English subtitles for clip: File:3-4-13- White House Press Briefing.webm

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Mr. Carney:
Good afternoon,
ladies and gentlemen.

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Thank you for being here.

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I just want to note the
President has a Cabinet meeting

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at 1:00 p.m., so we're going
to need to move through

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this quickly.

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I will try to be precise and
concise in my answers and move

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around as quickly as I can.

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And for that reason,
I have no topper.

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Associated Press.

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The Press:
Thank you.

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Now that the sequester cuts
have begun to take effect I'm

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wondering what we should be
expecting from the White House.

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Are officials going to be trying
to point out negative impacts of

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the sequester?

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Is there any effort that's going
to be underway to try to build

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some type of public reaction
to pressure Washington to

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avert these cuts?

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Mr. Carney:
We made clear that the
imposition of the sequester will

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have serious consequences for
middle-class Americans across

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the country.

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The sequester will have serious
consequences for Defense

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Department contractors,
civilian workers,

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and for our defense readiness.

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It will have serious
consequences for families whose

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child will lose a
Head Start slot,

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for workers on the border
-- border security agents,

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for air traffic controllers
who will have their hours cut.

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And I'm sure you will be
hearing about these impacts from

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Americans themselves who will
wonder why Republicans made this

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choice, why they wouldn't go
along with what they did two

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months ago, why they wouldn't
go along with balanced deficit

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reduction, why they chose
protecting tax loopholes for the

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few rather than protecting the
jobs of the many or protecting

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our economy.

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There have been and there will
be specific effects that we'll

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see, and there will
be the overall effect,

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which I don't think
anybody argues with --

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CBO, Macroeconomics
Advisers, Moody's,

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others have estimated that we
will lose up to three-quarters

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of a million jobs because of
sequester, if it stays in place,

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and our economy will grow by
a full half a percentage point

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more slowly than it would
have otherwise -- or more.

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We'll continue to talk about
this because it's bad for

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the country.

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It's unnecessary.

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It's a self-inflicted
wound on the economy.

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But we'll also continue to
work on those things that the

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American people expect
us to work on --

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on creating jobs,
growing the economy,

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making sure that we get
comprehensive immigration

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reform, making sure that we
move forward towards getting a

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comprehensive set of initiatives
in place to reduce gun violence,

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and other things.

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The Press:
What was the President asking
from lawmakers he talked to

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on Saturday?

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And can we also get a list of
the lawmakers that he called?

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Mr. Carney:
The President had conversations
with Republicans and Democrats

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over the weekend about the
sequester specifically,

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and the broader issue of
balanced deficit reduction.

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And he spoke here the other day
about believing that there is a

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caucus of common
sense out there,

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lawmakers in both parties who
understand that we need to do

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tough things to achieve
entitlement reforms because

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that's the right
thing for our economy,

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and we need to do tough
things on tax reform --

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tough things for Republicans --
go along with tax reform in a

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way that generate revenues
to pay down our deficit.

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And that's the kind of
discussion he's having with

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lawmakers and he'll
continue to have,

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because he believes that
there are Republicans who --

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both those who have spoken
publicly about it and others who

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have not -- who support the
general premise of balance,

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who support the idea that we
should reform our tax code in a

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way that eliminates these
special breaks for the few and

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the wealthy and
the well-connected,

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and to use that revenue for
reducing our deficit so that we

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don't put the burden solely on
senior citizens or families with

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children who have
disabilities and the like.

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So he'll continue
those conversations.

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I don't have a list for you.

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We're trying to be clear
that the President is having

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these conversations.

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It's not necessarily helpful
for individual senators to have

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those conversations
specifically read out.

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But, of course, you're welcome
to contact senators yourself.

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Yes.

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The Press:
Is the President
open to having talks,

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or perhaps having talks already,
with lawmakers specifically on

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finding ways to reduce the
impacts of the sequester?

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Mr. Carney:
I think we've been very clear
about the way the law is written

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and the fact that flexibility
does not help the overall

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problem, because, as the
Chairman of the Fed has said and

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many others have said, $85
billion withdrawn from our

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defense and nondefense
discretionary budgets will have

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a negative impact.

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That's what the CBO has said.

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That's what outside
economists have said.

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And certainly we're seeing some
of those impacts already on

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regular folks out there who are
trying to make ends meet but are

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finding out through warn notices
or other advisories that they

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may lose their jobs, or they're
going to lose some of their pay,

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or they're going
to be furloughed.

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So we're working with and we'll
continue to work with Congress

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towards achieving a compromise
that eliminates that sequester,

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that achieves balanced
deficit reduction,

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that does it in a way that
allows our economy to grow and

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to help the middle class grow.

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Because the President firmly
believes that our economy is at

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its strongest and its best when
it grows from the middle out and

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not the top down.

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That's been proven
by our history.

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So that's the effort
that we're undertaking.

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The Press:
You talk about moving
forward with gun control,

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immigration reform, but how do
you do that when we're mired in

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this discussion
about the budget?

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Mr. Carney:
Well, you do it because
you have to do it,

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because these issues matter
and they're important.

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And there are lawmakers on both
sides of the aisle who believe

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that those issues are important
and should be acted on,

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and we're working with members,
both Republicans and Democrats,

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on those issues.

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And they're very key to the
President's second term agenda.

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He thinks they're the right
thing for the country,

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the right thing
for our families,

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the right thing for our economy.

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So he'll continue to work on
those issues just as he will

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continue to work on enhancing
our national security and

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continue to work on measures to,
in spite of the impacts of the

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sequester, to improve job
creation and economic growth,

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and help the middle class.

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It is unfortunate -- again, this
is a wholly unnecessary decision

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that was made by Republicans
to allow this to happen.

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If you step back, what is
somewhat remarkable about it,

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because you see Republicans
calling it a victory --

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a victory for the tea party or a
victory because they stood up to

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the President on spending -- but
remember what Republican goals

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are supposed to be.

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Republicans budgets call for an
increase in defense spending,

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not the dramatic cut we're
seeing with the imposition of

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the sequester.

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Republicans generally talk about
increasing our border security

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presence, consistent with the
way it's increased over the

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years, doubled since 2004.

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Obviously, sequester
does the opposite.

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Republicans say they're the
party of deficit reduction,

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long-term deficit reduction; the
sequester doesn't achieve that.

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The Republicans say that they
want entitlement reforms;

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there's nothing in the
sequester that achieves

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entitlement reform.

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They say they want tax reform;
there's nothing here that meets

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that objective.

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The President has put forward
a proposal that does meet those

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objectives -- that achieves
entitlement reform,

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that achieves tax reform
in a balanced and fair way,

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that allows for the necessary
level of funding for our

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national security interests,
that allows for the continued

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strengthening of
our border security.

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And he hopes that having
achieved this empty victory,

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at least as they see it, the
Republicans will understand that

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their goals are
being unmet here,

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so not only are Americans
suffering from this --

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regular folks -- but their
objectives are being unmet.

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And there's an opportunity
to change that dynamic,

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to do something that's
good for the country,

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that's good for the economy, and
that's to come together around a

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plan that would reduce our
deficit in a balanced way,

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that would embrace both
entitlement reform and tax

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reform towards
deficit reduction.

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One of the things that's
striking to me when you talk

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about the differences between
these two parties is we're only

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asking that the Republicans do
what the Speaker said he wanted

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to do just two months
ago -- enact tax reform,

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achieve revenue by closing
loopholes for the well-off and

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the well-connected, and use that
money towards deficit reduction,

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a very conservative goal.

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The President has put forward
entitlement reforms --

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some tough entitlement
reforms that achieve savings.

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And he, as part of
a balanced approach,

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would commit to doing those,
as his plan calls for,

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if Republicans would commit to
what they said they wanted to do

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just a few months ago, which
is tax reform in the name of

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deficit reduction.

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It is the conservative thing to
do to use that money to reduce

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the deficit, not to funnel it
into tax cuts for wealthy folks.

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That seems counterproductive,
to say the least.

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So the President hopes the
common-sense caucus expands in

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support of those ideas.

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Jim.

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The Press:
Jay, isn't the sequester
really here to stay?

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Because I think what you saw
over the weekend is that you

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heard the two
Republican leaders --

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Mitch McConnell
and John Boehner --

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start talking about how
we need to work through

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continuing resolution.

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They were confident
that that would happen.

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What makes you think that you
can go back and do away with

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these cuts in the sequester?

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Mr. Carney:
Well, for all the
reasons I just mentioned,

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and that is that the sequester
doesn't achieve any of the

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stated objectives of
the Republican Party,

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of Republican leaders.

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It creates all the harm that
Republican leaders said it would

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create when they were decrying
the sequester just a few

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months ago.

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The Press:
They said they're not going
to come back and do anything in

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terms of revenues.

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There's not one Republican,
Mitch McConnell said,

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who is in favor of
increasing revenues.

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So it seems like
you're at an impasse.

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Mr. Carney:
Well, that's false on its face
since there are a number of

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Republicans who said they
support tax reform that creates

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revenues, and they've
said so publicly,

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including very
prominent Republicans.

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So there's that.

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But the issue here is on the
continuing resolution and

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funding the government.

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We certainly support
the idea that,

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as the President said from
here, that we should not create

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another crisis on
top of this one,

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another manufactured showdown;
that Congress ought to pass a CR

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without drama, as it has a half
dozen times since April of 2011

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-- you probably didn't know it
was that many times because

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there was no drama around it --
and to do that in a way that's

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practical and nonpolitical and
consistent with the levels of

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the Budget Control Act.

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We'll see what Congress does.

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We'll see what the
Republicans do.

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But the President,
as you heard him say,

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would support that approach so
that we don't add crisis upon

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crisis here.

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But to the broader question
about dealing with the

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sequester, we need to do that,
but we can do it if we follow

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the path that the public says it
wants Republicans and Democrats

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to follow that the
President has embraced,

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that bipartisan commissions have
said is the right way to go,

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and we hope that we
can achieve that.

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Because if we do, we can really
unleash some of the potential,

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the bottled up potential in
our economy that exists --

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as many economists have said
that 2013 could be a very strong

240
00:12:08,000 --> 00:12:12,834
year economically if Washington
would stop doing harm to the

241
00:12:12,834 --> 00:12:16,433
economy and start doing things
that would help the economy.

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00:12:16,433 --> 00:12:19,934
The Press:
And as a follow-up -- well, not
really a follow-up, but maybe on

243
00:12:19,934 --> 00:12:21,567
a separate front.

244
00:12:21,567 --> 00:12:24,000
Mr. Carney:
I won't hold you to it.

245
00:12:24,000 --> 00:12:26,433
The Press:
Earlier this morning, Secretary
Napolitano said that lines at

246
00:12:26,433 --> 00:12:29,900
some of the biggest airports
over the weekend were 150 to

247
00:12:29,900 --> 00:12:32,867
200% longer.

248
00:12:32,867 --> 00:12:35,033
We're asking Homeland Security
for some kind of metrics to

249
00:12:35,033 --> 00:12:36,033
back that up.

250
00:12:36,033 --> 00:12:38,967
But given the fact that there
was sort of this back-and-forth

251
00:12:38,967 --> 00:12:41,400
over teacher layoffs
with Secretary Duncan,

252
00:12:41,400 --> 00:12:44,266
and even the President talked
about janitors that might be

253
00:12:44,266 --> 00:12:47,132
impacted at the Capitol --
that may not be the case --

254
00:12:47,133 --> 00:12:49,633
what is the administration doing
to make sure that these numbers

255
00:12:49,633 --> 00:12:50,967
are not hyped?

256
00:12:50,967 --> 00:12:53,000
Because might that
undercut your message?

257
00:12:53,000 --> 00:12:55,533
Mr. Carney:
Here's the thing.

258
00:12:55,533 --> 00:12:59,734
If you disagree with the CBO and
with outside economic analysts

259
00:12:59,734 --> 00:13:02,133
who say that up to
three-quarters of a million jobs

260
00:13:02,133 --> 00:13:04,400
will be lost, well, you
should make that case.

261
00:13:04,400 --> 00:13:05,400
Those are real people.

262
00:13:05,400 --> 00:13:10,867
And of course many, many more
will see their wages cut or

263
00:13:10,867 --> 00:13:14,233
their days on the job reduced.

264
00:13:14,233 --> 00:13:15,233
That's just a fact.

265
00:13:15,233 --> 00:13:17,766
And the impact on the overall
economy, that is an established,

266
00:13:17,767 --> 00:13:23,500
predicted fact by outside
economists as well as the CBO.

267
00:13:23,500 --> 00:13:26,433
There's no way to do what the
sequester calls for and not

268
00:13:26,433 --> 00:13:30,667
create these negative effects.

269
00:13:30,667 --> 00:13:34,166
There are just numerous examples
already of what's going

270
00:13:34,166 --> 00:13:35,166
to happen.

271
00:13:35,166 --> 00:13:36,934
The Department of Defense has
informed Congress it will have

272
00:13:36,934 --> 00:13:41,132
to furlough 750,000 workers, and
the Navy has told Virginia it

273
00:13:41,133 --> 00:13:43,633
will have to cancel
maintenance on 11 ships.

274
00:13:43,633 --> 00:13:46,533
The Army has begun curtailing
training for all units except

275
00:13:46,533 --> 00:13:48,133
those deploying to Afghanistan.

276
00:13:48,133 --> 00:13:51,867
The Department of Justice
transmitted approximately

277
00:13:51,867 --> 00:13:56,533
115,000 furlough notices
to all DOJ employees.

278
00:13:56,533 --> 00:13:58,934
General Dynamics NASSCO,
a major ship design,

279
00:13:58,934 --> 00:14:03,165
construction and repair company,
mailed warn letters to about

280
00:14:03,166 --> 00:14:06,266
1,040 employees in San
Diego, Norfolk and Mayport,

281
00:14:06,266 --> 00:14:09,433
informing them that they could
be indefinitely laid off in

282
00:14:09,433 --> 00:14:11,633
April -- at the end of
April through the summer,

283
00:14:11,633 --> 00:14:13,767
due to the possible cancellation
or delay of maintenance and

284
00:14:13,767 --> 00:14:19,266
repair work and uncertainty
created by sequestration.

285
00:14:19,266 --> 00:14:20,266
These are the examples.

286
00:14:20,266 --> 00:14:24,165
And I would refer you to the
different agencies about how

287
00:14:24,166 --> 00:14:27,734
they'll be felt and who --
which individuals will be

288
00:14:27,734 --> 00:14:29,500
harmed by them.

289
00:14:29,500 --> 00:14:34,667
On the issue of the
janitors, it is --

290
00:14:34,667 --> 00:14:39,333
if you work for an hourly
wage, and you earn overtime,

291
00:14:39,333 --> 00:14:43,699
and you depend on that
overtime to make ends meet,

292
00:14:43,700 --> 00:14:46,567
it is simply a fact that a
reduction in overtime is a

293
00:14:46,567 --> 00:14:48,633
reduction in your pay.

294
00:14:48,633 --> 00:14:51,533
Now, obviously there
are some folks who --

295
00:14:51,533 --> 00:14:54,934
for whom working hourly is a
distant memory if it's a memory

296
00:14:54,934 --> 00:14:59,033
at all, but that's a fact, and
it's a fact for many families.

297
00:14:59,033 --> 00:15:00,166
The Press:
Jay?

298
00:15:00,166 --> 00:15:01,533
Mr. Carney:
Yes, Major.

299
00:15:01,533 --> 00:15:04,834
The Press:
One question on the flexibility
issue that's arising as House

300
00:15:04,834 --> 00:15:06,699
Republicans draft their
continuing resolution --

301
00:15:06,700 --> 00:15:09,333
to what degree is the
administration interested in

302
00:15:09,333 --> 00:15:11,867
negotiating over flexibility
for the defense side of this,

303
00:15:11,867 --> 00:15:15,033
which appears to be House
Republicans' central focus as

304
00:15:15,033 --> 00:15:18,100
they craft this amendment
onto a rather standard

305
00:15:18,100 --> 00:15:20,033
continuing resolution?

306
00:15:20,033 --> 00:15:24,233
Mr. Carney:
Well, I would like to wait
to see what Congress produces.

307
00:15:24,233 --> 00:15:26,233
As Gene Sperling said
over the weekend,

308
00:15:26,233 --> 00:15:30,967
we want to see something that is
practical and nonpolitical and

309
00:15:30,967 --> 00:15:33,400
consistent with the levels
established in the Budget

310
00:15:33,400 --> 00:15:36,632
Control Act that both parties
agreed to overwhelmingly.

311
00:15:36,633 --> 00:15:42,967
I'm not going to analyze
hypothetical actions that

312
00:15:42,967 --> 00:15:44,900
they may take.

313
00:15:44,900 --> 00:15:47,199
We'll have to see
what they produce.

314
00:15:47,200 --> 00:15:48,200
The Press:
All right.

315
00:15:48,200 --> 00:15:52,166
On Iran, is there any thought
being given here at the White

316
00:15:52,166 --> 00:15:56,000
House of canceling the
President's trip to Israel

317
00:15:56,000 --> 00:15:58,200
because there is not a
government formed yet under

318
00:15:58,200 --> 00:15:59,867
Prime Minister Netanyahu?

319
00:15:59,867 --> 00:16:02,000
Mr. Carney:
We have no scheduling
changes to announce.

320
00:16:02,000 --> 00:16:04,500
The President is looking
forward to, very much,

321
00:16:04,500 --> 00:16:07,633
his trip to Israel
and the region,

322
00:16:07,633 --> 00:16:10,233
and we're on course
planning that trip.

323
00:16:10,233 --> 00:16:11,867
Mr. Carney:
There were developments
over the weekend --

324
00:16:11,867 --> 00:16:15,533
announcements from Iran about
3,000 centrifuges at Natanz,

325
00:16:15,533 --> 00:16:18,700
the IAEA report saying that they
can no longer say categorically

326
00:16:18,700 --> 00:16:21,800
that all of the research
and development is for

327
00:16:21,800 --> 00:16:22,800
peaceful uses.

328
00:16:22,800 --> 00:16:25,467
And Prime Minister Netanyahu
just told AIPAC a few moments

329
00:16:25,467 --> 00:16:28,433
ago Iran is getting closer,
sanctions haven't worked,

330
00:16:28,433 --> 00:16:31,467
and the red line time is
getting -- drawing near.

331
00:16:31,467 --> 00:16:34,800
I'd like to get your evaluation
of all those developments on

332
00:16:34,800 --> 00:16:37,199
this front over the weekend.

333
00:16:37,200 --> 00:16:39,934
Mr. Carney:
There is no question, as
we've said many times,

334
00:16:39,934 --> 00:16:45,367
that the window of opportunity
for Iran will not remain

335
00:16:45,367 --> 00:16:47,934
open indefinitely.

336
00:16:47,934 --> 00:16:53,367
There is opportunity here for
Tehran to give up its nuclear

337
00:16:53,367 --> 00:16:57,766
weapons ambitions, to comply
with U.N. Security Council

338
00:16:57,767 --> 00:17:01,767
resolutions, to get right with
the international community and

339
00:17:01,767 --> 00:17:08,467
thereby rejoin the international
community and end its isolation

340
00:17:08,467 --> 00:17:10,600
from the world because
of its behavior.

341
00:17:10,599 --> 00:17:16,265
But that period of opportunity,
as the President has said and as

342
00:17:16,266 --> 00:17:19,467
others have said,
will not last forever.

343
00:17:19,467 --> 00:17:25,734
And our policy is founded upon
the goal that Iran will not

344
00:17:25,733 --> 00:17:29,000
acquire a nuclear weapon, and
the President is very serious

345
00:17:29,000 --> 00:17:30,000
about that.

346
00:17:30,000 --> 00:17:33,266
The Press:
Would you characterize Iran's
reaction to the softened

347
00:17:33,266 --> 00:17:34,233
negotiating offer that
the P5-plus-1 just made --

348
00:17:34,233 --> 00:17:40,966
rebuffed it entirely
-- this new --

349
00:17:40,967 --> 00:17:42,233
Prime Minister
Netanyahu's point --

350
00:17:42,233 --> 00:17:46,500
even when there is an effort to
delay or soften the conditions

351
00:17:46,500 --> 00:17:49,367
set before, Iran
responds with nothing.

352
00:17:49,367 --> 00:17:52,934
And his point is technologically
they're getting closer.

353
00:17:52,934 --> 00:17:54,700
I know this is a sort
of catchphrase --

354
00:17:54,700 --> 00:17:56,734
the window is not going to
remain open indefinitely --

355
00:17:56,734 --> 00:18:00,567
but the point seems to be, is it
closing and are we getting to a

356
00:18:00,567 --> 00:18:03,400
point where this issue has to be
resolved one way or the other,

357
00:18:03,400 --> 00:18:06,000
either through military
means or some other means?

358
00:18:06,000 --> 00:18:07,900
Mr. Carney:
Well, we take no
option off the table,

359
00:18:07,900 --> 00:18:09,100
including the military option.

360
00:18:09,100 --> 00:18:10,766
That's a point the President
has made repeatedly, A.

361
00:18:10,767 --> 00:18:18,066
B, there is no question
that the window, the door,

362
00:18:18,066 --> 00:18:25,233
the period of opportunity here
will not last forever and that

363
00:18:25,233 --> 00:18:27,000
the more that Iran flouts --

364
00:18:27,000 --> 00:18:28,166
The Press:
It can't last forever,
that's obvious.

365
00:18:28,166 --> 00:18:30,100
What I'm trying to get
at is, is it getting --

366
00:18:30,100 --> 00:18:32,265
are we getting to a point where
decisions have to be made

367
00:18:32,266 --> 00:18:33,133
very soon?

368
00:18:33,133 --> 00:18:35,266
Mr. Carney:
There's no question -- well, I
won't characterize a timeframe

369
00:18:35,266 --> 00:18:38,500
here, but there is no question
that as Iran continues to flout

370
00:18:38,500 --> 00:18:43,133
its responsibilities, as it
continues to take seriously the

371
00:18:43,133 --> 00:18:46,700
insistence of the international
community and fails to produce

372
00:18:46,700 --> 00:18:52,033
tangible progress
in P5-plus-1 talks,

373
00:18:52,033 --> 00:18:55,000
that its opportunities to get
right with the international

374
00:18:55,000 --> 00:19:00,600
community diminish, as does
the timeframe in which they

375
00:19:00,600 --> 00:19:01,600
can do that.

376
00:19:01,600 --> 00:19:03,132
But I'm not going to
put a date certain --

377
00:19:03,133 --> 00:19:04,133
an end date certain.

378
00:19:04,133 --> 00:19:07,133
Obviously, there's a lot
upon which that depends.

379
00:19:07,133 --> 00:19:08,166
Ed.

380
00:19:08,166 --> 00:19:09,899
The Press:
Jay, one of the President's
top nominees, John Brennan,

381
00:19:09,900 --> 00:19:12,934
for the CIA, faces a committee
vote tomorrow, I believe.

382
00:19:12,934 --> 00:19:17,033
As you know, there have been
lawmakers pushing for copies of

383
00:19:17,033 --> 00:19:21,132
these memos that show the legal
underpinnings for the use

384
00:19:21,133 --> 00:19:22,433
of drone strikes.

385
00:19:22,433 --> 00:19:24,533
Is the administration
willing to share those memos

386
00:19:24,533 --> 00:19:27,500
with lawmakers?

387
00:19:27,500 --> 00:19:33,133
Mr. Carney:
We have, as you know, taken
action to share advice from OLC

388
00:19:33,133 --> 00:19:36,300
to the relevant
committee members.

389
00:19:36,300 --> 00:19:41,133
We are working with the
committee to provide information

390
00:19:41,133 --> 00:19:44,400
that is consistent
with their requests,

391
00:19:44,400 --> 00:19:49,000
but obviously mindful of all the
national security issues that

392
00:19:49,000 --> 00:19:51,033
are at stake in a
situation like this.

393
00:19:51,033 --> 00:19:55,734
And we look forward to John
Brennan being confirmed --

394
00:19:55,734 --> 00:19:57,934
passed out of committee and then
confirmed by the Senate to be

395
00:19:57,934 --> 00:19:59,033
the next CIA director.

396
00:19:59,033 --> 00:20:03,800
He is extraordinarily qualified
for the position and he needs to

397
00:20:03,800 --> 00:20:04,800
get on the job.

398
00:20:04,800 --> 00:20:06,166
The Press:
I understand that you've
shared, as you say,

399
00:20:06,166 --> 00:20:08,332
the Office of Legal
Counsel advice on it.

400
00:20:08,333 --> 00:20:11,667
But do you think the nomination
can get through without the

401
00:20:11,667 --> 00:20:14,833
actual memos being
shown to lawmakers?

402
00:20:14,834 --> 00:20:18,433
Mr. Carney:
Ed, I can't get into a lot
of detail about these issues.

403
00:20:18,433 --> 00:20:19,667
We're working with
the committee.

404
00:20:19,667 --> 00:20:24,533
We have taken extraordinary
measures in a unique situation

405
00:20:24,533 --> 00:20:27,567
to be forthcoming
with information.

406
00:20:27,567 --> 00:20:30,066
And we are continuing to work
with the committee to meet

407
00:20:30,066 --> 00:20:31,367
their concerns.

408
00:20:31,367 --> 00:20:34,500
The Press:
Two other quick things.

409
00:20:34,500 --> 00:20:38,467
More than a week has passed
since the initial reports

410
00:20:38,467 --> 00:20:40,467
suggesting that some of the
President's outside advisors

411
00:20:40,467 --> 00:20:43,033
were offering access to him
for a $500,000 contribution to

412
00:20:43,033 --> 00:20:45,600
Organizing for Action, this
outside group that is at least

413
00:20:45,600 --> 00:20:48,433
connected with the President and
his former campaign aides like

414
00:20:48,433 --> 00:20:49,433
Jim Messina.

415
00:20:49,433 --> 00:20:51,133
My question is groups
like Common Cause,

416
00:20:51,133 --> 00:20:55,633
which are usually not very
friendly to the President's

417
00:20:55,633 --> 00:20:59,000
opposition, shall we say, has
said that this group should be

418
00:20:59,000 --> 00:21:00,567
shut down altogether.

419
00:21:00,567 --> 00:21:02,934
Can you give us any idea whether
the President thinks that's a

420
00:21:02,934 --> 00:21:03,934
good idea?

421
00:21:03,934 --> 00:21:06,133
Is he concerned about
the perception out there?

422
00:21:06,133 --> 00:21:09,200
Are you trying to push back
on the idea that they will get

423
00:21:09,200 --> 00:21:10,834
access for $500,000?

424
00:21:10,834 --> 00:21:12,700
Mr. Carney:
Well, I think I pushed back
on it and I'll push back on

425
00:21:12,700 --> 00:21:13,667
it again.

426
00:21:13,667 --> 00:21:15,399
Any notion that there is a set
price for a meeting with the

427
00:21:15,400 --> 00:21:17,734
President of the United
States is just wrong.

428
00:21:17,734 --> 00:21:20,399
As you know, Organizing for
Action was set up to promote the

429
00:21:20,400 --> 00:21:22,033
President's public
policy agenda.

430
00:21:22,033 --> 00:21:24,166
Therefore, as
anyone would expect,

431
00:21:24,166 --> 00:21:26,633
the President would likely meet
with their representatives to

432
00:21:26,633 --> 00:21:28,266
discuss his agenda.

433
00:21:28,266 --> 00:21:30,967
But again, any notion that
there's a price for meeting with

434
00:21:30,967 --> 00:21:32,800
the President is simply wrong.

435
00:21:32,800 --> 00:21:35,133
I would send specific questions
about how they do their

436
00:21:35,133 --> 00:21:38,133
fundraising to the organization.

437
00:21:38,133 --> 00:21:40,133
But it is worth knowing that
they are going beyond what is

438
00:21:40,133 --> 00:21:42,967
required by disclosing donors
and not accepting any funds

439
00:21:42,967 --> 00:21:43,967
from lobbyists.

440
00:21:43,967 --> 00:21:47,734
The bottom line here is that
this is a separate organization,

441
00:21:47,734 --> 00:21:51,000
as we've noted, the existence of
which is perfectly appropriate.

442
00:21:51,000 --> 00:21:54,967
And the White House will engage
with it consistent with the way

443
00:21:54,967 --> 00:21:59,233
we engage with a whole host of
other outside constituencies.

444
00:21:59,233 --> 00:22:02,033
The Press:
But basically, people could
still give money to this outside

445
00:22:02,033 --> 00:22:05,000
group as long as it's not
directly attached to access.

446
00:22:05,000 --> 00:22:07,100
You've got nothing to do with
the money that's going in there.

447
00:22:07,100 --> 00:22:09,199
Mr. Carney:
The White House sets the
President's schedule.

448
00:22:09,200 --> 00:22:11,667
And there is no price to
meet with the President.

449
00:22:11,667 --> 00:22:15,734
Organizations have fundraising.

450
00:22:15,734 --> 00:22:20,399
They raise money and this one
has committed to disclosing its

451
00:22:20,400 --> 00:22:21,433
fundraising activities.

452
00:22:21,433 --> 00:22:23,333
But I would refer you to
them for more on that.

453
00:22:23,333 --> 00:22:24,333
The Press:
The last thing, on sequester.

454
00:22:24,333 --> 00:22:26,400
At the top of this you said
something to the effect of

455
00:22:26,400 --> 00:22:29,734
Republicans made a choice here
to let these sequester cuts go

456
00:22:29,734 --> 00:22:32,433
through, the context of it.

457
00:22:32,433 --> 00:22:34,200
The President has made
choices as well, obviously,

458
00:22:34,200 --> 00:22:37,166
including the fact that his own
staff came up with the idea

459
00:22:37,166 --> 00:22:38,332
for sequester.

460
00:22:38,333 --> 00:22:40,633
I understand Republicans ended
up voting for it and they bear

461
00:22:40,633 --> 00:22:42,967
some responsibility here as
well it needs to be said.

462
00:22:42,967 --> 00:22:46,533
However, does anyone here at the
White House regret the fact that

463
00:22:46,533 --> 00:22:48,934
people inside this White House
came up with this idea in

464
00:22:48,934 --> 00:22:50,700
the first place?

465
00:22:50,700 --> 00:22:54,633
Mr. Carney:
Well, Senator Gramm and Rudman
came up with the idea back in

466
00:22:54,633 --> 00:22:55,633
the 1980s.

467
00:22:55,633 --> 00:22:57,500
The Press:
They've been out of
power a long time.

468
00:22:57,500 --> 00:23:02,200
Mr. Carney:
And let's be clear -- and those
who were on the inside and those

469
00:23:02,200 --> 00:23:05,734
of you who covered it closely
will remember that Republicans

470
00:23:05,734 --> 00:23:08,632
were pushing for a trigger,
a hard trigger as part of the

471
00:23:08,633 --> 00:23:12,400
negotiations to avert a default.

472
00:23:12,400 --> 00:23:15,600
The White House proposed
numerous triggers that

473
00:23:15,600 --> 00:23:18,033
included revenues.

474
00:23:18,033 --> 00:23:20,500
Republicans
absolutely, adamantly,

475
00:23:20,500 --> 00:23:24,900
categorically refused to include
revenues in the triggers,

476
00:23:24,900 --> 00:23:28,967
a position that
may sound familiar.

477
00:23:28,967 --> 00:23:34,800
They insisted on a
spending-cut-only trigger.

478
00:23:34,800 --> 00:23:36,033
That is what sequester is.

479
00:23:36,033 --> 00:23:39,132
It is a spending-cut-only
trigger.

480
00:23:39,133 --> 00:23:41,367
The fact that it's called that
was because that's what it was

481
00:23:41,367 --> 00:23:44,966
called back in the 1980s under
the deficit reduction package

482
00:23:44,967 --> 00:23:49,000
known as Gramm-Rudman-Hollings
that President Reagan signed

483
00:23:49,000 --> 00:23:52,533
when they had a trigger, a
spending-cuts-only trigger that

484
00:23:52,533 --> 00:23:54,466
was evenly divided between
defense spending and

485
00:23:54,467 --> 00:23:55,467
nondefense spending.

486
00:23:55,467 --> 00:23:59,000
And it's true that that was
put on the table as part of the

487
00:23:59,000 --> 00:24:01,767
demand for a spending-cuts-only
trigger that "let's do it the

488
00:24:01,767 --> 00:24:05,233
"way they did it back
under President Reagan,"

489
00:24:05,233 --> 00:24:07,066
our team said to Republicans,
thinking that might

490
00:24:07,066 --> 00:24:08,266
be appealing.

491
00:24:08,266 --> 00:24:11,867
And it was so appealing that
John Boehner said he got 98% of

492
00:24:11,867 --> 00:24:12,867
what he wanted.

493
00:24:12,867 --> 00:24:16,233
Every House Republican leader
voted for it enthusiastically,

494
00:24:16,233 --> 00:24:20,667
and Speaker Boehner said he was
pretty pleased with the outcome.

495
00:24:20,667 --> 00:24:24,966
So this is all
pretty irrelevant.

496
00:24:24,967 --> 00:24:28,934
What is relevant is that it was
never supposed to be policy,

497
00:24:28,934 --> 00:24:33,466
and Republicans themselves on
so many occasions that I'm sure

498
00:24:33,467 --> 00:24:37,567
we've all lost count said that
we had to do everything we can

499
00:24:37,567 --> 00:24:40,300
to avert sequester, that it
would be enormously damaging.

500
00:24:40,300 --> 00:24:42,433
Speaker Boehner just a few weeks
ago in the Wall Street Journal

501
00:24:42,433 --> 00:24:45,667
said it would do harm to our
national defense and would cost

502
00:24:45,667 --> 00:24:46,734
thousands of jobs.

503
00:24:46,734 --> 00:24:47,899
And he's right.

504
00:24:47,900 --> 00:24:51,667
So it was a choice to allow
sequester to take effect rather

505
00:24:51,667 --> 00:24:53,867
than embrace the idea that
the American people strongly

506
00:24:53,867 --> 00:24:56,834
embrace, that a majority of
Republicans strongly embrace out

507
00:24:56,834 --> 00:24:59,633
in the country, which is that
we can close a few loopholes for

508
00:24:59,633 --> 00:25:04,433
the wealthy and well-connected,
cap a few deductions,

509
00:25:04,433 --> 00:25:07,300
and achieve balanced deficit
reduction in a way that would

510
00:25:07,300 --> 00:25:08,867
eliminate the
sequester entirely.

511
00:25:08,867 --> 00:25:10,300
Let's just do that.

512
00:25:10,300 --> 00:25:14,600
Let's do that and Republicans
can say that they achieved some

513
00:25:14,600 --> 00:25:19,433
very important goals that are
elemental to Republican and

514
00:25:19,433 --> 00:25:22,166
conservative philosophy, which
is we need deficit reduction,

515
00:25:22,166 --> 00:25:26,899
we need entitlement reform
-- and the President says,

516
00:25:26,900 --> 00:25:28,533
I'll meet you halfway
towards that --

517
00:25:28,533 --> 00:25:30,867
and we need tax reform
and we'll do that.

518
00:25:30,867 --> 00:25:34,033
So let's do it in a
bipartisan, balanced way.

519
00:25:34,033 --> 00:25:35,632
Jon, then Peter.

520
00:25:35,633 --> 00:25:39,066
The Press:
Jay, how big a priority -- how
high a priority is it for the

521
00:25:39,066 --> 00:25:41,967
President to win back the
House of Representatives with

522
00:25:41,967 --> 00:25:42,967
the Democrats?

523
00:25:42,967 --> 00:25:45,900
Mr. Carney:
Well, he's obviously interested
in the success of Democrats.

524
00:25:45,900 --> 00:25:51,133
But I noted the story that
probably prompted your question,

525
00:25:51,133 --> 00:25:55,467
and I think it goes without
saying that the President wants

526
00:25:55,467 --> 00:25:59,300
those in his party to do well,
but it is not a focus of his

527
00:25:59,300 --> 00:26:01,133
particularly at this point.

528
00:26:01,133 --> 00:26:07,333
He is focused on trying to get a
bipartisan consensus around some

529
00:26:07,333 --> 00:26:10,800
very important
policy objectives:

530
00:26:10,800 --> 00:26:13,600
balanced deficit reduction
that helps our economy grow and

531
00:26:13,600 --> 00:26:17,100
create jobs; comprehensive
immigration reform that helps

532
00:26:17,100 --> 00:26:20,734
our economy and
the middle class;

533
00:26:20,734 --> 00:26:22,934
common-sense measures that
reduce gun violence in this

534
00:26:22,934 --> 00:26:27,500
country; investments in clean
energy technology that help

535
00:26:27,500 --> 00:26:30,800
build industries here in this
country and help deal with

536
00:26:30,800 --> 00:26:32,332
climate change for the future.

537
00:26:32,333 --> 00:26:35,767
So that's what he's
focused on right now.

538
00:26:35,767 --> 00:26:39,333
The Press:
Does he agree with the head of
the Democratic House Campaign

539
00:26:39,333 --> 00:26:42,300
Committee who said, the
President understands --

540
00:26:42,300 --> 00:26:45,066
and he said this was based on a
conversation with the President

541
00:26:45,066 --> 00:26:47,633
-- the President understands
that to get anything done we

542
00:26:47,633 --> 00:26:49,333
need to get a Democratic
majority in the House

543
00:26:49,333 --> 00:26:50,500
of Representatives?

544
00:26:50,500 --> 00:26:52,133
Mr. Carney:
Well, the President
certainly believes that,

545
00:26:52,133 --> 00:26:55,100
as other Presidents
before him have believed,

546
00:26:55,100 --> 00:26:58,065
that it is easier sometimes to
enact your agenda when you have

547
00:26:58,066 --> 00:27:00,467
more members of your
party in Congress.

548
00:27:00,467 --> 00:27:02,500
But it is also the
President's belief,

549
00:27:02,500 --> 00:27:04,767
and it is established in
fact in recent history,

550
00:27:04,767 --> 00:27:09,133
that you can achieve important
policy objectives with divided

551
00:27:09,133 --> 00:27:12,767
government, with, in his case,
Republican leadership in the

552
00:27:12,767 --> 00:27:15,800
House and Republican
semi-control in the Senate

553
00:27:15,800 --> 00:27:17,000
through the filibuster.

554
00:27:17,000 --> 00:27:20,433
And that's what he's done, and
he hopes to continue to do that.

555
00:27:20,433 --> 00:27:23,266
I mean, we're talking here about
opportunities on immigration

556
00:27:23,266 --> 00:27:26,133
reform and other issues,
including balanced deficit

557
00:27:26,133 --> 00:27:28,934
reduction, that require
bipartisan support.

558
00:27:28,934 --> 00:27:33,834
And based on what we know in
terms of the progress the Gang

559
00:27:33,834 --> 00:27:36,734
of Eight is making, or the
progress that's being made in

560
00:27:36,734 --> 00:27:38,567
moving forward on
reducing gun violence,

561
00:27:38,567 --> 00:27:41,600
and the progress that is
represented by the voices of

562
00:27:41,600 --> 00:27:44,300
those Republicans who say they
embrace what the majority of the

563
00:27:44,300 --> 00:27:46,834
country embraces, and they
embrace what the majority of

564
00:27:46,834 --> 00:27:50,600
Republicans embrace when it
comes to deficit reduction,

565
00:27:50,600 --> 00:27:52,433
that we can do these things.

566
00:27:52,433 --> 00:27:54,934
And the President --
that's what his focus is.

567
00:27:54,934 --> 00:27:57,133
The Press:
To the Republicans who say
that the President is --

568
00:27:57,133 --> 00:27:59,400
they're worried the President
going into any one of those

569
00:27:59,400 --> 00:28:02,367
issues you just mentioned, going
into this not necessarily to get

570
00:28:02,367 --> 00:28:05,899
anything done but to position
himself to have a better run at

571
00:28:05,900 --> 00:28:09,100
the mid-term elections, I mean,
just to quote Steve Israel

572
00:28:09,100 --> 00:28:13,567
again, "to have a legacy in 2016
he will need a House majority in

573
00:28:13,567 --> 00:28:16,333
"2014 and it has to start now."

574
00:28:16,333 --> 00:28:19,600
Mr. Carney:
Look, it is just not accurate
that the President doesn't want

575
00:28:19,600 --> 00:28:21,166
these accomplishments.

576
00:28:21,166 --> 00:28:25,833
He is expending great political
capital and energy on the

577
00:28:25,834 --> 00:28:29,800
proposition that he wants
immigration reform done in a

578
00:28:29,800 --> 00:28:32,367
bipartisan way and done early.

579
00:28:32,367 --> 00:28:38,233
That's why he has pushed so hard
for the Senate to move forward

580
00:28:38,233 --> 00:28:39,466
in its efforts.

581
00:28:39,467 --> 00:28:42,333
That's why he has pushed on
gun violence measures and put

582
00:28:42,333 --> 00:28:46,767
forward a comprehensive
package so early in his --

583
00:28:46,767 --> 00:28:48,033
the first year of
his second term.

584
00:28:48,033 --> 00:28:51,065
And that's why he continues to
have on the table the offer that

585
00:28:51,066 --> 00:28:54,233
he made to Speaker Boehner
when it comes to completing the

586
00:28:54,233 --> 00:28:58,433
$4-trillion job here of deficit
reduction over 10 years that

587
00:28:58,433 --> 00:29:03,166
would help achieve that fiscally
sustainable path that we want

588
00:29:03,166 --> 00:29:05,265
for our economy over
the next decade.

589
00:29:05,266 --> 00:29:11,066
These are things he believes
we can do very soon if

590
00:29:11,066 --> 00:29:13,800
bipartisanship and a spirit
of compromise on behalf of the

591
00:29:13,800 --> 00:29:19,100
American people is
realized on Capitol Hill.

592
00:29:19,100 --> 00:29:21,632
The Press:
So on that offer, I mean, you're
absolutely right that some

593
00:29:21,633 --> 00:29:24,633
prominent Republicans have come
out in recent days and said that

594
00:29:24,633 --> 00:29:28,200
they could live with a plan
that increased tax revenue --

595
00:29:28,200 --> 00:29:31,433
not to replace the sequester,
but as part of kind of a renewed

596
00:29:31,433 --> 00:29:32,500
effort at the grand bargain.

597
00:29:32,500 --> 00:29:34,567
So are we going to
see an effort --

598
00:29:34,567 --> 00:29:36,867
Mr. Carney:
But that would eliminate the
sequester, which the whole --

599
00:29:36,867 --> 00:29:38,066
the whole idea behind the --

600
00:29:38,066 --> 00:29:39,200
The Press:
But it would be bigger
than just eliminate.

601
00:29:39,200 --> 00:29:39,934
You're exactly right.

602
00:29:39,934 --> 00:29:40,667
But it would be bigger.

603
00:29:40,667 --> 00:29:47,500
So will there be an effort to
jumpstart a grand bargain-type

604
00:29:47,500 --> 00:29:51,200
series of talks with Republicans
in the coming weeks or months to

605
00:29:51,200 --> 00:29:52,200
achieve just that?

606
00:29:52,200 --> 00:29:54,934
Mr. Carney:
I'd hesitate to place
labels on things.

607
00:29:54,934 --> 00:29:57,500
I would simply say that the
President is interested in

608
00:29:57,500 --> 00:30:03,066
moving forward on deficit
reduction that pairs the twin

609
00:30:03,066 --> 00:30:07,133
objectives of entitlement reform
and tax reform in the way that

610
00:30:07,133 --> 00:30:10,100
his proposal does, in a
way that is consistent with

611
00:30:10,100 --> 00:30:13,899
Simpson-Bowles and
Domenici-Rivlin and others who

612
00:30:13,900 --> 00:30:16,333
have put forward ideas and
proposals in a bipartisan way.

613
00:30:16,333 --> 00:30:20,100
And it presents an opportunity
for both Republicans and

614
00:30:20,100 --> 00:30:23,399
Democrats to achieve some
important objectives --

615
00:30:23,400 --> 00:30:27,000
objectives that are
important to their parties,

616
00:30:27,000 --> 00:30:31,100
as well as to the country,
and to move forward.

617
00:30:31,100 --> 00:30:32,800
The Press:
So that's what the
weekend calls were about?

618
00:30:32,800 --> 00:30:33,867
The grand bargain, not --

619
00:30:33,867 --> 00:30:36,066
Mr. Carney:
Well, the weekend calls were
about trying to find common

620
00:30:36,066 --> 00:30:39,300
ground on the way to deal with
the sequester and balanced

621
00:30:39,300 --> 00:30:40,367
deficit reduction.

622
00:30:40,367 --> 00:30:41,367
The Press:
The big deal.

623
00:30:41,367 --> 00:30:42,367
Mr. Carney:
But they're linked.

624
00:30:42,367 --> 00:30:44,133
First of all, the big deal
has been partly accomplished.

625
00:30:44,133 --> 00:30:47,000
So when the grand bargain
negotiations began with Speaker

626
00:30:47,000 --> 00:30:49,266
Boehner, the goal
was $4 trillion.

627
00:30:49,266 --> 00:30:51,900
Now we're $2.5 trillion
along that road.

628
00:30:51,900 --> 00:30:55,667
So it may be the
petite bargain --

629
00:30:55,667 --> 00:30:59,699
I guess if you go all French.

630
00:30:59,700 --> 00:31:01,100
(laughter)

631
00:31:01,100 --> 00:31:02,699
The Press:
I'll leave that
entirely to you, Jay.

632
00:31:02,700 --> 00:31:06,500
Mr. Carney:
But seriously, $1.5 trillion
in deficit reduction,

633
00:31:06,500 --> 00:31:10,266
the President's proposal would
achieve $1.8 trillion in further

634
00:31:10,266 --> 00:31:11,834
deficit reduction
in a balanced way.

635
00:31:11,834 --> 00:31:13,734
The Press:
Bowles-Simpson want $2.4
trillion now at this point.

636
00:31:13,734 --> 00:31:15,734
They've moved the goalpost
a little bit to --

637
00:31:15,734 --> 00:31:19,066
Mr. Carney:
There's no question that more
work going forward will need to

638
00:31:19,066 --> 00:31:22,667
be done as we deal with
our fiscal challenges.

639
00:31:22,667 --> 00:31:28,632
But the $4 trillion in deficit
reduction set as a goal by

640
00:31:28,633 --> 00:31:31,900
Speaker Boehner and President
Obama and by many economists on

641
00:31:31,900 --> 00:31:35,700
the inside and outside of
government can be achieved,

642
00:31:35,700 --> 00:31:39,433
and then some, if Republicans
would embrace the President's

643
00:31:39,433 --> 00:31:42,800
compromise proposal that
would do some tough things on

644
00:31:42,800 --> 00:31:46,600
entitlements, as well as
spending and on tax reform.

645
00:31:46,600 --> 00:31:47,766
The Press:
But you understand
the difference.

646
00:31:47,767 --> 00:31:50,000
He's trying to create a
Republican groundswell for grand

647
00:31:50,000 --> 00:31:51,133
bargain talks.

648
00:31:51,133 --> 00:31:56,333
Mr. Carney:
He's just trying to find some
common ground around the basic

649
00:31:56,333 --> 00:32:00,166
common-sense notion that we
can do this in a balanced way

650
00:32:00,166 --> 00:32:04,934
because he knows that
there are significant --

651
00:32:04,934 --> 00:32:08,834
there's a significant amount of
support for that approach around

652
00:32:08,834 --> 00:32:10,133
the country.

653
00:32:10,133 --> 00:32:11,700
April.

654
00:32:11,700 --> 00:32:12,500
Sorry.

655
00:32:12,500 --> 00:32:13,433
Peter, then April.

656
00:32:13,433 --> 00:32:14,233
The Press:
April, that was
kind of, thank you.

657
00:32:14,233 --> 00:32:15,166
The Press:
You're welcome.

658
00:32:15,166 --> 00:32:16,000
The Press:
I'm curious since our time --

659
00:32:16,000 --> 00:32:16,934
Mr. Carney:
Stand up, April.

660
00:32:16,934 --> 00:32:17,934
(laughter)

661
00:32:17,934 --> 00:32:18,899
The Press:
-- since our time with
you is limited right now,

662
00:32:18,900 --> 00:32:21,066
if the President had any
reaction or had a chance to

663
00:32:21,066 --> 00:32:23,834
watch some of the conversations
with Dennis Rodman who just

664
00:32:23,834 --> 00:32:27,767
returned from North Korea, and
if the President believes that

665
00:32:27,767 --> 00:32:31,066
this in some way undermines the
government's efforts in trying

666
00:32:31,066 --> 00:32:33,133
to deal with that country.

667
00:32:33,133 --> 00:32:35,300
Mr. Carney:
Peter, the United States
has direct channels of

668
00:32:35,300 --> 00:32:37,466
communications with the DPRK.

669
00:32:37,467 --> 00:32:41,266
And instead of spending money
on celebrity sporting events to

670
00:32:41,266 --> 00:32:42,867
entertain the elites
of that country,

671
00:32:42,867 --> 00:32:45,332
the North Korean regime should
focus on the well-being of its

672
00:32:45,333 --> 00:32:48,600
own people who have been
starved, imprisoned,

673
00:32:48,600 --> 00:32:50,966
and denied their human rights.

674
00:32:50,967 --> 00:32:53,800
We have urged the North Korean
leadership to heed President

675
00:32:53,800 --> 00:32:56,700
Obama's call to choose the
path of peace and come into

676
00:32:56,700 --> 00:32:59,700
compliance with its
international obligations.

677
00:32:59,700 --> 00:33:03,066
North Korea's actions, however,
directly violate United Nations

678
00:33:03,066 --> 00:33:05,900
Security Council resolutions and
threaten international peace

679
00:33:05,900 --> 00:33:06,934
and security.

680
00:33:06,934 --> 00:33:08,867
The Press:
Dennis Rodman carried a
message from Kim Jong-un.

681
00:33:08,867 --> 00:33:10,367
He said to call.

682
00:33:10,367 --> 00:33:12,066
So does the President
have any intention --

683
00:33:12,066 --> 00:33:13,100
Mr. Carney:
Again, we have --

684
00:33:13,100 --> 00:33:14,800
The Press:
What did he make of -- what did
he make of Dennis Rodman being

685
00:33:14,800 --> 00:33:16,633
the ambassador to North Korea?

686
00:33:16,633 --> 00:33:21,500
Mr. Carney:
I don't have a readout specific
to the President to give to you.

687
00:33:21,500 --> 00:33:25,433
I think that what I just said
makes clear that North Korea

688
00:33:25,433 --> 00:33:28,066
ought to be focusing on its own
citizens and opportunities to

689
00:33:28,066 --> 00:33:30,033
improve their lives.

690
00:33:30,033 --> 00:33:33,699
And the United States has
channels of communications

691
00:33:33,700 --> 00:33:36,100
directly with the DPRK and those
are the channels we choose

692
00:33:36,100 --> 00:33:37,332
to employ.

693
00:33:37,333 --> 00:33:38,133
April.

694
00:33:38,133 --> 00:33:41,233
The Press:
Jay, I want to go back to
sequestration and then to

695
00:33:41,233 --> 00:33:43,367
something with Mitt Romney.

696
00:33:43,367 --> 00:33:46,567
You said sequestration will
have serious consequences.

697
00:33:46,567 --> 00:33:49,533
With that, what is the estimated
number of Americans who will

698
00:33:49,533 --> 00:33:54,033
fall out of the middle-class
status because of sequestration?

699
00:33:54,033 --> 00:33:56,833
Mr. Carney:
Well, I don't have
that breakdown.

700
00:33:56,834 --> 00:34:01,066
You may look at what -- some of
the analysis that has been done

701
00:34:01,066 --> 00:34:03,934
by outside economic
organizations like Moody's and

702
00:34:03,934 --> 00:34:05,166
Macroeconomics Advisers.

703
00:34:05,166 --> 00:34:06,833
But I'm not sure if they
break it down that way.

704
00:34:06,834 --> 00:34:11,600
Certainly, if 750,000
Americans lose their jobs,

705
00:34:11,600 --> 00:34:15,866
that could have an effect on
the size of the middle class.

706
00:34:15,867 --> 00:34:20,600
And that would be highly
counterproductive to the stated

707
00:34:20,600 --> 00:34:23,600
objectives of both
parties in Washington.

708
00:34:23,600 --> 00:34:28,600
Shaving half a percentage point
off our GDP growth would be

709
00:34:28,600 --> 00:34:31,433
hugely harmful and would
have ripple effects.

710
00:34:31,433 --> 00:34:35,567
There are jobs that we will know
are specifically affected by the

711
00:34:35,567 --> 00:34:40,934
sequester in our defense
industries and other areas that

712
00:34:40,934 --> 00:34:45,700
are directly linked
to federal funding.

713
00:34:45,699 --> 00:34:49,600
But then, there will be the jobs
that are lost or not created

714
00:34:49,600 --> 00:34:53,000
because the sequester
goes into effect --

715
00:34:53,000 --> 00:34:55,300
around businesses that close --
small businesses that close or

716
00:34:55,300 --> 00:34:59,100
cut back, support services
around them whether they're

717
00:34:59,100 --> 00:35:01,433
restaurants or
barbershops and the like,

718
00:35:01,433 --> 00:35:04,233
that are affected and don't hire
a new worker because there are

719
00:35:04,233 --> 00:35:07,700
fewer patronizing
their businesses.

720
00:35:07,700 --> 00:35:10,567
And that's the shame
of all of this,

721
00:35:10,567 --> 00:35:14,367
is that there will be so many
regular Americans who will be

722
00:35:14,367 --> 00:35:19,467
negatively affected by this
wholly unnecessary imposition of

723
00:35:19,467 --> 00:35:20,467
the sequester.

724
00:35:20,467 --> 00:35:22,567
The Press:
And the next question
really fast --

725
00:35:22,567 --> 00:35:25,633
what do you say about Mitt
Romney's revelation that was

726
00:35:25,633 --> 00:35:28,933
televised last night that he
did not win the state of Ohio

727
00:35:28,934 --> 00:35:32,166
because he failed to attract the
black and Hispanic vote with his

728
00:35:32,166 --> 00:35:34,834
"47%" comment?

729
00:35:34,834 --> 00:35:38,200
Mr. Carney:
I actually confess
that I didn't see that.

730
00:35:38,200 --> 00:35:41,332
I would simply say that
Mitt Romney didn't win Ohio.

731
00:35:41,333 --> 00:35:42,333
(laughter)

732
00:35:42,333 --> 00:35:46,834
Donovan.

733
00:35:46,834 --> 00:35:51,600
The Press:
George Will said, "I will do
many things for my country and

734
00:35:51,600 --> 00:35:52,767
"my profession.

735
00:35:52,767 --> 00:35:56,533
"I will not take
seriously Mr. Carney."

736
00:35:56,533 --> 00:35:57,767
Mr. Carney:
It's funny.

737
00:35:57,767 --> 00:35:58,433
I did see that.

738
00:35:58,433 --> 00:35:59,200
It's funny you raised that.

739
00:35:59,200 --> 00:36:00,332
(laughter)

740
00:36:00,333 --> 00:36:01,500
I love the structure
of the sentence.

741
00:36:01,500 --> 00:36:03,367
It's very George Will-ian.

742
00:36:03,367 --> 00:36:05,467
But I have a lot of
respect for George Will.

743
00:36:05,467 --> 00:36:07,667
I've been on the panel on "This
Week" with him many times in my

744
00:36:07,667 --> 00:36:09,200
previous life.

745
00:36:09,200 --> 00:36:12,232
I think he is a very smart guy.

746
00:36:12,233 --> 00:36:15,133
And despite the fact that a few
days before the election I think

747
00:36:15,133 --> 00:36:18,866
he predicted a Romney landslide
very confidently on television

748
00:36:18,867 --> 00:36:25,133
-- 321-217 over the President --
built on a victory in Minnesota,

749
00:36:25,133 --> 00:36:27,667
which the President ended up
winning by more than 7%, I will

750
00:36:27,667 --> 00:36:29,866
continue to take
George Will seriously.

751
00:36:29,867 --> 00:36:31,734
(laughter)

752
00:36:31,734 --> 00:36:32,900
Thanks a lot.