protect us. at this time, you're taking extra precautions just to be safe. we will have more in the second hour of "happening now," see you back here then. "outnumbered" starts right now. >> harris: a big win for president trump and the g.o.p. republican, karen handel defeated jon ossoff and george is a special election last night. it is now the democrats fifth straight loss since november. how much trouble are they end? this is "outnumbered," i'm harris faulkner. here today, sandra smith, meghan mccain, repo begin strategist and former spokesperson for president george w. bush, mercedes schlapp in today's #oneluckyguy, he does not hold back, fox news contributor and nationally syndicated radio talk show host, kevin jackson is outnumbered. good to have you. the >> meghan: birthday! >> kevin: thank you. what better way to spend my

birthday then with the four lovely ladies of "outnumbered"? >> harris: despite pouring millions of dollars into the georgia election, democrats were once again unable to flip a house seat, handing the party one of its most demoralizing losses yet. here's the night's big winner republican karen handel. >> first of all, i have to start by saying thank you. [cheers and applause] my pledge is to be part of the solution, to focus on governing. to put my experience to work and helping to solve the very serious issues that we are facing this country. >> harris: with the loss also denied democrats the chance to deliver a rebuke to president trump who took a victory lap on twitter writing this. while, the special elections are over and those that want to make america great again are 5-0. all the fake news, all the money

spent equals zero. jonathan is live in atlanta with the latest. >> at one point during karen handel's victory speech, she thanked the president and listen to the crowd reacted. [crowd chanting "trump"] speak out let's not forget our equally great vice president, mike pence. >> the crowd like that too. early this morning, the president tweeted democrats would do much better as a party if they got together with republicans on health care, tax cuts, security, obstruction doesn't work. democrats had hoped that jon ossoff's campaign would serve as a blueprint for how their party can win back congress during next year's midterm election, but all strategists are questioning whether jon ossoff should have stepped to a centrist platform of promoting

job growth and cutting government waste instead of starting his campaign early on with the call to make trump furious. >> the truth is, he wouldn't be this national star that he was, he wouldn't have raised as much money, $23 million plus without the trump investors. without invigorating liberals across the country. i don't know if there's a right answer. democrats will be fighting for that answer over the next few months. >> incidentally, that it wasn't the only special election going on. while all eyes of the nation were on georgia's six congressional district, south carolina's fifth district was sailing under the radar. nevertheless, anç important rae in that one, ralph norman beat democrat archie carnell in a race to fill the house seat being vacated by mick mulvaney who joins the trump administration as budget director. back to you. >> harris: thank you very much. kevin, it was interesting last hour on speech anyone, sherry

bustos, the democrat it a was saying that this is an opportunity for democrats to move forward, what is really the bottom line here for that party? >> kevin: we are in the arab democrat hype. everything leading up to the special election, saying trump would get his mandate, that the democrats would lose, republicans were going to win, i like and guys to woodpeckers at a concrete force. they keep going on for the same tree. it's not working. it's been over done, it's been overblown. 2018 is going to be another mandate. everything that we've seen up to this point proves exactly what november 8th proved last year. >> harris: it may prove that it's the end to exit polling. >> mercedes: no question. we saw that handel was up by a percentage point.

she won over 3% of the vote. i think what it's telling you is that, i don't want them to get too close they are too comfortable, sure. they won by three points. that's a district that should have won by eight points. even in south carolina, that district is a nine plus four republicans and we only wanted by 3.8% of the votes. that is a warning sign. while democrats don't have a message and they didn't win this election, 2018 is a very different year many to make sure that they have the victory's lineup because there are these 23 swing districts. a lot of our suburban areas. if you get democrats running on a moderate platform, it's going to be tough. the >> kevin: i agree with you to a point, but i disagree. you have to remember, these guys

through $31 million into a race, they can do that in every race. south carolina was a miscalculation because it was closer than they thought. they didn't put as much effort into it. even if they did put effort, it wasn't the same outcome. i think what we are witnessing here, and to your point, harris, with respect to exit polling and pulling in general, all lies. with respect -- they made a comment that handel was not wanting to run with trump as her base. the minute they said donald trump, that she thanked donald trump, all hands went up. everyone is hyped. >> jon: even though you're hearing from some democrats, this is an opportunity to focus our message, some are saying we aren't even doing that in the wake of this loss. i'm looking at a democrat from massachusetts. he said this better be a wake-up call for democrats, business as usual, is not working. time to stop to stop rehashing 2016 and talk about the future.

the >> kevin: everything they're talking about going to are things that donald trump is talking about. one of the things was parading more jobs, what is he doing? creating more jobs. everything that they run to his back firing on them and donald trump is saying, i'm creating jobs, and creating a safer america. >> harris: you can say the same thing for hillary clinton. if you just take a sliver and a look at the part that affects today, it's five straight losses since november, but totally, it's more than 1,000 state house seats and across the spectrum for democrats across the country. >> meghan:ç there are very basic rules of can -- this man had huge celebrity endorsements, alyssa milano, samuel l. jackson, huge hollywood money. money from massachusetts.

democrats have to learn that this is not about what celebrities and east coast at least once. a lot of these ads brought up nancy pelosi saying he is going to be just like nancy pelosi. i said from the beginning that i thought jon ossoff was a red herring, that it wasn't going to go to the finish line, but ultimately, if democrats don't learn that you have to get local in these elections instead of nationalizing everything, they're going to continue to lose. >> harris: we want to get to twitter. kellyanne conway, advisor for the white house had some interest in things to say. i want to remind everybody that democrat candidate's name was awsat, that's important. thanks to everyone >> kevin: based on everything we are seeing so far, i don't know feel cut to a break, but base and every thing we see so far, since the election, i'm

talking about russia gate, no obstruction, all the different litany of people that were in the line of fire, they have fought him on every single piece of legislation. >> meghan: one thing that was brought up, it should have been an election that we won much more handily than we did. democrats are making the bet that people, even if they disagree with trump, they're awful medically going to have a referendum. this election shows that's not true. voters can carr penalize a difference between different types of republicans and president trump. us before we look at the virginia primary race for governor, democrats came up. i send a signal up. if the democrats with these moderate candidates in place, that allows them opportunity to have wiggle room. we publicans are able to say what they did with ossoff. possibly, they're able to

basically say they are too liberal. all i'm saying is that for republicans, this is why it's urgent for them to pass health care. you need to make sure you have an agenda that you can say, we worked on it, we did it in congress and we accomplished our goals. on the local economy part is incredibly important, but i do want to proceed with caution. >> meghan: it does register with his base, but right now, it's a trend when it comes to millennials and college-educated voters which has been a college -- we are old road campaign people and their science here that we should not be too comfortable and i agree. if we blow obama carry placement right now, it won't be a good time. >> kevin: democrats should be sweating like michael moore on a

treadmill. >> harris: there is a visual. this update that we definitely want to bring you. congressman scalise, this is from the hospital continues to make good progress. he is now listed as fair condition and will be getting an extended period of healing and habilitation. people over the nation praying for the representativesç. third in power in the house, a very important man to return to the hill at some point, but in the meantime, prayers for his recovery. fresh off this big victory in georgia that we've been talking about, a new poll shows at the president's approval rating has held steady since february, even after rush allegations, the firing of james comey, and the

wiretap controversies. and republican senate leaders getting ready to unveil a draft version of their health care bill. they're hoping for a vote as early as next week and of course, they are hoping it will pass. stay close you don't let anything

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♪ >> jon: republican senate leaders are getting ready to unveil their health care bill. sean spicer weighing in on what president trump wants. >> the president clearly wants a bill that has heart. he believes that health care is something that is near and dear to so many families and individuals. he made it clear from the beginning that those -- that was one of his priorities. >> jon: mitch mcconnell saying they're going to release a discussion draft tomorrow and he says it won't be the same as the bill the house came up with. >> we are going to lay out a discussion draft thursday morning, you'll be able to take a look at it. i think you've heard from some of my colleagues the likely highlights of it and i wouldn't want to compare it to the house bill. it will speak for itself. it will be different.

it will take a different approach based on these endless discussions we've had with the only people interested in changing the law which is republican senators. >> sandra: some conservatives are warning not to make too many changes to the bill that passed in the house. mark meadows sounding a bit more optimistic this morning. >> we need to make sure we prioritize two things. one is we drive down premiums in the second is that we cover pre-existing conditions. i'm concerned with some of what we are hearing reported at this point, but i think it's too early to put a fork in it and say it's done. i can tell you that we are committed to making sure we repeal it and replace it and i'm optimistic that after it's rolled out tomorrow, that ed will have a whole lot of discussion. >> sandra: a lot to dig into there, but start first with the president saying he wants a health care bill with heart. what does that mean? >> kevin: he is always hinted all along that he still wants to

cover pre-existing conditions and some things and obamacare was written for, and i don't think -- most americans are fine with that. the problem is, we've spent so much money with implementing this and watching it fail, the projections on what the costs are, if you take that pool of people out that really do need catastrophic coverage and things like this, which is available in the regular health care system, it would be a fraction of the costs. he's going to have a tough time selling the idea of how to do that without burdening the taxpayer when the overwhelming number of people who need health care do not fall in the catastrophic ring. >> sandra: how did you interpret that? this before it's about ensuring that individuals don't lose their insurance, especially if they do have pre-existing conditions, but there's something bigger as well which is how will you rescue the individual market? how do you stabilize this market? what we're seeing seeing right now is obamacare falling apart.

how will you bring in more young people into the market place where they can't afford it? how are you able to bring down premiums for the middle class? i think those of the questions and the issues that the senate bill is tackling. the senate feels the house is a good start, but they want their substitute where they have their individual members coming in and giving their input. i think you'll see mitch mcconnell strike that balance. he is listening very carefully to what the administration wants, but strike the balance between conservatives and moderates meaning we tried to bring on the premiums, but at the same time, we have to realize, this is their last chance to repeal obamacare.ç we've been talking about this for 6 or 7 years. if they don't get this right, we are going to be moving towards a single-payer system which would be catastrophic. >> sandra: a lot at stake. what do you of that? mcconnell warning there will be changes, but don't make too many big changes. >> meghan: the bill won't be terribly different than what passed in the house. i think moderates will come to

the middle and people from the senate version of the freedom caucus will come to the middle as well. my concern is these weird timelines. the fourth of july will come real soon. he criticized obamacare being pushed and rushed through without enough emphasis from other people, so the idea that -- 's before we have 45 days and allege that if calendar >> meghan: i think will happen in the next month, i think the fourth of july is a pipe dream. >> harris: there have been some things that have changed. we have a couple of things that hinge. we've been waiting for insurers to toss with her new price lines will be before we head into the new enrollment period. i'm not forecasting would happen in august come up there is more strong talk about coming back and what happened last week on a baseball field is not affecting the senate in terms of how it does business, but all of

congress, they may feel a need to come back. is there some momentum that they can capitalize on? >> mercedes: they are not going to cancel the recess. >> harris: the bottom line is this fall timeline that megan is talking about, it puts everybody in a weird gear. >> kevin: it's a lexicon. we're talking about pre-existing conditions, what is that? if you have cancer, is a pre-existing condition. we get into these philosophical battles over lexicon with the left. do you want to cover the biggest part of it and if you look at this thing the right way, i think trump will look and say, we're not talking about small things, we're talking about big things. for the record, you're dealing with a guy who's used to winnin winning. i think that's the one factor in all of this.

we're not talking about a pure politician. this before congress to procrastinate this before they recognize they have a limited window to have the conversation with the house on getting these bills together and finalizing. >> meghan: we should move on to tax reform which is the main goal that i had wanted them to start with. if this ends up failing, tax reform will be even more difficult. >> sandra: new highs in the stock market this week. democrats in georgia are 0 for 4. now a new poll showing voters changing attitudes toward a party that may explain why. plus, special counsel robert mueller reportedly adding another democrat to his team of trumpets/russia investigators. the new addition -- whether the

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>> meghan: as republicans celebrate their big win, a new pew poll shows trump's approval rating holding steady after a string of challenges including the russian probe and his firing of fbi director james comey. meantime, while people don't give very good marks to either political party and a majority says the majority is too extrem extreme.ç up from 37-45% since last march. mercedes, are you surprised that president trump's approval ratings are staying strong? >> mercedes: i'm not surprised at all. this goes back to kevin's earlier point that he is keeping his campaign promises. this is the untold story of this political season. the fact that the president said we will bring jobs to america,

we're going to bush tax reform, will move on health care. he stuck talk about infrastructure spending. he's moving on the very important priorities and i think -- i've been speaking in rural america and basically, they are frustrated because they keep saying, why is the senate so focused on the russian investigation? when we talking about jobs? there is that solid support that they are not going to be leaving trump because they think he's being true to his word. >> kevin: i'm giving my present to america, it is donald trump. >> meghan: i don't know what that means. >> kevin: what it means is this guy is a rock star. no matter what we talk about, whether it's foreign policy, i said the other day, he leads foreign policy like charlotte's web. >> meghan: he hasn't been completely uncontroversial. he has done a lot of things that have been distractions, whether

they are valid or not, they have been distractions. he hasn't been given a honeymoon period by the media. >> kevin: i think the pull is the same that said hillary clinton will win. every time someone gives me a pole, i looked myself and say the american people are so pulled out, we don't believe the media. it's a very media that we despise and we now know it to be true that it's fake media. donald trump is knocking it out of the park. he doesn't give you an implement figures, he tells you companies that will be hiring and how man many. >> meghan: i have to read this tweet for you because i want your reaction, harris. one important lesson is when they go low, going hi doesn't bleeping work and that bleeping started with an f. >> harris: we continue with

the democrats cussing at the audience. the point you're making is now they're going to turn around and take the low road? is that their plan question what does that come with a message either? i want to piggyback off of something that mercedes said. if republicans are doing as you say and getting their gear together and getting things done, democrats will look at that and say, we have to stop talking about russia. i mentioned what representative boost of said, nobody is asking her about russia. she said i need to concentrate on the things that people care about. >> kevin: not to interrupt, but we are hearing this now all over the country. people know russia is a red herring. >> harris: are we stuck on it? >> mercedes: russia is the democrats play card. this is a card they wanted to play since the election because they do believe that this is what's going to bring down the

president. it will lead to the impeachment of president trump. it is not working because you have so many individuals, even democrats are trying to question, there is no evidence of collusion with russia and president trump. order be helpful is if you stop tweeting about it. step away from it. >> kevin: i disagree. >> sandra: somebody pointed this out, but americans continue to be critical of both parties when you dig into these numbers. just 40% are inç favor of republicans. >> kevin: that's a big step up. he has been a breath of fresh air. when you're talking about donald trump, you're not talking about the republican party, you're talking about a guy who has bucked the establishment. well bernie and those guys got cheated by the dems, donald trump fought the republican party. what you're seeing is he's going to make the transition.

>> sandra: robert mueller adding another democrat to his team of trump/russia investigators. that's in addition to at least three other mueller recruits who have given more than $50,000 to democrats since 1988. from supporters say that raises big concerns that the investigation will be biased against the president. meantime, sean spicer fielding a question during yesterday's briefing about the existence of audio recordings. >> second question about the tapes between the president and james comey. where those tapes made? did they exist? with the president be releasing them on friday? >> the president has said he will make an announcement on that, you can expect at this week. when he is ready to make an announcement, we'll let you know. >> sandra: house intelligence committee adam schiff has warned that he will subpoena any tapes at the white house fails to

respond by friday. to you first. >> mercedes: first of all, i want to go back to mueller very quickly. there is a consistent pattern where he's hiring these democrats who are giving thousands of dollars to either obama, a clinton super pac, whatever. secondly, there is a big concern here. there are two lawyers who were part of a law firm that represented the other side, the defense. what the problem with that in particular is that they could have had access to information. you have to bring up these questions because you have to ask yourself, why would mueller bring these individuals in knowing they were part of a law firm that were representing the

other side? >> kevin: bingo. you just nailed it. why? donald trump is not complaining. the entire trump team, nobody is complaining. that's what americans should be asking themselves. why is donald trump, knowing this, knowing that jack deck it against him? if you are innocent of something, even if the deck is stacked against you, you are in control. he may not have all the people on his side in the justice department, but he is the guy at the helm. >> meghan: he needs to give the american people a reason to mistrust the investigation. it supposed to be about whether or not they had any collusion with russia. now it's turned into why and whether or not -- let me finish. now it's turned into the firing of james comey, which president trump had every right to do. it turned into this, so highly politicized.

you can't find a person in america that doesn't think this is a politicized investigation. why robert mueller would continue to go find attorneys that have these ties to the clinton foundation blows my mind. >> kevin: again, who does it help in the end? donald trump is not complaining, he's not telling mueller, will make it fair and balanced. >> harris: part of the question and part of the reason i think the president may not be panicking is because there are reports. there are leaks out of the investigation. how would it everç be justified when you've got things leaking? that has been the hallmark of every presidency. >> mercedes: leaks from a special counsel, that compromises the investigation. >> kevin: what would happen if donald trump complaint? >> harris: he doesn't have to complain, we can see that. >> mercedes: the american people should complain. the speech rate for those who care about the dramatic

agenda they will accomplish, especially by making this debt with a bunch of liberals. i don't want to sit here and talk about this forever and by the way, i don't think they make in people who want that either. >> kevin: they don't, but when it's all said and done, it comes back and there's nothing there, what he's done is he's putting a dead nail in the democrats. you wanted this, you got everything you wanted in terms of the people who investigated me and you came up with nothing. now i get to go back to my agenda in the next thing you bring up, i cannot tweet about it. >> sandra: don't you think this white house should say, and hold on a second. can you find somebody that doesn't have these ties? >> kevin: they are saying give these people enough rope to hang themselves with. >> mercedes: is a difficult decision where you can make an opinion, but from the outside, it leaves voices --

>> kevin: trump should be called an obstructionist if he said anything about this. >> harris: we can let this cook and bank on its own without having too much input from the president. it would be helpful if they all just concentrate on their jobs and if this one democrat representative is true, she's right, nobody wants to talk about it. >> meghan: of the situation were reversed and the democratic president were being investigated with ties to the bush administration, democrats would be screaming but he murder the streets. >> sandra: president trump getting back to what he does best. tonight he will be holding his fifth campaign style rally since taking office. what can we expect to hear? and is is a good way for the president to rally his base amid ongoing challenges? that will be next hi i'm joan lunden.

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>> harris: hot of the g.o.p. a special election victory in georgia, president trump is gearing up to hold a big rally in iowa. he'll make remarks on trade and agriculture after heading to his make america great again event tonight. they are down to one insurance company on the obamacare exchange and it just requested a 43% rate hike for next year. this is the president's fifth campaign style rally since taking office and many see it as a good way to rally his legislative challenges. >> kevin: the timing couldn't be better. >> harris: you are a fan? >> kevin: i'm not one of these guys -- i am now because i'm seeing what he can do. i knew the potential existed for a businessman to do what he's doing. you look at this, first of all,

it tells you he anticipated the win for georgia. he wouldn't be having a rally if georgia lost, he is-0. there is that and then he's watchingç obamacare, what possibly better scenario to walk into? >> harris: what's complicated that i see right now, having the president bring obamacare recipients who have had so many problems for their families and businesses to the white house, to see them do that, we've seen him go to places like ohio to talk to people on the ground. he is in this now more than eve ever. >> mercedes: he's been in this since day one. he wants to get the work done. things move very slowly in washington. they don't work at his pace, at a business level pace. i think it's very critical for the president.

in the white house, you are in a bubble. you don't have a direct connection to the american people. for the president, he feeds off their energy and he's able to connect with the american people, going to these rallies. you get a different vibe and feel out of washington. it's his way to be able to directly talk to the people without having the media. >> sandra: not just to rally the base, but to rally himself. >> kevin: how many presidents have done anything like this, especially coming off a win like that? this is showmanship at its finest and it's taking a page away from the left who tend to do these types of things. they're the ones that rally and protest and do these things. here's trump saying it was never a mandate. there were no overwhelming pieces of legislation, but not to take it away, it's a bad

thing. >> harris: is there a risk of the president getting out there and going forward? >> meghan: i compare it to getting musicians out of the studio and bringing them to a concert. there were reports he's not doing doing well. he's bored. anytime you can get him out and remind him why he won, why he is president, it's great for his base, is a great for anyone else, will it move the needle? no. but i think it's good for morale. he's not innately a political animal. >> mercedes: i don't see the political risks because you are able to control your message better. the one thing the white house press corps hates to do is get out of washington and get out of their cozy seats. get them on a plane. they're going to iowa and they can't focus on anything else except at the president talking about. when you're starting to see is a

control of messaging. >> harris: it that was my question, is a better controlled here or white house? >> mercedes: you're starting to see week by week, they're releasing a theme. two weeks ago it was workforce development and apprenticeship. one week was infrastructure spending. they are trying to get -- >> sandra: the message should be about jobs, the american stock market is skyrocketing to all-time highs, expect to hear a lot of a lot of that. >> harris: that's a good point too. he says he wants to meet with ivanka trump to talk about family leave. >> mercedes: everyone wants to meet with ivanka trump. >> harris: eric holder is gearing up to take on president trump. he says he plans to lead the legal resistance against the president which may include a possible run for the white house. really? ♪

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>> sandra: more "outnumbered" in just a moment, but first let's get to jon scott with what's coming up in the next

hour "happening now." >> jon: will talk with the university of virginia's larry said know about what democrats do next and what it means for the 2018 midterms. the former secretary of homeland security jay johnson testifying this morning, he says the russians did not successfully alter any ballots in the 2016 race, but they did try to influence election, so what do we do about it in the future? that's all coming up, "happening now" ." >> meghan: eric holder is getting set to take on president trump and a big way. the controversial former attorney general telling yahoo! news but he plans to lead the legal resistance to mr. trump's agenda. he also says he's mulling a white house run in 2020. more than two years after leaving the obama administration, holder is now expressing a sense of urgency about the state of the united states saying the end justify perception that i'm close to president obama to be

effective in opposing things that are just bad for the country. i need everyone to remember in 2012 when this man was held in contempt of congress for refusing to turn over documents. in any other administration, this man would be in jail, which is where he should be, not running for president. >> mercedes: i can't believe this. i say go for it. remember this was a man who targeted journalists. let's be real. talk about being unfit to be president. it's incredibly problematic. >> meghan: 17 democrats held him in contempt. >> mercedes: the progressive side of the democratic party --

>> kevin: there is no way. the idea that he wants to be president is laughable. number one, he doesn't have the personality and i don't think he -- there is a something. there is something missing in terms of his -- he doesn't have charisma. he's very stoic. >> harris: what is it about the democratic attorney general? you have loretto lynch trying to hold meetings with bill clinton on the tarmac, you have this gu guy. >> sandra: you can say it's unbelievable, but i guess it's not until you tell me who's on the bench. what does that look like? >> kevin: this is a guy who is claim to is looking for the guy who thought guam would tip over.

they brought up julian castro to make him secretary. elizabeth warren, you've got cory booker. >> mercedes: it's an interesting list. >> meghan: he says i'm going to use my notoriety. what kind of campaign -- i'm famous, i was close to president obama, electing a president. again, he's bring up serious allegations -- they were brought up against him. >> harris: it begs the question, what is the democratic party doing?ç are they on the corner saying who are we and they're just cursing at their base. >> meghan: who thought trump would be president? there is always somebody waiting in the wings. it's not eric holder.

>> sandra: there is notoriety. >> meghan: i'm famous, i don't know what president obama. it's ridiculous. >> mercedes: i caution. don't jump off the cliff. i think for democrats, they have to figure out a way for where there are providing solutions where if this resistance as bernie sanders talked about yesterday, we have to continue to resist. it's not working. bernie sanders, he was -- it still is one of the most popular politicians in america. after recognize that we need to keep bringing independence to the republican space. >> meghan: will be right back, more "outnumbered" in just a minute mmmm.

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>> thanks to kevin jackson. i want to mention you're going to paris next week. i heard the state department is going to be monitoring the conference where you are. national council of resistance in iran. >> i was fortunate enough to be invited, joining newt gingrich and kim blackwell and others. they've lost 100,000 people that were killed by the iranian

regime. it's a big event, i am proud that i was invited. >> happy birthday! >> we are going to sing when we get off the air. but for now, thank you for joining us. a "happening now" is now. >> julie: a fox news alert, breaking developments in michigan, the airport in flint evacuated after a police officer was stabbed in the neck. >> jon: a suspect now in custody, the fbi on the scene and leading the investigation. we are covering all the news, "happening now" ." >> tonight is a victory, it is for every single citizen in the sixth district. it's for every single person with a dream. >> jon: after a nail-biter in georgia and another victory in south carolina last night, republicans are now 4 for 4 it when it comes to winning congressional special elections du