Transcripts For MSNBC Morning Joe 20130226

Into a little bit of anger. Good morning. Tuesday, february 6th. Welcome to morning joe. With us on set, we have msnbc contributor, Mike Barnicle. Looks kind of awake this morning. I am. I dont know whats going on there. Been up all night. Former treasury official and morning joe economic analyst, Steve Rattner. And washington bbc world news anchor, katty kay. Good morning. Good morning. Good. Should we get right to news . Sure. If you want to. Are you joking . You guys want to talk about something . A good story. It is good. Johnny damon wants to play baseball with the yankees. They need somebody. I should have gone with it. When conservatives gather at cpac, theyll do so without one of the most popular Republican Leaders in the country. Have you heard this . I did. Conservative Chris Christie will not be invited to speak at the conference despite him having a record high 74 popularity with the voters. Here are some that will be invited. If youre going to get the guy who has a 74 Approval Rating you dont have him. In a blue state, in a state that hasnt won a president ial election since 1998. This will be major. If you dont need Chris Christie. Here, i thought the republican bench was not deep. No. Heres the list. Are you ready . Are you serious . So failed president ial candidate mitt romney is speaking. Old on. Did willie i wasnt did he win or lose . Lost by a nose. Lost by a nose. Former Alaska Governor sarah palin has a slot. Shes willie another nose, four years previously. She lost. Former senator rick santorum. He won something, i think. Oh, my lord. Freshman senator ted cruz. I dont even have anything new yorky to say. I am really sorry. Why are you sorry . I feel bad. As a democrat you should feel good. I feel bad, too. This is pathetic. Other speakers include rumor ed 2016 president jeb bush. Thats good. Bobby jindal. Rand paul and paul ryan. Thats good. This is fascinating. It shows just how sick some elements of the conservative movement are. Want me to read stewart stevens. How is nsular they are. With Chris Christie, i wrote about this last week, why should conservatives like christie, after all hes done nothing conservative over the last four years, nothing other than declaring war over extreme government bosses, fighting for education reform and spending less on this years budget than corzine spent on his budget. And keeping afloat the pension program, Health Program by eliminating colas, increasing employee contributions. The guy has done everything. He also cut business taxes by 2. 6 billion. Over 100,000 new jobs in his one state over the past year or two. Hes the first prolife governor. Thats important to a lot of people at cpac, in new jersey, since roe v. Wade was passed in 1973. Whats conservative about him . It makes sense. No cpac for you, Chris Christie. Maybe he didnt want to go. If politico is to be believed, s not invited. This underlies the big problem about the conservative movement over the past few years, its not about winning, it is not about winning. It is about sitting inside an echo chamber of resentment. Chirp small elbow. It is about resentment, it is about victory. Let them have their little conference and play their little games and leave the one guy out who is the electoral Success Story over the past four years. Could it be because of his alliance with the president during Hurricane Sandy. He hugged the president. Listen, this is again i actually am glad this is happening because it underlines just how out of touch some elements of the conservative movement are. It underlines how little they care about electoral victories. They have a coalition that cares about talk Radio Ratings and understand you have to say extreme things to get those talk Radio Ratings. They care about book sales and the more extreme you are when youre writing books, thats great. They talk about rising contributions on the congressional level, not president ial level, and the mailing list. Not about victory. This is what separates me. Ive had people call me over the past several years, despite im more conservative than most of them how i voted, the positions i did, how early i came out, one of the first conservatives to come out against george w. Bushs reckless spending. In 2004 i started doing a segment on it every single night on my show, every single night, in 2003, but im called a rhino. Its about resentment and hating democrats and hating. Thats not how you win. Maybe at the end of the day i am a rhino. Maybe some of these right wing lunatics on the air are right. Apparently these days being a republican is not about winning so maybe i should call myself a republican in name only. You know what i like to do . Win. I like to win and not only do i like to win, i like to destroy my political opponents. I like to beat them so bad badly i told my staff this, i want their dogs to be embarrassed of them the morning after the election. I want them to hang their head in shame. And the next time somebody thinks about running against me, i want them to say, i ran against that guy and he beat me so badly that my dog, three years later, still wont look at me in the eye. Thats what i like doing. I like winning. These people like selling books, they like making money and raising money. They dont understand the first damn thing about what Chris Christie understands, what it takes to win in 2013. They also like a level of ideologically purity that does not win in current politics. Its not just about ideological purity. So many were defending george w. Bush when he was blowing a hole in the federal deficit, spending more money than any democrat ever spent. Do you think cpac went crazy when george w. Bush passed the 7 tr trillion medicare drug benefit plan that wasnt paid for. Paul ryan supported it and rick san te san telesupported it. If you get along with the other side, youre not sufficiently conservative. Let them boil in their own stew because these people, by excludeing Chris Christie have shown their hands and a Great Service to the conservative movement. So many people are shams and not true conservatives. We can see it now. They dont care about winning. They care about hate, resentment, selling books, talk radio, things in the end keep us out of the white house for another generation. Theres games going on in washington right now quite frankly the right could be doing better at. Theyre not. You wonder why and you look at this and theres the answer. Katty kay, the former strategist for mitt romn writes the gop revival must go beyond joining twitter. We need to be only nerve rouse in our development and consumptico consumption of new Technology Tools and relentless in our dedication to speak for the majority of americans. One without the other will fail. In the democratic dark days after the 2004 election, few realized that the Democratic Party was only one candidate and one president ial election away from a revival that is now touted as dominance so it can be with the republicans. For 2016, the democrats seem headed toward a fight between Hillary Clinton and joe biden. What will their slogan be . Another century of service . On our side, we have paul ryan, nikki haley, marco rubio, Chris Christie, jeb bush, Susana Martinez and more. Who has the best opportunity to win that generational battle . There are inroads the republicans can make with the right leadership and right policies. The hispanic vote we know is naturally more socially conservative than much of the democratic platform and is an area republicans could have advantage with voters. They just failed to be inclusive in the last round of the election. We saw that so clearly in 2012, when it came to women and minority voters trying to limit voting rights, when it came to hispanics with the talk they had about selfdeportation. Every single group, republicans managed to alienate during the last election. One of the things that frustrated me about the Republican Leadership, you heard it in tampa, what will you do to reach hispanic voters . We have Susana Martinez, we have marco rubio. As if having the right person at the top can reach out. Its not just that, policy as well. Much of that is tone of inclusiveness and policies that reach out to minority voters. Take that to the latest and looming sequester, president obama and Congressional Republicans havent spoken directly since last week and yet to meet face to face reportedly this year. The president continues to push his plan for raising revenue while House Speaker john boehner rules out the possibility of any new taxes. I stand by those commitments to make the reforms for smart spending cuts. We also need republicans to adopt the same approach to tax reform that Speaker Boehner championed just two months ago. The president says we have to have another tax increase in order to avoid the sequester. Well, mr. President , you got your tax increase. Its time to cut spending here in washington. Instead of using our military men and women as Campaign Props if the president was serious, hed sit down with harry reid and begin to address our problems. You know, willie, it strikes me not only the white house but liberals for a decade now have said if republicans were serious about the deficit, they would cut defense spending and they would come forward with tax increases. Well, it looks like, as mike was talking about yesterday in this new york article, republicans are going to come forward and let these defense cuts go through. So republicans will, over the past three months compromise in defense spending and compromise in tax increases. So i think its fair at this point to say, mr. President , show us your hand, because this is what weve been hearing for a decade. Taxes have gone up and now were going to cut pretty significantly from the pentagons budget. Your move, mr. President. He wants revenues to go up again and John Boehners response is, we just did that. Thats the thing. We always heard, you guys raise taxes, cut defense spending and then we will come back with a compromise on spending cuts. But, no, we raise taxes, we come forward with pentagon cuts and the president comes back with, we want to tax more americans. Lets raise taxes again. You wonder where this ends now then, right, because if the president s not going to go anywhere without more revenue, where does this take us . We have the plan in place that was supposed to do both of those things. Were at that point on friday and we will hit it and neither side is going to get to it. Whats the end game here. How do you think this is goin going . Its going terribly. Republicans always lose these budget battles. I get a sense for the first time the president is overplaying his hand. Talking about fear and loathing, locusts ascending from the heavens, now talking about more tax cuts, your dog will be forced to eat dandy lions in the backya backyard. You know the list they released, state by state by state, aimed at having people thinking that the world is going to come to an end on saturday so get the trash taken out before then, why didnt they release that four weeks ago . Did these numbers just occur to them over the weekend . I didnt think they thought republicans would be so difficult to noergt with yet again . Why did they tiptoe up to the edge of the sequester. Good question. Both sides have tiptoed up to the edge of the sequester. The white house is being criticized for doing exactly what you say they should have done earlier, the socalled scare tactics and fear mongering. John boehner is speaker of the house. Wh whats president obamas title, president of the United States, not the democrats, not harry reid, his base is the country. What do you want him to do . Lets lead a little. I read that in the paper. Lets lead a little. Speaker boehner cant speak for his own ccus and theres no compromise. Who has the bigger microphone . Who has the bigger megaphone and larger presence on the national stage. Thats why you see the president out with the military and criticized by the president. Youre a leader,youve led your entire life, can we just not admit here at the table the president hasnt shown the type of leadership he should on all these issues. I think there are things the president should have done differently. We talked about them endlessly around the table. On defense the other side is particularly divided. We just had a whole discussion about cpac and whats a true conservative and all the rest of the stuff. You have to have compromise. I can separate the talk radio types from john boehner. Im not sure. I can separate. Lets look again at the big picture. Lets look at this from 30,000 feet. Weve always said the grand bargain. Said this for years when republicans give up on taxes, compromise on taxes and compromise on defense spending. Check, check. No. No. No. No. Oh, my gosh. They have not done that actually. If sequester goes through, there are going to be massive cuts in defense spending. Yes. In return the president compromises on spending and entitlement programs. Yes. But the compromise on taxes everybody holds up on a great compromise on taxes was half a compromise on taxes. The republicans agreed to 650 billion of revenue over 10 years at out of 4 trillion of cuts, 15 of the total. That really isnt a compromise. Boehner was ready to give more than that last december. In that deal, republicans came halfway to the compromise. Halfway to the compromise. How far did the president go towards the come mines the last deal. The last deal was just about taxes. Correct. He didnt do anything. The previous two bills were all about spending. You have magical charts. I have magical charts that will show you this. Im sure they are. We will do the charts a little later. Its fantastic. I think this whole deal steve has with the nation to come up with the charts for him to come here and put them on the air is great. My charts are balanced. I need something explained to me. We had a republican on who was great and said, ill close loopholes and 40 seconds later, this president is going to force us to raise taxes. Acting like that was a big negative. Isnt the president asking to close loopholes here . Give us something for it. Whats wrong with that . Why are we acting so insulted . Give us something for it. Hes offered about 900 billion in cuts. Take it, take it. This is not complicated. This is not complicated. All you need are to have a balanced package of taxes. Another 6 600 billion or so of taxes and in return for that you need significant reforms in entitlement programs. Exactly. Thats not complicated except you have a president who will not do that. We now have him to where hes talking about modest reforms in medicare, which is great so when i have stage 4 cancer i hope my doctor looks at me and says we will take a modest approach to this. You need to take some vitamin c. This is a negotiations, right . This is a negotiation and you have john boehner standing up there saying, read my lips, no new taxes. How do you have a negotiation . If i was john boehner, i would say no way we will give him another dime of taxes even though i agree to close loopholes even though its about who goes first . We have already gone first. We raised taxes and we republicans have done the two big things on the items. I want the president to tell me how hes going to reform. Cut spending by 1 1. 7 trillion. That is nonsense. You guys talking generalities. I will leave you two guys to oning th work this out. Glad to not be in it this time. Katty kay, how about you give the conservative bbc give us your take . One caution from a conservative country at the moment where we had tax cuts and conservative programs we are now facing the process of a triple dip recession in britain and lost our triple credit a rating. Thats a bad day. And could have hung on to and put a lot of store by. Where recovery is fragile and Global Markets are watch iing inextricably closely what america and american politicians are failing to do, you have to be careful how much spending cuts you have. You said it countless times the long term issue is spending cuts to health care and short term issues, you have to be careful. Steve is right, there have been huge cuts to Discretionary Spending under president obama some we have seen in decades. I love that, my favorite words. Cuts to Discretionary Spending. That is funny, you raise spending by 100 and you cut it by 5 and thats big spending cuts. Katty again you were talking about the negotiation process. When talking about medicare, not about cutting education or transportation or anything like David Cameron did now, im talking instead, other than defense, im talking about the long run, we need to focus on the long run so we dont make the same mistakes as the united kingdom. Theres two sides of this, too, you talk about the spending cuts are bad . What about raising taxes while the economy is upside down . Keynesians are supposed to be against that, too. We had a big debate in this country about that, whether you can raise taxes on the wealthiest and will it affect growth that much. Im sure steve has the list of economists out there that says you can raise taxes on people over a million, give them a 30 mandatory tax rate earning over a million and wouldnt affect growth very much because of the kinds of things theyre investing in. At the moment on the tax raises and how you do them, theres a debate. On spending cuts, youre dead right, you have to address medicare and thats the big one. Youre right again, the president is not coming forward. There have been Discretionary Spending cuts. Lets bring these tax increases to the real world. For me, i dont run a Small Business, thank god finally, i get a paycheck across my desk every two weeks. Thats fantastic. Raising taxes will not affect me. But i tell you what, i know a lot of Small Business owners who are carrying have to make payroll every two weeks. Are you talking about what the president wants now . Im talking about raising taxes among anybody right now is going to dampen economic input and economists, college professors, journalists that say it will not just havent lived in the real world. I agree with you. The expiration of the 2 payroll tax cut at the end of the year had a material effect. You saw walmart and burger king. I dont really care if we raise taxes now or later but tax increases have to be part of this 10 year package. I agree, just like medicare cuts. I agree. We have to be so careful about what we do, the economy is upside down. The Fourth Quarter we were in the negative. Have to be careful now and weve got to plan ten years ahead. You agree. Still ahead the 90th anniversary of the world. By the way, my twitter says this, why i love hat Steve Rattner. People come up to me on the streets and say, ask rattner. Whats rattner like . When i walked down 9th avenue in 1964 going to the warrick now is the anniversary of the trade center bombing. We will talk to Police Commissioner ray kelly and one of the statest that could be hard e hardest hit by the sequester cuts, senator tim kaine and robert gibbs and eugene robinson. First, bill karin. I have myself a rattner crush, too. Didnt think you needed to know that but i do. We are getting nailed again. Two storms in about two weeks. The last one we had last week dumped about a foot. This will do the same. Interstate 75 coming out of the worst of it. Chicago, a lot of rain out of the ohio valley. Youre not alone. Getting a soaking rain out of the deep south. We had a tornado at the bottom of your screen. Still, a tornado watch coming out of gainesville. All that green on the map, thats a soaking rain out of South Carolina and north carolina. Eventually, that will come up to washington d. C. , an umbrella day. The nations Capitol North ward. Its primarily to the great lakes, bring your umbrella late today about 6 00 p. M. , west coast, you look fine, were looking pretty nice in texas. Wichita, one of the snowiest months youve ever seen. Snow is just ending and picked up another 610 last night. Morning joe brewed by starbucks. I know what youre thinking. Transit fares as in the 37 billion transit fares we help collect each year. No . Oh, right. Youre thinking of the 1. 6 million daily Customer Care interactions xerox handles. Or the 900 Million Health insurance claims we process. So, its no surprise to you that companies depend on todays xerox for services that simplify how work gets done. Which is. Pretty much what weve always stood for. With xerox, youre ready for real business. Ya. Alright, another one just like that. Right in the old bucket. Good toss see thats much better that was good. You had your shoulder pointed, you kept your eyes on your target. Lets do it again watch me. Just like that one. [ male announcer ] the durability of the volkswagen passat. Pass down something he will be grateful for. Good arm. Thats the power of german engineering. Back to you. Ah. 4g, huh . Verizon 4g lte. 700 megahertz spectrum, endtoend, pure lte build. The most consistent speeds indoors or out. And, obviously, astonishing throughput. Obviously. You know how fast our home wifi is . Yeah. This is basically just as fast. Oh. And verizons got more fast lte coverage than all other networks combined. So its better. Yes. Oh, why didnt you just say that . Huh what is he doing . 30 past the hour. Time to take a look at the morning papers. The New York Times, saudi arabia has financed a major shipment of infantry weapons from croatia to rebels and syria. Syria opposition have led to 10 talks in rome with secretary of state john kerry. Opposition leaders previously opted to boycott the meeting saying western powers had not done enough to intervene in the fight. Washington post surgeon gener general koop has died. He issued stern warnings on the dangers of smoking and made violence a priority and c. Everett koop was 76 years old. Google is concerned samsungs rise could give them more leverage on future deals. 40 of google and Android Devices are handheld samsung sets and trying to get other phone makers to increase competition to help keep samsungs power in check. More and more products in europe revealed to contain horse meat even though the packages arent always marked this way. Get this. Ikea meatballs, we have that every night. Do they come with the couches. Furniture retailer ikea, they revealed some packages of their famed swedish meatballs sent out across europe did in fact contain horse meat. According to the company, none made it to the u. S. Who knew ikea sold meatballs . I did. I love ikea meatballs. Mikas daughter when she goes horseback riding actually feeds them to the horse. Stop it. Youre sick. My daughter is never going to speak to you again. Its terrible. I dont think she ever has. Is there a refrigerated section in ikea, where are the meatballs . Do they come in parts . You have to assemble them. You put them on the shelf. At the horse stable. Stop it, joe. There will be naysayers, wow politico. Politico. Hes here. If you cant trust ikea meatballs, who can you trust . One more institution. Our faith is shaken. Our faith is shaken. Horse meatballs at ikea. In the flesh in new york city, the editorinchief, they sent us the editorinchief. Thats huge. Take us through this fascinate i fascinating governorial race. The former chief, Ken Cuccinelli and the former chief, terry mcauliffe. Its what you talk about, the divide in the Republican Party. Ken is really conservative and the guy elbowed aside, bill boeing says theres a 5050 chance he will run as independent. If he does, he will get a lot of independent support in virginia. The point of politics to talk to yourself and feel good about ideological ideological purity, what cuccinelli feel good about and saying neither of these guys are palatable, we dont want an old clinton hand and theres got to be a middle and the question is whether an independent candidacy might represent that. When you say really really conservative, how conservative is he . What do you mean . What are some of his positions . Hes motivated by social conservati conservatism. As attorney general he got involved in this dispute in virginia where he was cracking down on scientists who disagree with his view on Global Warming and big compromise in virginia passing to raise revenue for transportation in the state. The governor, bob mcdonnell, thumbs down and every time he had to make a point in favor of ideologically purity he tends to do it and a darling of virginia. Virginia is a purple state and voted democratic the last two times. It certainly looks like there will be an effort by democrats and possibly a third candidate to paint him out of the mainstream. You know, mcdonnell, one of the most conservative governors in the state, hes been distancing himself from cucicnelli, im sure he will get a big applause from cpac. He cuts spending, cuts taxes and grows the economy, not welcome there, but a guy like cuccinelli, thinking about not having his youngest son get a Social Security number because quote thats how they track you down. Really . 2013. I wonder what bill buckley would have said about a guy like Ken Cuccinelli. He threw out people infiltrate ing those infiltrating the moveme movement. Not getting a Social Security number because quote thats how they track you down. With they black helicopters, going steal your cows, right, going to steal your cows, your sheep. Any barnyard animals. Take your guns. Horses. Meatballs. Theyre going to hold the rest theyre going do experiment, mind control experiments on the rest of the barnyard animals that the black helicopter sees, like close encounters, they suck them up out of the black yard. The horses, what will they do with them . Ikea meatballs. Stop. The kids are up. They will sell them to make ikea meatballs. This is a problem. Like Chris Christie. He supports the stealing of livestock and black helicopters and ikea meatballs. Dont invite him to cpac. Dont invite him to cpac. Hows that working for you guys. John harris, good to have you here. The new England Patriots sign tom brady until 2017, when he a hes 40 years old. Good deal . Well talk about it next. [ nyquil bottle ] hey tylenol, you know were kinda like twins. [ tylenol bottle ] we are . Yeah we both relieve coughs, sneezing, aches, fevers. And i relieve nasal congestion. Overachiever. [ female announcer ] tylenol® cold multisymptom nighttime relieves nasal congestion. Nyquil® cold and flu doesnt. How did i know . Well, i didnt really. See, i figured low testosterone would decrease my sex drive. But when i started losing energy and became moody. Thats when i had an honest conversation with my doctor. We discussed all the symptoms. Then he gave me some blood tests. Showed it was low t. Thats it. It was a number not just me. [ male announcer ] today, men with low t have androgel 1. 62 testosterone gel . The 1 prescribed topical testosterone replacement therapy, increases testosterone when used daily. Women and children should avoid contact with application sites. Discontinue androgel and call your doctor if you see unexpected signs of early puberty in a child, or signs in a woman, which may include changes in body hair or a large increase in acne, possibly due to accidental exposure. Men with Breast Cancer or who have or might have prostate cancer, and women who are or may become pregnant or are breastfeeding, should not use androgel. Serious side effects include worsening of an enlarged prostate, possible increased risk of prostate cancer, lower sperm count, swelling of ankles, feet, or body, enlarged or painful breasts, problems breathing during sleep, and blood clots in the legs. Tell your doctor about your medical conditions and medications, especially insulin, corticosteroids, or medicines to decrease blood clotting. So. What do men do when a numbers too low . Turn it up [ male announcer ] in a clinical study, over 80 of treated men had their t levels restored to normal. Talk to your doctor about all your symptoms. Get the blood tests. Change your number. Turn it up. Androgel 1. 62 . The reason im still in this body feelin so good isnt because i never go out and enjoy the extra large, extra cheese world we live in. Its because i do. Introducing the new Weight Watchers 360 program. Join for free and expect amazing. Because it works. Welcome back to morning joe. 6 41. Time for sports. Nfl news, tom brady giving patriots a little bit of hometown discount and breathing room. Sources tell espn and tell Peter King Brady has agreed to a three year 27 Million Contract extension that will keep him in new england through the 2017 season, when he turns 40 years old. Good news nor the pats, a new contract frees up 15 million in cap space over the next two seasons. Obviously on the open market he gets a lot more than 9 million with somebody like joe flacco looking for 20 million a year. It helps the team and brady because he guaranteed himself a lot of money in old age when he maybe would have retired and not commanding 9 million. For nfl, yeah. That con voluted cap thing youre saying he would get 20 million . Because joe flacco is looking for at least 20 million. Because it happens in the Twilight Years of his contract. He pushed money back from his existing contract. Got a bunch of guaranteed money later. Winwin for both. College star manti teo hoping to overcome lingering doubts about his girlfriend hoax at the combine in indianapolis. Yesterday, he ran the 40 yard dash in 4. 82 seconds, which is not great for those at home. That places him 20th among the 26 linebackers who were there. That time also slower than 12 of the defensive linemen who ran the 40 yesterday. He said he was obviously very disappointed but theyre still projecting him to go somewhere late in the first round. Hes small, too, not particularly fast. He ran an imaginary 3. 2. The thing is he is slow. As our coach used to say about us at catholic high school, they may be slow, but theyre small. How about a little alabama football . Scouring the country as they always do for the countrys best recruits, nick sabin taking his recruiting to the middle school and offered a full scholarship to 14yearold dillon moses, 61200 pound 8th grader who will not enroll in high school until this fall. Before you laugh, alabama trying to keep up with the sec rivals. Moses had already been offered a scholarship by lsu last summer as he was entering eighth grade. This kid must be good. Got to keep up with the joneses in the sec. And the hit comedy, family, Jesse Tyler Ferguson with us. And mikas must read opinion pages. [ male announcer ] its a rule of nature. You dont decide when vegetables reach the peak of perfection. The vegetables do. At green giant, we pick vegetables only when theyre perfect. Then freeze them fast so theyre are as nutritious as fresh. [ green giant ] ho ho ho. Green giant [ construction sounds ] [ watch ticking ] [ engine revs ] come in. Got the coffee. That was fast. Were outta here. [ engine revs ] watch this alakazam [ male announcer ] staples has always made Getting Office supplies easy. Another laptop . Dont ask. Disappear abracadabra alakazam [ male announcer ] and now were making it easier to get everything for your business. And for my greatest trick enough [ male announcer ] because whatever you need, well have it or find it, and get it to you fast. Staples. That was easy. Well have it or find it, and get it to you fast. Ive always had to keep my eye on her. But, i didnt always watch out for myself. With so much noise about health care. I tuned it all out. With unitedhealthcare, i get information that matters. My individual health profile. Not random statistics. They even reward me for addressing my health risks. So im doing fine. But shes still going to give me a heart attack. Were more than 78,000 people looking out for more than 70 million americans. Thats health in numbers. Unitedhealthcare. Live look at the Lincoln Memorial at 48 past the hour. Lets do the must read opinion pages and rattners charts. David brooks writes in the New York Times, our second ad less sense. My dream obama would abandon the Big Government versus small government argument. Hed point out that in a mature aging society, government isnt going anywhere. The issue is not size but sclerosis. The Crucial Point is not whether a dollar is spent publicly or privately, its whether its spent on the present or the future. The task today is reform institutions and rearrange spending so we look like a young nation and not a comfortable seeking declining one. My dream obama wouldnt be just one gladiator in the zero sum budget wars, hed transform the sequester fight by changing the categories that undergird it, hed possess the primary ingredient of political greatness, imagination, the great president s like Teddy Roosevelt see situations differently, they ask different questions. History pivots around their terms. You know, great president s also question initial assumptions. I think a lot of peoples dream this would be the barack obama we were introduced to as a nation in 2004 have been dashed time and time again. He doesnt see the country as one country politically, he sees the country as blue america and red america and he campaigns to sure up support in blue america. That can all change. Hes got three years, 3 1 2 years to be more inclusive, but i dont see it happening because i dont think he understands republicans. Doesnt really talk to republicans that much. He comes from unlike bill clinton, he comes from very insulated political world. One counter to the not talking to republicans from the context ive spoken to. You can roll your eyes at this, he is. Let me take off my glasses so people can see me roll my eyes more effectively, go ahead. He is talking to them and in order to help some save face because boehner is having such a problem interacting with his own caucus, that has been kept quiet. Im sure you wont believe that. You really think hes not talking to any. Thats crazy. Thats just my opinion. Democratic senators tell me that hes not talking. He hasnt for years. He could change. I believe in second chances. I believe f. Scotts fitzgerald is wrong. I believe there are second acts in american society. So the sequester is friday, steve there are three charts that will prove that right now. Explain. I dont know if i have enough time to convince you, joe, i will do my best. Lets try. You hear a lot of people on the right saying these cuts are no big deal, 2. 3 . Any business can cut 2. 3 . They dont affect the entire budget. 40 of the budget. Defense will be cut 42 billion, taking a 7. 3 cut in its budget. Nondefense discretionary, the investment we like to talk about. 7. 3 in the budget and we have to blow this out a little bit. Be patient. Is that in real dollars, in projected cuts . In fairness from the proje projected baseline budgets in itself has modest cuts. Not real cuts but cuts. Were slowing down the rate of growth. True. But you also have inflation. Anyway, lets do this in a relative one. 7. 3 for defense. 5 for nondefense discretionary, education infrastructure, transportation kinds of programs we like. Look at medicare, 2 out of medicare and nothing out of the rest of the budget. Lets look at now just to remind everybody of what we had in terms of cuts so far. We actually had four rounds of deficit reduction. The first two were all spending all out of domestic Discretionary Spending and then you had this tax increase, joe, you like to emphasize and then you have the sequester, all out of spending, out of those categories weve shown you. If the sequester stays in place, we will have 3 3. 5 trillion of deficit reduction, almost all of it, 85 of it out of spending. Lets look at the really important point here, everybody agrees we should cut spending. The really important point how it affects different parts of the budget. Does everybody agree with that . I will run out of time if i tell you how it affects the budget if i answer that question. Hes getting awfully short. Wow. Just quickly, defense is 18 . Defense is 18 of the budget. It will take 38 of the cuts. Nondefense discretionary, education, transportation, infrastructure, is 16 of the budget. Its going to take 44 of the cuts. Joe, this is one you should Pay Attention to. Entitlements are 45 of the budget and they will take 4 of the cuts. So what you can see here is how unbalan unbalanced these cuts are. The bulk of them go to defense and nondefense discretionary, which only represent about a third of the budget. Another way to look at it is nondefinition discretionary is going to lose 17 of its projected budget over the next 10 years. You know, its again, therein lies the problem. Therein lies the problem. They always go to Discretionary Spending, they dont have the courage to talk about entitlements, thats like you said, 45 of the budget. Its hard to convince americans when youve got, i think our debt costs us 2. 3 billion a day, it continues to grow with historically low interest rates, there are a lot of people i think in the capitol, republicans maybe, a lot of americans who say we have a 3 35 trillion budget, kikkan cut 2. 4 without damaging the economy if we do it in a smart way. The flip answer is cut 2. 4 . The fact is were doing it in a stupid way, the most stupid way you can imagine. Once again, were cutting from Discretionary Spending when we have to reform entitlements. Still ahead on morning joe, his state could lose up to 200,000 jobs if Congress Fails to address the sequester by this friday. Well talk to virginia senator, tim kaine, about the looming cuts and Jack Kingston joins the conversation. Angies list is essential. I automatically go there. At angies list, youll find reviews on everything from home repair to healthcare written by people just like you. 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Holy were doomed students without Financial Aid will have to get jobs feeding 6 children to old people why did i only buy the hat . Welcome back to morning joe. Top of the hour, Mike Barnicle and Steve Rattner are with us with katty kay from washington and joining us former press secretary robert gibbs and joining us msnbc political analyst, eugene robinson. We will begin this hour with a looming sequester. President obama and republicans have reportedly not spoken directly since last week and yet to meet face to face this year. Instead, the president continues to push his plan to close tax loopholes. White House Speaker john boehner rules out the possibility of any new taxes. I stand by those commitments to make the reforms for smart spending cuts. We also need republicans to adopt the same approach to tax reform Speaker Boehner championed just two months ago. The president says we have to have another tax increase in order to avoid the sequester. Well, mr. President , you got your tax increase. Its time to cut spending here in washington. Instead of using our military men and women as Campaign Props, if the president was serious, hed sit down with harry reid and begin to address our problem problems. Robert gibbs, can we just clarify something. Maybe im confused. No. I doubt it. Im sure it is. Just a little lady here with ideas. Does he want to raise tax rates again or just close loopholes . I think the president would tell you he wants to close loopholes. Does that hurt businesses . No. I think it would tax simplification is what Corporate Tax reform would partly be about. Its interesting to note you saw Speaker Boehner there say we cant have another increase in revenue. The increase in revenue that was had as a result of the fiscal cliff equalled less than what Speaker Boehner offered in the negotiations. Whats he upset about . Im confused. You mentioned had i met face to face i think was at the insistence of Speaker Boehner, said im not getting involved in any more of these negotiations and thats where we are. The president cant meet face to face with other republicans . With senators . Apparently it causes problems. I think he can meet with p v previosome but unless and until you meet with the house of representatives when he says we wont raise tax rates is not telling the truth. Nobody said he wants to raise taxes. Actually, yes. No. He has a proposal he has a rove n revenue profession revenue proposal. You could deduct 28 on your deductions. The republicans say no revenues. Thats where we are. Which incidentally was a proposal the president made several times in different budgets some what analogous to what mitt romney offered up in the first denver debate as a way of getting loopholes deductions and revenue back in the back. Gene, im at least not going play the blame game here. I personally think the president any president yields compare influence and can shape events far more than anybody in congress. Lets not play the blame game. Lets look at both sides and say these guys havent gotten together and talked in the new year. Were about to have spending cuts that will go after true productions, military, and a true meat axe approach and as Steve Rattner said in the last hour not touching entitlements and instead going after discretionary domestic spending. This is no way to run a railroad. No, it isnt. I always tell people, keep in mind, they all agreed to do this. They agreed on the sequester. It didnt happen by force or something, they agreed. They voted to do this. So they would so they would then be forced to come up with a more reasonable way of moving forward and they didnt do that. I guess its going to happen. The assumption is it happens and then everyone scrambles to fix it. The argument is over how you fix the sequester, how you fix the bad thing youve done rather than how you avoid it. That seems to be where we are today. Mike, look how theyre going about this. Again, they havent talk. Come on, they have not talked since the beginning of the year. If you are running a business, running a corporation, running a Small Business and you werent talking to your partner, that you have to deal with around the board table to get anything done, your business would collapse. Youre criticizing both sides, right . If youre running a serious business, you wouldnt talk to any of these people. Theyre playing a game. Both sides are playing a game. You just heard the speaker of the house say, you know, the president of the United States insists on playing games with our military men and women, using them as Campaign Props. All right. So just take that one statement. A High School Math teacher could go in and look at the Defense Department budget and cut it responsibly, but if you talk about the Defense Department budget you immediately get comments like that, National Security. Exactly. The iranians are going to attack us. Both sides are playing a game here, joe. Both sides. Thats why our budget is projected right now, mika, to go up over the next 10 years to 25 25. 4 trillion. Its unsustainable. Yeah. Katty kay, would you see this, from your point of view, as both sides playing a game . Yeah. Theyre both looking at the polls and theyre wondering at this stage whos going to benefit more or perhaps suffer less from the political consequences of sequestration. The republicans, particularly the Tea Party Members of the house, who think their only real risk is a challenge from the right in primary season, think, okay, you know, the polls may look terrible for the Republican Party in congress but actually theyre really worried about their reelection prospects and maybe voting for sequestration and letting it pass will help them in the long run basketballs it proves their conservative credentials and the president is hoping when the public wakes up to the impacts of sequestration the polls will prove him right. Neither of them are looking at the Long Term Health of the country, both looking at their short term benefits. I would definitely say those on the right are looking at reelection long term prospects, gosh, when you look at cpac and people theyre putting at the top of the list. Theyre definitely focused on winning. Theres a difference between the president ial election and Tea Party Members. Getting to the next story, conservative gasser the in cpac, they do that three weeks from now and they didnt invite Chris Christie. Why should they . The guy has 74 Approval Rating. He stood up to powerful union bosses. He made the pension programs my goodness, look at his Approval Rating. Who wants that he actually has cut spending in real dollars. Ew. This years budget compared to 2008 budget. Hes cut Corporate Tax rates. Good lord. Hes grown the economy by over 100,000 jobs over the past couple of years. Dont want that. In his state. Hes the first prolife governor in new jersey since roe v. Wade passed and he is thriving in a state he has the highest Approval Rating in a state that hasnt gone republican in a president ial contest since 1988. Why would they want a winner there . They want people that scream at microphones and talk to a very small selfreinforcing echo chamber. Yes. Little one. Let me ask you a question, joe. Thats great. Please put on your Political Consultants hat. Youre handling Chris Christie. Yeah. I come to you from cpac and say, wed like the governor of new jersey to come and speak. We will fit him in between sarah palin. And ted cruz . And the senator who shall not be named from texas, do you send him . Theyve actually done him a great favor. Do you remember the bar scene from star wars, they walk in and theres that crazy collection of robots and monsters all drinking a bluish milky liquid, thats coming to washington in just three weeks. A star trek convention, my god. It is i will say this, i think this shows theres so much hub hub around Washington Republicans, this one will be the nominee and this one. I think it Shows Washington becomes sort of a tea party echo chamber, right. You Say Something loud, ill Say Something louder, ill try to be the loudest. I do think in 2016. Watch the governors. Theyre the ones that have the ability to understand how to get things done working with legislatures and in trying to advance their version of conservative principles without being behold onto the washington game. Thats why in 2016, watch the governors rather than watching senators. Watch the governors. I tell you one example of a governor not to watch, gene robinson, is the gubernatorial candidate in virginia right now, Ken Cuccinelli. He is a guy thats being distanced from bob mcdonnell. Here is another great example of how i wont even say far right the Republican Party has gone, how radical elements in the base have gone. Bob mcdonnell is now seen as a liberal by some members of the conservative base while Ken Cuccinelli is having events to raise money and actually being lectured by people in the audience, who are standing up at whats supposed to be a very positive event. Again, gene, this is a guy who said he wasnt going to have his child sign up for Social Security because quote thats how they track you down. Thats how you track you d n down. Social security is evil. Medicare, hes going after medicare, hes going after Social Security. Its all evil. Some satanist plot to drain us of our precious bodily fluids. Hes out there. Thats where cuccinelli is. Yet the true believers love him. Skr joe, doesnt there need to be a revolution in the conservative movement at some point and people who are pragmatic and who do want to win, like governor christie and like other governors and other conservatives around the country, oust this sort of crazy cabal thats running the movement and the Republican Party and will run both into the ground. Right now, you have a divide, steve, between Washington Republicans and republicans across america. Always important to remember as bad as 2012 was for the Republican Party, not a single republican governor incumbent lost in 2012. We still control 60 of the governors seats. We still have a majority in state legislatures. We still have a majority in state senators. Outside of washington, they know how to get things done. Inside of washington, its this talk radio mentality. You scream in the echo chamber, you are more focused on stirring up resentment than you are in winning votes. I suppose theyre going to wait and think that somehow theyre going to win again big in 2014 and that will make everything okay. Then of course we will lose in 2016 with this sort of attitude. The white house thinks they will win in 2014. Well see whos right. I take both your points about republican governors being rational about Medicaid Expansion and not holding it hostage to their political ideologically. You take the Republican Party, and they have done nothing to improve their position and i think the position whatever rights and wrongs may be on sequestration, it seems to me obvious they will lose politically on sequestration. I think its actually tightening up. Yes. We saw a poll tightening. I do think, robert, id like you to push back. I think the white house has overplayed their hands talking about taxes and americans are thinking, we raised taxes a couple months ago, putting out this list talking about all the terrible things if sequestration goes through, i think theres a danger of the white house overplaying their hand. The danger is what you saw with jon stewart stuff, if the cuts dont feel like they hurt initially, that could change the calculus. Just as you line up for this battle, the brand of the Republican Party is so tarnished, theyd have to play a lot of cards right in this next poker hand to really overcome the predispositions what people bring to this debate. I think were in the 20s right now. Youre not at the legal drinking age, which is ive always thought a bad thing. The problem is that their position is sequestration is no big deal, we can take 2. 3 in cuts, it doesnt matter. I think in 60 to 90 days we will find out it does matter. Talking about gop governors meeting yesterday, they had this to say about those in power in washington and how theyre handling the sequester. Take a listen. Nows the time for him to show leadership, propose 85 billion, propose those reductions in an administer balanced and thoughtful way. Every governor has to do it. I could not be more frustrated than i am right now. How many more times are the governors going to have to pick up ness of washington d. C. . Something is wrong. My kids could find 83 billion out of a 4 trillion budget. This is not rocket science. What this is is an inability to want to get to work. We could provide a viable alternative. As governors weve shown you do it state by state. Its about time we go from our state houses to our nations capitol and make that happen. I couldnt agree more that they cant find 88 billion out of a 4 trillion budget. Katty kay, i think this doesand a lot of people dont want the moral equivalency here, this is really a pox on both their houses when it comes to what mainstream swing voters think about whats going on in washington. Makes us all look silly. Yeah. It makes you look silly. It makes markets very nervous about the prospects for the country doing the big things that need to be done. You keep talking about this, joe, they need to address entertainment reform. Steves chart earlier 45 of the budget is entitlement spending of the deficit and only 4 of the cuts. Thats completely skewed and not the way it should be. If you want to address the health of the country, you have to address entitlement reform. Neither side is wanting to do the hard stuff and say to the voters, youre really going to have to take some pain here. Katty or joe, let me ask you, for argument sake and when this was argued in the Opinion Pieces and on television, the president says he has a plan, 900 billion in cuts, chain cpi, medicare but close loopholes. What are the republicans coming up with . Are they still afraid to talk about whats actually going to be cut . Can they bring something to the table or just complain about closing loopholes even though many republicans think thats the fair thing to do. What do you think about the paul ryan plan on medicare . Its harsh but theyre not putting it forward on medicare. My point is republicans put a plan forward on medicare and get absolutely skewered. Thats fair. Both sides are waiting for the other side to get specific. Robert, do you believe, is the president going to come forward at some point, not now, but specifics on medicare and medicaid. To take your point on paul ryan, remember, through Health Care Reform the president does make adjustments in medicare. I think the result in the 2010 election was for several hundred billion dollars in medicare changes was several hundred million in political commercials that have actually made it harder for the president to go out and talk about medicare changes the result of republican political commercials. I think the question is and we should ask this of republicans and democrats, if the president puts his ideas, if he puts, as you just talked about, change cpi and adjustments in medicare, if you put that on the table, you on the other side of the table, what are you willing to put in the middle . Thats what this all comes down to. A compromise has to be everybody putting something in the middle that makes them inherently uncomfortable. If the president does that, whats the other bid . Do you think any of them on either side the administration or congress has any idea of the psychological damage of people looking to washington they schedule these crisis every three months. And my guess is governing will start i watched the governors and smiled not one will lose points screaming and railing at washington. If i were them, i would schedule bimonthly meetings to coordinate with these deadlines. Katty kay, thank you very much and eugene robinson, thank you. You can read eugenes column at the washington post. Com. Still ahead, the state of virginia shaping up to be hardest hit by fridays automatic spending cuts with possibly 200,000 jobs lost and over a half a billion dollars in lost wages. Well ask Virginia Governor tim kaine what can be done to avoid sequester cuts. Chuck todd joins us from the washington. Youre watching morning joe brewed by starbucks. [ man ] ive been out there most of my life. You name it. Ive hooked it. But theres one. One thats always eluded me. Thought i had it in the blizzard of 93. Ha never even came close. Sometimes, i actually think its mocking me. [ engine revs ] what . Quattro Quattro no two people have the same financial goals. Pnc works with you to understand yours and help plan for your retirement. Visit a branch or call now for your personal retirement review. The big prize last night was oscar for best sounds editing. For only the sixth time in Oscar History there was a time. The first went to editor of zero dark thirty and then skyfall. Both men thanked their mothers, brazilian blowouts and vidal sassoon. They say the key if you want to be a successful sound editor, the key is to never ever cut your hair. Okay. 27 past the hour, a live look at the white house. Joining us now from capitol hill, democratic senator from virginia, senator tim kaine. From the white house, nbc news chief White House Correspondent and political director and host of the daily run down, chuck todd. Are we going to do this . Is the train going to crash into the wall . It sure looks like it. Whats amazing to me, joe, theres not even a plan to schedule a meeting let alone a plan to schedule to see if they can a last minute deal. Why . There is no meetin ing there some good news, mccain and Lindsey Graham are coming to the white house to talk about elimination, not sequester. It is amazing both sides, while they claim this is a horrible dire thing, there is no even n band aid plan. Theyre not united on this. Half the party would like to see sequester, you needunited aroun to give the president 100 flexibility in his administration nor see the white house who has 900 billion in spending cuts on the table as part of a grand bargain, you dont see the White House Well take one year of those spending cuts as a sequester as a bandaid for now. Neither side appears to be looking at a leadership moment and saying stop the madness. Is it true both sides have not spoken or met face to face since the beginning of the year . They had a phone call last week. I am told i was talking to people on both sides of pennsylvania avenue, they acenia acknowledged there will be a pho photo op meeting before friday. It would be absurd if they didnt considering the wasted hot air they will use to talk about this. There will probably be something wednesday or thursday. Whether it leads to anything is unlikely. There hasnt been face to face or anything. Only been that cursory phone call that took place, i believe it was last thursday. Tim kaine, what do you think people in virginia think about the fact that 200,000 people, workers in your state could lose their jobs, that a lot of pain is going to be experienced by middle class that has been squeezed over the past decade and yet you have politicians on both sides that arent even getting together trying to save their jobs. Joe, three quick stories. I werent on a 10day Armed Services tour around the state, went to an Army Hospital at fort bell var that treats Wounded Warriors and said, hey, these dod civilians getting furloughed include the nurses that take care of my husband. What can we do about this . I was in hampton ship repairs, one Small Company issue iing notices to their 450 employees and i talked to students who want to make military careers. One said essentially this, im willing to face the risk of hostilities that would put me in harms way but in making a career choice do i really want to face the risk of uncertainty about whether my Political Leadership will provide support to the American Military . This is what im hearing as i travel around virginia. It will have a major effect on our economy. 90,000 furloughin ins of d. O do civilians. Governor i call you governor senator, you were my governor and i got promoted. I will ask you that in a year. When you talk to these guys that are outraged, flummoxed at whats going on, ive always thought the American People had great Common Sense Solutions to these things. What do they says the best way to do this . They say three things. I took a little bit of time off saturday and went to a bluegrass concert and sat next to a guy about 80 wearing a veterans cap, he leaned over to me and said, look, youre here for the music, i wont bug you, just go up and find compromise. Find compromise. Most people get its got to be a balanced approach, if were going to deal with issues, whether sequester short term or budget long term it has to be a balance of cuts and revenues. They accept that. The last thing, this was interesting, as i was doing this Armed Services tour, not a Single Person at a shipyard or naval base said to me lift up on our cuts by doubling cuts to somebody else. Nobody is saying make us at least out in the public, save my bacon by frying somebody elses bacon. There is a notion we have to make cuts but we have to find revenues. As you guys know, you probably watched in my hometown saturday, my republican governor and Republican Legislature did a transportation package that was about 2 of new revenue for every dollar of expense cuts. They told Grover Norquist to take a hike. If you dont want transportation, take a hike. They did the right thing in a balanced way. That was saturday, 90 miles from here. We ought to learn from that. Chuck todd, the sort of different narratives playing out here, is that the republicans are dug in over loopholes and wont talk because loopholes are in the president s plan. The president wont reach out and wont talk to any and that hes scare mongering with the help of tim kaine and many others. Are there any misperceptions in all of that, that you can debunk . This week, not really. It does feel like thats what were doing. What are we seeing . Seeing warnings. Seeing the white house bring out cabinet secretaries say ing saying making dire warnings what will happen in transportation and homeland security. Whats a misperception . What about those things not happening . We dont know. The cuts will be a slope. Wont be this cliff, number one. Number two, assumes somehow governor workers that are working wont think safety first. Thats been my use common sense here. If somebody is doing their job, will they stop doing a good job because they will only get paid four days out of five in three weeks from now when they get furloughed, not saying that furlough doesnt get hit hard. The people the real victims here are government workers being used as pawns in this back and forth. Theyre the ones that wont be able to maybe not be able to make a payment to send their kid to camp, not be able to do something when it comes to family vacation, having to come back because they thought they saved up vacation pay and find out on the furlough you cant use a vacation day you saved up to save a furlough, even that. You say, is there a misperception . Right now, its a lot of loud rhetoric. The fact theyre not i think this week, it seems to be this week rhetoric is winning out. You know, mike, both sides are going to be damaged by this and they will be damaged in this case, unlike other budget showdowns we republicans always seem to lose whether we deserve to or not, in this case, americans arent going to bleach that the president couldnt find enough money or john boehner couldnt find enough money to come up with a deal that wouldnt have hurt these shipyard workers, that wouldnt have hurt first responders, that wouldnt slash Cancer Research, that wouldnt do the type of things, troop training that wouldnt slash troop training. If the president of the United States or john boehner think that either one of them are going to escape blame for this . I think they underestimate the American People. You my friend of your tenses wrong, its not are going to be damaged, have been damaged. Theyve already been damaged. Senator kaine, id like to ask you, the shipyard workers, furloughed nurses, teachers who will get notices in april or may theyre not being rehired. Give us a timetable. Sequester happens friday. Give us a timetable. When do these things roll out . I think these things are layered in so some of the warren notices went out. Shipyard repair send out 1500 last week. Another guy i talked to will do 300 out of 1500 employees if get to march 1 and no deal. Some of it is right away. The 90,000 dod furloughs could start as early as april one and people have to start planning around that. People are seeing it. It is a reduction in confidence. Everybody is going to get hurt whos associated with this institution unless we find a solution. The one misperception maybe i would like to slightly correct, on the senate side there are a lot of discussions going on. I was with about two dozen senators of both parties yesterday talking about the votes that well cast this week. What if the votes dont pass, what do we do after that . We do believe if something will happen, it will probably start in the senate. If something were to pass in the senate with a bipartisan way it goes to the house with a pretty strong momentum, put party aside to put country first. The speaker has said hes waiting for the senate. Its heavily on our shoulders to try to find something here that could pull both from both parties and make it tough from the house to walk away from this. Isnt it ironic, robert gibbs, i know you have to go, senator tim kaine, thank you so much. Chuck, stay with us if you can. Isnt it ironic the only reason the last deal we got we got not because of john boehner, we got because of Mitch Mcconnell, who understood washington enough to talk to joe biden, the white house sent biden over and joe biden and Mitch Mcconnell got the deal done. That created a momentum that the House Republicans couldnt project. It will probably start again in Mitch Mcconnells office with Mitch Mcconnell and joe biden. If theres a deal to be done seems like all roads lead through mitch. What senator kaine is talking about even though people understand this starts on march 1st, as the pain of these things starts to kick in slowly over time, people are understanding were still it starts on march the 1st but we can still try to solve this two weeks from now or a week from now and those discussions continue to happen. As senator kaine said everybody has to take one step forward together. The old bob dole thing which says, if youre going to get into a canoe, both of you have to step into the canoe at the same time. Yes thats perfect. If you dont know what i mean, take your friend canoeing and say, hey, you get in the front and ill get in the back next and bring some towels because somebody gets wet. Everybody has to step into that canoe. Everybody has to put something on the table. Its a canoe so we can make some real progress. I think people want to see balance, they want to see some spending cuts, they want to know washington isnt literally taking a meat cleaver to important investments or to the military in a way thats just some form of that will happen, as the pressure tightens, these guys will get in the canoe. We mentioned Mitch Mcconnell, hes going to have to compromise from his position now of no more revenues and we know the white house has to compromise, few. We certainly know, chuck todd, Mitch Mcconnell has shown in the past when he thinks theres a deal to be made he will do whats in the best interests of the senate and of the country, if he thinks he has a partner. That certainly happened last time. Yeah. Lets remember the number one and number two republicans in the United States senate, Mitch Mcconnell and john cornyn, are both up for reelection in 2014. And compromise the sequester, these ideas of cuts are not unpopular with the part of the Republican Party that would be the first ones to recruit a challen challenger against Mitch Mcconnell or john cornyn. I cant picture i cannot picture how Mitch Mcconnell is the deal maker. Except for the fact kentucky is not texas. Kentucky is a take that went for bill clinton. It can be conservative. It used to be a state that was its home to the appropriations house guy, hal rogers, who back in the day was a deal maker, still is seen as a deal maker. But also the state that gave us rand paul. Yeah. Most importantly the state that gives Us University of kentucky basketball. I thought you were going to say bourbon. I thought you would say that, too. Thats the thing, if they were really sitting around drinking bourbon, thats the good old days and get this solved after a couple shots, maybe woodward reserve. Go to capitol hill liquor and go up to the speakers office. Right on the table. You will have a great story by 6 30 at night. Take that, fly home to miami, go to the everglades, take a friend in a canoe and let him step in first and they will be eaten alive by a 30 foot python. Oh, my lord. Kill those snakes in the everglades how did we get there . We will see chuck at 9 00 a. M. On the dthe daily rundown this guy is one of our favorites, one of the funniest actors on tv stopping by the set. God, that was some party last night. Im just glad you made it home safely. I dont even remember leaving the party. I think i got all tipsy. Tipsy, you were like all mad men. I was hoping i dreamt that. Come on, like you never had a few cocktails inside a cherry koolaid. Modern familys Jesse Tyler Ferguson will be here. More morning joe when we come back. How do you keep an older car running like new . You ask a ford customer. When they tell you that you need your oil changed you got to bring it in. If your tires need to be rotated, you have to get that done as well. 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Read back the chickens testimony, please. Buk, buk, bukka [ male announcer ] get the spark Business Card from capital one and earn unlimited rewards. Choose 2 cash back or double miles on every purchase every day. Told you id get half. Whats in your wallet . Told you id get half. Ive always had to keep my eye on her. But, i didnt always watch out for myself. With so much noise about health care. I tuned it all out. With unitedhealthcare, i get information that matters. My individual health profile. Not random statistics. They even reward me for addressing my health risks. So im doing fine. But shes still going to give me a heart attack. Were more than 78,000 people looking out for more than 70 million americans. Thats health in numbers. Unitedhealthcare. Many cereals say theyre good for your heart, but did you know theres a cereal thats recommended by doctors . Its post shredded wheat. Recommended by nine out of ten doctors to help reduce the risk of heart disease. 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As your life and career change, fidelity is there for your personal economy, helping you readjust your Retirement Plan along the way. Rethink how youre invested. And refocus as your career moves forward. Wherever you are today, a fidelity ira has a wide range of Investment Choices to help you finetune your personal economy. Call today and well make it easy to move that old 401 k to a fidelity nofee ira. Mika, who do we have . Republicans representative from georgia, Jack Kingston. Hes a guy a lot of people have talked about running for senate for the chambliss seat. Are you going to jump in there, jack . Were taking a good look at it. I will let you guys know. I love an answer like that. An honest answer. I will seek advice of counsel. Either be for you or against you. Jack, whats happening with the sequester . You have both sides talking about republicans putting out press releases talking about how troop training is going to be damaged, National Security is going to be damaged, Cancer Research is going to be cut. Of course, the president is putting out his secretaries, talking about all the terrible things that will happen in their departments. Why cant we get a deal here . Joe, i think we could. I think some of this is drama. Seems to be governing by drama, something this white house seems to like. I want to point out this is an agreement made in august 2011. Its just like back in high school, when your teacher said okay, you have six weeks to do your term paper. In december, we passed another alternative to it. If the senate will take that up, modify it, if they send it back to us today, well certainly sit down and take a look at it. We have shown in the house we think there are alternatives and why on a timely level basis we sent them you pass one, especially in november, a complete package the senate can take up. Have they taken that up . Have they put forward their own sequester plan in the senate . Not that im aware of. I was interested in what senator kaine said, dozens of senators are talking to each other. They out to move the legislation and put it on the floor and send it back us to. One of my great frustrations is we send lots of stuff to the senate that dies there. Doesnt get voted down or amended, just gets ignored. We have to have full engagement in the legislative branch. I think there are a lot of democrat and republicans house members that want to work something out but i think theyre waiting for a signal from the white house. One of the great frustrations i heard on the hill when weve gone there, from democrats and senators and congressman and the like, why are we up here . Why do we come here . Theres not regular order and pass our bill and Senate Passes their bill and come together in conference committee. Get up to the crisis and three or four members get together with the president and do all our work. Were irrelevant thats frustra fact that last Year Congress passed 30 of the number of bills that any other congress has ever passed. Senate has bewhich the place that legislation goes to die. Let me just ask the congressman. I know you guys have put together other proposals but one of the key sticking points at the moment is revenues and the view of the white house that have to be revenues from tax reform and from wherever in this package and i know youll talk about entitlements. Lets assume that entitlements are on the table. From your point of view, are revenues on the table . From our point of view, revenues and sequesteration are one in the same. We split it january 1st and put the revenue portion first. The president won 618 billion in new revenue because of it and now were talking about the spending portion. These two were wrapped around each other. It was divided on january and now its time to talk about spending. Keep in mind, 85 billion is about about 0. 5 of the entire budget. Robert, real quick let me ask one question. This may take longer, i apologize. I think you were in congress in 1995 when they came together for a deficit reduction package, even though they had just been a through a pretty Nasty National election. What do both sides have to do to get to that point in 2013 . One thing that newt and president clinton had is they were focused on a deadline and they realized these things had to be done. They couldnt get away with postponing them forever and ever. Back then the Senate Passed budget and the senate hasnt passed a budget since the ipad was invented. Four years now. So, i think that we had a different sense of urgency and i think deadline. But, ill say this. If the president will invite people, senior members to come down and talk and get to know each other and work with each other he is the ceo, if you will. He needs to be involved in this. Today hes in newport news. Thats not helpful. He needs to bring us together. Time for the white house to be transparent about who they are talking to hearing that. Congressman Jack Kingston, thank you. Kingston for senate, baby. Lets do this cash r. Plus a 50 annual bonus. And everyone likes 50 more. [ midwestern chicago accent ] cheddar yeah 50 percent more [yodeling] yodelayeeoo. 50 more flash. [ southern accent ] 50 percent more taters. Thats where tots come from. [ male announcer ] the capital one cash rewards card gives you 1 cash back on every purchase plus a 50 annual bonus on the cash you earn. Its the card for people who like more cash. 50 more spy stuff. Whats in your wallet . This car is too small. Picasso painted one of his master works at 56. 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In a golden flaky crust thats made from scratch. If youthen this willbrids arbe a nice surprise. Meet the 5passenger ford cmax hybrid. Cmax come. Cmax go. Cmax give a ride to everyone it knows. C max has more passenger volume than competitor prius v and we havent even mentioned. Cmax also gets better mpg. Say hi to the super fuel efficient ford cmax hybrid. Good morning, its 8 00 on the east coast, 5 00 a. M. On the west coast. Time to wake up. Oh, no, 5 00 is too early. Get up and take a live look at new york city. And in washington, katty kay. When conservatives gather at cpacs three weeks from now theyll do so without one of the most popular republicans in the country. Have you heard about this . I did. Sources inside cpac say new jersey governor Chris Christie will not be invited to speak at the conference. The decision comes despite christie having a record high Approval Rating among new jersey voters. It looks like christie wont take the podium at cpac. Here are some of the people who have been invited. If youre going to get the guy that has a 74 Approval Rating. Youre not going to get him. In a blue state. If hes not coming. You have something better. In a state that hasnt won president ial elections since 1988. This is going it be a major cpac event. If you dont need Chris Christie its going to have to be huge. Here i thought the republican bench was not deep. No, theyre going to blow people away. This is exciting. Here is the list. Are you serious . Failed president ial candidate mitt romney. Hold on, did willie, did he win or lose . He lost by a nose. Lost by a nose. Okay. Former Alaska Governor sarah palin has a slot. Shes, willie another nose. Four years previously. She lost by a nose. Former senator rick santorum. He won something, i think. Freshman senator ted cruz. I dont even like have anything snarky to say. I am really sorry. Why are you sorry . I feel bad. As a democrat, you should feel oh, no, im feeling good. But im feeling bad because this is pathetic, actually. Rumored 2016 president ial candidate jeb bush. Thats good. Bobby jindal, rand paul and paul ryan. Thats good. So, this is fascinating. And it shows just how sick some elements of the conservative movement are. Want me to read stuart stevens. Again, here with Chris Christie, you have a guy i wrote about this last week. Why should conservatives like Chris Christie, after all, hes done nothing conservative over the last four years. Othing other against extreme union bosses and fighting for education reform. Spending less in this years budget than corzine spent five years ago in his budget. Reforming and keeping afloat the states dying pension program. The Health Program by eliminating colas, increasing employee contributions. I mean, the guy has done everything. He, also, cut business taxes by 2. 6 billion. Over 100,000 new jobs in his one state over the past year or two. Yeah. Hes the first prolife governor and thats important to a lot of people at cpac. In new jersey since roe v. Wade was passed in 1973. What is conservative about him . No cpac for you, Chris Christie. Maybe he didnt want to go. No, what this shows is, as political as we believe, hes not invited. But, you know, this, again, this is, this under lies the big problem about the conservative movement over the past few years. Its not about winning. Its just not about winning. It is not about winning. It is about sitting inside of an echo chamber of resentments. Sharp, small elbows. Its about resentment. Its not about victory. Let them have their little conference and play their little games and leave the one guy out who is the electoral Success Story over the past four years. Could it be because of his alliance with the president during Hurricane Sandy . He could not be that small. He hugged the president. Really . I actually am glad this is happening because it underlines just how out of touch some elements of the conservative movement are. It underlines just how little they care about actually electoral victories. They have a coalition now that cares about talk Radio Ratings and they understand you have to say extreme things to get those talk Radio Ratings. They care about book sales and the more extreme you are when youre writing books, thats great. They care about raising contributions on the congressional level, not the president ial level. They realize that you raise contributions on a congressional level by saying the most extreme things humanly possible. Its good for the mailing list. This is not about victory. Its not about see, this is what separates me. I had people call me over the past several years, despite the fact more conservative than most of them. If you look at what i said every year since 1994 and the positions i and how early i came out as one of the first conservatives to come out against george w. Bushs reckless spending i started doing every single night a segment on my show every night in 2003. But im called a rhino because its not resentment. Its about resentment hating democrats and, of course, thats not how you win. But maybe at the end of the day, i am a rhino. Maybe some of these right wing lunatics on the air are right because, apparently these days being a republican is not about winning. So, maybe i should call myself a republican in name only because you know what i like to do i like to win. Not only do i like to win, i like to destroy my political opponents. I like to beat them so badly and i told my staff this, i want their dogs to be embarrassed of them the morning after the election. I want them to hang their head in shame. And the next time somebody thinks about running against me, i want them to say, i ran against that guy and he beat me so badly that my dog three years later still wont look at me in the eye. Thats what i like doing. I like winning. Take that to the latest on the looming sequester. President obama and Congressional Republicans havent spoken directly since last week and have yet to meet facetoface reportedly this year. The president continues to push his plan for raising revenue while House Speaker john boehner rules out the possibility of any new taxes. And i stand by those commitments to make the reforms for smart responding cuts. But we also need republicans to adopt the same approach to tax reform as Speaker Boehner championed just two months ago. The president says we have to have another tax increase in order to avoid the sequester. Well, mr. President , you got your tax increase. Its time to cut spending here in washington. Instead of using our military men and women as Campaign Props, if the president was serious hed sit down with harry reid and begin to address our problems. You know, willie, it strikes me that not only the white house but libb aerals for a decade no said if republicans are serious about the deficit, they would cut defense spending and they would come forward with tax increases. Well, it looks like, as mike was talking about yesterday in this New York Times article, republicans are going to come forward and let these defense cuts go through. So, republicans will over the past three months compromise on defense spending and compromise on tax increases. So, i think its fair at this point for us to say, mr. President , show us your hand because this is what weve been hearing for a decade. Taxes have gone up. And now were going to cut pretty significantly from the pentagons budget. Your move, mr. President. Well, he wants revenues to go up, again. And John Boehners response, as you just heard, he just did that. Thats the thing. We always heard, you guys raise taxes, cut defense spending and then we will come back with a compromise on spending cuts. But, no, we raise taxes. We come forward with pentagon cuts and the president comes back with, you know, we want to tax more americans. Lets raise taxes, again. You wonder where this ends now then. Because if the president is not going to go anywhere without any more revenue, where does this take us . We have the plan in place that was supposed to do both of those things. Were at that point on friday and were going to hit it and neither side is going to get to it. Whats the end game . How do we end up . How do you think its going . Im just curious. Republicans always lose these budget battles and i get a sense for the first time that its the president thats overplaying his hand and talking about fear and loathing. Now talking about more tax cuts, saying that, you know, speaking of dogs, your dog is going it be forced to eat dandelions in the backyard. You know, the list that they released statebystate aimed at having people thinking that the world is going to come to an end. Get the trash taken out before then. Why didnt they release that four weeks ago . Did these numbers just occur to them over the weekend . I dont think they thought the republicans would be so difficult to negotiate with, yet again. Why do they tip toe right up to the edge of the sequester . Good question. Since they all but both sides have tip toed right to the end. And the white house is being criticized for exactly what you said they should have done earlier. John boehner, speaker of the house, thats his title. Thats his title. What is obamas title . President of the United States. Thats his base. Not the democrats. Not harry reid. His base is the country. So what is it you want him to do . Lets lead a little. You know, i read that in the paper, its lead a little. But Speaker Boehner cant speak for his own caucus and has said theres no compromise. This is our absolute position. But who has the bigger mic microphone . Who has the bigger mega phone and who has the larger presence . Take it to him. Thats why you see the president out there surrounding himself with military which gets him criticized by the president. Youre a leader. Youve led your entire life. Youve done business deals your entire life. Can we not just admit here at the table that the president hasnt shown the type of leadership he should on all of these budget issues . I think there are things, of course, the president should have done differently. We talked about them sitting around this table. The president s defense, the other side. Particular particularly dividable. Cpac and all the rest of the stuff and asking them now to come forward. They have to have compromise. I can separate the talk radio types by john boehner. Im not sure. And i can separate. Again, lets look, again, at the big picture. Lets look at this from 30,000 feet. Weve always said the grand bargain, weve said this for years, going to be when republicans give up on taxes and they compromise on taxes and they compromise on defense spending. Check, check. No. And then the president no, no, no. Oh, my gosh. They have not done that, actually. Well, if sequester goes through there will be massive cuts and defense spending. In return, the president is going to compromise on spending and entitlement programs. Yes, but, the compromise on taxes that everybody holds up as a great compromise on taxes was half a compromise on taxes. If republicans agree to 650 billion of revenue over ten years, at a 4 trillion of cuts. Thats about 15 of the total. That isnt really a compromise. Boehner was willing to give more than 650 billion of revenues last december in the context of a big deal. And in that deal, so the republicans came halfway to the compromise. How far did the president go towards the compromise in that last deal . Well, the last deal was just i think the correct answer is zero. He didnt do anything. And the previous two deals were all about spending. Okay. Coming up, the first attack on the World Trade Center 20 years later. Well look back on that day and ask the question, are we safer than we were two decades ago . New york city Police Commissioner ray kelly joins us next along with joe daniels, president and ceo of the National September is 1th Memorial Museum with a look at the remarkable rebuilding effort that is taking place at ground zero. But, first, bill karins with a check on your weather. Good morning, mika. Another busy day. The blizzard conditions this time yesterday in amarillo, texas. That storm is heading north. Chicago in the path, detroit, kansas city getting the brunt of it for the morning commute. Pay your attention down to the south, a new tornado watch. The potential risk of at least a few isolated tornadoes from i95, savannah, georgia, to jacksonville, florida. Gainesville, florida, going to get strong storms here shortly in about two hours from now, watch out around tampa and sarasota. Isolated tornadoes, not a huge outbreak. Rain moving up the east coast. Freezing rain and north of charlotte this morning. Still a little bit there in the mountains of virginia, be careful. The rain up in richmond, shortly. Washington, d. C. , raining during your lunch hour. The snow portion of the storm in the white shows the heavy snow. Kansas city northwards and interstate 70 very treacherous this morning across missouri and now starting to snow pretty good there from des moines southwards down on interstate 35. So, the snow forecast doesnt bring it across to the ohio valley. Chicago three to six inches. About three to six inches tonight in detroit and then only the mountainous areas Northern New England are the ones that will get the storm. East coast, rain moving up towards d. C. And actually clearing it out in louisiana and much of texas after your storm yesterday. If youre waking up with us early on the west coast, just a little bit of rain in the northwest. We leave you with a shot of wichita, kansas. You just broke your record for the snowiest month ever. With 6 inches on top of the 12 you got last week. You can see how windy it is in the plains. You are watching morning joe brewed by starbucks. I know what youre thinking. Transit fares as in the 37 billion transit fares we help collect each year. No . Oh, right. Youre thinking of the 1. 6 million daily Customer Care interactions xerox handles. Or the 900 Million Health insurance claims we process. So, its no surprise to you that companies depend on todays xerox for services that simplify how work gets done. Which is. 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The attack of september 11th, 2001, is among the most painful moments in american history. But just eight years before that strike, terrorists hit the same target, detonating a bomb below the World Trade Center. Downtown, it was chaos. I just heard, boom, and the whole building shook. 20 years ago today an explosion rocked Lower Manhattan after a van parked beneath the north tower of the World Trade Center detonated 1,500 pounds of explosives. Six people were killed almost instantly and more than 1,000 were injured in the blast. We thought it was an earthquake. Everything went dark. There was a lot of smoke. Couldnt see where we were going. Reporter a task force of more than 700 fbi agents launched a massive manhunt for those responsible. And two years later, the mastermind of the bombing ramsey usef was captured in pakistan and turned over to authorities. To bring down the north tower of the World Trade Center and have the fallen debris take out the other. It was a plan that would come to pass nearly ten years later. Reporter the threat of terrorists striking on u. S. Soil has become a reality, but the nations resolve was Strong America rallied and new york city, got to work. I can hear you. The rest of the world hears you. And the people and the people who knocked these buildings down will hear all of us soon. While the skyline of Lower Manhattan would never be the same, the recovery effort was passionate and fraught with danger and high emotion. Some 90,000 first responders, construction workers and volunteers spent countless hours at the site. Despite the danger posed by toxic debris and in just over nine months recovery workers had removed about 1. 8 million tons of material from ground zero, readying the site for rebuilding. And on september 11th, 2011, ten years after the terror attacks, the 9 11 memorial officially opened. All these years later, it is easy for those of us who lived through that day to close our eyes and find ourselves back there. Back here. Back when grief crashed over us like an awful wave. Mothers and fathers and husbands and wives and your sons and your daughters. They were taken from us suddenly and far too soon. With us now, new york city Police Commissioner ray kelly and president and ceo of the National September 11th memorial and museum at the World Trade Center foundation, joe daniels. Thank you, guys, for being with us. 20 years ago today, ray kelly. Hard to believe. It was the first attack on the trade center and there were some pretty direct connections between what happened then and what happened nine years later on september 11th. Yeah. We missed it and no question about it, hindsight, of course, being 20 20. We should have done a lot more work as a nation following up we were talking before, the assassination in 1991 would have led what was directly to the 93 bombings and, of course, that didnt happen. So, it should have been a wakeup call in 93. Obviously, september 11th, 2001, was a wakeup call and weve done a lot as a nation and as a city to protect ourselves. Where do we sit now as a city and as a nation prepared for the next attack . How are we doing . Obviously, much, much safer, but there are no guarantees. We, the nation has invested a lot of money in protecting ourselves. Weve had 16 plots against this city since september 11th, 2001. So, we dont see a significant reduction or diminishment of the threat. We just had mohammed plead guilty this month to attempting to blow up the Federal Reserve bank last november. So, the threat continues. Joe, the memorial and the museum, off of what the commissioner was just saying, for people who go there, there are obvious links that take you through the 20 years and beyond of what happened. Thats exactly why were building this museum, which is to understand and express that the attacks of 9 11, it wasnt just one day. There was a history that led up to it. The 93 bombing. Ramzi yousef his uncle, three years older than him, Khalid Shaikh mohammed was the mastermind of the 9 1 1 attacks. The connections are are deep. When he was arrests his laptop was discovered and that laptop had on it a plot to blow up 11 airliners simultaneously over a twoday period in january of 1995. These guys have an attention to kill and attack innocent americans and this museum will show that story. A frustration in new york about how long it took for us to get everything together after september 11th. To start rebuilding. To have the memorial. We were just showing an artist rendering of what the memorial was going to look like. Museum. The museum. What are we going to see when we go in the museum . The memorial was opened in the tenth anniversary and in the 16 month since then we had 106 Million People come from different nations. The museum, we hope to open in another 15 months or so and it is going to talk about not only the history of 9 11, but what happened leading up to the attacks, including the 93 bombing. And remember the six individuals who died 20 years today, four of which worked for the port authority. Its going to really be an Educational Institution that also remembers the individuals. We saw an image of some steps. Tell us about those. The artifacts that we have as a part of this museum will be very, very important. Those steps, the survivors stairs was an outdoor staircase that hundreds of people used on 9 11 as the towers were coming down to escape the crumbling buildings and those artifacts will help tell the story of what happened. Commissioner, part of, as we were talking earlier, the first World Trade Center trial and the lack of communication between various agencies, city and federal. Give us an update today. The new York City Police department with its own Intelligence Unit and operations overseas, as well as in greater new york, what is the level of cooperation between municipal departments like yours and the fbi . Well, certainly much better than it was prior to september 1 1th. Now on that date, we had 17 investigators in the joint terrorist task force and we now have 120 investigators. We communicate on a daily basis those National Counterterrorism center. That basically charged with responsibility among coordinating of all agencies. So, it wasnt just lack of communication from state, city and federal. It was among federal agencies that was the problem prior to september 11th. That, i think, has been adequately addressed. Joe, why are you so involved in this . Why is this personal to you . I happened to be there on 9 11 itself. I was getting off the e train when flight hit. The fire, i saw people jump from that building that day. Saw the huge fireball explode out of the south tower when united 175 hit. So, when they started this fo d foundation in 2005, i, like many people, needed to do something with those feelings. To stitch back the city that i absolutely love and create something that people will be impacted by positively, it has been a huge privilege. Ray, youve done a lot to keep this city safe for very long time. We, of course, are talking right now about terrorism, but lets talk about really briefly, if its okay, about guns. There are a lot of us around here and were in a minority because only 92 of americans agree with us. That there should be universal background checks and its not easy carrying the burden of only having 92 of americans on our side on this, on this. I mean, its very powerful 7 of survivalists. Im just curious, what would passing universal background checks do for you as a guy thats doing your dammest to keep murder rates at an alltime low in new york city . Well, its not going to be there is no way we can ensure that were not going to be attacked, again. You do the best you can do, right . Right. I think it will put some sunshine on the purchases. For instance, obviously, we want to know as much as we can about a transaction. Who owns a gun and i think it will help in that regard. Our problem in new york, in new york state. 90 of the guns we confiscate here come from other states. They come from south, we call it the iron pipe lineup 95. We need a National Approach to a gun control. We have the toughest laws in the country now in new york, but if other states dont have that, its simple to go to other states. So, background checks will address some of the issues in other states, but, you know tough gun trafficking laws will help, as well, right . Thats correct. We hope that comes out, you know, from washington. So, youve got the toughest, some of the toughest laws in the nation in this city regarding guns and state. What are the results . The last year. Death by guns. How are we doing here . Well, we had a total murder of 418, which is the lowest that weve had in at least 52 years. Yesterday was tthe lowest numbe shootings in 52 years. Thats when we started to measure shootings. This year were below those levels. So, you know, we think were doing something right here. We think our strategies and tactics are working. Weve been criticized for being too aggressive, too proactive. We believe were saving lives here. Under the bloomberg administration, the 11 years of Michael Bloombergs leadership and you compare it to the 11 years before that, there are 7,346 fewer murders than we had in the previous 1 1 years. The vast majority of those lives saved are people of color, if history is any guide. We think we are saving lives here and were going to continue to do what were doing. Just curious, might be a little bit of the blue, but are guns confiscated . Is there data showing that there are a certain number of guns confiscated through the stop and frisk policy . No, the numbers are relatively small. We confiscate roughly 8,000 weapons and about 800 to 1,000 of them are guns. But i think its fair to say that the potential for being stopped and questioned and sometimes is a deterrent. What does it do . It stops people from carrying guns on the streets of new york. I have to say, rahm emanuel should look eastward and see what new yorks doing because its working. Its also, i mean, the players involved. The police out there involved in stop and frisk, theyre not just random. These are usually anticrime units. They know the players. They know who theyre stopping and frisking. Theyve seen them. A new debate. Its making a big difference and its keeping murder rates at an alltime low here. Great job. Commissioner ray kelly, thank you very much. Joe, thank you so much for coming. We really appreciate it. Were very excited. Theres more information about the Museum Online at 911memorial. Org. Thanks, again, gentlemen. A political shakeup in italy rocks the markets here at home. Cnbcs berlusconi rises, again. Youll see. Brian shaktman joins us with more on that and there is more. Up next, emmy nominated actor Jesse Tyler Ferguson will be here. Well be right back. Hes pruning the flowers in the green room. Theyre just beautiful. With the spark miles card from capital one, bjorn earns unlimited rewards for his Small Business. Take these bags to room 12 please. [ garth ] bjorns Small Business earns double miles on every purchase every day. Produce delivery. [ bjorn ] just put it on my spark card. [ garth ] why settle for less . Ahh, oh [ garth ] great businesses deserve unlimited rewards. Heres your wake up call. [ male announcer ] get the spark Business Card from capital one and earn unlimited rewards. Choose double miles or 2 cash back on every purchase every day. Whats in your wallet . [ crows ] now wheres the Snooze Button . [ construction sounds ] [ watch ticking ] [ engine revs ] come in. Got the coffee. That was fast. Were outta here. [ engine revs ] you wouldnt happen to have a feather boa, would you . Are you wearing that to your party . Cam is decorating the party with different pictures hold that. Now smolder. Smolder. Perfect. Perfect. Let me guess, you couldnt remember if i said boa or baby so you brought both. Gloria hurt herself and it was my fault so i offered to take joe. Can i take a break, i want to be alone . Where was that attitude when we were doingreta garbo . It is so fun to watch. Is it fun to do . It is, it is. The costar of modern family Jesse Tyler Ferguson who will go from tv to stage at this years shakespeare in the park. Such a blast to have you here. We have so many people that constantly, you know, ive stopped watching movies and all i do is watch tv and i only watch like showtime or hbo and then, except for modern family. You guys have broken through somehow. Did you know that was going to happen . Youre the first person to ask me that. No, youre not. We certainly hoped it would. I loved the script when i first read it and i loved the pilot when we shot it. So many things have to come into alignment for a show to hit like this. Why did it break through . I think, well, we can all relate to families, except for the few of us who are orphans. Dysfunctional. We all can relate to that. Feeling different. I also feel like we took the family sitcom and turned it on with the style and it just freshened it up a little bit. But it really did break through in a way that connects. Whats it like working with ed oneil . I love ed oneil. I love ed oneil. Has a crush on him. I wouldnt think that would be the one, actually. Usually i have another person people ask me about. A certain columbian actress. No, ed, listen, he is, it took me a long time to really be comfortable with the fact that al bundy was now my father. Yeah. But you say he remind you of your father . He does remind me of my dad in a lot of ways and we have taken some of my dads characteristics and traits and put it in eds character. Thats neat. Lets talk about shakespeare in the park. Absolutely fantastic program. Why have you decided it get involved this year . The Public Theater which is doing shakespeare in the park this summer, they, they gave me my big break when i was 21 years old and i did my first show in central park a musical called on the town. This will be my fourth summer back and my fourth shakespeare play. So, im doing what do you like . That was me and i was 21 years old. Baby faced. Who is that . No, you look exactly the same. No. No beard. I was a bean pole, too. I just eat and eat and dont gain a thing. Now i have to work at it. Your organization tie the knot. Tell us about it. Me and my partner, my fiance we developed this bow tie line and all the proceeds from the bow ties go to marriage equality. We tuned up with the tie bar, which is a fantastic company in chicago and they are our manufacturers and collection and design. Our second collection is available today. Are you wearing one of them . This is one of them and our first collection sold out in just under a month. Get them early. You look dapper. How do you tie it, though . I have a howto video on youtube. Its more comedy driven he wont follow. You will entertain yourself its a 90second video. On youtube. Could you make a clipon. I have clipones for babies and kids. And you. I love it. One more question you never get. Do you like the stage or do you like doing tv . You know, as an actor, coming to new york when i was 21 years old i just wanted to do theater. Thats all i ever wanted to do. Musical theater, specifically. Tv has been a nice surprise, but theater is my first love. Have you done the williams hunt theater . I have not. I would love to. I want to ask one more question. The writing. The writing is amazing. It all starts with great tv shows or great productions in the park. Who are some of the writers on modern family . Steve livapan and Christopher Lloyd are our two fearless leaders and a team of unbelievable writers, Jeffrey Richman and elaine coe. Very cool. Theyre really, super talented. Ha honestly, i always shine the light back on them. Without those scripts, wed be nothing. You can catch modern family on abcs at 8 00 p. M. But more importantly, more importantly. Shakespeare in the park. For more information on the 2013 free shakespeare in the park. Visit shakespeareinthepark. Org. Coming up next, cnbcs Brian Shactman. Im jennifer hudson. I hate getting up in the morning. I love bread. I love cheese. Did i say i Love Chocolate . Im human and the new Weight Watchers 360 program lets me be. The reason im still in this body feelin so good isnt because i never go out and enjoy the extra large, extra cheese world we live in. Its because i do. And you can too. Because when a Weight Loss Program is built for human nature you can expect amazing. Introducing the new Weight Watchers 360 program. Join for free and expect amazing. Because it works. How much is your current phone bill . Its 192 a month time to save some money. Alright she can tell you about Straight Talk. Sure you get unlimited talk, text and data for only 45 a month per phone. Can we still get the same cool phones . Yeah the latest smartphones and coverage on americas best networks, nationwide. By switching to Straight Talk you could save 31. 23 a month, thats over 370 a year wow and now you get unlimited data that is awesome. [ earl ] see how much you could save by switching to Straight Talk. And get the lg optimus dynamic. Walmart. And get the lg optimus dynamic. How do you keep an older car running like new . You ask a ford customer. When they tell you that you need your oil changed you got to bring it in. If your tires need to be rotated, you have to get that done as well. Jackie, tell me why somebody should bring theyre car here to the ford dealership for service instead of any one of those other places out there. They are going to take care of my car because this is where it came from. Price is right no problem, they make you feel like youre a family. Get a Synthetic Blend Oil change, tire rotation and much more, 29. 95 after 10. 00 rebate. If you take care of your car your car will take care of you. Thats the first time i actually felt like actual shock. You could see it. Oh, you have a fan here. If you want to talk politics, we can. Thank you. Yeah. Youre being really rude. Good to see you. Oh, my, thank you. I loved all your movies. Is he still here . Ill be waiting. Very well done. Turns out Jennifer Lawrence is funnier than martin lawrence. Thats too good. Lets go to Brian Shactman and he has been before the business. Brian, man, whats going on in italy . I think well, if you call another couple years of parties a problem maybe we have a problem in italy. But, apparently theyre on the way back in. I guess the way to stay out of maybe going to prison is to go back to political office. I dont know. Yesterday was a fascinating day. We were up 80 points and less than 100 from the alltime high on the dow and then we find out in italy that theyre not going to have a clear majority and Silvio Berlusconi might return to some sort of power and the markets tanked and we were down more than 200 point. Bernanke speaking in congress, but the bottom line, more fears about debt crisis in italy. Although a lot of people say, guys, perhaps people need an excuse to take some profits because we were so high. You can make that decision for yourself. Jpmorgan having their investor day today. Some news out of that. Theyre going to cut about 1 billion out of their bloated payroll, i guess. Cutting 4,000 plus jobs between now and the end of 2014. So, that is pretty big. Maybe there wont be too big to fail. They are a gigantic bank. And this one, i dont know who wants to take this one. Finish this sentence for me. Blank is the new 30. 70. 72. Barnacle, is that you . Brian, brian. Actually, it wasnt. But thats kind of awkward, actually. The Financial Times has a story today. A study out of germany. They looked at sweden and japan and with people who live the longest, longevity. Basically if you compare their men today to 1800 the odds of dying at the age of 30 are the same as dying at the age of 72 today. They even try to lengthen life and fruit flies in the lab and they cant lengthen longevity as much as we are living longer. Healthy place. Thats great news. Thanks a lot, brian. Eat blue berries. And yogurt. Chase them with big maces. Well do that right after the show. Stick around, we have so much more Incredible Television straight ahead. Shimmy, shimmy chocolate. We, we chocolate cross over. Yeah, we chocolate cross over. [ male announcer ] introducing fiber one 80 calorie chocolate cereal. Chocolate. 80 calorie chocolate cereal. The people of bp made a commitment to the gulf. , and every day since, weve worked hard to keep it. 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[ male announcer ] the durability of the volkswagen passat. Pass down something he will be grateful for. Good arm. Thats the power of german engineering. Back to you. But at xerox weve embraced a new role. Working behind the scenes to provide companies with services. Like helping hr departments manage benefits and pensions for over 11 million employees. Reducing document costs by up to 30 . And processing 421 billion dollars in accounts payables each year. Helping thousands of companies simplify how work gets done. Hows that for an encore . With xerox, youre ready for real business. On tomorrows show bob woodward, tom brokaw and pattumy and mark warner. What, if anything, did we learn today . [ man ] ive been out there most of my life. You name it. Ive hooked it. But theres one. One thats always eluded me. Thought i had it in the blizzard of 93. Ha never even came close. Sometimes, i actually think its mocking me. 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For more information including cost support options, call 1888xarelto or visit goxarelto. Com. So the big prize last night was the oscar for best sound editing for only the sixth time there was a tie. The first oscar went to the editor of zero dark thirty. And then the second one for skyfall. Both men thank their mothers, brazilian blow outs and vidal sassoon. Mike, what have you learned . I learned from ray kelly and joe daniels that theres going to be a lot that we can learn from the 9 11 museum that will open in about a year or 15 months or so and we ought to Pay Attention and i also learned that i can get a clipon mickey mouse size tow tie. I like that. In the course of 20 minutes, you found out both those things. What do you like . I am getting a lot of questions asking when jane pauley is coming back. Have a crush on jane pauley. I know you do. We need her back. She should come back. We should have her and tom brokaw together. The problem is, when those two come on together, jane