Transcripts For FOXNEWS FOX And Friends 20110713

with 55% of the vote in a tight race. the two were running in a special election for congresswoman jane harmon's seat. she left earlier this year to go work for a washington think tank. memorial services continue today for former first lady betty ford. >> former president george w. bush, nancy reagan, michelle obama, hillary clinton, rosalynn carter and maria shriver among the dignitaries paying their respects in palm desert, california yesterday. mrs. ford will be laid to rest next to her husband, president gerald ford in grand rapids, michigan tomorrow. former first lady barbara bush, former vice president dick cheney and his wife lyn expected to attend memorial services there. the nation's highest honor awarded to army sergeant first class leroy petri at the white house. he left his right hand when an insurgent grenade exploded when he was throwing it back to save his fellow troops. despite being shot in both legs, he continued fighting. sergeant petry will be our special guest live this friday on "fox & friends." new this morning, we're learning president obama has raised more than $86 million for his 2012 re-election campaign and the democratic party. in a predawn video message, his campaign manager said the campaign raised more than $47 million and the dnc collected $38 million. the original goal was only $60 million for the first quarter. republican presidential candidates have collectively raised about $35 million so far. and those are your headlines this morning. >> there's jim mussina right there. let's talk about what's going on in the news. a very, very busy news day. yesterday, cbs had an exclusive for their evening news. scott pelly sat down with the president of the united states and obviously, the topic was the debt crisis in washington, d.c. and mr. pelly asked mr. obama, can you guarantee that social security checks will go out on august 3rd? and the president said well, not if there's not enough money in the coffers and then he said this. >> this is not just a matter of social security checks. these are veterans checks. these are folks on disability and their checks. there are about 70 million checks that go out. i cannot guarantee those checks go out on august 3rd if we haven't resolved this issue. >> which is why mitch mcconnell came forward, then, the minority leader and said it looks like the president is playing the grandma card and threatening everybody from the military families to social securities until they get seniors and veterans besides themselves in a panic, dare i say, or is that just a scare tactic? >> well, let's face it, everybody has a strategy right now and they're all trying to one up each other as they continue those debt ceiling talks so newt gingrich does have some thoughts, though, about the president and he's calling now for what he says is his bluff. >> the house republicans ought to go in tomorrow or the next day, pass a $100 billion cut in spending and a $100 billion increase in the debt ceiling so they're exactly balanced. that takes us all the way through to september. and leaking that forward. why would they be disingenuous and disabling to the talks? because the white house has never put anything down on paper. if you're trying to come together on cuts to save an entitlement program and only one side puts them out there, one side is going to get blamed. >> is int that part of the plan? that's part of the president's strategy right now is so that the republicans -- >> to look good. >> same reason why he would say that, that you might not get your social security check on august 3rd if, in fact, we default on august 2nd because that's part of the strategic plan to not have to give in as much as you might want to down the road? i mean, let's face it, as we get closer to this deadline, the president is going to continue to talk on a daily basis about the fact that the republicans are the ones who are not moving on tax increases. >> but the president is on the record saying that medicaid and medicare are unsustainable the way they are in his press conference. >> but he doesn't -- >> then the republicans says, ok, i agree with you. here's a plan forward and the president said look at how bad -- look what they want to do to home health care and look what they want to do to seniors. all you see is the image of the paul ryan character forcing a grandmother over the cliff. >> and forcing everybody to eat cat food. that's why mitch mcconnell offered up plan b. last chance idea. and it is a complicated thing but in the end what it does is it gives the president the authority to raise the federal debt limit without cutting any government spending. and effectively what this is is -- >> is what? it's confusing. >> it's very simple because look, they're going to raise the debt limit anyway, right? and are the republicans going to -- the president is not going to go along with -- he wants tax increases. >> i don't know if that's a set thing, though. boehner yesterday in an exclusive interview said -- he doesn't think that the house would -- you have to get a 2/3 majority in both house and senate and he didn't believe that would actually potentially happen with either plan. >> if you had all the democrats vote for it and you had a handful of -- you had a bunch of republicans as well, look, the people who don't like the mitch mcconnell plan that would give the president the authority are the tea party members of the house. and so they've got some rough sledding there. is it a sellout in the blogosphere, a lot of people say yes but interestingly enough, "the wall street journal" on the editorial page says today, this is a good plan and probably the best thing the republicans have got going right now. >> they're not going to default on the debt to investors and everybody else so it's three increments to the total of $2.3 trillion so it's $700 billion at a time they'd be able to raise the debt ceiling. there is a report within this report that at which time if you raise it up $700 billion, the president will cut $700 billion at his discretion so conservatives and tea party members are saying who came up with this? i don't like it. >> very convoluted process but in the end, what it does is it gets the president to own the debt limit increase. that's what the republicans want. >> he would have to do it on those three installments of money, $700 billion, $900 billion and $900 billion, he would have to be the final person that would sign off on that so if there's no other plan that we can come up with, the republicans at least mitch mcconnell is saying it would take the blame off the republicans' back. >> right. put it on him. >> which is more politics which most of the audience couldn't care less about. they want to see something done. straight ahead from terrorism to the tsa, newly released government reports show gaping holes in our national security. >> peter doocy is live from washington, d.c. with more. good morning. >> good morning, yeah, a new report from the gao does not paint a pretty picture because it highlights how easy it is for terrorists or anyone with fake documents to get real passports and then come to the u.s. and a big part of the problem is that countries aren't sharing information with each other. part of this government accountability office report says "even when countries have terrorist screening information, they may not have reciprocal relationships to share such information or other traveler information such as passenger airline lists with other countries to limit the ability of preventing travel of known or suspected terrorists." even though a passport can't kill someone, it can help a bad guy get in position to do some serious damage. >> travel documents are the same as weapons to terrorists. they can't carry out their plots without them. with our partners, and again, some of that is out of our control. we're closer to a c. >> and this gao report deals heavily with the breakdown, basically in communication with other countries. here at home, though, we are not perfect because since november 2001, just a few weeks after 9/11, there have been 25,000 security breaches at u.s. airports. that's about seven a day and a big chunk of those, 6,000 came when the tsa did not screen a flier's carry-on the right way. all this according to the department of homeland security in document they just released. back to you guys. >> all right, peter. live in d.c., thank you very much. >> let's talk about casey anthony a little bit. she'll be getting out of prison on sunday and now, word is no surprise probably to the three of us sitting here and the rest of all of you that she might be changing her name. casey anthony probably would not be a good name to leave the jail with on sunday but maybe she would change her appearance. apparently she was thinking about plastic surgery but now may not go that road. >> she might want to use the tests but she just goes to show you that people speculate she doesn't understand the magnitude of the distaste and disdain americans have for her and for the verdict that released her and she thinks she can change her name, put on a set of glasses and maybe try to start anew, that's not going to happen. >> that lady down the block who identified herself as lacy anthony, doesn't she kind of look like -- also, we understand that apparently the police officers who have been providing security and interrogated her as well, they may actually provide her protection when she leaves the jail. there's a story that orange county cops may actually escort her all the way to her final destination wherever that is. but as for ongoing security, forget about it. she's on her own. >> all right. straight ahead on our show, a victim's family delivers its own form of justice. a smackdown just outside the court. you have to see more of this video. >> but dick morris says there's one question the president cannot answer that could derail his entire re-election campaign. will his opponents take advantage? [ female announcer ] ever wish vegetables didn't taste so vegetably? well, v8 v-fusion juice gives you a full serving of vegetables, plus a full serving of fruit. but it just tastes like fruit. and try our deliciously refreshing v8 v-fusion + tea. vietnam, 1967. i got mine in iraq, 2003. u.s.a.a. autonsurance is often handed down from generation to generation, because it offers a superior level of protection and because u.s.a.a.'s commitment to serve the military, veterans, and their families is without equal. ben your lega. get an auto insurance quote. u.s.a.a. we know what it means to serve. >> all right, not a single president since fdr has been elected to another term with unemployment higher than 7.2%. as you know, the current up employment is 9.2%. >> our next guest says president obama doesn't have the answer to a question of how to fix that which could doom his re-election. >> joining us is fox news contributor and author of "revolt" dick morris here in person on the curvy couch this morning. good to see you, dick. so you say this is the unanswered question for the president. >> people are getting the question wrong. the question is not going to be did you do a good job on the economy? it won't be was it your fault that there was a recession? it will be what could you possibly do in the next four years that you haven't tried in these four years? and that's the question that he really can't answer. because obviously, he'll be running for re-election in the middle of a terrible economic situation. and the whole mantra that will ultimately defeat him, if you re re-elect him, you'll have four more years of what you have now. >> he will say if i hadn't had a republican congress, i would have been able to pass more stimulus and i would have been able to pass more jobs. >> like an alcoholic saying if i could have one more drink, i would be fine. >> nice riff on the old saw, are you better off today than you were four years ago? >> yeah, and it really will capture in the campaign everybody's concern which is that this just goes on forever. now, you'll have endless arguments, i believe the stimulus package is what's hurting us today. i believe it's causing the problems that we have now. you wouldn't have this debt limit, you wouldn't have this deficit. you wouldn't have that kind of stuff if he had not done that but i think that all of those arguments will be relatively moot because the bar he has to get over is if we re-elect you, what will be different? >> how much does what we're discussing now figure into what we'll be discussing a year from now when it comes to the election against an opponent that will be defined? >> that's the point. i think the dialogue will have moved on past us. i think right now, the focus is whether obama is doing a good job. is he to blame for the situation, have his proposals worked? when he runs for re-election, those answers will largely be in and the whole question will be what are you going to do in the future? when bill clinton was running for office against bush, at the last minute, bush began to come up in the polls. and i did an ad for clinton that was an empty factory floor, spider webs and newspaper blowing on it and a voice-over said we didn't make a change. maybe we should have. but i got scared and we all voted for more of the same old, same old and now the recession has just gotten worse and unemployment is just continuing and i just see four years of the same thing. and that's the kind of ad that a republican could run. >> i remember that ad. that was yours? >> yeah, that was mine. >> job well done. >> that is the read my lips, no new taxes and there was a deal cut and there were new taxes and the president didn't get re-elected. >> that's true. >> will you stick around? >> i will. >> we want to ask you about this, is michelle bachmann's tea party popularity threatening the republican establishment? >> we told you last week, the president's housing department is giving hundreds of thousands to acorn. isn't acorn supposed to get nothing? zero, zip? yep. details straight ahead. boy, i'm glad we got aflac h aflac! oh, i've just got major medical... major medical. ...but it helps pay the doctors. pays the doctors, boyyy! 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[ pigeons ] heyyy! hooo!!! >> glad you're up. some quick headlines now. british parliament expected to vote against newscorp's plans to out british skye broadcasting company. that will be today. the vote won't be legally binding but the move comes in a scandal linked one of their newspapers. it's owned by the parent of this company, fox news, that you're watching. lights out, plans to produce the bulb ban, good job, edison. last night, house republicans failed to get the 2/3 vote they needed to kill the law that takes effect on january 1st. whose bright idea was that? >> bright idea. >> presidential candidate michelle bachmann is quickly gaining ground on g.o.p. frontrunner mitt romney. >> is her candidacy actually a tea party grab for control of the republican party? we continue the conversation with dick morris. dick, as we look at the split screen there, you got mitt romney on the left and you've got michelle bachmann on the right. >> who's in the center? >> exactly right. you've got the conservative -- the traditional party candidate and you've got the tea party candidate. what's the difference? >> well, there really is an emerging significant gulf between the established republican party as we've known it? the evangelicals and tea party supporters who are the conservatives. it's really not a left/right split. it's a top down split. it's the chamber of commerce club for growth republican establishment against the in the streets evangelical tea party grassroots. the democratic party has always been plagued by those kinds of fights. this is new for the republican party. and i think it's healthy ultimately. but i think that you really have in effect semifinals going on between bachmann, cain, and santorum for the -- ron paul, for the right wing for the tea party vote. and then you have romney against pawlenty against perry if he gets in and huntsman, the established. romney almost gets a bye for the first round because he's in such strong shape. but i think that that really what bachmann is doing is articulating and manifesting the divisions that really have existed in the republican party ever since 2009 when the tea party was founded and, you know, the tea party is a very positive thing for the republican party. >> but do you think that the reason that the republican establishment is fighting so hard may be for romney, is because they believe he's the only candidate who can beat obama because let's face it, in the end, it's all about the independents. and if you go with the tea party candidate, will the independents come that far to the right to vote for a bachmann over an obama? >> well, the traditional left/right dichotomy certainly functions on issues like abortion, you know, if you're ultraright to life, you're not going to get the votes of people in the middle but when you get to issues like fiscal responsibility and the debt limit and federal spending, the right has a credibility that the center lacks. and the right has -- and in effect, people don't vote in saying i'm the center and i'm not going to vote right. see it as will you keep your word or won't you? for example, you take opposition to health care. people, i think, would rather vote for a candidate who they know is going to repeal health care than for someone who they think might compromise. >> i want you to end by looking at this poll right now, if you put the candidates on top of each other, president obama wins out. it's a quinnipiac poll and shows he's still on top but with bachmann closing in on romney. i think that's significant and you have to give credit to her candidacy. she's confident. she's very comfortable in her own skin. >> what you would call a virtual primary with sarah palin. every time she opens her mouth, we say is she brighter? is she more experienced? does she know more? is she as victimized? will she get all those negatives? so far, she's defeating sarah palin in the virtual primary they're waging against each other. >> uh-huh. 30 second answer, what happens with this debt thing? >> they come to a deal on it. there will be significant spending cuts but i believe what they should do is have a conditional debt limit increase saying we'll give you $200 billion more, enough to pay the interest on the debt but only if you certify that you have no other source of funds and only this will prevent a default. that takes default off the table. that's what i think the republicans should do. >> interesting stuff. all right. author of "revolt" and many other best sellers, dick morris, thanks for joining us on the curvy couch today. thank you. >> i was wondering what curvy couch was, i get it. >> we flat, you curve. >> curvy but firm. >> no, i've been -- never on a casting couch. >> yeah. >> i think we'll end it there. when a government -- >> when a government employee can't do their job, they get fired. but somehow, still collect a check? stuart varney found one guy taking home more than a quarter million bucks. he's coming over to the curvy couch, too, i think. >> after that, i don't know if anybody wants to come on the couch. they didn't wait for the judge or the jury. a victim's family delivers its own form of justice in court using their fists! >> first, happy birthday to harrison ford. the actor made famous by indiana jones, 69. ♪ [ female announcer ] erybody loves that cushiony feeling. uh oh. i gotta go. [ female announcer ] and with charmin ultra soft, you can get that same cushiony feeling you love while still using less. charmin ultra ft has extra cushions that are soft and more absorbent. so you can use four times less versus the leading value brand. ah. [ femalennouncer ] using less never felt so good. we all go... why not enjoy the go with charmin ultra soft. you know that comes with a private island. really? no. it comes with a hat. you see, airline credit cards promise flights for 25,00miles, but... [ man ] there's never any seats for ,000 miles. frustrating, isn't it? but that won't happen with the capital one venture card. you can book any airline anytime. hey, i just said that. after all, isn't traveling hard enough? ow. [ male announcer ] to get the flights you want, sign up for a venture card at capitalone.com. what's in your wallet? uh, it's okay. i've played a pilot before. what's in your wallet? a vacation on a budget with expedia. make it work. booking a flight by itself is an uh-oh. see if we can "stitch" together a better deal. that's a hint, antoine. ooh! see what anandra did? booking your flight and hotel at the same time gets you prices hotels and airlines won't let expedia show separately. book it. major wow factor! where you book matters. expedia. >> on a lighter note, have you seen this video on the internet of the baby owl? take a look. i'm trying to think, who do they remind me of? i'm trying to think. oh, yeah. >> oh, my gosh. that is. >> and i thought he was going to say something nice about, you know, these cute little owls and cute little birds. it's like national geographic right outside of our house. >> you have owls outside your house? >> no, robins but actually they built their nest in our umbrella on our porch. dangerous location. safe from the rain but the umbrella twirls around. they have three little heads in there. they get big real quick. got wings yesterday. >> brian's birds that wake him up. >> the woodpeckers, still banging holes in my house, by the way. >> keep in mind there's bugs in there. >> by the way, you do not have these nests by the liter in the gutter, correct? >> we have blocked off our gutters because we had so many birds in our gutters before. >> we had robins build -- we had to make a decision, do we want the water to drain or do we want robins? he wanted the water to drain. so robins had about an hour notice to take their sticks and eggs and go somewhere else. >> the guy with the ladder standing out on the curb saying "attention, robins, we're coming in for extrication." >> exactly. i had the bullhorn. >> have they made their eggs yet? >> i think i should stop the stoir. >> that was the problem. we looked in there and there were four blue eggs. looks like we're leaving the nest. >> got to be careful not to touch them, though, then the mother might not come back when she smells people. let's talk a little bit about this. last week we told you about -- remember acorn was defunded. that meant the federal government wouldn't give them anymore money after that big scandal with underdiscover shady pictures and stuff like that and we told you that apparently they had gotten $80,000 in this past year and that would be an eye opener. >> outrageous! auto that would be outrageous. they weren't supposed to get that. yes, because that number way low. >> apparently it's $461,086, the amount of money they actually got. and they have a new name so maybe that's part of the way in which this happened. it's the affordable housing centers of america now. ahcoa. there it is. >> i thought it was illegal to give this group money. >> it is. and so they cut the check to -- even though they did change their name last year, they cut the check to acornhousinginc and the headquarters in new orleans, the same place where they have been the h.q. for what is it, their 350 affiliates across the country. what gives? we know that acorn is gearing up to help the president with the re-election. >> if someone isn't watching over this. congress voted to defund them. you have to wonder how much other money we're wasting. this is half a million dollars. how many other places are we having waste and fraud? and then you wonder about the debt problems we're in. it's u.s.a. spending.gov if you want to take a look at it. >> the news. >> we got some headlines. four suspected u.s. drone strikes in northwestern pakistan killed at least 42 alleged militants in less than 12 hours. the attacks come at a time when relations between the united states and pakistan are especially strained. if you haven't noticed. the white house just cut $800 million in aid to pakistan's military. >> special wake-up for the crews of the shuttle at the international space station. >> ♪ rocket man i'm burning out of ♪ >> good morning, atlantis! this is elton john. we wish you much success on your mission and a huge thank you to all the men and women at nasa who worked on the shuttle for the last three decades. >> good morning, houston. elton john. he's a legend. wow. that is absolutely fantastic. >> "rocket man" is a popular wake-up song for nasa used three times before. they are taking supplies to the space station. >> i wonder if roger clemens will use that in his trial today. friends and relatives of a murder victim attacking a suspect in the courthouse hallway. things got so out of control, as you see, officers had to use tasers. the video was released after suspect marcel henderson was found guilty of the murder of victor schwanky and he'll be sentenced next month. >> mila kunos is going to go to the marine corps ball and her date couldn't be happier. remember sergeant scott moore who asked the actress out in a you tube video? >> i want to take a moment out of my day to invite you to the marine corps ball on november 18th from greenville, north carolina, yours truly. >> he's so cute. moore says he can't believe it's happening. he says "we all talk about what we are going to do when we get back and this was my dream. i do feel bad for putting her on the spot but it's not like i was going to bump into her on the street of musa qaleh between now and the fall." moore is thanking justin timberlake for encouraging mila to say yes. it was during the junket interviews that someone showed her the question, and said you should go. >> great time with a lot of publicity in north carolina for the marine ball. steve has been to a lot of balls and a lot of dances and a lot of proms and always had a good time, correct? >> recently, i've been driving my children to the prom and they're a little upset, the dad is out in the car waiting. let's take a look at the day ahead weatherwise and take a look, we've had some thunderstorms moving through the central plain states as you can see right there right now. also, a line of thunderstorms, front range of the rockies moving into the western portions of nebraska at this hour. otherwise, we have some widely scattered stuff through portions of the central mississippi valley at this hour moving through the tennessee valley. down south, nice and dry. currently after some overnight showers. next map will show you the current readings as you head out the door on this wednesday. right now in new york city, it is already 77, same as raleigh but today lower humidities and we will take them. 81 right now in memphis. 86 in dallas. this map shows you the day ahead weatherwise and it's going to be hot! but thankfully here in new york city, much cooler than yesterday as will be the case throughout portions of the northeast and lower humidity as well. down in raleigh, though, it's going to be approaching 99 with 98 there. 97 in atlanta. it will be 102 in dallas. take a look, that is super soldier swirl. that is a special flavor at baskin robbins. if you want some ice cream on this hot day, stop by the world headquarters 48th and sixth avenue. did you realize that july is national ice cream month? and of course, that makes a lot more sense than having it in december. and then this is something new in baskin robbins. they have these little tiny cones that you can see right there. i think they only have 100 calories or something like that. very nice. we've got the team standing by to give everybody free ice cream. so stop by. mr. kilmeade into you and mr. varney, a lover of ice cream. >> that's very true. right now, he's steamed and it would melt on his forehead. no wonder california is going broke. l.a. times reports this morning that the state's highest paid employee, a prison psychiatrist isn't even allowed to do his job. why, you ask? why don't i ask stuart varney that. when is the last time this high paid psychiatrist saw a patient? >> six years ago. in other words, for the last six years, he has not seen a patient. he's either been on paid leave or fired or fighting that termination and yet, last year, he was the top paid state employee in california as you said, $777,423 for his income. top paid guy. ok? now, look, this man has a history of real trouble. but it shows you can't fire a guy even when there's real trouble. it goes all the way back to 1996. 1996, he was starting to act in a bizarre fashion. the police were called. >> this is a psychiatrist. >> led them on a car chase. this is 1996 and he's fired because he gave inadequate treatment to two inmates. he appealed his firing, the board reinstated him and gave him back pay for the two years that he had not worked but he had to be reinstated so bottom line, $770,000 per -- for that one year, last year, top paid guy in the state of california. you cannot fire a public sector worker. you cannot fire them. very different from the private sector and point number 2, california is broke! where are you going to get the money from to pay $770,000 for a guy that doesn't work? >> we pointed out this salary in an isolated story a couple of weeks ago. and we said can you believe they can pie this prison psychiatrist this much, they can cash in vacation pay and overtime that we're not able to do for the most part. a lot of people at home will say one guy slipped through the cracks, just a loophole, true or false? >> according to the report in "the los angel thes times" thiss happened dozens of times where people in the health field in the prison system have gotten fired and reinstated, hundreds of thousands in back pay. it's happened dozens of times. >> 9:20 eastern time. fox business network, varney & company gets started with? >> the light bulb ban i'm afraid is in place. we are outraged but we're going to deal with it. >> thank you very much, stuart varney. coming up straight ahead, schools are burned through this stimulus money. but what are they buying? books that tell teachers our system is too nice? to white kids? tucker carlson here to clear all that up. hey, dad, you think i could drive? i'll tell you what -- when we stop to fill it up. ♪ ♪ [ son ] you realize, it's gotta run out sometime. [ male announcer ] jetta tdi clean diesel. the turbo that gets 42 miles per gallon. ♪ we're putting them to the test against the speed of a rescue unit. go ! they're downloading a music album. the first network to finish gets rescued. does your phone know that we're racing ? done ! verizon's done ! i've got seven left ! the fastest networin america. verizon. built so you can rule the air. now powering the lg revolution. >> all right. welcome to the first row of the control room. your fantasy has come true. time for some quick headlines. congressman ron paul back in the news. he's retiring his seat in the house to focus on the g.o.p. presidential nomination. the texas republican will not seek a 13th term next year. paul has run for president twice before. he could probably go back to being a doctor. and 14 illegal immigrants captured to try to sneak into the u.s. after their boat capsized near newport beach, california. there were 50 people on board. they all made it to shore but only one of them escaped. keep your eye out. back upstairs. >> thank you very much, brian. meanwhile, media matters is able to use your tax dollars to fund its self-declared war on fox news because the i.r. s. has granted the site tax exempt status. left wing been site is even using your money to run a media training boot camp to teach "progressive thinking." back in the 1980's, the i.r.s. denied the american campaign academy tax exempt status for a training institute for conservatives which is -- sounds a lot like what media matters is doing right now. on the other side. so how did media matters application get approved by the i.r.s.? don't know. let's talk to the former general counsel to the national republican congressional committee. the organization that created that campaign. good morning to you. >> good morning. >> tell us about the american campaign academy. what was the intent? >> well, the american campaign academy was a school that was organized to train people to -- in the profession of campaigning. and the expectation was that they would actually work on republican campaigns. what they did back in the 1980's was file an application with the internal revenue service, anybody who wants tax exemption has to apply for it. and in their application, they were very honest and straight forward and said we are a school. we are going to be educational and not going to get involved ourselves in campaign but we want to train people to be professional operatives in campaigns. we are funded by the republican party. and we are run by republican former campaign managers and we think that we are educational enough that we should have a tax exemption that's called a c-3 exemption so that people who contribute to us can take a deduction as they would if they were contributing to a charity or a school. >> right, exactly, so your organization was absolutely honest and forthcoming with the i.r.s. and you were denied tax exempt status. you have to wonder if media matters was truthful. it's headed up by david brock, an admitted liar. he admits that he lied about some people in some books. do you think that media matters said when they applied for tax exempt status that they would just attack one media entity and that they would effectively be, you know, i don't know how you would characterize what they do on the left but it sounds like what they're doing on the left is a lot like what you have proposed doing on the right. >> yeah. although they're not saying that they are democrats or going to help the democratic party or democratic candidates. even though that may be the effect of what they are doing. in terms of their application, i personally don't know what their application said. it probably didn't say, look, we're going to run a school that's going to hopefully train people that will work in democratic campaigns or, you know, we're going to do something that's devoted to just tearing down one organization. >> sure. >> fox news. but those types of applications are required by law to be publicly available so somebody can go over there and ask for a copy and take a look at it. >> real quickly, do you think they should -- ok. they've already got the tax exempt status. should they have that booted now? >> that's very difficult to do but it's something that the i.r.s. does occasionally. they review somebody's tax status because it is called into question and they could review what they've actually done since they got their tax exemption to see whether it's consistent with the law. >> gotcha. all right. thank you very much for joining us from our nation's capital. >> you bet. >> interesting stuff. all right, meanwhile, straight ahead, we all scratched our heads when reports claimed michelle bachmann favored a return to slavery. but whoopi goldberg bought in. >> damn it, i am sick of this [beep]. could you people get your act together? >> and pundits too quick to attack and forgetting to check the facts? does it make a difference that bachmann is a woman? then should school be spending stimulus money on this? books that tell teachers we've been way too nice to white children. tucker carlson examining what's going on here next. ooo whatcha got there? uh oh, sesame stir fry from lucky dynasty. oh, me too! but mine's lean cuisine, so no preservatives. [ female announcer ] lean cuisine has 90 dishes with no preservatives and quality ingredients like farm-picked broccoli and tender white meat chicken. lean cuisine. >> $130,000 in stimulus money for diversity manuals in omaha's public schools. the manual is supposed to make teachers more culturally sensitive to students but the book itself is raising eyebrows now. joining me now, fox news contributor tucker carlson, also the founder of dailycaller.com. all right, tucker, $130,000 in stimulus money. some people would say it's a drop in the bucket. when you look at the message of these culturally sensitive books what did you get from it? >> well, i mean, this is a problem on a number of levels. for one, as you pointed out, it is a waste of money, of course. and 130 grand is a significant amount to most people. second, this has been tried. the idea that blaming the shortcomings of kids' academic performance on society at large, on capitalism, on racism, on the structure of america itself will help their academic performance. we've tried this for 40 years and, in fact, we know the answer. it does not work. >> ouch. >> third, it's factually incorrect. kids' test scores aren't low because america is racist and by the way, if america is set up to help white people, why are there poor white people in this country? why is certain immigrant groups that are not white done better than white people in this country? i mean, it's actually a ludicrous and indefensible proposition in addition to being, of course, racist but doesn't hold up under any standard. >> right. i want to take a look at the excerpt, one of them from the book. here's what it says. the government and social institutions in the united states have created advantages that disproportionately channel wealth, power and resources to white people. now, it's my understanding that these manuals are not only given out to teachers, they're being given out to custodians. >> yes, that's true what you just said but beyond that, i mean, this is the -- that quote that you just put on the screen is the basic underpinning of diversity studies itself which is through all schools. you can't find a school in the united states practically that doesn't press the diversity agenda on its students and at its core, that's the message. america society is unfair and it's racist. the truth is there's not a lot of evidence to support that proposition. >> uh-huh. i want to look at how the omaha school district breaks down as far as racial diversity because it's important. a caucasian is 35.7%. hispanic is 29.9%. african-american 29.7%. asian-american 3.1%. so it's a pretty diverse school district. >> it sounds pretty diverse. >> it is. it sounds diverse already! i mean, i was amazed at those numbers. let's take a look at the statement from the school board president. the purpose of providing this resource is to help staff see that people come from a multitude of different backgrounds which cause them to respond differently to the same set of facts depending on their personal perspective. your thoughts? >> right. i mean, look, basically -- this is really about test scores and there are pretty dramatic differences by group in test results. and the question is why? and there are a lot of theories about why. this is one. that american society is inherently racist but basically, we've been addressing this question for decades and we know that this approach, blaming white people, does not work. and by the way, it's wrong. leaving that aside, it's ineffective. we know that. >> all right, tucker carlson, thanks so much. >> thanks. >> laura ingraham fact checks nbc in person. >> where is the shared sacrifice going to come from on the republican side? >> that was a scam and that was a lie. the fact that the media allowed him to get away with that for five seconds was absurd. >> how did that news go over? laura is here at the top of the hour. see everything ok? just stay off th freeways, all right? i don't want you going out on those yet. and leave your phone in your purse, i don't want you texting. >> daddy... ok! ok, here you go. >> thanks dad. >> and call me--but not while u're driving. we knew this day was coming. that's why we bought a subaru. with vitamins and minerals balanced to support your energy... ♪ ...and healthy skin. everyday benefits from advanced formulas. discover the complete benefits of centrum. handle more than 165 billion letters and packages a year. that's about 34 milli pounds of mail every day. ever wonder what this costs you as a taxpayer? millions? tens of millions? hundreds of millions? not a single cent. the united states postal service doesn't run your tax dollars. it's funded solely by stamps and postage. brought to you by the men andomen of the american postal workers union. ♪ >> good morning, everyone. hope you're going to have a great wednesday. july 13th, everyone. i'm gretchen carlson. the president sounding the alarm for seniors. your check might not be in the mail. >> there are about 70 million checks that go out. i cannot guarantee those checks go out on august 3rd if we haven't resolved this issue. >> is that the truth or is the president trying to fast track a deal on the debt? it's all about strategizing so we're going to report and you can decide. >> all right. lauer vs. laura. i'm talking about ingram against matt. yes, they go to 30 rock for the big throwdown. let's take a look. >> where is the shared sacrifice going to come from on the republican side? >> that was a scam and that was a lie. the fact that the media allowed him to get away with that for five seconds was absurd. >> laura is here live with how they took the news and how that confrontation went. >> don't call her casey anymore. the mother acquitted of murder charges, casey anthony going to new lengths to hide her true identity. find out about her new plan for her personal protection. and so much more. hour two of "fox & friends" for a wednesday starts right now. >> this should be good. i saw some excerpts of the throwdown with matt lauer and laura ingraham on line last night and she's going to be with us in a minute as we look at the guest list for this very busy wednesday. >> yeah, i'm not into this internet thing. i don't know what you mean by on line but laura ingraham will be here live. dave ramsey is good is money and he'll be talking to gretchen. >> and reince priebus will be here and dr. phil is on capitol hill today. we'll tell you what he's trying to get accomplished there. >> and a fellow we knew long before he became the governor of the great state of ohio will be with us today. we have lots to talk about. we'll start with the headlines. >> president and top congressional lawmakers meeting today to try to hash out a deal on the deficit. democrats and republicans not seeing eye to eye especially on social security payment. >> there are about 70 million checks that go out. i cannot guarantee those checks go out on august 3rd if we haven't resolved this issue. >> there's going to be money available on august 3rd and i think it's way too early to be making some types of veiled threats like that. >> the white house says the u.s. could default on august 2nd if the debt ceiling is not raised. that blistering heat wave moving out of the northeast and ohio valley and into the south today. people in tennessee expected to feel temperatures as high as 115. local governments in texas are even giving away free air conditioners and fans. there are also fears that the heat could destroy crops pushing food prices even higher than they already are. here are how some of our viewers are cooling off. this is jodi's family enjoying the beach in florida and here's viewer crystal sun cooling off with a big icee in connecticut. keep the pictures coming. could casey anthony soon be your neighbor? anthony will reportedly be moving to an undisclosed location following her release from jail coming up this sunday. there are reports that she's going to change her name and her appearance much like people do in the witness protection program. sources close to anthony say she's aware of the public outrage over her acquittal but doesn't fully grasp the intensity of that outrage. a tv legend is being laid to rest in l.a. today. sherwood schwartz, that is, creator of "gilligan's island" and remember "the brady bunch." >> ♪ the brady bunch the brady bunch ♪ >> schwartz wrote the theme songs to both of those hit shows. he started his career as a radio writer for bob hope and went on to write or produce more than 700 other programs. he was 94 years old. >> new this morning, we're learning that president obama has raised more than $86 million for his 2012 re-election campaign and the democratic party. in a predawn video message, his campaign manager jim mussina said the campaign raised more than $47 million and the dnc collected $38 million. the original goal, a pal tri $60 million for the first quarter. republican presidential candidates have collectively raised $35 million so far. >> so far, he's beating them on that and in the latest polls. >> look who dropped by here on the curvy couch. it's laura ingraham. >> my friends. >> you all look so president bush -- fresh in the morning. you look tan and everyone is rested and i'm just -- they just dragged me in. >> thank you. you're in the middle a book tour so you've been nonstop including your big throwdown at "the today show." >> yes. you know, i started to look at the summer concert series because summertime, our kids are at home except for kids at the mandarin camp. that's what our kids need to be doing. kids are at home and the mom is in the kitchen making the eggs and then all of a sudden, you'll see kesha on screen. very edgy because she uses the dollar sign very subtle for the s so that's really the advancement in music today. kesha is on, very empowering, self-esteem building, get sleazy tour. all across the united states. her last big hit was called "blow" and "sleazy" and we're supposed to believe that somehow smoking and bullying is the worst thing out there. we have to have regulations and laws but this is all good for young women. it's mind blowing, that's why i wrote the book. it's hilarious. it's through the culturely wasteland toxicity here but lauer, he didn't kind of -- >> the book is called -- >> very nice. >> he did take -- he did challenge you on the debt talks. it sounded as if he was talking from the white house's point of view and you were talking from the republican point of view. let's take a listen to it. >> president obama talks about shared sacrifice. where is the shared sacrifice going to come from on the republican side? >> is this shared sacrifice, the fact that he canceled his montana vacation. >> no, he's opening up a lot of entitlement programs. >> matt, when washington starts sacrificing instead of actually increasing the salaries of individuals within the executive offices of the presidency, when they start sacrificing, we can talk about the real meaning of sacrificing. >> they're talking about raising taxes on the 1%, on corporations, even the corporate debt which is a few hundred million dollars. >> that's a scam and a lie and the fact that the media let him get away with it in five seconds is huge. >> i think what happens in these conversations about the economy is people watching this across the country, they know every two or four years, we really have our say, right? we can really affect the political dynamic. what's going on behind closed doors with boehner and mcconnell and the president, we have a peripheral effect. but we actually can make a real difference right now in the lives of our children. you know, i adopted three kids over the last three years, you know, people call me officially insane which i probably am. but guess what? i'm not going to let this culture adopt my children. i'm not going to let it happen because it's -- this is the worst thing for young women basically telling them that strip it and you'll make it. strip down and you'll make it. it's not about the talent necessarily. it's about how edgy and how -- which kind of lousy, horrible language you can use. and then you'll become a celebrity, get a reality show and parents are like, well, everybody is watching it. what am i supposed to do? you know what i say you're supposed to do? actually be a parent. >> that's harder and harder as you and i both know. >> it's harder and harder, guess what? we actually have something called guard rails and doesn't mean the kids aren't going to bump up against them but we actually have them in place and we have to do something about it. >> one of the things you talk about in the book is whether or not we need more manners or less manners and i'm interested in -- i'm interested in that, too. interested in knowing how you apply that to the debt talks right now. >> well, look right now in politics, people are angry out there. they understand there's huge frustration among the public. when you heard tim geithner the other day say, well, you know, now we'll only be able to spend the money we take in. did anybody notice that's insane he said that? of course, you should only spend the money you take in. for obama yesterday to i thought in one of the most unprofessional, immature and disrespectful manners for him to say, i don't know if those checks are going to go out. i don't know if those kids are going to get their formula. i mean, it was so unserious -- >> meat inspectors. >> the air traffic control towers might close. >> mid-air collisions are going to start happening across the country. >> pick a strategy. pick the one on monday. pick the one last wednesday. pick the one he sat down with scott pelly and talked about. who was he going to be the adult in the room? >> and gretchen, you're right to tie this all together because the culture is what we're all about all the time including in politics so when he calls out his enemies, you know, you need to punish your enemies when he gave that univision interview or nastiness towards paul ryan. we can all get overheated. i'm the worst offender. if you're the president of the united states, when you use that language after that tucson speech, all the stuff he said the other day, it does matter, right? so let's talk about how those manners infuse the whole political and cultural conversations. >> right. and let's talk a little bit about part of the rhetoric is the president said look, we're going to have to eat our peas and you look at your book in chapter 5, school for fools. the first lady not consuming peas over at the shack in dupont circle, she had a gigantic meal of 1700 calories, a hamburger, cheeseburger, fries, a shake and a diet coke. >> you don't know the let's move campaign. that's the let's move to the curly fries. they shortened it down. this is the type of hypocrisy that, you know, we've come to expect in politics. but when you're someone who has made an enormous impact with this let's move and lobbying congress for $5 billion. >> people are watching! >> and again, it's a do as i say, not as i do. we apply this to our children, right? if we're using bad language at home and we blow up, our kids will model that and they watch that. >> what about in moderation? >> is that moderation? 1700 calories. >> i think her program to get kids to be less obese is a good idea. >> i think that's a wonderful goal. it is probably not the government's role and so in a time where we're barely surviving economically to wring $6 billion out of the federal coffers for the bill which is more government outreach, i start at home. model good behavior. model good healthy eating choices. maybe it's time not to stop the wagging the finger at other people and take care of business at home. i think that's what a lot of us are trying to do. >> where is this heading? we have your book and in reality, the nuts and bolts, we've seen mitch mcconnell's plan and heard about this plan. where is this whole thing heading? >> i think when you heard mcconnell, a lot of people are just oh, how could you say that? how could you allow the president to have the authority on his own to raise the debt ceiling? i think we have to think long term about this. it's not a bad thing in my mind to make them raise the debt ceiling and let the american people see what their priorities are. they want to raise the debt ceiling, guess what, we're going to be passing spending cuts in the house of representatives, we're going to push spending cuts through and in the senate, this is what we're going to be advocating because in the end, he's the president. he has the bully pulpit. they have one house in congress. you have to be realistic here so look, i want tons of spending cuts but that's not going to happen until they take the white house. mitch mcconnell knows you have to have a political edge in the p.r. wars. before everybody pig piles on mitch mcconnell, you have to think a little more long term on that. >> this could be the best thing the republicans could do at this stanl of the game. >> never seen you look so official. >> promoting a book. >> co-conspirator in there. >> he's crossing the delaware but knows i'm kind of directing the boat so he's fearful. >> all right. because you're going into jer jersey. >> i'm at the huntington book review thursday at 7:00 p.m. >> new book is very, very funny. >> thank you. thanks, guys. appreciate it. >> straight ahead, a stun gun on a plane. this week's first scare in the air. no big scare at all. wait until you see the tens of thousands of other tsa problems that have been dug up. >> can the president really lose his democratic base? we'll ask our panel, there a chance that african-american voters have lost their enthusiasm since 2008? 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"carol do you see african-americans being disillusioned for the three years they've seen so far? >> i think blacks are frustrated and you see this with the flash mobs and other activities that are taking place across the country. but i don't think they will abandon president obama. i think if they turn out at the polls, they will vote but he has to do something to get them excited enough to turn out in 2012. >> could there be taking for granted of the african-american vote? >> i think african-american voters are like every other voter, right, they're concerned about employment. they're concerned about what's happening in the economy and protecting houses and investment in their houses. and so i think that there is a real concern that, you know, the administration needs to be paying more attention to the concerns of the african-americans. >> you know, alexis just brought up, ellis, about african-americans and owning a home. since 2005, 2008, african-americans that have had a home, 8% have lost those today. could they be blaming the president for that? >> i think they're certainly blaming the economy. let's put this in context. yes, obama has lost some of the black vote according to the poll. it's gone from the mid 90's to the mid 80's so he still has a huge amount of black support. what you are finding, we've gone through over two years of an economic crises, what we know from research that took place well before this current crises is blacks are much more vulnerable to an economic crisis than whites are because there's a lot less in terms of resources and infrastructure, a lot less wealth. it's hardly surprising. if you had said to me two years ago, we'll have two years of economic crises, who is going to be hard hit? i would have said blacks will be hard hit about this. >> is this about an economic downturn or could this possibly be unrealistic expectations? >> well, i think it's a combination of both. blacks always suffer the most when there's an economic downturn. but in the case of the unemployment levels for blacks, it's at astronomical levels and there's a sense at least some of us have a sense that the president has not done everything he could do and one thing that he could do, his administration could enforce immigration laws. because there are blacks that are competing in that same sector with illegal aliens for jobs. >> right. you agree? >> yeah, i mean, i think that i haven't seen any polls that say the president is not going to -- i'm sorry, that the black community is not going to turn out for the president. in fact, what i've seen in recent years is that young people, particularly young, young african-americans have been driving energy and turnout among the progressive base. >> gotcha. >> buzz whecause what are the c on the other side? >> that's the key point. question is not whether or not blacks are in love with obama, it's who else is there to give them support? >> gotcha. alexis, ellis and carol, thank you very much. you're staying around. coming up straight ahead, when reports claim that michelle bachmann wanted a return to slavery, most americans scratched their heads but not whoopi goldberg. >> damn it, i am sick of this [beep]! could you people get your act together? >> we'll ask the panel, are pundits too quick to attack forgetting to check the facts? and it was just a document she signed. we'll talk about that when we return. ♪ ♪ ♪ [ male announcer ] more people are leaving bmw, mercedes, and lexus for audi than ever before. ♪ experience the summer of audi event and get over 130 channels of siriusxm satellite radio for three months at no charge. >> whoopi goldberg going after g.o.p. presidential candidate michelle bachmann over her decision to sign a pledge by the conservative group family leader. pledge is aimed at preserving traditional marriage between a man and a woman. but in an early draft it contained some racial overtones and it's signed -- it's since been changed but that didn't stop whoopi goldberg from pouncing on bachmann. >> i'm sick of this [beep]. could you people get your act together? you don't know anything about how slaves raised their kids or why people were together. don't add stuff like that if you don't know what you're talking about. number two, you know, white people, black people, asian people, some of us are single parents. some of us turned out ok with single parents and you know what? stop pointing a finger at single parents. i'm sick of people who don't know what they're talking about going on. i'm sick of it! >> back with our panel, was whoopi right, ellis, to go back at bachmann? >> it was clearly the statement that referenced slavery was a stupid statement. i mean, it was -- it would have been somewhat akin to saying -- in the document she signed. it would have been somewhat akin saying during nazi germany, jews have lower body fat than jews in america. it was an incredibly stupid, stupid statement and something that was -- that's going to be taken out of context. >> to expand a little bit, what it said is essentially, hey, they were more apt to have a father and mother, traditional nuclear family as opposed to right after an african-american becomes president. >> slavery actually decimated the african-american family. a legacy we're still grappling with. to have that in a pledge even on a base level is a concern in that someone on bachmann's staff, i understand she already -- they had already stricken that language but the fact that her campaign is not fine -- >> bachmann is already on record claiming the founding fathers trying to eliminate slavery. she has a weird relationship with history when it comes -- >> she said she worked hard and brought up john quincy adams who was a kid at the time. in the big picture, does it surprise you that the racial overtones just seem to be simmering near the top? like they were four years ago? >> first, i want to address the issue of what the statement was trying to say. if you look at the 1960's, overwhelming majority of black children lived in two parent families so it was changes in the welfare state such as the rule that no man in the household, that have led to the decimation of the black family. so something has gone terribly wrong with the black family. and if they had said the 1950's or 1960's, that statement would have been accurate. >> or 1860's. >> we're not just talking about the black family. this whole discussion has been racialized in a very divisive way. you had roughly 25% of blacks being born into single parent families. the figure is higher for whites now. so we're looking at something in our society, where more households are single parent households, the whole culture is in that direction. this is not a racial thing. it's certainly something that you see more exaggerated in the african-american community. but it's something that's cultural wide. if there's any solution to this, the solution is not focusing on the "black family" but focusing on what's happening -- >> this isn't a culture of poverty argument, right, there's nothing fundamentally wrong with the black family. >> there's something fundamentally wrong with america. >> with america! >> but i think even on a larger sense, the assumption is -- i mean, i think whoopi in a sense has this one right, you know. stigmatizing single families does not accomplish anything. so -- and clearly, we are in a situation where more and more children are being raised within single parent households. >> that's exactly true. whoopi goldberg's point is listen, that might be true but what's wrong with a single parent family? that's another discussion for another time. this was a great one. great job. >> thanks. >> all right. going straight ahead your way, forget minor security gaps, we found some huge holes, tens of thousands of tsa problems in a scathing new report. you'll want to hear this and earlier, we told you about hundreds of thousands of dollars earmarked for acorn. wasn't it cut off? the president's housing agency says it can explain. ♪ ♪ [ male announcer ] you've reached the age where you don't back down from a challenge. this is the age of knowing how to make things happen. so, why would you let something like erectile dysfunction get in your way? isn't it time you talked to your dtor about viagra? 20 million men already have. with every age comes responsibility. ask your doctor if your heart is healthy enough for sex. do not take viagra if you take nitrates for chest pain, as it may cause an unsafe drop in blood pressure. side effects may include headache, flushing, upset stomach, and abnormal vision. to avoid long-term injury, seek immediate medical help for an erection lasting more than four hours. stop taking viagra and call your doctor right away if you experience a suen decrease or loss in vision or hearing. this is the age of taking action. viagra. talk to your doctor. see if america's most prescribed ed treatment is right for you. they gave us a consumers digest best buyaward, then they gave us an iihs top safety pick, and you -- well, you gave us your approval. so we thought, why not give a little back? the chevy model year wrap up. get in on our greatest model year yet. and now very wellualified lessees can get a low mileage lease on a chevy malibu ls for around $179 a month. our greatest model year yet is wrapping up. >> welcome back. this morning, we told you a little bit about how acorn was defunded by congress. they weren't supposed to wind up with anymore money but because they've received so much money through so many years as it turns out, and we're now learning sometimes if money is authorized years ago, it's hard to turn off the money spicket. >> we reported earlier they were going to get 400 some thousand dollars even though they've changed their name from acorn to the housing whatever they're called but now apparently in that column when you go to that web site, that's the money they're taking away from them. it's from a 2005 grant listed here. >> yeah. >> so in fact here's a statement from h.u.d. there was no january 2011, $461,000 h.u.d. grant or subgrant to acorn housing corps. the january action on usaspending.gov represents the unextended balance to acorn housing corp several years before the congressional prohibition. this amount was deobligated and recovered and the process was recorded and u.s.a. spending is completed in january of 2011. so that's very good news because earlier, we were assuming that that was then part of the waste we see so much on capitol hill and now we know in fact, the process is working. >> who writes the press release where it says deobligated? there's got to be an easier word. >> legalese. >> the team of lawyers. time for the rest of the headlines. >> tragic turn of events in the search for a missing brooklyn boy this morning. 9-year-old has been found dead this morning and a person of interest is being questioned by police. this is a really tough story, folks. his dismembered body was found in two places including a dumpster in the park slope neighborhood. his disappearance linked to a man he was seen following on surveillance video, the man was following him. libby was on his way home from camp on monday. there he is right there. he had begged his parents to let him walk home alone for the first time. his mom was apparently about three blocks away. sad story. >> disturbing new evidence in the jaycee dugard case. releasing video of daugard's can'tor trolling for other young victims at a local park. >> yes. i can see really good! >> the home video shows him singing, his wife nancy pretends to videotape him but really, she's gathering close-up footage of the little girls playing in the background. another video shows a parole officer inspecting their house but never finding jaycee. who was, as you know now, in a little house in the backyard. >> wow. a special wake-up for the crew at the shuttle of the international space station. >> ♪ rocket man ♪ >> good morning, atlantis, this is elton john. we wish you much success on your mission and a huge thank you to all the men and women at nasa who worked on the shuttle for the last three decades. >> good morning, houston. elton john, music ledgend legen that is absolutely fantastic. >> "rocket man" was used three times before. you keep charts on this, correct? >> i do. they're in my office. >> work continues today moving a year's worth of supplies from the shuttle to the space station. how many times have they played mandy, do you know? >> that's a good one. >> it wells me up. >> a man is behind bars this morning for throwing peanuts on an airplane. >> finally. >> he allegedly tried to smoke electronic cigarette on the southwest airlines plane from los angeles to utah when a flight attendant asked him to put it away, he apparently became enraged and started throwing peanuts and pretzels at the attendant. >> wow. you brought me in! >> he faces a federal charge of interference with a flight crew. i needed a good laugh, how about you? >> absolutely. i got to tell you what's happening in sports. last night's all star game proving facial hair is the key to success. juan bautista made his beautiful sliding catch. wow, in an all star game, that's nice. he's insured. in the end, it was the national league that took it 5-1. milwaukee brewer prince fielder earned the mvp award after pulling off a three run shot. brian wilson closed the game out with two outs in the ninth and that means the national league will have the home team advantage, the home stadium advantage in the world series. big news today, u.s.a. takes on france after pulling after an upset on sunday. team u.s.a.'s head coach hopes today's game isn't as close. >> we don't want to make this a stretch game and we don't want to make it a fight or a battle. we need to be smart about it and i think so it's about to be patient and make the right decision out there. >> if team u.s.a. wins today, they'll face the winner of the japan-sweden matchup in the finals. of course, the u.s. lost to sweden in the opening round. sunday, frankfurt, germany, will be the place for the final. opening arguments set to begin in the roger clemens perjury trial today. jury of 10 women and two men finalized yesterday. former yankee pitcher is accused of lying to congress about the steroids and hgh use. expected to blame police for what he calls the botched investigation and question the legality of the entire hearings that took place. meanwhile, coming up on radio between 9:00 and noon, nicole wilds will be joining us, dana perino is here full time and bill schultz is really funny in the middle of the night as is steve who is with peter. >> thank you very much. billions upon billions of dollars have been spent to increase security at america's airports in the last 10 years after september 11th but there are still major chinks in the armor. congress is now revealing that thousands of breaches and outdated bomb screenings are still happening. fox news legal analyst peter johnson jr. joins us right now. there are a lot of people flying around this vacation season and they want to go to the airport and think they're secure and this report says maybe not so much. >> there's two reports and based on congress' findings, maybe we're not as safe as we think they are. and it's kind of disturbing. congressman jason chavis points out since 2001, there have been 25,000 breaches of security at airports across the country. meaning that people are going into areas that they shouldn't be. meaning that people have gotten through screening when they shouldn't have gotten through screening. we know about the nigerian-american man recently who flew across the country on an expired boarding pass. and we know of other instances. he also says there are 900,000, 900,000 security credentials that have been given out by the tsa to private secure areas in airports around the country. almost a million people have access to so-called secure areas here in the united states and our airports and so he's sending the warning signal and he's saying, no, this is out of control. how can we have 25,000 breaches after billions and billions of dollars? 90-year-old people being pat down. little babies being searched. what's that about? >> exactly. and then peter, you take the news a couple of days ago on monday, we showed the stun gun that was found on board that airplane. >> jet blue airliner. >> exactly right. what is a stun gun doing on a plane? >> cell phone sized stun gun. now, the second piece of the package is that representative john micah of florida is unveiling a government accountability office report that says, yes, we've spent billions of dollars on explosive screening detection for checked baggage here in the united states. the problem is, though, a lot of the baggage screening is 1998 standards. >> i know it. >> and it doesn't pick up the chemicals that are in the newest types of explosives. >> right and now, peter, they're also talking about sewing bombs into their bellies. >> there have been two changes. there's 2005 standards and there's 2010 standards. we're more than 10 years, 13 years beyond the pale and so after billions of dollars and thousands of lives lost and given the aviation industry and our transportation people a pass in 2001, where are we? it should spark outrage and both these congressmen are smart in pointing this out. this needs to be fixed. >> what does the federal government say? the tsa statement reads like this. the breaches represent a tiny fraction of the 1% of travelers who used u.s. airports in the past decade. many of these instances were thwarted or discovered in the act. these events were reported, investigated and remedied but ultimately, real briefly? it just takes one. >> see something, say something, our government's got to do a better job. we need them to. they must. >> peter johnson jr., thank you very much. meanwhile, straight ahead, nasa's moon rocks, a whole bunch of them, hundreds of them are missing and the government wants them back! the main suspect in one of the heists, a celebrity. then just because they graduated doesn't mean they're moving out. dave ramsey's advice for worried parents stuck supporting their adult kids. first, the trivia question of the day -- boy, i'm glad we got aflac h aflac! oh, i've just got major medical... major medical. ...but it helps pay the doctors. pays the doctors, boyyy! 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[ hero dog ] i'm gonna need a bigger mouth! the motorola expert from sprint. its powerful tools help you work faster and smarter so you can get back to playing "angry birds." it lets you access business forms on the go, fire off e-mails with the qwerty keypad, and work securely around the world so you can get back to playing "angry birds." it's the android-powered phone that mixes business with pleasure. so let's get our work done, america, so we can all get back to playing "angry birds." the motorola expert from sprint. trouble hearing on the phone? visit sprintrelay.com. >> hi, welcome back, everyone. we're in the control room again. first story, democrats, big victory for you. take a look up top. democrats scored a first round victory in wisconsin's big recall primaries but the special elections will continue for another month. six republicans, state senators and three democrats faces recall for supporting wisconsin's new union busting law. take a look at this guy. rodney king, remember him? up to no good again. arrested for driving under the influence overnight in california. you'll remember king made headlines in 1991 when he was brutally beaten by police officers. ultimately leading to the los angeles riots. since then, king has struggleed with sobriety even appearing on "celebrity rehab". one of the few celebrities that wasn't cured by dr. drew that i find surprising as i toss upstairs. i'm going to watch down here, hope you don't mind. i love these guys. >> it's scary to think he's going to direct this section many. love ya, brian. they moved out, they graduated college and guess what? now your kids are back. >> what is going on? >> dave and i -- >> stop calling me mr. dobak. >> sorry. mom, dobak. we think it would be very prudent -- >> ask we turn our beds into bunk bed? >> are you tired of having to financially support your grown kids? a new study finds that 70% of american adults expect to help their adult kids financially but when is the time to draw the line? personal finance expert dave ramsey joins me this morning. good to see you, dave. >> good morning. >> i've interviewed you enough to know -- i know exactly what your opinion is going to be on this. you would tell them to get the heck out of there, right? >> well, absolutely. and you know, we really need to start when the kids are little. we need to explain to them what flying and being free and having dignity as an adult looks like. and that means that when you're an adult, you're not going to live here anymore. go ahead and start telling them when they're 4 so they don't have the idea they can be a boomerang and we need to break the entitlement mentality off of them. this is part of the problem with the redistribution of wealth thing. they think they're entitled to their parents' income and entitled too their parents' wealth. one of my 13-year-olds one time said dad, i think we're doing pretty good. i said we aren't doing anything. i have money, you're broke. >> a little tough talk included in all the love that we give our kids. let's take a look at some of the e-mails. this is jim from dallas. my daughter just completed her master's and will come and look for a job. my son just finished ministry. both have students loans that we co-signed. they're 24 and 27 and we need help in encouraging them to fly away. help! what do you say to jim? >> well, i mean, if they want to come home for a short period of time in a transition after college or after something like that, that's fine. it needs to be very, very defined. put a time limit on it. you're going to be here 90 days. after that, if you have your master's degree and you don't have your master's job, you're what's known as waiting tables living in a two bedroom with a roommate. and you get on with your life and , you know, that's not a bad thing. that's not being mean. you grow up emotionally when you live on your own and pay your own bills. when you're living at home and you're 32, there's a problem! >> yeah, especially if you have to have like a curfew and that kind of stuff. hey, greg from philadelphia says this -- dave, i'm living at home post college. i'm actively looking for a job but this situation has put a strain on my relationship with my parents. i feel like they're breathing down my neck. what can i do to survive this temporary arrangement? that's from the kid's perspective. i know you won't have much sympathy, right? >> i don'n' greg. i think you got great parents. i think they're loving you well and trying to help you be a man and go to standing on your own and when you're being pushed out of the nest, it never feels comfortable. it's always scary. and they can say, hey, we're here, you're not going to be hungry or homeless but dude, get three jobs. i mean, start delivering pizzas, throwing papers and cutting grass and get out there on your own and work your way into the big career job. you can do that. i've done that kind of thing and a lot of people watching have done that type of thing. >> i was at the pool and heard young kids say when they got done with college, they were going to move back home and i thought wow, dave ramsey would have a thing to say about this. see you again next week. >> thanks, gretchen. >> hundreds of nasa's moon rocks are missing and the government would like them back. the main suspect in one of the heists. could it be a celebrity? but first on this date in 1965, the rolling stones had the number one hit. oh, my gosh, one of my favorites. i can't get none, satisfaction. 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[ male announcer ] ask your veterinarian about k9 advantix ii. >> all right. there you have the answer to the trivia question of the day. the winner is susan flynn, rhymes kind of, the way i did it. it's actually roger mcguinn and there you go. that's your answer today. meanwhile, a star from the show "the deadliest catch" is asking for the moon literally. captain anderson coleman says he discovered this moon rock on a plaque after a fire in an anchorage museum but nasa investigators object to that claim saying it's not true. the state of alaska wants the moon rock back and they're going ahead with the legal action. joe is a former senior investigator for nasa's office of inspector general and advisor to the state of alaska in their moon rock lawsuit. and joins us live today. good morning to you, joe. >> good morning. the world. how many are missing? >> 160. my students since 2002 have tracked them down. they've found 160 are missing and they've found 77 over the course of the years. >> ok. now, one in particular is this one that was presented by president nixon to the governor of alaska in 1969. then alaska had it for a while but then there was a fire apparently at a museum and now this guy, this fellow by the name of coleman anderson who is one of the captains on the first season of "the deadliest catch", he says that as a 17-year-old kid he was going through the debris in a dumpster, something like that. found it. and has kept it ever since. you say to that claim what, joe? >> i -- i challenge that. i don't believe any moon rocks that nasa recovered from the moon belong to any person. they belong to the people of the united states. the people of the world. and in this case, the people of alaska. >> ok. so what he's doing now is he's -- he's asking an alaska judge to say, ok, i can keep the moon rock. i know a couple of years ago, somebody tried to sell one of the moon rocks that was presented to the country of honduras for something like $5 million. so there could actually be some money involved in this, right? >> well, actually, i was the special agent that went undercover and led the team, operation lunar eclipse to recover that moon rock back in 1998. and the person that was selling it actually called me up and offered it to me for $5 million. >> that's amazing. do you believe his story that he found it in the garbage and because alaska never filed a claim, he's entitled to it? >> you know, i don't want to disbelieve somebody. i don't want to call anybody a liar. my position is that no moon rock belongs to any individual. whether the united states gave a moon rock to walter cronkite, they gave him the ability to give it to a museum. they didn't give him the ability to buy -- to sell it on the market. and so what he's doing, i believe, is an issue of morality and not law. >> here's what his attorney told "the seattle times." he said in 1973, the plaque was widely considered not to have any real monetary value because it was assumed moon trips would soon become a nearly everyday occurrence. however, that never panned out and now, you want these things back. and that guy's got it and the government should get it, right? >> absolutely. but i'd like to take issue with mr. harris, if i could. in 1973 it was widely known that we were winding up our apollo era. >> you're absolutely right. joe, quite a story. let's hope we get it back. thank you very much for joining us live. more "fox & friends" rolls on. 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[ hero dog ] i'm gonna need a bigger mouth! >> gretchen: good morning, everyone. i hope you're going to have a great wednesday. it's july 13. i'm gretchen carlson. the president is sounding the alarm, america seniors might not get their social security checks in august. >> they're about 70 million checks that go out. i cannot guarantee that those checks go out august 3 if we haven't resolved this issue. >> gretchen: so is the president telling the truth or is he trying to fast track a deal on the debt? what's the strategy today? we'll report and you decide. >> steve: he claims he's out there saving american jobs, but it looks more like he's saving his own. new this morning, the president's record-breaking war chest to keep that job next year. >> brian: call her a liar all you want, just don't call her casey. she's ready to start her new life with a new name. "fox & friends" starts right now. >> gretchen: good morning, everyone. we're hardway through the -- halfway through the week. on capitol hill, they continue the debt talks. they'll get together again i believe this afternoon. so we'll be telling you about that. >> steve: what are they going -- >> brian: what are they going to say after a while? they show up in the same room with a different outfit. yesterday went as bad as it ever has. >> steve: on the good side, they only sit across the table for about an hour. they have press conferences before and after where they call each other names, then they go in the room and it's kind of like, i heard what you said about an hour ago. >> gretchen: i bet you can't blink first. >> brian: i don't know if they do that. a lot of thumb wrestling perhaps. >> gretchen: we're going to debate that and the republican chairman coming up. the half brother of karzai has been laid to rest. thousands traveled to the funeral. on the way there, the governor of one of the processes narrowly escaped a bomb attack. the half brother was shot yesterday by a close confidante. the u.s. says they will work with them to investigate the killing. the heat wave moving out of the northeast and into the south today. people in tennessee expected to feel temperatures as high as 115. local governments in texas even giving away free air conditioners and fans. there are fears the heat could destroy crops, pushing food prices higher than they are. we've been asking you how you're dealing with the heat. so take a look at twitter. one of our viewers says he's chilling at land shark beach bar in gulf breeze, florida, enjoying some adult beverages. hey, have a drink for us. and jason sent this in, two of his best girls -- that's so cute -- kicking back in the kiddy pool. on a day like that, it feels good coming right out of the hose. president obama awarding the medal of honor to leroy petree. he grabbed an insurgent grenade and threw it back and saved his fellow troops. >> leroy saved his two ranger brothers and they are with us today. this valor came with a price, the force of the blast took his right hand. shrapnel riddled his body. one teammate said, i never seen anybody hurt so bad. >> gretchen: despite being shot in both legs, he continued fighting and directing his troops. join us friday because sergeant petary will be our special guest right here live on the curvy couch. the oldest baby boomers are eligible for medicare, but don't dare call them old. according to a new poll, 75% of all baby boomers consider themselves middle aged or younger. yes! keep doing that. younger adults say old age begins at 60, boomers say it doesn't start until you're 70. that's bob dylan's age. rumors say you're not officially age until you're 80. the same age as captain kirk, william shatner. he looks good for 80. >> brian: better than bob dylan. >> gretchen: he's looked the same since he was 20. >> brian: he looked 80 when he was 20. he looks 111 now. >> gretchen: middle age, 830. >> steve: middle age or old five, five years away from where you are. lawmakers meeting again to try to wrangle some sort of a deal on the deficit. both sides still not seeing eye to eye. >> brian: white house and foreign affairs correspondent wendell goler live with details. every day we're previewing another big meeting at the white house. >> this is the fourth consecutive day of meetings. they're back at it again this afternoon. yesterday's meeting said to be one of the most constructive. it was also the longest in an hour and 45 minutes, but there was no sign of movement toward a compromise. democrats insisting that tax revenue meet part of the formula for lowering the debt ceiling. republicans refusing. mitch mcconnell offered a fallback provision that would let the president raise the debt ceiling in three stages by vetoing congressional resolutions of disapproval over the next year, guaranteed to keep the issue on the front burner right up until next year's election. >> i would advocate that we pass legislation giving the president the authority to request of us an increase in the debt ceiling that would take us past the end of his term. that is what he has said. he said he will not sign a debt ceiling that does not take us past the end of his term. >> here is a shot of yesterday's moo -- monday's meeting. mcconnell's proposal blasted by the right and the left. the red state blog called it the pontius pilate pass the back act of 2011. white house press secretary jay carney said at least it recognizes defaulting is not an option because he says default would leave us with a selfish choice of what bills to pay. >> can't guantee if there were a default any specific bill will be paid because the choices that some have said, oh, we can just pay interest, so we can pay the bond holders, in some cases and in many caseses, the chinese government, but not pay social security recipients, veteran recipients. that's the kind of choice that nobody wants the united states of america to have to make. >> a coalition of business leaders, including the chamber of commerce and the business round table sent a letter to the president and every member of congress warning them failing to raise the debt ceiling would risk the economic recovery. guys? >> steve: all right. wendell goler, thank you very much. it was yesterday there at the white house as the president of the united states played the grandma card. scott pelley sat down and talked to him about, okay, mr. president. on august 3, can you promise that people will wind up with their social security check? he said absolutely not. and then he went on to say this, not just social security. >> this is not just a matter of social security chicks. these are -- checks. these are veterans checks. folks on disability and their checks. there are about 70 million checks that go out. i cannot guarantee that those checks go out on august 3 if we haven't resolved this issue. >> gretchen: so this is part of the strategy. probably they've got maybe a chart in the office saying hey, on monday we'll say this, tuesday we'll say this and who know what is they'll say today. but this was what the message was yesterday. it said, if americans are going to call their members of congress right now, then some of them might be calling today if they're nervous. is it true? that's really the point? is it true? do we officially as a country run out of money on august 3 if we don't raise the debt ceiling on august 2? >> brian: i don't know what to believe anymore and i don't think there is any trust in that room. the president says a week ago, you know what? they want to cut medicare and medicaid and i can't believe that and you have a big ad showing paul ryan throwing people off a cliff. then on monday the president comes out and sakes medicaid and medicare have to be on the table. i'm going to take on my own party because of it, because the way they're unsustainable where they are. then the president comes out yesterday and says essentially, i can't write checks to seniors, as if these are the only two bills he's got to pay. i can't do seniors or military because he knows it tugs at the heart strings of americans. now in that meeting, i understand, eric cantor was beside himself because he said the white house asked him as representative republican party and a leader, jot down everything you would cut about medicare. home care and payment to hospitals and everything. he jotted it down. next thing you know, it's in the press. the president has never jotted anything down. the white house has not released what they would cut about in those entitlement programs. so it looks like the republicans are there with a hatchet. >> steve: the republicans are there with specifics and the president we hear he's talked about entitlements, but haven't seen the specifics there. newt gingricich has an idea that could actually work. listen to this. >> republicans ought to go in tomorrow or the next day, pass a $100 billion cut in spending and a $100 billion increase in the debt ceiling so they're exactly balanced. that takes us all the way through to september. and they should call that the social security payment guarantee bill and then they should say to the president. here, we've taken care of august. all you have to do is get harry reid and the democrats to pass it. you sign it, we can guarantee every senior citizen their social security check. now, mr. president, are you prepared to stop senior citizens from getting their checks? >> gretchen: he's putting the onus back on the president, which sounds like an interesting strategy. apparently from the insiders, the goal today on these debt ceiling talks is that they're going to go line by line through the spending cuts proposed in the biden talks. remember when they had those last month and then people walked out of those and they sort of were stalemated at 75% completion. apparently they're going to go back line for line and say, can we agree on this cut and this cut and this cut? we're out of time. july 22 is the real deadline here because this whole thing has to pass congress. >> steve: you asked a minute ago, would we run out of money on august 2 and 3? there is a graphic we found on-line from goldman sachs. see that line right there, the solid line that rises? that's revenue. and if you look at it, you can see there would be enough cumulative money to pay interest on the debt, social security, medicare, and essential defense. not that there wouldn't be some cash flow problems, but the stuff above that, the yellow, that's other spending. that would suffer. but the stuff like social security and medicare, medicaid, we could pay. >> brian: we found this on-line, and don't say a word to goldman sachs. it's our secret. 11 minutes after the hour. we move ahead. >> gretchen: should schools be spending stimulus money on this? books that tell teachers and the janitors that we've been way too nice to white kids. we report. you can decide. >> steve: and is there a secret rivalry brewing between speaker boehner and eric cantor? republican chairman of the party here to set those rumors to rest, coming up next. hello, jay leno. >> the debt ceiling talks broke down again today. there is a shock. democrats are whining, the republicans refuse tax increases. republicans are whining democrats refuse to make meaningful spending cuts. forget a government shut down. how about a government shut up. just do it, will you please? fiber one. h, forgot jack cereal. 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[ male announcer ] get the venture card from capital one, and earn double miles on every purchase, every day. go to capitalone.com. what's in your wallet? so, you're a docrat right? >> brian: another meeting at the white house today in hopes of reaching a deal on the debt ceiling. my hopes are not up. still no compromise between president obama and speaker painer and both parties. so mitch mcconnell is stepping in with what he calls a last ditch proposal to break the gridlock. but some say the plan undermines the efforts of the gop colleagues in the house. >> steve: that's right. reince previn joins us right now. good morning to you, sir. >> hey, good morning, guys. >> steve: it's great to have you. i just looked on the news max, it said tea party to mitch mcconnell, grow a spine. you know, there are some members of congress as well who do not like the idea that mitch mcconnell is floating his last resort plan. >> well, yeah. that's exactly right. it's a plan b or c or d. but i think the reality is that the frustration that americans have right now is the same frustration that i and many republicans have, which is this entire debate is all about spending. the reason we're even talking about raising the debt limit is that we have a spending problem in washington. i don't remember in 2010, in november or october, people rallying on the streets talking about the fact that we need to raise taxes in this country because we don't have enough money in washington. i mean, the president has now taken us on a wild goose chase, chasing after every possible piece of legislation, except for the issue of let's just cut spending. that's what this -- this is not rocket science. >> gretchen: the interesting thing is, we wouldn't even be having this debate had the midterm elections not had the results that they had because it would -- that's the essence of the tea party and the republican house now that has forced this debate to happen on the debt creeling and suddenly people are sudden -- for the first time they're talking about spending. but i want to ask this because there seems to be a growing rivalry within the republican party between tea party candidates and the establishment and is that just the president trying to expose that, specifically about speaker of the house john boehner and house majority leader, eric cantor? >> you know, gretchen, there is no daylight there. everyone is on the same page. i'm on the same page. we're all on the same page that this is all about cutting spending. if it wasn't for the republicans being at the table and having majority in congress, like you said, we wouldn't even be having this debate. this president has put us on a trajectory -- and i don't know if we say this enough. he, barak obama, has put us on a trajectory in this country to have accumulated more debt with his policies than every single president before him combined. that's him. that's his watch. it's not anyone before him. it's on barak obama. we're borrowing $5 billion every day just to pay our bills and so the republicans -- we're all on the same page. this is all about cutting spending and how do we get that message through this president? that's the frustration, that we're chasing down all these rabbit trails when we should be talking about spending. >> brian: how disappointed are you that tea partiers and some conservatives are upset that mitch mcconnell seems to be coming up with this plan c that would essentially give the power back to the president to cut in three separate increments $700 billion at a time? >> well, you know, i really don't know where some of that is coming from, but the reality is that there is no one in the republican caucus or in the folks that are talking to the president that isn't first and foremost and almost exclusively just talking about cutting spending. that's this is all about. and everyone is on the same page. this is a disaster in the making because we've got a president who won't tackle the problem. he himself said -- you remember, it was barak obama who said that the last thing we would want to do in this country is to increase taxes during a recession. well, now we've got quite a mess on our hands. >> steve: absolutely. before you go, he, the president, and he obviously is raking in a bunch of dough, they have announced this morning that he had aimed for $60 million. they raised 86 million in the last quarter. your reaction? >> well, if he was aiming for 60 -- if he was going to get 60, he would have said he was aiming for 50. the reality is he's good at chasing down big donors. >> steve: that's a lot of money. >> he hasn't done a good job of creating jobs. we're out there. >> gretchen: what are you guys going to do? because when you look at the republicans during that same time period with all of the candidates who announced only raised 35 million? >> we have a long time to go before the iowa caucus. obviously we're challenging the president. we have a diverse field. we have a great debate that's going on around the country. i don't think any amount of money is going to save a president who right now, even with his money, even with the money coming in apparently into his coffers, he's not going to have the ability, i don't think, to pull the wool over the american people's eyes. he'll need a lot more than that. right now a generic ballot on the republican side of the aisle beats this president. >> brian: thanks so much. i guess back to opening up people's wallets. >> i'll get to work. >> steve: straight ahead, all of america can call her a liar, but don't call her casey. the disgraced mother's plan to reinvent herself once she leaves prison. >> gretchen: she grew up on welfare and homeless at 21. how did she become a millionaire at 23? one of the so-called secret millionaires. i can't wait to hear her story. it's next. 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[ male announcer ] because enbrel suppresses your immune system, it may lower your ability to fight infections. serious, sometimes fatal events including infections, tuberculosis, lymphoma, other cancers, and nervo system and blood disorders have occurred. before starting enbrel, your doctor should test you for tuberculosis and discuss whetr you've been to a region where certain fungal infections are common. don't start enbrel if you have an infection like the flu. tell your doctor if you're prone to infections, have cuts or sores, have had hepatitis b, have beetreated for heart failure, or if, while on enbrel, you experience persistent fever, bruising, bleeding, or paleness. get back to the things that matter most. good job girls. ask your rheumatologist if enbrel is right for you. >> gretchen: she grew up on welfare, was homeless at 21, but became a millionaire at 23. now she's giving that money back on the show's secret millionaire. >> steve: she joins us now to share what she's learned with her new book "the first steps to wealth." good morning to you. >> thanks for having me. >> steve: i saw your episode and it was a premiere episode of this particular series. it was fantastic. and it must have made you feel great knowing that you -- now that you made it, you could go back and you went to a bunch of different places and you tried to figure out how much of your money you should give. >> yes. and it was an awesome thing. honestly my husband and i for the last few decades, that's what our life has been about. we believe in helping people. it's been the base point for our company also, which is why "first steps to wealth" is free on our web site. we're giving it away for free. our country is in trouble. >> steve: i noticed. >> people are suffering out there and they do not have concrete solutions that work. and our clients have used these concrete solutions for years and that's why we're giving it away for free. >> gretchen: go to our web site and you can link to your web site. >> brian: you got principles to relate. for example, how to get out of debt. a lot of people say how do i start? >> what's interesting is that these are proven, very basic, very simple things that work. like why are we going to the grocery store when we have a house full of food right now? does this make sense? if i can feed my family -- i have five kids, three grandkids. if i can feed my family on $100 a week, then so can everybody else in this country. bottom line. >> steve: plus, you probably got, as we look at that, you got a closet full of stuff you never use. sell it. >> absolutely. we can sell it and clients, like three days ago i was with a group of clients and among 68 of them, they paid off $5.3 million worth of debt in 15 months. we, the people, have got to get this problem solved in our homes and we can do it very easily. >> gretchen: you can have a garage sale or go on ebay. pay cash for everything. how many times have we heard this, but it's so easy with the plastic. right? >> yeah. even if you just pay cash for everything, okay, as well as a number of other strategies in the book, carey used these and able to have $60,000 in the bank where that money would have been floating out there in all kinds of stuff, food, clothes, whatever, and she lost 50 pounds by just eating out. >> what about debit cards? is that considered cash? >> yes. absolutely. not only that, but in this economy with everything failing, you've got to have new economy skills. like our client, ryan, who came back from iraq and could not find a job. he used chapter 3 in this book to be able to land a job in five minutes on the interview, starting pay, 38,000. he used the next chapter in the book to get promoted four times making $110,000 his first year in a position he had no experience in. >> steve: sure. something people have experience in and is making a note, write down where your money is going. if you don't need to spend on something, cut the fat. >> think about it. we're in debt and we're at starbucks every single day! come on! we've got to get back to the basics. if we do, then we're going to start feeling free financially and the bottom line is that we the people need to step up, get the strategies, there is no excuse. the book is is free at my web site. >> brian: lattes go on hold for now. >> gretchen: although she has enough energy, seems like she had several. but you're very inspiring. thank you very much. >> thanks for having me. >> gretchen: has america been too nice to white people? that's the lesson one district is teaching its teachers and it's using stimulus money to do it. is that spending wise or a waste? we'll report and you can decide. >> brian: why hasn't anyone asked dr. phil how he would solve the debt crisis? he's going to capitol hill today. can someone ask him -- >> gretchen: could we go in the room? >> brian: should we ask him now or on camera? can getting enough vegetables make you feel good? oh, yeah. v8 juice gives you 3 of your 5 daily servings of vegetables. v8. what's your number? we're putting them to the test against the speed of a rescue unit. go ! they're downloading a music album. the first network to finish gets rescued. does your phone know that we're racing ? done ! verizon's done ! i've got seven left ! the fastest networin america. verizon. built so you can rule the air. now powering the lg revolution. oh, we call it the bundler. let's say you ne home and auto insurance. you give us your information once, online... [ whirring and beeping ] [ ding! ] and we give you a discount on both. sort of like two in one. how did you guys think of that? itust came to us. what? bundling and saving made easy. now, that's progressive. call or click today. >> steve: all right. did you realize that july is national ice cream month, that's why baskin robins is here handing out all sorts of ice cream to the folks. they've got cute cones you can get at the store now. meanwhile, let's take a look at what we've got ahead weather wise. weigh got widely scattered showers in portions of the tennessee valley, into mississippi valley as well. little lingering activity right along the gulf coast. otherwise for the most part, things are dryer and less humidity. meanwhile, let's look at the next map, shows you the current readings as you head out the door. do you need ice cream? you could. in tampa and raleigh, temperatures in the mid 80s. a lot of 60s and 70s on the map. in new york city currently, 77. same as san antonio. next map shows you the day ahead. it's going to be a hot one across portions of dixieland, back through dallas. look at that, 102 there. 104 in phoenix. up north in minneapolis and chicago, temperatures in the 70s, same as cleveland, ohio. that is a quick look at your fox travelcast. good weather for ice cream. thank you, br man, or woman. >> gretchen: i wonder how hot it is in that suit. >> brian: right. i don't know, but steve and i learned the hard way, absolutely, steve did, not to talk to the mascots because they don't talk back. he forgot that lesson. he's still staring. >> gretchen: but he knows how to dance. >> brian: no neck. >> gretchen: he or she. >> brian: we're not sure. i got to tell you what's going on with our nation's security. from terrorism to the tsa newly released government report reveals gaping holes in our national security. one of the reports shows there have been more than 25,000 security breaches at our nation's airports since the attacks in 9-11. another report from the government accountability office shows just how easy it is for terror suspects to get their hands on fake passports. despite billions of dollars spent to prevent terrorisms. many pat-downs. >> gretchen: memorial services continue today for former first lady betty ford. among the dignitaries paying their respects, former president george w. bush, nancy reagan, michelle obama, roslyn carter and hair i can't shriver. -- maria shriver. she will be laid to rest in grand rapids, michigan. >> brian: casey anthony will be moving to a undisclosed location following her release from jail and reports she'll change her name and appearance, much like people do in the witness protection program. sources close to her say she's aware of the public outrage over acquittal but that she doesn't fully grasp the intensity of that outrage. she will soon. >> gretchen: a special wake-up for the crews of the shuttle and international space station. ♪ rocket man i'm running out of fuel ♪ ♪ . >> good morning, atlantis. this is elton john. we wish you much success on your mission and a huge thank you to all the men and women at nasa who worked on the shuttle for the last three decades. >> good morning, houston. elton john, music legend. wow, that is absolutely fantastic. >> gretchen: rocket man is a popular wake-up song for nasa used three times before. work continues today for them. brian? >> brian: mila kunis is going to the marine corps ball and her date couldn't be happier. remember sergeant scott moore who asked her out in a youtube video? >> i want to take a moment out of my day to invite you to the marine corps ball on november 18 in greenville, north carolina, with yours truly. >> brian: he says he can't previous it's happening. quote, we all talk about what we're going to do when we get back. this was my dream. i do feel bad for putting her on the spot. but it's not like i was going to bump into her in the street over in afghanistan between now and the ball. moore is also thanking justin timberlake for encouraging her to say yes. >> steve: i got a feeling that particular proposal for a date could spawn other like-minded proposals going forward. hey, meghan fox, i need a date for the prom. >> brian: i think if you're in uniform, whip out the camera, the iphone and start asking people out. >> gretchen: all right. hopefully some of those other dates will turn into nice hookups. let's talk about what's happening in omaha, nebraska because apparently the public schools there in one district, they were allowed to use stimulus money, $130,000 of federal stimulus dollars to buy each teacher, administration, staff member, even the custodians there, a manual on how to be more culturally sensitive. you hear that and say, okay. well, maybe that could be something that might be needed. but maybe not in the current economic crisis that we find ourselves in and also when you start to read some of the excerpts from this book, you might be a little concerned. >> brian: was it shovel ready? we'll find out. hey, here is an excerpt. we need to recognize and dismantle historical reforms of oppression that are operational in schools. schools can by tradition institutionalize sexism, racism, eth know centrism, alienism, that's the worst, and homophobia, to list a few organizational policies and practices. >> steve: all right. earlier we had tucker carlson on this program talking about all this stimulus money going to these diversity books. what does he think? listen. >> the idea that blaming the shortcomings of kids' academic performance on capitalism, on racism, on the structure of america itself will help their academic performance? we've tried this for 40 years and, in fact, we know the answer. it does not work. kids' test scores aren't low because america is racist. by the way, if america is set up to help white people, why are there poor white people in this country? why are certain immigrant groups not white done better than white people in this country? i mean, it's actually a lewd chris and indefensible position. >> steve: what does the ohm ma school district say? it's to help staff see the people come from a multitude of different backgrounds which cause them to respond differently to the same set of facts, depending upon their personal perspectives. so apparently that is why they used all that stimulus money to buy those books. >> gretchen: all right. e-mail and tweet us and let us know what you think about this. >> brian: we're tired of guessing. next on the rundown, he balanced ohio's budget without raising taxes. does go kasich have any advice for washington. >> gretchen: how about the debt problem as soon as why doesn't anyone think about asking dr. phil before? what's his prescription for our politicians? i can hardly wait to hear that. >> brian: we are geniuses with our questions. >> steve: speaking of numbers, it's time for your news by the numbers. $7.6 billion. that's how much in made up pay backs is going out this week. yeah. that's a lot of cash registers ringing. just another $56.4 billion go to hit, break even. next. $19.99, that's how much could be added to your monthly television bill in hidden fees. that much? the federal government is promising to stop it. and 60%, that's how much netflix intends to increase its prices. they will no longer offer 9.99 plan unless users watch an unlimited number of movies on-line. >> brian: that's a happening company. >> steve: we have that at our house and it's great. we watch it all day. >> gretchen: that's because they don't have any competition because blockbuster and other places like that went bye-bye. >> brian: i watch fox news all day. i'm sorry you use netflix for entertainment. >> gretchen: casey anthony was in jail for the last three or four years and so she undoubtedly was watching a lot of tv. but did she watch during the trial to find out what the public thought about her during that time? now we're learning more that when she's released on sunday, that she knows enough that the public wasn't too thrilled with the verdict. so she'll change her name now. but what will it be? and also, will she get protection from police officers? that would be silly for anyone to try and do something to casey anthony. but will she get any kind of protection? >> brian: the "new york post" says, the police officers, she's been convicted of lying to them. they'll get to look at her security and the "new york post" says they're not going to provide it. but i think it's abc that came forward and said looks like they're examining whether to provide security if shea stays in the orlando area. >> steve: it sounds like the orange county sheriff's department have agreed the day she's sprung from jail, they will take her to wherever her destination is. it will be interesting, if it is texas, will they escort her all that way? it sounds like from that abc thing that probably going forward, she won't have 24-hour round the clock surveillance. >> brian: that's taxpayer money. >> steve: absolutely. so it doesn't sound like that. but she will -- she apparently has considered all sort of things to obscure her identity. in addition to the name, using an alias. is she going to use plastic surgery to change her looks? no. but she probably will wear a big hat, glasses, maybe a wig, stand by. >> gretchen: unless the media would go around and try and find her, i believe she could change her looks enough and nobody would ever know who she is if she moves. the immediate media will probably figure it out. look at this e-mail from jim in orlando. something tells me acey will not have much difficulty coming up with a new alias. i guess because during the trial, everyone learned that she was really good at lying. >> brian: and another one -- well, let's not read it. >> steve: i think that's about enough. >> brian: we have dr. phil and governor kasich coming up. >> steve: he solves a lot of people's problems. so how about the debt problem in dc, does dr. phil have a prescription for our politicians? he comes up next. dad, why are you getting that? is there a prize in there? oh, there's a prize, all right. [ male announcer ] inside every box of cheerios are those great-tting little o's made from carefully selected oats that can help lower cholester. is it a superhero? kinda. ♪ didn't taste so vegetably? well, v8 v-fusion juice gives you a full serving of vegetables, plus a full serving of fruit. but it just tastes like fruit. and try our deliciously refreshing v8 v-fusion + tea. [ announcer ] who could resist the call... of america's number-one puppy food brand? with dha and essential nutrients alsoound in mother milk. purina puppy chow. >> democrats, republicans, still haven't come to any agreement over this debt ceiling and the -- you know, have you watched these people? go to c-span. show them arguing. >> ouch! (babbling). >> i said no first! >> i said no first! >> gretchen: okay. the debt limit deadlock may strike many as children acting out so we thought we'd see if dr. phil could help our politicians out and he joins us from washington, d.c good to see you. >> good morning. >> gretchen: so we kind of laugh at that, kids screaming back and forth at each other. but that's kind of what might be going on on capitol hill during these meetings. if you were advising them, dr. phil, what would you tell them to do to finally get to a decision? >> you know, i tell you my advice would be you people need to remember who you work for. you don't work for your party. you work for the american people and we expect you to be up here doing your job. i hope everybody will stop this party politics and recognize we got a country to run. we got a government to run. they need to get this debt thing worked out. we need to get money flowing. and we need to go about our business. i want somebody to do their job. >> gretchen: so if you had president obama and the speaker of the house, john boehner, sitting with you on your show, and you heard that the president told the republicans to do their homework, like his daughters do, and that john boehner said to the president, excuse us for trying to lead, would you say that both of them should not speak that way to one another? >> well, i would say they need to quit playing to the cameras and they need to quit posturing because i promise you, behind closed doors, they can roll their sleeves up and they can come up with a plan that everybody can live with. everybody's got some other agenda. you got elections coming up, you got constituents that are riding you. but the point is, we've got a business to run here that's called the country and they need to do that. so i would tell them to stop the posturing. >> gretchen: i know you have been invited by the judicial committee chair, senator patrick leahy to testify before a congressional committee today on the violence against women act. can you tell me about what your contribution will be? >> well, i can tell you what i hope my contribution is and that is to let these folks know that what they're doing with this violence against women act is very, very important. this act needs to be reauthorized. look, we've got 2 million women a year subject to domestic violence and as importantly as those 2 million are, 10 million children are caught up in the cross fire that impacts them for the rest of their lives. so this is very important legislation that i support. we have so much that we can do at the state level and even locally, but we've got to have some federal muscle behind it. and to have this act and the funding that comes with it is critically important. we started a campaign on our show called end the silence on domestic violence and this is part of that. >> gretchen: all right. hopefully you can get a pass into that debt ceiling meeting as well. maybe you could impart advice to them. dr. phil, thanks so much. >> see you soon. >> gretchen: coming up next, he's balanced ohio's budget wiout raising taxes. so what advice can governor john kasich give washington? there he is, coming up next. [ male announcer ] at nissan, we test the altima's durability on a track that simulates the world's toughest roads. ♪ [ tires screeching ] ♪ if it can survive this drive... ♪ it can survive yours. the nissan altima. innovation that lasts. innovation for all. ♪ >> brian: he can teach washington a thing or two about dealing with debt. he's done it before. last month ohio governor john kasich balanced his state's budget and closed in $8 billion budget gap in the process without raising taxes. >> steve: the governor joins us live on the curvy couch. >> we actually cut taxes. we killed the death tax, we have an incentive for people to invest in small business and kept our income tax cut. the key in government is how you create economic growth. ohio was not competitive with other states. we are now open for business. we are now able to be more competitive and to keep our people from leaving, bring more jobs in. that's the whole key and our budget is comprehensive. medicaid reform, can through 12 reform, higher ed reform, privatizing our department of development, looking at things and fixing them. in washington, they're dysfunctional right now. >> steve: governor, in washington you print more money. you go into debt. you have a big deficit. at the state level, you can't do that. >> look, i was one of the chief architects of the 97 deal. we balanced the budget. we paid down debt. we had the largest surplus in modern history back then. but we were able to reach a compromise. it wasn't without a struggle. we went through government shut down. then finally the clinton administration came, they approached me. said, are you open to more negotiations? i said absolutely. we looked at the problems, we faced them. we actually cut the capital gains tax and we had this balanced budget and great economic growth. what they need to do now, in my opinion, is there is nothing wrong with closing these loopholes and corporate jets and things like that as part of tax reform as long as you bring this corporate rate down, makes us more competitive world wide, but there has to be the spending cuts and the idea that we'll raise marginal rates or start, quote, taxing the rich, it just creates a negative impact on the economy. you can't do that. >> gretchen: you would advise republicans right now to give on those tax loopholes? >> yeah, as long as the rates come down. >> gretchen: because then the message out to the public could be, well, we compromised on that. >> yeah, i think so. look, what people want to do is bully your way through. america defaulting on its bills, do you default on your credit cards? i hope not. america cannot get into a position of where we default. it is a -- it would be a disaster for american families if we did it. so we have to reach an agreement. >> gretchen: but right now you have the democrats saying, we're not going to cut entitlements and republicans saying, absolutely no changes to tax. you're saying that if you were advising the republicans, you would advise them to move a little. >> what i would say to them is, we got to get the spending cuts up front, or the reforms up front. you don't need to cut, you need to make things better, you save money. like for example, in my budget, we let mom and dad stay at home rather than go in a nursing home. that reduces our costs. but you got to get the savings up front because if you produce more revenue, they'll spend it. but i think when you close the loophole, bring the tax rates down. make it flatter, make it fairer, make it more comprehensive and then you become more competitive globally. >> brian: does it bother that you they're still playing politics when you're a numbers guy, instead of balancing the budget, they're vilifying and categorizing people? >> part of the problem, you're an old sports guy, we used to go down to the gym, 4 or 5:00 o'clock play basketball, bounce each other around and look at each other as human beings. those days are gone down there. we have a systemic problem in that republicans and democrats are too polarized. i even see it in ohio. it's terrible. nothing big can ever get done unless both sides are able to agree. think about ronald reagan and tip o'neill. they didn't agree on squat, but at the end of the day when they had to, they reached agreement, they had a drink ray cyrus will be headlining all our great guests. >> gretchen: he'll perform and you won't be here. have a fantastic wednesday, everyone. we'll e

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