when sylvia was nominated to be director of the omb, i said that position of director of omb is perhaps the toughest job in washington. the position for which she is currently nominated is perhaps the most thankless. that's why i advised her against taking the leadership position at hhs. after all, who would recommend their friend take over as captain of the titanic after it hit the iceberg? obviously, she ignored my advice and accepted the nomination anyway continuing her pattern of public service. and you know the scope of her responsibilities far in excess just of hhs, medicare and medicaid services, food and drug administration, the national institutes of health among several other divisions add up to $1 trillion budget with 80,000 employees. she will have her work cut out for her. i recommend strongly ms. burwell and hope the committee will endorse her nomination. i thank you, mr. chairman. >> thank you very much, senator mccain, for being here. i know you have a busy schedule. if you need to leave, please feel free to, but thanks for being here. appreciate it very much, senator mc

you were new at omb. and i was new at the chair of this committee. i must say, i really admired, one, your integrity in working with me. you were a straight shooter. what you said, you meant, and what you did. we also appreciated your responsiveness of both senator shelby and i that when we asked questions, we got answers. we didn't always like the answers, but we got the answers. third, we liked the fact that you were competent and that you also had the ear of the president of the united states. so, again, when we needed those answers. so we know that. but let me tell you where i am as the senator for maryland. we need a ceo. and secretary sebelius has done a great job as -- during a very difficult transition time at hhs. but what we see in maryland is some of your greatest federal assets at hhs are in my state. from cmss that does medicare and medicaid. the national institutes of health. fda. hrsa. i also have some of the highest rates of nobel prize winners and some of the highest rates of poverty. whether they're in baltimore city or mountain cou

if you are confirmed for this position, we lose you at omb. the president is going to nominate tom coburn to be head of omb. and my colleagues said, we cannot confirm her. i just want to say, that's not the plan. we love working with you at omb. we love working with the team that you have put together. one of the things we have focused on is how to get better results for less money. and most things, in terms of being successful in government, academia, business, whatever it might be, the key is leadership. why thef the reasons department of homeland security, which for years was kind of a laughingstock when it came to managing finances -- actually, wonder of wonders, last year they had a clean audit. and after 20 something years, department of defense still has not gotten that. dhs has done that. the key is leadership. progress and reducing improper payments, last year, $50 million in medicare, in probably $20 million medicaid. talk to me about what you have learned omb to make further progress at the department of health and human services. l

you were new at omb and i was new as the chair of this committee. i must say i admired your integity. what you said you meant and did. we appreciate your responsiveness of when we asked we got answers. and third we like the fact you were compitant and had the ear of the president of the united states so again when we needed those answers. so we know that. but let me tell you where i am as the senator from maryland. we need a ceo. and secretary kathleen sebelius has done a great job during a very difficult transition time at hhs. but what we see in maryland is some of your greatest federal assets at hhs are in my state from cms that does medicare and medicaid, the national institute of health, and i have the highest rates of noble prize winner and the highest amount of poverty. i need a chief executive officer. we need someone who brings executive skills to this job. 80,000 people work for hhs. you have the largest budget other than defense, the largest dome domestic budget. money, management and moral are the issues we see. money is our job. sometim

this was one issued under your direction at omb.with regards to implementation, i think one thing 16 to do, where you find a place you can implement better on the law, you do seek to do that. they were having difficulty doing the reporting requirements they would need to do to do this accurately. with regard to other complex pieces of legislation, one of which is partly -- part d and others. youne moves to implement, do listen and try to implement in a better fashion. in terms of trying to hear, listen, and make the transition workable. on the individual side, what one sees as an opportunity for individuals to apply for hardship exemptions. >> mr. chairman -- in the ,ntrance of transparency though -- in the interest of transparency though, it in terms of waivers and delays, would you be willing to submit the insurance rates for next year? the enrollment date has been delayed until later this year. getdate at which plans approved has been delayed, right before the election. which is very convenient. we know that there will be real-wo

this was one issued under your direction at omb. with regards to implementation, i think one thing 16 to do, where you find a place you can implement better on the law, you do seek to do that. they were having difficulty doing the reporting requirements they would need to do to do this accurately. with regard to other complex pieces of legislation, one of which is partly -- part d and others. youne moves to implement, do listen and try to implement in a better fashion. in terms of trying to hear, listen, and make the transition workable. on the individual side, what one sees as an opportunity for individuals to apply for hardship exemptions. >> mr. chairman -- in the ,ntrance of transparency though -- in the interest of transparency though, it in terms of waivers and delays, would you be willing to submit the insurance rates for next year? the enrollment date has been delayed until later this year. getdate at which plans approved has been delayed, right before the election. which is very convenient. we know that there will be real-w

we lose you at omb. i was kidding with some much my colleagues. you know, if sylvia is confirmed for secretary of hhs the president will nominateos tom coburn head ofe omb. two of my colleagues said we can't vote to confirm here. i make it clear. that is the not plan. that is not the plan. the, we love working with you at omb. love working with the team you have put together. one of the things we focused on as you know, how do we get better results for less money. one things being successful in government, academia, business, whatever might be key is leadership, leadership and if one of the reasons why the department of homeland security, which for years was kind of a laughing took when it came to being manager of finances actually last year, wonder of wonders, they actually were auditable, they got a clean audit. after 20 some years, the department of defense still hasn't done that. hhs has done that. in terms of leadership, the key is leadership. reducing improper payments what were they last year, $50

but senator cruz and lee are asking under what legal authority did omb take such action in terms ofhe budget for the obama care and could she run into trouble there angela? >> i don't know if she can run into trouble. it is fair game. when you go before senator confirmation, those questions are fair. and the 8 million people who signed up, how many of them have pied the first month premiums. obama care is a train wreck and she's taking it over and what will she do to make a better system and i think all questions are fair. >> and david, people would look at this from the outside looking in and say she's qualified for this position and she should take it over, what is the big fuss and they might go so far as to ask the question are senators cruz and lee involved in this, not for their constituents but just to make noise? >> we've seen they have a tendency to want to make more noise than they want to make policy, we saw that when they tried to shut down the government on obama care. and if i might speak to angela's point about who has paid their premiums. we just saw in a house meetin

i think the fact of the matter is we all thought she was a great choice for omb.ecessarily make her a great choice for the secretary of hhs. the truth of the matter is what we have to ask ourselves is will she be the ambassador of obamacare just taking the cues from the obama administration or will we, in fact have the secretary of health and human services for the american people? once we understand that, then we will know whether or not she should have smooth sailing or she should hit potholes the p question i'm going to ask, will continue to ask, has to do with clarity and specificity on the number of folks who have not only enrolled by their standards but actually enrolled and paid premium which is is the definition of someone being eligible for obamacare. >> if she is from omb and does not know the stuff that happened -- >> no doubt. the fact that she has been a very successful part of the administration as it relates to omb does not necessarily men that she can have the significant contribution necessary as the hhs so i'm looking for -- are the facts because

we were becoming deputy director of omb at that point. more recently, i introduced you again to become director. that was easily done. could not be more proud to speak for you and to present you to this committee. i have done this a lot with people but i don't think i've ever been as proud as the person as is sure of my feelings have with my feelings about you. respect for your intelligence, your integrity, what i would call a ferocious integrity, a work ethic beyond contemplation, but all the while, you are relaxed, andappear as senator coburn said, you do listen. you are a very good listener. it is terribly important. and the business of writing letters you will do not because you have to do it but because it is in your interest to do and you will find a way to do it. i think you are going to be a superb secretary. the department is absolutely gargantuan in its size. it's millions and millions of americans, food and drug supply, protection of our country from outbreaks of attacks, theerror medical research we rely on for cutting-edge tr

10 is the omb requirement. right now i think 10 reportable units, if i'm not mistaken, i think 10 is probably too few, but frankly we are doing a lot more than 10, but they are not necessarily financial statement audits. is a lotxplain there of auditing that are not necessarily financial station audits going on. there is financial accountability beyond just the financial statement audits. again, trying to look at a private sector model and transfer that over to the department of defense and think, had we break this up into accountable component parts? this up intobreak accountable component parts? how does this fit into the 10 big omb audits. we are not this going to conduct an audit until we have a clean audit, and and instead use the audit as a management tool, which is what it should be. thank you, senator coburn. >> thank you all again. i have a lot of questions to ask, but i am not going to ask them. i am going to let you go eat lunch. the record will stay open for a certain amount of time, 15 days until m

that is why i have always viewed omb's unique role as critical.me recognize sylvia mathews burwell, whose extra-large shoes i have to fill. some of you know sylvia and i actually lived in the dorm freshman year in college and we have been friends ever since. i know she will not mind late-night calls for her sage advice and guidance. i look forward to building on your work, sylvia, with the remarkable team that you have built at home in the, biranrian, beth, and everyone of you who are here today. a stellar team. if congress approves my nomination it will be a great honor to join your white house, mr. vice president, to join yours as well, and work closely with you to continue to move our nation forward. i want to say a special thank you to my colleagues in the cabinet. you have become good friends. now i'm going to be taking your calls for more funding -- [laughter] but i know the mutual respect and trust that we have built -- [laughter] will allow us to make difficult decisions to lead this country -- leave this country a better place for the nex

it to president barack obama in the confirmation hearing of the woman to succeed kathleen sebelius, omb director sylvia matthews burwell. the confirmation should be an opportunity to examine the failures of obamacare and how people are hurting because of it. >> but republican opposition to the health care law could mean a tougher time this go-around. >> it is still going to be painful for the administration to go through every detail of obamacare. >> the republican minority leader mitch mcconnell says we should expect the shortcomings during confirmation hearings. >> god love her. i don't know why she would want to do that, chris. is she going to have trouble getting confirmed to this position? >> these confirmation hearings are going to be a goat roping. you mark that down. >> we've marked it down. goat roping. i don't know what it means. and here was the dramatic packed room beginning to the burwell hearing. >> we have convened this hearing to consider the nomination of sylvia matthews burwell to be the next secretary of the at the present time of health and human services. >> can you

he replaces outgoing secretary donovan who is chosen as the omb. >> the earth this weekend moves intoa debris field left by a comet spotted 10 years ago and we could see 200 meteors an hour. the cloud of dust could be too small or too sparse to put on a show. if the medias are visible the best time to see them is between 11:00 tonight and 1:00 o'clock a.m. and the meteors are visible across the expire sky. the question is: will those working mornings stay up for them? >> that is a good question. the other is, what is your viewing spot? don't you need to be above 1,000 '? >> probably above 2,000' at least close to the east bay hills by that time so if you can go high or inland you will be better off and look to the north although they are across the entire sky the north is the best spot. we will tack about baseball, twins are in town and so are the giants after a rocky series in the rockies with the thunderstorms. 66 at 7:15 and dropping to 61. if you travel away the state it is warm through the central valley and mid-90's and a few showers but nothing like yesterday. 68 in san diego a

and now we just got them back from omb. when do you think those rules will be done?e cannot support these drug take back programs to the extent that we wonder if we don't have the rules from the al qaeda when it has taken four years. >> thank you for that question. right now there is one issue the fact is that the omb has done their job, vetted it, came back to us, trying to work. the importance of that. we could multiplier that over if we could make it easier to have these charts take back on a weekly basis of the month daily basis in pharmacies of people can bring them back. >> the problem with this bill in particular was, this bill and these regulations touch on several -- >> i know. transportation. >> epa, even the military. we have to be very cautious. we don't want the have them go back and make serious corrections in their statutes. >> i understand. synthetic turns, thank you for bringing up that issue as well which is contributing to these addictions, the fact that people can manufacture them from compounds. we, of course, senator grassley and shimmer and i a

i know you guys are working on this and i know we just got them back from omb which was a great thing, but when do you think those rules will be done because we can't support these drug take back programs to the extent that we want if we don't have the rules from the dea when it's taken four years. >> thank you, ma'am, for that question. and thank you for your support and your leadership on that bill. that was a very important bill for us. right now there is just -- there's one issue that we're trying to address. >> long-term care facilities. something like that. you don't have to tell me. i don't know what it is. >> there's one issue we're trying to address and we're trying to do it as expeditiously as possible. >> okay. >> the fact is omb has done their job, they vetted it through, it came back to us, we're trying to work out this one problem. >> i just know given what the senator said about the importance of that 390 tons we could multiply that over if we could make it easier to have these drug take backs on a weekly basis or have them on a daily basis in pharmacies so people can b

personnel cost growth has not just slowed, but it has declined an average of 1.9% a year according to omb historical tables. the growth has slowed. in fact, it's negative at this point. when you look at the d.o.d. military personnel costs, which include military personnel and defense health programs, these costs average 30% of the overall d.o.d. budget. between 2014 and 2015 pay caps have promised housing reductions, the planned reductions in the comisary savings and a new health care consolidation and fees, an e-5 family of four. that's a sergeant with ten years of service looking at the pay tables would lose $5,000 in purchasing power. in 2003 a captain ar army or marine corps captain, not -- a family of four would experience a loss of $6,000. that's a large percentage of their overall pay. contrary to when i came into the military, we have a married force today. it is not a single force. the budget proposals would be a major step backwards towards repeating some of the mistakes and measures that led the retention and now readiness problems in the past and it needed the improvement that

i voted for you for omb, my good friends have great respect for your intellect and integrity. i'll take that into serious consideration. my questions will focus on obamacare and the dismal rollout and the challenges i've had with the numbers. hopefully you can get us some clarity as we rush to make sure we make the last vote here. in numbers, fuzzdy washington matt, $1.4 trillion price tag, the fact that after spending nearly $1.5 trillion we'll still have 31 million americans uninsured by 2024. the fact that the as b ca as siphoned $716 billion from medicare and somehow that's supposed to improve the outcome of our seniors. perhaps one of the more frustratings number that i've seen in obamacare is 8 million people have signed up for obamacare. one of my questions will be at the end, how pray tell do we account for 8 million people signing up for a program but they don't pay the premium, yet we count that number as a part of a true number that reflects the number of americans that are actually eligible for health insurance if they don't pay their premium. it seems to me that i

it to president barack obama in the confirmation hearing of the woman to succeed kathleen sebelius, omblvia matthews burwell.

his current hud secretary he wants to move over to the omb and he wants san antonio mayor you'll both have to be confirmed by the senate. and it is get out of dodge friday with more than 32 million americans set to hit the road in their cars this weekend. look, traffic and weather together on the 16s. you're watching "the daily rundown" only on msnbc. dad!! i missed you. ♪ oh... daddy. chevrolet and its dealers proudly support military appreciation month. with the industry's best military purchase program, for all that have served. i don't know... i forget. hello, neighbors. hey, scott... perfect timing. feeding your lawn need not be so difficult. get a load of this bad boy. sweet! this snap spreader system from scotts makes caring for your lawn snap-crackin' simple, guaranteed. just take the handy, no-mess bag, then snap, lock, and go. it's a new day for lawn care, feedings never been so easy. to see a demo of the snap spreader, go to scotts.com. feed your lawn. feed it! i'm on expert on softball. and tea parties. i'll have more awkward conversations than i'm equipped for, because i'

they'll move both on omb and on hud.st say while on the question of reparations, while it's difficult to get one's head around, the costs, who it's extended to, what's the policy way to do it as has been referred to, in our society we know that ideas that are sometimes difficult at one point become acceptable at another as did reparations for persons who were put in concentration camps during world war ii. so it's a subject that ought to be entertained in a dialogue in our society. >> thank you so much. >> and an important one. >> thank you so much for joining us this morning. >> glad to be with you. >>> up next, you can't really talk with reparations and ignore the modern day wealthy americans who own teams made up predominantly of black men and profit from their bodies and labor. don sterling, mark cuban and the nba when we return. memorial day weekend is coming. what are you going to do? ♪ sure. makes sense. but what about this? if you're looking to buy a car, now is the time and truecar is the way. but don't wait. af

let's talk about the shuffle, sylvia matthews burwell replacing sebelius and now donovan, going to omb. how does that affect the white house? >> we're getting to the second half of the second term. many of the people, a few are still holding on, we've seen a lot of turnover and president obama has gone with people he is comfortable with, typically -- i don't want to say friends and family but loyal advisers to him. julian castro is an interesting pick, it is hud, not state justice, defense, this sort of big cabinet position but it's still a cabinet job. staen i do think it's sort of forward looking pick that's about the democratic party and about julian castro. he's the best player or one of the best players on a team that's not good right now and not going to get better for fourp or eight years. that's a reality for democrats in texas. the demographics of the state aren't there yet. a guy like julian castro who has a lot of ability, he has nowhere else to go. why would he take hud? it's better than his other options if he wabts to get to a national level. >> he's been mentored by the

. >> look at omb studies and the good economic models, it is the benefit is small, the cost of lost jobs is great. it goes against the free market principles. >> that is an outrageous statement. the free market principles, fairness isn't in the free market? come on, senator, that's not what the american people want right now. they want a raise. the federal minimum wage has been raised 11 times since 1978. there is no evidence, republicans, that raising the minimum wage hurts the economy or kills jobs. republicans love to throw the job killing argument around. economists, you're going to fine them on both sides of the aisle. they're split on the issue. some say increase will kill jobs, others say no, it's not going to happen. one thing is very clear, if you pass the price on to the consumer, a minimum wage increase will not kill jobs. >> walmart would have to raise their wage to above $13. 63 an hour. doing this for all employeers would cost the company $4 prnt.8 billion a year. they have to raise their price business 1.4%. box of great value mac and cheese would jump from 68 cents to 69

shaun donovan will go to omb to replace sylvia bureau and she will replace kathleen sebelius. both castro and donovan are expected to be confirmed. >> we will confirm that with you when it happens, too. >> indeed. >> thanks, kristen. >>> in big money headlines, new housing numbers. do they answer the question, rent or buy? marge: you know, there's a more enjoyable way to get your fiber. try phillips fiber good gummies. they're delicious, and an excellent source of fiber to help support regularity. wife: mmmm husband: these are good! marge: the tasty side of fiber. from phillips. i missed you, too.ou. hi buddy. mom! awesome! dad!! i missed you. ♪ oh... daddy. chevrolet and its dealers proudly support military appreciation month. with the industry's best military purchase program, for all that have served. intercourse that's painfulit... due to menopausal changes. the problem isn't likely to go away... ...on its own. so it's time we do something about it. and there's help. premarin vaginal cream. a prescription that does what no over-the-counter product was designed to do. it pr

my guess is that sean is grateful to my outgoing head of omb, sylvia burwell and her team for leavingy've cut by more than half since i took office. i'm just saying that's helpful. now, obviously, we've also got to make sure that as we move sean into a new position that we've got somebody who is going to do an outstanding job at hud, and that public servant is julian castro. the first time most americans heard this man speak is when he gave a speech at the democratic national convention almost two years ago. they saw this young guy -- >> the president there at the white house talking about some cabinet shifts in housing and in budget. folks joining and moving for that late second term. it will be interesting to continue to watch the meteoric rise of both the castro brothers. shifting gears now to the president's favorite sport, basketball. let me start with an old joke that i love. a new arrival into heaven is getting a tour from an angel. they walked by a basketball court in heaven. five on five going on. just then a man in a michael jordan bulls jersey takes off from around the free

it to president barack obama in the confirmation hearing of the woman to succeed kathleen sebelius, ombburwell.

he sent a letter to the omb director, give us an explanation why you scared the american people sayingot. stuart: we brought you the story from brookings, a leftist organization, as they say the rate of new business formation has been cut in half in the past 30 years. in more recent years more businesses are closing up that are being opened. john stossel is here. this week's show is all about risk and business. why is stopping growth of business formation? what is going on? john: it is tougher to do because of regulation. 1,000 pages more every week so reluctant to start something but part of the creation being passed by businesses failing is just part of america. this is a place where it is okay to fail and try something else. stuart: do you think america has shifted? we are frightened of failure and less entrepreneurial because of it and it has american financial culture has it shifted? john: i am not in a position to judge or even willing to trucks to the brookings study. i would like to read more about that. one good point is america compared to your whole country allows failure an

but homeland security says we cannot do that because of a policy and omb says:security has the authority for this past session talks about incremental funding. but the timeline is may 2014. that delayed only cost more money in precludes the state for putting their resources into the project. i need someone to bring them together. >> and was not familiar with the details of the contract discussion but since you have brought it up but i will be certain to look into it to see if we can help bring the parties together because certainly in my office we join you to be interested to see this get done. i will see what i can figure out. >> the administration has been very helpful with the contract can be entered into and construction can start now. think you. >> let me think mr. moniz for his quadrennial review. i really appreciate it. but dr. i had the privilege to serve with him at the smithsonian in to have someone of this talented thank you very much a doctor. we have talked about the future of this country and this then to take future also related to the economy but the localities. and histo

personnel cost growth has not just slowed, but it has declined an average of 1.9% a year according to omb historical tables. the growth has slowed. in fact, it's negative at this point. when you look at the d.o.d. military personnel costs, which include military personnel and defense health programs, these costs average 30% of the overall d.o.d. budget. between 2014 and 2015 pay caps have promised housing reductions, the planned reductions in the comisary savings and a new health care consolidation and fees, an e-5 family of four. that's a sergeant with ten years of service looking at the pay tables would lose $5,000 in purchasing power. in 2003 a captain ar army or marine corps captain, not -- a family of four would experience a loss of $6,000. that's a large percentage of their overall pay. contrary to when i came into the military, we have a married force today. it is not a single force. the budget proposals would be a major step backwards towards repeating some of the mistakes and measures that led the retention and now readiness problems in the past and it needed the improvement that

reportedly he will head to omb silvia matthews just left because she was nominated to take over at hhsbilas. he delivered the keynote address at the last convention. the first hispanic to do that, by the way. this comes as president obama is pushing to get immigration reform passed. so if this were to ultimately go through. so it is suggest for that reason. then you have the politics of 2016. the fact that there is this buzz around him that there is a vp contender, someone that would personally bring a large portion of the latino vote to a democratic ticket. as you know back in 2012, that made a big difference for president obama when he won latinos by 70%. a lot of factors at play here, he is a very popular mayor. i have been looking at twitter all afternoon, craig, and folks in san diego are cheering this decision that their native son is going to the white house. >> was this selection in any way, shape, or form because the administration became unfied with his performance, or was this about trying to get castro into the cabinet? >> i don't think that was at play. i think that's why

and so when, if donovan goes to the bunt office, the -- budget office, the omb, he would be replacingia burwell who will have a vote this week on being secretary of health and human services. and then castro would come in as secretary of housing if he is confirmed by the senate. it's an interesting move because castro really is kind of a known figure, rising star within the democratic party, but his base is as mayor of san antonio and, perhaps, within the hispanic community this is an attempt perhaps to kind of raise his visibility, give a hispanic more prominence and, certainly, the white house has been, has come under some criticism for not having more hispanics in positions of authority within the cabinet. tom perez is the one that stands out at labor department. >> host: we'll go to jesse next this michigan. democratic caller. hi, jesse. >> caller: hi, greta. yeah, i've got two comments i want to make. can you hear me? >> host: yeah, we can hear you, jesse, go ahead. >> caller: okay. when it first come out about how the veterans were being treated at these hospitals and things, an

ambassador of obamacare in the secretary of health and humanea services and i voted for you from the omb. friended good friends, i have gt respect for the intellect and integrity. so i will take this into serious consideration. this focuses specifically on the role that we have seen and the challenge that we have and disml hopefully will be able to bringh some clarity and answer a couple questions as we rush to makefu surelly that we understand the here. >> $1.4 trillion price tag between now and 2015 or 2024 come in fact that we have nearl $1.5 trillion that we will still have have many americans uninsured by 2024. the fact that the aca has five and about $716 billion and somehow that is supposed to improve the outcome ofosed to ir seniors. perhaps one of the more the frustrating things i have seen r is 8 million people have signed up for obamacare. one of my questions would be att the end, how do we account for million people signing up for aa program, but they don't pay the, premium and yet we count the truenumber is a part of a number that reflects a number of americans are actually

migration bureau her previous government service includes the state department, the peace corps the ombt of fed team that pounded the international crisis group. and hopefully to be here as well. please begin. >> thank you very much chairman smith and other members of the subcommittee for this opportunity to testify again about the central african republic. since the last appeared we have grown more concerned with the religious violence that continues through the militias broke the car. the united states remains committed to working with the car transitional authority in the international community to end the violence with the transitional process leading to the establishment of the legitimate elected government of car. with that process to take political power from former car president to destroy the traditionally amicable relationship between christians and muslims. fighters were living in mercenaries, bandits and criminals who sustain themselves by killing, kidnapping and pillaging the country which is 90% christian. . .e establishment of christian self-defense militias. this began t

. >> and has anyone else on your staff spoken to folks at the white house or omb in the last month? >> not to me -- well, on -- the answer is i'm sure. on this issue, i don't know. but i can assure you from my discussions with everybody from the president on down, the recognition of the independence of our agency and i'll go further and assure you that never have i or to my knowledge any one of my staff felt any pressure to decide any issue. >> i appreciate that. thank you. want to follow up on something representative guthrie was saying. you believe the fcc has the power to preempt state laws. >> yes, sir. >> under section 706. >> yes, sir. >> do you believe that states have the same authority? >> i think that that's the -- the issue i believe is do we have the authority to preempt. that raises the question of what is the authority of the state. i think we'll probably end up having this answered in court. >> i just read the statute. the language is identical. it says whatever authority you have, they have. >> it says state commissions. we have preemptive authority over state commis

so if donovan goes to the budget office at omb he will be replacing sylvia burwell who won't have a vote this week on being secretary of health and human services and castro would come in as secretary of housing if he is confirmed by the senate. it's an interesting move because castro really is kind of a known figure and a rising star within the democratic party but his base is in san antonio and perhaps within the hispanic community. this is an attempt perhaps to raise his visibility and four the hispanic prominence. certainly the white house has come under some criticism for not having more hispanics in positions of authority within the cabinet. tom perez is the one that stands out. >> host: we will go to jesse and michigan democratic caller. hi jesse. >> caller: hi. i have two comments i want to make. can you hear me? >> host: we can hear you jesse , go ahead. >> caller: . [inaudible] obama said he wanted to add another billion dollars. why do you want to add a billion dollars that is the biggest waste in the department you have got. why not try to clean it up instead of adding more m

dat created a domino affect, onovan is moving over to her old position on omb. mayor of san antonio will come in as hud director. [video clip] julian has been focused on revitalizing one of our most wonderful cities. attracting hundreds of millions of dollars in investment. he has built relationships with mayors all across the country, become a leader in housing and economic development. there are great jobs in san antonio. my administration named the east side of san antonio a promise zone, a place where the federal government is working together with citizens to make it better family by family and block by block. -hecare deeply about people - cares deeply about the people he serves and the city he loves. he has never forgotten where he comes from. host: he delivered the keynote address at the democratic convention a few years ago. they call this a big boost for an up and comer. question, they have artie talked about him being a short list for vice president in 2016. a really bright, rising star. 40 years old. he has a long way to go. it is also a plate to the

that is donovan moving over to omb and julian castro, who knows, down the road, could even be on a nationalicket as a vice presidential candidate. there's some discussion of that, even as early as 2016. >> all right. a space to watch, john. that's for sure. thank you so much. john harwood. >> now, a quick look at markets, shall we? >> sure, up 63 points right now on the dow industrials. the s&p if you're joining us is in record territory by three points, up eight points at 1900. mary notchson is with thompson n the floor of the new york stock exchange. >> reporter: on may 13th that's the last time the s&p was at a new closing high on mai 13th. the all-time high for the s&p also hit that day at 1902.17. here's some stocks leading the s&p higher today. of course, hack yard up on the news it's cutting an additional 16,000 jobs and after reporting strong free cash flow as well, its stock getting a lift. trip adviser up as well, ahead as we start the unofficial start to the summer season. a lot of vacations evidently not booked yet so some feel that will be good for trip adviser. better than exp

they would not have the fuel to omb japan and fly to safety in unoccupied china as part of the plan. they would go down in japanese territory. despite rough seas, all 16 b-25's launched off the hornet. they bombed tokyo and other cities. the property damage was small, but the damage to japanese morale could not be measured. for the first time in over 1,000 years japan had been bombed by a foreign nation, and because of that one single raid, japan pushed to provoke a confrontation with our navy. it got sloppy. we ambushed them on june 4 of 1942, sinking four of their aircraft carriers that destroyed our fleet at pearl harbor. 80 heros took off from the hornet. three died when their aircraft crashed. eight were captured by the japanese. three of those were killed by firing squad. one died of malnourishment. four spent the war in captivity s prisoners of our alis, the russians. -- allies, the russians. of the 80 heros who were on that deck, 73 came home. only four are with us today. lieutenant colonel robert heict, co-pilot b-17, last one off the deck. lieutenant colonel edward sailor,

and omb was supposed to be involved in checking out that sort of promise. >> senator, our time is up,out trying to handicap legislation, garbage in, garbage out. it's impossible to know the true issues of finance down the road, whether it's a foiled rollout, potential bailouts for insurance companies, thank you for taking time this morning. >> thank you very much. >> thanks very much, rick santelli. want to get over to brian sullivan at hq with breaking news on the sec. >> you know most sec cases are pretty serious. i'm going to try to do this with a straight face. the sec has settled with glen cohen, a former director of the vitamin company ntby. according to the sec cohen allegedly found out carl isle w. what did he do? he told his three brothers and one of his brothers' girlfriends about the purchase. they apparently allegedly bought stock and, of course, were quickly caught. so the s.e.c. has settled with glenn cohen and the other family members. they discorged any profits. i tell you this, kids, if your friends or family members are on the board of a company and they tell you the