the after the show show. brian: we are going to see all of them? gretchen: congratulations to all of you. tomorrow is thursday. brian: make sure that you keep watching "fox & friends." the online now, and watch the after the show show. in the meantime, megyn kelly and bill hemmer. [captioning made possible by fox news channel] captioned by the national captioning institute --www.ncicap.org-- bill: a brand new set health care reform bill will come out any moment now after months of negotiations, arm-twisting, and sliding deadlines. max baucus is about to unveil a plan that is getting little support from republicans. worse, it is getting ripped apart by democrats. that is where we start today. megyn: good morning, everyone. this is a big day for everyone on capitol hill. but this new plan, as the

details come out, already under attack. not just from the gop but from democrats, who are upset about a few feet b.j. a few key things. -- upset about a few key things. the tax but on so-called cadillac insurance plans by many -- insurance plans enjoyed by many americans. the problem is that union members enjoy these kinds of gold-plated plans. remember this? when the union's did not want this? the white house changed their mind and said that they love the unions. now that is back in. add that in, including the lack of a government-run insurance option, some senators are not happy. >> there is no way i will go forward in the present form. therefore i will not vote for it

unless it changes during the amendment process. bill: back to these cadillac plans, who is able to take advantage of these. i heard a classification of workers yesterday that i thought did not apply. coal miners? union workers? that is part of his point, right? >> democrat from west virginia, you just quoted him. he is a democrat from west virginia who represents a lot of steel workers and coal miners. the very people that enjoy these cadillac plans. therein lies the problem. a hefty tax to bring in $6 billion each and every year on those people who get these generous health plans, including union plans. if you are a stable government worker, you have probably got a generous health care plan classified as cadillac.

you will be getting hit with this tax. this offends a key democratic -- democratic constituency. unions. they do not want any part of. the question is, where do you get if you do not tax these plans? bill: we will talk to call row about that in a moment. when this plan comes out, democrats are going to go after it like a pinata. >> all of these taxes on all of these constituencies, it will go right to the center of the argument, who is going to pay. whose ox is going to be gored. it is very difficult to see this plan going anywhere. bill: that is a new metaphor to me. thank you, stu. karl rove will be breaking everything down for us in the

next hour. how can you boil this down to something that everyone agrees on? without full agreement, what does this bill look like? we will have a look at that. megyn: we have a look at some cost estimates from the liberal advocacy group, health care for american now, showing white people on the left are not pleased with this bill. according to their calculations, the family of four earning $70,000 per year could pay as much as $10,000 for home insurance -- health insurance. it is about 20% more than what the same family would pay under other health-care bills making their way through congress. bill: in the meantime, a tip of the hat to " wall street journal" 4 fact checking health care reform claims made by the

white house. in recent days the president has talked about americans without employer provide insurance are paying through the nose. >> maybe you are self-employed and you cannot afford it because it costs you more in the marketplace that it does for big companies. bill: we ask our research team to double check that plan -- claim. premiums for employer sponsored coverage cost $5,000 for singles, $13,000 for families. cbo goes on to say that in the open marketplace premium for those policies are significantly lower, as much as one-third lower for singles and a half lower for families. megyn: the fda gave a green light to the vaccine for the h1n1 virus.

there is still confusion out there. as school season is fully under way across america, when can you and your family get vaccinated? how many shots are you going to need? jonathan is live in atlanta with more. when will a vaccine be ready? how much do we have? >> there will be a limited supply available in early october. the bulk shipment, 35 million doses, will become available in mid october. every week after that vaccine manufacturers are going to produce an estimated 20 million doses with a grand total of 29 million doses. federal health officials are holding out on the option to order more vaccines if there is demand. megyn: are we going to have enough? they are saying that one dose is working. >> they believe that there will be enough. the good news is that it appears

that in adults, everyone over the age of 9, will be fine with just a single dose. previously they thought it would require two doses. this essentially doubles the supply, with the exception of small children, who will most likely require two doses. they believe that there will be enough. maybe there will not be enough for everyone right at the beginning of october, but as we go further into the fall they believe that everyone who wants to get vaccinated will be able to. megyn: how safe is this? >> they think it is as safe as the seasonal flu vaccine, made by the same manufacturers using the same process. the only difference is the virus. each time they use -- each time

they do the seasonal flu vaccine, it is usually different. had they discovered h1n1 earlier than april, it might have been included in the seasonal batch. megyn: interesting. for more on the h1n1 virus, check out our web site, foxnews.com. in the search box at the top of the home page, typed in h1n1 and it will take you to the latest stories on the virus. bill: we are waiting for the breaking news on the senate health care plan that will be published today, karl rove will join us in a moment. he will tell us what to make of this plan. megyn: major terror raid carried out in new york city. the fbi says that a man from colorado could be linked to the big apple scare. now he is speaking out. what is he saying and while the fed suspicious?

-- why are the fed's suspicious? >> and to the republic for which it stands, one nation, under god, indivisible with liberty and justice for all. bill: what if these same kids were told that they did not have to pledge their allegiance to america? see why one group wants teachers to read a warning to their glasses and a fight they are willing to take nationwide. call imperial structured settlements. the experts at imperial can convert your long-term payout into a lump sum of cash today. (announcer) what are you going to miss when you have an allergy attack? achoo! (announcer) benadryl is more effective than claritin at relieving your worst symptoms. and works when you need it most. benadryl. you can't pause life.

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>> i refuse to let america go back to the culture of irresponsibility and agreed that made it possible. back to an economy with soaring ceo salaries and shrinking incomes. back to the days when banks made reckless decisions that hurt

wall street and main street alike. would be bad for unions, bad for the middle-class, bad for the united states of america. we are not turning back, we are moving forward. bill: that was the speech from pittsburgh, pa., for union leaders. live pictures now from the hill. we are watching the office of senate finance committee chairman max baucus. he spoke earlier today, carrying a smile, but said that there will be no republicans standing by him when he unveils his version of the health care reform committee planned. here is what we expect, the measure will not contain a plan for government run health care insurance. it will come at a cost for many middle income americans, who will likely face a 30% increase in their tax. on those so-called cadillac insurance plans.

both will lead to greater costs for those who are insured. like the union workers. what kind of congressional support can we expect from the new bill? karl rove, a former adviser to president bush and a fox news contributor, how are you doing, carl? >> better than max baucus. bill: wait until this thing gets to committee. democrats are going to go after this thing, are they not? >> some of the more liberal senators have already begun. we do not know what it will look like, but yesterday senator rockefeller and others, senator men mendez, went after it. we are likely to see a lot of criticism from the right and left. that is the problem with health care. when you are trying to do a big huge gigantic change like this,

you will get problems from anybody. bill: that is the pattern. all the way back to 1993, people that stick their noses out from under the covers get eviscerated. >> during the antebellum period during the civil war, particularly in 1850, there were decisions that need be made at congressional leaders realize that if they wrote them in individual pieces, there would be enough votes to pass the key. the same might be true here. most of the things in the bill could be passed, but only if they are standing alone. if the president said, for example, here is my thing on insurance reform. he is likely to get more if he bumbles it together. bill: but apparently this is not the way they're doing it. we could talk in circles all day. you still have two big problems,

cost and the public option. my position, for months, has been that i do not know how you get it done in the end. if you disagree with my position, tell me what it looks like in the end. >> i do not know what it looks like in the end, but you have hit on the two points. the president said that he would not add a dime to the deficit, but the bill said that this bill is -- but the cbo said that this bill is in deficit. despite the cuts in the beginning, they rapidly get into annual deficits. that is to say that the money coming in is less than the money going out, so in effect in -- second decade it could be as much as $1 trillion in red ink. you have hit on the main problem. how can you structure this in a

way that is revenue neutral? bill: just to move this conversation forward a little bit, how do they get the boat? -- votes than oes? >> if you have 60 votes in the senate, as the democrats do end as obama has, it is likely that they will get something. but i think that they have gone about this absolutely wrong. they have tried to do much in too big of a package in having the white house strangely disengage. there was a meeting yesterday with axelrod on the hill, visiting with senate democrats. they started to ask him where the white house was on these major provisions. is the answer was to say that he was not there to negotiate -- his answer was to say that he was not there to negotiate, lee

to listen. they may need to conform themselves, or at least figure out where the differences are. bill: that they will get something, that is important, but how you define something? there was no -- if there was no t.a.r.p. last fall, if there was no although bailout in december, if there was no climate change bill in the house, would you have a shot? >> a better shot. but take all of those items, add in the stimulus bill and the budget vote, where people supported a plan to double the national debt in five years, at all of those together and it goes to be a toxic mix. -- add all those together and it goes to be a toxic mix. the generic ballot amongst seniors with 45 republicans, 43 democrats in the 1994 elections.

in 2006 it was 53 democrats, 40 republicans. it is now 51 republican, 43 democrats. one out of every three voters next year is likely to be a senior and you see those numbers, you have got to be scared if you are a democrat, particularly one of the ones from the house of representatives. bill: which goes back to fiscal discipline, budget neutral and how to pay for it. we have got more stuff for you, karl rove. megyn: next, we get his take on this new outrages tape released on -- from the acorn scandal. a young couple posing as a pimp and prostitute, asking acorn workers how to get your tax dollars to help them set up a brothel. >> we are going to have a bunch of girls performing tricks. she is going to give me the money so that i can pay the

mortgage. okay? that is how we want to work it potentially. >> your name is going to be on the mortgage, her name? >> on the deed? megyn: that was one of the earlier tapes. this one here is the one from california. will a fourth tape be the one that finally convinces the democratic holdouts in congress, who continue to protect acorn and its federal funding, will this push them over? hey, has anybody seen barney?

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megyn: and then there were four. four undercover video tapes showing acorn workers advising a

young man and woman disguised as a pimp and prostitute on how to fund their business with federal tax breaks. the latest tape comes from san bernardino, california. >> this has to do with my girlfriends unique line of work. >> ok. what is it? is it stripping? exotic dancing? >> no, it is not. >> prostitution. >> ok. it is ok with me. i think it should be totally legalized. megyn: ok, no problem. the u.s. census bureau finally decided to cut ties with acorn. sunday the senate voted to stop

acorn's access to certain federal funds. now, will the house step up and crack down on the group? karl rove has his take on it. 83-7 is a stunning vote out of the segment -- senate. does that up the ante for the house? onow they have got to go to conference. will they be on board? >> there are going to be more of the state. we will see. house democrats in particular are dependent on the voter registration efforts of acorn. they did have seven democrats in the senate vote against denying acorn access to development funds. we will see. it is a remarkable criminal

enterprise. this is not about one bad apple, we have four offices where people -- at least four, and we are likely to see more. megyn: you mentioned that the senate, senator. we have got seven, who despite the vast majority of their party -- to their credit, the senate did not go the partisan group. a member of the leadership, dick durbin, along with roland burris, and kirsten gillibrand, we just saw a tape from brooklyn. patrick leahy, not a huge surprise. but kristin gillibrand? dick durbin? are you kidding me? in the wake of this they cannot say to hold the federal dollars until we figure out what they're up to? >> the question is will congress

systematically deny acorn access to federal largess. this has always been a major situation. a politically potent group that has made itself larger and more powerful by giving federal tax dollars, supporting the orchestration -- organization that could be used for social welfare purposes. megyn: why is it so important house democrats? i know that they face reelection more often, but the vast majority of the democrats in the senate said that this is too much. why can we not expect the same of the house? >> first of all, they have a lot more liberal than the senate, comparatively. these are more intimate races that they have, in the ability of acorn to register 5000 or 10,000 new voters in your district is a huge impact on the

race. it made them work more closely with the kind of organization in political machine of b.c. in states as a whole. megyn: --- political machine ins as a whole. megyn: is it time for the president to weigh in on this group? with which he has considerable ties? >> he used to be a lawyer for them. it is a problem for them. this is a key element of his campaign. even during the campaign there was disquietude on the part of the obama campaign. there were news reports about them not being in with all of the funding requests of acorn. this is a problem, a part of his base. labor unions, community action groups like this, a huge part of the democratic machine.

the president of the united states has got to at some point be heard. megyn: now the senate has voted to cut out the housing and urban development funding. there is a whole lot of other stuff they access that is still out there. we expect to see similar votes the monday going forward? >> i would expect so. remember, there is a freshman senator from nebraska, former governor and agriculture secretary, who is a very sensible and low-key guy, it is a remarkable testament to his ability to get this kind of work done. we are likely to see him keep that the task. megyn: i know that our viewers will be following that. thank you for your insights, karl rove. bill: have the police found the killer on the campus of yale university?

a person of interest has been questioned, now released. why would that be? megyn: we are expecting new developments in the health-care debate any moment now. getting word that max baucus is set to unveil his new version of the bill. we are getting some interesting comm ts from him. we are telling you what this all means for your bottom line on health care reform. >> during markup they will become more comfortable with it.

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bill: significant developments in the murdered tried to beat and graduate student, annie le. police discovering -- murdered bride to be and graduate student, annie le. police had a person of interest in the case, raymond clark, a lab technician that worked in the building where her body was found. he was taken into custody last night, released a short time ago according to his attorney. why did they let him go, rick? >> this was the purpose all along. he was taken into custody, but was not a suspect. they did serve two search and seizure warrants. they brought him to a secure facility with the purpose of getting his saliva, hair, fingernails, and other dna

evidence. the police said that they would let him go if he cooperated. which he did. then he was released to his attorney. here is the key, there were rumors all saying that this person had been on the lam. that was shot down last night, they said that he was in their sights the whole time. you had better believe that as they process the evidence and compare it to the evidence that they collected at the scene of the murder, while they are processing that they are going to keep an eye on this guy. bill: thank you for that, developments on the campus of new haven, connecticut. by the way, rick is watching the latest developments on line, posting updates. to see them, had to our website, and click on the --

mhead add to our web site and click on the link. megyn: the house officially voted to disapprove of congressman joe wilson's outburst. they did. one of the men voting against that resolution was john carter, who called this the most blatant display of moral and legal hypocrisy in the history of the u.s. congress. he is my guest now. congressman, good morning. that is a strong charge. in the history of the u.s. congress, the most blatant display of moral and legal hypocrisy? why is that? >> looking at what we did

yesterday, first be made a public spectacle of the founders in the way that we debated something where all that we really said was we do not like what you did. it was a milquetoast resolution. all of this in light of the fact that the chairman of the ways and means committee, with multiple issues concerning failure to report and failure to pay taxes, much of this reporting, they do not even seem to want to discuss this matter, bringing real shame on the congress. we have got this spank on the head that says that we disapprove, i thought it was extremely weak.

megyn: you called it an example of truly malignant partisanship. what do you base that on? tell the viewers, in case they are not up to speed, but your problem with charlie rangel. >> he stated on the floor of the house that he failed to pay taxes on rental income. that he paid no penalties in interest over 10 years. he failed to report how much he was worth or what he was worth. one year ago yesterday, nothing has gone forward on these allegations. since that time we have discovered more income he did not break -- did not pay taxes on. an entire list of items came out that he failed to report in 2007.

and i keep asking what we are going to do. these people responsible for the congress, what are they going to do about it? i get no response. >> this is the most powerful committee in the house. they have up the purse strings, ironically. last year he was given a sweetheart deal where he did not have to pay any penalty or interest. now there are new allegations about tax problems. is he going to get the same deal? i know that your position is that if megyn kelly did not pay her taxes, or joe smith did not, they certainly would not get a deal for just back taxes and no penalties or anything else. as a result you have introduced the charlie rangel rule. what is that?

>> he should not get special treatment because he is a member of congress or because he is a chairman of the ways and means committee. he should be treated like everyone else. if that is the standard that the irs is going to set, all americans should be treated the same way. therefore, i say that if you owe penalties, the way it is now, they will exercise the same rule on your tax return. you should beach rape -- treated the same way as charlie rangel. megyn: any takers for that one? >> a few. it will not get through, but the survey puts sunlight on an issue that is important to the american people. democrats are saying forget about charlie rangel, this is

about decorum and behavior on the house floor and that joe wilson clearly violated decorum with this outburst. which i think everyone can agree on. why not just have them say that we will not stand for that? that it is appropriate? >> they did not say to forget charlie rangel, they simply do not address it. they act like it does not -- like it did not happen, and it did. it is serious. the chairman of the most important tax writing committee in america and he does not pay his taxes. megyn: attempts by republicans to get charlie rangel to step out, even some democrats have supported that, if i am not mistaken. she will not do it, the democrats will not allow a vote on it.

in any event, congressman, thank you for being here. >> thank you. bill: should school children be given a warning before pledging allegiance? one group says that before being asked to stand that teachers should say students have the right to remain silent. megyn: new reports that the white house is tracking and saving e-mails. facebook, my space, you name it. new light in the old e-mail controversy just ahead.

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bill: problems come to light concerning the pledge of allegiance, one group is calling for a new type of warning before kidsd and take a pledge. the senior policy analyst for americans united for separation of church and state is with us. this will be a tough argument for you to make, you are looking for a standard that applies to every school district. explain your position, should teachers be reading miranda rights to children? >> that is your creative take on it, but now. i would say that the use of the work morning as pejorative. i would say put this information into a handbook that goes home to parents, letting them know that in 1943 u.s. supreme court ruled that the students have an opt to -- have the right to opt out.

if the students are informed, parents are informed, it will cut down on unnecessary litigation. bill: i am thinking, if i am in second grade i am confused if my mom and dad talk to me about this. so far the courts have gone against it. >> they have not actually. it was ruled in 1943 that students cannot be forced to say the pledge of allegiance that has never been overturned. megyn: -- bill: last month in new mexico a court ruled against you, that it should be ruled against -- that it should be a local decision. >> they actually declined. i would have them handle it on a local level. i think it is in the best interest of schools to do this. i have two children in the public-school system myself.

every piece of information that i get about by students and the rules and expectations, it helps me to do my job in concert with the school to see that the children are educated and that they know their rights. earlier last year the supreme court handed down a major decision about under what conditions children can be searched. bill: you want a case in florida, apparently. the teacher had a different version of the story. new mexico has kicked it down the road. how many complaints do you get every year? >> we do not see a whole lot. maybe 10 to 12. it does not matter. even of one students' rights are being violated, that is too many. majority does not get to run roughshod and say that we will do what you want, regardless of what you feel.

under god was not even in the pledge of a leak -- pledge of allegiance in 1943, when it was supported. religious people had problems with pledging allegiance to the state because it placed the state about god. bill: but there has still got to be a standard. final word? >> simple standard, 1943 the supreme court said that you do not have to say it. tell the students, telling students. bill: quell complaints every year? next time that you get one, let us know. thank you. >> thank you. megyn: president obama put it all on the line one week ago today. he said he wants to own this health care reform effort.

after a brief bounce in the polls, support is headed in the wrong direction. new numbers. bill: acorn, busted again with a new undercover camera. video tape number four, what could it mean for the tax dollars going to acorn? can your body wash nourish this deeply? the moisturizer in other body washes sits on top of skin. only new dove has nutriummoisture... which can nourish deep down. new dove body wash with nutriummoisture. superior natural nourishment for your skin.

bill: there is breaking news in the hollywood hills, high above los angeles. on the screen in front of you, clearly a large home that is burning in flames at the moment. early in the morning, just before 7:00 a.m. local time. no cause for the fire so far. it looks like the house could have exploded. firefighters literally scrambling around the area, trying not just to put out the fire, but contain it.

there is a neighborhood of homes surrounding the area. if the fire spreads it to be a big issue. it is very dry up there. there are numerous fires in the los angeles area. this would be right in the middle of the fires we are seeing so far. firefighters responding to the scene. apparently helicopter is in the area. a helicopter that carries water could dump significant amounts of home on the -- significant amounts of water on the home. we'll keep an eye on this. major fire in the hollywood hills, we will watch it here. megyn: investigators are once again digging up the backyard of a convicted felon in the bay area, phillip garrido. he is in custody for allegedly kidnapping and raping jaycee dugard, keeping her in his

backyard for 18 years, ultimately fathering two children with her. these are looking into whether or not he is connected the two other missing girl's. both girls are around the same age that jaycee dugard was when she was snatched two decades ago. claudia has the latest from san francisco. the similarities between the jaycee dugard case and these other kidnappings are remarkable. >> startling similarities, starting with age and appearance as well as the manner of production. blond hair, blue eyes, one of a little girl's was kidnapped outside of a supermarket when she was 9 years old. that was in 1988. in 198913-year-old eileen this appeared -- in 1989 13-year-old eileen was snatched from a

public place in broad daylight, as in the other cases. according to eyewitness reports, the vehicles seen matched the property -- matched the vehicle found on the property of phillip garrido. police believe that he was in the bay area at the time, living in a halfway house. megyn: thank you. have you seen this unbelievable video? incredible violence, two teenagers are now facing charges. what about the driver? what about those that egg them on? my name is chef michael.

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[captioning made possible by fox news channel] captioned by the national captioning institute --www.ncicap.org-- megyn: fox news alert, max baucus has finally unveil his draft for a reform bill for health care. this is the one we have been waiting for out of the senate. the official announcement will be in a couple of hours, but he might be a fairly -- very lonely man at the microphone. good morning, everyone. bill: a lot of big news this morning. we need a laugh, but you will not laugh at this. say hello to the max baucus bill. this bill carries and $880 billion price tag. what is not in it? the so-called public plan. megyn: "the finance committee has carefully worked through the details of health care reform to

make sure that this package works for patients, health care providers, and the economy. we have worked to build a balanced, common sense package that ensures quality, affordable coverage and does not as a guide -- does not add a dime to the deficit." carl cameron, reporting from washington. what are the highlights? >> first of all, if this is not how he wanted things to go. the senate wanted its bill passed before the august break. the chairman wanted to have a big role in that. everything is back up. -- back up. he is upbeat, this was in just a few moments ago. >> i look forward to a more detailed announcement later this afternoon. i feel good about moving forward. we are getting the bill out and

it is outstanding. >> what we know is that the $880 billion figure that the senator has been saying it will cost is lower than that. $856 billion. in the senate finance committee he will be giving a news conference, standing at that podium by himself. after eight months of negotiation with the bipartisan gang of six, as well as the input of various members of the senate finance committee, none of them have agreed to support this. it was supposed to be bipartisan. the senate committee chairmen will be doing this by himself. there is a chance that some of these republicans or democrats will sign on, but the truth is that there is growing criticism. liberals are particularly concerned that the price could be too high. and under-estimation, all of his four other bills on capitol hill start at $1 trillion.

megyn: yesterday said that the only thing bipartisan about the bill appeared to be the opposition to it. tell us more about why the democrats have a beef with this? >> there are some state -- substantial cuts against medicare. democrats are concerned that it will sell -- in some way undercut beneficiaries' medicare, where others say that it will be more administrative costs. that is a big problem, as well as the idea that premiums in the co-op plan would still be very high and hurting middle-income families. megyn: he might have problems with members of his own party, let alone the gop. it could be a lonely day for max baucus. >> empty room. bill: for now. brand-new poll numbers show that max baucus will be talking at

around noon, we will carry that live what happens. new numbers showing that support for the president's plan is headed in the wrong direction. only 45% of americans surveyed support the plan. 52% oppose the plan. this after the president's address to congress last week. the presidential approval rating slip back since his speech. megyn: good people, already satisfied with their health insurance, lose their coverage under the house democratic reform plan? president obama says no, but the house republican whip begs to differ in a new video. >> nothing in our plan requires you to change what you have.

>> the secretary of health and human services requires -- requires -- requires -- require -- require. megyn: it is tough for the viewers who are listeners on the radio, but there are captions on the screen that this be the president's claim. -- disputes the president's claim. bill: well, there is no doubt about it, the president's people are technology savvy. the use of the internet has not been without controversy. remember that health care reform e-mail sent to people that asked never to be contacted? there isn't new controversy over

what the administration is doing with -- there is a new controversy over what that administration is doing with the data. >> well, bill, major garrett first reported that when you interact with it the white house on facebook, twitter, youtube, whether you write a comment or post a video, it is archived due to the presidential archives act. a contract carrier mail service for sending out the e-mails -- contract ded carrier e-mail service, it should say that it is the lot and if you do not like the presidential records act, take it up with congress. bill: what is the bottom line for the viewers on this? should they be concerned about

their information being captured by the government? >> the bottom line is do not write to the white house in e- mail, do not post something on one of the white house web sites, because they are required to keep that information. if you would like it to remain private, remain private. those of us that interact with robert gibbs, e-mails are kept for the sake of history. if you do not want to be involved, do not interact in this 21st century way. bill: thank you, mike. megyn: republicans are not the only ones in washington worried about a health care bill providing health care funded abortions. the democrats worried about this issue will join us live -- a democrat worried about this issue will join us live next. bill: stunning revelations from

yet another acorn office on hidden camera video. >> the guy that i am suppose to be working for just got a shipment of 12 else salvadorean girls -- el salvadorean girls. i would like to take them away and use them for myself.

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listen to how one man explained his involvement. >> he does not speak english correctly. >> you have nothing to do with al qaeda? >> i have nothing to do with al qaeda. tomorrow, and a question that you have, if a free to ask me. tomorrow everything will be answered. >> -- bill: the fbi is working that story, as well as the new york police department. that man says that he was recently in new york city to pick up a vending carts that he owns. investigators say that he was under investigation for a terror plot. megyn: one week ago today president obama addressed a joint session of congress to push a plan for reform health

care, also trying to debunk what he called bogus claims. listen to what he said about abortion. >> one other misunderstandings i would like to clear up, under our plan no federal dollars will be used to fund abortions. megyn: our next guest may not have shouted out that the president, but he does say that the president is not telling the full truth. this democrat says that if nothing is done, he has the votes to kill the bill. a pro-life democrat, he is my guest now. good morning, congressman. we have heard from president obama, nancy pelosi, and numerous democrats that this is a scare tactic being used by those on the right. that it is an out and out like

to say that federal funds for taxpayer dollars to go towards abortion. you say that that is wrong? >> they are wrong. the amendment in the health-care bill, that went through the energy committee, we have been involved for a couple of weeks -- public funds, public auctions in particular will not have abortions in the public option plan. but as the premiums are paid, at least $1 and no more than $12 per month goes into this fund that pays for abortions. we tried to defeat the amendment in committee, but we lost the vote 28-30. therefore it is not a part of h r-2300 as reported for

consideration. so, that is just not correct. megyn: how can the president come out and keep saying that. i do not mean to sound naive, but how can he say such a thing before congress? you are not a blue dog democrat, you are a liberal democrat. according to your liberal quotient, it was 95% in 2007. i take it you are an obama and nancy pelosi supporter. why do they kate saying that no taxpayer money will go to taxpayer funded abortions? >> groups have certain ratings and they will give you a lower or higher one depending on which one you look at. but i am a straight moderate, ok. i do not belong to the blue dogs, i am a plain old democrat doing my job. if you take a look at hr3200 has

written, abortion was never mentioned. it was the amendment process that made it available. i told the president's advisor is, i said i was not trying to fix a fight with the president, he is technically correct. but you all know that the amendment is a part of the bill. no funding for abortions? that is not true. megyn: i know that you have asked to meet with president obama. you want to do have a sit down with him over this. what has happened? >> phone calls back and forth, trying to have a good, honest telephone conversation about our differences on what hr2300 says. it makes public funding for abortion for the first time ever available, many of us are philosophically, legally, and

morally opposed. megyn: i know that you are pushing to have an amendment that would be clear, making sure that no taxpayer dollars go towards abortion. nancy pelosi has shut you down? >> all of our pro-life amendments that we have put in every year on appropriations bills, every single one has been denied. if we are not allowed to author them, which basically says no public funds for abortion, when the rule comes up that our amendment is not in order, we are not allowed to shut down the rule in order to keep it in them. that is our strategy and plan. megyn: without getting deep into the weeds you are going to try to shut down a boat on the bill if he cannot include a vote on whether -- shut down the vote on the bill if you cannot

include a vote on whether or not abortion is legalized under the plan -- paid for under the plan. >> we believe that we have the votes. please speak to members every day on this issue. we have another letter circulating right now the both the president and the speaker. i know the other individual pro- like members on each side have also sent bills and letters to the president since his speech last week saying look, this bill is not going to go anywhere unless there is a straight up or down vote. that has been the law of the land since 1976. we are not changing it now because there is a new administration. we want to uphold the principle, the federal government does not pay for abortions. megyn: it is hard to have a debate when people on the other side will not acknowledge your point. nancy pelosi continues to say

that abortion funding is already out of the bill, it is hard to convince her to allow your amendment. i see your point. i would give you the final word. >> if she really believes that, then give me my amendment. if anything, it will then be redundant. megyn: fair point. interesting, we will be watching to see how this unfolds. thank you for being here. bill: we do a lot of analysis on the so-called czars working for the white house. members of congress are trying to get answers. one leading congressman is trying to get those exact answers. he is coming up. megyn: quick, men and women, lies more? researchers doing an in-depth study, finding that one sex bias twice as often as the other.

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>> ♪ tell me lies bill: de know the answer to this story? megyn: i do. bill: you do not. megyn: liar, you hear that a lot of the white man. guys lie twice as often as the gals according to a new study. 6 per day, according to the

three for each lady. nothing is wrong, i am fine, that is the top lawie. no. 2 -- this is my last drink. [laughter] #3, your butt does not look big. bill: that is just -- that is just megyn: i would like to add # four, "you only look pregnant from the side." the ladies have the same number one, nothing is wrong -- i am fine. and then you get the eyes. we want you to ask more. bill: that is out we get along every day. megyn

i am fine might not be a lie. megyn: second most frequently told life for women has to do with shopping. "this is not new, i have always had it." the third most common lie? that it was not expensive. i got it for 54% off. in my house we go by number of items, not the total cost. just three items, it could not be so bad. 83% of adults think that they can tell when their partner is lying. bill: at least. that number has got to be higher. someone asked a question about whether or not it fits the definition of a lie. megyn: you do not look fat in that at all. bill: it never does. keep on wearing it. hidden camera videotape capturing alarming flames inside

of an acorn office. remember, these people were secretly filmed the workers posing as a pimp and prostitute. one acorn employee has no problem offering advice on how to carry out illegal activities. so, the same premise, right? a pimp and a prostitute, they want to settle up? >> for underage girls, bill. the supervisor said that -- the woman in california said that her supervisor would shut the idea down, but that she could buys them on how to set up a brothel without being -- she could advise them on how to setup a brothel without being caught.

>> at one point the acorn worker said that this sounds like a set up, but she continues to try to help. bill: this is the fourth location. what is acorn saying? >> that the videos are edited and the doctored. acorn put out a statement last night responding to this new video saying that the employee, armed with a couple early on and matched their false scenario with her own. it was all "somewhat entertaining." "they were not even good actors. they were clearly playing with me. i decided to shock them as much as they were shocking me, saying the most outrageous things with a straight face." we should point out that as these videos come out, acorn has fired four people so far.

bill: thank you. we will see where this leaves. what did you say? megyn: like this -- i'm fine. bill: thank you for asking. brand new documents have come to light on this so-called cap and trade energy bill. wait until you hear how much this might cost you. megyn: teenagers, out of control. a vicious attack on a school bus. this beat down was so awful that two teenagers are facing criminal charges. what about the driver? what about the ones whooping it up? the hard truth in "kelly's court."

megyn: new legislation that could cost taxpayers hundreds of billions of dollars. the cap and trade bill, startling documents have been obtained from the government by the competitive enterprise institute. these documents detail the bill, which has already passed in the house.

"a cap and trade bill could generate federal receipts on the order of 100 billion to $200 billion annually. what does that mean? stuart varney joins us now. $100 billion to $200 billion of money out of the pockets of americans going to the fed? >> ultimately, yes. this is just like health care. the cost up sets everything. who pays suggest whether this lives or dies. under cap and trade industry allows the federal government to issue or limit co2. the more that you do, the more that you pay. these internal treasury documents suggest that treasury officials got together to put cap and trade at a cost of $100 billion to $200 billion every year. let's say that the house has passed a much watered-down bill under which 80% of these are

given away, you are still left with a 20% rate that could be increased in the future. what you have got is cap and trade, really it is cap and tax . a great cost to you and i.. megyn: how does it come out of the wallet of americans? >> let's say that a company has to pay money because of the mission of co2. it is a tax on that industry. they will pass it along in terms of higher prices. it is guaranteed. what are they going to do? go out of business? ultimately you are going to pay that $20 billion per year. megyn: basically what i get my energy bill at the end of the month, it will be higher. like virtually any manufacturer

or issue of -- issuer of co2. congress is going to be discussing this massive cost right at the time that they are discussing health care -- health care. megyn: at some point the burbank is broken, -- at some point the bank is broken, the wallet is busted. we will see if we can regenerate some interest. >thank you, sir. bill: let's go find some treasure. wall street, 18 points on the dow jones. new reports helping analysts a handle on the economy. the consumer price increase -- index, rising by 20% in august. so, it may feel pressured to raise its benchmark interest rates. inflation is high debated on

whether it will happen or not. we will keep an eye on that right here in "america's newsroom." megyn: seems like we get one of these every day. fire officials say that a commuter train has collided with a buffer at the end of the track. bill: that was yesterday, right? >megyn: but now we have more details. 15 to 20 riders with minor injuries. the train was entering the station at 8 "very low rate of speed." how did the guy had a bumper? the train operator said that he misjudged the distance to the end of the platform. how did that happen? he is being tested for drugs and alcohol. bill: that was really early in the morning, right? megyn: how can yuma's judge? bill: what was it, two months ago when the operator was texting? lots of injuries in that one.

megyn: watch out for the bumper. coming up next, a brutal beat down on a school bus. we will tell you what happened to the attackers. the legal fallout to this viciousness in "kelly's court" next. >> he had glasses on. it appeared that they cut his face. he took a lot of strikes to the face. ")come on, girls with limp, lifeless hair...

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gathering dust, as pollen floats through the air. but with the strength of zyrtec ® , the fastest, 24-hour allergy relief, i promise not to wait as long to go for our ride. with zyrtec ® i can love the air ™ . megyn: "kelly's court" is back in session. on the docket, the line blurring charges against the boys and men. refused a seat, a boy finally sits down where he was refused to sit.

in a flash the crowd is cheering as a bully lands multiple blows to the face of the boy trying to just sit down. look at these animals. cheering. police said at one spectator grabbed the victim's cell phone and took pictures. five minutes later, a second attacker takes his turn, wailing on the victim again. now both of those suspects have been suspended and are being charged as juveniles. what they are charged with remains to be seen. what about the spectators on that bus? what about the driver that did nothing more than yell "sit down." let's ask the panel. good morning. >> morning.

megyn: this is horrible. hard to watch. the scars that he will suffer for the rest of his life thanks to those hooligans, it cannot be overstated. this is awful. every parent with a kid on that bus that encouraged it or did it should be ashamed of their children. there is no question about it. what can be done? in illinois you can not charge them as adults. that is the law, unless it is a murderer or there have been repeat offenses. suspension, is that enough? should they be expelled? what about the people cheering on? >> what a horrible mob gang mentality. this is not a case of a duel between campus jobs over a girl. this was a vicious, unprovoked attack. too bad that you cannot charge them as adults. they were trying to break his

face. they were encouraged by every other kid on the bus. the bus driver did not even pullover? every kid on that bus should be expelled, or at the very least suspended for a long time. that bus driver has no business. megyn: the bus company is standing behind the driver, saying that he followed protocol. he was on an overpass and could not pull over and that he did what ever he should have done. >> this was reprehensible conduct for everyone, everyone that did not try to stop this thing. morley what they did was reprehensible. the question -- morally this was reprehensible. the question is what to do with these young offenders. i am not defending this at all, what they did was

reprehensible, but as a form of mitigation i think that they need to be online the counseling. we owe that to potential future victims out there. megyn: it cannot hurt. obviously these boys need some serious therapy. not to mention some good parenting. if you can even turn them around at this point. what about the spectators? if this were my son on this bus and i saw him "yeah, yeah," i would be apoplectic. >> that is because you have gotten -- you are a good parent. megyn: those kids have received five days' suspension. that is it. >> at a minimum they need to be counseled to understand what they did it was reprehensible. there is no criminal charge that can be brought for someone that watches an offense take place.

it is morally reprehensible, but there are no criminal charges. they do need counseling to understand their actions. megyn: look at the spectators. look at how they encourage it. one boy steps in. the others love it. >> the school should be able to do something that will really have an impact. the school should not just reprimand every student on that bus, but the parents should be called in as well. this is disgusting. you cannot do anything criminally. it would be one thing if they sat and minded their business, but that is obviously not what happened. megyn: these kids, the attackers, you do not doubgo frm this -- from being a child to doing this immediately. megyn: the bus driver said the

he was on an overpass and could not pull over. does that excuse it? he continued to drive to the school as the fight went on. >> i do not think that it does. megyn: the extent of his discipline was "sit down." >> there would be other choice words that i would have and i could not pull over. the fact that he said "sit- down," that that was the only thing that he said, it does not lead to criminal prosecution, but morally what he did was reprehensible. megyn: if this were your son, would you not go after the bus driver somehow? >> i would already have a lawsuit filed. do not tell me you cannot pull over. if you had a flat tire you would pull over. call the police, at least. megyn: apparently he called the dispatch.

>> he called the school nurse. big deal. megyn: the adult on the boss, he could have done something to get these boys under control. this kid had no advocate except for the one boy that stood up for him. thank you. one final word, these kids should be expelled, never mind suspended. they should be charged with the maximum crimes available under the illinois juvenile laws. spectators should face a longer suspension than five days. they should be forced to undergo sensitivity training. as for the bus driver, if he was actually following the rules, as the company claims, the rules need to be changed. perhaps he cannot get physically involved, but could he have not done more than yell "sit down"? bill: turns your stomach. what are the white house czars

being paid? many of our viewers are asking these questions. answers, because you asked, only three minutes away.

bill: several republican lawmakers are looking to pierce the veil of secrecy surrounding the obama czars. they have a list of questions that brings us to our bya. because u.s., wally johnson wants to know -- he is not the only one, by the way, "by what authority does the president appoint these czar? what are their salaries? which departments of government pays the expense?

how are you doing, sir, good morning to you down the hill. any answers out there for us? >> there are few answers from the white house so far. i will give the white house a little bit of a pass. although this administration does not seem to be expanding the ge -- although the said ministration seems to be expanding drastically, they did not invent the concept. some of these people are paid for by the administration, we know some of their salaries. 54 of these, there may be 65, 32 are on one guaranteed list, could we tell them -- could we be told who they are? there fbi background checks? the confirmation? there accountability? -- thair account it -- their

account ability? we are expecting the administration to hold them accountable, back to your question, are they truly working for the president and the executive office of the president? or have them confirmed and accountable to the actual cabinet officers and the u.s. senate confirmation process. bill: you believe that you are going to get those answers, you are saying? >> i believe that we will get some of those answers. i think above the problems is that rohm emmanuel has proliferated this idea of having someone for every interest group. i am not sure who they want to call a czar what we know. is that constitutionally, someone has the authority through the chain of command, they have to be vetted and confirmed by the senate. that is the cabinet process and the assistant secretary process. a few have gone through that, most have not.

that is where the unconstitutional behavior begins. bill: you mentioned 54 czars. be counted 36 -- we counted 36. we do not know why there is such a disparity. president bush had 13 czars, did you object than? >> -- then? >> the drug czar was to drugs what the surgeon general was to health care. mostly about the fact finding and advising the president and making public statements, without having a large staff. we all understand that one. 54 and beyond it begins to be obviously undermining

constitutional intent. that is why senator byrd is one of the largest critics and one of our allies. bill: another democrat from west virginia. three czars are responsible for $1.30 trillion in spending. that is a lot of federal spending, $1.50 trillion. >> absolutely. sometimes where it is most the problem with those who are influencing behavior with all levels of government, carrying this but not being accountable. imagine 32 people operating without any oversight of the house or senate. for the most part that is what we are getting too, czars overlooking the t.a.r.p. money is the exception. mostly people have never and never will again.

bill: these outstanding questions, thank you. we will watch for your news conference later today. check that, you can e-mail hemmer@foxnews.com if you have got a question. megyn: for months they have been negotiating. now it is the moment of truth. any moment we expect to hear from max baucus on his much- anticipated version of the health care reform bill. is he going to show up to the microphone all by his lonesome? . it's just not our thing... gecko vo: ...but i do work hard, mind you. gecko vo: first rule of "hard work equals success." gecko vo: that's why geico is consistently rated excellent or better in terms of financial strength. gecko vo: second rule: "don't steal a coworker's egg salad, 'specially if it's marked "the gecko."

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