Mitt Romney suggests there's a "bombshell" in Donald Trump's taxes

[MADem]

32. I am going to need an exact quote, and a source citation.

I think your memory of what Senator Reid said might be compromised.

WAPO often takes issue with Reid because he's crusty and tough and doesn't always give their reporters what they want. However, I see nothing that could possibly be called a LIE in that 'quote' you provided. If WAPO was "Pinocchio-ing" him for that concise term, there was likely more to it than that--they were gigging HIM for not giving them something they wanted.

ANYTHING can follow "The word is out." Anything at all.

"The word is out that Trump has hair extensions."

"The word is out that Marco Rubio is afraid of tabby cats."

"The word is out that Ted Cruz is not a natural born citizen."

Saying "The word is out" doesn't mean "It's an indisputable fact." It indicates that people are talking about a distinct possibility. It's akin to the term "Rumor has it." It's a DC way to spread rumors without being quite so In-Yer-Face about it.