he's referencing there, the cbo, congressional budget office, came up with late tonight a scoring on the boehner bill and put that up, if we could. cbo estimates the legislation would reduce budget deficits by about 1.1 trillion between 2012 and 2021. that's the first section of the boehner proposal. the second part, which would be done by a joint committee, charles, couldn't be scored because, obviously, you have to kind of hammer out what you're going to cut on entitlements. >> the boehner proposal is a

of his bill which originally was questioned by the nonpartisan congressional budget office, but now cbo says boehner's revised proposal will cut deficits by $917 billion over ten years. that's $66 billion more than the original plan. the new bill is expected to save $22 billion in the year 2012. cbo also reviewed senate majority leader harry reid's proposal saying it would result in greater deficit reduction than boehner's competing plan. the reid proposal would extend the debt ceiling for a longer period of time than boehner's, which calls for a two-step process. something the white house has said it will not accept. an aide for the speaker responded to all this news saying, this report, the cbo report, shows the senate plan for what it is, a grab-bag of gimmicks that gives the president a blank check. many house republicans are still hesitant to back boehner's bill. speaking on laura ingraham's show yesterday, the speaker confirms he had some tough words during a closed door meeting. >> is it true that you told some of the republican members this morning that you need to get your a-wo

first of all, the reason that there's a discrepancy between the boehner plan and the cbo numbers is allter of baseline, we have based ourselves on january numbers, the cbo based theirs on end of march numbers. so the speaker and other members of the leadership are going back to readjust the top line number of how much we will raise the debt ceiling together with the cuts that have been identified. >> so he's not going to change the cuts since these appear to be the first ones in the plan. >> subsequently we would raise the debt ceiling to $850 billion or maybe $900 billion, a little bit less we'll see when they present it to the congress. i think that we're going to come to kind or a decision. when you look at it harry reid's plan and john boehner's plan are not all that different. even before the krrkcbo came ou there seemed to be some forces to try to kill this boehner proposal. >> we have 217 votes at the end of the process. >> i know there's a lot of questions and answers. as people go through it i think they're starting to understand it better. but any time there's a two-step proce

today the cbo said the plan only had $850 billion in savings.ting the bill. so, did that influence your vote, first of all? >> well, i appreciate the fact that the speaker has said all along and i think the republican position has been all along that whatever debt limit increase we talk about, and, of course, you know that the house republicans and house democrats have already passed a bill out of the house that does raise the debt limit, but whichever one we do has to, you know, really cut more money than we -- than we raise the debt limit by and i think in their initial numbers, this bill would have done that by a marginal amount. but we don't do anything here in washington without cbo scoring it and as you said it came in 850 and it's under the trillion dollars in cuts they needed. at least we have a bill here. unfortunately, as you know, the white house has yet to give us anything in writing that we can try to compare this against to see whether this is good, better, or worse than the white house is presenting us with. we have nothing from t

we feel comfortable with the score that we got from cbo.re are a number of questions with that to extend the debt for the time that we need. we need $2.4 trillion. also understand that with cbo we always give them something to look at. and rarely do -- the first run through what we wind up with. for us to arrive at $2.4 is fairly easy to do. it's what we called tweaking it. it can be done fairly easily. we'll continue to add savings to increase the number of total savings if necessary. and we're confident the final bill will meet our bottom line raising our debt ceiling through the end of 2012. the bottom line though is this, there's only one bill in congress that is a true compromise. we're running out of time. it's time to get serious about finding that compromise. >> thank you, senator reid. speaker boehner spoke to the american people on monday night with the president. he said he had a plan. the next day, tuesday, his plan was downgraded. downgraded by the ratings agencies that said a short-term extension of the debt will endanger the

it did not go back to cbo for gimmickry and it did not come back from cbo with a score that folks want it. it just came back from cbo with a score that it got. at it went through one time under a january baseline, one time under march baseline and we just got what we got. we got will be what we got and in fact it went the other direction. i mean it went that direction. i ordered it to go the other way. i don't want anybody to take what has happened here and say this is an example of what not to do. i want to tell you as someone who is new to the institution this is an example of what to do and that partisan nonsense you describe continued to go on? i suspect it will display both of our protest that i don't think that is what happened here today and i'd be happy to yield to my friend. >> my objection with this process is that you brought this bill before the rules committee yesterday and then we have an amendment here today and nobody can tell me what programs would be impacted, what the human cost is. let me finish. when i'm finished. i mean, i think that this is more than just about y

we have cbo people standing up against the pressure from fannie mae. other -- there are other people who saw what was coming. people in the georgia area, first to wave the flag and call out the rating agencies for inserting themselves in a process where jazz had the toughest predatory lending law in the country, but the ratings agencies walked in and said we will not rate any securities that contain georgia loans and so all of that predatory lending law had to be gutted because the ratings agencies said they would not rate those lopes so we had people along the way who were jumping up and down and warning so there's heros in the book i'm glad to say. >> thank you. >> you make a strong case for the central role of housing policy and the behavior of the gse's as factors in the buildup to the crisis, but i've never been able to understand how housing policy leads private investment banks to go bankrupt. it seems to me that when bear and lehman went bankrupt that it seemed like there was a lot of mere incompetence or possible malfeasance who contributed to

cbo, 400 billion-dollar program. it came in 41% below the cost projections, below the cbo projections which were 400 billion versus the cms $700 billion projection. so i want to ask you basically this. if you had to do it over again, because at that time there was a defeat the republicans and democrats about how to do the program, the republican view prevailed at that time and which was to have medicare certify private plans to offer drug benefits to seniors and each year they get to choose among competing plans for their benefit, and that the choice and competition according to your actuary accounts for 85% of the cost reductions or the savings from the projection. if you have to do it all over again, would you strip the part deprograms the way that it's designed today and would you have gone with the original point of view that it should just be one program run by medicare and not one of competing plans. >> mr. chairman, i don't know that i can answer that question. i think there were a few feeble smalls but i cert

the cbo s can do something and the police. i worked so hard with that parent and inspectors. not a single person has mentioned parent. how can we make them accountable. >> i just needed to put that the word parent out there. we need to make more accountability. most of the kids are reacting. my kid, has severe ptsd. unless we can heal the wounds. it's not just on the streets of sunnydale. >> yes. the family, what makes up a family, parents children. ultimately, we have to also deal with our families who have their children who are placed with these acronyms over their head that follows them all through their lives. when working with the child. not only are we working with the families and their friends and the places they go before they get home. so the ultimate thing is building that family unit. i was going to run to that. life goes on. we all have a duty not just to the child. but to the family. because the child comes from a family and most the children that we're working with. the families are broken. the homes are broken. so they lived through this years and years. the

the cbo score shows that the cuts congress promise do not exist. reid's plan is half a trillion off, whatever that means, boehner's plan, $350 billion short, working its way to half a trillion, does any of it matter when there's not enough support to get either bill through, and when you consider the fact that the whole thing is a made-up political event, basically preventing usç from the real conversation about job creation and structure in the banks and tax code that could create prosperity, we are left with little more than pro wrestling, which actually rates well, it actually doesn't just get us anywhere. nbc's luke russert starts us off with the latest. >> reporter: around around around they go, where it stops, nobody knows, you're alluding to the fuzzy math. let's start off with the harry reid plan the cbo scored it as 2.2 trillion. they're still going to present that plan, not so much on the other side, the republican plan by john boehner promised over 1.2 trillion in cuts. that number was scored by the cbo at $850 billion, about $350 billi

it came in 41% below cbo projections verses the cms projection. if you had to do this over again, because at the time, there was debate about how to do the drug program. the republican view prevailed at that time which was to have a medicare certify private plans to offer drug benefits to seniors and each year they can choose among competing plans for their benefit. that act of choice and competition, according to your actuary, accounts for the 5% of the cost reductions or the savings from the projection. if you had to do it all over again, would you scrap the part d program and gone with the original point of view that it should be one program run by medicare and not competing plans? >> i do not know that i can answer that question. there were a few fatal flaws in part d that i would change, one being the design, so that the seniors who got the most prescriptions fell into a coverage gap but. the reason that medicare is becoming less solvent is that we have a huge unfunded liability. >> you are stuck with multiple plans that people can choose fro

host: and that would have to be score bid the cbo. guest: they may have to forego that because the cbo scoring could take a long time. so that is probably what you are going to get is some unofficial estimate because they're going to have to pass something before august 2. so while reid and obama have said we're not going to pass short-term increase, you know, i tend to think that they are going to have to end up doing something like that at the end of the day because there's not enough time. host: would that be subject to also being on the internet for three days so the -- guest: of course that was one of the big pledges that the republicans came in on. they have haven't always lived up to that and it's far from clear whether there will be enough time to live up to that now. host: thanks for waiting. steve, democrat's line. guest: caller: thank you. republicans say that america has the highest corporate tax rate or one of the highest corporate tax rates and yet general electric i think made billions and paid zero corporate income tax

so it's a matter of coordinating the court's with with the cbo mediation. so have you a problem of lack of coordination where you have some great programs but they are not supported by the court. juvenile probation. they do need to work together that is respected and used by all the agencies. otherwise students don't believe in these. in the school district doesn't follow or adhere to the outcome. >> thank you. questions? >> i go to civic center secondary school. i was wondering what quality sources do have you for young women? >> we have the wellness center that provides a lot of youth lines and they also provide you with girl's group. i know we have mission's group. there were 4 girls for different ages of girls. they taught us about pregnancy and birth controls and a lot of stuff like that. so the wellness center is something that helps >> at the middle school level, we have safe passage centers. we have all kinds of different community groups coming in to help us with interest around stopping violence, helping kids feel better about themselves and their

it scored by the cbo?e a plan, when we had a normal budget with amendments, we did havexkykydq amendments and we did have a plan. that's what we're talking about. this is a backroom deal strung hc)j @&hc% to vote it up orrkv down, but fact is we're only offsetting tax cuts from december, $400 billion a year tax cuts and now we're having about a -- that's $4 c4qÑtrillion, we're having a trillion dollars in cuts out in tax cuts. many went to millionaires, oid what we're doing -- >> jet owners. the jet owners. which the president put in the caps ifto2s& read and noticed the caps, these are not cuts. these are cuts to these. will actually be cut, and if you fall for a cap, when you get down later a couple of months down the line and find out that k"ñ grantskd&94 inspectors and fbi agents and community health centers, then you'll find out later on what's going to get cut. you just put a cap, everybody ! dtqi ut need to getqht debt ce out of the way. there's never been an obligation to come to a deal before y

we don't score speeches when i thought the cbo was saying mr. president you're not doing your work. i thought that was the worst indictment of his performance. >> that was devastating. >> greta: i thought devastating. >> cbo is nonpartisan. but the white house says hates a plan. i've not seen a plan. and ed henry hasn't seen a plan. he keeps asking for it. and every time he gets insulted. >> i just want to point out one other thing. in 1995 we shut down the government. i remember turning people away from grand canyon. people were up in arms. one, we shouldn't shut down the government and shouldn't do that to the american people. two, this country should not default on its detectives. and to somehow say that well, we can prioritize and we can pay this bill and ma that bill, reality is that if you don't have 40% of the nonpay debts something is going happen that is bad. markets, i'm afraid, i'm very much afraid, i hope not, may react in a very unpleasant fashion. >> greta: i'm curious. and did president clinton handle it better than president obam

we don't score speeches when i thought the cbo was saying mr. president you're not doing your work. i thought that was the worst indictment of his performance. >> that was devastating. >> greta: i thought devastating. >> cbo is nonpartisan. but the white house says hates a plan. i've not seen a plan. and ed henry hasn't seen a plan. he keeps asking for it. and every time he gets insulted. >> i just want to point out one other thing. in 1995 we shut down the government. i remember turning people away from grand canyon. people were up in arms. one, we shouldn't shut down the government and shouldn't do that to the american people. two, this country should not default on its detectives. and to somehow say that well, we can prioritize and we can pay this bill and ma that bill, reality is that if you don't have 40% of the nonpay debts something is going happen that is bad. markets, i'm afraid, i'm very much afraid, i hope not, may react in a very unpleasant fashion. >> greta: i'm curious. and did president clinton handle it better than president obam

in april he offered another plan that was so fuzzy the head of the cbo said we don't estimate speeches. meanwhile, mr. secretary, republicans have offered several specific plans to deal with the national debt. >> plans that would devastate the economy. devastate the country. >> chris: in your opinion. they at least had a plan. ryan plan, cut, cap and balance. >> they did. >> chris: you guys have had no plan. >> that's not fair. in april the president of the united states put out framework 4 trillion in deficit reduction over the same period of time. >> chris: the cbo director said was so fuzzy he couldn't score it? >> he has been spending every week since then togetheriating with republican leaders and democratic leaders on a framework that can pass and work. >> chris: why have had you no plan. >> chris, it's not fair. i know the republican leadership says that it's just not true. >> chris: the cbo the head of the nonpartisan congressional budget office says we can't score a speech. >> let's do it your way, okay? the republican plan that passed the house of representatives. and republi

we don't score speeches when i thought the cbo was saying mr. president you're not doing your work. i thought that was the worst indictment of his performance. >> that was devastating. >> greta: i thought devastating. >> cbo is nonpartisan. but the white house says hates a plan. i've not seen a plan. and ed henry hasn't seen a plan. he keeps asking for it. and every time he gets insulted. >> i just want to point out one other thing. in 1995 we shut down the government. i remember turning people away from grand canyon. people were up in arms. one, we shouldn't shut down the government and shouldn't do that to the american people. two, this country should not default on its detectives. and to somehow say that well, we can prioritize and we can pay this bill and ma that bill, reality is that if you don't have 40% of the nonpay debts something is going happen that is bad. markets, i'm afraid, i'm very much afraid, i hope not, may react in a very unpleasant fashion. >> greta: i'm curious. and did president clinton handle it better than president obam

cbo examined two scenarios.nder scenario one, cbo assumes the number of deployed service members drops to 30,000 by 2013 and remains there through 2020. in addition, vha health care expenditures per enrollee wrote about the same rate of the national averages. under this scenario, vha retreat 1.3 million veterans at least once before the end of the decade. the annual cost for care would nearly triple over the decade, rising from 1.9 billion in 2010 to roughly 5.5 billion in 2020, for a tenure total of 40 billion. the largest growth would occur early in the projection. due to a large influx of new enrollees. because cocoa patients are less expensive to treat than the average vha patient, they would consume 80% in 2020. for scenario to come cbo assumes number of service members deployed drops to 60,000 in 2015 and remains there. in addition, cbo assumes vha expenditures per enrollee grow at an annual rate that is about 30% higher than in scenario one. under scenario to come at a cost to treat veterans in 2020 is mo

he came out with a speech which the cbo tells us they can't score a speech. so we really haven't had any credible alternatives from the over side of the aisle on how to achieve this. >> gene spurling just said if the president does not want to raise taxes on the middle class. a lot of people are criticizing the republicans for just taking too hard a line on these negotiations. >> so here is the problem, maria. look at what current law already does. the top tax rate, which is what most small businesses pay, locs, the effective tax rate under current law because of president obama goes up 44.8%. so if you're living in a state like wisconsin, you throw state income tax on that, we are taxing our small businesses at over 50% in 2013. that's already coming in current law. 50% of americans get their jobs from these kinds of small businesses. one in four americans get their jobs from chapter s corporations alone. and we're already bringing their tax rate to about 45%. and that's already occurring. and what president obama wants to do is raise it even higher than tha

we don't score speeches when i thought the cbo was saying mr. doing your work. i thought that was the worst indictment of his performance. >> that was devastating. >> greta: i thought devastating. >> cbo is nonpartisan. but the white house says hates a plan. i've not seen a plan. and ed henry hasn't seen a plan. he keeps asking for it. and every time he gets insulted. >> i just want to point out one other thing. in 1995 we shut down the government. i remember turning people away from grand canyon. people were up in arms. one, we shouldn't shut down the government and shouldn't do that to the american people. two, this country should not default on its detectives. and to somehow say that well, we can prioritize and we can pay this bill and ma that bill, reality is that if you don't have 40% of the nonpay debts something is going happen that is bad. markets, i'm afraid, i'm very much afraid, i hope not, may react in a very unpleasant fashion. >> greta: i'm curious. and did president clinton handle it better than president obama? >> he was more eng

we don't score speeches when i thought the cbo was saying mr.'re not doing your work. i thought that was the worst indictment of his performance. >> that was devastating. >> greta: i thought devastating. >> cbo is nonpartisan. but the white house says hates a plan. i've not seen a plan. and ed henry hasn't seen a plan. he keeps asking for it. and every time he gets insulted. >> i just want to point out one other thing. in 1995 we shut down the government. i remember turning people away from grand canyon. people were up in arms. one, we shouldn't shut down the government and shouldn't do that to the american people. two, this country should not default on its detectives. and to somehow say that well, we can prioritize and we can pay this bill and ma that bill, reality is that if you don't have 40% of the nonpay debts something is going happen that is bad. markets, i'm afraid, i'm very much afraid, i hope not, may react in a very unpleasant fashion. >> greta: i'm curious. and did president clinton handle it better than president obama? >> he was m

he did improve it today with the cbo. why should he try any more?e president come up with a plan. >> at the top of the?n8 segment you asked can we afford four more years? the answer is absolutely not. the point we are at at this point with our aa rating now obviously at risk. it is likely we could be downgraded -- >> sean: we already had been. >> s&p is already looking at us. >> sean: s&p is saying within three months. >> you are going to start to see credit card rates going up, mortgage, auto loans going up. just across the board. those tax cuts -- i'm sorry the tax moves they made for obamacare are not kicking in until 2013 and '14 it is not even remotely done. >> sean: he caused this problem in every way imagineable. now the question is, politically what is the wise move for the republicans, for conservatives? i say at this point, hold the line. if they have to go very short term dollar for dollar, make it a month, two months. then push connie mack's penny plan keep passing it hand it off to the president and and let them default. >> the republic

i think the cbo has joined in on that. they said he said a plan was given at a speech at george washington university. they said they don't score a speech. the white house says they have some sort of outline, i'm not sure what that is. in the house, with speaker boehner, he says he does have a plan but he has two problems. he was apparently overly optimistic about the cuts. that's a big problem. number two, he has 90 something new freshmen republicans who don't want to go along with him unless there's a balanced budget amendment in it. he has a rob lem internal lip. not -- he has a problem internally, so now what? >> he's got a problem internally because he didn't have to reinvent any wheel here. i do respect speaker boehner's effort trying to negotiate with joel low as he characterizes negotiating with president obama. the internal problem he has is reventing the wheel in the 11th hour when we had cut, cap and balance that passed the house. we don't need to retreat and wave the white flag because the senate is saying they

that after the cbo scored it and found the savings were just not there.r had anticipated would be there. so, keep in mind, boehner has said all along, that any savings must be equal to or greater than any increase in the debt ceiling, so, it just didn't pass muster. so, it is back to the drawing board today and the house rules committee will meet today at noon, to formulate the rules for debate and a vote on the revised boehner plan which we expect tomorrow, now, having said that, even before the cbo scored the boehner plan, it was being excoriated by senate majority leader harry reid at the ohio caucus today, who says was dead on arrival in the senate. >> speaker boehner's plan is not a compromise. it was written for the tea party. not the american people. democrats will not vote for it. democrats will not vote for it, democrats will not vote for it. it is dead on arrival in the senate. >> reporter: if boehner didn't face enough problems, on the senate side, he faces every bit the same kind of obstacles within his own caucus and needs 217 votes, and can

these are real savings that cbo scores at about $1 trillion. we know that some republicans will quibble over these savings but they have no leg to stand on. but wars are the second biggest policy driver of our deficits after the bush tax cut for the conduct and the worst ads to our debt, to is undeniable that winding down the war's delivers savings. the administration tells us with the wind down, they can't prosecute -- they can count on billions of dollars over the next decade the cbo count $1.67 trillion. we know the republicans agree theythis mstath because included the same settings in the ryan budget that passed the house. they never criticized that accounting and it is hard to see how they could do so now. lastly, senator reid's proposal allows for a joint committee that has the potential to achieve deeper savings down the road. all in all, this is an offer that republicans cannot refuse. all of the cuts in center repots proposal have been supported at one point or another by republicans. if they refuse this offer, it is simply that they

. >> and then it got worse after an analysis by the cbo. the non-partisan congressional budget office says the proposed cuts are only $850 billion, thus failing to meet a key demand by conservatives to match spending cuts to the debt limit increase. now the bickering among republicans has increased, and speaker boehner is busy revising the details. meanwhile, the cbo says senator harry reid's plan may also fall somewhat short of its claim saving 2.2 trillion, not $2.7 trillion, but still almost triple the savings being offered by the speaker. the revelation inspired a fresh offensive with senator chuck schumer scolding republicans for using a cops and robbers film to motivate members and majority leader harry reid criticizing the speaker for allowing the tea party to holdç compromise hostage. >> nobody believes that the boehner problem is anything more than a big wet kiss to the right wing, and -- and i mean the tea party. that's who i mean. it's too bad his caucus is being run by such a small number of people. >> what will happen between

he's getting screwed here, the cbo makes two comparisons in the study.f you look at them, it's $1.1 trillion. if you look at the march, 2011, it's $850 billion. the white house came out and said boehner's plan is $1.1 trillion in savings. they want harry reid's plan to have the same savings. i agree with you 100%, there's no -- >> let me say this, joe. in reality, i admire the tea party. they don't want a phony deal. they are serious about cuts and the boehner thing doesn't make the real cuts. i think boehner has to move to them in serious cuts and get it done with the united caucus behind them. republicans have their plan and move it to harry reid, then you have a vehicle to work with back and forth. >> by the way, harry reed, mitch mcconnell and john boehner are trying to work together to divert a catastrophe. michael steele, you can admire what the tea party members are doing in the house of representatives. they are small government conservatives. i'm excited about that. but we are a week away from a catastrophic debate. anybody that doesn't believe

according to the speaker's office, they just put on their website, new analysis from the cbo on this to plan saying the spending cuts are greater than the debt hike now, cut and cap spending by $917 billion over 10 years, more than the $900 billion debt hike, cutting $22 billion in the spending year fy-2012. there are more details here. we will get with them and check all of that out with the panel in just a bit. if there was ever any optimism about a smooth ending to the debt limit debate it seems to have evaporated. chief white house correspondent ed henry is here with the latest administration warnings. good evening, ed. >> good evening, bret. wall street analysts keep saying the government has more cash than expected and can make it past the august 2nd deadline and keep going, but actually the treasury department today said that tax receipts in june and july were normal, so next tuesday the government hits the wall. white house spokesman jay carney are scoffed at suggestions the august 2nd deadline is artificial and warned the country to brace too the worse. >> that deadline is h

second, cbo would actually score this as a $1.5 trillion tax cut compared to current law. third, we eliminate the alternative minimum tax at a cost of $1.7 trillion, which is paid for. i don't consider that a tax increase at all. it is reducing taxes that would otherwise fall increasingly on the middle class, in fact, tens of millions of people would be caught up in the alternative minimum tax if this provision is not passed. >> i want to read eric cantor's reaction. i am concerned with the target, the plan fails to significantly address the largest drivers of america's debt and it's unclear how they'd be enforced. i continue to caution a tax increase is the wrong policy to pursue with so many americans out of work. he does take any form of tax revenue increase to be what he calls a tax increase, so what is it, senator, that you think you can, if you can talk to eric cantor directly about this, what would you tell him about this that's different from what he's heard in the white house about tax revenue increases? >> again, first of all, we're not increasing tax rates, we'r

the cbo has said it loud and clear and definitively. and interestingly, governor romney in january of '09 on cnn and december of '08 on "meet the press" said he was in favor of stimulus spending. not surprising, is it? >> well, flip flopping has been a long habit of his, i think. >> not surprising. >> ed rendell, thank you for your time tonight. let's bring in a staff representative of the united steelworkers, steve raisley. mitt romney says the allentown metal works is a symbol of barack obama's failed kbl ee ee pollys. what do you make of think? >> failed economic policies, but not president obama's. his predecessor. the economy for years had been going south and it hurt not only this manufacturing plant, but its customers, sup pliepers and everybody else. >> really? well, romney makes it sound like bush economics had nothing to do with hurting a plant like allentown. what do you say to that? >> bush economics had a lot to do with that. not only economics, but failed foreign policy agreements we've reached with various foreign countri

he screwed that up a little bit and the cbo brought him up short. now he's probably going to adjust that. but i think all of the other things that the republicans want in this package, the balanced budget amendment, the cap on future spending are all good and important, but i think they're essentially window dressing, the most important thing is the cuts exceed the borrowing. >> all right. dick, stay right there. we have more to talk to you about as we talk more about the debt crisis and the far reaching ramifications. and he'll stick around to talk about that will dick morris. they also say that president obama is so far to the left that he needs a primary challenge. we talked about a republican challenge but what about a challenge to president obama's left? we'll get more with dick morris. then atheists want to ban the cross made of steel from ground zero. can that possibly be the case? could they possibly win this argument? we're gonna report. you decide. >> the military flag at walter reed medical center in washington, d.c. will be retired later

as cbo said by 15 to 20%. the only way that my contract to insurance company can lower everybody else is if i've made a bad deal with the company. really the government is telling me the subset, we can require the buy class to subdice -- subsidize health insurance? >> do you agree if i went into a hospital i'd have to buy health insurance? >> that's exactly right. and the government says -- >> that's right. they could do that. you agree with that. you are talking about temporal issue. two months in advance or at the time of consumption. is that correct? >> couldn't agree me. >> okay. it's down to a temporal issue. >> let's talk about that. every 22-year-old is going to enter the job market in the future. there's all kinds of restrictions that you can impose on employees to contribute to pensions and things like that. the only different requiring employees and requires college students to contribute to 401(k) is temporal. the real difference is the employee have entered the labor market and the students have no

no cbo scoring of this, and even the broad outlines that i have read say these cuts will come from this department and that department but they are unnamed. the actual spending cuts come later. >> it's false. it's cuts against the baseline. the baseline is going up $9 trillion in debt ore the next ten years. if they cut 3 trillion that means they are still going to add $6 trillion in debt over the next ten years. it is not a balanced budget. it is not something that i think our country can live with. we cannot add $6 trillion more over the next ten years and sustain that kind of debt. >> we are at 100 percent of gdp at that particular point. the political point here is this, you know the house did its job twice. they have taken a lot of political heat for house republicans. they deserve a lot of credit. their bills are responsible. it deals with the short term problem, seniors will get taken care of, the debt ceiling is taken care of, the debt is paid -- we begin with the process of dealing funds fundamentally with the problems. on the day they are voting we have undermining by some of

have somebody at their side all the time to help with the needs of the student and the principle and cbo get up and meet every morning. they were total partners in making this a community school. then i will be through. i had the opportunity to go to another school at 9 o'clock at night where i thought it was going to be closed. i walk into the school in upper manhattan and it is lit up like a christmas tree. we have to light up every school. it changed the whole neighborhood. it was a beacon of wonderfulness. it was full of activity. of young people. parents. esl. everything. i got so excited about the potential could be. and it changed the neighborhood and young people. if you want to talk about safety. i think we can make a joint commitment to this philosophy and start making it happen in san francisco. >> i really, i completely agree with margaret. when you look at this list, the reason some schools have this is because those schools go out and hustle funds. we are blessed because d.c. yf. we have the city that helps us. we have prop h. but the reality, the bottom route is our state

. >> we had the cbo give us the most recent estimate, we are cutting $917 billion in spending. the deficit goes down $22 billion next year. should as much as i want? no. but it does cap spending. >> for how long? >> 10 years. >> all right. >> it's discretionary spending, all government agencies. we put legal statutory caps on it with a cut to kick in and we have a super majority vote threshold to prevent that cut from happening, meaning we protect the caps with the super majority protection to make sure the caps stay in place. >> meaning the next congress doesn't come along -- >> so it takes a super majority to violate these caps that we are setting into law. the last time we had legally binding caps in the 1990s, they stuck for a good while and we got spending cuts. >> for a good while. >> they replaced it with pay go. >> a lot of americans want a balanced budget amendment because they hear, it sticks for a while. >> i think that's right. >> that's what is so distressing is that the idea -- i guess washington doesn't have a huge track record with americans, a lot of these deci

this is what the cbo has recommended and we followed terrifies. thank you. -- their advice.ext, live, your calls and comments on "washington journal." at noon, live coverage of the house of representatives as they continue work on debt ceiling legislation. >> if you're asking me to try to be direct with you about the political situation, i am not going to be predictable in terms of saying, the left is always right, or the right is always wrong. i will tie -- try to tell you what i honestly think. we may have points of disagreement but i will try to give you my honest assessment of what is taking place. >> sunday, juan willians on the controversial, that led to his firing from national public radio. radio. his