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Reports earlier of sirens blaring in northern Israel, we've had some conflicting reports coming out of the aircraft had penetrated the country's airspace. That is apparently not the case. Israel just ruling out now officially in airspace infiltration in the north.
We're just hearing that from the IDF Israeli jets, according to Bloomberg, and we're reading this on the terminal here together did strike targets in Lebanon after the militia there launched guided missiles at an army post in northern Israel, underscoring what Chairman McCall just said. Now it appears we have breaking news coming from Capitol Hill as well. I want to be careful with this now, but things are moving quickly. As I mentioned in the race for speaker
coming down to Steve Scalise and Jim Jordan. We are already getting reports now that Steve Scalise is going to win the Republican nomination for House Speaker. Remembering this was the vote today behind closed doors, before this goes into the House Chamber for a real vote in public as soon as tomorrow. The Republican Conference did not want to bring that vote to the floor unless they knew the outcome.
And here we are now with the first report from Axios that Steve Scalise has won the Republican nomination for House Speaker. We're going to get to General Ponaro here, but I have to bring in the panel with this breaking story. Rick Davis, Bloomberg Politics contributor and Republican strategist,
is with us in New York at World Headquarters. Genie Shanzano in New York as well, if we can get to Rick on this breaking story here, pretty remarkable speed, Rick, in a narrative that has changed incredibly quickly since this time yesterday, when we thought it would take days, if not weeks. This follows a vote earlier, a vote against increasing the threshold that would be required for a candidate to win this nomination.
What's your first reaction.
Yeah, I think it's amazingly quick. But the key thing is what you said, Joe, which is a rule was defeated that was offered by Chip Roy that required the caucus to require two hundred and seventeen votes for anybody to be ported out by the caucus, therefore ensuring that whoever is the recommendation by the caucus could actually win the speakership. That was defeated, opening the gates for Steve Scalise to win. He was opposed to that measure and Jim Jordan was for it, and so it was a
bit of a proxy fight. And when that did not pass, then it only required a majority of those voting at the caucus to make a recommendation. But you pointed out the key thing, Joe, this is just a recommendation. The caucus is under its rules required to support whoever comes
out of this caucus vote whoever gets the majority. So technically, these Republics are going to march down to the floor, probably pretty quick, take a vote, and two hundred and twenty of them are going to vote for Steven Scalise. We're not sure that's actually going to happen. Kevin McCarthy couldn't make that magic work, and so the next hurdle is the key hurdle for success to reach the speakership.
If you're Steve.
Scalise, remarkable, if you're just joining us on Bloomberg Radio and on YouTube, we do have breaking news. Steve Scalise has won the Republican nomination to be the next speaker. That's ahead of a floor vote that has yet to be scheduled, though as we were just suggesting it might be tomorrow, certainly as soon as tomorrow. Steve Scalise said earlier he was confident we would have a speaker by the end of the day. Genie, how did this change so quickly under our feet?
You know, I think the reality is is that Steve Scalise has enormous institutional and organizational advantages here that Jim Jordan just simply did not have and when that rule went down, it paved the way for him to win the majority of the caucus. And that's why Scalisee's folks were whipping so hard against that rule and for support.
So I think, you know, this is a positive sign, and we have to say that cautiously that what has always mattered in the House fundraising, the ability to whip, the ability to lead the caucus, the ability to push through an agenda, all those things matter. The key question now is can he get the two seventeen to eighteen
needed on the floor to push this through. This would be an enormous embarrassment for the Republican Party if they march down to that floor and he doesn't get the votes needed, and we are back to where we were in January, with you know, vote after vote after vote, and then him being in a position of having to strike deals like Kevin McCarthy. They need to avoid that. That is the next test for Republicans. Can he keep them in lockstep here, move this to a quick four
vote and wrap this up. Be named Speaker and move forward to the business of the people.
Rick the vote one thirteen to ninety nine. What does that tell you about what Steve Scalise is in for on the floor.
He's got some work to do. I mean, he's not even close to eighteen needed to win the speakership, and so it'll be interesting to see whether or not the temporary speaker allows some time to repair and reach out across the caucus to try to work on getting to the floor with a with a with a two eighteen vote. Genie's right, I mean, this is something that Kevin McCarthy, who was considered at the top of his game, couldn't accomplish.
There is a lot of pressure that exists today because of the events in Israel and the pending government shut down if they don't pass a spending bill. So there is a lot more pressure today than there was when Kevin McCarthy tried to get the vote for himself in
January of last this year. So we'll see if that pressure can actually get people to come to grips with the fact that this is a dysfunctional caucus that needs to show up and actually start working, and that requires a speaker in the job, and it requires it to happen.
Well, I'll tell you what, Junie, After what we've seen from this conference, and Rick is reminding us to be careful here. A lot of things could still happen. And considering that margin and some of the shenanigans that we've seen just in the last week from Matt Gates and his colleagues here, I'm not ruling out anything, and I suspect that you are as well. If your name is Patrick McHenry or even Kevin McCarthy, you still see some potential opportunities here, or maybe you're fearing them.
Either way, Yeah, that's right, and you know you're absolutely right as is Rick. We can expect potentially maybe some drama on the floor.
You know.
One of the interesting things from the meeting last night, both Steve Scalise and Jim Jordan said the words that apparently Matt Gates did not want to hear or the other seven, we may need a cr to keep the government open past November seventeenth. I don't know if that's going to be any better coming out of their mouths than it was Kevin McCay, but you know, that is the type of thing that may withhold or cause them to withhold some votes. And so he does have some
ground to make up here. But again we can't stress enough the embarrassment to the Republican Party if they come to the floor and do this all over again. They need to try to hang together, you know, you know Democrats are going to do that. And by the way, you mentioned Kevin McCarthy, he has not made this smooth sailing for Steve Scalise. He's been flirting with the idea of potentially being open to a nomination now pulling it back. You know you've been talking to him. He's going back
and forth on this. They've got to get their act together and Steve Scalise really has to try to hold these folks together and move this forward. And maybe the pressure of what's going on around the world is just what they need to hang together. But I wouldn't be surprised if we see more drama when they get to the floor.
So we'll see if they get to the floor.
Of course, Rick, that was an interesting move to knock down the idea of raising the threshold to two seventeen. It would have made it much more difficult for Steve Scalise or Jim Jordan to win that nomination today. What was the strategy? Brian Fitzpatrick and Chip Roy were the two lawmakers who wanted to change that threshold. What was the strategy there?
Yeah, the concept there was to make sausage behind closed doors. You know, when Kevin McCarthy took fifteen ballots to get to the speakership, it was because he couldn't get to that two eighteen number, and we got to watch it on c SPAN, and as entertaining as it was, it made the party look in total disarray and weakened him as a speaker.
So why did Steve Scalise oppose it?
Steve Scalise supposed it because he couldn't get in his mind to seventeen.
So now he's going to be blowing in the wind on the House floor potentially, Like Kevin McCarthy was.
Right, Hey, politics is about living to fight another day. He gets to now walking as the choice of the Republican caucus again with a rule that says, if you're a Republican on the floor, you're supposed to vote for that person. And sure there may be some mopping up to do, but at a minimum, you would think he could replicate the Kevin McCarthy two ten that he got when when he was challenged for speaker, and then the question is you know, can he find another eight votes?
And so I did think it was really interesting that Kevin McCarthy had to walk out this morning. His people have been supporting Jim Jordan and say, oh no, I'm not gonna I'm not gonna put my name in the nomination after sort of implying yesterday that they did. Because everybody I talked to thought that really undercut Jordan. Jordan was sort of the guy who was going to take up the more conservative side of the McCarthy mantle, and
McCarthy was lobbying a little bit against Scalise. So I mean, like, this isn't caucus that is still just as divided today after this vote as it was going into it.
So it'll and and.
Now the good news for us is we get to watch it all unfold on c SPAN again.
If only we could have all the cameras we had back in January. All right, Rick Davis and Jeanie Shanzana, we're going to stay with us here. We're painting out of a couple of buckets today our other major story. And we didn't expect we'd have this breaker on the speaker for you, Steve Scalise winning the nomination to be speaker, setting up a full floor vote. We've also, of course,
got a rapidly developing situation in Israel. Those same lawmakers who were in the conference to vote for Steve Scalise, along with their Democratic colleagues, were briefed at eight thirty this morning. Michael McCall, who chairs the Foreign Affairs Committee's going to join us a bit later on this hour, expressed two major concerns when he emerged from that meeting, he was the moderator as the administration delivered the source material.
Michael McCall says it was an intelligence failure. Egypt warned Israel three days before this happened. Why did nothing happen? And also the potential for escalation as he points to concerns about what's happening in the North. I asked on Kirby yesterday on Bloomberg's Balance of power about concerns of escalation with the gerald Ford Carrier strike group now steaming
toward the eastern Mediterranean. Now apparently the IKE is on its way to the US s Eisenhower reportedly also steaming in that direction, and he made very clear that America had strict guidelines on the level of involvement that we will see in Gaza.
Here's what he said.
There's absolutely no intention, no plan to put American boots on the ground in this conflict in Israel. But we do have serious national security interests that we have to make sure that we have the options to protect if we need to.
The idea of escalation, though, does make us wonder when we see headlines today Israeli jets striking targets at Lebanon after the militia there launched guided missiles at an army post in northern Israel. There were reports of another incursion in the air to the north that Israel said did not pan out to be true. Let's bring in Arnold Panaro, the retired two star Marine Corps major general, back with us. On Bloomberg, former staff director of the Senate Armed Services Committee,
author of the book The Ever Shrinking Fight Force. General, it's great to see you, and we welcome you back. I wonder if you share those same concerns as Chairman McCall as we prepare for a ground invasion in Gaza.
Well, Joe, I certainly do. And Chairman McCall is one of the most capable, most thoughtful, most insightful national security leaders we have in the Congress. And let me just start though by saying I identify with the tremendous insights that Ricky and Genie just gave you. And one of the reasons why it's so important to get a speaker as quickly as possible is Congress has not passed any
of the funding bills. Our departner of the Fence, the Ford Carrier, Stripe Group, the Stripe Group, they're operating under a continuing resolution at last year's level. The Pentagon is losing over three billion dollars a month in purchasing power. The world is in flames. We have a war in Europe, we have a war in the Middle East, we have sheet genping threatening Taiwan, and the Congress hasn't passed and now we're worried about another cr and we've got a
fund Israel. The United States needs to basically do whatever it takes politically, diplomatically, financially, and frankly militarily to basically protect the state of Israel. And frankly, I'm really disappointed in Kirby, who I have great respect for. You never take anything off the table militarily and if Lebanon and Iran try to escalate. The United States should make it
very clear. And I think one of the reasons we have a carry a battle group in the Eastern med is so that if they try something, they will pay severe consequences. And so while you may not certainly want boots on the ground, we certainly have a lot of capability if Iran or his Boah or Siri or anybody else starts stirring the pot. But Mike, but Chairman McCall is legitimately and should be concerned. But I think there's some would be some counters to that.
Over well, talk to me more about that. The idea of projecting American power with a carrier strike group is not unique. But in this case, are we providing command and control operations? Are we actually standing by fueling up fighter jets in case something happens here?
This is clearly not an air war yet.
Well, look, we have tremendous command and control in the Middle East because we've been operating in the Middle East for years, We've had you know, air command and control through many wars and through many operations. We've got that. Now we've got major base operations there. So we have command and control capability for our forces, and we certainly are in a position to share needed information with our allies and partners like Israel. So and you know, there
was some additional capability. Frank Kendall, the Secretary of the Air Force, in a public session at the Atlantic Council yesterday, mentioned that we're maintaining beefed up presence with fighter and other command and control elements in.
The Middle East.
So the United States is doing the right thing putting more force in the area.
When you hear that the IKE is now steaming that way as well, we're talking about two carrier groups here. In general, this is an enormous amount of firepower we're sending to that part of the world. When you start looking at the long game here, does it point to Iran?
Well, certainly, I think you know, you don't need to have access to highly class about information to understand that Iran has basically organized, trained, and equipped hamas not just in the last couple of months, not just in the last year, but for decades. Certainly has Ballah and certainly the Hoodies and other terrorist groups. So Iran is at
the root cause of all these problems. And frankly they've gotten to the point now where they've got over ninety percent some people say close to ninety five percent enriched uranium. We're gonna have to deal with Iran at some point, and so they are the basically root cause of all of the issues going on right now with Hamas.
Jake Sullivan at the White House, a national security advisor says the US does not have specific information linking Iran to this attack. Chairman McCall did make that reference earlier, and he made a similar point that you did. If you're a citizen of the world, you're aware of this relationship. And he's calling on the administration to quote unquote refreeze the six billion dollars that were part of this prisoner swap.
How important will it be general for the White House, for the Administration to provide evidence, or the government of Israel for that matter, to provide evidence to show that link between Hamas Iran and this attack.
Well, I probably may be in a minority, but I don't think it's important at all. Everybody knows the runs behind this. They've been going after the United States since they took our hostages when Jimmy Carter was president. We know that they're the most malign actor. We know they have huge surpluses because of this sale of oil which was supposed to be sanctioned, but the sanctions haven't operated. I take that six million dollars and I'd give it
to Israel. A Ran shouldn't get that money. Refreeze it. Hell, give it to Israel. Put it in the supplemental.
Let's talk about the supplemental.
It looks like it could be a combination of funding for Israel, for Ukraine, for the border, and for Taiwan. Does that slow things down in your mind? Should there be a more direct approach?
Well, I certainly would be in favor of packaging it all in one, but I know there are a lot of people that on the hill, and I tracked the hill as Rick and in Genie do that. Don't want to do that. But look, the number one thing right now is we have got to get what Israel needs to basically wipe AAMAS off the face of the earth. So that's number job one. We also need to ensure that putin does not succeed in Ukraine. We need to deter hijin ping visa b Taiwan, and we need to
secure our own borders. Look at what happen and in Israel over the weekend when their borders were not secure. Whether it can package it all up in one big luck sum, that certainly would be the right way to do it. But the Congress has not shown me in recent years or recent months that they have their act together on anything. The Congress is about as broken as I've ever seen it. It's ridiculous that we're talking about
more crs in the world's owned plane. So Congress needs to get off their depth and do their job.
Well, I'll tell you what.
Last time you were here, we were talking about Tommy Tubberville's blockade against military promotions. Now we're talking about a world without a speaker, which we'll need to change if any of this money is going to be appropriated. General, we spent some time this week talking about the DIB, the Defense Industrial Base, and concerns about even if moneys are appropriated, weapons systems are ordered for the likes of Israel, Ukraine and here in the US in terms of replenishment,
that we can't simply make the stuff fast enough. What is the white What does Congress do about it?
Well, Joe, Unfortunately, the situation is that our defense industrial base, which was consolidated after Secretary of Defense Bill Perry had the Last Supper and the way the DoD structured their
buying habits. Our industry has been consolidated, and we don't have sufficient industrial capacity to support our own national defense strategy, either the one that was put in place by Trump or the one that's in place now under Biden, which is relatively unchanged from what Secretary of Defense Matters put in place. We don't have that capacity. We've got to build that capacity. It takes time to build that capacity, and it takes an effort by the White House and
the Pentagon. I would say, on a positive note, here build a plant. The under Secretary for Acquisition and Sustatement, the Assistant Secretary for Industrial based Policy, doctor Larr Taylor Khalay, they're working on a new industrial policy and new industrial strategy, and I think we in the end of industry have been in touch with them. I think that we are prepared to make the kind of investments that are needed as long as the demand signal is there and it's
going to be continuous. You can't basically call up industry one day and say, hey, look, you got to build some more one five to five artillery shells. But we're only going to give you a contract for three months or six months or even a year. I mean, if you want to build a kind of capacity, we need to implement the national defense strategy, but also to basically support our allies and our partners Ukraine, Israel, Taiwan. That's a multi year effort, and the Congress, I think is
very supportive of that. They've added for one of the tremendous advantages we have Visavichina is our submarine force. Congress has added money for that and improving the industrial base there. But this is not something that's going to be sorted out and settled in the next couple of months. But having said that, they've got to pass this supplemental for Ukraine and for Israel and get these things under contract, and we will produce them as fast as we can.
We're going to be talking in just a moment with Congressman Michael McCall, the chairman of the House Foreign Affairs Committee, is going to be joining us as he's just emerging from this meeting to nominate another.
Speaker, General Pinaro.
Next time we talk, whether this is in weeks from now, maybe a month from now, are we going to be talking about a wider conflict, an escalating conflict in Israel?
That's certainly a possibility. I mean, no one can predict. I mean, look that one thing you all know, we all know is war is totally unpredictable, and the enemy gets a vote. I think if the United States is very firm and has the support of our allies, the United Kingdom, France, Italy, the major nake to partners, and we basically say to the people that would escalate, which is basically a ran Hezbalah and others like that, you escalate,
basically you're going to pay some severe consequences. I don't think we'll be talking about a wide war, and certainly if we don't provide the kind of implements of war that Israel needs to take care of Mamas and Gaza. And by the way, that's gonna be a very very difficult conduct. Operations and built up areas claus which is said is one of the most difficult operations. It favors the defender, which is Amas. It's gonna be bloody, it's
gonna take a long time. But Israel has no option but to do it to to basically keep the State of Israel to subvive.
General, it's great to have you, and I appreciate your insights today, and everyone to mince words. Arnold Panaro, retired two star Marine Corps general who spent time as staff director of the Senate Armed Services Committee. We're going to be speaking with the Chairman of the House Foreign Affairs Committee in a moment as we prepare to make a connection with Congressman Michael McCall.
You're listening to the Bloomberg Sound On podcast. Catch the program live weekdays at one Eastern.
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I'm Joe Matthew in Washington. Thanks for being with us here on Bloomberg Sound On. With two major stories that we're following here developing before our eyes, and we've spent the hour discussing them with Rick Davis and Jeanie Shanzano. As we now prepare to add the voice of Congressman Michael McCall for starters a breaker here on Bloomberg this hour. Steve Scalise has been nominated to be the next Republican
Speaker of the House. This was the vote that took place behind closed doors that will lead to at least eventually a floor vote that would codify this, and there are reports that could happen as soon as today, even though some expected it originally to be on Wednesday. We're also following the bead on Israel here with constant updates. There was concern about an infiltration in the north earlier.
The Israelis have clarified that to not be the case, but there was an all hands briefing in the House by the administration earlier today, and moderating that briefing was the chairman of the House Foreign Affairs Committee, who joins us right now from Capitol Hill, Congressman Michael McCall. We welcome you back, mister Chairman. It's good to see you, and I know you're having a very busy day here.
If I could start with the matter of Israel. You said some important things to reporters in your briefing when you emerge, beginning with the fact that the Egyptians gave intelligence to Israel three days before the attack that apparently was not acted upon.
Do we know why.
We don't even know at what levels the intelligence was shared. But you know, I think my concern is if we missed this one. They've been planning and Moss had been playing this for over.
A year and we missed it.
And if we miss that, then what about Heswald, what about Isis in Syria? What about what Iran is still doing behind the scene or the Shia Iran procties. It maybe question our intelligence capabilities here. I think our biggest fear JOE is an escalation where I think the fear has always been that if Hamas hit from the south and then Hesba hit with one hundred thousand rockets from the north, they would overload the Iron Dome and destroy Israel.
And so I think that is what most of us are concerned about right now, is the escalation that could take place, and how good is our intelligence with respect to that. And then finally, what is our force projection in the region for deterns purposes to avoid that kind of conflict.
Well, we know that gerald Ford Carrier Strike Group is on its way to the eastern Mediterranean. There are reports now that the USS Eisenhower is also on its way. Mister Chairman, do you know if the IKE is going in the same direction.
Yes, I believe they're headed towards the Mediterranean, and I think that's a good showing of force. Again, I think the goal here is to contain Hamas in Gaza, and that's going to be a huge effort on the part of the IDF to have to go in after the bombing of their command and control and then go house to house to clear the terrorists out and also rescue the hostages that they're using as human shields. But we cannot afford again the scenario of Hesba and Lebanon coming
in or other radical terrorist organizations. So I plod the administration for that force projection of these two. You know, we have an aircraft carriers and battleships now in the region. We think that will provide deterrence.
Mister Chairman.
We spoke with John Kirby at the White House about the role that the Jerry Ford Carrier group might play in the region. He indicated that it would be that is a deterrent, he said, and that it would be effectively command and control. But there have been others who've suggested the need for and I think you may have spoken to this, the need for US special forces to help find hostages, specifically American hostages in Gaza.
Is that going to happen.
I know that we're coordinating with the idea. If they take the lead, we can provide assistance, we can provide the arms, we can provide the the training, if you will. Our special forces did this in Iraq for many years, like in Falujah in two thousand and four, and we're quite frankly the best at doing this. And I know the FBI Hostage Rescue Team has been tapped into as well,
because we have American hostages now. We don't have a definitive answer, but we know about twenty Americans are missing, and we don't know.
Where they are.
I would speculate, and I normally don't, but I'm sure we have hostages now in the Gaza, and I think getting those Americans out is our number one priority.
Admiral Kirby also said the US is now set to send additional arms aid to Israel in the coming days. Congressman, how much can we send now without actually bringing a supplemental budget request to the floor.
That's a great question.
I authorize three point three billion dollars in foreign military financing Israel. So far four hundred and twenty million of that has been appropriated by Congress, so that can be made available. Also, there is a presidential drawdown authority, and that's about one hundred million that he can use to send weapons. What they need right now are the interceptors for the Iron Dome. They need the precision guided missiles, and they need the one to fifty five ammunition stockpiles.
According to the administration, they have have that right now. But this is why it's so critical for us to elect a speaker today, because we cannot move on the House floor until we have a speaker. And this is a very dangerous time obviously, you know, it was dangerous enough with Putin and Ukraine, Chairman she and Taiwan, the Pacific, and now we get the Middle East flaring up again.
Well, let's talk about the speaker.
Chairman McCall, you had a pretty interesting meeting early on today. A lot of people didn't think this was going to happen, but Steve Scalise has been nominated to be the next Republican Speaker.
Did you vote for him? I did I did.
I can't tell you it was secret ballot, so I can't tell you by how much. But I think right now the opposing factions are trying to work this out so that when we go to the floor, we get the requisite two hundred and seventeen votes necessary to elect a speaker, not Designy, but the Speaker of the House,
and then we can take control of the House. And Scalee told me the first bill he plans to put on the four is my resolution, co sponsor by four hundred members of Congress, by the way, very bipartisan, condemning Hamas and showing support for Israel.
I saw that four hundred co sponsors, yourself and Ranking Member Meeks brought forth the resolution. Will that be the first order of business once there is a speaker.
It will?
And I talked to Steve Scalese about this. He said, I want your bill to be the very first bill on the floor after we E liked him as the permanent speaker.
And I hope we knew.
That today because it's a message from the American people through their representatives that we do support Israel. Sorry having technical difficulties, we do support Israel and the American people through the representatives. I think the rest of the world needs to hear that from the Congress.
Yeah, well, how does this going to work from here?
Then?
Do we see a vote today on the next speaker. Some reports are suggesting this could be within hours.
It could be as early as three o'clock is what my information is. Again, I think we're working with the two factions, if you will, the Jordan camp and the Sweee camp, to make sure that when we go to the floor, we don't have the scenario we had last time with McCarthy, where you have fifteen ballots. That doesn't demonstrate strength, that demonstrates dysfunction and weakness. So I think it's very important we hold together and then we put this on the floor when we know we have the
two hundred and seventeen. We have enough drama right now, not only in Washington, but in the Middle East and in Ukraine and in the Pacific. So I hope we get to that number. We get it done today.
Boy, that would be remarkable and prove a lot of people wrong. Mister chairman, what about the eight so called trouble makers in your Republican conference? What's different now from last week?
It's a very good question, and that is going to be the will of the conference to get them to break.
We don't have to have all eight.
Of them to get to two seventeen, but we need a few of them, and I think that's going to be the critical mass point here is getting some of those eight votes to move over to unify as a conference. This is not good for the Republican Party if we can't unify, but it's not good for the American people either, especially at the dangerous time that we're in right now. What I meant said to my conference was that we cannot afford this anymore.
Let's be grown ups in the room. Let's get a.
Speaker in the chair, and let's do the business of the people and stop messing around with politics. As we're seeing across the world, it is getting more and more dangerous, and we need to pass that supplemental and if we don't have a speaker, then we can't do that.
I'd like to finish there with you, mister Chairman.
The idea of a supplemental request for Israel now being combined with that for Ukraine, Taiwan and border security, will that be the vehicle for all of these they move together.
I know there are discussions.
I've talked to Omb the director about this, and I know that the thinking is to put all these emergency items together. And we have many foreign policy you know, crises going on simultaneously, and that would be Israel, it would also be Ukraine, would also be Taiwan. And I think the thing my party wants the most would be
a border security funding in this bill. I do think there are enough Democrats now that want to secure the border, given what we've seen recently, and especially with the migrants now that have come to New York and it's impacting every state in the nation. So I think there's a stronger appetite on the Democrat side now for funding for border security. I think that's going to be a demand from the Republicans that we'll have to be in this aid package.
What does Israel need most?
First, Well, they need our resolution showing absolute support from the American people. They need the interceptors to replenish the Iron Dome. They need the precision guided missiles which will save civilian lives, ammunition. They also need our people there that can help them go house to house in this what's going to be Joe, It's not going to end in days, It may not end in weeks. This operation in Gaza. I think the American people need to understand they could take months for them to do this.
And what I'll worry about is.
The narrative shifting from Israel being the victim to Israel being the perpetrator as they go into Gaza to rescue the hostages that are there and also take out the terrorists. And I hope people will remember what happened last Saturday. You know, I was in at Kaboots last year with Speaker McCarthy then Speaker McCarthy in a Kaboots on the border of Gaza, the closest one to Gaza, and they gave us a tour. They showed us a daycare center their alarm system. At that time, forty five hundred rockets
had come out from Gaza into that community. I got reporting that they slaughtered not only all the adults in that community, but they went into the daycare center and killed the children and actually be headed some of the babies. And the videos I've been receiving Joe absolutely grotesque, even seeing two to three year old children in animal cages treated like dogs. This is evil, pure evil. As the President said, and we need to stand together against it.
Mister Chairman, thank you for the time today sharing your thoughts on a lot of stories here from the speaker to israel Is Chair of the House Foreign Affairs Committee, Chairman Michael McCall, the Republican from Texas, We thank you for the time. I do want to make clear that Bloomberg News cannot verify the accuracy of any of.
The videos that we're seeing.
These horrid videos on social media that many of you are seeing as well, We know that they are there, but they are not part of our reporting. If you want to see verified information, you can always find it on the terminal and at Bloomberg dot com and right here as well on sound On. I'm Joe Matthew in Washington. As we move on, Kaylee Lines will join the conversation. Coming up next, we have a nominee to be speaker.
No one thought we'd be saying that today. Will Hurd, the former Republican presidential candidate, will join us straight ahead on the fastest show in Politics, Hour two. Sound On starts right now.
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This is not what we thought we were going to be talking about this now. Yesterday we were saying that a lot lately. How about we get to this via the tweet? And I still call them tweets from Thomas Massey. I feel like it illustrates everything. Thanks to producer James for this.
Thomas Massey tweet.
Surprises are for little kids at birthday parties, not Congress. So I let Scalise know in person he does not have my vote on the floor because he has not articulated a viable plan for avoiding an omnibus. Steve Scalise, what we're trying to say here is has been nominated to be the next speaker.
Yeah, nominated by a majority of the Republican Conference members who are present at this secret ballot earlier today. That does not mean, though Joe, that he is secured no the two hundred and seventeen votes he will need to actually get the speaker's gabble. Clearly he has not secured Thomas Massey's Happy birthday, Steve Scalise, is it his birthday?
Oh? I love that. Well, he needs over one hundred more.
He got one hundred and thirteen right, So, now Bloomberg is reporting that Jim Jordan is racing to meet with Steve Scales. We're going to have a little deal here. Maybe is that why we care about that?
Well, this is the question is is it just about the speaker or is it about what the contours of the rest of the Republican leadership is going to look like under a potential Okay, here's Scalise.
I just wonder the majority leader Jordan is where you're.
Going potentially, or another leadership position. Maybe that could be enough to playkate those members of the Republican Conference who had supported Jim Jordan, who frankly a handful of them say they still will vote for Jordan on the floor, not Steve Scaleze. It makes me wonder what kind of background dealing perhaps could be done to help shore up whitmore votes for Steve Sclee.
Yeah, it's interesting they knocked down this idea of raising the threshold on the nomination. That was something that Scalie wanted knocked down.
It was done for him.
He's got the nomination now, but we have no reason to believe this is going to be transferable on the floor. Michael McCall was just with us. The Chairman of the House Foreign Affairs Committee says as early as an hour from now, they could be having that floor vote three pm Washington time.
A lot of work to between now, and that's why this meeting is key here.
Yeah, I'm sure, Kaylee.
We did hear from Steve Scalise as he walked into this closed door meeting. Here's what his tones sound like.
The first order of business under Speaker Steve Scalise is going to bring a strong resolution expressing supports for Israel. We've got a very bipartisan bill, the McCall meeks resolution ready to go right away to express our support for Israel.
We've got to get back to work today.
We're going to do that.
Today. We're going to do that. He may do that.
Chairman McCall also let us know that the first order of business, and he did discuss this with with Leader Scalise, would be to bring his resolution to the floor condemning the actions of Hamas and support for Israel.
That would then, of course be followed by.
And ask for money, the supplemental request that we've been talking so much about.
Yeah, and well we're awaiting more detail on what exactly that supplemental could look like from the Biden administration. But to your point, Joe, there is a lot of work that they would like to see get done. Yes, they still have a few steps yet to take in order to get to a place where they can get some of that work done. Yeah, you need a Speaker of the House, including at least we need the gabble in hand.
Right, we're going to start using that whereward again, things like cr omnibus, things that cause small insurrections.
This is where we begin.
With Will Hurd, the former Republican presidential candidate, a Congressman from Texas and for CIA officer, is with us now on Bloomberg. Sound on, Congressman, it's good to see you. Welcome back to Bloomberg. It's good to have you here. I'd like to start with the matter of Israel and your experience not only as a member of Congress but also a CIA officer. Chairman McCall brought forth the matter of an intelligence failure. We've heard about this quite a
bit since last weekend. He said the Egyptians gave intelligence to Israel that could have prevented this attack three days before it happened. Why do you think they did not respond?
Well?
I think the Israelis has question whether the information was valid. I haven't seen a confirmation of that. But ultimately, this was attacks that have been planning probably months, if not years in the works, and so uh, you know, part of it was that Hamas went real low tech. They weren't using smartphones and technology. They were doing some two
G related stuff. When it came to the day of the attack, they basically just used bulldozers and and and went through certain areas that people weren't prepared for that kind of of activity. But this is something that I know the Israeli government is looking into now. But this is it's just getting even more complicated. You have Hezbollah, it seems to be getting into this fight. The fact that you have U, the UAE, the Imiratis telling the
Syrians to stay out of this. This is we live in a complicated world, and we always have to be prepared for for things that we don't necessarily uh plan for and that goes to the United States as well. And that's why I think Congress and the how specifically, all these jokers that are trying to prevent Steve's skill leads from becoming the next speaker I need to get in line, make sure we get a leader of the House so we can do things like pass a D
O D budget. The Senate needs to be passing you know, ambassadors and folks within d O D because we need to have be at full strength for for what's going to be coming in the next weeks and months.
So Congressman, just to double down on that, your message to your former colleagues in the Republican Conference in the House is get in line, vote for steve'scalice. That's what you'd be telling them today.
Yeah.
Look, there's there's you know, I don't know if it's still eight. But the people that are that are holding out, what's your idea?
Right?
You know, they think, you know, come on, Tom Massey, you put forward what's your plan is if you think you can do it, better, put your name forward and and and be speaker and and my you know, so, so yeah, they they need to they think they're smarter than everybody else. They're holding out for for for issues that they already get access to. The fact that people want to say, oh, we don't want an omnibus, well, where were they in the last six months when the
Appropriations bills was moving through committee. They were the ones that were preventing a vote on the rule that brings some of these appropriations bills to the floor. So yes, I would tell these the folks that are currently holding out, we need It's the rest of the world is watching,
Americans are watching. There's a lot of problems that you know, people are dealing with here and our allies are dealing around the world, and we need to make sure we have a legislative branch that actually is functioning.
Yeah, we'll see about that.
Apparently the first order of business will be a resolution regarding Israel and then an ask for funding. Do you think this is a smart move combining is really funding with Ukrainian funding, border security funding and Taiwan? Or is this what's wrong with Washington as some might suggest.
Well, look, I am an opponent of having the twelve appropriations bills, having them come through committee, having the committee debate these right, like that's the process. But now with I think that we're less than thirty days now for the next you know cliff of interim funding running out. You also can't run you know, a large business like the American government. You know, we're Fortune zero, you would
be the largest company in the world. And having you know, D O D not be able to make decisions from a long term planning is a problem. You know, we hear about these issues of ammunition problem. Right if we're helping the Ukrainians and we're helping the Israelis, we got to make sure that we have enough and we need to be having long term plans in place to ensure that we don't have ammunition's problem if this if this conflict increases or in order to protect ourselves. So so
that's where I think we should go. But I keep saying this over and over that the world only getting more dangerous, and HESBLA being in place and playing now is potentially going to make this more complicated. We need to be putting sanctions back on the Iranians because the Iranians are obviously involved in some form or fashion here and so so these are the steps that we need to be taking in order to protect Americans, but also
our allies. We can't do this by ourselves and our and guess what the rest of the world is watching. The Chinese government is trying to blame the current crisis in Israel on the United States, which is absolutely ridiculous and so so, but having these having these dumb food fights in Washington that happen almost every six months is a waste of everybody's time.
Well, as you talk about the world being dangerous and potentially the expanding, we are just getting some headlines out from Admiral John Kirby, who of course is a spokesman for the NFC, saying there's no sign of a new actor trying to widen the is real conflict yet. And yet when we think about where we began this conversation Congressman about the intelligence failures, how can we be show sure we wouldn't miss an escalation of some kind.
The head of the IRGC Coulds Force was in the region months ago, meeting with all these actors that are involved. Now, the fact that you're saying seeing the same tactics, techniques and procedures used by Hesba Lah that that Hamas did over on Saturday is an indication right there that there is a level of coordination. These two groups would not have done this level of activity without a tacit approval
from their masters, which is which is ultimately Iran. And this is the problem that the the Biden administration is playing like this, this notion that they're trying to not you know, make ran out to be the bad guy. The Iranian government is not going to change its spots. They have been lying to and misleading the international community for over thirty years. They have been killing innocent people for over thirty years. They're killed their own people that
are protesting. And so this notion that you know, hey, there's not a smoking gun that the Iranians are behind it. The fact that you had the leader of in essence, the combination of Iranian special forces and intelligence meeting with senior leaders of these groups that did this attack, that's that we call that smoke.
I have to ask you about the campaign that you just left, and I'm sure that you're going through some interesting emotions having come off the trail here, but you did endorse Nicky Haley.
Will herd.
I wonder your thoughts on how she can close the gap, if that's even possible with Donald Trump, who's leading her anywhere from fifty to sixty points depending on the polls. I know she's emerging as a real contender for number two here. But Donald Trump won't even on the stage again at this next debate, and no one seems to be able to lay a glove on him.
Well, he's not gonna be on the debate because he's afraid to debate and he's afraid to have people come at him. And ultimately, one of the things that Nicki Haley has right now, she has momentum. She has a great grassroots game. I'm on the ground in places like Iowa and in New Hampshire. Yes, Donald Trump is the leader of the pack right now, but Donald Trump being
the Republican nominee is not inevitable. And one of the reasons that Nicky Haley is building momentum is she's trying to make sure America's focused on the most important issues. That's national security, border security, our economy, education, and imagine, you know, with this complicated world that we've just been talking about for the last couple of years, I want someone who can go in on day one and deal with these issues. I don't want people that are in
their eighties. I'm having to deal with this or completely unpredictable. And that's why, you know, as I wanted to be the nominee, but that that's why I'm proud to ultimately support Ambassador Haley because I think she has the tools
and the momentum to put a dent. We have a long way to go before voting happens, but it's important that we start consolidating between Halloween and Thanksgiving because this is you know, this is in critical time in these campaigns and we can't make the same mistakes in twenty six that we made in twenty sixteen.
Congressman, we only have thirty seconds left. But what is it signal to you that former President Trump said he endorsed Jim Jordan for this speaker's nomination and he didn't get it.
Well, Donald Trump is not the king maker that he thinks he is, and that there's a lot of people that are are sick and tired of his baggage and recognize that the last time Donald Trump won was in twenty sixteen. He lost the Senate in twenty eighteen, he lost the House in twenty twenty, and he ran in red way from happening, and this is you know this is not going to change.
Glad to have you back with us. Will Hurd don't be a stranger.
The former congressman, former CIA officer, and yeah, former Republican presidential candidate with us today on sound On, I'm Joe Matthew with Kaylee Lions. Breaking news on the Speaker. Next, this is Bloomberg.
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We have breaking news on the race for Speaker. If you've been with us since we took air about ninety minutes ago, you've been following along. We have a nominee. That's how this all began. Around one pm Eastern time, Steve Scalise nominated by his Republican colleagues, at least some of them in the House, not enough to actually win the speakership though, and it's still unclear exactly when this is going to go to the floor. I'm Joe, Matthew
and Washington along with Kaylee Lines. We do have an important development since then, though, Kaylee, because of course we had Scalise and Jim Jordan. It appears Jim Jordan is now in camp Scalise.
Yeah, we know that Jordan and Scalise met in the Capitol just a short time ago, and now per Congressman Jordan's spokesperson, we understand that what Jordan offered was to give the nominating speech for Scalise on the floor.
Amazing.
That seems like a real unity move.
That would be That would be the move.
You'd think would be a signal for all of those who had endorsed Jordan and voted for him in this closed, closed door, secret ballot session today to get behind Scalise and get the House of Speaker.
Now, we know there are some lawmakers, maybe many members of the Republican conference who are not on board with Scalise. He got one hundred and thirteen out of two hundred and twenty one votes. Tom Massey says he's not on board on Twitter. Marje Maarth Tayler Green is not on board. He can afford four I guess ye at this point, we need two seventeen to actually get the job, and it must be a flurry behind closed doors right now.
Is Steves Scalise a master at whipping votes trying to get everybody on board here, Maybe it's already done.
It could be done, yeah, and we're waiting to find out. And of course the timing is still very much a question mark at this point. We're getting reports from CNN that there will not be a vote on actually electing a speaker this afternoon. We're going to have to wait and obviously get the final call on that, but it just kind of speaks to the fact that there's still some whipping to do around this. By no means, has Scalise firmly sealed the dealer.
Yeah, nobody's going in front of the c SPAN cameras until this is settled. We spoke earlier in the broadcast about half an hour ago with Michael McCall, the chairman of the House Foreign Affairs Committee, who briefed all the members earlier today on the situation in Israel. He said that a vote could come as soon as three pm, which would be thirty five minutes from now, but if the Chairman of the House Foreign Affairs Committee doesn't know.
It's clear that this is a very fluid situation. Yes, absolutely so we should talk to Wendy about it and see what she's got. She's actually been on the news desk until about two seconds ago. Wendy Benjaminson, Washington Senior editor here at Bloomberg. It's good to see it. This is shifting beneath our feet. We're gonna have a speaker by the end of the day.
I your guess is as good as mine, Joe, from everything you and Kelly were just saying, and from what's happening him there, I mean Jim Jordan says he's going to nominate him. There are people saying they aren't going to vote for them if they I think having the vote is probably something Scalice wants, because let's just wrap
this up and move on. I do think they may be being pressured one by the impression the US is getting that these guys are may not be fit to govern, and that there's kind of a clown car atmosphere around all of this, since they Austin McCarthy. While there are some very very serious issues going on, not the least of which is the war in Israel and the spending fight that needs to happen before November seventeenth, when it
shuts down again. But there are already people complaining about the vote at three o'clock, saying that doesn't give us enough time. We don't know who we're going to vote for. So the House, as is typical, may recess and come back tomorrow and try it again.
Well, and it's worth noting they at least a decent chunk of them tried to get themselves more time to do this behind closed doors. That rules change proposal that got tabled earlier today, but would have raised the threshold to make sure that two hundred and seventeen was secure before it got to the floor.
Well, I bet Scale is pretty happy that rules change got blocked, right because.
He got one thirteen.
He's got a ways to go to lock this up.
But what that means, though, Wendy, is that to your point about kind of the public perception and oh clown show whatever, they might have to go through many rounds publicly on the floor in front of the American people and the rest of the world. Again, if he doesn't secure two hundred and seventeen in advance.
That's right, and the next thing that will happen, you know, as I can be pretty certain, is that Donald Trump, who endorsed Jim Jordan, will start complaining about Steve Scalise, will harden some of the people like Marjorie Taylor Green and Tom Massey against Scullies and you know, really help smooth things out.
We talked to Rick Davis about that last hour, and you know, because the idea that Scalice wouldn't want that threshold raise and expose himself to potential embarrassment on the floor. He said, it's politics. The only rule is to live to fight another day, and so here he is. Now, maybe that does take place behind closed doors. Jim Jordan might be the key to that, but we're still not sure where all the eight members stand. Matt Gates is in Scalisee's camp, right based.
On said on Twitter's greater than McCarthy was the tweet. But he had said he told you and Anne Marie on balance of power jail with either that either Jordan or Scalise was better in his mind than Kevin McCarthy.
Well, so is Kevin McCarthy drinking something expensive tonight? Is this idea of a unity candidate gone a Unity speaker him yea named Kevin McCarthy.
It may be.
I mean, I think his idea when he said yesterday, don't nominate me today or tomorrow, yesterday or today at this point, I think he was thinking he could come in and be the knight and shining armor on a white horse and save the day. And yes, exactly, but maybe he doesn't need to. I think, you know, honestly, I think Kevin McCarthy's interest is in this coming together because they will you know, this will hurt their chances to hold the majority even a year from now if
this sort of shenanigans keep going on. And there are some serious issues, as I said, that need to be addressed, and I think they all realize that well.
And given those issues, which there is a bipartisan call for the issue of Israel to be addressed, for Congress to pass a resolution Condemnicamas or do whatever needs to be done in terms of approving additional aid, could we see, knowing that urgency, democrats do something we wouldn't expect them to.
I don't think, or is that just I don't think so this time?
I don't.
I think perhaps if this were a nine to eleven situation, and God forbid, it would be a nine to eleven situation. I think if there was something on American soil involving more Americans, maybe at that extreme would they do something. But right now they're going to put up hockeing Jefferies
is their nominee. Then Steve Scalise will probably be the nominee that the Republicans put up, and then they'll Jefferies won't have enough votes, Scalise may have enough vote, not have enough votes, and then we're back to the January Show all over again.
The January Show that could be on Netflix.
I feel like it was a big hit. Larry David directed so we as I mentioned, heard from Chairman McCall. Michael McCall, Republican from Texas. He's got a lot of influence in the conference and he's got his eyes on the eight who caused this.
Here's what he told us.
And I think that's going to be the critical mass point here is getting some of those eight votes to move over to unify as a conference. This is not good for the Republican Party if we can't unify, but it's not good for the American people either, especially at the dangerous time that we're in right now. What I said to my conference was that we cannot afford this anymore.
Let's be grown ups in the room. Let's get a speaker in the chair, and let's do the business of the people and stop messing around with politics.
I suspect he might have more colorful language for someone like Mat Gates in person, but you can hear the concern of the chairman's voice.
Absolutely, you can hear his concern. And we heard it from Larry Hogan, the former Maryland governor, who we had in yesterday at the in the Bloomberg newsroom to say called Matt Gates a cancer on Congress.
This is really he is not a record.
Yeah, he is not the most popular guy in the House right now for causing all of these problems in an election year where they do want to look like grown ups in the room. It's just so funny that we keep coming back to that phrase grown up in the room. I mean, McCarthy said it a couple of weeks ago, and we keep coming back to that. And you know, being a House member, as Governor Hogan said, means more than a social media clever quip.
Well, and that's one unpopular guy in the Republican conference. Another at this moment as Congressman George Santos, who is now facing an expulsion resolution after a superseding indictment yesterday.
He was stealing Johner's identities. That's the charge. Right, How long does oh? I think we should get out the watch and start looking at this. I think right now, if they can get past the speaker nonsense, there will be a vote to expel him there. I mean it's his own delegation that put up the motion from to expel them. Yeah, so they I mean they want to stay in power. Remember that's what drives politicians, right, staying
in power. And if you have someone who is dragging the whole group down, then they're going to They're going to.
Check them out if it makes the math even more difficult.
That's true for a thin Republican.
And I think a Republican has already announced that he or she hadn't remember who it is, we'll run forcend just as seat, even though that's kind of a democratic area of Long Island.
Yeah, we'll see.
We saw the Swazi campaign announcement as well. That'll be an interesting race no matter who It is Wendy.
Great to have you, as always, Wendy Benjaminson from the newsroom here at Bloomberg. She'll be back to running the Terminal now that we're letting her go. Thanks for listening to the Sound On podcast. Make sure to subscribe if you haven't already, at Apple, Spotify, and anywhere else you get your podcasts, and you can find us live every weekday from Washington, DC at one pm Eastern Time at Bloomberg dot com.