Episode Transcript
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Speaker 1 (00:00):
Can't find a M six forty. You're listening to the
John Cobel podcast on the iHeartRadio app.
Speaker 2 (00:06):
Good to have you along with us.
Speaker 3 (00:07):
Day seventeen of the federal government shutdown, and we have
gone through pay periods for a.
Speaker 2 (00:15):
Lot of different categories of employees.
Speaker 3 (00:18):
There's active duty pay, there's federal workers, there's congressional staff,
and some of them have different pay periods. But I
think at this point everybody has missed at least one
paycheck if they are working but still not getting paid.
The Transportation Safety Administration is feeling the pain, at least
in Oakland, where they are reporting that they are on
(00:40):
rice and beans abs and news correspondent Alex Stone joins us,
kind of dramatic, but if you're living paycheck to paycheck,
I suppose there's no money to buy grocery.
Speaker 2 (00:50):
Yeah, and you know, lou not making a ton.
Speaker 1 (00:52):
I think when we looked it up, the typical TSA
officer makes around twenty four bucks an hour, and living
in California, that's tough to live off of. And then
you take away the paycheck and they're hurting you. We've
talked as well about the number of FAA and TSA
officers who have already started. But as time goes on,
historically in a government shutdown, that people are going to
(01:14):
begin calling in sick more and more because they can't
pay for food, or pay their bills, or have childcare,
pay for gasoline because they're being told they've got to work,
but they're not getting paid. They missed most of one
paycheck and in a couple of days whole second paycheck
will will not go into their direct deposit or however
they get it. And they just you know, they don't
make a lot of money to begin with. So their
(01:36):
union says, this is hard even when they are getting
paid to make ends meet here in California. But yeah,
yet in not getting a paycheck.
Speaker 4 (01:42):
Families, a lot of our TSO's live paycheck to paycheck,
they have childcare issues. They got to show up at
three o'clock in the morning to fly out the traveling public.
Speaker 1 (01:53):
So now, in their signature blue uniforms at the Oakland Airport,
TSA officers are lining up after their shifts to get
food from a food to bring home and it is
mostly beans, rice, eggs, fresh produce.
Speaker 2 (02:05):
And this is him lining up this week.
Speaker 5 (02:08):
Right here. Make sure you guys have some eggs.
Speaker 6 (02:11):
Thank you, all right, I'm sure.
Speaker 1 (02:13):
To say you have a good day getting a dozen eggs,
and then the heading home after a shift. Reggie Young
runs the Attamita County Community Food Bank. He says, they
know that they need this help and they're helping them out.
Speaker 5 (02:22):
I think one of the big challenges in general with
not being paid is essicially that your whole livelihood is
at risk.
Speaker 1 (02:30):
And he says, look, they know the TSA staff he's
dealing with, buying medicine for family members, gas, pay the rent.
They've got to show up in a clean, non wrinkled
uniform every day. They got to do all that without
a paycheck, And he says, we.
Speaker 5 (02:45):
Want to sure that food is one of the things
that you don't have to worry about.
Speaker 1 (02:47):
Yeah, So after their shifts, they are lining up like
you would in any shelter and getting food to bring
home to the family, and the food bank says lou
that they've got enough food to help out no matter
how long this shutdown goes on. For that they feel
like they're good there, I mean to an extent, but
it won't go on forever. And they feel like they've
the community has come through for them and the TSA staff,
(03:08):
they say, this is really tough. They've got careers, that
they are hard working, that they thought they had a
good government job, and now even though they're going to
work every day, they're then lining up to get donated
food from a food bank. And that hurts the ego
a little bit that they've got to look for help
and that they're asking for help.
Speaker 4 (03:27):
We just don't want this to become a prolonged fight
because we don't know what, we don't know how we're
going to pay to stay in the fight.
Speaker 1 (03:34):
Yeah, and pay to stay in the fight just in
general of gas to get to work and childcare and
all that. But in testimated just in the Bay area
around Oakland, they're seventy eight thousand federal workers and the
food bank is feeding around the three hundred TSA officers
who are there at Oakland. Now. Many of those are
federal workers who don't have to go into the office
right now. If you're the irs here, you don't go
(03:55):
in most likely, and it's still going to be tough
without a paycheck, but you're not commuting and we're a
uniform and having to deal with childcare and all of that.
But those like the FAA and the TSA who have
to go in they say it's it's tough, and they're
seeing it at the Oakland Airport and SFO and no
doubt Lax and John Wayne and Burbank, everybody's dealing with it.
Speaker 2 (04:16):
Yeah, and a lot of the TSA are former military.
Speaker 3 (04:19):
That's the way the federal government works with respect to
offering jobs and prioritizing.
Speaker 2 (04:22):
So it's a fair story. This this is a.
Speaker 3 (04:26):
Shame and these kinds of you know, show voting on
Capitol Hill do affect actual people and their lives. That
has been in the past. Ways for depending on the
bank you used and whoever you had. You know, if
you went with a Navy federal credit or something like that,
banks used to work with you and issue you some
(04:47):
credit if you will. If you had a federal employee,
if you had a federal job and you work for
a period of time, you could demonstrate they'd work for
a certain amount of time. I know that that had
happened with shutdowns in the past. Certainly it's happened with
respect to when the government shut down in Sacramento or
when they would go without a budget in Sacramento staff
would get floated, essentially loans. It doesn't sound like that's
(05:11):
happening this time, or maybe it's just been too long
and since there's no end in sight, maybe banks don't
want to even offer that.
Speaker 2 (05:17):
Well. I think it's a couple of things.
Speaker 1 (05:18):
One is, I'm a member of USAA and you know,
which is typically for military families, And I have seen
as I log into my banking app that it says
that they are giving out they've given out some hundreds
of millions of dollars worth of loans in this moment
during the shutdown. So there is some of that going
on depending on what banks somebody has. But there are
a lot of former military who are in the TSA,
(05:41):
but there are a lot who were not as well,
and so they may have Bank of America or Wells
Fargo or one of those, and it may be a
little bit tougher to get the banks to play with
them in that way if it's just a regular consumer bank.
And again, when you're talking about not making a ton
of money, there may not be a real strong relationship
(06:03):
with a bank, and it may just be kind of
living life and taking care of the kids and then
going home and they may not have gotten that far.
So there are some were saying, look that they need
the help from a food bank.
Speaker 3 (06:15):
Yeah, and when you mentioned look, TSA have to get
there at three in the morning, for if you have
to be on a six o'clock flight. These are the
kinds of stories that I think the average American responds to.
And so the goal is what to make the phones
ring at the Congressional or the Senate office. I guess
it would be to put pressure on everybody's senator to
either sign the CR or reopen the government without with
(06:41):
the concessions that the Democrats are.
Speaker 1 (06:43):
Asking for, or find some way to pay some of
the mandatory workers, the essential workers of TSA, of FAA
law enforcements already getting paid. But we've said it before,
but members of Congress they're getting paid right now. I
imagine if they were lining up to get food now,
typically they have multiple means of income, and then they
would probably do okay during this amount of time. But
(07:05):
imagine if they were in the food line at a
food bank getting beans and rice, and how different that
would be. So, yeah, the ts I'd like to see that. Actually, yeah, that.
Speaker 2 (07:16):
Would not just it would be a good image on TV.
Speaker 1 (07:18):
Yeah, meeting the constituents, but actually needing that food and
going through that line, it would be a different ballgame.
Speaker 2 (07:25):
Alex Stone, thanks so much. I appreciate you always. You
got it. Thanks, Look every great weekend. All right, So
day seventeen and no movement whatsoever. There's no end insight.
Speaker 7 (07:36):
There's no compromise that anyone can remotely see. Yesterday, Senate
Democrats blocked a government funding bill, blocked a full year
defense funding bill, and they rejected an offer from Majority
leader John Food to give them a standalone vote on
extending the Obamacare subsidies.
Speaker 3 (07:52):
All right, So when we come back, let's break that down,
because there is a way out of this. We could
easily get the government reopened tonight or certainly Monday, but
nothing will happen until Monday.
Speaker 2 (08:05):
At least.
Speaker 3 (08:06):
There's no call for the Senate to even be in
town right now. They've sent everybody home. I'll break it
down for you coming up next. Louke Penrose Info John
Cobelt on the John coblt Show on kf I Am
six forty live everywhere on the iHeartRadio app.
Speaker 8 (08:21):
You're listening to John Cobelt on demand. From kfi AM
six forty.
Speaker 3 (08:28):
Louke Penrose info, John Coblt on kfi AM six forty.
Speaker 6 (08:32):
Well, as everybody knows, it's a lot easier to hire
in your own uniform when you're getting a paycheck rather
than when money is out to you and will eventually
be paid to you.
Speaker 2 (08:45):
I love sarcasm.
Speaker 3 (08:46):
Talking about the TSA employees at the Oakland Airport, they
lined up at the food bank. The government shut down
day seventeen, so they.
Speaker 2 (08:55):
Missed one paid period.
Speaker 3 (08:58):
And they lined up report getting rice and beans, eggs,
and some fresh produce. Three hundred TSA employees said that
they live paycheck to paycheck and now are suffering.
Speaker 2 (09:11):
The local Labor.
Speaker 3 (09:12):
Council estimates that just in the San Francisco Bay Area
there are seventy eight thousand federal workers and many suffering
without paychecks. Well, this is going to be a long
government shutdown, and some federal employees are really going to
take Some are going to.
Speaker 2 (09:31):
Be hit harder than others.
Speaker 3 (09:33):
Obviously, a TSA employee that makes twenty four dollars an
hour and lives in Los Angeles or in the Bay Area,
or in New York City or in Chicago or some
of the more expensive areas of the country are going
to be hit harder than the TSA agent that is
in Charlotte, North Carolina.
Speaker 2 (09:55):
So that's a reality.
Speaker 3 (09:57):
By the way, they're also hit harder in their housing
costs and their taxes.
Speaker 2 (10:01):
I mean, that's that goes across the board.
Speaker 3 (10:03):
I was a federal employees I was a staffer for
three members of Congress.
Speaker 2 (10:08):
And like, if you're if you're if.
Speaker 3 (10:11):
You're a staffer for the member of Congress in Oklahoma,
you're well paid and you're living large in a small
town in Oklahoma.
Speaker 2 (10:23):
That's where you live.
Speaker 3 (10:23):
If you're a staffer for a member of Congress and
that member of Congress represents Lower Manhattan, I mean, there's
only so much you can get paid. I mean there
are scales depending on the level of seniority and.
Speaker 2 (10:34):
What you do.
Speaker 3 (10:35):
Right, if you're chief of staff, you get paid a
little more than if you're the executive secretary. But nevertheless,
if the congressman is representing Lower Manhattan, you're broke unless
you want to live way the hell out in New Jersey.
So like that's this goes without saying. This is kind of,
uh the way things go. And they do make federal
employees get adjusted for the zones that they live in,
(10:57):
but it ain't much.
Speaker 2 (10:58):
And it doesn't really help you all that much.
Speaker 3 (11:02):
So it's just hard to be a TSA agent in
the Bay Area all the time. But one paycheck from
the soup kitchen, I think is a little dramatic. So
I don't know who these people are, I don't know
what they're doing. I don't know if this is a stunt.
The idea that seventeen days ago the TSA agent was
(11:22):
well fed and seventeen days later they're on rice and
beans is a little dramatic, but nevertheless, it's going to
be on television and then people will get their hearts
tugged at. And this is the way government shutdowns usually go.
Now I'm impressed that we're seventeen days into it. All
the other federal shutdowns that I've experienced as a tax
(11:45):
payer or experienced as a federal employee, the Republicans always
wound up caving because they eventually find some woman in
Baltimore with four children. No one knows where the husband is.
He's never on TV, only the woman, and she's like
just some person that works at the Department of Transportation,
or she's a janitor that works in the Cannon House
(12:08):
office building and she's starving to death, and that's probably
eight days into the federal shutdown. She's starving to death
and all the kids are starving to death. It's lay
Miss Roblet in Baltimore, and that's the show. And that
show goes on sixty minutes that Sunday, and by Monday
at six o'clock, the Republican's cave. That's the way all
(12:29):
federal shutdowns have gone in my experience, going all the
way back to the nineties and President Clinton through President Obama.
Speaker 2 (12:37):
And this time nobody's caving.
Speaker 3 (12:40):
But there is a way out, and there's an easy
way out. And really it's up to five Democrats, five
Democrat senators.
Speaker 2 (12:50):
Listen to the here's the story on the option. There's
no end in sight.
Speaker 7 (12:54):
There's no compromise that anyone can remotely see. Yesterday, Senate
Democrats blocked eight government funding bill, blocked a full year
defense funding bill, and they rejected an offer from Majority
Leader John Foon to give them a standalone vote on
extending the Obamacare subsidies.
Speaker 2 (13:11):
So this is what you're hearing. As soon as the
government was shut down.
Speaker 3 (13:14):
Everybody was going to die, said the Democrats in the Senate,
and then they pulled back and said, people's premiums are
going to double. No one's going to have insurance. And
then days went by and we were still alive and
we still had healthcare. But the threat that, oh, these
Obama ACA subsidies they're going to double. People's premiums are
(13:35):
going to double. It's just going to be horrible out there.
And the Republican Senate leader called the bluff. And by
the way, as this was happening, there are fifty three
Republicans in the United States Senate.
Speaker 2 (13:50):
There are one hundred senators. You need sixty votes to
end debate and call the vote.
Speaker 3 (13:55):
You only need fifty plus one to win, but you
need sixty to end debate. That's a Senate rule and
it's been there since like nineteen seventeen, so it requires sixty.
It required three fifths of the Senate. There weren't fifty,
weren't one hundred senators in nineteen seventeen, but it requires
three fifths of the Senate to end debate because the
(14:16):
Senate is an open debate body and call.
Speaker 2 (14:18):
The question as it's called. It's called cloture. There you go.
Speaker 3 (14:23):
Now you know more political science than half the faculty
of the Political science department at UCLA and the entire
faculty at USC. But they need sixty votes. They're only
fifty three Republicans. They already peeled off two. They peeled
off the Democrats senator from Pennsylvania Feederman, and peeled off
an independent senator, so they're now at fifty five.
Speaker 2 (14:45):
So it only takes five Democrats and that's it. And
all they have to do is sign off.
Speaker 3 (14:52):
On September thirtieth life, So the federal budget that existed,
the way the life was going, every federal department, every agency,
all the funding, literally the way the government was running
on September thirtieth is the way it will be right now.
If five US Senators sign off. It's called the Continuing
(15:13):
Resolution a CR, and it does exactly what.
Speaker 2 (15:16):
It sounds like it does.
Speaker 3 (15:18):
It's a resolution to continue to just keep everything going
the way it was going.
Speaker 2 (15:22):
Everybody gets paid what they got paid. They don't get
a raise, but they don't get their pay cut.
Speaker 3 (15:26):
There's nothing gets cut, nothing ends, nothing begins, no new
laws are passed, nothing happens. Everything is like it was
when you woke up on September thirtieth.
Speaker 2 (15:35):
That's all the CR does.
Speaker 3 (15:37):
It keeps the government running while Democrats and Republicans can
debate and argue and jump up and down and scream
over whatever it is you want to argue about Medicare
for the aliens, Obamacare, premium doubling, ACA, whatever bah babl like.
Everything can be debated, but the government has to be opened.
(15:59):
And that's what Senator Thun, the Republican leader, has offered.
He even offered a vote. He said, look, I'll offer
you a clean vote just on the Obamacare provisions so
that we'll all be on record on.
Speaker 2 (16:14):
Whether we want Americans premiums to double.
Speaker 3 (16:16):
The ron Obamacare will offer you that, and Democrats still
said no, and we only need five. My prediction is
we'll get those five rather quickly, as soon as they
see the TSA agents up in San Francisco eating rice
and beans. Louke Penrose in for John Campbell, excuse me,
in for John Cobelt onkf I.
Speaker 2 (16:34):
AM six forty live everywhere on the iHeartRadio app.
Speaker 8 (16:38):
You're listening to John cobelts on demand from KFI AM
six forty.
Speaker 3 (16:44):
It's the John Cobelt Show. Loup Penrose in for John
Cobelt this week. Good to have you along with us.
Speaker 2 (16:50):
Baffles me. How people say they live paycheck to paycheck.
They probably go out and buy a new car every
three to five years. I've got one truck fifteen years old.
I'm gonna keep it until I die.
Speaker 3 (17:00):
Yeah, I know, But are you making what the TSA
agents in Oakland are making?
Speaker 8 (17:05):
Okay, now you're boring the crap on it me and
I'm pulling asleep.
Speaker 2 (17:08):
I know what this host is so boring.
Speaker 3 (17:09):
He haint a damn thing wrong with eating beans and
rydes And sometimes all you got in live are beans
and rides and Jesus Christ.
Speaker 2 (17:16):
I'll tell you what.
Speaker 3 (17:17):
So, Scott Wiener, the Senator from San Francisco, is not
waiting for Nancy Pelosi to retire.
Speaker 2 (17:24):
He's done waiting. Remember Speaker Pelosi, she was in the
news this week. Shut up.
Speaker 3 (17:28):
Yeah, she got in trouble with a reporter there and
lost her temper, And apparently that was enough for Senator
Scott Wiener to reconsider.
Speaker 2 (17:39):
His political plans.
Speaker 3 (17:40):
Just to bring you up to speed, there is a
new January sixth Commission being convened by Republicans. They say
Nanty Pelosi was really the problem on January sixth, and
the reporter went.
Speaker 9 (17:51):
After Congress on Pelosi, are you at all concerned that
the new.
Speaker 2 (17:53):
January sixth committee will find you liable to that day?
Speaker 9 (17:56):
Why did you refuse the national guard on January sixth?
Speaker 2 (18:00):
Shut up? I did not refuse the national guard. The
president didn't send it. Why are you coming here with
Republican talking points as if you're a serious journal The
American people want to know. We still have questions? Thank you?
Speaker 3 (18:12):
Oh no, So that little exchange, apparently, according to sources,
is was it enough for Senator Scott Wiener.
Speaker 2 (18:21):
Now we hear from Senator Scott Wiener a lot.
Speaker 3 (18:23):
He's author of a lot of progressive legislation out of Sacramento.
Speaker 2 (18:28):
It gets signed into law all the time.
Speaker 3 (18:31):
And he wants to be in Congress, and he is representative.
That's Pelosi's his seat, and he's termed out. I don't
know when his term ends, but at some point he
can't be a state senator anymore, and apparently he wants
to go to Congress. So sources say that he is
running in twenty twenty six, even if he has the
(18:52):
primary Speaker Pelosi shut up.
Speaker 2 (18:55):
Yeah, no, that's true. So that's going to be interesting.
Speaker 3 (18:59):
San Francisco's state senator previously said he would wait for
Pelosi to retire from Congress, but now he's done some
internal polling and it shows that his time is now
and that her stars faded.
Speaker 2 (19:13):
And he's progressive, far more progressive than she is.
Speaker 3 (19:16):
If you can imagine that Scott Wiener is to He's
certainly to the left of Speaker Pelosi. But today Pelosi
would be considered a moderate in Sacramento terms.
Speaker 2 (19:28):
For the party, the Democrats.
Speaker 3 (19:32):
So that's going to be an interesting little fight because
Newsom and Pelosi are related, I mean literally related, and
there's a lot of Democrat money required to win a
San Francisco congressional seat. And Pelosi not a small player
in the fundraising world.
Speaker 2 (19:52):
Her father was.
Speaker 3 (19:53):
The mayor of Baltimore. I mean, that's how far back
these political families go. But I have a few predictions.
I think that is right. I think Scott Wiener will
challenge Nancy Pelosi and beat her in a primary, and
I think in twenty twenty six Wiener will be the congressman.
Speaker 2 (20:10):
That's my prediction.
Speaker 3 (20:12):
Frankly, I'd rather have Nancy Pelosi around because it's just
a lot more fun when she does things like that,
and we get to put it on TV and put
it on the radio, and it helps paint the picture
of this aging, crabby, mean spirited Democrat leadership in Sacramento.
But I think that that will happen. I have a
(20:33):
couple of predictions. I'm gonna run these by you. It's Friday,
so I'm gonna throw out these predictions.
Speaker 2 (20:38):
Again.
Speaker 3 (20:38):
These are not things I want to happen, but as
a political science major, these are things that I study
and my analytical eye tells me that they're going to happen.
I think Wiener challenges Pelosi. I think she thinks I
can kick this little guy to the curb, and she
(20:58):
is wrong, and he beatz her and she he moves
on to become the congress member for San Francisco and
an unceremonious ending to Nancy Pelos's career. I think PROMP
fifty will pass. I think it will be approved by voters,
but I don't think Democrats will pick up the five
seats that Prop fifty allows for them to have ease
(21:24):
in picking up. Remember, there's two things going on here.
Prop fifty allows Democrats to cheat. It allows politicians, Democrat
politicians to redraw the congressional boundaries in California temporarily and
in between two censuses. The congressional lines are redrawn every
ten years. Anyway, they have to be, because the census
(21:46):
gives us a different number. We don't know are there
more Californians or less Californians. By law, there has to
be a portionment. There has to be a Congression representative
for everybody.
Speaker 2 (21:56):
And it has to be equal. Right now, it's seven
hundred and seventy one thousand Californians are represented by each
member of Congress. When I started working in Congress in
two thousand and two, it was six hundred and forty
six forty. What do you know about that?
Speaker 3 (22:12):
Yeah, so California grew from two thousand and two to
two thousand and twenty, and we are now declining, so
we're losing seats. So we will see if that number
of residents of California goes down or stabilize a seven
seventy and then you divide up whatever you know, thirty
(22:33):
eight million Californians divided by seven hundred and seventy thousand,
and that's how you figure out the number of congressional
seats there are, and that's how you start. And then
you draw lines and you try and keep them community whole, city, hole, community.
Speaker 2 (22:49):
Like, agriculture, whole like.
Speaker 3 (22:50):
You try the best you can to keep communities together. Well,
the Democrats are changing all that and literally drawing congressional
lines on purpose to capture where more or registered Democrats live,
to make it a more likely Democrat seat, to give
a Democrat candidate in that congressional district and advantage. And
they're unabashit about this. They're not hiding the fact that
(23:13):
they're doing that on purpose. They're saying it's because Donald
Trump is a dictator, and that's the rationale. So they
need to cheat to stop all of America from being
led by a dictator for the remainder of Trump's urn
And so that's what Prop fifty is all about. I
think it'll pass, but I don't think the redrawn congressional
(23:35):
lines that will now favor Democrats will result in a
Democrat congress person in those districts. So I don't think
the Democrats will pick up five seats in the twenty
twenty six mid term election.
Speaker 2 (23:46):
I do believe.
Speaker 3 (23:49):
That Senator Alex Padia will decide, and depending on how
fifty turns out, will decide that the Senate sucks. I'm
in the minority here, I'm Democrat from California. We don't
know how to be in the minority whenever. I've never
been in the minority in my life, and it's no
fun being in the minority, and I can't get anything done,
(24:10):
and I'm just not a very good senator. So I'm
gonna go back to California and be governor because that's
just a lot easier.
Speaker 2 (24:17):
And then I can be governor. And I think that's
what's gonna happen.
Speaker 3 (24:20):
I think Padilla will and he can run as a
sitting senator because his term isn't up for another two years,
so he can run and he will either vacate the
seat or he'll just run as senator and he'll win
and he'll be the governor.
Speaker 2 (24:38):
He'll be Governor Alex Padia.
Speaker 3 (24:40):
And then after he's sworn in as governor, the governor
then has two choices. He can call a special election
for the Senate seat for forty five days, or he
can appoint newly elected governor Alex Padia will appoint Gavin.
Speaker 2 (24:58):
Newsom to serve the remainder of his Senate see.
Speaker 3 (25:03):
That's my prediction and how Newsom will get away with
it because he's not a person of color. He's a
white male and Democrats hate white men in Senate seats,
so he'll just say, look, I think that this goes
against you my lifelong work of diversity. But I'm only
(25:23):
going to serve out the remainder of Padilla's term. I'm
only going to fill fulfill the goals of my good friend,
Senator Alex Padias.
Speaker 2 (25:31):
I'm only just a placeholder.
Speaker 3 (25:33):
I'll give up that seat and give it back to
the people of California. I'm just gonna be here for
two years, and that will give Newsom the two year
separation from his failure in California that he needs to
be a player on the world stage. And finally, my
last prediction is that Katie Porter will drop out of
the race and teach a law class on workplace harassment.
Lou Penrose in for John Cobelt. I'm the John Cobelt
(25:55):
Show on KFI AM six forty.
Speaker 8 (25:58):
You're listening to John Kobe on demand from KFI AM
six forty.
Speaker 3 (26:04):
The John Cobelt Show. Lou Penrose in for John Cobelt
all this past week. Thank you for allowing me to
sit in for John. I just got word that on Monday,
California State Assembly Member Carl Demyle will be filling in
for John Cobelt with the latest on Prop fifty and
everything else. Longtime friend Carl Demyo and one of the
(26:27):
strongest voices for sanity and common sense up in Sacramento,
and no stranger to KFI and the John Cobelt audience.
So my good friend and yours, Carl Demio in on Monday.
Jack in the Box is selling Del Taco one hundred
and fifteen million dollars for five hundred.
Speaker 2 (26:48):
And fifty restaurants. I think that's cheap. I'm a big
fan of Del Taco.
Speaker 3 (26:53):
I don't prefer Taco Bell, even though that Glenn Bell
is my neighbor in Big Bear.
Speaker 2 (26:59):
I don't. There's nothing there that I like.
Speaker 3 (27:02):
Taco Bell is a good food, but Del Taco for me,
is great.
Speaker 2 (27:09):
It's just the perfect price point. It's the perfect amount
of everything, it's the perfect amount of taste, and they
got everything I like.
Speaker 3 (27:16):
But Jack in the Box is trying to strengthen its
brand and it doesn't need Del Taco anymore.
Speaker 9 (27:22):
Yes, Jack in the Box is selling its entire Dell
Taco chain for one hundred and fifteen million dollars.
Speaker 2 (27:28):
The Hamburger brand inked the deal with one of.
Speaker 9 (27:30):
Its California based franchisees, Yadav Enterprises. The group currently owns
three hundred and ten restaurant locations that include Jack in
the Box, Denny's, Tgi Fridays, Taco Cabana, and Nick the Greek.
Speaker 2 (27:41):
Well, it's a real portfolio got going on.
Speaker 3 (27:44):
So the story isn't that Jack in the Box is
trying to strengthen its brand and it's selling off Del Taco.
Speaker 2 (27:50):
The story is this Yadav Enterprises.
Speaker 3 (27:54):
So Yadav Enterprises bought all of the Del Tacos.
Speaker 2 (27:58):
All of the five hundred and fifty restaurant in one deal.
Speaker 3 (28:03):
Del Taco's second largest Mexican American quick serve restaurant chain
by units. Did you know that they're like everywhere, They're
like the Starbucks of Mexican drive through food is with
respect to the chain, They're in fifteen states. So I
root for Del Taco because I think the food is good.
But you had to have enterprises. The CEO is a
(28:25):
Neil Yadav and he worked at Jack in the Box
as a kid. This is an incredible story. Right now,
you'd have Aneil of your da have enterprises. Owns three
hundred restaurants. He has El poy Loco, he's got TGI Friday,
he got He's franchise, has known all of them. But
(28:47):
he's got a couple of Tji Fridays. He's got a
bunch of Denny's. He's got Taco Cabana. He's got Nick
the Greek and used to work for Jack in the
Box and apparently knew who to call and said, you
know what, all those del tacos.
Speaker 2 (29:02):
And so he.
Speaker 3 (29:02):
Went from having three hundred restaurants now he's got eight
hundred and fifty restaurants.
Speaker 2 (29:07):
Wow, you'dof ceo.
Speaker 9 (29:09):
At seventeen, he started as a Jack in the Box
fry cook. He made manager in eighteen months, and then
he bought his first store back in nineteen eighty nine.
Speaker 3 (29:18):
Yeah, that's an American story. You can't do that anywhere else.
Only in America can you do that? Only in America
can you work the French fry counter at Jack in
the box, become the manager, buy a store.
Speaker 2 (29:35):
And it's not easy to do, because I tried to
do it.
Speaker 3 (29:37):
I worked at Burger King and I realized, Wow, you
can make some money with these things because I worked
for a restaurant group. So we were a franchise, but
the owner owned like eight of them, like he had
a territory.
Speaker 2 (29:50):
And that's the way that world works.
Speaker 3 (29:52):
The Burger King corporation allowed you with territory, and they
won't allow other people to buy into your tear. They
give you the first right if they're going to put
a new Burger King up, so you can't invade the territory.
Speaker 2 (30:02):
But the guy had like eight.
Speaker 3 (30:03):
Burger Kings and he was making bank driving around in
his Mercedes Benz and it was a nice guy. I
just didn't think he was a titan of industry, if
you know what I mean. But he had more money
than I did, and I said, well, there might be
might this might not be a bad thing to do.
And I looked into a Burger King franchise of my
(30:23):
own this many years ago, and I couldn't because where
I didn't. I don't want to buy one way out,
you know, in Barstow, I wanted to buy where I
live and that already had a territory, and believe it
or not, it was well maybe I shouldn't say the name,
but the guy that owned the burger king rights to
where I lived was once the mayor of Anaheim.
Speaker 2 (30:46):
I'll leave it at that. So I never did it,
but I always wanted to do it.
Speaker 3 (30:50):
This guy that now owns Del Taco, he was working
at Jack in the Box, became a manager, bought a franchise,
then went off to the races and assembled three hundred restaurants,
and now just bought all five hundred and fifty Dell Tacos.
Absolutely unbelievable. That is an American story. I love it,
love it, love it. So it can be done. You
(31:12):
can become rich starting as a French fry guy at
any of these stores. Well, we'll see if he makes
any changes. It seems to me that if Jack in
the Box is selling it and one hundred and fifteen
million dollars does seem low, then changes need to be made.
Speaker 2 (31:31):
So I'm not optimistic.
Speaker 3 (31:32):
I still regard that Double Dell cheeseburger as one of
the best cheeseburgers out there.
Speaker 2 (31:39):
In the case of the Ys are real good and
Jack in the Box I wish I wish them well too.
I think the Ultimate cheeseburger is the best thing going.
Lou Penrose.
Speaker 3 (31:46):
If of John Coblt on KFI AM six forty live
everywhere on the iHeartRadio app.
Speaker 1 (31:52):
Hey, you've been listening to the John Cobelt Show podcast.
You can always hear the show live on KFI AM
six forty from one to four pm every Monday through Friday,
and of course anytime on demand on the iHeartRadio app.