Transcripts For CNN The Situation Room With Wolf Blitzer 20090708

amazing. >> stick around. i want to continue this conversation now. let's do this. let's take you to washington, d.c. here's wolf blitzer with "situation room." wolf, take it away. >> rick, thanks very much. president obama confronts the ruins of an earthquake and the global economic crisis. this hour, what he hopes to get out of the first g-8 summit while protesters stir the pot. plus, revealing new glimpses of michael jackson's children. we saw his daughter distraught at his memorial. now we're learning more about all three kids and how they may be coping right now. and it sounds like something out of a horror movie by killer pythons are a real threat to people in florida right now. new warnings about monsters lurking in the everglades. i'm wolf blitzer in cnn's command center for breaking news. politics and extraordinary reports from around the world. you're in "the situation room." we begin with president obama. he's getting an eyeful and an earful at his first summit with the leerds of the world's most powerful economies. they're meeting in an italian mountain town devastated by a huge earthquake in april. on their agenda, economic and natural disasters, threatening the world right now. let's go to the senior white house correspondent ed henry traveling with the president joining us now live from italy with more. an important day for the president and didn't get everything by any means that he wanted. >> reporter: the financial crisis and climate change, two hot button issues on a lot of the minds of the americans here dominating the agenda here, as well. president obama may be in italy for the first g-8 summit but trying to stay focused on the still ailing u.s. economy. mr. obama quickly joined the other leading industrialized nations in reaffirming their commitment to restoring growth in global markets and he's vowing to help tighten financial regulations. >> we discussed the importance of europe and the united states raising standards on financial institutions to insure that crisis like the one taken place will never happen again. >> reporter: the president is also trying to move aggress ily to deal with another potential crisis, climate change. he helped lead the group to support a reduction of greenhouse gas emissions of developed countries, an 80% cut by 2050. >> this is a significant step forward in that the g-8 is the first time has published this sort of data on where countries are with regard to their prior commitments. >> reporter: but the declaration has no enforcement mechanisms though white house officials hope it provides momentum for real change. the president also wants to use the g-8 to gain momentum for the effort to stop iran and north korea from obtaining nuclear weapons. >> that it's very important for the world community to speak to countries like iran and north korea and encourage them to take a path that does not result in a nuclear arms race in places like the middle east. >> reporter: italian prime minister berlusconi moved the summit to l'aquila to highlight devastation of an earthquake. people living without homes here playing off mr. obama's campaign slogan, yes, we can. by telling the world, yes, we camp. now, the president toured earthquake damage today and the u.s. is trying to help victims in several ways, a big one is by trying to give students who were attending the university of l'aquila, badly damaged by the quake, one-year scholarships to come over to attend american universities. wolf? >> then, the rest of the week, he stays in italy but he meets with the pontiff, the pope, what, on friday? >> reporter: that's right. his first meeting with pope benedict on friday. then, of course, goes on later that day for one night in ghana. the first african-american president going to ghana is going to command a lot of international attention, wolf. >> thanks very much, ed henry, traveling with the president. he's certainly the president logging a lot of miles on the overseas trip, traveling from moscow, the russian capital, to italy. friday as ed mentioned heads to ghana, the first viz it to a black african nation since becoming president. he visited egypt in northern africa in june and likely to be a historic stop for the president to tour the former headquarters of the british slave trade. the white house chose democratically run ghana for the landmark visit over the troubled african nation of kenya, the homeland of the president's father. by the way, cnn's anderson cooper will interview the president in ghana. you will see that interview monday night on "anderson cooper 360," 10:00 p.m. eastern. the obama administration is declaring that the united states is a critical step closer today to fixing the nation's health care system. the vice president joe biden announced the new agreement with the hospital industry to help fund reform. the house republican leader is accusing the administration of bullying health care groups to cut what he calls back room deals. let's go to capitol hill, congressional correspondent breanna keeler is watching the historic debate unfold. what happened? >> reporter: wolf, the white house cheering this agreement but on the deal making that really matters, the closed-door discussions happening here on capitol hill where, well, nothing to cheer about yet. with president obama overseas, vice president joe biden stepped in to push the administration's top priority -- health care reform. >> folks, reform is coming. it is on track. it is coming. we have tried for decades, for decades to fix a broken system. and we have never in my entire tenure in public life been this close. >> reporter: biden touted a deal with the hospital industry. hospitals will give up $155 billion in medicare and mid kad payments over the next ten days, money to help pay for health care reform but it's not enough, not nearly enough. and congressional democrats are struggling to find a way to pay for the rest of the trillion dollar price tag. a key proposal to tax employer-provided benefits once seen as a likely way to raise hundreds of billions of dollars may be dead. democrats aware that most polls show most americans oppose the deal are souring on tax benefits and maine senator snowe a moderate republican working on a bipartisan deal. >> i believe that we should just move from there and take it off the table and move forward and find other alternatives. >> reporter: meantime, in the house of representatives where democrats are putting together their own health care plan, they're considering a whole slate of controversial tax proposals, things -- all sorts of things, wolf, from taxing households that make more than a quarter million dollars to put a tax on soda, wolf. >> all right. they need money from some place but this debate is only just beginning. we'll see how the president and his allies on the hill wind up. let's go to jack cafferty right now with the cafferty file. jack? >> we have a $11 trillion economy in this country? >> something like that. >> if they cut 10%, that's roughly a trillion dollars a year, wouldn't? >> right. >> why not expenses? tax this and raise this. we got to find more revenue and revenue. cut 10% of the federal government. outside adviser to president obama here we go again says the u.s. should consider a second stimulus package because the $787 billion package approved in february was, quote, a bit too small unquote. others have criticized that plan for not distributing the money fast enough to create the jobs necessary to halt the downward spiral we seem to remain in. on capitol hill, house majority leader hoi aside he would consider a second stimulus but said it's too soon to say the first failed. it's been four nant and a half months. it's less than a screaming success. the economy is still struggling. very much so. mired in a recession that shows few signs of abating. last week's jobs report found unemployment still climbing, experts saying it will pass 10% this year. even though the stimulus package was supposed to hold unemployment below 8%. yesterday, the stock market closed to the ten-week low so confidence clearly still lacking among investors and all that optimism over perceived green shoots of recovery that were touted just a few weeks ago, that's all but disappeared, hasn't it? along with the shoots. advisers agree on one thing. the stimulus bill was based in an economy that was not as bad as the one we're in now. that was the first stimulus bill. so he're the question. should the government consider a second stimulus package? go to cnn.com/cafferty file. post a comment on my blog or not. wolf? >> a lot of people will, jack. thank you. sarah palin says she is the target of frivolous lawsuits and ethics charges but watchdogs in alaska say they're sure there's a smoking gun. aheadt governor struggling to explain why she is resigning later this month. and the state of the president's popularity. new evidence that the honeymoon may be over in one of the most important political battlegrounds. a battle may be brewing over who foot it is bill for michael jackson's all-star memorial service. mr. evans? this is janice from onstar. i have received an automatic signal you've been in a front-end crash. do you need help? yeah. i'll contact emergency services and stay with you. you okay? yeah. onstar. standard for one year on 14 chevy models. is something that the bank of america really has the market cornered on. let me make it easier for you. let me show you how i can make it easier for you. online banking is going to be your best friend; it's going to help you manage your money. it has an alert system that can text message you. we have great new image atms. it will give you a receipt which has a copy of the check you deposited. you're in control of your finances. now when you talk about convenience, you measure us up to everyone else. well, you'll see we stand ahead of the curve. sarah palin says she is the target in a game of political blood sport. her words. that's what she told cnn as she explained why she decided to resign as alaska's governor later this month citing ethic complaints against her. what are the charges about? who's filing them? cnn's sean callebs digging and joining us live from anchorage with more. what are you finding snout. >> reporter: wolf, the charges by a cross-section of people here in alaska. and depending on who you speak with, either trivial and taking up the governor's time or provide very key insight into the way she is operated in the two years she has been running this state. after spending months caught in a net of seemingly endless accusations of ethics violations, sarah palin says it was too much, draining on her, draining on her family and especially draining on the state. it cost an estimated $2 million for alaska to answer the 19 complaints leveled against her and her staff. >> it doesn't cost the critics anything to file frivolous lawsuits or ethics violation charges. it costs our state such a great deal. thousands of state staff hours, millions of dollars in public resources that aren't going to things it should be going like soldiers' benefits and safer roads and teachers and troopers. >> reporter: she is a sharp thorn in the side of palin, filing four complaints against the governor and staff and two lawsuits. mccloud, a registered republican, says they're hardly frivolous. >> exercising my right to get those public records in order to discover what sarah palin is up to. >> reporter: here are some of the litany of complaints leveled against palin. a conflict of interest because she wore a jacket with a logo while at a snowmobile race. the other that says the state paid for her children's travels. another says palin improperly hired a friend for a state job. that complaint was dismissed. james muler is a political science professor at the university of alaska anchorage. >> i think most of the ethical complaints are fairly trivial. almost all of them have been dismissed by the various levels of review that have taken them up. some of them are clearly kind of fanciful or farcical. >> reporter: there are a couple pending but palin is cleared in the others. the lawyer says the accusations personally cost the governor more than half a million dollars in legal fees and worse so time consuming it's ham strung efforts to do state business. is there a frustration on your part she's portraying you and the other people who filed the complaints as kind of like these conspiracy conspirists, lack of jobs? >> every one of the complaints have to do with sarah palin's personal choices. she always puts her personal interests before the state's interests. >> reporter: and wolf, palin's attorney tells cnn the accusations are nothing more than like the boy who cried wolf and leaving office on july 26th, the process won't end there. state officials tell us they're working through the legal system until they all have been resolved. wolf? >> sean, up in anchorage for us, thank you for the reporting. let's bring in candy crowley. you know, she's still very popular. we have a new "usa today"/gallup poll. look at the numbers, candy. they asked the likelihood of voting for sarah palin for president, would it be somewhat or very likely? 72% of republicans said they would likely or very likely somewhat or very likely vote for her. 44% among independents. 17% among democrats. i say only -- i'm surprised it's even 17% among democrats. >> absolutely. i was, too. i talked to the pollster who you know very well and very good at this saying, look at the poll this way. about 30%, a third of republicans wouldn't vote for her so that he thinks that number at this particular stage of the game is interesting. plus, she's up against no one in these polls. it is not a would you prefer her over x. >> romney, let's say. >> right. here's sarah palin. how do you feel about her? pretty far out. but it is interesting, i think, for who -- the number of republicans, 30%, withholdn't vote for her. >> speaking of polls, there was a poll in the key battleground state of ohio. we always talk about ohio in presidential elections. and look at this. right now, president obama's approval rating, it's at 49%. it was 62% in may. nationally, it is still around 61% but in ohio it's slipped pretty dra xhmatically down to . explain what this means. >> what we need to know, the canary into the cave? is this a harbinger of something to come from ohio? ohio still a deeply distressed economically distressed state. we have begun to see some slippage but nothing like that on the national stage. i think what we already are getting a sense of, that is health care is awfully difficult. a second stimulus package if it's needed is pretty tough. that when the president said, gee, this is now, you know, you're going to hear opposition now. it is really getting tough and he is absolutely right. some of that support appears to be falling off. we need to get more. it is interesting. >> i suspect in ohio like in other industrial states, he said when he took office and got the first stimulus package passed nearly $800 billion, things will get better but a lot of folks in ohio aren't feeling that yet and jobs are still being lost. >> that's right. the key is jobless rate. talking to people about the gdp improve add little bit or the second quarter of this or that. the eyes glaze over. you say, hey, unemployment approaching 10% or in some states over it, that's huge. they get it. it's no talk of a lagging indicator helps and why you see this fall off. >> thank you. the world is finally seeing michael jackson's children without masks and with at least one of them talking. what might happen now to those three kids? i'll speak about it with cnn contributor -- with a cnn contributor that's met them and knows them and you might want to wait before you drink your next bottled water. experts say there are things you need to know but probably don't. deborah feyerick is monitoring other stories. deb, what's going on? >> hey there, wolf. cyber attacks on websites like the white house, pentagon and new york stock exchange were broader than initially thought. several websites were knocked off line by software. government officials say it's a sign of the times. >> we are constantly probed in the cyber world. we -- we -- and have been for sometime. and without going into specific details of that, i'm comfortable that we are alert. we recognize the probes and we are responding. but again, it is an area of growing concern for all of us in leaders of position. >> blaming north korea for the cyber warfare, they say it's too early to tell. do you know what's in that water bottle? researchers say it should be labeled with the same information of municipal water providers give. they say there's no little known that americans should make it, quote, a distant second choice to filtered tap water. and a fight may be brewing over who pays for that multimillion dollar michael jackson memorial. the los angeles city attorney's may force third parties to pick up the tab. the service drew more than 17,000 fans and required hundreds of police officers to work overtime. so far, staples center owner aeg live has not committed to helping with that bill. wolf? >> about $4 million the city supposed to have spent on that extra security and everything. we'll see what happens on that front. thank you, deb. we'll have more on michael jackson, as well. his long-term dermatologist is now breaking his silence about rumor that is he fared two of the pop star's children. stand by to hear what he is saying today. a man with a guitar takes the gripe with an airline straight to youtube. of the world's most revered luxury sedan. this is a history of over 50,000 crash-tested cars... this is the world record for longevity and endurance. and one of the most technologically advanced automobiles on the planet. this is the 9th generation e-class. this is mercedes-benz. you are in "the situation room." man on a mission sneaked bomb component in federal building, carry the explosives into offices with public traffic. they were federal investigators, not actual terrorists. but a new federal report fears terrorists could do did same thing. disturbing details of the condition of michael jackson's body when he died. a source tells cnn about mysterious yet suggestive marks on the arms. scaling mt. rushmore. protesters risk their lives and police arrest to send a message to president obama. is their message acceptable or offensive to the president? i'm wolf blitzer. you're in "the situation room." you might think a massive memorial for michael jackson put an end to the hoopla around the death. yet, many people are still asking serious questions, among them, where will michael jackson be buried? no word on that yet. there are also persistent questions of jackson, his two oldest children and jackson's long-time dermatologist now breaking his silence. let's turn to cnn's cara finnstrom in los angeles working this story for us. what happened today? >> reporter: larry, it appears that dr. arnold klein making media rouds. he will be on "larry king live." earlier he was on "good morning america." and he's been tweeting since, urging people to check out the interview during which he made one couched denial. dr. arnold klein is speaking out almost one week after the magazine "u.s. weekly" reported he fared michael jackson's two oldest children. >> all i can tell you is to the best of my knowledge i'm not the father of these children but if push comes to shove, i can't say anythingn't it. >> reporter: klein not ruling anything out. debbie rowe married to jackson worked in klein's office for 23 years. klein did offer a clear denial on another front. telling "good morning america" he is not on the list of doctors questioned by los angeles police. sources tell cnn detectives interviewed numerous physicians linked to jackson as they investigate whether prescription drugs prompted his death. >> i'm not one of the five doctors. i have not been examined by anyone. okay? i've not been contacted by the police in los angeles. so i don't know what to tell you but i'm not one of the doctors. >> reporter: klein said he gave jackson certain medications with painful skin procedures but he says he never gave jackson dangerous drugs. he did worry about jackson getting medication elsewhere. and klein also told "good morning america" that he saw jackson just three days before his death in his office. that he was singing and dancing for patients with nothing apparently wrong. again, he will be on "larry king live" tonight on cnn. wolf? >> 9:00 p.m. eastern. thanks very much, cara, for that report. amid all these questions about the kids, there are other questions regarding what will happen to them and what kind of children they are. joining us now from los angeles, brian monroe, our cnn contributor, the last journalist to interview michael jackson. let's talk a little bit, brian, about these three kids. did you ever have a chance to meet any of these kids? >> you know, actually, i had the opportunity when we did the interview with michael back in september of 2007. at the hotel. we were -- when i knocked on the door, opened the door and greeted by blanket, the youngest son. prince michael jackson the second. he was very friendly. had a candy dish with lifesavers in it. i said i'm okay. he reached out with the left hand and michael stopped him and said, no, no. use the right hand and it was just a little that moment that showed that father and son connection. i've got a son about the same age and it was genuine. and that was the really special thing about seeing the services yesterday. and watching the family come together on stage. we saw paris who just brought tears to our eyes with that sincere, you know, daddy father, you know, i have known you since i've been alive and that sincere father/daughter connection and the glimpse of blanket, hard to see as the family embraced. blanket snuck in off to the side and right in the middle, janet and la toya and ultimately that's where they belong, in the middle of that family. >> we'll talk about where they're going and might be in store for them. blanket is now 7 years old. paris is 11 years old. the oldest child is prince michael who's 12 years old right now. we saw him yesterday but we really didn't hear from him. is he just basically shy this kid? >> well, all three of them are very close. i think paris and prince, being the older onesr a little bit more i guess mature and blanket is more precocious but they're all so tight. they're in this family of cousins. all the brothers, you know, marlon, tito, jermaine and the sisters are part of the big family and they have kids and sometimes the kids have kids and growing up inside that circle of cousins and katherine as the may matriarch of the family and the nanny, taking care of them, grace mum, you know, that is that tight family. plus, then you bring in diana ross and her family and extended family. diana, of course, you know, asked to step in if anything happened to katherine and we heard the letter read yesterday at the funeral. that family and extended family structure is what's needed to raise those kids. >> the three kids and very adorable and precocious, they don't have a father or a mother really either. they have a grandmother who's got at least temporary custody of these three kids. you know katherine, the mother of michael jackson. is she, what, 79 years old? is she really qualified to raise the three kids right now? >> i think, again, she is there with a strong support network. that support network of her family and extended family. you know, you have rebi, michael's oldest sister. michael is one of nine children and the third youngest of nine children and, you know, she will help raise the kids. you have that whole family there, whether they're in town or traveling or out on the road. janet, of course, successful artist in her own right but you saw that moment with paris leaning on janet's shoulder and janet reached out to touch her arm and then afterwards gave her a big embrace. that's real. that's the image of michael jackson that i think we will be left with as michael as a father. >> tell us about the parents of michael jackson, katherine, the father. joe, the father. they've been estranged from each other for a while. they live in separate areass that right? the question is what role will the grandfather have, joe jackson, in raising the three kids if any? >> joe lives in las vegas and been there for probably a decade or so. katherine with the family is in en encino and they had a 60th anniversary party in los angeles a few months ago but part of the family, they have learned a lot from joseph as both a father and as their, you know, befact to manager for the first few years out of gary. he was strict, a task master. some say he was overly tough. >> michael in his interview said he was abusive and i guess a lot of folks are worried, will he have a role in raising these three kids if, in fact, he was abusive to his own son? >> i think more importantly that network of family memberst brothers, you saw marlon there talking about the brother he lost, brandon. and i think the brothers and the sisters will have a much stronger role with those kids, the grandparents are, of course, very important. but you got a family of nine brothers and sisters, they'll make sure the kids are all right. >> brian monroe, thank you for joining us. >> thanks, wolf. >> jim moray will be joining us. where will michael jackson be buried? that's coming up. meanwhile, opponents of don't ask, don't tell trying a new approach to repeal the ban of days serving openly in the u.s. military. plus, after giving up the airlines' complaint desk, he took a come paint to where he would be heard. later, what brought north korea's leader out of hiding? t w my credit was whack ♪ ♪ 'cause now i'm driving off the lot in a used sub-compact. ♪ ♪ f-r-e-e, that spells free credit report dot com, baby. ♪ ♪ saw their ads on my tv ♪ thought about going but was too lazy ♪ ♪ now instead of looking fly and rollin' phat ♪ ♪ my legs are sticking to the vinyl ♪ ♪ and my posse's getting laughed at. ♪ ♪ f-r-e-e, that spells free- credit report dot com, baby. ♪ there's a new campaign underway to try to change the policy on days and lesbians serving in the u.s. military. opponents of don't ask don't tell relied new allies. straight service men and women. let's go to chris lawrence, he's working the story for us. part of increasing pressure on the president to change that policy, chris. >> reporter: that's right, wolf. at the same time that the highest ranking military officers urging a measured change to the policy, others are going full speed ahead. a congressman in combat veteran is launch ago tour to repeal don't ask don't tell. >> in iraq, my men did not care what race, color, creed or sexual orientation their fellow paratroopers were. >> reporter: representative murphy is targeting distincts where military families live trying to drum up popular support for the needed votes in congress. the tour is using straight soldiers and veterans the reach other troops and their families. >> i can speak to people who may not be open to speaking to days and listening to them. >> reporter: the original law was homosexuality is not compatible with military service. the 1993 compromise said the military won't ask recruits if they're day before being inducted and day troops won't tell. >> basic human behavior in terms of relationships between people who may be sexually attracted to each other is not changed in 16 years. >> reporter: the center for military readiness says there's no reason to repeal don't ask don't tell and 1,000 former officers agreed. they sign add letter to president obama that said, forcing soldiers to live so closely with openly day troops for months at a time does hurt morale and cohesion. but some straight soldiers disagr disagree. >> everybody on the opposition used us as saying and said, you know, this is going to disrupt unit cohe is and offend the who are not day. it doesn't offend us and stop talking for us. >> reporter: of course, there are other soldiers that feel differently who may not be as comfortable speaking out. there are -- a been few hundred day troops who have been kicked out since president obama took office and some critics say he's passing the buck. that he could use his executive power to temporarily suspend these discharges in a time of war. wolf? >> pressure is mounting on him to do precisely that. chris, thank you. frustrated with customer service, try taking it to youtube. that's what one musician did after he said united airlines damaged his guitar. the song is a pr nightmare for united. let's bring in abby. let's explain what happened. >> if you've been frustrated with an airline, you need to see the video. this is canadian musician dave carol who says that last year on a flight he watched in horror as baggage handlers smashed his beloved taylor guitar as you can hear him singing about abe then spent a year trying and failing to get compensation from united airlines. so he took his gripe to youtube. ♪ ♪ united you broke my taylor guitar ♪ ♪ united some big help you are ♪ ♪ you broke it you should fix it ♪ ♪ i should have flown with someone else or gone by car ♪ ♪ because united breaks guitars ♪ now, carol's become somewhat of a poster child for frustrated passengers everywhere. just got posted on monday. now at about 150,000 views on youtube. >> be a lot more after this show, i'm sure, as well. is united responding? >> amazingly after 50,000 views, last night, they called him. a united airlines spokeswoman says they're in conversations to, quote, make what happened right. they called this video a unique learning opportunity and, wolf, saying they're using it internally to ensure better customer service. >> i like the song, too. >> pretty catchy, right? >> thanks very much for that. the pope, he's talking about the economy. will he influence president obama's economic thinking when when two of them meet later this week? dangerous snakes preying on people and animals in your own backyard. that's the fear of residents in a python-plagued area. especially after a python squeezed the life out of a baby. now, congress is being urged to do something about it. at first i was afraid. i was petrified. kept thinking that each meeting meant... that i would have to fly. but then i spent so many nights... reading e-mails way too long. then i grew strong. network video came along. ♪ and so i'm back ♪ no time to waste ♪ just click the mouse and get things done ♪ ♪ see people face-to-face ♪ i should have changed things long ago ♪ ♪ this technology saved the day! ♪ [ female announcer ] more collaboration, less complication. that's the human network effect. learn more at cisco.com/newways. well, saturday the 16th weighing in on the economic crisis. let's talk about this and more with political contributors joining us. james carville and alex castolanos. the pope in a lengthy statement on the eve 069 g-8 summit in italy told the world without doubt one of the greatest risks for business is they are almost exclusively answerable to the investors thereby limited in their social value. >> he said it was a papal and cyclical and called to have a world governing body to deal with these economic issues. and of course, this is an issued right before the president came. i'm kind of -- when i read that this morning and the conservative catholics accuse the liberal catholics of being cafeteria catholics, we don't like the teaching on married priests or days, and to my conservative catholic friends i have a -- welcome to the cafeteria because something tells me that they're not going to be taking -- >> not going the like this latest ed dikt, if you will. >> a lot of catholics aren't. will the of republicans and conservatives aren't because, of course, what the pope i think missed is that if the greatest social program if you look at it, american business, if you looked at it as a social program and judged it that way, it helps people out of poverty, pays mortgages and sends kids to school and business does well by doing good and, of course, not just that. it's our system here is what has made america contribute to charity -- >> president obama will meet with the pope on friday at the vatican. >> first of all, i think that it will be the same as president obama certainly that the right wing catholics tell us to agree not to sell condoms in africa or the church's policy on birth control which we disagree. i'm president obama will disagree with this. but i think he's going to be obviously courteous and respective to the pope. he is the pope. it shows the dangers of ortho x orthodoxy and the koth licks of being in the cafeteria. we are all in the cafeteria. >> make a final point. >> i think president obama has a lot to learn from the pope and one of those is basic of christian charity is what's mine is yours. obama's is what's your yours is mine. that's not christian charity so maybe he could learn a little. >> let's talk about the number one domestic priority. it would be health care. reform. there seems to be some confusion. your good friend rahm emanuel telling "the wall street journal," the goal is to have a means and mechanism to keep the private insurers honest, the goal is nonnegotiable, the path is. that's seen as seeing the option for companies to compete with the private sector may be negotiable. >> i think what he was saying is that's a goal. there are people talking about doing co-ops. doing different things. frankly, i don't think that there's a better policy than to have the public option. and i think what rahm was doing is acknowledging the fact that this thing is in the senate and that they're trying to move it in a direction. look, this is going to be -- >> narrowly passed in the house a. question of the senate. the white house got so nervous because the more liberals in the senate, they got very upset at the statement from rahm, the president issued a statement while he was overseas saying i am pleased by the progress we are making on health care reform. still believe as i said before to assure quaelt is a public option that will force the insurance companies to compete and keep them honest. >> right. wolf, i think it is exactly right. i think that right now the house and the president want the government-run plan, the public option. the senate is more tempered body and does not. at the end of the day, president obama is burning up the political capital. we saw him drop 30 points in the quinnipiac poll. he's scaring people. running out of political capital, what's the middle ground? how does he bring house and senate snotogether? a trigger. they don't have to have the government-run plan right now. we'll kick it in this five years. >> he says he wants to sign something into law at the end of august. >> i say a poll dropping 13 points and now 30 points. >> 60 to 30 to even. >> if i ran the deaf fits that republicans ran i wouldn't know about math right now either. the right tells us that the government can't do anything. why would they fear a public option? if private enterprise can compete with the public option, no one would take the public option. i don't understand if they can't organize a one-car parade, what's the fear? >> the president says repeatedly, if you like your plan, your employer-based plan, your doctor, nothing will change. >> and admitted we won't be able to help it if the employer dumps you into a cheaper government-run plan. if you go to a store and the government sets up a grocery store and they don't have to pay the bills, ask your children to pay for it down the road in debt, how long do you think you'd be in business and have the job? that's a government-run plan will do and why it scares people. >> we have a stately kor store system in virginia and one across the street. i don't know if anybody says i'll go to the government-run store. that's the -- all this is is fear and it's fear driven by the fact that the insurance companies own the republican party lock, stock and barrel. y'all had eight years to do something about health care. health care costs exploded. now you're saying everything that you want to do to make things better is all some kind of conspiracy. you had your chance and you did nothing. >> when the government decides to compete with the private sector, it is like an alligator competing for a chicken and private health insurance is the chicken here. people will lose their coverage. government can hide the costs when they want to. that's why the president is asking for trillions more in debt. >> people go across to use the governmental government liquor stores in virginia. >> virginia doesn't like people -- >> they want to -- the government, abc store. it is a government-run liquor store. i don't know of anybody from maryland coming to virginia to buy booze. >> we should go have a drink and set this will. >> thanks very much a. preview of the debate to intensify over the next several weeks. thank you. there's a new reason to fear that a powerful bomb with explosive power like this could find its way into a u.s. government building t. results of aunds cover investigation for congress. and cnn learns disturbing new details about state of michael jackson's body on the day he died. we'll have those details for you. a challenge to president obama straight from a monument to some of the most successful, his most successful predecessors. (announcer) we speak car. we speak rpms so you can zip by other cars. but we also speak mpgs so you can fly by gas stations. in fact, we speak mpgs so fluently, we can say one more thing. the new ford fusion is the most-fuel-efficient midsize sedan in america. and that's something no one else can say. we speak the 2010 ford fusion. get in... and drive one. there's disturbing story out on the west coast. let's check in with deb feyerick. >> wolf, the renowned getty center art complex is right now in the process of being evacuated, all staff and visitors in that area. officials calling ate precaution. that's because firefighters right now are battling a blaze, a fast-moving brush fire they're calling it so far consumed about 14 acres in the santa monica mountains west of los angeles. the california highway police closed certain roads in the area, they're considering closing down a portion of the 405 freeway. right now, 150 firefighters battling that blaze along with four aerial helicopters. you can see pretty dramatic pictures. wolf? >> i've been do that area. that is disturbing. >> let's check in with jack with the cafferty file. >> should the government consider a second stimulus package? joy writes, it would be a bitter pill to add even more to the deficit. i'm so frustrated. people i know are desperate for a job. i never see anything on the news about the jobs people are getting because of the first stimulus package. how can we know if it's getting any good? shere, writes, yes, but only if it goes directly into the hands of working people and very small businesses to help subsidize college education, upgrades homes. mohamed says can we prove correlation between stimulus and jobs? targeted tariff protection and import restrictions could be a better idea. john in virginia writes, why? they haven't spent a tebt of the money allocated in the last one they passed. i smell a rat. either this administration doesn't know what it is doing or knows exactly and that scares the hell out of me. lee writes -- if you didn't see your e-mail here, go to my blog. look for yours there among hundreds of others. interesting, starting to talk about another stimulus package. when's that midterm election? >> a little bit more than a year from now. >> yeah. funny how that works. >> i know. stand by. you are in "the situation room." happens now, the parts for a powerful bomb snuck by agents right past security and into u.s. government buildings. new report details stunning security breaches. also, sources now telling cnn of multiple signs of iv drug use on michael jackson's body and startling new details of the physical condition. plus, a foreign predator causing hef okay in the every grades. giant pythons up to 200 pounds eating deer and alligators and now slithering far beyond the endangered wilderness. i'm wonderful blitlf blitzer. you're in "the situation room." happened multiple times. shocking security lapses at ten, repeat ten federal government buildings. undercover investigators were actually able to sneak bomb parts right past private contract guards and finding one asleep at the post. brian todd is outside a federal building here in washington. brian, what happened? >> reporter: well, wolf, government investigators are not revealing whether it was this federal building or the privately contracted security guards that work here that they conducted security stings on but what they were able to do is mind boggling. a jolting blast in the trunk of a sedan. the detonator smuggled into u.s. government buildings supposed to have security levels just below the white house. this video shows an undercover agent from the government accountability office, the investigative arm of congress, sneaking bomb components past security at a federal building t. investigators were able to take them into bathrooms and other areas, assemble the bombs and walk freely around government buildings with the bombs in briefcases. we talked to the gao official who oversaw the investigation. but some of the components, considered normal items like a screwdriver, bottle of water this a guard may not say stop that? >> there are a number of items that might have been normal kinds of things but a number of them were not normal, not thing that is federal employees or the public had any business bringing into a federal building. >> reporter: he can't say what they were or which buildings they snuck into but says investigators pulled off the stings at ten government buildings in four cities. they included lawmakers' offices, facilities with the justice department and even homeland security, the agency that oversees security at the same buildings. the problem according to the report, poor management of privately contracted security guards like this one caught sleeping the gao says after taking the sedative perk set. the head of the protective service called to account by congress says this. >> we are coming up with some fairly i think aggressive -- i don't think fairly. i think very aggressive means to address these problems and in particular contract training of the security guards literally going back out to retrain them. >> reporter: gary shank el says they have increased the number of inspections at the guard posts but admits they have about 600 inspectors responsible for checking 9,000 government buildings. wolf? >> there were other security breaches caught by these investigators, as well, brian. >> reporter: certainly were. there was one instance in particular that really stands out. it was a woman at a check point, a private citizen who put her baby in a carrier down on an x-ray machine and tried to retrieve some identification. because the guard wasn't paying attention and the safety apparatus on the belt had been disabled, the baby went through the belt on the carrier through the x-ray machine. that guard was fired but the guard successfully sued the government because the guard was able to prove that he or she was not trained properly. >> what a nightmare that is. brian, thank you. the bodies of seven u.s. service men killed in afghanistan are back in the united states. they were among ten nato-led forces that died on monday. one of the deadliest days in the afghan war in almost a year and now the u.s. marine commander leading a massive offensive against the taliban in southern afghanistan says bluntly he needs help. he needs more afghan forces to fight. let's bring in our pentagon correspondent barbara starr working this story for us. barbara, tell us what this marine general says. >> this is larry nicholson, wolf, top marine commander in hellman province. he spoke to pentagon reporters today by telephone, a shaky connection but the words were clear. he needs more afghan forces. general minicholson saying he needs them and others making it clear the whole country needs more afghan forces a. key recommendation now, wolf, as part of a u.s. military review going on in afghanistan is to make the size of the afghan military larger. >> you had a chance to ask the commander also about specific conditions on the ground. especially the heat. >> absolutely. you know, we are seeing the pictures come out of the young marines in very tough circumstances. hundred degree plus weather out there. they are chugging water as fast as they can and heat casualties and one navy corp.man talked about that today. >> after a while, your body shuts down. you can't sweat anymore and body can't cool it off. core temperature rises. over 104, your brain pretty much starts cooking. >> your brain really does start cooking, i can say i've been in southern afghanistan in the summer months. it is brutal out there. >> i remember in kuwait in the start of the war, it was so hot, i wasn't carrying a backpack and just so, so hot. i started drinking the liter bottles of water and drank two of them and still wasn't completely or feeling great but that's another story. the u.s. troops who are fighting in battle, do they have everything they need right now? >> you know, generals always say i can use more troops. i can use more of this and that but general nicholson was a very candid guy earlier today. he said that there is still equipment and gear on ships making its way to afghanistan. they don't have it all in hand yet but really job number one is to try to have enough of a security presence out there with the troops they have to try and make the people in this region feel more comfortable, kneel they're making progress. feel that their lives are getting better and bet tore cast their lot with american and afghan troops than cast with the taliban. >> let's hope the forces step up and help out. thanks very much, barbara. a lot going on in afghanistan. let's check in jack cafferty. >> wolf, as quickly sarah palin announced she was quitting the job as govern nor of alaska in the middle of the first term, the air waves were filled with pundits eager to pronounce the political career dead in the water. even rush limbaugh was stumped which doesn't happen very often. yesterday on this here very program the situation room, democratic strategist paul begala said and i quote from the transcript, her, palin's defenders, will say she is crazy like a fox. i think they're half right. the notion that she would cnn's drew griffin in the eye and say i'm not a quitter as she's quitting, she's either delusional or disingenuous, unquote. but a look at some new poll numbers suggests it might be early to plan the memorial service. a new gallup poll found 43% of americans say they're very likely or somewhat likely to vote for her for president. in fact, 70% of those surveyed said palin's decision to quit had no affect on their opinion of her at all. go figure that one out. the poll also found 53% think that the media coverage of palin's decision to quit, her job as governor, in the middle of the first term, has been unfairly negative. sarah palin may, in fact, have more options than her detractors are giving her credit for. that same poll shows 70% of republicans said they'd vote for palin for president. now, if that seems lop sided, probably because most of the other front-runners in the republican party have misstepped so much that she and mitt romney are about all that's left with a reasonable chance at this point. here's the question. have your views of sarah palin changed since she announced that she's quitting her job as governor of alaska in the middle of her first term? go to cnn.com/caffertyfile and let me know your thoughts. >> i hope you have people working on this one. when you ask a sarah palin question, the people write in. >> it is like gold. it is just like gold. >> all right. jack, we'll read those e-mails. new details are emerging of michael jackson's physical condition at the time of his death and what one source describes as paper white skin. also, stimulus dollars at work or are they? growing complaints that the billions of tax dollars coming too slow with way too little impact. bullying some kids as young as 11 to commit suicide a. mother shares her heart wrenching story and is demanding action. there are new details just coming in to "the situation room on" steve mcnair's girlfriend and the death of both of them. david mattingly is joining us on the phone now. police releasing some of those details. what do we know? >> reporter: the big detail here, wolf, police confirming that this was, indeed, a murder/suicide. mcnair was killed by his 20-year-old girlfriend, saleh kazemi and no one else was involved. they went through how she shot him four times, twice in the head and twice in the chest and got back at the idea of a possible motive. as late as friday, she was telling a co-worker that her personal life was in turmoil. she had told others that she was in financial troubles and police say she had recently learned that mcnair had possibly had another girlfriend, as well. so that she was very upset, very unhappy with the way her life was going and threatened to end her life. at no time, however, was there any indication that she was going to do mcnair any harm. but of course, that is what happened. police very confident that this is exactly what they thought it was from the very beginning, a murder/suicide. wolf? >> i think we have a clip of what the police said at this news conference in nashville. let's play that. >> after nearly four days of intensive investigation, that includes laboratory test results and other investigative methods, the police department has concluded that steve mcnair was murdered by saleh kazemi and in turn kazemi killed herself with a single gunshot wound to her head. while we may never know what drove miss kazemi to make that decision on that saturday morning, the totality of the evidence clearly points to a murder/suicide. >> any other things we need to know right now, david? >> reporter: at this point, police are making it very clear that they believe that no one else was involved. they were able to make this determination that it was a murder/suicide based on gun powder residue that was on kazemi's left hand. they believe she used two hands to fire the weapon and that there was a trace of gun powder on the one hand. so that was a physical evidence they needed to make this determination. >> all right, david, thank you. david mattingly on the scene for us. michael jackson's dermatologist is responding to questions about the paternity of the singer's two older children. when asked today if he fared the children, dr. arnold klein said, and i'm quoting, not to the best of my knowledge. the children's biological mother debbie rowe worked for klein for 23 years and now there's also some startling new information on the reported state of michael jackson's body when he died. here's cnn's randi kaye. >> we have a gentleman here that needs help and he's not breathing. >> reporter: cnn has learned new details of pra prix sisly police investigators found when they answered the 911 call from jackson's house 12 days ago. a source involved with the investigation tells us jackson had, quote, numerous track marks on his arms and that those marks, quote, could certainly be consistent with the regular iv use of a drug like diprivan. diprivan is the powerful sedative commonly used anesthesia in a hospital. a nurse who had worked for jackson told cnn he had begged her for diprivan a few months ago to sleep. our source cautioned investigators can't say if a diprivan iv drip caused the track marks on the arms. some marks, the source said, appeared fresh. others older. in fact, some of the newest marks could have been caused when emergency medical personnel rush swood the house and used their own ivs in an effort to save him. the source would not confirm if diprivan had been found with jackson. but he told us numerous bottles of prescription medication had been found in jackson's $130,000 a month rented mansion. he described them as, quote, dangerous drugs, similar to those found in a hospital setting. that's as far as he would go. as for jackson's body, the source said he had never seen anything like it in decades of investigative work. he described it as lily white head to toe. was it caused by the disease jackson said he had? we don't know. another source with knowledge of the case described jackson's body as having, quote, paper white skin as white as a white t-shirt. he also told me his scalp was bald, that the pop star had no hair. that may have been a result of injuries jackson received when his hair caught fire while making this pepsi ad years ago. this source also said jackson's veins were, quote, collapsed in both arms. suggesting frequent intravenous drug use. his final note, the body was emaciated. despite the vigor jackson showed on stage in his final rehearsal just 36 hours earlier. randi kaye, cnn, los angeles. let's bring in the chief correspondent for "inside edition." jim, she paints a pretty devastated state of his body, worse than i thought. i don't know how you felt hearing that report. >> it's consistent with some of the reports we have been hearing since his death and consistent with the way that this investigation's going. you know, the dea is now involved, the california attorney general's office is now involved. they don't get involved for nothing. there was clearly a reason to get involved, the look specifically at which doctors were treating him, what they were prescribing, were there aliases used, how much medication was he getting? there's a whole list of things that investigators are going to look at in addition to finding the toxicology reports and seeing how he died. >> the dermatologist arnold klein is now saying a lot. he was on earlier today on "good morning america." he will be on "larry king live" later tonight but among other things, listen to this. i want your reaction because you have studied this and reported extensively on michael jackson. >> he felt he was a piece of art. that his face was a piece of art. that he wanted to really be thrilling for people to view it. >> i had never heard discussion like that. have you? >> no, i haven't. look, it is no secret that his face changed radically over the years. you can look at almost any magazine today since his death and see a time line that shows this tremendous change from the young boy to the grown man and it looks weirder and weirder. and it -- frankly, it seems ironic that so many people wanted to be him and emulate him and he didn't seem to be comfortable in his own skin literally. >> there are rumors i don't know how serious that dr. klein is the biological father of michael jackson's two older children and diane sawyer asked him flatly if that's true. listen to the answer. >> all i can tell is best of my knowledge i'm not the father of these children but i'm telling you if push comes to shove i can't say anything about it but to the best of my knowledge i'm not the father of these children. >> clearly, he is parsing words there saying to the best of his knowledge twice. how did you interpret that? >> it's funnier, wolf, he continues to say i can't answer it any other way. i don't want to feed the insanity going around and that answer specifically does the opposite. because all of us are saying, what is he saying? saying that he could be the father? he doesn't know if he's the father? did he artificially inseminate anyone else? did he have sexual relations with debbie rowe or a relationship with her? under california law, michael jackson is the father of these kids. he was listed on the birth certificate. they were born during his marriage to their mother. that's basically as far as it's going to go for all practical purposes. >> in terms of practical purposes, having dna tests done with the kids, is the government -- the state likely to get involved and order those kinds of dna tests to determine the biological pardon me parents? >> no. no one's claiming to be the biological parent and no need to do sunny secondly in california, if you are the sperm donor, you basically give up your parental rights if you have -- if you give your sperm to a married couple and not married to that mother. so it -- for intents and purposes, frankly, it is not going to matter for the estate. at least it shouldn't here in california. >> jim, thank you very much. he is a good reporter and an attorney, as well. thanks. see you back here. taking swipe at the president. former florida governor jeb bush says if candidate obama had told the truth he never have been elected and a wildfire threatening one of the country's best known museums. we are following the evacuation that's happening right now. we've made a great product even better. now every drop of shell gasolines... contain a nitrogen-enriched cleaning system... that seeks and destroys engine gunk... left by lower-quality gasoline. it protects engines from performance-robbing gunk. try new nitrogen-enriched shell gasolines. deborah feyerick monitoring other important stories right now. deb, what is going on? >> wolf, going to the fire west of los angeles, the world famous getty center art complex has bb evacuated. officials calling ate precaution at 150 firefighters battle a fast-moving brushfire in the area. nearby st. mary's college is evacuated. the art center shut down a ventilation system to prevent smoke damage to the priceless art. the california highway police considering closing down a portion of the 405 freeway. also in the news, a rare appearance in north korea as leader kim i don't think ill commemorates the 15th anniversary of his father's death. he was seen looking weak and gaunt walking into the service. it was only his second public appearance since his reported stroke last august. kim's recent health problems prompted speculation of a possible heir to the world's only communist dynasty. and, well, you can read the message all over the president's face. sort of. in this video, provided by green peace, the group challenged president obama to take a strong stand against climate change today. by hanging a banner on the presidential faces of mt. rushmore. the 2,300 square foot sign america honors leaders not politicians, stop global warming. that's it, wolf. back to you. >> thanks very much. stimulus dollars being spent so why is unemployment rising? it's a question that has some republicans seeing red. and a boy tormented by bullies commits suicide. his mother is telling his son's tragic story and urging lawmakers to take action to save other children from her child's fate. a python population explosion. it's happening right now in south florida. some call the snakes a real safety hazard. cnn's john zarrella wraps himself around the problem as lawmakers search for answers. you have questions. who can give you the financial advice you need? where will you find the stability and resources to keep you ahead of this rapidly evolving world? these are tough questions. that's why we brought together two of the most powerful names in the industry. introducing morgan stanley smith barney. here to rethink wealth management. here to answer... your questions. morgan stanley smith barney. a new wealth management firm with over 130 years of experience. mr. evans? this is janice from onstar. i have received an automatic signal you've been in a front-end crash. do you need help? yeah. i'll contact emergency services and stay with you. you okay? yeah. onstar. standard for one year on 14 chevy models. you're in "the situation room." happening now, sarah palin speaking out about the surprise resignation. she says her and her state were being dragged on by ethics complaints against her. we'll find out sarah palin is facing so many. vice president joe biden makes a major announcement on health care reform saying hospitals have agreed to contribute billion of dollars over the next decades. critics call it a drop in the bucket and the debate over how to fund health care reform moves into high gear. and michael jackson's dermatologist is now breaking his silence. the doctor responds to recent rumors he may be the biological father of jackson's two oldest children. i'm wolf blitzer. you're in "the situation room." but first, growing questions about the impact and the speed of the president's economic stimulus package. let's go to cnn's kate baldwin. she is taking a closer look at this. lots of frustration right now, kate, over how job creation is developing or not. >> reporter: absolutely, wolf. if the question is, is the $787 billion recovery plan making a difference, republicans in the house hearing today gave a resounding no and say the stimulus isn't living up to what the president and congressional democrats predicted. even as the obama administration touts the jobs being created by recovery act spending -- >> we are starting to see some real progress. >> reporter: -- unemployment soared and millions of jobs have been lost in six months. republicans say the stimulus isn't working and today they pounced. >> i think that we need to justify how much money we are spending and where are the jobs saved and where have they been preserved? >> i think we have major credibility crisis. >> the president quoted saying the stimulus quote done its job. is that true or not true? >> we believe that the stimulus has had the impact that we predicted which is job creation. >> reporter: in the hot seat, the president's deputy budget director rob nabors saying the plan is slowing the economic free fall. he said 150,000 jobs have been created or saved. >> it's a work in progress but it's steady progress. >> reporter: the government accountability office says of the $29 billion delivered to hard hit states so far, most has gone to pay medicaid costs, balance budgets and avoid layoffs. at the same time, vermont's chief recovery officer says funds for big, job producing investments like broadband and smart grid are caught in the stimulus pipeline. >> the frustration has been that the money hasn't come out and kept hearing later and later dates for the money coming out. >> reporter: massachusetts governor patrick says states are ready and waiting. >> but no funds, no projects, no projects, no jobs. >> reporter: also in the hearing, robert nabors seemed to criticize states for making what he called unwise choices to simply use money to balance the budgets. the administration has said actual stimulus spending will peak in 2010, wolf. >> all right, kate, thanks very much. kate baldwin reporting. >> let's bring in democratic strategist donna bravillel and mary matlin. this is getting ugly out there, donna. and the republican leader in the house, john boehner, he went after the vice president for suggesting that they didn't fully appreciate how bad the economy was in january and february when they pushed for this nearly $800 billion stimulus package. here's boehner. this is the greatest fabrication i have seen since i've been in congress. i have sat in meetings in the white house with the vice president and the president. there's not one person that sat in those rooms that didn't understand how serious our economic crisis was. >> well, look. i think, wolf, the situation is dire. and because many of these states are on the verge of bankruptcy, they're using this money basically to take care of bills right away. they're basically saying, we got to take care of the medicaid bill and don't lay off teachers and mr. boehner sunday said on tv not one job has been created in ohio as a result of the stimulus package and the cleveland plain dealer had an article saying he was wrong about ohio stimulus spending so i think we need to get the facts on the table. this money is going to the states, helping the states make critical budget zigss but at is same time, wolf, $100 billion going out the door later this summer so that these states can continue to keep things afloat. >> the white house always says that the jobs is lagging indicator, if you will. no doubt 3 million jobs are so lost this year. the white house makes the point more of them would have lost if the stimulus package was not passed. >> the problem is the progression. in february, march, april and may. the unemployment increasing at a lower rate than in june and july. maybe a blip but the stimulus has either been out there for sometime or not been out there for sometime. the problem is the political sloppiness of this. biden says in one place we didn't know. well, then why pass it within minutes? i would say that the democrats and republicans at the time not going to read it, pass it, obvious they knew. then obama corrects him. we didn't have enough data. incomplete or we didn't know, we blew all we spent in iraq in seven years? that's a big stimulus. half the democrats saying stimulus 2. the other half saying, no. it's sloppy politics and administration that signature is staying on message and message discipline on a topic that voters and americans really understand. >> earlier on, their assumption for unemployment to go up, the white house, 8%, 8.5% and now 9% and many states more than 10%. politically, this could have an enormous spillover effect on the president. >> wolf, the problem is looking for the political fallout of people losing their jobs, homes is rather stupid at this point. i think what the administration is trying to do is, first, rescue the economy because essentially when they came into office, it was falling off of a cliff. now we are in a recovery phase. this is the time to make sure that this money's being spent wisely by the states. remember, they're getting the money and saying we have to make sure that we don't lay off teachers and fire officials. so that's what's happening. spending the money but not on the projects -- >> priority number one with the states right now? >> they're misspending it and putting off their problems for the future. robs peter to pay paul, obviously. they'll come up against what they need to do, allowed to put off doing, rein in their budgets and do stimulative things only they can do there but the administration is getting itself in a pincer movement. either going to be working in which case people want them to then let's wait and stabilize the economy. you can't look at a poll that doesn't say that the ill effects or noneffect of the stimulus spending isn't affecting everything else, pulling support back on expanding health care and energy and things on the president's agenda. >> we get the economy rolling again, mary, until the private sector is back on the feet, we'll experience job losses and what the administration is tackling. >> the former govern nor of florida jeb bush, the former president's younger brother, gave an interview in "esquire" magazine swinging, too, among other things saying this, barack obama would not have gotten elected if he'd let us in on the secret plan prior to the election. he would not have gotten elected if he'd said my idea is a $1.8 trillion deficit for the next fiscal year. obviously the president when he was a candidate never said that. are you surprised that jeb bush is now directly launching this assault on the president? >> you know, if -- we can get into a big conversation about whether or not the president's priorities are -- will solve the problems but in terms of -- that interview, i personally think that jeb bush clearly doesn't understand his facts straight. president obama laid it all out there for the american people. they knew what they were voting for last fall. and they voted for change and a new direction. >> you know jeb bush. what's the strategy? >> the bulk of this interview was not about barack obama. it was about and i was so hard to see and many conservatives for him to say there's no such thing as big government conservatism. that's an oxymoron and laid out a big agenda that he laid out a template for republicans to follow but it's completely not true that people knew what they were voting for when they elected barack obama. the majority of americans thought that obama was more likely to cut taxes than john mccain. he didn't talk about reordering the energy sector. he did not talk about universal health care in the way that he's gone about it. people -- he did not run on what he is doing now and got the allies in congress -- >> the position on energy and health reform was clear in the campaign and obviously the deficit that he's helped to generate, that's happened as a result of the economy. >> and a deficit he inherited, wolf. we pretend and the republicans trying to redefine the principle, we forget that the president inherited the mess of an administration that had misguided policies. >> you get the final word. >> the deficit that the president run up and the deficit -- >> this president or the last one? >> this president exceeds every president proceeding him. this is four times what bush's worst deficit was. and it's now your economy. it's now your -- not five. all of them. >> this president -- this past president ran up the deficit and did nothing to strengthen the economy and that's why this -- this new president must change the policies that got us into this mess today. >> hold up, hold up. >> let's have this. >> consecutive growth under george bush. we cannot revise history in the way you want to do it and have a -- >> the recession that started on his watch that he failed to acknowledge for months, for months. >> we won't review the entire history. >> i'm ready. >> that's why both of you will be back. thanks very much. the world is finally seeing michael jackson's children without masks and with at least one of them talking. so what might happen to them next? i'll speak with a cnn contributor who knows them. plus, a giant snake threatening an already endangered ecosystem and now those pythons are moving far beyond the everglades. giant pythons posing a real problem to people in south florida. a democrat says that's the frightening reality and wants congress to do something about it and quickly. today, he urged lawmakers to declare nonnative pythons as a harmful species and bar people from taking them into the country and across state lines. to illustrate how deadly the reptiles can be, nelson reminded fellow senators of a tragic run-in between a pythons and a florida toddler. >> and in the middle of the night worked its way up into the baby crib, attached its fangs to the head of a 2-year-old child, wrapped its body around the child and strangled the child to death. >> the python's appetite is seemingly unsatiable. >> reporter: this 12-foot python is found in a miami neighborhood. it had just devoured a cat. this 10-foot python captured a chicken coop. there's nothing scientists haven't found in their stomachs, even an alligator from a belly. >> we have found alligators, a full grown deer. >> reporter: this mess got started they say when python owners realized the pets had grown too big to handle and dumped them in the everglades. 20 years ago, there were none out here. now, there are an estimated 30,000. flourishing and breeding. >> a foot and a half is a hatchling. a six footer is a year old. and they're both of these on the move within that 1-year-old to 2-year-old range. >> reporter: experts say they can grow to 200 pounds expanding out from the glades in all directions. a handful have been caught in the upper florida keys. so how are they getting sneer the pythons can travel up to a mile and a half a day and wildlife biologists say they some may be swimming from the southern tip of the everglades across florida bay here to keilar go. and once they're here, wildlife biologists are concerned they'll devour pets and endangered species or menace small children. only way to prevent the spread is catch them. they have classes for officers and park rangers. >> this is not fun. when he's facing me. >> reporter: on how to do just that. >> you have a big python hook. >> reporter: they're nonvenomous but as i found taking the training class, they have no problem coming after you. the idea, get behind them, grab their tail, tire them out. don't take your eyes off of them. work your way to the business end, grab it. i handled the first two eight footers alone and needed help with the 12 footer. as soon as i had him, he coiled. oh, look at that. wow. >> it's pretty powerful. doesn't get up around the neck. >> reporter: how do i get him off of me? >> very carefully. >> reporter: thank you. with no natural enemiest predators move to the top of the food chain. bad news for the prey and the people of south florida. john zarrella, cnn, big pine key, florida. >> tough guy, john zarrella. he is okay. don't worry about him. bullied to death a. 11-year-old boy picked on relentlessly kills himself. now his grieving mother is speaking out about the day she says will haunt her forever. and sarah palin facing numerous ethics complaints, she's calling them frivolous. it's a reason she says she had to resign. when's behind all those complaints and why is the alaska governor facing so many of them? stick around. we are getting more information on the fires in los angeles. the world famous ghettysburg center is being evacuated and also a college is being evacuated. pretty scary stuff. >> reporter: well, we've got multiple pictures in on ireport.com. some residents of los angeles are suddenly seeing these huge smoke clouds. he said he was at the getty center drive and saw lots of helicopters dropping water on this lake. it's roughly two acres right now. andrew brown saw water dropping on it trying to deal with it. go to ireport.com and all of them shot within the last hour. this one from carl here. we know also that the college is evacuated, no classes in session, but 300 people saying that evacuation is just a precaution right now. >> no doubt fill with the getty center just to the west of l.a. abby, thank you. let's go to jack cafferty right now. >> the question this hour is have your views of sarah palin changed since she's announced she's quitting her job as governor of alaska. michelle writes, i have a more positive view since her resignation. she's articulate, bold, and independent. the media is hard on her and soft on obama who has accomplished little. and my opinion of palin has not changed. she's half baked alaska. she couldn't stand the heat so she got out of the kitchen. if she was vice president now, could you imagine that she and her family would be under? i dare to guess she might quit that job, too, based on her reasons for quitting the governor ship. i think she saw the need to not wait until 2012 in order to change the direction that the company is going. paul writes, governor palin's announced resignation does not change my opinion at all. this nut case is as dangerous to the future of the republicans as nancy pelosi is to the future of the democrats. my news haven't changed, says phil. i admire her for standing up to the constant attacks from the media and the left. i wouldn't want the government to constantly be distracted. her stepping aside shows that she cares. what is it about her that scares you people so much? and my view has changed, although i didn't agree with her, i thought she was a strong woman and a fighter. this reveals she's a thin skinned primadona and would she -- and jim writes from ohio, jack, from my view i still can't see russia nor why an entire state would have elected such a finer to begin with. it makes me proud to be an ohioan. read about sarah palin and there's a lot of e-mail there, wolf. >> speaking of reading, she's getting a seven-year contract to write a book, millions of dollars, presumably. would you read the book that she's written? >> well, she's not going to write it. >> her name is going to be on the cover. >> well, i understand. >> i don't know. maybe. i might. i might. >> you want to read that. >> sure. >> thanks. a mother shares her grief. >> what would make a mother despise his life so much to take it. that question haunts me to this day. and president obama gets a firsthand look at the devastation from a deadly earthquake. we're at the president as he attends his first g-8 summit. i think i'll go with the preferred package. good choice. only meineke lets you choose the brake service that's right for you. and save 50% on pads and shoes. meineke. heart wrernging wrenching testimony from a mother of a young son. she recounted her story to two u.s. lawmakers investigating the emotional and physical impact of bullying. let's go to mary snow and she'll take a look at the very tragic case. >> reporter: it's such a heartbreaking story. the sixth grade boy was tormented at school and took his own life. his mother went to washington telling lawmakers that school bullies is a crisis demanding attention. with pictures of her son carl nearby, she told lawmakers about the day in april that she says will always haunt her. >> i found him hanging by an extension cord tied around his neck. he was 11 years old. >> carl was a boy scout, liked playing sports, and went to church. but his mother says that he was bullied at his springfield, massachusetts school, by kids calling him gay and even threatening to kill him. she spoke regularly with school officials but it didn't help and she says she's not alone. >> since my son died, i met the mother of another 11-year-old boy who was also being seriously bullied and killed himself. and now i know that there are others. this has got to stop. >> walker is calling for better training for people. and she supports the house bill requiring schools to have policies to deal with bullying, a problem that the department of education with students and bullying is nothing new so why has it gotten so severe? steve rich's promotion says one factor is that families have changed dramatically. >> what compassion and self-control is. kids today aren't necessarily raised in a family environment where those principles are being taught or instilled in them. walker says the problem is not going to go away on its own. >> if this happened to me, this could happen to anybody in the united states. because i was a concerned, involved, caring parent and that's why i continue to do this, so that no other parent has to go through what i'm going through right now. >> we'll give you an idea of how widespread this issue is. at least 41 states have legislation addressing bullying and roughly 25 either have or are working on bills just dealing with cyber bullying. wolf? >> thanks very much, mary. happening now, earthquake ruins and economic crisis. president obama confronts disaster at a critical summit of world leaders. this hour, the agenda and the protest. and crying for their daddy. we saw michael jackson's daughter distraught and now we are learning more about the children and getting new comments from michael jackson's sister. and sarah palin's critics keep rocking the boat. will they find out that it's soon to be against the governor or are they on a fishing expedition? we want to welcome our viewers from around the united states and around the world. i'm wolf blitzer and you're in "the situation room." meeting in an italian mountain town rocked by a huge earthquake in april, driving home the concerns about economic disasters back at home. our senior white house correspondent is traveling with the president. >> reporter: two hot issues on the minds of a lot of americans and dominating the agenda here, too. president obama may be in italy for his first g-8 summit but he's trying to stay focused on a pressing concern at home, the still ailing u.s. economy. mr. obama reaffirmed the commitment to restore growth in global markets and is bound to help regulations. >> we discussed the importance of europe and the united states, raising the standards on financial institutions to ensure that a crisis. >> reporter: the president is trying to work aggressively to deal with another potential crisis and helped lead the group to reduction in greenhouse gas emissions and 80% cut by 20/50. >> by 2050. >> they have established where countries are with regard to their prior commitments. >> reporter: but the declaration has no enforcement and hopes that it will provide momentum for change. he wants to use the g-8 to stop iran and north korea from obtaining nuclear weapons. >> it's very important for the world community to speak to countries and encourage them to take a path that does not result in a nuclear arms race like in the middle east. >> reporter: people still living without homes here are saying yes we can and yes we camp. >> the president is trying to help victims in big ways. a big one is students attending the university and the president is logging a lot of miles on his overseas trip by traveling from moscow to russia to italy on friday. he heads to ghana. it's likely to be a very historic and personal stop for the president. the white house choose democratically and interview president obama in ghana. you're going to want to see that interview. it's coming up monday, monday night, on anderson coup"anderso" house republican leaders dismissing it as a back room deal and joe biden calls it a critical step forward for fixing a broken system. let's go to brianna keilar. she's up on capitol hill. brianna? >> the white house is cheering this agreement but the deal making really matters. the closed-door sessions and nothing to and pushed the administration top priority, health care reform. >> folks, it is on track and it's working. we have tried for deck it's a to fix a broken system and we have not ever been this close. hospital also give up $155 billion in medicare and medicaid patients over the next ten years. money that would help pay for health care reform. and max baucus and his task writing committee. a key proposal to tax employer provided health benefits may be dead. democrats aware that recent polls who so you we are and so is main center, olympia snow. >> i believe that we should just move from there and take it off the table and move forward and find other alternatives. >> meanwhile, in the house of representatives, where democrats are putting together their own health care plan, they are considering everything from taxing households to make and jack is here with the cafferty file. >> the actor, alec baldwin, is reportedly eyeing a run for congress. you might remember baldwin vowed to leave the country if george bush was elected. well, he's still here and now reportedly he wants to become part of the political arena. this is also nothing new for the celebrities to step into the role of. a former pro wrestler, jesse ventura, was elected governor in 1988. what were they thinking? ak for fred thompson, a law and order fan, speaking of presidents, they are having a time out issue in that state. and the list includes stars that have spent time in washington and will represent them in office. >> baldwin's credentials are questionable. one of the first duties will be as a committee member for the confirmation hearing of sonia sotomayor which gets under way next week. why it occurs to actors who spend most of their time with someone else, that they are the answer to our nation's problems is a bit of a mystery to me. on second thought, how much worse can they be than the ones that are groomed to live their lives inside the beltway. is politics a good second career choice for actors and comedians? go to cnn.com/caffertyfile. it's obviously high on the list for choices of clowns. look around that city. >> okay, jack. thank you. one is an international pop star and two others you rarely see. all are mourning their brother's death. we have new video coming into "the situation room." a grief stricken la toya and janet jackson. wait until you have to hear what they have to say about their late brother. and michael jackson's long time dermatologist is breaking his silence. >> and what does sarah palin mean when she says a target of political blood sport. while i was building my friendships, my family, while i was building my life, my high cholesterol was contributing to plaque buildup in my arteries. that's why my doctor prescribed crestor. she said plaque buildup in arteries is a real reason to lower cholesterol. and that along with diet, crestor does more than lower bad cholesterol, it raises good. crestor is also proven to slow the buildup of plaque in arteries. crestor isn't for everyone, like people with liver disease, or women who are nursing, pregnant, or may become pregnant. simple blood tests will check for liver problems. you should tell your doctor about other medicines you are taking, or if you have muscle pain or weakness. that could be a sign of serious side effects. while you've been building your life, plaque may have been building in your arteries. find out more about slowing the buildup of plaque at crestor.com. then ask your doctor if it's time for crestor. announcer: if you can't afford your medication, astrazeneca may be able to help. new video coming into "the situation room" for michael jackson's memorial obtained by the website tm sflchlt. the only women among jackson's siblings speaking to the crowd across the street from the staples center. listen to what la toya and janet jackson said. we are extremely happy for all of the support. we love you all. >> i just wanted to let you all know that you have been very, very supportive and, as you all know, michael loveses his fans for than anything. he has always said that his fans are first and i'm glad that you are here supporting him. i just want to thank you all for being here. he loved you very, very much. >> michael is going to live in all of our hearts. >> thank you. >> one more thing. i want to thank everyone. thank you so much. >> the sisters and the rest of the jackson family are one on one with where michael jackson will be buried. also, persistent questions about jackson's long time dermatologist now breaking his silence. >> now appearing to make the media round and earlier today he was on good morning america and eefs been twiting about that appearance, urging people to check it out. during it, he made one denial. >> speaking out almost one week after the magazine "us weekly" reported that he fathered michael jackson's two oldest children. >> i'm telling you, if push comes to shove, i can't say anything about it. >> failing to completely rule out the possibility of being the biological father. debbie rowe who was married to jackson and gart birth to his first two children worked for cline. he's not on the list of doctors being questioned by the police. sources tell cnn that numerous physicians have been interviewed linked to jackson as they investigate whether prescription drugs prompted his death. >> i have not been one of five doctors or been examined by anyone. i have not been contacted by the police in los angeles. i don't know what to tell you but i'm not one of the doctors. >> when he performed painful skin procedures related to a lup pus diagnosis, he never gave jackson drugs. he did worry about jackson getting medication elsewhere. >> i've always worried about other doctors. here's the problem with michael. some would give in to him. >> cline also told good morning america that he saw jackson just three days before his death in his office and that jackson was singing and dancing and there was nothing apparently wrong that he could see wolf? >> dr. cline will be among larry kings death later tonight until 9:00 p.m. eastern only on cnn. >> revealing new glimpse of michael jackson's children. we're learning more about them after their rare appearance at their father's memorial. many fans still heart broken after hearing the anguish of his daughter paris. plus, new information about cyber attacks. and a man with a guitar takes his complaint against an airline straight to youtube. dd monitoring other important stories incoming to "the situation room." what is going on? >> reporter: the fire in los angeles, the famous getty center art complex has been evacuated. 150 firefighters battle a fast-moving brush fire. at least 14 acres in the santa monica mountains west of l.a. have burned the president elected dr. frances collin for the job. the nation's premier medical research agency directing almost $30 billion foreground breaking health science. and cyber attacks on the white house, pentagon, and new york stock exchange was broader than originally thought. the government websites were knocked off line by bobby trapped software. north korea is blamed for the cyber warfare but experts say it's too early to tell. do you know what is in that water bottle that you're holding? probably not. researchers recommend that bottled water be labeled with the same information that others must disclose. researchers said that and americans put a distant second choice to filter tap water. also, a spike may be brewing over who pays for the multimillion dollar memorial. they may force third parties to pick up some of the tab and the service drew more than 17,000 fans and caused hundreds of workers to be there overtime. aeg has not committed to helping with the bill. >> it could be about $4 million. thank you very much. stand by. frustrated with customer service? you can try taking it to youtooub. that's what one physician did after he says united airlines damaged his car. we have our internet reporter here. what happened? >> reporter: if anyone has ever been frustrated with an airline, you need to see this video. this is dave carol who says that he watched in horror last year at chicago's o'hare airport as baggage handlers smashed his beloved taylored guitar and then spent a year trying but failing to get compensation from united airlines. so he took his case to youtube. ♪ you broke my favorite guitar ♪ united some big help you are ♪ you broke it you should fix it ♪ ♪ i should have flown with somebody else or gone by car ♪ because united breaks guitars ♪ dave carol is now some sort of poster child for frustrated travelers. and a spokesperson says that they are now in dofrgs make what happened right. they said that the city was a learning experience for them and they are going to be using that internally to improve customer service. >> should have bought him a new taylored guitar. >> sorry. yes. >> thank you. we have a snapshot of president obama's popularity. the honeymoon may be over for him and one of the most important political battle grounds. the best political team on television is standing by. plus, tv ratings are in and they are eye popping. and sarah palin prepares to step down. but watch dogs in alaska say they are sure there's a smoking gun. happening now and stepping up against global warming, president obama and the g-8 are stepping up and our political analysts are standing by. >> michael jackson's memorial service gets huge tv ratings. how many people tuned in here in the united states and other famous funeral. and for many, the memorial service provided a rare look at michael jackson's children. they've been sha rouded from the media for years so what are they really like? we'll be speaking with the last journalist who interviewed him before his death. i'm wolf blitzer. you're in "the situation room." and what will happen to the three children and what kind of children are they? let's talk about these three kids. did you ever have a chance to meet any of these kids? >> you know, i actually had the opportunity when we did the interview with michael back in december 2007. at the hotel, i knocked on the door and opened the door and were greeted by blanket, michael jackson's youngest son. he was very friendly and had a candy dish with life safers in it and then reached out to shake my hand. michael stopped him and said, no, blanket, not the left hand, the right hand. and it was just the little moment that showed that father and son connection. it was genuine. and that was the really special thing about seeing the services yesterday and watching the family come together unphased. we saw paris who just brought tears to our eyes with that sincere, daddy, father, i've known you since i've been alive and really that sincere father-daughter connection. but, also, i caught the glimpse of blanket. it was hard to see. as the entire family embraced. he was right in the middle of rebbie and janet and la toya. i think ultimately that's where the kids belong, in the middle of the family. >> blanket is now 7 years old, paris is 11 years old. the oldest child is prince michael who is 12 years old right now. we saw him yesterday but we didn't really hear from him. is he just basically shy, this kid? >> well, all three of them are very close. i think paris and prince, being the oldest one, is a little bit more mature and blanket is more pra koesh shous. they are in this family of cousins. jackie, jermaine, randy, and the sisters, they all are part of the big family and many of them have their own kids and sometimes their kids have kids and they are growing up inside that circle of cousins. and then you have grace the nanny and michael's close aid for years, they are -- they call him grace mum. that is the tight family. plus, you bring in diana ross and her extended family, diana was asked to step in if anything happened to katherine and we heard the letter being red yesterday at the funeral. that family and extended family structure is exactly what is needed to raise those kids. >> so right now these three kids and they are all obviously adorable, they don't have a father and they don't have a mother really either. they have a grandmother who's got at least temporary custody of these three kids. you know, katherine, the mother of michael jackson, she's, what, 79 years old. is she really qualified to raise these three kids right now? >> she's there are a strong support network of her family and extended family. you have rebbie, who is michael's older sister. mike dell was one of nine children. third youngest of nine children. and rebbie will also help raise the kids. whether they are in town or traveling or out on the road, janet, of course, in her own right, you saw that moment with paris leaning on janet's shoulder and she stopped to touch her arm and then afterwards gave her that big embrace. that's real. that's the image of michael jackson that i think we will be left with, is michael as a father. >> tell us about these parents, katherine, the mother, joe the father, they've been estranged from each other for a while. they live in separate areas. i guess the question is, what role will the father have, joe jackson, in raising these three kids, if any? >> katherine and the rest of the family is at encino. joe lives in las vegas. it was their 60th anniversary party in las vegas a few months ago but part of that family -- they have learned a lot from joseph as both the father and as their, you know, de-facto manager for those few years, he was very strict. he was a task master. some say that he was overly tough. >> michael in his interview says that he was abusive and a lot of folks are worried, will have a role in raising these three kids if, in fact, he was abusive to his own son? >> i think more importantly, the network of the brothers, you saw marlon there talking about the brother that he lost, brandon. and i think the brothers and the sisters will have a much stronger role with those kids. the grandparents are, of course, very important. you have a family of nine brothers and sisters and they are going to make sure that those kids are all right. >> thanks for joining us. >> thanks, wolf. the ratings are now in for michael jackson's memorial service. we now know more than 31 million people watched it live here in the united states on 18 u.s. broadcasts and cable networks that carried it. that was slightly behind the viewership for president reagan's burial and princess diana's funeral. millions more, of course, watched it live streaming on the web. there's new evidence that michael jackson music knowledge is more popular than a decade. 800,000 sold in the last week alone. that's almost double the sales from the previous week checking bill boards, hot digital songs, five of the top ten slots with "man in the mirror." best sellers for the week. sarah palin says she's a victim of allegations that she calls political blood sport. we're looking at what she's really accused of. and president obama over at the g-8 summit in italy. what can really be accomplished? and as a progressive customer, you get to use any of our concierge claim centers. so i can just drop off my car and you'll take care of everything? yep, even the rental. what if i'm stuck at the office? if you can't come to us, we'll come to you in one of our immediate response vehicles! what if mother won't let me drive? then you probably wouldn't have had an accident in the first place. and we're walkin'! and we're walkin'... making it all a bit easier -- now that's progressive! call or click today. sarah palin says she's the victim of a political blood sport s she sites multiple ethic complaints against her. but what exactly are they all about and who is filing them? sean callebs is in anchorage. what are you discovering, sean? >> reporter: really, they come from a broad cross section of the state. they are very serious and provide keen insight after spending months caught in a net of seemingly endless accusations of ethic violations, sarah palin says it was too much, draining on her, her tight-knit family, and especially draining on the state. it cost an estimated $2 million for the governor to answer the allegations against her and her staff. >> it doesn't cost these critics anything to file these frivolous lawsuits. it costs our states such a great deal. millions of dollars and probably aren't going to think that it should be going to soldier benefits and safer roads and teachers and troopers. >> reporter: this has been a sharp thorn in palin's side. she's filed more complaints against the governor and her staff and two lawsuits. a registered republican says that they are hardly frivolous. >> i'm exercising my right to get those public records in order to discover what sarah palin is up to. >> reporter: here are some of the litany of complaints leveled against palin. a conflict of interest because she wore a jacket that had a logo on if while at a snow mobile race. she has since rei am porsed the state for her children's travel. one of the allegations said that she used to improperly hire a friend for a state job. that complaint was dismissed. james muller is a political science professor at the university of alaska, anchorage. >> i think most of these complaints are trivial. almost all of them have been by the various levels of reviews that have taken them up. some are clearly kind of fanciful or farce. >> reporter: palin has been cleared in all of the others. her lawyer says the allegations have personally cost the governor more than half a mill dollars in legal fees and, worst, hampers the production of state business. >> is she portraying you and those others who filed the complaints. >> she always puts her personal interests before the state's interest. >> sarah palin will leave office in 18 days. state officials tell us they will continue to move on until they have all been legally resolved. >> sean, thanks very much for that. sean is up in anchorage, alaska. the meeting, by the way, that the president has been holding in that italian town, that town was badly damaged by an earthquake in april. as many of you probably remember, right in the middle of an earthquake zone is not lost on organizers. how much of a concern is it for the g-8 summit? >> presenting logical nightmares, this time, add after shock. registering 6.3 magnitude, i want to show you the seismic activity in this region since. every single one of those dots represents the tremor of some kind. the vast majority are just tiny tremors and a couple in the last few weeks have been more significant. 4.1 and 4.6 magnitude after shocks and that has italian media buzzing about potential evacuation prospects should something like that consider. well, the g-8 organizers initially said that the building is secure. it's quake-proof where the summit is being held and a police barricade emerged unscathed after so many buildings crumbled. they do note, though, that the police do not have a helicopter pad with operational 24/7 just in case. >> certainly for the organizers but a nice gesture. thank you for that. let's go to candy crowley. the political white house correspondent and senior political analyst david gergen. the new york times had a tough editorial, among other things, saying this. inexcuse blee lacked planning and the political weakness of many of the leaders attending leaves little room for optimism if it's going to justify for the time and effort that president obama will have to lead the way. so far, is he leading the way? is he stepping up and demanding action on some of the critical issues? >> well, wolf, he went to this summit with questions on climate change. a much stronger position than america has been in before because he passed that bill to address the global warming. that strengthened his fans. having said that, he's coming out with a very mixed set of results out of this -- out of these meetings. the key industrialized nations are agreeing out of these meetings to cut their emission is but they can't get india and china to agree to major significant cuts and so the president's effort to build momentum for a big major break through treaty late this year in copenhagen when leaders gathered there have been slowed by this. there was hope that there would be a break through with india and china. the failure to do that is competing in terms of news headlines, new significance with the agreements that they did reach among the industrialized nations and russia. >> if the chinese are interested in this, it can't be undermined to a certain degree. they've got troubles back in china right now, a serious demonstration unfolding. >> and that's, you know, the problem sometimes with some of these summits with the g-20 and g-8 is the other outside things tend to kind of over shadow what is going on and we also sort of need to keep in mind that when you go to a summit where people talk about conceptual commitments for 2050, not all of the work is going to be done in the next three days. not a lot is going to happen. i believe it's been over shadowed by other nations not going along with some of these conception assume commitments and i don't think you can look at it and think, boy, this is just a horrible conference here. to me it looks fairly typical. albeit with new elements. >> i want to put some numbers up on this screen to show the viewers the president's job approval numbers. right now, according to this gallup poll, tracking averages, obama is at 61%. that's basically a little bit down from 65% and in may he was down to 52%. but much more worry some is this poll in the key battle ground state of ohio, an industrial state. and not only has the job approval numbers in ohio gone from 62% in may down to 49% right now. how worried should the white house be about it. there's that old saying, as goes ohio, there goes the nation. there could be a concern that there's not a real sense among people on the ground that jobs are being created. tomorrow joe biden is being dispatched to ohio to address this and we know he's in a battle with representative boehner there in terms of talking about the stimulus plan working. they are going to give some attention to ohio. one of the larger concerns is that there seems to be softening of support and among independents, there seems to be a swaying among independents to look at republicans who have, of course, been highly critical of this stimulus plan and some of the big spending programs that we've seen. >> david, early on the folks out there could blame the bush administration but at some point they are going to start blaming president obama for losing, what, three million jobs so far this year. this is a huge potential nightmare unless he can really turn things around. >> it is, wolf. and ohio in the may report had an unemployment rate of 10.8%. that's one of the highest in the nation. and that clearly is starting to be a drag in ohio on the president and there are those in the white house, as you know, who are worried now that the stubbornly high unemployment prospects that we face could begin to drag the poll numbers down nationwide over the next few months and it could come just as he's trying to secure his health care reform in the fall and just as there may be a big debate about a big stimulus package and more deficits. so the president is heading into some head winds here and that he's -- we know he's a very strong and clever political leader. but the conditions on the ground there are rough for him. >> they certainly are, guys. we've got to leave it there but we will continue at the top of the hour. lou? >> thank you very much. president obama's trillion dollar health care plan is threatened. capitol hill democrats divided over the high costs as the federal deficit is exploding and any tax increase could stimy economic recovery. also, massive cyber attacks against the u.s. government. several agencies, including the white house, attacked over the july fourth weekend. north korea is the suspect. why the highly vulnerable computer systems cannot be protected. and a spectacle of lobbyists hiring homeless people to hold their places in line out of side of congressional hearings. >> political suicide or is she a political? we'll have that in the broadcast. join us for all of that and more. all of the day's news at the top of the hour. wolf, back to you. >> thank you, lou. presidential bug swatting. first president obama and now the iranian president. the most unusual look. check in with jack cafferty once again for the carve file. >> question this hour based on a couple of things. alec baldwin saying he wants to run for congress swb poll tax good second career choice for actors and comedians. glen in florida writes maybe for some, jack. but at the rate the republicans run afoul in a variety of ways there might be more opportunities for politicians to find a second career in entertainment. hey, couldn't you just see the south carolina governor mark sanford in a lifetime made-for-tv movie or how about sarah palin pursuing a career in stand-up comedy? you betcha. missy writes my problems with more actor/comedians are most live in a cocoon. unless i was convinced they were out there talking to people living the life of an ordinary american i probably wouldn't vote for an actor but i know many others would. look at california, voting for an actor in the governor's office. worked out well for them. didn't it? larry, why not? actors are the most quotable politicians on the landscape. anybody who writes a book called "rush limbaugh is a big, fat idiot" can't be all bad. that's al franken's book. could jennifer aniston and whoopi goldberg make any less sense than sarah palin? marsha in kansas -- as it great career choice for those who are intelligent and informed. they are somewhat used to criticism, they usually communicate clearly. it's the intelligent informed part that's the deciding factor. donovan in virginia says gb baldwin gets elected i'll leave the country and i'm sure i won't be alone. barry in ohio -- it's all about the team, jack. it is the writers that make the comedians funny. put a good team in place, anybody can govern. by the way, who writes your stuff? if you didn't see your e-mail here go to my plog at cblog at cnn.com/cafferty file. >> i like your writing, jack. you write the way you talk. if anybody knows you, what you write is just jack. >> yeah. to answer that guy's question, i write most of it myself, though i do have a producer who helps. that's all i know how to do. >> those two excellent books you wrote, anybody who read those books, that's jack cafferty talking. >> you're very kind, mr. blitzer. thank you. on that kind note, i'll see you tomorrow. a hit and miss for iran's president, mahmoud ahmadinejad. he tries to catch a moth but guess what? he can't. who did president obama catch that faster flying fly? we're going to pit president against president in a pest killing play-by-play. it card... from american express... it's the official card... largest airline. of the world's and it's the only credit card... that earns miles on delta. miles that take you... to more places than ever before. over 350 destinations worldwide. so switch today. get up to 25,000 bonus miles-- good for a free flight. call now to apply. there's no annual fee for the first year... and you can redeem... with no blackout dates or seat restrictions. these are just a few of the benefits... of carrying the official card of delta air lines. switch now and you can earn miles... on delta with your purchases: groceries, gas, entertainment, and more. get up to 25,000 bonus miles... with the gold delta skymiles credit card. call 1-800-skymiles to apply. this is the official card... of the world's largest airline. take a look at some of our hot shots. in pakistan, a displaced man from the swat valley carries away supplies from the united nations. in india, the queen of bull jump greets an orthodox nun. and in scotland, two 4 week-old-twin red pandas are together in a conservation shots. pictures worth a thousand words. a quick eye and an even faster hand. skills when trying to catch those pesky summer bugs, skills the iranian president mahmoud ahmadinejad apparently doesn't have, and president obama does. that makes for a "moos" unusual presidential play-by-play. here's cnn's jeanne moos. >> reporter: it was -- >> hey! >> reporter: -- definitely -- >> get out of here -- >> reporter: -- a rough act to follow. >> nice. >> reporter: too tough for the president of iran. mahmoud ahmadinejad was in the process of congratulating his countrymen when what looked like a giant moth fluttered by. he missed. we may never know if it bugs president ahmadinejad not to be able to say quarterback in farsi -- i got the sucker. >> reporter: let's go to the replay for a slow motion comparison of the two leaders' bug-swatting techniques. president ahmadinejad opted for the lunge-and-grab method while president obama practiced the wait-and-bounce pe wait-and-technique. mr. president, your trousers zip is undone has gone viral. while preparing for an interview, president ahmadinejad seems to be zipping up. critics aren't zipping their lips. they're making the most of the viral video, putting the missed swat to music -- and putting words in the mouth of the moth -- death to dictator -- a twitter message quotes a shiite e-mom as saying god created bugs to intimidate the arrogant. someone even put ahmadinejad's head on the fly that buzzed obama. when the president talked in his inaugural speech about extending a hand to those who would enclench their fist -- >> that's the most persistent fly i've ever seen.

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