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Government Shutdown Looms As House Fails To Pass Short-Term Funding Bill; California Democrat Dianne Feinstein Has Died At Age 90; Possible Plea Deal In Rico Case; UAW Strike Expands. Aired 2-2:30p ET

Aired September 29, 2023 - 14:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

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BORIS SANCHEZ, CNN ANCHOR: The nation is barreling toward a self- inflicted calamity. A federal government shutdown coming in fewer than 35 hours. The House of Representatives just voted down a short-term spending solution. And another short-term proposal in the Senate is also not likely to get passed before Saturday at midnight. And if that deadline passes without new funding, about 3.5 million federal workers will not get paid, including active duty military.

Also, an alphabet soup of federal agencies would face some kind of closure or cutback or reduction in services. And that includes the IRS, the SBA, the FDA, OSHA, SNAP, Head Start, among many others. CNN's Lauren Fox is live for us on Capitol Hill. So, Lauren, you've got the breaking developments. This last-minute attempt by McCarthy with a stopgap measure was essentially doomed to fail.

LAUREN FOX, CNN CONGRESSIONAL CORRESPONDENT: Yeah, and more than 20 conservative hardliners voted against that measure, a show that they are not sticking by the Speaker, that they have not bought into his argument, that they need to have some kind of Republican plan to go to the negotiating table with the United States Senate, which is working on a bipartisan basis. Our colleagues caught up with House Speaker Kevin McCarthy just moments ago, and he told our colleagues, quote, it's not the end yet, I have other ideas. Those ideas you can expect him to unveil during a Republican conference meeting now scheduled for 4 p.m. But just to take a step back, this means that there is likely going to be a government shutdown.

House Republicans don't have a plan so far that they can rally around. And Senate Democrats and Republicans are working on a bipartisan basis on a bill that is currently being slow-walked by Senator Rand Paul because of the fact it includes Ukraine aid. That is the dynamic at play right now. And every lawmaker that you talk to up here, no one is promising that on Monday morning the American people won't wake up to a federal government shutdown. And the impacts of that are going to be very real for Americans. And as time goes on, if there isn't a plan, and if House Speaker Kevin McCarthy doesn't want to work with Democrats, it's very possible this shutdown could go on for a very long time. So watch that dynamic. Obviously the question remains, will at some point House Speaker Kevin

McCarthy reach across the aisle, work with Democrats to find a path forward, something that could pass out of the House? Again, we are talking about just a short-term spending bill. This is not even the bigger fight over spending -- funding the federal government for an entire year, Boris.

SANCHEZ: Yeah, he's described potentially compromising and working with Democrats as surrendering. So we'll see where it goes from there. Lauren Fox, thank you so much for that report.

We're at LaGuardia Airport because CNN senior national correspondent Miguel Marquez is there. And Miguel, one of the first warnings the White House issued about a shutdown was the potential impact it could have on air travel.

MIGUEL MARQUEZ, CNN SENIOR NATIONAL CORRESPONDENT: Yeah, because it relies on TSA agents and air traffic controllers, and they have to come to work. They need to be paid. They have families. They have kids. They have all the concerns that any American family would. Plus, in large part, speaking to TSA agents here, they live paycheck to paycheck. So it's very, very difficult to not know when that next paycheck is coming. Today happens to be the day that most federal government workers get paid, the 29th. So the next paycheck should come in two weeks. Will it? That is very much an open question. Other things beyond air travel and how that may be affected. And this may be a slow-moving sort of disaster because we had a 34-day shutdown in 2018 over President Trump's border wall funding. That was the longest one. There's been 20 of them since 1977.

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Most of them are settled within a week or so. But that one in 2018 worries TSA and other government workers because the House Republicans are so split and they don't see how they're going to get over that hump. Also people like relying on food stamps or SNAP programs, the Supplemental Nutrition Assistance Program, that program is funded through October. So one person we spoke to, she got her check on the 16th of September. The next check will come on the 16th of October. But beyond that, it's a huge question.

There are millions and millions of Americans who rely on that federal government to feed themselves, to feed their kids, to feed their entire families. If it goes away, it is going to become very, very difficult for a lot of people. So everybody that we've spoken to in the last couple of days preparing for the long haul, hoping that it will be much shorter, also begging Congress to just go to work and do their job.

They go to work every day. They deal with bosses sometimes that they may not agree with everything on, but they still do their work. And they go home at the end of the day and they're hoping Congress does the same for us. Boris.

SANCHEZ: Yeah. And we should point out, even though those federal workers may stop getting paychecks, members of Congress would not stop getting theirs if there was a shutdown. Miguel Morquez, live from LaGuardia. Thank you so much, Miguel. Brianna.

BRIANNA KEILAR, CNN ANCHOR: Well, it has been an emotional day on Capitol Hill as tributes continue to pour in for Senator Dianne Feinstein. The California Democrat has died at the age of 90. She was the longest serving female senator in U.S. history, also the first female mayor of San Francisco. You see the flag flying there at half staff there outside the Capitol. Feinstein serving in Congress since 1992.

She worked right up until yesterday, casting her final vote on the Senate floor. She voted on legislation to prevent a government shutdown. Among those honoring Feinstein on the Senate floor today, Majority Leader Chuck Schumer, who got choked up as he was paying tribute to his longtime colleague.

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SEN. CHUCK SCHUMER (D): So today we grieve. We look at that desk and we know what we have lost.

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KEILAR: And I am joined now by CNN Special Correspondent Jamie Gangel and CNN Senior Political Analyst Gloria Borger. What a career that she had on Capitol Hill and beyond. Before that as well, let's talk a little bit about her legacy, shall we? Jamie.

JAMIE GANGEL, CNN SPECIAL CORRESPONDENT: So, I mean, the word you're going to hear over and over, and it's right on our banner. It says trailblazing. Whether it was Barack Obama's statement about her today or Mitch McConnell, she was a trailblazer. She was, as Mitch McConnell said, an iconic figure in the Senate. And just one of my favorite stories, look, she was tough. She was fierce. She was a fighter. She was independent. But one of my favorite stories about her was actually from New York Senator Kirsten Gillibrand, who told me many years ago about when she first came to the Senate, she really was overwhelmed.

She didn't know how to put together her staff and everything. And Dianne Feinstein took her to lunch and said, how can I help you? And she asked some questions. And then Feinstein said, I have something for you. This is a memo. It's very confidential. But it laid out for Gillibrand exactly how to be a senator, how to put together her staff, a road map. A manual.

KEILAR: We always say sometimes this doesn't come with instructions --

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GANGEL: Right, Right.

KEILAR: -- But it did in a way, which is a blessing. And you as well, you had so many experiences --

GLORIA BORGER, CNN SENIOR POLITICAL ANALYST: : Sure, sure.

KEILAR: -- with her over the years as a journalist.

BORGER: I did. And I was lucky enough to be among a group of women that she invited to dinner, I'd say once every six weeks or so. And she would have a table at Cafe Milano in a little room in D.C. with beautiful flowers in the middle. And the women would get together. And it wasn't about, okay, what happened in the Intelligence Committee today, you know, Madam Chairman.

It was just about what was going on in Washington. There was a little bit of gossip. And you could tell that she was just reaching out for friendship, camaraderie. And she was kind of interested in what was going on elsewhere other than the United States Senate, which she devoted so much time and energy to. And what I discovered is that while people said she was a centrist, you know, she was a pragmatist. You know, this was a woman who had great moral clarity, but was completely unpredictable sometimes. And, you know, she would fight for the CIA and then on the other hand, she would author a report about torture, and say that it was a stain, the CIA's actions were a stain on our values and on our history. So she was, you know, she was somebody who did have a moral compass, and therefore wasn't knee-jerk or predictable like we see so much today.

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KEILAR: She took on some tough fights, right? --

GANGEL: Yeah.

KEILAR: -- I mean, it's her, she's the one who introduced --

GANGEL: assult weapons

KEILAR: -- the assault weapons ban in 1994. And just going back to that CIA torture report, that was a huge row to take on the CIA and the White House at the time.

GANGEL: And the White House, she was taking on her own party. Barack Obama was president. They did not, the White House did not want this information to come out. She stood right up to them. She said, no, it has to come out. So it's a great example, not only of how forceful and direct she was, but she was willing to stand up to her own party.

KEILAR: I wanna listen to something that former Congresswoman Jane Harman said, because she actually happened to meet with Senator Feinstein just yesterday, a day in which she was still on the job. She had a vote yesterday. Here's what she said about their visit.

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JANE HARMAN, FORMER U.S. REPRESENTATIVE FROM CALIFORNIA (D): I probably had the last meeting with her at late afternoon yesterday. I went to her home, her study. We spent an hour together looking at old pictures and talking about the future. And as we were leaving, her housekeeper took this beautiful picture. I want everyone to remember Dianne this way, strong, elegant, no one is like her. I loved her very much. And I'm so glad I got the last hug and kiss.

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KEILAR: People will remember Dianne Feinstein for her legacy. They're also going to remember her for going until the very end. And there were some questions about whether she should do that --

GANGEL: Right.

KEILA: Especially as we have a lot of questions right now, I think people are asking them all across the country about the age of elected officials and if they really should go until the end.

GANGEL: Yeah, well, she always said being in the Senate was her calling. And at the time, and we all know, Nancy Pelosi came out and said, well, there are lots of old men who have served in the Senate. What about Dianne Feinstein as long as she is competent to serve? And if you hear Jane Harman, Jane Harman said she had a great conversation with her just yesterday.

So I think the question of age is something we're gonna be talking about as we head into this presidential election, obviously. But Joe Biden, let me just say, was very close with Dianne Feinstein and served with her for, I believe, 15 years and worked with her on the assault weapons ban. And she was older than he is. And I think it's something that her age reminds everyone of what we're discussing now.

BORGER: It's also true, I think former Speaker Pelosi said this today, that she wanted to go on her own terms. That said, those pictures at the end, they were very difficult when she came in to vote. I'm actually glad that Jane Harman, who's also a very tough former member of Congress, showed that picture because there were rough moments with her health, but she looked remarkably good yesterday in that photo.

KEILAR: She really did. Thank you so much, Jamie and Gloria. I really appreciate it. And we are following some new developments out of Fulton County. Prosecutors there signaling they may offer plea deals to some defendants in the election subversion case. So we will be live in Atlanta next.

Plus, keeping calm and carrying on, Senator Bob Menendez planning a donor retreat at a luxurious hotel in Puerto Rico, even amid calls for his resignation over bribery charges. And the strike expanding yet again. We're going to have the latest on the negotiations between the big three automakers and the UAW. You're watching CNN NEWS CENTRAL. We'll be right back.

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[14:14:33] BORIS: A possible plea deal could be in store for two defendants in

that sprawling Rico case out of Georgia involving former President Donald Trump. During a hearing today, prosecutors signaled they simay soon offer plea deals to former Trump campaign lawyer Sidney Powell and the alleged architect of fake electors scheme, Kenneth Chesebro. Remember, they're the first defendants in theelection interference case set to go on trial next month. CNN's Nick Valencia is live for us in Atlanta with more details. So, Nick, walk us through the latest developments in court.

NICK VALENCIA, CNN CORRESPONDENT: Well, Boris, if a plea deal is offered, one of the defense attorneys for these co-defendants expected to go on trial on October 23rd has indicated it would be a very high bar for it to be accepted. Scott Grubman, who's the attorney for Ken Chesebro, that pro-Trump attorney who's expected to go on trial, said that short of all charges being dropped against Chesebro, that they fully expect to go into this trial on October 23rd.

And earlier this morning, during a procedural hearing ahead of that trial, the judge asked the district attorney's office if they would be in a position in the near future to offer a plea, to which the DA's office responded yes. So they seem to signal that that may be coming soon. But even if a plea deal is offered,this case could still go to trial depending on what these defense attorneys decide to do.

One of the big outstanding questions right now is whether Chesebro and Powell will go at this alone or whether they will be joined by others of their co-defendants. There's still a handful ofthese 19 co- defendants that have not indicated one way or another if they want a swift trial. Ken Chesebro and Sidney Powell did ask for a swift trial, so that's what they're going to get.The question, though, is will they get a loan or will they be joined by others? Boris.

BORIS: Nick Valencia, live from Atlanta. Thank you so much, Nick. Brianna.

KEILAR: One week after New Jersey Senator Bob Menendez was slapped with a federal indictment onbribery charges, the Democrat won't say if he will seek real re-election next year, but he is making himself available to wealthydonors. A political action committee tied to Menendez is hosting donors at a luxurious beachfront hotel in Puerto Rico. They can chat up the senator at anevening reception. They can join him on a championship-level golf course withocean views. CNN's Manu Raju is with us now on this story. What else can you tell us, Manu?

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MANU RAJU, CNN CHIEF CONGRESSIONAL CORRESPONDENT: Yeah, that's right. This happened actually yesterday, just as Bob Menendez was meeting behind closed doors with Senate Democrats, telling them that he would not resign, but not giving any indication about whether he would run for re-election next year. That is a major question for Senate Democrats, because this is a seat that ordinarily Democrats would have a very good chance of holding on to in a blue state, but now that Menendez is facing these bribery charges, there's real fear. If he runs, he could jeopardize that seat and potentially the

Democrats hold on power in the United States Senate. Now there's a clear indication here from this invitation that I obtained last night that Menendez might in fact be running for re-election. He is a PAC, a political action committee tied to the senator, said that told its donors in a message yesterday that the event is still on. This fundraising event is still on. A donor retreat in Puerto Rico at Dorado Beach in Puerto Rico at the Ritz-Carlton Hotel in mid-October, saying that there will be a reception in the evening with the senator, along with his chief of staff.

The next day they could go play golf with the senator. They may have lunch with the senator's chief of staff that evening, finish up with an evening reception before any donors who come can take off here.

This will undoubtedly cause concerns within the Democratic ranks. One key Democratic senator, Gary Peters, who chairs the Senate Democratic Campaign Committee. I asked him, will you support Bob Menendez if he runs for re-election? He was non-committal on that question, which is unusual. Typically they do support their incumbents who are up for re- election, but also underscoring the real concerns among Democrats about what Bob Menendez plans to do here.

But by this indication and what he's been saying to his members behind closed doors, he doesn't plan to resign. He plans to fight these charges and now potentially could be running for re-election, causing some concerns within the ranks. Brianna.

KEILAR: Very interesting. Manu Raju live for us on Capitol Hill. And of course, be sure to catch Manu anchoring Inside Politics this Sunday. That airs 11 a.m. right here on CNN. Boris.

BORIS: Now to a major update on the UAW strike. The United Auto Workers Union is expanding its strike against General Motors and Ford, with workers walking out at two more assembly plants. The UAW says that progress in its talks at Stellantis has kept the union from expanding the picket lines there. Now Ford's CEO responded just a few moments ago, calling for compromise. Listen to this.

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JIM FARLEY, FORD CEO: As this strike shows, we can't build vehicles in the U.S. without the UAW. And whether Shawn Fain believes it or not, the UAW needs a healthy Ford, General Motors and Stellantis to have a future. It's going to take compromise. It's going to take leadership to meet this moment.

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BORIS: We want to go now to CNN's Nathaniel MeyersoHn, who's been tracking the very latest details in this story. So what we're learning here, Nathaniel, is that Ford says it's close to a deal with the UAW on wages and benefits. And yet, there are now more workers striking against Ford. NATHANIEL MEYERSOHN, CNN CONSUMER REPORT: Yeah, Boris, they were close

to a deal with Ford, but now we're seeing it expand to Ford and GM. The two sides are still far apart on wages, benefits, and also the future of the auto industry as it moves to electric vehicles. These are tough negotiations, and they're still far apart on a deal.

We're now up to 25,000 UAW members who are on strike. Look, today, UAW President Shawn Fain said that this was unlikely to be a short strike, and we're seeing this play out right now.

BORIS: Nathaniel Meyersohn, thanks so much for the update. We know you'll stay on top of it. Still ahead, the U.S. government is getting very close to shutting down the House, just failing to pass a short- term funding bill. We're going to speak to a Democratic congressman about next steps. And parts of New York just got a full month's worth of rain in just three hours. Some really stunning pictures out of New York when we come back. Stay with CNN New Central.

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BORIS: With each passing minute the federal government is moving closer to a crippling shutdown. We're now fewer than 35 hours from a critical deadline to extend federal funding and lawmakers are nowhere near a deal. That means federal agencies across the board are getting ready for a work stoppage and more than a million federal workers will be forced to work without a paycheck, including members of our armed services. Joining us now to discuss is California Democratic Congressman Tony Cadenas.

Congressman, a pleasure to have you here.It appears that we're headed toward a shutdown. There's roughly 150,000 federal workers in California. I'm wondering what your message is to those constituents and whether you would be willing to withhold your own pay asmembers of Congress continue getting paid while these workers don't.

REP. TONY CARDENAS (D-CA): Well,what I'd like to tell all the federal workers, I'm sorry that the extreme Republicans in the House of Representatives are not working with us. What we need to realize is in the United States Senate they have been working on a bipartisan bill and they're actually are going to be advancing it as soon as this Sunday. So that's what we should be doing in the House and it's just not happening.