tv The Willis Report FOX Business October 24, 2013 6:00pm-7:01pm EDT
tomorrow. that is all we have no. we hope to make some money today. stick with us we will see you tomorrow with gerri willis in "the willis report." >> i am gerri willis. finger-pointing on capitol hill. lawmakers grilled the people hired to build the obamacare web site. >> that is a weak excuse amazon in the bay don't crash the week before christmas. >> also why the system cost reported $1 billion and not properly tested. >> did not work. >> and also investigating why that canadians fire that computer company that is at the center of the obamacare mass. we are watching out for you. tonight. "the willis report."
gerri: if you care about your health you will see a lot tonight that interests you. the rush to fix the obamacare mess before the penalty deadline. nobody has a clue when the problem can be fixed the contractors at the center of the mass were testifying on capitol hill but decried the -- agreed to the government is to blame marshall blackburn was one of the republicans cahow been leading the investigation. it was a marathon for our probe you were leading the charge with the questions. are you satisfied with what you heard and the you have any ideas when these could be fixed? >> we don't have any idea
when it will be fixed. i think it is time to take the side down and get it fixed to be certain the american people know that their information will be protected. similar we heard today the more questions we had. we'll be ready for secretary sebelius when she comes next week. >> i presume she will show up but today with a four hour hearing one of the contractor said he could not sign on. >> it appears one of the reasons for the high a convert volume is a late decision requiring consumers to register for an account before they could browse for products. this may have driven higher simultaneous usage that would not have otherwise occurred that what consumers
could window shop anonymously. >> did you try to get onto the system? >> i did. i put in texas senate is that we are from? >> i am not i was testing it >> did it work? >> i created an account id is able to do so but i did not receive a confirmation e-mail. >> so it did not work. >> did not work. >> if they cannot make it work who came and? >> nobody can. that is the problem. that is the question are they keeping the error logs? we want to see those and they said we may have to go back to cms to see if we can give you those but we want to have some verification of how many people try to get into the system we have
spent all of this many and i did ask them today for the amount they have paid in the past to clean up the mess in what they are retained for in the future which in particular with equifax and what we are spending. gerri: we were told 300 million then 630 million now tonight there is a report out from the hill.com the cost as $1 billion. does that surprise you? >> that is part of the problem while they are under oath today i asked them every cent. is taxpayer money, not government money, they should not be wasting the taxpayers' dollars doing a sloppy job on the sub standard product and expecting us to say these are just a few glitches.
these are e. enormous errors of a program they had 3-1/2 years to establish and they cannot do that. gerri: the glitch is that you cannot sign-on. then a problems of pricing is wrong whether deductibles , out of pocket cost and the liberation going to the insurer's is not right. but before you go you talk about privacy we talked a lot about the hidden coating that says the us with no reasonable expectation when that trans or stored on the system but what did you learn today with your questions? >> that hippa is probably violating this if you look
how it has to be gathered and stored, the backside coating gives you no guarantee of privacy is a violation of hippa. we have very specific rules and regulations every health care provider of hospital cost to abide by those but it looks like cms is choosing to circumvent the hippa regulations that they hoist on everybody else. gerri: the government breaking their own rule. you thought it should be debate hideous think the administration will delay this? >> i have that bill that the leas it for one year. there is growing bipartisan support. it is such a mess and off on the wrong foot. as you have articulated there are so many components
that are not right and that access system but to delay it to take it down and get their right. gerri: there are at least five democratic senators who want to see that. thank you so much. >> good to be with you. gerri: despite calls from all sides to delay the individual mandate the white house refuses to budge. instead to try to clarify the message of the deadline date without paying a penalty. we have more on this with the ceo of vital springs technologies. last night there was a slew of headlines that the white house was delaying the deadline for signing up for the mandate by six weeks. the white house excoriated nbc for reporting for us
josh said individual mandate timing has it changed the deadline is march 31st it is true tonight and i have to tell you i thought really didn't we originally say you had to have coverage by the beginning of the year? one is going on? >> panic mode. i wish i was a fly on the wall with the executives flew in because that was the first clue that something is going to change because i can tell you there is a plush to get as many people signed up as possible is a discrepancy based on the way the law is written with how much time that people have
it is called valentine stage tuesday up until the 15th of the month in order to get coverage for the following month otherwise you are pushed back by six weeks so the interpretation is if it has been pushed. gerri: the about this the administration wants to sign of 7 million. how do they do this with the deadline scheme? especially if they are softer than of a baby's but? [laughter] >> getting interesting example but if you do the math of the estimates we don't know how many people that effectively that bought the affordable insurance plan but if we give them the
benefit of the doubt that it is half a million people then you connect the dots to extrapolate it will be very difficult to get to the 7 million number. gerri: today that white house had a teleconference they only gave to people from cms but nobody from operation and so cannot tell us and they were running the program it is outrageous these are the taxpayer dollars we are paying the tab if. how can the government continue to stonewall the media congress, tax payers, refusing to give this information to anybody at all. >> i will tell everybody very candidly today that a lot of those people that are called in our good friends
of mine including jeff. i have known these people for years. they're very smart and capable people but i am sure space my friends they are in panic mode right now. nobody wants to step into the fire drill. the reason why people are not communicating it is mass chaos. if the camera can zoom in these are the number of things that have to come together in order for health care .gov to work. if you look at the different vendors on capitol hill today trying to explain there was lots of this. gerri: fingerpointing nobody accepting responsibility. we want somebody to say the buck stops here it is my responsibility to get this together for the president doesn't want to, a cms
doesn't want to or the firm's. >> i have done this for 15 years i know what it takes to integrate the enrollment system for all these that need to come together but every september and october when the employer will sell open enrollment, that is the worst day of the year because it is chaos. it is not like anybody has figured it out but we need credible people to answer the problem. gerri:, the people who'd do 1800 flowers february 14th comes and goes they can withstand huge demand and withstand the traffic and it should have stood up to the traffic. we appreciate your expertise
thank you. what do you think? the question, ability laying that mandate six weeks six obamacare? log on to gerriwillis.com i will share the results at the end of the show. we have more continued coverage of the mess that is obamacare including a look at the troubled past of cgi. and then next with a hearing on capitol hill today be alive with more after the break. stay with us. >> this job is hard. [laughter] i don't want to bring your depressing stories night after night that is why i am happy to have good news to report millions of americans cannot get health insurance. [laughter] the obamacare web site is a disaster and i am loving it. [laughter] this techno taco will be
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gerri: over four hours of testimony today about the rollout lawmakers went after the contractors after each other but they agreed the launching is a disaster. >> this is more than a web site problem and frankly it should have been the easy part i and concerned about what happens next will and will make glitches is provider pavement glitches or locations show up at the doctor's office or the hospital that they are not covered or in the system? >> two weeks before hhs told us that consumers to go on line and shop not true. we were promised a website where people could easily compare plans and cost $500 million later refined
american public is given the old limit "cash for clunkers" but they had to pay the cash and still got the clunker. >> all the risk that we saw with testing were shared with cms. >> what was their response of the pitfalls? >> minder standing is they understood those who were working on them but i don't know further. >> how in the world when hippa passed to protect the privacy but to continue means you have no reasonable expectation? >> that would be the decision made by cms. >> this is news to you? you are the main prime contractor. you have never seen this before? >> i am one of the prime
contractors, yes. >> were you aware this was of the source testing? were you aware? yes or no. >> yes. >> hippa only applies when there is information being provided. >> no health reapplication process. why? because pre-existing condition doesn't matter but we have the republican colleagues tried to scare everybody. >> will you yield? >> know i will not to the monkey court. i will the yield. >> there are thousands of websites that handle, and courage of volume far larger than what health care .gov was faced with. you talk about unexpected volumes, ms. campbell but that really sticks in my craw to have to tell you that.
gerri: a monkey hearing? what is that? with more with rich and said --. >> would get the highlights i don't see the you missed one. yet a number of contractors point figures at each other or the administration but the one issue that kept coming up was a change of how to check prices is online. they said the contractors over the last 10 days informed them they no longer want you to look up the prices to window shop without having each customer put in the information to sign up and they said that through them for a loop the last 10 days they wanted months but they did not get that you can imagine the contractor's point the fingers to the government because nobody is here testifying. they asked people from cms
and also secretary sebelius two, but that won't happen until next week. gerri: medicare/medicaid services had a press release today by telephone with reporters and they run not asking -- to answering questions it is impossible to recognize it is hard to believe they don't know the answer. they must. why would cms told that data from the american public? >> the thought is those that are critics that it is not very high but they do have 7,000 people applied. that doesn't mean they actually enrolled. the very least they are not getting incorrect information but we're still not sure how many people have enrolled the
contractors were asked this to david ask to present this information by 9:00 tomorrow morning they said they have to clear that with cms and they said did not have the number but only to has applied. gerri:. [laughter] it is crazy. 1% of those who went on the web site ultimately could it role and that is astonishing low now we know the number of hits has fallen by 80 percent. i don't know but is it possible interest is waning? >> you do have the first day where people and to seek what it is about. now reporters are slowing down their attempt the joke is the industry should released numbers half a million people signed up but a 90 percent were reporters. [laughter]
but that is an issue if people don't come back or are so fed up the administration says they will but if they don't if you need people to sign up the expansion of this is medicaid but the supreme court has thrown a wrench in that because not all states have to do that so the insurance companies need customers so this has to work it has to the functioning of a law. gerri: and think you for being with us. coming up the wording for holiday travelers your flight could asking -- cost you more and cgi was fired from canada is calcite just right before they retired for health care .gov.
>> with obamacare web site apparently it has all the glitches and nows say the only o fix it is completely start over and redesign from scratch. [laughter] but the guy from the key aside said it did you try blowing on it. [laughter] [ male announcer ] the founder of mercedes-benz once wrote something on a sheet of paper and placed it in his factory for all to see. ♪ four simple words where the meaning has never been lost.
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cgi has a troubled past the company was fired by officials last year after three missing three years of deadlines and failing to deliver a database much smaller than an obamacare. tell us about this and you have done a lot of work? what happened with this company in canada? >> when i heard cgi was the main contractor i did a double take. i know them primarily from working on and on health-related data base the big gun control initiative database with cost overruns in delays and a system that didn't work and i thought really? this is the company they hired? then i looked more the one year passed set timber they were fiat and -- fired by
the ontario government hired to do just a small part of a massive e health program of the diabetes registry they could not deliver at the time it was consent -- cancel the would be much mayor but after 40 months behind schedule they were cancelled this is not the first or probably the last over missed deadlines specifically. gerri: government information technology is different than anywhere else i am shocked we did not make calls to canada to figure out what was going on but you said there is the attempt to create a system to give every citizen the electronic health record to create a database but the project was a total disaster a report by the auditor general had wasted $1 billion.
is that what we chemo for word to? >> but to watch those executives testify today nobody was taking responsibility i think the party will go one was nobody taking responsibility but the taxpayer will have to keep reaching into their wallets eve written before they could register or pay the higher premiums. gerri: this is what was said in front of congress the government to steel to the responsible party. is the government faults or cgi or everybody? >> there is plenty of blame to go around but that the government is the quarterback. great. i of the big football fan if the football drops the ball then it is the quarterback's fault but they handed often
in the running back decides to drop the ball that is not the fault of the quarterback he handed it to cd-i they have known it was not ready they were asked about that today the hearing and ms. campbell said she did not believe there would be problems she said it was not her job because her job to build the web site is a dish -- shouldn't she have told them we cannot handle the value -- volume like valentine's day? she never did. her company bears a lot of responsibility for this. >> you said there were political connections. explained. >> is there is some of the liberal party and the white house and democrats generally in the united states but the premier in charge has resigned them
with the into private life but the premier of ontario used as a political consultant says this aidman that occupies the white house. david axelrod, valerie tear it in her daughter when the cabinet ministers is married to one of the sons and the government and the connections go on and on. is some they said they used ontario as a reference they could have done the back channel testing to say axelrod should call you are about to fire them? maybe we would not hire them after all but they never did that. gerri: unbelievable. i hope we can come back soon we appreciate your time. thank you so much. and a programming note doing
another call in show 6:00 p.m. to 9:00 live both ours to answer questions from e-mail, a facebook un twitter this monday night ascus your question if you just want to sound off nobody else is in answering the questions. the sea of green continues and the gsa get so big now screening starts before you leave the house? we will explain. stay with us. ♪ ♪ (vo) you are a business pro.
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the new nsa? baja according to the new york times to speed up security checkpoints and it is going through data base to develop private information before you even in get to the airport. the first one to say that gsa denies the truce but what do they say goes on? >> that most people our familiar with the no-fly less if you book a ticket you give me trouble affirmation your team and gender and date of birth so they checked the no-fly list but now are in a checking something besides that? there is allegations of criminal records, a dmv, as part of a standard ticket purchasing probably not that
there is the new free check program to do a deeper dive because i signed up by giving your prints that gives them another datapoint gerri: i think i have to tell them who i dated in high school. [laughter] but what about regular people? what are they said to be looking at? dmv records but as you drive to the airport somewhere between 1.68 million people per day they tried to decide to let you through security they should use the same contractors from the other. gerri: past travel and itinerary and physical characteristics and law enforcement and intelligence
information. all of that shocking and compromising privacy? >> they complete the deny that they do this but we do know there are a incremental disclosures when we hear things. we will find out but the bottom line is as a traveler if you join the pre-check program you give them more data points like fingerprints for the global entry with your passport information that is key to all sorts of databases to route the deaf man they are getting better to connect the dots. gerri: if you wait to get the tickets you will see a big increase what are the numbers? >> would get the first week of december for the holidays starting the 17th 50% increase of nonstop flight
another 30 percent if you want to travel on the weekend another 20% over double depending on when you want to go. gerri: if you look year-over-year increases thinks giving is up nine .4% coming christmas is 7.3%. get on a. it is always terrific to see you. maybe it is the way you are dressed. what should he be wearing on the job? november is often a power month for stocks we have a vice for the rest of the year.
it's not the "juggle a bunch of rotating categories" card. it's not the "sign up for rewards each quarter" card. it's the no-games, no-messing-'round, no-earning-limit-having, do-i-look-like-i'm-joking, turbo-boosting, heavyweight-champion- of-the-world cash back card. this is the quicksilver cash back card from capital one. unlimited 1.5% cash back on every purchase, everywhere, every damn day. now, tell me, what's in your wallet? gerri: with the fiscal fistfights' what is next for the stock market? of history has any say at all they are poised for big
profits headed into the strong as part of the year. recovered chief executive strategist. welcome back to the show you expect good the news out of the year? >> history says to expect things it is a good guide but not gospel looking at record profits a year that the active managers are performing the benchmarks with two and a half months to outperform. gerri: they will go to those the hearing is the number they gave us the s&p is up 70% on average but every year since 1945? >> the average is 7%. the market has risen three out of every four years on average.
but when somebody says a bucket of money falls right here you will stand there for some time. gerri: talk about valuations are they expensive now? >> valuations or that the ratio is still slightly appealing but definitely not compelling if you project earnings we looked at a low single digit discount to the long-term average. it is not like the 1990's we have to convince ourselves it is different but looking at those terrific discounts a couple years ago. gerri: you have the best database what is good for the end of the year? what looks good? >> investors will stick with the cyclical stocks with the six months period usually
favors groups such as consumer discretionary industrials are materials so those of the areas where economic growth tend to be the driver those that might not do well are more defensive got a little pop like utilities because of the delay of the tapering expectations like then get out of jail free cards but but that will be underwhelming. gerri: talk about the small-cap there has been a big pop what you see going forward? >> we will see good gains through the end of the year but i did do was steady that showed basically looking at relative performance how have they done we are more
gerri: the better as you look the faster you get ahead study showed that more attractive people are hired sooner if promoted faster and paid more than less attractive co-worker so what you wear and how you look could make a break the career author of the new book the essentials of business etiquette how to greet each and tweak your way to success. think you for coming on the show talk about attracted people get more money, money, perks, raises more often and so what are the big mistakes when they dress for work? >> in terms of clothing is not paid attention to the details that means people wearing clothes that are too thank you have to wear clothes that fit also is a
long how effective february business casual you don't want to show up with professional suits also addressing seductively for the workplace is the node know. gerri: you say don't wear short skirts but i do every day if it does not seem to hold me back. >> you may be able to break those rules but read you wear short skirts your knees or the visual anchor where will people look? your legs. where do want them to look? gerri: i think i have decided that. [laughter] you have the interesting to compare contrast photo with a young woman in business attire. i am assuming the woman in the left is not dressed appropriately? >> when i show that photo in my seminar the female on the
left they refer to her as a girl but the female on the right if they refer to her as a woman that is a big difference and they don't even realize they do it. is subconscious what do you want to be referred to? gerri: showed that the foot again. -- show that began both of those women would be considered to dressed none of that would work and the woman on the right would only be appropriate for the accounting firm, a consulting, it is about where you are? >> absolutely what is your industry but regardless it is how you wear the outfit it is too tight it doesn't look good weather social
media or a bank. gerri: why don't we talk about men? they always look like junk they have the big problems at least the women are trying. >> men have a lot of opportunities also the also wear clothes that are too big they cannot match the shirt with the tide. one man in a social company always keeps his shirt out the way he meets his clients he will put it did. they have a lot of opportunities also. gerri: thank you for coming. gerri: we will be back bill delaying the mandate six weeks six obamacare?
>> consumer reports recommends people set back and wait a few weeks until the government to fixes the problem. a few weeks? [laughter] when is the last time the government did something in a few weeks? we have troops in korea. [laughter] at od, whatever business you're in, that's the business we're in with premium service like one of the best
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gerri: the contractors responsible for building a health care .gov web site says it is the government's fault so the white house is agreeing to the six week delay of the individual mandate but is this the enough to fix obamacare? here is what you are posting lee still force people to buy health insurance? >> no. it will not solve the problems with the law itself. also asking on gerriwillis.com 4 percent said yes and 96 percent said no.
we have been all over the obamacare story because that is the biggest torrey i think since the recession this fall whether implemented well or pool -- poorly when packed americans, raise prices for those outside and inside the system and kill employer sponsored coverage. the cost is only promised to escalate so the administration is not being square with us. when cms held a teleconference today to your answer reporters' questions there was no operational staff on the phone. they were stonewalling. table does say how many people have been rolled it must be embarrassingly low. hhs secretary kathleen sebelius spoke to reporters tonight in phoenix and would not give a number. sebelius also said today she does not work for the people who call for her firing. i have a news flash your
paycheck comes from taxpayers a you work for the american people. just because your direct boss gives you cover does not mean you are blameless. that is my $0.2. have a great night. >> the house energy commerce committee holding there first hearings on the obamacare disaster a failure that threatens all of the affordable care act for a program created by legislation that no one had read four years ago it should not come as a surprise that no one now will reveal who is responsible for the health care .gov fiasco. i am lou dobbs. lou: the good evening. a congressional hearing today on the failure of health care .gov raises more questions answered.