there and i will get your leg. >> i am glad there's more and we can continue this conversation on ot out numbered over time in the web. and foxnews.com/over time. we'll be back tomorrow. >> we start off with a fox news alert on this hour. faa prohibiting all airlines from going to israel after a rocket landed near the airport. we'll have the latest in the live report. and the latest in the malaysian disaster. the victim's families can hope for closure. and bizarre comments from putin and new game plan in the midst of international pressure and the middle of it all, the president takes off on a three- day fund-raising trip. >> there is a major blow to

obama care. federal court ruled that the irs went too far for states to hand out subsidies for the federal exchanges. i am jenna lee. >> and i am jon scott. welcome to happening now. the ruling is a setback to the health care law. the appeals court said states that did not have exchanges were not allowed to hand out subsidies. white house said the subsidies would continue. >> we don't need a legal degree to understand that congress intended for every eligible american to have credits whether it is state or federal officials running the marketplace. >> we'll talk about it with a b stoodard. tom roggan is a columnist for

the daily review and telegraph. sounds like josh earnest is thumbing his nose at the supreme court. >> it is interesting the way he assesses the interpretation of the law that congress passed. it was changed many, many times. it is not the executive branch's place to interpret once a court ruling has come in. it is the court's job and role to be a co-equal branch to interpret the laws. it might have been the truth that democrats assumed that all of the states would run their own exchanges and everything would work out grachlt but once that didn't happen, it was not the role of the government to make a new interpretation and pass out subsidies in the states that did not set up their own

exchanges. it makes it difficult to see how it stayed down and emboldened more challenges in court about the law. >> tom, this is an election year, and the obama care has taken two consecutive hits. first the hobby lobby decision and now this. what does it say to the american people as they head to the november elections? >> i think this law has real problems and if you read the opinion of the court what they specifically talk about. congress or the administration can't complain the elephant in the mouse hold. it is the clear of the inference of the law did not intend for it to apply the way the administration has said. the law is increasingly

unpopular issue in a lot elections and this drives it back in the news and puts it front in center and you can guarantee that republicans will use it as an angle to say to the american people, this law is not what you intended. >> a b, the congress could have written the law in a way that would have passed this particular test. there is language that could have been fixed, no body thinks it will happen with the republicans in the house. why didn't it get right the 50 time. >> the interpretation was that the law was written to incent vise states to set up their own exchanges. you have two-thirds of the states that have federal exchanges operating obama care and they are no longer going to receive subsidies. and that is a disaster.

the courtesies that the law was written and get everybody covered in an affordable rate. we are not rushing to fix the problem. the democrats will go through a tough election and in 2015 depending on the electoral price they paid democrats and republicans coming together to try to fix the holes in obama care. but you will not see anything before november. >> the appeals court just issued a ruling on an apparently the same topic. they decided that the obama care subsidies were legal. you have two appeal's courts with different rulings and that seems like it is going to hasten

the a arrival in the supreme court. >> i think you are right. the dissent was emotional in the language and cause catastrophic consequences. i am an american citizen but went to law school in the uk. the ruling of the court, you could see the legal basis on which they moved against the government here is clear. the administration was trying to be creative and it speaks to nancy pelosi said that america, we need to pass the law so americans can see what is in it. they maybe should have analyze of what they wanted to achieve instead of thousand pages of documents and ramming it through. you are seeing the failure of how to consider how serious and complex it would be. >> tom roggan, from the national

review and a b stoodard associate editor and columnist of the hill. thank you. >> big story there, meantime new developments in ukraine five days after the crash of malaysian air flight 17, bodies of most of the victims arriving by train in a government controlled city with forensic experts on the scene. and it is intense international pressure. stove harington has the latest. >> this is the really the first visit by foreign experts in the crash site. they are with the nose of the plane and this is what that looks like this morning. >> we are looking at what is the nose of the plane and first time experts are coming to the scene and seeing the damage here. and one of the things they will be closely looking at are things

like this. the piece of metal and same holes could be the result of scrap nel and other thing is looting at the site. you can see two bags here belonging to the pilots and those zipper are open and contents have been taken away. there is concern parts of the plane removed. it was untouched and unexampled for the first time international observers will get a first look at it now. >> reporter: experts are saying some of the plane has been removed. and black boxes will go for analysis and the bodies will go to the netherlands and analysis

could take days or weeks. thank you. >> and now this fox extreme weather alert. more than a thousand people forced from their homes in washington state. the largest wildfires ever recorded there continues to burn. this as fire crews brace for the next wildfires. william is live in the west coast bureau with more on that, william? >> any fire over 30,000 acre is a big fire. there are five fires larger than that in washington state and two are more than 250,000 acre each. they are soaking up enormous amounts of manpower and resource us. 56 million so far. the wild wild in washington state 16 percent contained and detried 200 homes and 1200

evacuated. it took out power lanes and turned valuable range in to dust. resident out of water and no electricity for weeks. >> we have heard a week or seven weeks and they are still analyzing the power line and length of it. >> the nature of the fire storm is unprecedented. we have had twice as many acre burn already before the fire season even started and that fire storm put the state in position stretched beyond imagination. >> reporter: 14 large fires are also burning in central oregon and saving the timber thanks to moisture. and the down side is lightning. in california, firefighters are on the look out for driveway lightning. they get 900 lightning strikes a day and prompted air crews to look for plumes of smoke and

hoping to get a jump on fire. lightning is the number one cause of fire. but the spark of a marijuana grower's truck started one fire. and a highway work cutting a guard rail caused another one. it is about resources. we only have so many tanker ares and hot shot crews. fire season ends in the northwest and by the time you move it to the south and allowing them to redeploy. but the drought is so bad in california, and the wet spring up north, that may not be the case this year and that would stretch things things. >> we pray for the safety of the firefighter crows. they have their hands full. thank you. >> vladimar putin calling on rebels to cooperate. is he feeling the heabob scalest

on. that and the department of veterans affairs, the president's nominee for va secretary heads to capitol hill for a critical hearing today. governor rick perry sending in the national guard to protect the texas border. is this the right move. go to fox news.com/happening now. and join us. we'll see you after the quick commercial break. and thank you for your bravery. thank you colonel. thank you daddy. military families are uniquely thankful for many things, the legacy of usaa auto insurance can be one of them. if you're a current or former military member or their family, get an auto insurance quote and see why 92% of our members plan to stay for life. veggies you're cool... reworking the menu.

mayo, corn dogs...you are so out of here! ahh... the complete balanced nutrition of great tasting ensure. 24 vitamins and minerals. 9 grams of protein... with 30% less sugars than before. ensure, your #1 dr. recommended brand now introduces ensure active. muscle health. clear protein drink and high protein. targeted nutrition to feed your active life. ensure. take life in. reward card withu a new volkswagen turturbo.ged so why are we so obsessed with turbo?

because there's nothing more exhilarating than a powerful ride. and you can get that in places you might not expect. like the passat. and also in the fun-to-drive jetta. in fact, volkswagen has sold more turbos than any other brand over the last ten years. that is a lot of turbo. vo: hurry in and you can get a $1,000 turbocharged reward card when you lease a new 2014 passat s for $219 a month.

vladimar putin speaking out in the first detailed response to western criticism and his role of the crash of flight 17. it is remaining aggression. we'll ask general scales about. that after midnight, this is what the statement said. we must do everything to provide security for the international

experts on the site of the tragedy. and no one has the right to achieve their nauroily selfish political goals. major general bob scales, joins us now. >> hi, jenna. >> what do you think of what vladimar putin had to say. >> he's ahead of the narrative. and he is a slave to his own propaganda which is obviously intended for domestic consumption and the russian people are eating it up. but he's sensing that the response in the west is less than positive. and he is worried that the european union and turning against him. and he is afraid of the long- term sanctions meet do to the economy. and putin has control of the rheostat. he can do it up and down. and his strategic goal will not change. interfering with the state of

ukraine and keep eastern ukraine in the russian orbit and he has years and decades to do this. this is an embarrassing tactical set back that putin will eventually overcome. >> what about the sanctions he could be fearing. it was interesting that the new york times and washington post from the editorials supported more sanctions and saying they need to be quicker on both part of the united states government and eu. what do you think that? is that the right next step? >> partially. if the eu unloads on putin consequences to his economy could be enormous. putin doesn't really care about the economy or western public opinion. his approval rating is 83 percent. wish we could do. that and his strategy is push back on the eu and act like

a conciliator and wait for this to fade from the consciousness of the west and wait for the usual idiots to show up in the west and question our own narrative and take control of the situation and turn it back in his behavior. this is typical behavior for putin. >> how do we boat him? >> we tell the truth and stand with allies in europe and expand our military presence in poland and baltic states. and to do that general scales, dow think he will think we will use that equipment? we are talking about him and of course we are. we live in america and talk about him like he is a regular person. but you point out perhaps he's not. if we do those things will he believe the threat that is

supposed to be there? >> i think putin understands two things. weakness and power. he's a kgb lieutenant cornell. and a concerted military response mixed with economic response with germany, france and great britain and poland on our side and a show of force on the perifee. >> just for the record, i believe you are a normal person. but vladimar i am not sure about. every once in a while. i don't know if all of this applies. general scales, great to see you, thank you. >> u.s. airlines ordered not to fly to israel for now as militant rockets get too close for comfort. we are live from jfk airport where many of those flights take off. and look at what is left of this

home, after a massive explosion. how could anybody survive a blast like. that they did and we'll tell you about it. like diet can negatively impact good bacteria? even if you're healthy and active. phillips digestive health support is a duo-probiotic that helps supplement good bacteria found in two parts of your digestive tract. i'm doubly impressed! phillips' digestive health. a daily probiotic. you're thinking beneful. [announcer]beneful has wholesome grains,real beef,even accents of spinach,carrots and peas. [guy] you love it so much. yes you do. but it's good for you, too. [announcer] healthful. flavorful. beneful. from purina.

we do? i took the trash out. i know. and thank you so much for that. i think we should get a medicare supplement insurance plan. right now? [ male announcer ] whether you're new to medicare or not, you may know it only covers about 80% of your part b medical expenses. it's up to you to pay the difference. so think about an aarp medicare supplement insurance plan, insured by unitedhealthcare insurance company. like all standardized medicare supplement insurance plans, they help cover some of what medicare doesn't pay and could really save you in out-of-pocket medical costs. call now. with a medicare supplement plan, you'll be able to stay with your doctor. oh, you know, i love that guy. mm-hmm. [ male announcer ] these types of plans let you visit

any doctor or hospital that accepts medicare patients. and there are no networks. you do your push-ups today? prepare to be amazed. [ male announcer ] don't wait. call today to request your free decision guide and find the aarp medicare supplement plan to go the distance with you. go long. fox news alert. the faa is prohibiting all u.s. airlines for flying in israel in the next 24 hours, this after reports of rocket fire near the tel aviv airport. meanwhile this. new video of the violence raging in gaza taken by fox cameraman mal james after a missile struck next to the hotel 300 yards away. delta officials say one of the

flights from jfk was diverted to paris over security concerns. it was intended to land in tel aviv. 270 passengers and 17 crew members were on board. laura ingel has the latest on that. >> reporter: the federal aviation administration making the announcement that flight suspepgzs are in affect immediately issuing a statement that we want to read a part of immediately. 12:15 on july 22nd, 2014, the fa a informed u.s. airlines that they are prohibited to fly to and from the israel ben gurion airport for a period of 24 hours. it has no authority over foreign airlines operating two and from the airport. there are concerned about flying into and over war zones after

the downing of flight mh 17. delta cancelled all flights after a rocket landed near the airport. the delta bog 747 that was carries passengers and crew members that took out of jfk was over the mediterranean headed for tel aviv and turned ashes round and landed in paris. u.s. airways which has a direct flight from philadelphia to tel aviv cancelled the flight. and united also cancelled flights. bengurion handles 90 percent of all a arrivals and departures. the rocket hams directed at targets in israel despite the ground assault on the palestine

territory. 200 rockets have been fired by hamas. the fa a will monitor and send out updates as they get conditions in their office. they will inform us. and we learned that office in health row that the flights were cancelled. and we are getting reports of reuteres and air france is suspepping flights. we'll continue to bring you information as we get it. >> those folks in tel aviv and ended up in paris will have work to do getting back to israel it would assume. >> timing is everything and president obama is under fire for taking another fund-raising trip and so much going on around the world, there is a lot of questions in the white house. and military men keeping their skills sharp by working in a hospital in one of the

country's most violent cities. ™ nurtures and helps defend your joints° so you can keep doing what you love. what'd you guys do today? the usual! the usual! [ male announcer ] osteo bi-flex, ready for action. [ male announcer ] osteo bi-flex, what if it were more than something to share? what if a photo could build that shelf you've always wanted? or fix a leaky faucet? or even give you your saturday back? the new snapfix app revolutionizes local service. just snap a photo and angie's list coordinates a top-rated provider to do the work on your schedule. the app makes it easy. the power of angie's list makes it work. download snapfix for free.

>> president obama hitting the road today kicking off a three- day fund-raising tour on the west coast and these are live pictures of the president and he's about to board air force one, it looks like marine one already on the ground at joint base andrews in maryland and the president would be emerging from marine one. and that's why they are waiting

for him to deplane from the helicopter. this fund-raising trip is coming at a time of so much turmoil overseas and a looming battle over the health care law. ed henry joins us live from the north lawn. >> reporter: you are right. conflicting court ruling on the health care law could make implementation messier and campaign fund-raising going on. the president doing six campaign events in seattle and san francisco and los angeles. and earlier today, the president was in the dutch embassy to deal with the downed jet liner crisis and so many folks who were from the netherlands and the president trying to extend america's condolences and also the border crisis and the president did fund-raising in texas and gaza crisis and secretary of state right now trying to broker a ceasefire.

and we messed the white house press secretary whether it makes sense with all of these crisis for the president to spend three days fund raise nothing a five day work week. >> there is no court reporter he can have the calls but his schedule is dominated by the fundraisers. >> maybe the public fundraisers. what is clear to you as the president goes through the next several days, he will be paying all of the necessary attention to make sure that american interest are represented. >> they say when the president is on the road. he has air force one and secure phone line and call world leaders and though they insist they are not worried about the image, there is one tweak to the schedule that suggested maybe criticism. there were plans to deputy on jimmy kimmel show in la. that was scratched and josh saying they will look at the

rest of the schedule, if the crisis blow up further he will be come back to the white house. >> we don't want to forget about this story. veterans around the country gathering for the national va convention. and a topic is the va scandal. 12,000 vets meet nothing st. louis where its own va facility is under scrutiny. they took on the scandal. >> we all understand the seriousness of the problem. president and congress and vfw and american people. the rank and file are all on board and understand the need for reform. what is needed now for all of us to seize the opportunity and make the most of it. >> now remember gibeson is the temporary man in charge of the

va. the man tapped to run the va is facing the first hurdle. robert mcdonald is facing the senate, and former ceo of proctor and gamble. and some fear he didn't have the experience in government and others saying it makes him the right fit. >> this is going to be a late hearing getting underway in the senate veterans affairs committee and we expect tough questions for robert mcdonald. and the committee wants to get it done quickly because the august recess is looming in the end of next week. mcdonald enjoys bipartisan support of the committee and he received a ringing endorsement from his predecessor speaking in the vfw. >> as you know, the president has nominated proctor and gamble ceo robert mcdonald to be the

next ceo of veterans affairs. bob and i have been friends for 40 years beginning at west point. he brings skills to the role and one of the strongestral compasses i have seen. his confirmation hear suggest today, and i hope for a speedy confirmation. >> reporter: both republicans and democrats expect that. a bigger problem awaits the bill that will fund the va and restructure the va. it is bottled up in conference negotiations and held up bee the democrats desire for a emergency fund versus the republicans who want to pay for it in offsets. only was in the last 24 hours a sign of progress on that. the senate voted 93- 3 to pay for it with emergency funding as a cost of war, we have agreed

with the house that some offsets could be included in the final bill. it stands a good chance of passage. tell allow veterans to seek care in private institutions in the event of long waits and allow for the more easy firing of incompetent va employees. >> a big story to watch, thank you. fox news alert. two federal courts issuing opposing rulings on obama care today. the first one out of the gate struck down an irs decision that allows states that did not set up exchanges to hand out subsidies. and shortly after that ruling, a district court in virginia upheld the irs decision on subsidies. and so now what happens. we'll grinning in lee burns and

elist who is a fox news analyst. we'll go back to the obama care law, which said states that have state run exchanges can provide subsidies. >> the exact language. established by the state. what the dc court said. 2- 1 vote, look, we look at the plain language of the law. and the administration, the obama administration didn't like the way it turned out because own 16 states signed up for that reggistry. it doesn't mean you can change the plain language of the law. >> a lot of people thought it was a long shot to dismantle obama care and then the ruling out of the dc court of appeals. it said the states. you cannot issue subsidies in those states. >> the political discussion and legal discussion. we are here for legal analysis.

there is a substantial argument straight up legally and the argument is jon, the statute delegates the authority to irs and hss to implement regulations and law and going to the law books. and under the chevron case in 1984, if the interpretation is not unreasonable it will be upheld. they will take it to the len member court. >> because we also got this decision out of virginia circuit court next door and they upheld the same thing. they didn't agree. >> they didn't. i agree with doug on that. the judges have to decide whether to take it or not. and who everloses there will appeal to the the supreme court and it will end up in the supreme court. >> and fact that the court of appeals for the fourth circuit

went the other way. when there is a split in more than one circuit it is more likely and ripe for the review by the supreme court. >> to resolve the split. >> dc circuit court, they are likely to hold it on bond. that is the circuit which president obama and harry reid blew up the rules of the senate to allow those three justices that the president wanted to take seats on that court. and so democrats outnumber republicans. >> 7- 4. >> does that mean they hear this thing and they automatically sign with the administration. >> you think politics played in with the law. >> how cynical. >> joking aside. we like to think that judges are not making political decisions. but any book about the supreme court. judges are human beings and they read the paper and is there a subliminal or more than that

political part. >> yes. >> if it to the supreme court. justice kagen about interpreting tax credits. read the law. we can't interpret but look at plain language and she has to hold to that opinion when it comes before her. nand josh earnest the white house spokesman. yeah, i know there is a court ruling that said the subsidies are now illegal, but we'll keep issuing them anyway. >> we talked about that last week, it is a serious debate of separation of powers. but the reality. it is going to negativity impact obama care. it is only the third inning. >> i don't think the subsidies will go ahead right now. you have a court decision saying they are illegal. >> courts don't like it when

administration say we don't care what you just ruled we'll doe it anyway. >> that is a great point. you talk about subbliminal factors. that is powerful. >> interest day. topic and go in different directions. thank you both. >> my pleasure. >> and we'll go to wall street. and markets are doing the stocks are up. and chiptole and comcast and coke. and check out united health care and cigna. and inflation and housing reports and sales of existing homes rising three percent last month and in the highest pace since october of 2013. >> and it is just not a plane crash site. it is a crime scene and remains was flight 17 and passengers

came to rest, scattered over the ukrainian countryside. who are the these accused armed thugs and keeping investigators from doing their jobs. >> debris blown hundreds of yards. it is hard to believe that these pieces of rubble were once part of a single family home and hard to believe that anyone got out alive. this incredible story ahead. úb

>> hi, everyone. i am gretchen carlson. new crisis in the air. faa said no u.s. airlines allowed to flight to and from israel due to rocket attacks and plus, why did the white house cancel the appearance on jimmy kimmel. could it have to do with the multiple international crisis? new reacademies from the white house. and iraqi war vet running afoul of the animal ordinance and why

the therapy ducks have to g. he joins me. >> incredible story out of texas, three people are recovering from severe burns after an explosion in their home overnight. look at the video. all that remains of the house, piles of wood and other debris all over the place. it blew out the windows of a nearby truck. the investigators say the explosion happen just before dawn and trying to determine what triggered it. >> the flight 17 blown out of the sky, investigators from around the world are seeking the truth. separatist handed over the black box and u.s. officials are not holding back on what they think of the rebels. >> we came together, because not everyone is supporting a role investigation in to this crime. if they were.

international experts would have had unimpeded access at this time scene. and all wreckage would have been left where it had fallen. that has not happen. armed thugs walked around the site with little regard for where they stepped. >> the thugs, that are toting guns and backed by the russians to give investigators access to do their job. >> thugs is the name that is used. joseph has worked on tin these affairs. >> and thugs is a fair characterization. look, there is a lot we don't know. let's concentrate. igor has been active in military operations in chechnya and

serbia and someone who is a member of the gre military intelligence of the russian army. and this is someone who is in the center of a consolation of figures active in the ukraine. they have thuggish behavior and thugs is a word suggest less organization than may be required. >> you think it is underestimating the ties back to the russian government ande not a roamming group of thugs, there is organization behind them? >> i think that is true. obviously there is a lot we don't know. calling them thugs, while certainly true, suggest they are a random collection of people that occupied this part of ukraine. and we have a lot of evidence that suggests that is not true. we know from reuteres and interviews with neighbors in moscow. he had an apartment in moscow

and discipline introduce about military exploits and linked to brutal murders in chechnya and in donetsk. they are more than thugs. >> we showed his picture there. >> he is one of the names that is emerging out of the chrisit. and you say that russia and vladimar putin are making fun of us with the whole ordeal. how so? >> i think there is a deliberate callousness in the russian federation and putin's policy to ukraine and the west. there is the commentary of support for the investigation, but nothing that is done to support the investigation. and these rebels or thugs as they are, have received extraordinary amount of support in terms of military assistance in the russian border whether that is coming from the russian federation it is in the power of

the russian government to stop. >> i am sorry to interrupt you. the final question. back to whether or not thugs is the right term. thugs in the streets of new york city cops would them, put them . what do we do for these thugs in. >> these are military irregulars being used for state policy and they node to be treated as such. we have experience with that in iraq and afghanistan earlier in bosnia and kosovo, these people need to be tore geted with sanctions and military proceedings. >> great to have you on the program. look forward to having you back. thank you. >> thank you. >> one of this nation's deadliest cities now become a training ground for medical experts in the military. we'll tell you why ahead.

chicago, one of the deadliest cities in the united states seeing more than 1200 shootings this year. now a partnership between the navy and a chicago hospital is helping keeping navy surgical skills sharp by taking on a whole knew set of challenges. mike is live with that story. >> reporter: it's difficult for medics or corps men to get real world experience with wounds. for those returning from combat it's difficult to maintain the skills they honed on the battlefield, that is unless they have access to a violent place, like chicago. the end of combat operations is a welcome change but it also means the loss of valuable skills to the military's medical community. >> now that the war is done, hopefully afghanistan is winding down and it will stay that way,

we need to find a way to keep our corps men and surgeons up to speed. >> the navy is turning to cities like chicago where violent crime and serious injury accident are all too common. corps men are now keeping those life saving skills sharp in the emergency room of a chicago hospital. >> these are very perishable skills and with no combat, a lot of the junior corps men are going to need to come here to see what's going on. >> reporter: the i big difference in the hospital is that a doctor is present. out in combat, that corps man or medic is the only person keeping the war man alive. >> let's hope they can keep their skills sharp. mike toobin, thank you. major airlines taking a big step to keep their passengers safe. we'll get you caught up on that.

also governor rick perry dispatching a thousand national troops heading to the border to deal with a crisis he says the government is ignoring. how it could end up savings taxpayers money and what it could mean for others.

there's a gap out there. that's keeping you from the healthcare you deserve. at humana, we believe if healthcare changes, if frustration and paperwork decrease... the gap begins to close. so let's simplify things. let's close the gap between people and care.

happy birthday prince george. the future king turns one-year-old today. his proud parents, the duke and duchess of cham bridge released these new pictures to mark the occasion. they were taken early this month when they checked out the butt r butterflies at the museum. they're expected to celebrate with close friends and family at the palace. we hope lots of birthday cake as well. >> how do you shop for prince george? >> you are soon going to find out. that first year goes fast. >> i'm looking at those pictures thinking about that.

>> i know, this big and now he's walking around. >> fun to see. >> great. thanks for joining us. >> the real story with gretchen starts now. and we start with a fox news alert today because u.s. air travel to one of israel's major cities suspended for 24 hours as the violence in the mideast continues to grow. and two u.s. airlines indefinitely cancelling all flights to and two israel. i'm gretchen carlton, welcome to "the real story." well that's a rocket landing outside tel-aviv a mile from the international airport. too close for comfort for delta and united airlineses. they're suspending all travel. meantime the faa telling all u.s. carriers they cannot fly in and out of tel-aviv for 24