Transcripts For FBC Cavuto 20140116

Keep on them, are right. If they cannot account for money spent, by definition any unaccounted funds earmarked for repair have a been mismanaged. Keep up the pressure. If you dont stop them, next they will be sucking the cream out of our twinkies that would be a tragedy. This twinkie is on a tear. Im steamed that is why i propose the government do something that all businesses do. All families do, with common sense dictates they should always do, here it is. A full accounting much all federal of all federal spending, not just moneys devoted to infrastructure, which seem to befalling in a black old hole but all money, all spend, i want to go through this line by line, someone has to explain how it is after spending 16 trillion, fighting a war on poverry, poverty is still winning, number of minorities is growing, someone has to explain how we could pay over 121 billion in gas taxes, road tolls and fees every year, presumably to fix our roads and brings and we need more money to fix our roads and brings. Where the hell is it going . Only way to solve this get an Inspector General of all general funding. Not just policing a rescue fund meant for banks that mored into bailing out more than banks but a fund for everyone. And Inspection Fund for all bailouts, all rescues all spending all funding all areas, i know what you are thinking, neil is going at it with same old waste, fraud and abuse thing. I am. But i dont think that washington has ever been serious about it. Whether it is democrats looking the other way involving billions of dollars in social programs or republican with billion in defensive pripration, they have their pet projects, and their costs and causes, they dump their bill on us, i say we dump this on them, were saying, show us line by line, what are we paying for . Not broad terms in specific terms, every item, every project, a full accounting and then, if you could still prove you spent that money well, we might give you more money. But not until then. Because we have learned already with taxes and tolls and fees, meant to fix those bridges they are still falling down, i dont know about you, but ill be damned if they take this country down with them, time for a Inspector General to inspect generally everything. With me now former department of transportation Inspector General mary. We normally have pleasure of talking about airlines and planes. But i think that flight path here sorry our money is more dangerous. Because no one is inspecting it. What happened . Well, that is right. Problem is you have inspectors general at every department. But Congress Plays a role in, that they report to congress and the president , and when they find fraud, waste and aus abeca. For example transportation of important 3. 5 trillion in two years but still we have no cuts and downsizing, you not only need an uber ig i hard look at spending but you need transparency, agencies and congress have to be required to make it fully disclosed, make it public where the money is going, what the money is going for. And when every we have a whenever we have a government program, a end point, because otherwise you build up contributconstituent yhency, ont someone involved, they want to grandize their role, make their staff bigger and their budget bigger to say, look what i did, by the way with your money. Neil i know it works with budgets and all that, if you dont spend the money, chances are when we visited in following year, you dont get aid as big a think about, but where is the incentive, to save money . That is something that is missing here as we start, i think, needing to take a sort of a reassessing . That is right, there is no incentive to save money, a few years i returned money, i said to myself well be frugal and rush money, you are return money, the next year was budget was cut, that was find we operated but the budgets get put forth by president , Congress Approves them, in agencies you are not allowed to spend money not been appropriates but they give you more appropriation than money that you have. Neil mary you mentioned for each group, and appropriation someone who is policing it or should be, but, a lot of police look the other way. Because at least they dont know what the hell is going on under their watch . Right, once you make findings, if congress does not back you on it, and someone does not hole their feet to the fire, what happens is watch dogs themselves are you know come under fire, i got hate mail, i got Death Threats for finding things for example. It was way over that i was threatened with firing, congress has to get behind it too, in the end, we find once we get constituencies and people, you cant get them off that government program. That substance called taxpayer money. Neil i think if we bring the numbers to light and show them with the money is going, budge budgeted or not, that could start changing things but i amo could be naive, mary thank you. Thank you. Neil how we better get a halted olhandleon this. You know, were getting into this later in show, but im not mystified by growing indication that world is losing faith in us, a haven for cash, and a business haven period. But because of these games but we dont do simple thing that businesses and families do. I love this segment for so many reason, first transparency you were covering, notion that the government does not know how much it spends and taxpayer who are funding the government dont know how much. Is a huge problem. If this were a privately run business it would be unacceptable. Take transportation, you know were wondering why we have crumbling roads and bridges and where is the money to fix it, people are arguing more of a gas tax to fix its problem is that gas tax money goes into a trust fund, then it is pilfered for pet projects with train museums, and bike paths and beautiful trees on the side of the road, it is being misused there is no way that stop it. Neil i am a believer, idea of just shed some light on it. If people knew that this was going on, a lot of you know, go the hard working americans, they have no idea, but if you shed light, this is where your money goes, to this all this infrastructure, you know demand for more. Did you know that we do have a lot of money go to this but it is go over here, i brought that to viewers to light they were startled they could not believe the numbers, said if theyre right our roads should be paved with gold, and bridges supported by crypt tonight. You are right, fun story in 2006 legislation that was passed, federal level that requires federal funding to go online, idea we would create a web site, at least be able to track contracts and some grants, get up to notion thattance transparency is a good thing. A couple senators respons sponss bill, one of tom coburn the other was then senator barack obama. He had the right idea in 2006 before he ran for president , that since got out of door once we had the stimulus, he promised there would be tons of transparent see, an we would trk every dime of your dollar, not the case. The agencie you were saying, dont have incentive to cut money, when they stop spending they dont get that money back. We should look at those kinds of rules. Look at idea that look, we dont care if you spin the money, i do care, but, whether you know, appropriate it or not, i am saying lets find out what you are spending it on. Maid, always a play ire thank you. Thank you, neil. Neil here is why this is important away were going folks world does not think we were important. Why we rank 12 on the list im not kidding, we used to ru rule. [ male announcer ] this is the story of the little room over the pizza place on Chestnut Street the modest first floor bedroom in tallinn, estonia and the southbound bus barreli down i95. This magic moment it is the story of where every great idea begins. And of those who believed they had thpower to do more. Dell is honored to be part of some of the worlds great stories. That began much the same way ours did in a little dorm room 2713. This magic moment neil we might be home of the free, but that does not mean investors want to be brave, world has doubts about us with the economy freedom, much is the word thinks we dont offer much. U. S. Ranking 12 in world wide survey, base on how financially attractive, they are. How many hurdles the country clear. We dont clear too many. Because of our taxes our regulations, and our debt and all these. Do we not only crack the top 10, country like ireland, i can live with that, chile and estonia estonia . Excuse me. This is like me hopping up on Jack Lalannes most fit list, steve forks forbes saying oh, man. Estonia was under communism, they get a freedom, flat tax, and krugman. Neil do you remember that. For not being keynesian enough, they their hightech center, skype came out of estonia. Neil they used us as a model. Thhy took what we said seriously. Neil that we value these but we dont, but 12 on the list that is a damning statement. Well, what is bad is the direction, for example national debt, not the debt, per say, bad though it is. It is the trend. Were not really getting a grip on it. You see it in regulations, thousands of pages, of regulations, but they, those rules and regulations are written in vague language, that means bureaucrats decide what they mean that goes against the rule of law, blunt truth is if they want to get you, they can. They can find something, you have done and you didnt know you violated the rule they can get you, so smaller banks, smaller businesses, why have we not have a job creation . It is hard for small businesses, new businesses to get credit they need, getting pressed with regulations, they cant afford big departments, the direct is ominous. Neil i had a Business Owner on telling me. The same, it is not the taxes not Even Health Care thing, that gets us, it is the damn regulations, up know rate of a hundred a day, just too much, ignorance is no defense. I mean if you are in violation of any one of a number of the new rules they throw at you, you are going to be crucified. Selective enforcement. And the government is trying to get more sway over the economy. Good a federal court in District Of Columbia thrown out the attempt by fcc to put regulation on the internet,. Neil for now, we have a very active progressive, new york city mayor, now, trying to entertain tough rules, and taxes of his own, in this capitalism mecca you might see a big retreat . Well, and again, it is the trend, chile made top 10 in this survey. But they just elected a hardcore socialist president. Neil the gains can be short lived. They character in term the of u. S. They character in terms of u. S. I think were laying ground work for change if we get it right in 2014, and 2016, for example business taxes were the worst in developed world, america the worst, worse than france, for crying out loud. Neil were worse than france . W we have a high are rate are than higher rate than france. Neil that dude with the motorcycle, secret and the first lady. Neil that can i cannot stand, e forbes thank you very much. Are you keeping up with this Chris Christie thing . I can understand democrats in new jersey going after this, but damage damagdemocrats in dc . Eew new york is open. Open to innovation. Open to ambition. Open to boldids. Thats why n york has a new plan dozens of tax free zones all across the state. Move here, expand here, or start a new business here and pay no taxes for ten years. Were new york. If theres something that creates more jobs, and ows more businesses. Were open to it. Start a taxfree business at startupny. Com. Theres nothing like being your own boss and my customers are really liking your flat rate shipping. Fedex one rate. Really makes my life easier. Maybe a promotion is in order. Good news. I got a new title. And a raise . Management couldnt make that happen. [ male announcer ] introducing fedex one rate. Simple, flat rate shipping with the reliability of fedex. Its not the fumbling around with rotating categories card. Its not the etting blindsided by limits card. Its the nogameplaying, noearninglimithaving, deepbombthrowi, givemetheballandilltake ittothehouse, cash back card. Thiss the quicksilver sh card from capital one. Unlimited 1. 5 cash back on every purchase, everywhere, every single day. So let me ask you. Ats in your wallet . Im the governor, im responsible for all that happens on my watch. Both good and bad. We will cooperate with all appropriate inquiries to ensure that this breach of trust does not happy again. Neil well, not good enough, governor for christies sake, central democrats as in washington, dc. Senate democrats are trying to make a official case out of one Chris Christie. Turns out no less than Jay Rockefeller wants hearings on traffic tie you were and who it might be tied to. But then i started thinking, since when did this bridge and tunnel issue become a federal issue . Guy benson is wondering, but is not, fort lee maybe effort , fort fe fed . They are piling up on Chris Christie. They are going to come at him, at every angle and try to scuff him up a bit, if federal democrats want to do the same in dc they will try their best. Neil i can understand, you know people in state, wants to get to the bottom of this, republicans and democrats, but do you think that guy is on to something, saying this is so over the top transparent, it making people just recoil . You know, i think this not just a fort lee, new jersey issue, this is the most heavily traffic bridge in the country, it spans two states. Neil would you have cared if it were involved andrew cuomo . I would care, this is a continuation of i95. Neil i know would you really . Would you really . Would you really . I would. If my governor or any other governor decided, he or his staff disreturned traffic on a major artery to exact a political distribution. Did you feel same rage with charges that Obama Administration through irs targets conservative groups. I think it is i think. Neil you were just as out rangeoutraged. I was. Guy, im wondering, on both sides they both play these games, go for jugular, see what sticks. But when senate inserts itself ahead of what the new jersey politicians are considering, then it gets to be a cluster you know what. That is probably true, i want to agree this is a li jet nataline of in legitimate line of inquiry by someone, whether it is the u. S. Government, not really so sure, but there should be a inquiry into the closure of the bridge. Now the governor has come out, he has been clear, and what he did and did not know, if he is telling the truth, i think he will be fine, if not he is in trouble. He has fireed people, and taken decisive action, i believe him, but i think that people of new jersey are entitled to real answers. Neil you hit a point, a i agree with you, if i know that in if i am stuck in traffic, it is politically motivated my. My fear it is overkill, a lot of questions you raise, did it stop with the two aides did it go higher. All good questions, all they should be addressed at local level. Then, then if there is smoke well see if this fire somewhere else. I think this is yes, absolutely, Organizational Culture is important. Neil is that the case . I think it weighs heavily. With there a request o governory made the order. Neil atmosphere. Look there are a thousand ways to exact political rutbution against somebody without disrupting traffic. But you have motorists, from trucks carrying commercial goods, i think that for that reason, it is appropriate for democrats or republicans in this were surprised christie not had a bigger hit in the pole. Not surprised, he is a popular governor. Iwe still like them. Neil a good point, i heard that view, some people admire this. The tony sopranotype. This is new jersey. Neil careful now. Hey, hey. Im from the bronx. I was thinking like the hamptons. No. Neil new jersey, you mess with our traffic, we dont care who you are. I am wondering if this does help the governor . Well, if you look at polling come out in last couple days, a Monmouth University poll has his Approval Rating 59 . Neil it was at 65. It was, but another poll, 17 points on Approval Rating strong marks on honesty and leadership. Do you think he will get passed this. Unless, that is my they dont try to big caveat, if he is lying he is in trouble, if he is actualing the truth we will be fine. That is right, in 2016 he has other problems beyond this, but i think he will get past this, we have short political memori memories. He will get passed. Neil i can hold a grudge forever. You will neff forget but, there never forget. Neil ien to forgive, thank you guy, thank you, great job. Thank you. Neil spying when you sleep or when your computer is asleep, news that nsa can snoop even when you are not surfing, when you are not even logged on, at all. [ male annncer ] wt kind of energy is so abundant, it can help provide the power for all th naral gas. More than ever before, americas electricity is generated by it. Exnmobil uses advanced visualization and Drilling Technologies to produce natural gas. Wering our lives. While reducing emissions by up to 60 . Energy lives here of the dusty basement at 06 35th street the old dining table at 25th and hoffman. And the little room above the strip mall f roble avenue. This magic momt it is the story of where every great idea begins. And of those o believed they had the power to do more. Dell is honored to be part of some of the worldgreat stories. That began much the same w ours did. In a little dorm room 2713. This magic moment neil halftime, one more time, nsa, listen. Nsa can rifle through you your futeven when you are not at it, even when your computer is not logged on. New york times reporting u. S. Spies were monitering to 100,000 computer users abroad. Largely in china, im okay with that, but. Get a load of this, most of those computers were largely not even plugged into the internet. What . Former nsa training expert, retired air force colonel. You are the expert, im not, this seems creepy. Twilight zoney, how did you do they do that . It is one of those things. It is complicated but they i hate it when you say it complicated. Contractors at my house say complicated that means it will cost more. What they are doing, they are using radio waves to again the signal from the computer, to another base stationn which then goes in to nsas network, and then the data would be analyzing from that. In simple temps, they use is a creating their own radio Transmission System or using the system that already exists in the computer, too transmit data. Either way, they can make it useful, from an intelligence perspective this is how they work with this program. Neil all right. I guess a lot of americans will hear this, say well were tealindealing with chinese larg, that find we have always been concerned about what they are doing to us. But this can be done to us as well, right in. Yes, it come you mention russians and chinese, they are active in do the same thing. Especially the chinese with going after backdoors on computer systems, able to hack into the systems, and actually using the data that is on those system to find other people. And so you make those connections you infection one computer, you can use that to your advantage. Neil this the week well get wind of what kind of restricts president obama wants the nsa to sort of cool their spying jets so to speak. Are you concerned we go too far or not far enough . Well, i think that there is always a risk that were going to go too far. We have this amazing pendulum in american politics and policy, first on one side we go too far, in this case with electronic skying piece. Then other side we may go too for with restrictions. To buy without restrictions. So we have to find a happy medium and we are not talented at finding a happy medium. What you need is a system that allows you to do things in a very targeted way. Keeping them away from this and away from being looked at. And that is the ideal way that the people have talked about, the technical reality that we are dealing with at the moment. Neil im an expert on this because i watch a lot of james bond movies. Every time they try to rein in james bond, they just narrowly do whatever the heck they want to do. And so i am be beginning to wonder as a security expert. We listen to the people that are giving them the rules and regulations. Neil how would they know . You are spying like crazy on them. There lots of politicians that think this. Thats right. You have to make sure that there is a strong oversight mechanism in place. And you look at the way to that the house and the senate handle the oversight issues with intelligence agencies and their are a lot of questions that people have legitimately about whether or not they exercise the oversight authorities that they are actually given under the constitution. Having said that, the agencies themselves, especially the nsa, they have to remember that it is primarily focused on military operations and it is also an overseas intelligence collection agency. So its focus is overseas and its not designed to do things domestically. But we have to worry about what the others are doing as well. Neil they did a lot domestically here. And hope springs eternal and its always good having you on. So thank you so much. We have a lot more here. Remember the lawyer looking into the target reach . We had some pretty ticked off target customers. Apparently she hasnt powerful company. The attorney general in the state of illinois, a woman who is on this whole report before anyone. This is proof that things are getting serious. Getting serious. Thats why n yk has a new plan dozens of tax free zones all across the state. Move here, expand her or start a new business here and y no taxes for ten years. Were new york. If theres someing that creates more jobs, and ows more businesses. Were open to it. Start a taxfree business at startupny. Com. [ male announcer ] this m has an Accomplished Research and Analytical Group at his disposal. But even more pressive is how he puts it to work for his clients. Morning. Morning. Thanks for meeting so ely. Oh, its not a big deal at all. Come on in. [ male announcer ] its how edward jones makes sense of investing. Neil it is very good to have you and what are you looking at we want to know exactly what happened here. At least 40 Million People had their payment card information taken. As many as 110 Million People had aadditional information that was taken. And we want to know what in the heck happened with their lack of security in the system allow this to happen and what we going to do to clean it up and prevent it from happening again . Neil yes, customers are very concerned about their credit scores. Nothing that assured me that this cant happen again. To an earlier point i made, hope springs eternal and i promise to be vigilant about going on diets and i hate to say it doesnt happen. So what do you do . And what what your fellow attorney general is due to put their teeth and thats . Well, we always we have that ability to enforce statutes and laws against anyone who was on the personal information and what i would say to the American Public is the magnitude of the target data breach really is a wakeup call to all of us that we have to be vigilant about our Bank Accounts and credit card accounts and our debit card accounts. We need to see what payments and if anything has been withdrawn and put on those accounts. Things that are not authorized a one a lot of the creditors dont do that and they certainly are not going to hop on a computer every day. You are more or less saying that they do have to think that way. You have to look when your credit card statement comes from one of the great things you can do is get online and put it in place and you can pick your amount and if someone has an unauthorized charge, you will find out about that right then and there. So if you get alerted you are to know that there is going to be a problem. The one thing that i do want to say is in terms of credit monitoring and that will not alert you if they are our unauthorized charges. Making sure that someone ends up using your information to open up a new account and then you will be alerted. And they are not actually providing you with a free credit score. They will monitor if theres new credit open but they will not alert you if someone has been using your card. So when you call the number on the back of your car, be diligent, get a new car, cancel the old one. Thats the only way youre going to be protected at this point neil i tell everyone in my family just dont go to the store or dont spend. Thats the problem. That has a potential impact on our economy because we know that the main generator is consumer spending. So there is additional security put in place, if theres not any thats put in place, we are going to see a big problem overall. I think that you could use cash in their other options. Neil then everyone looks like a drug dealing. [laughter] thank you so much for joining us. You are welcome. Neil steny hoyer told me this about the Health Care Law just yesterday. I think its going to work over the next six months and i dont think we were going to worry about it. People are going to see that what they are getting is good. Neil okay, one of the key architects in helping things run. We will have that next. Neil by now you know all of these numbers. I will just regurgitate a couple of them. And steny hoyer, the ranking democrat, he said that the websites problems are going down. More and more americans are signing up. The key architect of all of this is david. David, what you make of that . Six months we start seeing this. And things are going much better. The number of people have gained coverage because of the Affordable Care act and there are a lot of economic benefits to millions of families. There is still a number of very tricky issues that have to be navigated, it is actually going quite well be one no offense to you, i dont think this turned out the way that you planned. But the fact of the matter is that a lot of people were concerned and net net we are down health care coverage. But did you ever think that this would be a disastrous rollout like it turned out to be . I think that the numbers of people gaining gaining coverage will exceed right away the number of people who lost coverage. Many of those who lost coverage will get them in other ways as well. But not all of them will have to pay more. When people come forward saying that their premiums have gone up, a lot of times reporters and others have looked into this and they are starting to turn out to be incorrect, that is that people didnt calculate that they would get subsidies on exchanges. Neil so if you are at this income level you get the breaks. But heres the issue. One a lot of corporations decide what theyre going to do and whether they jump their plan or tell their workers to pay more for their plan to move their workers and there is an issue and its worth more particularly for the high income people especially for those who are not qualify for coverage anyway. So that is why it indicated this end they have shifted away from the plan of the private exchange and away from what they were used to. And we are looking at a lot of change for a lot of folks who have not factored that in. Neil you dont think that this accelerated a . I think that it will because we will provide very high coverage and the companies will say that there is this a viable option which is the exchange that you can actually go and get a subsidy because your income is low enough. So for those workers i think that we will be better off. And for those people that corporations are just not doing very much yet. Neil we will watch very closely. Hope springs eternal. Well, remember when i told you on this very show that this was going to be the year of the banks . And i go so far as to say i believe it. E modest first floorm in tallinn, estonia and the southbound bus barreli down i95. This magic moment it is the story of where every great idea begins. And of those who believed they had thpower to do more. Dell is honored to be part of some of the worlds great stories. That began mu the same way ours did in a little dorm room 2713. This magic momen theres nothing like being your own boss and my customers are really liking your flat rate shipping. Fedex one rate. Really makes my life easier. Maybe a promotion is in order. Good news. I got a new title. And a raise . Management couldnt make that happen. [ male announcer ] introducing fedex one rate. Simple, flat rate shipping with the reliability of fedex. Where does the United States get most of its energy . Is it africa . The middle east . Canada . Or the u. S. . The answer is. The u. S. 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If you have any sudden decrease or loss in hearing or vision, or iyou have any allergicreact, swelling of the lips, tongue or throat, or difficulty breathing or swallowing, stop taking cialis and get medical help right away. Ask your doctor about cialis for daily use and a 30tablet free trial. Neil bank of america outlets and earnings are off the charts. That may be banks are off to the races. Are they . Time for tonights business blitz. Are you banking on this . You know, its a tough call. And very unique. And so the short answer to all this is bank of america is going to go along with mortgage headwinds. Mortgage headwinds will exist. I dig the banks right now. Youre starting to see loan losses go down. They are going back to being banks and like the financials, we own them at. Neil so what do you think the ford at 150. When it comes to guzzling gas, not discrete. At a time the folks that make it are doing the auto club lead in making sure the league are solid as well were showing them that they would want that. So that includes everything from plugins the go a lot further to more traditional models that will cost a lot less. This is what mcdonalds did to show folks they were doing the right thing . Yes, and they failed and they did and do really well. But before doing something good, you mentioned how strong the sale was and i think they are taking that next step, saying what do we do next. So he they are trying to penetrate that european and Chinese Market and we all know that they need hybrids and Energy Efficient cars. I think its a great move by ford. Absolutely, the two topselling hybrids. Our society is changing and its more acceptable to be green and highbred and five or 10 years from now, yes, the good old country boys in texas will be okay driving an f1 50 hybrid with solar panels. Neil might have time. What are we worried about for tomorrow . Im worried about it every night. That is inflation. Looking for a beat in the earnings come im wondering what they have to say about shipping in the u. S. And i really want to see this economy is chugging along. I want to know that the economy is taking off from here not just sort of chugging along slowly. I want to see growth and not just the ability. Neil thank you guys very much. See you tomorrow colctor car eve, barrettjackson. From the all new permanent facility, welcome to our fox business coverage of the barrettjackso Collector Car auction. This is day 2 of our six days of coverage of the 43 rd barrettjackson here on the fox family of networks and we welcome you for the send evening here to scottsdale. Im here with our car guy, adam shapiro, and y can tell hes