Bigger fights loom after tax deadline deal

(Note language, paragraph 12)

WASHINGTON (Reuters) - President Barack Obama and congressional Republicans face even bigger budget battles in the next two months after a hard-fought "fiscal cliff" deal narrowly averted devastating tax hikes and spending cuts.

The agreement, approved late on Tuesday by the Republican-led House of Representatives, was a victory for Obama, who had won re-election on a promise to address budget woes in part by raising taxes on the wealthiest Americans.

But it set up potentially bruising showdowns over the next two months on spending cuts and an increase in the nation's limit on borrowing. Republicans, angry that the "fiscal cliff" deal did little to curb the federal deficit, promised to use the debt-ceiling debate to win deep spending cuts next time.

Republicans believe they will have greater leverage over Democrat Obama when they must consider raising the borrowing limit, likely in February.

The stakes are perhaps even higher in the debt issue than in the fiscal cliff because failure to close a deal could mean a default on U.S. debt or another downgrade in the U.S. credit rating. A similar showdown in 2011 ultimately led to a credit downgrade.

In fact, bond rating agency Moody's Investors Service warned Washington on Wednesday it must do more to cut the deficit than it did in the "fiscal cliff" measure if the country is to turn around its negative sovereign debt rating.

Republican Senator Pat Toomey of Pennsylvania said his party had to be ready to do whatever it takes to get spending cuts.

"Our opportunity here is on the debt ceiling," Toomey said on MSNBC. "We Republicans need to be willing to tolerate a temporary, partial government shutdown, which is what that could mean."

Yet Obama may be emboldened by winning the first round of fiscal fights when dozens of House Republicans buckled and voted for major tax hikes for the first time in two decades.

Deteriorating relations between leaders in the two parties during the fiscal cliff episode do not bode well for the more difficult fights ahead.

Vice President Joe Biden and Republican Senate leader Mitch McConnell had to step in to work out the final deal amid frayed relations between House Speaker John Boehner and Obama.

Obama Praises Deal, Says There's More to Be DonePresident Obama is praising the bill that staves off the fiscal cliff tax hikes and spending cuts. The House of Representatives followed the Senate's lead, and passed the bill late Tuesday. (Jan. 2)

Senate Democratic leader Harry Reid also drew the ire of Boehner, who told Reid in the White House to "Go fuck yourself" after a tense meeting last week, aides said. His retort came after the Democrat accused Boehner of running "dictatorship" in the House.

Bemoaning the intensity of the fiscal cliff fight, Obama urged "a little less drama" when the Congress and White House next address budget issues like the government's rapidly mounting $16 trillion debt load. He vowed to avoid another divisive debt-ceiling fight ahead of the late-February deadline for raising the limit.

"While I will negotiate over many things, I will not have another debate with this Congress about whether or not they should pay the bills they have already racked up," Obama said before he headed to Hawaii to resume an interrupted vacation.

NOT TIME TO CELEBRATE

Analysts warned that might not be so easy. "While the markets and most taxpayers may breathe a sigh of relief for a few days, excuse us for not celebrating," said Greg Valliere, chief political strategist at Potomac Research Group.

"We have consistently warned that the next brawl represents a far greater threat to the markets - talk of default will grow by February, accompanied by concerns over a credit rating downgrade," he said.

Financial markets that had been worried about the fiscal cliff showdown welcomed the deal, with U.S. stocks rising on the first day of trading in 2013.

All 10 S&P 500 industry sector indexes rose at least 1 percent, led by the information technology index, up 2.2 percent. Among the strongest names in the sector was Hewlett-Packard, which rose 5.3 percent to $15 after a miserable 2012 when the stock fell nearly 45 percent.

Debate over entitlement programs is also bound to be fraught. Republicans will be pushing for significant cuts in healthcare programs like Medicare and Medicaid for retirees and the poor, which are the biggest drivers of federal debt. Democrats have opposed cuts in those popular programs.

"This is going to be much uglier to me than the tax issue ... this is going to be about entitlement reform," Republican Senator Bob Corker of Tennessee said on CNBC.

"This is the debate that's going to be far more serious. Now that we have this other piece behind us - hopefully - we'll deal in a real way with the kinds of things our nation needs to face," he said.

The fiscal cliff crisis ended when dozens of Republicans in the House of Representatives relented and backed a bill passed by the Democratic-controlled Senate that hiked taxes on households earning more than $450,000 annually. Spending cuts of $109 billion in military and domestic programs were delayed only for two months.

Economists had warned that the fiscal cliff of across-the-board tax hikes and spending cuts would have punched a $600 billion hole in the economy this year and threatened to send the country back into recession.

Dozens of House Republicans reluctantly approved the Senate bill which passed by a bipartisan vote of 257 to 167 and sent it on to Obama to sign into law.

Peter Huntsman, chief executive of chemical producer Huntsman Corp, said the vote does little to reduce the U.S. budget deficit and will hinder growth.

"We haven't even begun to address the basic issues behind this," Huntsman told Reuters. "We haven't fixed anything. All we've done is addressed the short-term pain.

The vote underlined the precarious position of Boehner, who will ask his Republicans to re-elect him as speaker on Thursday when a new Congress is sworn in. Boehner backed the bill but most House Republicans, including his top lieutenants, voted against it.

The Ohio congressman also drew criticism on Wednesday from his fellow Republicans for failing to schedule a House vote on a bill passed by the Senate that would provide federal aid to Northeastern states hit by the storm Sandy.

(Additional reporting by Susan Heavey, Richard Cowan in Washington and Gabriel Debenedetti and Ernest Scheyder in New York, Editing by Alistair Bell)

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House faces test on ‘fiscal cliff’ deal

Vice President Joe Biden gives two thumbs up following a Senate Democratic caucus meeting about the fiscal cliff …

Updated 4:25 pm ET

A hard-fought bipartisan compromise passed in the Senate early Tuesday to spare all but the richest Americans from painful income-tax hikes teetered on the edge of collapse as angry House Republicans denounced its lack of spending cuts.

While House Speaker John Boehner considered whether to bring the Senate-passed measure to the floor for a vote Tuesday, Majority Leader Eric Cantor told fellow Republicans in a closed-door meeting that he opposed the legislation negotiated by Vice President Joe Biden and Republican Senate Minority Leader Mitch McConnell and passed by the Senate 89-8 shortly after 2 a.m.

Cantor told the group he could not back the bill in its current form, according to two officials in the room, which could leave open the possibility of an attempt to modify the package and send it back to the upper chamber. But Democrats there have signaled that changing the compromise risks killing it.

A report released by the Congressional Budget Office Tuesday complicated matters further still. The nonpartisan group "scored" the Biden-McConnell compromise as likely adding nearly $4 trillion to the federal deficit over 10 years, hardening opposition among many Republicans seeking further spending cuts.

The country technically went over the “fiscal cliff” at midnight, triggering across-the-board income-tax increases and deep, automatic cuts to domestic and defense programs. Taken together, those factors could plunge the still-fragile economy into a fresh recession. Financial markets were closed for New Year’s Day, potentially limiting the damage from the partisan impasse in dysfunctional Washington at least until Wednesday.

Time was running short for another reason, however: A new Congress will take office at noon on Thursday, forcing efforts to craft a compromise by the current Congress back to the drawing board.

“The Speaker and Leader laid out options to the members and listened to feedback,” Boehner spokesman Brendan Buck said in a statement emailed to reporters. “The lack of spending cuts in the Senate bill was a universal concern amongst members in today’s meeting.”

“Conversations with members will continue throughout the afternoon on the path forward,” Buck said.

As House Republicans raged at the bill, key House Democrats emerging from a closed-door meeting with Biden expressed support for the compromise and pressed Boehner for a vote on the legislation as currently written.

“Our Speaker has said when the Senate acts, we will have a vote in the House. That is what he said, that is what we expect, that is what the American people deserve…a straight up-or-down vote,” Democratic House Minority Leader Nancy Pelosi told reporters.

Conservative activist organizations like the anti-tax Club for Growth warned lawmakers to oppose the compromise. The Club charged in a message to Congress that “this bill raises taxes immediately with the promise of cutting spending later.”

Under the compromise arrangement, taxes would rise on income above $400,000 for individuals and $450,000 for households, while exemptions and deductions the wealthiest Americans use to reduce their tax bill would face new limits. The accord would also raise the taxes paid on large inheritances from 35% to 40% for estates over $5 million. And it would extend by one year unemployment benefits for some two million Americans. It would also prevent cuts in payments to doctors who treat Medicare patients and spare tens of millions of Americans who otherwise would have been hit with the Alternative Minimum Tax. And it would extend some stimulus-era tax breaks championed by progressives.

The middle class will still see its taxes go up: The final deal did not include an extension of the payroll tax holiday.

Efforts to modify the first installment of $1.2 trillion in cuts to domestic and defense programs over 10 years -- the other portion of the “fiscal cliff,” known as sequestration -- had proved a sticking point late in the game. Democrats had sought a year-long freeze but ultimately caved to Republican pressure and signed on to just a two-month delay while broader deficit-reduction talks continue.

That would put the next major battle over spending cuts right around the time that the White House and its Republican foes are battling it out over whether to raise the country's debt limit. Republicans have vowed to push for more spending cuts, equivalent to the amount of new borrowing. Obama has vowed not to negotiate as he did in 2011, when a bruising fight threatened the first-ever default on America's obligations and resulted in the first-ever downgrade of the country's credit rating. Biden sent that message to Democrats in Congress, two senators said.

“This agreement is the right thing to do for our country and the House should pass it without delay,” President Barack Obama said in a written statement shortly after the Senate vote.

There were signs that the 2016 presidential race shaped the outcome in the Senate. Republican Senator Marco Rubio, widely thought to have his eye on his party’s nomination, voted no. Republican Senator Rand Paul, who could take up the libertarian mantle of his father Ron Paul, did as well.

Biden's visit -- his second to Congressional Democrats in two days -- aimed to soothe concerns about the bill and about the coming battles on deficit reduction.

“This is a simple case of trying to Make sure that the perfect does not become the enemy of the good,” said Democratic Representative Elijah Cummings, one of the chamber’s most steadfast liberals. “Nobody’s going to like everything about it.”

Asked whether House progressives, who had hoped for a lower income threshold, would back the bill, Cummings said he could not predict but stressed: “I am one of the most progressive members, and I will vote for it.”

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Obama: Deal to avert fiscal cliff 'in sight'

WASHINGTON (AP) — Working with Congress against a midnight deadline, President Barack Obama said Monday that a deal to avert the "fiscal cliff" was in sight but not yet finalized. The emerging deal would raise tax rates on family income over $450,000 and individual income over $400,000 a year, increase the estate tax rate and extend unemployment benefits for one year.

"There are still issues left to resolve but we're hopeful Congress can get it done," Obama said at a campaign-style event at the White House. "But it's not done."

In the building New Year's Eve drama, the parties still were at an impasse over whether to put off the automatic, across-the-board spending cuts set to take effect at the beginning of the year and if so, how to pay for that.

One official said talks were focused on a two-month delay in the across-the-board cuts but negotiators had yet to agree on about $24 billion in savings from elsewhere in the budget. Democrats had asked for the cuts to be put off for one year and be offset by unspecified revenue.

The president said that whatever last-minute fixes are necessary, they must come from a blend of tax revenue and constrained spending, not just budget cuts.

And a little more than an hour after Obama spoke, Senate Republican leader Mitch McConnell said it was time to decouple the two major issues.

"We'll continue to work on smarter ways to cut spending, but let's not let that hold up protecting Americans from a tax hike that will take place in about ten hours," he said.

Officials emphasized that negotiations were continuing and the emerging deal was not yet final. And a confident Obama, flanked by cheering middle class Americans in a White House auditorium, jabbed Congress, saying lawmakers were prone to last-minute delays.

"One thing we can count on with respect to this Congress is that if there's even one second left before you have to do what you're supposed to do, they will use that last second," he said.

Speaking shortly afterward on the Senate floor, Sen. John McCain said that "at a time of crisis, on New Year's Eve...you had the president of the United States go over and have a cheerleading, ridiculing-of-Republicans exercise." The Arizona Republican lost the 2008 presidential race to Obama.

Unless an agreement is reached and approved by Congress at the start of the New Year, more than $500 billion in 2013 tax increases will take effect immediately and $109 billion in cuts will be carved from defense and domestic programs

Though the tax hikes and budget cuts would be felt gradually, economists warn that if allowed to fully take hold, their combined impact — the so-called fiscal cliff — would rekindle a recession.

The current proposal in the works would raise the tax rates on family income over $450,000 and individual income over $400,000 from 35 percent to 39.6 percent, the same level as under former President Bill Clinton. Also, estates would be taxed at 40 percent after the first $5 million for an individual and $10 million for a couple, up from 35 percent to 40 percent.

Unemployment benefits would be extended for one year. Without the extension, 2 million people would lose benefits beginning in early January.

A Republican official familiar with the plans confirmed the details described to The Associated Press.

The officials requested anonymity in order to discuss the internal negotiations.

The president said his hopes for a larger, more sweeping deal have been dashed and said that such an accommodation was not possible "with this Congress at this time."

But even with this fight not finished, Obama warned Republicans, specifically, about the battles still ahead. He said he would not accept any debt-reduction deals in the new year that rely on slashing spending without raising taxes, too. Cuts alone won't happen anymore "at least as long as I'm president, and I'm going to be president for the next four years."

Urgent talks were continuing Monday afternoon between the White House and congressional Republicans, with longtime negotiating partners Vice President Joe Biden and Senate Republican leader Mitch McConnell at the helm. Underscoring the flurry of activity, another GOP aide said the two men had conversations at 12:45 a.m. and 6:30 a.m. Monday.

An agreement on the proposed deal would also shield Medicare doctors from a 27 percent cut in fees and extend tax credits for research and development, as well as renewable energy.

The deal would also extend for five years a series of tax credits meant to lessen the financial burden on poorer and middle-class families, including one credit that helps people pay for college.

The deal would achieve about $600 billion in new revenue, the officials said.

Despite the progress in negotiations, Senate Majority Leader Harry Reid warned that time was running out to finalize the deal.

"Americans are still threatened with a tax hike in just a few hours," said Reid, D-Nev., as the Senate began an unusual New Year's Eve session.

Liberal Sen. Tom Harkin, D-Iowa, took to the Senate floor after Reid to warn Democratic bargainers against lowering levies on large inherited estates and raising the income threshold at which higher tax rates would kick in.

"No deal is better than a bad deal. And this look like a very bad deal the way this is shaping up," said Harkin.

Letting tax rates rise for couples with incomes of $450,000 a year is a concessions for Obama, who campaigned for re-election on a pledge to set the levels at $200,000 for individuals and $250,000 for couples. It also marked a significant concession by Republican leaders who pledged to continue the George W. Bush-era tax cuts for all income earners. .

The hope of the White House and lawmakers was to seal an agreement, enact it and send it to Obama for his signature before taxpayers felt the impact of higher income taxes or federal agencies began issuing furloughs or taking other steps required by spending cuts.

Regardless of the fate of the negotiations, it appeared all workers would experience a cut in their take-home pay with the expiration of a two-year cut in payroll taxes.

In a move that was sure to irritate Republicans, Reid was planning — absent a deal — to force a Senate vote Monday on Obama's campaign-season proposal to continue expiring tax cuts for all but those with income exceeding $200,000 for individuals and $250,000 for couples.

As the New Year's Eve deadline rapidly approached, Democrats and Republicans found themselves at odds over a host of issues, including taxing large inherited estates. Republicans wanted the tax left at its current 35 percent, with the first $5.1 million excluded, while Democrats wanted the rate increased to 45 percent with a smaller exclusion.

The two sides were also apart on how to keep the alternative minimum tax from raising the tax bills of nearly 30 million middle-income families and how to extend tax breaks for research by business and other activities.

Republicans were insisting that budget cuts be found to pay for some of the spending proposals Democrats were pushing.

These included proposals to erase scheduled defense and domestic cuts exceeding $200 billion over the next two years and to extend unemployment benefits. Republicans complained that in effect, Democrats would pay for that spending with the tax boosts on the wealthy.

"We can't use tax increases on anyone to pay for more spending," said Sen. Kay Bailey Hutchison, R-Texas.

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Eds: Associated Press writers David Espo, Andrew Taylor, Alan Fram and Josh Lederman contributed to this report.

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Top Republican Senator urges Biden to break ‘fiscal cliff’ impasse

Senate Minority Leader Mitch McConnell (R-KY) is shown in this C-Span video footage as he addresses the Senate …Republican Senate Minority Leader Mitch McConnell urged Vice President Joe Biden to jump into “fiscal cliff” talks in hopes of breaking an impasse that threatens Americans with sharply higher income taxes come January 1.

In a brief speech on the Senate floor, McConnell complained that Democrats had not yet placed a counter-offer to his latest proposal, delivered at 7 pm on Saturday, “despite the obvious time crunch.”

“I’m concerned about the lack of urgency here,” the Kentucky lawmaker said. “I think we all know we’re running out of time.”

There is “far too much at stake for political gamesmanship. We need to protect the American families, and businesses, from this looming tax hike,” McConnell said. “In order to get things moving, I have just spoken with the majority leader, I also placed a call to the vice president to see if he could help jump-start the negotiations on his side.”

“The vice president and I have worked together on solutions before, and I believe we can again,” McConnell declared.

Absent a breakthrough, income tax rates will rise across the board while government spending on domestic and defense programs will be slashed – a combination that some experts warn could plunge the economy into a new recession. Obama has pressed for extending Bush-era tax rates on income up to $250,000 but letting them expire above that threshold. The two sides have also been at odds on issues like the estate tax and whether to extend unemployment benefits that stand to expire for some two million Americans.

“We’re willing to work with whoever, whoever can help,” McConnell said. “There’s no single issue that remains an impossible sticking point. The sticking point appears to be a willingness, an interest, or frankly the courage to close the deal.”

“I’m willing to get this done, but I need a dance partner,” he said.

Democratic Senate Majority Leader Harry Reid said he had spoken several times on Sunday with President Barack Obama but acknowledged that his side had been “unable” to present a counter-offer to the latest Republican proposal.

“He and the vice president, I wish them well. In the meantime I will continue to try to come up something but at this stage I don’t have a counter-offer to make,” Reid said. “We are apart on some pretty big issues.”

Reid noted that Democratic and Republican senators were to huddle separately to discuss a possible way forward and said he remained “hopeful but realistic” about the prospects for a breakthrough.

But he also seemed to confirm that one key sticking point was a Republican demand for reducing Social Security payments but adopting a less generous cost-of-living calculation known as “chained CPI” (the CPI being “consumer price index,” a measure of inflation).

“We’re not going to have any Social Security cuts,” Reid declared, saying it would not be “appropriate” in a short-term deal. Democratic leaders have cautiously signaled support for that approach – but only as part of a larger-scale deal that would see the U.S. debt limit raised for a significant stretch of time. Republicans want to use the debt ceiling fight to wrangle deeper government spending cuts.

“We're willing to make difficult concessions as part of a balanced, comprehensive agreement,” Reid said, “but we'll not agree to cut Social Security benefits as part of a small or short-term agreement, especially if that agreement gives more handouts to the rich.”

“At some point in the negotiating process, it becomes obvious when the other side is intentionally demanding concessions they know the other side's not willing to make. We are not there,” the Nevada lawmaker said, but that point is “real close.”

Republican House Speaker John Boehner has said that it's up to the Senate to craft a compromise that can clear both chambers of Congress. Boehner suffered an embarrassing setback 10 days ago when conservative opposition forced him to withdraw legislation that would have let taxes rise on income of above $1 million. But a senior Republican aide noted that the exercise allowed the speaker to gauge how many of his rank-and-file would accept any increase in tax rates.

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Obama not making new offer at debt talks

WASHINGTON (AP) — A person familiar with the details says President Barack Obama is not making a new 'fiscal cliff' offer at his high-stakes meeting with congressional leaders at the White House.

Obama instead is spelling out again a plan he says can pass the House and Senate, said the source, who spoke on condition of anonymity because he was unauthorized to speak publicly about the private meeting.

Obama wants a bill to halt looming tax increases on all families making $250,000 a year or less and would extend unemployment insurance to many people about to lose it. His proposal would also cover other issues as the Jan. 1 deadline nears.

If he does not get a counter proposal that can pass both chambers, Obama will press for a straight up-or-down vote on his idea, the source said.

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House back Sunday night, will have 29.5 hours to make a deal

President Barack Obama salutes as he returns via Marine One from a Christmas visit with his family in Hawaii, to …Will parachutes be provided? Republican House leaders informed their rank-and-file on a conference call Thursday that they have to be back at work at 6:30 p.m. Sunday – giving them, oh, 29.5 hours to forestall the “fiscal cliff.”

Absent a last-minute compromise, Americans will see across-the-board income-tax hikes and painful federal spending cuts come into force January 1. Some economists fear that, taken together, the measures could plunge the economy into a new recession.

Technically, however, the Congress could vote the cliff into oblivion at any time – either before OR after the income-tax increases and spending cuts are slated to take effect. Republican House Majority Leader Eric Cantor noted on Twitter that lawmakers “may be in session through Wednesday, January 2.”

House Speaker John Boehner told his troops on the conference call that the Senate would have to act first, either by passing, or by amending, legislation the House has already passed to avert the cliff.

“If the Senate will not approve these bills and send them to the president to be signed into law in their current form, they must be amended and returned to the House,” he said, according to a source on the call.

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Powerful winter storm throttles Midwest travelers

CINCINNATI (AP) — A powerful winter storm system pounded the nation's midsection Wednesday and headed toward the Northeast, where people braced for the high winds and heavy snow that disrupted holiday travel, knocked out power to thousands of homes and were blamed in at least six deaths.

Hundreds of flights were canceled or delayed, scores of motorists got stuck on icy roads or slid off into drifts, and blizzard warnings were issued across Indiana and Ohio amid snowy gusts of 30 mph that blanketed roads and windshields, at times causing whiteout conditions.

"The way I've been describing it is as a low-end blizzard, but that's sort of like saying a small Tyrannosaurus rex," said John Kwiatkowski, a meteorologist with the National Weather Service in Indianapolis. He said the storm's winds were just high enough to classify the storm as a blizzard, making it one of the strongest snowstorms in years to strike central and southern Indiana.

"It's ugly out," said Elizabeth Brinker, 26, in downtown Indianapolis as she hurried to her car after the law firm where she works sent employees home Wednesday morning.

Some 40 vehicles got bogged down trying to make it up a slick hill in central Indiana, and four state snowplows slid off slick roads near Vincennes as snow fell at the rate of 3 inches within an hour in some spots.

Two passengers in a car on a sleet-slickened Arkansas highway were killed Wednesday in a head-on collision, and two people, including a 76-year-old Milwaukee woman, were killed Tuesday on Oklahoma highways. Deaths from wind-toppled trees were reported in Texas and Louisiana. The system that spawned nearly three dozen tornadoes across Gulf Coast states on Tuesday was headed to New England and the Eastern Seaboard.

National Guardsmen were called out to help cope with the storm in Indiana and Arkansas.

In Arkansas, Humvees transported medical workers and patients in areas with 10 inches of snow. Gov. Mike Beebe sent out National Guard teams after the storm left 192,000 customers without power Wednesday morning. The largest utility, Entergy Arkansas, said some people could be without power for as long as a week because of snapped poles and wires after ice coated power lines ahead of 10 inches of snowfall.

Other states to the east also had widely scattered outages and treacherous roads.

Traffic crawled at 25 mph on Interstate 81 in Maryland, where authorities reported scores of accidents.

"We're going to go down south and get below it (the storm)," said a determined Richard Power, traveling from home in Levittown, N.Y., to Louisville, Ky., in a minivan with his wife, two children and their beagle, Lucky. He said they were well on their way until they hit snow near Harrisburg, Pa., then 15 mph traffic on Interstate 81 at Hagerstown, Md. "We're going to go as far as we can go. .... If it doesn't get better, we're going to just get a hotel."

About two dozen counties in Indiana and Ohio issued snow emergency travel alerts, urging people to go out on the roads only if necessary.

"People need not to travel," said Rachel Trevino, a meteorologist at the National Weather Service bureau in Paducah, Ky. "They need to just go where they're going to be there and stay there."

Jennifer Miller, 58, was taking a bus Wednesday from Cincinnati to visit family in Columbus.

"I wish this had come yesterday and was gone today," she said, struggling with a rolling suitcase and three smaller bags on a slushy sidewalk near the station. "I'm glad I don't have to drive in this."

More than 900 flights were canceled by midday, according to FlightAware.com.

Snow was blamed for scores of vehicle accidents as far east as Maryland. As the storm moved east, New England state highway departments were treating roads and getting ready to mobilize with snowfall forecasts of a foot or more.

"People are picking up salt and a lot of shovels today," said Andy Greenwood, an assistant manager at Aubuchon Hardware in Keene, N.H.

In Manchester, N.H., public works officials said plow trucks were ready, as were a variety of emergency notification systems including blinking strobe lights at major intersections, and email, text and social media alerts.

Early indications were that day-after-Christmas mall traffic was down, too, with people holding off in the storm-affected areas on returning that ugly sweater or other unwanted gifts.

"I can't feel my feet, and the ice is hurting when it hits my face," said Tracy Flint, a Columbus, Ohio, hairstylist who was trudging to work across a shopping center lot where only a handful of cars were parked. "But it could be worse."

Behind the storm, Mississippi's governor declared states of emergency in eight counties with more than 25 people reported injured and 70 homes left damaged.

Cindy Williams, 56, stood near a home in McNeill, Miss., where the front was collapsed into a pile of wood and brick, with a balcony and porch ripped apart. Large Oak trees were uprooted and winds sheared off nearby treetops in a nearby grove. But she was focused on that all the family members from her husband to their grandchildren had escaped harm.

"We are so thankful," she said. "God took care of us."

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Associated Press writers Rick Callahan and Charles Wilson in Indianapolis, Kelly P. Kissel in Little Rock, Ark.; Jim Van Anglen in Mobile, Ala.; Holbrook Mohr in Jackson, Miss.; Julie Carr Smyth and Mitch Stacy in Columbus, Ohio; Amanda Lee Myers in Cincinnati, David Dishneau in Hagerstown, Md., and Holly Ramer in Concord, N.H., contributed to this report.

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Contact Dan Sewell at http://www.twitter.com/dansewell

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Egypt constitution passes with 63.8 percent

CAIRO (AP) — Egypt's disputed Islamist-backed constitution passed with a 63.8 percent "yes" in a referendum, the election commission announced Tuesday, rejecting opposition allegations of significant vote fraud.

Turnout of 32.9 percent of Egypt's nearly 52 million registered voters was quite a bit lower than most other elections since the uprising nearly two years ago that ousted authoritarian leader Hosni Mubarak.

Mohammed Badie, leader of the Muslim Brotherhood, offered congratulations on the passing of the constitution and said Egyptians continue to "teach" the world.

"Let's all begin to build the renaissance of our country with free will, good intentions and strong determination, men, women, Muslims and Christians," Badie said on his Twitter account. The Brotherhood was the main group that backed the charter.

This is the first constitution since Mubarak's ouster. The opposition had campaigned against it with massive street protests that sometimes turned deadly, arguing that it will usher in Islamic rule in Egypt and restrict freedoms. It has vowed to challenge the referendum results and fight for a share of power in the upcoming parliamentary vote expected within two months.

Judge Samir Abou el-Maati, the head of the electoral commission, denied allegations that judicial supervision was lacking in the vote. He said the total number of people who voted against the constitution was 6.06 million out of 16.7 million valid votes, or about 36.2 percent.

Opposition spokesman Khaled Dawoud said the judge didn't address complaints about overcrowding of polling stations. The opposition says the overcrowding was due to a boycott by some judges who traditionally oversee elections and that was a major factor in the low turnout.

He also said Abou el-Maati did not address violations such as backers of the constitution instructing voters to cast a "yes" ballot within the polling stations.

"We still believe because of the low turnout, this is not the constitution the Egyptians people had aspired for," Dawoud said. "This is not a constitution that will last for a long time."

Dawoud said the National Salvation Front, the main opposition group that brings together liberal, leftists parties and groups, will continue to fight the constitution through preparing for the parliamentary elections. In the parliament, the group will work to amend the constitution, which he said restricts freedoms and undermines social and economic rights of Egyptians.

Abou el-Maati said results were thrown out from polling stations where violations, such as closing early or improper supervision.

He also denied that Christians were preventing from casting their ballots at some stations, a claim widely reported during the two stages of voting on Dec. 15 and Dec. 22.

The official results closely mirror unofficial results announced by the Muslim Brotherhood, which said 64 percent voted "yes."

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Firefighters ambushed by gunman while responding to house fire

Residence near shooting and fire in Webster evacuated. (Max Schulte/Rochester Democrat&Chronicle via Twitter)

A man with a criminal history shot and killed two West Webster, N.Y. firefighters and seriously injured two others as they responded to a fire at his home., police say.

William H. Spengler, Jr., 62, apparently started a 5:35 a.m. fire at his home on Lake Road  and then waited with an armament of weapons for first responders to arrive, Webster N.Y. Police Chief Gerald Pickering said at an afternoon news conference.

“He was shooting from high ground or a berm," Pickering said. "He was barricaded with weapons to shoot first responders."

After a brief exchange of gunfire with police, Spengler then shot and killed himself at the scene, Pickering said.

Spengler was convicted in 1981 in the death of his 92-year-old grandmother a year earlier. He served time in prison and was released in 1998, Pickering said.

Spengler beat Rose Spengler to death with a hammer 1980, the Rochester Democrat and Chronicle reported. Rose Spengler had lived in the home next to William Spengler on Lake Road at the time of her death.

Local police had not noted any criminal activity in his recent past, Pickering said.

Pickering said they are looking into the apparent disappearance of Spengler's sister who is unaccounted for at this time.

Police and fire officials are continuing to gather evidence and will inspect the seven homes that were destroyed in the fire that spread to nearby houses in the small lakeside town located 10 miles east of Rochester.

The victims in the shooting are Mike Chiapperini, also a lieutenant and public information officer with the local police department, and Tomasz Kaczowka, Pickering said.

"These people get up in the middle of the night to fight fires. They don't expect to be shot and killed," a tearful Pickering said at the press conference.

Chiapperini was described by Pickering as a lifelong firefighter who started with the department's explorer program and had about 20 years of experience. Kaczowka was a younger firefighter who was on the force for about two years and was also a 911 dispatcher, he said.

West Webster firefighters Joseph Hofsetter and Theodore Scardino were seriously injured and are at Strong Memorial Hospital with gunshot wounds, a hospital spokeswoman said.  Scardino  has  injuries to his chest and lungs. Hofsetter was injured in the pelvis, the spokeswoman said at a media briefing. Both are in guarded condition, she said.

An off-duty police officer from nearby Greece, N.Y., John Ritter was also injured by shrapnel during the shooting, Pickering said.

Pickering said that one of the firefighters who survived made his way across a bridge to safety. The other three did not make it across, Pickering said. Police arrived and rescued the other three firefighters, but two were fatally shot, Pickering said.

The morning scene was described as chaotic as police and firefighters dealt with an immense blaze as well as gunshots,  local news station WHAM-TV  reports.

“I’m not aware of anything like this happening in Webster, obviously not a firefighter being fired upon,” Webster Fire Marshal Rob Boutillier told the Democrat and Chronicle.  Pickering described Webster as resort lakeside community that is quiet and usually peaceful.

WHAM reported that an outpouring of support has come through the Webster community. Black flags reportedly have been draped at some homes and offices to honor those killed and injured.

N.Y. Gov. Andrew Cuomo tweeted of the incident: We as the community of #NY mourn their loss as now 2 more families must spend the holidays without their loved ones #Webster

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NRA’s LaPierre: New gun laws won't work

LaPierre speaks at Friday's press conference. (Getty)

Two days after suggesting a "good guy with a gun" be stationed at every school in the country in response to the deadly shootings in Newtown, Conn., National Rifle Association executive vice president Wayne LaPierre blasted critics of his plan.

In an interview broadcast on Sunday's "Meet The Press," LaPierre reiterated the statements he made Friday at a press conference in Washington, when he said the answer to preventing shootings like the one at Sandy Hook Elementary Sch00l is armed security in every school--in effect, protecting children with guns.

“If it’s crazy to call for putting police in and securing our schools to protect our children, then call me crazy," LaPierre said. “I think the American people think it’s crazy not to do it."

At one point during the often contentious exchange, host David Gregory held up a high-capacity magazine clip that carries 30 bullets, asking if the NRA would support a federal limit on the capacity of such clips.

"Isn't it just possible that we could reduce the carnage in a situation like Newtown?" Gregory asked.

"I don't believe that's going to make one difference," LaPierre responded.

"You're telling me that it's not a matter of common sense that if you don't have an ability to shoot off 30 rounds without reloading, that, just possibly, you could reduce the loss of life?" Gregory asked.

"I don't buy your argument for a minute," LaPierre said. "There are so many different ways to evade that, even if you had that."

“Is there no new gun regulation you would support?” an exasperated Gregory asked. LaPierre refused to answer.

At Friday's press conference, LaPierre--who did not take questions from reporters--argued that had someone at the school been armed, "innocent lives might have been spared."

"The only thing that stops a bad guy with a gun is a good guy with a gun," he said.

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Final day of funerals for Newtown shooting victims

The final three victims of the massacre at Sandy Hook Elementary School will be laid to rest today, ending a somber week of funerals.

A mass will take place today at St. Rose of Lima Catholic Church for Josephine Gay, who had celebrated her 7th birthday on Dec. 11.

Friends and family have been asked to wear Josephine's favorite color, purple, in her honor.

PHOTOS: Victims of Sandy Hook Massacre

A homegoing celebration will take place at The First Cathedral in Bloomfield, Conn., for Ana Marquez-Greene. The 6-year-old with a beaming voice sang in a home video with her brother, who was also at Sandy Hook Elementary School during the massacre, and seemed destined to take after her father, a jazz musician.

Emilie Parker, the budding artist who carried her markers and pencils everywhere, will be laid to rest in Ogden, Utah today.

The 6-year-old would have been would one of the first to comfort her classmates at Sandy Hook Elementary School, had a gunman's bullets not claimed her life, her father said.

"My daughter Emilie would be one of the first ones to be standing and giving support to all the victims because that's the kind of kid she is," her father, Robbie Parker, said last Saturday.

"She always had something kind to say about anybody," Parker said. "We find comfort reflecting on the incredible person Emilie was and how many lives she was able to touch."

WATCH: Emilie's father speaks about his daughter

Also Read

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NRA: 'Good guy with a gun' could have saved lives at Sandy Hook

The NRA's Wayne LaPierre speaks at Friday's press conference (Chip Somodevilla/Getty Images)

The National Rifle Association on Friday, a full week after the shooting at Sandy Hook Elementary School, gave its first response to the massacre that killed 20 schoolchildren in Newtown, Conn. Wayne LaPierre, the NRA's executive vice president, argued at a press conference in Washington, D.C., that gun control legislation would not prevent similar shootings and offered the organization's own proposal: a nationwide program that would place armed security in every school desiring protection.

"I call on Congress today to appropriate whatever is necessary to put armed police officers in every single school in this nation," LaPierre said. The proposed program, called the National School Shield, would help train and install security at schools nationwide under the leadership of former Arkansas Republican Rep. Asa Hutchinson.

"Innocent lives might have been spared," LaPierre said, if armed security was present at Sandy Hook. "The only thing that stops a bad guy with a gun is a good guy with a gun."

LaPierre, Hutchinson and David Keene, president of the NRA, all declined to take questions from the press and said NRA press officers won't be responding to the media until Monday.

LaPierre in part blamed mass shootings on "vicious, violent video games" such as "Bulletstorm," "Grand Theft Auto," Mortal Kombat" and  "Splatterhouse." He also reached back in time to place blame on movies like "American Psycho" and "Natural Born Killers" for portraying "life as a joke and murder as a way of life."

He added, "In a race to the bottom, media conglomerates compete with one another to shock, violate and offend every standard of civilized society by bringing an ever-more-toxic mix of reckless behavior and criminal cruelty into our homes—every minute of every day of every month of every year.”

He also criticized the media for vilifying guns and gun owners, and for publicizing inaccuracies about guns.

"Why is the idea of a gun good when it’s used to protect the president of our country or our police, but bad when it’s used to protect children in our schools?" he asked.

"It’s our duty to protect them," LaPierre said of the nation's schoolchildren. "It’s our right to protect them."

Part of the problem in protecting schools, he also said, is the designation of gun-free school zones. The zones "tell every insane killer in America that schools are the safest place to inflict maximum mayhem with minimum risk," he said.

Gun control advocates immediately decried the NRA's views as extreme and dangerous.

"Their press conference was a shameful evasion of the crisis facing our country," New York City Mayor Michael Bloomberg, an independent, said in a statement. "Instead of offering solutions to a problem they have helped create, they offered a paranoid, dystopian vision of a more dangerous and violent America where everyone is armed and no place is safe."

Bloomberg said NRA members support background checks for gun ownership because of gun violence. "As a country, we must rise above special interest politics," he added.

On Capitol Hill, Democratic Sen. Richard Blumenthal of Connecticut, who conceded that armed security could be "helpful in some instances, noted in a statement that "the NRA’s statement is sadly and shamefully inadequate—calling for more guns and rejecting real action against gun violence. At a defining, historic moment demanding courageous leadership, the NRA has declined to step forward as a credible and constructive partner."

The press conference, despite the tight security at the Willard InterContinental Hotel where it was held, was interrupted twice by gun control protesters later identified as members of anti-war group Code Pink. A man rose from the press area in front of LaPierre during his speech and held up a pink cloth displaying the words "NRA Killing Our Kids." Later, a woman identified as Code Pink founder Medea Benjamin, unfurled a sign reading "NRA blood on your hands,” and shouted, "Reckless behavior coming from the NRA" and other comments as she was dragged out of the room.

A large security staff dressed in suits and wearing earpieces lined the perimeter of the makeshift stage as well as the room. Security staffers moved to sit directly in front and behind of LaPierre following the Code Pink protests as other security members stepped forward into the seating area.

Prior to the conference, gun control protesters as well as PETA protesters and others lined the street in front of the hotel entrance waving signs and shouting.

Pressure on lawmakers from gun-control advocates has increased in the wake of the shooting. President Barack Obama on Friday released a web video in response to an outpouring of White House petitions calling on the president to respond to gun violence.

“We hear you," Obama said in the video. "I will do everything in my power as president to advance these efforts, because if there’s even one thing we can do as a country to protect our children, we have a responsibility to try. But as I said earlier this week, I can’t do it alone. I need your help.”

Obama tasked Vice President Joe Biden to review potential gun legislation and other measures on which to act next session. Biden spoke Thursday to law enforcement leaders about banning assault weapons, though no further details were released on the private discussion.

California Sen. Dianne Feinstein has pledged to introduce a new federal assault weapons ban in January and has received support from several gun-rights advocates and from the White House.

Olivier Knox contributed to this report.

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Snowstorm triggers deadly Iowa pileup

DES MOINES, Iowa (AP) — The first widespread snowstorm of the season crawled across the Midwest on Thursday, with whiteout conditions stranding holiday travelers and sending drivers sliding over slick roads — including into a fatal 25-vehicle pileup in Iowa.

The storm, which dumped a foot of snow in parts of Iowa and Wisconsin, was part of a system that began in the Rockies earlier in the week before trekking into the Midwest. It was expected to move across the Great Lakes overnight before moving into Canada.

On the southern edge of the system, a tornado destroyed several homes in Arkansas, and strong winds peeled roofs off buildings and toppled trucks in Alabama and led to flight cancellations in Texas.

In Iowa, drivers were blinded by blowing snow and didn't see vehicles that had slowed or stopped on Interstate 35 about 60 miles north of Des Moines, state police said. A chain reaction of crashes involving semitrailers and passenger cars closed down a section of the highway. At least one person was killed.

"It's time to listen to warnings and get off the road," said Iowa State Patrol Col. David Garrison.

Thomas Shubert, a clerk at a store in Gretna near Omaha, Neb., said his brother drove him to work in his truck, but some of his neighbors weren't so fortunate.

"I saw some people in my neighborhood trying to get out. They made it a few feet, and that was about it," Shubert said.

Along with Thursday's fatal accident in Iowa, the storm was blamed for road deaths in Kansas and Wisconsin. In southeastern Utah, a woman who tried to walk for help after her car became stuck in snow died Tuesday night.

The heavy, wet snow made some unplowed streets in Des Moines nearly impossible to navigate in anything other than a four-wheel drive vehicle. Even streets that had been plowed were snow-packed and slippery. Eight jackknifed semitrailers were reported on a section of Interstate 80 east of the city.

The storm made travel difficult from Kansas to Wisconsin, forcing road closures, including part of Interstate 29 in northern Missouri and part of Interstate 80 in Nebraska. Iowa and Wisconsin activated National Guard troops to help rescue stranded drivers.

Those who planned to fly before the Christmas holiday didn't fare much better.

Shanna Tinsley, 17, and Nicole Latimer, 20, were both headed to the Kansas City area to see their families for the holiday when their flight Thursday morning out of Milwaukee's General Mitchell International Airport was canceled. Neither cared about a white Christmas.

"It would be cool I guess, but I'd rather be there than stuck without family with a white Christmas," Latimer said.

Added Tinsley, "Wisconsin is full of snow, you see it all the time."

In Chicago, commuters began Thursday with heavy fog and cold, driving rain, and forecasters said snow would hit by mid-afternoon.

Airlines delayed and canceled hundreds of flights out of Chicago's O'Hare and Midway international airports. Southwest Airlines, which has a hub at Midway, canceled all of its flights after 4:30 p.m.

In Texas, American Airlines reported 120 cancellations in Dallas because of thunderstorms.

Before the storm, several cities in the Midwest had broken records for the number of consecutive days without measurable snow.

In the Des Moines suburb of Urbandale, Kristin Isenhart, 38, said her three kids, ages 9, 5 and 3, were asking about going outside to play after school was canceled for the day.

"They are thrilled that it snowed," she said. "They've asked several times to go outside, and I might bundle them up and let them go."

As far as the region's drought, meteorologists said the storm wouldn't make much of a dent. It takes a foot or more of snow to equal an inch of water, said Brian Fuchs, a climatologist at the National Drought Mitigation Center.

Meanwhile, tens of thousands of people lost power in Arkansas, Iowa and Nebraska as heavy snow and strong winds pulled down lines. Smaller outages were reported in Alabama, Kansas, Missouri, Illinois and Louisiana.

"The roads have been so bad our crews have not been able to respond to them," said Justin Foss, a spokesman for Alliant Energy, which had 13,000 customers without power in central Iowa. "We have giant four-wheel-drive trucks with chains on them, so when we can't get there it's pretty rough."

Tom Tretter and his wife, Pat, had been without power since Wednesday night, and temperatures Thursday were dropping. The retired seniors were shoveling their steep driveway Thursday afternoon and scraping ice off the walkway to their Des Moines home.

"It's getting cold in the house," Tom Tretter said, leaning on his shovel in the driveway. "And I'm getting too old for this."

Blake Landau, a cook serving eggs, roast beef sandwiches and chili to hungry snowplow drivers at Newton's Paradise Cafe in downtown Waterloo, Iowa, said he has always liked it when it snows on his birthday. He turned 27 on Thursday.

"It's kind of one of those things where it's leading up to Christmas time," Landau said. "We don't know when we get our first snowfall, and I hope we get it by my birthday. It's nice to have a nice snowy Christmas."

___

Beck reported from Omaha, Neb. Associated Press writers Scott Mayerowitz in New York; Carrie Antlfinger in Milwaukee; Heather Hollingsworth in Kansas City, Mo.; Jason Keyser in Chicago; Barbara Rodriguez in Des Moines; and Ryan J. Foley in Iowa City, Iowa contributed to this report.

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Obama sets Jan. deadline for proposals to curb gun violence

WASHINGTON (AP) — Spurred by a horrific elementary school shooting, President Barack Obama tasked his administration Wednesday with creating concrete proposals to reduce gun violence that has plagued the country.

"This time, the words need to lead to action," said Obama, who set a January deadline for the recommendations. He vowed to push for their implementation without delay.

The president, who exerted little political capital on gun control during his first term, also pressed Congress to reinstate an assault weapons ban, which expired in 2004. He also called for stricter background checks for people who seek to purchase weapons and limited high capacity clips.

"The fact that this problem is complex can no longer be an excuse for doing nothing," Obama said. "The fact that we can't prevent every act of violence doesn't mean we can't steadily reduce the violence."

Obama's announcement Wednesday underscores the urgency the White House sees in formulating a response to the shooting in Newtown, Conn. Twenty children and six adults were killed when a man carrying a military-style rifle stormed an elementary school.

The massacre has prompted several congressional gun rights supporters to consider new legislation to control firearms, and there is some concern that their willingness to engage could fade as the shock and sorrow over the Newtown shooting eases.

Obama said Wednesday it was "encouraging" to see people of different backgrounds and political affiliations coming to an understanding that the country has an obligation to prevent such violence.

Appealing to gun owners, Obama said he believes in the Second Amendment and the country's strong tradition of gun ownership. And he said "the vast majority of gun owners in America are responsible."

The president tasked Vice President Joe Biden with leading the administration-wide effort to create new gun control policies. Obama also wants his team to consider ways to improve mental health resources and address ways to create a culture that doesn't promote violence.

The departments of Justice, Education, Health and Human Services, and Homeland Security will all be part of the process.

Biden's prominent role in the process could be an asset for the White House in getting gun legislation through Congress. The vice president spent decades in the Senate and has been called on by Obama before to use his long-standing relationships with lawmakers to build support for White House measures.

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W.H.: 'Gun laws alone would not solve this'

President Barack Obama (Kevin Lamarque/Reuters)President Barack Obama supports Democratic Sen. Dianne Feinstein's legislation banning assault weapons—signed into law in 1994, it expired in 2004—and other potential gun measures, the White House revealed on Tuesday, after declining to discuss gun control specifics the day before.

"He is actively supportive of, for example, Sen. Feinstein's stated intent to revive a piece of legislation that would reinstate the assault weapons ban," White House press secretary Jay Carney said at Tuesday's briefing. "He supports and would support legislation that addresses the problem of the gun show loophole, and there are other elements of gun legislation that he could support—people have talked about high-capacity ammunition clips for example, and that is something certainly that he would be interested in looking at."

On Monday, Carney declined to offer any specifics on gun control measures Obama might support after Friday's shooting in Newtown, Conn., amid pressure from gun control advocates and others.

But Carney stressed Tuesday that the president is actively discussing how to respond to the shooting.

"The president yesterday afternoon had discussions with members of his Cabinet, members of his senior staff and the vice president to begin looking at ways for the country to move forward and respond to the tragedy in Newtown," Carney said. He confirmed that the president met with Education Secretary Arne Duncan, Attorney General Eric Holder and Health and Human Services Secretary Kathleen Sebelius.

Carney added that the president is "heartened" to hear some pro-gun-rights lawmakers are open to discussing "common-sense gun control measures like the assault weapons ban."

He said the president also spoke Tuesday with West Virginia Sen. Joe Manchin—a Democrat and "A"-rated NRA member who publicly criticized assault weapons on Monday.

Carney underscored Tuesday, as he had the day before, that a substantive response to Friday's shooting requires a complex solution that includes not only gun rights, but mental health, law enforcement and other areas.

"Gun laws alone would not solve this problem," Carney said.

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Neighbor took six survivors into his home

NEWTOWN, Conn. (AP) — Gene Rosen had just finished feeding his cats and was heading from his home near Sandy Hook Elementary school to a diner Friday morning when he saw six small children sitting in a neat semicircle at the end of his driveway.

A school bus driver was standing over them, telling them things would be all right. It was about 9:30 a.m., and the children, he discovered, had just run from the school to escape a gunman.

"We can't go back to school," one little boy told Rosen. "Our teacher is dead. Mrs. Soto; we don't have a teacher."

Rosen, a 69-year-old retired psychologist, took the four girls and two boys into his home, and over the next few hours gave them toys, listened to their stories and called their frantic parents.

Rosen said he had heard the staccato sound of gunfire about 15 minutes earlier but had dismissed it as an obnoxious hunter in the nearby woods.

"I had no idea what had happened," Rosen said. "I couldn't take that in."

He walked the children past his small goldfish pond with its running waterfall, and the garden he made with his two grandchildren, into the small yellow house he shares with his wife.

He ran upstairs and grabbed an armful of stuffed animals. He gave those to the children, along with some fruit juice, and sat with them as the two boys described seeing their teacher being shot.

Victoria Soto, 27, was a first-grade teacher killed when 20-year-old Adam Lanza burst into her classroom. It wasn't clear how the children escaped harm, but there have been reports that Soto hid some of her students from the approaching gunman. The six who turned up at Rosen's home did apparently have to run past her body to safety.

"They said he had a big gun and a little gun," said Rosen, who didn't want to discuss other details the children shared.

Rosen called the children's parents, using cellphone numbers obtained from the school bus company, and they came and retrieved their children.

One little girl, he said, spent the entire ordeal clutching a small stuffed Dalmatian to her chest and staring out the window looking for her mommy.

And one little boy brought them all a moment of levity.

"This little boy turns around, and composes himself, and he looks at me like he had just removed himself from the carnage and he says, 'Just saying, your house is very small,'" Rosen said. "I wanted to tell him, 'I love you. I love you.'"

Rosen said Sandy Hook had always been a place of joy for him. He taught his 8-year-old grandson to ride his bike in the school parking lot and took his 4-year-old granddaughter to use the swings.

"I thought today how life has changed, how that ground has been marred, how that school has been desecrated," he said.

He said it wasn't his training as a psychologist that helped him that day — it was being a grandparent.

A couple of hours after the last child left, a knock came on his door. It was a frantic mother who had heard that some children had taken refuge there. She was looking for her little boy.

"Her face looked frozen in terror," Rosen said, breaking down in tears.

"She thought maybe a miracle from God would have the child at my house," he said. Later, "I looked at the casualty list ... and his name was on it."

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Gunman’s computers may be key in Connecticut school shooting investigation

NEWTOWN, Conn. — Alleged school shooter Adam Lanza reportedly occupied two bedrooms in his family's sprawling suburban home, one where he slept and another to stash his computer equipment.

For a young man who has been described as withdrawn from the outside world, Lanza's computer room is likely a gold mine for detectives, a veteran law enforcement source familiar with the investigation told Yahoo News.

"If he visited certain websites, they are going to glean whatever information they can from that and see what it means," said the source, who spoke on the condition of anonymity because he is not authorized to discuss the investigation publicly. "Does he have friends he communicates with online? Was there a fight with somebody?"

Police have already hinted that evidence inside the 4,000-square-foot home has been helpful in determining a possible motive for the rampage that claimed the lives of 20 children and six adult staffers at Sandy Hook Elementary.

Lanza shot and killed his mother, Nancy Lanza, at their home before driving to the school and commencing his deadly rampage, police say. Adam Lanza's body was later found inside the building, where police believe he took his own life. Results from the autopsies on the alleged gunman and his mother are still pending.

Lt. J. Paul Vance with the Connecticut State Police told reporters Sunday morning that investigators are scrutinizing the guns Lanza took to the school, including the semiautomatic military-style rifle the state's medical examiner said was used in the school killings.

"The weaponry involved, we are tracing historically all the way back to when they were on the workbench being assembled," Lt. Vance said.

However, he declined to discuss what else has been recovered from the Lanza home.

"Simply stated, we have a great deal of evidence that we're analyzing," Lt. Vance said. "The forensic part is an important part. That's not done yet."

While the gunman is thought to have acted alone, the law enforcement source said a deep dive into Lanza's computers could provide more clues.

"You don't know if this kid was put up to this by somebody else," the source said. "You don't know if there was a conspiracy of sorts. You don't know if there wasn't somebody who wasn't goading this kid on."

Family and friends say Lanza suffered from a personality disorder and that his mother, whom he killed just prior to the school shootings, struggled with her troubled son.

"Has he been seeing a child psychologist throughout his lifetime? Was he on medication?" the law enforcement source said. "These are a zillion logical who, what, whey, why, where questions that need to be answered. They need to be asked without any fear of any stigmatism … and you can't be politically correct in asking those questions."

Nor should the public be shy about discussing whatever is learned about Lanza's life and what prompted him to act, forensic psychologist Kris Mohandie told CNN.

"The opportunity is nearly always there to discover and disrupt," he said.

Dr. Mohandie said warning signs can include self destructiveness, hopelessness, desperation, interest in other mass shooters and a dysfunctional interest in weaponry.

Police say the guns used in the rampage were apparently owned and registered to Lanza's mother.

Without know specifics about the Lanza household, Dr. Mohandie pleaded for greater care with firearms.

"If you've got individuals who are unstable and you know it, it's probably a good idea restrict their access to firearms within their own home," he said.

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Police hope motive emerges from evidence in shooter's home

Conn. State police spokesman Lt. Paul Vance at Saturday morning's news conference. (Jason Sickles/Yahoo News)

NEWTOWN, CT - The Sandy Hook school principal and another staffer were killed after lunging at a gunman who forced his way inside to begin a deadly shooting spree, the regional school superintendent said Saturday.

The principal, Dawn Hochsprung, 47, and school psychologist Mary Sherlach, 56, died along with 4 other adults and 20 children in the second deadliest mass shooting in U.S. history. The alleged shooter, 20-year old Adam Lanza, was found dead at the scene, and his mother, Nancy Lanza, was discovered dead at their home.

Newtown school superintendent Janet Robinson told reporters that the two educators and other staff members had put themselves in harms way to protect children once it became clear the school was under siege.

"The teachers were really, really focused on saving their students," Robinson said.

Police on Saturday said evidence recovered at gunman Lanza's home may provide a motive for the massacre.

State police spokesman Lt. Paul Vance declined to provide specifics about the evidence but said, "we're hopeful it will paint a complete picture."

Authorities say Lanza  killed his mother at their home Friday morning before driving to Sandy Hook.

[Related: Follow the latest updates from our reporters in Newtown]

Armed with two semi-automatic pistols, Lanza rapidly sprayed bullets in hallways and classrooms. Lanza killed himself before police officers could reach him.

Lt. Vance said all the bodies were removed from the school overnight. A medical examiner is expected to release the names of the victims later today.

Police have assigned a trooper to support each victim's family in the days ahead. Vance asked reporters to respect the families' grief and privacy.

"This is an extremely heartbreaking thing for them to endure," Lt. Vance said.

Police were expected to release the names of the victims Saturday afternoon. Some names were already being disclosed by family members, including teachers Lauren Rousseau, 30, and Vicki Soto, 27.

It will likely take investigators two more days to process the school crime scene where it is believed Lanza fired as many as 100 rounds from his guns.

"It's going to be a slow, painstaking process," Lt. Vance said.

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20 children, 6 adults killed at Conn. school shooting

NEWTOWN, Conn. (AP) — A gunman opened fire inside a Connecticut elementary school, killing 26 people, including 20 children, by blasting his way through the building as young students cowered helplessly in classrooms while their teachers and classmates were shot.

The attack, coming less than two weeks before Christmas, was the nation's second-deadliest school shooting, exceeded only by the Virginia Tech massacre in 2007.

The gunman killed himself and another person was found dead at a second scene, leading to a total toll of 28, authorities said.

Panicked parents raced to Sandy Hook Elementary School, about 60 miles northeast of New York City, looking for their children in the wake of the shooting. Students were told to close their eyes by police as they were led from the building.

Robert Licata said his 6-year-old son was in class when the gunman burst in and shot the teacher.

"That's when my son grabbed a bunch of his friends and ran out the door," he said. "He was very brave. He waited for his friends."

He said the shooter didn't utter a word.

A photo taken by The Newtown Bee newspaper showed a group of young students — some crying, others looking visibly frightened — being escorted by adults through a parking lot in a line, hands on each other's shoulders.

Stephen Delgiadice said his 8-year-old daughter was in the school and heard two big bangs. Teachers told her to get in a corner, he said.

"It's alarming, especially in Newtown, Connecticut, which we always thought was the safest place in America," he said. His daughter was fine.

Andrea Rynn, a spokeswoman at the hospital, said it had three patients from the school but she did not have information on the extent or nature of their injuries.

Mergim Bajraliu, 17, heard the gunshots echo from his home and ran to check on his 9-year-old sister at the school. He said his sister, who was fine, heard a scream come over the intercom at one point. He said teachers were shaking and crying as they came out of the building.

"Everyone was just traumatized," he said.

Richard Wilford's 7-year-old son, Richie, is in the second grade at the school. His son told him that he heard a noise that "sounded like what he described as cans falling."

The boy told him a teacher went out to check on the noise, came back in, locked the door and had the kids huddle up in the corner until police arrived.

"There's no words," Wilford said. "It's sheer terror, a sense of imminent danger, to get to your child and be there to protect him."

At the White House, a tearful President Barack Obama said he grieved about the massacre as a father first, declaring "our hearts are broken today." He promised action to prevent such tragedies again but did not say what that would be.

The scene in the White House briefing room was one of the most outwardly emotional moments of Obama's presidency.

"The majority of those who died were children — beautiful, little kids between the ages of 5 and 10 years old," Obama said.

He paused for several seconds to keep his composure as he teared up and wiped an eye. Nearby, two aides cried and held hands as they listened to Obama.

"They had their entire lives ahead of them — birthdays, graduations, wedding, kids of their own," Obama continued about the victims. "Among the fallen were also teachers, men and women who devoted their lives to helping our children."

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Associated Press writers Jim Fitzgerald in Newtown, Pete Yost in Washington, D.C., and Michael Melia in Hartford contributed to this report.

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Rice drops out of race for top State post

Susan Rice, the embattled U.S. Ambassador for the U. N., withdrew her name from consideration Thursday to be Secretary of State.

"If nominated, I am now convinced that the confirmation process would be lengthy, disruptive and costly — to you and to our most pressing national and international priorities," Rice wrote in a letter to President Barack Obama, NBC News first reported.

President Barack Obama confirmed her withdrawal in a statement Thursday afternoon, saying, "While I deeply regret the unfair and misleading attacks on Susan Rice in recent weeks, her decision demonstrates the strength of her character, and an admirable commitment to rise above the politics of the moment to put our national interests first."

Talk of Rice being nominated to succeed Hillary Clinton stirred significant controversy following Rice's role in the handling of the Sept. 11, 2012 attack on the U.S. Embassy in Benghazi, Libya.

Republicans accuse Rice of misleading the public about intelligence which indicated the attack was premeditated. And the White House has been accused of ignoring requests for increased security at the embassy.

Rice's withdrawal is a loss for the administration, which had staunchly defended Rice amid significant criticism, and will be viewed as a win for Arizona Republican Sen. John McCain and other Republican senators who had vowed to block Rice's confirmation.

Republican Sen. Lindsey Graham of South Carolina, one of Rice's leading detractors, declared Thursday, "I respect Ambassador Rice's decision" and said Obama "has many talented people to choose from" to succeed Clinton.

Graham accused the administration of "stonewalling" efforts to look into the Benghazi attack and vowed to keep "working diligently to get to the bottom of what happened."

Speculation regarding who will be chosen as the next Secretary of State now shifts to Sen. John Kerry (D-Mass.)

Obama is expected to overhaul much of his foreign policy and national security teams for the coming term. Defense Secretary Leon Panetta is departing, the position of Director of the CIA is open following the David Petraeus scandal. s second term. And Homeland Security Secretary Janet Napolitano is rumored to be looking to replace Attorney General Eric Holder.

Olivier Knox contributed to this report.

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