sitting just off the coast of honduras. it's just been elevated to a tropical depression. now, it's moving slowly towards the west at about 10 miles per hour. the map, though, will show multiple possibilities for where this storm can track: north, south, east and west. the scenarios, though, could take it over mexico and never make it into the gulf, it would break up over land. it could stay far to the south and not be a significant threat to the northern gulf but just cause high waves and winds. that would still be a threat to mexico and texas. but the worst-case scenario is that a strong storm develops, it works its way into the slick area and then, harry, all bets are off. >> smith: b.p. says it needs five days to evacuate so says thad allen, the admiral from the coast guard. you can predict weather pretty well a day out. how well can you predict five days out? they need that much time? >> reporter: you're fight. forecasters are very good at predicting weather in 24-hour increments. the farther out you go, the more challenging it becomes to pinpoint and this is the perfect storm. it pits forecast accuracy versus the need to make go and no-go decisions and, harry, the error rate five days out is 600 miles wide, and that's the difference between new orleans and miami. >> smith: a big guess. dave price, thank you so much. >> reporter: you bet. >> smith: as you can imagine, those who live and work on the gulf coast are absolutely dreading the storm. if the relief effort is shut down, up to 2.5 million more gallons of oil could spew goo into the gulf everyday. kelly cobiella is in gulf shores, alabama, with the very latest. good evening, kelly. >> reporter: good evening, harry. hurricanes are practically a way of life here but with oil washing ashore and gushing at sea, even the hint of a storm hundreds of miles away stirs a whole new set of fears. >> trying to save my hair salon that i just opened. >> reporter: shrapb owner deborah davis has to scour command posts for customers because business has dried up. as if that weren't bad enough, there's talk of a storm brewing. you're worried? >> i'm scared. very scared. we're constantly being told the worst hasn't come yet. >> reporter: ribbons of oil a mile long are streaming toward florida and alabama shores and sneaking into mobile bay. a mile below the surface, the well is still gushing. they're now collecting nearly 24,000 barrels of oil. by next week, b.p. hopes to more than double that. and they're making slow steady progress on the relief wells, the best hope of stopping the gusher. one is 4,600 feet below the sea floor, the other nearly 11,000 feet down. they will be done in mid-august-- that is unless a hurricane hits. those boats just off shore skimming oil that's headed for these beaches and even though the surface looks relatively clean, if you dig below about a foot, you see this: a line of old oil. for now, the main concern is keeping the beaches clean. in florida, crews we moved nearly 45,000 pounds of oil mixed with sand this week and health officials declared some of the water safe to swim. the tide brings in a layer of oil and if it's not cleaned quickly, a layer of sand on top. candi warren wanted her cleanup crew to dig. >> they would tell us don't dig, we're only doing the surface, it's only cosmetic. >> reporter: so she quit. but in louisiana, a bit of good news. for the first time since may 6, craig beak wits was allowed to fish. >> i'm glad to be on the water now. it's not deal with no oil. >> reporter: for the fishermen and others who still can't work, they learned today those compensation checks from b.p. are not all theirs to keep. the i.r.s. will be collecting income tax. harry? >> smith: i know you've been checking with people who have been mired in the claims process. how's that been going? >> reporter: well, it's sped up a bit but it's still far from perfect. one businessman who filed a claim back at the beginning of may for $350,000 in lost revenue did get a check recently for $35,000. that's 10% of the claim he's asking for and he's filed paperwork he said this thick for the rest of it. >> smith: kelly cobiella with us tonight in the gulf. thank you very much. there was a special honor today for someone who has done a lot to help some of the victims in the gulf. 11-year-old olivia bowler rang the closing bell today at the new york stock exchange. she paints pictures of birds and sells them to raise money for the audubon society and other charities caring for wildlife on the gulf coast. her art has raised $160,000 so far and you can see steve hartman's profile of olivia at cbsnews.com. now to those big changes coming to wall street and the banks on main street, too. earlier this morning, congressional negotiators reached agreement on the historic financial overhaul that president obama has been pushing for. it includes a new consumer protection agency and a wide array of new bank regulations to reduce risk and avoid another meltdown. senior business correspondent anthony mason is here to explain all of it. good evening. >> reporter: hi, harry. this massive reform bill is likely to lead to thousands of pages of new regulations. two years after the greatest financial crisis since the great depression, we have the most sweeping reforms since the depression. from banks which nation tighter regulation to consumers who will get more protection. the financial system will be transformed. >> i think the most significant thing here is the sheer breadth. >> reporter: the reforms establish a new consumer financial protection bureau within the federal reserve. the agency, which would have an independent chief appointed by the president, would police lending on products like mortgages, credit cards, and student loans. but auto dealers are exempt from its oversight. is this just window dressing? >> no. the consumer protection bureau will have teeth. it will make a difference. that's one reason the banking industry is scared of it. >> reporter: the final legislation is far tougher than the banks expected. it gives the f.d.i.c. power to unwind failing financial firms and forces the banks to pay for it. it also prevents banks from making risky bets with their own funds, pushing the trading of complicated derivatives on to regulated exchanges. derivatives made the banks billions but also exposed them to catastrophic losses. >> and it's those sudden and unexpected gambling losses that lead to the kind of institutional failures that require expensive bailouts. >> reporter: all this will hit the banks where it hurts-- on the bottom line. >> are tae going to be as profitable? no, are they still going to make money? yes. >> reporter: the american bankers' association said in a statement today it still strongly opposed to the legislation which it said will ultimately harm main street. bank analyst paul miller says tighter credit and higher fees. >> you're going to see people get notices by the end of the year on their credit cards that will be kicked out of the credit card. you will see free checking accounts going away. >> reporter: it took a devastating financial crisis for congress to pass the sweeping reforms. but will they be enough to prevent a reoccurrence? >> next financial crisis-- and there will be another one-- won't be as big and it will be farther off in the future. >> reporter: because of this bill? >> because of this bill. >> reporter: and it will now be the federal reserve's job to keep an eye out for that next crisis. the fed has been made responsible for the safety of the system and comes out of this crisis even more powerful. harry? >> smith: anthony mason, thank you. a big win for the president as he attends the g-8 and g-20 summits with world leaders in canada. but on the minus side, he failed to get enough g.o.p. support for a bill that would have extended jobless benefits to hundreds of thousands of americans. chief white house correspondent chip reid is traveling with the president in toronto. chip, good evening. >> reporter: good evening, harry. here in toronto, the president is using this reform bill as an example, a model, for other nations. but back in washington, his critics say it's a bill that will stifle economic growth. the president today said the financial reform bill is urgently needed to hold big banks accountable. >> so we can help prevent another financial crisis like the one that we're still recovering from. >> reporter: but most republicans say the bill is another example of the president's addiction to big government solutions. >> i see it's 3:00 in the morning. why is it that congress always sees the need to raise taxes on the american people in the dead at night? >> reporter: republican critics also say requiring banks to have large financial cushions will dry up fund for lending. that a bank on the verge of collapse should go to bankruptcy court not a government-supervised restructuring. and that the bail fails even to address mortgage giants fannie mae and freddie mac whose bad practices played a central role in the financial collapse. most republicans also oppose the new consumer protection bureau which they say will tie up banks in red tape, making it harder for consumers to get loans. >> how we think by adding new taxes to banks banks that somehw they're going to make credit either more available or less expensive is beyond me. it's not going to happen. >> reporter: now, the president is expected to get a political boost from the reform bill, but he also got a political disappointment shortly before arriving here. republicans in congress blocked his jobs bill, claiming it's too expensive. that means hundreds of thousands of americans will lose their unemployment benefits. harry? >> smith: chip reid tonight in toronto. thanks. here in new york today, a suspected drug lord from jamaica finally faced a judge. christopher coke pleaded not not guilty to charges that for 15 years he ran a major drug ring supplying the east coast. he was captured outside kingston tuesday disguised with a woman's wig. his arrest ended a violent month-long manhunt there that left 76 people dead in jamaica. coming up next on the "cbs evening news," how do lobbyists build those special relationships with members of congress? for some, it's a family affair. [ matt ashworth ] the things that make us americans are the things we make. this has always been a nation of builders, craftsmen. men and women for whom straight stitches and clean welds were matters of personal pride. they made the skyscrapers and the cotton gins. colt revolvers, jeep 4 x 4's. these things make us who we are. as a people, we do well when we make good things and not so well when we don't. the good new is, this can be put right. we just have to do it. and so we did. ♪ this, our newest son, was imagined, drawn, carved, stamped, hewn and forged here in america. it is well made and it is designed to work. this was once a country where people made things, beautiful things, and so it is again. the new jeep grand cherokee. ♪ >> smith: there are more than 11,000 active lobbyists working in washington, d.c., all well paid for their ability to influence officials, especially members of congress. and when it comes to influence, family ties are hard to beat. sharyl attkisson tracks it all in tonight's "follow the money." >> reporter: senators byron dorgan and kent conrad have a lot in common. they're both from north dakota. both of their wives got jobs as big-time lobbyists. and both have taken positions on issues that benefited their wives' clients. as long as they follow the rules, it's perfectly legal, but critics say that doesn't make it right. a cbs news investigation has identified 19 federal lobbyists closely related to members of congress. dads, wives, brothers, sisters, sons, daughters, in-laws and more. there are some restrictions. for example, lobbyists can't lobby their own husband or wife in congress or their staff. but watchdog craig holman says everyone knows where their bread is buttered. >> we're allowing family members of senators and congressmen to be employed at very lucrative salaries by the same corporations that have business pending before congress. it's just an obvious conflict of interest that should not be allowed. >> reporter: holman says there's a reason why companies hire family members of congress to lobby in directly related fields. mark pryor and daniel inouye are on a senate technology and communications committee. their relatives lobby for microsoft, verizon, and motorola corrine brown is on the coast guard committee. her daughter lobbies for a company that sells coast guard products. bill young, the defense spending committee. his daughter-in-law lobbies for defense contractors. dorgan, brown, and pryor didn't respond to our questions. the others say they follow or surpass all rules. for example, senator conrad's wife gave up a client during the health care debate to avoid even the appearance of a conflict. when it comes to family ties, it's hard to beat the railroads. bill lipinski and bud shuster used to be lead congressmen on railroad committees. they left. their sons were elected, and now they are on the railroads committee. today the dads lobby for railroads. so do the father and brother of a top staffer on the railroads committee. >> i'm the one with the engineering background. >> reporter: congressman lipinski told us his dad doesn't lobby him or need the family connections. >> reporter: congressman shuster didn't respond to us. >> they're findings to throw money at the feet of members of congress and you do it through the family members. >> reporter: the members of congress would likely disagree. they insist no matter who's in the family-- even a lobbyist-- they can keep it separate from the nation's business. sharyl attkisson, cbs news, washington. >> smith: we'll be right back. and aleve was proven to work better on pain host: could switching to geico 15% or more on car insurance? host: does charlie daniels play a mean fiddle? ♪ fiddle music charlie:hat's how you do it son. vo: geico. 15 minutes could save you 15% or more on car insurance. and i'm joni. we've been best friends since we were two. we've always been alike. we even both have osteoporosis. but we're active, especially when we vacation. so when i heard about reclast, the only once-a-year iv osteoporosis treatment, i cled joni. my doctor said reclast helps re-strengthen our bones to lp make them resistant to fracture for twelve whole months. and reclast is approved to help protect from fracture in more places: hips, spine, even other bones. (announcer) you should not take reclast if you're on zometa, have low blood calcium, kidney problems. or you're pregnant, plan to become pregnant or nursing. take calcium and vitamin d daily. tell your doctor if you develop severe muscle, bone or joint pain or if you have dental problems, as rarely, jaw problems have been reported. the most common side effects include flu-like symptoms, fever, muscle or joint pain, headache, nausea, vomiting and diarrhea. nothing strengthens you like an old friendship. but when it comes to our bones, we both look to reclast. you've gotta ask your doctor! once-a-year reclast. year-long protection for on-the-go women. >> smith: a follow-up now on a story we reported earlier this month. a history-making spacecraft's fiery return to earth. today nasa released video shot by three high school students from massachusetts who were in an airplane 44,000 feet over australia. they shot these pictures as the japanese probe reentered the atmosphere. it was the first craft to land on an asteroid and return to earth. scientists will reveal soon if it captured any of the asteroid's dust. the internet will soon have an official red light district. . xxx. details have to be worked out yet, but the california company that oversees the internet agreed today to create a new suffix to identify porn web sites. the new .xxx will join familiar doe domain names like.com, dot gove, dote organize and doth eydie. after winning the 11th hour match, john isner was knocked out of wimbledon. and this time it took about 75 minutes. isner looked tired, losing to an unseeded opponent in straight sets over just 23 games. that's 160 viewer games an this his three day match. he's headed home to focus on "anything but tennis." speaking of defeats. one that stands out in american history happened 134 years ago today. sioux warriors wiped out general george custer and his more than 200 soldiers in montana. now custer's last flag is going on sale. it's a tattered cavalry pennant found at the site of the massacre. the detroit institute of art has held the flag since 1895 and hopes it will bring in $5 million at auction this fall. next, remembering michael jackson one year later. i know who works differently than many other allergy medications. hoo? omnaris. 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[ inhales deeply ] i told my allergy symptoms to take a hike. omnaris. ask your doctor. battling nasal allergy symptoms? omnaris combats the cause. get omnaris for $11 at omnaris.com. they're fishermen, they're shrimpers, they're laborers, they're deckhands, they're people who work in restaurants... these are the people of the gulf coast who need our help. i'm darryl willis. i oversee bp's claims process on the gulf coast. bp has got to make things right and that's why we're here. part of that responsibility is letting you know what we're doing to make it right. we're replacing the lost income for fishermen, small businessmen and others who aren't able to work until the spill is cleaned up. our claims line is open 24 hours a day, 7 days a week. people can call or go online and we'll help them figure out what information they need to file a claim. we've got about 900 people handling claims and 25 walk-in offices in 4 states. so far we've paid eighteen thousand claims, at no cost to taxpayers. more than fifty one million dollars. i was born and raised in louisiana. i volunteered for this assignment because this is my home. i'll be here in the gulf as long as it takes to make this right. the 57th president of the united states. ♪ ♪ ♪ [ bell rings ] ♪ [ male announcer ] at&t. the nation's fastest 3g network. this summer, get the exclusive samsung strive for just $19.99. only from at&t. 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[ male announcer ] your favorite foods fighting you? fight back fast with tums. calcium rich tums goes to work in seconds. nothing works faster. ♪ tum ta tum tum tums $250 million this past year off music sales and movie revenue and more money-making ventures are in the works. two cirque du soleil shows based on phao *euplg's music and a new album of never-released songs. >> this money could go on for years in a way not unlike elvis. >> reporter: one year on the myth and the muse rick keeping a steady beet. bill whitaker, cbs news, hollywood. >> smith: that's the "cbs evening news," for katie couric, i'm harry smith. jeff glor will be here tomorrow night and i will see you monday from the gulf coast. good evening. donny osmond. this is "entertainment tonight." >> nowit's my turn. >> jake today on the record about his ugly bleakup with vienna. >> i'm going to worry about myself for a while. >> team edward. >> i always knew. >> team jacob. >> i can't believe it. >> and the gifrl in the middle. >> who was the better kisser? >> ilt not sure. >> hollywood comes out in few force f