joining me now is north dakota senator kent conrad, and a member, leader of the gang of six. senator, thank you very much for joining me tonight. what is in the latest version of your so-called gang of six plan? >> larry, it's a comprehensive plan, fundamental tax reform, reform the entitlements, cut spending both non-defense and defense in significant ways. have about $4 trillion of deficit and debt reduction over ten years. we've got revenue through actually broadening the tax base and reducing tax rates to make america more competitive. we've got very significant spending reductions in both non-defense and defense, and mandatory programs as well, a reform of the entitlements, including addressing the looming insolven si of social security, not by using social security for deficit reduction, but by using all of the savings of social security to secure its long-term viability and strength. >> senator, i just want to cover three points in what will be the most contentious points in the plan. one is what you do with medicare, what you do with social security, and the other wha

joining me now, democratic senator from north dakota and budget committee chairman, senator kent conrad, thanks for joining me tonight, lawrence. the house has sent this bill over, harry reid is trying to take quick action on it. i just got word on my blackberry harry reid is trying to schedule votes to get through this. can you tell us what the state of play is in the senate right now. >> the vote has just started on the move to end the boehner proposal in the senate and the boehner proposal will lose. i mean, it never had any prospects in the senate, which the speaker certainly knew. perhaps more extraordinary, lawrence, the minority leader just told the majority leader that he will not negotiate with him. that is really quite extraordinary. the republican leader, mcconnell, has told the majority leader reid that he will not negotiate with him. he'll only negotiate with the president. i've been here 25 years, i have never heard anything like that. lawrence, you were here in a key staff position on the key committee in the united states senate. i don't know if you have ever heard in al

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kent conrad is the chairman and a member and leader of the gang of six. what is in the latest version of your so-called gang of six plan? it's a comprehensive plan and fundamental tax reform. reform the entitlements and cut spending with nondefense and defense in significant ways. have about $4 trillion of deficit and debt reduction over 10 years. we have revenue through actually broadening the tax base and reducing rates to make america more competitive and significant spending reductions in both nondefense and defense. mandatory programs as well or reform of the entitlements including addressing the looming social security. not by using savings from social security for deficit reduction, but by using all of the savings from social security to secure its long-term viability and strength. >> i want to cover three points in this most contentious points. one is what you do with medicare and social security and the other, what you do on taxation. let's go through the things that democrats would worry about. what do you do in terms of adjustments to medicare?

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shame on them. >> senator kent conrad, we have to leave it there. thank you very much. >> thank you. >> so what would $3 trillion in savings mean to the nation's economic future? we have the president of the committee for the responsible federal budget and joins us now from new york. thanks so much for joining us. you've heard this debate so far. your response to what grover norquist is saying in "the new york times" and to me this morning? >> i think it's so clear if we're going to put together a package that's going to deal with the overall major debt situation that we're facing in this country, we have to look at everything in the budget. . what kent conrad and the gang of six said what he's looking at is done and the simpson commission has done has showed that there are ways to put everything on the table including defense, health care, social security and revenues and do them in ways that are smart to it helped economic growth at the same time as we deal with our deficit and debt situation. if you take major parts of the budget off the table, t

one democratic senator kent conrad with me now. just out of that meeting.orning to you. i want to put specifics for -- these are just broad strokes about your plan, reduce the tkeuf set 3.7 trillion over ten years, reduce the cost of medicare and medicaid over ten years. increase revenue by a trillion dollars over that same decade. again that is just a broad outline. why are people running toward this idea all of this sudden? >> i think because they know that we have got to address the debt threat. we are borrowing 40 cents of every dollar as we spend as a country. our gross debt it a hundred percent of our gross domestic product. most say when you reach a debt of that level you reach the danger zone that puts at risk your future effect growth. and this is a bi-partisan plan, three democrats, three republicans. it builds on the plan of a fiscal commission. so it's the only bi-partisan plan that has come from anywhere, and it really does get us in a position to deal with our long-term debt problem. bill: and they are very long too. the commission you talked

and we get the perspective of two senate members of the bipartisan "gang of 6"-- democrat kent conrad and republican saxby chambliss. >> brown: then, in his final report from indonesia, ray suarez looks at efforts to combat rising food prices and malnutrition. >> a really smart pilot project in this jakarta neighborhood is giving families a way to make sure their youngest children are getting properly nourished. >> woodruff: we examine what's behind the borders bookstore bankruptcy as the chain prepares to shutter most of its nearly 400 outlets. >> brown: we continue our collaboration with "the economist" to highlight the art of filmmaking. tonight, one family's harrowing battle to keep their land in zimbabwe, despite brutal intimidation. >> woodruff: and margaret warner talks to journalist and author robin wright about her new book chronicling the rage and rebellion of the arab spring. >> there's no question that this is the greatest wave of empowerment in the 21st century, but it also faces the same obstacles that change did elsewhere in the world. >> brown: that's all ahead on toni

that is the budget committee chairman kent conrad speaking right now.ments from the house minority leader, nancy pelosi. that should start anytime, and then in just a couple of minutes house speaker john boehner will speak, and as soon as that happens, we will bring it to you live. bill: a lot of moving parts, huh? here's one more for you, too, it runs on plain old gasoline, you park it in many your garage. but when you're ready to put the pedal to the metal, this baby literally sprouts wings and flies. finally getting a green light for takeoff on the open road, and that is a flying car. carl dietrich's the ceo of terra fusion. good morning to you by way of skype up there in boston. how you doing? >> i'm doing great, bill. thanks for having me back. bill: we first met two years ago, and you brought your plane to our plaza here in midtown manhattan, and you said this is going to work. and finally it did. have you sold any? >> well, we have got orders for almost 100 aircraft at this point, so the backlog has been growing. it's really an exciting time for

we'll go behind the scenes with two members of the gang of six, senators kent conrad and mark warner.gressman barney frank on what he thinks of the deal. and today's historic move towards ending don't ask, don't tell. >>> we talk to kristin davis joining us about the tragedy unfolding in the horn of africa. ten million people starve manager the word's worst food crisis in years. we'll see you in 15 minutes on "andrea mitchell reports." >>> michele bachmann surged to the head of the presidential pack could be running into some potential road blocks. today an influential republican fundraiser gave her a thumbs down. he said bachmann just doesn't have the executive experience to be president. earlier this week bachmann faced questions about her physical fitness for the office. the daily caller reports she suffers from possibly debilitating migraines. bachmann's team responded with a note from the congressional held team clipping her fit. >> i'd like to be abundantly clear, my ability to function effectively will not effect my ability to serve as commander in chief. >> in this week's "tim

joining me is senator kent conrad to talk about the deal. senator, welcome. >> good to be with you, ezra. >> this is the reid/mcconnell deal and not just the mcdonnell deal, and billed by republicans and democrats alike, so what do the democrats see in it? >> i think that about the only thing that anyone can see in it that is positive is averting the catastrophe that would come to the country if we did not extend the debt ceiling and if we fail to meet the obligations and fail to pay our bills, interest rates would spike, and markets would crash, and the economy would flounder. we would be in a very serious situation going forward. so, about the only good thing that it does is to avert that kind of catastrophe. >> but then, what is -- and i agree with you completely on the size and the seriously of the catastrophe of not raising the debt ceiling, but as we look forward to the negotiations of the potential 10-man or 12-man committee that is going to end up deciding the next bargain, aren't they worried that the republicans will pocket the spe

you've got harry reid who is using in particular kent conrad, president of the senate chairman committee, doing a lot of negotiating, trying to find enough republicans, seeing what it would take amendment-wise to make his bill good enough to get the 60 votes. and then you have, of course, what senator mcconnell, the republican leader and vice president biden have been talking about. they've talked at least four times on the phone since i think 3:00 this afternoon, and probably a couple more times since. so the chatter that you're hearing among some inside the senate is that we could be hearing a potential delay simply in the reid vote. not pulling it off the floor, doing any of that, but since there is so much -- so many moving parts in different talks, the question is, do you send the senate home? do you let them get a good night's sleep, and then do you bring them back? you could make an argument that if he's looking to score a few brownie points and harry reid's trying to find a few more republicans to bring over, letting them get a good night's sleep might actually help his cause, no

we just heard on capitol hill from the senate budget committee chairman kent conrad he said significanthad been made today. harry roid said i hope a deal can be reached tomorrow. very important the senate postponed the vote. all eyes were going to be watching a vote on the reid plan in the senate that was expected to fail. that's now been pushed 12 hours and democratic and republican sources telling me, don, that this could be a sign that it would allow reid to add some changes into his bill that could be based off of some sort of deal that couldn't -- that can be struck and just a reminder, the clock's still ticking towards that august 2nd deadline at midnight when the u.s. would become, according to the treasury department, at risk of default if congress doesn't increase the debt ceiling. >> brianna, thank you very much. cnn is dedicated to providing you with up to the minute coverage of the debt crisis. and tomorrow night bringing you a special report beginning at 9:00 eastern, wolf blitzer and i will break down the hurdles and options. get it done. countdown to debt crisis airs tomo

senators, saxby chambliss, tom coburn and mike crapo, and three democratic senators, dick durbin, kent conrad, and mark warner. everyone said the gang of six was dead. what happened? >> well, listen, our reports of our demise were greatly exaggerated. >> reporter: but they'll have a sales job to do in the house of representatives, where the plan is being met with more skepticism. >> i think most members are reserving judgment. >> reporter: liberals don't like the plan's $500 billion in cuts to health programs for the poor and retirees. plus $243 billion in cuts to social security, medicare and medicaid. conservatives oppose the 1.1 trillion in new tax revenue from closing corporate loopholes and scaling back popular tax deductions for home mortgages and employer provided health care. >> gang of six? the gang of six? how about that gang of 234 people yesterday, republicans and democrats, who passed a plan that doesn't raise taxes and averts the crisis. >> reporter: that plan he mentioned did pass the house last night. but with only five democratic votes, and it will not pass in the senate. so

kent conrad will join us.ve look at the cover of "time" magazine with managing editor. first, a look at the fireworks. >> we have a tie. dallas and washington, d.c. it feels like 88 degrees. the two warmest we have now. later on today, many locations will feel like 100 to 110 degrees outside. the forecast for today, we are expecting near 100 degree heat from southern new england to the carolinas including d.c. detroit, 100. it's rare for you. 100 where it's been 100 all summer long. oklahoma city is going to peak tomorrow. we get a break in the great lakes. an incredible heat is under way. you are watching "morning joe," brewed by starbucks. somewhere in america, there's a doctor who can peer into the future. there's a nurse who can access in an instant every patient's past. and because the whole hospital's working together, there's a family who can breathe easy, right now. somewhere in america, we've already answered some of the nation's toughest healthcare questions. and the over 60,000 people of siemens are

gang member kent conrad, a north dakota democrat said some of the plans critics are trying to kill it in the crib. >> we are a working group of six to try to inform colleagues. the sooner you put out a plan like this, there is much misinformation that goes out. >> reporter: some 30 senators republicans and democrats indicated they might support the plan. gang member chamblis georgia republican said house republicans would haven't to violate the no tax hike penal. >> well, we really aren't raising taxes. we are lowering rates to help generate revenue. >> reporter: still, the plan would lower reduction for mortgage interest and health insurance and savings for retirement. taxpayers would pay $1.2 trillion more in the next decade. on the house side, on democrats voiced interest and most of them are not persuaded. >> there are a lot of questions because there aren't details about the prose subpoenaed the content. an 11th hour situation. >> reporter: at the white house, budget aide said there is still time to get it through congress before the august 2 deadline. but barely. >> we think the

last hour, in "america's newsroom," democratic senator kent conrad telling us it would be a disaster.e also said this: >> i should say i also don't believe we will default. i believe that leaders, republican and democrat, understand fully that a default would be a catastrophe. bill: system it appeatill it ap no closer to agreement than they were a week ago or a month ago and the analysts say we could lose the top credit rating even if a deal is reach in time and that could mean mortgage rates go up and make borrowing money more difficult for every american. brand new hour here where the stakes are high. i'm bill hemmer and welcome to our continuing coverage. how are you doing, alisyn. alisyn: doing well, thanks, great to be with you, i'm alisyn camerota in for martha maccallum. one of the plans up for consideration is from speaker of the house, john boehner and a vote on it had been postponed until the math can be worked out. bill: he was promising to rework it after the nonpartisan congressional budget office said his plan could not cut as much spending as promised and it was suppose

. >> just moments ago on this network, chairman of the senate bunt committee kent conrad of north dakota made news on the replan. he told lawrence o'donnell the minority leader is refusing to negotiate on the replan. >> the minority leader just told the majority leader that he will not negotiate with him. that is really quite extraordinary. the republican leader mcconnell told the majority leader reid he will not negotiate with him, he'll only negotiate with the president. i've been here 25 years. i have never heard anything like that. >> for more on how the white house is responding, let's turn to dan stone, "newsweek's" white house correspondent. nice to have you on. what is the latest we are hearing at this hour from the white house? >> the white house is very concerned with timing. they are putting a lot at stake specifically in senator reid's vote. this is the last bill that can reasonably get through the senate with the amount of time. the president and several senior administration officials we heard have made those outreach calls all day. certainly yesterday, trying to get some d

and i just wonder, senator kent conrad, who i consider a friend and have been for years, he is the chairman of the senate budget committee. is he willing, senator -- are you willing to go home to north dakota and tell those seniors who have supported you for years that they're going to have to bite the bullet to the tune of 10%? but the wealthy farmers in your state are going to be able to get another break down the road? this is wrong. it's morally wrong. we should point out that you, senator conrad are not going to be running for re-election in 2012. and i kind of have a problem with that. the gang of six -- coburn's not going to be around, conrad's not going to be around. we're talking about some big money to the big three that's going to have to be served up, and the millions of americans out there who do make millions of dollars are going to get away scott free. we're not in this mess because of social security and medicare and medicaid. we're in this mess because of the bush tax cuts, because of two wars that were unfunded and big pharma. what bothers me, is i'm not hearing enough dem

kent conrad. i haven't heard people not negotiating in 25 years. we can't breakthrough this fog right now. it's the 401(k), the stock market, kids trying to get hired, someone wanting to buy a house. that is starting to resonate with folk once capitol hill. >> you said months ago, you wait until we start talking about the debt ceiling of 2012 and you were right. i will always remember that. thank you so much, luke russert. >> take care, richard. appreciate it. >> the debt debate in washington having ripple effects from across the globe including men and women in our armed forces over their checks. admiral mike mullen is in afghanistan today. he discussed the issue with some of our troops. atia is live in afghanistan. >> reporter: he made his way down to kandahar and helmand. he was expecting questions on the war. i'm sure he wasn't expecting questions on the debt crisis. one of the number one questions he got from the troops here in afghanistan was, will we get paid? his answer was, quote, i actually don't know the answer to that question. i have c

senator kent conrad with this very moment is the chair of the senate budget committee. i love this one. chris dodd, the guy whose name is part of.frank, the financial litigation bill was necessary because the stuff blew up. alphonso jackson, secretary of housing and urban development and this is the best. daniel h. mudd, the guy who grew up having to deal with the famous saying your name is mud. he was also the chairman and ceo of fannie mae. so this is what we libertarians need to watch out for. the unholy alliance of government and corporations. now, to draw the contrasts though, i don't want to leave you the idea that all corporations are bad or all bankers are bad just angelo dicillo is. the hero given the most loving treatment in my book is a fellow named john allison. he is the former chairman and ceo of the bmt, one of the top dozen banks in the united states ranked by assets guys. they're absolutely dominant throughout 1370 united states. so out here you won't be a branch. but if you're in mississippi or alabama or washington d.c., you certainly will. allison bu

joining me now, two members of that bipartisan group, senator kent conrad and senator tom coburn. senators, thank you so much for joining me. i know it's been a busy day. >> good to be with you. >> good to be with you. >> where are we as things stand? >> well, i think it's clear that we don't know. there's been a negotiation at the white house that we've not been a direct part of, and we had a meeting scheduled with our leaders at 5:00, and they were called to the white house. so i don't think we'll know the full details until later tonight or perhaps in the morning. what i'm hopeful of is that we do have a deal that changed the trajectory of our debt in a way that's responsible and balanced and that can pass. >> let me ask both of you. the recent polls suggest that the american public are now pretty clear about what they're prepared to accept. they want a cut in spending, and they're prepared to accept some tax increases, and they're prepared for the debt ceiling to be raised. would you both concur that that is where we are now in terms of public opinion? >> it depends on whether

last night with "last word with lawrence o'donnell" the senate budget committee chairman democrat kent conrad of north dakota said that mitch mcconnell is refusing to negotiate with senator reid. >> the minority leader just told the majority leader that he will not negotiate with him. that is really quite extraordinary. republican leader mcconnell has told the majority leader reid that he will not negotiate with him. he'll only negotiate with the president. i've been here 25 years, i have never heard anything like that. >> nbc's luke russert is for us on capitol hill. wow. good morning, luke. where do we stand now? >> wow, that is right. really is a crunch time, if you will, alex. both the chambers are in session today. the senate comes in around 1:00. we're expecting a very important about 1:00 cloture vote. we expect reid to negotiate with republicans throughout the day really needing to grab between eight to ten of them to figure out a way to raise the debt limit. while also cutting spending in ways that are acceptable to both sides. no raising of taxes and no cuts to entitlements. over in

kent conrad received one of those calls the home and said afterwards, i have never had the secretaryto support the budget for the state department. but the insistent lobbying by bob gates on behalf of the state department may have been for naught, as the pentagon has seen its budget double since 9/11. the state department has been put on the chopping block again and again, in particular by house republicans. and frankly, we don't really even argue about it anymore, even when the secretary of state is someone as in influential and popular as hillary clinton. even when he makes the case for a big rethink on these priorities, when it comes to the military, washington is still a 94-0 kind of town. no debate. no politics. unanimous consent. much has been made this year over whether or not this is finally changing, over whether budget hawks in both parties might dare to ever conceivably cut defense this year. we keep hearing that's possible. maybe it is. but convince me. joining us now is lawrence corp. he served as an assistant secretary of defense during the reagan administration. in tha

right after the budget committee chairman kent conrad came to the senate floor to describe the democrats' plan.the presing this is almost an hour.conradsk ischemic mr. president falling in the remarks the senate will resume the motion to proceed to pr s1323, to express the sharedhared sacfice sacrifice in resolving the thet d budget deficit with the time div until 5:30 equally divided as to their the two leaders and the will b designees and 5:30 there will be to a roll call vote on the motion to proceed to test 1323. mr. president, you understand that 1340 is at the desk do foriding oicer: a second reading.he second >> the clerk will read the bill for a second time. bl >> to cut and balance the f federal budget. >> i would object to further respt to proceedings with respect to thee presidinficer: bill. >> the objection is heard. >> it will be placed under the calendar of the provisions of rule 14. by thank the chair.midst of >> mr. president, we are in the midst of a defining debate on the budget of the united states. all of us understand we have a t threat looming over this countrye tha

on the show, senate budget committee chairman kent conrad and congressman tom price from the budget committeeand former white house deputy press secretary bill burton and the new york times business reporter andrew sorkin and lawrence o'donnell host of "last word with lawrence o'donnell" on msnbc, and my colleague tamron hall is off today, and thomas roberts is standing in for her. >> we are following the latest at the white house where lawmakers are trying to come to a compromise. now in order to prevent default which is seven days away, what happens if america's credit rating is ultimately downgraded. >>> and david wu says he is resigning from office amid a sex scandal, but not immediately, and we will have details on "newsnation" up next. 3q double shift... i need a break. he needs some gellin'. yeahhhhhhh. gellin' is like having a teeny tiny foot masseuse in your shoe. you like ? nice ! dr. scholl's massaging gel insoles. outrageous comfort, all-day long. but afraid you can't afford it? well, look how much insurance many people can get through selectquote for less than a dollar a day. sel

we'll go behind the scenes with top white house economic advisor and kent conrad.s the ground in ohio, what about yooi yoo and new hampshire? "andrea mitchell reports" up next here on msnbc. >>> i'm bill karins with your business travel forecast. hot weather today many the middle of the country. some thunderstorms up around chicago and minneapolis. temperatures in the east are warm, but humidity levels are down a little bit. should be an enjoyable day. as far as the west goes, we're still warm in phoenix as you'd expect. seattle still cool only with 71. have a great day. cation on a buh expedia. make it work. booking a flight by itself is an uh-oh. see if we can "stitch" together a better deal. that's a hint, antoine. ooh! see what anandra did? booking your flight and hotel at the same time gets you prices hotels and airlines won't let expedia show separately. book it. major wow factor! where you book matters. expedia. >>> right now on "andrea mitchell reports," cracking the whip. speaker boehner bluntly tells house republicans to get in line behind his debt plan.

we just heard on capitol hill from the senate budget committee chairman kent conrad he said significantrogress had been made today. harry roid said i hope a deal can be reached tomorrow. very important the senate postponed the vote. all eyes were going to be watching a vote on the reid plan in the senate that was expected to fail. that's now been pushed 12 hours and democratic and republican sources telling me, don, that this could be a sign that it would allow reid to add some changes into his bill that could be based off of some sort of deal that couldn't -- that can be struck and just a reminder, the clock's still ticking towards that august 2nd deadline at midnight when the u.s. would become, according to the treasury department, at risk of default if congress doesn't increase the debt ceiling. >> brianna, thank you very much. cnn is dedicated to providing you with up to the minute coverage of the debt crisis. and tomorrow night bringing you a special report beginning at 9:00 eastern, wolf blitzer and i will break down the hurdles and options. get it done. countdown to debt crisis a

. >> senator kent conrad, one of the group of six. we're no longer using gang? are we supposed to drop the gang? >> i'm from north dakota. not much into gangs out there. >> fair enough. >> i prefer group of six. >> all right. we'll keep it at the "group of six" with you. you're be in the middle of this, senator. thanks for coming on this morning. >> you bet. >>> well, is a downgrade of the u.s. credit rating unavoidable at this point? that's what senator bob corker says. teal auk to him about that and see what he thinks the end game is. that's next. >>> plus, chris christie moments after being released from the hospital from emergency asthma treatment brings you up once again how he's not running for president. wait until you hear it. >>> first a look ahead at the president's schedule. help announces new cafe standards today. some big change in the miles per gallon for u.s. automakers. a hyche change. of course, the focus is on the debt talks. >>> you're watching "the daily rundown" only on msnbc. ooo whatcha got there? uh oh, sesame stir fry from lucky dynasty.

let's go up to capitol hill to check in with two members of this so-called gang of six, senator kent conrad of north dakota is a democrat, saxby chambliss of north carolina is a republican. gentlemen, i've explained the details in the plan, but i want to start by listening to the president today, he came into the white house briefing room, he didn't say he loved everything, but he did offer high praise. >> and so for us to see democratic senators acknowledge that we've got to deal with the long-term debt problems that arise out of our various entitlement programs and for republican senators to acknowledges that revenues will have to be part of a balanced package that makes sure that nobody is disproportionately hurt from us making progress on the debt and deficits, i think is a very significant step. >> and yet, senator conrad, let me start with you first, the democrats control the senate. the number two, dick durbin, said this plan while he might like parts of it, quote, is not ready for prime time and can't be considered as part of the train we're on right now that's approaching this augu

the agreement was forged between senators judd gregg and kent conrad and i walked out of that vote. -- and they walked out of that about. they walked out of the biden talks. they cannot take yes for an answer. >> this idea that there is even handedness and the quality is just not fair -- there. we have moved in their direction so many different times and they do not budge. no revenues, and a ravenous, and a ravenous -- that is why we cannot get a grand deal. -- no revenues. . we move totally in their direction and their proposal does not move 1 inch in our direction. that is why the american people are saying that the cause of the fall and the cause of gridlock are the republicans in congress, not the president and not the democrats. it has not been an even-handed where we give some and they give some. this proposal was crafted by senator reid with them in mind. this is what they asked for. there are 100 people in the house who do not care if we default, many of them, who are extreme and ideological, and you have not seen the house republican leadership responsibly resist that. that i

so, you know, just in the past 24 hours, kent conrad told me he's got an call from the white house, he wouldn't say what it was out. i'm guessing that maybe they're looking for some guidance on how tout this thing together. >> hunt: julianna, if they don come up with some kind of a deal by late july, what's the most likely response to the administration? will they go and just start to default? will they choose between bondholders and veterans and the like or are they likely to say maybe the 14th amendment doesn't reallyall for a debt ceiling and declare it's unconstitutional? >> i think it's the first week in july and thesere all questions that the white house is asking now. i don't think you can overlook the fact that treasury secretary tim geithner has talked about that 14th amendment option as something that he has referenced. >> hunt: which would basically stay debt cling shouldn't be vered under the 14th amendment. >> but you see some republicans coming out saying that wouldn't be constitutional for the administration to invoke that. sot would go through the courts. it would be...

we just heard on capitol hill from the senate budget committee chairman kent conrad he said significante today. and when senate majority leader harry reid asked if a deal could be reached tomorrow he said, don, i hope so, so it sounds like things are turning there. also, very important that the senate postponed a vote and all eyes are going to be watching a vote this morning at 1:00 a.m. on the reid plan in the senate that was expected to fail. that has now been pushed 12 hours and the republican and the democratic sources telling me, don, that this could be a sign that it would allow reid to al make changes into the bill that could be based off of some sort of deal that can be struck, and just a reminder that the clock is still ticking towards that august 2nd deadline at midnight when the u.s. would become according to the treasury department at risk of default if congress does not increase the debt ceiling. >> brianna keilar at the white house, and thank you very much. i want the tell you that cnn is dedicated to providing you with up to the minute coverage of the debt crisis. tomorro

we heard senator kent conrad put it in perspective there, but for you how bad is this breakdown between the parties right now? >> it's pretty bad. just in the sense that there is so far we know of no real communication between harry reid and mitch mcconnell and president obama. at least that's public. i'm sure there are things going on behind the scenes, but when you have both parties still publicly asserting very rigid positions, essentially saying they're not really in the budget this moment, it presents dilgts simply because of where we are in terms of timing. in order for a compromise to come out of the united states senate, ideally in order to avert a default, it would come out tonight. that's probably not going to happen. these negotiations will probably carry into tomorrow, most likely harry reid will try to persuade nine to ten, 12 republicans to come on board with some sort of compromise, and the attempt to hope he can get that. mitch mcconnell has shown so far no willingness to do that. he has doubled down, essentially, with speaker boehner's plan in the house, which senate de

lawrence o'donnell on the last word here on msnbc the senate budget committee chairman democrat kent conrad of north dakota said that the republican minority leader mitch mcconnell is now refusing to negotiate on senator reid's plan. >> the minority leader just told the majority leader that he will not negotiate with him. that is really quite extraordinary. the republican leader mcconnell has told the majority leader reid that he will not negotiate with him. he will only negotiate with the president. i have been here 25 years. i have never heard anything like that. >>> nbc's luke russert is live on capitol hill. luke, good saturday morning to you. >> good morning. >> as we look at what's happening here, by the sounds of it, the two sides appear farther apart than ever. this is the time for them to buckle down and get to work toel together. are they going to be able to do it today, tomorrow, or monday? >> you would think that. the words rationale and commonsense have not been prevalent here in washington over the last three weeks, and it really goes to what is compromise? the gop's original

. >>> and joining us tomorrow is kent conrad the chairman of the senate budget committee and rememberllow us online and my colleague tamron has "newsnation" next. >> thank you, andrea. >>> wall street is creating a doomsday plan if we go into default, and one leader say weg are in contingency mode and it is an active process and could wall street force the lawmakers to reach a deal? we will get the latest on the talk deals. >>> and a dozen of people have died because of the heat dome smothering the nation and the scorching temperatures are moving east and it is going to be hotter over the next few days and more oppressive and "newsnation" is minutes away. fire! ♪ [ mom ] wow! [ female announcer ] cascade complete pacs. love it or your money back. ...was it something big? ...or something small? ...something old? ...or something new? ooh oohhing youav the 2nd generation of intel core processors. stunning visuals, intelligent performance. this is visibly smart. this is my band from the 80's, looker. hair and mascara, a lethal combo. i'm jon haber of alto music. i've been around music my