And obamacare. Well talk with Wisconsin Governor Scott Walker and vermonts Peter Shumlin, and our power player of the week. I get up close and personal with washingtons newest and certainly most adorable celebrity, the giant panda cub bao bao all now on fox news sunday. And hello again from fox news in washington. We start with ukraine where the situation is changing by the hour. The parliament has voted president yanukovych out of office, and Opposition Forces appear to have taken over most of the capital of kiev, but the president says he will not step down and speaks of a coup carried out by bandits. Lets get the latest from socks Senior Affairs correspondent amy kellogg reporting from moscow. Amy. Reporter hi, chris. Well, the parliament is very quickly could beling together an interim government even though former president yanukovych is in hiding. Hes still not resigned, and its not clear whether he or any of his supporters will pick up resistance. Now the parliament voted in today, the new acting president , the speaker, oaks desh turchinov. They fired some old ministers and put out arrest warrants for the old prosecutor general and minister of income. Now we can imagine that has to do with future inquiries into corruption which has been as much a part of this revolution as the whole eastwest tugofwar has been. Last night former Prime MinisterYulia Tymoshenko was freed from jail. She was yanukovychs arch rival. She has said she will run for president , but she is also a divisive figure in the country. An aide to yanukovych said he was in kharkhiv, Eastern Ukraine, as of saturday night and doesnt plan to leave the country, but the state Border Guards say he tried to flee the country on a chartered flight, but the plane was not allowed to take off. This now the u. S. Continues to urge deescalation and constitutional change. Russians foreign minister lavrov has slammed the opposition making new demands under the influence of what he calls, quote, armed extremists and rioters. Now russia, of course, chris, pressured ukraine out of signing an agreement with the eu, offering the nearly bankrupt country a lot of money to keep it afloat. Russias now cut off that money, and the finance minister has suggested ukraine turn to the imf now for help, essentially, chris, wishing ukraine well. Amy kellogg reporting from moscow. Amy, thanks for that. For more lets bring in two Senate Leaders on foreign policy. From New Hampshire kelly ayotte, a member of the Armed Services committee, and from illinois, dick durbin, the senates number two democrat and a member of the Foreign Relations committee. Senator durbin, you spoke with former Prime Minister tymoshenko yesterday. What is your latest information . Have the protesters and the west, have they won in ukraine . Well, chris, it was quite a relief yesterday. Yulia tymoshenko has been in prison for two and a half years, but ive been working for almost two years for her release, and she was finally released by a unanimous vote in their parliament. I spoke to her just after she had addressed the crowd in the square. She sounded tired and looked frail on the reports that wed seen, but she told me, she assured me that shes looking for a peaceful resolution to the problems in ukraine, to follow the constitution and the law. This whole charge of a coup by yanukovych, let me tell you, it makes no sense. The coup, if any, was by the parliament that enacted the laws that made it clear that they wanted change in ukraine. Senator ayotte, as we say, ukraines parliament has voted president yanukovych out of office, but he is calling it a coup and refusing to step down. What happens now . I would say, chris, that they need to focus on forming a unity government. Yanukovych needs to step aside, and i will say this. Now that the olympics are over, we need to watch the behavior of the russians, and i believe the president needs to up his game and send a clear unequivocal public message to putin not to interfere in what is happening in ukraine to let the ukranian people determine their future, to ensure that there is no interference in their sovereignty, and i think this is an important time for him to do that. Let me pick up on that because president obama famously came into office saying that he intended to repair relations between the United States and russia which brought us to that famous moment involving then secretary of state Hillary Clinton and the Russian Foreign minister. Take a look. I wanted to present you with a little gift which represents what president obama and Vice President biden and i have been saying, and that is we want to reset our relationship. Lets do it together. Well do it together. It turns that instead of reset in russia the button said overcharge and thats where the problems began. Senator ayotte, has president obamas reset effort with russia failed, and has it contributed to the problems that we have in ukraine, in syria, in iran . Yes, it has, chris, and i think thats why this is an opportunity for the president to really be unequivocal with putin right now in the ukraine. What happens in the ukraine very much matters. They need to determine their future, not russia. We have seen obviously behavior from putin from harboring snowden to the efforts to interfere in syria and also with arming the assad regime, in addition to that thinking about the reports of their violations of the imf treaty, their reset policy has failed. Its time to reset the reset, and i think ukraine presents an opportunity for the president to do that with clear American Leadership here for a good outcome. Let me follow up on that because president obama this week warned all the parties in ukraine not to step over the line which reminded a lot of people of a comment he made, a warning he gave to syrias president assad back in 2012. Lets look at both of those comments. Well be monitoring the situation, recognizing that along with our European Partners and the International Community there will be consequences if people step over the line. A red line for us is we start seeing a whole bunch of chemical weapons moving around or being utilized. Senator durbin, this week the president said that this is not a cold war chessboard between us and the russians, and its not a zero sum game, but there are a lot of people, a lot of experts, who say that thats exactly the way that vladamir putin is playing it and that hes taking advantage of barack obama on a lot of these issues. You know, let me say this. Every new president is going to try to forge a new relationship with russia and try to have a more peaceful outcome to our dealings. You expect that, whether the president is democrat or republican. President george w. Bush said he looked in putins eyes and saw a spiritual man, so lets remember that each president tries to find a positive track, but let not forget that vladamir putin wasnt just a member of the kgb, he was the head of the secret police, the soviet kgb. This is a man that we should take very seriously. In this circumstance i know whats going to happen next. They are going to continue, russia and moscow and putin, will continue to pressure ukraine, and the trump card they own is natural gas. Gazprom provides gas for these countries, and when putin doesnt like their political behavior, he cuts it off or raises the price out of sight, so he has the power to pressure. We have to do everything that we can to encourage ukraine to move forward peacefully toward democracy but understand that putin has been a threat for many decades. Well, beyond rhetoric then, senator durbin, what does the president , what does the European Union do if they are going to put if they are going to make threats, if they are going to use gas as a weapon, what does the west do because rhetoric isnt going to be enough. We have to combine our efforts with the European Union to help ukraine move forward in a peaceful democratic way. We have to put the pressure on putin to stop his efforts to undermine this Natural Evolution towards democracy, and yanukovych has always been a puppet of moscow, and thats why he headed to the russian part of ukraine and why ultimately hell leave the country, im guessing, but we can and the west can gather with the European Union and put a force in ukraine that moves it towards western ideals and values. When you say put a force, are you talking about boots on the ground . Absolutely not. Let me underline not. A lot of my colleagues, and im not pointing to my friend kelly ayotte in this instance, but a lot of my colleagues think any answer for a conflict in the world is for the United States to invade. I am not one of them. I have watched two wars, thank goodness, come to an end, and i want to make certain that when you say force, sir, what do you mean . What did you mean . There are political forced involved in this, and thats the way we should work with them, political and Economic Force moving ukraine in the right direction towards democracy. So, let me give you a chance to respond, senator ayotte. You never mentioned the idea of a force. I guess the question is, one, is this over . Have the rebels won . And, two, what do you think is the possibility of a counterstrike by whether its political or economic, by the russians, and even the possibility of splitting off the eastern half of the country which is very prorussian . Well, chris, thats why i think the president needs to be clear public and unequivocal right now with a message to putin, because the idea that they could actually interfere with the territorial sovereignty of the ukraine, i mean, look what happened with georgia. I think that this is a very real possibility, and so we need to be very clear, Work Together, and i think there is economic pressure that we could provide, senator durbin mentioned. We could provide a leadership role in the imf. We also, of course, in other instances have imposed sanctions, not only on the oligarchs which recently the administration moved to do, but also we think what weve done with russia could be expanded. Let me turn briefly to syria because we had this deal under which assad, the president of syria, was supposed to turn over his entire chemical weapons stockpile by early february. So far it has turned over only 11 of that stockpile. In the meantime, assad remains in power. He continues to slaughter his own people, and as we say hes holding on to his kepton, most of his chemical weapons stockpile. Senator ayotte, who is winning in syria right now, putin or obama . Unfortunately, its putin right now, and, again, putin can play a role of putting pressure on assad. They are not putting enough pressure on assad. Assad regime is slow, dragging its feet, slow rolling trying to comply with the chemical weapons agreement, so right now assad is winning, which is very unfortunate, and what im worried about also is the recent testimony of the director of National Intelligence clapper about how the al qaeda extremists in syria are now actually posing a threat to our homeland, so this is a real issue for us as well. Senators, we have a couple of minutes left, and i want to get into one other issue, and that is the president s budget. We got some information about the budget that he will release a week from tuesday. Lets put up the details on the screen. Hell reportedly call for an end to the era of austerity and ask for 56 billion in new spending for job training, Early Childhood education and other initiatives, and he wont include a measure to slow cost of living increases in Social Security which was in his last budget. Senator ayotte, the white house says this slowing in the cost of living adjustment, socalled chain cpi, was offered only as part of a grand bargain, and you republicans rejected that. Briefly, what do you think of the president s new budget from what youve heard so far . Well, this is news to me. The era of austerity since the president has been in office, weve added 6 trillion more to the debt so were over 17 trillion in debt there. Hasnt been an age of austerity and its really disappointing that the president hasnt stepped up really to lead this effort of a grand deal, i think, that needs to be done for the nation, and it began when he didnt embrace obviously simpson bowles, the president ial commission, and its gone forward from there, but to see this budget, its really a political document. Its not what we need for america when were 17 trillion in debt. Senator durbin, you have proposed substantial reform of entitlements, including Social Security apart from any grand bargain. You say we need it because were going to run out of money, but the president , as we pointed out, is taking at least one reform in the cost of living adjustment off the table, and theres another point in this whole question of spending. The white house argues we can spend more now because according to the Congressional Budget Office deficits are going down. You can see it up on the screen in billions of dollars from 514 billion this year deficit to 478, but they ignore the rest of the cbo projection which is that starting in 2016 deficits start going back up again. Senator . I can just tell you this, chris. Since president obama has been in office weve reach the point were cutting the annual deficits in half, and were going to reduce the overall debt of the United States by 3 trillion over the next ten years. Simpson bowles had a goal of 4 trillion. We can get that additional 1 trillion by passing comprehensive Immigration Reform which is stalled in the house of representatives. What the president is saying in his budget we need to get america back to work. We need to make sure that the people who get up every day go to work and work hard can make it. They are living paycheck to paycheck. Weve got to be more sensitive to the fact that more americans working, paying taxes is going to expand our economy and reduce our deficit. Well have to leave it there, to be continued, and the budget doesnt even come out until a week from tuesday. Senator durbin, senator ayotte, thank you both for joining us today. Thank you, chris. We wanted to ask the Obama Administration about the crisis in ukraine but they decided to put National Security adviser susan rice on one show in his first sunday appearance since 2012 when she blamed the berngzy terror attack on reaction from an antiislamic video. Perhaps susan rice didnt want to answer the tough questions we would have asked. What happens now in ukraine, and what does it mean for relations between barack obama and vladamir putin. Our sunday panel tackles that next, and what would you like to ask the panel. Just go to facebook or twitt twitter foxnewssunday, and we may use your question on the air. [ male announcer ] whether it takes 200,000 parts, 800,000 hours of supercomputing time, 3 million lines of code, 40,000 sets of eyes, or a million sleepless nights. Whether its building the worlds most advanced satellite, the space station, or the next leap in unmanned systems. At boeing, one thing never changes. Our passion to make it real. Our approach in the United States is not to see these as some cold war chessboard in which were in competition with russia. President obama addressing the crisis in ukraine this week and downplaying the role of the u. S. And russia. And its time now for our sunday group. Syndicated columnist george will, former congresswoman jane harman, Heritage Action for americas Michael Needham and fox news political analyst juan williams. Well, president obama called president putin on friday. Were told they spoke for an hour about ukraine and syria and iran, and afterwards white house officials called it surprisingly positive and constructive. In fact, george, whats more, these officials are now talking about a possible meeting between president obama and president putin in russia this summer to make a sign possibly a trade deal using a term of art i learned from the comic strip peanuts. Is this lucy and the football all over again . It could be. The president may not look upon this as a cold war chessboard, but putin clearly does, and its going to be interesting when the olympic flame is extinguished later today and putin is free from his Public Relations exercise at the olympics, what is he going to do . The real danger is the dismemberment of the ukraine because the Eastern Ukraine is russianspeaking and associated culturally and historically with russia. Western ukraine much more close to europe, once part of the hungarian empire and part of poland so it has a very mixed history. The United States can influence this probably by weighing in with what putin has used with quite effectively with money because ukraine needs the money. Chris, the dutch, portuguese, the spaniards, the french, the british have all lost empires, and with varying speeds and gracefulness they reconciled themselves to that. Putin is unreconciled to the collapse of his empire. Congresswoman harman, i ask you this. As a former democratic ranking democrat, you ready for this. Im ready. Has russian president putin out outmaneuvered obama when it comes to ukraine, syria and iran . Well, hes an obstacle, theres no question. It aint over till its over, and i would like i think we would all like to see a more forceful administration policy. After all, we had a forceful policy on libya, and when that happened, a lot of us said, well, this will set an example for syria and it should set an example tore ukraine and elsewhere and the president said that he would intervene if there was an acute humanitarian crisis, an International Coalition and way to do this without boots on the ground to protect vital american interests, so i see this playing out across all three theaters. I dont exactly agree with george, by the way. I agree that Eastern Ukraine alliance with russia and western is western ukraine is more western, with you i dont think the people of ukraine want to split up the country, and i think in that sense the president s rights to listen to the people. I didnt mean to suggest the ukranians would want to split the country but that the the russian army might. Michael, id like you to weigh in on the putin obama dynamic and give me your sense of whats going on with ukraine. What is going in ukraine isnt in isolation. A situation in syria where the United States drew a red line, allowed them to go past the red line and then needed vladamir putin to come in and place statesman to get out of the failure to enforce the red line. A situation in ukraine which is easy to understand. Majority of ukranian people who want to move towards europe, the crooks and spooks in russia who dont want to let that happen, and the vacuum of American Leadership in the world that has been created by our failure to enforce red lines in syria, by whats going on in venezuela right now and our own hemisphere creates an opportunity for a lot of mischief to be going on which is what you see with the russians mingling in ukraine. We asked you for questions, and we got one on facebook from ellen clagy and led me read it to you. Since obama draws red lines and nothing changes, why would putin respect anything obama says . Juan, how do you answer ellen. Its a pretty good question. Well, i dont think its a matter of somehow waning western influence or this is about president obama. To the contrary. What i think is we have president putins enemies taking control in kiev and Yulia Tymoshenko, you know, who has long been his rival in terms of that orbit now looking at if she is going to resume having power. But you go beyond, that and you start to think about, you know, even the political consequences. He tried to invest money in the ukraine, 15 billion. It didnt carry the day with the people. You know, he has a concern about that naval cries in crimea. He has concern about the gas reserves. All of that now is in question, so to me western influence, the deal that was struck with the germans, the pols, the u. S. , led to yanukovych to leave and has put his battle, the geopolitical game that i believe putin is playing in question because clearly his influence is on the wane. Is it putins influence thats on the wane . Is this because of western strength, or is this because of people power in the streets of kiev . Well, people power is prevailing at the moment, but people power against tanks is nothing, so the question is how ruthless is putin . He has a track record, and his track record suggests that he is absolutely unreconciled to the diminished status of russia, and this is his chance, perhaps his last and only chance, to try and recapture great power. Let me pick up on that because what weve seen so far, and i certainly agree its a fluid situation, the police have one, returned to their headquarters or are, two, openly in the street with the protesters. The military has made it clear that they are not going to get involved. Are you do you really believe that the russian i was going to say the soviet army, the russian army a la budapest like prague right roll down the streets of kiev and take over. Not kiev but parts of the country and then you would have a messy negotiation about whether the territorial integrity of this enormously important country, the size and population of spain. Congresswoman . Yeah, maybe, but 82 people were killed the other day, and reports are that maybe putin ordered yanukovych to do that, unclear, and what did that do . That caused the people to rise up. I mean, were seeing this all over the world. My sort of shorthand is, you know, politicians are analog and people are digital. They use social media and they wont take topdown structures anymore and sometimes it plays out badly, think egypt, but there is a possibility that putins efforts could backfire here, and we have to be adroit, we and the rest of the world that really cares about a ukraine that has a modern pluralist technocratic government. I think thats what the ukranians want. Thats what the folks at the Wilson Center who study this think that the ukranians want. They dont want putin, and they also dont want a europeandominated government. They want their own government. One other point to consider is putin is really sensitive to international investment. He wants international influence. Hes playing the game not only in syria but in iran. In syria his client state is again in chaos, much as we see in ukraine. Things are in flux with iran so this idea that hes this giant and hes controlling the west is misbegotten . Hes sensitive to the International Monetary which he need. He seals to be winning in syria. No, hes not. How is he winning in syria . Assad is in power, not turning over his chemical weapons and continuing to slaughter by the tens of thousands. But thats not to his advantage. Not a stable state that he can rely on. Would you say the rebels are wining . At this point thats in chaos. Im saying thats not good for putin and his geopolitical ambition. Syria owes russia 10 billion, and russia are wants access to its port, and these things are rather at risk given the state of play there. All right. We have to take a break here, but well see you later in the program. Up next, the nations governors are meeting in d. C. This week ahead of elections in 36 states this fall. Democrats not missing an opportunity to criticize their republican colleagues. They seem more focused on passing policies that alienate women, minorities, immigrants, gays and other americans. Well talk with governor shumlin and republican scott walker of wisconsin next. [ ma. 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The nations governors are back in town for their annual winter meeting. In the past, they have often celebrated bipartisan efforts in sharp contrast to the gridlock here in washington, but this year the governors seem just as divided as our nation leaders over obamacare, jobs and social issues. Joining us now, the republican governor of wisconsin, scott walker, and Peter Shumlin of vermont, chair of the democratic governors association. Governors, welcome back to fox news sunday. Thanks for having us on. Thank you. Governor shumlin we wan a clip of you before the break bashing your republican colleagues for as you say alienating women, immigrants, gays and in a session that with president obama earlier this week he talked about the fact that republican, your colleagues are pushing the same old topdown tired economic policies. Does this conference all about trying to win democratic seats . You now trail 2129. No, its not, and i guess i disagree with you a little bit, chris. I do think the nations governors Work Together in a bipartisan fashion to get things down because governors have to get things done. Having said that, we clearly are in an election year, and when we want to talk about politics we do. My view, is and i think the president agrees, that we have seen the republican governors get elected in 2010 deploy failed economic policies that have not created jobs for the middle class who are struggling and refuse to ways makes and refuse to lift the boats of working people and have cut taxes for the top 1 and giving goodies to the very wealthiest and charge that had to the middle class. Now while they have done, that they have been distracted by the same social agenda that has absorbed the Tea Party Folks in Congress Going after sonograms and women and making the most personal of health care decisions, going after, you know, gays and working americans, teachers, and they paid for these tax cuts by slashing education, so we just dont think thats a prescription for job growth. Governor walker, all of you meet tomorrow at the white house with president obama. If he tries to put republicans on the defensive, how are you going to push back . Well, i think in this particular session, the initial point that governor shumlin mentioned i think i agree with. For example, well talk about the National Guard where i think there is a common agreement amongst all 50 governors that we shouldnt go back to pre 9 11 standards when it comes to the National Guard in any of our states or nationally so there are issues we agree on. I think we get together as all the nations governors both at the conference and the white house. The one area i would disagree with the governor is when you look at the successful governors across america that are republicans in states like mine where private sector job growth is best from april through december of last year than its been since 1994, a place like florida where the Unemployment Rate has been brought down 5 , Governor Martinez and nickity haley, focused on fiscal issues like i am and thats why were doing well across the country. Win big issue all governors are going to come up over the next few days is obamacare, and reading about the two of you couldnt be on more different tracks. Let me put it up on the screen. In wisconsin Governor Walker, you rejected federal money to expand medicaid, and you deferred to a federal exchange to run obamacare, not a state exchange. On the other hand in governor, governor shumlin, you accepted money to expand medicaid and are running your own exchange. Lets discuss both of those. Governor shumlin, vermonts exchange, i think its fair to say, has been a mess. Well, no it hasnt. Let me just finish. I mean, theres been big problems with both Small Businesses and individuals trying to sign up, no . No. Listen no . There isnt an exchange in the country that hasnt had a challenge of the rollout, we acknowledge that, but vermont happens to be the state that has signed up more people per capita for Affordable Health care than any other state in the nation, including the federal exchange, so, you know, youve got to keep all this in context. Listen, heres the point. Arent Small Businesses still having a problem because the back end hasnt been filled . Small businesses cant sign up up on the exchange. Individual have. Weve gotten everybody in. Heres the point. We all acknowledge, including the president and governors, getting the exchanges up was tough, but heres the challenge for i believe this issue for governors in this election. Lets say it gets fixed. Were fixing ours, they are fixing theirs and the federal exchange is working better. The problem for the republican governor, i have people coming up to me saying every day, thank you, governor, i have health care i can afford. Governors get held to a different standard on health care than congressional folks. Our constituents are smart. They know we didnt pass it, vote for it. We didnt create it. We have to implement it. Now what voters want is for their governors to get health care to folks who cant afford it, to accept hundreds of dollars of federal money. Let me bring in Governor Walker on exactly that subject. Id like you to speak to obamacare and the exchanges and whether this is just a blip or something more serious and to governor shumlins point. You turned down 119 million in federal money to expand medicaid. Mmhmm. A lot of people would say really . Well, in our case i dont think the measure of success in governor is how many people are dependent on the governor government. I want people no longer to be dependant, empower them to get good jobs and family supporting careers in the private sector. Thats part of our philosophy. We did something unique. We didnt not just take the Medicaid Expansion. We didnt take the champ earnings that come from the Medicaid Expansion and put our taxpayers as risk. We did things the wisconsin way, for the first time in our states history, my predecessor had people on a waiting list for health care. Cover everyone in poverty living in poverty and cover everyone above it by transitioning them to the marketplace. We have 224,000 more people covered than we did before and yet we dont put the taxpayers at risk. I think thats what people are looking for out of republicans or democrats as leaders who find a unique way to reform things. What Governor Walker said is true. 4. 4 billion in federal money over the next decade that would help wisconsinites get Affordable Health care. Im just saying in my state and other states around the country these republican governors, because they dont like the president , because they want to make a political point, are hurting their swents. Governor walker, 30 seconds to respond. Because i love the taxpayers, dont put them at risk. Before the Medicaid Expansion i had 600 million more to medicaid, almost 40 of that was to fill in the federal government reneging on commitments they already made even before the Medicaid Expansion. That commitment is not going to be there and taxpayers across america will be on the hook. They will not be on the hook in wisconsin. Governor walker, are you getting heat now for two local investigations in the state of wisconsin. First, when you were the Milwaukee County executive, there are allegations, and in fact people have been convicted, for working on county time to help you and the Lieutenant Governor get elected. Here is an antiwalker ad that is running right now in wisconsin. Take a look. The investigation is getting closer to Governor Walker. What did the president know and when did he first know it . What did scott walker know and when did he know it . Now, we should point out that they have brought charges against a number of people. They brought absolutely no charges against you, but the reason this is hot again is because thousands of emails were released this week that indicate that you knew that Public Workers were working on county time in political campaigns, which is against the law. Right, and thats just just absolutely not true, and if you look at the facts out there, this is old news. This is about a case that was closed last march. A democratic District Attorney in Milwaukee County spent multiple years looking at all this information. 27,000plus pages of documents that were just released have been looked at a team led by a democrat in Milwaukee County and last year in march he announced the end of that case, plain and simple. Its old news. What we have are political operatives at the dnc and dga that desperately want to switch the subject from the fact that things like taking a 3. 6 billion budget deficit and turning it into a surplus. Dont want to talk about the improve thements in the economy or suck secces in the state. They want to switch the discussion to a situation resolved last march. Because of this dump of 25,000 document its new news to a lot of the people in the state and its been big news in local papers in wisconsin. In one email that was released this week your then chief of staff thomas nardelli, lets put this up on the screen writes campaign and county workers that you wanted to hold daily conference calls, quote, to review events of the day or of a previous or future day so we can better coordinate sound timely responses, and in another email county administrative director Cynthia Archer suggests that colleagues should use a private email account. I use this private account quite a bit to communicate with skw, thats you, and nardelli, the former chief of staff. Question, if county workers were doing nothing wrong, why should they be using a private email account . Well, but thats exactly to my point. You had a democratic District Attorney spend almost three years looking at every single one of those communications, interviewing people, talking to people and closed the case. Did you know there was a private email case . Its one of those where i point out District Attorney has reviewed every single one of these issues. Youre not answering my question. Im not going to get into 27,000 different pieces of information. The bottom line a democrat who led the District Attorneys office looked at all this, decided not to charge anything other than the individuals you mentioned, people who had worked for county in the past but dont work for me today. I think thats pretty straightforward. Its one of those things where they want to keep pushing this issue into the forefront because in the end the folks running against us cant counter our boss sieve message when it comes to the economy and creating budget surpluses. You are in an election this year, as you point out. A lot of people talked about you possibly running for president in 2016. Should republicans worry from all of this about you as a potential president ial candidate in 2016 . No. I think well weigh the issues out. I think voters are much more concerned with state and federal exchanges across the country because that actually affects their health care. They are concerned about the economic decisions distracting from putting focus on helping private sector employers creating more jobs. Those are the things they should be worried about. Those are the things we replaced in wisconsin where state lost 133,000 jobs because of the poor policies in the past. Instead weve created over 100,000 jobs in our state, turned a budget deficit into a surplus. Those are the things voters are concerned about. Governor walker, governor shumlin, we want to thank you both for coming in today, and well stay on top of all of these issues. Thank you. Thank you, chris. When we come back, dont expect a budget compromise president obama floated last year to show up in his new plan. The panel comes back to discuss his changing position on entitlement reform and tell us what you think on facebook and share your favorite moments from todays show with other nfns fans. Impact Life Expectancy in the u. S. , real estate in hong kong, and the optics industry in germany . At t. Rowe price, we understand the connections of a complex, global economy. Its just one reason over 75 of our mutual funds beat their 10year lipper average. T. Rowe price. Invest with confidence. Request a prospectus or summary prospectus with investment information, risks, fees and expenses to read and consider carefully before investing. With investment information, risks, fees and expenses if. Hey breathings hard. Know the feeling . Copd includes emphysema and chronic bronchitis. Spiriva is a oncedaily inhaled copd maintenance treatment that helps open my obstructed airways for a full 24 hours. Spiriva helps me breathe easier. Spiriva handihaler tiotropium bromide inhalation powder does not replace fastacting inhalers for sudden symptoms. Tell your doctor if you have kidney problems, glaucoma, trouble urinating, or an enlarged prostate. These may worsen with spiriva. Discuss all medicines you take, even eye drops. Stop taking spiriva and seek immediate medical help if your breathing suddenly worsens, your throat or tongue swells, you get hives, vision changes or eye pain, or problems passing urine. Other side effects include dry mouth and constipation. Nothing can reverse copd. Spiriva helps me breathe better. Does breathing with copd weigh you down . Dont wait to ask your doctor about spiriva. Still to come, our power player of the week. We watch her growth and we compare it to our own kids. Brandy says theres something about pandas thats deeply appealing to humans. They are so cute. They are so sweet. They are the ultimate teddy bear. Stay tuned. Our panel will be right back. Were going to have to take on entitlements, and i think weve got to do it quickly. This was a give as part of a give and take. Candidate barack obama promised he would push hard for entitlement reform, but the white house announced this week president obamas budget will not include his offer to trim cost of living increases in Social Security and other benefit programs, and were back now with the panel. Well, as we said earlier, the president will submit a new budget this week calling for an end to the era of austerity, including 56 billion in new spending. Thats on the table, but taking chain cpi, which is that way to lower the cost of living adjustment for Social Security, taking that off the table. George, what do you think of the new budget, the little bit that we know of it so far . The frugality has to end sometime. Look, this is about november. Mmhmm. In a normal normal time, 63 turnout in president ial elections, but only 48 in offyear elections, and that falough comes disproportionately from the president s power or whoever is in power. It comes also, we know, from young people, minority and single women, three pillars of the president s constituency. Therefore, offyear elections are mobilization elections, wherefor, the point is to arouse your ways and dont demoralize it or aggravate it. Therefore, you come out talking rubbish about era of austerity which most of us missed and on the republican side they say they are not going to annoy our base or divide it with taking up an issue like immigration. Right. Im not sure ill use the word rubbish, congresswoman harman, but its the same question. Isnt this really all about politics to help democrats win in november, and in terms of policy isnt this proposal dead on arrival . Well, i think its about politics on both sides, and i think its extremely unfortunate. I am still an unabashed supporter of simpson bowles. I think they got it right. We didnt go there. Let me just quickly say the Bipartisan Commission that came up with a serious what 3 trillion or 4 trillion in deficit reform. Entitlement reform, tax reform and spending cuts, responsible spending cuts. Instead weve gone to sequestration which hasnt served us well in my view. Thats why we have a decrease in debt and deficit. That wasnt the right way to do it, and i think this is a missed opportunity on both sides. I left congress. Both sides, this is the president s budget. Sure its the president s budget but then it sets up a response which were going to hear about. Lets talk about the president s budget. Should he have kept the chain cpi in the budget . I think he decided he wouldnt get any credit for doing that, so the 56 billion is half defence and half domestic spending, we should put that out there, and its offset by other cuts to i think its either medicare or medicaid, so its paid for, but nonetheless, this is not a bipartisan budget, and i think thats a missed opportunity. Michael, i want to ask about the deficits which i discussed with the senators in an earlier segment because the white house talks a lot, and lets put it up on the screen, about the fact that in the next few years the deficits go down, 2014 it will be 514 billion. 2015 478 billion, but they ignore this, which is the fact that the deficits start going back up in 2016 and are back over 1 trillion a year by 2022. Well, this is because of the looming cost of entitlements. Look, i dont think its worth bragging about the fact that were now only borrowing 1 billion from our children and grandchildren every two years instead of every one year. Over the last 12 years the number of americans on food stamps has quadrupled. It requires a radical redefinition of the word austerity to say that what our country going through right now is austerity. We should be cutting spending. We should be looking at ways to responsibly put forth an agenda that unites americans and allows them to grab on to the ladder of opportunity, but there is plenty of room in this budget to cut spending. The president is not interested in it. Yeah, but what about the argument, and you heard it from jay carney there when he said this was part of a give of the give and take . Yes, he was willing to go up against his base which was very unhappy with the idea of reducing cost of living increases in Social Security, reducing the increase in them. They were still going to go up, but it was as part of a grand bargain in which republicans would ante up with some tax increases, and you can argue whether they are right or wrong, but hes saying why should i give what i put on the table if the republicans take all their chips off . Well, the first bill that passed the 113th congress was an tax increase by 116 billion. The last thing that happened in the year 2013 was a tax increase in the ryan murray plan. The president has perfected the art of pretend together American People that hes going to negotiate when hes not. The president talked in his budgets about changing Social Security and common sense reforms. There has been no indication from this president that hes actually interested in coming together and reaching the grand bargain or any plan to address the longterm entitlement problems our country has. He wants to play to his base by increasing spending and fulfill the woodrow wills op view of progressivism that sees no limits of the governments ability to get involved in our lives. Ill switch subjects a little bit. Juan, can you talk about that a little as well. House majority leader eric cantor issued a legislative agenda for the house this week to try to show that the gop also has its plans for the economy and for the middle class. Lets put up what the republicans are offering. They want to stop obamacare from cutting wages and work hours, reduce home heating costs, roll back regulations that they say cost jobs and stop what they call government abuse. Juan, can republicans persuade voters its really the gop that is looking out for the little guy, looking out to help the middle class and not the democrats . Yeah, they could do it by closing some of these loopholes that are on the table in terms of not increasing taxes per se, depending how you define it, but closing loopholes that allow the wealthy to continue paying lower taxes so youd get more tax revenue, and i think that that could help with some of the spending issues. But in terms of the agenda but this agenda that just came out from majority leader cantor doesnt include that. All of that is a dead many of those things they have proposed previously and its gone nowhere and its going no somewhere. To respond what michael was saying, last year the gop urged president obama to include chain cpi in your budget and then when paul ryan, the house budget chairmans budget came out, nothing was in there about closing loopholes or any increase in revenue and then greg waldon, you know, the head of the Republican Congressional Committee said this is a shocking attack on seniors, made it thoroughly political at high cost to the president , given what chris just told you about how his base reacted to this, doesnt want it so why would the president stick his neck out again given that the republicans chopped it off the first time . A great opportunity for bipartisanship in washington if youre willing to take on the interests. We were thrilled to have juan over at the Heritage Foundation talking about school choice. Lets take on Teachers Union who dont want to increase choice in education. Mike lee has a great bill that looks at a country with more Student Loan Debt than credit card debt. Mike lee has reg slayings that would radically transform the Higher Education kartel so there are bold ideas that requires getting outside the box of the broken system in washington that protects special interests. And on that rare note of bipartisanship and comity thank you, panel. See you next week. Up next, our power player of the week. Weve got a special look at washingtons, oh, boy, rising star. The website has almost 12 million hits in the last half year. There are 140 different pieces of merchandise that bear her image. Who is this superstar . Heres our power player of the week. Oh, i guess thats the only reaction you can have. Shes a little bit sleepy this morning. Meet bao bao, the National Zoos baby panda. Her name is chinese for precious treasure, and thats what shes become to washington and the world. Bao bao turns 6 months old today, and this week we were allowed to participate in a training session. Brandy smith is senior curator of mammals at the zoo. One of the things that were trying to teach her is to come toward a target so you call her name. You can tap on the edge. Bao bao, bao bao. At first bao bao paid as much attention as my own children did as babies. But then brandy gave me a piece of bamboo with sweet potato on the end. Can i you can see if she wants that. Shes liking that a little bit. These are just little treats that were kind of teaching her were trying out the new food so just like any baby, her first cereal, her first fruit. But once she weans off her mother, bamboo will be her main diet. She will take it from you, she will pick it up in her hands like an adult panda will grab it if she wants it. Shes pretty grown when she does this. I for one am very proud of her. We watch her grow, and we compare it to our own kids so its fun to watch her grow up. Bao bao is with her mother almost every moment. They spend much of the night playing. How did you get her away from her mom to come in here . In the morning her mom actually is very happy to get some mom time, some alone time. That sounds familiar. I know. Brandy says theres something about pandas that is deeply appealing to humans. The faces are just so you know, they are so cute. They are so sweet, and i think a lot of people look at them, they are the ultimate teddy bear. But for all the comparisons to babies the staff never let bao bao climb on them. They are bears, dangerous animals with big claws and big teeth so we dont ever want them to think of us as toys. We always maintain that distance with them. And when she turns 4 the panda will be sent to china. Youre going to be pretty attached to bao bao by the time she has to leave. This is something that a lot of parents can kind of sympathize with because our goal is to do whats best for bao bao and the best thing for her is to go back to china and act like a panda and breed and create more baby pandas but were sad for us but were very happy for her so that will make things easier. In the meantime, brandy smith loves what shes doing. Helping to save a species here. Every day i come in and help to save a species to. See bao bao succeed is really, you know, thats a success we all share. We share it here at the zoo, and we share it with the public. You know, the pandas belong to washington, d. C. They belong to the world. Bao bao has certainly changed over the last six months. When she was born, she was the size of a stick of butter. She now tips the scales at just over 20 pounds. Full grown she will weigh more than 220 pounds, and thats it for today. Have a great week, and well see you next fox news sunday. good news for the bart riders this morning in a matter of minutes. Trains will be coming through. How they were able to fix the tracks. More important, meatballs are found in a San Francisco neighborhood. What they are urging pet owners to do. Making an apparent trip to the bay area. 7 00 is what it says. Mornings on 2 starts now. Welcome to