This is a rush transcript from "Hannity," July 29, 2009. This copy may not be in its final form and may be updated.
SEAN HANNITY, HOST: A few months ago, President Obama asked his administration to cut costs. $100 million from the federal budget to be exact. Now The Wall Street Journal broke down the plan for the savings.
Griff Jenkins, he is here with all the specificity and details.
GRIFF JENKINS, FOX NEWS CORRESPONDENT: Sean, you've heard the saying, a penny saved is a penny earned. Well, your government is hard at work saving literally pennies.
As the budget deficit soars towards $2 trillion, the administration has answered the president's call to save $100 million in 90 days, and they did it, saving $102 million or 0.006 percent of the federal budget.
How did they do it? This first example is so shocking it's almost FOX News Alert worthy. The Department of Justice has discovered that paper has two sides, a front and a back, so they're going to save over a half a million dollars by printing on both sides.
But wait. There's more. Half of the overall savings could come from the Air Force. They want to replace its specially formulated jet fuel with commercial jet fuel mixed with a little something special, against $50 million right there.
The Forest Service, green as they may be, will no longer paint its vehicles green. Rather, they're going to keep the original factory paint job.
That's an eye sore. I think it's going to go over well.
The Army is going to start packing more soldier on to R&R flights to save $18 million and thank goodness they are — the Army guys need that R&R.
FEMA is getting in on the act. They're going to scrub those trailers. Remember those trailers? They're going to try and sell them and save almost $4 million.
Sean, do you know anybody needs a trailer from Katrina? I don't know. I don't think I do.
Finally, the Office of Thrift Supervision found $320,000 of unused phone lines lying around. Who has $300,000 of phone lines lying around? Wait a minute. Hold on. Maybe we do, right here. I don't know.
And here's one that hasn't officially been added to the list we found. Did you know that White House personnel receive all the free Diet Cokes and Cokes they want courtesy of the U.S. Navy? The Washington Post report said cutting the free Diet Cokes to Obama's budget chief Peter Orszag alone would save $1500 a year.
Critics of the administration's savings program say if it saved $100 million every 98 days for the rest of President Obama's term, it would total a whopping $1.5 billion or just three days of interest of the federal government.
So there you have it. That same government that is hard to work fixing your health care, Sean, is the same one that's just now realized paper has two sides.
HANNITY: All right. Now, thanks, Griff. And joining me now with more on this unbelievable story is Ohio gubernatorial candidate, John Kasich.
Congressman, you balanced budgets. 0.006 percent. You're laughing.
JOHN KASICH, OHIO GUBERNATORIAL CANDIDATE: You know what it is, Sean? It's really the mentality of government. As long as you're spending somebody else's money, they don't care about it. And frankly this is really almost laughable if it wasn't so serious for the fact that the debt this year, this one year, is going to be almost $2 trillion, and they find a measly $100 million.
It's a lack of leadership. It's been politicians historically. They don't operate like a family. They don't operate like a successful business. They passed the problem on to the next generation, and it's just shameful.
And we proved that you can dig into everything, make everything work better. You can downsize the government. It gives you room to cut taxes. And we remember the `90s, remember? When our 401(k)s were actually increasing rather than going down.
HANNITY: Look, you got us on the path of this balanced budget. I talked with Governor Bobby Jindal today. They've cut government jobs. They've cut out waste, fraud and abuse. And they're saving the taxpayers money and then moving towards balanced budgets.
You know, when they talk about $100 million or $1 billion, when you are literally dealing with a $3.60 trillion budget, it's nothing.
KASICH: It's a joke. It's all show biz.
Sean, you know, when we left in 2000, when I left with the Congress with the budget-cutting team I put together, we had surpluses projected to be $5 trillion. Imagine that. And now we're looking at a one-year deficit of almost $2 trillion.
And I mean the trillions into the out years, they really threaten the strength of this American economy. What politicians have to do is forget the special interests. Forget this special little rotten deals that they make with one another to take stuff home. Put the taxpayer's first, and remember their kids when they go to work, and act more like a family.
HANNITY: All right. Congressman — well, soon to be governor, excuse me. But isn't this really all about PR. This is Hollywood.
KASICH: Oh it is.
HANNITY: Let's create the impression that we're really fiscally conservative. Barack Obama did this whole campaign. 95 percent of you won't see your taxes go up. It's really — it's almost lying, but you can't say that, right? Isn't it?
KASICH: Well, it's sort of like when he talked about we're not going to have an increase in the deficit if we pass this health care plan. We're going to come up with savings. We're going to appoint a committee to study.
You know what that means? That means nothing is going to get done. If you don't take the matters in your hand and force the savings, the changes, the reforms, the cuts, it will never happen, Sean. I have been there. I was there 18 years. I saw them screw it up, and I also was there when we got it done right.
It takes discipline and really, frankly, a commitment to your country rather than your own hide and your own reelection.
HANNITY: Well, I got to tell you something. One thing that's come to clear in all these polls is the American people are nervous. They're worried. And I think rightly so that these debts that we're accumulating, these deficits that we're accumulating, we're stealing from our kids and grandkids. How do Republicans reverse this?
KASICH: Well, they start standing up and doing things and not take — let's start with earmarks. They ought not to be taking these earmarks so they can go home and cut ribbons.
You know, when I left Congress, Sean, I never did those earmarks. When I left Congress, they had a parade for me to the airport to get me out of town, and when I came home some of the people here who I wouldn't get the pork for didn't like to see me, but you know what? At the end of the day, you got to serve your country. It's not about making friends, it's about being responsible.
HANNITY: All right, Governor-to-be, things are looking good out there in Ohio. We'll be following your race very closely. Good to see you, Congressman and soon-to-be governor. Thank you.
KASICH: Thanks, Sean.
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