>> thank you. >> brian: you'll hear more from the hooters girls in the after the show show, coming your way right now. >> gretchen: have a great day, everyone. bill: good morning, everybody. this is news just crossing now, a fox news alert, and good news for the global economy, bad news for us here in the u.s., and this election season is all about the economy here at home, the imf, international monetary fund, moments ago saying the u.s. economy is gaining strength, in fact it concludes we are slowing down, politics and money, they are connected as much as ever today, 27 days from an election, it is news just crossing now. more on that when we get it here in "america's newsroom" but first, there is a big story shaping up involving an issue facing millions of americans. did big banks knowingly engage in foreclosure fraud? there's an investigation underway into whether or not lenders used false documents and false signatures to justify hundreds of thousands of foreclosures.

it's a story we're looking into right now. good morning, i'm bill hemmer, welcome to america us announce room. good morning -- newsroom. martha: good morning, bill. three big lenders have investigating foreclosures. this is getting the attention of house speaker and attorneys general as well, calling for a nationwide halt to all foreclosures and evictions. bill: if that is the case the taxpayer could be on the hook. stuart varney, fox business network and host of varnny & company. stuart, what's the story on possible fraud, how does that work? >> okay, this is all about paperwork problems with the foreclosure proceedings. wrong signatures, missing documents, false documents, false use of notary publics, that kind of thing has been going on, that is acknowledged. there is a legal challenge to all foreclosures because of those paperwork problems in the foreclosure process.

that has led to this push for a nationwide freeze on all foreclosures, with significant implications for everybody in america if it happens. bill: why is that significant? you've got politics in play here, you've got taxpayer money, how do the two join? >> let's deal with the taxpayer money for a start. you and i and everybody watching this program, we owe fannie and freddie, which holds, what, 70, 80 percent of all mortgages in america. if you freeze foreclosures, fanny and freddie, owned by us, owned by the taxpayer, cannot get any money out of the mortgages they hold where the foreclosures are frozen. result? we, the taxpayer, take a hit. you've got a political problem. it's not a political problem, but there are political elements to this story as well. it is possible that democrats in california and nevada, the hardest hit states by foreclosures, would get some help if there were a freeze on foreclosures, which allowed

literally 2 1/2 million people to stay in their homes which they can no longer afford. that might be seen as a political help for some people in some states, but you've got -- look, you've got moral hazard. you've got 47 million homeowners who are up to speed with their mortgages, having to pay 2 1/2 million -- >> bill: great point, but if i'm a buyer throughout and i want to purchase a foreclosed home, what's my incentive to buy it if the loan can be untied or undone? >> there is none, you cannot buy that home but you cannot be certain that the foreclosure took place properly, so you are a valid buyer. you don't buy it in the first place. bill: stuart, we need to get the housing market fixed before the economy goes in the right direction. i want to get to you a bit later on that imf story that's breaking about the u.s. economy slowing. we have not seen it in the stock market, the dow 30 was flying yesterday. so we'll check in on fbn, 9:20 stuart, thank you. martha: let's get to health care for a moment here. reports today that the

company, 3m, is no longer going to offer any health insurance to retirees. minnesota-based company, you know it well, of course, they make the post-it notes and scotch tape, saying it is making these changes based on the new health care overhaul. that's what it came down to for them. instead what they're doing to do is offer retirees a sum of money to shop insurance on the open market. 3m has about 23,000 retirees whose life is going to change to a certain extent because of all of this but a company spokesperson says they don't know how many of the 23,000 will actually be affected by these changes. change all over the place. bill: on a related note in health care, in the state of iowa, 21,000 seniors have been told their health insurers are no longer provide medicare advantage plans until 2011. under that plan, iowa seniors get their health insurance through a private company, not the government medicare program. the plans provide prescription drug coverage, as well as medical and hospital coverage, to seniors who are losing their plans now have to choose

another plan that offers medicare advantage will return to the standard government-provided medicare. changes in iowa, coming to them. >> the death penalty issue is front and center right now in connecticut's governor's race and this is why. it happened on the very day that a jury convicted one of the two men who are charged in a horrific home invasion case, the murder of a mother and her two daughters, and if you saw that, william petit n. that story yesterday, it was heartbreaking to watch that man after that decision. now, last night, in a debate that was moderated by chief political correspondent carl cameron, republican tom foley says he will stop any effort to abolish connecticut's death penalty. democrat dan malloy, long opposed to capital punishment. look at this. >> i support t. i would not change the law, for the next governor, there will be a death penalty abolition bill waiting in their in box and i will veto it.

my opponent said on friday he would not veto it. >> i'm the only person running for governor who's ever put someone away for life, so i want to be very clear, no one is going to protect your family as well as i will. and if tom wants to insinuate that, he's simply wrong and trying to play politics with a very serious issue. martha: that's an interesting race in connecticut, over jobs and economy as well, last night, as carl cameron put questions at them. if malloy wins he will be the first democrat since the 1980s to actually win connecticut's statehouse, the latest statewide polls give malloy, the democrat in connecticut, a six-point lead. bill: meanwhile from california, the farm workers in that state said to be coming out in full force, ready to projust outside republican meg whitman's office, wearing i am nicky t-shirts in response to the housekeeper, nicky diaz, who was fired for being an illegal immigrant. but the latest reuters polling says that 72 percent

say that whitman's domestic help problems will not make a difference in the vote for governor. meanwhile, diaz for her part is speaking out again, saying it was her own decision to come forward, this from yesterday afternoon: >> i make my own decisions. i'm not anyone's puppet. i really thought about it before i decided to speak out. nobody made me do it. meg whitman was wrong when she said somebody put a gun to my head. nobody did. i spoke out because i want people to know who meg whit man really is and i am glad that i did this. bill: that was diaz yesterday with her attorney, gloria allred. second statement she's made now in about a week's time. whitman accused the brown campaign, jerry brown, the democrat, her opponent of

using her as a political pawn. she said she considered nick ce diaz a part of her extended family. all the hot political developments heading into november right at your fingertips. if you have not heard, download that new america's election headquarters iphone app on foxnews.com, also if you're at the app store, pick it up, it takes nearly -- merely seconds. martha: the case in front of the supreme court, new developments in a showdown that pits freedom of speech against a grieving family's right to privacy. you have probably seen this video, it is appall to go many, members of the west borough baptist church staging callous protests at the funerals for u.s. soldiers killed overseas. imagine what this is like for family as me drive up in the procession for the funeral to see this, many -- are they protected by the constitution? that's the question the supreme court is taking on. james rosen, a lot of folks

are watching this closely, james. >> reporter: that's right, martha. the case of schneider v flel's have been described by analysts, me along them -- me among them as a free speech case but it could be decided on other grounds entirely. here are the facts this the -- in the case. marine lance corporal matthew schneider was killed in al anbar province in march 2007, his father -- his father, albert schneider, sued the west borough baptist church and its past, fred phelps after its member traveled from topeka, kansas to maryland to protest at matthew's funeral in acts that claimed it worsened his diabetes and depression, the protestors carried god hates fags and you're going to hell, but they claim those messages weren't aimed at matthew schneider, who wasn't even gay, but at the united states government, which these parishioners claim is too tolerant of homosexuality. arguing for the west borough

baptist church will be the pastor's daughter, margie, an attorney, and before the briefs filed in this case, we have some idea of the lines of armentation we will see develop this morning, from the brief for albert schneider, quote, this court has recognized the survivor's right to privacy in protecting the memory of the dead, thus mr. schneider had a substantial privacy interest, in attending his son's funeral without unwanted interference, the phelps' conduct caused mr. schneider serious emotional and physical hardship and hindered his grieving process and therefore interfered with mr. schneider's privacy in an intolerable manner. for the brief from the phelps in the -- and the west borough baptist church, flvment niedo mr. schneider made himself a public figure when he spoke to the media extensively after his son's death and when he sought out the media after the funeral. the phelps continue, mr. schneider has made expansive use of the media and been wildly successful

in persuading the entire country that his son is a hero and west borough baptist church is a villian whose words should be ularly disregarded, thereby enjoying all the benefits of a public figure. >> the real clash of fundamental values and the stuff that goes through their -- to the basic core of what our society looks like, so i think that is one of the more interesting case toss watch and justice kagan will be voting in that case and i also think you're going to get an insight into all of their views because i don't think that's going to be a unanimous decision, i think you will get a lot of different opinions about that case. >> reporter: the oral arguments in schneider v phelps, set to occur shortly after 10:00, i will be -- i will be in the court to hear them. martha: we'll talk to you later, james rosen in front of the supreme court. bill we mentioned this, 27 days and counting, huh? midterm, 27 days away. the voting, would you believe it or not, is already underway in 40 states. is this liks about the candidates, the -- election

about the candidates, the issues or president obama's agenda in we'll debate that in a moment of moments -- in a matter of moments here. martha: it's being called a toxic tsunami, a flood raising serious concerns, at least four people killed in this mess. we're going to tell you where this is happening.

bill: the president has been stumping across the country announced says dollars midterm vote is a choice between comic -- democratic polices and republican polices and some analysts beg to differ saying the elections have nothing to do with the candidates in each race and not even the issues for that matter but everything to do with how voters feel about president obama. is that the case? mary ann marsh, good morning to you, chip salzman, former campaign manager for mike huckabee, welcome back, you guys were great together last time. chip, what is it, the candidates, polices or the white house? >> yeah, this election is about two words: barack obama. as you look across the country and look across the states, where his job approval is doing the worst is where republicans are doing the best and especially in races that we really shouldn't be in competitive in, in states we haven't played in for a while and it's all about barack obama. bill: why is that, do you think, chip? >> it's about health care reform, higher taxes, it's about financial regulations,

it's about the democrats' overreaping and jobs and unemployment. as i look at the poll numbers from a lot of the races i'm involved in this year, it's 45, 50 percent number one issue is jobs and unemployment and they don't think that barack obama has the right plan to fix that, and that's why you're seeing that throughout the polls. places like nevada where sharron angle who is a relative unknown is going to take down the senate majority leader and it's mostly because of barack obama. bill: that's in nevada. why don't we pull this up now. our fox polling out yesterday asked a couple of the critical battle ground states about the job performance of president obama, look at this disapproval number, missouri, 58 percent, mary ann, nevada, as chip mentioned, 52, ohio is at 56, west virginia is a whopping 65. is chip right when he says this is a referendum on the president? >> well, i mean, chip wants this race, all these races to be a referendum of barack obama because it's the only way republicans can win. they can't run on their record because they don't

have one. that's why it's so important that democrats make this race a choice between themselves and the republican opponents. the myth out there about a lot of these republicans is much bigger than the reality. when you look at these candidates and pull the curtain back it's like the wizard of oz, it's a little guy or gal on a stool and that's why you've got to go after them hard. bill: to that point, do you think democratic candidates are run thank way? because a lot of these races we've seen already have gone nasty. it's below the belt and it's personal. it's not about the issues. it's not about a health care vote or cap and trade vote. >> you're right, bill. that's the mistake some of these democratic candidates are making. joe manchin, a wildly popular governor in west virginia, the republicans trying to tie him to barack obama, even using an ad saying he's such a great governor, we've got to keep him here, we don't want him to go to washington and help barack obama, joe manchin has to make a choice between himself and the republican opponent, to show the thingsdy to help west

virginia in the election. bill: the polling we found specifically in west virginia, three different states, missouri, vest washington and nevada, to the viewer at home, look at the middle chart there, has the obama administration polices helped or hurt the state's economy where you live, missouri, 48 percent says it hurts, nevada, 49 percent, west virginia that mary ann just mentioned, 55 percent, chip. >> it's unbelievable. and i agree with mary ann, i wish it was about everything i wanted because it would be a better world but west virginia is the classic example, they should be a slam dunk for democrats of any place in the country, you've got a very popular governor there that is getting --sy probably going to get beat based on barack obama and his tie toss him. if you look at missouri, you've got roy blunt run away with t. ohio, the democrats are going to abandon that race because rob portman is doing well, a place where barack obama is doing well, nevada, a relative unknown taken down the senate majority leader based on his polices and voting record with barack obama over the last two years.

look, in 2006, this was in the exact reverse, and george bush was very unpopular, and democrats actually took advantage of that and got control of the congress. so this is what happens when you've got a very unpopular president, that's not getting the job done, that's doing things that the american people don't agree with. bill: i'm out of time, mary ann. i'll give you the next word, next time. mary ann marsh, thank you, chip salzman, you as well. thank you. martha. martha: could an overhaul of health care reform be coming? the most significant challenge and the one that the supreme court may ultimately take on is coming from an individual. judge napolitano joins us on what that will mean. bill: a new onslaught of rain taking a lot of folks by surprise. flash flooding has become a big problem for too many in this part of the union. roll it. >> it pushed me further into the puddle, deeper into the water, that's why my car filled up with water. >> did you feel the car float? >> yes. >> you were not touching the

ground? >> i was not touching the ground. my foot was on the gas, it wasn't moving anywhere.

martha: something the markets will have to chew over this morning, there is a surprising loss that has just been announce private sector jobs, accord to adp pts september report, they found that private sector employment fell by 39,000 jobs, from august over to september. it comes ahead of this week's monthly jobless numbers from the government, and as you can see, unemployment has been treading in the mid 9 percent range, private sector jobs, extremely important to that picture. bill: all right. folks from the american west will not like today's forecast. it's a good day to be a duck and frankly, not much that. severe storms could be on tap in places like arizona with strong winds and heavy rain, possibility of hail,

the contained of nasty weather triggering flash flooding in parts of phoenix, leaving so many motorists finding out the hard way how bad the flooding has really become. here's how fox phoenix is reporting that story: >> it was tough trying to talk to the two friends in this car, stranded in the middle of some deep water on the 10 freeway. this sudden downpour caught them off guard this afternoon and they say a wave of water actually came over the top of their car. >> it was enough to twist me further into the puddle, deeper into the water, that's why my car filled up with water. >> did you feel the car float? >> you were not touching the ground? >> no, my foot was on the gas, wasn't moving anywhere. >> michael and his buddy, stephan, didn't make it out of this high water until a highway patrol truck gave them a push. >> i was starting to think we were going to have to jump out into it, ice cold water. >> after this powerful rain storm today, their car was soaked with water. but these two friends aren't

so much worried about the damage here. they're just thankful they made it to safety. >> scare yevment really scary. i'm glad i'm alive. bill: we'll check the freddie mac later today. alex cavitz, kafz on that. if you don't have to go out in phoenix, might be a good day to stay in. martha: here are interesting numbers for you, the health care overhaul is expected to add 32 million people to the health care system. that's a lot of folks. so where are all of the doctors going to come from to take care of these people? we already have a shortage. the just institute of medicine says they believe nurses will step in to take the places of doctors in some situations. drft david somati, is this okay, is this a good solution to the problem? >> martha, i think for a short fix, this could actually help the physicians, in order to be able to carry the burden. we are talking about over 30 million patients coming

on board, and not only physicians, but only we need the help of physician's assistants and the nurses to be able to do this, so i think for short term, this may be helping the system, but long term, i don't think this is really the solution. mainly because the training -- you know, we're talking about the education of doctors, versus nurses. and there's no question that the nurses are extremely valuable to the care of the patients. they are the ones that are in the first line of delivering -- delivering care to our patients but, you go through many years of residency, medical school, and we're in the business of taking the data, digesting it, making very tough decisions, and of course, the nurses are delivering it. their culture is also totally different, so i think while we are going to be able to work together as a team to be able to take care of all the patients, my only concern is, you know, the quality of care, and hopefully that will not be affected by this decision. martha: and i feel like

anybody who's ever been in a hospital knows there is nothing better than a good nurse, and good nurses are in such great demand and we hope more an more people go into that field but long term we don't want a shortage of doctors in this country, so how do we encourage more people to become doctors and make this a profession that is something they want to go into? isn't that the ultimate thing that needs to happen? >> i think that's a big, important part of it here. while the nurses, we have over 3 million nurses in this country and there's a big -- they're a big segment of the health care in this country but you're absolutely right, we need to incentivize family physicians to go into internal care, family medicine, and medicine in this country is a moving target, men and women are getting older, we're practicing better medicine, so they're living longer and their health care decisions are getting more and more complex, so we want to make sure that we are not losing the doctors, we're -- over 63,000 shortage of doctors in the next five years, that's a serious, serious

problem. while the nurses can jump in and help, we really need more physician, more qualified physicians to make very complex and hard decisions. martha: have to make it a good field, have to make it where people can make a good living, as doctors in this country encourage people to do that and we love the nurse practitioners and the physician assistants, which is a highly trained level of nurses that will be helping in all of this. dr. samadi, thank you, see you soon. bill: politics, here, martha, they're fighting out like two new yorkers normally do, so is that helping republican carl paladino or helping democrat andrew cuomo? the results of that poll tell us part of that story, and you'll see it in a moment. martha: this is a crazy story, an american enjoying his vacation when he was allegedly shot by members of a drug gang, now the victim's family is calling on president obama to help them along the border and accusing mexico of stalling. >> i turned my jet ski around to go get him because

he was in the water and i tried pulling him up, but a boat had approached me with a gun, and he pointed the gun at me. and then they left, and that's when i tried pulling him up on my ski. martha: new developments in this story, when we come back.

martha: a look at some of the top political stories making headlines, white house senior adviser david axelrod shooting down rumors of secretary of state hillary clinton possibly replacing biden on the 2012 ticket, saying, quote, there is absolutely nothing to it. though according to fox polling people might like that idea, 67 percent of democrats, in fact, say they would prefer secretary clinton over vp joe biden. we'll see what happens with that. a new poll shows the a combative governor's race in new york is widening, the survey among likely voters giving democrat andrew cuomo

a comfortable lead over paladino in that race, 56- 56-32 percent. a big wide gulf in that poll. bill: 9:32 here in new york. what happened on a lake that straddles the texas-mexican border? a family of a man allegedly shot and killed by pirates on that lake are speaking out, the father, accusing mexican police of corruption, and not doing enough to find his body. hartley's wife, also seen here, saying that men widing -- rideing in speed boats killed her 30-year-old husband last week, shot him in the head, she said. the couple was riding skis on falcon lake a. popular spot for fishing and water recreation. the controversy is threatening to morph into an international incident. there is more on this, and for the latest, kris gutierrez is working that story out of dallas. what is new today? >> last night david stanley held a memorial service in south texas to honor david.

i'm told that hundreds were there. remember, still this morning, he is missing, and is presumed dead. based solely on statements given to authorities by his wife, tiffany. remember this is down in nogales, texas. police in mexico question this morning whether or not this shooting even occurred. according to mexican investigators no one on the mexican side of the lake saw or heard anything, the police commander said there and i'm quoting, since everything is so calm over there, they could hear any noise, but they say they didn't hear any gun shots or anything, and they didn't even hear a jet ski. yesterday, tiffany had this to say to her skeptics. listen here: >> i can't imagine that. because i loved him so much. he was my rock. he was everything to me. and i loved him. and there's no way i would do anything like that. i can understand when they

say they can't find the body, but they're not looking. they're not looking for him. >> hartley's family says they simply can't trust the mexican government. bill: what are you hearing on your side of the border down there, the texas governor, is he talking about this? >> you bet he is. texas governor rick perry says he does believe what tiffany hartley is saying, in fact, he points out there have been several incidents on this lake this year alone, plus there was a witness who saw a boat chase ago jet sceevment here's what else governor perry said. listen: >> we've asked all the right questions, our sheriff has asked the right questions. anyone who is trying to deflect off of what this actually is ought to be ashamed of themselves. >> reporter: authorities down in zapato county, the texas side of the border, are also taking this very seriously but they simply can't venture out into the mexicoan waters legally. bill: kris gutierrez, thank you. it is not the first pirate incident on falcon lake, the latest marking the fifth

reported attack of its kind this year, texas department of department of public safety saying four heavily armed men boarded two boats then, may sixth, two armed men approach a boat, ten days later, 16th of may, five armed men board a boat on the u.s. side of that lake, august 3rd, a month ago, police say falcon lake pirates teamedd to stop a texas fisherman. martha: fox news alert for you this morning, europe boosting its security right now. france, just issuing a major terror alert for travelers going to britain, and british authorities who say they believe the risk of an attack is, quote, very likely. meanwhile, here in the united states, the times square plotter, faisal shahzhad, sentenced to life in prison for attempt of a deadly attack in times square. these were his chilling words in the courtroom yesterday, brace yourselves, the war are muslims has just

begun, consider me the first droplet of the blood that will flow. chilling indeed. special agent at the counterterrorism division joins me. richard, it was truly chill to go hear the words of faisal shahzhad in that courtroom and your thoughts on what he had to say and what it means for the bigger picture of what we're dealing with here. >> what we're dealing with here, martha, is a large group of people that have the same philosophy as shahzhad, and shahzhad also said in there if i had a thousand lives i would give them all in the name of allah, then the fbi responds to this with the fact that thank goodness now we have shahzhad behind bars, he will no longer pose any harmtous. that's true, however, he's behind bars right now because he's a poor bomb maker, not because we actually did our work as an intelligence community. we missed a couple of big attacks here in the united states, and we're fail to go connect the dots in certain areas. now, granted -- granted, there are so many

individuals like this, we've got to do a better job of tracking these individuals, tracking people that are going back and having an extended period of time in areas such as pakistan and afghanistan. martha: and what do you make of this crackdown and these warnings to travelers? a lot of folks are wondering what am i suppose to do with that informs, if there is a very likely attack in england, i mean, how good a handle -- we know there have been specific targets, german targets over the past couple of days. how good a handle do we have on the people trying to do us harm? >> what we're seeing here is the governments in the european community doing their due diligence and warning the community that hey, something is out there, they know something is imminent, they just don't know if they can stop it in time and they're reaching out to the public like hey, if you see anything suspicious, know anything that's going on, you need to let us know. after the drone attacks took place in afghanistan, after we started piecing together the intelligence from all of this, we're starting to see things unfold and starting

to realize wow, this is a birg picture than we once thought. martha: we're looking at a picture of the tanker attacks and i want you to swing to that picture here, our supply lines being hit by the taliban, this has been going on for three days, these steady attacks on our supply lines. what can we do about that? >> well, we need to get pakistan back on board with our mission that's in that -- in the 506 giannoo afghan-pakistan region. them shutting down one border crossing has left the tanker trucks out there. >> martha: right, exactly. >> and you know, most of our important types of supplies, we fly in, like our ammunitions and so forth like that, but you can't fly in fuel, it's too heavy and not logistically possible so what they've done, they've created a logistic nightmare for us to carry out our mission in pakistan and afghanistan and this is a country that we as the united states are supplying millions of dollars to to help combat terrorism, and now they're butting heads with us in regard to this. martha: yeah, it's

infuriating, that they would limit the supply lines and put us in this position. richard, thank you very much, we have a lot to talk about in the days and weeks to come in this story. good to see you, sir. bill: when the verdict came down or the sentencing came down for shahzhad, we weren't quite sure what he was talking about, we knew he was going to get a podium, a platform in court, he talked five minutes and when he suggested he's the first droplet, that's a warning for across the world to fire up others. martha: he was very well prepared, he had been rehearsing it, and spoke in a very chilling way. bill: now we have to deal with it. again, he's locked up but there could be more. in a mementoo well, let's check the markets, how about that. see what the dow did yesterday? closed up 193 points. martha, we're looking at dow 112 -- we're looking at dow 11,000. if you can figure that out i'll give you 100 bucks! stocks are up, gold is up, oil is up. can you make sense of that? >> martha: trying, bill. we'll see what happens

today. bill: when you can, share it with us! >> martha: i certainly will! bill: in a moment, more lawsuits popping up against president obama's sweeping health care law. with all the heat it's getting, is this lawgen legal? the judge is in the house. he issues his ruling in minutes on that. martha: tea partiers have taken the country by storm and now they're getting even more organized. what the future of the tea party is now shaping up to look like. we will ask one of its cofounders.

bill: this is a fox news alert, we're just getting word in new york city, thisññ ut too. back on that story in a moment. it's breaking news and we just wanted to share that with you. martha: not everything goes according to script. we can attest to that fear at fox news sometimes. but even the most powerful men in the world sometimes

have issues with these things, the presidential seal fell off the podium if you can believe it during an address by president obama. he made a very good recovery in front of his audience. watch this: >> we cannot sustain -- whoops! was that my -- oh, goodness! that's all right. all of you know who i am! martha: pretty funny. in all the years i've been covering president, i don't think that has ever happened. that was a new one, the president speaking at the fortune magazine most powerful women's summit. oops! bill: we could get a ruling any day now in a lawsuit challenging health care, at least 20 states have questioned whether or not that overhaul is constitutional, and i guess you know who this guy is, too, he's the judge!

andrew napolitano, analyst and anchor of fox business network's "freedom watch". good morning to you. any day you could get a federal judge's ruling in pensacola, florida with challenges out there now. >> right. bill: any day a. judge in michigan could make a move on a group that's challenging the law in michigan. >> right. bill: in two weeks, the attorney general in virginia goes back before a judge on an argument that he already made before a federal judge, and that argument held up to date. which of these lawsuits or another one do you think stands the best chance of winning? >> the same challenges have been made in each of these lawsuits, and the most potent challenge, or stated differently, the biggest weakness in obamacare, is the obligation of what's called the individual mandate. the government, forcing you to purchase something that you may not want or you don't need. that particular challenge is in all three of the cases that you mentioned.

richmond, virginia, pensacola, florida and detroit, michigan. i suspect that all three judges will rule on that, i suspect that all three judges will find it unconstitutional, they will not stop the government from enforceing it because it doesn't come into play until 2014, but those decisions will be appealed by the government to intermediate appellate courts and eventually to the u.s. supreme court. bill: to break it down the way you analyze it now you agree with the justice department attorneys who say you can't debate this thing or argue it because it's not in effect yet. >> no, i disagree with the justice department attorneys because it's inevitable that it will come into effect but what i mean is there will be -- once a judge finds this part of obamacare unconstitutional it's not going to change anything because this part of obama always care is not the law yet. it will just be a paper determination. if the supreme court rules it unconstitutional, then it will never become law in 2013. bill: so we're waiting on all these decisions and again t. could come at any

moment. >> right. bill: i know you are on standby when it happens. in the meanwhile, roll this, we're getting a lot of questions about health care, been that way for a year and a half, john writes has there ever been a time in u.s. history in which so many states have sued the federal government? goes back a long time. the answer is -- >> the answer is no. usually when the congress wants the states to do something, they don't want to do, like lower the speed limit or lower the blood alcohol content before a determination of drunk driving, it bribes the state, it pays them for it, it paves highways in terms of lowering the speed limit. in this case the congress didn't pay for it, it did the opposite, it said to the states you raise the money and we'll tell you how to spend it. bill: those who argue that if they can force to you buy health care they can force you to buy a car from general motors -- >> i think that's a perfectly legitimate argument, they could force you to put your money in a government-owned bank. that's the reason that i think these federal judges in michigan, virginia and

florida will all find that the constitution does not give the power to the congress to force you to buy anything. can it make you wear a hat when it's sunny out because it's worried you're going to get skin cancer? answer, no. bill: thanks judge. watch you on "freedom watch" okay? head to foxnews.com, "america's newsroom". click on that bya box, because you asked, only need one line. e-mail me, also, on twitter, because you asked, bya. martha: good idea to wear a hat, though, but they shouldn't make you. i can make you. i can tell you to get a hat on! complete election coverage in "america's newsroom", as you know. now this question: are democrats moving some of their base, and why pot may give democrats a higher turnout. >> and how this could become

a huge ecological disaster this is a mess. more on that, minutes away.

bill: 27 days and counting and look what's back, huh? it's the board, the big billboard. want to take a look at the bounce for power right now, see what happens on the senate side first and then we'll move to the house. first on the senate side, democrats have the majority, it's been that way for the past few years, in fact, there are 57 senate seats, keep in mind, two independents in the senate now, and 41 republicans. for the republicans to take the majority in the senate, a clear imagine art -- majority, then we need to pick up ten seats to take it to 51, come 27 days from now. on the house side, democrats have also had a majority as

well. in fact we look at the house side, compared to the senate side, for some time now, trying to figure out what republicans can do or cannot do in order to pick up seats. the house asst tandz today right now is at 25 for the democrats, it's 179 for the republicans. as it is right now, republicans need 40 seats to get a majority, come the second of november. and that is why there are critical race necessary different parts of the country that have a keen focus right now for both parties. martha has more on that now. martha. martha: that's right. seats previously srd safe for democrats are by no means considered secure. jonathan serrie is recovering georgia's race, what that is changed and why is this one to watch jonathan? >> reporter: it's a very interesting district because it has a near even mix of black and white voters, almost 50-50, and over the years, the incumbent democrat sanford bishop has

built a strong bi-racial coalition of voters but now that coalition is in jeopardy because of the support of health care reform. that support has alienated white voters in the district who supported bishop in the past, opening the door to a well funded republican challenger. listen: >> i think we all know we need health care reform. i think we can take incremental steps in health care reform but when it comes to obamacare, i think that if republicans take the house and i'm a part of that majority in the house, that you're going to see repeal -- a repeal bill come out of the house. >> mike keown is a baptist preacher and also a georgia state legislator. he says that he has a lot in common with the tea party when it comes to political doctrine, martha. martha: jonathan, health care isn't the only issue on voters' minds, right?

>> that's right. there have been controversies plaguing both campaigns, most recently just this week, the keown campaign lobbyist was indicted from alleged vote buying and alleged to gambling interests in alabama. keown campaign says they're trublgd by -- troubled by the allegations and the strategist, jay walker, is no longer affiliated with them and sanford bishop has suffered bad press when reports surfaced he has steered black caucus foundation scholarship funds to family members. he has since agreed to reimburse the foundation for the full amount of those scholarships, but both campaigns, living in glass houses, martha. martha: jonathan, thank you very much, jonathan serrie reporting from atlanta. bill: want to check the markets real quick, see what's happening on wall street, about 14 points on the dow 30, after a huge day yesterday and we got another look at the jobs numbers in the private sector. we're going to check with

eric bolling on that in a matter of moments, the host of helicopter money -- of "money rocks" will stop by. are democrats sparking enthusiasm with young voters by pushing legalization of marijuana? a look at a proposition that's getting a lot of attention in one big u.s. state. martha: we have more breaking details on the latest brazen attack against the nato convoys when we come back. the universe is changing captain too bad these cheap props aren't but la quinta is! la quinta inns and suites? yeah, buddy changing? lets take a gander captain they are changing! they have thousands of new rooms! and lots of neato new lobbies! they're even better than before book rooms at lq.com hey, who's captain here? (laughing)

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call this toll-free number now for this... free information kit and medicare guide. martha: a "fox news alert," another attack in pakistan, tankers carrying fuel for nato troops, gunmen storming tankers in a parking lot, and the fire quickly spreading, and packed with fuel, and the attack left one driver dead, it is the 6th time this has happened and, a convoy taking supplies to our troops in afghanistan since the border crossing was closed last week. a lot of questions about why it would be closed, after a helicopter attack killed 3 pakistani troops an an investigation into the nato attack is expected to be wrapped up today. but, very, very scary situation developing there. and look at a rally, the troops in time another big day,

president obama appealing to the liberal base that got him elected, especially to the youth vote, has been spending time focusing on them and trying to respark the fire from '08, and, to keep democrats in control of congress when the ballots are counted, next month. and brand new hour of "america's newsroom," welcome, everybody. i'm martha maccallum. bill: i'm bill hemmer, how are you doing. martha: well, how are you doing, bill. bill: hanging on, the president, speaking to a group of college students, saying you cannot just check in, once every ten years, for exciting presidential bat battles, you need to come out every time, that is message, will it work. martha: charlie hurt is a washington bureau chief for "the new york post," that is the question, good to see you, a couple of areas, the latino and blue-collar voting a well, seems to be according to polls, pulling away from the democratic base. why is that? >> well, i think, you know, president obama ran a campaign of -- brilliant campaign two years ago on the concept he'd

bring a different kind of politics and was going to be a different kind of politician, and there were two years of considerable setbacks for him, and, they have done a lot, you know, made a lot of -- gone to great lengths to address a lot of those shortcomings up, and try to convince people, oh, no, things are reallying in changing but when you run that -- really changing but when you run that campaign with high expectations, setting high expectations and don't deliver, you really can't be surprised that people are disappointed when they find out that you really, as it turns out, are not about changing politics and not about being a different kind of politician. you are basically a democrat, who desperately wan lly wants tn to his party control in congress. martha: and a lot of democrats, definitely want to hold on to their jobs and see the economy turn around and that seems interesting, with the latino vote. we remember when you go back, charlie and look at the arizona legislation, jan brewer wanted to put into effect there and

they came out really fighting, to sort of get on the latino side of that equation in the right way and it doesn't seem to have helped them. in fact, you have the sheriff down there, who says i'm going to nevada and helping sharron angle up there. it seems to be helping candidates in that regard. >> of course, you know, something that gets lost in a lot of the political debate about illegal immigration, is that you have a lot of legal immigrants are justifiably upset about illegal immigration, because they are paying taxes and they did everything exactly by the books. so, those are more naturally republican voters, probably in the long run and derivrifted ovn recent years, to the democratic party and is not all that surprising they might be coming back and really, it is amazing to watch democrats campaign and they are campaigning around the country, touting, for example, pork they brought back to the

districts at a time when that is not the kind of thing... martha: not resonating. >> no, it's not at all. it reveals how desperate they are. it is their own -- you know, they are trying to stir up the most basic part of their support and the way they do that is by, you know, touting pork, that helped the union or helped you know -- martha: not where people are focused, right now, doesn't appear to be. we'll see what happens, charlie, always good to have you with us, love your column and love having you on, thank you very much. bill: vice president joe biden known for his colorful comments and this is no exception, he was in minnesota yesterday and held a rally and did fund-raising and at one event, he got on the subject of budgets. telling folks the democrats know how to balance them and according to one report, he said, quote, if i hear one more republican tell me about billionsing the budget, i am going to strangle them. end quote. quickly adding to the press that is a figure of speech.

"fox news alert," now, want to get to the big picture on the jobs market today. two new economic indicators, just out, here in "america's newsroom," a report showing 37,000 job cuts for the month of august. that is slightly better from the month before, that is private sector, the rate of downsizing appears to hold steady, for the most part. a large majority of those jobs as i said, private sector, adp, america's leading payroll distributor, reporting 39,000 private sector jobs cut from august to september. what does it mean? eric bolling, host of "follow the money" on the network network. eric, what does it mean. >> what's up? we watched the adp number. they poll really, take a sample of 340,000 private sector companies, representing 21 million jobs, and, again you saw that number. 39,000, was the actual drop, the expectation was for about a 20,000 increase, in private sector jobs, and so a

substantial difference. 60,000 jobs, swing from where they are expecting to what we got and it basically says, still a very very, sluggish job market and look, we are almost two years into a recession and i'm still saying we are still in it, because the stock market comes out, or there is a little bit of growth in the economy, when you have the situation with 4.5 million people out of work and private sector jobs out of the economy, we are still in a recession... bill: still in a recession, you say, wow. is it your belief that we are crawling forward? i mean, maybe a step at a time. >> perfectly, you hit it on the head. we are going forward but we are crawling and look at the growth rate and economy and tell you if you are in recession or out of recession or in or out of depression and we are technically out but that is a perfect analogy. bill: for you, eric, what would tell you or would indicate to you that the recession is over? >> see this?

stop the job losses. let's see growth in the economy and initial jobless claims, tomorrow morning, 8:30, if you get number close to 300,000, instead of the 450, it has been at for months would indicate job growth but we're not there yet. bill: we'll check in and in the meantime, we'll see you later tonight, in primetime on the fox business network, follow the money, your host, eric bolling, every night, 8:00 and 11:00 p.m. eastern time on fox business. thank you, eric. martha: we wanted to bring you back to the suspicious package alert in new york city. as you can see the traffic is moving again, all clear. whatever it was, it was left and they were concerned about it and turned out to be nothing, just the kind of news we wants, especially around the times square area where people are nervous about things being dropped off, good news in new york city. all clear. martha: breaking news to report out of afghanistan. reports that the taliban and the hamid karzai government are in

secret high-level talks about no negotiate an end to the war, in afghanistan. this is a very big development that we're getting wind of today. the "washington post" quoting sources who say, quote, the taliban are very, very serious about finding a way out. julie kirtz joins us live following these developments from washington. julie what do you know. >> reporter: yes, hey, martha, u.s. officials say they are aware of the talks between taliban representatives and the karzai government, to find a way to end the war in afghanistan. this development follows meetings that broke down, you may remember, more than a year ago, but u.s. military and european diplomatic sources say this is not a new effort, right now, between the taliban and the karzai government. the taliban has insisted in the past and are -- all foreign troops leave afghanistan first, officials say the talks do not involve al qaeda and the commander of u.s. forces in afghanistan. now, general david petraeus told our jennifer griffin, last

month, that the u.s. is aware of the ongoing talks and that karzai has insisted the taliban accept the afghan constitution and lay down their weapons and cut ties with al qaeda. and stresses the u.s. is not negotiating with the taliban. >> this is completely afghan-led process. the u.s. is very much in the information loop and a couple of cases has helped in a sense, but is not doing the negotiation. >> reporter: now, the "washington post" says this morning the current talks are preliminary, but for the first time, sources telling the post, they believe the taliban representatives are fully authorized to speak for the afghan taliban, based in pakistan, and, its leaders, an important development. martha: we'll see where it takes you, julie, thank you very much, in washington. bill: president obama will award the nation's highest award for valor today. to an army green beret, killed two years ago, in the the war in afghanistan, and staff sergeant robert miller, was 24 years old,

when the taliban ambushed his patrol near the border with pakistan, the comrades, who survived, say miller continued to fight off the enemy, even after he was shot twice in the chest. >> and, as they got near the structure, there was an ambush, attacked by over 100 insurgents, who had hidden behind boulders, and it was a very intense situation. >> essentially he stayed in the kill zone to keep control of the situation, and, allowed everybody else to get out of the kill zone and gave them a chance to reorganize and regroup. >> we see him go to another place and attack another area, attack another era, and i can honestly say if he wouldn't have done that we probably would have gotten... a lot more people would have died. bill: his parents will be at the white house later today to accept the medal on behalf of their brave son, we'll see that

later this afternoon. martha: they are out there trying to secure the lawless southwest of the u.s. and the border patrol is running into mainly obstacles. what could they be, thick red tape from washington? possibly? we'll talk about that, coming up. bill: also, critics call them a rag-tag group of political extremists, but the tea party made a major bid to debunk the theory. organized and they say, they are energized. in a moment, we'll check in with one of the leadings members. martha: and, going green on the road to november, folks. could pot -- a fascinating development in everything for this election. could it be the golden ticket to success? at the polls? alan colmes with fact an fiction on that and we'll see what he knows about this. we'll dig into that when we come back. bill: yes, we will. >> ♪ ♪ let me get to the point ♪ let's roll another joint ♪ turn the radio loud ♪... if you suffer from heartburn two or more days a week,

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bill: breaking weather news, we mentioned it last hour, if you live in arizona, a moment ago a tornado warning, a tornado is spotted and i want to get to janice dean whether or not it is in effect. how is it sgheeg they reissued the warning for the statement area, the south central county, you see a big upper level low that is just spinning and the counterclockwise motion here is giving us a potential for not only severe weather but we could see flooding and we saw the

flooding out of yesterday, out of arizona. we could see the potential throughout the day today, for more flooding. condition are favorable for tornadoes outside of the phoenix area and i want to show you where the warning has been issued, again, for south central copanino and the other side of the screen you can see the flood being saw yesterday, 17 miles west of flagstaff, moving north, 55 miles-per-hour and again not only the threat for tornadoes, we could see large hail and damaging winds and gusts in excess of 70 miles per hour. just outside of the phoenix area. and the potential for flooding again today and the area can flood quickly over a short period of time, flooding will be a concern and we'll continue to update you on the various watches and warnings that come in. bill: thank you, stay on it, all right? janice dean in our weather center.

martha: a fascinating topic, cultivating the pot campaign strategy for 2012. it is no secret the democrats are hoping they can get young voters back to the polls. but, now several politics watchers believe in several of the states out there, receiefer madness may get them back to their chances of winning, alan colmes, the host of the alan colmes show, an expert on this -- >> bring on the expert, about marijuana, yeah, right. i get it. martha: ballot initiatives rarely have a big impact on an election, right but the beginning of the story in the "wall street journal," they talk about a jogger running along in california and she goes, they are signing a petition and she stops mid jog and goes over and wants to sign the petition. to say, yes, on prop 19 which would allow, legalization and sales of pot for recreational use in california and can it make this difference in races like barbara boxer and carly fiorina and people show up to vote on that.

>> independents and libertarian points of view, that you would legalize it and the proposition, especially in california, the state led the way in terms of using the method to get progressive ideas out and change laws, so, it could be a very good thing for democrats especially who may be able to attract independent and libertarian voters. martha: and there are polling in other states as well, colorado, washington state, nevada, to see if they put these kinds of initiatives on the ballot, in 2012, could it help president obama get reelected, could it make the difference for him. >> certainly could and energizes voters and will get younger voters out and younger voters vote democratic and that is certainly part of the obama base. and again it could be something that helps going forward, especially if other states, jump on the california bandwagon and you see initiatives in other states much like you are seeing, happening with gay marriage in certain states, some states start doing it and other states follow suit and california traditionally has been the leader in some of these social

issues, one state leads the way. martha: that is interesting, bus what it brought to my mind was the '04 vote, in ohio, gay marriage was the ballot proposal on the ballot, one of the only times i remember that it was really discussed as a real potential deal breaker or deal maker, ohio, bush won by 118,000 votes, and, bill says 108,000 votes and we'll figure that out and it made a difference, perhaps. >> and on that issue, things changed a lot the last six years and, again i think we are seeing, it is good for progressiveses and democrats, and good for the country and also good for the budget in california, something like $1.5 billion added to the budget if they could legalize and tax marijuana. martha: why do you think it is, we look at intensity and it increases the number of democrats according to the polls who would turn out to vote. among republicans, go figure, it has absolutely no impact. doesn't -- they don't show up to vote against it or for it. it doesn't change whether or not they will go to the polls.

>> the type of issue that people who have it on their radar screen are proactive about and if you aren't thinking about it you will not vote about it one way or the other but something libertarians and progressives and -- i call myself a liberal-tarian... a cross between the. martha: we call you that, too, only behinder back -- just kidding, good to see you. alan colmes, of the alan colmes radio show, alan.com. thanks. bill: is the tea party movement turning professional? the lead line in a major newspaper today. we'll talk to a leading tea party member about what is happening in her state and whether or not this is the stays. martha: look at this, imagine if it were your home, in nancy, literally burned to the ground. now, firefighters are accused of just standing by and letting it happen? why would they do? >> people know us and know we are honest people and we would go in and pay it. ♪

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bill: we have a story and videotape, there are fears of a toxic sludge spill in a european country that could become an ecological disaster for many, this is the scene in hungary, after a reservoir burst at a local plant, crews are struggling to clean up the flood of red sludge, that coated homes and roads and numerous towns, four people are dead, 6 people are missing, 100 are injured. look at that water line. that sludge line on the home, the european union is now worried about the potential for widespread disaster, if the sludge reaches a river that flows into other european countries. that would be the danube, flowing through hungary, and these pictures are just a mess with the folks living there.

martha: and britain's number two diplomat in yemen escaping injury after a convoy targets -- it was targeted in a rocket attack, four other people were hurt in the blast and authorities recently stepped up security around the embassies giving all of the terror -- given all the terror threats we have been hearing, getting information al qaeda was planning an attack, greg palkot is live in london and what is the latest you are hearing bowel the attack. >> reporter: it was serious, our contact in yemen, tells us that two men, believed to be linked to the very dangerous al qaeda chapter in yemen, al qaeda in the arabian peninsula were standing by the side of the road and pulled out of their bag an anti-tank rocket launcher, when the convoy passed, and luckily their shot was not good but, still, one britton was injured and three bystanders as well and these attacks happened close to the u.s. embassy in the capital of yemen and, itself a target of a 2008 double-suicide car bomb

attack, a source there tells me they condemned the attack and they are sincerely concerned, have issued a warning for u.s. citizens in yemen, to stay very alert. diplomatic source says, in fact, yes, security had been stepped up around diplomatic facilities and there were fears of an attack, another incident, outside of the capital, one frenchman was killed, one britton was injured, when a yemeni guard at an oil facility opened fire against the two, and, al qaeda -- an al-qaeda link is not firmly established there, but energy facilities in that country have been targets, martha. martha: worrisome stuff, we understand there was a top u.s. ranking official also that recently visited yemen, what are the u.s. concerns about our people there? >> reporter: big, big, big concerns, william burns the under secretary of state for political affairs met with the president and other officials yesterday and in his words, the al qaeda threat is a real challenge and the u.s. has been supporting the yemeni military with training, equipment, funds,

and they are worried about this al qaeda chapter, but, in particular, they are worried about that guy that we have been talking about for a long time now, anwar al-awlaki the u.s. born yemeni cleric, linked to several individuals and several attacks and attempted attacks regarding u.s. terror, most specifically, just yesterday, faisal shahzad, sentenced to life for his attempt to set up a car bomb, in times square, last year and there was a... the finger prints of al qaeda and the arabian peninsula on that one, as well, global terrorism, small world, martha. martha: and he's at the top of the list, greg, thank you very much, greg palkot reporting from london. bill: back in this country, in tennessee a family's home burns to the ground and they say the firefighters did nothing to stop it. here's what is left of the home in south fulton, tennessee, they say a spark from a burning barrel set the grass on fire and everything just got out of control. and, they say, firefighters did not do anything until the fire

spread to their neighbor's property and then they only put out the fire and the reason, they say, is because they have not paid the required $75 annual fee for fire coverage. here's one of the homeowners. >> we hadn't gotten around to paying it yet. but, you know, if they waived it one year, why couldn't they do it the next year. bill: the fire chief says it is true, they did not pay their bill, as for the family, they were not hurt and lost three dogs and a cat, though. inside of their home, because of the fire. martha: all right, let's go to the nevada senate race now, which as you know, is neck and neck, we have new poll numbers on this yesterday, and senate majority leader harry reid, facing a very tough battle, against sharron angle and now, his point, just coming in, has received a very key endorsement, we'll tell you who that is on. bill: and critics say a major tea party flaw was a lack of leadership and unity, and several splinter groups, scattered across the country, pushing for different agendas.

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get help paying for what medicare doesn't... and save up to thousands of dollars. call this toll-free number now. martha: breaking news, the first civilian trial for guantanamo bay detainee, has just been delayed. we just got word, that a judge has blocked the governments from basically calling its most important witness in the case, a man who authorities say sold explosives to the defendant amed ghailani, and who we know of, is accused of playing a key role in the deadly 1998 bombings of two u.s. embassies in africa, rick leventhal joins us live, breaking the news in the courthouse in new york city, rick, what is going on there? >> this is exactly the thing that critics were concerned might happen. if the trials or military detainees were moved to civilian court and we have a key witness,

now blocked from testifying, because of the enhance interrogation techniques used to learn about that and as you said, ahmed ghailani is a defendant in the case, accused of helping to orchestrate two bombings in east africa in 1998 that left 224 people dead including a dozen americans and injured hundreds more. he's accused of assemblying the bomb components and buying one of the trucks and driving one of theside bombers to the area, before leaving a day before the bombings an fleeing to pakistan where he allegedly became a cook and bodyguard for usama bin laden. he was captured in 2004 and held in a secret camp overseas where he was subjected to enhanced interrogation techniques and he was transferred to guantanamo bay, back in 2006. now, ghailani's defense lawyers claim that those interrogations

amounted to torture and the evidence collected as a result should be tossed out. and this is a complex case, obviously and possibly the first of many. martha: wow. as you point out, rick, that is exactly what -- >> chance to see how does it work from a number of different levels, whether it's security around the courthouse, whether the way operationally court procedures go into effect, whether it's discovery, testimony by federal agents, and, also, the issue of enhanced interrogation techniques. >> and, just to reinforce the points, obviously the cia and operatives overseas are working under different sets of rules when dealing with enemy combatants than lawyers would be working -- prosecutors would be working under in the u.s. and what we have here today, is some implication, perhaps, that they will face a real tough time getting convictions in the u.s., on these cases that began overseas, again, this trial delayed until at least next tuesday, while prosecutors decide whether or not to appeal the judge's ruling, on this key witness. martha: wow, this is a huge

development, for those who think that these should only be done in military tribunals and i imagine will raise questions about whether or not khalid sheikh mohammed ought to be tried in a similar kind of courtroom situation. >> reporter: yes. and again, just a first of potentially many, many cases including khalid sheikh mohammed, and four co-defendants, allegedly involved in the 9/11 attacks and that was supposed to be the first trial of gitmo detainees here in the u.s. and instead we have ghailani's case, and now, ghailani's case they be in jeopardy. martha: may not be going well, rick leventhal with the breaking news from downtown manhattan. >> reporter: sure. bill: so the tea party is increasingly becoming a force to be reckoned with, the headline today in the "wall street journal." owned by our parent company, news corp. and the movement appears to be getting better organized, individual groups even forming alliances to help advance their agendas and we wanted to figure out whether or not this is the case, is it true?

tea party co-founder and talk show host, in missouri, the nation's heartland, good morning to you. >> thanks for having me back. bill: are you quickly, and quietly merging with the g.o.p.? >> no. no. no. no. i've always believed the tea party movement is nothing more than this unattached conscience for the g.o.p. it is important to remain, have the independence remain and not form a third-party and, we knew at some point, that organization was going to have to happen, nothing has ever been won just from simply standing on a street corner, holding a protest sign. we'll have to organize. bill: you disagree with the press and the story you are foreigning alliances and you are saying that is not happening? because, after all -- >> i think, yeah -- >> you need oxygen somehow. >> right. i agree to the extent that i do think that alliances are being made, because the grassroots movement is all about advancing the cause of limited government, accountability within our government, individual liberty

and, they are taking the side, elections are about winning, whoever is winning, is advancing their agenda, nationally, advancing their agenda in washington, d.c. so, i think that the movement is looking, looking at democrats, looking at republicans, saying to themselves, what is our best bet to achieve our goals? and, so, they will make the alliance, with the side that will bring about the achievement and bring about better economics. bill: the explanation, i think the premise, is true, then, based on what you are describing there in the answer. >> for the most part, i'm afraid that some people are going to look at it and say, oh, they are organizations and will create a third party, they are organizing but stopping short of creating the third-party, which is good. you have to. bill: i want to look at polling we found in your state, specifically, earlier in the week, when asked whether or not the administration policies have helped or hurt missouri's economy, the middle figure, 48% say it hurt. that is double, well over the number that say it is helped at

22% and there's another thing going on in your state and this applies directly to what we are talking about today, dana, the senate race with roy blunt and robin carnahan. roy blunt is a guy who voted for the bailout. and now that is something the tea party -- you are against that. you didn't like it. didn't want to it happen -- >> no. no. no, i was pretty mad about it. bill: when november comes around, are folks like you and others going to vote for roy blunt and hold your nose while you do it? or will you do it with pride and say this is our guy? >> that is a great question, too. i look at it like this: if you have someone like blunt in office, that -- he's not going to vote with the administration. in the way that carnahan would. and, one of the things i want to point out, too, is roy blunt, signed this st. louis tea party treaty in the beginning of all of this, when the movement first came about the, he was one of the guys that stood off to the side and was like, i don't know what i think about all of this. but, over this period of time, he has realized that he can't

just have his platform, he has to represent the voters. and, he signed that treaty which i think was pretty huge step, considering sort of the relationship that the movement had with him in the beginning. and, i think that he also realized that people are now better equipped to hold his feet to the fire, more now than ever before and granted, i didn't likes -- i didn't like simple of his votes and i was loud about it, too. i have been one of the most critical people, yeah. bill: and, what you are saying is that you are shaping roy blunt into the politician that you want. >> yes. absolutely. that is the job of the people. politicians aren't going to change until the people do. bill: dana, thank you for your time. we'll see what happens in 27 days, with us from st. louis, missouri. >> thanks. martha: all right, we have an alert for you, we have reports of tornadoes touching down, now, damage to buildings, a train derailed and working on getting pictures and we'll have more on that in arizona, the sedona area

where it is apparently touching down and we'll get you pictures of that in a moment. and, this big question, the same part of the country, is red tape tying the hands of our agents who are trying to secure our borders? a troubling report on how all of this is actually happening. in terms of federal regulation and what is going on, the sheriff joins us, moments from now. are you receiving a payout from a legal settlement or annuity over 10 or even 20 years? call imperial structured settlements. the experts at imperial can convert your long-term payout into a lump sum of cash today.

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>> i'm jon scott, jenna and i will be along for happening now and ahead, major developments in the war against afghan, taliban in talks with the afghan government, as terror attacks i didn't nitto convoy, stuck in pakistan, intensified. plus... a toddler duct taped to a wall? the increasingly dire situation for democratic politicians and, carl paladino, who is running for governor in new york, joins us. your questions, for charlie gasparino in the hot seat today, we'll see you in a few minutes. bill: jon, thank you, 18 minutes away from happening now, severe weather in the american southwest, now getting reports of a tornado spotted near flagstaff, arizona. the watches are out there and the was, are there. and, when it is spotted, or perhaps touched the ground, you get the warnings and a train was

thrown off of its tracks and we are working to confirm that and will get a picture if it is true, around flagstaff, northern arizona, well north of phoenix and the national weather service now with a tornado warning for that entire area. we're watching that, box on your screen, so, too, is janice dean and if you are in the area, the warning is out there, now, take cover. martha: that -- new developments in the fight over arizona's immigration law, governor jan brewer filing a new motion with the 9th circuit court of appeals opposing efforts by barring governments to weigh in on her state's law, and, calls it offensive, foreign governments are using our court system to medal in what she calls a domestic legal dispute. as you, in that neck of the woods a disturbing government report that points to months of red tape that it takes to secure the u.s. border with mexico, according to the gao, the government account ability

office, federal regulators are forcing border patrol agents to a bureaucratic limbo, making it so they cannot do their job properly, and a sheriff joins me now, sheriff, good to see you, welcome. . >> good to see you. martha: if you can, give me specific examples of things people are trying to get done with money allocated to them and for some reason they cannot seem to get an action. -- any action. >> everybody should be pushing in the same direction and we are not and when you have the bureau of land management actually in new mexico, it took 8 months to approve permits, just to move underground sensors, to alert border patrol, hey there is activity in this area and lookers there could be a braech or illegal crossings -- breach or illegal crossings and california, permits were denied to improve roads and move sensors and they had to move patrols further north. here in arizona, the same thing. you know, it is -- delay and delay, moving sensors and you have to work with other

bureaucratic agencies in the federal government, and this is simply not acceptable for, if this is truly a national security threat and, public safety matter why isn't everybody helping and pushing in the same direction. martha: all right, so that raises this question for me: everybody knows what it is like to deal with the government and things can take forever to get permits and the like, do you think that that is what is going on here? or is there political manipulation given the very hot environment over this law in arizona? >> well, you don't have to be a detective to figure that one out. because, we have seen it happen, again, just five months ago, janet napolitano and the president were saying, hey, everything is fine, there is no problem, more resources, the border -- >> they said it was better than ever in terms of the resources you are getting. >> they are still saying that and my question, respect fully, to the secretary, who in fact was our former governor, yet goes to washington and literally has brain dump in terms of what we face out here, because they

have apprehended, in the border patrol, 250,000, that is a reflection of one out of every 2.6. so, they are admitting, 400,000 got away, they don't know who they are, and where they are coming from or where they are going. how is that not a national security threat when we know 17% of that smaller number of 250 already has criminal convictions in the united states, forget their countries of origin and otm as, other than mexicans, people from central american countries, other countries around the world, literally, her own agency has admitted to hundreds and hundreds of people from terrorist countries, countries like yemen and somalia -- i have seen the numbers on this, absolutely. >> this is outrageous. martha: you know, one of the other issues is the drug cartels according to you, have better equipment, you know, more advanced equipment and is getting better all the time, what specifically do they have that is ham-stringing your folks on the border.

>> my county is 70 miles north of the border and myself and ten of our police chiefs all stupid publicly with senator mccain asking for armed soldiers to be deployed to our state. 3,000 just for arizona. the response we got back from our presidents was, 15 billboard signs, you have recorded on the news, written in english, facing north. not written in spanish, facing south. telling these drug and human smugglers to stay out, this is... martha: look at the video. >> this is unacceptedable and does no good and last week, now we have had three cave dwellers. these are people who live in caves, for the cartels, that are on their payroll, and they have a supply of food, have binocularses and night vision, and many of them are armed. and, their spotters or -- they are spotters or scouts for the cartels, people on hill tops and mountains in my county. martha: and you don't have the capability on your side, right. >> not just that. they are backed by billionaires, who are the kingpins of the cartels and how is local law

enforcement, we're charged to clear hill tops, in our own country, this is not a foreign country. and, this is what we are fighting and the president has refused to come out here, refused to do his job, to secure our border, and, yet he in fact takes us to court and fights us and tries to trip us up at every turn. martha: all right, sheriff babou, thank you, telling you us how difficult it is for your folks down there, we'll keep covering the story with your help. >> thanks so much. bill: did you know 27 days officially before the election, did you know millions of americans are already voting today? called early voting, with so many taking part and so many states. how will it affect the outcome of the strategy in these critical races? tight races everywhere? we'll find out. martha. martha: what about this part of the story. there was a horse, okay? trapped 15 feet down in an old well, bill. it was not easy. we'll show you what happened. how did he get down there.

bill: a horse, of course, would only be down in the well. martha: he should talk his way out! gner handbag. and like that, we had a new side to our business. [ male announcer ] when the martinez mily saw an opportunity, the hartford was there. procting their employees and property, and helping them prepare for the future. nice boots. nice bag. [ male announcer ] see how the hartford helps businesses at achievewhatsahead.com. to stay fit, you might also want [ male announcer ] see how the hartford helps businesses to try lifting one of these. a unique sea salt added to over 40 campbell's condensed soups. helps us reduce sodium, but not flavor. so do a few lifts. campbell's.® it's amazing what soup can do.™

martha: well it is not something that you see every day, folks, dozens of deputies and firefighters working to free this young horse, how did that happen? you ask yourself? tumbled into a well, lilly is her name, she was 1 5 feet down look at her, poor hill pony, and had a few inches to spare and could barely move and they lowered done the food and used a forklift and the vet got down to the well to sedate her, and she looks relaxed, at that moment. bill: a heck of a picture, thanks for the valium! martha: checked her out, and, lilly is doing fine, last report. here's to lilly! bill: thank you, and i'll have another! signed, sealed, delivered before the big day, 32 states allowing

early november voting. and early october voting, too, for that matter and fewer than 60% of american voters actually showed up in person at polling places in 2008, now, the same year, more than 17 million across the country, cast an early ballot. in oregon, they do it 100%, by mail-in, it is becoming a way of life, colorado, the mail in vote gains in popularity every year and alicia acuna is live in different. how does it affect -- and i have to think it duoes, how does it affect campaign strategy. >> reporter: it is creating a shift in the allocation of campaign resources. cash, where they are spending it and, for instance, here in colorado, 60% of the registered voters will do it by mail, this year, and, when the secretary of state's office, sends out those mail-in ballots on october 12th, voters that he have option to fill it out and send it ba or they can sit on it and walk into

a precinct on election day on november 2nd. now, the loosy-goosy approach to the deadline to make it difficult for campaigns, because, there really isn't a play book for this sort of thing, yet. >> we used to say you start your heaviest week would be the last week before the election, before election day and then you would work your way back, and now you start your heaviest week, the week before the absentee ballots are mailed. in early october. >> reporter: now, according to the national association of secretaries of state, more than 30 states in the u.s., are now going to offer mail-in ballots, or early voting of some sort. for this general election. bill: there can be last minute revelation and in tight races we know it can swing it one way or the other. how does that early voting impact that possibility? >> well, from what we have been told, it can take the strength out of a last-minute hit to a campaign, especially, if a good

portion of voters have already sent in their ballots. now, the secretary of state here in colorado, did tell fox news it makes strategy difficult times and for one example, in the primary election here, there were a couple of last-minute headline-grabbing snafus that hit a couple of campaigns and there were people walking up to the secretary of state's office and different campaigns asking if they could change their mail-in ballots. >> the late gotcha type of campaign trick, is clearly less effective with the mail process. i talked to folks that run campaigns, they tend not to like the mail process, but, i think our voters like it. >> and despite the convenience, the campaigns, a lot of people we talk to say it makes it very difficult for them to pin down the electorate and they are literally chasing votes.

bill? bill: alicia acuna, live in denver, it is intriguing to watch and we will, thank you. martha: speaking of the election, carl paladino has gotten a lot of attention for his race in the new york state house against andrew cuomo for governor and he's live, coming up, and we'll see what he has to say today. who knows? jon and jenna in a couple of minutes. bill: gotta watch, spam, we're not talking about your computer, the delicacies of the state fair in texas are getting braver. martha: that was fried spam there. bill: how about spam pizza! martha: yum! bill: pepperoni on top. martha: yummy! ♪ yes! ♪ look, they fit! oh my gosh, are those the jeans from last year? how'd you do it? eating right...whole grain. [ female announcer ] people who eat more whole grain tend to have healthier body weights. multigrain cheerios has five whole grains and 110 lightly sweetened calories. more grains. less you! multigrain cheerios.

martha: we have been telling but this tornado that's been spotted and here was the area spotd, a train derailed, brlings damaged. we'll get pictures to you but you're in that area, watch out. bill: it is the very dif nition of mystery meat. check out the cookoff, dallas state fairks down in texas, cooks mixing up the best fan disho spam dishes. would you like spam mac and cheese, spamoni pizza? there are dozens of entries, depends on how creative you want to get. they went with the pizza pie. martha: they liked it. that's pretty good. black olives and all that. bill: turns out, two large, here in midtown