ms. megyn is next. i'm bill o'reilly. remember, the spin stops here because we are definitely looking out for you. tonight on "the kelly file," breaking news on what's being called the biggest political lie of the year. plus -- with a growing number of doctors worried about the cost of obama care we are investigating suggestions they could be forced to take patients they don't want. plus, weeks after the administration held up death benefits for military families, congress votes on a budget that has a painful surprise for those in uniforms. and this may be a first. a teenager killed four people in a dui and tells the court he's a victim of his parents' wealth. >> money always seems to keep them out of trouble.

>> this was one time i did ask the court for justice. and for money not to prevail. >> that man lost his daughter and wife in the crash. he joins us live with the verdict. breaking tonight, new headaches for the white house as the broken health care promise becomes labeled the lie of the year. welcome to "the kelly file." i'm martha maccallum in for megyn kelly. this is a journalism project designed to fact check statements from elected leaders. after 12 months of sifting through half truths and spin they decided this was the winner for what they call the lie of the year. >> first of all, if you've got health insurance, you like your doctor, you like your plan, you can keep your doctor, you can keep your plan. nobody is talking about taking that away from you. if you like your health care

plan you will be able to keep your health care plan, period. if you like your health care plan, you can keep that, too. if you like your current insurance, you keep that insurance, period, end of story. >> period, end of story. remember those in politifact saying the president's promise was impossible to keep and it was a hit to his credibility. ed henry is our chief white house correspondent. good evening. >> the bottom line is politifact say says it's been used to calm nerves but there is no way he could have kept the promise. the plans weren't something people would be able to keep. it push us forward to the next big deadline. they botched it at the white house that october 1st roll out of health care.gov, the website, the portal to get in and enroll.

the next big deadline is january 1. that's when people find out whether or not they have insurance jay carney said they believe everything is fine. i asked if there is a plan b. he said they don't need one. an hour or so later the health and human services secretary kathleen sebelius announced a new round of regulations and changes where they are urging the insurance companies to make last minute tweaks. it appears they are nervous that maybe some people who enrolled, went through the paperwork aren't going to get insurance on january 1. they are asking insurers to let people still go to their regular doctors in january if they are sick, if they need to deal with something. even if the doctor is now out of network in their new plan. there will be doctors resistant to that. insurance companies who are resistant to paying for that.

whether the president's credibility, whether he can follow through on this is a question mark. >> it is. thank you very much. as ed suggested there are worries about millions of americans ending up with no coverage at all. remember nearly 6 million people have already seen their insurance cancelled under obama care. those plans run out at the end of the year which is very close. as of the end of november, less than 365,000 people had enrolled for a new plan. we heard it yesterday. another 800,000 have been declared eligible for medicaid-type programs. it's been a much larger number of those who have come in. this leaves millions more who must sign up and pay. pay is the part that's not seeing follow-through so far for a plan that the deadline was originally just 12 days from today. get this. just hours ago the obama administration changed the rules

again. to a bill and a law they say was passed by congress. host of power play on fox news.com live, chris, good evening. >> hi. >> let's start with the issue. easing the restrictions, easing some of the dates for when all of this has to happen. what do they mean? >> look. let's scrape aside the hooey on this. there is talk about what they would like insurance companies to do. it would be great if insurance companies would do things that were less profitable or impossible in some cases. this is important because it's a tacit straiadmission str fr the administration that millions are facing a coverage gap. we are approaching the moment when the administration, the president will deem individuals to have insurance who do not. as you talked about we have more

than 5 million policies nixed because of the law. you have hundreds of thousands of people who signed up. we don't know how many are new enrollees. we don't know how many of the medicaid people have been downgraded. they don't share with us because we have no idea how many people are facing the gap. we are 11 days away from the deadline. they are saying there is going to be creative accounting and creative defining as we get into january. >> what about the lie of the year? >> the depending on how the next eight or ten weeks go it may be the lie of the decade. if they can't find a way -- and this is all part of the same piece. these people are suffering the consequences of this deception. if it's as bad as it was shaping up to be, the government calls people insured. but they can't get care.

they are trying to get into the doctor and the doctor can't take them. this is a lie that changes not just how people feel about the president now and alters the trajectory about how they feel about liberal concepts to be intervening in their lives. >> the idea of calling the insurance company saying, hey, can you float me on this? imagine that in the past. now it would be a lot harder. i want to show you the twitter picture as well. there is the president with a big smile, # getcovered, people to tweet the message. then a more comical version put out there as well. # don'tworry, i've got a trillion coin to fix all this. really funny. >> remember where the coin comes from. >> exactly. >> that's what the liberals

asked for is a trillion dollar coin and call the debt ceiling lifted. the problem with the unicorn business where we'll deem you insured and the debt ceiling lifted, not only does it excuse the president from governing, but it erodes confidence from the people who make the country the country. that is to say taxpayers and citizens. >> thank you very much. >> you bet. >> go to facebook.com/kelly file. let us know what you think about all of this. we have a lot more coming up this hour. on the doctor side, we are hearing new stories about cuts to federal payments and physicianses saying they can't afford to take on more medicaid cases at this point. they simply cannot. today reporters are starting to ask whether the feds may force doctors to treat the patients that they don't want. joining me now, national review correspondent kevin williamson. welcome. >> thank you. >> is it possible they could say to doctors, you know, we need to

cover people. we promised. you have to do it. >> we have democratic candidates for state house races saying doctors would be forced to take medicare patients. that's the problem because obama care is meant to expand coverage and reduced federal spending on health care. the problem is doctors are the in open revolt against medicare and medicaid because the reimbursement rates are so low. as we get an aging population cutting the rates or not letting them go up to normal market rates you have a huge population of people who can't see doctors. they have health insurance but no doctors to go to or no way to get in. the only thing to make it work -- and i don't think it will work -- would be to force doctors to see patients. as long as doctors have a choice who they see they will opt out. >> what mechanism can they use to force them to treat patients. it is a private business. >> doctors have licenses.

they are at the mercy of the states in which they practice. this will be decided by the state legislatures. >> we have seen the mayo clinic and other places say we can't cover them. it doesn't work. >> depending who you ask, between a third and a half of doctors won't take on new medicare patients. lots of them won't see medicaid patients at all. you have a revolt. doctors going to cash only. if the obama care policies end up looking like medicare and medicaid with the same pressure on rates for doctors they won't want to see that either. you won't have a choice but to use coercion to go along with the program. >> looks like a huge divide between the rich, poor and middle class. the services they will get. the rich will always be able to pay the doctors. we'll see. kevin thank you very much. interesting piece. thanks for coming in. >> my pleasure. >> even before the fact checkers labeled the president's broken

promise the lie of the year there was a new explanation for the president's broke promise. that's coming up as well. and this may be an awful first. this teenager admitted to killing four people in a dui and injurying nine others. then tells the court he's a victim of his parents' wealth. we'll tell you the story. next, we'll speak to a man who lost his wife and daughter in that crash after we tell you what happened that night. where is his justice? >> we applaud judge boyd for having the courage to issue this sentence that will give ethan a chance to the develop into a productive citizen and try to make amends for his actions.

i have never been more hopeful about america. first on "the kelly file," a stunning case out of texas. ethan crouch is a 16-year-old who admitted that he was driving under the influence last summer when he ended up plowing into a group of people who were working on a disabled car on the side of the road, killing four of them. this week, a judge blamed the crash on the boy with's affluent upbringing without sentencing him the to a single day behind bars. he got ten years probation for

the loss of this young woman and her mom and this shocking sentence is really only adding to this man's grief. eric boyd joins me now. he's the father and husband of those lovely ladies you saw there, holly and shelby. we are so sorry for your awful loss. >> thank you, martha. >> you went through the process. you're in juvenile court. you say you knew that was where you were and you expected that to have an impact. what sentence did you expect he would receive? >> in talking with the district attorney we knew what the options were and that the maximum sentence was a 20-year sentence which, in the juvenile system meant that ethan would be eligible for parole in two years. while recognizing that that's, you know, kind of the circumstances we were dealing

with, i wasn't happy with the circumstances. you look at 180 years of future life take en from the four individuals. mr. molina is lying in his bed, basically paralyzed. so you sit and think even a two-year sentence before he's eligible for parole, you know, didn't exactly seem fair under those circumstances. you know, as we went through the court process, you know, basically the defense, ethan stipulated to the evidence, the facts of the evidence stipulated he was the driver of the car? there was no doubt in those estimates. you would think based on the outcome that maybe somehow the prosecutors blew this thing and that couldn't be further from the truth. there is no question that the

prosecutors did an outstanding job until i heard this term affluenza, i had no idea it would have the impact on the lack of sentence. >> he's 16 years old now. he hit and killed four people who pulled over. your wife and daughter pulled over to help a friend and a pastor was also there. plowed into all four of them. injured some of the kids in the back of the pickup truck with him. i want the to get to the issue of affluenza. folks at home are probably saying what is that and how is it a defense here? let's play a little bit of defense attorney scott brown. >> we applaud judge boyd for having the courage to offer this sentence that will give ethan a

chance to develop into a productive citizen and try to make amends for his actions. >> i do believe -- we used to call these people spoiled brats. i wish i hadn't used that term. everyone has hooked onto it. we all suffer from affluenza, well, 80%. >> basically the judge dwragree this young man was raised in an affluent family, had no understanding of boundaries. as a human being he didn't know what boundaries were with, didn't know right from wrong with. it seems on the face of it ridiculous . >> of course that was the defense counsel. that's what they put on. we are sitting there and, you know, at least understand iing

they have to put a defense together. what else could you do? what else could you say? we are sitting there and when we get to the point when both sides have rested and closing arguments have been made. as the judge sits there and she's beginning her deliberation and she didn't leave the bench. you know, as soon as they rested there were minutes of silence as she sat there and deliberated. as she began some of her opening remarks, she made several comments that no matter what her verdict was that in essence nothing would ever bring the victims back. of course we knew that. we understood that. she also then went in the direction that, ethan, you are responsible. this is not your parents.

ethan, you are responsible. at that point i'm sitting there thinking, okay. >> she's about to give it to him, right? >> this is the way it's supposed to go, absolutely. the next thing that comes out is that probated sentence, ten-years probated sentence. and that there would be further discussion, further approval with the court with regards to some level of rehab center which most of the viewers have probably seen. it's like a country club type of environment. >> the judge determined this child had no boundaries. so the judge didn't put boundaries on him either. he will learn a lesson because he's out with ten years probation. i do appreciate you being here. we'll follow this story. thank you very much for being

here tonight. >> thank you, martha. >>. >> just weeks after the administration held up death benefits for military families congress votes on a budget with a painful surprise for those in uniform. that's next.

developing tonight, the house approves a two-year bipartisan budget plan, just happened a couple of hours ago. neither said claims it is a big win but democrats and republicans will complain about. we are hearing it has major cuts to the retirement benefits of our nation's heroes. the average enlisted military member, it pt amounts to an almost six-figure loss. pete is a combat veteran and ceo

of concerns veterans for america. you have dedicated your time to looking out for veterans and feel they are getting a bum deal. >> they are. it slides on the backs this time of veterans and military retirees. rather than taking on tough issues on debt and deficit and the president when he responded to the deal talked about the commitment he has to seniors. that's good. it's important to protect seniors. what about the commitment we made to those who put their life on the line and they asked for a retainer pay to continue to give back to them. we'll take away from rather than make tough decisions. that's what we see all the ti is an indiscriminate slash. that's something paul ryan talked about for the a long time. digging into the process and

finding out where the waste is. where could they make cuts? >> why don't we look at the system for those who haven't served yet. there are ways the military could do better in retention and retirement. one thing the organization looks at is maybe they have vested. even if you have served 15, 10 years you leave and you're a navy s.e.a.l. who served eight, you leave with nothing. there should be a way to vest it like a 401(k) for the military. now a guy who served 50 years, his cost of living is reduced because washington can't get 17 trillion out of debt? it's not fair and it is a lack of priorities in washington. >> their retirement package as well. >> there are a lot of places and we go to pensions in the military first. >> always to the military first. time and time again. pete, thank you very much. see you next time. coming up, we'll talk about

this. kanye west taking fire for saying being a rapper like him when he's out on stage is kind of like being a police officer. risking his life in war, he said. we'll talk about that and a police chief says, no, no. wait until you hear the advice for mr. west coming up. plus, the president's promise you can keep your health care plan if you like it has been labeled by a group as the lie of the year. they have been doing it since 2009. a white house insider on what he thinks about that next. >> if you like your health care plan, you will be able to keep your health care plan. period.

first of all, if you've got health insurance, you like your doctor, you like your plan, you can keep your doctor, you can

keep your plan. nobody is talking about taking that away from you. if you like your health care plan, you will be able the to keep your health care plan. period. if you like your health care plan, you can keep that, too. if you like your current insurance, you keep that insurance. period. end of story. >> back to our top story tonight, the fact checking organization politifact today labeled from president's health care promise you just watched over and over, the lie of the year. they have been doing it since 2009. the president's political adviser today offered his take on why the president was telling the truth there. listen to david axelrod. >> part of it is being honest about it. he has been honest about it. part of it is getting it fixed as best you can. there is no doubt that that's at the core of the problem when you come to this measure. i think he was ill served because i'm sure when he said

what he said, he believed it when they put the fwrand grandfather clause in, that it would take care of these transitional problems. it didn't. never speak in absolutes because there will be an exception which will become an example your opponents lift up. >> what did you think of -- >> lanny davis, former special counsel to president bill clinton and author of crisis tales. good to see you. thank you very much. >> you listen to that. david axelrod thinks the president was ill served. it was part of a glitch, an error he didn't realize the grandfather clause could realize these millions of people would git letters saying they were no longer insured. do you agree? >> look, i was wrong. it was a terrible mess-up by

every democrat, including myself, that didn't see this caused by raising the standards and requirements that members of congress almost like a wish list put on top of insurance companies requiring the standards to be raised leaving people out, causing them to lose their plans or pay more for new plans. i didn't see it coming. i accept president obama that he made a mistake. i don't think it is a lie when he said he was terribly wrong. >> the scenario you described is the basis of the entire system. it's that you will expand coverage for everybody and it will be cheaperment to say you could keep your health care system if you liked it is completely disingenuous. not just a slip of the tongue. when you look at the plan it's clear that there was no way that could possibly be the situation that people -- that everybody would be left with.

the ramifications of this for the president are very large. would you say president obama's honest and trustworthy or not? 4% say he is. 52% say no he is not. this is something that's going to be hanging on him for some time. >> look, 52% is lower than i would expect given how much we messed up here. i say "we" because i have been a supporter of the national health insurance concept for a long time. i still am. we really messed it up. not only in the rollout, but because we didn't look at the fine print. we didn't realize by raising the standards the grandfather david axelrod is talking about is supposed to preserve the plans and not upset going forward. we didn't take into account that the requirements caused insurance companies to drop people. that was a terrible mistake and we are going to suffer politically for it.

>> you have obviously watched a lot of administrations. is this a "read my lips, no new taxeses"? what kind of comparison when you look back? i remember the clip s of the first president bush over and over again. there are some statements, some things that stick. >> i compare it to another situation where i appeared as a fox contributor and criticized democrats for using the "lie" word against george bush on weapons of mass destruction that caused the war in iraq. a terrible, tragic mistake. he believed there were weapons of mass destruction. president clinton believed it. i believed it. it was wrong. it is possible to be wrong. the democrats were wrong about not taking into account that by imposing an individual mandate and adding requirements to increase coverage like no pre-existing conditions and a lot of other important things we didn't realize were going to

cause people to lose their policy. >> what happens now? this is a huge mistake but it impacts every human being in the country eventually, likely. >> let me revert to my crisis management role advising myself and democrats. we have to admit we messed up and stop giving excuses. the roll-out has been a disaster. there is no excuse for it. we have to use private sector websites to help out government when government messes up. the fact that barack obama isn't turning to the private sector for help where they are actually available with websites that make health insurance available that existed for years is a problem democrats have in putting too much faith in government and what bill clinton would say is it needs to be more faith in the private sector. we have to hit the reset button on this whole thing. >> happy birthday.

>> thank you. >> thank you for being here. >> you knew. >> thank you. >> thank you. >> the top democrat in the house with choice words about the new budget bill. why nancy pelosi says we need to embrace the suck. what on earth does she mean? and after a kicker for alabama is blamed for a big loss he gets words of advice from a man who has taken a few hits himself. tonight the words of wisdom that bush 43 is sending to kicker number 43.

the house passed a big budget deal a couple of hours ago. an uncommon event in washington called doing your job. before the vote house minority leader nancy pelosi told the democrats they had to, quote, embrace the suck. strange, right? here is the explanation for what she meant. >> before i get to the substance of the bill, where did you get that? >> i think it really captured the moment. wouldn't you say? >> i don't know. do you think? joining me is alexis mcgill johnson, chair of planned parenthood federation of america, arthur idala and

allison barber from the washington free beacon. what was she talking about? >> both political parties think the deal is good for them politically but not necessarily substantively or mediocre. in that meeting she said she thought it was good to pass a bill because they can move on to the messaging that the gop is the do-nothing party and the idea has been let's pass it so we can keep the focus on the fallout. and we can keep the focus on problems with the affordable care act. she didn't choose her words wisely. >> it seemed to diminish the importance of the budget by saying, this is terrible. let's pass it. >> i'm the oldest person here. embrace the suck? is that a new phrase? a cool thing to say? this is my deal with congress. the guy who shines the shoes on the corner said congress's approval rating is 7, 8% and

this year they get re-elected at like 80% re-election rate. if you did your job as poorly as they do theirs, any of us, we would be out. who's to blame? us, the voters. >> true. one poll said would you rather choose random people and put them in spots in congress? people said, yeah, that would have worked better. >> talk about embrace the suck. it's not just a random term but it was an unfortunate term. it's a military term. it means, suck it up. we say, this bill sucks. we want to the keep people who are unemployed making sure they can take care of their families during a hard economic climate. it sucks but at the same time we want to get onto growing the economy. we want to get to the infrastructure building, making sure we can create more jobs.

>> embracing the suck of congress for a long, long time.. we'll see. it's an incredible thing. so excited that they passed a budget. not passed yet. did their job. >> before they go on vacation. after they just got back from vacation. >> with their constituents, not on vacation. get it right. let's talk about the next one. kanye west is taking fire tonight for saying that being a rapper is basically as dangerous as going to war or oh putting your life on the line as a police officer when he's completely exposing himself as an artist on stage. that's how dangerous it is for him. a chief of a small town in ohio is telling mr. west to check yourself before you wreck yourself. okay? i think that's good advice. this is what kanye said. he said, i think about my family

and it's like, wow, this is like, you know, being a police officer or something or like war or like you're literally going out to do your job every day and something can happen to you. anything could happen to you when you're out there. who cares? he says more "like"s than a valley girl. when he said this, i watched the interview. part of me feels he's really just not an intelligent guy. >> do you think? >> i was doing a search. he said once he's a proud nonreader of books. i feel you weren't lying on that. it's disrespectful and maybe he was trying to say i have a new perspective on my family being important and he couldn't articulate it. >> let me tell you what this cheap david ol -- chief david ol jer said, i want to thank you for putting your life on the line for us every day. i know being a rapper is very tough work. because it is. isn't it?

then he said it's an ignorant assessment of your career and suggests you quit immediately and join the military or the police force. >> every cab driver in new york city has a more dangerous job and they make a fraction of what he makes. >> he has security. >> everybody says ridiculously stupid things. this is way up there. maybe in the days of tupac and big e. smalls when they were killing each other. he doesn't have a dangerous situation going on. >> maybe with the kardashians. >> mama kardashian. >> there you go. >> celebrities live in bubbles. for him, a telephoto lens coming at you to get a picture of your child or something is scary for him. to compare it to military -- >> he doesn't have a clue. >> he does this more than any other celebrity. he has a shocking detachment from reality. >> all the way to the bank.

>> my ego is my drug. my drug is i'm better than you. i can't say the rest. this is a good story. it was one with of the biggest rivalry game this is college football season. i don't think anybody will forget the end. alabama falling to auburn in the last few seconds when kicker cade foster misadd field goal he'll never forget. auburn returned it, ran for a touchdown. that game went into the history books. he received a lot of oh hate mail which took away his team's shot at the national championship. now he has a letter of another kind -- of encouragement. for alabama's number 43 from bush 43. form thor president george wrote, quote, in the nice letter life has its setbacks, i know. however, you will be a stronger human being with time. i wish you all the best. sincerely, another 43, squoesh. -- george bush. >> fantastic.

>> he just tried to play the 43. this is a compassionate conservative. it would have been great to see when he was in office and he was like, you know -- >> see things like that his whole life. >> once he is rev moved from the office and doesn't have the presidential cloud around him this is why his approval rating has gone up so much in the past year. this is one of the most genuinely nice things i have seen in a while. >> telling the story about a military presentation she was at with president bush and one of the marines in a structured moment dropped his rifle. he picked it up and president bush wrote him a letter and said, look, we all make mistakes. >> taking the time, yes. my understanding is to put politics aside and you would know better than i do. my understanding is george bush was this kind of guy. he was a nice man to take the time out of his day to write the

note means so much to a kwoung man getting his butt kicked on twitter and facebook. >> what's he doing? >> doesn't matter. he's a painter. >> there are not many people -- [ all speaking at once ] >> i disagree that this is a new george bush. i don't think it is. >> -- aids and africa throughout the presidency. >> i think of what he did in terms of policies affecting hardworking americans. >> thank you very much. >> thank you. good to see you, martha. >> you, too, arthur. been a while. coming up, a surprise twist in a trial of a woman accused of pushing her new husband over a cliff. do you remember the story? wait until you find out what happened in this today. in the nation, sometimes bad things happen.

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we are back and now to a "the kelly file" follow up. a surprise twist in the case of a montana newlywed accused of pushing her husband off a cliff days after they tied the net. william longeness is live in los angeles. >> reporter: after three devastating days of testimony against her juror gordan grab t deal to get a more lenient sentence. the plea came as a huge surprise. both prosecution and defense rested their cases and were preparing to close when the judge said the two agreed to drop the first-degree murder charge and lying to police in exchange for a guilty plea to second degree murder. >> i think we believe in our case. wenl in the case we put on. but we have an ethical obligation to discuss plea offers with the client and

that's their decision. >> the judge demanded to the hear what happened. she said it was a reckless act. i pushed. she and husband cody argued about their eight-day marriage. she climbed over a wall. he grabbed her arm and pulled away. she could have walked away but put one hand on his back, another on his shoulder and pushed him over the edge of a 200-foot-high cliff in glacier national park. i had no regard to location or what would happen. i just pushed. why did she flee? graham said she was afraid in that moment. i was scared. i didn't know what to do. so she left. over the next few days she told lies. first she said she wasn't at the park when police photos showed she was. she said he was with frinds when he was dead. she created a false identity online to throw off police. she texted a friend about her enl ji dance moves.

today they played an emotional video of the wedding day. >> it's been a long haul for us. we don't have anything else to say. >> graham remains in custody until her sentencing march 27. she still faces life in prison but that's not what she'll get. sentencing guidelines for second degree murder is 1 to 9 to 25 y but the judge has the final say. >> thank you. coming up on "hannity" at t the top of the hour -- >> if any of you had budget problems at home -- and i'm sure alan, my friend and partner -- >> excuse me, who are you? >> i'm sean. nice to meet you. >> our federal government isn't a family. we are not here to hold hands and sing coupto each other. >> i just held alan's hands. >> you're rare, out of this world.

thanks for watching. i'm martha maccallum in for

megyn kelly. this is "the kelly file." tonight, conservatives, liberals and independents alike all under one roof to tackle the hottest political, legal, cultural issues of the day. it's time for an all new "hannity" studio audience showdown. >> this budget agreement takes giant steps in the right direction. >> reaction to the breaking budget battle developments on capitol hill. tis the season for scandal. >> kathleen sebelius isn't providing america the truth. i warned