making news in america this morning, capitol hill chaos. >> as congress haggles over the payroll tax cuts, why millions of americans could soon feel a pinch in their paychecks. >>dead heat. with the iowa caucuses two weeks away, a brand-new abc news poll shows a shakeup in the gop nomination. and holiday glee. the military wives shooting to the top of the music charts this holiday season, bringing cheer and hope to many. ♪ good morning, everybody. i'm rob nelson. >> and i'm sunny hostin. the grinch appeared to be at work on capitol hill. a plan to extend the payroll tax cut was supposed to be a done

deal. >> the senate passed a two-month extension and then went home for the holiday break. now, lawmakers in the house are ready to reject the deal. we're joined this morning by abc's tahman bradley live in washington with more on this ongoing drama. good morning, tahman. >> good morning, rob and sunny. late last night, house republicans ditched a vote on the two-month extension on the payroll tax cut. and today, the partisan fight in washington continues. the white house and congress continue to battle over a tax cut that could millions of americans in danger of a tax hike on new year's day. >> it's time to grow up. >> reporter: today, the republican-controlled house of representatives is poised to ditch a bipartisan senate bill that would have extended the social security payroll tax cut. if congress doesn't work out a deal, this line on the paycheck of 160 million americans could go up nearly $1,000. americans who make $35,000 a year, get an extra $700 from the

tax cut. those making $50,000, an extra $1,000. it looked like congress had reached agreement. the senate passed a two-month extension of the tax cut. but house republicans postponed a vote, calling the deal a half-measure, that won't fix the economy. >> our members do not want to just punt and do a two-month, short-term fix, where we have to come back and do this again. >> reporter: democrats say, speaker boehner is walking away from a deal. >> what we see now is stalling action on the part of those who never really were more a payroll tax cut in the first place. >> reporter: there are signs the standoff on the tax cut has hurt congressional republicans. according to the latest abc news/"washington post" poll, just 20% of americans approve of the job republicans in congress are doing. while president obama's approval rating has gone up, seven points since october. economists say having that extra money in americans' paychecks next year could help stimulate

the economy. so, if congress fails to act, uncle sam will be the only people to see our extra money. rob and sunny? >> nobody likes to hear that, tahman. where do house republicans want to go from here exactly? since they avoided an up-or-down vote on the plan by the senate? >> reporter: house republicans want to set up a conference, a bipartisan conference of house and senate members to meet and to discuss this. but democratic leaders say they're not going to appoint any democrats to such a conference. the time for meetings is over. and now, house republicans need to hold an up-or-down vote on the senate's plan. rob and sunny? >> abc's tahman bradley in washington. thank you. staying with politics and your voice, your vote, with exactly two weeks until the iowa caucuses, the republican presidential field has undergone yet another major shift. >> here we go again. newt gingrich, who had been the strong front-runner for a few weeks now, is now in a dead-heat with mitt romney, according to a new abc news/"washington post" poll. our poll finds that among

republican voters, 49% expect their nominee to win. while 46% expect president obama to be re-elected. president obama and vice president biden will visit andrews air force base later today for a ceremony marking the end of the war in iraq. they will welcome back the troops and the flag of the u.s. forces in iraq. the flag or colors, as it is called, was lowered and placed in a casing at a solemn ceremony in baghdad last friday. the body of north korean leader kim jong-il went on public view this morning. the state tv shows the glass coffin in which he lay. his successor, kim jong un, was the first to pay respects. mourners can visit until tuesday. the state funeral will take place a week from tomorrow. officials are holding urgent talks with allies in the wake of kim's death. they are hoping for a peaceful and stable transition in that nuclear arms nation. but it is preparing for other

possibilities, as well. abc's jake tapper reports from the white house. >> reporter: of all the countries that the united states government seeks information on north korea is the most difficult intelligence experts say. it's the most closed society. it's the most opaque. there is not much that is known about the new leader, kim jong un, other than he is young and inexperienced and thought to be rather brash. the options that the obama administration has been preparing for when it comes to this day, ever since kim jong-il had his stroke three years ago, include the gamut, as far as war gaming it out and figuring out what can happen. they range from the most optimistic, that kim jong un will have a new era. and the most pessimistic, theying he will be belligerent and bellicose. president obama has been laying low, reaching out behind the scenes to the president of south korea. having members of his administration reach out to

others in the region of jo japan, china, other countries, trying to keep temperatures low at what is a precarious and potentially volatile situation. jake tapper, abc news, the white house. >> so many questions on where things go from here. other news now, the blizzard sweeps in from new mexico to kansas. a white christmas may be in store for those of us here in the northeast. the storm dumped up to two feet of snow in the mountains, bringing visibility down to zero. major highways were shut down. at least two people died in all this. the system changes over to rain as it moves into the midwest. but another storm could bring snow to parts of the northeast this weekend, just in time for, yes, christmas. >> maybe a white christmas. >> maybe. time, now, for weather from across the country this tuesday morning. that blizzard tapers off by noon, as a mix of rain and snow comes from kansas city to omaha and chicago. thunderstorms from new orleans to memphis. light rain around nashville, detroit, cincinnati and pittsburgh. and showers from seattle to

olympia, washington. a couple inches of snow in the cascades and northern rockies. >> a wet 46 in seattle. 36 in salt lake city. and 60 in phoenix. mostly 30s from fargo to kansas city. 45 here in new york. 60 in atlanta. and a warm 80 in miami. and coming up after the break, the search for missing toddler ayla reynolds. were authorities concerned even before she went missing? and the kansas college student who disappeared after leaving a chilling voicemail for her sister. also this morning, the new york city firefighter who leapt from a burning building while on fire. that and more when we come back. s>s>s>s@

asian markets rebounded today after the sell-off that followed the death of north korea's dictator. tokyo's nikkei average picked up 40 points today. hong kong's hang seng gained ten. in london, the ftse opened lower. on wall street, the dow fell 100 points yesterday. the nasdaq index was off 32. at&t is hanging up on t-mobile. the television giant is now admitting defeat after government opposition to its acquisition of the wireless carrier. they have to pay the breakup fee of 4 million bucks. a victory for apple in the courts. the u.s. international trade commission agrees hpc infringed on an apple patten in the smartphone. it's not sure which htc phones used that technology.

or how it will affect the problem. it could affect all phones using google's android system. saudi arabia's royal family owns 3% of twitter. he spent $300 million for the stake of the company. twitter was one of the online tools used by protesters in this year's arab spring uprising. and it's crunch time for holiday shoppers. surveys find that three-fourths of us still have gifts to buy. and fewer people have wrapped up their shopping at this point a year ago. among the reasons, holding out for bargains. and many first bought sale items for themselves. >> i have to do my shopping today. i'm one of those folks. i've procrastinated for weeks now. when we come back -- every year -- when the lights went out in san francisco, right before the kickoff of "monday night football." also, the military wives who are shooting to the top of the u.k. music charts.

a firefighter here in new york is recuperating from serious burns after being trapped during an apartment fire. take a look at this cell phone video. the victim is actually on fire when he is pulled to safety by one of his own. the firefighter's union blames the dangerous situation on staffing cutbacks. >> hard to understand how things get so bad that public safety has to take a hit. now, let's take a look at your morning road conditions right now. snow shuts down i-40, from amarillo to albuquerque. and also, i-25, into colorado. icy on i-70, from kansas city to denver. and i-35, from wichita to des moines. wet on i-10, along the gulf coast. i-20, from st. louis to pittsburgh. and i-40, from little rock to nashville. >> if you're flying, airport delays are possible in kansas city, memphis, chicago, new orleans, and atlanta. the search for a missing little girl enters its fourth day in maine. ayla reynolds was reported missing by her father last weekend.

>> now, relatives of the child's mother say they were worried about the girl's safety before she disappeared. abc's duarte geraldino reports. >> reporter: on monday, the maine warden service opened its search effort for a little girl on the banks of a stream a few blocks from her father's home. residents canvassed the neighborhood looking for her. no amber alert was ever issued. >> we were not notified that ayla was missing approximately 10 or 11 hours after she was last seen. >> reporter: some time between 8:00 friday night and saturday morning, she seemingly disappeared. on saturday, her father, justin dipietro, reported that she was not in bed and could not be found. she was last seen wearing a shirt that read daddy's princess, and had a soft cast on her arm from a fall three weeks ago. the toddler's parents are cooperating with police but don't get along with each other. >> i had no contact with him.

he had no contact with me. all i know is he's the last man to see my daughter. >> reporter: trista reynolds does not live with dipietro, but shares custody of their daughter. but a day before the child went missing, trista filed a petition to get sole custody. >> he never knew i filed them. he'll now know. >> reporter: on monday, a police evidence van was parked in front of alya's father's home. two vehicles were towed from the home. but waterville police wouldn't say why. over the weekend, search dogs were used to track the little girl's scent, with no success. the fbi is also involved in this case. and investigators are looking into a tip that a car was seen near the house the night ayla went missing. in new york, duarte geraldino, for abc news. police in kansas city they they're no closer to solving a disappearance of a college

student last week. aisha khan called her sister friday from the university of kansas saying she was running from a drunken stranger who harassed her while she studied outdoors. that's the last time anyone heard from the 19-year-old newlywed. the president of florida a&m university will keep his job, at least for now. the school's board of directors rejected a call by florida's governor, that he be suspended in the wake of a hazing death of a band member at the school. the board called the government's request outside intervention. former penn state coach joe paterno has been released from the hospital, where he was being treated for lung cancer and a broken pelvis. his cancer came just a few days after he lost his job. but a source close to his family says he has shown improvement. paterno turns 85 tomorrow. now, for the lights-out highlights from "monday night football," here are our friends over at espn news. >> good morning. i'm don bell with your espn news update. a battle between two of the winningest franchises in nfl history, the steelers and 49ers.

there's ben roethlisberger warming up before the game. had a brace on his ankle. and minutes before the game was scheduled to start, a transformer explodes outside of the stadium and power goes out inside candlestick park. 20-minute delay before kickoff. power restored, roethlisberger, ready to go. so, late first quarter, we go. steelers trailing, 3-0. big ben hanging in the pocket. overthrows heath miller right there. and dashon goldson with the pick. roethlisberger, three interceptions in the game. niners, up 6-0. early second quarter, lights go out again. hello? the second power outage in two hours. fans taking pictures of the darkness, which doesn't make sense. but they did it anyway. 16-minute delay. 16-minute delay. third quarter now, 49ers up 6-3. alex smith rolling. looking for vernon davis. davis knocked out at the 1 yard line. first and goal, play-action pass. smith and davis. why?

sharing is caring. so, the niners go up 13-3. early fourth quarter. steelers' ball. roethlisberger, buying time. the niners beating up big ben on this day. they take over the ball in steelers territory. ensuing drive. second and goal. frank gore, up the gut he goes. five-yard touchdown. niners, they win it, 20-3, at candlestick. and that will do it for your espn news update. i'm don bell. a phoenix man is putting on a spectacular christmas light show. and it's not adding a dime, though, to his electric bill. check it out. >> that's right. check out fred hampton's homemade display, complete with hundreds of lights, synchronized to a christmas movie montage. solar panels in his front yard keep the lights glowing from sundown to midnight, all for free. while visitors enjoy the lights, hampton saves money and helps the environment. >> a perfect combo. get your pretty light show. you don't jack up your light bill.

>> wonder what the neighbors think about that. >> probably not too happy. coming up after the break, how mitt romney did on his visit to the late show with david letterman. and the sperm donor who has been asked not to be so generous. "the pulse" is coming up.

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well, it's time to check "the pulse," stories you'll be talking about today. first up, mitt and dave. mitt romney's campaign trail passed through the david letterman show last night. and he delivered the night's top-ten list. things mitt romney would like to say to the american people. >> and the number one thing mitt romney would like to say to the american people -- >> it's a hairpiece. >> there you go. >> very cool. >> that's a good one. >> he has that good hair. that great presidential hair. it's time for the end of the year lists. here's a fun one from google. the most popular searches from 2011. number five is battlefield 3. and number four, casey anthony. >> coming in third, ryan dunn, the jackass star that died in a car crash. number two, google plus. and the most popular search was

rebecca black who shot from obscurity to fame, with this loved it/hated it video, "friday." i was surprised at that. well, can you get into trouble for giving something away that belongs to you? apparently so. >> yes, indeed. a california man is vowing to fight the fda after he was ordered to shut down his one-man sperm bank. trent arsenault offers sperm donations free of charge through his website. he's fathered 14 children in the last 5 years. and there are four more on the way. >> arsenault says he wants to help couples who can't afford conventional sperm banks. but the fda says he's not following strict government regulations. >> he is a giver. we can say that. well, for some of you, your local news is next. >> for everyone else, we'll be right back with the military wives who started singing while their husbands were deployed. and now, they're fighting for a top spot on the holiday charts. a great holiday story, when

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next, pg&e backs down on smart meters. >> performance overshadowed by the lights going out. two candlestick power outages seen by millions of fans and to make sure it doesn't happen again. chilly this morning. [ laughing ] >> yes it is, once again. updating the day's top stories now. the house is expected to vote down a two-month extension of

that payroll tax cut. gop leaders in the house want a year-long extension instead. newt gingrich has lost his lead in the gop presidential race. a new abc news/"washington post" poll shows him in a dead-heat with mitt romney, tied at 30% each. >> after dumping up to two feet of snow, the blizzard that slammed the midwest and great plains tapers out today. but a new snowstorm would mean a white christmas for you. showers around pittsburgh, cleveland, and detroit. >> mostly rain from chicago to k.c. and some light snow in the northern rockies. well, finally this morning, they say it feels like a christmas miracle. for so long, a group of military wives and girlfriends waited for their soldiers in afghanistan to come home. >> now, that the war is over, a song they have written about their experience is burning up the charts. ♪

>> reporter: performed by around 100 military wives and girlfriends, "wherever you are," is based on letters between the women and their partners, while the men were deployed in afghanistan. and it looks certain to be this year's christmas number one. >> it's an unbelievable feeling. and to be honest with you, it's quite surreal. it doesn't feel like it's happening to us. >> no. i agree. if someone said four months, five months ago, you're going to be number one, we wouldn't believe them. >> reporter: and a choir? the women were brought together by musician, garrett malone, for "the choir." the group, some who had never sung properly before, and turned them into potential chart-toppers. this may not have the highest sales m sal sales figures of the year.

but on top of the charts, on christmas day. it's usually the x-factor that gets the top spot. but with this being released two weeks, rather than the expected one week before christmas, it left the door open for the military wives. the charity single has enjoyed record numbers of preorders. and the money it could raise has been discussed in parliament. >> would my honorable friends be willing to join me in urging the -- to give the proceeds to their normal charities, to the british legion? >> reporter: if they do make it to the christmas number one spot, their journey from obscurity could be one of the most unexpected and talked about for years. >> andni they sound pretty good. >> they sound great. >> andni they sound pretty good. >> they sound great. all fo closed captioning by closed captioning services,inc