This is a rush transcript from "Your World," April 23, 2014. This copy may not be in its final form and may be updated.
STUART VARNEY, GUEST HOST: Forget this battle over cattle in Nevada. Is the government now trying to mess with Texas?
Republican Governor Rick Perry here now.
Welcome, everyone. I'm Stuart Varney, in for Neil Cavuto. This is "Your World."
And the battle between that Nevada rancher and the federal government putting the spotlight on another potential land grab, this one in Northern Texas, at issue, reports that the Bureau of Land Management may be preparing to claim 90,000 acres along the Red River between Texas and Oklahoma as public domain, land that has been privately owned for generations.
The Texas Attorney General Greg Abbott daring the feds to come in and take it.
How now first on Fox, the state's Republican governor on this fed fight, Rick Perry with us now.
Governor, welcome to the program.
GOV. RICK PERRY, R-TEXAS: Good to be with you, Stuart. Thank you.
VARNEY: Sounds like a dare from the attorney general, come and get it. That's a challenge, isn't it?
PERRY: Greg Abbott is a very powerful and -- and thoughtful attorney general who is obviously going to be the next governor of the state of Texas.
And -- and he is on the right side of this issue, not just for the people of the state of Texas. He's on the right side of this issue from a private -- private standpoint, from the private property rights standpoint. And I don't think Americans want to see another one of these exhibitions from the federal government of them coming in with armed troops over an issue that ought to be taken care of with a little common sense, when you think about it.
VARNEY: Do you -- do you approve of that kind of language, come and get it?
VARNEY: It is a dare.
VARNEY: It is a flat-out Texas challenge.
PERRY: Actually, it's -- it's not a dare. It's a promise that we're going to stand up for private property rights in the state of Texas.
And I -- I don't -- I don't have a problem in the world with Attorney General Abbott's words here. But the key on this from my standpoint, Stuart, is the federal government already owns too much land. We ought to be having a conversation in this country about how can the federal government divest itself of a huge amount of this land holdings it has across the country...
PERRY: ... rather than being looking for ways to come in and take over private property that's been in the people's land in generations.
VARNEY: It is private property?
PERRY: From my perspective, it is private property.
VARNEY: They -- the Bureau of Land Management says, look, this is in the -- this is the public domain.
PERRY: Yes. Yes.
VARNEY: It has been for -- since the mid-1980s, or at least parts of it.
PERRY: Yes. Well, then the government is going to come back and say, you know what? Mexico used to own the state of Texas, so let's have a conversation about where the rightful ownership of this is.
Or we go back with the -- the Native Americans and have -- are we -- are we going to relitigate every piece of private property that we have got in this country because we have a federal government that's out of control?
VARNEY: So, how do you view the statement of Senator Harry Reid? He described the people who are standing up to the feds coming in, he described them as domestic terrorists. Just for one moment, Governor, I would like to roll that piece of tape so everybody can hear it again.
(BEGIN VIDEO CLIP)
SEN. HARRY REID, D-NV., MAJORITY LEADER: So, these people, who hold themselves out to be patriots, are not. They're nothing more than domestic terrorists.
(END VIDEO CLIP)
VARNEY: Not patriots, domestic terrorists. Strong language.
PERRY: It is.
I would suggest that Senator Reid spend a little more time in Nevada and get out of Washington, D.C., and go visit with those people that he's disparaging. I -- I think that's very unfortunate language and -- and, frankly, not something that you would want a leader in America saying about the citizens of this country.
VARNEY: Do you have a problem with guys with guns getting together and opposing federal force?
PERRY: Well, here's the bigger issue.