another undercover video, and even more outrageous an gruesome depicks of planld parenthood's alleged sale of body parts from aborted fetuses. this is "special report." >> good evening. welcome to washington. i'm bret baier for the second time in eight days a pro-life group has released a video purporting to show a planned parenthood official haggling over price for body parts from aborted babies. and laughing about it. it is reigniting calls for hearings penalties, and financial retribution toward the organization which again today came out swinging in response. we have fox team coverage

tonight. ed henry looks at the sponsor lack of it from hillary clinton and other democrats. we begin with correspondent peter duesy and second dose of some pretty difficult medicine. >> reporter: good evening, bret. the debate about abortion is usually when does life start. but tonight the debate is how much for this body part. with one planned parenthood executive hoping it's enough for a fancy new car. >> it's been years since i talked about it. let me figure out -- [ inaudible ]. >> that laughter-filled lunch with planned parenthood dr. mary gatter was secretly filmed by actors for medical progress who want to show the world the way planned parenthood operates behind the scenes. >> i would like to know what would make you happy? what would work for you?

>> the group settled on $100 as a straight point for livers hearts or brains from an aborted fetus. that's before their entrees even arrived. >> the coarseness of the tone. the fact they could be eating their salad and swilling their wine and laughing and making jokes about the way they're selling dead baby parts is outrageous. what's even more outrageous is the fact that the taxpayer is funding planned parenthood to the tune of half a billion dollars a year. >> reporter: dr. gatter goes further, plaining abortions can be performed jebtly to pregently to perform perform -- insists they don't profit on human tissue.

and a group defense itself by saying quote these videos are part of a decade-long campaign of deceiving the public making false charges and terrorizing women and their doctors, all in order to ban abortion and cut women off from care at planned parenthood" religious groups say planned parenthood is just trying to change the subject. >> instead of answering the questions that we are asking namely are you in fact profiting from the sale of these body parts, and are you changing the medical procedure in order to get better body parts instead of answering those questions they're trying to attack those who made these videos. >> i've searched the planned parenthood web site for fetal babys but can't find them. because until these videos came out, these transactions had been planned parenthood's well-kept secret. >> peter will have more on this with the panel. thank you. as we have seen the response from republicans, pro-lifers even planned parenthood itself has been swift and forceful.

just the opposite from democrats running for president and courting the pro-choice vote. >> reporter: after a week of revelations, hillary clinton has said nothing about the planned parenthood scandal, despite waiting mere hours to weigh in on republican presidential frontrunner donald trump's comments about senator john mccain. >> it's shameful and so is the fact that it took so long for most of his fellow republican candidates to start standing up to him. >> reporter: critics today noted clinton and the rest of the democratic candidates are not standing up to planned parenthood. republican presidential candidate carly fiorina today called out clinton by name. >> democrats have always fought for a policy that says it is not a life until it leaves the hospital. hillary clinton has fought to preserve that policy. >> reporter: republicans are pushing to cut off taxpayer funding for planned parenthood when congress returns in

september. with conservatives declaring leaders in both parties have a moral obligation to speak out. >> there is no reason that we should have the type of cultural cronyism that goes on where politicians in washington, d.c. choose to funnel our tax dollars to these types of controversial organizations. >> reporter: yet none of the democratic candidates are offering any comment to fox. an aide to former virginia senator jim webb a more centrist democrat told fox that webb was asked about the controversy and replied he did not watch the videos. aides to form maryland governor martin o'malley who's catholic, did not respond. no comment as well from former rhode island senator and governor lincoln chafy. senator bernie sanders on friday turned back by offering an i pollee from cecile richards' chief. >> she apologized for that video. that was exactly right. i think that staffer tone was terribly wrong. >> reporter: senate democratic leader harry reid today was willing to go on camera with a

defense of planned parenthood by citing the benefits of human fetal tissue research. >> in fact a nobel prize is awarded because of this. these politically motivated videos raise some questions, but nothing i've seen indicates plan the parenthood violated federal laws. >> reporter: another possible reason for hillary clinton's silence, her campaign has received nearly $10,000 from employees of planned parenthood. in context that's a tiny portion of the over $40 million she's already raised bret. >> ed thank you. then there were 16. the entry of ohio governor john kasich in for next year's presidential race grows the field to a crowded and in recent days not so sweet 16. chief political correspondent carl cameron on the newest contestant who has a long way to go and a short time to get there. >> i have decided to run for president of the united states. >> reporter: the 16th republican seeking the white house in 2016 john kasich the two-term

governor of bellwether ohio and chormer chairman of the budget committee. the only time congress balanced the budget in latest history is joining the race in time to qualify for the first debate in his home state 16 days from now. >> all my life people have told me you can't do something, okay? and i'll tell you why. it's because i do believe in the power of very big ideas. policy is far more important than politics ideology or any of the other nonsense we see hmpblgts his inclusivees. >> reporter: his inclusive slogan is for us. >> people who have not been dealt the best hand in life. yeah. we want to hold them accountable? but the lord wants our hearts to reach out to those that don't have what we have. >> reporter: he casts himself as a compassionate truth teller,

less bombastic than chris christie ted cruz or donald trump. trump appeared on the o'reilly factor last night. after having den grated senator john mccain's military service last weekend said he respected him but then trashed him for not fixing the veterans administration. >> certainly if there was a misunderstanding i would totally take that back. hopefully i said it correctly. certainly shortly thereafter i said it correctly. i would love to see him do a much better job taking care of the veterans. this morning in the leadoff caucus state of iowa the des moines register called trump a sideshow demanding he with draw from the race. trump fired back in a statement, attacking the paper for poor circulation and poor reporting. in new hampshire the conservative uniyorp leader news paper ever knocked trump "if anyone in america knows heroism it is donald trump. veteran of the ivy league studio 54 and countless -- lindsey graham referred to the billionary as a jackass. trump counter attacked on the

trail in trump's home state. >> every time i turn on the television i have some guy that is hitting me like hard. the reason they're hitting me in all fairness when you register zero in the poll what the hell? they have nothing to lose right? >> reporter: lindsey graham is a little bit higher than zero in the polls. trump called him an idiot today and then read lindsey graham's personal cell phone number aloud twice to his television audience. >> it was the real number. up next a link to terror. the chattanooga gunman and his internet search for martyrdom. fox affiliates 11 in los angeles with major problems resulting from the collapse of a bridge on eastbound interstate 10 a critical connection between california and arizona. one big rig driver says he'll have to drive an extra 250 miles to get 50 miles farther down the

road. fox 35 in orlando with some people upset at target for selling women's t-shirts contain words such as "trophy." critics say they're demeaning to women. others say women are characterizing themselves positively by buying and wearing the shirts. target says it has had an overwhelmingly positive response. and this is a live look at kansas city from fox 4. the big story there tonight, a woman breaks the window of a hot car to rescue a child inside. a witness says the toddler was dripping with sweat when she was pulled out. authorities are considering whether to press charges against the mother. that's tonight's live look outside the beltway from special report. we'll be right back.

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republicans in congress are taking a hard look at the policies of so-called sanctuary cities. places that essentially ignore federal immigration law. tonight the father of a young woman who paid for san francisco's policy with her life is trying to do something about them. chief congressional correspondent mike emanuel is on capitol hill tonight.

>> we feel if kate's law saves one daughter one son, a mother a father kate's death won't be in vain. >> reporter: three weeks after kate steinle's murder by an illegal immigrant with a long criminal record her father jim was on capitol hill calling for action. kate's law is a bill being proposed in her memory that would establish a mandatory five-year prison sentence for illegals who re-enter the u.s. after being deported. laura wilkerson's son josh was beaten and burned to death by a young man brought to this country illegally, a so-called dreamer. >> i want you to know that our family is broken forever. i want you to do something about it. every one of you sitting here is in a position to do something. >> reporter: texas senator ted cruz, presidential candidate, blasted the immigration and customs enforcement director saying a huge problem is the obama administration's failure to enforce the law. >> if president obama had the courage of his convictions, he would come and look in the eyes of these men and women who have

lost their sons their daughters, their mothers, their sisters, their brothers and the administration would stop releasing murderers and rapists. >> we don't release people willy nilly. we release people pursuant to these statutes and regulations. >> reporter: the steinle murder brought the issue of sanctuary cities to the national spotlight. communities which only offer minimal cooperation to the federal government on immigration matters. california democratic senator diane feinstein is a former mayor of san francisco, a sanctuary city and she blasted the sheriff's office. >> the man who killed kate is a classic case of multiple felonies and prior deportations. and a simple phone call would have been enough. >> reporter: but that didn't happen. >> why a shot rang out, kate fell, and looked to me and said help me dad. those are the last words i will ever hear from my daughter.

>> reporter: the house is expected to vote this week on legislation to withhold federal funding from states and cities that resist turning over illegals to federal authorities. bret? >> mike thank you. a federal appeals court has tossed out some of the convictions against former illinois governor rob blagojevich. he was sentenced to 14 years in prison in 2011 for trying to sell or trade president obama's old senate seat. the court dismissed five of the 18 counts for which blagojevich was convicted. it also ordered a resentencing. it's not clear whether his punishment will be reduced. the land under san diego's mt. soledad veteran's memorial and cross has been sold. the half-acre plot has transferred from the defense department to a private mt. soledad memorial association. federal courts have ruled the cross is an unconstitutional effort by government to endorse a religion. it's not clear yet whether the sale will persuade opponents of the cross to drop their decades-long fight against it.

stocks were off today. the dow lost 181, the s&p 500 gave back 9, the nasdaq fell 11. no grapevine tonight. when we come back the army's chief of staff says the u.s. military is out of balance.

outgoing army chief of staff is painting a dismal picture of the future for both the military and the country. the general sat down for an exclusive interview with fox news before his retirement in coming weeks. he served 39 years as a soldier. national security correspondent jennifer griffin has the general's exit interview. >> reporter: he spent more time in iraq than any other u.s. general. more than four years. the last two as the top u.s. commander. widely viewed as a key architect of iraq's surge, general odierno said iraq didn't need to collapse. >> well it's frustrating to watch it. i think a lot of hard work wednesday into that. we thought we had it going exactly in the right direction. now we watch it fall apart it's frustrating. >> did it have to be this way? >> i think maybe if we had stayed a little bit more engaged, i think maybe it might have prevented it. i've always believed that the

united states played the role of honest broker between all the groups. and when we pulled ourselves out we lost that role as honest broker. >> when isis emerged back in june of last year, and they sacked most mosul, did anyone from the white house reach out to you and seek your opinion? >> all my work was given to chairman dempsey. >> but president didn't ask to see you? you had served almost four years there, more than any general? >> i never -- i never talked directly to the president about it at that time. but i talked to the secretary of defense. i'm sure that he relayed all my thoughts. >> reporter: in 2009 while general odierno was still the top commander in iraq he recommended keeping 30 to 35,000 u.s. troops. if the administration had listened to him, and iraqi government had cooperated, some say the rise of isis may have been prevented >> it was a mistake to pull out? >> i think it would have been good for us to stay.

>> reporter: the general is most worried about the deep cuts to the army which has gone from 570,000 troops to 490,000 due to budget cuts and political decisions. >> under your leadership the last fourees, the army has been cut by 75,000 soldiers since you became chief. now just before you leave, 40,000 more are being cut. how can you cut the size of the force with all of these emerging threats? >> i believe that the time we could do that but i said was on the razor's edge that we could actually do our mission at 450. that was before russia asserted itself and before isis asserted itself. so with russia becoming more of a threat with, isis becoming more of a threat in my mind we are on a dangerous balancing act right now with capability. today as i look at the army today we're about 490,000. we are just meeting the requirements that we have around the world. so when we go to 450 we're going

to have to stop doing some things. >> what message do you think this is sending to our adversaries right now, these cuts? >> i believe they question whether we will be able to respond. and so they're willing to take maybe a bit more risk than they might have just a few years ago. in my mind we don't have the capacity to deter. what i remind everybody about the reason we have a military is to deter conflict and to prevent wars. and if people believe we're not big enough or capable of responding then they miscalculate. >> reporter: general odierno says he supports a nuclear deal with iran but warns about easing pressing on tehran. >> iran is continuing their activities throughout the middle east. don't believe we now automatically have great relationship with iran. i think we have to be very careful. we can't be naive. >> reporter: at the pentagon jennifer griffin, fox news. defense secretary ash carter is trying to smooth things over with israel after last week's announcement of a nuclear deal

with iran he met with israeli prime minister benjamin netanyahu today in jerusalem. the two did not address the media. netanyahu has called the agreement a mistake of historic proportions. another body blow for planned parenthood. more discussions of selling aborted fetal body parts and more

planned parenthood another

video coming out today showing a member of planned parenthood a doctor who is planned parenthood executive talking about selling parts, fetal tissue and also talking about the extraction of body parts to save them in as you heard not a crunchy technique. very graphic. planned parenthood responded with a new quote just moments ago saying nothing's more important to us than the health and safety of our patients. as a high-quality health provider planned parenthood has extremely high standards. anytime we find those -- >> what about that and the

reaction to all of this? let's bring in our panel. steve hayes weekly a.b. stoddard associate editor of the hill and syndicated columnist charles krauthammer. a.b. there's been plenty of reaction. republicans out saying this leads to the defunding of planned parenthood. others saying this is horrific. still others defending the group. what is the fallout here? >> well the fallout is on the democrats. this is not only ghastly but it's supposed to be illegal. senate minority leader harry reid came out today to say he didn't find any evidence that any laws were broken. but the democrats aren't saying anything. and this is why this is going to be a huge issue for republicans. it's a way in this election cycle to -- if a pro-choice democrat can't come out and say i'm pro-choice but this is really wrong, and i'm sickened by this then this is an opening for republicans to use this issue in this election. it is not let's talk about abortion rights or roev. wade.

it's let's investigate whether or not they are selling body parts at planned parenthood. and the democrats -- it's not just hillary clinton. it's everybody in the party who are silent on this. stay silent at the peril. this is going to be a huge issue when congress returns in the fall. >> charles, not only the legal part. let's put the legal part aside. it is the description of saving those parts that changes the dynamic of the discussion. when you hear over lunch and the sipping of the wine and eating the salad the crunchy extraction of this body it's no longer just a blob of tissue. >> and that's why i think it's going to have a long-range effect. it will probably have the effect in the short run in this election cycle of putting the issue on the table. the abortion issue on the table in a way that democrats are going to be on the defensive. do you believe in this? do you believe that this is okay? but in a sense it kind of

redefines back room abortion. it used to mean illegal abortions, but now that abortion is legal, we have opened the door on what really happens in the back room. in two ways. number one was when we got ultrasound. and now we're learning about how this is the crushing of a body in a way to keep alive some of the organs. and i think the long-range effect is going to be that it is going to continue the sort of paradoxical growth and support for the pro-life side. because on most social issues definition of marriage drug legalization of drugs you've got everything headed left. the one exception is abortion particularly among young people. where the country's pretty evenly divided. i think in part that's been because of ultrasound but i think this is going to add to this so that ultimately i think it is going to have an effect on how the country looks at abortion. in the short run i think it's

going to hurt democrats. in the long run it could change public opinion which is even more important ultimately. >> the reaction from supporters of planned parenthood steve, has gone all over the place. one is to attack the group responsible for these undercover videos as pro-life and extremist. the other is to talk about the decision to donate that tissue by the families. and this is a channel with five letters that talked about it this afternoon. >> it's a very compassion at gesture. it's a very private moment where people volunteer to do this. and certainly so my colleagues around the country and i are the recipients of that sort of in that moment with people. it is very genuine. so there are certainly services where people can help women to do that generous thing that they would like to do at that moment. >> yeah. i think, erin underscoring this is in fact an act of generosity and a very like very difficult

decision to make. >> right. >> is really important to counter act the narrative that is being presented here which is incredibly lurid. that is thus far very effective for this wing of the anti--abortion movement. >> steve? >> i mean i find that absolutely stunning. how do you possibly make that argument? i was shocked at the quote you read from the representative of planned parenthood who said it didn't describe improper activity. let's be clear what we're talking about here. you're talking about the extraction of infants, many of whom could live outside of the womb were this not done to them the taking of their body parts and then selling them for profit. this is not a morally ambiguous discussion where there are two sides of the discussion. what we're talking about is wrong. it's morally reprehensible. i thought on the scale of things in the world that are morally

reprehensible, infanticide is just about the worst! this is worst! it's infanticide for profit. unbelievable somebody would make the argument they were making on that other network. the politics of it to me seem very small. to even talk about politics of it in the context of this discussion seems almost improper. but if you're going to talk about politics i think pro-life candidates have an obligation to campaign on this. i wouldn't care if the politics were horrible. it wouldn't matter. you should make the argument because the argument needs to be made. but i agree with a.b. and charles, the politics will not be horrible. everybody who takes a dollar for a political campaign from planned parenthood should be asked about this and made to defend this practice. >> so is this the beginning of the end of this funding? >> they're going to have to make quite a case that what they're doing is legal and proper and acceptable when they're taking taxpayer dollars. >> going to require the press to drop the double standard.

what every republican is asked to explain away to give an opinion on every idiocy even a todd aiken obscure senate candidate did it on legitimate rape and democrats are not asked about this? every single one should be hounded day and night and say, what is your answer to what you saw? is it improper? until they give a yes or a no. >> we'll continue to follow this story. the group is putting up the unended version of the video, they say, on their web site. we'll follow that as well. next up john kasich becomes republican presidential candidate number 16.

t i am here to ask you for your prayers, for your support,

for your efforts, because i have decided to run for president of the united states! >> john kasich making the announcement. it's official. then there were 16. 16 candidates right now for the gop nomination in this race. john kasich adds his name at ohio state today. let's talk about that with the panel. we've done a contender's piece on governor kasich. we've had him in center seat. now it's official. steve? >> well i watched his speech. it was off the cuff as john kasich often does. >> you didn't get a sense of what he would do as president of the united states. i think that nobody's asking him to provide detailed policy specifics in the first speech. you really didn't get a sense of why he was going to be president and what he would do if he

became president. i think he's got a difficult path to the nomination frankly. i mean he's done some good things in ohio certainly. but for conservatives i think his expansion of medicaid under obama care and the way that he defends that is going to be a sticking point. it is at this point $1.5 billion over budget in 18 months. that's a problem. and the way that he argues about it in effect saying look the good lord wants me to expand government. that's not something that's going to sit well with a lot of conservatives. >> but his pitch while he pushes up against his party he has by the way some senior policy advisers who were john huntsman's advisors who also is a former utah governor who pushed up against his party. didn't work out for him. but he had a different pitch. he had like an every man folksy pitch, son of a postman, right? >> i really think today he did say he wanted to battle budget. but he wasn't specific. today's speech was terrible. but it was raw and humble and earnest and genuine. and there is an appeal to voters

now, even though some of them like donald trump to john kasich because he's not calculated and not cautious. he was just talking today about his convictions. i worked with ronald reagan. i remember when he lost. he said we're coming back. i embrace big ideas. everybody always told me i couldn't do this or done do that. i'm the son of a mailman and i've done it all. his record in ohio is impressive and current and he's created more jobs there than scott walker. he's going to make a mess for the other candidates. the i think steve's right. the path to the nomination is really tricky. but he has a great resume' and he's a fateighter and he's going to shake things up. i think he hopes other establishment candidates will stumble and he'll have an opening. that may happen. even after the debate that he might not be at in his own state, he's going to make ripples, i think. >> we'll see. he's tied for ten in the latest fox news poll. he may get a bump from this announcement. who knows?

>> well, regarding the debate he's on the bubble. i think he should have a play in debate between 10 and 11. >> now it is sweet 16. >> like in the ncaa. that's just a programming idea. look i think you're right. he's playing for the left wing of the party, which is not that large. and it doesn't allow a lot of contenders. what's interesting is there's a split between what he's done his record including helping to balance the budget in the 90s, and a pretty conservative governing approach is in ohio with his rhetoric which is in his rhetoric he's a bleeding heart conservative. he's a guy who says when you meet st. peter he's not going to ask you did you shrink the government. they're going to ask you what you did for the poor. well the counter argument that there are no budget constraints in heaven there are some on earth. and in his speech he dismissed

ideology. he said ideology is nonsense. that's another way of saying conservative ideology. so he wants to be the guy who campaigns against conservative ideology but has a pretty conservative record. i don't think that's a winning combination. what he's essentially going to have to rely on is a personality, which is engaging and spontaneous and somewhat undisciplined. it could catch on but it's a big field. >> speaking of personalities, there was a dust up between one candidate from south carolina and another candidate who happens to be a billionaire. >> i don't care if he drops out. stay in the race. just stop being a jackass. you don't have to run for president and be the world's biggest jackass. >> he called me three, four years ago. lindsey graham. i didn't even know who he was. he wanted to know whether or not he could come see me for some campaign contributions. he gave me his number and i found the card. i wroent the number down.

i don't know >> and he goes on to read the number, that was, in fact senator graham's private cell phone number which graham tweeted later probably getting a new phone. iphone or android? i mean, this is quite something, steve. >> it's donald trump. this is a spectacle. this is what you are going to get from donald trump. in my view it's not as outrageous about the commence he made to senator mccain for mocking him for having been captured. it's donald trump. and as long as donald trump is in the race and getting attention. donald trump is going to do donald trump things with all of the grace and dignity and grass of bull worth. >> quickly. >> this kind of childish stuff, i want to see if it stands up in the polls. the big polling bump came before his-his john mccain comments registered. we will see in a week or so giving phone numbers out and acting like a goof ball all the name calling especially after the mccain incident. >> i will save you.

>> charles that's it for the panel. something you may have missed about the president's

finally tonight, president obama delivered a statement on the iran nuclear last week you may remember, with vice president joe by deposit by his side. one late night show noticed something beyond the normal reaction shots. >> today's announcement

marks one more chapter in this pursuit of a safer and more helpful more hopeful world. thank you. god bless you and god bless the united states of america. [ laughter ] >> good job. >> thank you. >> during your to go. >> we will see what michelle says. in. >> anyone i don't knows thanks for inviting us into your home tonight. that it s. it for "special report," fair balanced and unafraid. greta goes "on the record" right now. >> it is wednesday july 122nd22nd. he planned to attack the largest air base in britain. his mission to kill american servicemen in the name of jihad. how that isis plot is foiled.

>> the fighting race this time donald trump verses lindsey graham. >> i got called a jackass. didn't this guy call me years ago. i don't know if it's the right number. 202-228-0292. trump giving out graham's digits. >> the family of a woman murdered by an illegal immigrant takes their message to washington. >> if i was to point out one person that is to blame i would point out the sheriff. my sister's blood is on his hands. >> the must see interview with kate steinle's family. "fox & friends first" starts right now. >> good morning to you. you are watching "fox & friends

first". i am ainsley earhardt. >> i am heather childers. >> terror plot spoiled. u.k. is charging a muslim man with twieing to kill u.s. servicemen overseas. >> the driver is accused of targeting military members at the air base the largest american military operation in the u.k. he allegedly plotted to run over servicemen, stab them and then blow off a suicide vest. his uncle is charged with planning to join isis in syria. >> plotting attacks against europe killed by a drone strike in syria. they believe mussan knew about the 9-11 attack before it happened. he was the head of the terror group which intelligence officials say may be the most capable of pulling off an