English subtitles for clip: File:12-15-11- White House Press Briefing.webm
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1 00:00:00,800 --> 00:00:01,867 Mr. Carney: Good afternoon, ladies and gentlemen. 2 00:00:01,867 --> 00:00:03,467 Thanks for being here. 3 00:00:03,467 --> 00:00:04,600 I have no announcement at the top, 4 00:00:04,600 --> 00:00:05,766 so I'll go straight to your questions. 5 00:00:05,767 --> 00:00:06,700 Ben. 6 00:00:06,700 --> 00:00:07,500 The Press: Thanks, Jay. 7 00:00:07,500 --> 00:00:10,500 There's a suddenly optimistic tone, it seems, 8 00:00:10,500 --> 00:00:13,567 on the Hill about getting all the last-minute business done, 9 00:00:13,567 --> 00:00:16,332 including the payroll tax; I wasn't sure I heard that kind of 10 00:00:16,332 --> 00:00:17,866 tone from the President today. 11 00:00:17,867 --> 00:00:20,133 So where do we stand, from the White House perspective? 12 00:00:20,133 --> 00:00:24,099 Are we close to a deal, or at least closer to a deal? 13 00:00:24,100 --> 00:00:25,100 Mr. Carney: Well, two things. 14 00:00:25,100 --> 00:00:29,266 What you heard from the President today is him making 15 00:00:29,266 --> 00:00:34,000 clear what his position is, which is that he's out there 16 00:00:34,000 --> 00:00:38,166 making sure that middle-class Americans, working Americans, 17 00:00:38,166 --> 00:00:42,400 160 million Americans, don't wake up on New Year's Day to 18 00:00:42,400 --> 00:00:45,266 find that their taxes went up because Congress refused to 19 00:00:45,266 --> 00:00:46,600 take action. 20 00:00:46,600 --> 00:00:48,900 That's his number-one priority. 21 00:00:48,900 --> 00:00:50,967 And he is insisting that Congress do its work, 22 00:00:50,967 --> 00:00:56,000 that Congress do the work that they should be able to do very 23 00:00:56,000 --> 00:00:58,900 easily because Republicans say they support this, 24 00:00:58,900 --> 00:01:04,099 and take care of the working men and women in this country, 25 00:01:04,099 --> 00:01:05,934 everyone who gets a paycheck. 26 00:01:05,934 --> 00:01:13,000 So it is also true that there are ongoing conversations 27 00:01:13,000 --> 00:01:22,100 happening on the Hill and among leaders on the Hill and 28 00:01:22,100 --> 00:01:24,800 representatives of the President to try to see how we can 29 00:01:24,800 --> 00:01:25,967 get this done. 30 00:01:25,967 --> 00:01:28,100 And it should be able to get done, 31 00:01:28,100 --> 00:01:30,033 both the payroll tax cut extension, 32 00:01:30,033 --> 00:01:31,667 the extension of unemployment insurance, 33 00:01:31,667 --> 00:01:38,233 and the spending bill, the so-called omnibus, 34 00:01:38,233 --> 00:01:40,400 that Congress needs to take care of before it goes. 35 00:01:40,400 --> 00:01:44,834 But what cannot happen is that Congress takes care of its 36 00:01:44,834 --> 00:01:49,600 spending bill but doesn't take action to ensure that Americans' 37 00:01:49,600 --> 00:01:51,199 taxes go up. 38 00:01:51,200 --> 00:01:54,066 I mean, what would Americans think -- 39 00:01:54,066 --> 00:01:58,300 it would certainly, I think, raise the number, 40 00:01:58,300 --> 00:02:00,333 the percentage of Americans who have already told, 41 00:02:00,333 --> 00:02:04,600 in I think NBC's poll -- more than 40% who say this is the 42 00:02:04,600 --> 00:02:08,433 worst Congress in history -- and we have a long history now -- 43 00:02:08,433 --> 00:02:09,699 that number would certainly go up, 44 00:02:09,699 --> 00:02:11,299 and the approval numbers would go down, 45 00:02:11,300 --> 00:02:13,100 and that would be just and right. 46 00:02:13,100 --> 00:02:14,266 We don't think that's going to happen, 47 00:02:14,266 --> 00:02:16,834 because Republicans have indicated that they want the 48 00:02:16,834 --> 00:02:21,867 payroll tax cut extended, which is a change from the position we 49 00:02:21,867 --> 00:02:24,733 heard just a few short weeks ago, and we're very -- 50 00:02:24,734 --> 00:02:28,734 we're certainly encouraged by signs of a willingness by 51 00:02:28,734 --> 00:02:32,066 everyone to work together to get this important business done. 52 00:02:32,066 --> 00:02:34,967 The Press: No matter how the payroll tax and the unemployment benefits 53 00:02:34,967 --> 00:02:37,066 are ultimately paid for, assuming this gets done, 54 00:02:37,066 --> 00:02:39,667 is it an article of faith at the White House that the wealthy 55 00:02:39,667 --> 00:02:42,066 must pay more in some fashion? 56 00:02:42,066 --> 00:02:45,834 Mr. Carney: Let's be clear about what the President's priority is. 57 00:02:45,834 --> 00:02:49,000 The President's priority is to ensure that Americans, 58 00:02:49,000 --> 00:02:53,133 160 million Americans, don't see their taxes go up on 59 00:02:53,133 --> 00:02:56,133 average $1,000. 60 00:02:56,133 --> 00:03:01,433 He made clear in his full American Jobs Act proposal the 61 00:03:01,433 --> 00:03:03,132 way that he would pay for all of it, 62 00:03:03,133 --> 00:03:06,734 including the payroll tax cut extension and expansion, 63 00:03:06,734 --> 00:03:08,967 and he certainly believes it is eminently fair, 64 00:03:08,967 --> 00:03:10,867 both in the way that he preferred paying for it and the 65 00:03:10,867 --> 00:03:13,166 way that Senate Democrats preferred paying for it, 66 00:03:13,166 --> 00:03:16,333 that it's not too much to ask -- referring to the Senate 67 00:03:16,333 --> 00:03:20,300 Democratic version -- 300,000 Americans, 68 00:03:20,300 --> 00:03:24,066 the 300,000 wealthiest Americans, 69 00:03:24,066 --> 00:03:28,734 to pay a little bit more so that 160 million Americans who are 70 00:03:28,734 --> 00:03:32,467 getting a paycheck every week don't see their taxes go up. 71 00:03:32,467 --> 00:03:34,100 That to him seemed fair. 72 00:03:34,100 --> 00:03:36,867 The priority here, however, was not the pay-for. 73 00:03:36,867 --> 00:03:41,799 The focus on the pay-for is slightly mistargeted, 74 00:03:41,800 --> 00:03:44,133 because the priority here is making sure Americans don't have 75 00:03:44,133 --> 00:03:47,133 their taxes go up, working -- hardworking middle-class 76 00:03:47,133 --> 00:03:48,600 Americans don't have their taxes go up. 77 00:03:48,600 --> 00:03:50,733 And we have said -- I have said from the beginning of this 78 00:03:50,734 --> 00:03:55,300 process that we are open to different means of paying for 79 00:03:55,300 --> 00:03:58,133 it, and certainly the President's preference is that 80 00:03:58,133 --> 00:04:02,233 this tax cut extension be paid for. 81 00:04:02,233 --> 00:04:05,533 We note, with some irony, that Republicans, 82 00:04:05,533 --> 00:04:09,833 at least in the House, have it within their own bylaws that tax 83 00:04:09,834 --> 00:04:12,400 cuts don't need to be paid for, but there is this insistence 84 00:04:12,400 --> 00:04:15,800 when it comes to middle-class tax cuts that that not 85 00:04:15,800 --> 00:04:17,100 be the case. 86 00:04:17,100 --> 00:04:19,500 Regardless, we're open to other pay-fors; 87 00:04:19,500 --> 00:04:20,632 we have been from the beginning. 88 00:04:20,632 --> 00:04:24,532 The issue here is, will Americans see their taxes go up 89 00:04:24,533 --> 00:04:25,967 on January 1st? 90 00:04:25,967 --> 00:04:26,800 The Press: Last one. 91 00:04:26,800 --> 00:04:29,367 The President was planning to leave for Hawaii on the 17th. 92 00:04:29,367 --> 00:04:31,467 When is he planning to leave now? 93 00:04:31,467 --> 00:04:34,667 Mr. Carney: Well, the President has made clear on earlier occasions that 94 00:04:34,667 --> 00:04:41,767 he will stay here as long as it takes to ensure that Congress 95 00:04:41,767 --> 00:04:44,266 does not leave town without raising -- 96 00:04:44,266 --> 00:04:48,600 without extending the payroll tax cut and making sure that 97 00:04:48,600 --> 00:04:51,400 Americans don't have their taxes go up on January 1st. 98 00:04:51,400 --> 00:04:54,799 I don't have a crystal ball to tell you when this will 99 00:04:54,800 --> 00:04:55,934 be resolved. 100 00:04:55,934 --> 00:04:59,467 As you noted at the beginning, there are some signs that 101 00:04:59,467 --> 00:05:05,834 cooperation may be taking place and that compromise might occur 102 00:05:05,834 --> 00:05:08,734 and that we can get these issues resolved sooner rather than 103 00:05:08,734 --> 00:05:13,000 later, but I would not hazard to guess when that would be. 104 00:05:13,000 --> 00:05:14,600 Yes. 105 00:05:14,600 --> 00:05:15,400 The Press: Thanks, Jay. 106 00:05:15,400 --> 00:05:17,467 I wanted to ask you a little bit more about the White House 107 00:05:17,467 --> 00:05:20,800 strategy on the payroll tax cuts. 108 00:05:20,800 --> 00:05:24,867 The decision to drop the millionaire surtax, 109 00:05:24,867 --> 00:05:26,200 how did that come about? 110 00:05:26,200 --> 00:05:27,265 Was it the President? 111 00:05:27,266 --> 00:05:28,767 Was it the Democratic leadership? 112 00:05:28,767 --> 00:05:29,700 And why now? 113 00:05:29,700 --> 00:05:34,033 And what do you think about this perception that this means that 114 00:05:34,033 --> 00:05:36,233 you're caving in to the Republicans? 115 00:05:36,233 --> 00:05:37,800 Mr. Carney: I'll go back to what I said to Ben. 116 00:05:37,800 --> 00:05:41,033 The President's priority here hasn't been to raise taxes. 117 00:05:41,033 --> 00:05:44,367 The President's priority has been to lower taxes, to keep -- 118 00:05:44,367 --> 00:05:47,100 well, actually, to lower them, to extend the payroll tax cut 119 00:05:47,100 --> 00:05:49,834 and expand it for the middle class. 120 00:05:49,834 --> 00:05:54,066 He believed that it was the fair and right way to pay for it to 121 00:05:54,066 --> 00:05:57,799 ask, in the case of the Senate Democratic version, 300,000 122 00:05:57,800 --> 00:06:00,266 millionaires and billionaires to pay a little bit more so that 123 00:06:00,266 --> 00:06:03,834 Americans, 160 million of them, could have their taxes 124 00:06:03,834 --> 00:06:06,200 reduced next year. 125 00:06:06,200 --> 00:06:08,300 But the issue here hasn't been the pay-fors, 126 00:06:08,300 --> 00:06:10,233 as I just said in answer to Ben. 127 00:06:10,233 --> 00:06:13,233 We've made clear from the beginning that we were open to 128 00:06:13,233 --> 00:06:15,567 pay-fors that -- alternative pay-fors as long as they were 129 00:06:15,567 --> 00:06:18,066 economically responsible and they didn't stick it to the 130 00:06:18,066 --> 00:06:20,734 middle class, the very people you're trying to help with 131 00:06:20,734 --> 00:06:22,332 this tax cut. 132 00:06:22,333 --> 00:06:29,900 So what your question contains within it is the observation 133 00:06:29,900 --> 00:06:35,366 that Republicans refused to ask 300,000 millionaires and 134 00:06:35,367 --> 00:06:36,734 billionaires to pay a little bit 135 00:06:36,734 --> 00:06:42,066 more so that 160 million working and middle-class Americans 136 00:06:42,066 --> 00:06:46,265 didn't have their taxes go up; they refused, all but a few -- 137 00:06:46,266 --> 00:06:48,700 or one, I guess, in the case in the Senate. 138 00:06:48,700 --> 00:06:54,200 So we're open to figuring out a way how to do this that, again, 139 00:06:54,200 --> 00:06:57,967 is economically responsible and doesn't hurt the very people 140 00:06:57,967 --> 00:06:59,767 that we're trying to help. 141 00:06:59,767 --> 00:07:02,367 But the priority here has not been the pay-for; 142 00:07:02,367 --> 00:07:06,133 it has been ensuring that Americans who are working hard, 143 00:07:06,133 --> 00:07:09,233 as we emerge from this Great Recession, 144 00:07:09,233 --> 00:07:12,000 don't get a tax hike on January 1st. 145 00:07:12,000 --> 00:07:17,567 That would be a very unwelcome New Year's gift to the American 146 00:07:17,567 --> 00:07:22,100 people, and Congress should not give that gift. 147 00:07:22,100 --> 00:07:24,834 Let me move around and then I'll come to you, Jake. 148 00:07:24,834 --> 00:07:25,800 George. 149 00:07:25,800 --> 00:07:28,400 The Press: Any reaction from the White -- 150 00:07:28,400 --> 00:07:29,532 Mr. Carney: Jake, I've been doing this for months. 151 00:07:29,533 --> 00:07:30,433 The Press: It's annoying. 152 00:07:30,433 --> 00:07:32,066 Mr. Carney: Oh, I'm sorry. 153 00:07:32,066 --> 00:07:34,200 Tell it to your colleagues. 154 00:07:34,200 --> 00:07:36,332 The Press: I like it. 155 00:07:36,333 --> 00:07:37,166 Mr. Carney: I'll get to you. 156 00:07:37,166 --> 00:07:40,000 (laughter) 157 00:07:40,000 --> 00:07:41,767 The Press: You just decide you're going to break with decades of precedent 158 00:07:41,767 --> 00:07:44,266 and just going to -- instead of every -- 159 00:07:44,266 --> 00:07:47,900 Mr. Carney: I'm going to ensure that the 49 people in these seats -- 160 00:07:47,900 --> 00:07:49,099 The Press: Okay, then take a question about bestiality, go for it. 161 00:07:49,100 --> 00:07:50,600 Mr. Carney: -- and move back and forth and -- 162 00:07:50,600 --> 00:07:52,800 The Press: No, America wants to know about your position on bestiality. 163 00:07:52,800 --> 00:07:54,367 Mr. Carney: I'm absolutely going to take care of everyone in 164 00:07:54,367 --> 00:07:55,300 the front row. 165 00:07:55,300 --> 00:07:56,233 Yes, George. 166 00:07:56,233 --> 00:07:57,200 The Press: Here I thought we were friends. 167 00:07:57,200 --> 00:08:00,332 (laughter) 168 00:08:00,333 --> 00:08:06,433 Any White House reaction to Democratic Senator Wyden joining 169 00:08:06,433 --> 00:08:10,467 with Paul Ryan on a compromise on the privatization of 170 00:08:10,467 --> 00:08:13,667 Medicare today? 171 00:08:13,667 --> 00:08:16,566 Mr. Carney: George, as you know, President Obama is committed to ensuring 172 00:08:16,567 --> 00:08:18,867 that Medicare is strong and affordable for seniors 173 00:08:18,867 --> 00:08:20,266 and taxpayers. 174 00:08:20,266 --> 00:08:22,400 That's why the President proposed a plan to strengthen 175 00:08:22,400 --> 00:08:26,433 Medicare, cut waste, fight fraud and reduce Medicare and Medicaid 176 00:08:26,433 --> 00:08:30,700 costs by $320 billion over the next 10 years as part of a 177 00:08:30,700 --> 00:08:32,900 balanced approach to reducing the deficit. 178 00:08:32,900 --> 00:08:35,199 And President Obama has made clear that any proposal to 179 00:08:35,200 --> 00:08:39,600 reform Medicare must protect our seniors and preserve the promise 180 00:08:39,600 --> 00:08:42,767 to current and future beneficiaries of guaranteed 181 00:08:42,767 --> 00:08:44,734 affordable Medicare coverage. 182 00:08:44,734 --> 00:08:48,734 We are concerned that Wyden-Ryan, 183 00:08:48,734 --> 00:08:51,834 the proposal you mentioned, like Congressman Ryan's earlier 184 00:08:51,834 --> 00:08:56,433 proposal, would undermine rather than strengthen Medicare. 185 00:08:56,433 --> 00:08:59,367 The Wyden-Ryan proposal could, over time, 186 00:08:59,367 --> 00:09:02,132 cause the traditional Medicare program to "wither on the vine," 187 00:09:02,133 --> 00:09:04,934 because it would raise premiums, 188 00:09:04,934 --> 00:09:07,867 forcing many seniors to leave traditional Medicare and join 189 00:09:07,867 --> 00:09:08,867 private plans. 190 00:09:08,867 --> 00:09:10,967 And it would shift costs from the government to seniors. 191 00:09:10,967 --> 00:09:14,066 At the end of the day, this plan would end Medicare as we know it 192 00:09:14,066 --> 00:09:16,333 for millions of seniors. 193 00:09:16,333 --> 00:09:19,533 The Wyden-Ryan proposal is the wrong way to reform Medicare. 194 00:09:19,533 --> 00:09:22,400 That's our position. 195 00:09:22,400 --> 00:09:25,000 Jake. 196 00:09:25,000 --> 00:09:28,166 The Press: If you don't support the Wyden-Ryan plan, 197 00:09:28,166 --> 00:09:31,367 is the President going to be proposing a plan to solve the 198 00:09:31,367 --> 00:09:35,233 problem of Medicare and funding in the future? 199 00:09:35,233 --> 00:09:37,666 Mr. Carney: What I mentioned at the top is the President has, in fact, 200 00:09:37,667 --> 00:09:41,400 proposed that as part of his comprehensive deficit reduction 201 00:09:41,400 --> 00:09:45,100 and debt control plan, and he looks forward to working with 202 00:09:45,100 --> 00:09:45,967 Congress on that. 203 00:09:45,967 --> 00:09:48,000 And his whole point during -- 204 00:09:48,000 --> 00:09:50,033 The Press: As a solution, or -- I thought it just nibbles around the 205 00:09:50,033 --> 00:09:51,100 edges, doesn't it? 206 00:09:51,100 --> 00:09:54,767 Mr. Carney: No, the whole point the President made during the 207 00:09:54,767 --> 00:09:56,500 negotiations this summer on the debt ceiling, 208 00:09:56,500 --> 00:09:58,633 and again when he put forward his proposal for the super 209 00:09:58,633 --> 00:10:01,500 committee, is that if we approach this in a balanced way, 210 00:10:01,500 --> 00:10:04,300 the way that bipartisan commissions recommend that we 211 00:10:04,300 --> 00:10:08,834 approach it, the way that the vast majority of Americans want 212 00:10:08,834 --> 00:10:11,532 us to approach it, we don't have to privatize Medicare. 213 00:10:11,533 --> 00:10:16,066 We don't have to severely constrain Medicaid. 214 00:10:16,066 --> 00:10:21,533 We don't have to slice or slash programs that fund education or 215 00:10:21,533 --> 00:10:25,367 innovation or clean energy, because if we do it in a 216 00:10:25,367 --> 00:10:29,099 balanced way, we can reform entitlements in a way that 217 00:10:29,100 --> 00:10:32,633 preserves Medicare for seniors and doesn't stick them with a 218 00:10:32,633 --> 00:10:38,834 $6,000-a-year cost hike as the original Ryan plan would. 219 00:10:38,834 --> 00:10:39,632 The Press: I just want to make sure I understand. 220 00:10:39,633 --> 00:10:43,867 You're saying that what the President proposed is all that 221 00:10:43,867 --> 00:10:46,666 needs to be done to contain the growth in health care and 222 00:10:46,667 --> 00:10:49,467 Medicare, and whatever problems Medicare creates. 223 00:10:49,467 --> 00:10:51,367 Because that's what the Ryan-Wyden plan is 224 00:10:51,367 --> 00:10:52,367 attempting to do. 225 00:10:52,367 --> 00:10:53,666 Mr. Carney: What it's attempting to do, although within it, 226 00:10:53,667 --> 00:10:55,667 as I understand it, there's no -- 227 00:10:55,667 --> 00:11:00,400 even in their own proposal, there's only the hope of 228 00:11:00,400 --> 00:11:01,834 cost savings. 229 00:11:01,834 --> 00:11:04,967 So what the President has proposed, as I just laid out, 230 00:11:04,967 --> 00:11:10,233 would result in $320 billion of savings over the next 10 years; 231 00:11:10,233 --> 00:11:14,165 would reform the entitlement programs in a way that would 232 00:11:14,166 --> 00:11:18,066 continue to allow them to provide the essential services 233 00:11:18,066 --> 00:11:22,734 that, in the case of Medicare, seniors deserve and must have; 234 00:11:22,734 --> 00:11:26,700 and would not require the kind of radical privatization or 235 00:11:26,700 --> 00:11:30,600 ending of Medicare as we know it that the Ryan proposal suggests 236 00:11:30,600 --> 00:11:33,800 and that the Wyden-Ryan plan gets you to eventually. 237 00:11:33,800 --> 00:11:35,699 The Press: So that's a yes, that all that would need to be done to 238 00:11:35,700 --> 00:11:37,233 Medicare is what the President -- 239 00:11:37,233 --> 00:11:39,867 Mr. Carney: I'm not saying that five years, 10 years down the road that -- 240 00:11:39,867 --> 00:11:47,632 I mean, we are always having to push forward with reforms in 241 00:11:47,633 --> 00:11:49,400 different parts of our government. 242 00:11:49,400 --> 00:11:54,699 But the President's proposal, as you know, 243 00:11:54,700 --> 00:11:59,233 dealt in an expansive way -- $4 trillion if you include the 244 00:11:59,233 --> 00:12:04,333 trillion in savings through the Budget Control Act -- 245 00:12:04,333 --> 00:12:08,065 dealt with our need to reduce our deficit and get our debt 246 00:12:08,066 --> 00:12:13,133 under control at the same level of magnitude as the Ryan plan. 247 00:12:13,133 --> 00:12:18,100 And it did it without asking seniors to bear the burden 248 00:12:18,100 --> 00:12:19,100 of the cost. 249 00:12:19,100 --> 00:12:22,066 So this goes back to the need for balance. 250 00:12:22,066 --> 00:12:24,467 You don't have to do something this radical. 251 00:12:24,467 --> 00:12:27,500 As the President has said, our problems are not as great as 252 00:12:27,500 --> 00:12:29,667 they are in some countries that we would have to do something 253 00:12:29,667 --> 00:12:32,367 that radical if we were only willing to take a balanced 254 00:12:32,367 --> 00:12:33,632 approach, which is what the President -- 255 00:12:33,633 --> 00:12:35,033 The Press: I'm not advocating for the Wyden-Ryan plan, 256 00:12:35,033 --> 00:12:35,900 I'm just saying -- 257 00:12:35,900 --> 00:12:36,900 Mr. Carney: No, I know you're not -- 258 00:12:36,900 --> 00:12:38,033 The Press: I'm just saying -- you were actually saying that's all that 259 00:12:38,033 --> 00:12:39,000 needs to be done. 260 00:12:39,000 --> 00:12:39,667 Mr. Carney: That's the President's plan. 261 00:12:39,667 --> 00:12:40,367 The Press: Okay. 262 00:12:40,367 --> 00:12:43,300 The other question I have is Speaker Boehner today said 263 00:12:43,300 --> 00:12:48,800 there's no need to tie the omnibus bill to the payroll tax 264 00:12:48,800 --> 00:12:51,666 because he is willing to keep Congress here, 265 00:12:51,667 --> 00:12:54,533 to keep the House here, so that as soon as the Senate passes the 266 00:12:54,533 --> 00:12:59,600 payroll tax fix, the House will reconvene within 24 hours and 267 00:12:59,600 --> 00:13:02,300 act on whatever the Senate passes. 268 00:13:02,300 --> 00:13:03,165 Your response? 269 00:13:03,166 --> 00:13:08,600 Mr. Carney: I'm not going to negotiate on behalf of the Senate or the 270 00:13:08,600 --> 00:13:09,600 President here. 271 00:13:09,600 --> 00:13:11,133 These are ongoing conversations. 272 00:13:11,133 --> 00:13:16,934 What is unacceptable is the idea that we should take a promise of 273 00:13:16,934 --> 00:13:20,900 future action on behalf of 160 million Americans when, 274 00:13:20,900 --> 00:13:26,632 as you know, once Congress passes a spending bill, 275 00:13:26,633 --> 00:13:29,567 they can go home, and it sounds like the Speaker would let 276 00:13:29,567 --> 00:13:30,367 them go home. 277 00:13:30,367 --> 00:13:32,099 He might call them back or he might not. 278 00:13:32,100 --> 00:13:33,166 I mean, again, it's a promise. 279 00:13:33,166 --> 00:13:34,934 What we want is -- 280 00:13:34,934 --> 00:13:36,233 The Press: So you're saying you don't believe his promise? 281 00:13:36,233 --> 00:13:38,165 Mr. Carney: Well, I'm saying I don't know. 282 00:13:38,166 --> 00:13:41,066 What is essential here, the absolute top priority that this 283 00:13:41,066 --> 00:13:44,533 President has, is that Congress makes sure it does not go home 284 00:13:44,533 --> 00:13:47,834 on its vacation until it has taken care of the payroll tax 285 00:13:47,834 --> 00:13:50,266 cut extension and unemployment insurance extension, 286 00:13:50,266 --> 00:13:53,433 because it would be unacceptable, he believes, 287 00:13:53,433 --> 00:14:02,066 for Congress to hike taxes on 160 million Americans as it's 288 00:14:02,066 --> 00:14:03,100 heading out the door here. 289 00:14:03,100 --> 00:14:04,100 The Press: Okay. 290 00:14:04,100 --> 00:14:07,000 He's saying you don't need to tie the two, right? 291 00:14:07,000 --> 00:14:08,567 You don't need to do this -- and he's trying -- 292 00:14:08,567 --> 00:14:11,734 he says he's trying to avoid a government shutdown 293 00:14:11,734 --> 00:14:13,100 tomorrow night. 294 00:14:13,100 --> 00:14:16,533 Congressman Moran has said the deal has been done and the 295 00:14:16,533 --> 00:14:19,100 Congress is ready to act. 296 00:14:19,100 --> 00:14:21,300 Mr. Carney: The deal is not done until some of these issues that Senator 297 00:14:21,300 --> 00:14:23,834 Reid and others have mentioned, I've mentioned, 298 00:14:23,834 --> 00:14:24,967 need to be resolved. 299 00:14:24,967 --> 00:14:27,800 They are resolvable, no question. 300 00:14:27,800 --> 00:14:30,500 There's no need to shut down the government. 301 00:14:30,500 --> 00:14:33,133 There is time to get all of it done. 302 00:14:33,133 --> 00:14:35,967 And if more time is needed, Congress should do what it's 303 00:14:35,967 --> 00:14:40,834 done seven times already in this year and pass a CR, 304 00:14:40,834 --> 00:14:43,065 a short-term CR, just to ensure that they get their work done. 305 00:14:43,066 --> 00:14:45,967 There's no reason to talk about a government shutdown. 306 00:14:45,967 --> 00:14:47,699 The Press: I guess I'm just surprised that the Speaker of the House is 307 00:14:47,700 --> 00:14:49,800 basically pledging that you don't need to do this, 308 00:14:49,800 --> 00:14:51,900 I'll keep the Congress here, we'll reconvene as soon as 309 00:14:51,900 --> 00:14:52,900 they're ready -- 310 00:14:52,900 --> 00:14:53,867 Mr. Carney: Well, we need to make sure -- 311 00:14:53,867 --> 00:14:54,699 The Press: -- as soon as the Senate passes something, 312 00:14:54,700 --> 00:14:55,934 and you're basically saying, we don't believe you, 313 00:14:55,934 --> 00:14:56,632 basically said -- 314 00:14:56,633 --> 00:14:57,600 Mr. Carney: But we need to make sure -- we need to make sure -- 315 00:14:57,600 --> 00:14:58,433 no, look, I'm just saying -- 316 00:14:58,433 --> 00:14:59,333 The Press: -- a promise is meaningless. 317 00:14:59,333 --> 00:15:02,533 Mr. Carney: Jake, I'm just saying that there are negotiations going on. 318 00:15:02,533 --> 00:15:07,233 As Ben noted in his questions, there have been some signs of a 319 00:15:07,233 --> 00:15:10,566 willingness to find some bipartisan compromises here on 320 00:15:10,567 --> 00:15:13,233 these big remaining issues. 321 00:15:13,233 --> 00:15:18,300 But the President's priority is, this is not a question where 50% 322 00:15:18,300 --> 00:15:20,065 is okay, because if you take these two issues, 323 00:15:20,066 --> 00:15:21,700 the omnibus and the payroll tax cut, 324 00:15:21,700 --> 00:15:24,367 it is not okay just to get one of them. 325 00:15:24,367 --> 00:15:27,867 It simply isn't, because that means 160 million Americans are 326 00:15:27,867 --> 00:15:32,467 stuck with the bill of congressional inaction. 327 00:15:32,467 --> 00:15:36,133 So that's not okay. 328 00:15:36,133 --> 00:15:37,266 Lesley. 329 00:15:37,266 --> 00:15:40,632 The Press: Jay, we had a story today in McClatchy that parts of the 330 00:15:40,633 --> 00:15:44,567 story that President Obama gave in September awarding the Medal 331 00:15:44,567 --> 00:15:48,233 of Honor may be untrue, substantiated or exaggerated, 332 00:15:48,233 --> 00:15:50,666 according to a lot of military documents we looked at. 333 00:15:50,667 --> 00:15:52,900 Does the White House find this a concern, 334 00:15:52,900 --> 00:15:55,667 and are you intending to do anything about it, 335 00:15:55,667 --> 00:16:00,166 look into whether they embellished history? 336 00:16:00,166 --> 00:16:03,300 Mr. Carney: Lesley, the President was very proud to present the Medal of 337 00:16:03,300 --> 00:16:06,132 Honor to Sergeant Meyer for his extraordinary service 338 00:16:06,133 --> 00:16:07,400 in Afghanistan. 339 00:16:07,400 --> 00:16:10,834 As the President said that day, "In Sergeant Dakota Meyer, 340 00:16:10,834 --> 00:16:13,900 we see the best of a generation that has served through a 341 00:16:13,900 --> 00:16:16,165 decade of war." 342 00:16:16,166 --> 00:16:18,667 The answer to your question is no. 343 00:16:18,667 --> 00:16:22,467 Everyone, even the reporter who wrote yesterday's article, 344 00:16:22,467 --> 00:16:25,734 agrees that Sergeant Meyer displayed extraordinary heroism. 345 00:16:25,734 --> 00:16:29,533 Indeed, a subsequent article, within I think hours, 346 00:16:29,533 --> 00:16:32,433 by that same reporter last night makes it clear that Meyer's 347 00:16:32,433 --> 00:16:35,165 comrades feel he deserves the Medal of Honor. 348 00:16:35,166 --> 00:16:37,266 President Obama was proud to present it on behalf of a 349 00:16:37,266 --> 00:16:39,467 grateful nation. 350 00:16:39,467 --> 00:16:41,834 The Press: And suggestions that there were some problems -- 351 00:16:41,834 --> 00:16:44,199 Mr. Carney: Well, I got a little whiplash reading the two articles that 352 00:16:44,200 --> 00:16:45,100 McClatchy put out. 353 00:16:45,100 --> 00:16:48,033 One said one thing; the other said the other. 354 00:16:48,033 --> 00:16:50,667 What the President believes is exactly what I said, 355 00:16:50,667 --> 00:16:54,767 that this young man is the best of a generation that has served 356 00:16:54,767 --> 00:16:57,767 through a decade of war, and he was proud to present him the 357 00:16:57,767 --> 00:17:00,266 Medal of Honor. 358 00:17:00,266 --> 00:17:00,867 Dan. 359 00:17:00,867 --> 00:17:01,599 The Press: Thank you. 360 00:17:01,600 --> 00:17:04,500 You keep saying that the pay-fors is not the issue, 361 00:17:04,500 --> 00:17:08,266 but the President at one point was supporting the insistence on 362 00:17:08,266 --> 00:17:11,567 the millionaires' surtax, and then is no longer doing that. 363 00:17:11,567 --> 00:17:13,300 Mr. Carney: Well, Dan, I think I'll say again -- 364 00:17:13,300 --> 00:17:15,767 and I would encourage you to review the transcripts -- 365 00:17:15,767 --> 00:17:18,000 I have said from the beginning that we are open to 366 00:17:18,000 --> 00:17:18,834 other pay-fors. 367 00:17:18,834 --> 00:17:19,800 We supported -- 368 00:17:19,800 --> 00:17:20,466 The Press: Right. 369 00:17:20,467 --> 00:17:21,333 My question is, what changed, though -- 370 00:17:21,333 --> 00:17:22,166 Mr. Carney: But you said we insisted. 371 00:17:22,165 --> 00:17:24,200 We supported one version because we think it's fair. 372 00:17:24,200 --> 00:17:25,033 The Press: But what changed? 373 00:17:25,032 --> 00:17:25,966 What changed? 374 00:17:25,967 --> 00:17:27,000 Why did he drop that? 375 00:17:27,000 --> 00:17:30,767 Mr. Carney: I think all but one Republican refused to ask the 300,000 376 00:17:30,767 --> 00:17:34,600 richest Americans, millionaires and billionaires, 377 00:17:34,600 --> 00:17:39,399 to pay a little bit more so that 160 million Americans could get 378 00:17:39,400 --> 00:17:43,000 a tax cut next year, or not see their taxes go up, 379 00:17:43,000 --> 00:17:44,266 at the very least. 380 00:17:44,266 --> 00:17:45,867 That's what happened. 381 00:17:45,867 --> 00:17:49,700 And we believe that that was a fair way to do it, 382 00:17:49,700 --> 00:17:52,767 an eminently fair way to do it, but Republicans, 383 00:17:52,767 --> 00:17:56,567 almost in lockstep, disagreed. 384 00:17:56,567 --> 00:18:00,467 They were willing to say no to a tax cut for 160 million 385 00:18:00,467 --> 00:18:06,133 hardworking Americans rather than ask millionaires and 386 00:18:06,133 --> 00:18:08,100 billionaires to pay a little bit more. 387 00:18:08,100 --> 00:18:11,800 That's their position, and that's the reality. 388 00:18:11,800 --> 00:18:14,533 We have said from the beginning that while we supported the 389 00:18:14,533 --> 00:18:17,667 Senate Democratic pay-for and while the President himself put 390 00:18:17,667 --> 00:18:21,966 forward a pay-for, that we were open to discussions about 391 00:18:21,967 --> 00:18:26,834 alternative ways to fund this payroll tax cut extension and to 392 00:18:26,834 --> 00:18:29,266 fund unemployment insurance extension, 393 00:18:29,266 --> 00:18:32,567 as long as they were economically responsible and 394 00:18:32,567 --> 00:18:39,500 they did not take from the middle class with one hand what 395 00:18:39,500 --> 00:18:42,367 we were giving with the other in a payroll tax cut extension. 396 00:18:42,367 --> 00:18:47,399 So it should not stick it to the middle class. 397 00:18:47,400 --> 00:18:48,934 Those are our principles. 398 00:18:48,934 --> 00:18:52,000 The Press: As it stands now, what is the biggest hurdle to getting 399 00:18:52,000 --> 00:18:55,533 a deal done? 400 00:18:55,533 --> 00:19:04,899 Mr. Carney: Well, I want to reflect the optimism here that some 401 00:19:04,900 --> 00:19:07,000 expressed on the Hill this morning that we believe a deal 402 00:19:07,000 --> 00:19:09,834 can get done and that there's no reason to talk about a 403 00:19:09,834 --> 00:19:14,033 government shutdown because if we need a couple of extra days, 404 00:19:14,033 --> 00:19:16,600 I think the American people would expect Congress to pass a 405 00:19:16,600 --> 00:19:19,233 short-term continuing resolution to ensure that they had time to 406 00:19:19,233 --> 00:19:22,233 get this fundamental piece of business done. 407 00:19:22,233 --> 00:19:24,567 There is room for compromise. 408 00:19:24,567 --> 00:19:26,834 There are issues that need to be resolved in the spending 409 00:19:26,834 --> 00:19:28,433 measure, but they can be resolved. 410 00:19:28,433 --> 00:19:32,367 And there are certainly many paths here to getting a payroll 411 00:19:32,367 --> 00:19:35,332 tax cut extension done. 412 00:19:35,333 --> 00:19:41,834 So I think that a willingness to be reasonable here would go 413 00:19:41,834 --> 00:19:43,266 a long way. 414 00:19:43,266 --> 00:19:44,533 The Press: And one other question. 415 00:19:44,533 --> 00:19:46,833 Yesterday you guys put something out on a briefing that the 416 00:19:46,834 --> 00:19:50,066 President received, a national security holiday briefing. 417 00:19:50,066 --> 00:19:54,033 Is there any known threat out there or anything in particular 418 00:19:54,033 --> 00:19:56,699 that the administration is concerned about with the 419 00:19:56,700 --> 00:19:57,800 holidays approaching? 420 00:19:57,800 --> 00:20:01,600 Mr. Carney: No, nothing -- I have nothing for you on that. 421 00:20:01,600 --> 00:20:05,100 This is about making sure, at a moment -- 422 00:20:05,100 --> 00:20:07,065 at a time of the year like this one, 423 00:20:07,066 --> 00:20:12,700 that everyone is following the President's directive here that 424 00:20:12,700 --> 00:20:16,500 we take every measure necessary to ensure the safety and 425 00:20:16,500 --> 00:20:22,767 security of the American people, both here and abroad. 426 00:20:22,767 --> 00:20:23,900 Yes, sir. 427 00:20:23,900 --> 00:20:26,900 The Press: You had objections to the defense bill; 428 00:20:26,900 --> 00:20:28,400 you've dropped them. 429 00:20:28,400 --> 00:20:30,667 There's still a lot of civil liberties experts who are 430 00:20:30,667 --> 00:20:33,567 convinced that that bill contains the seed of the future 431 00:20:33,567 --> 00:20:39,000 detention of U.S. citizens indeterminately if they're 432 00:20:39,000 --> 00:20:41,433 suspected of terrorism. 433 00:20:41,433 --> 00:20:44,000 Are you really that convinced that there was a big enough 434 00:20:44,000 --> 00:20:48,000 change that you'd drop an important issue like this? 435 00:20:48,000 --> 00:20:50,867 Mr. Carney: Well, let me make clear that this was not the preferred 436 00:20:50,867 --> 00:20:54,700 approach of this administration, and we made clear that any bill 437 00:20:54,700 --> 00:20:56,767 that challenges or constrains the President's critical 438 00:20:56,767 --> 00:20:58,433 authorities to collect intelligence, 439 00:20:58,433 --> 00:21:00,867 incapacitate dangerous terrorists, 440 00:21:00,867 --> 00:21:02,800 and protect the nation would prompt the President's senior 441 00:21:02,800 --> 00:21:04,834 advisors to recommend a veto. 442 00:21:04,834 --> 00:21:08,133 After intensive engagement by senior administration officials, 443 00:21:08,133 --> 00:21:11,266 the administration has succeeded in prompting the authors of the 444 00:21:11,266 --> 00:21:14,166 detainee provisions to make several important changes, 445 00:21:14,166 --> 00:21:17,533 including the removal of problematic provisions. 446 00:21:17,533 --> 00:21:20,100 While we remain concerned about the uncertainty that this law 447 00:21:20,100 --> 00:21:22,766 will create for our counterterrorism professionals, 448 00:21:22,767 --> 00:21:27,100 the most recent changes give the President additional discretion 449 00:21:27,100 --> 00:21:28,934 in determining how the law will be implemented, 450 00:21:28,934 --> 00:21:31,533 consistent with our values and the rule of law, 451 00:21:31,533 --> 00:21:34,699 which are at the heart of our country's strength. 452 00:21:34,700 --> 00:21:37,166 This legislation authorizes critical funding for military 453 00:21:37,166 --> 00:21:39,800 personnel overseas, and its passage sends an important 454 00:21:39,800 --> 00:21:42,300 signal that Congress supports our efforts as we end the war in 455 00:21:42,300 --> 00:21:45,966 Iraq and transition to Afghan lead, 456 00:21:45,967 --> 00:21:48,066 while ensuring that our military can meet the challenges of the 457 00:21:48,066 --> 00:21:49,367 21st century. 458 00:21:49,367 --> 00:21:52,332 On the provision in particular that you reference, 459 00:21:52,333 --> 00:21:54,867 it does not increase or otherwise change any of our 460 00:21:54,867 --> 00:21:59,399 authorities in regard to detention of American citizens. 461 00:21:59,400 --> 00:22:01,934 It is simply a restatement of the authorities that were 462 00:22:01,934 --> 00:22:04,100 granted to the President in 2001. 463 00:22:04,100 --> 00:22:06,699 The Press: Is this just a recognition that ultimately the courts would 464 00:22:06,700 --> 00:22:08,834 settle disputes like that? 465 00:22:08,834 --> 00:22:13,200 Mr. Carney: No, the changes give discretion to the President in the 466 00:22:13,200 --> 00:22:14,767 implementation of this law. 467 00:22:14,767 --> 00:22:19,700 If, as this law is being implemented, 468 00:22:19,700 --> 00:22:24,600 the President feels that our counterterrorism professionals 469 00:22:24,600 --> 00:22:26,632 are being constrained and that their flexibility is being 470 00:22:26,633 --> 00:22:32,567 constrained in a way that does not reflect our values, 471 00:22:32,567 --> 00:22:34,667 then he will ask for changes. 472 00:22:34,667 --> 00:22:37,399 He will go to the authors of these provisions and ask for 473 00:22:37,400 --> 00:22:39,567 legislative changes that are separate from the defense 474 00:22:39,567 --> 00:22:41,867 authorization bill. 475 00:22:41,867 --> 00:22:47,633 But again, the changes that were made were sufficient to allow 476 00:22:47,633 --> 00:22:51,533 senior advisors to withdraw the recommendation of a veto, 477 00:22:51,533 --> 00:22:54,265 but we are still concerned about the uncertainty that this 478 00:22:54,266 --> 00:22:56,533 law creates. 479 00:22:56,533 --> 00:22:57,833 Norah. 480 00:22:57,834 --> 00:22:59,834 The Press: When the President spoke in Kansas, 481 00:22:59,834 --> 00:23:03,734 he spoke about his deep conviction that everyone pay 482 00:23:03,734 --> 00:23:05,766 their fair share? 483 00:23:05,767 --> 00:23:08,100 How deep is the President's conviction if he's willing to 484 00:23:08,100 --> 00:23:11,132 abandon the surtax on millionaires or that even the 485 00:23:11,133 --> 00:23:12,734 wealthy pay more? 486 00:23:12,734 --> 00:23:15,100 Mr. Carney: Norah, I know you were here just a few short minutes ago when I 487 00:23:15,100 --> 00:23:16,433 answered this question. 488 00:23:16,433 --> 00:23:20,200 The issue is not how it gets paid for. 489 00:23:20,200 --> 00:23:22,400 The President has his clear preference. 490 00:23:22,400 --> 00:23:24,600 He believes, like the majority of the American people, 491 00:23:24,600 --> 00:23:29,600 that the 300,000 wealthiest millionaires and billionaires in 492 00:23:29,600 --> 00:23:33,667 this country ought to pay a little bit more so that 160 493 00:23:33,667 --> 00:23:37,966 million working Americans can get a payroll tax cut extension. 494 00:23:37,967 --> 00:23:38,900 But -- 495 00:23:38,900 --> 00:23:40,433 The Press: So now you're saying it's not important how it's paid for. 496 00:23:40,433 --> 00:23:41,266 Mr. Carney: No, no, no -- 497 00:23:41,266 --> 00:23:44,767 The Press: Does that hold for future pieces of legislation, too? 498 00:23:44,767 --> 00:23:49,000 Mr. Carney: Norah, the priority here is making sure that regular folks 499 00:23:49,000 --> 00:23:51,700 out there who get a paycheck don't see their taxes go up by 500 00:23:51,700 --> 00:23:53,867 an average of $1,000 next year. 501 00:23:53,867 --> 00:23:56,533 We have said from the beginning that we are open to different 502 00:23:56,533 --> 00:23:58,833 ways of paying for it. 503 00:23:58,834 --> 00:24:04,500 We, at times, marvel at the whiplash caused by the sudden 504 00:24:04,500 --> 00:24:07,300 interest in paying for a tax cut among some Republicans who 505 00:24:07,300 --> 00:24:10,200 heretofore have insisted that tax cuts not be paid for. 506 00:24:10,200 --> 00:24:11,266 That's an interest we share. 507 00:24:11,266 --> 00:24:14,667 We think that's the responsible thing to do. 508 00:24:14,667 --> 00:24:16,899 But let's be clear here. 509 00:24:16,900 --> 00:24:18,967 The only reason why we're having this debate is because the 510 00:24:18,967 --> 00:24:22,000 President put it in the American Jobs Act, 511 00:24:22,000 --> 00:24:24,633 extension and expansion of the payroll tax cut. 512 00:24:24,633 --> 00:24:28,033 A few short weeks ago I stood up here and read to you numerous 513 00:24:28,033 --> 00:24:30,199 statements by leading Republicans who said they 514 00:24:30,200 --> 00:24:32,400 weren't even for a payroll tax cut extension. 515 00:24:32,400 --> 00:24:35,934 They were perfectly happy to see 160 million Americans -- 516 00:24:35,934 --> 00:24:37,600 including, I would assume, a majority of their own 517 00:24:37,600 --> 00:24:41,567 constituents -- get stuck with a $1,000 tax hike next year, 518 00:24:41,567 --> 00:24:46,233 rather than ask millionaires and billionaires to pay a little bit 519 00:24:46,233 --> 00:24:48,767 extra, folks who over the past 30 years have done exceptionally 520 00:24:48,767 --> 00:24:52,433 well while the middle class has struggled. 521 00:24:52,433 --> 00:24:53,934 So we've come a fair distance here. 522 00:24:53,934 --> 00:24:56,367 Republicans now say they want this payroll tax cut extension, 523 00:24:56,367 --> 00:24:58,399 that they are interested in seeing middle-class Americans 524 00:24:58,400 --> 00:25:00,367 not have their taxes go up. 525 00:25:00,367 --> 00:25:02,834 That's progress. 526 00:25:02,834 --> 00:25:06,934 What I think is essential here is that the President's priority 527 00:25:06,934 --> 00:25:11,834 has not been how it's paid for or raising taxes, 528 00:25:11,834 --> 00:25:14,633 it's been lowering taxes for the vast majority of 529 00:25:14,633 --> 00:25:16,600 Americans out there. 530 00:25:16,600 --> 00:25:18,934 The Press: When the President first proposed his American Jobs Act, 531 00:25:18,934 --> 00:25:22,399 with the price tag of over $400 billion, 532 00:25:22,400 --> 00:25:24,700 part of that was asking the wealthiest Americans 533 00:25:24,700 --> 00:25:25,433 to pay more -- 534 00:25:25,433 --> 00:25:26,166 Mr. Carney: Yes. 535 00:25:26,166 --> 00:25:29,899 The Press: -- not millionaires, those making over $250,000 a year. 536 00:25:29,900 --> 00:25:31,533 Successive parts since it's been broken up, 537 00:25:31,533 --> 00:25:34,300 of the President's job plan have not passed. 538 00:25:34,300 --> 00:25:37,600 Now you're on the payroll tax, and again, 539 00:25:37,600 --> 00:25:39,132 that's also in jeopardy. 540 00:25:39,133 --> 00:25:41,767 Is the President willing to abandon what has been the 541 00:25:41,767 --> 00:25:45,100 embodiment of his core value that he's been speaking about 542 00:25:45,100 --> 00:25:48,033 repeatedly, which is that the wealthier pay more and everybody 543 00:25:48,033 --> 00:25:50,766 pay their fair share, so he can get one part -- 544 00:25:50,767 --> 00:25:52,400 at least one part of his jobs bill passed? 545 00:25:52,400 --> 00:25:56,200 Mr. Carney: What the President is interested in is making sure that most 546 00:25:56,200 --> 00:26:00,834 Americans -- most Americans out there who have an income, 547 00:26:00,834 --> 00:26:03,800 160 million Americans who get a paycheck, 548 00:26:03,800 --> 00:26:06,066 don't see their taxes go up by $1,000 next year. 549 00:26:06,066 --> 00:26:09,233 That's the right position for those Americans -- 550 00:26:09,233 --> 00:26:10,200 The Press: So he doesn't care how it's paid for? 551 00:26:10,200 --> 00:26:12,667 Mr. Carney: -- and it's the right position for the American economy. 552 00:26:12,667 --> 00:26:17,934 You misstate what the President's priorities here are. 553 00:26:17,934 --> 00:26:21,734 We have -- in the American Jobs Act we had an opportunity to put 554 00:26:21,734 --> 00:26:24,332 400,000 teachers back in the classroom. 555 00:26:24,333 --> 00:26:26,834 The President believed that the right way to pay for that was 556 00:26:26,834 --> 00:26:29,967 asking -- to close some subsidies for corporations, 557 00:26:29,967 --> 00:26:31,834 asking the wealthiest to pay more. 558 00:26:31,834 --> 00:26:34,633 There were a variety of provisions within our broad 559 00:26:34,633 --> 00:26:36,500 American Jobs Act proposal. 560 00:26:36,500 --> 00:26:37,600 Republicans rejected that. 561 00:26:37,600 --> 00:26:40,934 They've rejected everything that would benefit the economy and 562 00:26:40,934 --> 00:26:47,633 the middle class and working Americans when the suggestion is 563 00:26:47,633 --> 00:26:51,200 that the wealthiest of us should pay a little bit more to make 564 00:26:51,200 --> 00:26:52,533 that happen. 565 00:26:52,533 --> 00:26:54,632 Because what's important to remember is the American Jobs 566 00:26:54,633 --> 00:26:56,867 Act would not have added a dime to our deficit. 567 00:26:56,867 --> 00:26:59,233 The President is very concerned about getting our deficits and 568 00:26:59,233 --> 00:27:01,466 debt under control. 569 00:27:01,467 --> 00:27:04,600 The issue with the payroll tax cut, 570 00:27:04,600 --> 00:27:09,632 an issue that Republicans used to support and now in the last 571 00:27:09,633 --> 00:27:14,300 few weeks support again, is that the American people cannot in 572 00:27:14,300 --> 00:27:18,834 this stage of our recovery -- or should not -- 573 00:27:18,834 --> 00:27:21,200 be asked to pay $1,000 on average in taxes 574 00:27:21,200 --> 00:27:22,700 extra next year. 575 00:27:22,700 --> 00:27:23,867 The President is very interested, 576 00:27:23,867 --> 00:27:25,899 that is his priority, in making sure that doesn't happen, 577 00:27:25,900 --> 00:27:33,100 and ensuring that Congress does not leave town having protected 578 00:27:33,100 --> 00:27:38,833 their own tax breaks and the tax breaks of the wealthiest 579 00:27:38,834 --> 00:27:43,367 Americans, but not made sure that the American people didn't 580 00:27:43,367 --> 00:27:44,399 have their taxes go up. 581 00:27:44,400 --> 00:27:47,533 So that's been his priority here. 582 00:27:47,533 --> 00:27:48,166 Yes, Ed. 583 00:27:48,166 --> 00:27:50,934 The Press: Jay, you seem, in all this, seem to be downplaying the notion -- 584 00:27:50,934 --> 00:27:52,966 when you say the priority here is not the pay-for, 585 00:27:52,967 --> 00:27:55,867 you seem to be downplaying the idea that the pay-for is 586 00:27:55,867 --> 00:27:57,800 important at all, when, in fact, when the President went to 587 00:27:57,800 --> 00:28:00,066 Congress that very first night in September, 588 00:28:00,066 --> 00:28:03,533 he said that this American Jobs Act is paid for and that it's 589 00:28:03,533 --> 00:28:06,233 not going to add one dime to the deficit, I think was his phrase. 590 00:28:06,233 --> 00:28:07,000 Mr. Carney: Yes, right. 591 00:28:07,000 --> 00:28:09,800 The Press: So are you now opening the door to passing this, 592 00:28:09,800 --> 00:28:10,899 because it's such a big priority, 593 00:28:10,900 --> 00:28:14,934 the payroll tax cut extension, without it being paid for? 594 00:28:14,934 --> 00:28:17,433 Mr. Carney: We strongly prefer that it be paid for. 595 00:28:17,433 --> 00:28:19,600 That's why the President put forward a proposal that it 596 00:28:19,600 --> 00:28:20,600 was paid for. 597 00:28:20,600 --> 00:28:23,567 That's why he supported the Democratic Senate alternative 598 00:28:23,567 --> 00:28:25,200 that had it paid for. 599 00:28:25,200 --> 00:28:28,200 And certainly I have not seen any indication at this point 600 00:28:28,200 --> 00:28:31,333 that there is disagreement about the need to have it paid for. 601 00:28:31,333 --> 00:28:32,967 I think the question that you ask -- 602 00:28:32,967 --> 00:28:37,400 The Press: But Senator Reid and Durbin have both said this week that you 603 00:28:37,400 --> 00:28:39,700 could pass it without it being paid for, 604 00:28:39,700 --> 00:28:41,834 citing the fact that Republicans, as you noted, 605 00:28:41,834 --> 00:28:46,066 in fairness, have passed this payroll tax cut extension before 606 00:28:46,066 --> 00:28:46,800 without paying for it. 607 00:28:46,800 --> 00:28:47,466 You've cited -- 608 00:28:47,467 --> 00:28:50,734 Mr. Carney: And generally believe that no tax cut needs to be paid for. 609 00:28:50,734 --> 00:28:51,367 The Press: Right. 610 00:28:51,367 --> 00:28:53,567 So the door is now open to pass it without it being paid for. 611 00:28:53,567 --> 00:28:56,900 Mr. Carney: I'm not negotiating -- and I had this question in earlier weeks 612 00:28:56,900 --> 00:28:58,633 when we were talking about different ways to pay for the 613 00:28:58,633 --> 00:28:59,633 payroll tax cut here now. 614 00:28:59,633 --> 00:29:00,333 The Press: But we're at the endgame now. 615 00:29:00,333 --> 00:29:00,900 Mr. Carney: No, no, I know. 616 00:29:00,900 --> 00:29:01,767 And I'm saying -- my answer is the same. 617 00:29:01,767 --> 00:29:04,400 I'm not going to negotiate a hypothetical about whether -- 618 00:29:04,400 --> 00:29:06,033 if that were to happen -- 619 00:29:06,033 --> 00:29:06,600 The Press: But is the door closed? 620 00:29:06,600 --> 00:29:07,899 Are you saying, under no circumstances -- 621 00:29:07,900 --> 00:29:08,800 Mr. Carney: I'm not saying -- 622 00:29:08,800 --> 00:29:09,767 The Press: Because the President said he will not add a dime to 623 00:29:09,767 --> 00:29:10,433 the deficit. 624 00:29:10,433 --> 00:29:11,400 Is that now changed? 625 00:29:11,400 --> 00:29:24,433 Mr. Carney: Well, his American Jobs Act would not have added a dime to 626 00:29:24,433 --> 00:29:25,433 the deficit. 627 00:29:25,433 --> 00:29:27,934 I believe that we can -- as I've said repeatedly now -- 628 00:29:27,934 --> 00:29:31,266 that there are alternative ways to pay for this that can be 629 00:29:31,266 --> 00:29:34,967 found and compromised on that meet the President's principle 630 00:29:34,967 --> 00:29:36,200 that we don't do harm to the economy, 631 00:29:36,200 --> 00:29:37,834 we don't stick it to the middle class -- 632 00:29:37,834 --> 00:29:40,133 the very people we're trying to help in this process. 633 00:29:40,133 --> 00:29:47,433 So how this looks at the end is something I cannot foretell 634 00:29:47,433 --> 00:29:48,533 at this point. 635 00:29:48,533 --> 00:29:50,065 But the President's priorities are clear; 636 00:29:50,066 --> 00:29:51,800 he restated them again today. 637 00:29:51,800 --> 00:29:56,000 And they're very focused on 160 million Americans who will see 638 00:29:56,000 --> 00:30:00,500 their taxes go up, on average, by $1,000 on January 1st if 639 00:30:00,500 --> 00:30:03,166 Congress were to leave town without taking care of 640 00:30:03,166 --> 00:30:03,700 this issue. 641 00:30:03,700 --> 00:30:04,400 The Press: Okay. 642 00:30:04,400 --> 00:30:06,166 So you know that they're not going to support the surcharge; 643 00:30:06,166 --> 00:30:07,166 they've voted against it. 644 00:30:07,166 --> 00:30:09,265 You don't want the pipeline in the payroll tax cut. 645 00:30:09,266 --> 00:30:10,900 So how do you move forward? 646 00:30:10,900 --> 00:30:12,266 What is the White House's solution -- 647 00:30:12,266 --> 00:30:14,500 since we're at the endgame here, and it's no longer a 648 00:30:14,500 --> 00:30:15,400 possibility -- it's -- 649 00:30:15,400 --> 00:30:17,066 Mr. Carney: Rather than negotiating with you -- 650 00:30:17,066 --> 00:30:18,033 The Press: But how are you going to pay for it? 651 00:30:18,033 --> 00:30:21,500 Mr. Carney: -- I will let those on the President's team, 652 00:30:21,500 --> 00:30:27,166 working with congressional Democrats and Republicans, 653 00:30:27,166 --> 00:30:29,433 come up with a compromise solution. 654 00:30:29,433 --> 00:30:31,133 I mean, we certainly believe that's possible. 655 00:30:31,133 --> 00:30:34,333 I've made that clear here; the President has made it clear. 656 00:30:34,333 --> 00:30:37,500 The President's priority is ensuring that working -- 657 00:30:37,500 --> 00:30:39,333 hardworking Americans, middle-class Americans don't see 658 00:30:39,333 --> 00:30:40,633 their taxes go up on January 1st. 659 00:30:40,633 --> 00:30:41,900 The Press: Okay, last thing on another subject. 660 00:30:41,900 --> 00:30:44,133 Prime Minister Maliki was here this week. 661 00:30:44,133 --> 00:30:47,633 There have been reports that a former commander of the Iranian 662 00:30:47,633 --> 00:30:50,633 Revolutionary Guard, which was -- 663 00:30:50,633 --> 00:30:54,700 U.S. officials say played a role in a 1996 terrorist attack that 664 00:30:54,700 --> 00:30:58,100 killed 19 U.S. servicemen -- he was here at the White House with 665 00:30:58,100 --> 00:30:59,399 Prime Minister Maliki because he's a 666 00:30:59,400 --> 00:31:03,000 transportation minister -- 667 00:31:03,000 --> 00:31:04,200 Mr. Carney: Sorry, whose report is that? 668 00:31:04,200 --> 00:31:06,734 The Press: I believe The Washington Times has reported it. 669 00:31:06,734 --> 00:31:08,600 I think others have as well, but I think this is a Washington -- 670 00:31:08,600 --> 00:31:09,600 Mr. Carney: I'd have to take that question. 671 00:31:09,600 --> 00:31:10,699 I'm not aware of it. 672 00:31:10,700 --> 00:31:11,333 The Press: Okay. 673 00:31:11,333 --> 00:31:12,100 Could you give us an answer later, though, 674 00:31:12,100 --> 00:31:13,065 whether he was here and whether -- 675 00:31:13,066 --> 00:31:14,600 that a background check had been done? 676 00:31:14,600 --> 00:31:15,699 Mr. Carney: I'll check on it for you. 677 00:31:15,700 --> 00:31:17,033 The Press: Okay, thanks. 678 00:31:17,033 --> 00:31:19,800 Mr. Carney: Laura. 679 00:31:19,800 --> 00:31:21,966 The Press: One of the prime reasons you gave for opposing the House 680 00:31:21,967 --> 00:31:25,533 version of the payroll tax bill was because it lifted the 681 00:31:25,533 --> 00:31:28,734 discretionary spending -- I'm sorry, lowered the discretionary 682 00:31:28,734 --> 00:31:29,667 spending caps. 683 00:31:29,667 --> 00:31:35,265 Would you rule out any agreement that lowered them by any amount? 684 00:31:35,266 --> 00:31:39,467 Mr. Carney: Well, what we've said about that specific Republican proposal is 685 00:31:39,467 --> 00:31:42,200 that the President would veto it. 686 00:31:42,200 --> 00:31:46,033 Again, what the contours of a compromise would look like I 687 00:31:46,033 --> 00:31:48,500 don't want to speculate about from here. 688 00:31:48,500 --> 00:31:53,700 But the principle behind our concern with that specific 689 00:31:53,700 --> 00:31:57,500 measure is that, while it was dressed up as one thing, 690 00:31:57,500 --> 00:32:03,400 the reality of it would be, in lowering the caps, 691 00:32:03,400 --> 00:32:07,166 the requirement that things like education and clean energy and 692 00:32:07,166 --> 00:32:11,767 innovation and other issues -- other areas would be 693 00:32:11,767 --> 00:32:12,967 further cut. 694 00:32:12,967 --> 00:32:14,467 And there are two problems with that. 695 00:32:14,467 --> 00:32:20,367 One, we had a deal, and we expect members of Congress to 696 00:32:20,367 --> 00:32:23,100 keep their word on a deal that's only a few months old, 697 00:32:23,100 --> 00:32:25,899 that lowered non-defense discretionary spending to the 698 00:32:25,900 --> 00:32:28,166 lowest percentage of our economy since Dwight Eisenhower 699 00:32:28,166 --> 00:32:29,166 was president. 700 00:32:29,166 --> 00:32:31,934 So we're talking about substantial cuts already. 701 00:32:31,934 --> 00:32:37,033 And as you know, the President certainly doesn't believe that 702 00:32:37,033 --> 00:32:37,734 that's necessary. 703 00:32:37,734 --> 00:32:40,600 Moreover, the principle here, as I have just stated a few times, 704 00:32:40,600 --> 00:32:43,433 is that we not do things that do harm to the very people we're 705 00:32:43,433 --> 00:32:46,000 trying to help through the middle-class tax cut. 706 00:32:46,000 --> 00:32:51,100 So having said that, I don't want to tease out individual 707 00:32:51,100 --> 00:32:55,632 items and say, this one might work in some compromise proposal 708 00:32:55,633 --> 00:32:57,800 but this one won't. 709 00:32:57,800 --> 00:32:59,300 The President's principles are clear, 710 00:32:59,300 --> 00:33:04,200 and he wants to make sure that Congress not leave town having 711 00:33:04,200 --> 00:33:06,333 not done something to ensure that Americans don't see their 712 00:33:06,333 --> 00:33:07,266 taxes go up. 713 00:33:07,266 --> 00:33:09,300 The Press: So you're saying that -- obviously, 714 00:33:09,300 --> 00:33:11,567 this is not your preference and you oppose it, 715 00:33:11,567 --> 00:33:13,834 but you're not saying that any cuts to 716 00:33:13,834 --> 00:33:15,166 discretionary spending -- 717 00:33:15,166 --> 00:33:16,367 Mr. Carney: Again, I'm not going to tease out individual items. 718 00:33:16,367 --> 00:33:18,533 I'm not going to tease out individual items and say that 719 00:33:18,533 --> 00:33:22,033 that's unacceptable, because what was unacceptable was the 720 00:33:22,033 --> 00:33:24,867 bill that was presented to us and -- 721 00:33:24,867 --> 00:33:28,633 or rather presented, and that we issued a statement of 722 00:33:28,633 --> 00:33:31,166 administration policy on. 723 00:33:31,166 --> 00:33:35,533 If there's another bill, we'll evaluate it once we see it. 724 00:33:35,533 --> 00:33:36,632 Kristen. 725 00:33:36,633 --> 00:33:37,433 The Press: Thanks, Jay. 726 00:33:37,433 --> 00:33:39,700 You just talked about the negotiations that are going on. 727 00:33:39,700 --> 00:33:42,166 Has the President been personally involved in 728 00:33:42,166 --> 00:33:43,265 the negotiations? 729 00:33:43,266 --> 00:33:45,633 Mr. Carney: Well, I think, as you know, he was here with -- 730 00:33:45,633 --> 00:33:51,066 or rather he invited and met with Senator Reid and other 731 00:33:51,066 --> 00:33:52,467 Senate Democratic leaders yesterday, 732 00:33:52,467 --> 00:33:56,200 and he's engaged in this very much so, 733 00:33:56,200 --> 00:33:58,500 as are key members of his team. 734 00:33:58,500 --> 00:34:04,633 I don't have telephone calls or meetings to read out to you, 735 00:34:04,633 --> 00:34:06,433 but absolutely the President is involved. 736 00:34:06,433 --> 00:34:08,100 The Press: Has he spoken to Speaker Boehner? 737 00:34:08,100 --> 00:34:10,165 Mr. Carney: Again, I don't have telephone calls or meetings to read out to 738 00:34:10,166 --> 00:34:12,333 you -- or email exchanges. 739 00:34:12,333 --> 00:34:13,367 The Press: Will he be speaking to Speaker Boehner? 740 00:34:13,367 --> 00:34:15,033 I mean, is that important for him to reach out to the 741 00:34:15,033 --> 00:34:18,366 Republicans as well, as we're getting closer to this deadline? 742 00:34:18,367 --> 00:34:20,934 Mr. Carney: Again, I don't want to speculate about what conversations he may 743 00:34:20,934 --> 00:34:24,834 or may not have in the future here, in the next several days. 744 00:34:24,833 --> 00:34:28,065 But I can assure you that he is actively engaged in this, 745 00:34:28,065 --> 00:34:36,600 and has made sure that his team is directly engaged in this. 746 00:34:36,600 --> 00:34:41,734 And he will continue to do everything he can to ensure that 747 00:34:41,734 --> 00:34:46,632 the priority he laid out just an hour ago be met -- 748 00:34:46,632 --> 00:34:51,399 that Congress not leave Washington without making sure 749 00:34:51,400 --> 00:34:54,500 the middle class doesn't see its taxes go up on January 1st. 750 00:34:54,500 --> 00:34:56,934 The Press: Is he actively engaged with members of both parties, 751 00:34:56,934 --> 00:34:58,533 without reading out specific meetings? 752 00:34:58,533 --> 00:35:01,933 Mr. Carney: Again, I don't have specific calls or meetings to read 753 00:35:01,934 --> 00:35:02,834 out to you. 754 00:35:02,834 --> 00:35:03,899 But he is engaged. 755 00:35:03,900 --> 00:35:07,200 The Press: And also, we're getting closer to this deadline of the 756 00:35:07,200 --> 00:35:08,533 government potentially shutting down. 757 00:35:08,533 --> 00:35:10,900 Has the administration taken any steps to prepare for that 758 00:35:10,900 --> 00:35:11,900 at this point? 759 00:35:11,900 --> 00:35:17,033 Mr. Carney: As you know, the Office of Management and Budget oversees 760 00:35:17,033 --> 00:35:20,667 that process for the White House, for the administration, 761 00:35:20,667 --> 00:35:21,866 and I would refer you to them. 762 00:35:21,867 --> 00:35:24,166 I can simply say that there are standard operating procedures 763 00:35:24,166 --> 00:35:28,266 here with which we are, through recent experience, 764 00:35:28,266 --> 00:35:29,834 fairly familiar. 765 00:35:29,834 --> 00:35:34,799 And the necessary actions are being taken and will be taken. 766 00:35:34,800 --> 00:35:38,767 But -- and that's just out of an abundance of caution, 767 00:35:38,767 --> 00:35:42,299 and it's basically a requirement when we get this close to 768 00:35:42,300 --> 00:35:43,433 a deadline. 769 00:35:43,433 --> 00:35:44,834 There is no reason to get there. 770 00:35:44,834 --> 00:35:47,834 There's just no reason to get there. 771 00:35:47,834 --> 00:35:50,500 As Senate leaders of both parties have made clear and 772 00:35:50,500 --> 00:35:54,333 other have made clear, the differences in the spending bill 773 00:35:54,333 --> 00:35:56,233 are resolvable. 774 00:35:56,233 --> 00:35:58,000 And I think, as everybody now has made clear, 775 00:35:58,000 --> 00:36:00,967 that both parties want an extension of the payroll tax 776 00:36:00,967 --> 00:36:02,400 cut, both parties want an extension of 777 00:36:02,400 --> 00:36:03,567 unemployment insurance. 778 00:36:03,567 --> 00:36:05,300 There's no reason why we can't get that done. 779 00:36:05,300 --> 00:36:11,767 And the President insists that Congress get that done, 780 00:36:11,767 --> 00:36:14,600 because it's unacceptable to leave town, 781 00:36:14,600 --> 00:36:17,500 go home on a month-long vacation, 782 00:36:17,500 --> 00:36:19,734 having not done something to prevent Americans' taxes from 783 00:36:19,734 --> 00:36:23,700 going up on January 1st -- when it would be so simple to get it 784 00:36:23,700 --> 00:36:26,767 done; when there's clearly now bipartisan support for 785 00:36:26,767 --> 00:36:28,200 getting it done. 786 00:36:28,200 --> 00:36:29,500 We hope and expect that will happen. 787 00:36:29,500 --> 00:36:32,233 Mara, and then Mr. Collinson. 788 00:36:32,233 --> 00:36:36,066 The Press: Can you explain what specifically is your problem 789 00:36:36,066 --> 00:36:37,533 with the Wyden-Ryan plan? 790 00:36:37,533 --> 00:36:39,900 Because it seems like the big news is that he's backed off 791 00:36:39,900 --> 00:36:42,834 replacing Medicare with a private system, 792 00:36:42,834 --> 00:36:48,700 and giving these vouchers that are capped. 793 00:36:48,700 --> 00:36:51,100 It seems like a lot of the plan replicates the 794 00:36:51,100 --> 00:36:52,165 Affordable Care Act. 795 00:36:52,166 --> 00:36:54,133 What is it specifically that you think the plan 796 00:36:54,133 --> 00:36:54,933 would undermine -- 797 00:36:54,934 --> 00:36:56,700 Mr. Carney: Well, no, what it does is it creates an unlevel playing field 798 00:36:56,700 --> 00:37:03,433 that would result in private plans being able to attract 799 00:37:03,433 --> 00:37:09,433 healthier Americans, thereby driving up costs and premiums 800 00:37:09,433 --> 00:37:15,867 for Medicare, and making it unsustainable for seniors to 801 00:37:15,867 --> 00:37:18,133 stay in traditional Medicare and force them to join 802 00:37:18,133 --> 00:37:19,133 private plans. 803 00:37:19,133 --> 00:37:20,767 So the result is -- 804 00:37:20,767 --> 00:37:23,232 The Press: But the -- would be tied to the cost of Medicare. 805 00:37:23,233 --> 00:37:25,266 Mr. Carney: But the result is the same. 806 00:37:25,266 --> 00:37:28,333 It basically forces -- it causes traditional Medicare to wither 807 00:37:28,333 --> 00:37:32,033 on the vine, to use a phrase from your past and mine, Mara. 808 00:37:32,033 --> 00:37:37,133 And it's just not -- it's not necessary. 809 00:37:37,133 --> 00:37:39,200 It would shift costs from the government to seniors, 810 00:37:39,200 --> 00:37:42,232 very much as the Ryan plan does. 811 00:37:42,233 --> 00:37:44,500 And at the end of the day, it would end Medicare as we know it 812 00:37:44,500 --> 00:37:45,500 for millions of seniors. 813 00:37:45,500 --> 00:37:47,433 It's just the wrong way to reform Medicare. 814 00:37:47,433 --> 00:37:50,967 The Press: So the bedrock position is that Medicare should remain a 815 00:37:50,967 --> 00:37:54,400 fee-for-service program without competition from 816 00:37:54,400 --> 00:37:55,500 private insurers? 817 00:37:55,500 --> 00:37:58,567 Mr. Carney: Well, the bedrock position is that we do not need to end 818 00:37:58,567 --> 00:38:03,467 Medicare as we know it, which is what the Ryan plan does and 819 00:38:03,467 --> 00:38:05,967 what, on a longer timeframe here, 820 00:38:05,967 --> 00:38:10,266 the Ryan-Wyden proposal does. 821 00:38:10,266 --> 00:38:13,300 And it's just not necessary. 822 00:38:13,300 --> 00:38:17,233 That was the problem with the Ryan budget to begin with, 823 00:38:17,233 --> 00:38:22,867 was that, in order to reach the kinds of savings that he set -- 824 00:38:22,867 --> 00:38:29,800 the $4 trillion -- because he refused to ask wealthy Americans 825 00:38:29,800 --> 00:38:33,166 to pay a little bit more to raise revenues -- in fact, 826 00:38:33,166 --> 00:38:37,700 he extended and expanded tax breaks for wealthier Americans 827 00:38:37,700 --> 00:38:41,232 -- that meant that he had to end Medicare as we know it and 828 00:38:41,233 --> 00:38:42,066 stick 6,000 -- 829 00:38:42,066 --> 00:38:42,933 The Press: To balance the budget. 830 00:38:42,934 --> 00:38:44,533 This is a plan that's confined to Medicare. 831 00:38:44,533 --> 00:38:45,799 Mr. Carney: No, no, no -- well, it was a long-term deficit and debt 832 00:38:45,800 --> 00:38:46,800 reduction plan. 833 00:38:46,800 --> 00:38:49,867 So what you're saying is that we should then excise that, 834 00:38:49,867 --> 00:38:52,500 absent from even a deficit reduction and debt reduction 835 00:38:52,500 --> 00:38:54,333 plan, and stick it to seniors that way. 836 00:38:54,333 --> 00:38:57,867 That's just not acceptable. 837 00:38:57,867 --> 00:38:59,467 Nakamura, sir. 838 00:38:59,467 --> 00:39:00,600 The Press: Thanks, Jay. 839 00:39:00,600 --> 00:39:03,333 I just wanted to return a moment to the McClatchy story on the 840 00:39:03,333 --> 00:39:04,333 Medal of Honor winner. 841 00:39:04,333 --> 00:39:06,467 You're a former journalist, and I just -- 842 00:39:06,467 --> 00:39:09,367 I'm wondering how important to you and the White House it is 843 00:39:09,367 --> 00:39:14,333 that if the -- in answering her question you said that the 844 00:39:14,333 --> 00:39:17,834 President stands by awarding the medal because his own -- 845 00:39:17,834 --> 00:39:21,299 Dakota Meyer's own colleagues said he acted heroically. 846 00:39:21,300 --> 00:39:23,433 Mr. Carney: I simply made clear, in answer to the question, 847 00:39:23,433 --> 00:39:27,367 that the same reporter who wrote that story posted a story 848 00:39:27,367 --> 00:39:34,500 shortly after that expansively cited testimony from Mr. Meyer's 849 00:39:34,500 --> 00:39:36,233 own comrades about his -- 850 00:39:36,233 --> 00:39:38,567 The Press: It doesn't sound like anybody disagrees that he deserves the 851 00:39:38,567 --> 00:39:39,567 medal necessarily. 852 00:39:39,567 --> 00:39:42,767 But how important to you and the White House is it that the 853 00:39:42,767 --> 00:39:45,600 President or that the White House corrects a narrative that 854 00:39:45,600 --> 00:39:48,033 may not actually reflect the facts and available evidence of 855 00:39:48,033 --> 00:39:50,333 that night, regardless of how heroically he acted? 856 00:39:50,333 --> 00:39:53,600 Mr. Carney: But again, I would refer you to the Marine Corps. 857 00:39:53,600 --> 00:39:57,500 And the process of vetting for Medal of Honor -- 858 00:39:57,500 --> 00:39:59,433 proposed Medal of Honor recipients is, 859 00:39:59,433 --> 00:40:02,533 as I understand it, quite extensive and thorough. 860 00:40:02,533 --> 00:40:06,033 Obviously that's done at the Department of Defense and by the 861 00:40:06,033 --> 00:40:08,600 branch of the military that's affected here, 862 00:40:08,600 --> 00:40:09,799 in this case the Marine Corps. 863 00:40:09,800 --> 00:40:14,200 The President was very proud to present the Medal of Honor to 864 00:40:14,200 --> 00:40:15,866 Sergeant Meyer. 865 00:40:15,867 --> 00:40:18,400 He was that day and he remains proud today of his 866 00:40:18,400 --> 00:40:20,066 extraordinary service. 867 00:40:20,066 --> 00:40:22,165 The Press: Did the White House review the vetted transcript from the -- 868 00:40:22,166 --> 00:40:24,000 the transcript that the President read into the public 869 00:40:24,000 --> 00:40:24,934 record that day? 870 00:40:24,934 --> 00:40:26,266 Mr. Carney: The President's remarks -- 871 00:40:26,266 --> 00:40:27,000 The Press: Who wrote that? 872 00:40:27,000 --> 00:40:27,667 Was that -- 873 00:40:27,667 --> 00:40:29,266 Mr. Carney: -- were based on the extensive documentation provided by the 874 00:40:29,266 --> 00:40:31,667 Department of Defense and the Marine Corps, 875 00:40:31,667 --> 00:40:34,933 including sworn testimony from Sergeant Meyer himself and sworn 876 00:40:34,934 --> 00:40:38,500 eyewitness testimonies of others present at the scene. 877 00:40:38,500 --> 00:40:40,533 White House staff also personally spoke with 878 00:40:40,533 --> 00:40:43,533 Sergeant Meyer. 879 00:40:43,533 --> 00:40:46,033 Our primary resource for the President's remarks was the 880 00:40:46,033 --> 00:40:48,100 official documentation provided by the Marine Corps, 881 00:40:48,100 --> 00:40:52,633 including sworn testimony from Sergeant Meyer, and as I said, 882 00:40:52,633 --> 00:40:55,265 sworn eyewitness testimonies of others present. 883 00:40:55,266 --> 00:41:01,467 The President remains very proud of Sergeant Meyer and the 884 00:41:01,467 --> 00:41:07,400 remarkable acts of bravery that he displayed on that day. 885 00:41:07,400 --> 00:41:08,734 I think -- yes, Stephen. 886 00:41:08,734 --> 00:41:11,734 The Press: In these negotiations on the Hill, 887 00:41:11,734 --> 00:41:15,066 is the White House prepared to discuss at all the Keystone 888 00:41:15,066 --> 00:41:17,700 pipeline, or is it still the position that A, 889 00:41:17,700 --> 00:41:20,533 that's beyond the purview of Congress to start with, and B, 890 00:41:20,533 --> 00:41:22,133 has nothing to do with the payroll tax? 891 00:41:22,133 --> 00:41:24,332 Mr. Carney: Well, it certainly has nothing to do with payroll tax cut 892 00:41:24,333 --> 00:41:27,066 extension and expansion. 893 00:41:27,066 --> 00:41:30,799 It certainly is beyond the purview of Congress to speed up 894 00:41:30,800 --> 00:41:36,934 a review process that is essential to making sure that 895 00:41:36,934 --> 00:41:41,100 all criteria here, all factors are weighed when a decision is 896 00:41:41,100 --> 00:41:43,133 made whether to grant a permit or not. 897 00:41:43,133 --> 00:41:48,700 Remember, the process was extended because of opposition 898 00:41:48,700 --> 00:41:52,533 to the location of a pipeline through Nebraska -- 899 00:41:52,533 --> 00:41:54,366 opposition that included the Republican governor 900 00:41:54,367 --> 00:41:56,233 of that state. 901 00:41:56,233 --> 00:41:58,333 Alternative routes are being explored. 902 00:41:58,333 --> 00:42:01,600 I believe that the company that's seeking the permit has 903 00:42:01,600 --> 00:42:04,000 said recently, in the last day or two, 904 00:42:04,000 --> 00:42:05,867 that they have not even identified yet an 905 00:42:05,867 --> 00:42:06,800 alternate route. 906 00:42:06,800 --> 00:42:09,834 So the idea that -- as the State Department has made clear -- 907 00:42:09,834 --> 00:42:13,133 that we could -- they could properly conduct a review in a 908 00:42:13,133 --> 00:42:19,299 60-day time period is -- seems to be based on politics and not 909 00:42:19,300 --> 00:42:22,633 reality, or certainly not sound judgment. 910 00:42:22,633 --> 00:42:29,433 So that's our position on what is clearly a highly extraneous 911 00:42:29,433 --> 00:42:34,767 provision of the House Republican proposal. 912 00:42:34,767 --> 00:42:35,567 Kate. 913 00:42:35,567 --> 00:42:38,133 The Press: Would you say absolutely that the President would veto any 914 00:42:38,133 --> 00:42:40,100 legislation that has Keystone in it? 915 00:42:40,100 --> 00:42:42,834 The word "veto" I haven't heard. 916 00:42:42,834 --> 00:42:44,165 Mr. Carney: What the President said, I would remind you, 917 00:42:44,166 --> 00:42:45,934 is that he would reject a provision -- 918 00:42:45,934 --> 00:42:49,367 he would reject a proposal that tried to mandate approval of the 919 00:42:49,367 --> 00:42:51,600 Keystone project. 920 00:42:51,600 --> 00:42:53,734 That's what he said; I believe we were over in South Court when 921 00:42:53,734 --> 00:42:56,533 he said that, when he was asked about that. 922 00:42:56,533 --> 00:43:01,232 I, again, having -- what the State Department has said and 923 00:43:01,233 --> 00:43:04,900 having just explained in my answer to Steve there, 924 00:43:04,900 --> 00:43:09,533 what the House put forward was an attempt to speed up a process 925 00:43:09,533 --> 00:43:17,366 that circumvents the kind of thorough and necessarily 926 00:43:17,367 --> 00:43:20,266 cautious review that the State Department would need to 927 00:43:20,266 --> 00:43:21,533 conduct here. 928 00:43:21,533 --> 00:43:26,633 That's wrong-headed and, I would say, counterproductive. 929 00:43:26,633 --> 00:43:31,399 But I'm not going to -- let's see what emerges from the 930 00:43:31,400 --> 00:43:33,600 discussions that are taking place on the Hill. 931 00:43:33,600 --> 00:43:36,000 The Press: So then instead of 60 days, if it was 90 days or the process 932 00:43:36,000 --> 00:43:38,767 was longer, would that be something he would consider? 933 00:43:38,767 --> 00:43:41,332 Mr. Carney: I think that the proper way for this to take place is for the 934 00:43:41,333 --> 00:43:45,333 State Department to conduct a thorough review based on decades 935 00:43:45,333 --> 00:43:48,734 of tradition here -- tradition that exists for a reason, 936 00:43:48,734 --> 00:43:50,799 because these are important decisions that need to be made. 937 00:43:50,800 --> 00:43:53,600 And as I indicated earlier, the very company that's asking for a 938 00:43:53,600 --> 00:43:56,000 permit hasn't identified an alternate route. 939 00:43:56,000 --> 00:44:00,133 So how could we possibly ask -- or try to short-circuit this 940 00:44:00,133 --> 00:44:03,533 process and have a review process take place that would 941 00:44:03,533 --> 00:44:08,433 clearly be too short for the kind of review that's necessary? 942 00:44:08,433 --> 00:44:09,266 The Press: Just one other thing. 943 00:44:09,266 --> 00:44:11,767 The managing director of the IMF said this morning that the 944 00:44:11,767 --> 00:44:14,966 crisis is unfolding in Europe and escalating. 945 00:44:14,967 --> 00:44:16,533 I'm curious -- and also she said that -- 946 00:44:16,533 --> 00:44:19,100 Christine Lagarde said that it's something that the eurozone 947 00:44:19,100 --> 00:44:21,266 countries can't handle alone. 948 00:44:21,266 --> 00:44:24,800 Is there -- has the President made any phone calls to Merkel 949 00:44:24,800 --> 00:44:27,100 or any other leaders recently? 950 00:44:27,100 --> 00:44:28,967 And is there a plan B? 951 00:44:28,967 --> 00:44:33,166 Mr. Carney: I don't have any presidential calls or communications 952 00:44:33,166 --> 00:44:35,700 to read out. 953 00:44:35,700 --> 00:44:38,232 He's obviously being briefed regularly on this by Secretary 954 00:44:38,233 --> 00:44:40,667 Geithner and others. 955 00:44:40,667 --> 00:44:44,165 Our position on the important steps that Europe has taken thus 956 00:44:44,166 --> 00:44:48,333 far, and the need for Europe to take other steps to conclusively 957 00:44:48,333 --> 00:44:55,900 and decisively resolve this crisis hasn't changed. 958 00:44:55,900 --> 00:44:59,600 And we're working very closely with our European partners, 959 00:44:59,600 --> 00:45:03,567 offering them the advice that we can offer based on the 960 00:45:03,567 --> 00:45:08,333 experience that we've had, that we hope is helpful to 961 00:45:08,333 --> 00:45:09,333 resolving this. 962 00:45:09,333 --> 00:45:14,000 I don't really have anything else on that for you. 963 00:45:14,000 --> 00:45:15,200 Last one -- Carrie. 964 00:45:15,200 --> 00:45:18,834 The Press: Thanks, Jay. 965 00:45:18,834 --> 00:45:21,100 Can you explain why the statement last night called the 966 00:45:21,100 --> 00:45:23,366 omnibus -- or the appropriations agreement -- 967 00:45:23,367 --> 00:45:25,300 why it was called a Republican proposal, 968 00:45:25,300 --> 00:45:28,133 given that Democratic appropriators on the Hill are 969 00:45:28,133 --> 00:45:30,133 saying they signed off in it? 970 00:45:30,133 --> 00:45:31,165 Or is the agreement -- 971 00:45:31,166 --> 00:45:36,800 Mr. Carney: Well, because the Republicans submitted a proposal that's not 972 00:45:36,800 --> 00:45:38,900 -- it does not -- is not a Democratic proposal. 973 00:45:38,900 --> 00:45:40,133 It's a Republican proposal. 974 00:45:40,133 --> 00:45:42,466 The Press: But Democrats -- Democratic appropriators signed off 975 00:45:42,467 --> 00:45:43,433 on it, and -- 976 00:45:43,433 --> 00:45:46,567 Mr. Carney: Well, they didn't sign off on the Republicans filing a bill at 977 00:45:46,567 --> 00:45:49,100 11:40 at night on their own. 978 00:45:49,100 --> 00:45:50,667 I mean, that's just not the case. 979 00:45:50,667 --> 00:45:54,467 And as Senator Reid made clear, there are still issues that need 980 00:45:54,467 --> 00:45:58,000 to be resolved that can be resolved, should be resolved. 981 00:45:58,000 --> 00:45:59,633 We're pleased with the progress that has been made on 982 00:45:59,633 --> 00:46:02,066 the omnibus. 983 00:46:02,066 --> 00:46:06,033 But there was a -- this was about tactics and politics, 984 00:46:06,033 --> 00:46:09,900 having the Republicans put this down close to 985 00:46:09,900 --> 00:46:10,900 midnight last night. 986 00:46:10,900 --> 00:46:13,266 I don't think that's very much in doubt. 987 00:46:13,266 --> 00:46:14,633 The Press: So you're talking about what they put out last night, 988 00:46:14,633 --> 00:46:18,700 not what was apparently under discussion earlier in the week 989 00:46:18,700 --> 00:46:23,933 and had been -- I'm just a little confused, because -- 990 00:46:23,934 --> 00:46:27,233 Mr. Carney: Well, the House Republicans, I believe, put forward -- 991 00:46:27,233 --> 00:46:35,333 filed a bill last night by themselves that is an 992 00:46:35,333 --> 00:46:36,333 omnibus bill. 993 00:46:36,333 --> 00:46:40,066 And that is not a conference bill, 994 00:46:40,066 --> 00:46:42,700 it is not a Democratic and Republican bill, 995 00:46:42,700 --> 00:46:48,433 it is a House Republican bill, which is I'm sure part of the 996 00:46:48,433 --> 00:46:49,600 atmospherics and tactics here. 997 00:46:49,600 --> 00:46:52,133 What's important is what we talked about at the top of the 998 00:46:52,133 --> 00:46:56,700 briefing, is that both sides seem to recognize that there is 999 00:46:56,700 --> 00:47:00,366 the capacity here to compromise, the path to compromise may be 1000 00:47:00,367 --> 00:47:03,333 clear, the issues that still need to be resolved on the 1001 00:47:03,333 --> 00:47:06,033 spending bill are resolvable. 1002 00:47:06,033 --> 00:47:07,900 And that's one thing. 1003 00:47:07,900 --> 00:47:10,367 Separate, and very important to the President, 1004 00:47:10,367 --> 00:47:14,133 is the need to make sure that Americans don't have their taxes 1005 00:47:14,133 --> 00:47:15,633 go up on January 1st. 1006 00:47:15,633 --> 00:47:18,366 And it is not okay to resolve the differences in the spending 1007 00:47:18,367 --> 00:47:21,600 bill and leave town without making sure that Americans -- 1008 00:47:21,600 --> 00:47:24,767 160 million Americans -- don't see their taxes go up by, 1009 00:47:24,767 --> 00:47:27,100 on average, $1,000 next year. 1010 00:47:27,100 --> 00:47:29,165 That would be the height of irony, right? 1011 00:47:29,166 --> 00:47:31,500 That because of Republicans' refusal to extend the payroll 1012 00:47:31,500 --> 00:47:34,266 tax cut they leave town having passed a trillion-dollar 1013 00:47:34,266 --> 00:47:37,834 spending bill and a tax hike? 1014 00:47:37,834 --> 00:47:40,466 Talk about turning politics on its head. 1015 00:47:40,467 --> 00:47:42,400 So we're hopeful that's not going to happen. 1016 00:47:42,400 --> 00:47:44,033 The Press: It if was all worked out -- even if it was all worked out 1017 00:47:44,033 --> 00:47:45,066 and everybody agreed. 1018 00:47:45,066 --> 00:47:46,799 Mr. Carney: Well, then they should pass it, if it's all worked out. 1019 00:47:46,800 --> 00:47:48,400 The Press: The omnibus. 1020 00:47:48,400 --> 00:47:49,166 Mr. Carney: No, that's what I'm saying. 1021 00:47:49,166 --> 00:47:51,133 Wouldn't it be -- I'm just having fun here -- 1022 00:47:51,133 --> 00:47:53,933 wouldn't it be ironic, given what we think we know about the 1023 00:47:53,934 --> 00:47:56,800 American political system and the two parties, 1024 00:47:56,800 --> 00:47:59,934 that because of inaction by Congress on the payroll tax cut 1025 00:47:59,934 --> 00:48:04,300 they simply left town having passed a trillion-dollar 1026 00:48:04,300 --> 00:48:07,867 spending bill, and refused to take action and therefore 1027 00:48:07,867 --> 00:48:10,400 ensured that there was a tax cut for middle-class Americans. 1028 00:48:10,400 --> 00:48:11,567 The Press: Tax hike. 1029 00:48:11,567 --> 00:48:12,500 Mr. Carney: I'm sorry, a tax hike. 1030 00:48:12,500 --> 00:48:13,734 Thank you, Bill. 1031 00:48:13,734 --> 00:48:14,533 I appreciate that. 1032 00:48:14,533 --> 00:48:15,700 (laughter) 1033 00:48:15,700 --> 00:48:16,633 The Press: Hike! Hike! Hike! 1034 00:48:16,633 --> 00:48:19,165 Mr. Carney: It's been probably an hour since I started briefing. 1035 00:48:19,166 --> 00:48:20,600 The Press: Two, four, six, eight, hike! 1036 00:48:20,600 --> 00:48:21,799 The Press: Your statement came out -- 1037 00:48:21,800 --> 00:48:22,600 Mr. Carney: I'm sorry. 1038 00:48:22,600 --> 00:48:27,799 The Press: Your statement came out before they filed the bill last night. 1039 00:48:27,800 --> 00:48:30,734 Mr. Carney: You know what, I think -- I wasn't looking at my watch when 1040 00:48:30,734 --> 00:48:32,734 these things came out. 1041 00:48:32,734 --> 00:48:33,834 And I'm not sure what the point is. 1042 00:48:33,834 --> 00:48:38,533 What the Republicans did last night was clear. 1043 00:48:38,533 --> 00:48:41,133 We're hoping that progress is going to be made on 1044 00:48:41,133 --> 00:48:42,433 Capitol Hill. 1045 00:48:42,433 --> 00:48:44,800 We all are, I'm sure, hoping that progress will be made on 1046 00:48:44,800 --> 00:48:50,066 Capitol Hill, and that this essential work is completed in 1047 00:48:50,066 --> 00:48:52,533 as close to an on-time fashion as possible. 1048 00:48:52,533 --> 00:48:53,333 Thank you all very much. 1049 00:48:53,333 --> 00:48:54,100 The Press: Thank you.