This is a rush transcript from "The Story," July 23, 2019. This copy may not be in its final form and may be updated.

MARTHA MACCALLUM, ANCHOR: I'm stuck to my chair, so I don't blow away.

Good evening, Bret. Good to see you. All right, everybody out there. We got a lot of breaking news on the eve of the Mueller testimony. And with each new development, it is more clear that the marine and former CIA director and special counsel is a reluctant witness. In his own words on May 29th, he said as much.

(BEGIN VIDEO CLIP)

ROBERT MUELLER, FORMER DIRECTOR, FEDERAL BUREAU OF INVESTIGATION: And I hope and expect this will be the only time that I will speak to you in this manner. I would not provide information beyond that which is already public in any appearance before Congress.

(END VIDEO CLIP)

MACCALLUM: But Chairman Nadler of New York had other plans and a desire to keep digging.

(BEGIN VIDEO CLIP)

REP. JERROLD NADLER, D-N.Y.: Well, we're carrying on conversations with him and he will come in and if we have to subpoena him, we will.

ARI MELBER, HOST, MSNBC: Would that be saved by the end of the summer if he doesn't come in?

NADLER: Oh, I would think he'll be way before that.

(END VIDEO CLIP)

MACCALLUM: So, here we are. July 24th tomorrow and this warning some outrage about a letter that was sent by Attorney General Bill Barr, saying that Mueller would stick to the four corners of his report in there tomorrow. The A.G. made it clear that the request for those parameters came from Bob Mueller himself.

(BEGIN VIDEO CLIP)

WILLIAM BARR, ATTORNEY GENERAL OF THE UNITED STATES: And in conversations with the department, his staff was reiterating that, that was their position. And they asked us for guidance in writing to explain or to tell them what our position was. So, we responded in writing. The department sent the guidance they had requested.

UNIDENTIFIED MALE: So, Mueller actually requested it?

BARR: Yes.

(END VIDEO CLIP)

MACCALLUM: So, there you go. So, then late in the day, another request, Robert Mueller would like to have a close aide Aaron Zebley at the table with him tomorrow, in case he needs to consult on any responses, any reactions about the investigation.

Now, that request was approved, although, Zebley will not be directly questioned and he will not provide any answers. Zebley, just to give you some background here was a key figure in the Hillary Clinton e-mail investigation, he then moved over with Robert Mueller to the Russia probe.

And then tonight, in totally separately, in other big news as we head into an election year, Attorney General Barr dropped another bombshell. There will be a Justice Department probe into the work of firms such as Google, Facebook, and Amazon. They didn't name the firms but that's the kind of companies that we believe we're talking about here, all of that in a moment.

Tonight, we get “The Story” from two lawmakers who will be doing the questioning tomorrow. In moments, Congressman Matt Gaetz. But first, we go to Democratic Congressman Eric Swalwell, a member of the House Judiciary and Intelligence Committees. Congressman Swalwell, thank you very much for being here today.

REP. ERIC SWALWELL, D-CALIF.: Of course. Of course, good evening.

MACCALLUM: You know, good evening to you. So, first of all, you know, why do you think there was this late decision to add Aaron Zebley to the table there?

SWALWELL: You know, honestly, I don't know. To me, the most significant person in the room tomorrow is no one other than Bob Mueller and that's who will direct the questions to, and we'll expect that he'll lay out what the Russians did, how the Trump campaign benefited and asked for more help, and how the president sought to obstruct an investigation?

MACCALLUM: So, you believe that most people did not read the report. That they don't know what's in it, and you expect from what I heard you say earlier that Robert Mueller will -- you know, say things that will really sort of get the American people to sit up and take notice.

What is it that you think he's going to say that will really get the American people's -- you know, attention tomorrow?

SWALWELL: That we were attacked and that the Russians attacked something that we all treasure -- Republicans and Democrats, which is our ballot box. And whether it actually affected the result or not, they wanted to, and that there was a campaign that eagerly welcomed it. And then, once the police looked into it, the president tried to cover it up.

And so, again, just -- you know, you and I, Martha, this is our jobs, we work on this every day. Most people I know, they take their kids to school, they go to work, they go to church. This isn't what they focus on.

MACCALLUM: Yes, sure.

SWALWELL: The Bob Mueller raising his right hand and laying it out that's going to be different.

MACCALLUM: In fact, you know, according to a CBS poll, most of them seem to have moved on beyond this story. 53 percent say that Dems should -- Democrats should drop it and move on. 58 percent believe that they've heard enough on the Russian story. It went on for two years, something like 465 days. You know, almost 500 pages of report, and millions and millions of dollars.

SWALWELL: Well, actually we made money off of this investigation. The investigation, you know, cost about $25 million. But we seized more than that in assets from Donald Trump's campaign manager Paul Manafort.

MACCALLUM: So, it's a win-win.

SWALWELL: Well, no, it actually -- it passed this prologue going to your question earlier.

MACCALLUM: Right.

SWALWELL: It passes prologue. We should look at the past to inform what we need to do to protect us against future attacks.

MACCALLUM: Right.

SWALWELL: And it's not just Russia, other countries have these capabilities. So, I hope this wakes all of us up that we have to unite as Republicans and Democrats, say it doesn't matter who any country helps. We never want to see something like this happening.

MACCALLUM: Well, I think you're going to find a lot of agreement on that point for sure, Congressman.

Before I let you go, you know, sort of I think some of the key questions, and most likely to come tomorrow for Robert Mueller is, do you believe that the president colluded with the Russian government? If he's asked that point-blank, what do you think he -- what do you expect he will say?

SWALWELL: I think he would say that the laws that were written at the time he did not violate a conspiracy law. But again, this is where we have a learning experience. Just because a prior Congress didn't imagine that any campaign would ever work so closely with a foreign adversary, doesn't mean, A, that we want it to happen again or B, that we should shirk the responsibility to write laws so that no campaign at Democrat or a Republican does this. We don't want to see this mess ever happen again.

MACCALLUM: All right. And what if he says -- you know, what if the question is asked, do you believe -- you know, did you find any evidence that there was obstruction on the part of the White House or the president? What do you think Robert Mueller will say?

SWALWELL: Yes, I mean, he -- but his job -- you know, because he was not able to indict the president because of the president's own policies of the Department of Justice, it's really now in Congress's court as to what happens next.

I happen to believe we need an impeachment inquiry because no one is above the law and we can't allow this to stand otherwise, future presidents will think they can do this. And I don't think we want presidents obstructing investigations.

MACCALLUM: All right. Well, you will be in there tomorrow, we'll be watching. Congressmen Swalwell, thank you very much for being here tonight.

SWALWELL: All right, thank you, Martha.

MACCALLUM: Appreciate as always. All right, let's now bring in Congressman Matt Gaetz Republican member of the House Judiciary Committee who will also be asking questions in there tomorrow. Congressman Gaetz, good to have you with us this evening.

REP. MATT GAETZ, R-FLA.: Thanks for having me.

MACCALLUM: You listen to Congressman Swalwell there. He is going to be one of the counterparts who's asking questions. What did you think of his reasoning for wanting to have this process tomorrow?

GAETZ: Well, here's what we know, for 22 months, President Trump was falsely accused by my good friend, Eric Swalwell and others of being an agent of the Russian government. And that was the language that they used. So, I think you'll see Democrats focus on how the president reacted to that false accusation.

And I think you'll see Republicans focus on why the false accusation was made in the first place? Who did we mistrust to get to this point where we spent so many millions and so many months investigating something that wasn't true, and I know many in the country are eager to hear when Robert Mueller came to the conclusion that there would be no chargeable criminal conspiracy with Russia and the Trump campaign.

MACCALLUM: Yes, do you think you're going to get a straight answer on that tomorrow?

GAETZ: I hope we do. I think that it's an easy question to be able to answer. If Robert Mueller plays too cute, if this is just a dramatic reading of the report --

(CROSSTALK)

MACCALLUM: Well, Trey Gowdy -- I asked Trey Gowdy when he thought the response to that question would be, and he said, "Probably when we finished the report."

GAETZ: But, we do know of briefings that the special counsel gave to the attorney general prior to the report being released where the special counsel indicated that there was not a chargeable criminal conspiracy on this collusion issue.

So, there was some period of time prior to where that realization occurred, and we'd like to know when it was.

MACCALLUM: One of the things that I'm going to be listening to very closely, and I would imagine everybody else will as well, is the question of -- you know, to Robert Mueller, did you believe that if this wasn't a sitting president, you had enough to indict. What do you think his answer to that is going to be?

GAETZ: He wrote about that quite a bit. He wrote that there were really three principal reasons why they -- were there was not an indictment on collusion apart from the special counsel view. One is that the president has legitimate Article II powers that he was utilizing. Second, the president, you know, was largely acting in public in an open and notorious way. And third, that there was no underlying criminal offense.

None of those considerations have anything to do with the special counsel opinion. They all informed on why there was no charge for obstruction from Robert Mueller.

MACCALLUM: Well, thank you very much. Matt Gaetz, Congressman, good to see you.

GAETZ: Thank you.

MACCALLUM: We'll be watching it tomorrow as well.

GAETZ: Looking forward to tomorrow.

MACCALLUM: And let's turn our attention now to Byron York, chief political correspondent for the Washington Examiner and a Fox News contributor. Byron, you know, your thoughts on the discussion so far. And as I said, I think that's one of the key questions here because it seems like there's a little bit of daylight between the Department of Justice's understanding of whether or not Robert Mueller thought he had enough to indict but couldn't, because he's a sitting president, or whether it was -- it was that was off the case.

BYRON YORK, CONTRIBUTOR: That is going to be the first question from Democrats. Which is, would you have indicted the president were it not for the Office of Legal Counsel finding that you can't indict a sitting president? Would you have done it otherwise? I do not expect him to answer. Because Mueller has given no indication anywhere that he's going to say anything other than what's in the report.

So, when Representative Gaetz wants to find out how this thing got started, wants to find out when did you know there was no conspiracy and coordination, it's not in the report, he's not going to say it.

And I think he was actually given some support in that in this guidance that he asked for from the Justice Department. You just played the quote of the attorney general, saying they asked for guidance and the Justice Department gave it in writing that basically says, don't go outside the report. So, you know, I think, we're going to have a lot of frustrated lawmakers.

(CROSSTALK)

MACCALLUM: So, (INAUDIBLE) he's saying to his former boss, right? I'm going in there to testify, I'm going to stick to the four corners of the report. It would be helpful to me if you also sent a letter.

YORK: Yes.

MACCALLUM: You know, like a letter from home saying look, he's not allowed to say anything other than what's in that report, right?

YORK: I'd love to tell you all everything. But the Justice Department doesn't want me do. But really, Mueller has never given any, any indication that he's going to go outside the report.

MACCALLUM: You know, and just back to this question, just to sort of make -- just to simplify it, you know, because we talked about the OLC decision and all of that. The assumption that you hear on the part of a lot of people who are in opposition to the president is well, of course, he was guilty.

But Robert Mueller knew that he couldn't indict a sitting president and that's the only reason that he did it.

YORK: Right.

MACCALLUM: But Robert Mueller's discussions with the Justice Department as outlined that on several different occasions told them that, that was not the case that he was separate from the question of whether or not you can indict a president, he did not have anything to indict him on. Correct?

YORK: Absolutely, and we've heard that both really from Mueller and from or we've heard it from Bob Barr who said it came from Mueller.

MACCALLUM: Well, yes.

YORK: And but -- you know, the fact is on the actual facts of the obstruction allegations, the president has significant defenses. I mean, the investigation was not actually obstructed, it didn't happen. There was no underlying crime involved, there was no conspiracy or coordination that the -- that the investigation was focused on.

And the president has a number of defenses in each example about -- you know, saying that he wanted Mueller fired. And then, just letting it drop, it never happened. Each example that Mueller has or the Democrats will cite, there is a presidential defense for every one of them.

MACCALLUM: So, that's another pieces of information tonight that the House wants to go back and subpoena Don McGahn, the president's lawyer who -- you know, that's one of the hottest button issues in the whole report was the president saying that he wanted Don McGahn to fire Mueller.

YORK: Right.

MACCALLUM: McGahn said, "How am I going to do it? And you know, I'll quit before I'll do it." And then, the president dropped it ultimately, right?

YORK: Yes, the big picture is the Democrats want to breathe life into the Mueller report. 448 pages long. Most Americans have not read it. There was a Democratic quote that's going around a lot from the Judiciary Committee. Most people didn't read the book but they'll watch the movie.

So, if they can't turn Mueller into a good movie, maybe they can turn Don McGahn into a good movie. So, I would look for them to continue trying to do that.

MACCALLUM: Looking for sort of like the performance are theatrical version of the living dancing breathing version of the Mueller report.

YORK: Yes.

MACCALLUM: So we'll be watching out together tomorrow. Byron, thank you very much. Great to see you tonight.

So, he will be the next prime minister of Great Britain. So now, can the man who says he's the dude who can pull off Brexit get it moving?

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

DONALD TRUMP, PRESIDENT: They call him Britain's Trump and people were saying that that's a good thing that they like me over there. That's what they wanted. That's what they knew.

(END VIDEO CLIP)

MACCALLUM: President Trump hopeful that his frosty moments with Theresa May and even his mention in front of her that Boris would also make a good Prime Minister, remember that, might be behind him.

(BEGIN VIDEO CLIP)

TRUMP: They asked about Boris Johnson, I said, yes, that how would he be as a prime minister, I said, he'll be a great prime minister. He's been very nice to me.

(END VIDEO CLIP)

MACCALLUM: That was when Theresa May was still Prime Minister though and he's about to lead a new era perhaps for our special relationship. Boris Johnson captured the attention of the U.K. with moments like this when he was Mayor of London, he was celebrating the Olympics which were in the United Kingdom that year.

He backed Brexit and then watched as Theresa May failed to get a deal on what many called a soft or watered-down version of the UK's own England first program to leave the E.U. and what Brexiters saw as this effort to control Great Britain.

Tomorrow the mop-topped mayor will become the 77th U.K. prime minister. Our Correspondent David Spunt has “The Story” for us tonight.

DAVID SPUNT, CORRESPONDENT: Well, Martha, Boris Johnson will come to 10 Downing Street with a little bit of humor when he takes over the official reign of Prime Minister. He's calling himself The Dude. We'll get to that in just a minute.

But Boris Johnson has been angling for this job for quite some time. Many say he's been doing it for years since he's been Mayor of London. Now he is set to take over as Prime Minister now that he's going to lead the Conservative Party.

The announcement came this morning Johnson has quite a bit on his plate with the new job. He has to come up with a deal, not just any deal but a successful deal to leave the United Kingdom out of the European Union better known as Brexit.

Theresa May tried but was not able to get it done during her tenure. But Johnson a strong proponent of Brexit says he will get it done. Listen.

(BEGIN VIDEO CLIP)

BORIS JOHNSON, NEXT PRIME MINISTER, UNITED KINGDOM: I know it's not some have already pointed out that deliver, unite, and defeat was not the perfect acronym for an election campaign since unfortunately, it spells "dud." But they forgot the final E my friends, E for energized. And I say -- I say to all the doubters, dude we are going to energize the country. We're going to get Brexit done on October 31st.

(END VIDEO CLIP)

SPUNT: Johnson will now have a partner in President Trump. The two men get along incredibly well. They have similar opinions especially on Brexit and other foreign policy matters. He will officially take the reins tomorrow but there's a little bit of a process. He'll head over to meet with Her Majesty Queen Elizabeth, ask for her permission to form a government.

Interesting to note he will be Prime Minister number 14 for Her Majesty Queen Elizabeth. She started with Winston Churchill. Interesting fact, Martha, Boris Johnson was born on the Upper East Side of Manhattan. He holds dual citizenship.

MACCALLUM: Interesting. I did not know that. Queen Elizabeth says she sees Prime Minister's come and go but she stays on and on. Here now Charlie Hurt -- thank you very much, David.

SPUNT: You bet.

MACCALLUM: Charlie Hurt, Washington Times Opinion Editor and the author of Still Winning: Why America Went All-In on Donald Trump and Why We Must Do It Again. Charlie, good to see you tonight.

CHARLIE HURT, CONTRIBUTOR: Good to see you.

MACCALLUM: It's so interesting to look back at the Boris Johnson path. He was the mayor of London as we pointed out. Then you know, after he led the Brexit movement, you know, he sort of got pushed aside, Theresa May took over. She wasn't a big fan of the whole idea but then she made him foreign secretary, but then he bolted because he didn't like the way things were going with how she was trying to pull it off.

HURT: Yes. And I think that's kind of the key to why Boris Johnson and Donald Trump get along very well is because they're just so totally you know unconventional. They're willing to sort of take on campaigns that other regular politicians would never dream of touching.

And of course, Brexit, you know all the expert much like Donald Trump's election, Brexit, all the professionals in England said that this was not going to happen. It was not something anybody needed to worry about and we remember of the people in the United States saying the same thing about Donald Trump.

And these guys, they're both guys that really -- they like to be discounted, and they like to have people say that they don't have a chat at something and then they love proving everybody wrong especially the experts.

MACCALLUM: Well, he's going to have an uphill battle. And as David rightly pointed out, he will go to formal government. He'll go to Buckingham Palace and meet with the Queen to do that. She's been down that road many, many times. But you know, she watches all of this unfold and the rest of Great Britain does as well. They have a very similar dynamic going on there that we do here.

They've got a very hard left that could send a lot of attention, Jeremy Corbyn, and then they've got Boris Johnson on the other end of the spectrum. Which way they're going to end up going, I think will be very informative to all of us around the world. HURT: Oh, I think without a doubt. But I do think that you know, it's important to remember that you know, Brexit did happen, the vote did happen, and it has survived a lot of efforts by people -- the establishment to undermine it.

But you know, these are the people who stood up for -- stood up against Adolf Hitler all alone. They're the people that -- and obviously the United States came in and you know, helped defeat Hitler, but for a period, they were the only people standing up for what they believed in.

And when I think about that, I think that -- it does not surprise me that there might be sort of a silent majority there that really does yearn to have their independence back. They're proud people. They have good reason for being proud people.

And so I think that all of the experts who are yet again -- and I agree, I mean, it is -- it is -- it seems like an insurmountable task that he's got between now and October 31st, but I just -- I don't put a pass to it.

MACCALLUM: It seems like nobody like the mushy middle ground and that you know, he's going to push for the hard Brexit to be sure. And whether or not those numbers have grown in this -- in this stretch of time will be interesting to watch I think for Americans as well.

Just last question for you on Iran because Jeremy Hunt who was the -- is the foreign secretary in the U.K. also ran against Boris Johnson. He wants there to be a coalition in the Persian Gulf to help each other get through the Gulf safely. Is that going to materialize and will Boris Johnson be the right ally for President Trump against Iran?

HURT: I think so because I think both of them look at all problems as you know, in unconventional ways. And if you look at the situation in the Gulf right now, it is unacceptable that you have Iran you know, basically committing piracy on the high seas. It is totally unacceptable. That doesn't mean that you know we should go to war or anything like that, but it does need to be stood up too.

And I think that both Donald Trump and Boris Johnson are people who are willing to just see that -- you know, see it in very plain terms that this is unacceptable.

MACCALLUM: They're kind of like cousins across the pond.

HURT: What are going to do when they're gone and we have to go back to covering like normal boring politicians? I'm going to quit. I'm going to go --

MACCALLUM: Don't quit, Charlie. There's always going to be a crazy politician around the corner.

HURT: I'm going to go to farming or something although that's really hard work.

MACCALLUM: That's true. Thank you, Charlie. Good to see you tonight. So when we come back, from the rooftop here in Washington, exclusive reaction from the White House to all of these stories tonight and the outlook for the Mueller report tomorrow from the White House next.

(COMMERCIAL BREAK)

MACCALLUM: Democratic senator and 2020 contender Kirsten Gillibrand responded to a story that we brought you last night about the New Yorker's Jane Mayer who wrote a hit piece on Brett Kavanaugh but now says that then- Senator Al Franken was railroaded when he was forced to resign for the Senate amid sexual misconduct allegations.

Now, Gillibrand who called for Franken's resignation along with several colleagues stands by that decision in the face of this information.

(BEGIN VIDEO CLIP)

SEN. KIRSTEN GILLIBRAND, D-N.Y.: It was eight allegations, credible allegations. So the truth is yes, I would stand by those eight women today because they have a right to be heard. They have a right to tell their truth especially if they are not being believed or ignored or listened to and if the person they're speaking out against is a powerful man.

(END VIDEO CLIP)

MACCALLUM: So keep an eye on that story. And also tonight, we're just hours now away from Robert Mueller's testimony on Capitol Hill right behind me here on this beautiful evening in Washington D.C.

The Judiciary Committee today signing off on an unusual request for from the former Special Counsel to have his right-hand aide sworn in also as a witness beside him which has fueled a bit of speculation this evening over what he may or may not say about President Trump.

Here now exclusively, the White House Principal Deputy Press Secretary, Hogan Gidley. Hogan, good to see you tonight.

HOGAN GIDLEY, WHITE HOUSE PRINCIPAL DEPUTY PRESS SECRETARY: Great to be with you.

MACCALLUM: I'm sure it's been a busy day at the White House. There was some reporting that late today that said that the president was not anxious about tomorrow's testimony, that he was irritated about the whole process. Is that accurate?

GIDLEY: He's definitely not anxious. I wouldn't even call him irritated. I mean, look, we know how this plays out. We've already read the end of this book. This is been going on now for two years.

There's no collusion, no obstruction, complete and total exoneration for the president and no matter how badly the Democrats want the ending to be different it's going to be the same.

I mean, Bob Mueller said this many times, that he's not going to deviate from the report, so we expect more of the same tomorrow and it's wasting the taxpayers time and money.

MACCALLUM: A lot of folks who watch all of this unfold, you know, think that this process is designed in part to continue the discussion, to keep this in the bloodstream.

GIDLEY: Sure.

MACCALLUM: And to keep alive the opportunity, potentially, for impeachment proceedings or at least to keep it as an electoral issue as you head into 2020.

GIDLEY: Right, what Congress' popularity lies somewhere between the chicken pox and the plague. No one likes Congress and this is the exact reason why. Because they waste so much time and energy and effort just trying to make themselves look good as opposed to getting work done for the American people.

We've seen this play out time and time again and the facts of this case don't bode well for the Democrats. They don't like Fox anyway but they sure don't like it here because the president has been cleared of any wrongdoing.

They want to do this over and over and over again and hope somehow, someway, that there is a new outcome, but there won't be. This has been litigated to death. The American people cared about one thing.

First, the -- first, rather, Congress lied about collusion. They didn't have any evidence of it. They said they did. Then they lied about a cover up and said that existed too but there was no evidence of that either and nobody has called them out in the press at all.

They keep saying they have all this evidence, then why do you need Mr. Mueller's testimony if you have all this evidence? Show it. They don't, because they know Donald Trump said nothing wrong here.

MACCALLUM: All right. Just a couple sort of quick topics before I let you go. One is this, you know, debt ceiling budget deal that was passed. You know, not -- it wasn't too long ago the president passed a similar deal, said he wanted to get the money that he needed for defense and he said I'm not going to do that again.

You know, there is an out -- there doesn't appear to be any concern about running up the debt in the country anymore.

GIDLEY: Yes.

MACCALLUM: We are not hearing anything about that from the White House. Why is that?

GIDLEY: That's actually not true. In fact, the president's budgets that he put forward in the past were actually the largest cuts in spending of any president in history, but no one voted on them. The political reality exists here that Democrats like to hold the military hostage.

The president has rebuilt the military. It's the strongest most powerful entity on the planet. He's done so right by the people serving his country, giving them the biggest race they've had in 10 years, but Democrats say, look, if you're going to spend money on the military to protect the American people, which is what the federal government should do, then we are going to hold each dollar you spend on the military hostage as a ransom, if you will, to spend on all of our domestic pet projects.

The president felt as though that we need to move forward on rebuilding the military, so that's where we sit right now but there are plenty of plans in the future --

(CROSSTALK)

MACCALLUM: We didn't see much movement in this regard when Republicans, you know, had all three, had the White House and the House and the Senate.

GIDLEY: Right. And that's the point.

MACCALLUM: And that's a tough argument to make.

GIDLEY: No. But I'm saying that's the point. The president put forth a plan that would all the cuts in spending --

(CROSSTALK)

MACCALLUM: And his own party didn't pick it up.

GIDLEY: -- but Republicans -- that's exactly right.

MACCALLUM: Yes. It's kind of I think mind-boggling to a lot of people who look at the $22 trillion debt number out there.

Another quick question for you before we go on Iran and whether or not the president thinks that he will find a partner in Boris Johnson when it comes to what needs to be done, and I don't know what needs to be done --

GIDLEY: Right.

MACCALLUM: -- because it's a pretty tough situation in the Gulf and Iran, what's the next move there?

GIDLEY: Well, look, the president has a great relationship with the U.K. and with Boris Johnson. You saw him tweet today you think -- he's saying he's going to a great job there. The love of the people in the U.K., the queen and others when we went to that state visit was incredible.

We heard it from so many people on the ground there that said they've never seen someone interact with the president -- excuse me, with the queen that way. They've never seen her engage in such a long conversation, had such a good relationship, so we want to use that relationship to build our partnership with the U.K. And we will continue to do that.

And now, the world are starting to see what we know about Iran, which the Obama administration ignored. They had been aggressors in his world for a long time. They are doing it to us, they've done it to the U.K. And now we have an even stronger partnership with them in that fight.

MACCALLUM: Last question, I said I promise.

GIDLEY: That's right.

MACCALLUM: Stephanie Grisham is now the press secretary, head of communications for the White House. We haven't seen a press briefing, are we going to see one anytime soon?

GIDLEY: I'm sure. That decision is always up to the president but let's keep in mind, the press secretary, the comms director, she's wearing a lot of hats right now. She's a very talented woman. She's going to do an incredible job in that role.

And quite frankly, each person who has it makes the role what they wanted to be that suits the president the best and she's doing that right now.

MACCALLUM: So, no plans for a press conference anytime soon?

GIDLEY: Again, up to the president, he makes those decisions.

MACCALLUM: All right. Hogan, good to see you.

GIDLEY: Absolutely.

MACCALLUM: Thank you very much for coming by.

GIDLEY: Sure.

MACCALLUM: So, a bit of a shocking scene caught on camera, a very shocking scene in fact. A group of police officers were taunted, doused with water and yet they appeared to take the high road and walk away.

This video is just absolutely unbelievable. The former ICE director, Tom Homan is here to respond to this and to discuss the decline and respect across America for the men and women who serve.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: They violated them. They violated them. No, they violated them. They're not stopping.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

MACCALLUM: All right. A bit of breaking news this evening, just moments ago, some reaction from President Trump on Robert Mueller's upcoming testimony and now the president is weighing in here.

We just -- he says "Just got back only to hear of a last-minute change allowing a never-Trumper attorney to help Robert Mueller with his testimony before Congress tomorrow. What a disgrace to our system. Never heard of this before. Cops very unfair, it should not be allowed, a rigged witch hunt."

That tweet coming in from the president with regard for what we will see tomorrow morning. And we'll be covering all of that starting at 8 o'clock tomorrow morning, live here on Fox News.

Also, tonight, simply appalling. Police officers in New York taunted and bullied and doused with water. One gets a bucket thrown at his head as he is in the middle -- I mean, I just can't -- this is just unbelievable, while he's trying to make an arrest.

The video is all over the internet. Everybody has looked at this today, it is provoking outrage. It's raising questions about rising lawlessness. Listen to this.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: My God.

UNIDENTIFIED FEMALE: My God. They came over here to talk to them that they violated. They violated them. They violated them. No, they violated them. They're not stopping.

(END VIDEO CLIP)

MACCALLUM: My God. I mean, this is hard to watch. NYPD Chief Terence Monahan responded to the attacks on law enforcement tweeting in part, "New York City's cops and communities have made remarkable progress together but every New Yorker must show respect for our cops. They deserve nothing less."

Here now to talk about that and the latest at the border, where another kind of lawlessness has been in effect in some areas, Tom Homan, Fox News contributor, forming acting director of U.S. Immigration and Customs Enforcement. Sir, good to have you here.

TOM HOMAN, CONTRIBUTOR: Thanks for having me.

MACCALLUM: You were a police officer in upstate New York.

HOMAN: Yes.

MACCALLUM: I mean, it breaks my heart to watch these officers crossing the street and trying to hold themselves together while they are being attacked, essentially.

HOMAN: It's truly disgusting. I mean, if you think about it, these men and women chose a life of service to the community to the city or the country if you are a nice agent and they leave the safety and security of their home every day and their job requires them to carry a gun and put on a bulletproof vest to serve this nation or the communities. And they deserve the utmost respect. And you see that video, it's totally disgusting.

MACCALLUM: Obviously in New York the Eric Garner case has gotten a lot attention. There's a lot of tensions over that, the fact the police officer was not prosecuted and we're still waiting to find out ultimately what his status will be within the police force.

But, you know, I was listening earlier to a former police officer who said that he feels that this goes back to Ferguson, you know, this tension that exists in this country.

HOMAN: It does. When you talk about -- I've dealt a lot of police chiefs in my career with ICE and a lot of major city police chiefs to tell you, they call it the Ferguson effect, where police that were -- that's when they started losing the respect to the community based on false information.

And you know, these people in New York, if they just think back even to 9/11, right? When everybody is running away from the danger, who is running straight towards the danger? Firemen and policemen. I mean, they deserve our ultimate respect. They put their lives on the line for this country every day and put politics aside.

When these people are in trouble and they are in danger, who are they going to call? They are going to call the men and women that you just saw was vilified as (Inaudible).

MACCALLUM: I mean, obviously the numbers of people who want to be police officers are declining. I mean, this -- that's not good for the country, for law enforcement on the whole. But you can't blame them. I mean, who wants to sign up for that?

HOMAN: Yes. Look, the morale of law enforcement is down right now. You can't blame them. If you look at members on the Hill they want to vilify the men and the women of federal law enforcement every day calling border patrol Nazis or ICE agents Nazis and you see the constant attack on law enforcement, you can't blame them for morale being down.

But I think the men and women who chose this profession, they are going to do honorably, they are going to try to ignore all this hate. Well, it just don't affect them, it affects their families too.

I mean, border patrol agents' wives and children are being bullied in schools and churches because they are serving their nation. So, I think -- I think this country needs to stand up for what's right and stand up to respect the men and women who choose a service to this country.

MACCALLUM: You've talked a lot obviously about the folks who work at the border. And Alexandria Ocasio-Cortez has spoken out very much against them. She would like to see ICE abolished. She believes that DHS was something that was created after 9/11 that should not exist.

And here's what she said about her -- the way that she looks at the people who are coming across the border. Let's play that.

(BEGIN VIDEO CLIP)

REP. ALEXANDRIA OCASIO-CORTEZ, D-N.Y.: I think migration to me is liberation. It's the ability to move and be -- it's the freedom to be, really, is what we are talking about and I think that all people should be free to be here and in our communities.

(END VIDEO CLIP)

HOMAN: I think we should be free of her being a congresswoman. I know she's been a congresswoman for six months; she thinks she knows everything. She knows a lot about nothing. She wants to abolish the men and women, you know, abolish -- she wants to abolish the federal law enforcement agency. She wants to abolish DHS, a quarter million patriots that serve this nation.

You know, you heard abolish a whole department for her to do her job. If she doesn't like what ICE does or wants like what the border patrol does, she's a legislator, change the law, but don't try to abolish an entire agency. It's something you don't like.

I mean, if she needs to understand the Department of Homeland Security, all those agencies within the homeland security already existed in other departments. It made sense to bring all these agencies that defend this nation and keep our homeland safe under one umbrella.

MACCALLUM: All right. Well, as you say she's in Congress and she would like to change that. So, we'll see if she can get anywhere with it. Good to see you tonight. Tom Homan, thank you very much for coming in.

HOMAN: Good to see you.

MACCALLUM: Coming up tonight on “The Story,” breaking developments in the murder of a 21-year-old college student, what we are now learning about the fellow student who is charged with her murder tonight, next.

(COMMERCIAL BREAK)

MACCALLUM: An arrest has been made in the killing of 21-year-old Ole Miss student Ally Kostial, who was found dead near a lake off-campus and tonight a fellow classmate is behind bars for murder.

Chief breaking news correspondent Trace Gallagher joins us with the new update this evening. Trace, what can you tell us about this awful story?

TRACE GALLAGHER, ANCHOR & CORRESPONDENT: Martha, Ally Kostial was last seen live on surveillance video Friday night when she stopped outside a bar in Oxford near the campus of Ole Miss but instead of going inside the bar she apparently decided to go home.

Then around midnight, without her roommates knowing, Kostial left the house again and disappeared. Her body was found the next day by sheriff's deputies on patrol in Harmontown about 20 miles from the Ole Miss campus.

Kostial had been shot eight times and was found along the shores of a Lake Sardis, which is a popular spot for students to hang out by the water or ride ATVs.

It's unclear how she got from Oxford to Harmontown and investigators say they are following several leads about how she ended up by the lake, but police have now arrested 22-year-old Brandon Theesfeld for killing Kostial.

Police won't say what led to the arrest, but Theesfeld is also a student at Ole Miss and like Ally Kostial, he was in the business school. It's unclear how or if they knew each other.

Theesfeld made his initial court appearance today, did not enter a plea, and the judge has not yet ruled on the possibility of bail. A friend of Ally Kostial's told a local TV station, quote, "she was quite possibly the nicest human being that I've ever met," and here's some other friends. Watch.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: She loved outdoors. She loved just hanging out with her friends. She was just like that person you always wanted to be around.

UNIDENTIFIED FEMALE: When I was around her, I just felt like my spirit being lifted.

(END VIDEO CLIP)

GALLAGHER: Kostial's family say she was in Oxford attending summer school and teaching fitness classes at the campus fitness center. Kostial was working towards a bachelors in marketing and was a former member of the Alpha Phi sorority. Martha?

MACCALLUM: Awful story, very sad. Trace, thank you very much.

Coming up next, President Trump touts a bipartisan deal with congressional leaders on the budget, but even some Republicans want to know what happened to draining the swamp. We are going to talk to one of them next.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

DONALD TRUMP, PRESIDENT: Drain the swamp. We are going to drain the swamp of Washington. We're going to have fun doing it. We're all doing it together.

When we win on November 8th, we are going to Washington, D.C., and we are going to drain the swamp.

(END VIDEO CLIP)

MACCALLUM: Well, you remember that of course, and tonight, President Trump is being accused by some of his critics of falling back on that promise after reaching a budget deal worth $1.37 trillion.

The New York Times reported that it would raise spending by $320 billion over existing caps and allow the government to just keep on borrowing, most likely, averting a fiscal crisis, they wrote. But the question is really? I mean, in the long term, is that true?

Joining me now, one of the opponents of that deal, Republican Congressman, Chip Roy, a member of the budget committee. You know, there's a Washington Examiner piece that said, you know, President Trump is draining the swamp of the tea party? Is that true?

REP. CHIP ROY, R-TX: Well, good evening, Martha. Thanks for having me on.

MACCALLUM: Thanks for coming.

ROY: You know, look, when I ran for Congress about 18 months ago, I decided to run because I wanted to make sure we secure the border that we'd balance the budget. We had a strong military with a clear mission, had health care freedom, and they got out of the way of the American people. And the people of Texas sent me here to do that.

And let me tell you, $320 billion added on top of the budget caps when we are already at $22 trillion in debt is not what the people of Texas sent me to Washington to do. We are racking up about a $100 million of debt per hour. You think about, a $100 million dollars of debt per hour. So --

MACCALLUM: So, I mean, you can't even wrap your brain around it.

ROY: You can't.

MACCALLUM: It's not possible.

ROY: You can't. Look, this deal is about as swampy of a deal as you could possibly have and only in Washington does this deal makes sense. I can tell you all the people in Texas 21 are lighting up my phone lines telling me this is a bad deal.

MACCALLUM: I want to play Larry Kudlow, economic advisor to the president, when he was asked about this today. Here is what he said.

(BEGIN VIDEO CLIP)

LARRY KUDLOW, DIRECTOR, U.S. NATIONAL ECONOMIC COUNCIL: We never get the spending restraints that we would like to get, but I must say, in the difficult atmosphere today, one of the key things as Steve Mnuchin, Treasury Secretary Mnuchin, we got a two-year extension on the debt limit so there is no threat to our credit standing. And by the way, in terms of the overall budget numbers, they are really manageable.

(END VIDEO CLIP)

MACCALLUM: Well, fine, Chip.

ROY: Yes. I mean, this is Washington speak, right? I mean, this is what you hear constantly in this town. Look, the sense of self-reliance in this town, the sense of our character as a nation, that's what at stake when we are talking about racking p this kind of debt for our children and our grandchildren.

There is no justification for spending this amount of money when we are running trillion-dollar deficits.

MACCALLUM: It's interesting. Tell me why. you know, I think as people, regular citizens out there in America, all you see is gridlock. That no one can agree on anything, but then all of a sudden, it's like, well, suddenly we got an agreement and the agreement is to spend a lot more taxpayer dollars and both sides shake hands. They say isn't it great? See, we can do things on a bipartisan basis. We disagreed to spend a whole lot more money.

ROY: But that's precisely the problem. Right. They never have to sit down on a table like families do have to sit around their kitchen table, or businesses have to do to meet a bottom line. They just sit down in a table and say, all right, well, we want to spend more on defense, let's throw it away.

(CROSSTALK)

MACCALLUM: Throw it away. That's great.

ROY: Check. We want to spend money on defense.

MACCALLUM: Everybody wants it.

ROY: And then they want the budget.

MACCALLUM: But you know, I spoke to Hogan Gidley of the White House just a few moments ago and that's what he said is the problem.

ROY: Yes.

MACCALLUM: He said we are so committed to increasing defense spending he said at the White House --

ROY: Right.

MACCALLUM: -- that we cannot get the House to go along with it unless we give them what they want in terms of non-defense spending as well. He said, you know, we are in a box. We have no choice.

ROY: Well, I don't agree with that. I'm proud to represent Fort Sam Houston, the army futures command in Austin, Texas, and about 90 to 100,000 veterans in Texas 21. It's critical that we give them a clear mission and the tools they need.

But let me tell you, they don't want to have the future of the nation mortgage on their backs. And that's precisely what this deal will do and it's unconscionable that we're doing that to our kids and grandkids.

MACCALLUM: All right. We'll stay tuned. Thank you very much, Congressman Roy. Good to see you tonight.

ROY: Thanks, Martha.

MACCALLUM: Thanks for coming up to the roof and doing the show with us this evening.

So that is “The Story” of this Tuesday, July 23rd, 2019, but as always, “The Story” goes on and we will be here to give it to you tomorrow morning, 8:00 a.m. Eastern. Tune in, Bret Baier and I, live coverage of the Mueller hearing.

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