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Is ObamaCare on the ropes?

This is a RUSH transcript from "The O'Reilly Factor," November 14, 2013. This copy may not be in its final form and may be updated.

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O'REILLY: Continuing now with our lead story, "Is Obamacare on the Ropes?" As we said in the T-Points last night on the "Kelly File", Miss Megyn and one of the architects of the new health care law got into it.

(END VIDEO CLIP)

EMANUEL: This was not an environment which was hospitable to setting up the exchanges.

KELLY: I know. There's a lot of --

EMANUEL: You -- you and your colleagues were constantly criticizing trying to underfund it and trying to make sure it didn't work.

KELLY: You know what sir; a lot of that criticism proved true. A lot of that criticism proved true unfortunately.

EMANUEL: It's a self-fulfilling prophecy. We're going to try to do everything we can to make it fail and then when it fails they're going to say oh why did it fail?

KELLY: Well I don't, well I don't think Fox News had anything to do with the roll out of HealthCare.gov. As far as I know we didn't touch that Web site. But listen I want to talk to you about this --

(CROSSTALK)

EMANUEL: You were -- you were constantly -- you were constantly attacking the law and you were trying to make it underfunded.

KELLY: Ok. I'll give you that one to, it was all -- it was all our fault.

(END VIDEO CLIP)

O'REILLY: And how on earth -- well here she is again the very famous Megyn Kelly here she is. How on earth could Fox News underfund anything?

KELLY: You know --

O'REILLY: How?

KELLY: -- somehow there is a way and somehow we messed up HealthCare.gov, too despite the fact that -- not once, but twice in high school.

O'REILLY: But Dr. Emanuel who is the brother of Rahm Emanuel and Ari Emanuel, who is the head of William Morris -- he says that we underfunded it. And I'm going what?

KELLY: I don't even know it. He was sort of going off the rails at that point. But this is what my take away from that particular section of the interview. Was this is one of the chief architects of this law.

O'REILLY: Right.

KELLY: And rather than coming out and just coming clean, ok this is how it went down there was obfuscation at every turn and then ultimately the old blame someone else trick.

O'REILLY: Fox.

KELLY: Including Fox.

O'REILLY: Yes.

KELLY: I mean how is it Fox News's fault? You would think -- I mean the reason --

(CROSSTALK)

O'REILLY: But I told you.

KELLY: -- the recent poll that just came out that said Fox News is actually the number one most trusted source when it comes to information on the health care law. In the face of that, he wants to turn around and say to the world it's all Fox News' fault.

O'REILLY: Ok but I told you why in the Talking Points which I'm sure you'll trump it.

KELLY: I'll listen.

O'REILLY: Because it's not about Obamacare, it's about liberalism in general. If it doesn't work here this is his signature deal. But this doctor, he can't -- to be fair to him, he didn't have anything to do with the rollout of the computer or anything like that. He's the big picture "let's give health care to everybody" guy. That's what he is.

KELLY: Right, that's right. And can I tell you that he did say in the interview that he does believe they should have appointed a CEO to oversee health care and they didn't do it.

And not only did he say that.

O'REILLY: Yes, they did. Kathleen Sebelius.

KELLY: She's not the CEO.

O'REILLY: Sure she is.

KELLY: It's basically the Medicare people who are running this. She is you know she's got the title and that's it. They didn't have an actual executive Bill. From the President on down, they didn't have a CEO of a major piece of legislation that was remaking one-sixth of the U.S. economy.

O'REILLY: All right.

KELLY: And let me just tell you a guy named David Cutler who was the co-architect of Obamacare, who is a Harvard professor, he came on my show last week and he's coming on tonight told them, he wrote them a written letter in May of 2010 saying you don't have the team in place to execute this. It's going to fail.

O'REILLY: Ok but you know how the government works, correct? The government works by departments. Everything in the bureaucracy is headed by a department all right. So the Treasury Department handles this, the Justice Department handles that, the Defense handles this. Health and Human Services handled Obamacare because that's health. All right. The CEO is Kathleen Sebelius.

(CROSSTALK)

O'REILLY: No, stop, Kelly. Stop.

KELLY: Well I mean, President Obama would know she had nothing, she doesn't know anything about building a Web site. Why didn't he find somebody who does?

O'REILLY: That's the key. So Sebelius is the CEO. She was in place. She couldn't do the job absolutely. To this day, she has no clue about any of this. However, she's still there, right.

KELLY: Yes that's right.

O'REILLY: All right, with no assistants coming into sort all this out.

KELLY: And let me just make another point about Ms. Sebelius. She of course knew nothing about Web sites and that was completely bungled. But more than that, she is the one who put those regulations in place in June of 2010 that effectively eliminated the grandfathering the President was so relying upon.

O'REILLY: So she's the CEO.

KELLY: She did it.

O'REILLY: Right.

KELLY: And for the President to come out today and say those Democrats, it wasn't their fault, it's all on me because I did say that they could keep their plans if they wanted to and they believed my promise is not true. It's not true. Because Sebelius passed those regulations on her own in June of 2010.

Republican Mike Enzi went to the Senate floor and said listen this is going to gut the whole grandfathering clause and every Democrat voted against him.

O'REILLY: Ok but here is the deal. You know that I'm right pretty much all the time right.

KELLY: So you tell me.

O'REILLY: Yes and you've modeled yourself after me to some extent.

KELLY: Ok.

O'REILLY: Katherine Sebelius and President Obama I will submit to you never had a conversation about anything.

KELLY: Yes.

O'REILLY: Ok would you submit that that's her --

(CROSSTALK)

KELLY: It certainly seems that way.

O'REILLY: Ok so they don't talk about anything because President Obama is bored with that. He doesn't want to do that. President Obama didn't read the law. He doesn't have anybody in the White House who's going to tell him anything contrary.

All his guys are like Martin Van Buren to Andrew Jackson. That's right, General. You're a genius, general. Ok, ok Old Kinderhood that's how the word came into the English language. Ok. Old Kinderhood Martin Van Buren because everything Jackson said, he went, yes, yes, yes. That's what's going on. But President Obama when he gets up there and says you know what, I thought it was this or I didn't know that and I thought -- he thought it.

KELLY: But it's not good enough.

O'REILLY: Of course not. That goes to incompetence.

KELLY: I -- you talk to any executive, any CEO of a company they'll tell you am I the expert, in what my company does not necessarily but that's why I have a chief financial officer, a chief operating officer.

(CROSSTALK)

O'REILLY: Yes you have to hire people.

KELLY: A chief technology officer.

O'REILLY: Right.

KELLY: And then you talk to those people who have the expertise. And you as the CEO stay on top of it --

(CROSSTALK)

O'REILLY: But the President doesn't talk to anyone. He doesn't talk to anyone.

KELLY: Well apparently not because he's claiming he didn't even know that the Web site was in trouble until we all found about it together.

O'REILLY: See look -- and that's what I want the audience to understand. When he goes out there and goes, well, I thought -- he thought because he didn't care enough.

KELLY: He had an obligation to find out.

O'REILLY: Right and Ezekiel the guy who you, he's the same way. These are big picture guys -- pie in the sky guys. They're not computer guys. All right so that's how it came down -- inefficient government.

KELLY: Well let me tell you, that -- that I know you talked about the proposed fix. There are a lot of problems with this proposed fix that they're falling back on.

O'REILLY: I just said that.

KELLY: And let me tell you one of the main ones maybe, they -- Ezekiel Emanuel admitted on the show last night that they were counting on those people in the individual insurance markets to move over to the exchanges. And now the President has just given them at least a one year pass not to do that. And so the seven million they needed on those exchanges --

(CROSSTALK)

O'REILLY: Ok but --

KELLY: -- is looking worse than ever and if that happens, premiums sky rocket, the exchanges could collapse.

O'REILLY: Ok so I have to mention this further. All right they don't care about running -- they don't care about up debt.

KELLY: I'm not talking about debt. I'm talking about the implosion of Obamacare. People care about that.

O'REILLY: Ok but they will fund Obamacare even if they don't have the money. See they'll keep it up. They'll do whatever they have to do.

KELLY: I'm telling you a serious question is -- needs to be answered tonight and we're going to do it on the show tonight about whether the President just effectively ended his own law.

KELLY: All right. Kelly is smarter than me in the law. She's a lawyer.

KELLY: He gives me that one little area.

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