on the intelligence that led to the somali raid. >> reporter: after the terrorist attack by pal shahab in kenya the time line was moved up based in part by investigators after this attack.

it was believed some foreign fighters were preparing to leave the country. martha: catherine, thank you very much. bill: wait until we get to new york. that's the destination. stay tuned. two young girls will never again forget to put away their toys after a police officers made his point with a sense of humor. they got a ticket for their barbie jeeps they left in the street. martha: obama-care is a-week-old. still facing major glitches and questions about how many people have signed up. that's the big question. karl rove joins to us break down the latest.

>> we won't release data on an hourly, daily or weekly basis. we'll follow models from similar program, including a similar program in massachusetts. and medicare part d.

bill: 9:30 in washington. we are awaiting remarks from republican and democratic

leaders. we'll bring you those remarks. martha: the white house is saying it's not sure how many people have gotten insurance on the obama-care healthcare. the white house press secretary touting the millions of people who visited the site. but here is jay carney had to say when it came to how many of them actually signed up. >> when it comes to enrollment data, we'll release data on regularly monthly intervals just like was done in massachusetts and just like what is done when it comes to medicare part d. >> i wonder if they thought about how they would respond to that question when it started to roll out days after the big launch. karl rove is a senior advisor to

president george w. bush. martha: you have to wonder if they thought this through that they decided to give the numbers one month after the program starts. kathleen sebelius ran into the same difficulty with jon stewart, how many people signed up. >> in the decade since the medicare part d was passed under bush, technology has advanced to make it possible to track these on a daily basis. it was a technological problem a decade ago, it's not a technological number today. you can bet if this was a good number they would be talking about it. their goal is to sign up 7 million people in six months. they need to be signing up 38,00 --

38,462 people. they should have 28,000 people signed up -- they should have 269,000 we'll signed. you. they don't have that number or they would be talking about that number. we have one evidence of wait might look like. maryland has an exchange its own with a web site that doesn't have the problems that the federal web site has. they are 1.85% of the u.s. population. which means they should be signing up 4,981 people a week. their actual number as of yesterday was 326. this program is not as popular here in the beginning as it was thought. martha: they are going to argue that it will take time. kathleen sebelius said we have people who opened applications

but we aren't calling them as somebody on the list because they haven't closed the deal. it's very confusing. people have been pushed off their retirement insurance plans. they are being sent to meetings. it's all really confusing and will take time no doubt. >> just because you fill out an application doesn't mean you are eligible for the program. remember there is suppose to be a federal data hub that checks your eligibility as you are signing up. the data hub is not working. the government granted a contract to take the printed applications to make sure they are u.s. citizens, they are emploird, that their income is of a certain level. the second problem is that people in the healthcare industry as of the friday before the exchanges 07d up were saying

the federal web site was not calculating premiums accurately. themy you significance is and it was the suspicion of people in the healthcare industry i talked to that this problem is not solved and it's problem on the high side. people are going to get sticker shock when they get the actual people yum for their policies. martha: it's showing up in the polls. the new healthcare law which is better for your family, the old system or new system. 52 per say the old system is better. i wonder how the president -- you can't get inside of his head. but he can't be happy with this rollout. this computer system. for three years they were trying to get this thing figured out. >> nearly four years. wasn't it classic what the

administration does? it's blame everybody else. it's never this president's responsibility. generally it's his predecessor's problems. but now they are blaming who? the people signing up. there are too many people signing up. baloney. they did not plan appropriately for the volume one would expect. they have got jim garrity. 7 million people checked the web site the first date was up. 37 million people check drudge on a regular basis. there was a web site called alta advice a which was a search engine and 80 million people were checking that web site. where was this administration in its planning process. we had 7 1/2 times the capacity of the maximum number of people we thought would be on the side. nobody thought about that. rtha: carl, thank you so much.

we'll see you later. bill: another man in custody after bikers smashed a man's window, dragged him off and beat him senseless. martha: rampant fraud in the federal disability program. this is a story that has been undertold. it's now in the spotlight. the amount of money uncle sam spend on this is staggering. one lawmaker says washington is to blame. >> congress continues to be the problem. with the clock ticking on the agency's trust fund some members in congress refuse to acknowledge the disability programs are broken. people who are truly disableland pay the price of our dithering. to work with someone. r someone you feel you can really partner with.

unfortunately, i've found that some brokerage firms don't always encourage that ki. that's why i stopped working at the old brokerage, and started working for charles schwab. avo: what kind of financial consultant are you looking for? talk to us today.

bill: currently the federal disability program for social security, serves 12 million americans. that's up 20% in years. the budget is more than the government spent last year on the department of homeland security, the department of justice and the department of labor combined. a subcommittee releasing its findings from a two-year investigation. here is senator co-tom coburn. >> we have a problem. when you put somebody on disability you take aware their future because you limit them. and for those who are cheating on the system now, what they are doing is collecting not a large amount of money, but they are collect it every month, and then they are working in the underground economy and not

paying taxes. bill:taxes.. >> i think this is simple and not be what may want to hear. it's happening because they can do it. people want to take the easy way out. i hurt my back working. i'm going to go to a doctor who will say i can't work anymore. i'll find an attorney who says this gentleman, this lady cannot work any more, they need to be on disability for the rest of their life. if you sign up for disability, you are on that for life. you are on the government's -- getting a paycheck from the government for life. bill: so it's easy, people get away with it. and no one is there to check on it. >> who is going to check on all these people. it's got to be someone working for the government. x have seen what goes on in the government. most goavment ployees have trouble getting to work and doing their job. now you are giving the

government more authority to run a program that does not work already. it's probably going run out of money the next two years. it's based on social security which i believe is a ponzi scheme. bill: social security disability is that for seniors? or is that for everybody. >> that's for everybody. my mother has the option of going on disability but she continues to work. she has a back problem. in 2011, only 9% of people on disability said i'm going to go out there and get a job. the other 90% either died or they went to a different government program. so once you are on it. you are basically on that for life. you and i are paying for it. bill: what would a sick, ailing

economy that's yet to repair itself contribute to this, do you believe? there was a repeat on 0 minus that suggested people who ran out of employment benefits were seeking money in other areas. was this a spot necessity would go to? >> government assistance in general. when obama took office, 40% of americans were on government assistance. moist's close to 0%. people say i can't work anyway, i have got a bum leg and they go on disability. that has been the pattern in the last six years and can you blame somebody who is trying to feed their children? no, it's tough to blame them. but it's unethical, illegal and putting more pressure on a system that's already broken. bill: i think of medicare fraud and it's broken, too. are there other people fighting

for this other than coburn? he sounds like the only voice out there. >> you need americans on your side. if you go south there the politicians say i'm going to go against it. it's too easy to get disability. you are not going to get their votes because they are relying on the government. americans relied on ought government and they will continue to vote for democrats who give them money. bill: the numbers here are staggering. when you think about this area of our government that spend more money than homeland security. the justice department and layer department combined, it blows your mind. >> people are concerned social security is going to run out. 18% of social security goes to disability. if this number continues to increase it's more pressure on the social security system which many people are relying on when they retire to live off of. not on are you hurting the

people who are disabled, you are hurting people who rely on social security. very interesting stuff here. $135 billion budget for a program people need to know about. martha: as many as a third of the teachers at one hospital say the building is making them sick. and not just sick. some are even getting cancer. what is happening inside this building? and could it be happening elsewhere. billelsewhere..

martha: a police officer found a barbie jeep left in the wrong spot outside of the drive theway in the road. so he did what the officer had to do. he slapped an abandoned vehicle sticker and issued barbie a big fat citation. he was kidding. he gets the jokes an all he moved it into the driveway so it wouldn't get stolen and taken away from these lovely young girls. this isn't the first time the barbie jeep had been left in front of the home. take a look at that. right there in the driveway

there from google street map. joining us is the cook family. 7-year-old autumn and 9-year-old noelle. thanks for coming on this morning. back to the night in question, what happened with your jeep and how did it get left out there? >> i wasn't there, but it was left -- my dad was outside, and when i came home from school there was a police officer, so i said hi, and walked inside, then he was talking to my mom about being on the other television. martha: like a typical big sister. noelle says i didn't have

anything in to about it. did you leave the jeep out there? >> no. >> you didn't leave it out there either? >> no. martha: autumn, how about you? now we are get together heart of the matter. what happened, honey? >> well, the last time i played with it my cousins were out there, and so my mom first we left it out that time. then after that we left it out another time. martha: so, dad, what happened here. when you came out. you went to leave for work in the morning and you saw it out there with the big circumstance on it? >> the night before i noticed it on the sidewalk off the curb so i thought to myself i better

grab that. by hour yesterday inside and as i came out the next morning the barbie jeep was right behind my car. i got out and looked at it and it had a tag on it that said we would be impounded if we didn't take care of it. martha: so what did you do? did you call the police officer? >> i put it on facebook, i thought it was funny. i was appreciative of the police officer that he had a sense of humor to play a joke like this. martha: my kid leave their stuff all over the place. if i leave it out -- >> the lesson to learn is to put their toys away. they have so much fun playing'. they just do that right in our driveway. and left it out there when the battery died. but when it's dead they can push

it right back into the garage and that's what they need to do. martha: that's so true. girls, you got that? it's such a nice barbie jeep, you don't want to lose it, right? >> yes. >> you guys are so beautiful, i want you to have a good day at school. we'll send your teach ear note. don't get in trouble with the police anymore. take care. bill: you have got a great attitude, well done. martha: i would have loved one of those when i was a kid. bill: you can see the cop's sticker. we have issues, folks. martha: he was right it was an abandoned vehicle. just doing his job. bill: a new push for the deal on the debt is on us. bring it will analyze. don't miss it.

great. this is the last thing i need.) seriously? the last thing you need is some guy giving you a new catalytic converter when all you got is a loose gas cap. what? it is that simple sometimes. thanks. now let's take this puppy over to midas and get you some of the good 'ol midas touch. hey you know what? i'll drive! and i have no feet... i really didn't think this through. trust the midas touch. for brakes, tires, oil, everything. (whistling)

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martha: 17 trillion in debt. so what's a trillion more? the house and senate back to work this morning starting at 10:00 a.m. today as since democrats pushing a bill to raise the debt limit by $1 trillion. daring republicans propose that plan. there they are. we'll come back to second hour of "america's newsroom." bill: they want the debt limit raised by a trillion dollars. it can only be good for about a year. it would need cuts an and a loot entitlement programs now. martha: did we say the deadline for all of this is nine days away? the government says we will no longer have money to pay our bills. fox senior lyrical analysis, good to have you here as always. how do you think we're doing so

far? >> nobody now seems to think the government will be reopened until we get to somewhere around the 17th. one of the reasons for that, martha, is the shutdown has turned out to be much less to do about what people thought. by one calculation only 17% closed. you see some conspicuous signs, which you can tell the administration is trying as hard as it can to make it as difficult as possible. but it is not that big of a deal as it turns out. martha: sort of like the sequester. told it was going to be this big, huge catastrophic disaster and most people don't notice it. >> i think that is the case. martha: we will listen to john boehner and come back to you. >> frankly by refusing to

negotiate, harry reid and the president are putting our country on a pretty dangerous path. there has never been a president in our history who did not negotiate over the debt limit. never. not once. as a matter of fact, president obama negotiated with me over the debt limit in 2011. he also negotiated with the blue dog democrats to raise the debt ceiling in 2010. the way to resolve this is to sit down and have a conversation to resolve our differences. >> good morning. in our last effort to fully fund the government, we asked for an end of special treatment for congress. and we said if you are having a hard time using obamacare is broken website, you shouldn't be penalized for not signing up this year. very simple, that's all we were asking for. a one-year delay of that tax is

more than fair given how poorly the rollout of obamacare has been. president obama gave the same relief we are asking for two big business. but the president and senator reed wanted to protect that tax. so we sat down and talked, and they said no. in a divided government the american people expect us to work together. whether it's on the government's funding or the debt limit, people expect to have negotiations when there's two different sides. in 1995 both sides sat down together under the same type of circumstances, and they ended up balancing the budget. in 2011 at the speaker just said, we all sat down together. and now we will have two consecutive years of reduced spending as a result. never negotiating a position of not negotiating is not a sustainable option, and we ask this president and harry reid to sit down and let's iron out our differences.

martha: so there you have it. eric cantor and john boehner coming to the podium. basically what they have been saying for the past couple of days. >> it seems so reasonable to say let's sit down and go sheet. the republicans are unquestionably getting the shutdown of the government. but it is not as awful as some feared. republicans have now gotten onto this theme i will not talk to us about it, which seems unreasonable, which strengthens their hand a bit. keeping government open even though they have gone nowhere in the senate and the president saying he would veto them. looking to find firmer ground to stand on. when you come to the debt limit, the politics are different. the majority of people very strongly did not favor a government shutdown to defund obamacare.

the debt ceiling is another matter. people don't like to see the debt ceiling raised. it has to be raised eventually or there would be real trouble. people don't like it. the position republicans are taking is we need to negotiate some spending constraints in order to get the debt limit increased is a reasonable one and a much better standing with the public on that then they are the shutdown. martha: that is exactly what they did, the rein in spending to a certain extent allowing them to go back to their constituents and say we got a little bit of what we wanted out of that negotiation. the white house and the democrats are saying we negotiate on the debt ceiling issue because we are allowing the sequester levels to stay in place, so that's it. there's no negotiation beyond where we already are in terms of spending levels. >> the sequester levels of spending are the levels, the existing levels we had so to say that is a concession of some kind is a stretch as you might put it.

because there are no talks going on that we can see, this looks like a standard ground. you did a good point that this scared talk of default and the markets collapsing seems to me just that. make no mistake about it, martha, the talk about this, the market, it is a very dangerous game to play with the white house and others playing to safely don't raise the debt limit by a certain date, a possibility of default, social security payments going up. there's plenty of money to cover those things. martha: it is interesting to haven't heard too much about the rating agencies. they threatened to lower the credit rating. lower than australia. they said if you don't clean up 1 agency, don't clean up your

balance sheet, look like you're going to improve debt going forward, it could happen again, right? >> what happened was the take away that we were told from the credit rating downgraded was that it was because of the near miss on the fiscal cliff and the raising of the debt limit. but if you read the report, if you read the report what you found was they were concerned about the chemo to debt as they were the debt ceiling and the rest of it. martha: sorry to interrupt, we will see what he has to say here. >> it is time for us to sit down, resolve our differences. i am not going to get into a whole lot of speculation.

the central argument is this, are we going to sit down and have a conversation or aren't we? >> [inaudible] the possible that feeling package may look like coming from the democrats. are we not getting details because it is related to the cr, which you had to pull off, is the concern about that getting out there? >> all we're asking for is to sit down and have this conversation. there is no reason to make it more difficult to bring people to the table. there is no boundaries here, nothing on the table, nothing off the table. i'm trying to do everything i can to bring people together and have a conversation. yes, ma'am. >> has anybody been asked to resign? >> that is a decision for the president to make.

>> [inaudible] bill: so he ends it the way he usually does, unpredictable. the house speaker john boehner taking questions. it was quite clear the question was asked whether he is drawing a line in the sand in the speaker wanted to be clear he is not. but he said repeatedly what he wants to do is sit down and negotiate with the president. is that the give-and-take that is yet to give? >> first of all he is drawing a line in the sand. there will be no clean cr, no debt limit without strings attached to future spendings. he clearly has drawn that line in the sand. he is saying everything could be on the table if they sit down and talk and all we're asking is to talk. we don't know what his opening position would be. we don't know where he would

want to go from that. it is clearly a talking point republicans decided helps them to say we want to talk, they don't. the average person hearing that says they ought to at least sit down and talk to see how original person would conclude maybe the president is being in transit here. bill: you believe this goes up against the deadline, if you want to move the deadline or not, whether it is the 17th or not, if that is the case, how do you see a way out of this? >> well, it is not my job to forecast outcomes, not least because i am bad at it, but what i would think is the will be an negotiation about raising the debt limit ceiling. republicans will try to get further spending restraints as a condition. the administration will in the

end have to give it something because if you give them nothing, you don't get the debt ceiling increase, you don't get a deal and they need a deal. bill: do you see sequester 2.0 coming? >> i would not see that. they can do something a technical term called chain cpi. the adjustment in cost-of-living formula that drives the continuing increases in entitlement spending. it is a small adjustment, but over time it saves some money. i don't think republicans are going to get much, but i think they might get enough to allow them to say we held out, we fought, we got something for it, we are okay, and the voters saying they caved too quickly. might approve of that. what i might also remind you is the president, i hear all these acquisitions he does nothing and so forth.

there are people on the left who think the president is president cave-in. he gives an too much, too willing to negotiate, offers republicans too much. that is the politics he's facing. in some ways a mirror image of each other. bill: thank you, we will see what happens. thank you, brit hume in washington. the democrats are talking about the things they have 60 votes or something to raise the debt ceiling for another year. it is not easy to stump brit hume. the map has an answer for everything so we will see in time whether or not that is the way it plays. martha: he wants john boehner to take the whole thing to a vote because he thinks it would pass right now. and how about obamacare? one simple question for the white house on this, how many people have signed up so far? dodging the numbers visiting

"the daily show." bill: a debate over 18's nickname very near and dear to the heart of everybody in washington, d.c. the president was asked about it, she decided to weigh in and did just that, so should the washington redskins change their name? martha: a brand-new look at an al qaeda mastermind. what happens when he comes to new york? john bolton on that. >> the fact of the matter is they have been indicted in the southern city of new york in connection with his alleged role in al qaeda's conspiracy to kill u.s. nationals and to conduct attacks against u.s. interests worldwide.

martha: we are back a fox news alert. learning the most wanted al qaeda leader captured in libya over the weekend will not be arriving in the united states as soon as some had expected. this is an exclusive new image

of anas al-liby. the cia is interrogating this person. thethey're on board a u.s. navy ship in international waters at this hour. he is expected to eventually be brought back to the united states for his trial, indicted in the southern district of new york in 2000 for the next 98 embassy bombings in kenya and in tanzania. in those bombings 12 americans lost their lives, hundreds of others were killed and wounded. john bolton is with me now. former ambassador to the u.n. and fox news contributor. you and i spoke about this yesterday and you said no way. a couple of days will not do it with this interrogation. >> i don't think even if the extended into next week or longer it is not nearly enough. four years in england right in the so-called manchester england manchester manual.

and then, 15 years of activity since then including the last couple apparently in libya. perhaps, perhaps not involved in the killing of christopher stephens. you don't interrogate somebody like that for a couple of days or even a couple of weeks. this man needs to go to guantanamo bay for months or years for very painstaking, elaborate questioning. speak to a lot of people feel it is to the administration's credit the focus they have put on africa over the last year when it comes to this. it is significant they went on the ground and wanted to capture him alive, which would suggest they feel strongly that he has a lot of intelligence, right? >> there is no question he does. it is sort of an artificial debate if you capture somebody or kill them with a drone. it depends on the circumstances. frequently if you can get somebody to get the information, that is important.

but the roof they are proceeding under a limited amount of questioning by their interrogation team before he is read his miranda rights is a cap compromise. don't extract the full amount of intelligence, you put some on trial who may be very difficult to convict because the terrorist incidents where talking about our old and cold and far removed from america. martha: who is interrogating him? the cia. right? >> intelligence debriefing of somebody like this is very painstaking. you are pulling threads out one at a time. a couple of days of intensive questioning for somebody who knows at the end of it is coming a miranda warning. all he has to do is sit there. they will not do something that is not right. he could be sitting there enjoying his time on the boat.

martha: this area in libya has been a hotbed of al qaeda recruitment. you have all of these groups he may have connections to come may have understanding. it would appear, he is young, active. it may be a better capture then usama bin laden would have been at his age. who knows how much he knew about active operations. >> the range of activity around the world could be very significant but from the moment the miranda rights are read, he appreciated intellectually what would happen if he got grabbed and the question is now is he simply maintaining a form of discipline to ignore the questions, ignore the psychological warfare? i think we will get very little out of him, unfortunately. martha: thank you very much, ambassador.

bill: a fox business alert. we heard from the house speaker, tell you what he said. the high-stakes roles on again today. some getting cancer. the only common link, they worked the same school and now everyone wants an answer as wife. >> they are investigating it and we'll decide what to do. we don't want to leave our kids here to be exposed. i love bold flavors! i'd love it if you'd open the chute! [ male announcer ] progresso. surprisingly bold flavor for a heart healthy soup.

martha: students, parents and staff at one california school demanding classes be moved. after some campus buildings at malibu high are making people sick, three teachers were diagnosed with thyroid cancer so far, others reporting skin rashes and hair loss. blending recent construction and

moldy classrooms. >> they hired environmental testing company testing the building. we don't have any evidence there is any concern that we know about. >> we have the right to make those decisions for ourselves. education is important in life but health and well-being are more important. martha: parent groups want a written response from the district by this bill: a health alerts to tell you about now. hundreds of people in 18 different states sick from a salmonella outbreak linked to the same culture farm. what is going on here? >> good morning. we do know this is a fairly significant outbreak going back to march. 278 people now affected in 18 states, most of them in california, oregon and washington. sold at retail outlets. the source has been traced back

to three processing plants in california. not sure which ones, but they may have the number somewhere on the packaging and may or may not be. look closely on the packaging. center for disease control is making every attempt it can to track down the sources of the outbreak but the efforts are being significantly impacted by the current shutdown. foodborne illness surveillance division newly th now down to o. and one laboratory of 80 is now down to two. they would normally take to prevent a recurrence of this has stopped and difficulty keeping the public informed as well. there is nothing on this that says because of the lapse in government funding the website may not be updated. one area that has some leeway is

in stopping this outbreak, by law even in a shutdown it will take whatever steps are necessary to build calling employees back from furlough to deal with this because they think it is that significant. bill: what can people do? >> in the meantime, look for those numbers that may or may not be on the packages. it is all the usda has to go on at this point. if you are cooking raw chicken, cook it to 165 degrees internal temperature, use a thermometer and be sure to thoroughly wash anything that comes in contact with raw chicken before you use it somewhere else. use hot water and a lot of soap. bill: great reminders. martha: we're just getting reports the obamacare exchanges are actually down again.

the website woes that could make the new health care law a tough sell as white house will not say so, how many americans have actually signed up. >> i don't have exact number. it is the wrong question.

martha: moments ago john boehner saying he wants negotiations. he did that in a republican news conference that happened moments

ago. harry reid has been chiming in. listen to this. >> refusing to negotiate is an untenable position. frankly by refusing to negotiate, harry reid and the president are putting our country on a pretty dangerous path. listen, there's never been a president in our history who did not negotiate over the debt limit. never. not once. >> i really lost track of the time. i think it's 44 times the house loan has acted to repeal obamacare. 44 times. what is the result every time they vote? the same. truly what einstein said was the real definition of insanity was somebody who keeps doing something over and over again and gets the same results. if in fact einstein is right, that's insanity was going on over there.

martha: quoting einstein pushing for a conversation on john boehner's side. we will see where all this goes. for now going nowhere. bill: obama ministration catching criticize for all sides of obamacare. choosing "the daily show" to clarify last night. ithere appeared to be more confusion in the end than clarification. >> would you say that is a legitimate criticize that an individual cannot delay it, but a business does? >> nothing that helps an individual get health insurance has been delayed at all. they can get the tax credit this year, they have plans to choose from. >> 's you doing it because you have not been able to get the subsidies ready for the businesses? >> businesses don't get the subsidies. >> it will not get any individuals but individuals will because they will. >> there in the market already.

>> let me ask you this, am i a man? >> i don't think so. >> why individuals cannot say they ca don't want to do it fora year? >> they can. they can pay a fine and say i don't want to do it. >> still not sure why individuals cannot delay. can we come back and ask more questions? >> sure. >> can i ask the same ones? bill: chief political analyst. what did you think of the back and forth? what did you think of her answers? >> they weren't very good. if she went on "the daily show" to sell obamacare and to the public everything is going great, don't think she succeeded in that. jon stuart asked, the people

signed up, also being asked in washington. she didn't or couldn't answer that question. what was really interesting about what you showed was stuart is coming to this as somebody who supports a single-payer government plan. bill: and he said that. >> asking questions from the left but he asked the same question republicans are asking, which is if the administration has given a one-year delay to businesses from the employer mandate, why don't they allow individuals the same kind of delay. he asked that over and over again. bill: it makes sense for him for businesses to dump employees. he says he that is the case, the government should set up a single-payer system and make it easy. but the doctor was asked repeatedly, and you are right about businesses being exempt. we can show the number of exemptions and waivers the subsidies that have been thrown out so far.

the list is very long. employer mandates delay, out of pocket cap's delayed, small business online enrollment delayed with 200 2000 plus businesses and unions can waver, congress gets subsidies. that is what he was driving out. what makes sense for individuals? that is republicans lying out to negotiate. >> suggesting businesses got all this because they have lobbyist. or unions make the contributions the democratic party. they should have single-payer, but that is exactly what republicans are asking and what they demanded and failed to get in some of the debt ceiling and continuing resolution talks. you saw the background when house speaker john boehner talks to the press a couple of moments ago. they have a new hashtag. let's talk.

the key is the ministration of not wanting to talk about anything about obamacare. bill: i think the point needs to be made, she made a choice to go on that show for a reason and shows audiences young americans, linchpin was to get young americans to sign-up. back to the site now, what is going on? is it getting better or not? >> not really. she said it was better today than it was yesterday and that will continue, but we had a shutdown over the weekend, shut down again last night. it still has problems. the issue is white house and administration say it's only having problems because so many millions of people are going to the site because they want to purchase coverage but what you're hearing from it experts around the country is there is something really wrong with the

architecture of this site. the fundamental problem that itl take a lot longer to fix than a few hours over the weekend. bill: do you think it is acceptable when jay carney says we will update you on a monthly basis as to the number of people who are signing up? and ultimately who are enrolling in this program. 326 people and rolled? >> i think it would have been better if they had said that before this rollout we will not give you figures on day one or two or five, he will wait for a month and we will give you the figures like we do unemployment or other economic indicators, but they did not do that. now they're coming out and having troubles. the bigger issue is once they figure out a technical problem, which i am sure they will do, you move up the question of sticker shock when people can get on the website to the then discover purchasing insurance is a lot more expensive than they thought it was going to be?

bill: that was your big point friday morning. come back this friday, we will check again in three days and see how it is going. martha: it is a dream come true for one sixth-grader after learning his unusual experiment is now headed for space. why a beverage he is not even allowed to drink will get a ride to the international space station. bill: the president saying if he owned the washington redskins, he would change the name. should the nfl now step in on the redskins controversy? for seeing your business in a whole new way. for seeing what cash is coming in and going out... so you can understand every angle of your cash flow- last week, this month, and even next year. for seeing your business's cash flow like never before, introducing cash flow insight powered by pnc cfo.

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bill: the old hops are on the way to the international space station. a beer making experiment, one of thone ofa handful chosen for international space station after winning the national

competition. here is your guy. >> known as a party drink or whatever. the alcohol has medical properties. bill: i've been telling you that forever, martha. he says he came up with the idea after reading a book about beers pop d in the middle ages and decided to pursue his idea. is that on tap? martha: should be on tap. nice and cold. bill: should be. martha: a native american tribe is joining the push to rename washington, d.c., football the indian nation: the team's name redskins a racial slur. president obama also wade into this controversy over the weekend. >> i would save i were the owner of the team and i knew there was a name of my team, if it had a

storied history that was offending a sizable group of people, i think about changing it. but i don't want to detract from the wonderful redskins fans who are here. martha: what do you think of that? author and fox news contributor. fox news contributor. who better than the three of us to discuss the redskins. right? talk to me a little bit about, first of all, does the president really need to weigh in on this? >> why not. he was asked. it is as simple as the golden rule. as it states, so in everything do unto others as you would have them do unto you. it is the law. when you have offended anyone, you can offend everyone. what you have to do is really not need to be right, you have to make it right. that is what he was asked his opinion and i am glad he weighed

in. martha: some people look at that same situation and said maybe it would be better if he said i have a lot on my plate. i'm going to leave that once the redskins and their fans. >> you can't cater to everyone's sense of sensitivity. anyone can be offended by anything we say. if we are going to cater to everyone's unique sensitivities, we're about to censor ourselves completely and infringe on first amendment rights and become a society with no backbone, essentially. i don't have a problem barack obama answered the question because he asked and got an answer. but we are living in a heavy political correct society where nobody can handle anything anymore. it is about time we toughen up. those fans are speaking from a place of honor. hail the redskins. they love their team. this is not meant as a derogatory term for those fans. martha: i have a couple of

tweets that came over said i am native american and have no problem with this. i am sure some do have a problem with it, but you have the atlanta braves, the kansas city chiefs, is everybody going to have to change their name? >> i think it goes to the heart of offense. you acknowledge their pain, you apologize for their pain, you seek to amend their pain and try to end their pain. i don't know why this is such a debate in 2013. [talking over one another] >> when it was founded, it was called the braves. >> when you hear redskins, some directly related to native americans, this was a barbaric practice that was very painful. if a member of the native americans say this is offensive to me, this hurts me, why can't we acknowledge that it helped them to move past their pain?

>> because we cannot acknowledge everyone's potential sensitivity. when you pull people on this, four out of five will tell you to leave the name, this is not a problem. many have said this is absolutely ridiculous. are the people that will be offended by this? absolutely. there will be people offended by what i am saying right now. but i cannot cater everything. >> what about the fighting irish? should i be offended by the little scrapping guy? >> i does not have the same history. >> what about protecting the rights of those fans who have a 70-year-old fight song? >> i think they have a right and changing. whenever you find yourself in the majority you need to pause and reflect. we need is to pause reflect even though majority of the fans.

i was always taken aback by the name because i know it offended people. not just the racial offense, the five people have a personal type the history of that name and we need to acknowledge that, we need to be mature enough to say i am sorry i hurt you. if i offended you, i would say if i hurt you, look, i did not mean to do that and i would say to you i apologize. how can we make that right. bill: i get your point. think very much. >> happy birthday to my daddy. he is 72. martha: happy birthday. i think they share that day. great to see you. bill: going out for dinner. my university, we were the miami redskins. we changed our names to the

hawks. we knew the heritage and we knew the history and it was honored and they spent the summer in oklahoma with the ascendance of the tribe so he did the dance everybody was well aware what was happening out there and there were scholarships given to kids from oklahoma to come to the school and everybody had a share in it. they changed the name for whatever reason, maybe there was pressure on the board at the school, they are now the red hawks. i wonder if the students still think about the tradition and the history of the native americans that were in that part of the southwest. martha: excellent point. it took me a while to figure out where the oilers went and then i figured out they are the texans. bill: what is happening?

jenna: i want to hear more college stories from bill hemmer. bill: and they are good. jenna: i have no doubt about that. in the meantime this is what is happening on "happening now." shut down day eight. the u.s. is getting close to the debt limit. the markets are striking but the political stakes are growing. mapping out a solution from both sides joined by steve moore and mike lee will join us and weigh in. plus what marathon swimmer the latest adventure happening right now. can tell us about sleep deprivation coming up at the top of the hour. [ woman ] if you have the audacity to believe your financial advisor should focus on your long-term goals, not their short-term agenda. [ woman ] if you have the nerve to believe that cookie cutters should be for cookies, not your investment strategy. if you believe in the sheer brilliance

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bill: prisoners who need medical treatment could get it paid for by obamacare. currently most inmate health

care costs come out of local budgets but many of those costs will soon be shifted to taxpayers. now why is that? william la jeunesse explains out of l.a. how is this going to work? >> reporter: you know, bill, it's a small niche but a very big number. as you said states and county who is previously had to pay for the majority of medical bills for inmates, parolees, ex-cons will get reimbursed by the feds from obamacare. they are pretty pleased because of mental illness and drug, alcohol addiction. they make sure every inmate exiting prison are signed up for obamacare largely allowing them to shift expenses to the federal government. >> this is why you're seeing a lot of republican governors support the medicaid expansion. for them it's a fiscal windfall. they will be able to off-load these costs to the federal government that currently they're paying for. >> reporter: so that means if you're one of those 15 states that did not expand medicaid

like texas, taxpayer in dallas will not pay 100% of the cost for inmate and felon in california. bill: is that just california? are different states and different counties affected in a different way? >> reporter: you know for state prisoners the feds will pay for their hospital care. for most parolees they will also get covered by obamacare. inmate advocates say that is good thing. almost two million prisoners are released annually. 70% can't afford insurance. under obamacare most will automatically get medicaid, arguing reducing recidivism and costs. the counties will enjoy the biggest windfall. under obamacare they can charge insurance companies for those inmates awaiting trial. >> an individual who is awaiting trial who makes bail would still be in the community, would be able to retain his or her benefits and the, while an individual who couldn't make bail, would potentially lose his or hers.

so with an attempt to equalize that disparity. >> reporter: example, california prisoners will receive 70 million, double the 30 million they got this year. bill: wow, women la jeunesse. interesting turn there. out of l.a., martha. martha: week two and counting through the government shutdown as we work through the second week. senate democrats are headed for a new clash with the house republicans over debt ceiling and spending. will we have some sort of a super-committee? all that coming up next ♪

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but it's good to be prepared... just in case they don't. youand you're talking toere rheuyour rheumatologistike me, about trying or adding a biologic. this is humira, adalimumab. this is humira working to help relieve my pain. this is humira helping me through the twists and turns. this is humira helping to protect my joints from further damage. doctors have been prescribing humira for over ten years. humira works by targeting and helping to block a specific source of inflammation that contributes to ra symptoms. for many adults, humira is proven to help relieve pain and stop further joint damage. humira can lower your ability to fight infections, including tuberculosis. serious, sometimes fatal events, such as infections, lymphoma, or other types of cancer, have happened. blood, liver and nervous system problem serious allergic reactions and new or worsening heart failure have occurred. before starting humira , your doctor should test you for tb. ask your doctor if you live in or have been to a region where certain fungal infections are common.

tell your doctor if you have had tb, hepatitis b, are prone to infections, have symptoms such as fever fatigue, cough, or sores. you should not start humira if you have any kind of infection. ask your doctor if humira can work for you. this is humira at work. ♪ martha: that is so good, right? legendary singer, songwriter, jerry lee lewis, had his song, "great balls of fire" recorded 56 years ago today. the song was an instant hit.

sold one million copies in the first two weeks. went on to become one of the best-selling singles of all time. thank you, jerry lee. bill: we needed that. tomorrow we'll play that at 9:00 a.m. martha: bye, everybody. see you tomorrow. jon: waking us all up there. right now we are covering all the breaking news on capitol hill and there is a lot there happening this morning. but first, brand new stories you will only see here. jenna an atf whistle-blower gearing up for a showdown with the agency behind the "fast & furious" gun-running scandal. the feds don't want him to write a tell-all book and how they are trying to stop him and whether they can do that legally. a feat of strength. fresh off a swim from cuba to florida, a 64-year-old hits the pool for a 4-hour swimathon. why she is doing it. what happens to the human body with that kind of