the founder and and former ceo of vanguard. chief economist chief economist at the investment company institute. the senior vice president of national benefit services. doctor bridget, the professor of public policy and corporate management at the john f. kennedy school of government. i believe the first academic to do research on automatic enrollment. i know a number of our colleagues are interested in discussing that. our fifth witness is a resident scholar at the american enterprise institute. i told senators delano that i was wearing my doc type today. for two weeks out of respect to sen. senator stevan and the state of michigan. >> there will be another day >> am glad the fight is between two democrats. we will wait. >> welcome, and we look forward to your presentation. sen. brown has a senator brown has a tight schedule. we will turn. >> good morning. >> ranking member, other members of the committee, i am honored to be with you. my career in the financial services field began more than 63 years ago. i found the vanguard

at vanguard, a trillion dollars, more of that. building retirement nest's or retirement plans for corporations large and small. among the employees of state and local governments as well. among all the defined contribution and retirement thrift plans we're now the largest provider of mutual fund assets. so we have a huge stake, in business stake in insuring that our nation's retirement plans are structurally efficient and fiscally sound. fund shareholders also have a huge stake in minimizing the management costs of their investments the outside of vanguard those costs are grossly excessive. unfortunately our retirement system today is neither structurally efficient, nor fiscally sound. for different reasons, each one of the three legs as we call them of our retirement system stool, social security, pension plans and savings plans is headed for a train wreck. other witnesses seem to assume that social security and pension fund are soundly-financed. unequivocally they are not. leg one is social security, fixed with relatively few sm

i'm also a founder of the world's first index mutual fund, vanguard 500 index petroleum. as you all know, the index fund mimics the portfolio for a particular index price. largely because they faced no investment advisory fee and doesn't require any advice that carries the rock-bottom expense ratio as well as 0.02% or 0.05%, what we call to the five basis points compared to other groups charging maybe 200 basis points. index has accounted for more than 350% of the u.s. equity net cash flows since 2007, taken in $750 billion while other funds were losing $550 billion. the picture is pretty clear and now constitute 33% of u.s. equity mutual fund assets. at vanguard come to join dollars more than that are owned by investors building their own retirement for corporations, large and small among the employees of state and local governments as well. among all defined contribution retirement plans, we are now the largest provider of mutual fund assets. so we have a huge steak, business stake in assuring that our nation's retirement plans are structurally efficient and fiscally so

[laughter] he is a 85% with the vanguard fund. with all due respect to war in but there is uncertainty. but it does worry me to be honest. this year goes into the record books. the index is up around 11%. so they run up 3%. only one-quarter of the index had the international market that was down. so the s&p 500 will look better than it will look long term. gerri: i want to ask about bill grossi and pimlico as the father of a regional fund investing he was a misleading pimlico now lot of assets are flowing out. what does that is -- what does that say about the future of the mutual-fund industry? >> it will have to do change it has the problem that is most of the fund groups and small fund groups are owned by private enterprise people and corporations in giant conglomerates in the half to a bezoar please the shareholders of the ministry company at the same time pleasing the shareholders of the fund. and those of her being served as the management companies and 180-degree u-turn that is where we get the advantage because we are owned

>> you have an elite vanguard making dietary choices saying we know what is best for you.issa: we know as parents what is best for your child. i don't like that at all. thanks guys, even though charlie had no opinion. colorful hair. even more colorful personality. dennis rodman teaming with steiner sports to if i have you way more than an autograph. he joins us in studio. trust me i'm practicing my crossover dribble. "piles of money" and row bounds. here it comes. ♪ melissa: the athletes we love and the players we will never forget. giving fans a unique look. one of the most powerful stars in sports history. dennis rodman. he joins me now. thank you to both of you guys for coming in today. i will start with you. you are a genius in this business. so many incredible things. you have invented something new. tell me about it. >> thank you. it is not easy to write these stories out. it is a motion all. i spoke at a high school class eight months ago. forty kids. thirty-two of them barely knew who michael jordan was. melissa: what? that is embarrassing. it is very difficult. it

. >> vanguard target retirement 2045 fund, that's for someone who is around 35 years old. there's other funds for people who are younger and older. >> but that's another show or series of shows. all right. >> telethon, at&t. i feel terrible about what i said about al sharpton. >> no you don't. >> you are funny and clearly brilliant. we're continuing right now with my friend david. >>> first jonathon gruber calls americans stupid. now kathleen sebelius is talking about the americans. >> a lot of people don't know what insurance is all about and if they have coverage, what it means, what a deductible is, what a copay is. how to choose the network. those are complicated terms. i think the financial literacy, particularly people who did not have insurance coverage or whose employers choose their conch and present it to them is very low. >> some say it's not our literacy.

and at vanguard $1 trillion for corporations large and small. of all the contribution plans we're now the largest provider in mutual-fund assets. we have a huge stake with businesses to ensure the nation's retirement planners structured efficiently and to have that menem -- management cost outside those costs are grossly excessive but unfortunately the retirement system today is better structurally efficient nor fiscally sound each leg of the retirement system is headed for serious train wreck others assume social security and pension funds are soundly financed but they're not mine is a social security with a few changes to moderate the growth of contributions. a of the defined benefit plan letter mostly the deeply under water by $4 trillion or more will require more investor returns as well as higher employer, to regions and lower employee benefits with the largest and fastest component over time crying over structurally efficiency and production the retirement fund is slashed simply if they invest a low-cost mutual funds then investor's return

the vanguard, which is protecting muslims, and also seeking to overturn the global status quo, so that means getting rid of israel. getting rid of the imperialist influence in muslim majority countries. so it's a very narrow jihadist ideology, but it does have quite a lot of persuasive power. >> is there any element to which the likes of twitter and others could be doing more, should be doing more to catch this early and keep it off? >> well, at the moment, social media platforms like twitter and facebook are doing quite a lot. they are getting rid of accounts that are known propagandists. however, it's a very difficult job to do. we know there are a number of very important islamic state propagandists in particular, who i've been following who are the first point at which islamic state propaganda is disseminated. when they're taken down, they appear within an hour with just a tiny change to their twitter handle. >> so they're straight back to the same sort of messages. are they so far ahead of essentially governments in the region -- i'm thinking particularly in the middle east region

david: michael, though you are cautious about things, you recommend vanguard technology etf, why? >> technology is one of the areas that's becoming increasingly less sensitive to the economic ups and downs that we have going on. despite slow growth on a global basis, it is something that can continue to hold up its growth and earnings momentum better than most other segments that we see in the market if we run across unexpected surprises in 2015. david: scott, we're about to get peter's take on oil and gold action. i want yours, what do you think about the oil sector? today down significantly. does it continue to go down into 2015? >> yes, it does, that's another one of my big worries that will portend deflationary measures which the fed doesn't want. the other thing is one sixth to one authority of the s&p 500 have oil component as far as revenues go. that is not good either. i say the consumer will be less in debt because of low oil prices at the gas tank, rather than they spend the money. less in debt, and i think it could hurt the companies. oil is going to go to $40. david: l

swap some cash into vanguard. >> john, bull or bear? >> could be a rousing rate. >> tracy?>> here is what's wrong with our country. a mexican smuggling marijuana into our country gets by a dog and wants to sue us. huh? >> doesn't make sense. neil is next. >>> the case of tortured logic that's making very little sense. liberals in a rush to release the cia torture report, not so much of a rush to see the gruber videos. never mind the cia saying could endanger lives. welcome, everybody. i'm neil cavuto. the hypocrisy that appears over the top. here is the thing about transparency, you have to be transparent about everything, not just the stuff you hope embarrasses the last administration, but the stuff that embarrasses this administration.

recently i spoke with the founder of the of vanguard group and bother of index funds for his stake. >> don't take for granted it will continue.

been stunned to learn that the tower casting those shadows across the children's playground is the vanguard of more to come. a line of gated castles is forming along the southern rim of central park, staking a privileged claim to the space, sky and sun long shared by all. this building is the first, marketed as one57, ninety stories tall on west 57th street. the noted architectural critic paul goldberger could hardly believe his eyes. >> the very top floor is the most unbelievable view you've ever seen, but it's a view from an airplane really. you're completely disconnected from the sidewalk. >> a private city in the sky for the rich, the very, very rich. as goldberger wrote, "if you seek a symbol of income inequality, look no farther than 57th street." >> they're mostly the international super rich. it's a whole category of people. most people are living there part time and have other residences either in this region or elsewhere in the u.s. or elsewhere in the world or all of the above. and they're people who can afford to spend $10 million, between million, $20 million, $30 million on an

we have fran kiterring, vanguard investment group principal. good to talk to you.st bond out there? let's start with what's good. >> the safest bond are those backed up by the u.s. government and you can quickly look at a bond lating -- raiding. so triple a, highest rated bonds and gowns down from there. lori: bonds had a tremendous day today. goes to show you, fran, how much demand there still is for government securities and flight to quality. so, what is the biggest mistake maybe, fixed income investors make when they race to hedge their portfolios like this? >> yeah i think the biggest mistake we see is that. a lot of funds may have bonds or in the name of a fund and quickly assume it is homogenous investment but really details matter here. so, just because it has bonds or fixed income in the name, the performance can be very different especially if we enter into any type of contagion or rocky road in the equity market. lori: what is the dividing line? you say aaa, government bond are good. what is the point you should start to be wary of bonds in terms of rati

bogle himself, the founder of vanguard. welcome back. always a pleasure. and certainly, on a day and a time when we're seeing turbulence around the world and trying to make sense of it, maybe some of us need our hand held by a guy like you. what do you make of it? >> well, first of all, i seen a lot going on in my career and now going like 62 years but this is a particularly trying time i think around the world. you know? the russian incredible implosion there and the huge interest rate hike is going to be -- have profound implications of europe, particularly in germany and not at all clear, you know, whether it's going to continue, whether oil prices are going to rebound. we just don't know those things and what impact it will have on the fed. so i think what people have to get used is a market where if you jump in and out on a moment's notice you will be badly defeated. that's a speculative strategy. i think you've got to set your own strategy, long-term strategy. stocks and bonds, aloe case, asset and then stick with it or as we say down here, scott, st

is there any strategy that vanguard has that has been successful? >> to give you my own person the way we introduce young people to investing is to have the stock picking contest, sending exactly the wrong message to them. we should start with the compound interest table and show them how a percentage point difference in returns mounts up over a lifetime to an end astonishing amount. when you get to a higher level of age i don't think there's a single, well very few to be fa fair, business school or finance school who wouldn't tell you what i'm telling you. if it is an inefficient system and its serving mutual fund investors. i have in my prepared testimony a statement that's stronger than that by david swanson the manager of -- and the person of impeccable integrity. you could easily say i have a vested interest but anyone can start one. i would like to have more competition in the index area but it comes down to simplification and owning the market and managers if you are investing for a lifetime. >> i will be able to submit questions for the reco

[applause] europe has always been in the van van van -- vanguard efforts to promote ecology. our needs constant concern and care and attention. each of us has a personal responsibility to care for this creation, this precious gift, which god has entrusted us. this means on the one hand that nature is at our disposal to enjoy and to use properly. but it also means that we are not its masters. we are stewards but not masters. we need to love and to respect nature, but instead we are often guided by the pride of domination, of possession, of manipulation, and of exploitation. we don't preserve the earth. we don't respect it. we don't consider it as a freely given gift we should be looking after. respect for the environment, however, means not just not destroying is. also means using it for the good, and thinking above all here of agriculture, which provides sustenance and fewer richment. it's intolerable that millions die of hunger will ton of thrown each day are thrown away from our tables. [applause] the strength and nature also means recognizing that man himself is a fundamen

recently i spoke with the founder of the of vanguard group and bother of index funds for his stake. >take for granted it will continue.

they believe their visits are the vanguard of zion. >> the rabbis who understand the next mission, they call upon the jews to go on the temple mount. >> even they say if it means war with muslims. >> if the building of the temple mount is our redemption, then yes, whatever it takes. >> translator: all the young men will revolt. it's a natural response. they will protect their home land, their al-aqsa, their mosque. >> the center of holiness now a center of growing conflict. nick schifrin, al jazeera, jerusalem. >> we will return in our final segment this hour with another view of america's sudden thaw with cuba, that follows more than 50 years of suspicion, intrigue, even an attempted twitter subterfuge, makes you wonder: is all forgiven? >> timely this hour a reminder that you can never be too sure about your enemies or your friends. sudden thaw in u.s. cuban relations remind us that there's a lot to forgive after 50 years of frost. >> the serious disaster bay of pigs invasion. and assassination attempts at cuban prime minister fidel castro, a plot to destroy his iconic beard by dustin

some of these etfs and bond funds the vanguard total bond fund, one of the biggest and the bond universe has been very heavy indicating a number of people are re-allocating assets here. >> the tensions in russia pushed the yield below the 2.2% mark. nasdaq is down a bit today losing gains for december. believe it or not it is only about 5% away from the all-time high. a couple that are dragging it down, as well. >> it is a double edged sword. we have spoken about the two biggest ones. we know keurig green mountain and monster beverage have been -- wed lived in california. if you take a look at names we often talk about check out some of these ones. whole foods and ross stores are three names in fairly distinct parts of the market. let's look at whole foods first. this is an impressive one. since march of 2000 this stock is up about 870%. this stock has been volatile as of late. it had a rough year. it has come back a little bit here. a nice move higher for whole foods. you are talking about a 1,600% gain just since the peak of the bubble in march of 2000. when it comes to off price retai

but have you ever seen the vanguard rocket car that old footage those were slight rules. these two have races. that's how we were but it's not a skill you need. now we need to be able to sift information quickly. >> what is something that has amazed you today? >> as opposed to yesterday? >> she was unclear about whether she meant today it just says today. >> here's what freaks me out every day pretty much is that we can think and i'm not kidding. we are a -- you probably sat through this a few times we are made through the dust of exploded stars and it has gravity even though it's just fast and it all came together and we have a son and we are on this planet and we have some other planets and asteroids which was cool. we are made of this material, that stardust. you and i are at least one way that the universe knows itself. that's astonishing so there's a responsibility. does the universe expect something of me, can i leave it better than i found it or am i nothing, nobody, as back? i don't know but it is good to me every day. that everyday. that is a good question. >> al

they believe their visits are the vanguard of zion. >> the rabbis who understand the next mission, they call upon the jews to go on the temple mount. >> even they say if it means war with muslims. >> if the building of the temple mount is our redemption, then yes, whatever it takes. >> translator: all the young men will revolt. it's a natural response. they will protect their home land, their al-aqsa, their mosque. >> the center of holiness now a center of growing conflict. nick schifrin, al jazeera, jerusalem. >> we will return in our final segment this hour with another view of america's sudden thaw with cuba, that follows more than 50 years of suspicion, intrigue, even an attempted twitter subterfuge, makes you wonder: >> al jazeera america morning news >> good morning and welcome! to al jazeera america >> real stories... real reporting... real news... a deeper look... >> a much better forecast for today >> with an international edge >> why is this so important and how close is this deal? >> from our award winning news teams across america and beyond >> we begin with breaking news co

they believe their visits are the vanguard of zionists. >> the rabbis understand the next mission, theew zionist mission. they call on the juice to go on the temple mount. >> reporter: even they say if it means war with muslims. >> if the building of the temple mount is our redemption, then yes, whatever it takes. >> it is a natural response, they will protect their home land, their al-aqsa, their mosque. >> the center of growing conflict. nick schifrin, al jazeera, jerusalem. >> still to come, the prime minister of belgium ambushed with fries. details, next. voice to get out there. >> by the thousands, they're sending their government a message. >> ahead of 'em is a humanitarian crisis where tens of thousands of people are without food, water, shelter. >> a special one hour look at global attacks on free press. next monday 9:00 eastern. on al jazeera america. >> well, belgium's prime minister was ambushed with fries and mayonnaise. ines is back with. ines. >> yes, belgium's prime minister was about to give a speech when watch. several activists started shouting and throwing fries and

>> well, he sees the small businesses as the vanguard of the attempt to move the country out of recession, and he promised the small businesses all across the federation that they would receive backing. he was saying that there would be no further increase in taxation for the next four years, and he's setting up special conference centers to try to boost their output as well. he said that russia has to really more involved in producing it's own technology and not relying so much on western technology. to that end he's also funding development in those areas. he also said, look, we are letting the ruble float. sometimes, sometimes not, actually. but when we let the ruble float we're not losing our influence over it. we can put the brakes on, and we can shore it up, and make sure that the speculators, who are trying to profit from any expected fall in the ruble, will basically gets burned. he acknowledged that there is a problem, but he said there is a way out of it, too. >> that's peter sharp for us in moscow. for more analysis now of president putin's state of the nation address we go to

just like vanguard natural resources. that is down, well, it's flat today, down 6/10 percent over 43%. here is one company not down over three months on the natural gas decline. that's sempra energy, that is because they have been hedging. these companies that are into exploration, they are up 24% on the year, 7% three months flat today. i tell you, cheryl, you would have thought with the news out of the weather desk with the cold moving in on a very weather-sensitive commodity, you begin to see a turnaround. not today, below $3. cheryl: and below zero. jeff flock, thank you for the live report. put the hat back on. >> my pleasure. cheryl: stay warm. jeff flock, cold looking at that live shot. closing bell is going to ring, 18 minutes to go. it pays to invest in a market newcomer before it takes off,on. next, a multibillion dollar money manager who's going to break down the hottest moneymakers. if you made money this year, i hope you did, try to make you money in 2015. >>> first, beijing ringing in the new year. we'll be

vanguard has an index for almost everything at this point in time.om up, do your research and find a security that's going to win out for you over the long term. that's our approach. >> pivoting to 2015, what do you think wins out for investor in 2015? >> we weren't heavily weighted in energy or oil or gas and now trying to unearth from the many companies dragged down by when's happening is an invest goodment. >> can you give us any particulars? >> in the energy space? we love devon and apa which che look for them for us. >> out on a limb, i love it. thank you so much for being here. >> thank you. >> really appreciate it. >>> winter holidays are the season of giving and how about unlimited pasta from olive garden and now they're casho loading the less fortunate and here's here to tell us more. >>> not everyone has the spirit of the season. it's when businesses have things stolen more than any other time of the year and it's the employees that do most of the stealing. these stories when we come back and be honest. if you've ever stolen from your job,

on the vanguard of law enforcements use of body cameras. police say they were the first force in the nation to deploy the cameras with uniformed officers department wide. a 25-year veteran, cunningham is sold school. >> can you say when they initially approached you with the need, that you were date day. >> reluct act. >> you were as embarrassing as you appear to be now? >> i thought they were going to use the camera to punish us more than to help us. then you wear it and say wait a minute, can you go to a domestic, and you have a girl crying, she has a big black eye saying he did this, he did that. she goes to court, changes the story "i didn't tell the officer that", let's play the tape. >> does it keep you in line? >> i had a trainee with me. the guy did something, he ran in the house, slammed the door in my face, i kicked the door open, and back in the day you get them, throw them down and do this... >> you rough them up. >> but having the camera on me, when i grabbed him and i remembered the camera, the camera. >> before implementing t

. >> is there any experience that based on your work or based upon the work of vanguard as to the age at which the level of the period of time within the individual's life where the education could be especially. we have legislative attempts for the students at a very young age. are there any strategies dan garda have that have been successful? >> to give you my own impression first way that we introduce young people to investing is to have stock picking contest. sending exactly the wrong message to them. we should start with a compound interest and show them how the percentage point bounce up over a lifetime to an astonishing amount. when you get to the higher level of age, i don't think that there is a single -- welcome a very, very few to be fair. it is an inefficient system serving the neutral fund investors it's about the inadequacies of the mutual fund system given by david manager of the endowment with such success at the impeccable integrity. so if we listen around you could say i have a vested interest because anyone can start one but i would like to have more competition in

we are saying that with the vanguard institutional index that is the second-largest fund and retirement people are investing in the fund's and they have 10 basis points, maybe even under that, it might be a significant difference in cost. gerri: icv you have these fonts on your list and they're not my favorites because i don't really trust the managers to make the choices and make this work. in an ideal world, it would work. but they may not work. you think this is the way to go reign. >> yes, it's a difficult question. it depends on which target they have. some of the funds are really good. if you will spend 40 years of your working career trading in and out of asset classes are fun, i would say that the target fund is always a better option. if you're disciplined and you're not able to locate your account all the time and you're able to focus on how much you save, i would say that potentially don't need to use this target date fund. but for the vast majority of people it's a good idea conceptually. gerri: it's not an easy choice. they give are coming on because it's so good to see you

either the s&p 500 or something like the vanguard total market fund which is you'll see in many of these plans. it owns all the stocks traded on the new york stock exchange and the nasdaq but since its way to buy market cap, the performance will be similar to the s&p which contains the 500 largest companies. what are the ruleers in 529 plan? let's just say you had your first child. congratulations. if you can afford it, you should start a 529 with your kid as the beneficiary right then and there. maybe wait a couple days. but any who's read "confession of a street addict" knows i traded through my son's birthing. not one of my finest moments. so they're not tax deductible so that's after tax income, that's not so great. but once your money is in the 529 you don't pay taxes on your gains so let them compound tax free year after year. it's like a roth i.r.a. except for college rather than retirement. because of federal gift tax laws, you can only contribute $14,000 if you're singing, $28,000 if you're married and final taxes jointly. that's a heck of a lot of money. and your children's gra

and on the vanguard of law enforcement's use of body cameras. say they were the first force in the nation to deploy the cameras with uniformed officers department wide. officer cunningham is old school. can you say when they initially approached you had with this idea that you were -- >> reluctant. >> reporter: you were as embracing as you seem to be now? >> i thought they would use the camera to punish us more than to help us. but then you start wearing it and you start saying, wait a minute, because you go to a domestic and you have the girl crying and she has a big black eye saying, oh, did he this, and did he that. and you go to court and now she's changing her story. i didn't tell the officer that. i didn't say that. oh, let's play the tape. >> reporter: does it personally keep you in lane? >> i had a trainee with me, and we went to a call, the guy did something and he ran inside the house and slammed the door in my face, so i kicked the door open and back in the day, you get them, you throw them down, do you all this, and they might be a d

there are a number of investment firms, vanguard, charles schwab, fidelity.n epperson, thank you so much. >>> on this giving tuesday, we're highlighting a charity with a mission close to my heart, fighting cancer. for december 2nd, stand up to cancer wants to you show off your most giving side and then share it. make a donation in any domination of two, for december 2nd and post an up-selfie on unselfish. tag the shot #unselfie and tell us why you support up to cancer. krystal and i did this morning. money goes directly to treatment for new cancer patients. joining us to tell us more about it, pamela, a member of council for stand up to cancer. thank you for being with us. >> thank you for having us on the program today to talk about stand up and giving tuesday. >> tell us all about it. as i was saying earlier, oftentimes you don't know exactly where your money is going. where does the money go directly to and how do you do it? >> that's one of the exciting things about standard up to cancer because 100% of all moneys received from the general public go direc

vanguard index fund rose 45% and that was really based on people believing that inflation will stay undertrol for a long time to come. david: that's right. >> you had a strong dollar. got to hand it to them. all the predictions you were talking about they were just wrong. it wasn't as easy as 2013. david: let me put a fine point on that. they polled these economists. 100% of the economists were wrong about the direction of interest rates, their prediction at beginning of 2014. >> yeah. david: let me go to kim. what are your worst and best predictions? >> they're not predictions in the way your other guest has them. i guess these are predictions we made through our portfolios. we kept our weighting in telecom way over the benchmark of the s&p. so i think we're three or four times the weighting. at for the pitt we believed you need to look differently than the benchmark if you want to outperform the benchmark. in this area we were just wrong. telecom underperformed although you got paid for having those stocks. they paid great dividend. david: good for you coming out with the worst. hold on

justices should be in the vanguard of a cultural particular bring a nonreligious or religious perspectiveo public life. if there is anything that has been secularized, it is the use of the bible as a platform for public of taking. -- oath taking. ofstrikes me as being devoid anything other than symbolism. it is hard to take it seriously as a religious indulgence. it just happened that away. the first president who refused to do that is likely to not be reelected. , rightly or wrongly, still thinks of itself as a christian nation. of aur question reminds me small way in which religion does make a difference on the supreme court. when you become a member of the supreme court bar, traditionally you would get a certificate that says you are sworn in on may 4. 14 year of our lord, pretty 2014. -- saidginsburg says it she had heard from the docks jews that the year of the lord was not something they wanted on their certificates. .t was offensive to them she said later on a another justice said, it was good enough brandeis. she put up her hand and said, it is not good enough for ginsburg. the co

of water in a short period of time here as vanguard properties have been ripped out and walls patched up as the need deepwater last thursday. i came by and about 530 there would like 12th and then by 645 you cannot drive down the avenue in flooded all the way from the fire station to almost of maastricht. >> reporter: the full water is gone but more rain is on the way in that means business on this year and now keeping a close eye on the forecast. we keep looking the sea with the number is officials are not accepting any thing like the mess we saw last was the effect is a the rain this week and friday has been and will be part of a cold patch of storm and the snow for the sierra recommends up into two as perfect as what one does will we need to make sure we do not have a drought year next year highway one remain close and of directions. in its way into the soil dries out of it will likely be march or april before they go in and fix the problem. >> james: the diesel rose in the beach is now already badly in need for repair. is the only road against the terrell valley in falls we're kin