All in with Chris Hayes, Transcript 3/9/2017

Guests:
Steve King, Leonard Lance, Karen Bass
Transcript:

Show: All in with Chris Hayes
Date: March 9, 2017
Guest: Steve King, Leonard Lance, Karen Bass

CHRIS MATTHEWS, MSNBC HARDBALL HOST: Purpose of undermining our public
institutions. These questions are not rhetorical sadly they are obvious,
that smile of Trump`s tells you the answer. He`s dancing with the one that
brung him and doesn`t mind a lick, that we know it. That`s HARDBALL for
now. “ALL IN” with Chris Hayes starts right now.

CHRIS HAYES, MSNBC ALL IN HOST: Tonight on ALL IN.

(END VIDEOTAPE)

DONALD TRUMP, UNITED STATES PRESIDENT: This will be a plan where you can
choose your plan. And you know what the plan is? This is the plan.

HAYES: The hard sell gets harder.

SEAN SPICER, WHITE HOUSE PRESS SECRETARY: We`re not jamming this down
people`s throats.

HAYES: As the Republican calls to slow down and start over mount,
Trumpcare, takes two steps forward in the dark of night.

PAUL RYAN, UNITED STATES HOUSE OF REPRESENTATIVES SPEAKER: The closest we
will ever get to repealing and replacing Obamacare.

HAYES: Tonight, are staunch conservatives starting to wobble? Plus -

MICHAEL FLYNN, FORMER NATIONAL SECURITY ADVISOR: Crooked Hillary Clinton,
leave this race now!

HAYES: The stunning news that Michael Flynn was a literal foreign agent
while he was working to elect Donald Trump.

SPICER: I don`t believe that that was known.

HAYES: Was the Trump campaign guilty of pay for play?

TRUMP: It`s called pay for play.

HAYES: And never mind Bannon, Miller, and Flynn.

UNIDENTIFIED MALE: The era of the pajama boy is over. And the alpha males
are back.

HAYES: From dozens of lobbyists, to professional survivalists.

UNIDENTIFIED MALE: Prep-ers would smash it up.

HAYES: Propublica`s exhaustive new report of the 400 Trump hires you`ve
never heard of, when ALL IN starts, right now.

(END VIDEOTAPE)

HAYES: Good evening from New York. I`m Chris Hayes. Republicans today,
continued their shock-and-awe strategy to slam Trumpcare through Congress,
today. Despite massive pushback, the approach is getting results for now.

(BEGIN VIDEO CLIP)

RYAN: This is the closest we will ever get to repealing and replacing
Obamacare. The time is here, the time is now. This is the moment, and
this is the closest this will ever happen.

(END VIDEO CLIP)

HAYES: When Paul Ryan says the time is now, he is not kidding. Trumpcare
proponents are rushing headlong to pass the bill through Congress at an
unprecedented pace. Prompting objections, even from many Republicans,
among them Senator. Tom Cotton who tweeted today, “too my friends in
House, pause, start over, get it right, don`t get it fast.”

(BEGIN VIDEO CLIP)

TOM COTTON, UNITED STATES SENAOR FROM ARKANSAS: Senator McConnell and
every other Senator is well aware of where I stand, and frankly, where many
Republican Senators stand who are troubled by the breakneck pace at which
the House is operating. And the fact, that this bill as written today,
simply would not pass the Senate.

(END VIDEO CLIP)

HAYES: In 2009, the passage of Obamacare took more than a year - a time
frame that was far too fast for Republicans who complained the law was
being, as they liked to say, jammed down their throats.

(BEGIN VIDEO CLIP)

MITCH MCCONNELL, UNITED STATES SENATOR FROM KENTUCKY: We`re being told, we
must rush to pass this legislation.

UNIDENTIFIED FEMALE: We need to slow down, and get it right. Like mom
used to say, you rush, and you make mistakes.

MIKE PENCE, UNITED STATES VICE PRESIDENT: I have never seen greater
evidence, that Washington, D.C. is out of touch with the American people.
Than the fact that Democrats, are going to continue in their head long rush
to pass a government takeover of healthcare.

(END VIDEO CLIP)

HAYES: That was in November. Now, House Republicans say, they`ll pass
their bill in the next few weeks. Today, just three days after introducing
the bill, they passed it through a pair of committees on party line votes
after a pair of all night sessions moving forward. Despite the fact that,
Congressional Budget Office has yet to score the plan. So, we don`t know,
nor have an estimate, of how much it will cost, or crucially, how many
millions of Americans will lose their healthcare. Today, the Brookings
Institution said, the CBO will likely estimate that at least 15 million
people will lose coverage if Trumpcare passes. The White House, is already
playing the estimate down.

(BEGIN VIDEO CLIP)

SPICER: The irony of the score is that the CBO was way off the last time.
If you`re looking to the CBO for accuracy, you`re looking in the wrong
place.

(END VIDEO CLIP)

HAYES: The reason Trumpcare proponents are moving so quickly is simple.
With each and every day that passes, the list of people and institutions
opposed to their bill, which already includes the AARP, every Democrat on
the record, and many Congressional Republicans, gets even longer.

(BEGIN VIDEO CLIP)

CHUCK SCHUMER, UNITED STATES SENATOR FROM NEW YORK: Look, no one likes
this bill. Hospitals, Doctors, Governors, Conservatives, Liberal, non-
partisan groups and, most of all, the people who will no longer have
affordable health care.

(END VIDEO CLIP)

HAYES: This graphic shows just some of the non-partisan groups that have
come out against the bill. In a remarkable move, the Chief Medical Officer
for Medicaid has come out against it as well. Andrey Ostrovsky tweeting:
“Despite political messaging from others at HHS, I align with the experts
from the American Academy of Family Physicians, the American Academy of
Pediatrics, and the American Medical Associations in the opposition to the
American Healthcare Act.”

Some huge insurers also skeptical to the GOP`s Obamacare replacement
objecting to two critical components, the tax credit structure, and changes
to Medicaid expansion funding. Today, House Speaker Paul Ryan, used a
power point presentation in an attempt to win over the skeptics. Again,
pushing the false claim one central, to make to make a case for a piece of
legislation that few seemed to like, that Obamacare is collapsing.

(BEGIN VIDEO CLIP)

RYAN: This law is in the middle of a collapse, and people are quickly
losing their choices. Here is what is happening under a law that is
collapsing. It`s not working, that`s why it`s in a death spiral. It`s a
death spiral. It`s collapsing.

(END VIDEO CLIP)

HAYES: Now, more on that death spiral claim and its dubious province,
later in the show. And as for President Trump, he`s also in what the White
House calls “full sell mode on the bill.” Meeting today with key members
of congress, to talk budget and healthcare. He tweeted this afternoon:
“Despite what you hear in the press, healthcare is coming along great. We
are talking to many groups and it will end, in a beautiful picture.”

Joining me now, Republican Congressman Steve King of Iowa. And
Congressman, a lot of your colleagues, particularly the more conservative
colleagues in the House and Senate are in open revolt at the pace and
process with which this bill is being considered. Are you one of those
individuals?

STEVE KING, UNITED STATES CONGRESSMAN FROM IOWA: I`m not an open revolt,
but I am concerned about us not being able to get some of our conservative
principles plugged into this legislation. So, I`m with those folks on the
policy side of this thing, but not on the revolutionary side.

HAYES: Well, let me ask you this - I mean, did you feel that the
Affordable Care Act was passed too quickly?

KING: We fought it for a long time but in the end, it was jammed through
us. And these are the words that I`ve longed use by hook, by crook, and by
legislative shenanigan. And the Democrats will admit that, I borrowed
those words from them. But these considered analysis of the public is what
we really need to have. It needed to happen then under Obamacare, it needs
to happen now. And we shouldn`t be in such a hurry that the public doesn`t
get a chance to weigh in, examine this, and make their recommendations.

HAYES: Right. So, the House version of that ACA bill was introduced by
Nancy Pelosi in mid-July 2009. It got voted on the floor in November. So,
it was six months. Does six months seem like an adequate or more proper
framework to go through hearings? Have public airing of this?

KING: Well, that seems like a plenty long time when we look back on that.
I didn`t realize it was six months before we go to that November 7th vote.
I remember that exact date.

HAYES: That`s right.

KING: So - but, you know, if we had - if we had four or five weeks to work
this through, that would I think to be an appropriate amount of time. The
country is much more attuned to health insurance policy than they were
then. I don`t know if it takes as long to examine these things. Plus, the
public`s experienced, they know what they don`t want. And I don`t think
we`ve come to a consensus on what they want.

HAYES: Yes. When you say, we know what they don`t want, what do you make
of the fact that polling shows majority approval for the Affordable Care
Act?

KING: Oh, gosh, I`d say that`s a surprise to me. And it`s - I`m surprised
because the other data that I`ve seen along the way - I haven`t checked it
in most recently. I wouldn`t think my colleagues would be as eager to
repeal Obamacare, if the polling show that people want to keep it. But I`m
eager to repeal it, of course, you know that.

HAYES: Yes. Well, that`s what`s interesting, right? I mean, it is the
case this bill was unpopular for a long time, you know, 45 percent, 40
percent support. It now is majority support and 63 percent want to see it
kept or expanded. You want to see it essentially, repealed? Done away
with?

KING: I want it - I want it all ripped out by the roots. I want to repeal
every word of it. I wrote the repeal bill in the middle of the night,
March 23rd, 2010. Those 40 words end with “as if it had never been
enacted.” And that`s the bill that I`d like to see go from the House which
is passed in the past, over to the Senate, and set it on Mitch McConnell`s
desk. So, we start fresh. I say we have a bad foundation, we need to
start fresh and rewrite this thing from a fresh start without being
encumbered by some of the base work in Obamacare. And if there are good
pieces of that, we can put them back in by consensus rather than try to
save something.

HAYES: How many - how many people in your district are on the exchanges,
Congressman?

KING: I don`t know that number. You may have that in front of you, Chris,
but I don`t know that number.

HAYES: It`s about 11,000 or so. Do you know what`s going to happen to
them under this replace bill? Have you talked to constituents?
Particularly, in rural areas who are going to be paying more on out of
pocket under this plan?

KING: Well, of course we don`t have that data because - first of all, we
just got a look at this bill that`s been offered. And I have a whole
series of proposals that I think we should do. But I will say on balance,
if the American people had to decide between continuing with Obamacare the
way it is and trying to subsidize it, and supplement it so it doesn`t go
under; or going back the way we were? I`d be for going back the way we
were, and then start the process of the reform of the existing healthcare
system. And I think more people are better off that way.

HAYES: I just want to get you on the record here. So, you think the
healthcare system before the Affordable Care Act with no changes, just
right back to that, is superior to the one we have now?

KING: Absolutely, I believe that.

HAYES: Let me ask you this -

KING: And it left us a foundation where we can start to improve our
healthcare and delivery system.

HAYES: Let me ask you this, the bet that Steve Scalise and Paul Ryan and
others in leadership are making, is that everyone will roll over? That
they`re going to basically make you walk the plank on this. They`re not
going to listen to anything you say. They`re not going take any changes,
and McCarthy was clear about that today. They`re going to make you vote
for this bill, whether you like it or not. Are you going to vote for it?

KING: Well, I have a lean no today. And I owe my constituents, and
everybody in this country, my best effort and my best judgement. And I
think that we ought to have an opportunity to bring amendments to this
legislation. They`ve got ways to go before they can say they`re close
enough to have enough votes to, let`s just say, make the pitch that it`s
the only train, and it`s leaving town. That`s what I think we`ll soon hear
out of the whips team. But here`s what I said, that we need - we should
not be advancing refundable tax credits. In the end, you`re borrowing
money from China, and Saudi Arabia, and the American people, to put that
money out front. We`re better off to make everybody`s premiums tax
deductible. That`s one.

HAYES: Yes. I just want to - is it important to see what the scoring -
you`re talking about the deficit there, right? Deficit spending. Is it
important to see what the CBO scoring is?

KING: Well, that is important, yes. And, but we know that the CBO scoring
was way off on Obamacare. And so, we`re confidents since CBO scoring isn`t
so great -

HAYES: Yes, it wasn`t good.

KING: But we should get a sense, of at least, what they think. Now, we
should get a sense of what they think.

HAYES: OK. Representative Steve King, thank you for being with us. I
appreciate it.

KING: Thanks, Chris.

HAYES: Joining me now, Congressman - Republican Congressman Leonard Lance,
of New Jersey, Member of the House Energy and Commerce Committee which
advanced the healthcare bill this afternoon. Congressman, you`re a yes on
this bill I take it?

LEONARD LANCE, UNITED STATES CONGRESSMAN FROM NEW JERSEY: I was a yes in
committee today, based upon the bill as it exists today. And we`ve just
completed a 27-hour marathon committee hearing.

HAYES: Why are you rushing so fast?

LANCE: I don`t think we`re rushing. It came out of Energy and Commerce,
and out of ways and means. But now, Chris, it goes to the Budget
Committee, and it has to go through the Budget Committee, and then the
Rules Committee, and then of course it`s put on the floor. And whatever we
do, then goes to the Senate.

HAYES: Right. How many hearings - open hearings with witness testimony
and the like, have you had on this bill?

LANCE: We`ve had a series of hearings over the last several years on the
Affordable Care Act –

HAYES: No, in this Congress, though. How many hearings in this Congress
on this bill?

LANCE: We have gone to the American people with Paul Ryan`s better way.
And we campaigned on the fact that we were going to improve the system.
And I think that`s what we`ve done.

HAYES: Right. No, I totally get that. But, right. No, I get that. But
there`s legislative language now. I`m just curious, how many hearings has
your committee had on this bill?

LANCE: We had a 27-hour marathon session, and I think all of the issues
were vetted. And I was very proud of the committee in our bipartisan
capacity.

HAYES: The one that went through the night. But how many hearings with
witnesses called to offer their expert testimony, whether that`s doctors,
people from the insurance industry, other folks. How many hearings has
your committee had on this bill?

LANCE: We`ve had a series of hearings over the last several years on the
issue. And we campaigned, Chris, on this matter over the course of the
election cycle.

HAYES: But in this Congress - in this Congress - I`m sorry, I don`t want
to belabor this. But in this Congress, in my understanding in this
Congress on this legislation, there have been zero hearings but for the 27-
hour marathon markup that went through the night. Is that correct?

LANCE: And also, the marathon in the ways and means committee. And also,
the fact, that we have explained our position and it was completely
transparent over the course of the 27 hours. And I think - thought it was
an excellent discussion on both the Republican and the Democratic side.

HAYES: Congressman, you`re talking about a fifth of the American economy.
You`re talking about maybe 15 million people losing health insurance, and
you`re saying that 27 hours going through the night is sufficient?

LANCE: I think that we have to move forward. I suspect, that when it gets
to the Senate there will be discussion there. But I do think the American
people, Chris, want us to reform Obamacare and I am committed to doing
that.

HAYES: How many people in your district are on the exchanges?

LANCE: I would say roughly 5,000 or so, Chris?

HAYES: My understanding from Kaiser Family Foundation is it`s as much as
four times that, I think it`s much more like 20,000. Have you talked to
them about what would happen to them? Particularly, say, a 60-year-old who
makes $20,000 to $40,000, who could be looking at $7,000 to $9,000 or more
out of pocket?

LANCE: Yes, I`ve had a series of town hall meetings as I`m sure you`re
aware. At one town hall meeting we had 1400 people, and then at a second
town hall meeting we had 900 people. And so, yes, I`ve tried to discuss
these matters with constituents in the district.

HAYES: Yes, and this is - and this is genuinely commendable, we`ve lauded
you on it for this program; many colleagues did not. Those town halls
happened before the bill legislation was introduced? Am I correct?

LANCE: These matters with constituents in the district.

HAYES: Yes, and this is genuinely commendable. We`ve lauded for you on it
for this program, many of your colleagues did not. Those town halls
happened before the bill legislation was introduced. Am I correct?

LANCE: Certainly we had our principles -

HAYES: Not, but that -

LANCE: But yes it was - yes, it was before the bill was introduced.

HAYES: So, if I were in your district say, and I were on the exchange in
60 years old in making $20,000 and saw that my out-of-pocket cost were
going to go up by $7,000, I didn`t know that when you had the town halls.
Now that the bill actually exists, I do know that. Do you see why it might
be important to have hearings or some exchanges with constituents on that
fact?

LANCE: I certainly have a series of exchanges with constituents and will
continue to do so. And I hope that we are improving the system because the
system needs improving. So, many of my constituents have come into our
offices in New Jersey indicating that the – it`s unaffordable for them
under their healthcare plans and that their deductibles have increased
dramatically, their co-pays have increased dramatically, and I think we can
do a better job. And I think this is a step in the right direction.

HAYES: So, is that the benchmark for you? Because it seems to me that I
hear that problem identified by members of Congress across the aisle, all
right. High deductibles, high co-pies, premiums going up, right? That`s
the main complaint. The question on that is –

LANCE: That is one of the complaints.

HAYES: Is that the benchmark by which the solution should be judged?
Which is to say, are you saying your constituent, we will bring those costs
down and can you look them in the eyes and promise that will happen?

LANCE: I certainly believe that is the goal and I certainly think we have
to improve the system that exists now because the system that exists now
has really been so difficult for those who have been under healthcare
coverage through their employment. And their deductibles have increased
dramatically, their co-pays have increased dramatically and I think we have
to do a better job. I also think Chris, that we should maintain portions of
what occurred under Obamacare, pre-existing conditions, for example, young
people on their parents` policies until they`re 26. And I have argued
internally that we should at least, to some extent, continue the Medicaid
enhancement.

HAYES: I want to ask you about that Medicaid enhancement. Final question
for you. You have hospitals in your district, I would imagine?

LANCE: Yes, of course.

HAYES: OK. What will be the effect on most hospitals and about the folks
who are dependent on Medicaid when the Medicaid expansion is phased out?

LANCE: The Medicaid expansion is not being phased out. It`s that the
percentage that will be paid by the federal government will be at the
regular Medicaid match. Not at the –

HAYES: Right, but they`re going to cut off - they`re going to cut off new
enrollees which is ultimately going to sort of set it on the glide path to
zero.

LANCE: States will have the ability to continue with new enrollees so long
as the match will be at the regular match, not at the enhanced match.

HAYES: Right.

LANCE: I would prefer the enhanced match but –

HAYES: What is the affect going to be for the hospitals and for the poor
folks in your district who depend on Medicaid?

LANCE: I think that they will be able to continue to have Medicaid because
I believe that New Jersey will continue the program. New Jersey is one of
those states, of course, that expanded Medicaid and I hope and expect that,
that will continue to be the case. And privately within my caucus, I have
indicated that I think that this should be a continuation of Medicaid
expansion and that was contained in our bill today.

HAYES: That`s quite a roll of the dice. Congressman Leonard Lance, I
appreciate it as always. Thank you, Sir.

LANCE: Thank you very much.

HAYES: Still to come today, we learned the President`s former National
Security Adviser worked as a foreign agent during the Trump campaign. And
I do not mean that metaphorically. I mean he was literally registering –
he registered as a foreign agent. The stunning details on what it means
for the on-going cloud of suspicion around the President ahead.

Plus, the death of the death spiral talking point. Debunking the
Republicans` favorite fear-mongering over the imminent demise of Obamacare
in two minutes.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

MARK BERTOLINI, AETNA CEO: So, there isn`t enough money in the ACA today
as it`s structured, even with its fees and taxes to support the population
that needs to be served?

DENNIS BERMAN, THE WALL STREET JOURNAL FINANCIAL EDITOR: So that says to
me – what you`re saying there is Obamacare functionally is dead because
financially it`s not sustainable?

BERTOLINI: It is in a death spiral.

(END VIDEO CLIP)

HAYES: The CEO of Aetna on February 15th, saying Obamacare was in a death
spiral. And that was welcome news for republicans who want to kill
Obamacare and who jumped on the death spiral talking point.

(BEGIN VIDEO CLIP)

RYAN: The CEO of Aetna, another large insurance carrier, said that
Obamacare is in a death spiral, his words.

GREG WALDEN, UNITED STATES CONGRESSMAN FROM OREGON: The CEO of Aetna said
it`s in a death spiral. Those aren`t our words, those are his words.

UNIDENTIFIED MALE: The head of Aetna says we`re in a death spiral.

UNIDENTIFIED MALE: The CEO of Aetna said that Obamacare is in a death
spiral.

WALDEN: The CEO of Aetna said it`s in a death spiral.

RYAN: Obamacare is in a death spiral. It is not getting any better, it`s
getting worse. That`s the CEO of one of America`s leading health insurance
companies, Aetna, said this just a couple weeks ago.

(END VIDEO CLIP)

HAYES: Here is what they are not telling you, which is that the context in
which the Aetna CEO said that. You see, Aetna had been trying to merge
with rival Humana, and they threatened to pull out of the exchanges if the
Obama Justice Department did not approve the merger. Don`t take my word
for it.

A federal judge, in blocking that merger, pointed out Aetna`s actions and
its motives. I quote here, “Aetna tried to leverage its participation in
the exchanges for favorable treatment from DOJ regarding the proposed
merger. Aetna`s CEO Bertolini`s deposition, Aetna`s counsel stated that if
Aetna was not `happy` with the results of an upcoming meeting regarding the
merger, we`re just going to pull out of all of the exchanges.” The judge
even pointed to a smoking-gun letter from Aetna`s CEO to the Justice
Department Antitrust Division, quoting Aetna CEO “We believe it is very
likely we would need to leave the public exchange business entirely and
plan for additional business efficiencies should our deal ultimately be
blocked.”

Now, it`s also true Aetna had been losing money in the new exchanges, but
it must have been expecting that to change as late as July 19, 2016, the
company was still planning to expand its footprint to as many as 20 states.
But, after the Justice Department sued Aetna to block the merger with
Humana, Aetna announced it would cut its participation in the exchanges
from 15 states down to 4. And that`s when its CEO subsequently unleashed
the death spiral remark.

Joining me now, Congresswoman Karen Bass of California. And,
Congresswoman, your colleagues across the aisle have been making a lot of
the death spiral. They`ve quoted the Aetna CEO particularly; they keep
saying that Obamacare is collapsing. What is – what is your response to
that?

KAREN BASS, UNITED STATES CONGRESSWOMAN FROM CALIFORNIA: Well, you know,
especially coming from the State of California which is one of the reasons
why Obamacare has been successful nationwide, because California, the
population is so large. I just think that that is the fear-mongering that
they are using to justify what they`re getting ready to do, which is
potentially cut 15 million people off of health care coverage.

I don`t believe there`s a death spiral. I don`t believe that it`s getting
ready to collapse. That`s certainly not the case in California.

HAYES: I mean, you`re a congressperson, and you – you`re going to have to
vote on this at some point. I mean, do you have insurance company
lobbyists for instance coming to you saying, “This isn`t a death spiral,
it`s exploding, you need to bail us out, you need to do something?”

BASS: No, I don`t. You know, the insurance companies have not been
lobbying us. I mean, this has been a big win for the insurance companies.
Requiring everybody to have insurance coverage? You know, it`s definitely
been a big win. You know, in California, we certainly attempted to pass a
couple of ballot measures that would give our insurance commissioner more
control over keeping the premiums lower. But the insurance companies put
in tens of millions of dollars and defeated those initiatives.

So, a lot of the problems that people say are because of Obamacare, they`re
not necessarily because of the Affordable Care Act, it`s because there`s
not enough control on the insurance companies themselves.

HAYES: So, how long have you been in Congress, Congresswoman?

BASS: I`m in my seventh year now and I have voted over 60 times against
the repeal.

HAYES: So let me ask you this, your seventh year now. Have you ever seen
a piece of legislation of this magnitude and being moved this quickly in
your congressional career?

BASS: No, absolutely not. And ironically, isn`t this the same thing the
republicans accused the democrats of doing a year before I got here? You
know, they – we are voting on this bill and it hasn`t even been scored by
the CBO.

Now, we`re expecting the CBO score in the next couple of days, but right
now, we believe the CBO is going to show that about 15 million people will
lose their coverage.

HAYES: Do you think there is any way to stop this in the house? I mean,
it is sort of remarkable to watch leadership go to work. And I`ve spoken
to some of your republican colleagues, obviously, to basically ram this
through. What are your options in the minority there?

BASS: Well, hopefully that there will be enough republicans that refuse to
vote for it. You know, there weren`t enough in committees, but listening
to my colleagues that are in those committees, I heard that the speaker
himself, personally had to come to the committee and twist some arms. So,
I don`t know if they have the capacity to twist as many arms as would be
needed to pass it off the floor, but we`ll certainly see.

HAYES: One of the arguments that your colleagues are making across the
aisle, republicans, is that – Paul Ryan called this an act of mercy. I
mean, his argument is it`s – the whole thing is floundering, it`s
imploding; what we`re doing is going to be best for people, and in fact,
we`re doing this to look out for the least of these, in biblical terms.

BASS: Oh, yes. And it`s absolutely not the case because it`s going to be
the least of these who lose coverage, especially people who come from
expensive states like California or like Los Angeles or San Francisco.

So, older people, low income who live in high-income areas are definitely
going to be the losers and, you know, much respect for the speaker, but
this is the person who wants to, in my opinion, take Medicare and turn it
into vouchers. This is going to be an extremely deep cut to Medicare.

And so, the consequences of this, I think, are going to be very severe.
It`s going to remind me back to the days when I worked in the emergency
room in Los Angeles county, when people would come into the emergency room
extremely ill. And that, ironically, of course, is what cost so much money
when people come in ill.

HAYES: Right. All right. Congresswoman Karen Bass, thank you.

BASS: Thanks for having me.

HAYES: Still to come, former National Security Adviser Michael Flynn
admits to acting as a foreign agent while working with then-candidate Trump
during the presidential campaign. Those details, ahead.

(COMMERCIAL BREAK)

HAYES: The Trump administration`s revised travel ban is facing mounting
opposition. Today, several states joined Hawaii`s lawsuit against the new
executive order and the State of Washington maintaining that the court
injunction on the first travel ban should apply to this one as well.

Meanwhile, the other executive order the administration issued on
immigration, one which expanded the categories eligible for deportation
continues to be implemented across the country day by day. And this is
what it looks like on the ground.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Immigration authorities arrested a 22-year-old
dreamer shortly after she participated in a pro-immigrant news conference
in Jackson, Mississippi. There, Daniel Vargas, who was brought to the U.S.
illegally as a child, asked President Trump to protect her from deportation
because her deferral expired.

UNIDENTIFIED FEMALE: A veteran faces the fight of his life. Miguel Perez,
Jr., was born in Mexico but grew up here in Chicago. He served two tours
in Afghanistan. Now, Perez faces a deportation hearing because of a non-
violent drug offense.

UNIDENTIFIED MALE: Romulo Avelica-Gonzalez who was apprehended by ICE
agents the last Tuesday. Romulo has lived in the U.S. for more than 25
years. ICE agents took him as he was dropping off his 12 and 13-year-old
daughters at school.

(END VIDEO CLIP)

HAYS: Now, defenders of this new far more aggressive deportation stance
will tell you that
the people being handcuffed and carted off all broke the law. And this all
part of the president`s way of making good on his promise of law and order.

(BEGIN VIDEO CLIP)

TRUMP: When I take the oath of office next year, I will restore law and
order to our country. In this race for the White House, I am the law and
order candidate.

(END VIDEO CLIP)

HAYES: Over the past year and a half, I`ve been working on a book about
law and order called
The Colony in a Nation. What I`ve come to realize, what I argue in the
book is that law and order as defined by Richard Nixon all the way through
Donald Trump really isn`t about law, it`s about order.

Because if it were about law, well, then how can you explain a president
who admitted to and
boasted about repeated sexual assault and was accused by multiple women of
the same? A president whose company, according to recent reporting in The
New Yorker, very well could have violated the Foreign Corrupt Practices
Act, a president whose own attorney general stands accused of perjury by a
U.S. senator for deceiving a senate committee under oath.

Heck, if you want to be literal about breaking immigration law, there`s
even pretty decent evidence that the First Lady of the United States
herself was paid for work while in the U.S. on a tourist visa which is, you
guessed it, against the law.

So don`t be confused. It`s not about law. What it`s about is order and
promising his most ardent
supporters their place in that order. And if that means deporting veterans
and snatching fathers on their way to drop off their kids, well, then so
be it.

(COMMERCIAL BREAK)

HAYES: Former national security adviser Michael Flynn has now admitted
that while working as a top campaign adviser to the Trump campaign, he was
also working as a foreign agent. The Associated Press reported that just
this week Flynn filed paperwork with the Justice Department to
retroactively register as a foreign agent for $530,000 worth of lobbying
work that, quote, “could be construed to have principally benefited the
republic of Turkey.”

You see, Flynn used to have a company called Flynn Intel Group, which was
registered with congress as a lobbying organization and from August through
November of last year – meaning during the campaign and even after the
election – Flynn`s consulting firm was hired by a Turkish businessman with
ties to Turkey`s President Erdogan. And, according to the paperwork Flynn
filed with the Justice
Department, part of his lobbying contract including pressuring U.S.
officials to take action against a political opponent of Erdogan, Fethullah
Gulen, a man who lives here in America.

On election day, The Hill published an op-ed written by Flynn calling on
the United States to extradite Gulen writing, quote, “we should not provide
him a safe haven.”

Flynn`s final payment of $145,000 came on November 14, 2016, six days after
the election.

Mind you, all of this was happening while Flynn was working as a topped
adviser for Donald Trump, and while that campaign was accusing Hillary
Clinton of engaging in pay for play with foreign governments.

(BEGIN VIDEO CLIP)

TRUMP: One of the main things that Hillary Clinton was hiding she was
hiding her pay for play scandal as secretary of state.

Hillary is the one who engaged in a corrupt pay for play scheme at the
State Department.

We`ve just learned she tried to get $12 million from the king of Morocco
for an appearance, one appearance, more pay for play.

Joining me now, Charlie Pierce, writer at large for Esquire.

I have to say, honestly, honestly, it`s stunning. I mean, the guy was –
he was working as a foreign agent without anyone knowing apparently – Sean
Spicer today saying the campaign didn`t know it - while he was a top
adviser in the campaign.

CHARLIE PIERCE, ESQUIE: Well, I don`t believe for a second that the
current president of the United States didn`t know. I mean, for a long
time it was just he and Michael Flynn on the campaign trail.

See that`s what I think what people have forgotten given the fact that he
actually won the election, is that at the beginning, very similar to what`s
going on with the cabinet now, he couldn`t get many people to work for him.
He was running that campaign on a skeleton crew.

Jeff Sessions came aboard early and Michael Flynn was there from – Michael
Flynn was present at the creation. And, you know, I mean, he`s surrounded
by a bunch of people who seem very comfortable working in the universe of
kleptocracies, so I`m sure he just found – you know, he found
a way to get paid and he took it.

HAYES: Well, and the question I have here – I mean, first of all, there`s
two avenues of this. One is to me it shows the importance of legislation
that requires disclosure, right. We know this
now confirmed because of the Foreign Agent Registration Act. You know, we
don`t know the president`s tax records. We don`t know his foreign business
interests. Like, all of the same things that may apply, lord knows what is
out there.

This happened under everyone`s noses. There was some reporting - Chuck
Ross at The Daily Caller, Michael Isikoff at Yahoo! But we know about this
because of disclosure requirements and we don`t have them as they pertain
to the president of the United States.

PIERCE: No, we absolutely don`t. And at this point, would you be
surprised if Michael Flynn had announced today that he was a registered
agent for one of the moons of Neptune? We don`t know a lot about a lot of
people in this administration. And as I think you mentioned at the top of
the show, we`re just now finding out the people they are hiring under the
radar maybe a little bit wilder even than Michael Flynn was.

HAYES: Well, that`s exactly right. And we also have the problem of, you
know, this is him coming – first of all, by the way, the timing on the
hill op-ed is amazing. It`s election day in America. This guy is the most
prominent national security adviser, everyone`s heading to the polls,
what`s going to happen to america and he`s publishing an op-ed being like
we should extradite the dissident opponent of the guy who is paying my
paycheck to lobby for, because I think he did it on that day because he
thought Trump was going to lose and he was at peak influence on election
day.

PIERCE: Well, either that or he thinks there are a lot of Erdogan fans in
Michigan, Ohio, and Wisconsin.

HAYES: That`s right, the huge Fetullah Gulen…

PIERCE: There clearly aren`t any in Pennsylvania, because that`s where
this guy is, right?

So I think he was definitekly pitching for the Erdogan vote in Okana-
Milwaukee (ph).

HAYES: And then you have got the fact that we still don`t know a lot about
the allegations
of collusion with Russia, whether they happened or not. And this is yet
another revelation of essentially contact, collusion with a foreign
government in this case, you know, documented in front of our faces that we
did not know about before.

PIERCE: Right. I mean, obviously the ethics of dealing with foreign
governments within the Trump campaign were not the conventional form of
ethics of dealing with a foreign government. Pretty much it seems like it
was get it while you can from whomever you can.

HAYES: Charlie Pierce, thanks for joining us.

PIERCE; Thanks, Chris. Hey, Chris, good luck with the book.

HAYES: Thank you.

Still to come, if you liked having Michael Flynn in the White House, then
you`re going to
love your new special assistant to the secretary of the Department of
Labor. The incredible investigation into all the hires you have not heard
about coming up.

(COMMERCIAL BREAK)

HAYES: Thing One tonight, all week Press Secretary Sean Spicer has been
forced to defend the GOP health care bill before the White House press
corps. And yesterday, he found himself making this promise.

(BEGIN VIDEO CLIP)

SPICER: This was a full effort to reach out to members in the House and
the Senate. It`s going through regular order in the House. Every member
of the House and the Senate will be able to have their opportunity to have
amendments offered through the committee process and on the floor.

(END VIDEO CLIP)

HAYES: So, taking heat over the Republican health care bill, Spicer says
everyone gets to
offer amendments, which sounds pretty good, right? Democrats thought so.

(BEGIN VIDEO CLIP)

REP. LOUISE SLAUGHTER, (D) NEW YORK: The White House indicated today we
would have an open rule on the ACA repeal bill.

And Mr. Spicer said “every member of the House and Senate will be able to
have their opportunity to have amendments offered well through the
committee process and on the floor.” We are very excited to hear this news
because he said every member so that translates to an open rule.

(END VIDEO CLIP)

HAYES: But not everyone on Capitol Hill was very excited by Sean Spicer`s
comments. Actually, the chairman of the House rules committee, Pete
Sessions, was absolutely not very excited. And that`s Thing 2 in 60
seconds.

(COMMERCIAL BREAK)

HAYES: How did Pete Sessions, the Republican chair of the House rules
committee react
to the White House claim that every member of congress can offer amendments
to the health care bill? Well, watch for yourself.

(BEGIN VIDEO CLIP)

REP. JIM MCGOVERN, (D) MASSACHUSETTS: Under your definition of “every
member” would Democrats be included in that?

REP. PETE SESSIONS, (R) TEXAS: I`m sorry, my definition?

MCGOVERN: I mean, in the rules committee? I mean…

SESSIONS: Let me ask you this, are we in reference to what the press
secretary…

MCGOVERN: Yeah, the press secretary said that…

SESSIONS: Well, that is an entirely different article of the constitution.

MCGOVERN: Would you be saying that the press secretary was wrong in making
the declaration that we would essentially have an open rule?

SESSIONS: You know what, I will just point blank say that I would
encourage Mr. Spicer if
he thinks he`s going to start talking about my business give me a darned
call.

MCGOVERN: I`ll pass that on.

(LAUGHTER)

SESSIONS: I try not to get in his business and I don`t appreciate him
getting in my business.

(END VIDEO CLIP)

HAYES: OK. But that`s not all, Congressman Sessions couldn`t resist
adding one more little
comment about the new press secretary.

(BEGIN VIDEO CLIP)

SESSIONS: I`ve known Sean and his parents. I think he`s from Rhode
Island. Fine young man.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

(BEGIN VDIEO CLIP)

CURTIS ELLIS: The fact is that the people are dying, the jobs have gone
overseas and back in the 1960s this plan was hatched, the plan to eliminate
the white working people, eliminate the blue-collar working people from
positions of power in the Democratic Party.

(END VIDEO CLIP)

HAYES: Last May, a guy named Curtis Ellis was a guest on Steve Bannon`s
radio show. He had written a column titled “The radical left`s ethnic
cleansing of America” for a fringe web
site World Net Daily, which popularized the theory that Barack Obama wasn`t
born in the U.S.

Well, fast forward a few months and Curtis Ellis is now an employee of the
United States government serving as special assistant to the secretary of
labor in the Trump administration, that`s according to a new report from
ProPublica which obtained a list of more than 400 new political appointees
to the federal government. We`ll tell you about some of the other new
appointees, including a survivalist at the Treasury Department next.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

UNIDENIFIED FEMALE: Who do you envision as your end consumer?

JOHN PURDUE: I thought 14-year-old boys that want to go plink out in the
backyard would snatch this thing up, preppers would snatch it up because of
the other things we have added to it.

(END VIDEO CLIP)

HAYES: That`s John Purdue, a self-described guerrilla warfare expert,
author of “The War of
All the People: the Nexus of Latin american Radicalism and Middle Eastern
Terrorism” and inventor of the pack bow featured on CNBC`s make me a
millionaire inventor.

It`s a bow and arrow that doubles as a compass, tent pole,walking stick,
spear fishing rig, and water purification tablet receptacle.

And according to a list of Trump administration hires obtained by
ProPublica, Purdue now
works at the Treasury Department.

There`s also Danny Tiso, newly hired to the Department of Labor. According
to ProPublica, Tiso`s his LinkedIn page says he just graduated from high
school in 2015. A local New Hampshire paper reported he made honor role in
2010 when he was in sixth grade.

I`m joined now by Justin Elliot, investigative reporter for ProRublica and
MSNBC contributor Sam Seder, host of the majority report.

Justin, let me just say, this is great reporting. You`ve got a database
folks can go check out of 400 political hires at the agencies. Normally
you would haven`t to go through a lot of effort to find
this out. Normally administrations tell you who they`re hiring.

JUSTIN ELLIOTT, PROPUBLICA: Right. And the other thing that`s different
here is that Trump is not nominating people for roles that require Senate
confirmation. He actually said the other day that he thinks that a lot of
these jobs like deputy secretary of X don`t need to be hired. And so these
people on the so-called beachhead teams in different federal agencies in
many places are the only representatives of the White House in these
agencies. So that`s what this list represents.

HAYES: I mean, so you`ve got these folks like John Purdue who wrote this
pretty kooky book, I actually went through a little bit of it, about the
nexus between jihadis and Latin American radicals. This guy is basically
there in Treasury we think as sort of the White House`s, like, eyes and
ears.

ELLIOTT: Right. I mean, we`re not sure what many of these people are
doing. I mean, as you mentioned, some of them seem to be like 23-year-old
Trump campaign staffers who like ran the campaign in Kentucky, some of them
are like real Washington people.

HAYES: Lobbyists.

ELLIOTT: Right, we found around 36, at least 36 registered – former
registered lobbyists. This is not a swamp-draining group of people.

HAYES: 36 lobbyists now working in the agencies, including a guy from a
Palantir, which is a huge defense contractor on the tech side now at the
Department of Defense.

ELLIOTT: That`s right.

There`s a guy named Jeff Burr who is the head of government relations
through the construction
industry trade association who is now at the Department of Labor and Trump
by the way during the
campaign – this doesn`t get brought up a lot, but he actually told several
interviewers that he would haven`t a problem banning lobbyists from his
administration. So there are many lobbyists. A lot of campaign people,
former hill staffers and then some of these sort of fringe types.

HAYES: Sam, I want to talk to you about a guy who`s actually not in the
agencies, he is the White House, a guy named Sebastian Gorko. We played a
little clip of him at the top of the show.

This guy is quite a colorful character. He is associated friends with
Frank Gaffney who is a sort of notorious anti-Muslim bigot. What should we
know about Sebastian Gorka?

SAM SEDER, HOST, MAJORITY REPORT: Dr. G., as I think he refers to himself.
He – I mean, he is the guy who was a Breitbart writer, I think that had
Donald Trump not won the election he would be lobbying to get on World Net
Daily television or internet television which is, you know, just gives you
– it`s not a criticism of World Net Daily television, just an indication
of where he slots in in terms of his idea set.

He is both a self-proclaimed counterterrorism expert and an anti-SJW alpha
male.

HAYES: He`s like a real Breitbart dude. He`s got - been criticized by
actual terrorism experts who have - he`s called one of them and berated
them because he was getting attacked on Twitter.

SEDER: Yes, and that audio leaked?

HAYES: He is very high up in the White House.

SEDER: He`s very high up in the White House.

We should also say to be fair to him he carries around a medal that his
father received for his
anti – well, it depends on – I mean, the history is, frankly, it`s a
medal that is widely associated with anti-Semitism from Hungary. He argues
that he can`t possibly be a neo-Nazi because he`s not a communist. He`s
done that on Hannity.

So, he`s an odd figure, but he`s highly placed in the administration. And
I can tell you, you can go back and look at some of things that he`s said
on television and Donald Trump repeats those
phrases.

HAYES: He is a Trump whisperer.

The point I mean with Gorka and with this guy who was on the honor role in
sixth grade, there is an entire sort of level of the professional
government that isn`t in there right now, right?

ELLIOTT: Right.

HAYES: The key point here is these people we`re talking about are there,
the whole level of, like, well, I served in previous administrations, I
kind of know what I`m doing, I can be confirmed by a
Senate to be a deputy, that doesn`t exist in the government right now.

ELLIOTT: Right. I mean, as we`ve seen even with these cabinet nominations
that have to go through the Senate, you have a public debate, you have
scrutiny by congress, you get to have a discussion about is the policy of
the administration on X.

The concern of some people is that by installing these beachhead teams who
wouldn`t even tell us their names, we had to file FOIA requests, these are
people that have not been exposed to the scrutiny of the senate. It`s hard
for journalists to report on them. In many cases we still sdon`t know what
they`re doing.

HAYES: We only learned about them because of you guys FOIAing them and
putting them on the public database which you can find at ProPublica, which
is a tremendous public service. Justin Elliott, Sam Seder, thank you both.

That`s All In for this evening. The Rachel Maddow Show starts right now.


THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY
BE UPDATED.
END

Copy: Content and programming copyright 2017 NBC. ALL RIGHTS RESERVED.
Copyright 2017 CQ-Roll Call, Inc. All materials herein are protected by
United States copyright law and may not be reproduced, distributed,
transmitted, displayed, published or broadcast without the prior written
permission of CQ-Roll Call. You may not alter or remove any trademark,
copyright or other notice from copies of the content.