updated 11/5/2013 11:11:39 AM ET 2013-11-05T16:11:39

THE ED SHOW
November 4, 2013
Guest: Steven Beshear, Josh Lipton, Connie Schultz, Bill Burton, Melissa
Tomlinson


(BEGIN VIDEOCLIP)

GOV. STEVE BESHEAR, (D) KENTUCKY: A very big success for affordable
health coverage in this old country.

ED SCHULTZ, MSNBC HOST: If you had a moment with President Obama,
what would your advice be on how to make it right?

(END VIDEOCLIP)

SCHULTZ: Good to have you with us tonight, folks. Thanks for
watching. Hope you had a great weekend.

Two senators from Kentucky, Mitch McConnell who heads up the
Republicans in the Senate and Rand Paul who wants to be the president of
the United States, these two senators have been the biggest obstructers and
biggest bad mouthers of ObamaCare anywhere in the country.

But look what`s happening in their own backyard? This is the Poll
Center. And this is where Mitch McConnell and Rand Paul have never been.
They`ve never been here in Frankfort, Kentucky. It`s an obscure office
complex. It`s known as Building 12 and it`s kind of hard to find.

But this is where we were this morning. I wanted to go to Kentucky to
find out how this is working. President Obama last week in a speech at
Boston, Massachusetts, talked about what was unfolding in the state of
Kentucky and said that pretty much, this is the model.

Well let me tell you something. This is the man, right here, who is
making it happen in the state of Kentucky. This is the man who understands
the vision and he`s making health care a reality for Kentucky residents.

I sat down with the governor of Kentucky today, Steve Beshear.
Governor Beshear has been a big part of ObamaCare success in the state. As
soon as the law was passed, he saw the vision. They got to work on the
infrastructure for the exchange. They`re up and running and it`s working.
He`s cut through all the negative misinformation and all the lies that are
been out there about ObamaCare and clearly explained to us today why this
law is good, it`s working, and it`s great for the country as a whole.

(BEGIN VIDEOCLIP)

SCHULTZ: Congratulations.

BESHEAR: Thank you very much. Thanks for coming to Kentucky.

SCHULTZ: It`s good to be here. Why is it so smooth in Kentucky?

BESHEAR: Well our folks are the real heroes here, Ed the people that
work in this building that work all over state educating Kentuckians about
what the Affordable Care Act is all about.

Our folks got in early and worked with the vendors on the website and
as you know, we had very few problems with it and it`s cranking at people
that are joining up everyday at a rate of about a thousand a day. We`re
now over 32,000 people who have signed up for affordable health care.

SCHULTZ: You got on the ground floor, I mean, you wanted to do this,
correct?

BESHEAR: I wanted to do this but it was a two-part decision, you
know. Number one, is it the right thing to do? Well, of course, it is,
you know, expanding Medicaid is the right thing to do, setting up our own
exchange and not having kind of a cookie cutter approach that you would
have to have at the federal level was the right thing to do.

But particularly, on expanding Medicaid, I also have to be fiscally
responsible and I had to find out if we could afford to do this. And so I
asked outside experts. I brought in some actuarial folks and they took a
good hard look at this and they came back and sat down and said, "Governor,
you can afford not to do this."

SCHULTZ: What has it done for Kentucky from what you have seen?

BESHEAR: First of all, you can see an eagerness out there for
affordable health coverage. You know, we`ve got horrible health
statistics. We`ve had horrible health statistics for generations. And I
knew that we had to have some kind of transformational tool to really
change the game here.

And the Affordable Care Act gave me that and so now, for the first
time in history, every single Kentuckian is going to have access to
affordable health care we`re going to create over the next eight years.

According to the economic experts, about 17,000 new jobs, as a part of
this effort, there`s going to be about $15 billion of new money infused
into Kentucky`s economy.

So this is a win-win situation.

SCHULTZ: What do you think about other states that have rejected
this? What are -- I mean, you must be -- you see what it does for your
state, your thoughts on other states that just haven`t gone down this road?

BESHEAR: Unfortunately, I think a lot of them are making political
decisions as opposed to decisions in the best interest of their people.
And I would predict to you that over the next two or three years, most to
those states will end up doing exactly what we`re doing because their
people are going to see what Kentuckians are getting, what people in other
states that are doing this are getting affordable health coverage, and
they`re going to demand that their political leaders do just exactly what
we`re doing.

SCHULTZ: Now, you have done this with basically three contractors,
correct? And this hasn`t been a huge expansion of Kentucky government.

BESHEAR: Oh, not at all. I mean, we brought private enterprise in to
do this with us. We have our own people that already work in the Medicaid
system and public health and those kind of folks and we sail with these
private vendors, designed a system, you know, we kept it simple,
straightforward. We didn`t put a lot of bells and whistles on it.

We made it to where folks could go on and browse and shop and find out
exactly whether they`re qualified for Medicaid or if they don`t, what are
the health plans, what do they look like, do I qualify for a premium
subsidy. And then once they had all of that, then they can create an
account and go and do the job that it`s set up to do.

SCHULTZ: What reaction are you getting from consumer, from
Kentuckians? Do they care about the politics or they just hear to get
something that they don`t have or have never had an option to get?

BESHEAR: You know, we`ve got 640,000 people who don`t have health
care coverage and just the number speak to themselves. Over the first the
month, we`ve had almost 400,000 people swarming all over this website to
get this information, 70,000, 80,000 people on that toll free hotline
calling about the information. That doesn`t even include the folks that
are going in and out in our communities and talking with the connectors in
the public health departments and insurance agents that we have sort of had
to work with them. So people want this.

This is the first time in their lives, Ed where most of them will be
able to actually have health care coverage. You know, these folks are not
a group of aliens from some distant planet, they`re our friends and
neighbors, they`re folks that we go to church with, we shop and go to the
grocery with, we seat in the bleachers on Friday night and we will all
watch our kids play football and baseball and soccer, some of them are even
members of our family and these people get up every morning and work hard
to improve the quality of life for their people and they just hope and pray
that they don`t get sick because they know that they are one bad diagnosis
away from bankruptcy under the current system.

SCHULTZ: I notice on your map 120 counties in Kentucky .

BESHEAR: Right.

SCHULTZ: . and you have visited everyone of them and you`ve had
seminars in every county. On the national level, ObamaCare has had some
communication issues, make the connection there, what -- how do you view
that?

BESHEAR: Obviously, we`ve got a much smaller population to deal with
and we`ve got one set of insurance laws. The federal exchange ended up
having to deal with I think 36 different sets of insurance laws and of
course 40 to 50 million people. Now, having said that, I think if they
went back to do it over again which they`re doing now, you know, they`re
going to -- they`ll make it much simpler.

I think the biggest issue that they ended up messing up on was
requiring everybody to create an account before they could go browse and
actually find out the information. And that created a really lag jam in
the system. So, they`ll get the sticks. There is no question in my mind
that they`ll have it fixed and over the course of the next year too, you`re
going to have a very big success for affordable health coverage in this
whole country.

SCHULTZ: You have been a believer in this delivery system since the
day the law passed and then the Supreme Court ruling when that came out,
that`s what I understand your state really kicked into the high gear, took
advantage of all the federal grants to start implementing these things.

There are two higher profile politicians from the state, Mitch
McConnell, Republican leader on the Senate, Rand Paul who wants to be
president. They`re totally opposed to what you`re doing. What do you say
to them?

BESHEAR: Well, they`ve been a part of all the other critics helping
to weave that web of misinformation out there for months about the
Affordable Care Act. And finally, now that it`s active, now that people
can find out for themselves, that`s what Kentuckians are doing.

You know, they`ve heard all of this stuff and they don`t know what to
think. They`re confused like everybody else but they`re taking the
opportunity to go find out for themselves. And when they do, they like
what they find. You know, I`m telling everybody in Kentucky, you don`t
have to like the President, you don`t have to like me because this isn`t
about the President and about me, it`s about you. It`s about their
families, about their children.

So do me a favor, you know, go and check and you`re going to like what
you find.

SCHULTZ: So, if that`s the case, why are the Republicans on the
states are against it?

BESHEAR: Again, I think it`s politics, Ed and short-sided because I
know our folks have been saying Kentuckians don`t want this. Well, the
numbers speak otherwise, 400,000 I`ve been sure about this and they want
it, they`re eager about it. So, everybody knows that that`s just incorrect
and they`re going to find out, I believe. But by about this time, next
year, that people are going to look back and say "Wait a minute, this is
OK. I`ve got affordable health coverage. You misled me."

SCHULTZ: You think this will play into the midterms?

BESHEAR: I think it will play into the midterms, I honestly think
that the biggest issue in the midterms is going to be the dysfunction of
Congress. I`ll tell you, people here in Kentucky are disgusted when they
look at Washington D.C. and see the lack of anything going on. They are so
hungry to just have people, Republicans or Democrats who will sit down with
each other and reach across the isle and actually talk to each other
instead of pass each other and get this country moving again.

SCHULTZ: Well, this is the dynamic that`s playing out. The
Republicans have record number filibusters in the Senate obstructing a lot
of what President Obama wants to do. You`ve implemented what President
Obama wants to do, and there`s positive results.

I mean this is rather unusual political dynamic isn`t it?

BESHEAR: It is, but I know that when the national media look at --
looks at Kentucky they see the face of our congressional delegation. Well
Kentucky is a lot different than the face of our congressional delegation.
We`re a very progressive state. We are the leading in charge in education
reform. We are the first state to adopt the Common Core Standards. We`re
the second state to adopt the Next Generation Science Standards. We just
raised our gap at age from 16 to 18.

You know, we are aggressive in moving forward in education. Economic
development last year we were the -- we have the second highest job growth
rate of any state in the country. And our exports are setting records
right now. So, lots of good things going on in Kentucky.

SCHULTZ: What do you say to other governors that have denied their,
you know, residence and opportunity to do this? I mean -- I just find it
amazing that a state in the middle of the country can get it right and be
so aggressive in doing it right. And I have a lot of people calling your
office and saying, "Governor Beshear how do you do that?"

BESHEAR: I`d say to them, you know, take a deep breath and take
another look at this, because number on we all know it`s the right thing to
do from a health care standpoint.

If there is a way that you can insure everyone of your people or get
them affordable health coverage obviously that`s morally the right thing to
do. It`s also the right economically to do just to get some people to take
a look at what this will do for your state, from a job creation standpoint,
from money being infused into your economy. This is a win-win situation
for everybody.

SCHULTZ: Do -- Are you seeing consumers getting better rates?

BESHEAR: I think most consumers will get better rates obviously
640,000 of them have never had any rates at all, because they`ve been
unable to get insurance.

SCHULTZ: And that`s the key access, right?

BESHEAR: That is the key access. And we`re going to have a number of
people who were qualified for the extended Medicaid program and have a
number of people who would be able for the first time to buy qualified
health plans.

The coverage is going to be so much better than anybody ever had before in
terms of the behavioral health for instance and all the immunizations and
the screenings and the prevention and wellness. You know, that`s the big
key to this in the long run is zeroing in on keeping people out of
emergency rooms and out of inpatient care, and teaching them how to take
care of themselves, how to manage their diabetes, how to manage their heart
condition, so that they can have healthy lives.

SCHULTZ: You just use the word quality, the Affordable Health Care
Act has standard, your thoughts on that. And this is why as people are
getting notices saying that their insurance is being canceled, the junk
insurance industry is being cleaned up. Address that.

BESHEAR: Folks aren`t getting their insurance canceled. They`re
getting their insurance changed into something that is so much better than
what they`ve had before.

Yes, there are some essential benefits that are required in the future
for every health plan sold in the country not just the one sold on the
health care exchanges and look what people for the first time are going to
get no preexisting condition.

I mean, I don`t care what you have or what you`ve got, you will be
able to get affordable health insurance. No max on lifetime benefit. You
get some catastrophic illness. You`re not going get thrown off your plan
for running over. You`re going to have child care for the first time,
dental and vision care. You`re going to have behavioral health including
drug treatment and that`s going to be so important for so many in this
country.

SCHULTZ: Can you say with confidence and conviction that this will be
good for small businesses in Kentucky?

BESHEAR: I can say with all confidence that this is going to be great
for small businesses in Kentucky as matter of fact we have almost 400 small
businesses right now working to develop health plans in our exchange.

So, they`re finding out just like everybody else is, that all this
misinformation let`s cut through that, let`s get to the chase.

You know, this can work. This is going to work. And Kentucky is
going to be so much better for it.

SCHULTZ: Governor thanks for your time.

BESHEAR: Thank you Ed.

SCHULTZ: Appreciate it sir, great.

(END VIDEO CLIP)

SCHULTZ: Well, a long for an interview because there`s a lot to the
story. One thing is for sure there`s a heck of a lot more in Kentucky than
just towards racing and damn good college basketball, you know what I mean?

But this room right here, notice how no one is throwing anything at
one another. That computers aren`t breaking down. There`s no screening
going on. Nobody is pulling anybody`s hair out. The demeanor of this room
is highly professional. These people are very motivated. They know that
they are helping fellow Kentuckians.

And oh by the way, their call center is in Kentucky. It`s Kentucky
jobs. It can be done.

Coming up, we`ll go inside this nerve center at Kinect.

(BEGIN VIDEO CLIP)

SCHULTZ: What`s the key to having this so organized? On the ground
floor, what did you do?

(END VIDEO CLIP)

SCHULTZ: And later, our Ed Team was on the ground this weekend in the
state of Virginia. We`ll hear from both sides going in to tomorrow`s
governor`s race. You`re not going to see this anywhere else. Another Ed
Show explosive. Stay with us, we`ll be right back.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

SCHULTZ: This kind of make me feel pretty good that you`re, you know,
you`re in the middle of something, you know, revolutionary in America.

UNIDENTIFIED MALE: That`s right. It feels wonderful. Yes, it feels
like we`re doing something that really matters.

(END VIDEO CLIP)

SCHULTZ: They are. Welcome to the Ed Show. After my interview with
Governor Beshear, he gave me a tour of the Kinect Processing Center. I
found highly professional, highly motivated folks say well-oiled machine
hard working, work ethic Kentuckians getting after it. And of course they
haven`t experienced the same problems as certainly the national folks have.

The Governor introduced me to the people who make it all happen.

(BEGIN VIDEO CLIP)

SCHULTZ: Governor this hasn`t been a very elaborate roll out of
government expenditure to make this happen, has it?

BESHEAR: Well, look at this non-discreet building that this is our
nerve center, this is where it all happens and we`ve got dozens of people
in here most of whom are already on our payroll, out of the Medicaid office
and all of that and then the vendors have their folks in here and we work
together and we pull this thing off. I mean it`s an amazing feat but we
knew that`s what we wanted to do for the people of Kentucky.

SCHULTZ: And these are Kentucky employees, the call center is
Kentucky?

BESHEAR: Exactly and all .

SCHULTZ: So when somebody from Kentucky calls up they get a
Kentuckian on the line?

BESHEAR: You`re exactly right.

SCHULTZ: And is there a message there as well? I mean to make people
at home that this is really happening for them?

BESHEAR: You know, this is Kentucky doing for Kentuckians. These are
people who are dedicated to making this a success because they know that
they`re helping Kentucky families and they know that what we`re doing is
history making.

SCHULTZ: What`s the biggest piece of hogwash you`ve heard out there?

BESHEAR: We`ll there`s so many things out there, many, you know, many
parts of the misinformation project, I would call it, that the critics had
been going through but this idea that nobody wants it is one of the
craziest ideas in the world. We misprove that in Kentucky with the
hundreds of thousands of people in the first 48 hours that were piling on
to this website trying to find out about getting affordable health
coverage.

And these are the real heroes here in Kentucky. They`re a little
blurry-eyed but they`re very happy to be a huge part of the success of
this.

SCHULTZ: And nobody is throwing paper at one another or pencils or
anything like that. It`s also organized. What`s the key to having this so
organized? On the ground floor, what did you do?

BESHEAR: From the very start, we brought our vendors in and combined
them with our internal folks, folks in Medicaid, folks in public health,
all of the people that work with our programs everyday. And they work hand
in hand 24 hours a day seven days a week sometime to make sure that when
October the 1st came, we were up in running. We did extensive testing.
You know, we worked up the kinks and then, October 1 came and we hit the
ground running and we haven`t stopped yet.

SCHULTZ: People look to Kentucky as a model. And the you come in to
hear the call center and it`s working. This is going to be a great sense
of pride for you and residents that, you know, you`re doing it the way it`s
supposed to be done.

BESHEAR: Well, it`s exciting, Ed, obviously that Kentucky is
considered the gold standard and that people nationally and internationally
are talking about us and talking about our success. But as I mentioned,
these are the heroes here. I mean, they worked for months to get this
done. And we`ve got thousands of people all across the state out there
right now. The connectors, the insurance agents, the people in the public
health area, the non-profits that are onboard with us in educating our
people about what this is all about. And I tell, you every time somebody
finds out about it, they like what they find.

SCHULTZ: All right. I asked some of those workers in here if Mr.
McConnell or Mr. Paul have been in here. And they said, "No, they haven`t
been here yet." Would you ask them to come in and see exactly how this is
unfolding?

BESHEAR: I`d love to have our whole congressional delegation come in
here and see what`s actually happening here. You know, it`s one thing to
be in Washington DC and, you know, pass each other like they all do out
there, but they need to come and see what`s actually happening on the
ground here in Kentucky.

Look at these people. See what they`re doing everyday. Look at the
32,000 Kentuckians that are already signed up for affordable health
coverage. Look at the 350,000 people who are swarming all over this
website right now trying to get the information so that they can sign up
and get affordable health coverage. To me, that`s what`s really going on.
I mean that`s where the rubber meets the road is right here on the ground
in Kentucky.

SCHULTZ: What do you say to the Republicans who have said that this
is going to cost jobs? And that`s why I asked you earlier about small
business activity in Kentucky. It`s not going to cost jobs?

BESHEAR: It`s just not the case. You know, that`s just another one
of the elements of misinformation that`s being thrown in out there to
really discourage people from being a part of this. You know, the economic
analysis we did said, no one`s not going to cost job, it`s going to create
about 17,000 new jobs.

And we`re finding small business coming on the exchange and being very
active. I think we`re close now to about 400 small businesses who have
started application just in this month. So we got a lot of good business
activity going on here as well.

SCHULTZ: Because the conversation by the opponents of this entire
health care effort in America is that small businesses are going to be
taxed heavily, that small businesses are going to see their rates go
through the roof, and they are not -- they`re going to have to let people
go.

BESHEAR: Well, the fact is is that anybody under 50 employees don`t -
- they don`t have to do anything if they don`t want to. But folks under 25
employees, we`re urging them to check on this exchange because they can get
some tax credits and they might be able to provide affordable health
insurance for their folks at a lesser cost than what most of them are doing
right now.

(END VIDEO CLIP)

SCHULTZ: So how could 400 businesses in Kentucky have it wrong? Why
don`t we have 49 other Kentuckies across America? Well, it`s obstruction.
That`s the story on the ground in Kentucky, but this is the story in
Washington.

(BEGIN VIDEO CLIP)

SEN. MITCH MCCONNELL, (R) KENTUCKY: When it comes to jobs, some have
called the law the single biggest detriment to job creation in America
right now.

SEN. RAND PAUL, (R) KENTUCKY: Part time workers, the poor, may still
have no insurance but now they may have no job.

MCCONNELL: Jobs are being lost. Premiums are going up.

PAUL: The real problem is we`re driving everyone out of the
individual market.

MCCONNELL: It`s time to revisit this monstrosity because it`s clearly
an enormous drag on our economy.

(END VIDEO CLIP)

SCHULTZ: I just didn`t find that in Frankfort, Kentucky. Now if
Senator McConnell or Senator Rand Paul would like to join Ed Schultz in
that very same room and tell me something that I missed or maybe listen to
the employees who are signing up thousands upon thousands of Kentuckians
everyday, I`ll be glad to report it.

It`s easy to go to Washington and bad mouth anything. But when you go
to the Poll Center and find out exactly how many residents in that state
are being helped, you only shake your head as to why we aren`t doing that
in every state in the union.

You`d be the judge.

Coming up, we take you to the battle ground of Virginia for another Ed
Show exclusive. Plus Sean Hannity responds to my debate challenge. Come
on, Sean, don`t be a coward. Hey, what do you say we go to Kentucky
together?

But next, I`m taking your questions, Ask Ed Live just ahead stay with
us.

(COMMERCIAL BREAK)

SCHULTZ: Welcome back to the Ed Show. We love hearing from our
viewers tonight in our Ask Ed Live segment.

Our first question comes from Dina. Why aren`t insurance companies
being called on their role in obstructing and sabotaging the Affordable
Care Act?

Well insurance companies are awfully powerful. They are one of the
strongest lobbyist, if not the strongest lobby in Washington. They don`t
like competition. There`s no question about that. And they`re not real
happy about the Affordable Care Act which is to underscore just how
effective this law is and the way we`re going to get the ball rolling
nationally when it comes to insurance competition. Their role in
obstructing? They call themselves out. Just look at some of the
advertising that you see in your local market.

Our next question is from Pat Elvis (ph). Which Republican politician
would you most like to punch in the nose? Now, you`re trying to make
trouble for me. If I were to do that, I would get arrested. If I get
arrested, that means I can`t go to Canada anymore doing any hunting and
fishing. Republicans have screwed up a lot of stuff. But one thing
they`re not going to screw up is my outdoor life. There`s a lot more
coming up. Stay with us on the Ed Show.

JOSH LIPTON, MARKET WRAP HOST: I`m Josh Lipton with your CNBC Market
Wrap. The Dow at 23, the S&P at 6, and the NASDAQ gains 14.

It` the largest insider trading find ever -- the Hedge Fund SAC
Capital pleading guilty for criminal charges and agreed to pay $1.8 billion
to settle. And BlackBerry shares plunged more than 15 percent set the
smartphone maker abandon plans to sell himself.

Twitter raised it`s IPO price range between $23 and $25 to head of
it`s highly anticipated debut on Thursday. That`s it from CNBC, first in
business worldwide.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

KATHY HACKSHAW, MCAULIFFE SUPPORTER: Cuccinelli and the whole ticket
is just so scary.

UNIDENTIFIED MALE: Obviously, I`m going to be voting for Jackson for
lieutenant governor and Cuccinelli for governor.

UNIDENTIFIED MALE: We cannot stand another Republican, you know,
(inaudible).

UNIDENTIFIED FEMALE: We may have a really great candidate in Ken
Cuccinelli.

UNIDENTIFIED FEMALE: I believe in Terry McAuliffe.

BASSINGER: And I`m here to support Ken Cuccinelli.

UNIDENTIFIED FEMALE: We need Terry McAuliffe in the governor`s
mansion. We absolutely have to have him.

HACKSHAW: We hope to never hear the name Cuccinelli again after
Tuesday.

(END VIDEOCLIP)

SCHULTZ: Welcome back to the Ed Show. The Ed Show team was on the
ground at Virginia this weekend ahead one of the most important governor`s
races in the past decade.

President Obama joined hundreds of Terry McAuliffe`s supporters at
rally at Washington-Lee High School in Arlington, Virginia on Sunday.

We were there. We asked the voters. What were the issues motivating
them to get out of the polls tomorrow? McAuliffe`s supporters had this to
say.

(BEGIN VIDEOCLIP)

UNIDENTIFIED FEMALE: Looking out for his future and want to make sure
that he put society that we want him to grow up in.

UNIDENTIFIED MALE: I would`ve been much less motivated -- had it not
been for the government shutdown and the Tea Party trying to push everybody
rock.

UNIDENTIFIED MALE: We should tell we get up, got to get on here, cast
our vote.

UNIDENTIFIED MALE: Remember voter ID laws are changing next year so -
- and a lot of people don`t know what`s going on with the voter ID was.

UNIDENTIFIED FEMALE: This Tea Party disruption and government is not
good for us.

(END VIDEOCLIP)

SCHULTZ: Now the other side of the story. Dozens of Tea Partiers
were also at the rally screaming their hatred of the candidate they
referred to as Mc Awful.

(BEGIN VIDEOCLIP)

UNIDENTIFIED MALE: He`s a carpet bagger. That`s not the type of
person we want in the governorship.

UNIDENTIFIED MALE: Mostly association to Obama.

BASSINGER: He still want to bring Benghazi to the forefront.

KEVIN CUCCINELLI: I`m out here supporting my brother. And as a
physician, a lot of the medical staffs surround ObamaCare is a primary
importance to me.

(END VIDEOCLIP)

SCHULTZ: Yes. You heard that right. That last character was Ken
Cuccinelli`s brother, Dr. Kevin Cuccinelli, a family practice physician
from Colorado.

The issue`s very clear in this race. McAuliffe`s supporters are
concerned about women`s rights, voting rights, and ObamaCare. Cuccinelli`s
crowd is a bunch of typical Tea Party crazies.

Joining me now for Real Talk Panel, Pulitzer Prize winning, national
columnist, Connie Schultz, and also Bill Burton, former Deputy White House
Press Secretary and co-founder, Priorities USA.

Thanks to have -- Great to have both of you with us tonight. Connie,
you first, for women`s issues, certainly very huge in this race. Have
women`s issues in a gubernatorial race been so defined as they are here in
Virginia?

CONNIE SCHULTZ, NATIONALLY SYNDICATED COLUMNIST: Well, as you know,
we`ve been -- you`ve been talking about Virginia for quite some time, I`ve
been covering it for the last year and a half, two years. There`s been a
lot going on to try to suppress women`s right there. I love what Terry
McAuliffe, who -- let`s be honest, he`s not popping in (ph) with a lot of
Democrats but I think he could be the poll showed 30 percent of those who
are going to vote him are doing so because they dislike his opponent so
much. But he did say, "I am a brick wall when it comes to women`s abortion
rights."

He is going to protect those rights. He said he trust women who make
their own decisions for their own life. It`s concerning that this all --
what I think, one of only two states who are having statewide elections
this year, right, in the wake of the presidential race. This is huge
that`s why we`re all paying attention to Virginia.

ED SCHULTZ: Women`s issue is very big. This is what the folks told
us on the ground in Virginia.

(BEGIN VIDEOCLIP)

BASSINGER: I think Ken is the most for women candidate.

UNIDENTIFIED FEMALE: As a woman, I`m definitely a supporter of Sir
McAuliffe.

LISA MILLER, CUCCINELLI SUPPORTER: I don`t about you but I don`t know
want to die on an abortionist table. And the fact that he`s vilifying, Ken
Cuccinelli`s protecting .

HACKSHAW: Virginia is a very scary state right now and we need to
insure that girls and women have privacy and choices available to them.

(END VIDEOCLIP)

ED SCHULTZ: Bill Burton, Virginia is a very scary state right now.
Is that going to be a motivator, that sound, but I think is basically
exemplary of how many other people were saying the same thing to us that we
don`t have time to play. I mean, how big of a motivating factor is this
going to be for voters?

BILL BURTON, FORMER DEPUTY WHITE HOUSE PRESS SECRETARY: I think --
well, two things. For one, I think Terry McAuliffe was underestimated and
run a great campaign. Cuccinelli, basically, sit at the center but Terry
McAuliffe was able to go to it with issues that are progressive, but the
truth is progressive issues are mainstream issues when it comes to women`s
rights, when it comes to climate. And Cuccinelli is just been one of the
most fringe, out of the mainstream candidates in the whole country.

It`s why the League Conservation Voters has put him on there, dirty
dozen list, he`s one of the worst candidates in the country when it comes
to climate and energy. So Terry`s on opening and he was able to get to it
and really work the issue of climate, work, women`s issues, work mainstream
American issues, and turn Virginia of the state where it`s not going to
have a Democratic governor as long as Virginian shop and vote tomorrow and
two Democratic senators. Pretty amazing the state that Bill Clinton didn`t
even win.

ED SCHULTZ: Today, at a campaign rally, Cuccinelli said this election
is a referendum on ObamaCare. Here`s what the voters have to say.

(BEGIN VIDEOCLIP)

BASSINGER: All of Terry`s so-called plans and proposals will pretty
much tax us to death. And we already are paying a ton of taxes. Thanks to
ObamaCare.

LINDA CHAMBERS, MCAULIFFE SUPPORTER: The opponent, Cuccinelli, as
most people don`t know, was one of the first to file a lawsuit to demise
ObamaCare. And that is the very reason that I`m here.

DAN LONBERG, MCAULIFFE SUPPORTER: I view criticism of ObamaCare is
just making life more cushion for the rich.

EILENN COLLINS, MCAULIFFE SUPPORTER: Official that they see a lot
here against ObamaCare, I wanted to show my support for it. It`s exciting
to be on your parent`s insurance if you can get it otherwise.

(END VIDEO CLIP)

ED SCHULTZ: Connie Schultz clearly, Terry McAuliffe has not runaway
from ObamaCare. In fact, this has been a focal point of his conversation
of the benefits to the state of Virginia. If he doesn`t win, what is that
mean?

CONNIE SCHULTZ: I`m having a hard time mentioning that he won`t win
at this point. I think Ken Cuccinelli wishes he could make this a
referendum on the Affordable Care Act, but this is not a good time in
Virginia to be a Tea Party hero which is what he has been repeatedly
identified as.

It`s -- 170,000 employees in Virginian, federal employees, 30 percent
of North Virginia depends on federal spending. This is a horrible time for
him to be running because he has affiliated himself with the party that
tried to hold the country hostage and in effect did during the shutdown.

ED SCHULTZ: Bill Burton, your thoughts on that. The shutdown hurt
Cuccinelli?

BURTON: There`s no doubt that the shutdown hurt Cuccinelli. And like
Connie was saying, this is a very tough time to be saddled with the
Republican brand. And if this is indeed a referendum on ObamaCare, I`d be
very nervous of our national Republicans because if you look at the polling
over the course of the last weeks and months, even now when we`re in the
heat of the battle as it relates the Affordable Care Act.

Terry McAuliffe`s polling has continued to be steady and the
enthusiasm hasn`t worn off. So this is the referendum. It looks like the
referendum is going in favor of ObamaCare.

ED SCHULTZ: Bill, what about this picture right here? Bill Clinton,
very close to McAuliffe and has been for years. Hillary Clinton has been
there. The President is there -- was there on Sunday. The Vice President
has been there. I mean, the democrats clearly want Virginia. In the big
picture, what`s it mean?

BURTON: Well, and also the first lady has been there. What it means
is that we`re going to have a strong progressive governor in important
state, but also I think that Virginians have gone to know Terry McAuliffe
and Ken Cuccinelli a lot by their policies but also by the company they
keep.

And if you see the widely popular former President Clinton, you see
President Obama there, you see the former first ladies, Secretary Of State,
and Mrs. Obama and Joe Biden all go there versus Rand Paul and Marco Rubio
and Mark Levin, and this whole cast of characters from the Right Wing of
the Republican Party and I think people have a very clear sense to that
kind of direction that both candidates want to lead in and that`s why Terry
McAuliffe is winning this rest.

ED SCHULTZ: Connie, you made an interesting point at the start of
this segment. You said that -- to the effect that Terry McAuliffe has said
-- I don`t want to put words in your mouth but say the perfect Democrat, I
guess you could say he`s a centrist Democrat, will the liberals in the
state in there are -- there is no liberal base in Virginia, will they come
out and support Terry McAuliffe?

CONNIE SCHULTZ: If they care about the issues that we hold dear, they
will. I was really pleased to see that Hillary Clinton was there because a
lot of women as you know in these country particularly progressive women
are watching Hillary`s every move right now. And I think this goes well
for Terry McAuliffe that she showed up and I think it goes well for her
future candidacy should she decide to run for president to have Terry
McAuliffe as governor of Virginia.

ED SCHULTZ: It is a big one in Virginia, no doubt. Connie Schultz
and Bill Burton, great to have you with us on the Ed Show tonight. Thank
you so much.

BURTON: Thanks Ed.

ED SCHULTZ: Still ahead. New Jersey Governor Chris Christie loses
his cool again? The teacher who was on the end of his latest tirade joins
us exclusively on the Ed Show. Stay with us.

(COMMERCIAL BREAK)

SCHULTZ: And in Pretenders tonight, Mr. Intellectual Honesty, Sean
Hannity. I do believe it spooks. I do. I do. I do. I do. I do.
Hannity, last week, I challenged Hannity to a debate. It turns out Hannity
doesn`t have the guts to go head to head with me when it comes to
ObamaCare.

In fact, he released his statements saying, "To be blunt, I really
have better things to do with my time than attempt to educate a total
buffoon." Really? The insults just keep coming but of course, the facts
of ObamaCare stay the same.

Hannity claims that I`m looking for attention. Excuse me. I`ve been
in this business for 35 years. I got all the attention I want radio and
TV. I can`t do it anymore. Sean, this is about the people. It`s not
about you and me. It`s about the facts.

It`s important to point out, in all of Hannity`s recent attacks on me,
he has never once mentioned one fact that I was wrong on, he`s never once
came out and defended the lies I`ve called him out on. Now, he says he
doesn`t have any time for me yet he sure all loves playing me on his show
and his media wrap up or whatever it is.

Hannity uses his TV show as a means to twist the facts about ObamaCare
because he hates the President. If Sean Hannity wants to pretend he`s not
a coward on debating me or correcting his mistakes, he can keep on
pretending.

(COMMERCIAL BREAK)

SCHULTZ: Welcome back to the Ed Show. This is the story for the
folks who take a shower after work. Now progressives, we need to give
thanks, help, and support to our public school teachers across America.
And in the state of New Jersey, Governor Chris Christie, well he has a
different idea.

At a rally over the weekend it happened again. A teacher in his state
asked, "Why do you continue to spread the myth that our schools and
teachers are failing?" Christie answered in what`s become his trademark
way. A tirade as shown in this photo. Look at this guy`s face. Look at
that. I mean being a leader of people, now this is nothing new for the
governor of New Jersey. The man acts like a school yard bully at nearly
every campaign event.

(BEGIN VIDEO CLIP)

GOV. CHRIS CHRISTIE, (R) NEW JERSEY: You know what, and you know
what, and you know what, let me tell you -- let me tell you this, you know,
what it`s people who raise their voices and yell and scream like you that
are dividing this country.

If what you want to do is put on a show and giggle every time I talk,
well then I have no interest in answering your question. I can go back and
forth with you as much as you want. And let me tell you something after
you graduate from law school you can tuck yourself like that in the court
room your real end is going to get thrown in jail idiot.

UNIDENTIFIED FEMALE: Christie kills jobs.

CHRISTIE: Really? You know, some may go down tonight, but it ain`t
going to be jobs, sweetheart.

(END VIDEO CLIP)

SCHULTZ: Melissa Tomlinson an elementary school teacher who also runs
an after-school program asked I think a very fair question with the
governor. New Jersey public schools have performed well on the metric most
school reformers like Christie himself believe are the most important
telling about academic achievement, standardized test scores. This doesn`t
seem to matter to Christie; the governor cut more than $1 billion in state
aid to schools in his first year in office.

(BEGIN VIDEO CLIP)

CHRISTIE: You actually are people seeking high office in this state
who say, that having 200 schools that are failing in New Jersey is
acceptable. And I assume for those folks it is acceptable because I assume
their children don`t go to one of those 200 schools that are failing in New
Jersey.

(END VIDEO CLIP)

SCHULTZ: Scolded teacher Melissa Tomlinson wrote an open letter to
the governor after their confrontation. She wrote.

You are setting up teachers to take the blame for all of this. You
have portrayed us as greedy, lazy, money-draining public servants that do
nothing. I invite you to come do my job for one week Governor Christie.

Melissa Tomlinson joins us tonight here on the Ed Show. Ms. Tomlinson
I appreciate your time tonight. Your response to the way the governor
responded to you was it demeaning.

MELISSA TOMLINSON, MIDDLE SCHOOL TEACHER: My response or his response
to me?

SCHULTZ: I mean, how do you feel now that you would have this
exchange with a governor of New Jersey who has cut 6,000 teachers and $1
billion out of the budget claiming that he is a big advocate of fixing
schools. You go back at him say that he is blaming the teachers. Break it
down for us.

TOMLINSON: Well, like you said, the governor have cut $1.3 billion in
education funds when he first became governor and he goes around now
telling about his education budget of almost $9 billion, but that`s not
taking a lot of factors into account. That`s not showing us how much money
is actually going into the classroom these days.

Districts all over our state are feeling the pressure of trying to
meet their budgetary needs. We have this new Common Core States Standards
coming out which are absolutely draining our budgets. They haven`t been
validated, they haven`t been researched, it`s starting to show that there
are developmentally and appropriate, there are tied to standardized
testing, a new format which is going to be expensive for the state.

The whole package that the educational system itself is being sold, it
needs to be analyze. There is not a lot of educational validity in this at
all and we need to realize that they`re trying to funnel our money into
these corporations that are behind these standards.

SCHULTZ: How offended were you by the governor?

TOMLINSON: I was very taken aback, the phrase you people just kind of
-- I didn`t know what he meant by that, I wanted to get some points in with
him, wasn`t able to. That`s why I wrote that letter the following morning.

SCHULTZ: So he said I`m sick of you people was that the direct quote?

TOMLINSON: That was what I remember it as being, he says it was
something different, I`m not going to give into like you said, he said type
of thing, I do have a reporter who snapped the pictures backing up what I
said, the whole reference to you people was the meaning in itself and then
at the end of the conversation when I was still trying to have the
conversation with him. He just looked at me and told me to go do my job.

SCHULTZ: What was the response of the other people in the crowd that
were looking on at this exchange?

TOMLINSON: The crowd actually cheered for him, it was a little bit
scary, they tried debating with me as well. One person told -- turn to me
and said, `Honey, you`re in the wrong place for this." I just kind of
looked at her, I shrug, I said, "I know, I had to do it." People need to
understand, this is my life, this is teachers` lives, this is their
passion, and all of us need to start voicing that and start standing up for
what we know was right in education.

SCHULTZ: You think the governor will respond to your letter in
anyway?

TOMLINSON: I believe that there was some type of response out there,
some of my friends -- the bad ass teachers have told me up something. I
really have been able to get online too much today. I was in the classroom
all day.

SCHULTZ: All right. Melissa Tomlinson, I appreciate your time
tonight and thank you for what you do as a profession, I know you`re
students count on you and thanks for sticking out for teachers and having
the guts to go to the governor face-to-face on that. And we will follow up
to find out if the governor is going to spend a week in her classroom. Go
do her job for a week governor.

That`s the Ed show. I`m Ed Schultz. Politics Nation with Reverend Al
Sharpton starts right now. Good evening Rev.

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

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