brian did not return last night from the all-star game in kansas city. he's taking the rest of the week off and in his place, the great clayton morris. >> he's ok. >> just taking it off. >> good to see you. >> thanks for the cup of joe that you brought. >> that's right. this is the only mug in the entire "fox & friends" studios and i hide it in a cabinet so no one else can use it. only clean one. you wash it myself. >> that's good because we ran it through the dishwasher when this plagues was built in the 1990's. >> i think it's made from asbestos. and it needs to be fumigated. >> ok. do that while i read the headlines, fumigate. fox news alert, looking live at the scene of a massive fireball caused by a freight train derailment. this is columbus, ohio. so far, at least two people have been hurt. the train was carrying some type of agriculture product when it derailed causing this fiery blast. people living within one mile of the explosion have been evacuated now. in a few hours, the house will vote on a full repeal of

obamacare, president obama's controversial health care law. lawmakers from both sides trying to make their cases. >> health care is a right! and it is not a privilege. not just for some people but for all people, we cannot and we will not go back! >> i think it's important for the electorate to know where their member of congress stands and some people have tried to be too cute on this issue and have kind of waffled back in their district and this is an opportunity to draw a bright line on whether or not you support the law as it's currently written as the supreme court has ruled it constitutional or do you favor repealing it and doing something more in line with getting individuals more in control over their dollars? >> democrats have criticized the vote as political theater. president obama planning to veto any attempt to repeal obamacare turbulence rocking an american airlines flight from aruba to miami and passengers literally thought they were going to die. >> everybody is screaming.

everybody is screaming. you see the people jumping down, up and down and, you know, it was -- >> basically, with the noise and the bumps, just think that it's going down. >> thought we were going to die. it was scary. it was. >> wow. the plane just 30 minutes from landing when the turbulence hit. 30 people including two crew members are being treated for minor injuries. extreme weather. breath taking video showing the destruction from powerful storm that planned virginia. you can see it picking up a not tent outside. security camera footage from a hotel in virginia. they were celebrating their 18th birthday when the storm swept through. those are your headlines. i don't know if i'd survive one of the turbulent flights. i'm a white knuckler to begin with.

no matter how many times i fly, i know cars are more dangerous. that little turbulence, exactly. i look at my kids that don't notice anything. i wish i could be more like that. >> your kids have to calm me down. >> when you think about it, though, you are in a gigantic metal object many miles in the sky, what's to be afraid of? >> thanks a lot! >> people rather would be in their cars -- >> thanks a lot! wow, that really soothed my emotions on that whole thing, doocy! >> i'm trying to explain why it's absolutely normal. i'm up here, i could be down there. >> listen to audio tape of that next time. >> up to two people in the cockpit for everybody in the plane. >> candidates are on attack over outsourcing now. what does that actually mean? which one is worse, i guess? at putting jobs outside of america. well, it depends on who you believe, i guess. >> this all started a couple of weeks ago, "the washington post" ran this thing about how mitt romney when he headed up bain

capital, his firm had some jobs at the "washington post" and said outsource jobs to different companies -- different countries and then the obama administration jumped on that and they ran a bunch of ads which "the washington post" said those things are so inaccurate, we're going to give them four pinocchios. so anyway, since then, it's interesting, the president even though they have been tagged with that, that their ads were wrong, the president continues to hammer away mitt romney as a big outsourcer. yesterday, mitt romney fought back. here's both sides talking about outsourcing. >> we tried what they're selling. and it didn't work. and somehow, they think you don't remember. but you remember and we don't need more top down economics. what we need is somebody who is going to fight every single day to grow the middle class because that's how our economy grows from the middle ou >> it is interesting that when

it comes to outsourcing, that this president has been outsourcing a good deal of -- of american jobs themselves by putting money into energy companies, solar and wind energy companies that end up making their products outside the united states. if there's an outsourcer-in-chief, it's the president of the united states. not the guy who is running to replace him. >> game on! >> you're seeing mitt romney now coming with this attack line back because you're starting to see -- we've seen some ads really working for president obama in ohio and other places where these -- they've been hitting him on his bain capital experience and outsourcing these jobs and it seems like it may be starting to take hold in some of those states. you see those poll numbers so mitt romney now coming back on this attack line about outsourcing because what is more relevant? solyndra is fresh in our minds. something more relevant as it's happening or still happening right now or something that happened a couple of years ago. >> couple of points, solyndra is fresh in the minds of people who

actually read the newspapers and watch fox news if it's in the newspaper. do people really care about this outsourcing at all? are people -- when you ask them -- >> if you're out of work you do. >> but is it just minutia or is it just part -- a little tiny part of the whole big picture of unemployment? i wonder how many people are paying attention to that one little particular thing. >> part of it is they talk about outsourcing because they know that mitt romney created a lot of jobs in his past life. and to by talking about outsourcing, it kind of distracts you from the fact that we've got such lousy job numbers right now in this country, president can't talk about jobs because there are so few out there and he can't talk about health care because so many americans don't like it so what's he up to? here's dr. charles krauthammer with an idea. >> i think what's so impressive about this is how small a game obama is playing. here's a guy who comes in in 2008, hope and change. change the way that washington

works. he passes a trillion dollar stimulus. largest spending in american history. he does a health care bill that's 1/6th american economy. he attempts cap and trade that would control the energy industry. he does dodd frank that regulates finances, a guy that wants to change america, says so and what's he proposing here as the center idea of his economic plan for the next term in --? a partial exemption of tax codes for one year just so the american people. >> one year. >> we saw some of it, too, to see if people were not flying in their jets. >> don't scare us with the flying of the jets thing again. >> don't mean a turbulence. what a fraction of a fraction of percentages that it was and that's what krauthammer is talking about here about the small ideas heading into an election year. it is small ball right now and you can have a bigger platform coming forward and put and say this is how we're going to get america back to work.

>> it's all messaging. those little small ideas if they're simplistic and have buzz words involved in them, they can stick. they can stick in the voters' minds and it all comes down to once again who has the better messengers out there whether it's obama's people or romney's people. in the meantime, did you see in the sunday talk shows because debbie wasserman schultz was on "fox news sunday" directly followed by reince priebus. democratic national chair and republican national chair. >> fair and balanced. >> she made it sure at the end or middle of the interview, i forget which one to get in a particular talking point that she was told and forgot to say on the sunday talk shows which is the case. it had to do with mitt romney and where he puts his money. listen to this. >> americans ask themselves, why does an american businessman need a swiss bank account and secretive investments like that? it's a thought i would like to leave folks with. >> did she mention swiss bank account? >> yeah. >> as it turns out, some financial disclosure forms have

been revealed by "the weekly standard" and what they show is that debbie wasserman schultz in at least 2010, she previously held 401k funds with investments in swiss banks, foreign drug companies and a state bank of india. >> she's trying to paint mitt romney, the d.n.c. is trying to paint mitt romney as an out of touch rich guy. with your investments overseas, not having him here in the united states, they're overseas. and so then it comes back that, yes, in fact she had -- >> you have to be really careful when you make these claims. if you're involved in a 401k through work, a lot of those funds are international funds or blind trust. you have no idea really what -- where your money is being invested so you got to be careful if you're going to make the accusation that it can't come back to hit you in the butt as well. meantime, eric holder, the attorney general of this nation was in texas yesterday. keep in mind the department of justice is trying to make sure that texas does not -- they're not allowed to continue with

this voter i.d. law where people actually have to show i.d. to go vote. well, here's another hypocritical situation because to get into this event, you had to show i.d. so which one is it? let's present government issued photo i.d.'s such as a valid driver's license. >> to get into this naacp event and he went on. it was inflammatory language. he was comparing the texas voter i.d. law down there to those southern taxs that would charge southern blacks going to the polls and keep them from actually voting so likening this current voter i.d. law situation down there to southern poll taxes. >> so you don't need a photo i.d. to vote, he feels, but you do need to see eric holder at the naacp. >> well, coming up on the show -- first, we'll go to this because we teased this at the beginning of the show, the unsolved murder of a juilliard student eight years ago taking an incredible turn as investigators matched d.n.a. from the crime scene to a sample collected by an occupy wall

street protest. antwon lewis live in manhattan with more. what can you tell us? >> this happened eight years ago, gretchen, good morning. it was right here at inwood hill park where sarah fox disappeared. six days later, her body was discovered nude and strangled. among the evidence that detectives found at the scene was d.n.a. on a pink c.d. player. now, eight years later, they're saying that that d.n.a. has been linked to an incident that happened in brooklyn at a subway station just in march of this year. we're talking about one of the occupy wall street incidents. you remember the occupy the m.t.a. event they called it where they opened up the doors, the emergency doors to one of the subway stations there that you've changed and to try the turnstiles back. also, it was also during that event that police say they collected some d.n.a. evidence from one of the chains that they have now made a direct link to this unsolved case from, again, eight years ago so detectives are reviewing that surveillance footage very closely and certainly looking for anyone who may have been involved with occupy wall street or involved in that particular incident. we'll, of course, keep you

updated. we know you're following this as well. we'll send it back to you right now. >> thanks very much. >> straight ahead on this wednesday, one city cutting everybody's pay to minimum wage because the town is out of money. is this just a sign of the time? a firefighter who saw his paycheck slashed overnight joins us next. >> then take a look at this police raid. are they going after a killer or drug dealer? nope, a pastor for not having a bible study permit. unbelievable story. wer surge, let it blow your mind. [ male announcer ] for fruits, veggies and natural green tea energy... new v8 v-fusion plus energy. could've had a v8.

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bills. so this mayor finally just decided well, one way we'll try to make up the difference is to cut everyone's pay. unfortunately, that means you're down to minimum wage. what has the effect been? >> effect has been guys don't know how they're going to pay their bills. struggling to meet financial obligations like mortgages, kids' tuition payments for college. a lot of guys trying to figure out how they're going to make the next car payment, insurance payment so they're worried, they're real worried and the biggest problem is he gave no indication as to how long this is going to last. so guys are worried. >> absolutely. and it's understandable. i understand the mayor has this great idea, he'll just raise taxes 78% over the next three years. that, you know, the city council is not going to let him do that. how do scranton, the home of joe biden we should point out originally, how did scranton get

in such dire financial straits, sir? >> it's been a lot of mismanagement. we've been fighting this mayor now for 10 years. the public safety unions, we're in a protracted court battle for 10 years with no raises. we finally went to pennsylvania supreme court last year and we got an award. we won after 10 years of litigation so he's tied us up. this is nothing new with this mayor. he's been a real pain for us and it's basically boils down to mismanagement and now he's using us as kind of a pawn to push council to push his agenda. and they're providing the checks and balance like they should be and they're not letting them get away with it. a 78% tax increase for the city would be crippling and now it's just a political game with 400 people caught in the middle. >> it seems so many cities, though, the third california city just filed for bankruptcy. it seems like scranton may be going down that path. i want to read a statement from the mayor of scranton.

it's unfortunate the employees have to bear the brunt of this because the city council can't budge. i can't spend money i don't have. it's interesting because the mayor is democrat and the majority of the city council is democrat but yet, they don't want to go along with these huge tax increases. correct? >> yeah, no. they're looking out for the citizens of scranton, the city council. this council for the last year and a half has finally checked this guy's borrowing and spending programs for about eight, nine years, he just had free reign, he had a rubber stamp council that would blindly pass his agenda and that's really why we're at where we're at today. so , you know, it's just -- it's real hard on our guys right now and -- but they're still coming to work every day for $7.25 an hour. they're not letting it affect them. they're running into burning buildings and pulling people out of car accidents and they're doing their job and they love their city and hopefully we get through this soon.

really what we need to see is see this mayor step out of the way. >> we'll see what happens. that's all messed up. firefighter john judge, thank you for joining us today from scranton. >> all right. >> thank you. >> the supreme court said it's ok to lie about your military service. well, one candidate running for congress took that one to heart. what he did could make you sick to your stomach. >> she took a dramatic leap of faith to escape a lightning storm. would you have done the same thing? that teenager joins us. we take it on ours. this summer put your family in an exceptionally engineered mercedes-benz now for an exceptional price during the summer event. but hurry, this offer ends july 31st.

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>> 24 minutes after the top of the hour. if you're just getting up, a couple of quick headlines for you. a foul odor forced a flight to make an emergency landing in philly last night. five crew members got so sick, they were rushed to the hospital. all 176 passengers apparently ok. the plane had just taken off from charlotte and was heading to rome.

and a woman in washington state nearly surviving this crash. a bundle of 27 foot long poles went flying straight through her windshield trapping her inside. we're told the woman rear ended a trailer loaded with the pole. the woman is in critical condition. >> that's a big fear of mine. thanks very much. here's another fear of mine, being trapped on a sky lift when a lightning storm about to break out. a new jersey teen jumps off an amusement park ride. watch this, suspended 30 feet in mid air and nothing but the ground below to break her fall. young woman survived that fall with some minor injuries. she's our guest this morning. nice to see you this morning. >> nice to see you, too. >> no major injuries? >> no major injuries. yeah. >> i'm sure your mom was happy about that. >> oh, yeah. i'm a bit sore. >> you were down at the beach and all of a sudden, you saw a storm approaching? >> yeah. >> you thought, i have enough time. i can take this sky ride. take me through this. >> we didn't see it when we were first getting ready to go on a sky ride.

it was absolutely beautiful out. as we got up there, five minutes into the ride, we're like oh, no, there's lightning in the distance. fine, we'll get off the ride by the time it reaches us. little did we know how fast the storm was traveling and the ride eventually stopped as we were about to get off and we were just freaking out. >> so you thought you could get off the ride, it was going to be fine. you see these dark storm clouds as you can see in the video coming up and approaching you. what did you do? you called your mom? >> i called my mom and i was like mom, we're stuck on the ride. we're stuck on the ride. she couldn't hear me. she turned to me, me and my friend, i said we're jumping. jump with me. i turned around and jumped. >> she didn't. you go first and you fell -- you fell 35 feet. >> yeah, about. >> 35 feet. >> she stayed up there and the ride continued on or stopped until the storm pass ed? >> the ride stopped and then 15 minute after i jumped, the ride started up again and they got the ambulance there but everyone was saying oh, there should have been a backup generator. i was just glad i was ok to be

honest. >> was there any lightning strikes nearby that caused you to make that final leap? >> yeah, a lot of people are saying oh, i should have realized that the storm was in the distance but you can't tell in the video, the storm is literally right above us. there were lightning strikes around us and i saw a tornado in the distance, although it vanished quickly, it's scary to see that. the wind was moving so fast. >> all these people on the boardwalk seem to be strolling along enjoying their funnel cake. did anybody jump down and help you? >> one man jumped off. he was with his family and actually an off-duty e.m.t., he jumped off and grabbed me and took me under the boardwalk for safety because the lightning was right there and he stayed with me the whole time. he was really great. i don't know what i would have done without him. >> thanks for joining us and sharing your story. i'm glad you're safe this morning and we should give some credit to -- first thing shooting the video of this whole thing, gene gonzalez off the side shooting the video of it. >> i can't believe he caught

that on tape. i didn't expect that at all. >> appreciate it. >> no problem. >> this police raid not for a hard-core criminal. it's for a pastor for not having a bible study permit. he is now in jail as of monday. then can mitt romney really win on the economy with so many people getting government handouts? do they even feel the pain? dick morris is here next. and happy birthday to actress lisa rinna. she's 49. [ molly ] wash your paws, mr. man! [ female announcer ] think your kids are getting a dependable clean -in the bathroom? -[ gasps ] [ female announcer ] think again. try charmin ultra strong. for a clean that passes inspection

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>> record breaking heat is affecting the rest of the country and now starting to hit los angeles. i was sweating like president obama trying to spin the latest unemployment numbers. that's how hot! it was so hot, eric holder was smuggling water pistols. that's how it was! >> that's funny. you know where it's hot, phoenix, arizona. 113 degrees? >> i know. it got hotter yesterday for a fella that owns a burger

restaurant. he's also a legally ordained minister by the name of michael salmone. that guy right there is now in jail because the city says that what he's got going at his house, it's not just a house. his house is actually a church, they say, because for the last seven years, he's been having bible studies in his home and they say you can't do that because you need to -- it's really a church and you need special zone. >> special permits, right? they're worried about fire and fire safety. that's what the city says. the city says we don't care that he's running a church. we want him to have the proper permitting so when cars were parked there, they can get out safely. as of 10:00 a.m. monday, he's in prison as a result of not following this and served with a $12,000 fine and his wife is at home with six kids. >> so here is the sentence. 60 days in jail for michael, three years probation. $12,180 fine. and here's the heart of the story, folks, do you think that

this is happening because it's a religious event going on at this particular home? or is that just a coincidence? that's what a lot of people are feeling right now, that because it's a religious event, at least his wife who is going to be joining us a little bit later on in the show, she believes if it were any -- a tupperware party, for example, or anything else, they would not be facing this kind of scrutiny. >> i think they shot a video, too, showing other neighbors holding similar events. meanwhile, he lives on like 4 1/2 acres. it's not like it's in a row home in philadelphia right up against somebody else's row home, he's got four acres. here's the video he shot. somebody is watching or playing poker in their house next door having their friends over, would they be under the same scrutiny? >> have a party at your house, just think about it. if you entertain and you have 20, 30 people over for like high school graduation, do you have to get a permit for that? >> the city has been steamed at this guy, apparently, for a while and he says they're attacking me for what i do as a christian in the privacy of my

own home and they say it has nothing to do with that. you can exercise your freedom of religion and speech as just you need the right permit and you don't have it. >> look at these people in that video. did you see the people coming after him? it looks like they're going to take down somebody for a pretty serious offense. >> don't they have other things to worry about? >> like a huge drug war and other things going on. let's get so other headlines. a democratic congressional candidate in arkansas dropping out of the race after lying about his military record. ken aidan said he was in the army special forces specifically a green beret but it turns out he failed out of special forces training three times. military records show aidan was in the army for more than 10 years before being honorably discharged in 2010. >> and if you don't show up to vote, lose part of your salary. republican congressman charles busani jr. introducing a bill to penalize members of congress who miss votes. it's called the no show, no pay act. if a member misses a vote, they

won't get paid for that day. most members of congress make $174,000 a year and work 164 days out of that year. that's about $1,061 for each day they miss a vote. that's a lot. >> a gruesome discovery in the tiger den in the copenhagen zoo. a 21-year-old man found dead, his throat bitten. it's not clear how he got inside the den. investigators not ruling out suicide, though. zoo managers say it's the first time in 152 years that something like this has happened. >> millions of fans around the world are thrilled to hear susan boyle sing but not her neighbors. >> ♪ i dream the dream ♪ the time i was living >> well, they're apparently sick and tired of hearing boyle belt out her tunes at all hours of the night. >> like being your neighbor. >> me? >> don't give out my secrets,

clayton. one couple says she's so loud, they can't even hear their phones ring. >> what? >> they filed a noise complaint. the spokesperson says both parties have been in a feud for over a decade. >> all right. >> you think after she got famous that she might have moved houses. she's been in the same house for over a decade? >> maybe she needs a permit from the city. >> right. >> to sing late at night. >> what are you alluding to about being my neighbor? >> when you live close to gretchen, you belt out tunes all hours of the night. you sound fantastic. let's bring in fox news contributor and author of the new book "screwed" there he is. dick morris is up bright and early with us this morning to talk about some of the stories making headlines this morning. good morning, dick. >> hey, clayton. >> so big question for mitt romney as he's tuning his message, going on the offensive over the past few days, attacking president obama over outsourcing. he says enough of this outsourcing attacks on me. i'm going to go after you now on this but some interesting questions being raised by rush limbaugh the other day on his

show as to whether or not mitt romney can break through and connect with voters because of all the handouts and entitlements that maybe are creating a bit of a safety net for people and they're not feeling the economy as badly. take a listen. >> the unemployment rate, the jobs circumstance in this country is not pivotal and it's not something obama can lose the election on. not by itself. it's not something romney can win. >> it is americans dreaming, building, creating, entrepreneurs, innovateors, that drive our economy and that put us ahead of europe and the great populated nations of asia. >> is rush right, dick? >> i think that he -- he's not completely right. certainly the -- it's a factor. in 1980, 30% of all americans got a check from the government. now it's 49% that do. actually when obama took office, it was 44 so this isn't entirely his doing. but come on. they tend to be relatively small

checks and in our media-driven society, people always want to have decent lives and move on and i don't think that people are content with the entitlements but certainly it makes it politically harder. >> can't you argue that rush is right to a certain extent because how else can you explain that president obama is neck and neck in the polls with mitt romney with these kind of unemployment numbers? >> because they're counting a lot of people that don't vote. we've been through that. that's a demographic that obama is clobbering romney on, people that don't vote. but if you look at people that do vote, we tend to be a majority of people that don't get the entitlements, romney, i think, has a nice lead now. >> take a look, one of the entitlements, it seems, is the growing use of the snap cards, used to be known as food stamps. as you can see in 2008, 28 million people were on food stamps and now, although this past year, 44 million on the

snap card. it looks like entitlement nation is getting bigger, doesn't it? >> it is certainly. as i said, it's gone from 30% to almost 50% that are so some kind of handout. >> you're saying all those people don't vote? >> the turnout among people that do get the handouts is way, way lower than among people that don't except the social security where, of course, it's higher because the elderly tend to vote in higher numbers. >> is president obama taking those people for granted? the naacp convention basically assuming that blacks are going to be in his back corner and that they're going to vote in the same capacity they did in 2008? >> yeah, that's a mistake. he ought to go there. >> the other topic we wanted to chat about, i thought was also interesting, the similarities. obama is now saying that he's just going to bring taxes to the level it was under bill clinton. >> that's right. >> and i take that personally because, you know, i worked for clinton. and i just wanted to let -- make

people understand the difference. when clinton took office, he raised taxes on everybody. and the top bracket went to 40% from 35%. but -- and what that did is took a 4 1/2% growth rate that bush had in his last quarter and knocked it down to .6 of 1%, $25 billion of personal income was lost in the two years after he raised taxes. then when he got back in 1997, he cut the capital gains tax and that doubled the amount of capital gains in this country. and it went from $260 billion to $440 billion. and the wage growth which had been anemic less than 1% early in his term blossomed to a 6% wage growth. so -- per year. so the point is it was two administrations. one where he raised taxes like obama is trying to do. and then the economy fell apart

and the other and the recovery that had started was largely aborted, then he cut the capital gains tax and that set things on the heavy job creation trajectory we know about clinton. >> sure. and that's the scary part is because right now, our economy is on shaky ground. not on good ground as it was when clinton raised the taxes. >> i wanted to mention one other thing, if i can. july 27th is coming up around the corner. and that is when hillary is going to sign an international arms control treaty. gun control. imposed through the united nations on the united states. they are testifying on it. i have a petition on dickmorris.com and it's terribly important that we get energized by this because this treaty effectively repeals the second amendment. >> thank you for telling us about it.

dick morris joining us today from connecticut. have a great rest of the week. >> thank you. >> coming up, governor chris christie has a message for the president. >> please don't send me more money to hire more public employees. please don't! >> christie says they're just too expensive. how much do public employees actually cost the state? charles paine here next with those numbers. >> she tried to put her book on america but america not buying it. an all new low for rielle hunter.

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>> welcome back. quick headlines for you. after a serious media blitz, rielle hunter's black tour has been shelved. why? story about her relationship with john edwards has only sold 6,000 copies. the secret sauce, a secret no more. the executive chef from mcdonald's revealing the big mac sauce is just a mix of mayo, mustard, sweet pickle relish, white wine vinaigrette, garlic powder, onion powder and paprika in a you tube video, 47 billion big macs sold, steve. >> the key is the paprika. or the handouts? new jersey governor chris christie says mr. president, don't send the state of new jersey another round of stimulus cash. please. >> more government per square mile than any state in america. please, don't send me anymore money to hire more public employees. please don't. i don't need anymore. i got plenty as it is and i don't need anymore. they're extraordinarily

expensive and extraordinarily difficult to manage. >> ok, he said they're expensive. how much do teachers, firefighters and police officers cost in the state of new jersey where i live and so does fox business contributor charles payne? good morning to you. >> good morning. they cost a lot. the average teacher is $66,000. fireman $77,000. police, sheriff, $81,000. the average state employee is $51,000. these jobs obviously they pay more and we have them on the screen there. here's the point. the -- there's a two prong narrative here. one is obviously the point that chris christie is making. just this morning, we've got another california city saying we're going to go bankrupt, san bernadino. think about this. people think san bernadino right outside of l.a. this is a wealthy town. bankrupt, the third one in just a month. these states are in a lot of trouble. these governors are trying to get their act together and in the meantime, the other narrative is, of course, that president obama believes it's bigger government. an army of government workers

fueled by taxes on the rich that somehow fuel an economy. >> sure. the thing is, charles, everybody loves free stuff from washington and in this case, the president is offering new jersey a bunch of money to keep teachers and firefighters and police on the job. or to hire new ones. the problem is when the washington money dries up. >> absolutely. >> then trenton in new jersey has got to come up with the cash and that's what chris christie is saying, don't saddle me with that responsibility. >> it's known as the bait and switch. same thing with obamacare. a lot of these states are saying the first year, the federal government will pay for all these people on medicaid. all of a sudden, i have to pay a little bit more and a little bit more. more people come on. a little bit more. it equals financial disaster. listen, this scranton thing is a prime example. from 2007 to april of this year, the pensioners took out $55 million but the workers put in $22 million. how long can that math last? >> not long! >> so -- because people are getting minimum wage there now. >> chris christie is a straight

shooter, i really think he's one of the most popular governors around the country and he's doing it right. look at the states that are excelling that are doing extraordinarily well. the texases of the world and the north dakotas of the world, they don't do it with an army of public sector workers, they do it by stoking the engines that make america great in the first place. >> they're deep in the heart of texas, not in the heart of taxes. thanks, charles. >> next up on the rundown for this wednesday, he confessed to killing his brother and then sent to jail. now he's free because of budget cuts. you'll hear from her next. then land of the free, home of the beret? why our olympic heroes are wearing french hats thanks to ralph lauren.

>> imagine hearing that the man convicted of killing your brother or at least charged with that is being released from prison early not because of good behavior but because of budget cuts. that's what happened to our next guest, alisyn cavara. good morning to you. >> good morning. >> bring us back to may and what happened to your brother? >> on may 1st, my brother was camping in a campground in oakridge, oregon, with an acquaintance of his. they had planned to go camping and fishing over the weekend. and during that time, there was an altercation. they had both been drinking and it escalated. and the alleged person who is accused of his crime picked up a

log and bashed him in the head and killed him. >> so aaron earl curry was being held in jail awaiting the trial for the murder of your brother, alan platte and now what's happened? >> due to budget cuts, the -- the county has been forced to close beds in the jail. so there was three that were accused of crimes that were released into the public with ankle bracelets as monitors to await trial. >> so even though he's charged with killing somebody, he's now out of jail awaiting trial because there's not enough money to keep him there? >> that's correct. >> what does your family feel about this? >> we're devastated! he needs to be back in jail where he belongs. >> now, it's my understanding that these three men, all convicted of between

manslaughter and wearing ankle bracelets, does that give you peace of mind? >> no, it doesn't. >> do you think it's political at all? >> i think a lot of it is, yes, i do. i believe there's some politics behind it. >> i want to read a statement from the sheriff. we are holding the most violent unpleasant people and while we're not saying these people released are not dangerous, they are not as dangerous nor have they been tried yet. these are all bad people and i wish that we didn't have to release them. it's frustrating for me as sheriff. does that make you feel any better? >> no, not really. i understand the sheriff's position. he's only doing what he's told the sheriff and the police department work very hard at their jobs to protect the public to arrest these people. and i know it's got to be frustrating for them to let them go. but i can't help but feel there's some political pull behind all of this to make the

voters of the county to vote for a property tax that they want passed through the ballot. >> very interesting because the city apparently out of dough like so many others. we're so sorry for your loss and we hope this case is resolved. thank you. >> thank you. >> was this a new low by vice president joe biden? comparing romney's tax returns to illegal immigration? >> he wants you to show your papers but he won't show us his! [ male announcer ] what's in your energy drink? ♪ wer surge, let it blow your mind. [ male announcer ] for fruits, veggies and natural green tea energy... new v8 v-fusion plus energy. could've had a v8.

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so fresh the only preservative we use is the fridge freshpet fresh food for fido >> good morning, everyone. today is wednesday, july 11, 2012. i'm gretchen carlson. thanks for sharing your time with us today. president obama has a new strategy, accuse mitt romney of outsourcing jobs 20 years ago? >> governor romney has experience owning companies that were called pioneers in the business of outsourcing. >> but is all this talk about outsourcing just a distraction from the real issues we report, you decide. >> and there's a lot of talk about class warfare these days.

>> yeah! to the future that we imagine in 2008 where everyone gets a fair shot and everyone does their fair share. >> my mother and father dreamed as much as any rich guy dreams. >> are there voters that will be seduced by the president's argument? a brand new poll putting all the numbers in perspective. we'll have it for you. >> land of the free and home of the beret? that's right, why are our olympic heroes from america wearing them french hats? we're going to talk about that and so much more. "fox & friends" not from france but from gotham city starts right now. >> thank you very much. >> we'll tell you about that story coming up. is there anything american about a beret? we're just about five hours away in the meantime from when the

house will meet to vote on repealing obamacare. peter doocy live in washington with more for us. good morning. >> good morning. the house of representatives has already voted to repeal either part or all of the affordable care act 2 1/2 dozen times. today will be the 31st repeal vote and president obama had said he will veto a repeal bill if it gets through the democrat controlled senated and makes its way through to his desk. because of that, democrats say they're holding republicans to hold a vote. if it goes away, they'd be leaving millions of americans in the lurch. >> health care is a right! and it is not a privilege. not just for some people but for all people. we cannot and we will not go back. do you want to go back? do you want people to be afraid to have a checkup? >> but g.o.p. leadership has

not wavered and today's vote will move forward so every member of congress is on the record about the health care law now that the supreme court has ruled on it. >> i think it's important for the electorate to know where their member of congress stands and some people have tried to be too cute on this issue and have kind of waffled back in their district and this is an opportunity to draw a bright line on whether or not you support the law as it's currently written as the supreme court has ruled it constitutional or do you favor repealing it and doing something more in line of giving individuals more troll over their dollars? >> we know at least two democrats plan to join republicans in their repeal effort today. congressman mark mcentire from north carolina who faces a tough re-election in a redrawn district in november and congressman larry kissel also from north carolina and those two could have more company for members like the democrat from arkansas who says he doesn't know how he'll vote. back to you in new york. >> all right, peter doocy,

thanks so much. we have some other headlines now to tell you and a fox news alert. we know that two explosions caused this massive fireball in columbus, ohio. this new video from over the scene of this train derailment. so far, at least two people we know about have been hurt. the train was carrying some type of agricultural product from chicago to the carolinas when 11 of the 98 cars derailed. people living within one mile of this explosion have been evacuated. turbulence rocking an american airlines flight from aruba to miami. passengers literally thought they were going to die. >> everybody is screaming. everybody is screaming. you see the people jumping down, up and down. and, you know, it is everybody screaming. >> basically with the noise and the bumps, we just think that it's going down. >> thought we were going to die. >> very scary. the plane just 30 minutes from landing when that turbulence hit. at least seven people including

two crew members are being treated for minor injuries. vice president joe biden going after mitt romney in an attempt to woo hispanic voters by comparing immigration to tax returns? >> when his father was a candidate for president in 1968, his father released 12 years of tax returns because he said, and i quote, one year could be a fluke. perhaps done for show. that was his father. his son has released only one year of his tax returns. making alive the old adage, like father, like son. he wants you to show your papers but he won't show us his. it's kind of fascinating. >> biden making the remarks to the national cancel of laraza. both campaigns are actively courting hispanic voters. mitt romney said there's nothing hid in any of his tax returns. did you know that earnest

hemingway rewrote the last line of "farewell to arms" 47 times. for the first time, all the alternate endings are being published together. here's what he settled on. after a while, i went back to the hospital and walked back to the hotel in the rain. here's number 7. there's no end except death and birth. it's only the beginning. >> that's a bummer. >> number 34, the world breaks everyone and those it does not break, it kills. >> so he settled on the one that was not flowery with language. he just walked out in the rain. >> that's it. >> thank you, papa. all right, let's talk a little bit about this. we're about four months until the election and so what is the president of the united states doing? he can't really, many on the right say, run on his record because the jobs situation is so bad. can't really talk about his major achievement which is health care because a majority of americans don't like that. instead, he is fixating on outsourcing. >> and it's been working in certain states with some of the swing states, we see the poll numbers the president has been hitting them.

the d.n.c. specifically has been putting out those ads attacking mitt romney over bain capital. his time at bain capital 20 years ago and outsourcing jobs. the president, though, also attacking him again on the campaign trail. listen. >> governor romney has experienced owning companies that were called pioneers in the business of outsourcing. my experience has been working with outstanding neighbor -- members of labor and great managers to save the american auto industry and as long as i'm president, i will keep fighting to make sure jobs are located here in the united states of america. >> it is interesting that when it comes to outsourcing, that this president has been outsourcing a good deal of american jobs himself by putting money into energy companies, solar and wind energy companies that end up making their products outside of the united states. if there's an outsourcer-in-chief, it's the president of the united states. not the guy who is running to

replace him. >> punch and counterpunch. >> this brings home the basic fact about politic, do you always have to tell the truth? which one is telling the truth? the president, a lot of people know those green jobs have been outsourced. he's not going to say that. he's attacking mitt romney for something that happened 20 years ago with an ad that ended up not being true so here's brit hume on o'reilly last night with his analysis of how this all came about. >> i think the most telling thing about this whole flap over outsourcing is the obama campaign got this idea out of a story in "the washington post" that was pretty thinly sourced to begin with, a pretty weak story. and they just went with it which tells you something, i think, about the obama campaign and when we think of this enormous apparatus that they have, the skillful people that are running it. they grab the story out of the newspaper and you sense they're grabbing whatever they can against romney and throwing it up against the wall so see if it will stick.

this, i don't think, has stuck very well. >> what has the romney camp and r.n.c., they're counterpunching in a big way. reince priebus, the head. r.n.c. was on our program yesterday talking about a new web site they've launched called obamanomics and it talks about a three dozen companies that apparently have gotten a boat load of our stimulus money and shipped jobs overseas. solar panels from mexico. electric delivery trucks from the u.k. and wind power farm parts from south korea, japan and mexico so our stimulus money went into the other countries that sure sounds like official federal outsourcing. >> what do independents think about this? we know every election comes down to the independents, right or wrong. well, lately, the independents look like they're going with mitt romney at least in the most recent poll. has to too with class warfare, that seems to be one of the

messages. here's that poll right there. mitt romney's 53% to president obama's 49%. the class warfare dialogue is something that independents will have to decide, do they believe president obama on this or do they believe mitt romney? let's listen. >> on top of the existing bush tax cuts, they want to give $5 trillion more in tax cuts. the wealthiest among us can play a little bit more. >> this is not about class warfare. this is about math. >> you got to make sure that you're giving a little something back. >> we're not supposed to have a system with one set of rules for the very wealthy. >> we can't have a culture that just encourages selfishness and looking out for yourself. >> my mother and father dreamed as much as any rich guy dreams. >> given the fact that now mitt romney leading with independents by 14 points, maybe the independents are saying you know what? enough of the class warfare. what's interesting is the headline from "the washington post" poll that came from, the headline was from the mainstream media that they were tied at 47-47. but if you look in the fine

print, you realize wait a minute, they talked to 9% more democrats than republicans and many on the right feel that the poll is flawed. >> you need to look at those polls a little bit more closely. >> you do. >> you need to look at this ad a little more closely. look at a new ralph lauren ad out this morning that shows some of our olympic athletes and the olympic uniforms will be held in the u.k., has nothing to do with france. here's the american flag, these american athletes dressed in the outfits with berets on. >> huh? is this the new american trend now? are we -- >> wearing a beret? >> and you have to pronounce it that way, too, that's the french way. by the way, those jackets are very pricey, too. so i'm not sure people will be snapping those up. >> for women, the blazer is $600 and for men like that one right there, it's $800 and all those ralph lauren clothes are made in china. big question is, though, should the american team be wearing a

beret? why not a baseball cap? why not a cowboy hat like we had when we went to calgary or why not do something very american and go topless? >> that's how you roll. >> shawn johnson, one of the most decorated olympists from the -- america coming up in the show. >> steny hoyer is here next. >> terrific. then the secrets to shedding the pounds. it's one simple thing you can do with your food and we'll tell you what it is if you put down that remote and stay with us. [ whimpers ]

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>> welcome back. time for your news by the numbers. first up, nine. that's how many border patrol stations across four states the obama administration plans to close in order to reassign agents to higher priority areas. next $14 billion. that's how much both federal and state governments overpaid in unemployment benefits last year. finally 25%. that's how much less people eat when they cut their food into smaller pieces. there's a tip. gretchen? >> thanks, clayton. in just a few hours from now, members of the house of representatives will reconvene and they're expected to vote to repeal the president's health care laws. nearly all g.o.p. lawmakers are backing that effort. if the facts that we now know today about this law was available when this law was being debated, there's no way

this would have become law. this is effectively a government takeover of 17% of our economy. you remember the line, if you like the health care plan you have, you can keep it. completely not true. >> the house minority whip, congressman steny hoyer will be with us in a few minutes. in the meantime, while he's getting miked up, let's talk about the next topic that has to do with food stamps and there's a big fight also going on on capitol hill about whether or not we should be cutting food stamp coverage right now. >> especially given the time of year -- certainly so many families are relying on this and they get the cards now and not the food stamps actually. it's the snap card that you get so many families dealing with unemployment benefits right now and 99 weeks of unemployment. so many folks relying on this. peter johnson jr. talking about how his family was able to make it through the great depression as a result of being able to get

some help in the food realm from the federal government. >> absolutely. and there are times when people do need help but some have suggested i'm sure there's some scamming going on out there. look at the president of the united states, current president took office, the number of people who have -- who are on food stamps has dramatically increased. back in 2008, $37 billion spent through the usda for food stamps or the snap program. the next year, $53 and the following year, 68. up to in the last calendar year that we got the numbers for. $75 billion and remember, we told a story, i think, about two weeks ago about how a republican senator was trying to just scale it back a little bit. and he was demonized. you can't touch the food stamp money they said. >> they will be on capitol hill today having a news conference opposing those cuts. cuts up to $16 billion in the program but it would be over 10

years. we've done a lot of stories on "fox & friends" recently talking in general about what you should be able to buy with these e.b.t. cards and there's some controversy because you can still take out cash in places like casinos and strip clubs and other various places and once you have the cash, you're not supposed to be able to buy alcohol and things like that. who is to know where you got the cash. it's like everybody else at that point. >> when i worked at a grocery store back in high school, you know, food stamps looked like money. a different kind of money. it was paper money. >> right. >> actually stamps and it was very specific. if somebody came in and tried to buy tobacco, for instance, because they did sell cigarettes and cigars at my grocery store and say sorry, can't do it and they pay for everything else out of the food stamps and they have a little cash and pay for tobacco with their own cash. >> take back entitlement programs once they're in place. if people are able to get the benefits and try to roll them back, even a portion of it.

you see it come out of your paycheck and not able to buy food for their families. >> hard to put the toothpaste back in the tube. toothpaste was covered. >> coming up next on the run down, house republicans vote to repeal obamacare today. steny hoyer expects that to happen but he says so what? he's going to be here next. >> he had a major meltdown on a jet blue flight. remember this video? >> oh, my god! >> no! >> that pilot we're hearing was all due to a lack of sleep! that's why he was freaking out i was pushing my kids in a stroller

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>> as we were telling you a few hours from now, members of the

house will reconvene and are expected to vote to repeal the president's health care law but our next guest says the vote doesn't mean a thing. joining me now is democratic congressman and house minority whip steny hoyer? it doesn't mean anything? >> it means something in that the republican party continues to pursue its message and not substance. this is the 31st time we've voted on repealing the health care bill and it's the 31st time that it will fail. everybody knows that the president is committed to it. he's not going to sign that bill if it passes but they know the senate is not going to sign that bill. it's about politics and not policy. very frankly if it passed and if it became law, literally millions of millions of americans would lose benefits they already have. young people would be kicked off their family's insurance policy. pre-existing conditions would now be used as the insurance company to keep children from getting health care insurance. seniors in the donut hole would be again placed in a position where they may not be able to afford prescription drugs they

need to keep their life healthy. >> those are some of the provisions, congressman, that most americans actually like. but when you look at the bill overall, i want to take a look at the most recent poll. most americans still don't like obamacare. so who is really listening to the constituents? >> gretchen, it depends upon which poll you're looking at. kaiser did a poll that said 56% of americans want us to move on. they want us to be focused on jobs. they want to make sure the health care bill will work. there's no doubt about that. but very frankly, i think the republicans are wrong in thinking the american people want to retreat. what the american people want the congress to be doing is focused on jobs and building this economy. >> and a lot of those americans -- >> which we're not doing. >> a lot of those americans wanted this president to be focused on jobs when instead he was focused on health care for the first two years of his administration. which means for the next topic now that he's claiming his tax cut plan is the same as bill clinton's. is it really? i mean, you were there. is it really -- is it really the

same thing? >> well, i think we're not in the same passiosition. we had the bush tax cuts for the very wealthy, very frankly. we've had the worst economy and worst recession we've seen post bush administration that the president has been trying to address. to say it's the same posture we were in 1993 when, by the way, every republican, every one, to everyone in the congress, house and senate said that program would not work. in fact, it brought us the best economy that i've seen in my lifetime and you've seen in your lifetime and four years of balanced budget and a surplus of $5.6 trillion. according to george bush when he took over. >> there were a lot of other -- >> a lot of other different situations. >> i want to make sure i get -- i want to make sure, the economy was a lot better off at that point in time. i want to make sure i get that in. >> you mean after the clinton administration you mean it was a lot better off? >> no, i mean when he made those particular cuts. i want to make sure i get this point in, though, i don't want to run out of time before i get

this in. a lot of people are saying that president obama giving this middle-class tax cut right now to people -- families making under $250,000 a year is simply a campaign strategy. he knows that's not going anywhere either just like the health care bill today either. your response? >> isn't that unfortunate? what the president said and what i believe is everybody in the congress agrees or at least says they agree that those under $250,000 should not have a tax increase. we agree with that. the republicans agree with that. isn't it a shame that we're holding hostage that on which we don't agree and that is that the richest folks in america should not get a tax cut but should pay a fair share? >> a lot of people argue they already do. there's people in your own party who disagree with the president. chuck schumer, nancy pelosi, senator claire mccaskel. >> you're wrong. nancy pelosi believe the president is correct.

that we ought to move forward on tax cuts for those under $250,000. >> then she changed her mind. >> maybe she did. what it is a function of which overwhelmingly 80% of the american people think we ought to not have a tax cut for those people, very frankly what that million dollars represents is to show that the republicans won't be for a tax cut for anybody, even though a study just showed americans are paying the lowest tax rate they've paid in 30 years. we've got a deficit. we've got a debt. we need to deal with that. >> rate. >> we need to set aside sequestration and very frankly, we need a big, bold balanced plan but we do agree that nobody under $250,000 ought to get a tax increase. isn't it a shame -- isn't it a shame, gretchen, that on which we agree we can't get the republicans and democrats together to move on? we're for that. the president is for that. i'd hope the republicans would be for that. >> let's see what happens with that. congressman, so glad we could make the interview happen. thanks so much. >> thanks a lot, gretchen. >> the supreme court said it's

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>> new movie called the obama effect opens this friday. they're expecting big crowds. sure, nobody has a job to go to. might as well go -- might as well go see a movie which is also the obama effect if i'm not mistaken. >> oh, boy. by the way, a little while ago, we were telling you about how the u.s. olympic team are going to wear berets. is that appropriate for an american team? and we've got a lot of e-mail from people saying you know what? there is a team that's already wearing a beret in america, our special forces guys. >> green berets. >> and they look great. >> that's a good point. now to our other headlines, remember the jet blue pilot that had a mid-air meltdown in march forcing an emergency landing? >> oh, my god! >> clayton osbon was that pilot

just found not guilty of interfering with flight crew instructions by reason of insanity. escaping a possible jail sentence. his doctor testified that he had a brief psychotic disorder due to lack of sleep! yes. but jet blue says osbon had the weekend off before that flight and had only flown two trips the previous day before having an additional 17 hours off. so maybe that's not going to actually work. >> at least they didn't use the twinkie defense. >> there's so few claytons, why does one have to ruin it for all of us? >> meanwhile, a democratic congressional candidate in arkansas dropping out of the race after lying about his military record. that guy right there said he was in the army special forces specifically a green about r -- beret. it turns out he failed out of special forces three times and was honorably discharged in 2010. >> out of nowhere, the alligator at least 10 feet long lunges at a teenager swimming in a river in florida biting off

his arm. 17-year-old caleb langdale thankful to be alive. he tried to fight the gator off but put his arm in his mouth, pulled him over and started to do that spin. >> he started pulling me down and i knew it's either this bone -- i've got to lose this arm or i'm going to die so i put -- took my feet and i put on his mouth and i tried to jerk my arm off trying to break it free. >> ooh! man. >> langdale lost his arm from the elbow down. wildlife officials eventually caught and then killed the alligator. >> and we just talked about how congressional democrats are making their next big fight about preserving food stamps but food stamp fraud costs taxpayers about $750 million every year. so what to do about the abuse? where is the regulation? >> steve centanni is following that story first from

washington. good morning. >> good morning, gretchen. good morning, everybody. as congress debates possible cuts in the food stamp program, questions are being raised about how people are spending their taxpayer funded food benefit. current rules allow recipients to buy anything from steaks and caviar to ice cream and candy but there's at least one proposal to limit those purchases to healthy foods like fruits and vegetables. the idea is to promote better nutrition while reducing obesity, diabetes and heart disease. >> all three to six month programs that the government subsidizes except for snap has traditional recommendations. snap is a nutritional assistant program so it would make sense to put nutrition into it. >> elizabeth kucinich is the wife of dennis kucinich and she said right now it's hard to know how they're spending their money because the usda won't release the data. usda tells fox news they are prohibited by law for releasing any data on the amount of snap benefits spent at individual

stores. food stamp advocates held a news conference yesterday opposing cuts of up to $16 billion in the program over 10 years. and at least one congresswoman rejected the idea of adding nutritional requirements. >> let's look at the meal program. for the rich and the powerful. i bet there's a hell of a lot of lobster on the menu as well. and not so much soda because soda fills your belly. and people resort to soda. when they have to feed their kids' bellies. >> food manufacturers also oppose nutritional restrictions saying it could create confusion and oppose extra burdens for food stamp recipients. gretchen? >> steve centanni live for us in washington. thanks so much for that report. let's head to clayton and another steve. >> at 20 years old, our next guest has accomplished more than most will in their entire lives. she's won four gold medals, one

-- four olympic gold medals, one gold and three silvers and she's won "dancing with the stars" and written her own book. why at such a young age is shawn johnson who joins us live calling it quits? >> she's also the author of a new book if that's not enough, "dancing with the stars", olympic athlete, "winning balance" is the new book. there's a look at the cover of the new book and she's with us this morning. good to see her this morning. retirement at 20 years old? what are you going to do? >> take up sailing or something, i don't know. >> you should take up writing. you just wrote this great new book about your life story. what's made it easy, i would imagine, is when you were doing all of your gymnastics work, you kept a lot of journals like a young -- like a lot of young ladies and guys, right? >> definitely. i kept diaries, journals. i wrote down quotes or thoughts of everything that i was going through and at the time because it was vulnerable and weakness, we weren't really allowed to show our emotions but now that it's over, i put into book form and kind of really connected to

people on a more human level. >> sure. >> you're going to be over there in london and interviewing some of the athletes ahead of time and after the competition which will be interesting because you know what's going on inside of their minds. now, it's obviously a little while before london kicks off. what's going through these athletes' minds right now? how are they preparing? >> right now, i think it's the most intense time. they've all qualified. they're all getting ready. but now it's like show time. they know that they have to go over there, they have to wear their colors. their country's colors and they have to do them proud and they're just living in a gym making sure everything they do, eat, sleep is perfect. >> they're not only wearing their colors, they're wearing berets. what do you think about the olympic theme with the berets? they look great on our special forces guys and gals. >> it's very fashionable. but -- >> a beret? >> for -- >> wear some crazy outfits. >> you said you liked it if they took the berets off. everything is nice except for the beret. >> i think it would be very like suiting without the beret but it is a fashion statement. >> it is.

absolutely. >> so now you're going to show us some -- we saw you do some handstands. can you show us how you do? steve will try one of these out? >> you just kick up. it's like a lever. >> you got great upper body strength, though. >> what's the key? what's the key? >> the arms. >> the key is -- everybody tries to look forward. you want to look down. >> there. >> come on. come on, clayton. you need lunch money! >> come on, one more time. >> headed for london. >> i'm going to help you. >> i'll help you. ready, kick? >> there you go. look? >> thank you so much and good luck with the new book and good luck over in london. >> thank you so much. thank you. >> thank you. >> all right, greftchen, how di i look? >> don't step on your glasses. they're right behind you. >> say hi to shawn, guys.

coming up next on the rundown, new evidence in an unsolved murder leads police straight to occupy protesters. we're live with the stunning details. then is president obama being haunted by the ghost of president ronald reagan? our next guest says yes. he would know. >> it is no coincidence that our present troubles parallel and are proportionate to the intervention and intrusion in our lives that result from unnecessary and excessive growth of government. [ wife ] your dad's really giving him the business... the designated hitter's the best thing to happen to baseball! but it's not the same game! [ wife ] wow, he's really gonna get us a good deal. it's better! no it's not! the pitcher comes up and he's out! [ dealer ] he can bunt! whatever. but we're good with 0% apr for 60 months? oh, yeah, totally. thank you so much. that must've been brutal. [ male announcer ] the volkswagen autobahn for all event. at 0% apr for 60 months,

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from the olympic village to the stadium. solutionism. the new optimism.™ ♪ this dream >> welcome back. new evidence in an unsolved murder leading police straight to the occupy protesters. wnyw reporter antoine lewis live with some stunning details about this case. >> the murder happened in may of 2004.

she was murdered in this park in upper manhattan and among the evidence that was collected at the time was a c.d. case that had d.n.a. material on it. detectives held on to it but the case ran cold. it suddenly became hot again in the last couple of days because of a incident that happened involved in the occupy wall street movement. eight years later, they had that occupy the m.t.a. where they chain opened the emergency doors allowing subway riders to ride for free. well, the police are saying d.n.a. evidence from one of those chains was a direct hit to what was collected here at the scene. so they're reviewing the footage and they have surveillance footage from that incident and they're looking at it very carefully and closely trying to identify who the persons are and who that d.n.a. material belongs to. we're going to be keeping you updated on it and following it as well. we'll send it back to you inside. >> thanks for following that for us. antoine lewis live for us in manhattan this morning. gretchen and steve? >> thank you, clayton. is president obama being haunted by the ghost of president ronald reagan? like president obama, the late

president faced an economic crisis when he took office in 1981. >> but instead of hiking taxes on the wealthiest americans as our current president wants to do, president reagan actually cut income taxes on the highest earners from a stunning 70% to 28%. wow! >> those who do work are denied a fair return on their labor from the tax system that penalizes successful achievement and keeps us from maintaining full productivity. but great as our tax burden is it has not kept pace with public spending. >> but president obama seems to be ignoring president reagan's success by doing the exact opposite, taxing his way to an economic recovery. >> joining us now is former economic advisor to president reagan, art laffer, why are you laughing? >> i think it's really funny because so many democrats voted for that bill. for example, joe biden voted to cut the highest rate down to

28%. ted kennedy did, chris dodd did. bill bradley did. i mean, all of these big leftie democrats, 97-3 the 1986 tax act passed in the senate. >> why? >> now they're doing what? who understands -- >> why? >> i think it's just pure politics. they're losing. they've done a bad job and they're just grasping at straws and it's rather sad. it's just what jimmy carter did as well, by the way and he lost as well. >> when jimmy carter -- when reagan took over for jimmy carter, the country had a terrible problem with inflation, as you know, and very high unemployment. and art, current president has a terrible problem with high unemployment. but rather than talk about jobs, because there aren't so many, he's talking about class warfare and stuff like that and he's going to jack up the tax rate on the most successful and the dividend rate and some other stuff, too. >> it's amazing, isn't it? i mean, jimmy carter did much the same thing. do you remember the gas wars and all that? >> sure. >> the long lines where you had to stand and they raised taxes

on many, price controls. that was his obamacare to be honest with you and it didn't work then. people didn't like it. they threw it out and the parallels are really very striking between jimmy carter and barack obama. and i think the results are going to be the same as well. >> you do because i want to -- i want to get to what you believe will open if you look back in the polls when carter was running for president, it was neck and neck at this point in time, right? >> yes. five days out, i think we were slightly behind and then all of a sudden, boom, we won in a landslide. there's only one poll that matters, gretchen, that's on election day. that's the one that really swings. hypothetical things are really very different. the question is do you want the next four years to look like the last four years? do you think obama has done a good job? i'm not a bush fan either as you probably know. i think bush did a bad job as well but obama has extended that bad job for four more years and created an underclass that will take generations to bring them back into the mainstream.

it's really tragic. >> right. and art, specifically on the president's proposal to tax our highest earners, you know, make more than $250,000 a year, you know, some have said, you know, the republicans say it's going to impact small businesses but the white house says it would only impact 3% of small businesses. >> yes, i know. they're the ones who employ everyone else, steve. these are the guys that determine who hires who, what the investments are. you know, prime minister cameron in england two years ago raised the highest tax rate from 40% to 50%. all with the same silly promises. now, it's a double dip recession in england. now they've lost the money. they didn't get the money by the way, revenues went down. not up in the u.k. and now they're trying to lower the rates back again to offset their mistake. they've lost two years of trying to create prosperity. it's -- why don't they ever learn? you can't tax an economy into prosperity. it just doesn't happen. >> let's see what happens. >> i want to end with this. you say that reagan realized

what obama doesn't. no american has made better by pulling down fellow americans. >> that's for sure. >> we'll leave at that. art, thanks. we'll talk to you again sometime soon. >> thanks, gretchen. >> straight ahead, he keeps cheating on you but you still love him? is that normal or nuts? who are we talking about, clayton or dr. keith ablow who has a diagnosis coming up next. >> first on this day in 1981 "rush rush" by paula abdul. that was the number one song. [ male announcer ] what's in your energy drink? ♪ wer surge, let it blow your mind. [ male announcer ] for fruits, veggies and natural green tea energy... new v8 v-fusion plus energy. could've had a v8.

>> am i normal or am i nuts? it's a question we all ask ourselves once and a while and a question we ask dr. keith ablow

every week. he joins us on the couch to answer your e-mails. good morning. >> good morning. >> let's start with something that we talked about before the commercial break which is my husband has had many affairs, now he's involved with a co-worker. i love him but i can't take the lies and the cheating. we're in counseling and he wants me to trust him. am i nuts to stay with him? >> you're not nuts to stay with him. you know why? because your marriage is more than that erotic energy. your marriage has lots of things to it, maybe you're married a lot of times and you have kids. you're in counseling, trying to figure out why this guy is addicted, if he is to sex. let's find on. your marriage is more than that. if he didn't pick the guys up from band practice three times, that could be a reason to leave. >> a person says you're nuts for sticking with this guy. you're not. >> in my practice, i tell people, infidelity, i don't believe that can ever be the reason -- a legitimate reason to end the marriage. why? because marriage is spiritual,

it's not just physical. you can get over this stuff and people do. >> interesting stuff. e-mail number two writes my daughter is 34 and her husband's entire family moved across the country to live with them. since they can't hold any jobs, she says there's nothing she can do but accept this. is this nuts? >> clayton, look, at other times, if we didn't have this president and rampant unemployment, i'd say look, it sounds a little nutty to me. no, today, with unemployment where it is, people struggling to get by, it's normal. what do you do in this kind of an economy when people are out of work and they're your family? you take them in. because otherwise, they could hit the streets. that's the reality of the guy we got in the corner office. >> e-mail number three writes i'm in a group with a 48-year-old woman who brings a doll to every meeting and event. she calls it a mascot. but it talks as if it's a person and expects people to interact in response to this doll. it's even on facebook. normal or nuts, doc? >> wow. for this, you call me in.

from my office. and you say you need a psychiatrist. it's crazy! it's crazy! my suggestion is she should come to my office with the doll. here's the deal. if she leaves without it, she can go. if she wants to keep it, she stays. >> we'll come up with another plan for her. >> now, i would love to see that in a meeting where you can't talk to me, you have to talk to the doll. >> talk to the doll. >> i would love that. >> i should try that in my office. i'm going to leave for now. you explain your problems to the keith doll. >> and then bill them later. >> dr. keith ablow, great to see you. if you have any questions, log on to fox and friends.com and e-mail dr. ablow your questions, are you normal or are you nuts? good to see you. thanks so much. coming up on the show, debbie wasserman-schultz has advice for the voters. >> why does an american businessman need a swiss bank account and secretive investments like that? it's a thought that i would like to leave folks with. >> just don't ask the congresswoman about her own

swiss bank account. we'll tell you more about that coming up. then one city cutting everyone's pay to minimum wage because it's out of money. a firefighter who saw his paycheck slashed overnight. talk to him at the top of the hour.

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>> gretchen: good morning, everyone. today is wednesday, july 11. i'm gretchen carlson. today mitt romney turns the tables on the president's job creation record, calling the president the outsourcer in chief. so why does the president still want to talk about this? interesting insight. we have it. >> steve: the head of the dnc has advice for voters. listen up. >> americans need to ask themselves why does an american businessman need a swiss bank account and secretive investments like that? a thought i'd like to leave folks with.

>> steve: good question, congresswoman. what about your swiss funds? you got to hear this this morning. >> clayton: cops not going after killers, not drug dealers either. no, they're raiding a pastor in his home for not having a bible study permit. are you kidding me is this now he's in prison. "fox & friends" begins right now. >> steve: yesterday brian was live at kansas city with the all-star game and today we had the all-star, mr. clayton in. >> clayton: brian is sleeping in this morning. >> steve: i don't blame him. >> gretchen: he'll be on vacation a little bit. good to have you here. let's kick off with headlines. massive fire ball in columbus, ohio. there were two explosions inside the train's cars. so far at least two people have been hurt. the train was carrying some type

of agricultural product from chicago to the carolinas when 11 of its 98 cars derailed. people living within one mile of the explosion have been evacuated. in about four hours from now, house republicans will lead a vote on a full repeal of president obama's controversial healthcare law. lawmakers from both sides trying to make their cases. >> healthcare is a right and it is not a privilege! not just for some people, but for all people. we can not and we will not go back. >> i think it's important for the electorate to know where their member of congress stands. some people have tried to be too cute on this issue and have kind of waffled back in their district and this is an opportunity to draw a bright line on whether or not you support the law as it's currently written, as the supreme court ruled it constitutional, or do you favor repealing it and doing something more in line with getting individuals more control over their dollars? >> gretchen: democrats criticize it as political fodder.

president obama promising to veto any attempt to veto it. turbulence remark ago flight. passengers thought it was all over. >> everybody is screaming, everybody is screaming. you see the people jumping down, up and down, you know. everybody freak out. >> basically with the noise and the bumps, you think it's going down. >> it was scarey. >> gretchen: that plane just 30 minutes from landing when the big turbulence hit. at least seven people, including two crew members, are now being treated for injuries. nasa giving the public a glimpse of seven minutes of terror. details the challenges its recovery will face as it tries land of the if one thing goes wrongers it will be a disaster. >> we've got literally seven minutes to get from the top of

the atmosphere to the surface of mars, going from 13,000 miles an hour togglerry roe in perfect timing, and the computer has to do it all by itself with no help. if any one thing doesn't work just right, it's game over. >> gretchen: many applauding nasa for putting excitement back into space exploration even if it's a little terrifying. >> clayton: i love the space program and excited about this. it reminds me, remember when the first mission to mars when they did the first recovery land and it burned up? remember this is a good get out in front attempt, so we're aware. i can't believe they managed to pull this off. >> gretchen: very interesting, clayton. >> steve: on this planet, clash of the tax plans. one detainee wants to avoid raising taxes for any american. the other says some people need to pay more. doug mckelway following both of them from the north lawn of the white house. >> good morning.

both made appearances in key swing states yesterday. mr. obama speaking in iowa, the state where he four years ago won the iowa caucus which is propelled him to the white house. mitt romney speaking in colorado with its unemployment rate of over 9%. it was his fir town hall meeting since may when he blasted the president's call for ending the bush era tax cuts on families earning $250,000 and individuals earning over $200,000 a year. many individuals file as individuals, romney believes the president's plan is a kick in the gut for a nation reeling from high unemployment. >> for job creators and small businesses he announced a massive tax increase! so at the very time the american people are seeing fewer jobs created than we need, the president announces he's going to make it harder for jobs to be created. i just don't think this president understands how our economy works.

>> and in iowa, the president met with a young family, ali and jason, a young couple with one child and another on the way. the president believes benefited from and will benefit again from the extension of the bush era middle class tax cuts. here is the president. >> yesterday i called on congress to stop any tax hikes for the 98% of americans who are just like this couple, just like you, because if congress doesn't act, then that tax hike could cost up to $2,200 for a family of four. >> later this afternoon, the president will be meeting with key congressional democratic leaders, including harry reid, nancy pelosi, chris van hollen, to discuss their legislative agenda over the next couple of weeks, including that extension of the bush era tax cuts. mitt romney will be speaking in houston, texas focusing on minority voters. speak at the naacp convention and launching a spanish language television ad today. right now he enjoys the support

of 30% of latinos. he hopes to get that level up to 40% by election day. steve? >> steve: thank you very much. doug was talking about the president, his main thing is trying to get -- if you make more than $250,000 a engineer, jack up your taxes. when you think about it, at 250, you really only take home 125,000, which in some parts of the country, if you got a couple of kids in college, that's not much money. >> clayton: that's the narrative now that the president is working on. a lot of people wondering why does it seem like small potatoes? we had this president who ran on health care, talked about changing the system, hope and change of the charles krauthammer last night on "special report" basically saying this idea of sustaining the bush tax cuts in part is such small potatoes for a president who ran on big thinking. >> i think what's so impresssive is how small a game obama is playing. here is a guy who comes in in 2008, hope and change, change the way washington works. he passes a trillion dollars

stimulus, largest spending in american history, he does a health care bill that is one sixth of u.s. economy, he attempts cap and trade, which would control the energy industry. he does dodd frank which regulates finances. a guy who wants to change america, said so. what's he proposing here as the center idea of his economic plan for the next term? a partial extension of tax cuts for one year on a part of the american people. >> gretchen: it goes back in time really because if the president really wanted to do something about reforming taxes in this country, or helping to start decreasing our debt, what about simpson-bowles? he's the one who says let's create this bipartisan panel to come up with how we can handle this tax reform and then he said no thank you when they came up with the results and now he's going back to this old way of thinking with tax cuts. >> clayton: he was not in favor of the bush tax cuts in the

first place. so there was this sort of arm barraging to get the president to go along with just an extension last year. >> steve: with this particular initiative where he'd like it raise taxes on the most successful and small businesses, we told you yesterday that it would, over the course of a year, only raise $85 billion, which would run our federal government for 8 1/2 days. that's a small issue. it's just a distraction. there is another distraction that started with the "washington post." they did an article that the romney camp called for a retraction. then they ran an ad. now both sides are talking about outsourcing. yesterday the republicans hit back hard and said, look, you talk about outsourcing? look how much stimulus money went to countries like japan and korea, and mexico with the president's solar projects and all sorts of other things as well. >> gretchen: so it goes along with the same argument about is this just one little part of the

whole economic picture? do people really wake up every morning and think about outsourcing or do they just think about unemployment and trying to get a job in general? is this deflecting sort of the blame about the main issue out there? other double standards going on, debbie wasserman-schultz was on the sunday talk shows. she's the head of the dnc. the head of the rnc was on and she got in this little piece of information, a talking point before the interview was done of the listen to this. >> americans need to ask themselves, why does an american businessman need a swiss bank account and secretive investments like that. a thought that i'd like to leave folks with. >> gretchen: she was talking about mitt romney secret investments in swiss bank accounts, making a claim that somehow that is not american or there is something to hide there. the only problem is, turns out that she also has some investments in swiss bank accounts. you got to be a little careful before you make those claim. >> clayton: retirement because a lot of people have blind trusts or 401(k) plans, they have no idea what's inside of those

investments. so she goes on the air and attacks someone for that, is it important for u.s. congresswoman, former u.s. congresswoman to have all your investments in the united states? turns out a portion of about 1,000 to $15,000 were invested in india, in swiss banks, and foreign drug companies as well. >> steve: also she wants mitt romney to release his tax forms, but she won't release hers. hypocrisy? you bet. let's talk about eric holder. he was at the naacp conference in houston yesterday, slamming the texas voter laws. down in texas, they say you got to produce i.d. if you want to vote. the department of justice says that could be harmful to minority voters. as it turns out, to get into that ehave not, if you're a journalist, you had to show photo i.d. >> gretchen: here is a memo, all media must present government issued photo i.d., as well as valid media credentials. it's true about coming into

almost every workplace in this day and age. >> steve: you need i.d. to buy benadryl. >> clayton: let's talk about the city of scranton. if you're not familiar with the state of pennsylvania, it's sort up there in the middle part of the state. >> steve: joe biden country. >> clayton: joe biden country. blue collar area. and they face tough times recently. well, the city mayor is in a battle right now with the democratic legislature to have to deal with cutting back. it it looks like they maybe one step away from filing for bankruptcy. now the city basically having to cut firefighter pay and other city workers' pay down to minimum wage level. >> gretchen: so we had one firefighter on the show earlier with us. now he's making 7.25 an hour,

but still showing up to fight fires in that town. >> this is nothing new with this mayor. he's been a real pain for us. he's using us as kind of a pawn to push council to push his agenda and they're providing the checks and balance like they should be and they're not letting him get away with it. 78% tax increase for the city would be crippling and now it's just a political game with 400 people caught in the middle. it's real hard on our guys right now and -- but they're still coming to work every day for 7.25 an hour. they're not letting it affect them. they're running into burning building, pulling people out of car accidents and doing their job. >> steve: tough times. >> clayton: i know that area well. that city also had to deal with a lot of workers leaving the city and having to commute. they're commuting to new york city to find work. >> gretchen: coming up, a car crash so intense, one man comes flying right out of the sunroof. look at that. then gets up and hugs his girlfriend? how the heck did he survive that? >> steve: what a story. plus, democrats complaining about big republican donors. what about this? they got a secret cash account

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>> democrats are complaining rich republicans for outspending them. a new report by the "wall street journal" says labor unions are spending four times in campaign cash than we originally thought and you don't hear about that. is there a double standard? here to way in, our political panel. brian baker, the president of the ending spending action fund. good morning to you. jayson reilly, member of the "wall street journal"'s editorial board. kristen powers is a democratic strategist and a fox news

contributor as well of the good morning to all of you. >> good morning. >> steve: so let's start with you. are you surprised that as it turns out, they're spending four times more than we knew about to get their democrat pals elected? >> absolutely. it's a blockbuster report. it shows that over the last number of years, additional $3 billion that we had never known about, totally hidden spending, to influence elections and lobbying. they actual israeli to report it to the labor department, but nobody knew to look there. when the journal went there, they looked it and found and it's an incredible amount of money. there was $1.3 billion in 2009. >> i think there is obviously hypocrisy here with people on both sides complain about one side is very concerned about corporate money and the other side is very concerned about union money and it's all money that's influencing the election. >> steve: this is invisible until now.

>> you know when we should thank for making it no longer invisible is george w. bush's labor secretary, elaine chow. who pushed through the disclosure requirements in the mid 2000 and fought tooth and nail by democrats. there is a lot of hypocrisy. the same people that want karl rove to reveal his donor list have no problem with obscuring their political activities. >> steve: he makes a good point, kristen. we do hear a number of democrats going, oh, man, with the koch brothers, republicans have got a gigantic financial advantage! now we realize unions are really kicking in more dough than we thought. >> let's be clear. the hypocrisy is on both sides. the republicans don't think that karl rove needs to disclose those people. so we have it on beth sides. both don't want to disclose who their donors are. they don't want transparency. i personally think they all should have to expose who the donors are. i don't think this should be done blindly or people should be able to hide who they're giving money to. >> what i was talking about is

the vicious cycle of the government employee unions. that's taxpayer money going to pay government workers. then it goes to the union, then the unions give it to the democrats, and that's how government grows. it's a terrible, terrible cycle and now thanks to the "wall street journal" it's been exposed and hopefully we can got it under control. >> steve: also there is the advantage of the unions then tell their members, obama administration. go vote for that guy. >> absolutely. >> steve: great so far. more with the panel because rush limbaugh says mitt romney will need more than a bad economy to win the election in november. >> the sad truth is that employment is not pivotal. the unemployment rate, the jobs circumstance in this country is not pivotal and it's not something obama can lose the election on. not by itself. it's not something romney can win. >> steve: is rush right? i've been trying to say. we'll talk about that. then these cops aren't looking for a hard core crook. they're arresting a pastor for

hosting bible study in his house without a permit. pastor's wife joins us live. her husband couldn't make it. he's in jail! [ buzz ] off to work! did you know honey nut cheerios is america's favorite cereal? oh, you're good! hey, did you know that honey nut cheerios is... oh you too! ooh, hey america's favorite cereais... honey nut cheerios ok then off to iceland! i've been fortunate to win on golf's biggest stages. but when joint pain and stiffness from psoriatic arthritis hit,

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>> clayton: quick headlines. bankrupt american airlines now eyeing up five airlines for potential merger partners. they include u.s. airways, jetblue, alaska air, republic airways and virgin america. u.s. airways already expressing interest. a man lucky to be alive after being catapulted out of the sunroof of his girlfriend's vehicle. it was all caught on the homeowner's security camera.

the woman rolled her car through a garden wall. both walked away with minor injuries. he got out, went and hugged her. steve? >> steve: he hugged her. he's happy to be alive. meanwhile, could june's weak job report be enough to win mitt romney the white house? not according to rush limbaugh. here he is. >> the sad truth is that employment is not pivotal. the unemployment rate, the jobs circumstance in this country is not pivotal and it's not something obama can lose the election on. not by itself. it's not something romney can win. >> steve: but while last month's unemployment rate remained steady at 8.2%, last year alone, food stamps cost the united states $76 billion. astronomical rise under the obama administration. but are food stamps protecting the president during this election year? we're back with our political panel. i understand you are completely

in unison with rush limbaugh. you think he's right on the money? >> absolutely. governor romney can't win on the economy alone. that's why he's been talking about a whole manner of things, tax reform, energy independence, how to really actually have patient-centered health care reform as opposed to a government, one size fits all approach that the obama administration is pursuing. i think governor romney is doing the right thing and talking on a whole range of issues how to improve life in america. >> steve: so kristen, it's not just the economy, stupid? >> no. rush is exactly right. you can't just say, oh, because the economy is doing badly, you know, therefore, obama will lose. in the polls bear that out. you look at the polls and you think the economy is doing so badly, it hasn't turned around the way it was expected, even promised to turn around. yet, he's neck in neck with romney. does he have an advantage being an incumbent, obviously. but romney will have to do something more to break through. the debates are really going to show us what's going to happen. we'll see one way or another

after the debate. >> steve: with a gigantic number of people on food stamps, do you think those people are going to want to protect their benefit from the federal government and vote for the president? >> i mean, romney -- i should say obama probably already has the food stamp vote. look at who is on food stamps. a lot of time it's on single moms. republicans are not going to win the single mom vote. you can overplay this unemployment card. limbaugh mentioned unemployment rate in the country. 8.2%. in 27 states, the unemployment rate is significantly below that, including in some key swing states, like wisconsin and virginia, and ohio, and pennsylvania. so that message may not resonate in some of those key swing states where romney needs to perform. >> i disagree with you a little bit because actually i don't think president obama has locked up the food stamp vote. i think those vehicles want a better life. i think governor romney -- >> they want a job. >> they want a job.

they know that the obama economy is not working. so i think a good majority of those people in all of those states, whether the unemployment is tikrit or this rate, are really going to end up voting for governor romney. >> historically the people who qualify for vote stamps have been voting. >> steve: this has been a great debate. we'll end there for today. brian baker, jason reilly and kirsten powers i thank for stopping by. >> steve: are you thirsty? we're going out for a secret reason. it's 7-11. unresolved murder face a stunning turn. dna hits a match with occupy wall street. then concerned about how obamacare will affect your family's budget? financial expert dave ramsey says you should be and he's answering your e-mail next on 7- 11, 12 [ sniffs ] bacon?!

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>> steve: yeah. 7-11, now open 24 hours a day. remember that commercial from the 1960s? today is july 11 at 7-11. it is the 85th birthday for the organization, the company. and it is the slurpee's 45th birthday. so today they're celebrating with free slurpees for everybody, at all 7-11 stores in the country from 11:00 a.m. until 7 p.m 11 to 7. all right. i'm going to pour myself a slurpee. first, let's look at where it is raining today. as we look, you got some heavy stuff down in portions of texas along the gulf coast. that shower activity right up through the lower mississippi valley into the tennessee valley and the mid atlantic, heavy stuff at this hour. let's move the map and show folks what the current readings are as you head out. already 73 in kansas city. home of the all-star game last night. that's the same for dallas, about the same for atlanta,

about the same for raleigh. one more map shows you the daytime highs and look at that. it is going to be hot with a lot of temperatures in the 90s. 93 today in kansas city. 94 in dallas. it's going to be 109 in phoenix, arizona, where it will be a great place later today to get yourself a similar -- slurpee, a free one. >> clayton: 11 a.m even though we got them early this morning. they're free. this is a coca-cola one. delicious. it will be hot out there. >> gretchen: check it out today. time for headlines. >> clayton: police getting the biggest break they've had in this eight-year-old murder mystery. cold case really. it leads them straight to occupy protesters. dna from a chain left behind after a new york demonstration now matching dna evidence on a cd player. you can even seat chain here in this video.

21-year-old sarah fox disappeared on a jog back in may of 2004. >> gretchen: democratic congressional candidate and arkansas dropping out of the race after lying about his military record. he said he was in the special forces, specifically a green beret. it turns out he failed out of special forces training three times and was honorably discharged in 2010. >> clayton: extreme weather, breath taking video showing the destruction from a powerful storm that slammed into virginia. you can see it picking u this tent, peop running for cover. watch the tables get blown away all over the place. security camera footage from a hotel in virginia. a family was underneath the tent celebrating their daughter's 18th birthday when the storm swept through. >> gretchen: forget jack the ripper. prosecutors in missouri deciding whether or not to prosecute a man known locally as jack the gripper and john wayne embracey. so-called serial hug who are is not being identified by name. he's accused of preying on at

least 36 women. they say he pretends to know them and cons them into a hug. one woman claims he went in for a kiss. prosecutors still trying to figure out if his bizarre actions violate state law. >> clayton: that's creepy. would you fall for a hug? >> gretchen: it depends on who it is. >> clayton: we've got financial questions we have answers to this morning. dave ramsey always has the answer, from handling your he the personal financial expert here with real solutions for everyday money problems. these are not wall street problems. he joins us live from nashville. nice to see think morning. >> thank you. thanks for having me. >> clayton: let's dive into the mail bag. john from dallas wants to know from you about health care. he asks this question: with the new healthcare ruling, i'm uncertain how to budget for taxes going forward. i'm small business owner. and make over $200,000 a year. so i know i'm a target. how are you handling this?

we talk about the uncertainty in the marketplace, dave. this is a perfect example. >> this is what's driving unemployment as much as anything. 64% of americans work for a company that has less than 500 employees and so what you're doing is paralyzing the number one jobs creator in america examine that's small business with obamacare. that's not a political statement. it's freaking economic fact. i'm hiring 50 people this year. i probably would be able to hire 70 if i didn't have to prepare for that taxes i'm going to have to pay next year. >> clayton: another great question: jake from mississippi wants to know, i'm in my 30s. i've not been able to invest yet because i'm still paying off student loans. i'm considering contribute to go my company's 401(k) anyway even though i'm not debt free. my loans won't be paid off for another 15 years. i can't wait that long to invest. what do you think? interesting, dave. we always talk about getting that 401(k) early, with you he's got all these student loans to

pay off. >> well, you can't wait 15 years to pay off your loans, jake. your plan sucks. i mean really. you're something to have to roll up your sleeves and get an extra job and sell so much stuff, you'll have to tear into these things and make that a four or six-year plan. you don't want to keep that thing around like it's a pet. i'm going to hold off on the 401(k) temporarily and increase your passion and increase your level of sacrifice and decrease the number of years you pay on that student loan. >> clayton: your debts know ball, which you can find in your book. great book, by the way. check out the snowball plan. darien writes from arkansas. he wants to know about getting a starter home. we want to buy a starter home, something we can live in for a few years instead of throwing money away on rent. is this a wise course for us or should we wait to buy a permanent home? what do you think? >> well, when you're paying rent while getting your financial act together, you are not throwing money away. you are buying patience in order to lay a solid foundation in

your life. you need to be out of debt and have a good emergency fund and good down payment. if that's the situation, this is one of the best times to buy a home in my working lifetime. and i'm old. this is incredible. we have low interest rates. we have great prices on houses. it is a great time to buy. but if you're broke, you shouldn't buy a house. when broke people buy house, it makes them broker. let's go back to 2008. we'll see what happens there. >> clayton: renting not a bad option either, but buying a home with these rates. dave ramsey, all great to see you. thank you for joining us. >> thank you. thanks for having me. >> clayton: all right. coming up next on the show, these cops aren't look for a hashed core criminal. they arrested a pastor for hosting bible study without a permit. pastor's wife will join us next. her husband couldn't make it because he's in jail. >> gretchen: she was promoting her new book. that was a waste of time because no one ended up buying it? rielle hunter's story coming up.

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>> gretchen: 43 minutes after the top of the hour. republican congressman introducing a bill to penalize members of congress who miss votes. so if a member misses a vote, they won't get paid for that day. after a serious media blitz. >> rielle hunter's book tour has been shelfed. the story of her life with john edwards has only sold 6,000 copies. steve? >> steve: oh, boy. meanwhile, arizona pastor michael salamon is now sitting in his jail after his home was raided by more than a dozen phoenix police officers. city officials.

what did they do wrong? apparently you can't hold private bible studies on your own property, at least he couldn't. joining us now is the wife of that jailed bible study leader, suzanne, and from the rutherford institute, john whitehead. good morning to both of you. >> good morning. >> steve: suzanne, i read in the local papers out there that the city had a problem because you had the bible study there at your house and they said, you know what? essentially it's a church and because you're not zoned for a church, you're breaking the rules and that's why he was arrested. >> that is correct, yes, sir. >> steve: it's your house! it's your living room. you're doing a private bible study. people do that in my neighborhood all the time. and he was arrested? >> that is correct. it defies logic, honestly. i don't understand -- something so small got just so large like this, you know. people do it all over the united

states all the time. >> steve: right. his sentence is, and we're going to put up a graphic. 60 days in jail. he started his term on monday. three years probation and a 12,180-dollar fine of the john, is he being discriminated against because of his christian faith, because i have read that that's how he feels. >> well, sure he is. if they can cat gorize any kind of religion and say hey, you got a church or synagogue, we've trial had synagogue cases where cities have done this. you can't have a synagogue in your home. we fought those cases. but the key is the constitution guarantees the right to freedom of religion, the right to assemble and talk with each other wherever you want to be on public streets or in your homes. so what you have shear i think something that's so shocking that you might think it might happen in someplace like iran or some of the countries around the world that are regime, but happening in the united states, in my opinion, this is just so shocking, it's beyond belief. but again, i'm seeing this as a

pattern across the country. >> steve: sure. here is a quote from vicky hill, the chief assistant city prosecutor in phoenix. she writes: it came down to zoning and proper permitting. any time you are holding a gathering of people continuously as he does, we have concerns about people being able to exit the facility properly in case there is a fire and that really all comes -- that's really all this comes down to. i know that you, suzanne, put together a little video showing -- you're talking about people parked in my driveway and aley and stuff like that. look at the neighbors. right now we're looking at the team that came and arrested him. you can have a big poker party in your neighborhood. you can have a tupperware party in your neighborhood. nobody gets in trouble. but you say you have a private bible study and you get arrested. >> that's right. it doesn't make sense, you know. people are crowding our streets. other neighbors. but yet, our people park all behind in our property.

and it makes no sense why we're being targeted. >> steve: john, why are they being targeted, in your estimation? >> i think we've seen this when a city agency focuses on someone, i mean, you had firefighters actually with suzanne and her husband coming in their backyard breaking up a barbecue with 20 people. the city is focused on them. by sending police in their house like a swat team raid, for someone who is meet to go have a church. historically, remember the early christian church all met in the homes. there would be no church today as we know it if it hadn't have been for the fact that they met in the homes. the other thing is, suzanne is right, you can do tupperware parties, you can do all kinds of meetings on a regular basis. but for some reason if they call awe church, you're illegal. again, that's what regimes do. >> steve: well, it all came down to zoning, according to the city of phoenix. crazy story. suzanne and john whitehead, we thank you both for joining us live. >> thank you. >> steve: what a story. folks, what do you think?

is that appropriate that they would arrest that guy and jail him for 60 days? e-mail us. meanwhile, hungry? would you eat this? it's a doughnut filled with spam! clayton will try it. that's right. and some new recipes as well. you know when loves spam? martha mccallum. >> yes, it's my favorite. that looks yummy. look forward to that. thank you, steve. this morning on "america's newsroom," the nature of scranton has knocked all city workers back to the minimum wage. he's got a fight on his hands. he's with us this morning. and brand-new polls show a huge marriage gaffe in the election. ed rollins weighs in on that. health care is hot on capitol hill today. we've got one of the top lawmakers, bill and i will see you at the top of the ght. you know that comes with a private island? really? no. it comes with a hat. hour.

>> clayton: it's time for yours news. 9. that's how many border patrol stations across four states the obama administration plans to close in order to reassign agents to higher priority areas. next up, $14 billion, that is how much both federal and state governments overpaid in unemployment benefits last year. overpaid. a rounding error. finally, 25%. that's how much less people eat when they cut their food into small pieces. >> steve: portion control. >> clayton: i guess you could do that with spam, too. >> spam? and bacon and spam? spam bacon, sausage and spam. pancakes, spam, bacon and spam. spam, spam, spam. spam, spam, spam, spam. baked beans spam.

>> gretchen: monty python knows there is a lot of ways to cook it. in honor of its birthday, spam manager is here to show us the best ways to spam up any meals. good see you. >> thank you so much. celebration of our 75th anniversary, we'll share a lot of great recipe here's today. i want you to know they can be found on spam.com. >> steve: who would think of doughnuts? >> these are the grand prize winner from our recipe contest. we start with a brown sugar batter that we just pipe this into our mini doughnut pan, so it's really simple. you get the brown sugar buttermilk batter. >> steve: you don't have to fry it? >> no. these are baked. after we get the batter in, we top it with a circle cutout of spam. you put these cutouts on the top and pop them in the oven at 325 for ten minutes. then when they come out of the oven, the spam is now the base

of the mini doughnuts. >> gretchen: cut it up and put it on the top? >> a doughnut is not complete without spam. that is sauteed spam finely chopped. we've taken spam and rolled it up in french toast. you can dip it in the maple syrup or honey. kids really love this because it's fun and delicious and as a mom, moms really love it because it's quick and easy breakfast. >> steve: it's a spam finger. >> it is. >> gretchen: what about this? is that wrapped in bacon? >> first we'll start with a lunch or dinner option. we have our spam fusion fajitas. what we're doing here is sauteing julienne spam with peppers and onion and we add that to tortillas, so it's really simple. then we're going to top these with a really refreshing pineapple salsa and then inn this we've got jalapenos,

teriyaki sauce, and onions and cilantro. you fold it up and you got a great lunch or dinner option. >> clayton: let me dig in on that. >> gretchen: people actually compete to come up for new spam recipes, right? >> they do. we have a state fair recipe contest and it's in 26 state fairs all across the country. we're gotting new recipes all the time. the next one i want to talk about here is another pineapple recipe. this is our spam island teriyaki bites. in that we've got spam, pineapple, carrots and onions all mixed together and baked in these cups. they're very flavorful appetizer. >> steve: spam, it's not just for breakfast anymore. i grew up eating it. go to spam.com for the recipes. >> the last one i want to share with you -- >> gretchen: we'll do it right after the break. we'll be reading your e-mails about the pastor jailed for bible study after the break.

>> gretchen: we talked to the wife of a pastor ho is in jail for not having a permit for bible study. your e-mails are pouring in on both sides. one says, it's not only ridiculous, it's scary. home bible studies? what's next? book clubs if someone doesn't like what you're reading? >> clayton: another one, sometimes the government gets it right. this is a zoning violation. how would you like to live next to this guy when 50 cars full of people show up next door on a regular basis? >> steve: sterling in missouri says, what if you have a family birthday party and there are 20 or 25 people there? you presumably, just once a year or once in a while, it wouldn't be with great regulate which is what the city of phoenix says. >> gretchen: the senior product manager from spam. one more recipe. >> award winning. this is one of my favorites. it's only five ingredients.

it's really quick and easy. bacon wraps bites. what we've done is cubed up spam. i like to use jalapeno, black pepper spam. they give a great kick. >> steve: which ones are jalapeno? >> these are both classic. but we wrap this with bacon and then off quick recipe. >> gretchen: all right. >> steve: spam.com for all the recipes. they're dishes. we'll see you back here manana. >> clayton: spam. bill: good morning, everybody. a fox news alert on a new challenge to the president's health care law the house will vote on a bill to repeal the health care overhaul. debate begins this morning. if yesterday is any guide there will be fireworks on the floor of the house in moments. good morning, everybody, i'm bill hemmer. welcome to "america's newsroom". martha: i'm martha maccallum, good morning, everybody. the republicans say the president's law is empty promise. they see it as the largest

tax increase in american history. some top democrats believe that is not true. hear is the back and forth. >> 97% of american families will not pay one dime of tax increases under this law. >> president obama famously said and i quote, if you like your health care plan you will be able to keep your health care plan period, end quote. the congressional budget office released a fact that 20 million people are expected to lose their health insurance coverage if this law stands. bill: now the lines are being drawn yet again. new details on democrats possibly joining republicans in this fight. chief congressional correspondent, mike emanuel live on the hill. early for us. mike, good morning to you. how many votes will come from democrats? >> reporter: we're counting heads at this point, bill. we confirmed three for sure so far. we expect that number will likely grow. look at names we confirmed at this point. dan boren, democrat from oklahoma. bill: larry kissell