Diane happy new year. Im diane macedo join the live from fox business headquarters in new york, and weve been keeping you updated all night as we read for the house of representatives to vote on a fiscal cliff deal that the Senate Passed earlier this morning. Now, after determining there wasnt enough support to amend the bill and send it back to the senate, it does appear house members will issue an upper down vote on this before u. S. Markets open tomorrow looking overseas, austria is open for business and markets are up about 1 at the moment. Japan is closed for the holidays, some numbers from their today, but whale is also up slightly at the moment. We have rich edson live from capitol hill keeping us updated my montae. The top democrat on the House Rules Committee said its important to wrap this up before the trading day begins, but for all the negatives about the fiscal glove, its at least expected to reduce the deficit. The cbo says the senator would make the deficit worse by about 4 trillion of for the next ten years. Rich absolutely, and many look at that deficit number its important to remember that it involves a lot of spending and tax cuts and tax reductions that congress does at the end of every year anyway. So when congress has a deficit score, as its called for a particular proposal it assumes that all the tax rates refer to the clinton era tax rates and that millions of americans that normally dont pay the alternative minimum tax would pay the amt and that doctors who treat medicare patients would automatically get a major pay cut beginning at the year. All that is basically spending and tax cuts that congress does at the end of every year anyway. That deficit number, while it is striking, its basically what the can present to from the Congressional Budget Office assumes congress will do every year. They just cant by law say that will happen because its not in law. We dont do much longterm was bank. When you said that congresswoman Louise Slaughter is hoping to get this done before markets over, there will be a vote before markets opened. We may be getting a vote before the end of the day. Baboon thats the time we expect the house will vote on this proposal. The senatepassed proposal. If the house can pass this, that means it goes to the president s desk for his signature and then we move on to the debt ceiling fight. There was some congressional trauma going down a few hours ago, this after Congressional Republicans looked at the steel and said, there arent enough spending cuts in here. Started tough, perhaps, think about voting on an amendment that would cut some 300 billion in government spending, when republicans started asking members hominy folks would support that knowing that if they change this proposal, even adding spending cuts on, it basically on does the deal that the senate reached in pretty much were back at square one. The temperature of the house republicans, they decided its not something that enough of them could support. They decided just to vote on the senatepassed bill which will happen in the 11 00 hour. When you look at what the republicans have done, there is a sense of growing momentum of support. This printer you want to find plenty wrong with this. Democrats feel the same way. Your starting this see signals that enough of these folks could maybe get around to supporting this that it might pass. Not a definite, but this is what will happen between 11591145. Thats why well watch it. Diane weve been here before, the whole idea of dealing with tax increases now and spending cuts later. The last time we took that route spending cuts never came. Do we have any guarantee this time around that they will, in fact, deal with spending cuts . Rich absolutely no guarantee. The only guarantee you have is republicans are still sticking to their pledge that any amount that you raise the deficit ceiling you must take that amount and kept them from government spending. Thus their opening offer. We know is about 200 billion left in deficit spending that the federal government can do before we actually do exceed the debt ceiling, not sure how much time that will last. In the past treasury says you get about two months were 200 billion, but its very tough to nail down, partially because we dont know what our taxandspend policy will be because this bill has passed congress at. If this does pass we will have probably a little firmer guidance from the Treasury Department about how much we can expect before we honestly hit that deadline, august 2nd 2011, raising the debt ceiling beyond. Here we are again. Diane another one of those things constantly being temporarily passed. We dont have to keep going through this. Rich thats one of the pieces. This would permanently take care of that, and so its one of these budget things that never went to its way into longterm budgeting for it, but congress would be honest about it and just go head. The other thing the republicans are starting to look at here is now the tax rates have all reverted to clinton error rates, it happened at midnight this morning or last night, they would be voting to attacks hit that amounts to nearly 4 trillion from current tax rates. And so thats something republicans have been talking about as a positive in all this, that if they dont fall for this there would actually be voting against the tax cut. There is bending the they dont like. It all like the one year extension of unemployment benefits. What we are getting here is in a sense extending 99 percent of the bush era tax cuts permanently which is something of a lot of democrats we dont like. Diane it sounds like everyone is going to have to make some sacrifices on one side or the other. We will continue to keep everybody posted. Rich edson live from capitol hill. Thank you for being here. Everybody, as i said, we will continue to keep you updated. Thats the latest. We will be back at 10 00 p. M. Will breakin at any time as we give more news. Also, dont forget, fox business will be live tomorrow morning at 5 00 a. M. For special coverage as the markets open here in the u. S. And start reacting to all of this. Reporter co2 emissions. When you look at countries around the world, australia, new zealand, huge backlash in ontario, were seeing backlash against the large wind projects going in all over the place. Gerri talkbout new york. You have an interesting example there. Just last month lawyers here in new york filed lawsuits, 60 residents in herkimer county, just north of albany, they filed lawsuit saying these project, wind turbines, built within 1000 feet or so of residences are emitting all the noise, keeping them up at night, diminishing Property Values and th filed suit. I think it is indicative of the backlash. Gerri this is interesting. You say this is the first time it will be heard in court of law, the issue about the sound. In the u. S. , yes. Gerri seems to me that is pollution. Sure it is. That is the part, exposes the doublestandard, gerri. It just drives me crazy. Where is the sier club . Where is greenpeace, Natural Resources defense council, socalled environmental groups, why arent they stainedding up for the small landowners . These peop are really getting a raw deal and the Wind Energy Companies of course are making handsome profits but these individual landowners are getting the short end of the stick. I wouldnt be happy if one of those set up next to me. You certainly would not. Gerri let me ask you about something called the Energy Strategy council. Right. Gerri theyre suggesti starting a national Energy Strategy council. Sure. Gerri would come up with a policy, souptonuts, every federal agency gets involved. Possible . Sure it is possible. This is the federal government after all but, what bothers me is that there are, this idea that well have a quadrennial review, a 4year plan just like the pentagon. I dont know that is the best model to work on. Gerri i have to ask you about b today. Sure. Gerri because theres big news coming from bp. The federal government says youre disqualified from winning new contracts. Heres bp statement. Suspension that is due to bps lack of Business Integrity as dep straighted by the companys conduct with regard to the deepwater horizon blowout explosion, oil ill and response. Now thetock did not really get hit today. What is your estimate what this means . I think it will be a temporary move. I think the Obama Administration again is wanting to show, hold up bp, that were punishing them this is enormous company. It is one of the biggest oil and Gas Producers in the u. S. Gerri doesnt it matter if it loses contracts from the u. S. . Ty have a lot of contracts already. So those contracts dont go away. There is enonly on new contracts. It is important but i think is a temporary deal. Gerri robert, you must come back and sit on the set again. Always a pleasure. Always happy to be here, gerri. Gerri sti ahead tonight, a mountain of new regulations coming our way next year thanks to congress. Well break it down. President obama promised to end crony capitalis. How is he doing . Well have a report card. Gerri brace yourselves for a tsunami of new regulations on the way. A study finds new regulation still under review by the Obama Administration could cost 106 billion before the end of the year. The biggest culprits . The epa and the energy department. Here to explain the director of regulation policy for the American Action for. Sam, welcome. I want to start with this 106 billion number we were talking about in the break. This is a lot of money. So 106 billion. These are rules that are still being written that were supposed to go into place sometime this year. This as the laws not already on the books, this is at is coming. Tell us about that. Correct. For example, there are 25 economically significant regulation at the white house now, that is regulations with a Economic Impact of 100 million or more. Some are rules under the Affordable Care act, menu labeling rules, rules for vending machines, labeling requirements. So there is a lot at the white house now. There is lot of rules that are passed their statutory deadline. Past the deadline for the administration set for them, that have been waiting around for several months. We dont know why. You can assume might be because of the election because the pace were on right now is significantly lower than other reelection years. For example, 2008, 2004, and 2000. Gerri you say more than 80 of the rules have been under review for 90 plus days. Why does it take so long . Look, i dont even want to see the rules come into place but at end of the day they should have some efficiency about enacting them and writing them down . Sure. Well the Biggest Issue is transparency. You mentioned the 90day threshold. Under execuve orders, 90 days is supposed to be the maximum. Rougy 80 of the rules have been there longer than 90 days. This is really unprecedented. Part of the issue as i mentioned is transparency the white house under law is supposed to release two unified agendas of regulations each year and the last one they issued was forast fall. Even that one was late. We dont have one for 2012 at all. We have no clue really beyond what is at the white house what is scheduled for 2013 and 2014. Members of theouse oversight committee. Gerri talk about your tranarency problem. That is a big transparency problem. We were showing our viewers over your shoulder a list of regs coming. Some include epa boiler rules which will put significant burden with people who own factories and buildings everywhere. This is something people are really worried about. What is potential cost of Something Like that. Sure. Several billions of dollars. That bill has been in and out of the regulatory process. They tried to finalize it last year. It has been kick around the courts. Surprisingly enough it received blowback from even moderate senators. For example, two senators from maine are very worried about the boiler regulation. It has been at the white house for a while as well. And, it is just a matter of time. They will not hold onto the rules forever. Likely they will be released this winter or sometime in the spring. Gerri weve got final rules for labeling requirements under obamacare. Weve got, what i think is the farm dust rule, particulate matter rule. Is that farm dust . Well, epa stress that farmers dont have to worry about the rule and, if you look compared to the other rus it is sort of seems like a drop in the bucket of 69 million. According to epas projections only a few counties that wouldnt be compliant. There are other rules. For example, the cooling water standards rule that would regulate power plants and how they use cooling water during the electric generaon process. So the department of energy and epa are really busy, have a lot of rules that have been at the white house longer than the 0 days. Gerri no kidding. You have another interesting number. You say 19,000 employees are devoted to red tape. Tell me about that. Sure. If you look at the aggregate paperwork compliance burden of all the rules there is roughly 37 million hours. That 37 million hours, take Productive Work year roughly, 2,000 work hours, divide by 37 million. Roughly 19,000 fulltime equivalent employees. In theory those are solely dedicated to red tape compliance. Rri sam, quickly what type of grade would you give the Obama Administration as transparency. He is supposed to publish two unified agendas. The white house has not published any and given no reason why they havent published any. Were still clueless why theyre not obeying the regulatory flexibility act. Gerri no clue but i guess transparency is in the eye of the beholder. Sam, thanks for your time. Thank you for having me. Gerri well be right back droid dna augmentation initiated. Vision expanding to a 5inch 1080p hd display and camera. Touch acquiring nfc. Hearing evolving with beats audio. Wireless charging activated. Introducing droid dna by htc. Its not an upgrade to your phone. It an upgrade to yourself. Gerri president obama promised to end the cozy relationship between special interests and politicians. After four years how gerri electric cars, remember the dream . Thats the president s dream. Listen to this. We can break our dependence on oil with biofuels and become the first country to have a million electric vehicles on the road by 2015. [applause] gerri kumbaya. A million electric cars on the road by 2015. Save the planet. Save the gas. Wait, somebody forgot to tell consumers. Despite tax credits of up to 7500 to buy the models, just 18,000, just 18,000 were sold in 2011. Boy, at that rate well have a million green cars on the road by, 2067. Or 55 years from now. Incredible. Where di we go wrong . Its easy. Government government involved. The feds are no good at picking what technologies regular americans are gog to glom on to. Did the department of energy create amazon. Com so people would save gas driving to the mall . No, they did not. Did thpost office invent skype so people could get in touch more inexpensively . No, they did not. Breakthrough products invented by private companies. Lets stick to cars since thats where we started. Model t, 104 years ago the nations first touring vehicle was first produced on an assembly line. Henry ford said his car was fothe Great Multitude and how 16. 5 million modelts were eventually sold. 16 1 2. How about the biggest selling American Made vehicle ever, ford fseries, trucks. Amazing 35 million of those were sold since the trucks were introduced way back in 1948 and it is ranked as the number one selling vehicle in the u. S. For 24 years. And now, you can trick them out just like a sedan with tv screens, hightech sound systems, even back seats. But none of this, none of this required a ta benefit to boost sales. That is the problem. When government starts tinkering, alining its priorities with the private ctor, you get the chevy volt, fannie mae, freddie mac, all disasters, all costing the taxpayer. For more on this on crony capitalism, im joined by tim carney, senior Political Columnist by the Washington Examiner author of book, obamamics and how barack obama is bankrupting you and enriching his are corporate friends, wall street lobbyists. This is the perfect guest for this siggment. Thanks for coming in. Appreciate you being here. What can we look forward to in the next four years do you think when it comes to crony capitalism . Barack obama will be probusiness in his own way, which is also progovernment. In other words he will be subsidizing industries he wants to succeed, regulating in a way that protects the biggest businesses in some industries and making sure that people dont make profits in ways that he doesnt want to succeed. You will see a lot more green energy stuff you saw in the stimulus bill and that he tried to push forward in his Climate Change bill. He will generally see a lot of guys who hire the best lobbyists will get ahead because they will get the sort of Big Government favors that happen when vernment involves itself more and more in private industry. Gerri you know, i find that nobody, nobody is more relentless in pursuing taxpayer dollars that they have access to them than the companies, than capitalists. Because they put their entire Business Model around this idea of getting the free money. Yep. Gerri they are relentless in their pursuit. Youve been studying this for a long time. Do you agree . Yes. And so the problem is in a free market economy when people try to pursue profit, what theyre trying to do is produce something that people actually want to buy. But once government starts to get involved you get Companies LikeGeneral Electric who say, well, the best investment we can make investing lots of money in lobbyists or employ a thousand people in the tax division to game. Go, game regulations. Suddenly profit is not a catch to producing something of value but it is attached to gaming government, gaming regulations, tax code and handouts. And that