john paul dejoria is on late they are hour. never makes negative comments. most optimistic person i ever met. on other side of things, simon constable. good to see you. >> cheers. connell: happy new year. >> merry christmas. connell: in midst of all that. latest developments, putting financial backing into the political punch. billionaire venture capitalist tim draper talking about this last week, taking his radical idea for breaking up california to the public today. he says now is the time too break up the golden state into six new states, drawn up from within the current boundaries of california. he has a news conference this afternoon on the plan. he talked to us at fox business first about his idea. >> it is very difficult to govern this state. we have the farmers in the central valley. we have the entrepreneurs in the silicon valley. we have hollywood group and military suppliers down in southern california. they're all, they have all have separate interests and separate needs. it is different for one group in sacramento to serve all the needs. connell

dagen: thank you, jp, john paul dejoria. take care. connell: backkto jeff flock in detroit. waiting for official ruling from the judge there on whether the city would be eligible to move forward in bankruptcy court. that ruling is now in and jeff joins us. >> it is now official, connell, indeed the judge has ruled detroit is officially eligible for bankruptcy. that seemed a foregone conclusion based on his earlier ruling, but that is your headline at the moment so this bankruptcy now officially becomes largest bankruptcy in u.s. history, $18 billion. but your headline remains the fact the judge has ruled not only the bankruptcy is legitimate, but in fact the city may reduce, may now, emphasis on may, may reduce pensions on workers. first time a federal judge has ever issued ruling in contravention of michigan constitution which says you cannot reduce pensions, but that is the way it has come down, federal law trumping state constitution. i am looking over my shoulder because we have attorneys coming down. we will get back to you when we get the attorneys out. a lawyer repres