Standoff Over Payroll Tax Cut; Interview With Congresswoman Nan Hayworth; A Final Best Friend
BALDWIN: Some are calling this politics at its worse. Republicans, Democrats, both on Capitol Hill, seemingly unable and unwilling to agree on extending and funding the payroll tax cut. So check your calendars here and this countdown that the White House is more than happy to provide for you. In 10 days, the White House countdown clock shows 160 million Americans will be on the losing end. That means starting in 2012, your paycheck will get smaller, about $1,000 less a year for the average family. And it looked like maybe relief was in sight when the Senate approved that two-month extension as the parties hashed out a bigger long-term deal, but then yesterday, if you were with us right around this time, House Republicans, going against their own members in the Senate, rejected the extension. We heard from the House Speaker, we heard from the president as well. Now the move is to get those talks started again. Let's go straight to Capitol Hill, to Congressional Correspondent Kate Bolduan. She's back up there with the latest here. And from what we heard -- I heard Jay Carney in that White House daily briefing saying that the president has in fact recently reached out to House Speaker John Boehner. Do we know what exactly "reached out" means, and does that mean there could be a meeting soon?</s>KATE BOLDUAN, CNN CONGRESSIONAL CORRESPONDENT: I wouldn't say that there's any word of any meeting soon, but there were phone calls, and maybe we could read at least that little bit of news as progress, Brooke. The president, according to the White House, did reach out -- did call, place calls separately to House Speaker John Boehner, as well as Senate Majority Leader Harry Reid. And in that call to House Speaker John Boehner, according to a readout provided by the White House, President Obama, he reiterated kind of what we've heard from him in the past days, which is that he's committed to working with Congress to reaching a longer-term, a more comprehensive deal, a one-year deal to extend the payroll tax cut, but in the interim, to avoid Americans seeing a tax increase come January 1st. He says the only viable option is to pass the bipartisan compromise that was passed by the Senate. This comes as House Speaker John Boehner met today with Republican members that he has appointed to what he hopes will be a conference committee to hash out differences between the House and the Senate. And on this same phone call, according to an aide to Speaker Boehner, he urged the president to call on Senate Majority Leader Harry Reid to do the same, to appoint negotiators to kind of get these talks started back up again. But as you well, know, the Senate Majority Leader and congressional Democrats, they have no intention of starting back up talks again even though they all want to get to a one-year deal until the House moves to pass this short-term extension. So, as you can see, they are talking, but a lot of talking past each other right now, Brooke, because neither side is budging. And other than that, there is very little going on up here since both the House and Senate are out and most members are not in Washington.</s>BALDWIN: Well, we know some of Congress are still in Washington. I know you've seen some. We're about to speak to one here not too far from where you're standing. But I'm sure you've seen "The Wall Street Journal" today, a fiery, critical opinion piece, essentially going after Republicans. "The Wall Street Journal" doesn't often do that. And I'm just curious, because we've also seen on the Senate side, Senate Republicans critical of House leadership as well, is the House -- is Speaker Boehner at all feeling the pressure today?</s>BOLDUAN: Well, I think you can be sure that the pressure is mounting. And you mentioned that "Wall Street Journal" editorial. That seems to be one of the most recent kind of ads to this mounting pressure not only on Congress. This is specifically on House Republicans. Just a little bit from that "Wall Street Journal," if I can read to you. In part, it says, "Given how he" -- meaning Senate Minority Mitch McConnell -- "and House Speaker John Boehner have handled the payroll tax debate, we wonder if they might end up re-electing the president before the 2012 campaign even begins in earnest." It goes on to say, "At this stage, Republicans would do best to cut their losses and find a way to extend the payroll holiday quickly." Now, this comes in addition to a growing number of Senate Republicans -- and this does not always happen, Brooke, so it is very noteworthy -- coming out to criticize their colleagues in the House to say that this move to reject the Senate compromise is irresponsible. And we're also getting a sense, I am, from Republican aides, both publicly and privately, saying that there's a general frustration up here of how House Republicans have played this. One aide saying to me that they are on an island of their own and that House Republicans went all in on what they thought was a good hand, and it wasn't -- Brooke.</s>BALDWIN: Kate Bolduan, I appreciate you. Thank you so much. We should also point out that the White House, taking advantage via Twitter, it's posting this Twitter page, asking Americans, "What can you do with $40?" That's the amount an average family making $50,000 each year would lose in a paycheck if this payroll tax cut is not extended. And joining me now is one of those eight Republicans on that committee, Congresswoman Nan Hayworth of New York. And Congresswoman, we appreciate you sticking around town and talking to me here. And I can only guess that you're staying in Washington not because you like how the Jefferson Memorial lights twinkle, but it's because you're hoping that you're going to be called back to do your job. Yes?</s>REP. NAN HAYWORTH (R), NEW YORK: Right. Yes. We are hoping very much, because we're here to fight for the American people. Two months versus one year, you be the judge, Brooke. It's far preferable to have a one-year tax holiday than two months, and then being on a cliffhanger again. And not only that, but we have Medicare, seniors, their patients, their doctors who are seeking relief from what will be a terrible burden, a 27-plus percent cut in reimbursements that will start up two months from now, or two months from January 1st, if we don't act. In the bill we passed through the House, with Democratic votes, we had a two-year relief from that burden. It's going to be hard to make appointments. It's hard to make a schedule. It's hard to make plans when you have got that hanging over your head. So we're fighting as hard as we can.</s>BALDWIN: I want to press you on this a little bit, but I do just want to ask -- as we pointed out, a number of your colleagues are in town. I'm just curious about Democrats. Do you know how many of them are around town right now? And have you at all spoken with any Democrats at this point, the last 24 hours?</s>HAYWORTH: I haven't spoken with any of our Democratic colleagues since we left the floor yesterday, but would be more than happy to. And I think at least a couple of them are around. And we'd love to join them at the negotiating table.</s>BALDWIN: Here's the thing, Congresswoman Hayworth. And I know you talk to your constituents, you know this. Americans are fed up. You've seen the approval ratings for this Congress. They are at an historic low. There is bipartisan -- I don't even want to use the word "malaise." I think it's beyond that. It's frustration, it's anger. And many saying, including Senate Republicans, it's the leadership in the Republican-controlled who is holding this thing up. Listen. If I may, I want to play some sound. This is Republican Senator McCain speaking with Wolf Blitzer just yesterday. Take a listen.</s>SEN. JOHN MCCAIN (R), ARIZONA: It is harming the Republican Party. It is harming the view if it's possible any more of the American people about Congress, and we've got to get this thing resolved.</s>BALDWIN: Harming the Republican Party. Harming your party. Do you agree?</s>HAYWORTH: Well, Brooke, we were elected overwhelmingly in 2010, the most immediate voice of the American people to -- actually, then Speaker Nancy Pelosi. The most immediate voice to fight for the American people, to fight for common sense in the way we burden them with taxes, in the way we burden them with regulations. We're trying to lift those burdens. We'd like to lift them for a full year. That's fighting for the American people. That's common sense at work.</s>BALDWIN: But a lot of these voters, they certainly did vote for change. They wanted members of Congress such as yourself to hold the government accountable, but yet we're looking at this impasse, and in 10 days we're looking at these Americans who voted for you to serve them to be paying a little bit more in their paychecks if this things expires.</s>HAYWORTH: Well, Brooke, I think that the firm aim of all of us participating in this conference committee so far designated only by our House Republican majority, it's true, is to assure Americans that they will have that relief. We're not trying to leave anybody in limbo, and we're going to get this done as fast as possible. We are all too mindful, as we should be, of their needs. So we will get the relief that they need.</s>BALDWIN: So, straight up, 10 days. What do you tell your husband, your family, who I'm sure are eagerly awaiting you to come home for the holidays? Will you be home for the holidays with a deal?</s>HAYWORTH: Well, I certainly hope so. And the best Christmas present that someone like me could have, or Hanukkah present, in the case of my combined family, is to be able to work out a longer-term solution for America's taxpayers, for our seniors and doctors who participate in Medicare, and for everybody who needs some certainty that things are going to improve, the federal government is going to be on their side.</s>BALDWIN: But if the short-term deal is the only thing on the table, and you've got 10 days, two days, do you take it and walk away, or do you not?</s>HAYWORTH: Well, you know, Brooke, we're here ready to work. So we're concentrating on that goal right now, and I think that's important.</s>BALDWIN: OK. Congresswoman Nan Hayworth, I really appreciate you speaking with me. Thank you. Coming up in a couple of minutes, we'll speak live with Craig Crawford, who says Congress should just go home and never come back. He's fired up over this. Can you tell? Stay tuned for that. Also, it is the holidays. Kids are supposed to be happy and smiling, but when all you want for Christmas is to keep your family together, forget writing to the North Pole. It's the Oval Office that's getting letters, all these letters from kids who don't want to be deported.</s>UNIDENTIFIED MALE: This right here is my life. Here's my town. Here's my -- everything I have is right here in Georgia. I just don't want to go.</s>BALDWIN: Don't miss this. Two minutes away.