Few big things get done in washington without drama, and were although the precipice of a very bing thing. Today the cliffhanger. Were now at the last minute. Wlaefr we come up with is imperfect. Well work hard to get there. Getting a deal and getting it passed with democratic senator debbie stab gnaw and john ba wrasse a and darrell issa and donna edwards. Then, the country goes into 2013 without a farm bill. Think you dont care . The consumers when they go in the Grocery Store are going to be a bit shocked when ned of 3. 60 for milk to 8 pour milk. 2016, yes 2016 with matt bai of the New York Times magazine, the washgt post karen itemty and cnns Jessica Yellen. Im candy crowley. This is state of the union. If sigh lentz is golden, perhaps something is up. We havent heard much about whether a deal to avoid the fiscal cliff is in the works or out of the question. In what passes for a sign of hope, Senate Staff Members spent saturday shuttling papers presumably containing proposals between harry reid and Mitch Mcconnells offices. Both the senate and house are meeting today. Joins me touk at that about where things stand is darrell issa of california and done nan edwards and michigan senator debbie sab snow and jon ba wrasse o from wyoming. Whats up . What is happening that you can tell us about . Well, theres a lot of work going on right now on both sides of the aisle in the senate to come to an aagreement. To me theres take basic principle, and if everybody agrees we can go forward. That is, dont hold middle class families hostage to the debate about whether or not the wealthiest americans should get another tax cut. I would argue we cant afford it as a country, but the question is, are we going to allow middle class families to see their taxes go up while we have this debate . If we can agree we will continue tax cuts for the middle class, Everything Else begins to fall into place. Wlho is working at this moment . Are you involved in this . Ive been in touch with those involved in this. There is no deal yet. I continue to hope for a bipartisan agreement today. What we see a monumental failure of president ial leadership. The president is the only person with a pen to sign this, and its the president s responsibility to work on something that the house will pass, the senate will pass and he will sign. He is outsourcing this. He continues to campaign and lecture when he ought to focus on the number one problem that hurt z us as a country, which is our debt. It would be nice to place all the blame on the president , but thats not the reality. In the house our Democratic Caucus is meeting later on today. Weve been united as democrats in wanting to protect middle class families from a tax cut going up. 98 of the american public, 100 of people who made under 250,000 will be protected under the president s proposal and under a bill waiting to protect middle class families. We could do that today. We could do it today or tomorrow. We could get it to the president s desk and deal with the most pressing issues that families face which is are my taxes going up on january 1st . Its minimalist at this point he. We started out with cutting the debt and now were down to Unemployment Compensation and whats going to happen with these tax rates. I think that the important thing, though, candy, is what we do aagree on and dont agree on. The house passed months ago a bill that kept everyones taxes low. Now, thats dependent on how you scored 50 or 60 billion difference between the current president and democrats position. Thats with the 250,000 and under keeping their tax rate. Everybody else gets a tax hike . I live in an alternate reality. The grew of age in politics in the Clinton Administration and watched pelosi and harry reid vote for tax increases under bill clinton that are the taxes we would go back to if we do nothing. At the same time, i watched nancy pelosi lead the charge against the bush tax cuts that ultimately now they want to keep 98 of. The truth is if we go over the cliff on a tax basis, were only going back to the clinton era taxes. If we dont change spending, were going to stay over the cliff. Even if we go back to the clinton tax rates, the clinton tax rates, which is what the cliff is described as, you still have nearly half a trillion dollars a year, 5 trillion over ten years worth of deficit. Thats because while we grew the under bush the taxes revenue went up 25 , and spending went up 100 in the last 12 years. If you put back the revenue from the higher taxes, you still have a deficit. Thats what were trying to change. We kind of are where we are, and no one is talking about spending cuts. Theyre talking about keeps taxes low, which everybody agrees. Let me ask a specific question first to the democrats here. If they came out with with a deal that said, all right, we will keep tax rates for those making 400,000 or less, would you vote for na . Candy, im willing to come to the middle. I think weve got to all be willing to come to the middle. Thats a yes . I want to Say Something else very important, and that is for two years now we have only been focusing on spending cuts. In the last two years weve put in place 1. 6 trillion in spending cuts. We have put in place spending reductions under medicare of over 700 billion by cutting overpayments to Insurance Companies and so on. The only thing, the only thing that we have not been able to get any agreement on is whether or not the wealthiest americans should be part of the solution. Thats what this is about. I will give you let me give you a chance to talk about the spending cuts. Weve already done tax cuts excuse me. Weve done spending cuts. Im willing to do more. I have 27 billion sitting on a farm bill in cuts we passed to the house. The House Committee passed spending cuts and stop big subsidies to farmers that shouldnt be receiving them. The house wont take it up. Im happy to do more reasonable spending cuts, but not if over and over the middle class gets hit. The middle class and seniors get hit over and over again. Its time for the wealthiest to be part of that. I want to give a chance to respond to this. If it were 400,000 or less, the tax rate stayed the same, it would be okay for you . If it includes something broader. 200 million lose Unemployment Benefits next week. Including unemployment. Its a possibility. How about you . The president proposed 400,000 as a balanced approach to negotiate. The reality is the president ran on 250,000. Come january 1st tax cuts for everyone will expire. We have a majority of support in the congress, republicans and democrats who actually support providing tax cuts for people who make under 250,000. To the point, would you vote for something if it came out to extend Unemployment Benefits and its 400,000 or lower . Would you support that . If 400,000 doll is part of a balanced package. If its not if you get anything, right, its an extension of Unemployment Benefits and somewhere along the line retaining tax rates for whatever one defines. Republicans actually rejected the 400,000. We have an obsession level with increasing tax rates, and people across the board say this does nothing to deal with this spending problem we have in this country. Nothing. Hes fixated on what may help what funded the government for seven days a year. Completely ignoring the other 358 days a year. You have to focus on really whats going to save this country, and we are not there. The president is doing nothing about the addiction that his administration has to spending. Hes the spender in chief. I cant let the senator say what she said and not correct the record. Those 700 billion, this wonderful savings went into obama care. The idea that you save money in medicare, it was saved as part of a big spending program. We cut overpayments to Insurance Companies. Again, here in Washington People say cut while things grow. Slowing the growth . Yes. Its sort of like satisfiesing you have a freeze, but its water and when water freezes it expands. Weve grown 100 in 12 years. The government. The government is sig bbigger, unless we do something it will get bigger and the deficit will get bigger even if we raise taxes on everybody. We still have a huge deficit. If we do not take on spending, then the cliff may not seem like a cliff but will be a downward slide to make us like greece. No lodnger a viable economic power. Hang on. Well continue this. We have to take a quick break. The fiscal cliff has the president sounding like new york yankees legend yoeg gi ber ra. This is deja shz vu all over again. Americans want to know why you cant get stuff down in an organized timetable. So if we all saw it coming, why did Congress Wait so long to do something about it . Why do toys for tots and hasbro trust duracell to power their donated toys . Duralock power preserve. It locks in power for up to 10 years in storage. Guaranteed. Duracell with duralock. Trusted everywhere. Anyone have occasional constipation, diarrhea, gas, bloating . Yeah. One Phillips Colon Health probiotic cap each day helps defend against these digestive issues with three strains of good bacteria. Approved [ female announcer ] live the regular life. Phillips. We are back. Let me just go back to one point, and that is there are people sitting around wondering whether their taxes will go up. I want to ask you again about the chances of you think of something passing. Senator Lindsey Graham thinks the chances are exceedingly good and, quote, the president won. What does that mean to you . Will we get something more in line with what the president want up science. I hope for a by partisan solution to pass. Beyond the hope, do you think the chances are good . Were not there yet. Were trying to line up rubiks cube right now. This will continue until tomorrow. My goal is to help keep tax rates down for all americans. I think it hurts our economy if tax rates go up. Thats why im concerned for the future and the growth of our economy and jobs. What is your alls sense of something that could pass what appears even from the first part of the conversation . The divides line is so bright. Im optimistic, candy. I am he. I think the practical reality is come january 1 we begin to see the average middle class family having their taxes go up about 2200. One mom said to me in michigan, thats four months of groceries. Thats commuting back and forth to work in gas for up to three years. I mean, thats a lot of money. I really do think even though theres great divides about the role of the wealthy in the country and whether she should be part of the solution, i do think that im optimistic we can come together to protect 98 of the public and 97 of small businesses. Before 2013 . Yes. Before 2013. Ive actually always been hopeful despite the landscape. I mean, i do think, though, theres Common Ground around extending tax cuts for 98 of americans. Thats Common Ground, extending unemployment is Common Ground. So i hope that well come to that point on january 1st and that this is what the president has laid out all along and what democrats have supported. It will take a lot of democratic votes in the house to get there. Its going to be bipartisan, but it will take an aawful lot of democrat to support this proposal. Im not as optimistic. If we vilify a small group of people and raise the tax rates from 35 to 39 , thats the rate change for ordinary income, and at the same time not if i can the problem, its 530 billion a year dp were all in it together. Thats half the deficit. If we raise it on the small group, im not saying no to the small group. What im saying is it doesnt fix anything. The senator said seven days, eight days. The fact is, it doesnt fix the problem. Its not even 10 of the deficit. So if we ignore spending, if we ignore spending at this juncture, think that we fix anything by vilifying the rich, we divided america without giving Real Solutions to americans. That i cant be you have a situation where you have republicans who dont want taxes raised on anyone voting against something that would at least keep them low for some people. Do you know what i mean . If the president had offered up 100 billion worth of tax increases on the wealthy and 400 billion worth of cuts, hed have had a deal in a new york minute. When you offer up 70 billion worth of tax increases on a small 1 , 2 of the population and no cuts and, in fact, ask for a stimulus that would consume all the money, were going to vote on 60 billion for new york and area relief for hurricane sandy. That will consume a full years worth of this tax increase thats proposed. Let me just go back. Its so important, because weve had two years now of debates about all of this. Each time weve only done spending cuts that hit middle class families and Senior Citizens the most. We are at a point where were saying, no more. When congressman issa says everybody ought to be in and treated the same, thats fine. In the last decade weve seen wall street bailed out. Weve seen more tax cuts for the wealthy while we have gone two wars and gone into debt. We have to rightsize the ship. I support common sense spending cuts and voted for them. Its time for everybody to be all in. The debt is 16 trillion. Theres no question about it. Weve seen Business People come together across the country saying theyre willing to give a little more. The ceo of fedex said its a washington myth that somehow ail loug the taxes to go back up to the clinton era time will impede growth. I mean, the reality is this is about everybody participating to solve the problem. Let me try to just sort of wrap this up, because the alternative to not getting a deal between the two Senate Leaders and something that could pass the house is the president wants a straight up or down vote on something that contains the 250,000 tax rates and under staying the same, extension of unemployment, something with the alternative minimum tax keeping that in place so the middle class people arent hit by that. If that comes to that, if it comes to that, just that, will republicans stand in the way of that in the u. S. Senate . This morning cnn reported thats a political ploy by the president so he can blame republicans. The president has maxed out his credit card and wants to raise that debt ceiling again. We hit that level tomorrow night. Thats not interested in any of this. We have to continue to focus on will you stop it . Thats the question. I got to go. The president and American People deserve an up or down vote. Process under nancy pelosi when she was speaker, we didnt get votes. Harry reid has hunls of bills bottled up. The idea that one bill is entitled, well, in fact, both the senator and i would love to have some things unbottled for an up or down vote. Its not the process or fair to divide america. Ive got to run. To be continued. I hope youll come back. Thank you so much. Thank you all for being here. I appreciate it. Up next, why neglecting Rural America could be costly for everyone. Later, the washington game that never gets old. Kicking the can down the road. Were not going to address it by kicking the can down the road. Kick the can down the road when it comes to solving the larger problem of our deficit. S, and theyre them. Yes. But theyre here. Yes. Are you. . There . Yes. No. Are you them . Im me. But those rates are for. Them. So them are here. Yes you want to run through it again . No, im good. You got it . Yes. Rates for us and them now thats progressive. Call or click today. But im still stubbed up. [ male announcer ] truth is, nyquil doesnt unstuff your nose. What . [ male announcer ] alkaseltzer plus liquid gels speeds relief to your worst cold symptoms plus has a decongestant for your stuffy nose. Thanks. Thats the cold truth weve decided to were all having such a great year in the gulf, put aside our rivalry. cause all our states are great. And now is when the gulf gets even better. The beaches and waters couldnt be more beautiful. Take a boat ride or just lay in the sun. Enjoy the wildlife and natural beauty. And dont forget our amazing seafood. So come to the gulf, youll have a great time. Especially in alabama. You mean mississippi. Thats florida. Say louisiana or theres no dessert. Brought to you by bp and all of us who call the gulf home. Its lots of things. All waking up. Becoming part of the global phenomenon we call the internet of everything. Trees will talk to networks will talk to scientists about climate change. Cars will talk to road sensors will talk to stoplights about traffic efficiency. The ambulance will talk to patient records will talk to doctors about saving lives. Its going to be amazing. And exciting. And maybe, most remarkably, not that far away. The next big thing . Were going to wake the world up. And watch, with eyes wide, as it gets to work. Cisco. Tomorrow starts here. [ male announcer ] icy hot arthritis lotion. Powerful encapsulated menthol gets icy to dull pain, hot to relax it away. Power past pain. A group called the Population Reference Bureau tracks people, where they live, and where theyre going. It analyzes trends and their implications. It describes the current state of Rural America as a place where workers wont go because there arent any jobs and businesses wont locate because there are no workers. As a result the bureau says a broad area of the country is emptying out, rural areas are caught in a downward spiral. Just 19 of americans live in Rural America now, the lowest ever recorded by the census bure bureau. No one worries mother about that than the agriculture secretary who says as a byproduct of the population decline Rural America has lost political clout in washington. Were losing our young people because were not doing a particularly good job of sending the right proactive message from an economic perspective, and that then translates into a lack of support for programs that are important to Rural America