Obama says US needs to respond to Russian cyberattacks -- 'and we will'

Fox News Poll: Russian hacking did not affect election

President Obama said Thursday that the U.S. needs to "take action" in response to cyberattacks on Democratic officials during the recent presidential campaign, hours after his administration insisted -- without offering proof -- that President-elect Donald Trump "obviously knew" of the breaches, and suggested that Russian President Vladimir Putin had personally authorized them.
"I think there is no doubt that when any foreign government tries to impact the integrity of our elections ... we need to take action," Obama said in an interview scheduled to air Friday on National Public Radio. "And we will — at a time and place of our own choosing. Some of it may be explicit and publicized; some of it may not be."
Earlier Thursday, Press Secretary Josh Earnest told reporters during the daily White House briefing that "Mr. Trump obviously knew that Russia was engaged in malicious cyber activity that was helping him, [and] hurting [Democrat Hillary] Clinton ... "These are all facts that are not in dispute."
Earnest pointed out that Trump had encouraged Moscow during a news conference to find missing emails from Clinton's private server. Trump has said he was joking.
"I don't think anybody at the White House thinks it's funny that an adversary of the United States engaged in malicious cyber activity to destabilize our democracy," Earnest said. "That's not a joke."
Earnest, without mentioning Russian President Putin by name, also said "only Russia's senior-most officials could have authorized these activities," repeating the words from an October U.S. intelligence assessment.
Obama's deputy national security adviser, Ben Rhodes, connected the dots further, saying it was Putin who was responsible for the Russian government's actions.
"I don't think things happen in the Russian government of this consequence without Vladimir Putin knowing about it," Rhodes said on MSNBC.
Trump fired back Thursday evening, calling Earnest "foolish" during a "Thank You" rally in Hershey, Pa.
"I don't know if he's talking to President Obama," Trump said of Earnest, without addressing the hacking controversy directly. "You know, having the right press secretary's so important. Because he is so bad, the way he delivers a message ... The president is very positive, but he's not positive. And I mean, maybe he's getting his orders from somebody else? Does that make sense? Could that be possible?"
The White House officials' comments only escalate the feud between Trump allies and Democratic figures over Russia's alleged hacking.
U.S. intelligence officials have linked the hacking to Russia's intelligence agency and its military intelligence division. Moscow has denied all accusations that it orchestrated the hacking of email accounts of Democratic Party officials and Clinton's campaign chief, John Podesta, and then leaked them to the anti-secrecy website WikiLeaks.
But lawmakers seeking a briefing this week on potential conflicts in the record about Russia's role were rebuffed, fueling GOP concerns on Capitol Hill about what the intelligence says.
U.S. officials have not contended that Trump would have been defeated by Clinton on Nov. 8 if not for Russia's assistance. Nor has there has been any indication of tampering with the vote-counting.

The Kremlin flatly rejected the claim of Putin's involvement, with Putin spokesman Dmitry Peskov dismissing it Thursday as "laughable nonsense."

The dispute over Russia's role is fueling an increasingly public spat between Obama's White House and Trump's team that is threatening to spoil the delicate truce that Obama and Trump have forged since Election Day.

Although the president and president-elect have avoided criticizing each other publicly since Trump's win, their aides have been more openly antagonistic. Kellyanne Conway, Trump's senior transition adviser, said it was "breathtaking" and irresponsible that the White House had suggested Trump knew Russia was interfering to help his campaign.
Trump and his supporters insist the Democrats' outrage about Russia is really an attempt to undermine the validity of his election victory. Rep. Peter King, R-N.Y., a Trump ally, called it "disgraceful" as he spoke to reporters amassed in Trump Tower after meeting with the president-elect.

"Right now, certain elements of the media, certain elements of the intelligence community and certain politicians are really doing the work of the Russians," King said.
There has been no specific, persuasive evidence shared publicly about the extent of Putin's role or knowledge of the hackings. That lack of proof undercuts Democrats' strategy to portray Putin's involvement as irrefutable evidence of a directed Russian government plot to undermine America's democratic system.

IRS Cartoons

‘Luxury’ living: Senate report finds IRS workers racked up huge travel tab

EXCLUSIVE: The IRS spent more than $1.4 million on long-term travel for just 27 employees in fiscal 2015, including on high-end car services and luxury apartment and hotel stays, a Senate report has found -- with one lawmaker blasting “woefully insufficient efforts” to reduce expenses at the agency.
The Senate Finance Committee report, obtained by FoxNews.com, found that while federal guidelines say employees must exercise the same care in incurring expenses as a “prudent person” traveling on personal business, IRS employees who traveled 125 business days or more racked up an average cost of over $52,000 a year.
The committee found more than half of the long-term travel time was spent in the Washington D.C., area. It found cases of five employees living in hotels, primarily in the capital, for months at a time without looking for lower-cost housing or having their per diem rates reduced as outlined in federal guidelines.
Further, the committee found “the IRS does not routinely or actively seek to reduce per diem rates for employees on long-term travel.”
The generous per diem rate allows employees traveling to Washington to spend up to $7,099 a month on lodging alone, despite the committee seeing “virtually no circumstance” in which an employee would need to spend that much on a month-to-month basis.
And yet some employees pushed the limits on the taxpayers' dime.
The report cites the case of one employee spending more than five months at the Grand Hyatt in Washington, racking up a $38,799 tab, while another stayed in a number of Washington hotels including the Ritz Carlton – Pentagon City in Northern Virginia to the tune of $72,544 for the fiscal year.
One employee rented a $1.07 million, four-bedroom townhouse in Arlington, Va., for a year, costing taxpayers $4,950 a month, while another stayed in a luxury apartment building in downtown Chicago overlooking the Chicago River at a price of $4,605 a month.
Also, despite the IRS’ own guidance to the contrary, the committee found evidence that some IRS executives are not geographically located where their primary job duties are, adding to the travel expenses.
“The number of employees who travel more than half of the year and the cost at which they do so is simply unacceptable,” the report said.
The report noted that such long-term travel led to other expenses also deemed excessive, including an employee charging $100 for black car service from Manhattan to LaGuardia Airport, and another employee charging the IRS for cab rides to dinner and the grocery store.
Committee Chair Orrin Hatch, R-Utah, in a letter to IRS Commissioner John Koskinen, called the results of the report “frustrating,” noting what he called the “lack of effort” by employees to be prudent, which he said could be a direct violation of federal travel regulations.
“And yet, Committee staff saw example after example of routine Amtrak Acela trips, black car service, and luxury apartment rentals when reviewing IRS employee travel vouchers,” Hatch said. “Furthermore, the IRS made woefully insufficient efforts to reduce expenses in ways that would still allow employees to travel comfortably.”
The committee recommended the IRS significantly reduce per diem rates for long-term travel, as outlined by federal guidelines, and noted that the agency could see “significant cost savings among all employees who travel for significant amounts of time during the year” if it followed its own guidelines.
The IRS did not immediately return a request for comment from FoxNews.com.

Iran sanctions renewal becomes law even without Obama signature

WASHINGTON –  In an unexpected reversal, President Barack Obama declined to sign a renewal of sanctions against Iran but let it become law anyway, in an apparent bid to alleviate Tehran's concerns that the U.S. is backsliding on the nuclear deal.
Although the White House had said that Obama was expected to sign the 10-year-renewal, the midnight deadline came and went Thursday with no approval from the president. White House press secretary Josh Earnest said Obama had decided to let it become law without his signature.
"The administration has, and continues to use, all of the necessary authorities to waive the relevant sanctions" lifted as part of the nuclear deal, Earnest said in a statement.

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Under the Constitution, the president has 10 days after Congress passes a bill to sign it, veto it or let it become law with no signature if Congress is still in session. Although lawmakers have returned home for the holidays, Congress technically has not adjourned and is holding "pro-forma" sessions this week.
Though Obama's move doesn't prevent the sanctions renewal from entering force, it marked a symbolic attempt by the president to demonstrate disapproval for lawmakers' actions. The White House has argued that the renewal is unnecessary because the administration retains other authorities to punish Iran, if necessary, and has expressed concern that the renewal may undermine the nuclear deal.

More on this...

• Iran, angered by US sanctions bill, considers atomic boats

• Iran: US threatens nuclear deal, warns of 'strong reaction'

Iran's president had vowed to respond if the sanctions were renewed, arguing they violate the nuclear deal between Iran and world powers, which eased sanctions in exchange for curbs on Iran's nuclear program. On Tuesday, Iran's president ordered up plans to build nuclear-powered ships and to formally accuse the U.S. of violating the terms of the deal.
The Obama administration stressed that Iran would be unaffected by the renewal, as long as it continues honoring the nuclear deal. Secretary of State John Kerry said he'd told his Iranian counterpart that "to ensure maximum clarity," he'd issued new, redundant waivers exempting Iran from sanctions lifted under the deal.
"Extension of the Iran Sanctions Act does not affect in any way the scope of the sanctions relief Iran is receiving under the deal or the ability of companies to do business in Iran consistent with the JCPOA," Kerry said, using an acronym for the nuclear deal.
President-elect Donald Trump has been sharply critical of the nuclear deal and has threatened to try to renegotiate it, but has been vague about whether he'd pull the U.S. out of it.

Stein spent nearly $1 million of recount funds on consultants, staff, admin expenses

Green Party nominee Jill Stein spent nearly $1 million of the funds she raised for recount efforts in three battleground states on consultants, staff, and administrative costs.
Stein, who pushed for recounts in Wisconsin, Pennsylvania, and Michigan, raised $7.3 million for the efforts and said that “every dollar” went towards costs associated with the recount efforts. The group, which claimed costs associated with the recounts hit $7.4 million, upped their fundraising goal four times since first calling for recounts.
According to a breakdown of expenses contained on the fund’s website, Stein paid nearly $1 million on consultants and staff. The staff payroll tallied $212,500 while consultants pocketed $364,000. Administrative expenses, such as travel costs, ran $353,618. In all, $930,118 was used to pay consultants, staff, and administrative costs.
 Filing fees in the three states cost $4,488,939, the group says. Wisconsin filing fees totaled $3,499,689, Pennsylvania fees were $16,000, and Michigan filing fees ran the group $973,250. Legal expenses cost the group $1.6 million.

Dems scramble to prevent their own from defecting to Trump

Senate Democrats have been scrambling to prevent two of their members from taking a post in the Trump administration, trying to prevent any defection that could bolster Republicans’ control of the chamber.
They recently launched a “full court press” to retain Sens. Joe Manchin, of West Virginia, and Heidi Heitkamp, of North Dakota, after each met with Republican President-elect Donald Trump, one senior Senate Democrat told Fox News.
Manchin now appears less likely to bolt -- after saying he wants to remain in the Senate and being passed over for Energy secretary -- which puts the focus squarely on Heitkamp.
The first-term lawmaker, who faces reelection in 2018 in a conservative state, still appears in the running for the Agriculture secretary post.
A Trump transition team source told Fox News the president-elect “really wants her” for the job.
Either departure would poses short- and long-term challenges for Senate Democrats.
If Heitkamp left, her seat could remain empty for months, meaning Democrats would have one less vote to stop any of Trump’s first-100-day initiatives, which could including getting a Supreme Court nominee confirmed in the Senate or passing a tax overhaul.
The North Dakota legislature last year changed its laws so that a Senate seat remains vacant, without a place-holder senator, until it is filled in a special-election vote held within 95 days of a resignation.
In the longer-term, Senate Republicans would have a solid chance of winning Heitkamp’s seat in a special election and adding to their 52-48 member majority.
In West Virginia, the governor would under the law appoint a temporary replacement and hold a special election within 48 to 120 days to fill the seat for the remainder of the term which ends in 2017.
West Virginia’s Democratic governor likely would appoint a Democrat to fill the seat in the interim.
As a Democrat in an increasingly conservative state, Manchin initially had appeared at risk of leaving.
And his words and actions in recent weeks -- criticizing Senate Democratic leader Harry Reid and risking a government shutdown over coal miner benefits -- suggested a willingness to depart the Senate, or at least prepare for a tough reelection fight in 2018 in a state that went for Trump over Democrat Hillary Clinton 68-26 percent.
Manchin last month chastised Reid for calling Trump after his White House win a “sexual predator,” saying Reid’s remarks were an “absolute embarrassment” and “needlessly … tearing this country apart.”
Reid recently told CNN that Manchin’s comments were “his way to get out the door.”
Democrats, in an apparent effort to solidify their caucus, recently made Manchin part of their leadership team. And Trump’s official decision Wednesday to pick former Texas Republican Gov. Rick Perry for Energy secretary, for which Machin was being considered, settled the speculation for now.
“I was humbled to be considered for the Secretary of Energy position,” Manchin said in a statement. “I have dedicated my life in public service to doing what is best for the people of West Virginia. Right now, I believe that I can best serve my state of West Virginia in the United States Senate.”
Heitkamp and Manchin are among 10 Democrats in the chamber seeking reelection in 2018.
Trump has only three remaining Cabinet posts to fill -- Agriculture, Interior and Veterans Affairs.

Iran Cartoons

GOP reps vow to fight Boeing-Iran deal, as air giant makes Trump-friendly pitch

Congressional Republicans are vowing to fight a $16.6 billion deal between Boeing and Iran after the air giant announced Sunday it had agreed to sell 80 aircraft to Iran Air -- and cast the deal in Trumpian terms as good for American jobs.
GOP lawmakers had criticized the Chicago-based company when the deal was still being worked out in June. Reps. Peter Roskam, R-Ill., and Jeb Hensarling, R-Texas, fired off a letter to Boeing CEO Dennis Muilenburg at the time warning the deal could weaponize the regime.
“The Islamic Revolutionary Guard Corps (IRGC) systematically uses commercial aircraft to transport troops, weapons, military-related parts, rockets and missiles to hostile actors around the world,” they wrote. “... These terrorist groups and rogue regimes have American blood on their hands. Your potential customers do as well.”
In the wake of Sunday’s announcement, the lawmakers showed no sign of budging, with a senior aide to Roskam telling FoxNews.com he intends to “aggressively fight” the deal in the next Congress, and expressing hope that the political winds would shift in their favor once President-elect Donald Trump takes office.
“The incoming appointees at Treasury and State will no longer report to a White House willing to bend over backward and ignore national security concerns to keep Iran from walking away from the nuclear deal,” the aide said.
Hensarling, meanwhile, called the deal “disappointing to say the least” and placed blame at the feet of President Obama.
“The President (Obama) wants us to sell planes not just to this dangerous regime, but to an airline that his own Treasury Department sanctioned in 2011. President Obama even wants U.S. banks to draw on American citizens' deposits to finance Iran, a regime that Treasury calls ‘a jurisdiction of primary money laundering concern,'” Hensarling said.
“If a U.S. financial institution attempts to bankroll Iran in the waning days of the Obama administration, it will have to answer to Congress,” he warned.
Hensarling is chairman of the House Financial Services Committee. Roskam leads the Ways and Means Subcommittee on Oversight.
The House already has passed measures opposing the sale, including a bill in November prohibiting the Treasury Department from financing aircraft sales to Iran. That bill has not yet gone to the Senate for consideration, and would almost certainly be vetoed by President Obama if it passed.
However, it is not clear what President-elect Trump would do with such legislation, and he has not yet commented on the Iran Air deal. While Trump has been a critic of the Iran nuclear agreement, he also has been an advocate for American manufacturing jobs, reaching out to both Ford and Carrier among other companies in an effort to keep jobs in the country.
In its announcement, Boeing framed the deal as one that would support American jobs, possibly as a way to sway the president-elect on the issue and stave off congressional dissent.
“Today's agreement will support tens of thousands of U.S. jobs directly associated with production and delivery of the 777-300ERs and nearly 100,000 U.S. jobs in the U.S. aerospace value stream for the full course of deliveries,” the company said, before noting it currently supports more than 1.5 million American jobs.
Other lawmakers backed the deal on the basis it would create jobs for American workers.
“This deal is good news for Washington state and will help support the thousands of good-paying jobs in my district that rely on trade and Boeing’s ability to compete in the global marketplace.” Rep. Rick Larsen, D-Wash., said in a statement.
Trump put Boeing on its toes earlier this month when he tweeted that he wants to cancel an order with the company for a new Air Force One, saying the costs are “out of control.”
The latest Boeing deal was made possible after trade sanctions on Iran were removed in January as part of the nuclear accord. The first planes are set to be delivered to Iran in 2018.