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This is a RUSH transcript from "The O'Reilly Factor," July 21, 2010. This copy may not be in its final form and may be updated.

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BILL O'REILLY, HOST: In the "Miller Time" segment tonight: Obviously, our guy Dennis has been following the Shirley Sherrod controversy, and he joins us now from Los Angeles. So, what say you, Miller?

DENNIS MILLER, FOX NEWS CONTRIBUTOR: You know, a lot of gray areas here, Billy. I'm not sure whether to list Shirley under collateral damage or friendly fire. But she'll hook up with somebody soon. I think she already has some work part-time with the Cambridge Police Department.

I'll tell you what: They jump quick over there at the White House. I wish they'd do that -- I wish they'd do that with radical Islamic terrorists. There, they're always a little hesitant. But man, they will weigh in on you.

And by the way, yes, Vilsack made this call. That's why he's secretary of Agriculture. Vilsack whacked her. Vilsack had to clear this with his wife and his minister before he went ahead with this, for God's sake. Why don't we just say Vilsack has access to the nuclear football, too, while we're at it?

O'REILLY: So are you -- are you with Morris, who says that Vilsack just flat-out lied to the public? Are you saying that he did consult with the White House in covering up for them?

MILLER: Not since "Shogun" have I seen somebody fall on a bigger sword. Of course, Vilsack fell on the sword for these guys. Do you really think Vilsack is out there making policy on who gets whacked in a delicate issue like this, for God's sakes? Come on.

O'REILLY: All right. But, you know, she -- with all due respect, Shirley did not hold a big job. She is a Georgia administrator. Yes, there was racial tension in the situation. But I don't know if this rises, you know -- maybe you're right. I just find it very, very uncomfortable to accuse a guy like Vilsack, former governor of Iowa, of being a liar on national television. I did it with Barney Frank, because we could prove it. We had the tape. There was Barney. Then he said he didn't say what he said, and then I had to say, "Barney, you're a liar." But Vilsack, I don't know. As Morris said, maybe it came in a -- maybe he talked to Stanley who talked to Ben...

MILLER: Billy, this is...

O'REILLY: You know, I don't know.

MILLER: This is a big story, Billy.

O'REILLY: It is big.

MILLER: It's a big story. In a world where...

O'REILLY: But it wasn't big when it first broke.

MILLER: In a world where the fourth estate is lined up outside the courthouse for Lindsay Lohan like Lindberg arriving at Le Bourgeais, this is a pretty big story right here. And, of course, in the 24/7 cycle, things are going to happen quickly. And she could have her job back tomorrow if she wanted. I'll be interested to see where this story goes tomorrow, because I heard the rest of that speech. Was this an epiphany story? Yes, it was. But when you nibble on that cookie, man, nothing good can happen.

Listen, we were told this is going to be a post-racial presidency. Does it feel like that? It doesn't feel like that to me.

O'REILLY: Well, they have an awful lot of bomb-throwers in there, and I have to say it.

MILLER: Instead of the third rail -- instead of the third rail, race is now the first and second rail in this country. And everybody ought to just cool out a second, give her the job back tomorrow if you want. I don't even know if she takes it. She's prone to a lawsuit before. Certainly, there could be one coming up here.

O'REILLY: All right. But she does have in her background a radical left past. There's no doubt about it. And there are going to be things that come up that show her in a light that's similar to Van Jones.

MILLER: Maybe that's why she doesn't want to come back. Let me say this, Billy: It makes me long for the good, old days of ACORN. Now, I remember ACORN, very post-racial.

O'REILLY: That was a fake thing.

MILLER: When the white pimp and the white hooker came in and said, we want money to set up a brothel for white kids and nondenominational kids, they were right there, ACORN. They didn't say, "You're not black. I've got to turn this over to your own people. They said you got the money. We'll help you out."

O'REILLY: Miller, NBC News says that was all fake. The whole thing was fake.

MILLER: That was the good, old days. Hands across the water.

(SINGING) I'd like to teach the world to sing.

O'REILLY: All right. Your pal Joe Biden, who I believe you go wolf hunting with along with Sarah Palin, he the other day talked about winning the -- the Democrats winning the election next November. Let's roll the tape on that.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: How bad are the losses going to be for Democrats?

JOE BIDEN, VICE PRESIDENT OF THE UNITED STATES: I don't think the losses are going to be bad at all. I think we're going to shock the heck out of everybody. We're going to win the House, and we're going to win the Senate. We're not going to lose either one of those bodies.

(END VIDEO CLIP)

O'REILLY: Are you buying that, Miller?

MILLER: Listen, I thought he was going to be president. Now, he's going off to Gufalastan (ph) for foreign dignitary funerals. So I don't think it's political acumen out there.

I've got to say two things about Joe. Somehow that thing in the back is now looking worse than the thing in the front. He's got to trim that back hair up. And the second thing is he had a pretty good week in my book, because usually, you know, I think of Joe Biden as like a sock puppet in a power tie, OK? He's so batty, he sleeps upside down. But I liked it this week when he came out, and he said he didn't feel the Tea Party was innately racist. Good for him. I think Biden had a pretty good week. I can't beat down on Joe this week, although that's just a guess. That's a shot in the dark. Of course he's going to say that. You know what else he's going to say?

O'REILLY: What?

MILLER: He's going to tell you Vilsack made that call on Shirley.

O'REILLY: You predicting that? Do you think that Joe Biden will back Vilsack up on that?

MILLER: Yes, yes. Yes, Tom Vilsack just told me to shut the cameras off, because he controls the whole deal. That's why he's Tom Vilsack.

O'REILLY: A lot of cynicism between you and Dick Morris. You know, I'm just lucky I'm pure. All right.

Now, Miller -- I send Miller to the movies because I can't go. I don't have time to go to the movies, but Miller has all the time in the world. It's the only thing he does all week. So give me a rundown of the summer movies. What am I missing?

MILLER: Well, listen, the best movie I've seen all summer is the Joan Rivers documentary. I have never seen -- not -- I'm not kidding you, Billy.

O'REILLY: This is the best movie? This is it?

MILLER: That's the best I've -- well, let me say it! Let me say it! This is the most honest I've ever seen a human being be outside of maybe Elia Kazan's autobiography alike, where he was stunningly candid in his self-appraisal. I find this to be a brilliant piece of work.

I've also liked "Inception." And I'm looking forward -- oh, and by the way, I saw "The Sorcerer's Apprentice" with Nic Cage. And you know something? Nic's personal life is so wild these days, I'm not even sure Nic thought he was in a movie there. I think this was just Wednesday to him.

And the one I'm looking forward to is "The Expendables" with Sly Stallone, Arnold Schwarzenegger, Bruce Willis, Dolph Lundgren, all the old action hero guys. This was originally entitled "The Attack of the Killer Prostates." They switched it over to "The Expendables." It comes out later this summer.

O'REILLY: I think we're going to have Mr. Stallone on the program. Did you see "Ironman 2" where I had the leading role? Did you see that?

MILLER: Loved it. I'm a huge Bob Downey fan, because Bob, you know, he -- he was always a sweet kid when I worked with him at "SNL," and now he's a good man. He's enjoying it. He's got clean, and he knocks that part -- he knocks that part out of the park. I love me some "Ironman 2." Once again, Mickey Rourke thought, "I'm in Nic Cage's Wednesday here." He didn't even know he was in a flick either.

O'REILLY: These guys live a little flamboyantly, do they not? All right. Miller on the movies, everybody. How can you hate it?

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