Presentation on thursday before the Senate Committee because this is obviously sensitive enough and people are paying close enough attention that i think details count and prepared remarks from secretary lou on dtqi p propriate. We plan for every contingency. So obviously, you know, worst case scenario, there are things that we will try to do. But i will repeat i dont think any option is good. Ivf could you talk a little about budget process . In the past you negotiated along with the debt saling in 2009 and 2010. And the fiscal commission. The republicans today are talking about maybe another committee that would work out our differences over the next few weeks, is that something that you could talk about on the side that would not necessarily be a concession, but something that would be a foe format for getting a deal done . I know that Speaker Boehner spoke of a process of a Super Committee or what have you. You know, the leaders up in congress can work through whatever processes they want. But the bottom line is youre either having good faith negotiations that are good give and take, or youre not. There is already a process in place called the budget committees that could come together right now, democrats have been asking for 19 months to bring them together, how much the government should be spending next year, the appropriations committees that can gof1t through the lists an here is how much were spending for defense and education. And that is a process that has worked reasonably well for the last 50 years. I dont know that we need to set up a new committee for a process like that to move forward. What has changed, or what seems to be motivating a new process, is Speaker Boehner or at least some faction of the republicans in the house and maybe some in the senate are holding out for a negotiation in 4t9qju k but in fact basically democrats give allot of concessions to republicans and republicans dont get anything. And then that is dubbed as compromise, and the reason democrats have to give is theyre worried that the government will stay shut down or the u. S. Government is going to default. You can dress it up any way you6 well, i dont know why democrats right now would agree to a format that takes off of the table all of the things they care about, and is confined to the things that the republicans care about. So again, i dont know that that is exactly what is being proposed. My simple point is this. I think democrats in the senate and the house are prepared to talk about anything. Im prepared to talk about anything. They can design whatever format they want. What what is not fair and will not result in an actual deal is ransom taking or hostage taking, and the expectation that democrats are paying ransom or providing concessions for the mere act of reopening the government for paying our bills. Those are not things that you do for me, and theyre not things that you do for the democrats. Is there room here where its not necessarily a concession. Where you would negotiate what the negotiations are going to look like. You dont have to overturn obama care. If you could negotiate what the talks are going to look like so everybody is comfortable. And you mentioned yourself this is a tough vote for republicans, youre asking them to take a very tough vote. Usually people in both parties want some cover, something they can point to and say i want some budget process reform. Which is fine. And so if they want to do that, reopen the government, extend the debt ceiling. If they cant do it for a long time, do it for the periodni of time in which these negotiations are taking place. Why is it that we have hundreds and thousands of people who are not working right now in order for what you just described to occur. That doesnt make any sense. The Small Business administration gives out 1 billion worth of loans every month to Small Businesses all across the country. Thats not happening right now. So Small Businesses in every state counting on a loan to get their business going. And you have the party of Small Business saying Small Business administration cant do it. Thats what they call themselves, and theyre suffering. You have tomorrowers waiting for a loans right now and they cannot be processed. The Republican Party says theyre a party that looks out for farmers. I disagree i think farmers have done real good under my administration. Having said that why would you keep them shut down and those farmers not getting their loans while having the discussions that you just talked about. You know the republicans say theyre very concerned about drilling. They say obama has been restricting Oil Production. Excite the fact that Oil Production is the highest level it has been in years and is continuing to zoom up. But they say democrats are holding back Oil Production in this country. One of the things that happens when the government shuts down is new drilling permits are not processed. So why would they say to the folks interested in drilling for oil sorry, we cant let those things be processed until we have some negotiations and cover to do what we are supposed today be doing anyway. That doesnt make sense. If there is a way to solve this, it has to include reopening the government and saying america will not default, they will pay our bills. They can afach a pttach a proce that that gives them ternty that in effect the things theyre concerned about will be topics of negotiation. But if they want to specify all of the items they think need to be topic of conversation, happy to do it. If they want to say were going through line by line all of the aspects of the Health Care Plan that we dont like, and we want the president to answer for those things, ill sit down with them for as many hours as they want. I wont let them gut a law that will make sure tens of millions of people get health care, but im happy to talk about it. All right . Steve collins. Im just going through my list here. The campaign against terrorism, and if we will see u. S. Military operations how does that square with your contention that america cannot be at war forever. If you look at the speech i gave at the National Defense college several months ago, i outlined how i saw the shift in terrorism around the world and what we have to do to respond to it. Part of what i said is that we decimated a core al qaeda that had been operating primarily between television and pakistan. You now have regional groups, some of which are explicitly tied to al qaeda. Some of which are more localized. Few of them have the ability to project beyond their borders, but that can do a lot of damage inside their borders. Africa is one of the places where, in some cases a lack of capacity is on the part of the government, in some cases because it is easier for folks to hide out in vast terrain thats are sparsely populated. Youre seeing some of the groups gather. And we will have to continue to go after them. But there is a difference between us going after terrorists who are plotting directly to do damage to the United States and us being involved in wars. You know, the risks of terrorism and terrorist networks will continue for some time to come. We have to have a longterm plan that is not just military based. We have to engage in a war of ideas in the region and engage with muslim countries and try to isolate radical elements that are doing more damage to muslims than theyre doing to anybody else. We have to think about economic development. Although there is not a direct correlation between terrorism and the economy, there is no doubt if you have a lot of unemployed, uneducated men in societies there is a greater likelihood that terrorists recruits are available. But where you got active plots, and active networks, were going to go after them. We prefer partnering with countries where this has taken place, where ever we can, and we want to build up their capacity. But were not going to farm out our defense. And i have to say, by the way, the operations that took place in libya and somali were examples of the extraordinary skill, dedication, and employment. They do their jobs extremely well with great precision, at great risk to themselves. And, i think theyre pretty good examples for how those of us here in washington should operate as well. Can we talk about does it comply with International Law . We know that they helped plan execute plots that kill hundreds of people, including americans, and we have evidence of that and he will be brought to justice. Mr. President , while youre waiting for the shutdown to end, why is it that you cant go along with any of the bills that the house is passing, funding the fda, fema where you were yesterday, and veterans benefits, and headstart, you have to be tempt todd get funding to those programs that you support. Of course im tempted because you would like to think that you could solve at least some of the problems if you couldnt solve all of it. But what you see are bills that come up that wherever republicans are feeling political pressure, they put a bill forward. And if there is no political heat, no Television Story on it, then nothing happens. And it we do some sort of shotgun approach like that, you will have some program thats are highly visible that get funded and reopened Like National monuments, but things that dont get a lot of attention like the sba loans, not being funded. And you know, we dont get to select which programs we implement or not. There is a lot of things that republicans said we have to do, and i dont get a chance to say you know what, this idea that this republican congressman came up with i really dont like, so lets not implement that. Once you have a budget, and a government with a set of functions, you make sure that its all operating. We dont get to pick and choose based on which party likes what. So thats where the budget discussions take place. Now there are some things that the republicans dont like. They should argue for eliminating those programs in the budget, come with an agreement with the democrats. Maybe the democrats will agree and those things will not be funded. But you dont to a piecemeal approach like that when youre dealing with a government shut down. How about death gratuity im going to take one more question. Your hand persistence has worked. You talked about the political dynamics that leads House Republicans feeling like they dont want to negotiate. They dont want to come together. I want to ask you two things about that. Looking back at the 2011 default discussions and drama, is there anything you wish you had done differently, and after this has ended, what do yo expect the political dynamics, how they have changed, to move forward. I think that is an interesting question. In 2011 i entered into good faith negotiations with john boehner. He had just won the speakership. It was a time when because we were still responded to the recession deficits were high, people were concerned about it, and i thought it was my obligation to meet him halfway. So we had a whole series of talks. At that point, at least, nobody had any belief that people would come close to potential default. I have no regret entering those negotiations and were still close. And i still see john boehner today and say you should have taken the deal i offered back then. It would have done with longterm deficit programs, it would have boosted confidence. At that time i think House Republicans had just taken over, they were fielding their anothers and thinking that we dont have to compromise. And we came pretty close to default. And we saw the impacts of that. I thought they would have learn from that. We cannot put the people and the American Economy through that ringer again. So that is the reason why ive been very clear that we are not going to negotiate around the debt ceiling. It has to be dealt with in a reasonable fashion. In the past it has been dealt with all the time. The truth of the matter is if you look at the history people posture about the debt ceiling frequently but the way it often got passed it you stick it on to a budget negotiation once it was completed because people figured well i dont want to take a bunch of votes to cut programs or raise taxes and also take a debt ceiling vote. But it wasnt a situation in which, what if i dont get what i want . I will let us default. So as a consequence, i said that were not going to do that again. Not just for me, but because future president s should not be in a position to decide between making sure the economy stays afloat, or we provide concessions to one faction of one party in one house. And let me tell you a lesson that i did not learn . It was not that we should not kmied, i still think we should. I still think there are all kinds of issues we should talk about and i dont expect to get 100 my way. And im still open to conversations with not just the speaker, but any republican over there. If you enter into a series of shortterm funding bills or debt ceiling bills you will be back in the same place probably with the same members, so what will change the political die naynam. I think the fact that theyre aware that im not budging when it comes to the full faith and credit of the United States. That has to be dealt with. That you dont pay a ransom, you dont provide concessions for congress to do their job and america paying their bills. And i think that most people understand that. I was at a Small Business the other day talking to a bunch of workers, and i said in the middle of your day at work do you ever say to your boss that unless i get a raise right now, im not just going to walk off the job, im going to break the equipment. How do you think that would go . And they say they thought they would be fired. There is nothing wrong with asking for a raise or more time off, but you cant burn down the plant. Or your office if you dont get your way. Same thing is true here and i think most americans understand that. All right . Thank you very much, everybody. Rare that president ial news conferences go on for more than an hour, but this one did. The president is supposed to be in china right now, and perhaps the fact that his agenda is so clear may be the reason that he went on so long. A lot of speculation subjectgge that because he has the loudest lets go back to wendell, a lot of perm attacks on john boehner and House Republicans and tea party republicans. I think both the president and the speaker feel they came close to a handshake deal in 2011 that each feels the other walked away from. The president in fairness says he recognizes there is a number of house members from districts where he said i got clobbered in 2012 and he said they dont get reworded for negotiating. But at the same time that does not obsolve them. On the later part the president was asked about prioritizing which bills to pay in the event that the government does default with the president saying the government is not in default unless it stops paying the interest it owes on treasury bills, but the president said that does not satisfy the obligation to pay senior citizens, social security, veterans disability bills, and if the world seize the United States not paying some of its bills, our Credit Rating will fall, our Interest Rates will rise, and our budget deficits grow even larger, john. So the arguing goes on at capitol hill and at the white house. Wendell, thank you. Please stay tuned for continuing cover of this story and any breaking news and online. Im john scott in new york. Good afternoon. Im tori campbell. Youve been watching the president speak on the Government Shutdown and the debt ceiling. We want to get to our top story top story in the bay area. Firefighters are still at the scene of a fire that burned several structures. The fire started at a lumberyard. Janine de la vega is live in coyote. Reporter firefighters are still on the scene. They are in the overhaul process. They are watching this property because with all of the good nearby, theres still a lot of fuel here. From chopper 2, you can see the flames eating away at the padula lumberyard and the property next door. It was blazing. It was raging. Big raging fire and the embers and stuff floated over to the barn and a couple of races with the rvs. Reporter the fire started at 7 45. The owner of the lumberyard was sitting in his office when he heard a loud noise. I heard a small boom, large boom. By the time i came out, the back building was engulfed in flames. Reporter 50 firefighters fought to knock down the flames. There was plenty of fuel. It was somewhat of a challenge for firefighters. Old furniture. Just antiques. I have no idea what condition thats in at this time. I do know its been flooded down to try to save it. That. Reporter neighbors are claiming people are there at night. The owner says he closes at 4 00 p. M. And no one is around. He doesnt know what caused it. Ann ruben will have more on this story coming up later in the day. Reporting live from coyote in santa clara county, janine de la vega, ktvu channel 2 news. San Francisco Police are investigating the suspicious death of a 7monthold baby. Police say the childs parents brought the infant to San Francisco General Hospital around 12 30. He was pronounced dead a short time later. The medical examiner called the death suspicious. A car related to the case was towed from the hospital. Police are also investigating the familys home on monterey boulevard. Investigators would not release any specifics in the case. But they say they want to make sure theres no criminal activity involved. In the event theres some criminal incident, weve done our part and secured a potential crime scene and cleaned the parents vehicle that they drove the infant to the hospital in. Police are interviewing the infants parents and others that have recently come into contact with the child. Now to the looming b. A. R. T. Strike. As the clock clicks toward thursday night and. Just a few hours ago, both sides walked into negotiations hopeful that they could reach an agreement. But at the same time, other bay area transit agencies met to discuss contingency plans in case theres another b. A. R. T. Strike. Sal castanedo has more. Reporter good afternoon, tori. It could be the pressure finally of having this thing looming, but the tone is definitely different today as both sides have been honoring a voluntary gag order set by the federal mediator. As representatives arrived, the feeling seemed more hopeful than in the past. B. A. R. T. Unions have not given a 72hour intent to strike notice even though the coolingoff period ends on thursday and a strike is possible on friday. This doesnt necessarily mean there will not be a strike but it appears the acrimony of the past has been dialed down. This could be because of the length of the negotiations not going on for more than three months. This is by far the longest negotiations that i have been aware of and were very hopeful once its over, not so much for me but for the general public. They suffered through a lot. Reporter privately, both sides have told me the fourday strike in july was a wakeup call after the extent of the disagreement. Now that were getting closer to the threat of a strike, it is seemingly pushing both sides. Its a huge threat. The constituents, riders, businesses, should be contacting the board of directors. They are the ones with all of the power and authority right now. Reporter just a few hours ago in San Francisco, the metropolitan Transportation Commission and groups representing San Francisco employers met to talk over strike plans. Employers are being urged to allow more flexible hours and create a in case a strike happens. Sal castanedo, ktvu channel 2 news. Thank you, sal. Stay with ktvu for continuing coverage of the b. A. R. T. Contract talks. You can get updates any time on ktvu. Com and also like us on facebook or follow us on twitter where we will alert you as soon as we learn about major departments. The Agriculture Department says raw chicken processed at three foster farms plants in Central California is the likely source of a salmonella outbreak. 238 illnesses have been reported since last march. The outbreak spread to 18 states. Most are in california. Foster farms says the products are safe to eat if properly handled and fully cooked so they are not issuing a recall. The company said we take food safety very seriously when the illnesses linked to illnesses increased, we wanted to know why and we have worked to quickly identify and implement additional controls. New information on the ash crash. Who claims on the asiana crash. Who claims there was a problem with the equipment. And you may be feeling the cooldown already. Rosemary orozco will be here to tell you how long its expected to last. Were about 90 minutes away from the first pitch of game 4 of the American League division series. The oakland as can do something they havent done since 2006 and that is clinching a division series. Well have a live report
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