Of health care. Gov. So let me say directly to these americans, you deserve better, i apologize. Welcome to the journal editorial report. An apology from health and Human Services secretary Kathleen Sebelius who acknowledged the rollout of the Affordable Care act was, in fact, a debacle. Despite the website woes and growing outrage over millions of dropped policies, president obama says its full steam ahead. Yes, this is hard. Because the Health Care Systems a big system. And its complicated. And if it was hard doing it just in one state, its harder to do it in all 50 states. We are just going to keep working at it. Were going to grind it up. Joining the panel this week, wall street journal assistant Editorial Panel editor James Freeman. Editorial board member joe raggio and Economics Writer joe moore. What have we learned from sebelius appearance this week . Not very much. She indicated the website and the larger architecture of the system are in much deeper trouble than we thought. Hp hh. Hhs is not even getting accurate enrollment data. They dont know either. Right, its think thats why they havent been saying. We dont know when it will be fixed. They said the end of november but theres no guarantee. They didnt say which november. I think this could stretch out much longer than theyre predicting. The other thing thats striking to me, and we heard the clip from the president say were going to grind it out. Three yards and a cloud of confused technology or whatever it is. Politically, it means theyre not going to bend on this. Theyre going to keep driving. No, no delays, that seems to be the message. This is the rendezvous with liberal destiny and theyre not going to let anything dissuade them from the track theyre on, even the problems they created themselves. Isnt that creating problems for themselves . Why not just delay it a year . Well, that would be the best option i think. Then you throw it into an Election Year and it gets litigated. So all the problems were seeing will become even more of a political issue and drag on much longer. And the president said, james, look, we he flatout said, dont worry about losing these policies. Those were substandard policies, lousy policies. According to him. According to him. Were they . Yes this is what people are learning. They were not substandard at least to the people who freely chose to buy them who thought those policies met their needs and theyre now learning his promise that if you like it you can keep it means if he likes it you can keep it. It continues to grind on. And i think also people are starting to realize this thing may fail a lot sooner than expected as young people decide this is not for them. This is a key point i think. These policy changes, getting rid of these policies, sectionally outlining them, any tweak in the policies in the individual market, this was by design. This was built in and planned. Absolutely. This has been the plan all along. They could have created they could have said, look, were creating these better policies. Were giving these subsidies. If you want to stick with what we consider your crummy plan, be our guest. They didnt do that. Theyre trying to stuff asp people as possible into the exchanges as quickly as they can. Thats the motive here, reduce the individual market, push everybody into the federal exchanges because they need them to finance the subsidies . Thats partially it. The other reason is political control. When theyre defining how health cares financed. Theyre also defining what kind of benefits that must be covered, what medicine actually is. Thats the other side of the coin. James, were you buying s ini sebelius i take responsibility here . The question is, what does it take to fire her . This is really a barack obama production here. I do think a vulnerability for her at that hearing she gave that november 30th date. A congressman said you need two months just to make sure its secure, just to do the testing. This is another problem, as they try to convince young people to buy uneconomic policies that theyre now saying is your data even going to be secure. This thing could unravel if young people dont sign up. Whats the political response, particularly from the democrats in the senate . Are we seeing them begin to get nervous about this . Any breaks for the administration . You know, we are, at least in congress, not in the administration, and thats because, you know, i think the website problems have been almost a distraction to the real problem here which is this is trying to sell the american people. Theyre look at the product now, theyre finding theyre losing the insurance they want, and theyre being forced into something that for manies of americans will be expensive. What youre seeing is a lot of the red state democrats are getting very nervous about what the political impact of this will be. There are some people who think even on tuesdays elections in some of the states, it might be an issue, because people are just hopping angry about the product being forced upon them. I think the danger for the administration in implementing this is you get a group of eight or nine democrats who say, look, we insist on a delay of a year, Something Like that. Any sign theyre going that far yet . Not quite yet. I predict there will be a huge ground swell of support. Not just in the senate but some of the House Democrats saying we cant live with this were going to have to put this off until after the midterm elections, which is a oneyear delay. Is there an opportunity for republicans to cut in here and maybe offer an alternative thats better . You would think. The flaws and problems with this program are real, but this program is also creating an opportunity for them to offer a genuine reform alternative. Saying, look, you had these choices before. Heres what we want to do, xyz, to give you those choices back. Expanded choice, expanded doctor choices, networks, all of that. All right, thank you. When we come back, the nsa controversy grows. As a new round of leaks pit the spy agency against the white house over who knew what about our overseas intelligence operations. But isnt it time to turn the page on your cup of joe . Gevalia, or a cup of johan, is like losing yourself in a great book. May i read something . Yes, please. Of course. A rich, never bitter taste cup after cup. Net weight 340 grams. [ sighs ] [ chuckles ] [ announcer ] always rich, never bitter. Gevalia. Store and essentially they just get sold something. We provide the exact individualization that your body needs. Before you invest in a mattress, discover the bed clinically proven to improve sleep quality. The sleep number bed. Once you experience it, theres no going back. 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The person who tookhe call from adt saved my home, my possessions, and he might have saved my life. [ male announcer ] get adt for as little as 99 and save a lot more than money. Call or click today. New fallout this week from the ongoing nsa controversy. Fresh leaks pit the spy agency against the Obama Administration over who knew what about the surveillance of World Leaders and as members of Congress Demanded an investigation and possible curtailment of the collection of foreign intelligence. Were back with joe raggio, mary, and Matt Cominski also joining the panel. Are you buying the claim that the white house has offered, that the president didnt know the nsa was listening in on World Leaders . If the president didnt know the u. S. Is even in worst shape than we thought all along. First of all, the nsa, everything they do is supervised. This wasnt some rogue operation. This is what they do. And, you know, a lot of the data we get from europe is collected in this way. And also collected with the help of the europeans, yes. So the idea that he didnt know either not being truthful or not doing his job at all. Yes, the implication of that this idea that the nsa is somehow a rogue agency like in a hollywood film where theyve got all these people going out on their own and listening to whatever they feel like just because, well, it feels good, and we can do is so we will do it. Thats not really plausible. The nsa came out this week on wednesday at hearing with the head of National Intelligence and keith alexander, head of nsa, saying, first, everything we do, we get guidance from the white house. We dont always say this information came from this tap. If its something important as we got it from the chancellor of germany angela merkel, that will be fairly clear to the president when hes being briefed. Theres some discussion that what should happen the United States has an agreement with five countries, britain, canada, australia, new zealand, the United States, five countries, that we dont spy on each other and they share intelligence. Some people say we should include germany and france in that group of five to make it a group of seven. Do you agree . No, because the germans and france want to go there, but its a special relationship weve had with the English Speaking world thats there, built up over decades of trust. There are things with which we compete with france on and with germany. Really, the worst thing about this, is that we created a political problem for chancellor merkel and the french having this come out. Inside germany. They actually dont im sure they knew this was going on but once the snowden documents came out, they had to deal with it politically at home. What should they do to handle that . How can we help them at hope, mary . I prefer the kind of sort of things that senator feinstein is suggesting, which really arent major changes in the way the policy would work. The fact of the matter is everybody spies. The french intelligence, former french head of intelligence came out last week and said, what are you talking about, everybodys been doing this. Helmut schmidt said when he was chancellor of germany he assumed he was being spied on. This has been going on since the cold war. So basically yes, maybe we should provide some cosmetic cover in order to help, for example, merkel regain some trust in the relationship with the u. S. Beyond that, i dont think we should do anything. Dianne feinstein being the chairman of the Senate Intelligence committee. Shes moving some legislation to put some a review of all of these things. Theres also a report this week, joe, that the nsa was spying, breaking into google and yahoo networks overseas, not domestically, but overseas, and the companies themselves this week are up in arms about that. They are. You have to remember, these were taps overseas, purely foreign communications. When the snowden documents started to company out snowden being the leaker. Edward snowden being the leaker. We were talking about domestic spying and snooping on americans. Here you have purely foreign intelligence and suddenly thats a crime as well. Its kind of an indication of the moving goal post of this debate. Theres a great danger here domestically of the political backlash. Think feinsteins trying to ward it off patrick leahy, theres sensenbrenner in the house, theres especially pushing legislation to stop the nsa from data collection. To let the aclu basically argue why certain things shouldnt be done, and to really handcuff our Intelligence Services the way that happened in the 1970s which indirectly led up to our failures that led to 9 11. How big a danger is that, mary . Well, its i think its possible that, you know, youre going to get the momentum but its incredibly naive. I mean, you know, as if if the u. S. Stops doing this, then it wont be happening anymore. If the u. S. Stops doing it, then the only ones doing it will be the chinese, the russians. You know, the brazilians. The cubans. And probably the germans and the french. The idea that by banning the u. S. From doing it, you can somehow stop the spying world is crazy. All right, mary ogrady, thank you. When we come back, our election day preview from a pair of highprofile governors races to some controversial ballot measures. Well tell you whats at stake in your state on tuesday. Its time for advil cold and sinus. 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Mattress price wars ends soon at sleep train. Your ticket to a better nights sleep well, all political eyes are on the pair of governors races this tuesday as voters in new jersey and virginia give us a glimpse of the Political Landscape heading into 2016 but bal lt measures across the country are also generating their share of controversy including a constitutional amendment to raise the minimum wage in the garden state and another in colorado that would increase taxes by 950 million in one year and restructure the way that state funds its public schools. Were back with James Freeman and steve moore. Lets go to colorado first. Its a very interesting state, trending left politically with a kind of new coalition of cultural liberals and hispanics. And women. Leading to a democratic majority there. And they could take another big step to the left with this Ballot Initiative. Explain. No question about it. Youre exactly right. Colorado is one of those states that has moved more to the left than just about any other state in the country. Partially because of huge democratic liberal money thats gone into that state. What theyve now put on the ballot is a ji gaigantic income tax increase to pay for more money for schools. Big power play on the left to expand the size of the state government. The income tax, if raised would get rid of a traditional policy of a low flat tax. I would make the case one of the reasons colorado has been a high growth state is because theyve had a very, you know, sound economic thats in jeopardy now. The flat tax. All income levels. If this passes, it would move up to 5 for certain taxpayers and 5. 9 i think it is for people above 75,000 a year. Then whats happened with states to get rid of the flat tax, it makes it easier to raise taxes again and again. Right. Just ask people in illinois or ask people in new jersey and new york. It wont be long until that goes up to 8 in my opinion if they pass this. I think the people will vote it down. What all this money is supposed to fund is more prek and fullday kindergarten. The evidence is just not there this improves educational outcomes. Even the department of educations own study on headstart shows you a lot of these early investments dont pay off. Lets turn to new jersey where you are a voter, james, and chris christie, the republican governor, looks like hes going to coast to reelection, but theres an interesting Ballot Initiative that would imbed, raise the minimum wage and imbed future minimum wage increases into the constitution. Right, into the state constitution. Its knocking the state minimum wage about a point above, going to about 8. 5 . 8. 25 an hour. This is really when you look at young people and their struggle to find work in new jersey, this is about the last thing we need. Our state has a higher Unemployment Rate than any of our neighbors. Pennsylvania, new york, delaware. And it really is above the national average. So now youre taking that group of people that wants to come into the workforce, that wants skills, that wants to show they can do a job, and youre making it that much harder for Small Businesses to hire them. Lets turn to virginia. Which i believ