1 00:00:01,320 --> 00:00:04,439 Speaker 1: Welcome in his verdict with Senator Ted Cruz, Ben Ferguson 2 00:00:04,559 --> 00:00:07,560 Speaker 1: with you and Senator I never thought i'd say there 3 00:00:07,640 --> 00:00:09,960 Speaker 1: was a whole lot of action today in the Senate 4 00:00:10,440 --> 00:00:13,720 Speaker 1: when it comes to the Panama Canal. But that is 5 00:00:13,840 --> 00:00:16,520 Speaker 1: exactly what happened. Is we're learning a lot more about 6 00:00:16,560 --> 00:00:19,560 Speaker 1: the corruption there that should shock a lot of Americans. 7 00:00:20,400 --> 00:00:23,200 Speaker 2: Well, today I chaired a hearing in the Senate Commerce 8 00:00:23,200 --> 00:00:27,040 Speaker 2: Committee on the Panama Canal. And listen, Donald Trump has 9 00:00:27,240 --> 00:00:30,319 Speaker 2: raised this issue. It is a very significant issue. I 10 00:00:30,360 --> 00:00:32,040 Speaker 2: got to say. When he raised it, a lot of 11 00:00:32,040 --> 00:00:34,360 Speaker 2: people in the media, a lot of Democrats dismissed it, 12 00:00:34,440 --> 00:00:37,600 Speaker 2: thought it was crazy talk. But I actually think it 13 00:00:37,680 --> 00:00:40,520 Speaker 2: is a very serious point. We've talked about this before 14 00:00:40,560 --> 00:00:44,160 Speaker 2: on the podcast, but today I chaired a hearing on 15 00:00:44,200 --> 00:00:48,239 Speaker 2: the Panama Canal, and in particular on the conduct that 16 00:00:48,280 --> 00:00:53,360 Speaker 2: Panama has committed potentially in violation of the treaty. So 17 00:00:54,320 --> 00:00:59,200 Speaker 2: the United States built that canal. Over thirty thousand lives 18 00:00:59,600 --> 00:01:04,640 Speaker 2: were lost in the construction of that canal. Over fifteen 19 00:01:05,240 --> 00:01:10,560 Speaker 2: billion dollars in today's dollars were spent by America, by 20 00:01:10,600 --> 00:01:15,440 Speaker 2: American taxpayers, in building that canal. And Jimmy Carter sadly 21 00:01:15,560 --> 00:01:18,480 Speaker 2: gave it away, gave it to Panama. It was indefensible. 22 00:01:18,520 --> 00:01:20,720 Speaker 2: I remember I was a little kid. You were not 23 00:01:20,840 --> 00:01:24,920 Speaker 2: even been a sparkle in your daddy's eyeball when this happened. 24 00:01:25,440 --> 00:01:27,919 Speaker 3: But I remember it well, and I remember being pissed. 25 00:01:27,959 --> 00:01:30,320 Speaker 2: And by the way, this was one of the major 26 00:01:30,400 --> 00:01:34,200 Speaker 2: issues that got Ronald Reagan elected in nineteen eighty because 27 00:01:34,319 --> 00:01:39,080 Speaker 2: Jimmy Carter gave this away. Well, Donald Trump has rightly 28 00:01:39,160 --> 00:01:43,280 Speaker 2: raised this, and in particular when Jimmy Carter gave it away. 29 00:01:43,400 --> 00:01:47,560 Speaker 2: Panama agreed to a very specific treaty, a treaty to 30 00:01:47,720 --> 00:01:52,480 Speaker 2: keep the Panama Canal neutral and to charge America fair 31 00:01:52,520 --> 00:01:55,960 Speaker 2: and equitable rates. And the hearing we had today was 32 00:01:56,120 --> 00:02:01,760 Speaker 2: testimony from numerous experts that Panama is in violation of 33 00:02:01,800 --> 00:02:05,360 Speaker 2: that treaty. That number one, that they have seeded enormous 34 00:02:05,400 --> 00:02:09,280 Speaker 2: control to China over the canal, and this is the 35 00:02:09,320 --> 00:02:12,640 Speaker 2: point President Trump has made that is really quite powerful. 36 00:02:12,880 --> 00:02:16,560 Speaker 2: And number two, that they are charging exorbitant rates to 37 00:02:16,720 --> 00:02:19,840 Speaker 2: American shippers, to commercial shippers, and to the US Navy. 38 00:02:20,360 --> 00:02:22,440 Speaker 2: And so that hearing we're going to break down today. 39 00:02:22,480 --> 00:02:26,440 Speaker 2: We also we saw this weekend, President Trump went and 40 00:02:26,480 --> 00:02:30,519 Speaker 2: did a major event pressing his policy for no taxes 41 00:02:30,560 --> 00:02:33,840 Speaker 2: on tips. This is a policy we're going to get enacted. 42 00:02:33,919 --> 00:02:36,640 Speaker 2: I am the author of the legislation in the Senate 43 00:02:36,680 --> 00:02:39,639 Speaker 2: to get this done, and I believe we're going to 44 00:02:39,720 --> 00:02:40,560 Speaker 2: get this done this year. 45 00:02:40,600 --> 00:02:41,840 Speaker 3: We're going to break that down as well. 46 00:02:42,560 --> 00:02:44,520 Speaker 1: I want to take a moment real quick and talk 47 00:02:44,560 --> 00:02:47,360 Speaker 1: to you about January the twenty seventh. You may not 48 00:02:47,560 --> 00:02:51,840 Speaker 1: have realized, but the twenty seventh was International Holocaust Remembrance 49 00:02:51,919 --> 00:02:55,000 Speaker 1: Day Day to remember the great evil of the Holocaust, 50 00:02:55,040 --> 00:02:58,480 Speaker 1: when millions of Jews were slaughtered during the Nazis reign 51 00:02:58,480 --> 00:03:02,920 Speaker 1: of terror. Today, unfortunately, the rise in global anti Semitism 52 00:03:03,000 --> 00:03:06,480 Speaker 1: and the constant attacks on Israel are showing us that 53 00:03:06,560 --> 00:03:09,200 Speaker 1: it's more important than ever to remember the atrocities of 54 00:03:09,240 --> 00:03:12,960 Speaker 1: the Holocaust to ensure that it never happens again. And 55 00:03:13,000 --> 00:03:16,519 Speaker 1: that's why I'm proud to stand with the International Fellowship 56 00:03:16,600 --> 00:03:21,600 Speaker 1: of Christians and Jews. They do incredible work by providing food, shelter, 57 00:03:21,720 --> 00:03:24,480 Speaker 1: and safety to Jews in Israel and around the world, 58 00:03:24,600 --> 00:03:28,799 Speaker 1: including those remaining Holocaust survivors. Your donation today will help 59 00:03:28,840 --> 00:03:32,919 Speaker 1: provide food water, medicine, and not only basic necessities of 60 00:03:32,919 --> 00:03:36,480 Speaker 1: the Jewish community, but also things like bomb shelters and 61 00:03:37,280 --> 00:03:41,120 Speaker 1: armored ambulances that they need in Israel right now. And 62 00:03:41,200 --> 00:03:43,320 Speaker 1: through your gift, you will stand with the Jewish people 63 00:03:43,400 --> 00:03:47,440 Speaker 1: and against this growing anti Semitism and hatred. So to 64 00:03:47,520 --> 00:03:50,520 Speaker 1: give to show your support to the Jewish people, you 65 00:03:50,560 --> 00:03:58,240 Speaker 1: can visit SUPPORTIFCJ dot org. That's one word, support IFCJ 66 00:03:58,440 --> 00:04:00,920 Speaker 1: dot org. You can also call and give them a 67 00:04:00,920 --> 00:04:06,160 Speaker 1: donation eighty eight for eight eight IFCJ that's eight eight 68 00:04:06,240 --> 00:04:11,360 Speaker 1: eight four eight eight IFCJ eighty eight four eight eight 69 00:04:11,760 --> 00:04:17,440 Speaker 1: four three two five or support IFCJ dot org. All right, 70 00:04:17,520 --> 00:04:21,559 Speaker 1: so Senator, let's go back in history and really dive 71 00:04:21,640 --> 00:04:26,200 Speaker 1: into how all this got started. And you mentioned in 72 00:04:26,240 --> 00:04:29,640 Speaker 1: the intro there America built the Panama Canal and then 73 00:04:29,680 --> 00:04:32,440 Speaker 1: it was given away. So let's talk about the building. 74 00:04:32,800 --> 00:04:36,040 Speaker 1: Let's talk about the price, Let's talk about the cost 75 00:04:36,839 --> 00:04:39,320 Speaker 1: and including people that literally gave their lives building this 76 00:04:39,400 --> 00:04:42,440 Speaker 1: incredible thing, why it was built, and then let's get 77 00:04:42,480 --> 00:04:43,960 Speaker 1: to why we gave it away. 78 00:04:44,800 --> 00:04:48,040 Speaker 2: Listen, it was a massive investment from the United States. 79 00:04:48,040 --> 00:04:52,120 Speaker 2: It was an extraordinary endeavor. Teddy Roosevelt had the vision 80 00:04:52,200 --> 00:04:54,320 Speaker 2: to build the Panama Canal. Look, it used to be 81 00:04:54,960 --> 00:04:58,000 Speaker 2: that's traverse from the Atlantic to the Pacific Ocean. You 82 00:04:58,040 --> 00:05:01,760 Speaker 2: had to go all the way south below South America, 83 00:05:01,760 --> 00:05:05,160 Speaker 2: and that took enormous time. It was enormously costly, and 84 00:05:05,200 --> 00:05:10,240 Speaker 2: America said, we can construct a canal through Panama. We 85 00:05:10,279 --> 00:05:15,480 Speaker 2: can cut that journey dramatically shorter. It was a major investment, 86 00:05:15,960 --> 00:05:18,840 Speaker 2: and as I said, over thirty thousand lives were lost 87 00:05:19,000 --> 00:05:23,320 Speaker 2: building that canal. It was not a small investment. Fifteen 88 00:05:23,839 --> 00:05:28,240 Speaker 2: billion dollars. And listen, before we get started, I want 89 00:05:28,279 --> 00:05:32,400 Speaker 2: to just just take a musical moment to reflect, So 90 00:05:32,520 --> 00:05:45,240 Speaker 2: give a listen. That's what we're talking about today. 91 00:05:45,680 --> 00:05:48,200 Speaker 1: So I love that you played the song there, and 92 00:05:48,240 --> 00:05:53,440 Speaker 1: you guys actually talked about possibly playing that today in Congress, 93 00:05:53,480 --> 00:05:55,440 Speaker 1: which made me laugh at the hearing as well. 94 00:05:56,160 --> 00:05:58,880 Speaker 3: Well, that's true, and so let's start. So we opened 95 00:05:58,920 --> 00:05:59,360 Speaker 3: the hearing. 96 00:05:59,800 --> 00:06:03,320 Speaker 2: By the way, the Senate Commerce Committee of which I'm chairman, 97 00:06:03,360 --> 00:06:07,520 Speaker 2: has explicit jurisdiction over the Panama Canal because it is 98 00:06:07,760 --> 00:06:11,159 Speaker 2: enormously important for American commerce, and so that's why we 99 00:06:11,240 --> 00:06:14,120 Speaker 2: started with this major hearing. So give a listen. This 100 00:06:14,200 --> 00:06:17,760 Speaker 2: is my opening statement as we open the hearing. We're 101 00:06:17,800 --> 00:06:23,000 Speaker 2: here today to examine a monument to American ingenuity, the 102 00:06:23,040 --> 00:06:26,719 Speaker 2: Panama Canal. Senator Moreno down there suggested we open the 103 00:06:26,720 --> 00:06:31,479 Speaker 2: hearing by playing Van Halen and Panama. We may not 104 00:06:31,600 --> 00:06:37,640 Speaker 2: do that, but between the American construction of the Panama Canal, 105 00:06:38,680 --> 00:06:42,440 Speaker 2: the French effort to build an Isthmus Canal an America's 106 00:06:42,480 --> 00:06:48,160 Speaker 2: triumphant completion of that canal, the major infrastructure projects across 107 00:06:48,200 --> 00:06:53,080 Speaker 2: Panama cost more than thirty five thousand lives. For the 108 00:06:53,080 --> 00:06:56,480 Speaker 2: final decade of work on the Panama Canal, the United 109 00:06:56,480 --> 00:07:01,840 Speaker 2: States spent nearly four hundred million dollars equivalent to more 110 00:07:01,880 --> 00:07:03,480 Speaker 2: than fifteen billion today. 111 00:07:03,880 --> 00:07:05,280 Speaker 3: The Panama Canal. 112 00:07:05,080 --> 00:07:10,760 Speaker 2: Proved a truly invaluable asset, sparing both cargo ships and 113 00:07:10,880 --> 00:07:15,040 Speaker 2: warships the long journey around South America. When President Carter 114 00:07:15,560 --> 00:07:19,320 Speaker 2: gave it away to Panama, Americans were puzzled, confused, and 115 00:07:19,360 --> 00:07:24,360 Speaker 2: many outraged. With the passage of time, many have lost 116 00:07:24,440 --> 00:07:29,040 Speaker 2: sight of the canal's importance, both to national security and 117 00:07:29,080 --> 00:07:35,400 Speaker 2: to the US economy. Not President Trump, when he demanded 118 00:07:35,440 --> 00:07:39,680 Speaker 2: fair treatment for American ships and goods. Many in the 119 00:07:39,720 --> 00:07:44,080 Speaker 2: media scoffed. But the Panama Canal was not just given away. 120 00:07:45,240 --> 00:07:49,200 Speaker 2: President Carter struck a bargain, He made a treaty, and 121 00:07:49,280 --> 00:07:52,680 Speaker 2: President Trump is making a serious and substantive argument that 122 00:07:52,680 --> 00:07:56,560 Speaker 2: that treaty is being violated right now. This committee has 123 00:07:56,640 --> 00:07:59,440 Speaker 2: jurisdiction under the Senate rules over the Panama Canal and 124 00:07:59,480 --> 00:08:03,160 Speaker 2: today will examine evidence of potential violations. 125 00:08:04,160 --> 00:08:06,240 Speaker 3: Resident Trump has highlighted two key issues. 126 00:08:06,840 --> 00:08:10,880 Speaker 2: Number one, the danger of China exploiting or blocking passage 127 00:08:10,920 --> 00:08:15,200 Speaker 2: through the canal, and number two, the exorbitant costs for transit. 128 00:08:16,480 --> 00:08:19,440 Speaker 2: Chinese companies are right now building a bridge across the 129 00:08:19,480 --> 00:08:23,560 Speaker 2: canal at a slow pace so as to take nearly 130 00:08:23,680 --> 00:08:29,240 Speaker 2: a decade, and Chinese companies control container points ports at 131 00:08:29,280 --> 00:08:34,240 Speaker 2: either end. The partially completed bridge gives China the ability 132 00:08:34,280 --> 00:08:38,520 Speaker 2: to block the canal without warning, and the ports give 133 00:08:38,640 --> 00:08:42,160 Speaker 2: China ready observation post to take to time that action. 134 00:08:43,400 --> 00:08:50,040 Speaker 2: This situation, I believe poses acute risks to US national security. Meanwhile, 135 00:08:50,080 --> 00:08:54,720 Speaker 2: the high fees for canal transit disproportionately affect Americans because 136 00:08:54,840 --> 00:08:59,800 Speaker 2: US cargo accounts for nearly three quarters of canal transits. 137 00:09:00,080 --> 00:09:03,920 Speaker 2: Navy vessels pay additional fees that apply only to worships. 138 00:09:05,040 --> 00:09:10,840 Speaker 2: Canal profits regularly exceed three billion dollars. This money comes 139 00:09:10,880 --> 00:09:14,319 Speaker 2: from both American taxpayers and consumers in the form of 140 00:09:14,360 --> 00:09:19,160 Speaker 2: higher costs for goods. American tourists aboard cruises, particularly those 141 00:09:19,160 --> 00:09:22,920 Speaker 2: in the Caribbean Sea, are essentially captive to any fees 142 00:09:23,000 --> 00:09:27,079 Speaker 2: Panama chooses to levy or canal transits, and they have 143 00:09:27,160 --> 00:09:31,520 Speaker 2: pair paid unfair prices for fuel bunkering at terminals in 144 00:09:31,600 --> 00:09:36,319 Speaker 2: Panama as a result of government granted monopoly. Panama's government 145 00:09:36,360 --> 00:09:39,920 Speaker 2: relies on these exploitative fees. Nearly one tenth of its 146 00:09:39,960 --> 00:09:44,720 Speaker 2: budget is paid for with canal profit, as those fees 147 00:09:44,800 --> 00:09:48,439 Speaker 2: cascade through the American economy and the federal fisk. The 148 00:09:48,520 --> 00:09:52,320 Speaker 2: Chinese Communist Party advances its global economic contests against the 149 00:09:52,400 --> 00:09:56,480 Speaker 2: United States and takes a militaristic interest in the canal. 150 00:09:57,880 --> 00:10:00,320 Speaker 2: While President Trump is rightly focused on the these key 151 00:10:00,400 --> 00:10:04,520 Speaker 2: issues their additional problems. In the last two years, the 152 00:10:04,520 --> 00:10:08,520 Speaker 2: Canal Authority generated record revenue even while transits were depressed 153 00:10:09,040 --> 00:10:12,160 Speaker 2: by drought conditions, and the only comfort to delayed and 154 00:10:12,200 --> 00:10:15,680 Speaker 2: overcharge ships is that Panama may invest in more fresh. 155 00:10:15,520 --> 00:10:16,840 Speaker 3: Water reserves in the future. 156 00:10:18,080 --> 00:10:20,760 Speaker 2: Even as it takes advantage of the global maritime system, 157 00:10:21,480 --> 00:10:24,800 Speaker 2: Panama has emerged as a bad actor. Panama has for 158 00:10:24,960 --> 00:10:29,920 Speaker 2: years flagged dozens of vessels in the Iranian ghost Fleet, 159 00:10:30,880 --> 00:10:34,800 Speaker 2: which brought Iran tens of billions of dollars in oil 160 00:10:34,880 --> 00:10:39,960 Speaker 2: profits to fund terror across the world, and Chinese companies 161 00:10:39,960 --> 00:10:44,679 Speaker 2: have won contracts, often without fair competition, as the infamous 162 00:10:44,720 --> 00:10:49,040 Speaker 2: Belton Road initiative has come to Panama. China often engages 163 00:10:49,120 --> 00:10:53,360 Speaker 2: in debt trap diplomacy to enable economic and political coercion 164 00:10:54,280 --> 00:10:58,000 Speaker 2: in Panama. It also seems to have exploited simple corruption. 165 00:10:59,080 --> 00:11:02,480 Speaker 1: So center you will get these warnings and they're like 166 00:11:03,000 --> 00:11:09,520 Speaker 1: multiple red flags here Iran and China and this bridge, 167 00:11:10,200 --> 00:11:14,199 Speaker 1: and basically the highest bidder can get whatever the hell 168 00:11:14,240 --> 00:11:17,079 Speaker 1: they want, no matter how shady they are from Panama 169 00:11:17,120 --> 00:11:19,280 Speaker 1: and the Panama Canal Am I wrong. 170 00:11:19,800 --> 00:11:20,160 Speaker 3: You're not. 171 00:11:20,320 --> 00:11:22,760 Speaker 2: And there were several striking things in the hearing. Number One, 172 00:11:22,800 --> 00:11:26,400 Speaker 2: we had a series of witnesses from the Federal Maritime Commission, 173 00:11:26,720 --> 00:11:30,720 Speaker 2: and we had an international law professor who testified about 174 00:11:30,760 --> 00:11:34,960 Speaker 2: the neutrality treaty, and they testified about a number of things. 175 00:11:35,040 --> 00:11:37,360 Speaker 2: Number One, there's a treaty that governs this. So this 176 00:11:37,480 --> 00:11:40,840 Speaker 2: is not simply Donald Trump raising an issue. Gosh, we 177 00:11:40,880 --> 00:11:45,200 Speaker 2: want the Panama Canal. Panama made a commitment when Jimmy 178 00:11:45,240 --> 00:11:48,440 Speaker 2: Carter gave this away, and they made a commitment number one, 179 00:11:48,520 --> 00:11:51,520 Speaker 2: that the Panama Canal would remain neutral, that it would 180 00:11:51,600 --> 00:11:55,440 Speaker 2: not allow another foreign power to have control over it, 181 00:11:55,480 --> 00:11:58,679 Speaker 2: to have military access to it. And number two, they 182 00:11:58,760 --> 00:12:03,959 Speaker 2: made a commitment that entreaty that they would charge fair 183 00:12:04,040 --> 00:12:08,640 Speaker 2: and equitable fees. Now, on the first point, we heard 184 00:12:09,000 --> 00:12:13,640 Speaker 2: an enormous amount of testimony that Panama has made a 185 00:12:13,880 --> 00:12:18,160 Speaker 2: massive pivot towards China. Listen, China is engaged in something 186 00:12:18,200 --> 00:12:21,720 Speaker 2: called the Belton Road Initiative where they're investing in ports 187 00:12:21,720 --> 00:12:24,520 Speaker 2: and infrastructure all over the world, and they're spending billions 188 00:12:24,520 --> 00:12:27,480 Speaker 2: and billions of dollars trying to gain power over the 189 00:12:27,600 --> 00:12:31,400 Speaker 2: United States. And the Panama Canal is critical to US 190 00:12:31,559 --> 00:12:35,280 Speaker 2: national security and to our economy. So on both ends 191 00:12:35,280 --> 00:12:38,240 Speaker 2: of the Panama Canal, on the Pacific side and on 192 00:12:38,320 --> 00:12:44,800 Speaker 2: the Atlantic side, China controls. Chinese corporations control massive ports 193 00:12:44,800 --> 00:12:48,120 Speaker 2: that are right there that give them access and give 194 00:12:48,160 --> 00:12:52,040 Speaker 2: them the ability to observe all traffic going through the 195 00:12:52,040 --> 00:12:56,839 Speaker 2: canal and potentially to shut down all traffic going through 196 00:12:56,880 --> 00:13:00,240 Speaker 2: the canal. As I mentioned also in my opening, theyreuilding 197 00:13:00,280 --> 00:13:04,080 Speaker 2: a bridge across the canal. They are spending over a 198 00:13:04,280 --> 00:13:08,080 Speaker 2: decade building that bridge. That bridge gives them the capacity 199 00:13:08,080 --> 00:13:11,520 Speaker 2: to number one, to engage in surveillance of every ship 200 00:13:11,559 --> 00:13:16,120 Speaker 2: going through the canal. But number two, if listen, we 201 00:13:16,200 --> 00:13:18,760 Speaker 2: get to a time in the future where we're in 202 00:13:18,960 --> 00:13:22,800 Speaker 2: serious conflict with China, let's say a military conflict. Let's 203 00:13:22,800 --> 00:13:26,840 Speaker 2: say they invade Taiwan and we are suddenly at risk 204 00:13:26,880 --> 00:13:32,000 Speaker 2: of a shooting war. China has the capacity to shut 205 00:13:32,280 --> 00:13:35,360 Speaker 2: down the Panama Canal, to use that bridge, to use 206 00:13:35,400 --> 00:13:38,720 Speaker 2: the ports on both ends. It ends to say we 207 00:13:38,800 --> 00:13:42,080 Speaker 2: will annow allow no transit through that canal. That would 208 00:13:42,160 --> 00:13:46,520 Speaker 2: be enormously harmful to the United States, and the point 209 00:13:46,559 --> 00:13:50,120 Speaker 2: that was made in the hearing that is directly contrary 210 00:13:50,960 --> 00:13:56,720 Speaker 2: to the Treaty Panama sign. Secondly, Panama makes roughly three 211 00:13:57,480 --> 00:14:03,000 Speaker 2: billion dollars in fees from transit across the Panama Canal. 212 00:14:03,640 --> 00:14:07,640 Speaker 2: Seventy five percent of those transits are American ships, so 213 00:14:07,679 --> 00:14:12,480 Speaker 2: they are either American cargo ships, commercial ships going across, 214 00:14:13,040 --> 00:14:16,560 Speaker 2: or there are American military ships the US Navy going across. 215 00:14:16,600 --> 00:14:22,120 Speaker 2: But either way, Panama is making billions. And the testimony 216 00:14:22,160 --> 00:14:24,920 Speaker 2: we heard in the hearing today is that on both 217 00:14:24,960 --> 00:14:30,280 Speaker 2: of those grounds there is a strong argument that Panama 218 00:14:30,600 --> 00:14:33,800 Speaker 2: is in violation of the treaty. Now, what's interesting, ben 219 00:14:34,240 --> 00:14:40,600 Speaker 2: I asked the international law professor was testifying. I said, Okay, 220 00:14:40,680 --> 00:14:45,160 Speaker 2: if Panama is in violation of the treaty, number one, 221 00:14:45,400 --> 00:14:49,440 Speaker 2: how is that determined? And number two, what is the remedy. 222 00:14:50,040 --> 00:14:52,880 Speaker 2: On the question of how is that determined? The testimony 223 00:14:52,880 --> 00:14:56,600 Speaker 2: we got today is the professor said, well, under the 224 00:14:56,680 --> 00:15:01,240 Speaker 2: terms of the treaty, each party determines unilaterally whether the 225 00:15:01,280 --> 00:15:04,480 Speaker 2: other is in violation, which means the United States has 226 00:15:04,520 --> 00:15:08,760 Speaker 2: the ability to determine President Trump and this administration can 227 00:15:08,800 --> 00:15:14,360 Speaker 2: determine Panama is in violation. That is decisive. And then secondly, 228 00:15:14,400 --> 00:15:18,600 Speaker 2: the remedy. Initially, when I asked the remedy, what the 229 00:15:18,600 --> 00:15:24,120 Speaker 2: professor testified is that the remedy contemplated in the treaty 230 00:15:24,320 --> 00:15:28,440 Speaker 2: was direct military action by the United States to reassert 231 00:15:28,480 --> 00:15:31,960 Speaker 2: its control. I also asked, okay, if they're in violation 232 00:15:32,080 --> 00:15:36,040 Speaker 2: of the treaty, is there a potential to assert that 233 00:15:36,080 --> 00:15:38,800 Speaker 2: the treaty is null and void and the United States 234 00:15:38,840 --> 00:15:43,640 Speaker 2: will reassert control on that question, he went back and forth, 235 00:15:43,720 --> 00:15:48,440 Speaker 2: But I will say that testimony I think gave enormous 236 00:15:48,800 --> 00:15:51,640 Speaker 2: heft to the points President Trump has been making. 237 00:15:52,200 --> 00:15:54,400 Speaker 1: So you look at this and you say, all right, 238 00:15:55,160 --> 00:15:58,800 Speaker 1: what are the options now for President Trump and then 239 00:15:59,560 --> 00:16:02,840 Speaker 1: for Congress because we can't get it back right there, 240 00:16:02,920 --> 00:16:04,880 Speaker 1: I've seen it. I'd be like, we just take this 241 00:16:04,960 --> 00:16:08,400 Speaker 1: thing back. We built it. I don't think it's that simple. 242 00:16:08,480 --> 00:16:10,800 Speaker 1: Is that a fair fair point to make? Starting off? 243 00:16:11,320 --> 00:16:13,760 Speaker 2: You know, it's interesting you and I did a podcast 244 00:16:14,040 --> 00:16:18,359 Speaker 2: early on when President Trump was talking about Canada, Panama, 245 00:16:18,440 --> 00:16:22,200 Speaker 2: and Greenland, and I put them on a spectrum. I said, Canada, 246 00:16:22,720 --> 00:16:25,880 Speaker 2: it ain't going to become the fifty first state. Their 247 00:16:26,280 --> 00:16:31,360 Speaker 2: President Trump is just trolling Canada. He's messing with Trudeau. 248 00:16:31,480 --> 00:16:35,640 Speaker 2: And by the way, his trolling of Trudeau probably cost 249 00:16:35,760 --> 00:16:39,440 Speaker 2: him being Prime minister. I mean, it was perhaps the 250 00:16:39,480 --> 00:16:41,760 Speaker 2: most epic troll in history. 251 00:16:43,120 --> 00:16:44,400 Speaker 3: Greenland, on the other. 252 00:16:44,240 --> 00:16:48,080 Speaker 2: Hand, as we discussed at length on this podcast, I 253 00:16:48,120 --> 00:16:51,680 Speaker 2: think there's a very serious argument that it is in 254 00:16:51,720 --> 00:16:56,000 Speaker 2: the United States's interest to try to acquire Greenland, to 255 00:16:56,080 --> 00:16:58,920 Speaker 2: try to acquire a number one for national security reasons 256 00:16:58,960 --> 00:17:03,440 Speaker 2: because Greenland has a critical geographic location in the Arctic. 257 00:17:04,119 --> 00:17:07,040 Speaker 2: If God forbid, we had a military conflict with Russia 258 00:17:07,160 --> 00:17:11,360 Speaker 2: or China, any ICBMs and any military attack would likely 259 00:17:11,400 --> 00:17:15,800 Speaker 2: come over the Arctic. Greenland is precisely situated to be 260 00:17:15,840 --> 00:17:20,320 Speaker 2: able to intercept and combat that. But also Greenland has 261 00:17:20,760 --> 00:17:25,720 Speaker 2: vast natural resources, in particular rarest minerals and critical minerals, 262 00:17:26,119 --> 00:17:28,240 Speaker 2: and so I think it is very much at our 263 00:17:28,280 --> 00:17:30,720 Speaker 2: interest to pursue Greenland. 264 00:17:30,760 --> 00:17:31,680 Speaker 3: Now, I will. 265 00:17:31,440 --> 00:17:34,720 Speaker 2: Say a little over a week ago, I had a 266 00:17:34,720 --> 00:17:40,200 Speaker 2: long conversation with the Danish ambassador. So Greenland is controlled 267 00:17:40,240 --> 00:17:44,520 Speaker 2: by Denmark, and the Danish ambassador was quite distressed because 268 00:17:44,560 --> 00:17:46,960 Speaker 2: I've been very vocal, including on this podcast, and so 269 00:17:47,040 --> 00:17:49,600 Speaker 2: I got a call from the Danish ambassador, what are 270 00:17:49,640 --> 00:17:53,840 Speaker 2: you saying on Verdict, which is is an interesting did. 271 00:17:53,880 --> 00:17:56,920 Speaker 1: Your response was do go listen to it? 272 00:17:56,920 --> 00:17:57,560 Speaker 3: It's up there. 273 00:17:58,960 --> 00:18:02,400 Speaker 2: I did have a good life. And the Danish ambassador 274 00:18:02,440 --> 00:18:04,800 Speaker 2: is like, why are you attacking us? And I said, listen, 275 00:18:04,880 --> 00:18:08,959 Speaker 2: let me be clear, you're a friend, you're an ally. 276 00:18:10,000 --> 00:18:14,160 Speaker 2: I'm not remotely proposing military action against Denmark or Greenland. 277 00:18:15,040 --> 00:18:19,680 Speaker 2: But friends and allies can have real conversations, and I 278 00:18:19,720 --> 00:18:22,840 Speaker 2: think it is very much in our interest to acquire Greenland. 279 00:18:22,840 --> 00:18:25,760 Speaker 2: And the ambassador said it's not for sale, and I said, well, 280 00:18:25,760 --> 00:18:29,480 Speaker 2: everything's for sale, and we're at least going to have 281 00:18:29,480 --> 00:18:31,760 Speaker 2: a conversation, because I think it is both in our 282 00:18:31,800 --> 00:18:34,560 Speaker 2: interest and your interest to have that conversation, and so 283 00:18:34,640 --> 00:18:37,480 Speaker 2: that we had a very direct, I think of very 284 00:18:37,520 --> 00:18:40,879 Speaker 2: positive conversations, and I expect over the next four years 285 00:18:41,720 --> 00:18:44,399 Speaker 2: the Trump administration is going to press that discussion. 286 00:18:45,000 --> 00:18:45,280 Speaker 3: Now. 287 00:18:45,359 --> 00:18:47,960 Speaker 2: At the time you and I did that podcast, I 288 00:18:48,119 --> 00:18:51,720 Speaker 2: viewed the Panamac Canal as somewhere in the middle. I 289 00:18:51,760 --> 00:18:53,439 Speaker 2: said at the time, I said, we're not going to 290 00:18:53,440 --> 00:18:58,040 Speaker 2: get it back, but I think the president is negotiating 291 00:18:58,119 --> 00:19:03,560 Speaker 2: over priced, negotiating to lower the prices of transit. Now 292 00:19:03,680 --> 00:19:06,440 Speaker 2: I think that's still true. I think the worst case 293 00:19:06,560 --> 00:19:10,000 Speaker 2: outcome of this discussion is we end up with a 294 00:19:10,160 --> 00:19:14,560 Speaker 2: very significant reduction in the cost the price for American 295 00:19:14,600 --> 00:19:18,159 Speaker 2: ships to transit the Panama Canal, both commercial ships and 296 00:19:18,359 --> 00:19:21,480 Speaker 2: US Navy ships. That's a very good outcome. I also 297 00:19:21,640 --> 00:19:24,399 Speaker 2: think it is very likely we will see a significant 298 00:19:24,440 --> 00:19:30,320 Speaker 2: diminution in China's control and influence over the Panama Canal. 299 00:19:30,880 --> 00:19:34,480 Speaker 2: That is a massive benefit. But I got to say, 300 00:19:34,520 --> 00:19:37,520 Speaker 2: after this hearing today, I've moved. I actually think the 301 00:19:37,560 --> 00:19:43,879 Speaker 2: treaty arguments here are quite serious. And I get Panama 302 00:19:43,960 --> 00:19:49,000 Speaker 2: would be horrified to give up the canal because they 303 00:19:49,000 --> 00:19:52,239 Speaker 2: were given a gigantic gift from Jimmy Carter at the 304 00:19:52,280 --> 00:19:55,440 Speaker 2: expense of the United States of America. But I think 305 00:19:55,480 --> 00:19:58,360 Speaker 2: the arguments that Panama is violating the treaty and has 306 00:19:58,400 --> 00:20:01,320 Speaker 2: forfeited its right to the canal, I think those arguments 307 00:20:01,359 --> 00:20:04,920 Speaker 2: are very serious, and I expect the administration to pursue 308 00:20:04,920 --> 00:20:06,040 Speaker 2: them seriously. 309 00:20:07,200 --> 00:20:10,120 Speaker 1: Let's talk about also the contraband in essence is going 310 00:20:10,160 --> 00:20:13,480 Speaker 1: through there Iran and China really getting a grand deal, 311 00:20:13,520 --> 00:20:15,560 Speaker 1: but also the idea that we don't know what's going 312 00:20:15,640 --> 00:20:18,840 Speaker 1: through there on those ships. How concerned are you about that? 313 00:20:19,040 --> 00:20:24,000 Speaker 1: And could this also bring that into perspective where Panama says, hey, 314 00:20:24,040 --> 00:20:27,040 Speaker 1: we can't do this right now, we're under too much 315 00:20:27,080 --> 00:20:27,840 Speaker 1: of a spotlight. 316 00:20:28,119 --> 00:20:31,400 Speaker 2: Well, look, that is a very real problem. So for example, 317 00:20:31,440 --> 00:20:36,320 Speaker 2: Panama has flagged multiple ships from Iran from their ghost fleet, 318 00:20:36,359 --> 00:20:40,320 Speaker 2: the ghost fleet that they're using to transit oil and 319 00:20:41,280 --> 00:20:43,120 Speaker 2: Iran Iran. 320 00:20:42,920 --> 00:20:44,440 Speaker 1: Have a definition, by the way, I have a ghost 321 00:20:44,440 --> 00:20:46,359 Speaker 1: fleet for people that don't understand what that means. 322 00:20:46,800 --> 00:20:52,040 Speaker 2: So there were in law massive sanctions on Iran selling 323 00:20:52,040 --> 00:20:56,520 Speaker 2: oil under Joe Biden. He essentially refused to enforce those sanctions, 324 00:20:57,000 --> 00:20:59,720 Speaker 2: and so Iran used a ghost fleet to get a 325 00:20:59,800 --> 00:21:01,000 Speaker 2: round down those sanctions. 326 00:21:01,000 --> 00:21:02,200 Speaker 3: It was ships. 327 00:21:02,240 --> 00:21:06,240 Speaker 2: That that were operating under under foreign flags that that 328 00:21:06,359 --> 00:21:10,240 Speaker 2: that were basically hiding from the sanctions regime. By the way, 329 00:21:10,280 --> 00:21:12,840 Speaker 2: I think that's one of the most significant things the 330 00:21:12,880 --> 00:21:17,480 Speaker 2: Trump administration is going to do is reimpose those sanctions 331 00:21:17,520 --> 00:21:20,920 Speaker 2: on Iran and cut off their revenue. Joe Biden, the 332 00:21:20,960 --> 00:21:25,640 Speaker 2: Democrats basically gave one hundred billion dollars to the Ayatola 333 00:21:25,680 --> 00:21:29,080 Speaker 2: who's chanting death to America and death to Israel. And 334 00:21:29,119 --> 00:21:32,240 Speaker 2: I believe that that has ended on January twentieth, and 335 00:21:32,320 --> 00:21:36,240 Speaker 2: it should end. Panama was complicit in that that they 336 00:21:36,280 --> 00:21:39,000 Speaker 2: were part of that endeavor. And by the way, Panama 337 00:21:39,080 --> 00:21:42,120 Speaker 2: also made it made a very deliberate decision to pivot 338 00:21:42,520 --> 00:21:47,240 Speaker 2: towards China. So, for example, several years ago, Panama severed 339 00:21:47,320 --> 00:21:54,280 Speaker 2: diplomatic relationships with Taiwan and instead embraced China and they 340 00:21:54,320 --> 00:21:58,240 Speaker 2: did so at the same time that China was making 341 00:21:58,359 --> 00:22:02,199 Speaker 2: massive investments in the ports on both ends of the canal. 342 00:22:02,800 --> 00:22:05,880 Speaker 2: And understand the way China does this, The Chinese government 343 00:22:06,960 --> 00:22:12,120 Speaker 2: subsidizes those investments so that no American company can outbid them. 344 00:22:12,160 --> 00:22:16,239 Speaker 2: Because the Chinese government is essentially subsidizing them. They're not 345 00:22:16,320 --> 00:22:19,160 Speaker 2: doing it for economic purposes. They're not doing it because 346 00:22:19,160 --> 00:22:22,760 Speaker 2: it makes business sense. They're doing it for strategic purposes 347 00:22:22,840 --> 00:22:26,520 Speaker 2: because China wants to control the Panama Canal. Now I 348 00:22:26,600 --> 00:22:29,080 Speaker 2: get why the Chinese communist government wants to do that, 349 00:22:30,040 --> 00:22:34,240 Speaker 2: but Panama letting them do that is I believe in 350 00:22:34,320 --> 00:22:36,919 Speaker 2: direct violation of the treaty and that that's what the 351 00:22:36,920 --> 00:22:37,960 Speaker 2: hearing was about today. 352 00:22:38,840 --> 00:22:42,280 Speaker 1: Final question on this moving forward? How quick will there 353 00:22:42,320 --> 00:22:44,040 Speaker 1: be movement on this issue? 354 00:22:44,600 --> 00:22:49,560 Speaker 2: Look, I don't know. I think this hearing was important today, 355 00:22:50,080 --> 00:22:52,800 Speaker 2: and I'll tell you what I thought was most significant. 356 00:22:52,920 --> 00:22:55,200 Speaker 2: So I called the hearing, and as a chairman, I 357 00:22:55,240 --> 00:22:57,760 Speaker 2: can call a hearing on any topic I want. 358 00:22:58,960 --> 00:23:01,120 Speaker 3: I didn't know how the day Democrats would react. 359 00:23:01,240 --> 00:23:03,320 Speaker 2: I didn't know if the Democrats would show up the 360 00:23:03,359 --> 00:23:07,960 Speaker 2: hearing and begin screaming and saying Trump is a lunatic 361 00:23:08,000 --> 00:23:10,320 Speaker 2: and how Darry do this. I didn't know what they 362 00:23:10,320 --> 00:23:14,560 Speaker 2: would say. The most interesting thing about the hearing today 363 00:23:14,680 --> 00:23:18,919 Speaker 2: is the Democrats. Almost every Democrat echoed the points that 364 00:23:18,960 --> 00:23:21,120 Speaker 2: you and I have been making that China has far 365 00:23:21,160 --> 00:23:25,240 Speaker 2: too much influence over the Panama Canal and also the 366 00:23:25,280 --> 00:23:29,840 Speaker 2: Panama Canal is charging excessive fees. I'm not sure what 367 00:23:29,880 --> 00:23:32,040 Speaker 2: that means, but it surprised me. 368 00:23:32,720 --> 00:23:33,960 Speaker 3: We did not have. 369 00:23:34,480 --> 00:23:39,560 Speaker 2: I sort of anticipated some long Democrat speeches about how 370 00:23:39,640 --> 00:23:43,159 Speaker 2: Trump is a crazy man. We didn't get any of that, 371 00:23:43,320 --> 00:23:46,520 Speaker 2: and I think that was a very interesting particularly the 372 00:23:46,640 --> 00:23:51,560 Speaker 2: Chinese influence on the Panama Canal. There was very significant 373 00:23:51,600 --> 00:23:54,879 Speaker 2: bipartisan agreement. I think that's a very promising sign. 374 00:23:55,119 --> 00:23:57,240 Speaker 1: All right, Well, then we got to use that bipartisan 375 00:23:57,359 --> 00:24:00,280 Speaker 1: sign to move into topic number two, and that is yep. 376 00:24:00,560 --> 00:24:06,119 Speaker 1: Donald Trump was a big proponent of taxes going away 377 00:24:06,359 --> 00:24:10,959 Speaker 1: on tips. Now, this is a very big issue in 378 00:24:11,000 --> 00:24:14,399 Speaker 1: the campaign. He got a lot of traction with a 379 00:24:14,440 --> 00:24:18,000 Speaker 1: lot of Americans that work hard part of their salaries tips. 380 00:24:18,480 --> 00:24:21,159 Speaker 1: Not having taxes on those tips would be huge for 381 00:24:21,359 --> 00:24:26,520 Speaker 1: American workers and also our economy. So this is something 382 00:24:26,520 --> 00:24:28,960 Speaker 1: that has come back up again where Donald Trump's trying 383 00:24:29,000 --> 00:24:31,959 Speaker 1: to pay off on this. The question is what's going 384 00:24:32,000 --> 00:24:34,640 Speaker 1: to happen with Congress on that? And before I get 385 00:24:34,640 --> 00:24:36,080 Speaker 1: to that, I want to tell you about our friends 386 00:24:36,119 --> 00:24:39,640 Speaker 1: over at Patriot Mobile. While we may have won this election, 387 00:24:39,800 --> 00:24:42,320 Speaker 1: the fight to restore our great nation is only beginning, 388 00:24:42,359 --> 00:24:44,840 Speaker 1: and now is the time to take a stand, especially 389 00:24:44,840 --> 00:24:47,640 Speaker 1: when it comes to the dollars you spend. Well, that's 390 00:24:47,680 --> 00:24:50,160 Speaker 1: why I want you to know about Patriot Mobile because 391 00:24:50,160 --> 00:24:55,200 Speaker 1: they are America's only Christian conservative wireless provider. 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Switch to Patriot Mobile today and defend freedom 410 00:25:55,119 --> 00:25:58,440 Speaker 1: with every call and every text you make. That's Patriot 411 00:25:58,480 --> 00:26:02,560 Speaker 1: Mobile dot com slash verdict or call them nine seven 412 00:26:02,640 --> 00:26:07,639 Speaker 1: to Patriot. All right, So, taxes tips, It was clearly 413 00:26:07,640 --> 00:26:10,360 Speaker 1: a big campaign issue. It brought in a lot of voters. 414 00:26:10,640 --> 00:26:12,520 Speaker 1: A lot of people came to Donald Trump and said 415 00:26:12,560 --> 00:26:15,560 Speaker 1: this couldn't have a huge impact. Now it's paying off 416 00:26:15,640 --> 00:26:17,280 Speaker 1: on it. Is there a real chance? 417 00:26:18,960 --> 00:26:21,240 Speaker 2: So yes, and I believe this will happen. This will 418 00:26:21,240 --> 00:26:21,920 Speaker 2: happen by the. 419 00:26:21,920 --> 00:26:22,440 Speaker 3: End of the year. 420 00:26:23,320 --> 00:26:26,520 Speaker 2: So let's rewind. In the middle of the presidential campaign, 421 00:26:27,080 --> 00:26:30,480 Speaker 2: Donald Trump was in Las Vegas, Nevada, and he actually 422 00:26:30,520 --> 00:26:32,600 Speaker 2: told us the story. So he came by in the 423 00:26:32,640 --> 00:26:34,359 Speaker 2: middle of the campaign. He had lunch with all the 424 00:26:34,359 --> 00:26:37,160 Speaker 2: Republican senators and he said, listen, I was in Vegas. 425 00:26:37,200 --> 00:26:38,200 Speaker 3: I had a rally that night. 426 00:26:38,720 --> 00:26:41,200 Speaker 2: They said, I was having lunch and he said, there 427 00:26:41,240 --> 00:26:44,280 Speaker 2: was a waitress who came. It was serving me my meal, 428 00:26:45,119 --> 00:26:49,359 Speaker 2: and he said she began like complaining about the enormous 429 00:26:49,440 --> 00:26:53,359 Speaker 2: burden that the Biden administration had put on recording her tips, 430 00:26:53,359 --> 00:26:54,800 Speaker 2: on paying taxes on tips. 431 00:26:54,800 --> 00:26:56,600 Speaker 3: And he said, I pulled out. 432 00:26:56,480 --> 00:26:58,320 Speaker 2: A piece of paper and I got out of pen 433 00:26:58,440 --> 00:27:02,520 Speaker 2: and I just wrote, no taxes on tips. 434 00:27:03,160 --> 00:27:03,760 Speaker 3: They said, it's just. 435 00:27:03,760 --> 00:27:06,400 Speaker 2: An idea that popped in my head. And he said, look, 436 00:27:06,480 --> 00:27:10,040 Speaker 2: some people they focus group things, they do white papers. 437 00:27:10,040 --> 00:27:11,879 Speaker 2: He said, I didn't do any of that. I just 438 00:27:11,920 --> 00:27:14,760 Speaker 2: wrote it down from the conversation I had with the 439 00:27:14,800 --> 00:27:15,720 Speaker 2: waitress over lunch. 440 00:27:16,240 --> 00:27:16,680 Speaker 3: And he said. 441 00:27:16,720 --> 00:27:18,720 Speaker 2: I had that rally later the day and I had 442 00:27:18,880 --> 00:27:21,080 Speaker 2: thousands of people there, and he said, I just threw 443 00:27:21,119 --> 00:27:24,040 Speaker 2: it out there no taxes on tips. 444 00:27:24,080 --> 00:27:29,400 Speaker 3: And he said and they went crazy. They went absolutely crazy. 445 00:27:30,359 --> 00:27:32,720 Speaker 2: And I got to say, there are times when Trump 446 00:27:32,760 --> 00:27:37,399 Speaker 2: I just think has an instinct that is a very good, 447 00:27:37,920 --> 00:27:42,280 Speaker 2: gut instinct, and I think this policy makes enormous sense. 448 00:27:42,320 --> 00:27:43,840 Speaker 3: And so when he announced it. 449 00:27:44,640 --> 00:27:46,879 Speaker 2: He's right. The crowd went crazy. I looked at it 450 00:27:46,920 --> 00:27:49,320 Speaker 2: and I said, this is this is a great idea. 451 00:27:50,200 --> 00:27:52,440 Speaker 2: I immediately went to my team and I said, let's 452 00:27:52,520 --> 00:27:55,920 Speaker 2: draft the legislation to make this happen. So the next week, 453 00:27:56,600 --> 00:28:00,520 Speaker 2: I filed federal legislation of no taxes on tips. Now 454 00:28:00,520 --> 00:28:04,800 Speaker 2: what's interesting, Ben, is when I filed this, it immediately 455 00:28:04,840 --> 00:28:11,240 Speaker 2: became bipartisan. Both senators from Nevada, Jackie Rosen and Catherine 456 00:28:11,280 --> 00:28:15,120 Speaker 2: Court's Master, both of them immediately co sponsored it. One 457 00:28:15,119 --> 00:28:18,400 Speaker 2: of them said to me, she said, look in Nevada, 458 00:28:19,560 --> 00:28:23,040 Speaker 2: twenty five percent of the employees in the entire state 459 00:28:23,119 --> 00:28:27,239 Speaker 2: are tipped workers. And so it was bipartisan. And then 460 00:28:27,280 --> 00:28:30,439 Speaker 2: shortly thereafter, Kamala Harris endorsed it and she said, this 461 00:28:30,520 --> 00:28:33,879 Speaker 2: is a great idea. So it became there was enormous 462 00:28:33,920 --> 00:28:37,840 Speaker 2: bipartisan support. Now, obviously Trump is won, we have a 463 00:28:37,880 --> 00:28:42,560 Speaker 2: Republican Senate at Republican House. I've refiled my legislation. Here's 464 00:28:42,600 --> 00:28:45,480 Speaker 2: what I'm pressing to happen. So Trump just was back 465 00:28:45,480 --> 00:28:49,000 Speaker 2: in Nevada in Las Vegas just made a huge push 466 00:28:49,040 --> 00:28:53,160 Speaker 2: to pass this. I am pressing for Congress to pass 467 00:28:53,200 --> 00:28:57,800 Speaker 2: the legislation right now. It doesn't have to be part 468 00:28:58,640 --> 00:29:04,960 Speaker 2: a budget reconciliation. Now for any tax bill. Under the Constitution, 469 00:29:05,120 --> 00:29:07,800 Speaker 2: the House of Representatives has to originate it. So if 470 00:29:07,840 --> 00:29:11,320 Speaker 2: that's a provision in the Constitution, the Senate cannot start 471 00:29:12,000 --> 00:29:15,320 Speaker 2: a tax bill. A tax bill has to originate with 472 00:29:15,360 --> 00:29:18,360 Speaker 2: the House. So I am merging the Speaker of the House. 473 00:29:18,400 --> 00:29:22,600 Speaker 2: I'm merging the majority leader, take up my legislation no 474 00:29:22,760 --> 00:29:23,719 Speaker 2: taxes on tips. 475 00:29:24,120 --> 00:29:24,719 Speaker 3: Just pass it. 476 00:29:25,520 --> 00:29:28,720 Speaker 2: We have the votes in the House, Republicans can pass it. 477 00:29:29,480 --> 00:29:32,920 Speaker 2: If it passes and goes over to the Senate, I 478 00:29:33,120 --> 00:29:34,960 Speaker 2: believe we can pass it in the Senate, and I 479 00:29:35,000 --> 00:29:37,280 Speaker 2: think we'll get sixty votes, so we don't have to 480 00:29:37,280 --> 00:29:42,640 Speaker 2: wait for reconciliation. Reconciliation is the process that gets around 481 00:29:42,680 --> 00:29:46,240 Speaker 2: the filibuster. Lets us pass something with just fifty votes. 482 00:29:46,320 --> 00:29:49,600 Speaker 2: I don't think we need that for no taxes on tips. 483 00:29:50,160 --> 00:29:53,440 Speaker 2: If the House passes it, what I'm merging John Thune, 484 00:29:53,480 --> 00:29:55,760 Speaker 2: the Senate majority leaders put it on the Senate floor. 485 00:29:56,400 --> 00:29:58,480 Speaker 2: I think we'll get sixty votes, and that means we 486 00:29:58,520 --> 00:30:02,080 Speaker 2: could pass it. It would be a big bipartisan win, 487 00:30:03,200 --> 00:30:06,560 Speaker 2: and we'll put it on President Trump's desk. He can 488 00:30:06,640 --> 00:30:09,680 Speaker 2: sign it into law as a huge victory. And by 489 00:30:09,720 --> 00:30:12,320 Speaker 2: the way, it's a win win man. If we put 490 00:30:12,320 --> 00:30:16,080 Speaker 2: her on the floor and Democrats decide to be partisan. 491 00:30:16,680 --> 00:30:19,160 Speaker 2: They decide, Okay, we're going to oppose it, because we 492 00:30:19,320 --> 00:30:22,320 Speaker 2: just oppose any tax cut, we oppose anything Trump wants. 493 00:30:22,880 --> 00:30:24,560 Speaker 3: Okay, that's not the end of the day. 494 00:30:25,000 --> 00:30:27,560 Speaker 2: If Democrats defeat it in the Senate because we can't 495 00:30:27,560 --> 00:30:31,160 Speaker 2: get to sixty, that's fine. Then we'll stick it in 496 00:30:31,200 --> 00:30:34,000 Speaker 2: budget reconciliation. We can get it done with fifty. But 497 00:30:34,080 --> 00:30:38,240 Speaker 2: it's a win win because every Democrat senator who votes no, 498 00:30:39,120 --> 00:30:41,840 Speaker 2: that is an ugly issue in two years to go 499 00:30:41,920 --> 00:30:45,040 Speaker 2: face the voters and say, hey, I voted against no 500 00:30:45,160 --> 00:30:50,880 Speaker 2: taxes on tips, even though every waiter, every waitress, every bartender, 501 00:30:51,240 --> 00:30:56,640 Speaker 2: every taxi driver, every uber driver, every barber, every hairstylist, 502 00:30:56,720 --> 00:31:00,479 Speaker 2: every nail salon person, everyone who is real lying on 503 00:31:00,560 --> 00:31:03,720 Speaker 2: tips cares a lot about this. So if the Democrats 504 00:31:03,760 --> 00:31:06,880 Speaker 2: all want to vote against it, look, I think this 505 00:31:07,080 --> 00:31:13,040 Speaker 2: policy is an incredible embodiment of the most important political 506 00:31:13,080 --> 00:31:17,000 Speaker 2: transformation of the last decade, which is that Republicans have 507 00:31:17,120 --> 00:31:21,040 Speaker 2: become a blue collar party. We are the party of 508 00:31:21,120 --> 00:31:24,320 Speaker 2: waiters and waitresses and working men and women, and so 509 00:31:24,760 --> 00:31:27,280 Speaker 2: Democrats can decide where they stand. But I think we 510 00:31:27,320 --> 00:31:29,880 Speaker 2: ought to get this passed, and one way or another, 511 00:31:29,960 --> 00:31:33,719 Speaker 2: my prediction is this will get done before the end 512 00:31:33,720 --> 00:31:34,680 Speaker 2: of twenty twenty five. 513 00:31:35,360 --> 00:31:37,840 Speaker 1: Is this one of those issues where people should call 514 00:31:37,880 --> 00:31:41,160 Speaker 1: their congressmen, their centers. I mean we talk about this. Yes, yes, yes, 515 00:31:41,200 --> 00:31:43,800 Speaker 1: I mean yes, And what do you say? This is 516 00:31:43,840 --> 00:31:46,000 Speaker 1: good for my state, this is good for my city, 517 00:31:46,000 --> 00:31:47,480 Speaker 1: this is good for hourly workers. 518 00:31:47,880 --> 00:31:51,440 Speaker 2: It's the best argument. Just pass no taxes on tips. 519 00:31:51,960 --> 00:31:53,960 Speaker 2: So look, one of the things to understand when you 520 00:31:54,000 --> 00:31:58,760 Speaker 2: call your congressman, when you call your senator, if you 521 00:31:58,840 --> 00:32:04,880 Speaker 2: make a detailed, subtle argument, that doesn't get through. So 522 00:32:05,400 --> 00:32:07,640 Speaker 2: every member of Congress gets what I get every day, 523 00:32:07,680 --> 00:32:10,400 Speaker 2: which is I get an email. So all right, let 524 00:32:10,400 --> 00:32:13,959 Speaker 2: me find my email from today. Call totals. So one 525 00:32:14,080 --> 00:32:17,400 Speaker 2: twenty eight, twenty five. Today there were one thousand, three 526 00:32:17,520 --> 00:32:21,280 Speaker 2: hundred and seventy two calls to my office. There were 527 00:32:21,320 --> 00:32:23,680 Speaker 2: seven hundred and fifty four to DC. There were six 528 00:32:23,800 --> 00:32:27,000 Speaker 2: hundred and eighteen to Texas. There were four hundred and 529 00:32:27,040 --> 00:32:30,040 Speaker 2: eighty two live calls. So we had interns and staff 530 00:32:30,040 --> 00:32:32,160 Speaker 2: assistants who answered four hundred. 531 00:32:31,960 --> 00:32:32,600 Speaker 3: And eighty two calls. 532 00:32:32,640 --> 00:32:36,080 Speaker 2: Today there were eight hundred ninety calls that went to voicemails. 533 00:32:37,040 --> 00:32:41,120 Speaker 2: Of those calls, one three hundred and twenty two Texans called, 534 00:32:42,000 --> 00:32:46,760 Speaker 2: fifty non Texans called, so overwhelmingly the calls were Texans. 535 00:32:47,680 --> 00:32:51,280 Speaker 2: So let's break it down casework So that's I've got 536 00:32:51,320 --> 00:32:53,080 Speaker 2: an issue with soci security, I've got an issue with 537 00:32:53,120 --> 00:32:55,840 Speaker 2: the VA, I've got an issue with the government. Forty 538 00:32:55,840 --> 00:32:58,000 Speaker 2: five of those calls were caseworking. I've got a whole 539 00:32:58,000 --> 00:33:00,560 Speaker 2: team that works to help text and deal with the 540 00:33:00,600 --> 00:33:04,160 Speaker 2: government every day. Twenty four dealt with the academy, so 541 00:33:04,800 --> 00:33:07,440 Speaker 2: young men and women, high school students that want to 542 00:33:07,480 --> 00:33:10,240 Speaker 2: go to service academy. So twenty four of them. Eight 543 00:33:10,360 --> 00:33:13,600 Speaker 2: concerned the campaign. I don't know what they concerned. Ninety 544 00:33:13,600 --> 00:33:16,600 Speaker 2: one concerned scheduling. So people calling saying, hey, can you 545 00:33:16,640 --> 00:33:20,960 Speaker 2: come and do this event or this other event. Now 546 00:33:21,440 --> 00:33:27,080 Speaker 2: of the breakdown, eighteen called in support of me. Twenty 547 00:33:27,120 --> 00:33:29,840 Speaker 2: eight called in opposition to me. So people called and said, 548 00:33:30,160 --> 00:33:31,760 Speaker 2: I can't stand Cruiz, He's terrible. 549 00:33:31,800 --> 00:33:33,480 Speaker 3: Okay, that gets recorded. 550 00:33:34,560 --> 00:33:39,040 Speaker 2: Ten people called in support a President Trump, Seventy nine 551 00:33:39,080 --> 00:33:44,360 Speaker 2: people called in opposition to President Trump. Now nominations. Seventy 552 00:33:44,400 --> 00:33:49,680 Speaker 2: five people called in support of President Trump's nominees. Seventy 553 00:33:49,720 --> 00:33:54,280 Speaker 2: people called in opposition to President Trump's nominees. Now, it's interesting, 554 00:33:54,440 --> 00:33:57,280 Speaker 2: RFK Junior got a bunch of calls one hundred and 555 00:33:57,280 --> 00:34:01,479 Speaker 2: eighty seven people this is yesterday in support of RFK 556 00:34:01,680 --> 00:34:06,320 Speaker 2: Junior for HHS Secretary. Ninety three people called in opposition 557 00:34:06,840 --> 00:34:10,360 Speaker 2: to RFK Junior, so about two to one, Bobby Kennedy, 558 00:34:10,480 --> 00:34:14,880 Speaker 2: the calls were coming in. Nineteen people called in support 559 00:34:15,840 --> 00:34:20,200 Speaker 2: of Cash Battel for FBI director. Four hundred and thirty 560 00:34:20,200 --> 00:34:24,680 Speaker 2: two people called in opposition to Cash Battel as FBI director. 561 00:34:24,719 --> 00:34:27,880 Speaker 2: And I think there probably were some liberal groups stirring 562 00:34:28,000 --> 00:34:30,360 Speaker 2: up calls because that number is big enough, four hundred 563 00:34:30,360 --> 00:34:30,600 Speaker 2: and thirty. 564 00:34:30,640 --> 00:34:32,520 Speaker 1: I was to say, when you see days like that, 565 00:34:33,040 --> 00:34:35,440 Speaker 1: you got to be thinking somebody went on an email 566 00:34:35,480 --> 00:34:39,200 Speaker 1: campaign or a callboitz campaign and said, yeah, target this 567 00:34:39,400 --> 00:34:42,719 Speaker 1: member today specifically, because if it doesn't match the day before, 568 00:34:42,800 --> 00:34:45,280 Speaker 1: the day after, that's when that's kind of the tel right. 569 00:34:45,160 --> 00:34:46,080 Speaker 3: And that happens. 570 00:34:46,080 --> 00:34:48,520 Speaker 2: There are groups that will focus and say make these calls. 571 00:34:48,880 --> 00:34:50,839 Speaker 2: And I think those calls the four hundred and thirty two, 572 00:34:50,880 --> 00:34:54,120 Speaker 2: that's a big enough number. That's where that probably came from. Now, 573 00:34:54,200 --> 00:34:59,200 Speaker 2: In addition, forty eight people called in support of Tulsea Gabbard, 574 00:35:00,120 --> 00:35:04,759 Speaker 2: twenty two people called in opposition to Telsey Gabbert. On 575 00:35:04,880 --> 00:35:08,880 Speaker 2: legislative issues, thirteen people called in support of border security, 576 00:35:09,560 --> 00:35:14,040 Speaker 2: two people called in opposition to border security, and interestingly enough, 577 00:35:14,640 --> 00:35:19,360 Speaker 2: four hundred and seventy four people called in opposition to 578 00:35:19,480 --> 00:35:25,000 Speaker 2: the omb pause of federally appropriated funds. So, look, that's 579 00:35:25,080 --> 00:35:26,839 Speaker 2: the sort of report. I get that report every day, 580 00:35:26,880 --> 00:35:30,560 Speaker 2: and I read it every day. Now look what we 581 00:35:30,640 --> 00:35:33,920 Speaker 2: get over the course of the year, hundreds of thousands 582 00:35:33,960 --> 00:35:37,160 Speaker 2: of calls. So I can't listen to every voicemail that 583 00:35:37,200 --> 00:35:40,360 Speaker 2: comes in. I could literally spend all day long doing 584 00:35:40,400 --> 00:35:42,840 Speaker 2: nothing but listening to voicemails and not do any hearings, 585 00:35:42,880 --> 00:35:45,719 Speaker 2: not do any legislation, and I still wouldn't have enough time. 586 00:35:46,400 --> 00:35:48,840 Speaker 2: So the way I consume that data is through a 587 00:35:48,840 --> 00:35:50,960 Speaker 2: report like that. I just read you the report that 588 00:35:51,560 --> 00:35:56,040 Speaker 2: came today. Every other member consumes it the same way. 589 00:35:56,200 --> 00:35:59,400 Speaker 2: What I'm saying is, if you want Congress to pass 590 00:36:00,440 --> 00:36:05,319 Speaker 2: no taxes on tips, you don't need to present a long, detailed, 591 00:36:05,320 --> 00:36:07,800 Speaker 2: subtle argument as to all of the pros and cons. 592 00:36:08,239 --> 00:36:10,040 Speaker 2: Just pick up the phone and call your member and 593 00:36:10,080 --> 00:36:15,240 Speaker 2: say pass no taxes on tips. If you say that sentence, 594 00:36:15,920 --> 00:36:18,839 Speaker 2: it will get recorded in a report just like that 595 00:36:19,480 --> 00:36:22,360 Speaker 2: to the House member of the senator you're calling. That's 596 00:36:22,440 --> 00:36:24,160 Speaker 2: how the information gets consumed. 597 00:36:25,160 --> 00:36:27,520 Speaker 1: That's encouraging. By the way you said, everybody looks at 598 00:36:27,520 --> 00:36:29,279 Speaker 1: their call list like the same way you. 599 00:36:29,200 --> 00:36:30,000 Speaker 3: Do it, I hope. 600 00:36:30,040 --> 00:36:32,640 Speaker 2: So I don't know that there may be some people 601 00:36:32,640 --> 00:36:33,520 Speaker 2: that don't give a damn. 602 00:36:33,600 --> 00:36:34,719 Speaker 3: I look at it every day. 603 00:36:35,000 --> 00:36:37,759 Speaker 2: I can't promise that all five hundred and thirty five 604 00:36:37,800 --> 00:36:39,759 Speaker 2: members of Congress do, but I certainly look at it 605 00:36:39,760 --> 00:36:42,840 Speaker 2: every day because I work for thirty one million Texans 606 00:36:42,840 --> 00:36:45,680 Speaker 2: and so I want to see what issues people are 607 00:36:45,719 --> 00:36:47,360 Speaker 2: engaged on and what they care about. 608 00:36:48,040 --> 00:36:51,640 Speaker 1: It's incredible. Don't forget call your congressman, call your senator. 609 00:36:52,120 --> 00:36:54,920 Speaker 1: It can make a huge difference, especially during confirmations and 610 00:36:55,000 --> 00:36:58,400 Speaker 1: on issues like taxes on tips. Going away, we do 611 00:36:58,480 --> 00:37:00,279 Speaker 1: the show Monday was a Friday to gain give you 612 00:37:00,320 --> 00:37:03,120 Speaker 1: this exact type of information. So make sure that that 613 00:37:03,560 --> 00:37:08,240 Speaker 1: subscribe button, auto download button and share it on social media. 614 00:37:08,760 --> 00:37:11,279 Speaker 1: A lot of people right now are looking for answers 615 00:37:11,400 --> 00:37:15,000 Speaker 1: with all the changes in Washington, and it makes a 616 00:37:15,080 --> 00:37:18,280 Speaker 1: massive difference when you guys share this podcast on social 617 00:37:18,360 --> 00:37:20,359 Speaker 1: media and also when you write us a five star 618 00:37:20,440 --> 00:37:22,600 Speaker 1: review and the Center and I will see you back 619 00:37:22,600 --> 00:37:23,600 Speaker 1: here Friday morning.