Wow, now we’ve got paparazzi filming other paparazzi!!

Video/audio footage has surfaced of photographers talking about their paparazzi agency’s “set up” that they did with America’s favorite couple Heidi Montag and Spencer Pratt from The Hills.

Heidi and Spencer, as first reported by Celebrity Babylon, have reportedly racked up a cool $30,000 for staging photos and their engagement for a double-page spread in a certain tabloid magazine.

“It’s an arrangement that suits both of them,” says an MTV insider. “They won’t be walking down the aisle, they will go through the motions of planning a wedding, and then have a big break-up that will get lots of press. All caught on camera by photographers, of course.”

Says Celebrity Babylon, “It’s a manager with a contract in hand, the dirtiest deal in Hollywood, the romance is a publicity stunt to make the two cover-worthy magazine stars and generate a significant side income!” Watch the video here!

20+ pictures inside of Heidi and Spencer working out, dining, and doing laundry together in Los Angeles two days after their “engagement” was announced.

Lauren Conrad stayed a safe distance away when co-stars Heidi Montag and Spencer Pratt came stomping onto the red carpet.

The Hills‘ resident dysfunctional love unit did stop to speak with Just Jared on the red carpet at the 2007 MTV Movie Awards, though. The engaged couple (they wouldn’t confirm their relationship status) chatted up Heidi’s future music career and what we can expect from the new season of The Hills.

Heidi on visiting JustJared.com: I think I just saw your website the other day! (laughs) I think I diiiiiiid!

On her red carpet outfit: It’s just from a small boutique from Green Tea and I’m wearing Jimmy Choos [heels].

On the second season of The Hills: It’s going to be crazy with a lot of unexpected things — relationships, friendships, everything. Pretty exciting! The best season ever — way better than last season I’m sure.

On not wearing her engagement ring: What engagement ring? You’re gonna just have to watch The Hills!

On who she’s looking forward to seeing at the Awards Show: Sarah Silverman. I hope Jimmy Kimmel comes out. They’re our favorite people. We like funny people.

On her upcoming album: I’m doing it with David Foster under 143 Warner and it’s going to be very pop, emulating Britney Spears and Pussycat Dolls. That kind of sound — very sexy but young and fresh.

On her readiness to whip out her dance moves: I’ve been waiting my whole life! I’m ready!! (Spencer: “She was born to be a pop star!”)

On her musical inspirations: Madonna, Britney Spears… back when she was getting started, and Michael Jackson. … The album’s coming out this fall.

On her many music video ideas: I have a million, but I can’t talk about it. (laughs) That’s my favorite part, I’m so excited for that!

On her writing songs for the album: “I’m not finished with the album but I have written a little bit of it.” (Spencer: We’ll see which songs make the cut but Heidi’s been writing at least half of the songs so far.)

On her relationship with former roommate Lauren Conrad: You’re going to have to watch The Hills but you know, obviously, we walk the red carpet differently, but you know, we’re friends. We’ll have to see.

Spencer on Lindsay Lohan’s DUI incident: I think it is terrible that these girls are the role models for millions of girls growing up around the world, not even just America.. They need to wake up and it’s not just their lives. There are so many impressionable youths that are looking up to them like, ‘Oh, that’s so cool to get a DUI.’ It’s like the new thing. It’s like no, it’s terrible. People should be drinking their water, be healthy. And I feel bad for her.

Spencer on the fairness of Paris going to prison: I took down the Free Paris campaign down [from my MySpace] once she acknowledged that she should have been in jail. I just thought it was 23 days and they were trying to make an example of her. At the end of day, she was just a normal citizen and she should be punished.

Spencer on this blog: So Just Jared.com? Are you going to blow Perez out of the water? Anytime you need it, here, grab my cell phone in case you guys ever want to do something. I love digital media. It’s the future. (scribbles cell phone number on my paper pad) Call me. Anytime.

Stars of the MTV series The Hills Spencer Pratt, Heidi Montag, Whitney Port, Audrina Patridge, and Lauren Conrad pose as they arrive at the MTV Movie Awards in Los Angeles, Calif. Sunday, June 3, 2007.

From A to C!

The Hills star Heidi Montag shows off her newly sculpted schnoz and boob job to boot at the beach on Thursday in Los Angeles, accompanied by live-in boyfriend Spencer Pratt.

The reality TV pair played a game of paddle ball and showed off their affection for each another in more ways than one — they kissed, they cuddled, they shot water guns at each other, they chased each other in the water, he did push-ups with her sitting on top of him, he carried her on his shoulders and he even slathered sunscreen on her. Whew.

30+ pictures inside of Heidi and Spencer…