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The Ed Show for Tuesday,October 21st, 2014

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THE ED SHOW
October 21, 2014

Guest: Tim Ryan, Mitch Ceasar, Zach Crago, Patrick Duffy, Mark Pocan


(BEGIN VIDEO CLIP)

PRES. BARACK OBAMA, UNITED STATES OF AMERICA: ... under the Affordable
Care Act.

GOV. JOHN KASICH, (R) OHIO: Take your foot off to gas.

UNIDENTIFIED MALE: The expansion of Medicaid under Obamacare...

KASICH: We can`t take our foot off the gas.

This is not a support of Obamacare.

ED SCHULTZ, MSNBC HOST: Here is what I need you to do Governor Kasich.

KASICH: I`ve never been a supporter of Obamacare.

Period, exclamation point.

SCHULTZ: Be a man, stand up.

KASICH: Here`s the thing.

LAURA INGRAHAM, CONSERVATIVE POLITICAL COMMENTATOR: You guys are
practically spooning, you and President Obama. I mean, gosh.

UNIDENTIFIED MALE: The man has thrown away his career as a conservative.

KASICH: Take your foot off to gas.

(END VIDEO CLIP)

SCHULTZ: Good to you with us tonight folks, thanks for watching. Well,
we`re two weeks away from the midterm election and Obamacare is finally
getting some attention even from some Republicans.

Now everybody seems to forget, the law that was passed that gave 10 million
Americans health insurance but not Republicans Governor from Ohio John
Kasich. He had some shockingly kind words for Obamacare when the
Associated Press asked Kasich about repealing Obamacare in a campaign stop.
He said, "That`s not going to happen." Here`s perked up.

He immediately called the Associated Press to clarify his remark saying
that Obamacare can and should be repealed. He went on to say that the
opposition to Medicaid expansion was really either political or
ideological. I don`t think that holds water against real flesh and blood
and real improvements in people`s lives.

Wow. Excuse me Governor. Praising Obamacare on that level could be the
first of any Republican. Kasich realized that he made a mistake and the
Party is not going to go along with that. That could ruin his White House
run. So he better do a little backtracking, he did even further.

He told the Washington Post, "I don`t back Obamacare I never have. I want
it to be repealed." If the House and Senate are controlled by the
Republicans and we have a Republicans President Obamacare will be repealed,
flat out, flat out. It will be replaced.

If Obamacare is repealed, a lot of people in Ohio are probably going to be
unhappy. You see Kasich actually expanded Medicaid under Obamacare in his
state.

In fact, over 180,000 folks in Ohio had enrolled in Medicaid. The number
is eventually expected to go over 330,000 people. That`s a chunk of folks.

And of course Kasich knows the people in Ohio like the Medicaid expansion
so he backtracked again. The Ohio Governor said repeal shouldn`t apply to
Medicaid expansion and it should be preserved.

He told POLITICO, "I don`t really see expanding Medicaid as really
connected to Obamacare."

Excuse me again Governor. The two main parts of Obamacare are the state-
federal (ph) exchange in Medicaid expansion. Medicaid expansion, do you
see what it does? It lowers the cost for hospitals and care providers.
That`s why we`re saving money.

Obamacare is working for Kasich in Ohio. Here is where it gets tough
because you see the latest CBS New York Times poll has Kasich up by
whopping 16 points on Ed Fitzgerald who clearly has had some challenges.

The latest Quinnipiac Poll has Kasich up by as much as 22 points.

Keep in mind both these polls were completed well before Kasich decided to
jump in to Obamacare opinion column.

These numbers alone should convince any Republicans supporting Obamacare --
its good business. There is the similar situation unfolding in Kentucky.

Obamacare is also popular in the Bluegrass State or should I say big time.
Over 400,000 people have enrolled, this posses a problem for minority
leader Mitch McConnell who`s on the ropes. He slipped up in the recent
debate.

(BEGIN VIDEO CLIP)

U.S. SEN. MITCH MCCONNELL, R-U.S. SENATE CANDIDATE: Kentucky Connect is a
website. It was paid for about $200 and somewhat million grant from the
federal government.

The website can continue but in my view, the best interest of country would
be achieved by pulling out Obamacare root and branch.

(END VIDEO CLIP)

SCHULTZ: The website is pointless if you can`t buy insurance through
Obamacare, OK?

The most recent poll out of Kentucky shows the race is close. McConnell is
up on Alison Lundergan Grimes by only a point. I will be there next week
to check it out in Kentucky.

Obamacare is working and people like it. That`s right. People like it.
How do you know? Because if you were go right now, Fox News was just
pounding the story. Now, you don`t hear anything about it because you see
8.2 million seniors have saved over $11.5 billion in health care cost.
That`s real money.

The growth of health care has dropped from 2010 to 2013. Per Capita health
care cost grew in annual rate of just 1.1 percent, that`s the slowest rate
for any three-year period on record.

Conservatives, these are numbers you should absolutely love.

Hospitals are projected to save $5.7 billion this year in uncompensated
health care cost. That means the taxpayer isn`t forking out the tab
anymore when Americans go to the emergency room and Americans who can`t
afford care.

74 percent of those savings are coming from states that have expanded
Medicaid, including Ohio.

Meanwhile, Kasich says that Medicaid expansion and Obamacare, we`ll they`re
just not connected.

You can tell that the conservatives have turned this into not a
conversation about health care for millions of Americans. They`ve turned
it into a conversation about Obama and personality bashing and just how bad
this guy is and, "Gosh you can`t run with him because he has such low
numbers."

But believe me, you can run with Obamacare. You can even run with it in a
red state. Go ask John Kasich.

Gets your cellphones out, I want to know what you think.

Tonight`s question, "Does John Kasich have the character to admit Obamacare
works for Ohioans? Text A for yes, text B for no to 67622, you can always
go to our blog @ed.msnbc.com. And we`ll bring you the results later on in
the show.

Now, if, if, if, if the Republicans do get the Senate -- so, and they`re
going to probably hang on to the House -- I mean that`s -- because of the
gerrymandering.

So let`s see, that would really set the table for the Republicans to come
out with their plan, lock, stock, and barrel. Maybe they`ll do something
better than Obamacare. No, that ain`t going to happen.

For more, let me bring Congressman Tim Ryan of Ohio.

Congressman good to have you with us tonight.

REP. TIM RYAN, (D) OHIO: Great to be with you.

SCHULTZ: Do people in Ohio -- or should I say ask, do more people in Ohio
have health care because of Obamacare?

RYAN: No doubt, no doubt whether it`s the Medicaid expansion or the
credits and the exchange.

SCHULTZ: So why is the governor fighting the numbers?

RYAN: Well, I think he`s just a little bit ahead of his next campaign. I
think, you know, he wants to look like a moderate. He wants to -- he`s
having this conversation with Ohioans about how he`s -- this leader that
can pull everybody together.

And I think he was making that argument to do Ohioans saying, you know,
it`s never going to be repealed that`s what you`re trying to do when you`re
trying to pull in independent voters and then whoops.

SCHULTZ: Is there chance that the Republicans and maybe Kasich would come
forward with a plan that Medicaid expansion would be protected but it would
be a different kind of health care plan that they would scrap.

And then I thought -- but wait a minute. He just said he thinks a whole
thing ought to be repealed. The guy is all over the map.

RYAN: Well, here`s the crazy thing. When he first got in, Governor
Strickland had $400 million for a high-speed rail from Cleveland to
Columbus to Cincinnati. And he gave it back to the federal government
because he didn`t want to accept federal government money and be in the
hook for commitment but he`ll take the Medicaid money.

So there is no consistency in his plan. So he`s all twisted up in nuts
now. So it will be interesting to see how he wipes this off his shoe.

SCHULTZ: He reacted quickly after he said that on the campaign trail, he
called the Associated Press. That`s serious damage control. I mean,
within the moment which tells me that they really don`t have a plan which
he caught himself saying something that would be political damaging.

Do you think Republicans have a plan to do something about health care if
they get the power?

RYAN: No, I don`t think they do. I mean, clearly they keep voting for
repeal and we`ve keep saying, well what`s your alternative plan even during
the process of putting together the Affordable Care Act.

The President, Speaker Pelosi, Leader Reid. We`re all saying, what are
your realistic ideas that we can assemble together with this package and
they didn`t have anything. And they -- from the very beginning wanted to
bash it.

SCHULTZ: So, if the Republicans do win the Senate, are they willing to go
to the American people 180,000 maybe 300,000 in Ohio and say, we`re taking
it back? How can they do that? Because if the Democrats hang on to the
Senate, conventional wisdom is that Obamacare is home free. It will affect
so many people in the next by 2016 and 2018 they`re going to have to
surrender on it.

What about that scenario?

RYAN: I don`t think they can do it. You`re pulling out the Medicaid then
you`re also, you know, he says we`ll repeal everything else. So, what else
is there? The pre-existing condition provision that is protecting millions
of Americans from being denied coverage because they have a pre-existing
condition or that, you know, as college student, kids under 26 can stay in
their parent`s insurance, do you want to repeal that provision?

When you start giving in the, what all those other things are...

SCHULTZ: Yeah.

RYAN: ... those are pulling almost higher than the Medicaid is falling.

SCHULTZ: Yeah. All right, so can we come to conclusion that John Kasich
the Governor of Ohio is for Obamacare unless he`s running for President?

I mean, what other conclusion do you come to?

RYAN: That sounds about it. You know, and I think his practical side came
out I think. And he said, "Yes, this is something we want to do but that`s
why (ph) I`m planning Iowa.

SCHULTZ: I want to point it out. Today it was reported that McDonald`s
profits -- McDonald, the fast food chain, largest in the world. Their
profits plunged 30 percent this quarter.

Now, you wrote about fast food in your new book in eating healthy and named
the book is Real Food. And. you talked about a Food Revolution.

First of all, what do you write about? What do we have to do as a country
and what did you make of -- all of a sudden McDonald`s down 30 percent in
profits. What`s happening here?

RYAN: Well this is the -- the Real Food Revolution is the inside story of
what`s happening in D.C. that makes really crappy processed food cheap.
And we subsidized it with taxpayer money and it`s making us sick.

By 2020 half the country the country is either going to have diabetes or
pre-diabetes. They`re not going to balance the federal budget, you`re not
going to be able to expand Medicaid and pay for it, or Medicare. You`re
going to pull money out of private business because half the country is
going to have diabetes.

This manufactures that you love and I love and we want them to reinvest
back into the country, they`re not be able to do that if half the workforce
has diabetes and they`re paying this exorbitant healthcare cost.

I think what you`re seeing with McDonald`s is that there`s a mover foot in
the country where people are saying we are making ourselves sick. And
we`re competing against China, 1.3 or 4 billion people, we`re competing
against India 1.3 or 4 billion people. We only have 313 million people.

We better be healthy, vibrant, energetic, smart. Our kids better be able
to focus in their classroom, have a strong attention span, be creative not
lethargic. And we feed them a bunch of crap in the schools and then we
asked them to sit down and learn algebra and then we`re upset when they
can`t do it.

SCHULTZ: So, we have this big farm program for years which I`m in favor
of. It price supports, very important. We want to make sure the American
farmer is there and making a guarantee.

RYAN: Absolutely.

SCHULTZ: So we`ve got to be able to compete. The best way to compete is
making sure that we can feed ourselves as a country.

We`re just feed in the wrong stuff.

RYAN: Right. I think we got it -- this is not anti-farmer, this is pro-
farmer.

I think we need to shift the subsidies to fresh fruits and vegetables,
reduce the risk for the farmer...

SCHULTZ: Yeah.

RYAN: ... create markets for the farmer so they can be able to sell their
product to public universities, public schools. There`s markets there that
are waiting to be tapped, you think -- in Central Ohio, the Ohio State
University -- 60,000 students.

If Ohio State said next year, 2 percent of our local -- our food budget is
going to be local foods and from farmers in Central Ohio. Next year it`s
going to be 4 percent, next year it`s going to be 6 percent...

SCHULTZ: Yeah.

RYAN: ... next year is going to be -- you create a market for the farmer
and drive down the cost so this foods affordable for all our citizens.

SCHULTZ: Farmers don`t care what they grow. They just want to make a
dollar.

RYAN: The ones I`ve talked to, as long as they can make a profit. And the
thing is, you and I can`t go and say, "Hey, can you start growing peaches?"
And they say, "No, I got a mortgage, I`ve made investment, I got lands, I
got kids in college, of course I can`t just do that. Help me get there."

The Real Food Revolution is about a plan for how we get from where we are
today, where it`s McDonald`s, fast food, high sugar, diabetes, obesity,
heart disease to where we need to be.

SCHULTZ: And you point out how were a sick society because of what we eat
and what we have to do -- and what motivated you to write this? I mean,
this is connected to our budget problems, our health care problems, this
going to clears the beach, doesn`t it?

RYAN: Yeah. I think this is -- we think in Washington, boy if we come up
with a more complicated solution to this very complicated problem, maybe
then we`ll get it right.

This book is about getting back to the fundamentals.

SCHULTZ: OK.

RYAN: We are what we eat. And as Dr. Mark Hyman says in the preface of
the book, "I can`t cure diabetes in my doctor`s office. It`s cured at the
dinner table and what we feed our kids in schools. And ultimately that
makes us more competitive economically.

SCHULTZ: Is Ohio State going to beat Minnesota? It ain`t going to happen?

RYAN: It`s happening.

SCHULTZ: No.

RYAN: It`s already happened. I`ve already...

SCHULTZ: Minnesota is 5 in 1.

RYAN: I`ve already...

SCHULTZ: I`ve saw them play D.C. -- I`ve saw them play D.C., I wasn`t very
impressed but they`re undefeated in the league.

So make sure that Ohio State goes and eat some real food before they take
on the Gophers, OK?

Look, you know, I`m not one to push books. I don`t do that but this is so
connected to everything we`re talking about, the health of kids in this
country, our budget problems, keeping farmers on the land -- that`s very
innovative and you got a plan. There are so many people who criticize
stuff.

You have written about a plan, The Real Food Revolution. I congratulate
you on that, great job.

Thank you, Congressman.

Tim Ryan, he knows that Minnesota will beat Ohio State.

RYAN: That`s stricken from the record.

SCHULTZ: Stricken well. Kasich does it one or two (ph).

All right, remember to answer tonight`s question there at the bottom of the
screen. Share your thoughts with us in Twitter@edshow and on Facebook. We
want to know what you think.

Coming up. The scandal that could cause the Republicans the Senate. New
reports out of South Dakota could be the smoking gun.

Tie in the EB-5 scandal, Former Mike Round. But first, slick Scott are --
how Rick has new double talk when it comes to voting rights. Stay with us
we`ll be right back.

(COMMERCIAL BREAK)

SCHULTZ: What`s hot, what`s not? Time now for Trenders, social Media join
us, facebook.com/edshow, twitter.com/edshow and ed.msnbc.com, and you can
get my podcast of iTunes free 24/7. You can also find it @wegoted.com,
rawstory.com, and ringoffireradio.com.

Ed Show Social Median Nation has decided. We`re reporting. Here are
today`s top trenders voted on by you.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Why don`t you take a picture, it will last longer.

SCHULTZ: The number three trender, read my lips.

UNIDENTIFIED FEMALE: Michelle Nunn is responding to attack ads showing her
with the President Obama.

MICHELLE NUNN, (D-GA) SENATE CANDIDATE: Have you seen this picture? It`s
the David Perdue has used to try and attack me in this campaign.

UNIDENTIFIED MALE: Polls say you`re neck-and-neck.

NUNN: It was taken at an event honoring President Bush.

SCHULTZ: George H. W. Bush tells Michelle Nunn to stop using him in her
ads.

UNIDENTIFIED FEMALE: A Bush spokesman blasted the Nunn campaign.

Apparently, the Nunn team feels they can repeatedly disregard the former
President`s wishes.

UNIDENTIFIED MALE: Where I said it loud and clear.

SCHULTZ: The number two trender, stable condition.

UNIDENTIFIED FEMALE: You expect to a lot of New York streets, but a horse
on the loose.

UNIDENTIFIED MALE: You`re not from around here.

SCHULTZ: An escape carriage horse races traffic in Midtown Manhattan.

UNIDENTIFIED FEMALE: Making his way Sunday morning up 11th Avenue.

UNIDENTIFIED MALE: I almost got carried away that time.

UNIDENTIFIED FEMALE: At one point, police are able to grab him hooks (ph)
to the side of the road with a bucket of hooks (ph).

UNIDENTIFIED FEMALE: Mayor Bill de Blasio wanted to ban the horses during
his first week in office.

UNIDENTIFIED FEMALE: This doesn`t happen often. We have, you know,
stellar safety record.

UNIDENTIFIED FEMALE: It just an accident waiting to happen.

SCHULTZ: And today`s top trender, ballot backtrack.

UNIDENTIFIED FEMALE: Voters can get a head start and avoid long line on
Election Day.

GOV. RICK SCOTT, (R) FLORIDA: We got to get out and vote.

SCHULTZ: Rick Scott praises early voting after a years attempts to block
the vote.

Republicans have push for cuts to early voting.

SCOTT: When Mitt Romney lost, he lost because Republicans didn`t early
vote.

UNIDENTIFIED MALE: Should you have extended early voting hours.

SCOTT: Well, I`m -- I`m very confident that the right thing happened.

UNIDENTIFIED MALE: Scott let out the fact that long lines that discourage
thousands of votes from casting ballots was partly caused by Scott.

SCHULTZ: Voter polls were purged with the methods known to produce errors.

UNIDENTIFIED FEMALE: An appeals court said Governor Scott`s Administration
broke the law when it conducted that controversial voter-purge.

SCOTT: We can win this election.

(END VIDEO CLIP)

SCHULTZ: Joining me tonight Mitch Ceasar of the Broward County Democratic
Party. Mitch, will the real Rick Scott please stand up here. I fell like
were watching a game show. Where does this guy stand I mean we all know
that he is trying to suppress the vote for years, he change the roles. Lay
it out for us.

MITCH CEASAR, BROWARD CO. DEMOCRATIC PARTY: Well, what occurred was that
he decide that we better to make it more difficult for people who would
probably vote Democratic to not able to vote by cutting back voting hours,
by limning the last Sunday where a lot of the African-American population
do the souls to the polls voting. And thought that would work out really
well for him and of course it blow up for him, the lines were forever.

And if you spoke to people on the line three, four hours it would all
explain I`m never getting off this line, no one going to deprive me of my
constitutional right to vote.

So, this is a case of Rick Scott being against it before he`s for it.
Specifically, there`s more sinister situation here in play. I think there
are probably models his strategies have and say "You`re losing, you`re not
doing well, you`re going to win (inaudible) ballots like -- Florida --
Republicans usually do.

But maybe not by the same margin, so you need to talk about early voting
and try to get Republicans to kind of change their M.O. and those who have
not early voted to go out there.

I think there`s probably some model floating around saying Democrats are
doing better this time, certainly a lot better that he have done in 2010 on
early voting. And which we`ll still lose but not by the margins we had we
will infect mitigated it. So they see a trend, they`re not comfortable and
they`re tying to get Republicans to get out there and now beyond absentee
early vote. I think that`s the real goal.

SCHULTZ: Clearly out of character for the Governor, correct?

CEASAR: Totally on the character for this governor, totally out of
character for this Republican legislator, and frankly out of character for
the Republican Governor`s play book that we talked about before. This is
an act of desperation. He`s looking to find new voters by pushing
Republicans to something they`re not used to doing and that`s early voting.

SCHULTZ: What is it mean if the race is tied at 47? It`s far from
decided, it`s going to go down to the wire, there`s not going to be much
room between whoever wins this thing. That seems to be my line for every
race because there`s a lot of them in this country that are within the
margin of error and really, really tight. This one tied at 47, several
polls have been tied.

How important is to get out to vote? No doubt on both sides it`s
important. But the Republicans really don`t have a great track record of
getting the vote out in Florida do they?

CEASAR: Well, they don`t and actually his spend $57 million in negative
ads against Democratic Charlie Crist. What`s also come out today is the
Rasmussen Polls. And it`s very interesting because it shows the race
basically tied, all the trends been good for the last few weeks for Charlie
Crist at most of them showing them up by a point or so. But this poll
talks about that Charlie Crist is now leading among independence in Florida
by 10 points.

That`s tremendous movement especially that swing Central Florida I-4
corridor meaning Tampa, and Orlando.

One other thing in that poll that was interesting, it said 24 percent of
those people polled might change their vote. So it`s very, very fluid, the
Scott people are very worried, they`re trying to pin (ph) the things
they`ve never done. Certainly Rick Scott`s one percent folks like the
early vote -- excuse me like the absentee vote and not early vote.

SCHULTZ: Yeah.

CEASAR: Because, and they have to mix with other people.

SCHULTZ: Yeah.

CEASAR: That`s necessarily comfortable thing.

SCHULTZ: All right, I want to talk about this, the 2000 election we all
know what happened. And the integrity of vote is so important for 2016. I
hear this wherever I go that this is the reason why this governor`s
election is so -- gubernatorial election is so important in Florida for the
integrity of the vote so Florida isn`t stolen again. What`s your response
to that?

CEASAR: Well, I think you`re right on the money, and specifically in my
counting which is Broward, almost about two million people. We`re the
largest Democratic county in the state. We have here, in just this county
over 250 attorneys as part of a voter protection team that will be deployed
all over the county on Election Day. This is so close we could go in to
counting on Wednesday and so forth and, you know, Florida has a not so
sterling reputation.

I would add one other thing about the importance of Florida beyond this
governorship. And that is if Democrats in Florida care about perhaps,
maybe not this race because it`s an off year cycle, but care about who the
president is going to be, and if we have Democratic president. I try to
remind them that a Democratic governor will give us a level playing field
so that we won`t have another Presidential recount in 2016.

SCHULTZ: And we have the final debate between both candidates tonight the
Governor and Charlie Crist. Any new firework expected?

CEASAR: Well, CNN has said that no fans are allowed. But I will say that
this will be interesting because I think Charlie been doing a really good
job pinning Rick Scott down as he did in the last debate kind of got lost
among some of...

SCHULTZ: Yeah.

CEASAR: ... that fan fair. But I think this will be the one place Rick
Scott part upon will not be able to hide and take the Fifth Amendment.

SCHULTZ: All right, Mitch Ceasar good to have with us tonight. I`m
looking forward to work in Florida on Election Day in the days previous to
it, that`s my assignment this year, looking forward to a lot of action down
to the Sunshine State no doubt about it.

Coming up, the RNC takes a direct jab at the intelligence of Wisconsin
voters? I`ll tell you what`s really happening on the ground with Voters in
Wisconsin.

Plus, auditing Palin`s PAC, we`ll follow the money. And it lands the half-
term governor in tonight`s pretenders. But I got your questions next. Ask
Ed Live right here on MSNBC, we`ll be right back.

(COMMERCIAL BREAK)

SCHULTZ: And welcome back to the Ed Show. I appreciate the questions,
love hearing from all of our views.

In our Ask Ed Live segment, our first question tonight is from Debbie. She
wants to know, "Do you think Mary Burke will defeat Scott Walker in
November?"

To close to call, it is a toss up. Do I think I could happen? Yeah I do
no question about it. The issues are on the table. All the things that
we`ve talked about are still right there, not much has changed at all. And
so if voters are motivated on the progressive and liberal independent side,
yes I think that Mary Burke can defeat him but it`s going to be close, too
close to call right now.

Our next question is from Steve (ph). He want`s to know, "Why aren`t
Democrats campaigning on saving the postal service?"

That`s a great question. Who`s in favor of destroying the postal service
other than Republican politicians who want to privatize everything? Ask
you next door neighbors say "What do you -- do you think we should get rid
of the postal service? Nobody is in favor of that.

They`re making money. It`s Congress that is gotten to their button line
and forced them to do things operationally that they don`t want to do on
the first place when I comes to funding their health care. So this would
be a great thing for Democrats to go around and say "You know what? If you
let me, I`m for postal service, it`s a winner.

Stick around Rapid Response Panel is next.

COURTNEY REAGAN, CNBC MARKET WRAP: I`m Courtney Reagan with your CNBC
Marker Wrap.

The Dow finish up 215 points, the S&P and NASDAQ extended gains for the
four straight day with S&P up 37 point, the NASDAQ adding 103.

Apple shared grows more that 2 percent after the company reported a 13
percent rise in quarterly profit aided by strong demand for the new iPhone
6 and iPhone 6 Plus.

Coca-Cola on the other hand fell 6 percent on a report that its revenue
failed to meet analyst`s expectation.

That`s it from CNBC. We`re first in business worldwide.

(COMMERCIAL BREAK)

SCHULTZ: Welcome back to the Ed show. Thanks for watching tonight.

South Dakota, the race is interesting. The immigration scandal in that
state could decide the senate majority. South Dakota has broken out into a
three-way contest and it`s more than interesting. You see Republican`s
though former Governor Mike Rounds was sure (ph) to pick up a senate seat
for the Party.

Now new information out on the EB-5 scandal has rocked his chances of
winning. The federal program allows foreign investors to buy citizenship
at $500,000 a pop (ph). The money is invested in U.S. businesses and its
intended, intended to create jobs. It didn`t happen in South Dakota.

The EB5 investment dollars used to fund the Northern Beef packers plant in
Aberdeen, South Dakota went missing. Under then Governor Mike Rounds, the
business went belly up and the residents are still feeling the economic
fallout.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Almost $1.5 million in the economy of Aberdeen was
lost.

UNIDENTIFIED MALE: The day the plant closed, roughly within a month, 20
apartments vacated. You know the employees they had work in there, really
didn`t have any ties to Aberdeen. So, their wages quit, they just
(inaudible) and left.

UNIDENTIFIED MALE: We`re still haven`t paid for our wages 15 months later.

(END VIDEO CLIP)

SCHULTZ: The project was champion by Rounds. But the former Governor says
he had no involvement with the deal and a new report is not telling a much
different story. The founder of a firm which was hired to secure a loan
for the deals says he met with Governor Rounds and Northern Beef Packer
officials about the plant.

Rounds has no recollection of this meeting taking place according to this
spokesperson. Mike Rounds has already submitted inaccurate testimony to
the investigation on the plant`s mishandling.

South Dakota voters are starting to get the full picture of what put their
economy in danger especially in Aberdeen. We`ll see if continues at the
poll.

Joining me tonight in our Rapid Response Panel, Zach Crago, who`s the
Executive Director of the South Dakota Democratic Party and Patrick Duffy,
Attorney for the South Dakota Democratic Party also with us tonight.

Zach you first, has the inconsistent testimony by former Governor Rounds
been picked up by the voters. Is this taking effect?

ZACH CRAGO, EXEC. DIR., SD DEM. PARTY: Without a doubt it`s taking an
effect. Ed, thanks for having us on. The rounds for senate campaign is in
free fall and national Republican have been forced to bail his campaign
out.

Why? Because the EB-5 scandal has surface a number of issues that have
caught Mike Rounds flat out lying. Not only did he say that his office
wasn`t served papers, legal papers in an EB-5 lawsuit, that documents later
found to be untrue.

But he also said he wasn`t personally recruiting investor for the EB-5
program.

SCHULTZ: Yeah.

CRAGO: Well now we know a letter surfaced that shows Mike Rounds was a
personally involved. And as of course you said leading up into this
segment. Mike Rounds says he wasn`t involved in the shady $30 million
offshore banking deal that propped up this Northern Beef Packer`s Plant.
But in fact, not only was he involved, he was participating in the --
meeting where the deal was done.

SCHULTZ: All right, many people take that this is really going to change
the outcome of this senate race. Patrick the legal end of this, for
instance Katie Zerr of the Mobridge Tribune and she`s not the only one of
the state that has taken him to test on the editorial pages of the state.
She writes "Do we really want to send another man to Congress who may just
end up coming home to face criminal charges in connection with EB-5?"

Patrick Duffy as attorney, is that a real possibility is there a
possibility that this could follow Rounds for sometime to come?

PATRICK DUFFY, ATTORNEY, SD DEM. PARTY: Well, it should if doesn`t. The
serious lie that he has told so far is in submission of false material to
the government operations and accounting committee here in South Dakota.
In South Dakota and it`s been on the book since 1939, it`s a felony to
submit anything paper, writing, the statue (ph) says or thing to a
committee or an investigation.

And there`s another statue (ph) in South Dakota that says "If you do that
and you`re a public office holder, your forfeit your office and you`re
banned from holding public office in South Dakota for life.

SCHULTZ: So you have a Republican majority in South Dakota and the
legislator. So how is this going to Rounds if he did submit inaccurate
testimony Mr. Duffy, what about that?

DUFFY: I don`t know how -- it is -- and your viewers are probably well
aware. We had single party rule in South Dakota for about 40 years. The
Go Act (ph) committee is dominated by Republicans and suffusive to say the
Go Act (ph) committee didn`t do anything even after they had received
demonstrably false evidence from Mr. Rounds. They took absolutely no steps
to correct that.

SCHULTZ: So Zach, there some party protection going on here it sounds
like?

CRAGO: It sure appears that way. More over the states chief law
enforcement officer or attorney general was appointed into that position by
then Mike Rounds.

So it seems that there are clear conflicts of interest here that are
protecting Mike Rounds in his pursuit for the seat in the U.S. Senate.

SCHULTZ: So what are you hearing from voters. Had they caught up with the
EB-5 scandal? Is it taking hold?

CRAGO: Look the EB-5 scandal is not only in the news every single day,
headlines of the front page of papers and on T.V. stations everyday but now
we`ve had a flood of advertising into the state informing South Dakotans...

SCHULTZ: Yeah.

CRAGO: ... exactly about what happened in the Mike Rounds administration.
It is a clear case of public corruption here. And now South Dakotans are
learning about it, and people are talking about it everyday.

SCHULTZ: Well Mr. Duffy where`s the public outcry? Aren`t South Dakotans
curious about where millions of dollars went in EB-5 scandal which dealt
with $500,000 to give out Green Card visas to people who invested?

DUFFY: Well there`s -- the public outcry increases everyday. In fact,
we`ve been rather fortunate in earlier press conferences that Zach and I
held. We asked South Dakotans -- individual South Dakotans to come forward
and help us.

And we have gotten a lot of help from both Democrats and Republicans in
terms of turning over the documents to us that have allowed us to figure
this scandal out.

SCHULTZ: Well, we`ve tried to interview Mr. Rounds and that hasn`t been
successful, is he dodging the media Zach?

CARGO: Without a doubt he`s dodging the media, and in fact he continues to
make statements that have been contradicted by documents including
depositions, court documents, contracts and correspondents. And this is
happening every single day when he talks about the EB-5 scandal.

One reporter here in South Dakota described a statement that Mike Rounds
made about this EB-5 scandal at a word solid. It makes no sense. And of
course when you`re trying to defend the indefensible, what else can you say
except words solid.

SCHULTZ: All right, Patrick I appreciate your time tonight. Patrick Duffy
and Zach Crago, I appreciate it so much. It certainly has turned the
Senate race upside down the prairie, no doubt.

Coming up, new proof. The Walker campaign is running scared on the
Governor`s race on Wisconsin.

Wisconsin Congressman Mark Pocan joins me next and more voices from the
dairy state. Stay with us.

(COMMERCIAL BREAK)

SCHULTZ: And in Pretenders tonight, penny pension Sarah Palin.

Now we all know Palin is very generous when it comes to taking liberties
with the facts. According to a report from OpenSecrets, Palin`s PAC is
stingy when it comes to actually supporting Republican candidates.
SarahPAC had $1.4 million available in the third quarter, just $45,000 of
those dollars were actually going to Republicans running for midterms,
which works out to be what? 3 percent.

Now for the two -- for the two year -- 2014 election cycle, Sarah Palin,
SarahPAC has spent a total of $2.7 million. Only $150,000 or just 5.5
percent went to candidates. One thing`s for sure, Sarah Palin is low on
funds when it comes to political capital. Only 4 out of 15 candidates
endorsed by Palin this year managed to win in primaries.

The rest of Palin`s loot, well it`s being spent on consultants, travel
expenses and of course copies of Palin`s books for donors.

Some speculate Palin is lining her pockets for a 2016 run for the White
House, which of course would give Palin plenty of time to figure out
exactly where the White House is.

(BEGIN VIDEO CLIP)

FRM. GOV. SARAH PALIN, (R) ALASKA: Don`t` retreat, you reload with truth,
which I know is an endangered species said the 1,400 Pennsylvania Avenue
anyway.

(END VIDEO CLIP)

SCHULTZ: And a couple hundreds of that. If Republican donors think Sarah
Palin has invested in anything other than Sarah Palin they 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.

The governor`s race in Wisconsin, kitchen table issues are still front and
center as they were in 2012, which makes Scott Walker pretty nervous these
days. So nervous he`s calling in the cavalry. On Monday, National
Republican Committee Co-chair, Sharon Day came to Wisconsin to help out the
Governor.

One week after Walker said voters in Wisconsin have a work problem, Sharon
Day took it a step further. She says, I don`t want to say anything about
your Wisconsin voters but some of them might not be as sharp as a knife.
Walker`s camp has now been reduced to insulting Wisconsin voters, here`s
more on the story from Wisconsin.

(BEGIN VIDEO CLIP)

GOV. SCOTT WALKER, (R) WISCONSIN: 250,000 new jobs by the end of our first
term in office.

UNIDENTIFIED MALE: We are dead last.

Show me what democracy looks like.

UNIDENTIFIED MALE: This is what democracy looks like.

UNIDENTIFIED MALE: In majority of categories for the Midwest. So job
growth is not there, you know, he ran on his job creation ticket and I
would say he hasn`t produced. So you would think that people would wake up
and know what the hell is going on.

SCHULTZ: Walker`s policies have been so radical, residents of Wisconsin
feel there`s a deep divide in their state.

UNIDENTIFIED MALE: Governor Walker has done that. That was his whole
plan, was divide and conquer.

WALKER: Divide and conquer.

UNIDENTIFIED MALE: And I think he`s done that, if you talk to the people
on the street and they talk about talking points. They don`t talk about
what`s really happening.

UNIDENTIFIED MALE: We`re a deeply purple state, but we`re also compassion
it seem, we have a history of being fair to the working man. This is where
collective bargaining began for public sectors in the country, its right
here in Wisconsin. So, I believe we need to return to that moderation and
common sense in building up what`s best for everybody and that`s what the
state needs and that`s what this election is about.

SCHULTZ: Everywhere you go, they talk about turn out. Progressives in the
state are ready to mobilize and get voters to the polls to support Burke
and get rid of Walker.

MAHLON MITCHELL, PRES. PROFESSIONAL FIRE FIGHTERS: She`s got the
background. She`s actually created jobs before. You know, Governor Walker
talks his business background, which really is nonexistent.

Mary Burke has that background. She`s worked in government before. So she
knows how to create jobs, she knows what it takes, she`s a moderate, she`s
in nobody`s pocket which is a good thing. We need some moderation. We
need some real decency here at the State of Wisconsin. I think she can
provide that and we`re behind her 110 percent.

MARY BURKE, (D-WI) GUBERNATORIAL CANDIDATE: I`m a business person, I know
how jobs get created and it means you have to have that small business
growth. You have to have workforce training. You have to have a real plan
and it has to be aggressive.

SCHULTZ: This time it`s issues, at least a half a dozen of them. Isn`t
that enough to move folks?

MITCHELL: You talk about medicare and him not taking the expansion. You
would think that...

SCHULTZ: Minimum wage?

MITCHELL: Minimum wage.

SCHULTZ: Voter I.D.

MITCHELL: Voter I.D., Act 10 collective bargain, you would think that all
these things added up would make someone want to go the other way, and then
you talk about job creation.

WALKER: I know we can put more people back to work here in the state by
getting government out of the way.

SCHULTZ: Do you remember the -- this was several years ago right here on
this square is where all these thousands of people were?

STATE SEN. FRED RISSER, (D) WISCONSIN: 100,000 people, you`re right.

SCHULTZ: Well if they do what they got to do what happens?

RISSER: This area will get the vote out, but there`s the rest of the state
too, you know. If we get the vote out Mary Burke will win.

MITCHELL: Notice that the fight has gone from the capital to the streets,
and to the court room. And that`s where we need to be, out in the streets,
getting people out to vote, talking to our neighbors and getting other
people energized, because it`s going to take more than just public sector
workers to win this election.

(END VIDEO CLIP)

SCHULTZ: Let me bring in Congressman Mark Pocan of Wisconsin. Congressman
good to have you with us tonight, I want to go back to this comment, made
by the Co-chair of the National Republican Committee Sharon Day, was that
an insult as you see it to Wisconsin voters that they`re just not as sharp
as the knife?

REP. MARK POCAN, (D) WISCONSIN: Well, you know, this whole issue around
jobs I think is really turning on Governor Walker right now. You know,
somehow recently he`s putting it on us, on his constituents, that we`re the
problem, not him that he promised to create 250,000 and we`re dead last in
the midwest for job creation, but he`s trying to spin something different.

And just in the last week Ed, I think you saw on minimum wage, he actually
said he doesn`t think that minimum wage serves a purpose and even went as
far as to say that he wouldn`t repeal the minimum wage. I mean, what crazy
element of the Tea Party is actually advocating for the repeal of the
minimum wage, but it just showed this governor, not only will he not
increase it but he actually has an even more extreme view that he`s
contemplated, repealing it.

So, I think he`s really showing the workers of the state that he does not
support their efforts in the middle class and I`m thinking that`s going to
have a big effect in a couple of weeks.

SCHULTZ: But isn`t this an opportunity for Democrats to get Walker to
clarify how sharp he thinks the voters are, since it`s coming from the
National Committee Chair saying that they`re not as sharp as the knife? Is
that what Walker believes and he thinks that he can fool people by saying
that, "Well gosh we`ve done 110,000 jobs that`s really good." In a country
that has added 9 million? Give me a break. What about that? He`s
insulting the voters, isn`t he?

POCAN: Well, you know, he`s been doing this, there`s so many things about
him that he says one thing but the reality is different, you know, most
recently just last week he had the opportunity to apply for what would have
been, up to $60 million over four years for our state share of money for
preschoolers and he didn`t even bother to apply for the money.

You know, he`s already turned back $23 million in broadband money, he`s
turned back the money to expand Medicaid, so people lost health care and
all of this is because he`s busy running for president, not governor and
we`re just kind of something that`s on the path to the presidency.

I think people really want a governor who works first and foremost for them
and I think Mary Burke`s message is really been about that, job creation,
fighting for the middle class and trying to provide everyone with
opportunity.

SCHULTZ: Well conservatives loves numbers and I do too by the way,
especially when it comes to the economy. Look at the poll and look at the
map of the job growth. The poll is sitting at 47, but in job growth,
Wisconsin is surrounded by neighbors. 8.7 in Michigan, a 4.0 in Wisconsin.
Minnesota beats them 6.3, Iowa. Why is the neighborhood so much better
than Wisconsin?

POCAN: Well because they`ve got a governor and a legislature who`s trying
to work on behalf of the people of Wisconsin. Our governor is trying to
get elected president, I mean there`s definitely a huge disconnect with
that. So, when you look at the efforts that we`ve done and what we haven`t
done, you know, clearly we`re lagging behind.

One of the unique things about Mary Burke is she was the Secretary of
Commerce when I was in the legislature. She`s a business person. She`s
got a great track record in the very area that Scott Walker is the weakest.

So, you know, when you talk about a comparison if people are going to vote
their pocket votes (ph) and they care about their ability to support their
family, it`s a clear choice, Mary Burke has a much better record.

SCHULTZ: If there`s not, good voter turn out in Wisconsin, will you be
scratching your head?

POCAN: Well I`ll tell you, we`re going to do everything we can to get
voters out. We know that the drop off voter breaks about 60/40 for
Democrats. Every new voter we get is more likely to be a voter for Mary
Burke and by the last poll as you saw, with Scott Walker 47 percent, he`s
gone through a recall. No one`s going to -- in the next two weeks suddenly
go, you know, "I thought about it, that Scott Walker he`s not so back."

I mean people have a strong opinion on him. So if we get our voters out
there is no question we can win this election.

SCHULTZ: Congressman Mark Pocan of Wisconsin, good to have you with us
tonight, thanks for your time appreciate it.

That`s the Ed Show, I`m Ed Schultz.

PoliticsNation 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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