megyn: and eclipses coming, and astrologist say that the earth may explode. [captioning made possible by fox news channel] captioned by the national captioning institute --www.ncicap.org-- take care. jon: i will not be at work that day. hello, everyone. another setback for the president on a big campaign issue. we will hear what this plan is late, and what it means for terror suspects. jane: the dow is up 66 points. we are seeing gains. good news for investors.

jon: drug smugglers are stu been even lower to get their illegal goods into the country. goods into the country. jane: does he have votes for the health care agenda? right now, the president is getting ready to talk to blue dog conservatives, objecting to the tremendous price is proposed. john boehner just said moments ago, "mr. president, it is time to scrap the bill and start over in a bipartisan fashion. a new poll this morning shows obama with 49% disapproval.

but digging down to the numbers, 44% of the polls strongly disapproved. what does the president's message have to be to democrats? >> it is the energy and commerce committee, and they have gotten the committee together and putting together what they want. that's suggests they do not have the votes in the committee and a suggested not have been in the house, said that is significant. they have postponed the bill, which is significant, so we expect an appeal.

jane: tell us about the concerns we are hearing. significant concerns from within the party. >> you're right. a lot of blue dogs are persistently fiscally conservative and concerned about the price tag. they're also concerned about such an overhaul going on with the speed they are trying to do this. they are worried about it, worried about that they are going to take a beating for it. >> the one thing we encourage them to do is wait on the senate. let's not rush anything. we want to reduce costs for the american people. >> basically, blue dogs in the house are worried that if the senate does not go first, they

will support something controversial. jane: the president says it has to be done before this resource goes in. it sounds like there is when your room -- wiggle room. >> i want this done now. now. if there are no deadlines, nothing gets done in this town. you have been here long enough to know. you have to say get this done. it will spill over by a few days or it week, that is different. >> there is still a lot to do. jon: a study on the dangers of using cellular phones while

driving is causing a scuffle. hundreds of pages of research were done on the topic of 2003 but they were decided against conducting a full study out of fears of anchoring congress. what did this research show? >> a three-member team at the national highway traffic safety administration in 2003 wanted to do a large long-term study o o 10,000 drivers to study how using a cellular phone while driving impacted driving. they estimated based on thousands of pages of research that cellular phone using drivers cost 240,000 accidents in 2002. based on other studies they may be as much as four times as likely to get into an accident. i wanted to alert -- they wanted

to alert the states as they were considering laws prohibiting cellular phone use. jon: why wasn't the study followed up on? >> they wanted to do a larger study but ultimately decided not to. the former head of the national highway traffic safety ministration, under the department of transportation, said that he was worn by higher- opt to not appear to be doing it. he said he was warned that congress may pull some funding if he pursued the study. the chief of staff to the secretary of transportation at the time said they decided not to publish research because it was inconclusive.

jon: arnold schwarzenegger now has an agreement where the state may soon not be able to issue iou's instead of checks to contractors and vendors, but first it has to pass legislation. >> we would have no tax increases, $50 billion in cuts that you're making. jane: money will come from collecting taxes early.

jon: 6 months to the day of the president announcing he would close guantanamo bay within a year. will he meet his deadline? catherine herridge just got back from guantanamo bay, cuba. she is following a live from the bureau. we just heard the president's day deadlines are important. so where do things stand? >> the issue has proved more complex. the bottom line is the administration -- the task force is asking for another two months to look at interrogation in the future. these are separate issues from the closure at guantanamo.

but the president announced he wanted to close guantanamo and less than 5% detainees have been successfully transferred. the task force is composed of the justice department and others, and last week, the attorney general told fox that he believes they would meet the deadline set forth by the president. let's listen. >> i'm confident that by january 22, it will be closed. we're in the process of making determinations about remaining detainees at guantanamo. >> this delay is not going well with defense attorneys. back when i was in court last week, one said that as far as he can see, this administration's

idea of justice is to have none at all. jon: what should we be watching for on this issue as these next six months past? >> it means that you're going to turn the key in the law, all the cheneys, that is it, or will it mean something different, that no more taken and those there will slowly be taken out as countries are willing to take them.

jon: maybe they can do what alcatraz did and turn it into a tourist attraction. jane: some have been critical in the president's own party of health care reform. some democrats are heading to the white house next hour. plus, can you read in this -- your parents go on a rollercoaster and get stuck.

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jon: the trip to the amusement park turns a scary for a boy and girl in new jersey trap on the wildcat roller-coaster after a car stopped near the top of the right. they used a cherry picker to get

up there, reach the youngsters, and pull them to safety. fortunately, no one was hurt. park officials did not say why it malfunctioned. jane: as we mentioned at the top of the hour, john boehner had something to say about where it is headed. take a listen. >> mr. president, it is time to scrap the bill. let's start over in a bipartisan way. we're working with democrats tried to find a way forward. there's a bipartisan way to solve cost problems in health care and insurance affordable access for more americans. that will only happen if we work together.

>> what you're seeing is president obama trying to voice 20 century liberalism. we see on facebook -- we see on the text that it will become illegal if it changes. he cannot pass something when the senate and people are against it, so they have to start over. jane: a lot of blue dog democrats are to be there in an hour. what is the message from the white house to them? >> i think the president has been clear that it was not going to be easy to get the bill and he would sit down and talk to anybody who would work with him. it is great that minority leader boehner said he wanted to work with democrats. the president is a listener.

he knew people had a lot of different opinions about what should be there. the house democratic leadership had not been listening. the president wants to listen. i think he will get himself involved personally in understanding what they want trying to get a bill that the country needs. jane: complaint on both sides of the aisle about him not presenting his own view, leaving it in the hands of congress. is that a mistake? >> i have heard a lot of people on both sides of that. i think many people who were part of the health care success in the early 90's thought it was a mistake that a bill was brought to the hill and best -- members were not listened to. but he has been cleared about how he will operate. he will try to build consensus.

i think he is still trying very hard to build a bipartisan consensus for what everyone agrees we need. every american deserves the right to affordable quality health care. that is what he is fighting for, and i believe that republicans and democrats in the country think so. jane: it is not president obama against the world. he has plenty of support. >> you cannot underestimate him, but you see his approval rate slipping because of the approach on the health care bill. if you look at his approval rating since june, it has dropped nine points. as you see the blue dogs slip away to try and fix the health care system and a way that takes

a free-market approach, if he can get on board, he could take a positive leadership role. but i do not think that that is what you see happening now. jane: thank you both. we will continue to watch it as we see democrats arrive today. thank you. jon: a new low in drug smuggling. you will not believe what the cartels are doing now to get their goods into the country. who has been arrested and why it could be part of a growing trend.

jon: in just the past few days, border agents arrested five american teenagers, east of them with bags of pot or sometimes

hair when take on the other bodies. they were trying to walk across the border. in all, 17 pounds of marijuana and a pound of heroin were seized at ports of entry. joining me now is the director of field operations for customs and border protection. did they say anything about who put them up to this? >> it appears they are being recorded by drug smuggling organizations right where they live and very many cases have these citizen children from our communities being promised good money, easy money, and low risk when it is exactly the opposite. they face a significant risk coming to the border and we apprehend them. jon: so they take marijuana or heroin to their thighs and try to walk across the border?

>> that is not a trend in itself. the new part of this is they appear to be going on against younger children basically recruited for this purpose. jon: artie smugglers thinking that if they're caught it will go to juvenile detention or nothing at all? >> that is part of the promise, but we are seeking prosecution for all of these cases. they will be considered adults. jon: you had one of the adults wearing a sweater on the border.

>> it is not a truly obscure president says. there are telltale signs, and we are adept. they're looking at serious jail time. we have had very few of these cases turned down for prosecution. typically they turned down time and attention and it sets the record for them for their future. it will be a criminal prosecution and jail time for them. ám!dz#nm'jane: a government wats bringing his worst-case scenario for how much the

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jane: the big financial bailout to be bigger than you think. we're talking about $700 billion. new reports. wait until you hear what it to pop out as. jon: in california, some locals say that mother nature has run amok. now, people are battling over which species gets to stay. jane: what if you want to unload your old technology? what will they give you for them? jane: new developments in the case of a florida couple who adopted special needs children.

a new report to becoming. police said seven suspects case to the home for more than a month before the murders and word is that the man accused of masterminding the whole thing told police that he knew the victims. gonzales says that he even received financial support for them to help with his martial arts studio. the couple adopted 13 children in addition to four biological children. jane: the dow was up about 44 points or now. the top financial bailout watchdog is coming out with a staggering figure. the total price tag for federal involvement in the financial crisis could reach 23.7 trillion dollars? >> that is a lot of zeros. we want to show them to you, because we rounded up to 24

trillion dollars total liability. 12 zeros, to be exact. this is not a shopping spree for you go out and buy everything. this is a potential shoppings. . these are liabilities. the treasury disagrees, saying that the amount of cash outlay because of the bailout is around two trillion dollars. so there is arguing with these statistics, but this is what the inspector general is telling capitol hill today. so the federal reserve, fdic and treasury see potential liabilities for the bailout. they bring in ben bernanke, testifying today on capitol hill at the semi-annual report on the economy, and this is what he has to say about what is going on right now. he is saying that economic recovery is happening, however, it is not happening quickly. he sees a gradual recovery until

next year and also sees unemployment high or remain high for the next two years. as far as taking it back, there is a live look at him speaking right now." -- right now -- it is a big part of liabilities because of the financial crisis, and he says essentially that we do have a liability out there but we will be able to unwind our responsibility to at, saying that we will not get caught in a trap of our own making. he has the right tools to do that, he says, to make sure that does not happen. he is talking about that now on capitol hill and there are lots of questions to answer. jon: you like the beach, you like golf. do you want to buy your own resort? there is one for sale. the california resort where aig posted the retreat just days

after excepting billions in federal money, has a new owner. citigroup is taking over the rejust resort. you could be an owner. the owners are already in default on a loan, with business bookings drying up after aig's don't get received attention. fancy resorts which kidder towards it. they are experiencing some of the steepest declines in the recession. citigroup says they will operate the resort while looking for buyers. jane: not as many people are flying. the fees for checking a bag and

booking your reservations over the phone instead of using the web site. jon: several companies are now able to create human stem cells from blood and skin. some see this as a way to avoid the controversy around embryonic stem cells. david lee miller has more resources. sounds promising. >> some people call this a magic bullet. i think this could be a magic wore head. this process was developed a few years ago and there have been steady advances since and researchers say that if effective, doctors will be able to retreat a number of diseases. ranging from cancer to alzheimer's disease and such things as spinal cord problems.

potential is limited, and one of the benefits is that this type of research does not rely on embryonic cells, so there is no dispute about funding. let me describe to you how it works. let's say there is a patient with a particular problem -- he would go and see the physician. we have a graphic on the screen. let's use a skin cell. doctors would place that in an incubator with chemicals and over a period of time they would transform and be turned into an adult stem cells. they have the ability to be

reprogrammed themselves into all kinds of cells, into a hard sell, a brain cell, a long cell -- virtually unlimited. and a healthy cell to be transported into that patient. and this is key here. because it comes from a patient, there is little or no chance of rejection, and if you when you take a stem cell for an outside donor. jon: is there a prospect of being able to use this as soon? >> already is being used to test for new drugs. but when it comes to trading technology, some of the experts we talked to said it could be a couple of years, maybe even decades, before the technology could actually be used to treat individuals. a major obstacle that have to overcome -- we went to one lab and they and explained one of the things that have to do here

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>> i want to take you live now to atlanta, an area called but fed -- buckhead. here is what is happening. a rail station has been evacuated. there is a suspicious package at

this station in the heart of the town and they are now shovelling people by bus to get them out of the area. it is a beautiful area, with lots of places to catch it wants. lots of people travel to other parts of the state. you see people carrying luggage out there. there's a suspicious package that they are investigating as we speak. this is ththe buckhead rail station. people are being evaluated. they say that the transit authority says it could take some time before it clears up.

can we hear them saying anything? of course, the people on the scanner's stop talking. but a pretty busy area, with people pouring out of this rail station. i will watch this and see what possibly that package could be. but it causes enough of the destruction at this point that they want to evacuate everyone out of the area. as we learn more, we will bring it to you. i'm going to toss it back to you now. again, a lot of people would be affected at a lunch hour by this. jane: let us know if you see anything else we should hear about. bidding has reached $50 billion from bidders for the rights to michael jackson's final rehearsal recordings. sony made the first bid. so far, it is not over, and the

winning studio would produce to the film with aig life. an actor from harry potter is now sentenced for growing pot. he plays a school bully in the movies. after pleading guilty to producing marijuana, a london judge sentenced him to 120 hours community service. police found 10 marijuana plants growing in a bedroom at his family home. producing marijuana carries a maximum 14-year sentence, but the judge said that because it is on a small scale and he is a man of good character, this seemed like the appropriate punishment. jon: major groups are now taking on health care proposals and working their way through congress. the chamber of commerce releasing this advertisement against a democrat-overhaul plans. the government already get the

shirt off your back if they pass this. if they pass tax reforms, hold onto your pants. joining me now is the senior vice president of labor immigration and police benefits of the chamber of commerce. they do not like these reform plans. >> until we support health-care reform -- we do not like these plants. unfortunately, our hand has been pushed by the fact that congress is rushing this through at the order of the president's before people understand what is in the plants. so we're forced to go to the media and spend a considerable amount of money on what is really going on. it is unfortunate, but that is what we have to do. jon: people do not understand. do you understand? >> i had about 30 days of reading the bill. but i did not understand all that and senate finance will come out with another one.

there is a new version introduced last year of 1010 pages. we're doing our best to understand and we have a good staff, but there is still a lot of guesswork going on about what the bills actually do. it is a bad situation. jon: the president says he wants these things to be neutral and not cost any more in terms of tax or whatever then we are already spending. is that the case? >> no. cbot met with an analysis saying that these bills would have an adverse impact on the deficit and a range of $200 million to $300 million. or more. a lot of money. it is ironic, because the president has always led with the theme of these should have been the cost kerf evaluations first, and then we will approach

quality. but the cost bill has fallen by the wayside, and that is what congress wrestles with right now. jon: the president says we need to pass health care reform by october or august because it is bankrupting the country, the current system. your thoughts? >> 9/11 was a crisis. there are true crises in the country where legislation has to happen. people use the phrase crisis loosely here. this is an issue affecting 18% of the economy, and we can take the time to get it right. to get it wrong will have a worse effect on our economy than doing nothing, frankly. we do not agree with the president and we can take our time. the way it is written right now , they have a tax on small

businesses that will be escalated depending on how other provisions work. there is no cap on how much congress can raise taxes, so even though business wants health care reform, this is bad for business. the president is starting to do this. we can look at this thing and work over the august recess. they are trying to rush this. jane: so many of you saw this video and reacted, and how could you not? and suv on fire, a mother with two dead children trapped inside.

the neighborhood kept running, putting themselves in danger. so much concern over how he was doing.

jane: you probably saw pictures of this car accident where an suv overturned in the city of milwaukee. trapped inside was a mother, her girl, and her 4-year-old boy. you can see these neighbors, a couple of whom are off-duty firefighters, coming to the rescue of the family and trying to break the windows. the little boy had burns over about 30% of his body. the mother and girl were pulled out first. doug jones is the grandfather.

how is he doing today? >> he had two surgery's yesterday for the burns. we do not know what it will be, but we do know that it will be a long road to recovery for him. burned across the back and shoulders, neck, totaled scalp, down to his wrist. jane: is he conscious? has his mom been able to see him? >> i did not know. i know that chris pretty much broke down when he saw him for the first time. jane: we are seeing the picture for the first time. how is the family doing?

>> they are doing well. bruises, possibly internal, but nothing serious. broken or burst. old-growth just had some bruises -- the little girl just tabriz's, and they are fine. -- the little girl just had bruises, and they are fine. it was just awful. i have been in service and seen burns, but when it is your family, it is a totally different story. jane: yesterday we saw a young man who jumped out of the car, and he said it was incredible. neighbors just came out of the woodwork, and some happened to be off-duty firefighters, and they were diving into this car that was engulfed in flames to save their grandson. what words the have for them

today? >> they are angels in disguise. all the neighbors that came to the rescue. i just cannot thank them enough. i wish i could be there to thank them personally, but deborah will be flying in, she should be landing in racine any time now, and she will take a car from their. jane: boy. mr. jones, our heart goes out to you and your family, and we will pray for a little deejay and keep viewers updated. they were honored yesterday, those good samaritans, by city officials. we are speaking to the grandfather of those two little children in the sec yesterday. thank you, mr. jones. jon: mirror mirror on the wall,

or maybe on our computer. >> we will get to that in a second. watch out amazon.com. barnes and noble is getting back into the online book business, launching what they are calling the world's largest ebook store. their books will not be compatible with the candle or the reader, but they can be used on i funds, blackberries, computers, and eventually their own book they are developing with plasticlogics. it is said to be the size of a sheet of paper. costco wants to help keep cash in on old technology. they created a web site to trade in your own gadgets for store credit. they will expect blacktops,

digital cameras, and mp three players to come in. you can only go online for now, costco.gazelle.com. shopping for sunglasses? you no longer have to be in the store. ray ban has the virtual mirror. you can download it at rayban.com. just took up the camera to virtual technology and try out their latest projects. i will be back with more next hour. jane: back to the breaking news desk come up with more on the suspicious package. >> you're looking live now. just moments ago, we had a great picture of how many people are being affected. this is in atlanta. i just got up the phone with the metropolitan atlanta rapid

transit authority, awaiting an e-mail for them to give me updated information. they have evacuated the station as a precaution. now we know that they have a device in their hands, and do not know exactly what it is. we're waiting to hear more but we think it is enough of a danger that they want to evacuate. jon: a new update on the fighting over f-22 fighter jets. a new spending bill could lead to $200 million being spent on the jets, but there are all kinds ú?÷@@úd "4z

jon: a fox news alert. we will hear from the president this hour, and he will take to the rose garden. he is expected to speak about his health care reform plan. one of the biggest roadblocks they're facing comes not from republicans but from democrats. they're worried about the costs, tax hikes, and deadlines. just this morning, the procedure is written. so if they do not have the

votes, does that mean they do not have them to deliver to the president? can they shot the president down on this? >> henry waxman, not a blue dog democrat, canceled a hearing because they do not have the votes. there are enough to sit on the commerce committee that they do not like the bill, and it is cancelled. blue dog democrats consider themselves fiscally conservative, mainstream america, and they know that this is not happening. for now they've continue negotiations, but it is coming to a grinding halt.

nancy pelosi cracked the whip. you remember cap and trade. it extended a lot of political capital, so here is what the republican minority leader in the house had to send about the situation. >> they had both arms broken during camp and trade. now there are no more arms to break. [captioning made possible by fox news channel] captioned by the national captioning institute --www.ncicap.org-- >> at least what they have in

front of them now is not something they want to vote for. jon: the president is pushing to get this thing done, despite all the obstacles. so what happens next? >> we heard the president speak about this, and he said, let's get it done by the end of the year. and the august resource is looming. we know that they are scheduled to meet with democrats in an hour or so, and there could be another twisting of arms. i think the white house has realized that without blue dogs, this thing may not happen. jane: the senate is voting on a defense spending bill that could lead to the first veto of an obama issue.

nearly $2 billion to fund the f- 22 fighter jet. let's get to jennifer griffin at the pentagon. explain this debate on the funding of the jet and why it is so controversial. >> you have carl levin teaming up with john mccain and the president, all of whom say that they want to strip the 1.7 $5 billion in funding to make seven more f-22 fighter jets. they want it stripped from the defense authorization bill, a $681 billion bill. they are debating the amendment to strip the funding from the bill as we speak and should vote on it sometime in the next few minutes. so we are listening to please by

republican and democratic senators teaming up that we need to keep this line open, it would save those in favor of making more f-22 is 20,000 jobs. those opposed, including secretaries gates and john mccain and carl levin say this is a wasteful program,, and they want to start funneling that money into the next plane. so an impassioned debate on the hill. president is threatening to veto the bill, a surprising, because they need the money to carry out iraq and afghanistan. he is threatening to veto it if the funding goes through. jane: there were other amendments in concern as well. what about those?

>> there are many non-germane topics getting tacked on. the ec have a tax on things, a hate crimes bill has raised some of the hackles of some on the hill. they say this is no place for that particular amendment. and you have those on other sites where they have introduced bills to allow concealed handguns to be brought across state lines. that is being debated. and now we're here that selig -- senator children of new york mets and 18 month moratorium on don't ask, don't tell. that will be debated, and all this creates tension and slows down the process of finding the troops and the war in iraq and afghanistan. but this f-22 fighters been brewing, with impassioned arguments from those on one side

who have the parts on the state, lockheed martin and boiling, making the jet expensive. if anyone will tell you it is between being and hundred $40 million plane, $300 million, whatever is -- it is one of the most expensive ever built. but they are smart and they have parts of those planes made in 44 different states. so on the other hand, secretary gates made the argument you're talking about 24,000 jobs lost if you close the f-22 line. but when you continue and put that money into the f-35 building, you have 82,000 jobs being created in the next three years. a lot of debate and passion of the issue, with president obama threatening to veto if the f-22 is still in it. jane: to iraq now, multiple bombings in and around baghdad. we're told at least 11 people

killed, dozens more hurt. one set of blasts hit near a group of day laborers. others targeted shopping areas. the 19 are hurt. several victims in that bombing were children. jon: hillary clinton in thailand, meeting with the association of nations. what is all this talk at the conference that there is a new axis of evil in that part of the world? >> the secretary and a number of officials traveling, the department of state, defense, and security council acknowledged that there are growing concerns about reports of a burgeoning military relationship between two

countries. burma and north korea. photographs show tunnels built by the north koreans, a complex series of them along the burmese border, and there have been a recent movies -- moves, turned down under scrutiny from the military. jon: there are reports that there are new incentives for north korea to get them to stop testing nuclear missiles? >> they confirmed today that they are readying new incentives that would be offered to north korea. some are familiar from the

ongoing 6 party talks and others would be new but they said they are not ready to just offer them to north korea. there is a significant caveat involved today. they explain what has to happen. >> they have to be willing to change their behavior and to agree to denuclearize north korea which would mean the entire korean peninsula is denuclearized, and we stand ready to respond if we get any signal that there would be a serious commitment to doing that. >> secretary clinton and her aides say that they have not received any signals that north korea is ready to do that and when they say they are looking for signals, they do not just want talk. they want them to take irreversible steps to start dismantling their nuclear program. jon: 8.

big trip. india for four days. what is your estimate? >> the final session of some important agreements with indians -- they were able to emphasize the time. i have never seen it as it is now. schedules are not going out until midnight the night before and we are expected to gather at six in the morning. it is bumping, and we hope it is not going over with the execution. jane: ben bernanke has been updating congress today on the state of our economy and has told that the fed can reel in the stimulus was the stimulus

gets on track. they say will the economy is showing signs, the economy is still weak. >> they have continued to rise. it is likely to limit gains in consumer spending. jane: unemployment will remain high. jon: statement on health care reform with obama pushing hard for a top domestic priority. he can keep up on stories including health care reform debate. go to our pace, with live shots, a new feature that allows the

filing of breaking news updates going directly to blogs. check it out at foxnews.com.

you could buy 300 bottles of water. or just one brita filter. ( drop plinks ) brita-- better for the environment and your wallet. jane: a tough economy, plus a obama's service call may be sending more people to the peace corps, and not all volunteers are college graduates. how many people are talking about? adam? >> there are about 8000

volunteers around the globe in 76 countries during everything from agricultural and education work and awareness, and they say last year the peace corps has sent a 40% increase in those with initial paperwork. not just college graduates -- they have seen a 44% increase in those over the age of 50. >> we want to show the full face of america. we would like to have one of the highest percentages of the verse applicants. >> that includes people all ages. also, they said the biggest influence, in their opinion, has been president obama. 875 president bush also pushed volunteerism. they said they had a push up to

75,000 people from 50,000 in his tenure, and obama's says the goal for next year, the 50th anniversary, says they want to double the size and increased budget by 10%. jane? jane: what did they attribute the increase to? >> they say that president obama has pushed the idea of volunteerism, and we talked to a lot of volunteers saying they could get it through until the job market picks up in the country. jon: obama is pulling out all the stops.

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if we don't act, medical bills will wipe out their savings. if we don't act, she'll be denied coverage because of a pre-existing condition. and he won't get the chemotherapy he needs. if we don't act, health care costs will rise 70%. and he'll have to cut benefits for his employees. but we can act. the president and congress have a plan to lower your costs and stop denials for pre-existing conditions. it's time to act. are more than words here. it's personal. i have diabetes. rodney's kid too. so we're so proud to manufacture... the accu-chek® aviva meters and test strips... here in the u.s.a. plus, we've proven you'll waste 50% fewer strips... when you use our meter, which means greater savings...

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jon: obama is about to emerge for the rose garden at the white house to talk about health care reform and also is headed for a meeting with democratic members of the house energy and commerce committee, who postponed today's healthcare markup session. a markup is where the committee essentially rights the bill that they want the rights of the house to build on. they're struggling to reach an agreement with moderate democrats. wire the so-called blue dog democrats holding out on the massive overhaul plan?

joining me is congressman dan bourne, all, oklahoma. the president does not seem to be doing real well among democrats when it comes to health care. what is the biggest hang up pc? -- that you see? >> we have a lot people in my state were not insured. the sticking point right now is in the house bill, with the surtax, and also we are concerned about other ideas to tax benefits. there are positive things in the plan and we want to make sure we cover people with pre-existing conditions, but we need a bill. bipartisan consensus is what we want. we have to have a broad swath of congress. it is starting to happen in the

senate, but the house has been bogged down with a bill on the left flank, and hopefully we can bring it to the center. i am hopeful the president will have this meeting and maybe we can get some compromise here. jon: you have said that the president is too liberal and unpopular in your district in oklahoma. what and if he or you taking -- kind of heat are you taking? >> i am a democrat. i believe the purpose is to be bipartisan. most people are left, right, middle. we have to get it done. to do that for democrats to be

successful if we have to be seen as centrists, moderates, and sales in places like oklahoma. we have had stumbling blocks with the health-care debate, but i want to support something. my fellow blue dogs want to support something. my bill is not there yet, so whether it is democrats or republicans, those sides have good ideas. let's get together and get this job done. jon: a pivotal point for blue dogs according to your web site is that the public will not be asked to pay. nothing will come out of the federal treasury to pay for the reform. how you reconcile that?

>> that was the game changer, when the cbo came out with the estimate. and that is why you see some people backtrack on full support of legislation. i think you will see some compromise come out. we have to slow things down and we might miss the deadline. we might take it into the fall, and some people say that is not politically expedient, but we have to do what is right and be thorough and that is what my constituents say. i was in muskogee, oklahoma saturday at a barbecue and we were coming up to people, people were saying, "why did you get 800 page bill hours before and have to vote on it quickly?" that happened with the climate debate. we do not want to do that with health care reform. we want to cover people, lower costs, have access.

jane: we are just getting word from the white house, still waiting for the presidential speech. we may see him in the next five or 10 minutes or so. what will the message before the party? you just heard from those with concerns who are opposed to the health care plans. health care plans. with its revolutionary web os. they're running multiple live applications at the same time. - ( thunder and rain ) - 3 million are using the simply everything plan. each is saving $1200 - over an at&t iphone plan. - ( cash register dings ) together that's over $3 billion. - enough to open a dunkin' donuts in space. - ( walkie-talkie sounds ) from america's most dependable 3g network. bringing you the first and only wireless 4g network. get the palm pre from sprint. only on the now network. deaf, hard of hearing and people with speech disabilities access www.sprintrelay.com. or annuity over 10 or even 20 years? call imperial structured settlements.

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jon: we are waiting for president obama to step out of the white house and into the rose garden for yet another news conference. he wants to push health-care reform. you have heard him call into the signature piece of domestic legislation. that peace seems to be in a bit of trouble.

mike emanuel is live at the white house for us right now. mike? >> yes, we're expecting obama to set foot in the rose garden momentarily to give us what has become a daily update on health care reform. we have heard him say he did not expect health care reform to be easy. we expect not new content, but hammering away each day on it. president obama will have a prime-time news conference to sell it on thursday and goes to cleveland to make his case. this is the signature item of the first year of his presidency and will be interesting to see after these remarks.

this group was supposed to drop his version of the bill. we have been talking to the blue dog democrats worried about the price tag of reform. i will be watching carefully, and it will be interesting to see if the case that are making to him is that we're worried about the price tag and about the rush to get this done. jon: is actually the case, if we

get to the elections next year, a lot of politicians will have the courage to vote for the program he wants? >> he says he would like to get it done before the august recess. there is some thought that they will get an earful from constituents, who will say, hey, we do not want to do this, we're worried about the cost and it running the health care that we may be getting. there is a lot pressure from this white house to get lawmakers to get this done before the august break. so the president interviewed last night and also this morning. but he is pushing for it now and some people in thinking about the ramifications. there is a thought that they could get caught up in politics.

jane: we want to get to our news desk. hamas the arrest of a harvard scholar. -- the arrest of a harvard scholar. >> this is getting ready to be a big problem. they put out a press release involving the commissioner, the d.a.'s office, and harvard law school. you're taking a look at henry louis gates, jr., arrested at his home after reported break- in. he said he came back and went to open the door and it was jammed, but one of the neighbors reported that there were two black man forcing their way into his house. he cried foul, supporters cried it racial profiling, and they got into it. they started yelling at each other. 50-year-old gates was handcuffed and taken away. but police are saying that they are asking the district attorney

in cambridge, mass., to consider this a non prosecuted manner -- matter. they want to say, "this is a revolution to end unfortunate set of circumstances." so you have the commissioner, and now the d.a.'s office. i did call the office and the use the latin term that basically said not prosecuted, not even processed. let's just move on. i bet gates will be talking soon. jon: i bet. wall street was up, now it is down a couple of points. it might be early but parents are already thinking about back- to-school shopping. jane is so organized that she probably has all of hers done by now. back-to-school time means big sales. but is anybody buying? jenna has more from the fox

business network. >> it is an early indication from research groups to show us exactly how parents are thinking about their shopping season. it is the second biggest shopping season next to christmas, so it is important for retailers on wall street. they had statistics in the survey. it is saying that about three out of 10 say they will spend less than they did last year. another three out of 10 are going to spend more than $400, a big drop from last year. only three out of 10 are going to spend that much money this year. here is another important statistic. some teenagers out there -- five out of 10 parents say that they are going to ask their students,

their children, to wear the same clothes that they were last year. this is due to the economy and other concerns. they are shopping, they say they will shop at wal-mart, target, and sears, the top retailers they are zeroing in on. and almost none -- that means less or a little bit more important to me than 1% of all parents surveyed, about 1000, say they will buy something that is not on sale. almost every parent surveyed said without a for sale sign, they will not buy. and a ceo says that if he thinks parents do not see signs with 70% off, they will not buy at all. so it will be interesting to see. it is pretty early, but some eager parents and students, like jane and her daughters, might be out there shopping. jane: it is embarrassing, but

last night we were actually looking for new sneakers. interestingly enough, jenna, i said i would only buy them in a bigger size, because their feet grow fast. they are on sale, and you grow into them. >> sounds like a good deal. and you fit right into the survey. >> an excuse to go shoe shopping, never a bad thing. some women is enjoying this. jon: leave me out of this. jane: from denver, more than 20,000 homes and businesses have no power after a homes storms -- storms rolled through. this storm dumped an inch of rain in 30 minutes and went reached 60 miles an hour. one of the areas had a tornado

touched down briefly. this weather also hit the northeast. it is not over yet. and look who is here. the queen of the shoe shoppers. >> hello. i was in upstate new york along weekend, spending hours in the car with a toddler. car with a toddler. look at rain drenching the northeast. you can tell the umbrella of prices probably will go up in new york city, said there is the rain across the northeast and lower mississippi valley into the tennessee river where we could see the potential for severe weather and three reports of tornadoes in and around the denver, colorado region. the system is on the move

eastward and because we're seeing all of the rain, flash flood watches and warnings are in effect from kansas to missouri and arkansas. the maroon color here is where we see incredible amounts of rain in a short time and the northeast is getting drenched again. a pretty good weekend, but a lot of these areas got saturated, which is why we're seeing a flash flood watches and warnings in parts of pennsylvania up towards massachusetts and it will be a wet weather week as we head into wednesday and thursday for the north east. we're dealing with the potential for excessive heat across interior sections of california and parts of the mountains power grids are going to be affected, so people are asked to conserve energy. 107 in phoenix, 104 and lost vegas.

no., islands have no sign of organization, but we are also watching a tropical wave. we will be watching the tropics in days to come. jon: a new venture for bill gates. courtney friel as the news. bill gates is talking to investors and climate scientists

that claim that make hurricanes can happen. what is not clear is the cost, but possible insurance companies and the government might be interested in that investment. now to outer space. a computer programmer and australia had the least are getting with his telescope in the backyard and up making an interesting. the impact zone here, the size of earth from a large comet or asteroid. let the concerns -- the amateur astronomer was looking in the right place at the right time. experts are taking a closer look at a medieval maps showing north america, and some think is real. it is thought to have been drawn

in 1440, decades before columbus discovered america. so if real, it could prove some europeans knew that there was a substantial body of land out there. but hopefully we will still get columbus day off. that is what is happening now online. jane: wait until you see what is happening. if you're taking 8 extra-strength tylenol...

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jon: a fox news alert. here is a rare one in washington, the senate saving you some money. they have voted on whether or not to spend billions of dollars to build more f-22 fighter jets, a move opposed by the president and secretary of defense. jennifer is live the pentagon. so this is a victory for the obama administration, right? >> yes, for president obama, for robert gates, and for john mccain and carl levin, who teamed up in the senate to prevent this amendment to a defense spending bill. it passed by 58-40 and essentially stripped 1.7 $5 billion from that large defense spending bill and essentially

closed the line for the f-22 fighter jets. those who had argued against closing the line were senator patty murray of washington and saxby chambliss of georgia, republicans and democrats trying to save the program saying that it will take away thousands of jobs. marietta, ga., alone, will lose 24,000 jobs when factories close. the sick -- the secretary said that a second jet will create about 82,000 jobs in the next year. but this was a big fight, with obama threatening to veto the $680 authorization bill if the f-22's had remained in. john mccain and carl levin teamed up and strip that money from the defense spending bill. jon: all right. no more f-22 planes. this is the end of a line.

>> it appears so. this was the big fight, to keep this open. now it seems this particular spending bill will not have any more money for f-22s. jon: speaking of the military, we will see a bold move and afghanistan. the pentagon is sending thousands of troops to help with major initiatives to drive the taliban out. recruiting efforts and reasons behind it. also, a first look at live pictures from the event about to get underway a rose garden. we're pretty sight there at the white house. we're waiting for the president to address all of us about health care. after he speaks to the media he will be meeting with some democrats who are opposed and have plenty of concerns about plans circulating capitol hill.

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jon: a troop increase to take place over the next three years as troops face the deadliest months since the invasion in 2001. the military spokesman says 31 service members have died since the beginning of the month. joining us now is bill cowan, a fox news military analyst. why is this thing seemed to be heating up out? >> they had a penalty to pay, and we have a penalty to pay now. what we're doing is buying time.

we're working hard training and afghan army, training the police, trying to marginalize the taliban -- jon: let me interrupt for presidential remarks. >> we want to say a few remarks about a book that just a place in congress. long before i took this office, i argued meeting our greatest challenges would require not only changing policies in washington but changing the way we do business in washington. i also promised that part of the change would be eliminating waste and inefficiency in our defense projects. reforms will better protect our nation, our troops, and save taxpayers tens of billions of dollars. the commander in chief will do whatever it takes to defend the people, which is why we have increased funding for military and will always give men and women in uniform support to get the job done. but i reject the notion that i

must spend money on defense projects to keep this secure, which is why i have taken steps to reduce defense contracts, have signed them. we just voted against an additional 1.7 $5 billion to buy f-22 planes. at a time we're facing a deficit, this would have not been excusable. every dollar we spend is us not be able to protect the american people.

if more money goes to troops, trips and citizens lose. i want to thank gates for his its sponsorship, i want to thank the doing right for the taxpayers and i want to thank senators leaven and mccain for making this happen. i've also said health care costs are the biggest driver of deficit. no one disputes that. so i would like to talk to those who could bring down costs and provide more choice. i know there are those in this town who openly declare their intention to block these reforms. we're familiar with washington splits that we have seen many times before. these opponents would rather score political points than offer relief to americans who have seen premiums double and costs grow three times faster than wages. they would maintain a system

working for the insurance and drug companies while becoming increasingly unaffordable for families and business says. but there are many others working hard to address this crisis. i know that there is a tenant in washington that says to accentuate differences instead of common ground. but make no mistake. we are closer than ever before to reform that americans need and we will get the job done. i urge congress to act making their way through respective committees in the hearts house and senate and get consensus. let me lay out the substantial common ground in the current bills. we have agreed that health reform bills will extend coverage and include unprecedented insurance protections for the american people. under each of these bills, he will not be denied coverage if you have got a pre-existing medical condition. he will not lose health care if

you change jobs, lose your jobs, or start a business. you cannot lose it if you get sick. we agree that our bill will promote choice, and americans will be able to compare prices and quality of different plants and pick the plan that they want. if you like your current plan, you will be able to keep it. let me repeat that. if you like your plan, he will be able to keep it. each provides for the train to make coverage affordable. we have agreed that our bill will emphasize prevention and wellness by investing in france to help americans live healthier lives, saving money, preventing illness, and increasing competitiveness in our country. we have agreed that our health care reform bill will protect from financial catastrophe if americans get sick, which is

what each bill has out of pocket limits to ensure families do not a banker because of illness. we have also agreed that our bill will include dramatic measures to cut costs while improving quality. each bill improved oversight while cracking down on waste and will help reduce unwanted giveaways to insurance companies in medicare, and each bill will provide incentives so that companies get the best care, not just the most expensive care. the consensus we have forged is not limited to congress. the pharmaceutical industry has agreed to spending reductions sublimate prescription drugs more affordable for seniors. hospitals have agreed to bring down costs, the nurses

association and the medical association will represent millions of nurses and doctors who know our health-care system test and have announced their support for reform. we have traveled long and hard to reach this point and i know we have further to go. but i have to say the american people are absolutely clear that this will not be easy but that the road that we have traveled does not just stretch back through the six months of my administration, it stretches back year after year, decade after decade . we ended up with businesses choosing between benefits and shutting their doors, we ended

up burdened with runaway costs and huge gaps in coverage. that is the status quo. that we have right now. the american people understand that the status quo is unacceptable and do not care who is up or who is down quickly in washington. they care about what is going on in their own lives. they do not care about the latest on a political attacks, they care about whether their families will be cost by premiums and other businesses that work for will have to cut jobs or whether their children will be saddled with debt. so i understand that some will delay action until special interests kill it, while others will focus on political matters. we have done that before. we can use to pull that played a began, and we will never get over the goal line and face an even greater crisis in the years,. that is one-half weekend travel. that is one-half weekend travel.