1 00:00:02,120 --> 00:00:06,400 Speaker 1: Live from our nation's capital. This is Bloomberg Sound on 2 00:00:07,680 --> 00:00:11,320 Speaker 1: middle income families need help. We're coming out of COVID nineteen. 3 00:00:11,480 --> 00:00:13,480 Speaker 1: You want to keep our economy strong. When you have 4 00:00:13,520 --> 00:00:16,200 Speaker 1: an infrastructure build, there's spin off, the back spin option 5 00:00:16,280 --> 00:00:20,440 Speaker 1: cities from towns all across from America. Floomberg Sound On Politics, 6 00:00:20,480 --> 00:00:24,120 Speaker 1: Policy and Perspective from DC's top name. So we need 7 00:00:24,160 --> 00:00:28,400 Speaker 1: to incentivize the manufacturing of chips in America. I do 8 00:00:28,480 --> 00:00:31,560 Speaker 1: believe the vaccine state effective. I think what government's role 9 00:00:31,800 --> 00:00:35,560 Speaker 1: is to share the clients, share the fact, share the benefits. 10 00:00:35,640 --> 00:00:41,720 Speaker 1: Schloomberg Sound On with Joe Matthew on Bloomberg Radio. One 11 00:00:41,720 --> 00:00:45,080 Speaker 1: of those days in politics that you will remember. Thanks 12 00:00:45,080 --> 00:00:47,400 Speaker 1: for sharing it with us on Bloomberg Radio. As the 13 00:00:47,440 --> 00:00:52,400 Speaker 1: Senate passes an infrastructure build with bipartisan support and the 14 00:00:52,440 --> 00:00:55,880 Speaker 1: governor of New York announces his resignation following a series 15 00:00:55,920 --> 00:00:59,279 Speaker 1: of sexual harassment allegations, will start with the news from 16 00:00:59,320 --> 00:01:03,760 Speaker 1: Andrew Cuomo today. We all fought infrastructure passing the Senate 17 00:01:03,760 --> 00:01:07,480 Speaker 1: would top the news, and it did until this happened. 18 00:01:07,520 --> 00:01:11,160 Speaker 1: The best way I can help now is if I 19 00:01:11,280 --> 00:01:16,240 Speaker 1: step aside and let government get back to governing, and 20 00:01:16,280 --> 00:01:19,440 Speaker 1: therefore that's what I'll do. New York Governor Andrew Cuomo, 21 00:01:20,000 --> 00:01:23,480 Speaker 1: soon to be former governor, speaking in a live address 22 00:01:23,560 --> 00:01:25,920 Speaker 1: that caught many off guard. Today. You heard it as 23 00:01:25,920 --> 00:01:29,520 Speaker 1: it happened on Bloomberg. Kathy Hokel, my lieutenant governor, is 24 00:01:29,560 --> 00:01:35,120 Speaker 1: smart and competent. This transition must be seamless. We have 25 00:01:35,200 --> 00:01:39,200 Speaker 1: a lot going on. I'm very worried about the delta variant, 26 00:01:39,959 --> 00:01:43,120 Speaker 1: and so should you be. But she can come up 27 00:01:43,160 --> 00:01:46,679 Speaker 1: to speed quickly, and my resignation will be effective in 28 00:01:46,760 --> 00:01:50,960 Speaker 1: fourteen days. Fourteen days. Governor Cuomo acknowledging several of the 29 00:01:51,000 --> 00:01:54,040 Speaker 1: allegations posed against him as he spoke. He described his 30 00:01:54,120 --> 00:01:58,400 Speaker 1: sense of humor as at times insensitive, and he reiterated 31 00:01:58,520 --> 00:02:01,560 Speaker 1: that he was only trying to show a action. We've 32 00:02:01,600 --> 00:02:05,360 Speaker 1: heard reaction from the state level to the federal level, 33 00:02:05,440 --> 00:02:10,960 Speaker 1: including from President Biden a short time ago. I respect 34 00:02:11,000 --> 00:02:15,799 Speaker 1: the governor's decision, and uh I respected decision he made. 35 00:02:16,400 --> 00:02:19,920 Speaker 1: We're joining out by Congressman Brian Higgins, Democrat from New York. Congressman, 36 00:02:20,480 --> 00:02:22,799 Speaker 1: thank you for joining us on such a busy day. 37 00:02:22,840 --> 00:02:25,000 Speaker 1: You called on the governor to resign. Did you expect 38 00:02:25,000 --> 00:02:29,520 Speaker 1: it to happen today. I expected it to happen. I 39 00:02:29,560 --> 00:02:32,120 Speaker 1: don't know anybody that tells me they expected happy today. 40 00:02:32,120 --> 00:02:35,040 Speaker 1: You should be skeptical of but given the gravity of 41 00:02:35,040 --> 00:02:39,480 Speaker 1: the situation, it's the best thing for York and it's 42 00:02:39,480 --> 00:02:41,799 Speaker 1: a great thing for Kathy Hokol And she's a friend. 43 00:02:42,440 --> 00:02:46,120 Speaker 1: She's an outstanding individual who has served the interests of 44 00:02:47,200 --> 00:02:50,239 Speaker 1: New York State and in extraordinary way. So I couldn't 45 00:02:50,280 --> 00:02:55,040 Speaker 1: be happier for her. It's been an incredible evolution watching this, Congressman. 46 00:02:55,040 --> 00:02:56,960 Speaker 1: I'm sure you feel the same way, going back to 47 00:02:57,080 --> 00:03:01,560 Speaker 1: a year ago and the daily COVID briefings became national 48 00:03:01,680 --> 00:03:05,920 Speaker 1: programming for a lot of people. Andrew Cuomo was considered 49 00:03:05,960 --> 00:03:10,279 Speaker 1: an ally of Joe Biden, among the very first Democratic 50 00:03:10,360 --> 00:03:14,720 Speaker 1: leaders to endorse his campaign, and now this it's it's 51 00:03:14,760 --> 00:03:17,680 Speaker 1: hard to make sense of what happened and how quickly 52 00:03:18,040 --> 00:03:21,080 Speaker 1: this progressed over the course of a week. Do you 53 00:03:21,120 --> 00:03:25,160 Speaker 1: like the way he handled it today? I think that 54 00:03:25,240 --> 00:03:28,040 Speaker 1: he should have resigned a long time ago. I think 55 00:03:28,120 --> 00:03:34,720 Speaker 1: this was a positioning relative to politics that makes no sense. 56 00:03:35,000 --> 00:03:37,680 Speaker 1: There's no rationality to it, and the fact of the 57 00:03:37,680 --> 00:03:42,480 Speaker 1: matter is multiple accusers state investigation, a conclusion that's clear 58 00:03:42,840 --> 00:03:47,960 Speaker 1: and compelling. And uh, you know while he his resignation 59 00:03:48,720 --> 00:03:51,640 Speaker 1: statement talked about and outwining to be distractions in a 60 00:03:51,680 --> 00:03:56,440 Speaker 1: distraction for a long time, that said, this is a 61 00:03:56,520 --> 00:04:00,880 Speaker 1: clear break. This is a stark contrast Hoco, as I 62 00:04:00,920 --> 00:04:04,680 Speaker 1: said as a friend, she's in Buffalo, in western New York. Uh. 63 00:04:04,960 --> 00:04:09,880 Speaker 1: That is you know, the first woman woman woman governor. 64 00:04:10,800 --> 00:04:13,240 Speaker 1: Uh and really born in bred in Buffalo, wester New York. 65 00:04:13,240 --> 00:04:17,919 Speaker 1: Grover Cleveland, who served as governor of New York State, 66 00:04:18,320 --> 00:04:22,080 Speaker 1: served as Buffalo mayor, but he was born in New Jersey, 67 00:04:22,120 --> 00:04:25,799 Speaker 1: New died New Jersey. Kathy Hoco is born in bred 68 00:04:25,839 --> 00:04:29,520 Speaker 1: in Buffalo, Western New York. And that means a lot 69 00:04:29,560 --> 00:04:31,679 Speaker 1: to you when you talked about a long time ago 70 00:04:31,839 --> 00:04:34,839 Speaker 1: though in terms of Governor Cuomo and you wished he 71 00:04:34,839 --> 00:04:38,640 Speaker 1: had resigned. You're not referring to last Tuesday obviously, when 72 00:04:38,680 --> 00:04:42,080 Speaker 1: we heard the allegations from the Attorney General. This is 73 00:04:42,120 --> 00:04:46,080 Speaker 1: going back to you tell me, yeah, predating that, and 74 00:04:46,200 --> 00:04:48,440 Speaker 1: this is going back to March. You know there were 75 00:04:48,520 --> 00:04:54,559 Speaker 1: multiple accusers, they all had a similar story. Uh. And uh, 76 00:04:54,600 --> 00:04:57,400 Speaker 1: I think you know the gravity of that situation in 77 00:04:57,920 --> 00:05:03,679 Speaker 1: of itself, uh dis qualified him from continuing to serve 78 00:05:03,760 --> 00:05:08,520 Speaker 1: as governor of New York State. And I think that 79 00:05:08,720 --> 00:05:12,640 Speaker 1: you know, again he he has been abstraction because of 80 00:05:12,680 --> 00:05:15,960 Speaker 1: all of these other issues. And you know, also you 81 00:05:16,040 --> 00:05:19,080 Speaker 1: had mentioned at the outset of your segment here, you 82 00:05:19,120 --> 00:05:22,240 Speaker 1: know the importance of leadership. You know, didn't have leadership 83 00:05:22,760 --> 00:05:25,479 Speaker 1: during most of COVID at the federal level. People look 84 00:05:25,600 --> 00:05:28,920 Speaker 1: to New York State and this governor to provide it. 85 00:05:29,440 --> 00:05:32,800 Speaker 1: And it doesn't matter if you're Republican or Democrat. People 86 00:05:32,800 --> 00:05:36,160 Speaker 1: are looking for leadership, and the leadership is what's needed here. 87 00:05:36,160 --> 00:05:39,240 Speaker 1: And I think this is what Katy Hoco, Well, we'll 88 00:05:39,320 --> 00:05:44,200 Speaker 1: provide in the sincere, substantial and highly effective way. Well, 89 00:05:44,240 --> 00:05:46,640 Speaker 1: tell me more about the lieutenant governor. I saw you 90 00:05:46,680 --> 00:05:49,640 Speaker 1: tweet today a New York Times article from many years ago, 91 00:05:49,680 --> 00:05:53,240 Speaker 1: about ten years ago about Lieutenant Governor Holcle headlined her 92 00:05:53,279 --> 00:05:56,600 Speaker 1: inheritance and eagerness to serve. You mentioned she'll be the 93 00:05:56,640 --> 00:05:59,039 Speaker 1: first woman to serve as governor of New York. Will 94 00:05:59,080 --> 00:06:03,040 Speaker 1: that mean a change in policies for the state. Look, 95 00:06:03,040 --> 00:06:06,520 Speaker 1: I think it's it's practicality. You know, most of government 96 00:06:06,600 --> 00:06:11,320 Speaker 1: is not itelogical, it's commonsensical. It's solving problems for people 97 00:06:11,440 --> 00:06:14,039 Speaker 1: regardless of where they stand on it too, the perspectrum, 98 00:06:14,480 --> 00:06:17,560 Speaker 1: and that's the best kind of representation you should have. 99 00:06:18,320 --> 00:06:21,960 Speaker 1: I know Kathy Hocle, she's motivated by big challenges and 100 00:06:22,040 --> 00:06:26,000 Speaker 1: she's inspired by good ideas and good people. And that 101 00:06:26,200 --> 00:06:31,400 Speaker 1: is a good basis from which to start. Uh. This this, this, 102 00:06:31,400 --> 00:06:35,760 Speaker 1: this beginning, this inflection point. Uh, this game changing moment 103 00:06:35,880 --> 00:06:39,279 Speaker 1: not only for the people of New York State, but 104 00:06:39,360 --> 00:06:42,200 Speaker 1: also Western New York in the nation. And we need 105 00:06:42,279 --> 00:06:45,240 Speaker 1: good leaders. We need good leaders to look to. It 106 00:06:45,320 --> 00:06:50,839 Speaker 1: can provide a vision, but also commit themselves to turning 107 00:06:50,880 --> 00:06:54,400 Speaker 1: that vision into something re alterning into something tangible. And 108 00:06:54,440 --> 00:06:59,800 Speaker 1: I think that's where this stark contrast starts. You've referred 109 00:06:59,839 --> 00:07:03,640 Speaker 1: to Lieutenant Governor Hokell as a friend a couple of times. Now, Congressman, 110 00:07:03,680 --> 00:07:06,320 Speaker 1: have you been talking with her throughout this process? And 111 00:07:06,360 --> 00:07:09,280 Speaker 1: do you wish she spoke up? Many have pointed out 112 00:07:09,320 --> 00:07:12,920 Speaker 1: the fact that she's been relatively quiet these past weeks. Yeah, 113 00:07:13,000 --> 00:07:17,160 Speaker 1: you know what, She's impossible. She's in an impossible situation. 114 00:07:18,120 --> 00:07:20,440 Speaker 1: The role of lieutenant governors to do two things, be 115 00:07:20,560 --> 00:07:24,840 Speaker 1: loyal and to prepare yourself in the event that there 116 00:07:24,920 --> 00:07:28,120 Speaker 1: is a change and you become government. I couldn't do it. 117 00:07:28,320 --> 00:07:31,760 Speaker 1: You couldn't do it. And you know she'll she'll always 118 00:07:31,800 --> 00:07:34,880 Speaker 1: be criticized. Here's right now. When you look at a 119 00:07:34,880 --> 00:07:38,800 Speaker 1: politician outside the spotlight of their fans, outside the spotlight 120 00:07:38,880 --> 00:07:42,640 Speaker 1: of the political life that they lead, there with their mother, 121 00:07:42,720 --> 00:07:46,480 Speaker 1: their father, their brothers, their sisters, their kids, their husband, 122 00:07:46,960 --> 00:07:49,560 Speaker 1: you get a sense as to the character of somebody. 123 00:07:49,600 --> 00:07:53,240 Speaker 1: I've seen that firsthand for forty years. She is a 124 00:07:53,280 --> 00:07:56,840 Speaker 1: good person. She is kind, she's compassionate. But let me 125 00:07:56,880 --> 00:08:01,040 Speaker 1: tell you, do not ever mistaken kind still weakness, because 126 00:08:01,080 --> 00:08:04,360 Speaker 1: you will never think she's kind again. And so I 127 00:08:04,480 --> 00:08:07,560 Speaker 1: just you know, it's it's the totality of the person. 128 00:08:08,280 --> 00:08:11,480 Speaker 1: Politicians are just people. We are all broken on different 129 00:08:11,520 --> 00:08:15,880 Speaker 1: days and on different days and different ways in different days. 130 00:08:15,920 --> 00:08:19,080 Speaker 1: And I just think that she is would be a 131 00:08:19,120 --> 00:08:25,119 Speaker 1: refreshing u contrast to what we've had in the governor's office, 132 00:08:25,160 --> 00:08:28,520 Speaker 1: at least over the last several months. And I think 133 00:08:28,520 --> 00:08:30,160 Speaker 1: that's goods for the people of Western New York. I 134 00:08:30,200 --> 00:08:32,439 Speaker 1: think it's good for the people of all of New York. 135 00:08:32,480 --> 00:08:34,880 Speaker 1: And I think it's good tom Nation should there be 136 00:08:34,920 --> 00:08:37,839 Speaker 1: an event fourteen days from now, what's this going to 137 00:08:37,920 --> 00:08:40,160 Speaker 1: be like? How does the Democratic Party in New York 138 00:08:41,200 --> 00:08:44,480 Speaker 1: kind of support this transition to move beyond the scandal. 139 00:08:46,000 --> 00:08:48,360 Speaker 1: I don't know, And I think that you know that 140 00:08:48,360 --> 00:08:50,360 Speaker 1: will you know, the details of that will come out 141 00:08:50,400 --> 00:08:52,520 Speaker 1: the next couple of days. But I think it should 142 00:08:52,520 --> 00:08:55,839 Speaker 1: be a celebration. It should be a celebration not of 143 00:08:55,880 --> 00:08:59,280 Speaker 1: what we have gone through, but about what it is 144 00:08:59,600 --> 00:09:02,800 Speaker 1: we are out to experience. And I am so confident, 145 00:09:03,480 --> 00:09:09,000 Speaker 1: I am so excited about Kaffe Hopel and the position 146 00:09:09,040 --> 00:09:12,160 Speaker 1: which she will hold for New Yorkers, and I think 147 00:09:12,160 --> 00:09:14,480 Speaker 1: people will be very impressed. She's gonna be governor for 148 00:09:14,480 --> 00:09:17,240 Speaker 1: the next ten months. Nobody knows what's going to happen 149 00:09:17,600 --> 00:09:21,720 Speaker 1: during the context of a primary election in a general election, 150 00:09:22,240 --> 00:09:25,160 Speaker 1: but here's what people will get to know. They will 151 00:09:25,200 --> 00:09:28,440 Speaker 1: get to know the person, the friend, the colleague that 152 00:09:28,640 --> 00:09:32,040 Speaker 1: I have you know, known for forty years, and they 153 00:09:32,080 --> 00:09:35,599 Speaker 1: will be impressed. And she is going to be the 154 00:09:35,679 --> 00:09:38,959 Speaker 1: governer of governor for the next ten months. But she's 155 00:09:39,000 --> 00:09:43,320 Speaker 1: as viable as anybody in more than most relative to 156 00:09:43,360 --> 00:09:45,720 Speaker 1: be be an elected governor as well. And that's what 157 00:09:45,800 --> 00:09:48,960 Speaker 1: her plan is and I support her. Uh, And I'm 158 00:09:49,000 --> 00:09:54,280 Speaker 1: proud of her and I look forward to better days. 159 00:09:54,600 --> 00:09:58,000 Speaker 1: Do you support an impeachment trial, an impeachment of Andrew 160 00:09:58,000 --> 00:10:01,679 Speaker 1: Cuomo to keep him from running for office again? Uh? Look, 161 00:10:01,760 --> 00:10:06,920 Speaker 1: I think that's you know, that's politics. Here's the bottom line. 162 00:10:06,920 --> 00:10:12,240 Speaker 1: What is an impeachment inquiry and an impeachment process designed 163 00:10:12,280 --> 00:10:16,120 Speaker 1: to do? It's designed to remove somebody from office who 164 00:10:16,160 --> 00:10:20,120 Speaker 1: otherwise would not you know, and now as they should 165 00:10:20,120 --> 00:10:22,680 Speaker 1: be removed from office. There's a good step today that 166 00:10:22,679 --> 00:10:26,120 Speaker 1: the governor took and we need to move on. I 167 00:10:26,200 --> 00:10:29,559 Speaker 1: think the quicker, the faster that we can get away 168 00:10:29,720 --> 00:10:34,160 Speaker 1: from this horrible nightmare, the better. And I think you know, 169 00:10:34,400 --> 00:10:39,000 Speaker 1: right beyond the storm clouds is is a civil arming 170 00:10:39,600 --> 00:10:43,679 Speaker 1: Thomas from Brian Higgins, Democrat from New York Congressman, thank 171 00:10:43,720 --> 00:10:46,880 Speaker 1: you for joining us today to talk about a difficult matter. 172 00:10:47,640 --> 00:10:50,920 Speaker 1: Happy to be happy to join your thanking more today 173 00:10:51,200 --> 00:10:56,439 Speaker 1: from Governor Cuoma. I take full responsibility for my actions. 174 00:10:57,440 --> 00:11:02,880 Speaker 1: I have been too familiar with people. My sense of 175 00:11:03,040 --> 00:11:08,520 Speaker 1: humor can be insensitive and off putting. I do hug 176 00:11:08,920 --> 00:11:15,679 Speaker 1: and kiss people casually, women and men. I have done 177 00:11:15,679 --> 00:11:20,440 Speaker 1: it all my life. Coming up on Bloomberg Sound On, 178 00:11:20,720 --> 00:11:24,800 Speaker 1: we assemble the panel Bloomberg Politics contributors Jeanie she Inzano, 179 00:11:25,000 --> 00:11:28,640 Speaker 1: and Rick Davis on the resignation. They're coming in next 180 00:11:28,720 --> 00:11:32,240 Speaker 1: and more on the president's response today at the White House. 181 00:11:32,840 --> 00:11:37,240 Speaker 1: Stay here, I'm Joe Matthew. This is Bloomberg. You're listening 182 00:11:37,320 --> 00:11:42,679 Speaker 1: to Bloomberg. You sound on with Joe Matthew on Bloomberg Radio. 183 00:11:43,760 --> 00:11:48,960 Speaker 1: And in fourteen days, New York will have a new government. Hi. 184 00:11:49,280 --> 00:11:53,240 Speaker 1: I'm Kathy Hulcol. All my life, I've considered public service 185 00:11:53,360 --> 00:11:56,600 Speaker 1: to be a privilege as a young person, I was 186 00:11:56,679 --> 00:12:01,160 Speaker 1: influenced by President Kennedy, was inspired by Luther King, and 187 00:12:01,240 --> 00:12:04,560 Speaker 1: always work for democratic leaders. No, Kathy hokel will be 188 00:12:04,600 --> 00:12:07,480 Speaker 1: a Democratic leader in New York. After Governor Cuomo announced 189 00:12:07,520 --> 00:12:09,760 Speaker 1: his resignation today, I want to hear from the panel 190 00:12:09,800 --> 00:12:13,480 Speaker 1: on all this. Bloomberg Politics contributors Jeanie she And Zano 191 00:12:13,600 --> 00:12:15,960 Speaker 1: and Rick Davis are here. Jeanie, as a New Yorker, 192 00:12:16,800 --> 00:12:19,480 Speaker 1: we talked about this a week ago. Today when the 193 00:12:19,840 --> 00:12:22,600 Speaker 1: Attorney General spoke, do you feel the governor did this 194 00:12:22,760 --> 00:12:25,599 Speaker 1: the right way? And do you have confidence in his replacement? 195 00:12:26,640 --> 00:12:29,440 Speaker 1: I have to tell you, um, I was stunned that 196 00:12:29,520 --> 00:12:32,520 Speaker 1: he made he resigned today. Like so many of us, 197 00:12:32,600 --> 00:12:35,000 Speaker 1: I was watching the Senate vote and it was just 198 00:12:35,120 --> 00:12:37,680 Speaker 1: at that time that his attorney came out and spoke, 199 00:12:38,120 --> 00:12:40,360 Speaker 1: and none of us realized that the governor was going 200 00:12:40,400 --> 00:12:42,880 Speaker 1: to come out after that. Obviously not a press conference. 201 00:12:42,880 --> 00:12:46,760 Speaker 1: They didn't take questions and resigned. So it was stunning 202 00:12:47,200 --> 00:12:50,000 Speaker 1: in that respect. It was also stunning because so many 203 00:12:50,080 --> 00:12:52,040 Speaker 1: of us who have followed him for so long no 204 00:12:52,640 --> 00:12:54,640 Speaker 1: that he is a fighter, and I thought he would 205 00:12:54,640 --> 00:12:57,320 Speaker 1: hang on a bit longer. He seemed to know that 206 00:12:57,360 --> 00:13:00,360 Speaker 1: the writing was on the wall. His statement to though, 207 00:13:00,520 --> 00:13:04,080 Speaker 1: was very defiant. I did not feel like he took 208 00:13:04,120 --> 00:13:08,120 Speaker 1: responsibility for the allegations against him. And I do have 209 00:13:08,240 --> 00:13:12,240 Speaker 1: confidence in Kathy Hokel. That said, she's been lieutenant governor 210 00:13:12,320 --> 00:13:15,360 Speaker 1: for a long time and her name recognition is very low. 211 00:13:15,760 --> 00:13:19,320 Speaker 1: She's described herself as an independent Democrat, a real moderate. 212 00:13:19,679 --> 00:13:22,480 Speaker 1: So ten months she has and there's going to be 213 00:13:22,559 --> 00:13:25,920 Speaker 1: a heavy primary battle here in New York to see 214 00:13:25,960 --> 00:13:29,199 Speaker 1: who's going to be running in two so she's got 215 00:13:29,240 --> 00:13:31,640 Speaker 1: a lot of work to do. I'd also add she's 216 00:13:31,679 --> 00:13:35,120 Speaker 1: a really phenomenal fundraiser. So people in New York just 217 00:13:35,200 --> 00:13:37,560 Speaker 1: don't know her as well as you would think they would, 218 00:13:37,559 --> 00:13:40,960 Speaker 1: since she's been lieutenant governor for so long. Rick, politicians 219 00:13:41,000 --> 00:13:43,440 Speaker 1: tend not to resign unless there's no other option. Was 220 00:13:43,520 --> 00:13:47,880 Speaker 1: this Cuomo's best alternative to impeachment? Yes, he saw that 221 00:13:48,000 --> 00:13:51,400 Speaker 1: screen door coming to hit him in the button. He ran, um. Look, 222 00:13:51,440 --> 00:13:54,040 Speaker 1: he's had a really bad week. Melissa de Rosa's top 223 00:13:54,080 --> 00:13:57,280 Speaker 1: aid resigned. The press conference this morning with you know, 224 00:13:57,400 --> 00:14:00,440 Speaker 1: his lawyer d Lavin trying to defend him was a disaster. 225 00:14:01,120 --> 00:14:03,080 Speaker 1: And I think at this stage he had he had 226 00:14:03,120 --> 00:14:06,120 Speaker 1: just boxed himself in and he was gonna get impeached. 227 00:14:06,200 --> 00:14:08,840 Speaker 1: There's probably no doubt about that from the reports that 228 00:14:08,920 --> 00:14:11,600 Speaker 1: we've all been getting and so uh, it was just 229 00:14:11,640 --> 00:14:13,400 Speaker 1: a matter of time, and I think he decided to 230 00:14:13,400 --> 00:14:16,040 Speaker 1: put it on his own own clock, which was probably 231 00:14:16,080 --> 00:14:18,280 Speaker 1: the best decision he's made and quite some time. I 232 00:14:18,280 --> 00:14:21,000 Speaker 1: want to ask you both about President Biden's response today. 233 00:14:21,040 --> 00:14:24,360 Speaker 1: A week ago today he called for Andrew Cuomo to resign, 234 00:14:24,440 --> 00:14:30,480 Speaker 1: and that turned heads today. His first few words, we're 235 00:14:30,760 --> 00:14:33,640 Speaker 1: kind of typical expected his initial response. He played it 236 00:14:33,640 --> 00:14:37,280 Speaker 1: for a minute ago. I respect the governor's decision, and uh, 237 00:14:38,560 --> 00:14:42,000 Speaker 1: I respected decision. He made simple as that. After that, though, 238 00:14:42,040 --> 00:14:45,760 Speaker 1: as more questions were asked, he sounded less rehearsed. A 239 00:14:45,840 --> 00:14:48,200 Speaker 1: question like this one from Ed O'Keeffe, who covers the 240 00:14:48,200 --> 00:14:51,160 Speaker 1: White House for CBS. How would you assess his ten 241 00:14:51,240 --> 00:14:55,040 Speaker 1: and a half years as governor? Was there in terms 242 00:14:55,040 --> 00:14:57,400 Speaker 1: of his personal behavior or what he's done as a governor? 243 00:14:58,760 --> 00:15:01,440 Speaker 1: He's down a hell of a job, but he's done 244 00:15:01,480 --> 00:15:03,000 Speaker 1: a hell of a job. He went on to talk 245 00:15:03,040 --> 00:15:07,240 Speaker 1: about what a hell of a job that Andrew Cuomo did. 246 00:15:07,400 --> 00:15:10,160 Speaker 1: Of course we remember the last when a hell of 247 00:15:10,160 --> 00:15:13,600 Speaker 1: a job that a president said. This cascaded into a 248 00:15:13,680 --> 00:15:16,680 Speaker 1: back and forth with reporters see an ends. Correspondent pushed 249 00:15:16,680 --> 00:15:18,320 Speaker 1: for more and it it led to quite an exchange. 250 00:15:18,360 --> 00:15:20,120 Speaker 1: I want to let this breathe can you really say 251 00:15:20,160 --> 00:15:21,920 Speaker 1: that he has done a hell of a job that 252 00:15:22,040 --> 00:15:26,880 Speaker 1: he's accused of sexually harassing question and asked the substantive 253 00:15:27,440 --> 00:15:31,040 Speaker 1: should he remain as governor? As one question? And women 254 00:15:31,080 --> 00:15:33,840 Speaker 1: should be believed when they make accusations that are able 255 00:15:33,840 --> 00:15:36,440 Speaker 1: to on the face of them, make sense and investigated. 256 00:15:36,480 --> 00:15:39,160 Speaker 1: They're investigated. And the judgment was made that what they 257 00:15:39,200 --> 00:15:43,600 Speaker 1: said was correct. That's one thing. The question is did 258 00:15:43,600 --> 00:15:46,480 Speaker 1: he do a good job and infrastructure? That was the question. 259 00:15:47,160 --> 00:15:52,160 Speaker 1: He did know the question was correct. Me if I'm wrong, 260 00:15:54,120 --> 00:15:59,880 Speaker 1: how was he as a governor German? Well, obviously outs 261 00:16:00,000 --> 00:16:05,800 Speaker 1: I okay, I was asked a specific question. Okay, so 262 00:16:05,800 --> 00:16:08,160 Speaker 1: now we're gonna be hearing about this, Genie, I assume 263 00:16:08,280 --> 00:16:11,040 Speaker 1: for the next couple of weeks while we figure out 264 00:16:11,040 --> 00:16:14,520 Speaker 1: what happens with infrastructure. Why even go there? If you're 265 00:16:14,560 --> 00:16:19,440 Speaker 1: the president, maybe Rick, you can take a swing at that. 266 00:16:19,880 --> 00:16:21,720 Speaker 1: That was an easy one, Gene. I mean, because he 267 00:16:21,760 --> 00:16:24,040 Speaker 1: was told not to go there. That's why do you 268 00:16:24,080 --> 00:16:28,680 Speaker 1: think that conversation? Absolutely? I mean I've been in that position. 269 00:16:28,720 --> 00:16:31,200 Speaker 1: You hand him the card and it says, read this 270 00:16:31,360 --> 00:16:34,520 Speaker 1: if asked a question about the governor of New York, 271 00:16:34,680 --> 00:16:37,000 Speaker 1: And he did, and he and he went back and 272 00:16:37,040 --> 00:16:40,160 Speaker 1: reread exactly the same thing. And then he gets caught, 273 00:16:40,280 --> 00:16:44,400 Speaker 1: you know, wandering down the contemplation lane. And that's a disaster. 274 00:16:44,480 --> 00:16:46,440 Speaker 1: It's always a train wreck at the end of that lane. 275 00:16:47,680 --> 00:16:51,520 Speaker 1: That's why we have a press office, though, communications director 276 00:16:51,560 --> 00:16:54,880 Speaker 1: and so forth. What was that conversation, like, do you 277 00:16:54,880 --> 00:16:57,640 Speaker 1: think before he went out to speak about a completely 278 00:16:57,680 --> 00:17:00,960 Speaker 1: different topic. This is this was the because they were 279 00:17:00,960 --> 00:17:03,880 Speaker 1: trying to contain the damage done in the news cycle 280 00:17:04,000 --> 00:17:06,160 Speaker 1: by Cuomo doing this on the day that he won 281 00:17:06,720 --> 00:17:11,359 Speaker 1: his biggest victory in Congress so far, a bipartisan infrastructure bill. 282 00:17:11,600 --> 00:17:14,080 Speaker 1: That's what they wanted in the news tomorrow morning. And 283 00:17:14,200 --> 00:17:16,600 Speaker 1: at the end of the day he stepped on his 284 00:17:16,640 --> 00:17:19,199 Speaker 1: own news story by actually taking a question that he 285 00:17:19,240 --> 00:17:22,080 Speaker 1: should have just said, you know what, I've already commented 286 00:17:22,119 --> 00:17:24,320 Speaker 1: about the governor of New York and that's all I 287 00:17:24,400 --> 00:17:26,600 Speaker 1: have to say today on that topic. That's all he 288 00:17:26,600 --> 00:17:29,280 Speaker 1: had to say, and they would have moved right along. 289 00:17:29,320 --> 00:17:32,399 Speaker 1: And the I guarantee if you pan the faces of 290 00:17:32,400 --> 00:17:35,480 Speaker 1: the communications team standing in the room when he was 291 00:17:35,520 --> 00:17:38,639 Speaker 1: doing this, you saw some pretty wild reactions when he 292 00:17:38,720 --> 00:17:41,399 Speaker 1: decided to take that question about what what's the difference 293 00:17:41,440 --> 00:17:45,680 Speaker 1: between me and a governor and you know, ah, somebody 294 00:17:45,720 --> 00:17:49,240 Speaker 1: who's assaulted women. I mean, there is no difference. That's 295 00:17:49,240 --> 00:17:53,280 Speaker 1: all he had to say. There you are from Rick Davis. Uh. 296 00:17:53,320 --> 00:17:59,360 Speaker 1: He his advised politicians for many years to avoid situations 297 00:17:59,400 --> 00:18:01,800 Speaker 1: like that. Rick, stay here, We'll bring Genie back as well. 298 00:18:01,840 --> 00:18:04,080 Speaker 1: You are listening to Bloomberg. Sound on, we're gonna turn 299 00:18:04,119 --> 00:18:08,479 Speaker 1: to infrastructure. Get there eventually, Congressman Josh Gottheimer, Democrat from 300 00:18:08,520 --> 00:18:11,199 Speaker 1: New Jersey will be with us to talk about salt 301 00:18:12,800 --> 00:18:17,280 Speaker 1: tax deductions state and local taxes, and we'll follow the 302 00:18:17,320 --> 00:18:20,159 Speaker 1: bouncing ball on infrastructure. Next. Stay here, I'm Joe Matthew. 303 00:18:20,240 --> 00:18:23,720 Speaker 1: This is Bloomberg as we follow the bouncing ball on 304 00:18:23,800 --> 00:18:26,800 Speaker 1: infrastructure in the Senate. The House is waiting for that 305 00:18:26,840 --> 00:18:31,160 Speaker 1: bill along with the reconciliation package that Speaker Nancy Pelosi 306 00:18:31,200 --> 00:18:34,440 Speaker 1: says must come first, and with it a debate over 307 00:18:34,520 --> 00:18:38,199 Speaker 1: the federal deduction for state and local taxes, or salt 308 00:18:38,600 --> 00:18:41,880 Speaker 1: as it's called. We're joined by Congressman Josh Gottheimer, Democrat 309 00:18:41,920 --> 00:18:44,800 Speaker 1: from New Jersey. Congressman, thanks for being with us. Why 310 00:18:44,840 --> 00:18:48,399 Speaker 1: are these deductions important? Why expand them? Well, if you 311 00:18:48,480 --> 00:18:50,959 Speaker 1: live in Jersey like I do in northern New Jersey, 312 00:18:51,240 --> 00:18:55,320 Speaker 1: it's incredibly expensive and I'm trying to do everything possible 313 00:18:55,359 --> 00:18:58,360 Speaker 1: with my colleagues to make things more affordable. And one 314 00:18:58,359 --> 00:19:01,280 Speaker 1: of the ways we've been focused on is reinstating the 315 00:19:01,320 --> 00:19:04,959 Speaker 1: stainable tax deduction or recalled salt back to where it 316 00:19:05,119 --> 00:19:09,000 Speaker 1: was before seen when some of our red state friends 317 00:19:09,000 --> 00:19:11,840 Speaker 1: decided to gut it and uh and affect raised taxes 318 00:19:11,840 --> 00:19:14,320 Speaker 1: for majority people in my district. You know, this is 319 00:19:14,320 --> 00:19:17,359 Speaker 1: a real impact in places where property taxes are higher. 320 00:19:17,720 --> 00:19:20,399 Speaker 1: The medium property tax in Bergen County, which is one 321 00:19:20,440 --> 00:19:23,919 Speaker 1: of the areas I represent, is over fifteen thousand dollars, 322 00:19:23,920 --> 00:19:27,199 Speaker 1: So this really hits a firefighter and a teacher. Um. 323 00:19:27,240 --> 00:19:29,679 Speaker 1: You know, they can earn nearly two or thousand dollars, 324 00:19:29,680 --> 00:19:34,639 Speaker 1: So you might imagine that that reinstating the deduction fully 325 00:19:34,640 --> 00:19:38,320 Speaker 1: instead of cappying at ten past dollars, would make their 326 00:19:38,359 --> 00:19:40,680 Speaker 1: life more affordable and hopefully stay in Jersey and not 327 00:19:41,200 --> 00:19:43,399 Speaker 1: and not leave like we're facing in the Northeast, so 328 00:19:43,400 --> 00:19:46,960 Speaker 1: many people leaving to other states. You know, Progressive Democrats 329 00:19:47,320 --> 00:19:51,560 Speaker 1: call this a gift to the wealthy. You're pointing out families, firefighters, teachers. 330 00:19:51,560 --> 00:19:54,239 Speaker 1: Are they just wrong about that? That's just not not 331 00:19:54,320 --> 00:19:56,760 Speaker 1: in Jersey, right, I mean, you know, the Star Ledger, 332 00:19:56,800 --> 00:19:59,159 Speaker 1: which is a big paper in Jersey, recently reported that 333 00:19:59,200 --> 00:20:02,040 Speaker 1: if we reinstay a it's salt, nearly a third of 334 00:20:02,080 --> 00:20:04,080 Speaker 1: our residents, you know, the three million people in Jersey 335 00:20:04,080 --> 00:20:07,680 Speaker 1: would get a tax cut, them earn less than two 336 00:20:07,880 --> 00:20:10,720 Speaker 1: sixteen thousand dollars um. It gives you a sense of 337 00:20:11,160 --> 00:20:13,080 Speaker 1: I said, that's that's really where a cop and a 338 00:20:13,119 --> 00:20:16,000 Speaker 1: teacher are here in Jersey and and then the Tri 339 00:20:16,200 --> 00:20:19,119 Speaker 1: state area. So this is really not just something that 340 00:20:19,160 --> 00:20:22,080 Speaker 1: affects UH the wealth to do, but but hard working 341 00:20:22,119 --> 00:20:25,120 Speaker 1: middle class families. So you don't want everyone to move 342 00:20:25,119 --> 00:20:27,919 Speaker 1: out to Florida because that has a direct impact, of course, 343 00:20:27,960 --> 00:20:30,920 Speaker 1: on on making sure that we can offer those phenomenal 344 00:20:30,960 --> 00:20:33,919 Speaker 1: schools and programs that we have here in Jersey. Congressmen, 345 00:20:33,920 --> 00:20:36,920 Speaker 1: we saw the blueprint, if I can use that term 346 00:20:37,080 --> 00:20:40,440 Speaker 1: of the reconciliation package. A lot of blanks to fill 347 00:20:40,440 --> 00:20:43,200 Speaker 1: in here, but the salt deduction is included, right, How 348 00:20:43,320 --> 00:20:46,480 Speaker 1: is this being handled in the initial phase of this 349 00:20:46,600 --> 00:20:48,959 Speaker 1: legislation and where would you like to see it end up? Well, 350 00:20:49,040 --> 00:20:50,879 Speaker 1: as you rightly pointed out, right now, we just have 351 00:20:50,960 --> 00:20:54,520 Speaker 1: a very high level outline. It just mentioned salt, but 352 00:20:55,040 --> 00:20:57,560 Speaker 1: didn't talk about levels and didn't talk about the levels 353 00:20:57,560 --> 00:21:02,760 Speaker 1: of reinstatement or um. You know, there's any means testing involved, 354 00:21:02,800 --> 00:21:05,480 Speaker 1: And I've said pretty clearly that it's gonna be difficult 355 00:21:05,480 --> 00:21:09,880 Speaker 1: for me to support any reconciliation package that doesn't if 356 00:21:09,920 --> 00:21:13,439 Speaker 1: the change of the tax code that doesn't reinstate salt fully. 357 00:21:13,600 --> 00:21:15,680 Speaker 1: So that's where I've come out on that. I say 358 00:21:16,000 --> 00:21:18,800 Speaker 1: no salt, no dice, and and I'm gonna stick to 359 00:21:18,880 --> 00:21:21,400 Speaker 1: that every step of the way. Here. I saw that 360 00:21:21,800 --> 00:21:23,920 Speaker 1: right on the terminal. As a matter of fact, is 361 00:21:23,960 --> 00:21:26,399 Speaker 1: a story about you. Says no salt, no dice. That 362 00:21:26,440 --> 00:21:28,840 Speaker 1: means you would vote against everything else in that plan 363 00:21:28,920 --> 00:21:31,879 Speaker 1: if this portion doesn't come together. You know, we we 364 00:21:31,920 --> 00:21:34,480 Speaker 1: haven't seen everything yet. The legis plushtion is not written 365 00:21:34,480 --> 00:21:36,840 Speaker 1: in fact, as you put out before. We've only seen 366 00:21:36,920 --> 00:21:39,320 Speaker 1: some bullets of of what's in there. But you know, 367 00:21:39,359 --> 00:21:42,640 Speaker 1: I'm concerned overall about the tax impact on my district. 368 00:21:43,040 --> 00:21:45,960 Speaker 1: You know, you know, given how expensive things are here 369 00:21:46,000 --> 00:21:47,919 Speaker 1: and where our tax levels are, which I think should 370 00:21:47,920 --> 00:21:51,800 Speaker 1: come down. Um, you know, raising taxes on the families 371 00:21:51,840 --> 00:21:54,560 Speaker 1: in my district is not something at all that we 372 00:21:54,600 --> 00:21:57,760 Speaker 1: can afford here. Uh. And so no matter what we do, 373 00:21:57,800 --> 00:21:59,760 Speaker 1: I'm gonna look at it the totality of impact on 374 00:21:59,840 --> 00:22:03,199 Speaker 1: the fit District of Jersey, Northern Jersey here, and salt 375 00:22:03,240 --> 00:22:05,280 Speaker 1: has got to be part of that equation no matter what. 376 00:22:05,720 --> 00:22:09,120 Speaker 1: And and we'll look at the programs and overall proposed 377 00:22:09,119 --> 00:22:12,720 Speaker 1: expenditures and decide if it's what's best for our community. 378 00:22:13,000 --> 00:22:15,720 Speaker 1: You know, I'm worried overall about the level of spending 379 00:22:15,760 --> 00:22:19,320 Speaker 1: that's been proposed. Um, it's a bit aggressive, and and 380 00:22:19,359 --> 00:22:22,760 Speaker 1: I want to make sure, given were threats of inflation 381 00:22:22,920 --> 00:22:25,360 Speaker 1: and the levels that we've spent over the last year, 382 00:22:25,400 --> 00:22:27,919 Speaker 1: you want to really make sure those the programs are 383 00:22:27,960 --> 00:22:30,399 Speaker 1: targeted and a lot of them are very important, but 384 00:22:30,440 --> 00:22:32,160 Speaker 1: we want to make sure that the expenditure is down. 385 00:22:32,240 --> 00:22:35,240 Speaker 1: And I worry a lot about insulation these kids. We're 386 00:22:35,240 --> 00:22:38,320 Speaker 1: talking with New Jersey Congressman Josh Gottheimer, who is the 387 00:22:38,359 --> 00:22:42,320 Speaker 1: Democratic co chair of the Problem Solvers Caucus. That gives 388 00:22:42,359 --> 00:22:46,800 Speaker 1: you some unique perspective here, Congressman, and I wonder if 389 00:22:46,840 --> 00:22:48,919 Speaker 1: you like the way this is rolling out in general. 390 00:22:48,920 --> 00:22:51,440 Speaker 1: Is Speaker Pelosi doing the right thing by calling for 391 00:22:51,520 --> 00:22:55,760 Speaker 1: the Reconciliation Plan before voting on the bipartisan plan? Well, 392 00:22:55,800 --> 00:22:58,080 Speaker 1: you know, I've said, and I you know, stick by 393 00:22:58,080 --> 00:23:01,280 Speaker 1: this position, and I think we really should vote on 394 00:23:01,960 --> 00:23:07,200 Speaker 1: this bipartisan instructor package, which is really a historic package 395 00:23:07,240 --> 00:23:11,560 Speaker 1: that the Senate passed today by with Democrat and Republicans UM, 396 00:23:11,600 --> 00:23:13,520 Speaker 1: you know, which is what we need to govern in 397 00:23:13,520 --> 00:23:17,240 Speaker 1: this country with civility and good debate and a good 398 00:23:17,280 --> 00:23:19,040 Speaker 1: by part of the package which the President, the White 399 00:23:19,040 --> 00:23:21,359 Speaker 1: House is supported. The White House is made clear that 400 00:23:21,440 --> 00:23:25,639 Speaker 1: they wanted this to have a standalone vote. UM. I 401 00:23:25,680 --> 00:23:27,879 Speaker 1: feel strongly about that as well, that we should make 402 00:23:27,920 --> 00:23:32,040 Speaker 1: sure that we uh, we get this immediately before before 403 00:23:32,080 --> 00:23:33,679 Speaker 1: the tires in the House. Now that it's out of 404 00:23:33,680 --> 00:23:36,359 Speaker 1: the Senate, and you gotta understand the benefits here for 405 00:23:36,400 --> 00:23:42,200 Speaker 1: the country. You're talking about roads, bridges, rail, water, infrastructure, broadband, UM, 406 00:23:42,280 --> 00:23:45,159 Speaker 1: all the things that this our country is desperate for. 407 00:23:45,359 --> 00:23:47,440 Speaker 1: You know, Jersey has got the third worst roads in 408 00:23:47,480 --> 00:23:50,600 Speaker 1: the country, worst on time transit. A third of our 409 00:23:50,600 --> 00:23:54,160 Speaker 1: bridges are considered unsafe. The Gateway tunnel between New York 410 00:23:54,160 --> 00:23:56,280 Speaker 1: and New Jersey, the train tunnel needs to be built. 411 00:23:56,640 --> 00:23:59,919 Speaker 1: This package, which is bipartisan. UM. And then I'm very 412 00:24:00,080 --> 00:24:01,840 Speaker 1: paths have worked on as co chair of the Problem 413 00:24:01,840 --> 00:24:04,480 Speaker 1: Solves Caucus. This is going to get done and we 414 00:24:04,520 --> 00:24:06,560 Speaker 1: should just bring it for a vote. We shouldn't delay it. 415 00:24:06,720 --> 00:24:08,960 Speaker 1: We should get the two million jobs that it's going 416 00:24:09,040 --> 00:24:11,480 Speaker 1: to create a year going there are good paying jobs. 417 00:24:11,480 --> 00:24:14,160 Speaker 1: We should get them moving and really get this building done, 418 00:24:14,200 --> 00:24:16,440 Speaker 1: get some shovels in the ground. We shouldn't wait or 419 00:24:16,480 --> 00:24:19,120 Speaker 1: delay until November, like some of my colleagues have proposed. 420 00:24:19,320 --> 00:24:21,480 Speaker 1: It looks like that could happen, though, said, let's say 421 00:24:21,480 --> 00:24:24,080 Speaker 1: we're at the end of September beginning of October. Congressman, 422 00:24:24,119 --> 00:24:27,280 Speaker 1: will the Problem Solvers Caucus, the d S and twenty 423 00:24:27,320 --> 00:24:32,240 Speaker 1: eight rs vote as a block on infrastructure and reconciliation? 424 00:24:33,640 --> 00:24:35,639 Speaker 1: I think what is what we've said pretty clearly is 425 00:24:35,680 --> 00:24:38,720 Speaker 1: we support this bipartist interstr plan UM. You're gonna have 426 00:24:38,760 --> 00:24:41,720 Speaker 1: a lot of Republicans in the House, including many in 427 00:24:41,760 --> 00:24:46,160 Speaker 1: the Problem Solvers Caucus, back that legislation, the Bipartian investural 428 00:24:46,240 --> 00:24:48,520 Speaker 1: legislation when it comes to the floor. I think many 429 00:24:48,520 --> 00:24:51,520 Speaker 1: of us are of us are concerned about the resolution, 430 00:24:51,640 --> 00:24:54,520 Speaker 1: which is the first part of reconciliation UM and want 431 00:24:54,600 --> 00:24:57,359 Speaker 1: more specifics on that and want to know that we're 432 00:24:57,359 --> 00:25:00,880 Speaker 1: going to vote on infrastructure first and get that on UM. 433 00:25:01,119 --> 00:25:02,880 Speaker 1: Have you told the Speaker that and did you get 434 00:25:02,880 --> 00:25:05,439 Speaker 1: a reply? Well, we wrote her, A group of us 435 00:25:05,440 --> 00:25:07,119 Speaker 1: wrote her a letter asking for us to vote on 436 00:25:07,160 --> 00:25:10,720 Speaker 1: infrastructure right away UM and and raising concerns and asking 437 00:25:10,760 --> 00:25:14,800 Speaker 1: for more specifics on budget resolution. UM, I haven't heard 438 00:25:14,800 --> 00:25:17,399 Speaker 1: back yet. We just sent her a letter early this morning. 439 00:25:17,880 --> 00:25:20,800 Speaker 1: But but I'll tell you this. What's very important is 440 00:25:21,040 --> 00:25:23,800 Speaker 1: that people should realize what kind of accomplishment the Senate 441 00:25:23,880 --> 00:25:27,159 Speaker 1: got done today. And again, the group of us have 442 00:25:27,240 --> 00:25:29,640 Speaker 1: been working on this for months. It's great for the country, 443 00:25:29,640 --> 00:25:33,040 Speaker 1: it's great for Jersey and UH people should recognize that 444 00:25:33,080 --> 00:25:36,680 Speaker 1: we can govern and come together and and get things done. 445 00:25:36,720 --> 00:25:38,879 Speaker 1: And things like that are a storic like this, and 446 00:25:38,920 --> 00:25:42,320 Speaker 1: so whether you're talking about water infrastructure, or or transit 447 00:25:42,560 --> 00:25:44,680 Speaker 1: or the roads and bridges, this is a big deal. 448 00:25:44,880 --> 00:25:48,600 Speaker 1: Congressman Josh Gottheimer, Democrat from New Jersey, thanks for your 449 00:25:48,600 --> 00:25:50,080 Speaker 1: time today. We'd love to talk to you when we 450 00:25:50,119 --> 00:25:52,320 Speaker 1: get closer to those votes. I love too, Thanks so 451 00:25:52,400 --> 00:25:55,600 Speaker 1: much for having me fun sound on. We'll turn this 452 00:25:55,680 --> 00:25:59,720 Speaker 1: over to the panel Bloomberg Politics contributors Genie she and 453 00:25:59,800 --> 00:26:02,320 Speaker 1: say know when Rick Davis come back. As we talk 454 00:26:02,440 --> 00:26:06,280 Speaker 1: infrastructure on the day it passed the Senate reconciliation too. 455 00:26:06,320 --> 00:26:09,440 Speaker 1: It's all ahead and we'll check the markets. I'm Joe Matthew. 456 00:26:09,600 --> 00:26:15,240 Speaker 1: This is Bloomberg. You're listening to Bloomberg Sound On with 457 00:26:15,320 --> 00:26:21,240 Speaker 1: Joe Matthew on Bloomberg Radio. Is it Infrastructure week? Yet? 458 00:26:21,840 --> 00:26:25,480 Speaker 1: It did pass the Senate today, But you might think 459 00:26:26,040 --> 00:26:29,080 Speaker 1: by all the news coverage and the tone today in 460 00:26:29,160 --> 00:26:32,080 Speaker 1: Washington that, well, this thing was done. It's been a 461 00:26:32,119 --> 00:26:36,840 Speaker 1: long and winding road, but we have persisted and now 462 00:26:37,240 --> 00:26:40,359 Speaker 1: we have arrived. There were many logs in our path, 463 00:26:41,920 --> 00:26:46,480 Speaker 1: detours along the way, but the American people will now 464 00:26:46,600 --> 00:26:51,600 Speaker 1: see the most robust injection of funds into infrastructure in decades, 465 00:26:52,080 --> 00:26:56,560 Speaker 1: Chuck Schumer earlier today. But we're barely halfway there. The 466 00:26:56,640 --> 00:26:59,320 Speaker 1: House has yet to weigh in, and as we were 467 00:26:59,359 --> 00:27:03,639 Speaker 1: just reminded talking with Congressman Godheimer, members in the House 468 00:27:03,640 --> 00:27:05,440 Speaker 1: have some of their own ideas about the way that 469 00:27:05,520 --> 00:27:08,720 Speaker 1: should work, and they may not agree with what has 470 00:27:08,800 --> 00:27:12,800 Speaker 1: been negotiated. He in the Senate joining us to finally 471 00:27:12,880 --> 00:27:16,600 Speaker 1: talk about passage at least is Rick and Genie the 472 00:27:16,640 --> 00:27:19,680 Speaker 1: panel Bloomberg Politics contributors Genie, she and Zano is back. 473 00:27:19,760 --> 00:27:22,919 Speaker 1: Rick Davis is here as well. What did it feel like, 474 00:27:23,000 --> 00:27:26,040 Speaker 1: Genie when you heard this today? On this vote, the 475 00:27:26,240 --> 00:27:29,800 Speaker 1: a's are sixty nine, the names are thirty. The bill 476 00:27:29,960 --> 00:27:34,119 Speaker 1: as amended is past. Are you thinking Democrats got it done, 477 00:27:34,320 --> 00:27:38,680 Speaker 1: or are you thinking now the hard part begins. I 478 00:27:38,720 --> 00:27:41,280 Speaker 1: was thinking good for them for getting it done with 479 00:27:41,440 --> 00:27:45,600 Speaker 1: nineteen Republicans. We talked yesterday, perhaps eighteen, maybe twenty. They 480 00:27:45,640 --> 00:27:48,720 Speaker 1: got nineteen right in the middle, and it is good 481 00:27:48,720 --> 00:27:51,320 Speaker 1: for them, but they're still, to your point, is a 482 00:27:51,359 --> 00:27:55,439 Speaker 1: long way to go. You know, we keep talking infrastructure week, summer. 483 00:27:55,480 --> 00:27:59,320 Speaker 1: We're really now talking infrastructure fall and hopefully not winter. 484 00:27:59,520 --> 00:28:02,520 Speaker 1: That's at the point we're at when Joe Biden gets 485 00:28:02,600 --> 00:28:06,040 Speaker 1: this bill to sign. If he does, we could well 486 00:28:06,080 --> 00:28:09,119 Speaker 1: be in late fall or early winter. So that tells 487 00:28:09,160 --> 00:28:11,679 Speaker 1: you there's still a long way to go. That said, 488 00:28:12,080 --> 00:28:15,640 Speaker 1: they they have a right to celebrate this important milestone, 489 00:28:15,760 --> 00:28:18,160 Speaker 1: but it is not a bill that the president can 490 00:28:18,160 --> 00:28:21,080 Speaker 1: sign at this point. Rick, you heard my conversation with 491 00:28:21,119 --> 00:28:25,400 Speaker 1: Congressman Josh Gottheimer. That's a Democrat from New Jersey. This 492 00:28:25,480 --> 00:28:28,440 Speaker 1: is a progressive lawmaker. I think we can say, maybe 493 00:28:28,440 --> 00:28:30,840 Speaker 1: not a member of the squad, but this should be 494 00:28:31,080 --> 00:28:36,000 Speaker 1: a friendly point of view for this particular plan. Right, 495 00:28:36,080 --> 00:28:39,200 Speaker 1: We've been talking about it for months. Nancy Pelosi says, 496 00:28:39,240 --> 00:28:42,840 Speaker 1: we finally have a blueprint here. Chuck Schumer released it 497 00:28:42,960 --> 00:28:47,760 Speaker 1: yesterday reconciliation, and he is threatening to vote against this 498 00:28:47,880 --> 00:28:50,440 Speaker 1: if he doesn't get the tax deductions. We were just 499 00:28:50,560 --> 00:28:54,080 Speaker 1: talking about how much of a problem will Democrats have 500 00:28:54,240 --> 00:28:56,920 Speaker 1: with Democrats in the House. Well, I think you point 501 00:28:56,960 --> 00:28:59,800 Speaker 1: out the one key feature. It's only about Democrats, right, 502 00:28:59,800 --> 00:29:01,960 Speaker 1: I'm and this is completely on the backs of the 503 00:29:01,960 --> 00:29:04,640 Speaker 1: Democratic Party in the House and Senate. And I think 504 00:29:04,680 --> 00:29:07,440 Speaker 1: depending upon how big an overreach you get in the 505 00:29:07,520 --> 00:29:10,480 Speaker 1: United States Senate, which seems to be a rally for 506 00:29:10,600 --> 00:29:14,080 Speaker 1: spending in taxes right now going on right now in 507 00:29:14,080 --> 00:29:16,440 Speaker 1: the United States Senate, if it comes over the way 508 00:29:16,440 --> 00:29:19,600 Speaker 1: it is, uh, you could have a backlash. Um, you're right. 509 00:29:20,160 --> 00:29:24,200 Speaker 1: Gottheimer isn't a progressive in the in the sense of 510 00:29:24,280 --> 00:29:27,000 Speaker 1: AOC in the squad uh. And he's got a lot 511 00:29:27,000 --> 00:29:29,240 Speaker 1: of issues with his own district, as he mentioned to 512 00:29:29,280 --> 00:29:31,280 Speaker 1: you on your show, and one of those is the 513 00:29:31,320 --> 00:29:35,120 Speaker 1: salt uh tax deduction, and he wants it back and 514 00:29:35,160 --> 00:29:38,360 Speaker 1: he's gonna fight hard for it because ahead of all 515 00:29:38,440 --> 00:29:41,040 Speaker 1: these other things, that's money in the pockets of his 516 00:29:41,120 --> 00:29:44,560 Speaker 1: constituents and he can't let that slip through a a 517 00:29:44,840 --> 00:29:48,080 Speaker 1: four point two trillion dollars spending bill and he can't 518 00:29:48,120 --> 00:29:51,040 Speaker 1: get the salt thing fixed, it's gonna be very hard 519 00:29:51,080 --> 00:29:52,720 Speaker 1: for him to vote for this bill when it gets back. 520 00:29:52,880 --> 00:29:56,480 Speaker 1: And there are only three Democrats that if they bail, 521 00:29:56,920 --> 00:30:00,520 Speaker 1: uh could stop this reconciliation. And really gives you just 522 00:30:00,560 --> 00:30:04,960 Speaker 1: a good example with the salt component and Gottheimer, how 523 00:30:05,040 --> 00:30:09,960 Speaker 1: many of these could happen, Jennie, He's certainly not Gottheimer 524 00:30:10,080 --> 00:30:11,880 Speaker 1: is not a member of the squad. In fact, we 525 00:30:11,920 --> 00:30:15,240 Speaker 1: heard from Alexandro Costio Cortez on that salt provision said 526 00:30:15,280 --> 00:30:18,880 Speaker 1: it was a gift to billionaires. So this sounds like 527 00:30:18,920 --> 00:30:20,720 Speaker 1: we're about to have a little brawl in the house. 528 00:30:22,120 --> 00:30:24,320 Speaker 1: We are, and that's I'm so glad you raised that 529 00:30:24,400 --> 00:30:26,840 Speaker 1: because that's one of the things that we keep hearing 530 00:30:27,240 --> 00:30:30,080 Speaker 1: for people who don't live in these high tax states 531 00:30:30,120 --> 00:30:32,480 Speaker 1: like New Jersey and like New York, where that what 532 00:30:32,640 --> 00:30:35,520 Speaker 1: happened with the salt has really had an impact on 533 00:30:35,600 --> 00:30:38,920 Speaker 1: the middle class. It does look like a tax breaks 534 00:30:38,920 --> 00:30:42,360 Speaker 1: for billionaires. And certainly from Alexandro Costio Cortez, she lives 535 00:30:42,360 --> 00:30:44,320 Speaker 1: in New York, but she lives in the district where 536 00:30:44,320 --> 00:30:47,400 Speaker 1: the impact isn't as stringent as it is elsewhere. But 537 00:30:47,520 --> 00:30:51,480 Speaker 1: for people in other areas. This has a big impact, 538 00:30:51,880 --> 00:30:55,040 Speaker 1: as the congressman was saying, the impact is on teachers, 539 00:30:55,040 --> 00:30:58,440 Speaker 1: that's on firemen and fire women. It's on people who 540 00:30:58,440 --> 00:31:01,920 Speaker 1: are in the middle class because the property taxes are 541 00:31:02,040 --> 00:31:06,160 Speaker 1: so very high. And so you're going to see members 542 00:31:06,200 --> 00:31:09,040 Speaker 1: of the New York, New Jersey and other delegations say 543 00:31:09,120 --> 00:31:11,600 Speaker 1: what he said, which is that you know, no salt, 544 00:31:11,800 --> 00:31:14,720 Speaker 1: no deal, and it's not just going to be about salt. 545 00:31:14,720 --> 00:31:17,080 Speaker 1: We're going to see people from around the country come 546 00:31:17,120 --> 00:31:20,160 Speaker 1: in and say what's important to their constituents that they 547 00:31:20,200 --> 00:31:23,160 Speaker 1: will hold out for. And that's where that three that 548 00:31:23,240 --> 00:31:26,320 Speaker 1: you're talking about really matters. You get three of those 549 00:31:26,320 --> 00:31:29,240 Speaker 1: Democrats to say, no, you're not serving my district and 550 00:31:29,320 --> 00:31:32,440 Speaker 1: this is a done deal. So Nancy Pelosi, the leadership, 551 00:31:32,480 --> 00:31:34,520 Speaker 1: and the Democratic side in the House have their work 552 00:31:34,520 --> 00:31:37,880 Speaker 1: cut out for them to keep this huge caucus together. 553 00:31:38,200 --> 00:31:43,440 Speaker 1: Speaking of the squad, we heard from Senator Mitch McConnell today. 554 00:31:43,560 --> 00:31:45,480 Speaker 1: You'll hear what I mean. The policies I want to 555 00:31:45,520 --> 00:31:48,440 Speaker 1: put behind this budget resolution read like somebody walked across 556 00:31:48,440 --> 00:31:51,440 Speaker 1: the road Counda to the House and han did the 557 00:31:51,520 --> 00:31:56,040 Speaker 1: squad a pen and piece of paper. How is Mitch 558 00:31:56,080 --> 00:31:59,400 Speaker 1: McConnell going to do in the coming weeks here, Rick Davis, 559 00:31:59,400 --> 00:32:02,800 Speaker 1: he was actually the pretty friendly with the Bipartisan Infrastructure Plan, 560 00:32:03,480 --> 00:32:06,720 Speaker 1: certainly through all the procedural hurdles. This is gonna be 561 00:32:06,800 --> 00:32:10,160 Speaker 1: a very different matter. Just pin it to the squad. 562 00:32:10,800 --> 00:32:14,600 Speaker 1: It already is um in your right. The majority, the 563 00:32:14,600 --> 00:32:18,080 Speaker 1: Minority leader and most of his leadership were very supportive 564 00:32:18,640 --> 00:32:22,400 Speaker 1: of the Bipartisan Infrastructure Built. It just passed today, and 565 00:32:22,560 --> 00:32:25,360 Speaker 1: they are going at it tonight on a vote a 566 00:32:25,440 --> 00:32:27,840 Speaker 1: rama on this budget. I mean, when you look at 567 00:32:27,880 --> 00:32:30,680 Speaker 1: the press releases that are flying out of the Republican 568 00:32:30,760 --> 00:32:33,560 Speaker 1: Caucus and the United States Senate, you'd think this was 569 00:32:33,800 --> 00:32:38,080 Speaker 1: armageddon occurring in the Senate tonight. And uh, and it's everything. 570 00:32:38,120 --> 00:32:41,200 Speaker 1: It's the Green New Deal, it's the Squad, it's the 571 00:32:41,240 --> 00:32:45,800 Speaker 1: tax increases, it's unleashing I r S Agents on unsuspecting 572 00:32:46,320 --> 00:32:50,160 Speaker 1: and good law abiding Americans. I mean, it is full 573 00:32:50,240 --> 00:32:54,640 Speaker 1: tilt because there's not a single Republican who's exposed for 574 00:32:54,720 --> 00:32:57,560 Speaker 1: a vote on this bill, and so the Republicans and 575 00:32:57,760 --> 00:33:00,640 Speaker 1: Congress are just going to have a feel day with us. 576 00:33:01,200 --> 00:33:04,840 Speaker 1: But Genie, I keep hearing that what of Americans support 577 00:33:04,880 --> 00:33:08,560 Speaker 1: what is in reconciliation. Is this going to be difficult 578 00:33:08,560 --> 00:33:13,000 Speaker 1: for Democrats to sell at home? You know, people do 579 00:33:13,120 --> 00:33:15,880 Speaker 1: like and and we do need infrastructure, and we need 580 00:33:16,000 --> 00:33:19,000 Speaker 1: all of the things that they're talking about, from education 581 00:33:19,120 --> 00:33:23,320 Speaker 1: to to support for working parents, to health care, you know, 582 00:33:23,440 --> 00:33:26,080 Speaker 1: you name it. Certainly climate as we all talked about 583 00:33:26,120 --> 00:33:28,200 Speaker 1: this U N report that came out the other day, 584 00:33:28,680 --> 00:33:32,080 Speaker 1: but you still have a sizable number of Americans who 585 00:33:32,120 --> 00:33:36,280 Speaker 1: want there to be a investment in these things that 586 00:33:36,400 --> 00:33:39,200 Speaker 1: doesn't then raise the deficit as much as this may 587 00:33:39,400 --> 00:33:41,920 Speaker 1: raise the deficit. So there is going to be a 588 00:33:41,960 --> 00:33:45,080 Speaker 1: big fight on that. And Republicans are banking on the 589 00:33:45,120 --> 00:33:50,080 Speaker 1: fact that supporting the you know, bipartisan bill, but saying 590 00:33:50,160 --> 00:33:53,360 Speaker 1: no to a spending increase at this level of a 591 00:33:53,400 --> 00:33:56,680 Speaker 1: three point five trillion is going to do well for 592 00:33:56,720 --> 00:34:00,160 Speaker 1: them in these very moderate purple districts. And they are 593 00:34:00,240 --> 00:34:03,080 Speaker 1: banking on that, and they may have a case that 594 00:34:03,160 --> 00:34:05,800 Speaker 1: they can take to the bank as they look towards 595 00:34:06,800 --> 00:34:10,120 Speaker 1: Certainly that's what Mitch McConnell is hoping for. They want 596 00:34:10,120 --> 00:34:13,200 Speaker 1: to say they're supporting infrastructure investment, but they also want 597 00:34:13,239 --> 00:34:15,600 Speaker 1: to make the case that they are not spending at 598 00:34:15,680 --> 00:34:18,960 Speaker 1: these amounts that will put the country in enormous debt 599 00:34:19,320 --> 00:34:22,640 Speaker 1: as we're talking about potentially with a three point five trillion, 600 00:34:22,920 --> 00:34:26,120 Speaker 1: So a huge fight on that front ahead. What's going 601 00:34:26,160 --> 00:34:28,600 Speaker 1: to happen to the debt limit here? We know that 602 00:34:28,800 --> 00:34:33,520 Speaker 1: it's not in the reconciliation blueprint that was revealed yesterday, 603 00:34:33,560 --> 00:34:35,520 Speaker 1: and of course it was full of holes, a lot 604 00:34:35,520 --> 00:34:38,880 Speaker 1: of blanks here, but there was no mention of raising 605 00:34:38,880 --> 00:34:43,839 Speaker 1: the debt ceiling. Democrats essentially calling McConnell's bluff on this, Rick, 606 00:34:43,880 --> 00:34:48,040 Speaker 1: will will Republicans vote to raise the debt ceiling come 607 00:34:48,160 --> 00:34:52,520 Speaker 1: fall when the country is at risk of defaulting? You know? 608 00:34:52,600 --> 00:34:55,400 Speaker 1: Everything's a trade, uh, And I don't think that the 609 00:34:55,440 --> 00:34:58,879 Speaker 1: debt ceiling is immune to that. I think that Mitch 610 00:34:58,960 --> 00:35:02,880 Speaker 1: McConnell has been very clear that he wants the Democrats 611 00:35:02,920 --> 00:35:05,440 Speaker 1: to put it on the table and deal with it. 612 00:35:06,040 --> 00:35:08,439 Speaker 1: They've got the House to senate, in the White House, 613 00:35:08,440 --> 00:35:11,200 Speaker 1: they should be able to put a proposal on the table. 614 00:35:11,200 --> 00:35:13,919 Speaker 1: And he's gonna want something for every single Republican vote 615 00:35:13,960 --> 00:35:17,080 Speaker 1: that goes for that. And so that's why they want 616 00:35:17,160 --> 00:35:21,520 Speaker 1: it outside the reconciliation package, so that they can they 617 00:35:21,560 --> 00:35:25,120 Speaker 1: can create a trade. Uh, so we'll see. Uh. Right now, 618 00:35:25,320 --> 00:35:28,560 Speaker 1: all eyes are on the reconciliation debate and and they'll 619 00:35:28,640 --> 00:35:30,719 Speaker 1: vote on that and get out of town and then 620 00:35:30,760 --> 00:35:35,080 Speaker 1: the real arguments start on on on this, uh, this 621 00:35:35,280 --> 00:35:38,719 Speaker 1: skyrocketing debt ceiling. So what would you trade Jeannie as 622 00:35:38,760 --> 00:35:42,000 Speaker 1: a Democrat to get Republicans to get Mitch McConnell to 623 00:35:42,040 --> 00:35:45,920 Speaker 1: lift the debt ceiling. That's a very hard call, and 624 00:35:45,960 --> 00:35:48,719 Speaker 1: I think it depends on which Democrats you're talking to. 625 00:35:48,840 --> 00:35:51,080 Speaker 1: The answer would be very different if you're talking to, 626 00:35:51,520 --> 00:35:54,760 Speaker 1: you know, a Senator Joe Mansion versus if you're talking 627 00:35:54,840 --> 00:35:58,120 Speaker 1: to you know, a you know, somebody from the state 628 00:35:58,160 --> 00:36:01,200 Speaker 1: where what they're talking about Facetan or Christian Jilibrand or 629 00:36:01,239 --> 00:36:04,160 Speaker 1: somebody else. Those are very different answers. But let's not 630 00:36:04,239 --> 00:36:06,920 Speaker 1: forget the cbo is saying that the government can run 631 00:36:06,920 --> 00:36:10,280 Speaker 1: out of cash by October or November without this increase 632 00:36:10,680 --> 00:36:13,520 Speaker 1: or the suspension of the debt limit. That is a 633 00:36:13,560 --> 00:36:17,680 Speaker 1: big threat looming over all of Congress. And this is 634 00:36:17,719 --> 00:36:20,680 Speaker 1: what leads to this feeling amongst Americans, at least many 635 00:36:20,719 --> 00:36:24,279 Speaker 1: of them, of irresponsibility on the part of Congress. And 636 00:36:24,320 --> 00:36:27,319 Speaker 1: this is something that both Democrats and Republicans have got 637 00:36:27,400 --> 00:36:30,600 Speaker 1: to watch out for. So this is a very hard call. 638 00:36:30,640 --> 00:36:33,319 Speaker 1: I think on all sides are a lot of hard 639 00:36:33,360 --> 00:36:35,879 Speaker 1: calls coming here. Hey, Rick, we only have a minute left. 640 00:36:35,880 --> 00:36:37,399 Speaker 1: How late are they going to go on the Senate tonight? 641 00:36:37,440 --> 00:36:40,439 Speaker 1: Does this go to breakfast tomorrow? Oh? Yeah, they're gonna 642 00:36:40,440 --> 00:36:42,719 Speaker 1: have some fun tonight. I've been these voter ramas go 643 00:36:42,840 --> 00:36:46,080 Speaker 1: forever and uh and they'll they'll be eating breakfast in 644 00:36:46,080 --> 00:36:48,960 Speaker 1: the chamber. So it's time to bring in the cots. 645 00:36:49,480 --> 00:36:52,680 Speaker 1: I heard somebody was with spotted bringing big boxes of 646 00:36:52,760 --> 00:36:54,960 Speaker 1: takeout food in so that that's a pretty good sign. Right, 647 00:36:56,080 --> 00:36:59,160 Speaker 1: that's a good sign. Get out the mattresses. That's this 648 00:36:59,200 --> 00:37:01,799 Speaker 1: is going to be a passic tonight. Just don't go 649 00:37:01,880 --> 00:37:04,680 Speaker 1: to the mattresses. That's different, Rick Davis, thank you as ever. 650 00:37:04,800 --> 00:37:08,200 Speaker 1: Genie she in Zano are Bloomberg Politics contributors helping us 651 00:37:08,200 --> 00:37:11,440 Speaker 1: make sense of the madness here inside the bubble. I'm 652 00:37:11,520 --> 00:37:14,759 Speaker 1: Joe Matthew. This is Bloomberg sound On. Glad you spent 653 00:37:14,840 --> 00:37:18,640 Speaker 1: some time with us today. We'll do it again right here, 654 00:37:18,719 --> 00:37:21,600 Speaker 1: same time tomorrow. We'll check traffic in the markets next 655 00:37:21,640 --> 00:37:22,520 Speaker 1: This is Bloomberg