also say he'll be a better friend to them than president obama has been. >> ron mott in reno, nevada, for us on tuesday afternoon. of course, when mitt romney takes the stage, we will bring you at least a portion of his remarks live right here on msnbc. mean while, after laying low on the negative attacks in the wake of the tragedy in colorado, both campaigns seem to be back at it again now. the president knocking romney for taking his words out of context while the governor accuses president obama of putting the economy on the back burner. >> earlier today, governor romney was at it again. knowingly twisting my words around to suggest that i don't value small businesses. i understand these are the games that get played in political campaigns, although you know, when folks just like omit entire sentences of what you said they start kind of splicing and dicing. >> i think the president made an

error coming in to office and deciding that the economy would take care of itself and he focused his energy on a series of liberal plans that he and his friends have been working on for years. >> let's go ahead and bring in our "news nation" political panel, talk show host michael smerconish, and chip salsman, former huckabee campaign manager. good afternoon to both of you. michael, i will start with you. is it too soon to return to campaigning as usual? >> no, i don't think that it is. i think that colorado, those unfortunate events in colorado, brought to a close a particularly negative chapter of the campaign that, frankly, the campaigns were probably ready to move on and promote a more positive image. there's an ad out there today, you'll probably mention it, of the president looking spot-on into the camera talking about

the big picture issues that this campaign is prerntsing. i think they were ready to go to the next phase which will take us into conventions and that will start the final chapter. >> michael you mentioned the ad. let's get to it. the obama camp with the new ad, the president himself talking directly into the camera. it has more of a positive feel, but he still contrasts himself with governor romney. take a look. let's talk about it on the other side. >> over the next four months, you have a choice to make. not just between two political parties or even two people. it's a choice between two very different plans for our country. governor romney's plan would cut taxes for the folks at the very top, roll back regulations on big banks, and he says that if we do, our economy will grow and everyone will benefit. but you know what? we tried that top-down approach. it's what caused the mess in the first place. >> chip, you're a former campaign manager. this ad, it looks and sounds like the type of ad that you might see at the beginning or

end of the race. why now? >> it's because of the colorado shootings. they didn't want to come on too strong, too soon. but i think it's now they're using their best' set. president obama has a great gift, he's a great oratory, speaks to the camera eloquently. it's a good ad for them. we've got a hard break because of the olympics. whatever we do over the next couple of days we get a hard break over a couple of weeks where everybody checks out, if you will, from politics and we'll get back into the long, hot summer after that. >> i want to talk about a new poll that's out in advance of our poll that we're going to preview in a moment. talk quickly about this "usa today" gallup poll, 63% believe that mitt romney's business experience will result in him making good decisions. michael, is this proof that the bain attacks or the calls for romney to release more tax returns, is this proof that

those attacks didn't work? >> i don't know what it says about the tax return issue. i do believe, as you're saying, craig that it shows that the bain attacks were not a success as the obama campaign would have hoped that they would be. their response would to be say, drill deeper into the survey and look at some of the swing states and the swing tv markets where we've run those commercials, and you would get a different interpretation than a national survey would show. i think you'd hear from them that they still think it was effective but on a national frame, not as effective as it needs to be. >> i'll get you to stand by in just a moment if you could. we want to go back out to reno, nevada, where again mitt romney is speaking to that vfw group. let's take a listen. >> alan gunner kent, executive director, bob wallace, distinguished guests, and members of the vfw, thank you for your generous welcome. i want to start today with a few

words about the unimaginable tragedy in colorado last week. we've since learned that among the victims were four people who had served or were serving our country in uniform. today our hearts go out to the families of john larimer of the united states navy, rebecca wingo, air force veteran, jesse childress, an army veteran, and member of the air force reserve, and jonathan blunk, a navy veteran who died shielding his girlfriend from the spray of bullets. the loss of four americans who served our country only adds to the profound tragedy of that day. all americans are grateful for their service and deeply saddened by their deaths. we mourn them and we will remember them. now the vfw, as you know, is now over 2 million strong. it has a special place in america's heart. some of you fought recently in

iraq or afghanistan. others are old enough to have marched, flown or sailed by orders of franklin d. roosevelt. whatever your age, whether you're republican or democrat, whenever you serve, theres one thing you have in common, you answered the call of your country in a time of war. from december 7th -- from december 7th, 1941 to september 11, 2001, whenever america has been tested, you stepped forward. you have come from our farms, our great cities, our small towns and quiet neighborhoods. many of you have known violence so that your neighbors could know peace. you have done more than protect america. your courage and service defines america. you're america at our best and it's an honor to address you today.

our veterans are part of a proud tradition that stretches back to the battlefields at lexington and concord. and now to places like fa luge ja, kandahar. year after year, our men and women in uniform added proud achievements to their record of service and president obama appropriately pointed to some of them yesterday in his speech. anytime our military accomplishes a vital mission, it's a proud moment for our nation. but we owe our veterans and our military more than just an accounting of our successes. they deserve a fair and frank assessment of the whole picture, of where we are, and where we want to be. and when it comes to national security and foreign policy, as with our economy, the last few years have been a time of declining influence and missed opportunity. just consider some of the challenges i discussed with you

at your last national convention. since then, has the american economy recovered? as hour ability to shape world events been enhanced or diminished? have we gained greater confidence among our allies and greater respect from our adversaries? and perhaps, most importantly, has the most severe security threat facing america and our friends, a nuclear armed iran, become more likely or less likely? these clear measures are the ultimate tests of american leadership and by these standards we haven't seen much in the president's first term that inspires confidence in a second. the president's policies that made it harder to recover from the deepest recession in 70 years. exposed the military to cuts that no one can justify, compromised our national security secrets.

and in dealings with other nations, he has given trust where it is not earned, insult where it was not deserved and apology where it is not due. from berlin to cairo to the united nations, president obama has shared his view of america and its place among nations. i've come here today to share mine. i am an unapologetic believer in the greatness of america.

i am not ashamed of american power. i take pride that throughout history our power has brought justice where there was tyranny, peace where there was conflict, and hope where there was affliction and despair. i do not view america as just one more place on the map, one more power to be balanced. i believe our country is the greatest force for good the world has ever known and that our influence is needed today as ever before. and i am guided by one overwhelming conviction and passion -- this century must be an american century. in 1941, henry loose called on his countryman just then

realizing their strength to create the first great american century and they did. together with their allies they won world war ii. they rescued europe. they defeated communism and america took its place as leader of the free world. across the globe they fought, they bled, they led. they showed the world the extraordinary kurcourage of the american heart and the generosity of the american spirit. that courage and generosity remains unchanged today. but sadly the president has d diminished american leadership. the world is dangerous, destructive, chaotic, and the two men running to be your commander in chief must offer their answers to the challenges we face. like a watchman in the night, we must remain at our post and keep

guard of the freedom that defines this and ennobles us and our friends. an american century we have the strongest economy and military in the world. we secure peace through our strength. and in by absolute necessity, we must employ it, we must wield our strength with resolve. in an american century we lead the free world and the free world leads the entire world. if we don't have the strength or vision to lead, then other powers will take our place, pulling history in a very different direction. a just and peaceful world depends on a strong and confident america. and i pledge to you if i become commander in chief, the united states of america will fulfill its destiny and its duty.

now our leadership depends, as it always has, on our economic strength, on our military strength, and on our moral strength. if any one of those falter, no skill of diplomacy or presidential oratory can compensate. and today, as you know, the strength of our economy is in jeopardy. a healthy american economy is what underwrites american power. when growth is missing, government revenues fall, social spending rises and many in washington look to cut defense spending as the easy way out. that includes our current president. today we're just months away from an arbitrary, across the board budget reduction that would saddle the military with $1 trillion in cuts, severely shrink our structure and impair

our ability to meet and deter threats. don't bother by wait trying to find a serious military rational behind any of that unless that rish n rational is wishful thinking. strategy is not driving the president's massive defense cuts. in fact his own secretary of defense warned that these reductions would be devastating, and he's right. and that devastation would start here at home. mark my words, those cuts would only weaken an already-stretched v.a. system and our commitment to every veteran receives care second to none. if i were president of the united states i will not let that happen. this is no time for the president's radical cuts in our military. look around the world. other major powers are rapidly

adding to their military capabilities, some with intentions very different than our own. the regime in tehran is drawing closer to developing a nuclear weapon. the threat of radical islamic terrorism persists. the threat of weapons of mass destruction proliferation is ever present, and we're still at war and still have uniformed men and women in conflict. all this and more is going on in the world and yet the president has chosen this moment for whole sale reductions in the nation's military capacity. when the biggest announcement in the last state of the union address on improving our military was that the pentagon will start using more clean energy, then you know it's time for a change. now we're not the first people to observe this. it's reported that bob gates, the president's first secretary

of defense, bluntly addressed another security problem within the administration. after secret operational details of the bin laden raid were given to reporters, secretary gates walked into the west wing and told the obama team to shut up, and he added a colorful word for emphasis. lives of american servicemen and women are at stake. but astonishingly, the administration failed to change its ways. more top secret operations were leaked, even some involving covert action going on in iran. this isn't the partisan issue. the a national security crisis. just yesterday democrat senator diane feinstein, who is chairman of the senate intelligence committee said, and i quote, i think the white house has to

understand that some of this is coming from their ranks, end of quote. this conduct is contemptible. it betrays or national interests. it compromises our men and women in the field and demands a full and prompt investigation by a special counsel with explanation and consequence. obama appointees who are accountable to president obama's attorney general should not be responsible for investigating the leaks coming from the obama white house. whoever provided classified information to the media seeking political advantage for the administration must be exposed, dismissed, and punished. the time for stonewalling is over. it's not enough to say matter's are being looked into and leave it at that. when the issue is the political

use of highly sensitive national security information, it's unacceptable to say, we'll report our findings after the election. exactly who in the white house betrayed these secrets? did a superior authorize it? these are things that americans are entitled to know and they're entitled to know it now. if the president believes, as he said last week, that the buck stops with him he owes all americans a full and prompt accounting of the facts. let me be very clear, these events make the decision we face in november all more important, what kind of white house would reveal classified material for political gain? i'll tell you right now, mine will not. as you know, the harm that's

done when national security secrets are betrayed extends to the trust that allies place in the united states. the operating principle of american foreign policy has been to work with allies to return aggression before it breaks newt conflict. the policy depends on nurturing alliances and standing up for values. yet the president's moved in the opposite direction. it began with the sudden abandonment of our friends in poland and the czech republic. they courageously agreed to provide sites for anti-missile defense systems. only to be told, at the last hour, the agreement was off. part of the so-called reset policy, missile defenses were sacrificed as a unilateral concession to the russian government. and if that gesture was designed to inspire goodwill from russia, it clearly missed the mark. the russian gft defended the

dictator in damascus, aiming him as he slaughtered the syrian people. we can only guess what putin makes of the obama administration. he regained the russian presidency in a corrupt election. for that he got a congratulatory call from the oval office. there was that exchange picked up by a microphone that president obama didn't know was on. we heard him asking medvedev to tell mr. putin to give him space, this is my last election, he said. after my election i'll have more flexibility. why is it that flexibility with russian leaders is more important to him than transparency for the american people. now the president did have a moment of candor, however, just the other day. he said that the actions of venezuelan dictator chavez have not had a serious national security impact on us. in my view, inviting hezbollah

into our hemisphere is severe, it's serious, and it's a threat, and i'll recognize it as such. but at least he was being consistent. after all, this is the president who faltered when the iranian people were looking for support in their struggle against the ayatollahs. that public uprising was treated at an inconvenient problem for the president's policy of engagement. instead of a moral and strategic opportunity, that terrible misjudgment should never be repeated. unarmed men and women in tehran find courage to confront oppressors she should hear the voice of an american president affirming their right to be free. i'm going to be leaving reno this evening on a trip abroad. it will take me to england, poland, and israel. and since i wouldn't venture

into another country to question american foreign policy, i'll tell you right here, before i believe, what i think of this administration's shabby treatment of one of our finest friends. president obama is phone of lecturing israel's leaders. he's -- he was even caught by a microphone deriding them. he's undermined their position which was tough enough as it was. and even at the united nations to the enthusiastic applause of israel's enemies, he spoke as if our closest ally in the middle east was the problem. the people of israel deserve better than what they received from the leader of theree world and the chorus -- and the chorus of accusations and threats and insults at the united nations should never include the voice of the president of the united states.

there are values and causes and nations that depend on american strength, on the clarity of our purpose, and on the relyabilty of our commitment. there's work in this world that only america and our allies can do. hostile powers that only we can deter and challenges that only we can overcome. for the past decade, the challenge has been the war in afghanistan. commander in chief, i will have a solemn duty to our men and women in uniform. the president knows our troops, their families and the american people a clear explanation of our mission. a commitment not to play politics with the decisions of war. i have been critical of the president's decision to withdraw the surge troops during the fighting season. against the advice of commanders on the ground. the president would have you believe that anyone who disagrees with his decision is arguing for endless war. but the route to more war and

potentially to attacks here at home is a politically timed retreat. as president, my goal in afghanistan will be come complete a successful transition to afghan security forces by the end of 2014. and i'll evaluate conditions on the ground and solicit the best advice of our military commanders. and i will affirm that my duty is not to my political prospects but to the security of the nation and the safety of our troops. we face another challenge in a rising china. china is attentive to the interests of its government but too often disregards the rights of its people. it's selective in the freedoms it allows and as with the one-child policy it can be ruthless in crushing the freedoms it denies.

in conducting trade with america, it permits flagrant patent and copyright violations, forestalls american businesses from competing in its market. manipulates its currency to obtain unfair advantage. it's in our mutual interests for china to be a partner a stable and secure world. we welcome it's participation in trade but the cheating must be brought to a stop. the president hasn't done and it won't do it, and i will. we will need that same clarity of purpose and resolve in the middle east. america can't be neutral in the outcome there. we've got to clearly stand for the values of representative government, economic opportunity, and human rights, and we must stand against the extension of iranian or jihadist influence. egypt's at the center of this drama.

in many ways it has power to tip the balance in the arab world toward freedom. i'll not only direct the billions we give to egypt toward that goal but work with partner nations to place conditions on their assistance as well. unifying our collective influence behind a common purpose will foster the development of a government that represents all egyptians, maintains peace with israel, and promotes peace throughout the region. the united states is willing to help egypt support peace and prosperity but we will not be complicit in oppression and instability. now there's no greater danger in the world today than the prospect of ayatollahs in tehran possessing nuclear weapons capacity. for all of the talks and conferences, all the extensions and assurances, can anyone really say we're further from this danger now than we were four years ago? the same ayatollahs who each

year marked a holiday of leading chants of "death to america" are not going to be talked out of their pursuit of nuclear weapons. what's needed is all the firmness, clarity, and moral courage that we and our allies can gather. sanctions must be enforced without exception, cutting off the regime sources of wealth, negotiations must secure full access for inspections. as it is, the iranian regime claims right to enrich nuclear material for supposedly peaceful purposes. this claim, of course, discredited by years of deception. a clear line has to be drawn. there must be a full suspension of any enrichment whatsoever, period. and at every turn, iran must

know na the united states and our allies stand as one in these critical objectives. only in this way can we successfully counter the catastrophic threat that iran represents to us and the world. i pledge to you and all americans that if i become commander in chief, i will use every means necessary to protect ourselves and the region and to prevent the worst from happening while there's still time. it's a mistake, and sometimes a tragic one, to think that firmness in american foreign policy can only bring tension or conflict. the surest path to danger is always weakness and indecision. in the end, it's resolve that moves events in our direction

and strength that keeps the peace. i will not surrender america's leadership in the world. we must have confidence in our cause, clarity in our purpose, and resolve in our might. this is very simple. if you don't want america to be the strongest nation on earth, i'm not your presiden but with his cuts to the military, you have that president today. the 21st century can and must be an american century. it began with terror, war, economic calamity. it's our duty to steer it on to the path of freedom and peace and prosperity. if you remember the greatest generation and with us here today. and they can't hold the torch as high as they have in the past. they're getting older. it's now our turn. we've got to seize that torch they've carried so gallantly and

at great sacrifice. it's an eternal torch of decency, freedom and hope. it's not america's torch alone. but it's america's duty and honor to hole it high enough so the whole world can see it. i love america. i love what america represents. i love the sacrifice america has made for freedom throughout the world. this is a critical time for our nation. a time of choice. a time to determine what america's going to be over this century. you know where i will lead it. we will have another american century with freedom blossoming and prosperity for all of our citizens because i believe in america. i believe in you. i salute you. and together we'll make sure we keep america the hope of the earth. thank you so very much. and god bless the vfw and the united states of america. >> that is perhaps the most

we've heard from mitt romney with regards to foreign policy since the campaign kicked off here. it was about a 30-minute speech to the veterans of foreign wars out there in reno, nevada. in that speech he went after the president pretty hard. one point saying, quote, if you do not want america to be the strongest nation on earth, i am not your president. you have that president today. he spoke of the, quote, shabby treatment of israel. he went after the white house on their dealings with poland and the czech republic. of course, mitt romney getting ready to head to, you guessed it, poland and the czech republic, part of the six-day foreign trip that we've been talking about here. he also, again, another contrast to the president's speech yesterday before the same group, president obama did not mention mitt romney by name yesterday. mitt romney, about four minutes in, mentioned president obama, saying that he hasek po exposed

military of cuts and saying that the president, the president has compromised national security secrets. spent a great deal of time talking about that. ron mott on the ground in reno, nevada, with the president who listened to that speech out there. ron, is that what we were expecting from the romney campaign? >> reporter: craig, pretty powerful speech by governor mitt romney today to this vfw crowd that president obama spoke to yesterday. and as you mentioned the president didn't mention him by name, mitt romney certainly took the offense to president obama today with this speech. talking a lot about foreign policy, trying to repair some of the -- what he considers damages that the obama administration has inflicted on u.s. relations overseas particularly with israel. that's where mitt romney's headed here, after he goes to the olympics in london and he'll go to poland as well. but this speech is about whether this is going to matter in november. will people -- will voters around the country care about foreign policy matters come november? i think that's a question that

the romney camp and the obama camp have to ask themselves. president obama obviously has some victories that he can trump, obviously killing bin laden at the number one point on that list. mitt romney's trying to go after him on other chings, china, relations with china, israel, as we mentioned. a very sweeping speech, powerful speech delivered by mitt romney and got some warm applause from the vfw veterans here today. >> ron mott, thank you so much. mitt romney headed to poland and israel. i misspoke, i said the czech republic. i want to dri in andrea mitchell who also heard the speech. that was a wide range -- wide ranging speech there. he did not mention syria at all. >> and in fact, it was a wide-ranging attack on president obama calling him an apologist. yet at the same time mitt romney is yet to be specific, think is the pushback you'll get from the white house, he has not been

specific about what exactly he would do with iran and the sanctions that this president has not done. so he has laid out a contrast but not a specific policy. and i think it's -- he's going to be hard pressed to do that on a foreign policy trip because there is certainly a tradition of not criticizing an incumbent president when you are overseas for an opposition candidate. if he does criticize the president in israel, in london, or in poland on this trip, i think he's going to be criticized for that himself. >> that was a fairly aggressive attack. i don't know if that's what we were expecting from his address at the vfw. stark contrast to what we heard from president obama yesterday before that same group. >> well, one of the things that is very notable, i think, it's hard not being in the room to judge it, i'd like to cover these campaigns by being there and seeing the kron tracontrast appear those attending today were certainly much more fired up about mitt romney than they

had been about president obama. now it could have been a different contingent of veterans of foreign wars. this is a conservative group. this is a group that back in 2001 that dick cheney chose to give that big speech which sort of was the precursor in august of the iraq war, the first hint that we really were going to end up invading iraq. so they're attacking iraq. this is a very conservative foreign policy group, there's no question that they would be predisposed, i think, more towards being in the republican camp than the democratic camp. that said, mitt romney used a lot of charges, you know, accusing the president of beingen apologist, as i say, accusing the white house of leaking and these things that are not rebutted yet by the obama team and wyou'll hear mor rebuttal from the president. >> i'm sure someone's crafting an e-mail right now. andrea mitchell, always a pleasure.

thank you so much. back to presidential politics now. the new nbc news/"wall street journal" poll we mentioned debuts this evening on nightly news. right now, we are getting a new snapshot of which candidate voters are standing with on key issues from the economy to being commander in chief. with a preview, nbc news senior political editor, mark murray. good afternoon to you. >> hey, craig. >> let's start at the top here. let's start with looking out for the middle class. what did the poll find? >> the poll shows that president obama has a 16-point advantage on who is better in looking out for the middle class. this is an area where the white house is completely crafted their economic message. they want to be able to win, see who's better for the middle class while mitt romney might have the advantage on the economy, the democrats and the obama campaign want to own the middle class. >> let's talk about the -- talk about being a good commander in chief. this is an area where the president seems to continue to

enjoy quite the sizable lead. >> craig, it's the way to understand the context of mitt romney's speech today before the vfw, as well as his overseas trip that he's going on for the next week. president obama has an advantage here. he's the incumbent president. he has been commander in chief. mitt romney's trying to cross a threshold, meet a threshold where people are able to say this person could do a good enough job. the challenge for romney is that this -- he will be facing an incumbent president who has done this for the past 3 1/2 years. so that's the way to understand the tough speech that he gave today, as well as his weeklong trip overseas. >> it does help put that speech in perspective and understand the motivation, i suppose. the economy, what voters in this country, we know that's number one issue in every poll we take. what are voters saying about this one? >> it shows mitt romney has a seven-point advantage on this. our poll that we released today on this particular question had six or seven qualities,

characteristics. this was the only one where romney had a clear lead on. but if he had to lead on one, this is the one you want. as i mentioned obama leads on who would do better with the middle class, romney does better on who has better ideas to improve the u.s. economy, something that their campaign will take pride in. >> before i let you get out of here quickly, you are digging through numbers. what struck you most so far about our most recent poll? >> well, craig, i don't want to give away too much. one thing that has been evident in the race for the past month, even longer has been its real negative tone, all of the different tv ads, back and forths that we've been talking about for a while. we'll have numbers that actually show if those attacks have taken a toll on either obama or mitt romney. >> all right. mark murray for us in washington, d.c., thank you. >> thanks. next, senate showdown over the bush era tax cuts, both parties holding out as the white house issues a stern warning. we'll get an update on that.

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civil rights groups in pennsylvania staging a rally at state capitol to protest a new voter i.d. law taking effect this year. the law will require pennsylvania voters to show a government issued photo i.d. before being allowed to vote. recent figures show that the law may affect more than 750,000 pennsylvanians who do not have a driver's license. the primary form of state i.d. that's nearly 10% of the state's 8 million registered voters according to "the philadelphia inquirer." mara schiavocampo joining me from the pennsylvania capitol with more. the rally's still going on behind you. >> reporter: craig, things are winding down a little bit. the crowd has thinned substantially. earlier in the day it was a much

bigger crowd. the buss have started taking people away. the rally here is to protest the new fogt i.d. law you spoke about, the strictest into the country signed into effect earlier this year by the republican governor here. and what it does, it requires vote to show a government-issued photo i.d. before they can vote. now, opponents of this legislation say it's going to disenfranchise voters, keep people from polls and disproportionately affect groups like minorities, the poor, elderly and students, groups that are traditionally supporters of the democratic candidate for president. now there's also a legal challenge to this legislation, the aclu is suing to try to keep it from going into effect prior to the general election for president in november. and what recently came out related to that case, the case starts tomorrow, and there were court documents that came out from earlier this month signed by state officials where the state officials acknowledge that there was no prosecution ever or no investigations of in-person

voter fraud in the state. so people are saying that the allegations that it is designed to combat voter fraud aren't really holding up to scrutiny and it will in fact disenfranchise lots of voters. >> mara schiavocampo from the steps of the capitol in pennsylvania. mara, thank you so much. appreciate that. the senate headed for a showdown vote tomorrow on a democratic plan extend the bush era tax cuts for middle class americans earning less than $250,000. today a debate raged and a competing republican plan to extend the tax cuts due to expire at the end of the year for all americans, including the wealthiest. >> unfortunately republicans are not focused on the 98% we agree on. they are preoccupied with the 2% that we don't. >> the president and his allies are the only ones in the country now going out across the country 15 sway the way to solve this five years of recession and bad

economy that we've experienced is to raise taxes on the people who create millions of jobs. >> meanwhile the white house warned today about the consequences of an unresolved tax stand offwith congress, 114 million americans would see increase of $1600 next year. kelly o'donnell joining me now. another showdown. >> reporter: this is a tough one, craig, because tax cuts and tax rates are a potent political year topic and both sides have strong feelings about this. democrats believe this is a very strong argument for them to talk about the impact for middle class families. republicans would agree middle class families should have that break continue as well but they want to protect the 2% who are the high-end earners because they believe it does result in a change to those who might create jobs. so they don't want to give up the middle class piece without being able to leverage that,

preserving that rate for the high earners. this gets complicated because republicans have a plan as well that would extend for all but it would get rid some of the tax credits that might also affect some of those who are more moderately income families, and that upsets democrats. you've got a fight over whose plan will they vote on what the president wants, what senate democrats want, what senate republicans want. a lot of tangle about this. at the part of it both party as degree this is aissue that matters to voters. sorting it out is where it gets complicated and costly because any tax cut extensions have an impact on the overall budget and that's where it gets tough to figure out what they should do. >> what if the democratic plan does not get the necessary 60 votes to move forward? >> well, one of the things that we hear a lot is tt this could keep moving forward in terms of no resolution and could even possibly go into the new year, meaning everyone's tax increases would come into effect and then

they'd have to pass something new to try to wipe that out. that's a scenario we hear talked about quite a bit from both parties if they can't get an agreement. the moment they are trying to do something before everyone leaves for august break, when many are up for re-election and this would be a big issue on the campaign trail. certainly democrats want to talk about this for the section several days. they believe it is a big issue for them. republicans are taking that small business angle. so it's one of those things where it could not be resolved right away but we'll certainly get a lot of heat in the next 24 hours. >> the house expected to vote on the republican plan next week, correct? >> yes. >> thank you so much. next, in today's "news nation" gut check, jim henson's muppets breaking ties with chick-fil-a after the company comes under fire for denouncing same-sex marriage. as always, you can join "news nation" on facebook, facebook.com/newsnation. [ male announcer ] on august 10th... i derve that vp nod.

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a lot going on today. here are just a few of the things that we thought you should know. a major milestone in the recovery of former arizona congresswoman gabrielle giffords. she and her husband traveled 12,000 feet up into the french alps monday. her first trip outside the united states since being shot at a tucson supermarket january 2011. the uniforms worn by u.s. athletes during future opening and closing ceremonies will be played in the usa part of a new agreement announced by new jersey senator menendez. the agreement came a week after senate democrats unveiled legislation that would force the u.s. olympic committee to adopt made in america standards. all of this, of course, following the uproar over the

current uniforms being made in china. those are a few of the things we thought you should know. time for the "news nation" gut check. the jim henson company, a company of course behind the muppets, is breaking up with the fast-food chain chick-fil-a. the two companies were partners in a kid's meals promotion involving henson toys. at issue, recent comments by chick-fil-a president dan kathy where he openly opposed gay marriage saying it goes against the country's values and biblical principles. the jim henson company posted the follow on facebook, the jim henson company has celebrated and embraced diversity and inclusiveness for over 50 years and we have notified chick-fil-a that we do not wish to partner with them on any future endeavors. meanwhile, lisa henson, ceo, personally a strong supporter of gay marriage and directed us donate the payment we received

from chick-fil-a to glaad. chick-fil-a not respondent to the move but addressed the controversy by saying in part the chick-fil-a culture and service tradition in our restaurant is is to treat every person with honor, dignity, with respect regardless of belief, race, creed, sexual orientation or gender. going forward our intent is to to leave the policy debate over same-sex marriage to the government. tom ma nino saying he will do what he can to prevent the chain from opening a franchise in boston. what does your gut tell you? do you agree with the jim henson's company's decision to cut business ties with chick-fil-a? go to facebook.com/newsnation to vote. take a look at what the "news nation" is saying about yesterday's gut check. this is about the sanctions that the ncaa imposed on penn state, $60 million fine, four-year ban

on postseason bowl appearances, losing 10 football scholarships for four years and vacating penn state's victories from 1998 to 2011. 15% of you said they were too harsh, 50% said not harsh enough, 35% of you said they were just right. they were fully appropriate. that will do it for this edition of "news nation." i'm craig melvin. tune into msnbc all day tomorrow and thursday for olympic coverage of women's soccer. "the cycle" is up next. e-tradey can help make you a better investor. our e-trade 360 investing dashboard shows you where your money is, live. e-trade pro is so usable you'll actually use it. and our apps are the ultimate in mobile investing. become a better investor at e-trade. [ male announcer ] you've reached the age where you don't back down from a challenge. this is the age of knowing how to make things happen.

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suggesting some of russ programmed to be heros. >> i'm krystal ball. back to politics as usual but is the president's team shifting strategy? >> i'm steve kornacki. time for straight talk about guns. a conversation you won't hear anywhere else. >> my thoughts on this moment in history. it's tuesday july 24th and you're in "the cycle." families of the 12 aurora victims are starting the solemn task of planning final farewells. the first funerals expected this weekend. over the past 24 hours four survivors released from local hospitals, 21 of the 58 shot are still hospitalized, 10 in critical condition. also learning more about the suspect's bizarre behavior. we saw him in a days in court yesterday and now reports that when police put evidence bags on his hands to preserve any

gunshot residue, james holmes pretended the bags were puppets. police are searching for a motive and getting help from the fbi behavioral analysis unit. formal charges are coming monday but it will be months before he's arraigned and enters a plea of guilty, not guilty or as most expect not guilty by reason of insanity. we start with nbc's jay gray outside the century theater in aurora. jay, we are learning more about the suspect's bizarre behavior and his booby trapped apartment. what's the latest on both of those? >> reporter: s.e., let's break this down in a couple of ways. first the reaction from people here after that appearance. a lot of them are saying that this is all an ability, that this is building up to, as you have talked about, some insanity plea and it's frustrating for those survivors, those who have lived through this and this community that's been shattered here. a lot of people point to what investigators are finding inside the apa