Democrats win races across the nation Transcript 11/8/17 All In with Chris Hayes

Guests:
Gary Peters, Donna Edwards, Jess McIntosh, Mark Walker
Transcript:

Show: ALL IN with CHRIS HAYES
Date: November 8, 2017
Guest: Gary Peters, Donna Edwards, Jess McIntosh, Mark Walker


CHRIS MATTHEWS, MSNBC HOST: – Trump has taught us, it is that we can do
better. But many of us already knew that, didn`t we? That`s HARDBALL for
now, thanks for being with us. “ALL IN” with Chris Hayes starts right now.

(BEGIN VIDEO CLIP)

CHRIS HAYES, MSNBC HOST: Tonight on ALL IN.

UNIDENTIFIED MALE: We are back by popular demand!

HAYES: The Democrats strike back.

UNIDENTIFIED MALE: The Democratic Party is back my friends!

HAYES: Tonight, fallout from last night`s wholesale rejection of President
Trump.

UNIDENTIFIED MALE: We are better than this!

HAYES: How the resistance moved from the streets to the polls.

UNIDENTIFIED MALE: This one is for you!

HAYES: And how the Trump agenda could increase the size of a Democratic
wave.

SEN. CHUCK SCHUMER (D-NY), SENATE MINORITY LEADER: The Republicans should
look at the elections last night and it should be a giant stop sign for
their tax bill.

HAYES: And about that Steve Bannon playbook.

STEVE BANNON, FORMER CHIEF STRATEGIST, WHITE HOUSE: Those Trump issues,
those kind of populist/nationalist issues are winners.

HAYES: Why the spectacular failure of Trumpism without Trump means big
trouble for Republicans.

BANNON: All of a sudden Gillespie caught fire because he`s embracing
Trumpism.

HAYES: When ALL IN starts right now.

(END VIDEO CLIP)

HAYES: Good evening from New York, I`m Chris Hayes. Donald Trump won the
Presidency of the United States one year ago tonight, but not with a
majority of Americans. He lost the overall popular vote by nearly 3
million people. Last night, after stunning victories from Democrats across
the nation in nearly every contest, there came a reminder that this is not
Donald Trump`s America, including the marquise Governor`s race in Virginia
where Democrats had been quite worried that Lieutenant Governor Ralph
Northam could lose to Republican lobbyist, Ed Gillespie. Ed Gillespie who
cynically embraced the President`s grievance playbook with ads about
kneeling NFL players and protecting Confederate monuments. Instead,
Northam absolutely crushed Gillespie, winning by nine points, and nearly
doubling Hillary Clinton`s margin over Trump in Virginia last year.

(BEGIN VIDEO CLIP)

RALPH NORTHAM (D-VA), GOVERNOR-ELECT: Something that I am so proud of and
I remind you all the time, we live in a very diverse society. It is
getting more diverse every day. It is that diverse society that makes this
country great!

(END VIDEO CLIP)

HAYES: That vision of a pluralistic, multicultural America was a direct
repudiation of Trump`s white nationalist politics and it was embodied in
the candidates who walked across Virginia. In addition to also winning the
two other statewide races for Lieutenant Governor and Attorney General,
Democrats in a staggering result took at least 15 seats in the House of
Delegates. And depending on how re-counts go, they could win up to four
more seats and take control of the chamber for the first time in 18 years.
Among the winners was Danica Roem, the first openly transgender person ever
to be elected to a U.S. Statehouse, who focused her campaign not on hot-
button social issues, but on – wait for it – traffic in Northern
Virginia. Roem defeated Robert Marshal, a 13-term incumbent who introduced
an anti-trans-bathroom bill and would only use male pronouns to describe
Roem. He once proclaimed himself Virginia`s “chief homophobe.”

Also, victorious last night were the first two Latino women ever elected to
Virginia`s House of Delegates, Elizabeth Guzman and Hala Ayala, as well as
Lee Carter, a Marine Veteran backed for the Democratic Socialist of America
who unseated the House Majority Whip. Now, this story wasn`t just confined
to Virginia. Despite racist flyers, Hoboken elected New Jersey`s first
Sikh Mayor, Ravi Bhalla. And in Washington State, a victory by Indian
American Democrat Manka Dhingra and a state senate race gave her party full
control of that state`s government. Indeed Democrats were triumphant
everywhere. Democratic Mayor re-elected New York City for the first time
in 32 years. A Democratic Gubernatorial Candidate winning overwhelmingly
in New Jersey amid toxic approval rating for outgoing Governor and one-time
future of the Republican Party, Chris Christie.

One major theme last night was the Trump effect. And he sure didn`t seem
to help. In Virginia, 17 percent of voters said one reason for their vote
was to express support for Trump but 34 percent, double the percentage,
said they were voting at least in part to express opposition to the
President. Trump sought to play down last night`s results, first
disavowing Gubernatorial Candidate Ed Gillespie and then posting this
picture to Twitter, in which he gives a thumbs up and brags about his
massive electoral college landslide victory, even though his electoral vote
victory was not a landslide and was far from massive by historical
standards. Plus, once again, he lost the popular vote, by a lot. The
Trump effect was not the only factor last night. Crucially, Democrats
seemed to win on the issues.

In Maine, voters resoundingly approved a Medicaid expansion that Governor
Paul LePage is trying to stop it from going into effect. And the Virginia
exit polls told a fascinating story about what voters actually cared about.
60 percent of Virginia voters said the monuments to Confederate leaders
should be left in place. That`s the stance that the Republican
gubernatorial candidate explicitly embraced and he`s advertising. But
crucially, the issue didn`t drive their vote. Voters cast their ballots
because of health care. 39 percent saying health was the issue that
mattered most in their vote. A far greater percentage than chose
immigration or abortion. And among Virginians who cared most about health
care, Ralph Northam, a Democrat who wants to expand Medicaid in the state
of Virginia won by a massive 54-point margin.

I`m joined now by Senator Gary Peters of Michigan who is the only
Democratic freshman elected during the last midterm election, 2014, when 12
Republican freshmen were elected and who hails from a state that, as we all
know, Donald Trump won last year to the surprise of many. And Senator,
from your unique perch in Michigan, from the perspective of someone who
managed to win a victory in 2014 against the odds with an electorate
unfavorable Democrats, what`s your lesson from last night?

SEN. GARY PETERS (D), MICHIGAN: Well, I think the most encouraging lesson
that I see from last night was just the incredible turnout of people. You
know, in Virginia, a record turnout of folks who showed up. And basically,
you know, I`m seeing in Michigan an energy that I haven`t seen in years.
Democrats who want to make sure their voice is heard. They want to get
involved in politics. They`re finding ways that they can interject
themselves into this debate. And I think they`re very motivated to vote.
But we didn`t really have a test of that until last night. And Virginia, I
think, showed that when Democrats come out to vote, we win. And if we can
keep that enthusiasm going into the midterms, it`s going to have a
significant impact in Michigan and I think in a lot of other states, as
well.

HAYES: Yes, if I`m not mistaken, I think there was a special election in
your state in the upper peninsula, in a district that had gone (INAUDIBLE)
for Trump that won plus 20 for the Democrats last night, to your point.
What do you say to people who say, well, look, most – Hillary Clinton won
Virginia, anyway. She won New Jersey. New York City is a very Democratic
town. The House Delegate races were largely won in districts that Hillary
Clinton won. From someone who`s in Michigan, where Donald Trump did manage
to win that state, what do you say to that?

PETERS: Well, I say, you just have to look at the numbers of turnout.
Still, although those states did vote Democratic, in Virginia`s case, you
had a huge surge. You know, if I recall, just before the election, all the
polls show that that race was going to be very tight. When everyone
counted the ballots, it wasn`t tight. It was a pretty big victory. So
that shows a surge of Democratic voters that are coming out. I think we`re
going to see that in Michigan in 2018, as long as we can keep this kind of
enthusiasm.

You mentioned the race up in the upper peninsula. That was a race the
Republicans thought they could win. They put in substantial resources and
the Democrat won in a place that is sometimes not real friendly to
Democrats. So those are all very encouraging signs, but I would also say
we can`t let up the energy. We can`t let up our focus in making sure we
have a positive message, talking about opportunity for all Americans.
Democrats have to be for something. And when we are for something and when
we are aggressive talking about that, we get our people out and we win.

HAYES: how does this affect what happens on Capitol Hill, in the Senate,
particularly with tax reform? What do you see as a reverberation?

PETERS: Well, I would think Republicans would want to take a hard look at
this tax bill that`s before us now. This Tax bill is skewed heavily, to
very wealthy folks getting the majority of the tax cuts. And middle-class
folks are left with very small piece of the benefit. And it should not be
about just passing a bill. I think that the Republicans make a big mistake
if they think they just have to pass a bill. I would argue, you actually
have to pass a good bill. A good bill that helps middle-class families and
those who aspire to be in the middle class have money in their pocket have
the ability to make sure that they can pursue their version of the American
dream. If they see a bill that`s stacked in favor of the wealthy, of
corporations, of a bill that eliminates the alternative minimum tax, which
means that wealthy folks may not even have to pay taxes. That`s not going
to help the Republicans and in fact, it will only drive even more turnout
from some of our base voters.

HAYES: You know, you were – you were one of a number of Democratic
Senators if I`m not mistaken, who was on a phone call with the President
trying to sell this tax bill. And the theory of the case here is that
folks like yourself in states that he won, in states like Ohio where
Sherrod Brown I think was also on the call. You know, it`s going to be
very hard for you to vote against this tax bill. The President also said
that his accountants telling him he`s getting – going to get killed on
this bill, but he needs the state tax repealed. Like, what did he tell you
on that phone call?

PETERS: Yes, it was – well, it was – it was a bizarre call. And he did
say that rich folks like himself are going to get killed in the bill, but
even though of course, that`s counter to all the experts and the facts of
this bill, where folks like Donald Trump are going to do very well. In
fact, you know, we don`t have his tax records, so it`s difficult to know
exactly the impact on him. But the one tax record we do have, we know the
only reason he paid tax is because of the alternative minimum tax. And
under this bill, that alternative minimum tax is eliminated. It puts a
$750 billion hole in the deficit and it basically eliminates the tax that
we know, at least in that one year, that is why Donald Trump paid his
taxes. The American people are not going to stand for that. If they see
that bill that basically gives rich folks a free pass, that`s not going to
be a good bill going into election time in 2018.

HAYES: Yes, given the contours of this bill, given the fact the President
won your state and he`s going to be pushing hard for it and given what
happened last night, do you feel political pressure to support this bill?

PETERS: I want to support a good bill. You know, I believe that we should
do tax reform, we should make the system more efficient, we should make it
fair, but we should focus on folks who need that relief which are middle-
class families, and those aspire to be in the middle class. That`s the
kind of bill that I want to support. We were hoping we could try to find
some bipartisanship in doing that, you know, pass tax reform bills. The
one that passed the last major one received over 90 votes in the United
States Senate. But we can`t do that when the Republicans shut down the
process, they may be putting out a bill tomorrow or the next day, and then
doing a markup as quickly as Monday, without any kind of Democratic input
into this bill. I can`t support a bill if we don`t have input and if
working people in this country are not benefited, I`m certainly not going
to support a bill that only helps those at the very top of the income
scale.

HAYES: All right, Senator Gary Peters of Michigan, thanks for being with
me tonight.

PETERS: Good to be with you.

HAYES: I`m joined now by Jess McIntosh, Executive Editor for ShareBlue,
former Senior Adviser to Hillary Clinton`s Presidential Campaign, and
former Democratic Congresswoman, Donna Edwards of Maryland, Senior Fellow
at the Brennan Center for Justice. All right, well, different night last
night than a year ago.

JESS MCINTOSH, EXECUTIVE EDITOR, SHAREBLUE: Just a little, yes.

HAYES: Well, what is your – what`s your reaction? How do you feel?

MCINTOSH: OK, so today is the one-year anniversary of the day that 26
percent of Americans and a good chunk of Russia decided to make Donald
Trump the President. And I think last night reminded us that there are
more of us than there are of them. This is, like you said, not Donald
Trump`s America. And the inclusivity that we saw in the slate of
candidates that was elected last night was a full repudiation of the
absolute racism, white nationalism, xenophobia, and misogyny that today`s
Republican Party has decided to embrace. It was rejected. Full stop.

HAYES: Donna, what`s your feeling?

DONNA EDWARDS, FORMER CONGRESSWOMAN, MARYLAND: Well, I certainly agree
with that. I mean, it`s really clear when you look from the mayors who
were elected to the state legislators, really up and down the ballot,
across the country, it was a clear repudiation of Donald Trump and of all
of that nastiness that went on over the course of the – has gone on over
the course of the last year. And I think voters said, you know what, we
want to pay attention to our bread and butter issues. We want the people
who represent us actually to look like us. And we saw that all across the
country.

HAYES: You know, there`s been a lot of talk about Democratic infighting.
And if you`re online, it feels like there`s a lot of it. And it was sort
of striking to me last night that the kind of ideological slot that you
could put many of these candidates and really ran the gamut.

MCINTOSH: Right.

HAYES: I mean, you had them – the Marine Veteran who`s a socialist.
Northam ran a fairly progressive campaign, but himself was a two-time
George W. Bush voter, not a real – doesn`t come out of the liberal wing of
the party. You have that sort of spectrum. What does – what does it say
about the sort of state of the Democratic Party in what happened last
night?

MCINTOSH: I think it says that our differences are much, much smaller than
you would see if you put it under a partisan microscope, that the beltway
pundits tend to do. I mean, internet infighting is interesting because it
involves personalities and big personalities and who did what to who and
what egos were involved where. When it really comes down to the voters,
when it comes down to the actual grassroots army that`s fuelling this
resistance, it`s about the issues. And on the issues, we really – we
disagree on the margins.

HAYES: I think the point about the issues Donna, is so interesting to me
because Gillespie by the end was sending out a mailer about kneeling during
a national anthem like he was running to be commissioner of the NFL or you
know, flag celebration observance. But you know, what happened was at some
level, Republicans touched the stove on health care, and one way to
understand what happened last night is that they paid for it. Is that a
credible theory of last night to you?

EDWARDS: Well, I think it is. I mean, I think, for example, if you look
at the ballot measure in Maine on Medicaid expansion, voters in New Jersey
who clearly were casting a vote around issues of health care, I think
across the board, you know, people were rejecting this agenda over these
last now 11 months and saying, we`re not going to – we`re just not going
to take that. I mean, what I look at is you know, if you think about the
array of candidate who won last night, from you know, a transgender woman
to a Sudanese American woman to a refugee, former refugee mayor up in
Helena, Montana, across the board, it really did represent the diversity of
this country. And I think voters really rejected that and they said, you
know what`s important to me, and they weren`t listening to the chatter that
we all engage in in Washington.

HAYES: Yes, I mean, a black mayor in Helena, a former refugee, a Black
mayor, I believe, in St. Paul, Minnesota. A Black woman in Charlotte,
North Carolina, if I`m not mistaken, the first two Latino women to serve –

MCINTOSH: Seven transgender Americans across the country.

EDWARDS: In Topeka, Kansas.

HAYES: And Topeka, Kansas and seven transgender candidates winning across
the country.

MCINTOSH: I mean, this was absolutely enormous, the diversity and the
slate that we saw come in last night.

HAYES: And what – so, you know, there`s this question about motivation.
It`s really interesting to listen to Senator Peters, right? That`s someone
whose live – whose livelihood and career is going to depend on that,
right? I mean, next time he`s up in 2020, he`s got a presidential election
in his favor. But what – as someone who`s been an organizer, who`s worked
on campaigns, what – there was this question about whether the resistance
that we saw, we saw protests the first night he was elected, right,
election night. We saw one of the biggest marches in American history a
few days later during the inauguration. And we saw these series of
mobilizations around these special elections where Democrats came up short.
And there was really this question of like, is this a thing or is this not
a thing?

MCINTOSH: One of the things that we said when we came up short in those
special elections, they were in redder areas, was if we saw this kind of
voter turnout in moderate areas or in Democratic-leaning areas or in
Republican – in slightly easier to win areas, it would be a huge sweep.
And that`s what we saw last night.

HAYES: Yes, Montana was over-performing by ten points or nine points in
Kansas. But those are places where Republicans are up 20 points as a
baseline.

MCINTOSH: If you apply the kind of turnout that lost us the election in
Georgia Six across the country, we would take back the House. That would
be a massive wave. So we`re starting to see that that – despite the
losses, which meant everybody wanted to talk about what was going wrong,
that didn`t depress these people. Like the resistance has managed to turn
from that to the streets, to the polls, which was the giant question about
it, to begin with. I mean, I think we`re seeing a massive backlash to the
Trump Presidency. And it`s coming electorally, which is incredibly
heartening.

HAYES: How much of this, Donna, how much of this is about the President?
How much of this is the President essentially being this kind of force of
polarization, that forces people to choose sides and maybe even pushes
people in some directions in a more progressive or a more pluralistic
direction, who may not have been before, because they`re so repelled by
him?

EDWARDS: Well, I think, clearly, you know, the President and all of his
actions and his xenophobia, homophobia, I mean, you could make the list,
account for a lot of the mobilization and the energy out there. But the
fact is, even with all of that, you can`t win elections unless you`re for
something. And all of these candidates all across the country
demonstrated, yes, you can mobilize some people around voting against
Donald Trump, but you have to motivate them to come to the polls, to show
up, to volunteer, to be candidates after all.

I mean, many of these races that we saw, we put up candidates up and down
the ballot with some people who would never even thought about running for
electoral office a year ago. And so, it`s a combination of the against
Trump, but let`s be for something as Democrats. And I think that we`re
beginning to find our voices. And there, in our voices are in the array of
diverse candidates that we run all across the district, not being afraid to
run – to run toward our identity and embrace issues that allow us to
represent many different kinds of districts. It`s a really exciting night.
And you know what? We can`t let up.

HAYES: Yes, that`s the big question, right?

MCINTOSH: One of my favorite stories about last night, and Donna is
absolutely right about the first-time candidates, is a 32-year-old black
woman in New Jersey who decided to run when the state legislator posted a
sexist joke about the women`s march, saying he hoped that they were all
home in time to cook dinner. She saw the joke and thought, I`m going to
take his job. And last night she did. 20,000 women have called Emily`s
list, called, called Emily`s list and asked, how do I run, can you help me?
Those women were on the ballot last night and they`re winning. I mean, we
were worried.

Honestly, I was a little worried on the Hillary Clinton campaign about what
the backlash to women would be, should we elect the first female President,
in the same way, we saw racists wildly emboldened by the election of the
first African-American President. What was that going to mean for women in
American when this happened? Of course, that I did not need to worry about
that because the election did not happen, but now I`m seeing this. I`m
seeing actually three weeks of sexual predators being toppled followed by
this record number of women running and winning. And I think maybe we`re
the backlash.

HAYES: Jess McIntosh –

EDWARDS: What – you know, I don`t know if you have time Chris but I mean,
the reality is, is that when you run women and more women, more women will
actually win.

HAYES: Jess McIntosh and Donna Edwards, thank you both for being with me.
That was great.

Next, the Republican Hail Mary to close out a disastrous 2017, but even tax
reform, their signature legislative effort doesn`t look promising. The
Republicans scramble in two minutes.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

SCHUMER: The Republicans should look at the elections last night and it
should be a giant stop sign for their tax bill. Where did they get
clobbered in the suburbs? Where does the tax bill clobber middle class and
upper-middle-class people in the suburbs?

(END VIDEO CLIP)

HAYES: You might think last night`s sweeping victories by Democrats across
the country would give Republicans pause before they rush into their tax
bill. But you`d be wrong. Democrats like Ralph Northam, who won the
Virginia Gubernatorial Race, won largely with the help of suburban voters
in relatively affluent areas, places with high cost of living for housing
as well as state and local taxes. Republicans resoundingly lost voters in
those areas last night. And here`s the thing. Those are precisely the
voters that the Republican tax proposal could also hit the hardest. Tax
policy center estimates that at least one-quarter of all taxpayers would
see their tax bill actually go up under the Republican plan. That`s
especially true for people in places with high housing costs and high state
and local taxes, which sure sounds like a lot of suburbs. Republican
leadership faced with last night`s election loss is vowing to press on even
harder with their tax proposal.

(BEGIN VIDEO CLIP)

REP. PAUL RYAN (R-WI), SPEAKER OF THE HOUSE: It doesn`t change my reading
of the current moment, it just emphasizes my reading of the current moment,
which is, we have a promise to keep and we`ve got to get on with keeping
our promise. And one of the chief promises we made when we ran for office,
all of us, whether it`s the President or Congress in 2016, was that we
would do tax reform and tax cuts for families, for people. And so we have
to get on with doing that.

(END VIDEO CLIP)

HAYES: Republican Congressman Mark Walker of North Carolina calls the tax
bill a move towards, “pro-worker, pro-family conservative ideas.” And
Congressman, I don`t think this probably applies in your district, but in
you`ve got folks like Darrell Issa who`s come out and said he can`t support
this bill and Peter King and Lee Zeldin and Leonard Lance and others, how
is it that a Republican Majority is going to raise taxes on families with
children in suburbs? How are they going to be able to go back and sell
that to their voters?

REP. MARK WALKER (R) NORTH CAROLINA: Well, I think the very premise of
your question, I don`t know if it`s completely accurate because you`re
looking at the majority of people who pay taxes, the other half, the 45
percent don`t pay any taxes. So anytime that you make any adjustments,
it`s going to impact those, plus, you`re looking at the first $24,000. And
I don`t want to do talking points –

HAYES: Congressman, respectfully though, I just have to – I just have to
interrupt one place there. It`s not true that 45 percent pay no taxes.
They may pay no income tax, but of course, there`s lots of other taxes they
pay, just to be clear.

WALKER: Fair enough point but when we`re talking about the tax reform
here, the first $24,000, sometimes you hear it in the vernacular of
doubling the standard deduction. But the fact that you`re going from
$12,000 to $24,000, that directly impacts the lower and middle-class
families in a very positive way.

HAYES: Right. I know, and yet, and yet, somehow your colleagues have
written a tax bill that`s going to raise taxes on a quarter of filers.
It`s just remarkable to me the Republican Party, the Republican Party, if I
live in a Republican district in the New Jersey suburbs, what the heck is
the point of voting for a Republican Congressman if he`s going to raise my
taxes?

WALKER: Listen, I appreciate the Democrats` newfound concern with deficit
and raising taxes. It`s something that we haven`t heard much about in the
last 19 years –

HAYES: No, no, I`m asking – I`m asking you just a simple question of
representation. What do you tell a constituent whose taxes are going to be
raised by the Republican Party why they should vote for a Republican?

WALKER: I would probably tell them the first thing what report you reading
off of because our numbers are saying something that`s completely
different. It`s very important that people understand that this is tax
relief for people across the board. Now, if you`re looking at calculating
that over ten years, there may be some rise and up depending on which
bracket you may move in and out of based on your income, but when it comes
across the board, this is tax – this isn`t just tax reform, this isn`t
just something that we`re making up. This is genuine tax relief not only
in the individual market but also the pro-growth when it comes to the
corporate or the business side –

HAYES: Believe me but that`s precisely where you run into problems, right?
You talk about, well, ten years out, some taxes might rise. I mean, the
tax policy center says a quarter of filers are going to see their tax bill
go up over that ten-year span, right? The problem is you`re giving $4 of
tax relief to corporation for every dollar you could give to households.
But those households are going to see actual increases in their tax bills.

WALKER: Listen, these so-called corporations that you`re talking about,
these are local businesses in our communities that are creating jobs for
many people. One of the reasons that we`ve seen the job growth –

HAYES: Sure.

WALKER: – the unemployment rate continue to track down, 17-year low, is
these – the consumer index is off the charts.

HAYES: But Congressman –

WALKER: This is something that we can put right back into our communities
and I think that`s crucial.

HAYES: OK. I understand – I understand your case on the corporate side.
I won`t – we won`t argue about it. I get it. But you still got a
problem. And the problem is still the way the math works right now is that
there are people in Darryl Issa`s district, and MacArthur`s district, and
Leonard Lance`s district, and Lee Zeldin`s district, and Peter King`s
district and on and on, Barbara Comstock, whose taxes will rise, who will
see their tax burden go up because you`re going to go after the mortgage
interest deduction, you`re going to go after the state and local taxes
deduction. They have kids and they`re going to see their taxes go up and
you`ve got to tell them why the Republicans raised their taxes.

WALKER: OK, Chris, I`m more than happy. I`ll tell them and you right now,
it is not encumbered upon Members of the United States Congress to bail out
states that have overtaxed their populations, whether it`s New York,
whether it`s California. Some of these state legislatures, as well as city
officials, have been irresponsible at the tax burden they`re putting on
their private citizens.

HAYES: Right. Well, OK, but you can – you still got to – you don`t
represent New Jersey, so that`s an easier thing to say from North Carolina.
Let me ask you this. If I`m – if I`m a Republican and I`m pro-life,
right?

WALKER: Sure.

HAYES: And I`ve adopted someone because – partly because of my belief
system, maybe because of other reasons, I would get an adoption tax credit,
right? That`s in the code right now?

WALKER: Right.

HAYES: Why should I have to give up the adoption tax credit and pay more
in taxes so that Donald Trump`s family can inherit more of Donald Trump`s
money?

WALKER: Well, I don`t know about what Donald Trump`s family can inherit,
but can I tell you this –

HAYES: Well, you would agree that the estate tax zone out – phase-out
will benefit them?

WALKER: Well, I don`t know that it has a direct impact on the child tax
credit or the adoption child tax credit and I`ll tell you why.

HAYES: Money in, money out.

WALKER: I was – I was the first one last week to put this – (INAUDIBLE)
out to make sure that the adoption child tax credit is something we fight
for. And here`s why. This directly impacted lower and middle-income
families. This is pro-life. These are the people that are going out and
rescuing children that are sometimes unwanted.

HAYES: Right!

WALKER: In fact, this Sunday, we`re giving a community hero to a couple
that adopted a special – a child with special needs. That`s important for
us to continue to fight for those people as well.

HAYES: No, I agree. I read your statement on this. My question is, why
would the Republican Party get rid of that tax credit?

WALKER: Well, I think the overall thought process was that if you`re
doubling the standard deduction for these particular people, it wasn`t
designed for wealthy people to necessarily always go overseas, but we want
to make sure that it`s targeted legitimately to the lower incomes.

HAYES: Let me ask you this. If that stays in, if they get rid of the
adoption tax credit, which I know means something to you, and you`ve spoken
out about it and many members do. And I`ve seen churches talk about it and
may pro-life groups.

WALKER: Sure.

HAYES: If that stays in, is that a deal breaker for you on whether you
vote for this bill?

WALKER: I don`t know that it`s a deal breaker. If we can go back and look
at to make sure that we are not negatively impacting some of these same
demographics, if you can prove to me that they`re still better off, then
certainly it`s something that I`m going to support. This – overall, and I
heard the former guest talking about this is a referendum. I don`t believe
so. You have to understand, go back six or seven years. Democrat
governors had 27 governors. You`re down to 16, you picked up one last
night. 32 Republicans, 17 Democrats. And the last point I`ll make, in
President Obama`s first term, he lost 60 seats in the House, nearly
unprecedented. So it is something –

HAYES: But you –

WALKER: – so there are shifts here in the season.

HAYES: Well, of course. But you don`t feel like the pendulum just started
to come back your way?

WALKER: Listen, I`m a straight shooter. Did the Democrats have a good
night in Virginia, New Jersey, and some other places? Absolutely. Is it a
little early to be saying this is the exuberance, this is a new trend? I
don`t – I think it`s a little early to do that because of the Republican
strongholds that we have across the country.

HAYES: Let me tell you, Congressman, that is a very interesting and
illuminating comment, the strongholds. Because you`re right, you`re going
to be fine, I think, but you should go talk to Darryl Issa, who looks
pretty scared about what you guys are about to pass. Congressman Mark
Warner, thanks for joining me.

WALKER: Thank Chris. I appreciate that.

HAYES: Next, after last night`s decisive win for Democrats, a look at
which the Republicans could face the Trump reckoning in 2018. And later, a
closer look at just how wrong Steve Bannon is about America.

(BEGIN AUDIO CLIP)

BANNON: I think Virginia has shown that if you get back to these issues of
sovereignty, get back to these issues of sanctuary cities, Kate`s law,
illegal aliens, that you can put a winning coalition together.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

HAYES: Statistically speaking, the person who woke up this morning with
the most to fear about her own political future might be this person:
Republican congresswoman Barbara Comstock tac of Virginia. And why?
Because Barbara Comstock represents Virginia`s 10th district. It`s a
distict which voted for Hillary Clinton by 2016 by 10 points and voted last
night for Democrat Ralph Northam for governor by nearly 13 points.

She is what you might call a vulnerable Republican in 2018, but she`s not
the only one. There are 23 Republicans across the country holding House
seats in districts that Clinton won: 23. And Democrats, get this, neat 24
seats to take control away from the House away from the Republicans. After
last night, I would expect all of those races to be very, very hotly
contested.

So was last night`s blue wave a sign of what`s to come in 2018? We`ll talk
about that with someone who has very, very good inside information, next.

(COMMERCIAL BREAK)

HAYES: One of the reasons Democrats could pull off a wave election in 2018
is the
conditions are ripe for it. Republican president is historically
unpopular. There`s only 37 voters approve his performance. Democrats
holding nearly a double-digit lead on the so-called generic congressional
ballot. You ask people who they want to vote for, Democrat or Republican,
and 29 House Republicans have left office or announced plans to leave
within the last year. The big question is this, can Democrats leverage all
of those conditions, which are very favorable, into a wave election
nationwide in 2018.

And Tom Perriello, who campaigned hard in Virginia for his primary
opponent, Governor Ralph Northam, joins me now. And also, you were part of
a group whose task was basically in Virginia to try to build a mini wave in
this election at the House Delegate level. You won 14 seats. There`s four
outstanding. Am I right about that?

TOM PERRIELLO, DEMOCRATIC POLITICIAN: Yeah.

HAYES: So what`d you do?

PERRIELLO: It was everyone. I mean, part of what was so incredible about
this was seeing
progressive groups and new pop-up groups in the party working together. We
fielded over 50 candidates. Most of that organically, people who, you know,
women who organized a women`s march in their town and then decided to
become a candidate. We were contesting in areas that hadn`t seen candidates
for a long time. And people put together these amazing, inspiring
campaigns.

HAYES: So you got the first step of it, it seems to me, is unique
candidates, right? So when you`re looking ahead to 2018, you`ve got to
contest everywhere. That seems to be one of the big
takeaways of last night was, four years ago in Virginia, I think about half
of those seats were
uncontested. This year, I think they were almost all contested.

PERRIELLO: Every office, every zip code. We were in rural, ex-urban,
suburban. We ran the most diverse set of candidates that we`ve seen in
Virginia`s history. So I think both making sure we have
diverse, dynamic candidates, making sure we`re contesting every office. Tom
Perez has spoken to that power hopefully. But we`ve been saying this for
ten years and not doing it. This time we`re actually doing it and I`m
really proud that Virginia led the way.

HAYES: So there`s unique candidates, and you`ve got to contest and
organize and knock on doors and do things like that, but then there`s this
question about what the message is, what are these candidates talking
about? How much is – Trump is this sort of atmospheric force, right?

But i was listening to Danica Roem who won and she`s talking about traffic
on Route 28, so, what was the connection between Trump out here as this
sort of gravitational force and what these races were at the ground level?

PERRIELLO: I think it was a mix. We had great campaign run by Governor
Ralph Northam in Fairfax and Herring. We were very clear in our progressive
principles of standing against the hate and
division. This was a referendum on an inclusive Virginia, but it was also
on who was offering a better plan for transportation and schools and
economic opportunity. And I think that`s why you saw people be able to walk
and chew gum at the same time. Be very clear what we were against, but also
have a
positive vision.

HAYES: One thing, when I look at the Northam ads, particularly the closing
ads, it was about job training, investment in vocational training, it was
about health care, which seemed key, he wants to expand Medicaid in a state
that hasn`t expanded Medicaid, you saw that big referendum in Maine, and
then it really was about this message about divisiveness. That seemed
pretty front and center in his campaign and down the line.

PERRIELLO: Well, I thought he ran a really principled campaign on the
message of an inclusive Virginia, but it was Ed Gillespie`s decision to put
Donald Trump on the ballot, by running the most racially divisive campaign
I`ve seen in Virginia in my lifetime.

HAYES: Really, you really think –

PERRIELLO: And that says a lot.

HAYES: Yeah.

PERRIELLO: The Republicans have really become the identity politics party.
When it boils down to it. And Democrats are the inclusive party. We believe
in liberty and justice for all. But I was driving all around the state for
these amazing candidates, and every radio ad from Gillespie was either
about the fear of Latino gangs or the veneration of Neo-Confederate
symbols. That was really all he had. And part of that is because the
Republican economic message is falling apart.

HAYES: This is a great point to me. When people say, Gillespie chose us
it`s like, one of the things that Donald Trump showed was that Paul Ryan
isn`t even that popular with the Republican
base.

PERRIELLO: Exactly.

HAYES: Go try selling it in a general election.

PERRIELLO: Yeah, no, I think this was a big part of it. Gillespie actually
tried for six or eight weeks to go with the traditional tax and spend so
liberal argument against Northam, who`s constantly
underestimated and who is going to be a great governor, but I think one of
the things we saw is people didn`t want it. They said, we tried that under
George W. Bush. It bankrupted the country, it bankrupted the middle class,
and I think as Jeff Flake has shown, there`s not really a pro-corporate
constituency out
there in that way.

And on the democratic side, you actually saw one of the boldest platforms
in modern Virginia
history. Two years of debt-free community college. Looking at issues of
predatory lending, criminal justice reform, a living wage and Medicaid
expansion.

HAYES: $15 minimum wage. Am I right about that?

PERRIELLO: $15 an hour minimum wage and the Republicans didn`t even pay to
run ads against it. That`s how quickly we`re mainstreaming ideas.

HAYES: That single detail to me is really fascinating. $15 an hour minimum
wage in Virginia, where you`ve got some folks that are like, I don`t know.
That`s not the issue that Gillespie tries to beat him up on. I think
there`s a lesson in that.

Tom Perriello, thanks for this.

PERRIELLO: And 400,000 might have gotten health care last night from
Medicaid expansion.

HAYES: Also true. Thanks for joining us.

All right, what do we have next here? Coming up, the failure of Steve
Bannon`s strategic brilliance as the Republican party reconciles on what to
do with Trumpism without Trump, and a special anniversary edition of Thing
One, Thing Two, next.

(COMMERCIAL BREAK)

HAYES: Thing One tonight, as we mentioned earlier, President Trump tweeted
out this photo
today on the one-year anniversary of his election win, touting what he
deems a massive electoral college landslide victory.

Trump, of course, lost the popular vote by about 3 million votes and in
terms of electoral vote margin, Trump`s massive victory ranks 46th out of
58 presidential elections. But he won and nothing wrong celebrating an
anniversary with the people who made it all possible. Although, there seems
to be
something missing from this photo, and that`s Thing Two in 60 seconds.

(COMMERCIAL BREAK)

HAYES: You know when you go to school reunions and they do a big photo of
everyone from the class who`s made it to the reunion, but it`s obviously
never every person, right? There are those who just couldn`t make it for
travel or family or one reason or another. It`s kind of like with this
photo that President Trump tweeted tout to celebrate his win one year ago.

You`ve got Hope Hicks, Stephen Miller, Jared Kushner, Dan Scavino, and
whoever that guy is
on the left. It makes you think of all the people who couldn`t be there on
Air Force One for that photo, not because they missed the trip to Asia. I`m
talking about those who have moved on, or were forced to move on. The ones
who is got cut before the first anniversary. What a difference a year
makes.

(COMMERCIAL BREAK)

HAYES: Two days before the election, Breitbart`s News Executive Chairman,
former Trump
Senior Strategist, Steve Bannon, was already taking a victory lap, telling
The New York Times, quote, “I think the big lesson for Tuesday is that in
Gillespie`s case, Trumpism without Trump can show the way forward. If
that`s the case, Democrats better be very, very worried.”

But that`s just a taste. This is how Bannon saw the race just 48 hours
before Gillespie`s big loss.

(BEGIN VIDEO CLIP)

BANNON: You had a guy like Gillespie, who was essentially eight, ten
points down four weeks ago, when the Gillespie campaign starts to really
embrace the Trump, you know, the Trump agenda, and all of a sudden
Gillespie caught fire because he`s embracing Trumpism.

I think it`s pretty straightforward. If you look in Virginia, you see the
grassroots are fired up.
They`re coming out now to embrace the Trump agenda. And as Gillespie has
now articulated it. Well, if the grassroots up, we win.

Sanctuary cities was not even an issue two and a half or three weeks ago.
Now it`s a huge issue and could be a defining issue. I think Virginia has
shown if you get back to these issues of sovereignty and get back to these
issues of sanctuary cities, Kate`s law, illegal aliens that you know, you
can put a winning coalition together.

So I think that whether Gillespie wins on Tuesday or not, he certainly
closed an 8 1/2 or 9-point gap in 3 1/2 or 4 weeks, based on these issues.
And I think those Trump, those kind of populist-nationalist issues are
winners. And I think we can win in 2018 if you just stick to the program
and don`t try to force amnesty down people`s throats.

(END VIDEO CLIP)

HAYES: Turned out Gillespie did not close the nine point gap but lost by
nine points running on those Trumpian themes. But of course to the Trump
cult, Trumpism never fails, it can only be failed.
The Gillespie sin, they say, parroting Trump himself, is that Gillespie did
not embrace Trump enough.

(BEGIN VIDEO CLIP)

LAURA INGRAHAM, FOX NEWS: Gillespie never jumped on board the Trump train.
He`s an old bush hand.

What if campaigned on preserving history respectfully, Virginia first, law
and order. Simple.

(END VIDEO CLIP)

HAYES: Yeah, real simple.

Meanwhile, the never Trumpers are saying I told you so very loudly. Rick
Wilson tweeting “
“Everything Trump touches dies.” The recriminations just beginning in a
party that already hates
itself.

David Jolley and Ben Howe join me next.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

REBECCA MANSOUR, BREITBART: There`s a resistance in general. It really is
the gift to the Republican party as you`ve told us many times. Right now,
you know, you`ve become, and you know that I`m your fan girl so I can say
this. I would be your fan girl even if you weren`t my boss but, you`ve
become basically the de facto leader of the Republican party.

(END VIDEO CLIP)

HAYES: Political acumen of Breitbart News Executive Chairman, Steve
Bannon, former Senior Strategist of President Donald Trump, may need to be
reconciled with the election results.

Former Florida Republican Congressman, David Jolly, and Senior Contributor
Editor at RedState, Ben Howe, join me now.

Well, David, what do you make of last night, particularly given Bannon`s
advice and Laura
Ingraham`s idea that problem is that Gillespie didn`t go fully all in on
the Trump agenda.

DAVID JOLLY, FMR FL CONGRESSMAN: This is the moment to remind the nation
that Donald Trump has never won a popular vote. Steve Bannon did not
architect a race where Donald Trump won a popular vote. The office of the
presidency is only election decided by an electoral college not a popular
vote.

What Donald Trump did and Steve Bannon did is they lost the popular vote
but they declared a popular mandate. Ever since they have done that,
January 20th, the president`s poll numbers have plummeted to where now
they`re in the low to mid-30s. No Republican can win embracing a president
with popularity in mid-30s and we saw that last night.

Democrats won virtually every race across the country for one simple
reason, and it`s because Donald Trump is President of the United States and
represents the Republican party and he was repudiated last night in races
from east to west coast.

HAYES: That your analysis, Ben?

BEN HOWE, REDSTATE: Yeah, and what is interesting about watching it all
unfold, lot of the
people who last year were telling me that Trump is not going to define
conservatism, they would acknowledge, he`s not really a conservative, we`re
just hoping he can advance our agenda as Republican.

I had said I fear this man will start to define everything for us and
everything will be about him.
And now what`s happening? He`s saying that it`s him that need to be
embraced. Not conservative principles, not the Republican foundation, none
of that mattered. All that matters is being close enough to Trump.

And as far as I can tell, embracing Trump simply means earning liberal
tears and upsetting people in the media and things like that. That`s
victory. I guess Gillespie did not do enough of that.

HAYES: You know that`s a really good point, David. This idea that what
it`s really about
is this kind of cultural grievance and making the right people upset,
making the right people angry.
That can be effective if you`re a talk show radio host or if you run a
heavily subsidized news
organization like Brietbart, which gets millions of dollars from mercers,
but it`s hard when you have to win races, because if you make a bunch of
people angry at you, it turns out they might vote against you.

JOLLY: And we saw that with Ed Gillespie, right? by all measures,
mainstream decent Republican who got caught up in this Trump kind of white
nationalist thematic of a campaign, recognizing it was slipping away from
him.

And listen, Chris, you`ve spoken to a lot of people, Republicans like
myself, who have been critical of Donald Trump. And I`ll be honest with
you, we`re in a weird spot today. As Republicans, it`s not that we`re
excited about Democrats winning elections, many of us are committed to the
party. But we have to accept last night as a necessary step towards the
implosion of Trump`s Republican Party if we`re ever going to be able to
rebuild the Republican Party in the image we believe it can be right for
the American people.

This is a family conversation within the Republican Party. Gillespie got
burned by it last night. And I think a lot of Republicans are going to get
burned in `18. It`s why the congress is in jeopardy.

HAYES: Ben, there`s a question here about, OK, well, now what. And I
think almost everything I`ve seen – Paul Ryan basically said, look we are
with Trump. We made that decision. It doesn`t seem like there`s any –
the only way out is through, is basically the message I heard on Capitol
Hill today from Republicans.

Is that basically your sense of where non-never Trump conservatives are,
where the Republican Party is?

HOWE: It seems that they feel that only way to get through this, is to
hold Trump`s hand long enough, the day care that was talked about before,
just babysit him long enough to survive this and hopefully manage his
behavior in such a way that something good can come out of it and then in
future
elections try to make up for it.

I don`t think there`s any chance that the Republican Party post-Donald
Trump is going to remember him kindly, even people who are now supporting
him, they`re all going to suddenly have been against him the whole time.

But I think that he`s shooting the Republican Party on 5th Avenue. And
it`s exactly what he said would happen, which is that he won`t lose
support, no matter how much he damages the reputation of other people, no
matter how clear it is that embracing him is bad for you, no matter how
toxic he makes the divisions in this country, nothing will dissuade them
because he`s got that R next to his name and that`s all that matters..

HAYES: All right, David Jolley and Ben Howe, thank you very much.

JOLLY: Good to be with you, Chris.

HAYES: That is All In for this evening. The Rachel Maddow show starts
now.

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