>> brian: three hours worth of it. >> steve: i know. tomorrow, johnny cash's son, john carter cash joins us live and we hope you do, too. >> gretchen: nick wallenda in the after the show show. have a great day, everyone. bill: big morning a fox news alert. good morning. she is the face of the benghazi scandal. fox news confirming that susan rice, the u.s. ambassador to the u.n., will be prometed. she will be president obama's new national security advisor. she will work in the west wing. no senate confirmation needed. good morning, news happening right now. this is "america's newsroom." i'm bill hemmer. martha: good morning. i'm martha maccallum. the news is already drawing fire from the right. the position doesn't require any senate confirmation here. some say could be construed as a poke in the eye to republicans where susan rice

is concerned. bill: she will replace tom done milan who is stepping down. peter doocy has the story. why is tom done milan, peter? >> reporter: his wife is taking new job that will require a lot of time being spent overseas and that is why done milan decided this is the time to get out. he will travel to california with president obama for a u.s.-china summit he set up. but next month he is out and susan rice is in. the official announcement will be at 2:15 in the rose garden. susan rice has been the u.n. ambassador to since january tween when unanimously confirmed by the u.s. senate. her new job at the white house does not require any senate confirmation. many lawmakers are still highly skeptical of rice since she was the official sent to five sunday shows just days after the terrorist attack in benghazi, libya, that killed four

americans to say that the attack was not preplanned and or premeditated and it was inspired by a online video. david plouffe recently called on republicans to apologize to rise since new e-mails reveal she didn't come up with the talking points but repeated them five times. nobody ever apologized and now susan rice has a new job. bill: who replaces susan rice then? she leaves a powerful position at u.n.. who goes there, peter? >> reporter: the president wants samantha power to take over. she must be confirmed by the u.s. senate. in 2008 samantha power made quite a few headlines who was a unpaid advisor to the obama campaign who had to resign because she called hillary clinton a monster in an interview with a scottish newspaper. she quickly apologized and worked as a staffer in the obama white house several years. she will be back here today for that rose garden announcement at 2:15. she too is in line for a big

promotion to u.s. ambassador to the united nations. bill. bill: thank you. peter doocy leads our coverage. 2:00 announcement. the news is breaking already from the north lawn. thank you there. here is martha with more on this now. martha. martha: let's take a look back now why susan rice has become such a controversial figure in the this administration. she was the person that the obama administration put on all five sunday talk shows after the benghazi terror attack to explain what happened. at the time she stuck with the administration talking points that have been much discussed in all the memos that went back and forth, state department, cia all weighing in on that issue. she blamed the attack that killed four americans on a protest that had broken out because of a video that simply got out of hand. >> the best information and the best assessment we have today is that in fact this was not a preplanned, premeditated attack. that what happened initially was it was a spontaneous

reaction to what had just transpired in cairo as a consequence of the video. martha: well we now know that was not the case. that within 24 hours the obama administration and our intelligence folks had determined this indeed was a terrorist attack. that it wasn't having anything to do with a protest that was going on outside the consulate. ambassador rice was in the running to be the next secretary of state. you remember that? then she withdrew her name amid the fallout after those remarks. the secretary of state post went to john kerry as you remember. that requires senate confirmation but the national security, the nsa job, does not require any such confirmation. bill: in the days after benghazi rice appeared on those five sunday morning talk shows saying the attack was not premeditated directly contradicting other information. a month later she blamed the intelligence community saying their talking points were the reason for the faulty narrative. right after the president's

re-election she was mentioned as a top candidate to replace outgoing secretary of state hillary clinton. that drew criticism from a number of republicans causing the president to come out and publicly defend her saying, if senator mccain, senator graham and others want to go after somebody, they should go after me but that did little to help her cause. on november 19th, nearly 100 house republicans writing to president obama discouraging him from nominating miss rice as secretary of state. about a month later she officially withdrew her name for consideration. that is the timeline that appeared over two months. martha: so, as rice moves up, tom done milan moves out of that position. done milan. a lot of people wonder why tom donilon was not the person on the sunday talk shows explaining what happened there. on the night usama bin laden

was killed, donilon was in the public eye. look at this picture, we remember this in the situation room. he is watching with the president as the navy seal raid went down watching it in realtime. donilon took the diplomatic fallout and explained how the president came to that decisions. there were a lot of issues where tom donilon where the need night of benghazi and why susan rice took the heat. bill: donilon had a long career in politics. he was a lobbyist in washington. he has been advising democrats for more than three decades. in 1993 joined the state department with president clinton but he has no experience in the military. martha: we have much more obviously this morning on the fallout from donilon's departure as national security advisor to the president and ambassador susan rice stepping into that post. we'll talk to some folks, about what republicans think, what everybody thinks about the new move.

we'll get reaction from the former deputy chief of staff in the bush white house. karl rove will talk about the moves. he has been there when things shuffle around in the west wing. he will tell us what he thinks about all this. senator rand paul also with us in "america's newsroom" and gop congressman trey gowdy joins us as well. back to this now. we're learning more about how the irs blew 50 million of your tax dollars on conferences. some of them were real doozies we're learning. "wall street journal" reported that the tax agency paid, get that, $17,000 to a keynote speaker whose specialty was drawing pictures of bono and albert einstein. pretty good work if you can get it. among others they also drew, the whole idea was to inspire irs employees during this conference. when asked to explain the tax agency told the inspector general that the amount was based on the speaker's unique combination of artistic and presentation skills. there you go. that explains it, right?

$17,000. that is not all. stuart varney, host of "varney & company" on the fox business network. you have to laugh, stuart, if you don't you will just cry. this is, when you think about a private corporation trying to convince shareholders that this would be a good way to spend their money, that would be a tough climb but this, nobody asks us if it's okay with us for our money to be spent this way. >> but, wait, martha, there's a whole lot more, taken straight from the inspector general's report which is now being detailed. how about this? $27,500, plus first class travel for someone to make two speeches. those speeches at this irs conference in anaheim, california, were how seemingly random combinations of ideas can drive radical innovation. 27, five, plus first class travel. by the way, the small business division at the irs had the presidential suite in the hotel for five nights. and, wait for it, the $4 million cost of that particular conference was

partially financed with $3 million taken from the budget to hire more irs staff. so you can see that the anger is rise especially after yesterday when a good honest citizen was reduced to tears because what the irs had done to her. by the way there will be more hearings on this lavish spending on thursday of this week. a lot more to come. martha: you mentioned becky gerritson, who is our guest coming up later in the show. she had an impassioned plea to save the country she grew up in as she put it but we'll talk with her. we're here with the gsa and this conversation, and the irs which has a huge spotlight on it has to deal with this as well. as you say they will have hearings tomorrow. darrell issa's oversight will look into this. this is, somebody has to sign off on all this stuff. somebody has to say, oh, yeah. last year we spent 3.1 million. this year we'll hire this other speaker, will be 3.5

million, okay, an sign off on it and it is the way it is always done. >> the point, martha, we don't know who signed off on this deliberate intimidation of conservatives during the election campaign. we don't know how far up the food chain it went. i don't know who signed off on this $27,500 for this particular speaker, at this conference. we don't know how far up it goes. we don't know who authorized all of this, at least not yet but hopefully we will. martha: hopefully we will. stuart, it is mind-boggling honestly. >> it is. martha: thank you, stuart. see you later. bill: 225 conferences in two years. i've worked here for eight years. martha: how many conferences we've been to? bill: zero. martha: we have a conference in our office with a warm cup of coffee, right? bill: seven minutes and we're gone. jam-packed show. we're just getting rolling here. republican senators saying president obama is losing the moral authority to lead the nation. we'll ask senator rand paul live about what he means by that. martha: strong words from

him. he is coming up. more on the plea from becky gerritson who was one of the people who was targeted by the irs and got her chance to talk to congress. truth to power, yesterday. and look at that, those images. what an unbelievable moment we witnessed yesterday here on "america's newsroom." but one democrat says, you know what? they all deserve the scrutiny they to the. we'll see what becky has to say when she listens to his words again when she joins us live. >> i'm not interested in scoring political points. i want to protect and preserve the america that i grew up in. the america that people cross oceans and risk their lives to become a part of. and i'm terrified it is slipping away. copd makes it hard to breathe...

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i work for 47 different companies. well, technically i work for one. that company, the united states postal service® works for thousands of home businesses. because at usps.com® you can pay, print and have your packages picked up for free. i can even drop off free boxes. i wear a lot of hats. well, technically i wear one. the u.s. postal service®, no business too small. martha: well, here we go. the president of the ohio state university retiring after making some very controversial comments. gordon gee was caught on tape refering to notre dame as quote, those dom

catholics and disparaging the academic quality of other schools. >>. >> does it seem awfully coincidental, sir? >> not to me. how are you? good to see you. >> talk about it? >> about your retirement. >> i love the students. i love the students. >> will you miss them? they say they love you too? >> i love the students. i will be around. i'm retiring from the presidency, not from the, i'm retiring from the presidency, not from the university. martha: i'm retiring from the presidency, not from the university. he loves the students and the students love him. they asked him is this coincidence or because of notre dame comments? he didn't respond directly. his retirement is effective july 1 we're learning. the vice president will take over as interim president. bill: wonder what the fathers think about that. a big shake-up on the white house foreign policy

team. ambassador susan rice, the very public face of the benghazi scandal will be promoted as the president's national security advisor. karl rove, former senior advisor, deputy chief of staff in the bush white house, fox news contributor. you spent time in the west wing. that is where she is headed. what do you think of this move today? >> this is defiant gesture by the president saying to the republicans i know you think she lied or misled the country but who cares. i'm doing it. it is, we saw today a statement by the president's people that he was going to get more partisan and that he was going to get more in the face of republicans. this is --. bill: this is the first example of that, do you think? this is the first of a wave or? >> one of the examples of it. look, i can't understand it. she is capable and able person. she went out and lied. misled the country. told people this was the result of a spontaneous reaction to an anti-muslim video that nobody in the region turns out to have seen. the administration at the time she went out and said that knew that this was a

planned effort by elements associated with al qaeda. and not only did she go on television less than two months before the election and tell a lie in order to protect the president's political position, but she did so at the risk of undermining our relationship with the president, with libya because the president of libya had gone out and acknowledged it was a terrorist attack. bill: you would contend she either deliberately lied or was told to do it? >> we have a chain of events. we have the talking points that were submitted by the cia on, on friday. they're on the left. bill: friday of september, which was two days before the five talk show circuit on sunday. >> this is on friday, september 14th. cia submits the draft on the left. in the next 24 hours between the time they prepare them and late on the morning of the 14th, at a white house meeting on the morning of saturday, september 15th, all the stuff in yellow on the screen was excised as references to terrorism, to

islamic extremists and so forth. they were condensed into the final version which is on right which makes no mention of the anti-muslim video. does make a brief reference to the spontaneous protest at the u.s. embassy in cairo but it makes no reference to the anti-muslim video. it makes no reference to what we know at that time which was, this was a preplanned attack. i mean, you don't show up for a spontaneous rally with ak-47s and rocket propelled grenades, nor do you show up people who are able to bring in indirect fire. mortar fire on the diplomatic facility on the cia annex. these were skilled, trained terrorists and we knew it well before susan rise went on television. bill: part of these e-mails, reading it on the screen. the currently available information suggest that is the demonstrations in benghazi, do we have it, there it is, the currently available information suggest that is the demonstrations in benghazi were spontaneously inspired by the protests at the u.s.

embassy in cairo. now hold onto that point. in the hearings that we have watched over the past two months, has the protests in cairo even been brought up in those hearings? >> no. and it is because we know to a certainty that this was an attack planned for the symbolic date of september 11th by an al qaeda affiliate in libya, with trained fighters. this was not a spontaneous reaction. this was well-thought out, well-planned and designed to be held on september 11th. one of the things excised out of the cia draft and talking points which incidentally were meant for members of con he is dpr. they were requested by the ranking democrat on the house intelligence committee. what do we say this was all about? it said on september 10th, the agency notified embassy cairo of social media reports calling for demonstrations and encouraging jihadists to break into the embassy. that was removed from the talking points. any reference to terrorism was removed. bill: nsa, national security advisor, that does not require senate confirmation. >> right. bill: if that is the case

she does not have to answer any of these questions? >> we never heard the question --. bill: ever? >> no, she doesn't. we do not know the answer of who is the author of the lie that this is all because of an anti-muslim video. now we have an idea. there are these e-mails that were released. they released 100 e-mails about the benghazi situation. and on, remember, saturday morning the 15th, the cia talking points are gutted at a white house national security council deputies meeting. sunday morning susan rice is on television saying it was the anti-muslim video. how did we get there? late in the afternoon of the, starting at 5:59 p.m., on saturday afternoon we started having an exchange of e-mails from an unnamed person at the u.s. mission at the united nations with two low-level white house national security council communications guys. ben rhodes, who is in charge of communications for the national security council and one of his deputies, a

guy named tommy vetor. bill: go back and forth a number of hours. >> go back a number of hours about the talking points. this would lead me to believe unnamed person, might be aaron pelt 10, the communication director at mission to the united nations. ben rhodes and tommy vietor, that is the transmission line from the --. bill: cut through all this in the final seconds. a lot of names that a lot of viewers are not familiar with them. if susan rice no longer has to answer the questions, who does? anyone? >> we might have. the white house, in another gesture at republicans ha nominated victoria niland, hillary clinton's spokeswoman, deeply involved. bill: state department. >> state department spokeswoman, required her to a state department post as senate confirmation. she has gone out of the way to distance herself saying i did not prepare susan rice for the sunday talk show programs.

jacob sullivan, the foreign policy advisor, says i didn't prepare susan rice. when victoria nuland goes up to the senate confirmation hearings, somebody can and will ask her who did. bill: a lot to get. more to come. a break. back a after this look what mommy is having.

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martha: a u.s. auto giant is rejecting recall requests for millions of allegedly dangerous vehicles. the government advising chrysler, to recall select jeep models, take a look at these pictures, claiming the cars could easily catch fire as this one did. chrysler says they believe this is not necessary. laura engel, who is back at work and joining us after having a baby is live here with more. >> reporter: hi, martha. martha: congratulations,

first of all. what is ahead now for chrysler? >> reporter: this is a huge public relations headache that is brewing. chrysler could have to shell out a huge chunk of money to repair vehicles in question if it comes down to that. following a two year investigation the national highway traffic safety administration issuing a recall request of 2.7 million chrysler-jeeps. in an unusual move chrysler is challenging that decision. at least 51 people have died when some models burst into flames following rear end collisions. chrysler releasing this statement yesterday. the chrysler group has an about working and sharing data with the agency on this issue since september of 2010. the company does not agree with nhtsa's conclusions and does not intend to recall the vehicles cited in the investigation. the subject vehicles are safe and not defective. the financial implications are huge with estimates ranging around $500 million to make the necessary repairs. martha? martha: what happens next, laura?

>> reporter: if chrysler doesn't budge issuing a recall the nhtsa next step will formally declare a defect in the jeep's in question. the 1993-2004 grand cherokees and 2002 through 2007 jeep liberty is. if that doesn't push chrysler into action the agency could ask the department of justice to sue the automaker on its behalf. one we'll continue to watch. martha: if you have one of those you want to pay close attention. bill: love the jeeps. welcome back. your son is beautiful, right? >> reporter: thank you. jackson. thank you. martha: we love jackson. bill: susan rice now being elevated to a top national security position. reaction from senator rand paul. what he thinks of the face of the benghazi scandal, taking a sensitive position in the west wing. more on his harsh words too about the president's ability to lead. did you hear this? >> i think what's happening is these constellation of scanned deals, one after another, benghazi, the irs,

the reporters that he is targeted, i guess he is losing and to me is losing that moral authority, the moral authority to lead the nation.

martha: fox news alert this morning. crossing about 7:20 eastern time, the susan rice will take over as national security advisor to the president. obviously a big story given her connection to the benghazi case and the five

sunday talk shows that she went on to, sort of perpetuate the white house's take on how all of that went down and to attach it to a video and a spontaneous outburst protest rather than the attack, the terrorist attack that the administration knew it was within 24 hours as they have later said. i'm joined by kentucky senator rand paul. foreign relations and homeland security committees. good morning, senator. good to have you here. >> good morn. martha: what is your reaction when you heard the news? what do you think?. >> i think the president is struggling to regain the moral authority to lead the nation and this doesn't encourage anyone to reappoint or promote basically the person who is guilty of miss misleading us over the benghazi tragedy? i can't imagine, one, we would keep ambassador rise in any significant position much less promoting her to an important position. how will they ever the authority to people to believe what they're saying when he is promoting someone who directly and misled the

public over benghazi? martha: what it would seem to say that the president likes susan rice. he considered her for secretary of state. this position does not need any confirmation process. he believes in her. he likes her and you know, we also heard that from the justice department this morning, that attorney general eric holder says he will continue to pursue leak investigations of journalists when he sees fit. this may be fitting a scenario of the white house saying you know what? we're holding up okay in the polls. this is our story. we're sticking with it whether you like it or not opposition? >> well, you know the thing is the benghazi tragedies really are not going away until we have some answers. really why was there this elaborate cover-up? why did we spend hundreds of thousands of dollars on an ad in pakistan apologizing for a movie that had nothing to do with this? and really, why was there the attack in benghazi? why did we misdirect the public and say, oh, it was about a movie? you know, there are still

questions whether or not there was an arms trade going on in benghazi and somehow we were associated with facilitating arms to syria. even though it was illegal at the time. so i still have a great deal of questions. and i really question the president's judgment in promoting someone who was complicit to misleading the american public. martha: but you know, here is one of the realities about all of that. and i heard you ask those questions about the potential of an arms trade and all of those i think are worth pursuing obviously and finding out the truth about but the president is holding up okay in the poll numbers. it appears, you know, that of these three scandals, the american people say the one that really bugs them the most is the irs and that is 37%, or 32% say irs. 27% of americans say they're concerned about benghazi. so, what is going on here? do people not know, do they not care, do they not pay attention? is the president able to ride that? >> everywhere i go the irs scandal rises way above that. i would say the vast majority of people that i

run into say, whether they are republican or democrat, they don't want the government being used to target their political opponents. i think people are still hopping mad about the ambassador being killed in benghazi. i think that the targeting of the reporters is most disappointing, actually to supporters of president obama. i have said previously and i really mean it, there are certain aspects of the president's policy i wanted to like. defense of the first amendment being one but i'm really disappointed that he actually targeted reporters and is abusing the authority of office not through a judge's warrant but through administration subpoena to go after reporters records and to really act as if they were coconspirators, the reality leaks, the problem is within his government and his appointment, not really being a press problem. i think it is a government leak problem. martha: i'm interested, because you say when you talk to people they are very fired up about the irs. also, about benghazi. i was talking to some folks last night who basically said, you know, we think

that the irs scandal, is a huge opportunity in this country to, for tax reform, to really sort of open up this process and shine a lot of light inside it and say is this what we want in our government? you know, also with regard to health care and the roll the irs is going to play in health care. but they were concerned, these folks that i was chatting with, that nobody's going to lead the way, that nobody has got the courage to really lead the way on that issue? >> i've been promoting for a while now, and it is going to be a big plank what i do going forward is promote a flat tax. i promote a 17% flat tax like steve forbes did, very few if any de, it is. same for individuals and same for corporate. this would make us competitive worldwide. we would make it simple enough. what you have is attrition, if not outright elimination of the irs because it would be so simple people would comply and very simple to know whether they complied or not. martha: you've been one of the individuals who has been outspoken on those issues.

whether or not there is the traction and momentum for it in washington i know it is something you personally would like to see and battle for. so we'll see. senator, thank you very much. good to talk to you today. >> thank you. bill: 24 minutes before the hour and kathleen sebelius could save her life but the health and human services secretary will not do it. her explanation for not stepping in and helping a 10-year-old get a lung transplant or at least be on the list to receive one, as a dying girl's mother tries to comprehend that decision. >> she's a mother. she is a grandmother. how can she say it is okay for my child to die? >> she is legally in a position to save sarah's life. she is choosing not to. she is skating that there needs to be change and there is something wrong with the system. that she is not going to save sarah. i have to focus my fight for sarah because sarah doesn't have time.

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martha: well the owner of airtran airlines is defending its flight attendants decision to kick about 100 high school students off a plane. all together on a trip and the trip didn't go. flight attendants say the group, they were from the yeshiva of flatbush school in brooklyn. they refused to follow directions to folks on the plane before takeoff. several refused to sit down and turn off the cell phones as we're all told to do when the flight is about to take off. the school chaperones are defending the kids behavior

and said they were fine. airtran's parent company says they have no indication that the flight crew overreacted. it delayed the flight for 45 minutes. hard to get the kids off the cell phones. it happens. bill: health and human services secretary kathleen sebelius saying she will not intervene in the plight of a dying girl in need after lung transplant. she is 10 years old. much of the outrage is some republican lawmakers. here is a tense exchange between the secretary and a congressman who is also a doctor. listen here. >> first, as a mother and a grandmother i can't imagine anything more agonizing than what the they are going through. i talked to janet murnaghan, the mother about this case. what i have also done and look very carefully at the history of the rules around lung transplanting did. >> with all due respect, madam secretary. >> dr. pryce. >> i will reclaim my time.

it simply takes your signature. a study you ordered and i appreciate that but a study will take over a year. this young lady will be dead. bill: dr. manny alvarez does not hold back. he has heated criticism in his column at foxnews.com. fox news medical a-teamer is with me. >> good morning bill. bill: she can't imagine anything worse than one individual who picks who lives and who dice. this is your business. >> with all due respect, madam secretary. get out of washington. go to the hospital. look at that little child in the eyes and tell her no. that is exactly what you're doing. you're hiding behind bureaucratic rules you know perfectly well you can change. in this case this girl deserves a chance to live. she has three or four weeks left. every doctor said that the doctors were taking care of the child. look, the only thing she is asking for to get on the regular list, the adult list. she wants a chance to be with the other individuals that are waiting for lungs. so that she could have a better chance of finding an

organ, all right? she is not asking for anything else more than that. back in 2005 rules were different. it was about, you know, the time that you were waiting for a transplant. this little girl has been waiting since 2011 for a transplant. here we are in 2013. her time is passing on very quickly. and this is something that secretary sebelius should at least look at it with more details. just don't hide behind bureaucratic rule. go down to the hospital. talk to the doctors. talk to the family. that's all. bill: what can she do? can she change the rule? is it as easy as congressman pryce said, one signature? >> they can change certain treatments and do that. ask for special dispensation. they can change a lot of things and to me, this whole thing, look, the transplant world has to change. surgical techniques have changed. there have been, this last night i looked at some studies looking ad adult kid any transplantation in

children. they work perfectly well. i know lungs are a little bit different. they can do a partial transplant. so, the surgical community is not up in arms saying, oh, she's right, she's right. everybody is being very quiet. why is the medical community quiet? they know perfectly well this is something that should be considered in a proper way, rather than hide behind a bureaucratic law. bill: statement from the family moments ago. we can not accept that secretary sebelius is willing to let our child and others die while waiting for bureaucratic changes that might take years. >> of course. bill: the law was set up for a reason, doctor. this is your field now. so the law said a child under the age of 12 can not be on the transplant list because through medical procedures in the past it has proven that some of these organs do not take. is that a true statement on its face? >> it was at one point in time. i don't think it's true anymore because things have changed dramatically. now, i argue, we're not talking about a 4-year-old

child. we're talking about a 10-year-old child. the more foe logical differences between a 10 and 12-year-old are not that great. nothing happens dramatically changes at the age of 12. so they just picked that age. now, from a point of view of pediatric donations, children don't have a lot of available organs for transplant. they just don't. adults do. right now you have about 1700 people waiting for lung transplantations. among them, 31 children in this country, right now. there are over 200 cases done yearly. so we don't have enough organs in the pediatric side. so therefore, you have to begin to amend the rules. bill: what the family is saying, put her on the adult list and give her a chance? >> give this girl a chance! go to washington, go to wash, talk to the girl. bill: you could get somebody from the private sector to come forward, right? >> right now facebook as has

a movement. we have it up on foxnewshealth.com, for private donation, direct donation will bypass the rules. a lot of folks, america, america is in an uproar over this case. and, something has to be done. leadership in washington has to change. and you have to, you know, she is in charge of health. health is individuals, many times. bill: at the moment, is it weeks or is it months for this 10-year-old? >> well, according to her doctors it is weeks. bill: thank you, doctor. >> you got it. bill: check it out at foxnews.com, manny alvarez. martha, what's next? martha: all right. well, there is strong new pushback today from an administration that promised to be the most transparent in history as y'all remember. so now we're learning more about high-ranking government officials who are using secret e-mail accounts to do government business. why would they do that? bill: also reaction pouring in that susan rice, the face of the benghazi matter, will be promoted to a top intelligence post working out of the west wing. congressman trey gowdy

investigating her role in libya and the scandal in benghazi of the what he thinks about the president's choice. he will join us live on that. >> we want all the e-mails related to the drafting of these demonstrably false talking points. it has been almost nine months. we're still trying to figure out why susan rice was put on sunday morning talk shows. why it wasn't secretary clinton. hoo-hoo...hoo-hoo. hoo-hoo hoo. sir... i'll get it together i promise... heeheehee. jimmy: ronny, how happy are folks who save hundreds of dollars switching to geico? ronny:i'd say happier than the pillsbury doughboy on his way to a baking convention. get happy. get geico. fifteen minutes could save you fifteen percent or more. folks have suffered from frequent heartburn but now, thanks to treating with prilosec otc, we don't have to suffer like they used to.

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bill: this is quite a picture here. this is houston, texas, reliant stadium, a stadium that holds 70,000 people. there is memorial that will take place shortly from four firefighters killed in houston the other day in a deadly hotel fire. there were thousands and thousands of firefighters now making their way inside the stadium. there will be dozens of fire trucks that accompany them

as well. we'll keep an eye on that as houston pauses to remember those who have given the ultimate sacrifice. martha: look at that amazing image. ♪ . martha: there you go. so some of hollywood's biggest names are headed to georgia on the midnight train. this week the summer comedy, the internship is scheduled to open. while the movie is set at google headquarters in california, a good part of the film was actually shot in the peach state. last year alone, hundreds of movies you thought were in hollywood, right? all going on in georgia. jonathan serrie is live in atlanta this morning. good morning. >> reporter: we're at e.u. e screen gems studios, in atlanta, martha, where they shot scenes from the movie. permanent studios like this one are becoming more and

more common here in georgia. georgia may seal an unlikely place to make movies. >> action. >> reporter: but the peach state now ranks among the top five for tv and prelim production. >> we're the hollywood of the south in a way. we have the hollywood infrastructure here. before we were a nice place to shoot that had a tax credit. >> reporter: industry receives 30% tax credit for producing in georgia. studios say georgia is the most attractive that offer incentives. critics of the tax breaks say it disrupts free market. >> states are bidding against each other and bidding higher and higher exemptions and better film deals for the tlim industry. imagine all states offer exemptions? where are we back where we started. >> reporter: figures from the georgia department of economic development show tv and film production spending more than doubled in georgia after the tax credits went into effect. governor nathan deal sees incentives as an investment to keep his state competitive in a growing

industry. >> it is a little difficult to calculate exactly how many jobs are produced but we do know it is significant and it is growing. >> reporter: while out on the movie lot we met many film industry workers who say they moved to georgia permanently because of the low cost of living and high number of jobs. also studio executives say, atlanta's busy international airport and georgia's diverse landscape also make it a very appealing place to shoot. martha? martha: nice place to live too. jonathan, thank you very much. bill: many places in that state where you can shoot. pop on down to savannah. martha: great way to bring in commerce. folks that are offering something really appealing to businesses in every respect, right, are drawing businesses away from their landmark --. bill: key line in the gladys knight song? martha: which line? bill: i rather live in his world than live in mine. you talk to damage. martha: ah. bill: a half dozen ordinary

americans describing their intense scrutiny on behalf of the irs. then one congressman appears yes, they deserved it based on their political activities. really? reaction from one of those americans who gave her story on this. >> this was not an accident. this is a willful act of intimidation to discourage a point of view. what the government did to our little group in wetumpka, alabama, is un-american.

martha: big fox news alert this morning. we're getting new reaction from washington as susan rice, the woman who has been a lightning rod for criticism over the benghazi talking points is now promoted this morning. she will be the white house national security advisor, a top intelligence post at the side of the president of the united states. big, big job for her now. welcome to a brand new hour of "america's newsroom." i'm martha maccallum. bill: i'm bill hemmer. a busy wednesday here. the president is expected to make that a formnal announcement later this afternoon. unlike a cabinet matter, the national security advisor does not need to be confirmed by the u.s. senate. the appointment of ambassador rice will likely not sit well with many republicans. chief white house correspondent ed henry

confirming the news. good morning to, you ed. what do we know about all the timing to this? >> reporter: that is what is so curious, bill. we reported on foxnews.com last year she was in line for the job and more likely to become national security advisor than secretary of state in part because of the republican criticism of her over benghazi and the fact, as you say, this post does not need senate confirmmation. we've known for months the president was eyeing her for this job but the timing of this so curious on a number about levels. tom donilon, the current national security advisor recently traveling to china to get ready for this little mini sum it later this week in california for the new chinese president and president obama. for him all of sudden to leave right now as he is getting ready for this big summit, that's odd. remember all the renewed criticism over the benghazi talking points whether susan rice told the whole truth to the american people is flaring up over past several weeks with one of several controversy engulfing the administration. this timing as the president

is trying to turn the page over benghazi and some other controversies to unveil this in the rose guard, at 2:15, as new national security advisor is poke in the eye to republicans and bring brings the benghazi issue back. bill: stay on the issue of benghazi. if sea couldn't need senate confirmmation does that mean she will not have to answer requests about the tooking points on the five shows on the sunday talk show circuit? >> she will have to answer separation of powers, somebody not in a senate confirmed position as one of the president's chief advisors inside the west wing, traditionally you do not have to be compelled to testify on capitol hill for testimony. so she could be shielded from some of that. interesting that senator john mccain, lindsey graham, you remember they were the republicans leading the charge against her when she was talked about as secretary of state months ago. that job obviously went to senator john kerry in part because of this controversy. senator mccain tweeting moments ago he obviously

disagrees with susan rice on benghazi and whole host of other national security issues but he is pledging he will work with her as national security advisor, bill. bill: one more point on this. you said a poke in the eye to republicans. how are they likely to respond to this move? >> look, republicans were already going after the administration on the benghazi issue. there will be people behind he in the white house who say regardless what move the president makes he will be criticized any way. think about it this way. i say a poke in the eye. the administration is saying they try to turn the page on these controversies. we're still in the early phase of the president's second term when he has been on this charm offensive reaching out to the republicans. how does he get off on the right foot to pub someone a lightning rod on benghazi. it seems to run counter it to the charm offensive that the white house is trying to portray republican lickly when he is makes a move that will upset them.

bill: karl rove last hour said she lied or followed orders. this november, last fall when the president was asked about thises listen. >> as i said before, she made an appearance at the request of the white house in which she gave her best understanding of the intelligence that had been provided to her. if smart mccain and senator graham and others want to go after somebody, they should go after me. bill: somewhat defiant at that point last november. do you expect that attitude today, or not, ed? >> absolutely because i think, i'm glad you played that sound because it gives us perspective just a week or so after the election, i was at the news conference in the east room when the president flared up. it shows he is very loyal to susan rice. he thinks susan rice is very loyal to him. that is farther of the reason republicans criticize him, because they think susan rice has been part of

a cover-up on benghazi. white house thinks the idea of a cover-up is nonsense. to get ahead on issues like syria she is a substantive national security position who might move the president towards intervention in the syrian conflict for example. beyond benghazi there will be a whole host of issues to be very important to look at what impact susan rise will have as national security advisor. you put the word on it defiant. this move reads to me as defiance once again. bill: ed henry on the north lawn leading our coverage. martha? martha: lawmakers absolutely picked apart ambassador rice and her statements in the days after the terrorist attack in benghazi. congressman trey dpoud did i was one of them. during the hairings last month he asked the self-proclaimed whistle-blower gregory hicks point bank for his opinion. >> fast forward, mr. hicks, to the sunday talk shows and ambassador susan rice. she blamed this attack on a video. in fact she did it five

different times. what was your reaction to that? >> i was stunned. my jaw dropped. and i was embarrassed. martha: that was quite a moment. he was, number one man at that point in our mission in libya and trey gowdy will join us in a couple minutes what he thinks now about this selection of susan rice as head of nsa. bill: don't expect him to hold back. meanwhile rice will be replaced as u.s. ambassador to the u.n. by, samantha powers. foreign policy columnist at "time" magazine among many other positions. served as foreign policy advisor tot president during the 2008 campaign. she advised president obama on the military action to remove former leader, muammar qaddafi. she resigned from the campaign with deep regret after she referred to hillary clinton as quote, a monster.

martha: there is new outrage in the irs scandal after a democratic lawmaker tells several of the targeted conservative leaders during a hearing yes, you know what? you guys deserved basically what you got from the irs. here's that moment. >> each of your groups is highly political, from opposing the president's health care reform to abortion restrictions to gay marriage. you are all entrenched in some of the most controversial political issues in the country. and with your applications, you were asking the american public to pay for that work. many of you host and endorse candidates. the line between permitted political activities and nonpermitted political activity can be very fine. and it's important that the taxpayers, the taxpayers, know which side you fall on. martha: hmmm. he didn't mention the fact that many groups backed by george soros and others have that kind of tax-exempt status. that these folks were

seeking. becky gerritson is the president of the wetumpka, alabama, tea party. she testified at hearing quite forcefully and emotionally. she got a lot of attention yesterday as we watched it unfold live in "america's newsroom" and she is her life. good morning, beck kay. good to have you with us. >> good morning, martha. i'm doing well. martha: great thank you. i thought yesterday was one of the most riveting moments in the entire discussion in part thanks to you and very powerful testimony you brought there. you engaged that conversation. i saw you were taking some notes when congressman mcdermott was reeling off those things. what did you think about what he said? >> well, here's the thing. the irs has rules. they have, we have the right to apply for this status. but the bad thing is, we were the ones, the convservatives were only ones that picked apart and held aside. that was, it was only based on our political view and, for him to say, oh, we shouldn't have applied

because we have a conservative view, just, it is just as nine. -- asinine. martha: you talked eloquently about your point of view in all of this. you had an opportunity i imagine you've been wanting for several years. i remember quite clearly after the 2010 midterms when the tea party was so active. then we got into the presidential cycle in 2012. a lot of us in the media and reporting and journalism, gee, the tea party was very strong in the midterms. wonder where they are now? their voice does not seem to be happening out there right now. what were you sort of thinking about all of that while this is going on and you're at home? >> during the election year? martha: yeah. while you were waiting for your status? >> you know, i think there were a lot of groups that were definitely inhindered. they had members afraid to join up and help out. they had people that would not donate which really limited the amount of work they could do. we were working hard in 2012.

it just didn't go our way. martha: the way you described your organization and the way that congressman mcdermott talked about it, you would think you had a lot of money, a lot of power, a lot of influence based on the way he was talking. is that true? >> well, i do think that we have a lot of influence because it's a movement of the people. so, yes, i do think there's a lot of movement but it's not financial. when you listen to the folks that testified yesterday, you know most of us have less than $5,000 in our bank account. but the irs chose to come after us. we're such a threat. martha: he is saying -- >> the argument with the legislator yesterday saying that, oh, this is such a burden on the taxpayers because we're not paying tax on our $5,000. doesn't make any sense to me. martha: that would be a fairly minimal amount. but his argument is, that these organizations are political. he said, you know what? you seek to have political influence on the process. you're talking about very controversial subjects. and therefore, why should the taxpayer fund your bill

and your right to say so? >> right. well these organizations are allowed to be political, just like moveon.org. they're a 501(c)(4). i bet you, you know their political. what the irs considers as political activity is different than being able to state how you feel about an issue. it is different than campaigning. just because you talk about controversial issues doesn't fall under the irs's rules as political. martha: becky, i wonder what you think is going to happen now as a result of all of this? and when you were going through this and you had requests for 90 more items after you had already been waiting for over 100 days and you told you were getting a response -- >> 400 days. martha: 400, excuse me. you were told you were going to get a response in 90 days. they blew through their time frame with no problem but they expected you to respond in a time frame or they would throw your application in the circular file, sounds like. what will happen now?

will any good come from this, in your thinking? >> you know, i'm hopeful there will be a complete and full investigation and we get to the bottom of this. but as we have seen, heads did not roll in this administration. it seems like the more you screw up, the higher you get elevated. and, i don't know what's going to happen but it is a cancer within the irs. within the federal government. it is just too big. we have got to scale it back. we've got to get it under control. martha: before i let you go, becky, do you believe this was from low level executives or working in the cincinnati office or do you think it went higher than that? what is your personal opinion? >> i definitely think it was not rogue agents. we've already seen from testimony from irs agents that it wasn't. how far up it goes. i don't know. let's let the facts play out. martha: becky, thanks very much for being with us today. great to talk to you. >> good to talk to you. martha: so meanwhile republican congressman paul ryan fired back at the conments that we played by

jim mcdermott which the democrats seem to be blaming victims of the irs scandal. watch this moment. this exchange. >> i'm going to deviate from my original question in response to what i just heard. you know. [applause] the former irs commissioner shulman who knew about the political targeting long before the saying organizations were responsible for targeting because they were told to apply for tax-exempt status. you're to blame i guess is the message here. martha: he was fired up, congressman ryan after those comments. lawmakers have heard testimony about not heard testimony about targeting groups with liberal views. that is the big issue here, bill. if it could be profit ven, every group, there was a lot of concern about 501(c)s and 4s at that time having political influence and all the groups going through scrutiny and asking for reams and reams of documents on both sides there would be no argument here. bill: there is another hearing on the irs tomorrow.

when the government was focused on the government spending and amount of money they spent will blow your mind. there are new questions in the "fast & furious" matter. what is next for attorney general eric holder bya for that because you asked. we'll cue that up. martha: new reports of white house officials using secret e-mail accounts to communicate with administration staff. so doing business on a private e-mail address. why would that be? bill: also we talked about susan rice elevated now to the west wing. one republican had strong language about her role in benghazi and he will join us live next. >> mr. hicks, i want to know why in the world would susan rice go on five sunday talk shows and perpetuate a demonstrably false narrative? people join angie's list for all kinds of reasons.

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bill: top advisor tom donilon is out after nearly three years on the job in the west wing.

united nations ambassador susan rice will be elevated to national security advisor, that role. congressman trey gowdy from south carolina. you had rather pointed dom dments -- comments in the benghazi hearings some months ago. your reaction. >> thanks for having me, bill. susan rice has not appeared before a house committee since the attack in benghazi. let me say that again for your viewers who may not believe it. she has not appeared before a house committee hearing since benghazi. whatever questions we have yet to be answered the president didn't intentionally put her up for secretary of state because he did not want her facing senate confirmation. she had private meetings with senators and those did not go swimmingly. she is a very bright diplomat and dedicated a large portion of her life to service for this country. however, she was either used via the talking points or she was complicit in the drafting of the talking points and i don't think it is asking too much that she

answer those questions before she offers herself for a promotion to something as important as national security advisor. bill: does it appear she will not have to answer those questions, possibly ever? >> well, at some point she is going to have to come before a committee of congress, whether it is appropriations or house intelligence. i would hope my colleagues on those committees will not have forgotten about benghazi but she does not need senate confirmmation for this and that's intentional because i don't think the president wants her to answer questions for which there is no answer. bill: how do you get your answers then with this move today? >> well, we're not going to get them, from susan rice unless, unless, house leadership wants to subpoena her and in her prior capacity as a secretary to the united nations which is still an option. we have not forgotten about benghazi. we deposed ambassador pickering yesterday. we're going to depose other people. i would love to ask susan rice, in an open committee

hearing, what role, if any, did you have in the drafting of demonstrably false talking points? and why were they changed from truthful to completely false? that is not what we want in a national security advisor. bill: we'll get the announcement at 2:15 from the rose garden. quickly ir, there is another hearing on the irs scandal. this will be the third this week alone. i think it will be number six in total thus far. go back to the period between 2010 and 2012. 2600 managers from the irs flu to anaheim, california for a three-day conference. they got baseball tickets and great pens, briefcases. this audit also reveals 225 conferences between that two year period, 2010 and 2012. as you answer this question, i'm not quite sure the point you want to make but this was a time when the lens was really applied to government spending in america.

and the irs did not get the memo. what will your hearing reveal tomorrow then, sir? >> well, bill, one of the things it is going to reveal during that exact same time period, in fact the very month they were in anaheim spending $3500 a night for the presidential suite, having trinkets, having speakers to en -- engage them in ridiculous topics i was laying off law enforcement officers and staffers in south carolina because of government short falls. this disconnect between this government agency and their inability to grasp fiscal discipline can not be fixed with a training memo or an inspector general report. it is cultural, character laden and immoral. they need to be eviscerated as a department. they have been in existence in since 1862, bill. if they can't figure out in that amount of time that you don't waste money at a conference when your fellow citizens are losing homes and jobs and health insurance, then they need to

go away as an entity and be replaced with a more responsible way of collecting revenue. bill: hearing tomorrow, 9:30. sir, thank you for your time today. trey gowdy, republican south carolina. >> thank you. bill: martha. martha: meanwhile attorney general eric holder is under investigation over whether he lied to congress under oath. what are the potential consequences? could the attorney general face perjury charges in all of this? we're talking about that coming up.

martha: get up to speed. there is more extreme weather in missouri forced dozens of people to scramble for higher ground today. a second levee has failed. this on the mississippi river north of st. louis. we're told the river is nearly nine feet over its banks right now.

streets and highways are flooded. several homes are underwater. authorities say they are concerned that another levee may breach nearby today, which would cause of course more devastating floods and potential landslides. we want to keep on top of that. more information when we get it. bill: we're learning more conservative groups targeted by the irs might come forward after yesterday's hearing. in that hearing at least one democrat offered this apology. >> we have all said that the singling out by name was wrong. the president said it was outrageous. the delays of over 13 months in processing applications were wrong. and the fact that the applications of some organizations have been pending for over three years is inexcusable. >> jay sekulow, chief counsel, american center for law and justice. he has been knee deep in this story. jay, good morning to you. >> hi, bill. bill: i don't know if the

apology helped a lot of folks on the panel yesterday or not. to the point, are there more groups ready to go public or not? >> they are. we're getting inundated. we could file an amendment to the complaint and probably add at least another dozen. bill, we're getting e-mails and calls from groups all over the country. about 470 or so of these groups are targeted. now that it is becoming public and people realize they are not alone. they were part of this dragnet that the irs adopted they're coming forward. we're looking right now at amending the complaint. there could be dozens of people added to it. dozens of organization. they may be adding couple other claims, causes of action, unlawful disclosures. because that report is coming forward too. bill: what would that mean, disclosures? >> if the government discloses taxpayer information it violates the internal revenue code. that is another cause of action not only for damages but injunctive relief to stop the process that is

going forward. bill, let me say something else. we still have 10 groups pending, pending over 10 years, three years. i have not had a word from the irs, nothing in the, in many months and of course since this lawsuit, zero. they could solve some of these problems by just granting the exemption. right now they're just institutionally incapable of operating. bill: three years and counting. one scandal to another, because you asked, bya. barbara, from tennessee writes, what are cause consequences for potential perjury charges are and condemn of congress from eric holder concerning the "fast & furious" debacle? one question is ap and eric holder and the other is "fast & furious". how would you answer that question, jay? >> because the attorney general is held in contempt it will take the u.s. attorney from the district of columbia will enforce that. he is political appointee. he will not do it.

perjury count or potential perjury charge is different scenario. what you have got is a scenario. department of justice is drawing distinction we weren't going to prosecute james rosen. if you look at affidavits signed and authorized by the attorney general they not only said james rosen violated the law and committed a criminal act and a coconspirator but he was a flight risk. if you weren't going after him why would you talk about a flight risk? it took three judges to finally get the warrants issued. so i think the perjury charge, if there is in fact a perjury count here could be very, very serious. now i think they will defendist aggressively the department of justice. they will come up with a nuanced approach to this. reality is, the attorney general holder needs to go. he needs to resign. this is not leadership. this is not, when you're an attorney general you have to be a attorney and a general. you have to run the department. you have to have a sense of confidence. i think the american people, the confidence level in the attorney general right now is at an all-time low and just getting worse and,

you're already hearing rumblings from the white house. bill: you would have to have a president who would accept the resignation. thank you, jay. >> exactly. bill: hemmer, right on, hemmer@foxnews.com is the e-mail. also on twitter @billhemmer. file your questions right now. lines are open as we speak. martha. martha: trying to picture james doing that. the obama administration is under fire again after reports that some top officials are using secret e-mail accounts to communicate white house business to each other or administration business. why would they do that? bill: also, political firestorm over who will fill the seat of the late frank lautenberg in the u.s. senate. why chris christie's latest move is being called crazy and genius at the same time. >> this is about guaranteeing the people of new jersey both a choice and a voice in the process and in the representation that they deserve in washington. new honey bunches of oats greek yogurt and whole grain.

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martha: there is a live look this morning at the funeral services that are taking place for late new jersey senator frank lautenberg set to get underway about an hour from now in new york city. you can see that the crowd is packing in there in that very well-known synagogue on the east side of new york city. vice president joe biden is expected to deliver remarks there this morning as well. meanwhile back on the other side of the river in the state of new

jersey chris christie kind of shocked the political world a bit yesterday. everybody was waiting to hear what he would do about this open senate position that now exists, and he said that he will hold a special election in october, the primary for this election will happen in august. let's figure out what is going on here. carl cameron joins us, chief political correspondent in washington. carl, talk about this decision and what the impact is and why some were surprised. >> it's a krao creative move. the first order of business is to appoint an interim senator to fill the seat until the special elects. christie hasn't made any announcements but he won't waste any time. he said yesterday he will pick somebody to fill the senate in the short term before the immigration debate begins in the senate next week. the race will unfold really fast. christie has announced a deadline of monday for candidates to file petitions to run for the seat. whoever wants to be the next senator for the special election

coming up in october which will take us through 2014 have to decide by monday. the primary is in august. the general election now as christie has scheduled it will take place on october 16th. that falls just three weeks ahead of the already scheduled gubinatorial election in which governor christie is running for re-election. the democrats say it looks like the popular meijer corey booker of newark will be running. he's got a challenge that's been offered up by frank pelon, a congressman there new jersey eyeing the seat for a longtime. there may be one or two others as well. no republicans have jumped in. in new jersey are democrats out number republicans it's a tough calculation for republicans to get into a garden state race because booker is considered the favorite. martha: people are trying to figure out can they raise the money and take a crack at the august primary? as you say he could have scheduled this. governor christie has his own re-election in november. >> reporter: right. martha: he could have scheduled this whole thing on one day.

why didn't he do that? >> reporter: a number of reasons. first of all he could have put it on the election day when the general election for governor is going to happen, but he says if that were to have happened under statute in new jersey the two political parties, the democrats and the republicans could have picked the nominees by convention instead of offering voters a primary. christie said we want to make sure that the voters get a say and the back room insiders don't have the choice. the senate race would be at the top of the ballot if he had it on the same day and if corey book error frank pelon were to attract a whole lot of democrats to the race that could compromise his ability to beat his opponent for re-election. there are presidential aspirations in here too. how he handles this and how it's viewed political will say something about chris christie's prou ses headed int prossess.

martha: thanks, we'll see you later. bill: it's your state the garden state. martha: he's getting thinner. yesterday when i came out he has been very open about the surgery that he had to try to lose weight. and a lot of speculation about whether or not he's doing that for his own presidential aspiration -gs which may be in part and clearly for his health as well. but he's getting thinner. bill: he's got four kids too he wants to be around for hem. martha: absolutely does. bill: 23 minutes before the hour the white house playing defense over reports of secret e-mail accounts being used by high ranking government officials. is that okay or is the government hiding something? alan colmes, the alan colmes radio show and a -bt credit contribute. tucker carlson a cohost of fox & friends weekend. good morning to both you. hi guess we can all understand being swallowed up by e-mails

all the day. satisfactory beale yeah says she gets 28,000 a day on one account, 400 on the other account. there is a lot more to this story tucker that the ap is reporting on. are you okay with this or not? >> these people get a ton of e-mail, they have a private e-mail address for office e-mail, that is understandable it's happened for a thanking hro time. what is not understandable is violating and evading the law by not making the e-mail public. that is exactly what kathleen sebelius has done when asked by the ap under the freedom of information act which is a federal law that requires them to turn over information that is not classified, that department and others in government didn't turn over a single e-mail on these private, seeker receipt e-mail accounts. they didn't even turn over the e-mail addresses, the aliases. and when the ap pressed they were told they would have to pay a million dollars for that information, which of course is a violation of law. this is secret, wrong and illegal.

bill: i under the point you're making there. if the ap did not hunt for the information would we even know? >> reporter: no, of course not. bill: the answer is no. >> reporter: of course not. bill: alan. >> she should turn over the e-mails, not as many as they should. the whole notion that the e-mails secret and you touched on it a moment ago they are not secret. we know there are alternate e-mails that they can do business. kathleen sebelius is correct. if you're getting 27, 28,000 e-mails we know what spam is, if we're in the public eye -- bill: they are secret if you don't tell anybody and they are secret if somebody asks for them and you don't hand them over. >> this is not the first administration to have more than one alternate e-mail address. there is nothing secret about it. as jay carney pointed out yesterday, yes they should be turned over that is a separate issue. bill: this is what the ap writes, this is important, this is trust in government and all that stuff. it goes hand-in-hand with the i.r.s. watching these hearings.

secret accounts drive perceptions that government officials hide actions or decisions. turker. >> i meatucker. >> that is true. this is by nevada admonition secret. the previous administration was secretive. this was a key rational nor obama's presidential campaign in 2008. these guys are secretive, they are not telling you what they are doing. i will be different, i will have the transparent administration, which five years on has turned out to be totally a false promise, it's even more a secretive administration by any measure, including by foyer request, this is not one person's opinion it's measurable. they are not turning over the data, it's a violation of law and they have to. bill: you mentioned transparency and you are exactly right about this tucker. november -- sorry january of 2009 that is all we heard time and again, where does that stand now. >> i agree there should be more transparency. i wouldn't say that was the primarily reason for his can dance see and that's all we heard but we do agree in principle that i would like to

see more transparency in the administration. they should turn over the e-mails, i disagree with the word secret. they are alternative e-mails for the purpose of doing business. bill: we just don't know who they are. >> you want to make public the president's personal e-mail address. bill: remember he does have a blackberry. >> you've got to have the ability. >> he's exempt. >> you have to have the ability to do business with e-mails that the public can't get to. bill: got to roll. thank you, man. martha: i know hefp bill hemmer's e-mail address. the pola ricing figure in the obama administration being promoted to national security adviser. we'll take a closer look at the appointment of u.n. ambassador susan rice. bill: top military brass trying to keep command while they battle sex charges within their own ranks. the shocking words from herma john mccain as this controversy

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martha: big news today, the obama administration member at the center of the benghazi terror attack scandal will be he will elevated to the top security post in the white house. president obama will announce

later today that the u u.s. ambassador to the u.n. suzanne rice will replace tom donilon. he's got a new job, apparently going to spend more time with his wife. we'll learn more about that as time goes on. joined by kt mcfarland. fox news political analyst. what do you think of this. >> i think it was a pay back for benghazi and the fact that she carried the administration's water, carried it very badly, but carried it. the president will do a couple of things. she'll be a disaster. martha: why do you say that? >> the national security adviser does a lot of things. it is the most important job in the white house and the most national position in the administration. they are over the cia, joint chiefs of staff. they come up with the new ideas, the great policies, it's the person who briefs congress behind the scenes, never in front of the scenes, behind the scenes, also has to deal with the press and foreign leaders. that euflgs the president's

personal spokesman. martha: tom donilon hasn't dealt with the press. in many says i feel like this is the person and you worked under henry kissinger in this position. now how it works more than anybody. obviously they have a close personal relationship. i wonder if this isn't sort of, gee, i know you really wanted to be secretary of state, and you've stood by me all these years, and this is a position where you'll be protected, as you say, you won't have to answer questions any more and won't have to go for senate confirmation and you'll be by my side in the white house working side-by-side. >> i think you're absolutely right. the fact that she is not going to be very good at the job i don't think matters to the president. she has three objectives by putting her there. one it is the pay back, she was groomed to be secretary of state she is not going to have that job and get the congressional hearings and confirmation process which would be brutal. he gives her a job where she doesn't need the confirmation. secondly he's paying back a friend, somebody he feels very loyal and committed to. the third thing is conveniently by making her national security

adviser she then comes behind the veil of executive privilege. she doesn't have to go to congress and testify. maybe they technically could subpoena her but it would be really tough. martha: lots more to talk about on that front and we will be throughout the day here. i do want to get in your thoughts on this sexual assault hearing that we saw play out yesterday in congress. very serious issues and really a rampant situation that's ongoing in the military. you have a daughter in the navy. >> right. martha: it's a personal issue that i know you have strong feelings on. what is going on and what needs to be done to fix this? >> i think the picture of those five guys sitting up there in front of the congressional committee said it all. they are five middle aged men. where is the woman? the military now has women, it has hispanics, african-americans, so what do you have these five middle aged guys saying for the last ten years we've focused on this. it's the number one priority and it's got even much worse. at the end of the day they had

their chance. they screwed it up. take it out of the chain of command, take it some place out of the chain of command, have that process go through there and then if that -- if somebody is found guilty of that crime don't just punish them, punish his boss. make sure that there is no tolerance, zero tolerance for this. that's been the problem all along. if it's a false accusation, fine the person who made the false accusation. martha: just like a corporation would have to do, move it outside. >> move it outside. martha: it's very heartbreaking to see john mccain saying someone asked him should my daughter be in the military, and he said i have to say no. that is john mccain. >> i have heard that from my daughter and her friends. it's not just sexual abuse, it's harassment, intimidation. get rid of it. sister owe tolerance. martha: thank you so much. always good to see you. bill: the price turned out to be wrong for one federal worker how a game show is putting that person now on the hot seat.

who

martha: come on down and get busted on national television, busted. a former postal carrier from north carolina faces fraud charges after she was seen spinning the big old wheel there and that takes some strength on "the price is right" game show. she was collecting worker's comp for a shoulder injure. she claims she was unable to sit, stand, kneel, squat or bend. that is what you have to do on "the price is right." the woman and her husband went on a cruise where they both went what? zip lining. bill: you could have used your opposite arm to spin the wheel. that could have been your out. martha: she said she couldn't

stand, nothing. really? bill: come on down. scientists pouring over new images from the mars rover curiosity. phil keating is live with what they are learning. good morning. >> reporter: just a couple of hours nasa will release new images from mars. for all of those excited marshal fans you're on planet earth. sent back from mars35000000 miles away, that happens in a few hours. mars curiosity has been roving around the red planet for ten very impressive months in what was planned to be a two-year mission. they are strongly suggesting water flowed on that planet at one time. this right here appears to be a stream bed. in a close-up shot all of the rounded pebbles lead scientists to conclude this was formed by a rapid stream or small river a very longtime ago. the european space agency, a big partner of the u.s. out in outer

space will launch its fourth unmanned cargo ship to the space station. the launch pad is in french guy and a, right near the equator and the cargo ship will bring 1400 items, including fuel, water and gas to the orbiting laboratory 20-tons in all. ever since 1969 the debate is raisedded, what exactly did neil armstrong say when he became the first human to set tpao foot on the moon. he always insisted he began by saying quote that is one small step for a man. listen for yourself. >> that is one small step foreman, one giant leap foreman kind. >> reporter: a michigan state university research team was analyzing the way ohio citizens say for a in a sentence. he was from ohio. they conclude that armstrong was right that you can't really hear

the a in the sentence, but most likely he said for a man. bill. i hope you got that question right when you were in grade school. bill: it's a good trivial pursuit question. thank you, phil keating in miami. martha: major changes at the white house national security team that we're learning about this morning. the latest reaction to the elevation of susan rice, key player of force from the benghazi scandal. we'll be back.

martha: we have to go to our linean