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This story was originally published on Wed May 15, 2013 5:01 PM EDT

There’s never been much love lost between Attorney General Eric Holder and Republican Rep. Darrell Issa of California – who heads the House Oversight and Government Reform Committee.

The tension between the two men was on full display Wednesday, when Holder flatly labeled Issa’s conduct during a hearing of the House Judiciary Committee “shameful.”

The charge came after an aggressive exchange about Labor Secretary nominee Tom Perez, whom Republicans say acted inappropriately during his time at the Justice Department.

“I am not going to stop talking now," Holder countered as Issa objected to the attorney general’s attempts to interject.

"It is inappropriate and too consistent with the way in which you conduct yourself as a member of Congress," Holder said. "It is unacceptable. It is shameful."

This story was originally published on Wed May 15, 2013 3:33 PM EDT

Under fire for secret subpoenas of Associated Press phone records, the Obama administration has asked a key senator to revive legislation that would enhance protections for journalists trying to protect their sources.

A White House official called Sen. Chuck Schumer, D-N.Y., on Wednesday to ask him to reintroduce the media shield law that he supported in 2009 but that never received a vote on the Senate floor. The push comes in the wake of Department of Justice subpoenas of a broad swath of AP's phone records, including several main numbers used by more than 100 reporters.

"This kind of law would balance national security needs against the public's right to the free flow of information. At minimum, our bill would have ensured a fairer, more deliberate process in this case," Schumer said in a statement.

The shield law would insulate journalists from fines and prison time when they refuse to reveal their sources in court cases. It allows journalists to appeal to a federal judge when they don't want to give up their sources to subpoena -- and let the judge decide whether public interest in the journalist's story outweighs the interests of the government.

But the bill also says that in some national security matters, this "balancing test" wouldn't be applied.

That's in part because of White House concerns about the law. In 2009, the White House objected to the shield law's use in national security situations -- like the one the AP believes triggered the secret subpoenas. The wire service reported in 2012 that a double agent had foiled a bomb plot in Yemen.

Attorney General Eric Holder on Tuesday called that leak "a very, very serious leak."

"This is among the top two or three serious leaks that I’ve ever seen," he said.

House Republicans debuted a new line of attack against Democrats on Wednesday, calling the GOP the party of "accountability and trust in government" in the wake of several recent controversies involving the Obama administration.

Armed with new uproars involving the IRS's admission that it had targeted conservative advocacy groups, the release of more emails involving the administration's response to last year's terrorist attack in Benghazi and the Justice Department's having monitored the phone record of AP journalists, the House GOP leadership said that they would emphasize transparency in the coming weeks, and hope to make it a central issue in the 2014 midterm elections.

"The public is beginning to raise questions in their mind as to is this government accountable? We are going to work here in the House to restore the trust in government," said House Majority Leader Eric Cantor, R-Va.

House GOP Conference Chairwoman Cathy McMorris Rodgers, Wash., added: "What the American people expect from their government is accountability."

The new line of attack comes amid a terrible, five-day stretch for the White House. Republican aides told NBC News that the trifecta of controversies had breathed new life into the GOP conference, which recently had been riven my internal disagreements, especially as most legislative action plays out in the Democratic-held Senate.

Democrats, of course, took issue with Republicans' efforts to seize the mantle of transparency.

"Members of both parties want to exercise the appropriate oversight role of Congress into these matters, but the idea that this Republican leadership has been interested in doing anything to the federal government other than destroying it, would be a thorough rewrite of the last two years," said Drew Hammil, a spokesman for House Minority Leader Nancy Pelosi, D-Calif.

Republicans would have another opportunity to drive their new message on Wednesday afternoon, when Attorney General Eric Holder appears for a House committee for a general oversight hearing. There, he'll he’ll be peppered with questions about why the Justice Department went after reporter’s phone records. And next Wednesday, the House Oversight and Government Reform Committee will hold a hearing on the political targeting by the IRS. Aides say also to expect more hearings related to Benghazi throughout the year.

For his part, House Speaker John Boehner, R-Ohio, stressed the party would still push the economy as an issue but would also uphold their “responsibility under the Constitution to provide oversight over the Executive Branch."

As the White House faces a trio of burgeoning controversies that have put the administration and agencies throughout Washington on the defensive, Attorney General General Eric Holder reiterated before a House panel Wednesday that he was not involved in the Justice Department's decision to seize two months of phone records from Associated Press journalists as a part of a leak probe.

LIVESTREAM: House Judiciary Committee hearing

The Justice Department has also opened an investigation into revelations that the Internal Revenue Service targeted conservative groups applying for tax-exempt status for additional scrutiny. In testimony before the House Judiciary Committee, Holder said that prosecutors are looking at several different statutes in the investigation of those actions. 

He said those potential violations could include an IRS statute that requires employees to do their jobs without favoritism, civil rights laws, the Hatch Act that restricts a federal employee's political activities, or the law against making false statements to investigators.

“The facts will take us wherever they take us,” he added, promising a nationwide investigation. 

Asked about the leak probe, Holder confirmed that Deputy Attorney General James Cole authorized the subpoenas on AP reporters' phone records after Holder recused himself from the matter.

Brendan Smialowski / AFP - Getty Images

Attorney General Eric Holder is sworn in during a hearing of the House Judiciary Committee on Capitol Hill May 15, 2013 in Washington, DC.

Holder first announced Tuesday that he had recused himself from the AP leak probe because he had previously been questioned by the FBI about the intelligence breach.

He added Wednesday that he also turned over his own phone records as a part of that questioning. 

He told the committee that he recused himself because he was one of the “relatively limited number of people” who had first-hand knowledge of the leaked information – and also because he had more regular communication with reporters than Cole.

“I was a possessor of the information that was ultimately leaked,” he added. “And the question then is, who of those people who possessed that information – which was a relatively limited number of people  within the Justice Department – who of those people actually spoke in an inappropriate way to the Associated Press,” he added.

In response to questions, he said that he did not know the date of his recusal for certain and that there was not a written record of it.  He also said that the White House would not have been informed of the recusal. 

Holder has been widely criticized by Republicans for DOJ's handling of the matter, scrutiny Holder noted at the beginning of his remarks.

"The head of the [Republican National Committee] called for my resignation in spite of the fact that I was not the person who was involved in that decision," he said.

The routine Justice Department oversight hearing became a hot ticket after two scandals – the DOJ probe and the revelations about the IRS – erupted since the end of last week. The Obama administration also continues to be dogged by lingering questions over its administration’s response to the Sept. 11, 2012 attack on a diplomatic outpost in Benghazi.

In opening remarks he was set to deliver before the House Judiciary Committee, Holder says the Justice Department “has taken critical steps to prevent and combat violent crime, to confront national security threats, to ensure the civil rights of everyone in this country, and to safeguard the most vulnerable members of our society.”

NBC's Pete Williams contributed to this report. 

This story was originally published on Wed May 15, 2013 1:07 PM EDT

The top elected Republican in Congress says he's looking for prison sentences for those associated with IRS efforts to single out conservative advocacy groups applying for tax-exempt status.

House Speaker John Boehner, R-Ohio, stoked conservative ire toward the Obama administration on Wednesday in the wake of an IRS inspector general report chastising agency employees for subjecting conservative and Tea Party groups to additional scrutiny.

"My question isn't about who's going to resign," Boehner said at a weekly press conference on Capitol Hill. "My question's about who's going to jail."

While the IRS report suggested that the employees' actions were not prompted by any outside influence, Republicans have nonetheless seized on the controversy, and openly suggested that the administration was deliberately targeting conservatives through the IRS.

"“Basically all we’ve gotten from the IRS, on the other hand, is an attempt to scapegoat some folks out in Cincinnati and a laughable attempt to move past this whole issue with a ridiculous op-ed claiming ‘mistakes were made,'" Senate Minority Leader Mitch McConnell, R-Ky., said Wednesday morning on the Senate floor.

McConnell and the other 44 Senate Republicans all signed a letter to the administration demanding that IRS witnesses and materials be fully made available to congressional investigators.

"There are laws in place to prevent this type of abuse," Boehner said. "Someone made a conscious decision to harass and hold up these requests for tax exempt status. We need to know who they are, and whether they violated the law. Clearly, somebody violated the law."

This story was originally published on Wed May 15, 2013 10:34 AM EDT

Controversies sidetrack the White House, Congress, and the press… The danger for the White House: This could imperil Obama’s second-term legislative agenda… But there’s also a danger in over-analyzing the past seven days… Krauthammer’s warning to Republicans… Obama, Treasury respond to IG report on IRS… On that Ben Rhodes email… Mark Sanford’s first day back on Hill… And Planned Parenthood hits Cuccinelli.

Kevin Lamarque / Reuters

White House Press Secretary Jay Carney pauses while speaking to reporters in the briefing room of the White House May 14, 2013.

*** Sidetracked: The Benghazi/IRS/AP stories over the past week have had this additional impact for the Obama White House: They’ve sidetracked the other issues that President Obama has wanted to discuss. (Frankly, they’ve also sidetracked us in media, too.)  Last Thursday, Obama was in Austin, TX to talk about the economy; on Friday, he was selling implementation of his health-care law; on Monday night, the president traveled to fundraisers in New York, where expressed his desire to still work with Republicans (even as he raised money for Democrats for the ’14 midterms); and today at 11:00 am ET, he delivers remarks at a national peace officers memorial. Oh, there was another piece of news from yesterday the White House would have enjoyed to tout -- the budget deficit, according to the Congressional Budget Office, is estimated to fall to its lowest level since 2008. But what are the stories still being discussed in Washington today? The IRS targeting conservative-sounding groups. The Justice Department getting the AP’s phone records in a national-security leak investigation. And the Obama administration revising those Benghazi talking points.

*** The danger for the White House: NBC’s Kasie Hunt also notes that the controversies have sidetracked Congress, too. For instance, a weeks-long markup of a major Senate immigration bill received little attention yesterday; Attorney General Eric Holder testifies at a 1:00 pm ET oversight hearing, which will likely focus on the department's seizure of AP phone records and other thorny issues. Moreover, the top Republican on the Senate Finance Committee (Orrin Hatch) wants the IRS investigation to take priority over dealing with tax reform. And get this: Fully a third of House committees are now focused on investigating the Obama administration. As NBC’s Mike O’Brien writes, all of this COULD imperil the Obama White House’s second-term legislative agenda. “The fact of the matter is House and Senate Republicans have done very little legislating so far this year. This certainly isn't going to help things,” Jim Manley, a former senior Democratic Senate aide, told O’Brien. “Now they're going to feast on investigation after investigation for the rest of the year, while throwing red meat to their base and forgetting about the divisions in their own caucus.”

*** A temporary distraction or a long-term one? So is this a temporary distraction or the beginning of the end of Obama’s second term? Remember the warning we issued months ago about second terms. Legislatively, in the best of times, they last about 18 months. The last four presidents to win second terms saw their ability to drive a legislative agenda get stopped in its tracks in 18 months or less. For Nixon, it was about six months before Washington gave up; Reagan got tax reform done and then Iran-Contra came; Clinton got a year until Monica broke in Jan. 98; and George W. Bush’s second term legislative push ended before Labor Day of that first year

*** Yet the danger in over-analyzing: Despite all the controversies facing the administration -- and how they have sidetracked its agenda -- there is a danger in over-analyzing what has occurred in the past week. After all, the White House has faced even more trying times over the past four and a half years (the U.S. economy in free-fall, the BP spill, the debt-ceiling debacle of 2011), and all of those stories now seem like distant memories. And while some are saying that Washington has turned on Obama, we have this question: When has Establishment Washington ever been a fan of how Team Obama has responded to crises and controversies? (The current issues, and the White House’s stubbornly passive way of handling them, are serving as an excuse for the president’s frenemies to pile on and re-air old grievances, like he’s terrible at personal outreach or he’s or why the person who promised to “turn the page” can’t change Washington.) Politico’s Jonathan Martin puts it well: Will all of these investigations and controversies result in a 2010 (when the public worried about the federal government’s excesses, albeit in a time of 9.0%-plus unemployment) or in a 1998 (when the GOP faced backlash for the Lewinsky investigation)? Right now, we don’t have an answer, but you can begin making a case that everything out there (talk of scandal and investigations, the Dow reaching new highs, the budget deficit declining) looks a whole lot like the 1990s.

*** Krauthammer’s warning to Republicans: Conservative columnist Charles Krauthammer warns Republicans not to overplay their hand. “The one advice I give to Republicans is stop calling it a huge scandal. Stop saying it's a Watergate. Stop saying it's Iran Contra. Let the facts speak for themselves. Have a special committee, a select committee. The facts will speak for themselves. Pile them on but don't exaggerate, don't run ads about Hillary. It feed the narrative for the other side that it's only a political event. It's not. Just be quiet and present the facts.”

*** Obama, Treasury respond to IG report on IRS: On “TODAY” this morning, NBC’s Lisa Myers reported on inspector general’s report into the IRS, and the IG concluded that the agency was targeting conservative-sounding groups in their application for tax-exempt status, that the IRS unit responsible was a mess, and that some employees were actually ignorant about tax laws. But the IG also concluded that the targeting didn’t originate OUTSIDE the IRS. “We asked the Acting Commissioner, Tax Exempt and Government Entities Division; the Director, EO; and Determinations Unit personnel if the criteria were influenced by any individual or organization outside the IRS. All of these officials stated that the criteria were not influenced by any individual or organization outside the IRS,” the report said. President Obama released a statement after the report’s release: “[T]he report's findings are intolerable and inexcusable… I've directed Secretary Lew to hold those responsible for these failures accountable, and to make sure that each of the Inspector General's recommendations are implemented quickly, so that such conduct never happens again.” And Treasury Secretary Jack Lew responded with his own statement: “I strongly agree with the President about the need for accountability at the IRS, and I expect the IRS to implement the Inspector General's recommendations without delay.” That said, the IG report will do NOTHING to satisfy members of Congress who still have lots of questions.

*** On that Ben Rhodes email: Regarding those Benghazi talking points, First Read has now seen the email from Deputy National Security Adviser Ben Rhodes, and it appears to differ from the earlier portrayal that the Obama White House wanted the State Department’s concerns to be addressed. In fact, what Rhodes seemed to want is for all the information to be as accurate as possible. "There is a ton of wrong information getting out into the public domain from Congress and people who are not particularly informed. Insofar as we have firmed up assessments that don't compromise intel or the investigation, we need to have the capability to correct the record, as there are significant policy and messaging ramifications that would flow from a hardened mis-impression,” he said. But it’s important to note that this Rhodes email, via a government source, is a SELECTIVE leak -- just as the earlier portrayal of the email chain was a SELECTIVE leak. This only puts pressure on the White House to release ALL of these emails. You can’t start showing some of them without showing all of them.

*** Sanford’s first day back on Capitol Hill: In other news, “Rep.-elect Mark Sanford (R-S.C.) will be sworn in Wednesday as the new representative of South Carolina’s 1st district, his spokesman announced Tuesday,” the Washington Post writes. “In the House chamber, Sanford will be sworn in approximately 5:15 p.m. Wednesday, spokesman Joel Sawyer said. The Republican will rejoin Congress a week after he defeated Democratic nominee Elizabeth Colbert Busch by nine points, even as he was barraged by Democratic outside spending.”

*** Planned Parenthood hits Cuccinelli: In Virginia’s gubernatorial contest, Planned Parenthood Action Fund is launching a web advertisement hitting Ken Cuccinelli on social issues in advance of this weekend’s Virginia GOP convention in Richmond. “That Ken Cuccinelli -- he’s running for governor, and he keeps showing up where he doesn’t belong. He’s trying to put himself in the middle of our most personal decision,” the ad goes. He sponsored legislation to end funding for Planned Parenthood, and Ken Cuccinelli wants to make abortion illegal, even in cases of rape, incest, or when the health of the woman is in danger.” The web ad, which targets women voters, will run through this weekend.

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*** Wednesday’s “Jansing & Co.” line-up: Guests include Rep. Karen Bass/(D) House Judiciary Committee on hearing with Eric Holder Today, Dana Milbank/The Washington Post and Matt Welch/Reason Magazine on DOJ and IRS controversies, Debbie Hersman/NTSB Chair and Matt Wald/The New York Times on NTSB recommendation to lower drunk driving limit from .08 to .05, Chris Kofinis and Danny Vargas on White House management style and Rep. Niki Tsongas/(D) Massachusetts on a new military sex assault arrest

*** Wednesday’s “MSNBC Live with Thomas Roberts” line-up: MSNBC’s Thomas Roberts interviews Sen. Richard Blumenthal (D-CT) and RNC Communications Director Sean Spicer on the scandals rocking the White House.  Rep. Jackie Speier (D-CA) joins to discuss what needs to be done about sex assaults in the military .   And today’s Agenda Panel includes: Salon.com’s Irin Carmon, PoliticalWire Creator Taegan Goddard, and ThinkProgress Editor-in-Chief Judd Legum.

*** Wednesday’s “Andrea Mitchell Reports” line-up: Chris Cillizza, filling in for Andrea Mitchell, interviews Ambassador Dennis Ross, Rep. Chris Van Hollen (D-MD), Tea Party Patriots Co-founder and CEO Jenny Beth Martin, the Washington Post’s Ruth Marcus, National Journal’s Chris Frates, NBC’s Pete Williams and Kelly O’Donnell and Andrea interviews Dr. Larry Norton from Memorial Sloan Kettering Cancer Center.

*** Wednesday’s “News Nation with Tamron Hall” line-up: MSNBC’s Tamron Hall interviewsformer Gov. Ed Rendell, Politico’s Anna Palmer, and Las Vegas Attorney Michael Cristalli on OJ.

AP: “President Barack Obama seemed to lose control of his second-term agenda even before he was sworn in, when a school massacre led him to lift gun control to the fore. Now, as he tries to pivot from a stinging defeat on that issue and push forward on others, the president finds himself rocked by multiple controversies that are demoralizing his allies, emboldening his political foes and posing huge distractions for all.”

The Hill: “President Obama’s former press secretary Robert Gibbs on Tuesday criticized his former boss for what he called a late and ‘exceedingly passive’ response to the controversy surrounding the Internal Revenue Service’s (IRS) targeting of conservative groups.”

Gibbs said on MSNBC’s Andrea Mitchell Reports: “The problem is this - the tenor of this briefing would be different if the president had spoken about this on Saturday or Sunday and not on Monday. And if the president had spoken on Monday, less about losing patience on this, which is what I do with my 9-year-old, and used far more vivid language.”

To that point, Dana Milbank labels Obama the “uninterested president.”

USA Today reports that no Tea Party group was approved for 27 months, while dozens of progressive-leaning groups were approved.

It also writes: “An inspector general report into the Internal Revenue Service's heightened scrutiny of Tea Party groups blames ‘ineffective management’ at the agency, but does not address whether the policy was politically motivated.”

But it did say this: “We asked the Acting Commissioner, Tax Exempt and Government Entities Division; the Director, EO; and Determinations Unit personnel if the criteria were influenced by any individual or organization outside the IRS. All of these officials stated that the criteria were not influenced by any individual or organization outside the IRS. Instead, the Determinations Unit developed and implemented inappropriate criteria in part due to insufficient oversight provided by management. Specifically, only first-line management approved references to the Tea Party in the BOLO [‘be on the lookout’] listing criteria before it was implemented. As a result, inappropriate criteria remained in place for more than 18 months. Determinations Unit employees also did not consider the public perception of using politically sensitive criteria when identifying these cases. Lastly, the criteria developed showed a lack of knowledge in the Determinations Unit of what activities are allowed by I.R.C. § 501(c)(3) and I.R.C. § 501(c)(4) organizations.”

AP: “Attorney General Eric Holder on Tuesday defended the Justice Department’s secret examination of Associated Press phone records though he declared he had played no role in it, saying it was justified as part of an investigation into a grave national security leak.”

USA Today: “Speaking to reporters on Tuesday, Holder said he made the decision to recuse himself in the Justice Department's investigation involving a leak of classified information to the AP, because he was interviewed by the FBI in connection with the probe and had ‘frequent contact with the media.’”

National Journal explores the case for the Justice Department’s investigation.

AP: “The Justice Department is investigating the Internal Revenue Service for targeting tea party groups for extra scrutiny when they applied for tax exempt status, Attorney General Eric Holder said Tuesday, widening a probe that includes investigations by three committees in Congress.”

“President Obama is looking (hoping) to get things back to normal,” USA Today writes. “With his administration buffeted by allegations over the IRS, Benghazi, and the seizure of journalists' phone records, Obama on Wednesday performs a more traditional presidential duty: Speaking to police officers. Obama delivers remarks at the annual National Peace Officers Memorial Service, which the White House describes as ‘an annual ceremony honoring law enforcement who were killed in the line of duty in the previous year.’”

USA Today: “The Pentagon announced Tuesday that most of its civilian workforce will be required to take 11 unpaid leave days this year as part of an effort to save money in the face of mandatory budget cuts.”

Charles Krauthammer warns Republicans not to overplay their hand and “exaggerate.” Don’t compare it to Nixon and other scandals. Let the facts speak for themselves, he said. 

“The most potent illustration that Republicans have shifted their attitudes on immigration came Tuesday morning when all GOP members of the Senate Judiciary Committee rejected an amendment from Sen. Jeff Sessions, R-Ala., to severely limit the number of legal immigrants allowed into the country,” National Journal writes. “The committee’s overwhelming ‘No’ vote shows that the battle for Republicans’ souls on immigration has shifted away from groups that want to reduce the influx of foreigners, like the Heritage Foundation, NumbersUSA, and Fairness for American Immigration Reform (FAIR), toward free-market groups that applaud increased immigration, such as Americans for Tax Reform and the CATO Institute.”

By the way, Mark Sanford will be sworn in at 5:15 pm today.

Republicans will again try to repeal ObamaCare today, for what NBC’s Frank Thorp reports is the 38^th time.

NEW JERSEY: Cory Booker won’t walk to the Democratic nomination for Senate. Rep. Frank Pallone is running and slammed Booker yesterday. He accused him of “shirking his responsibilities” as mayor of Newark “accusing the city of failing to fund its obligations to the Hyacinth AIDS Foundation, a non-profit based in New Brunswick that helps house and treat patients with HIV/AIDS. Booker administration officials said they have not received the May 10 letter which was obtained by The Star-Ledger, but said the funding process is following its normal course.”

NEW YORK: The New York Daily News reports that former Rep. Anthony Weiner “is preparing to jump into the race, possibly as soon as next week. …  At least two people close to Weiner have been contacting political operatives to gauge if they would go to battle for him.”

President George W. Bush spoke to Charlie Rose: “I have no desire to spend my post-presidency trying to enhance my standing. … I want to be productive. I want to make a difference in the world and I want to do so without undermining our current president and/or engaging in political debate. Cause if I were out trying to defend myself I’d be right back in the swamp, and I don’t want to be in the swamp.”