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CNN Live At Daybreak

Commission Looking Into Intelligence Lapses Leading Up to 9/11 Begins Two Days of Public Hearings

Aired March 23, 2004 - 05:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


CAROL COSTELLO, CNN ANCHOR: Good morning to you.
It's Tuesday, March 23.

From the CNN global headquarters in Atlanta, I'm Carol Costello.

Let me bring you up to date.

The stage is set for today's 9/11 Commission public hearing. Raising the stakes is a book by President Bush's former counter- terrorism czar. He accuses the president of ignoring the threat posed by al Qaeda.

Here is John Kerry back in 1971, catching the attention of then President Nixon and his FBI. Newly released files show the high level of surveillance of Kerry when he was an anti-war Vietnam vet.

Was Terry Nichols an innocent victim betrayed by his friend or a partner in terror? Jurors will decide as testimony begins in Nichols' Oklahoma City bombing murder trial.

It's not just same-sex marriages being banned in one Oregon county. Marriage licenses will not be given to anyone in Benton County until a court rules on the legality of gay marriage.

Soul singer Aretha Franklin is in the hospital this morning. Her publicist says she is in stable condition, but we're not being told what's wrong with her or where she's being treated. Aretha Franklin is 62.

We update the top stories every 15 minutes. The next news update comes your way at 5:15 Eastern.

The commission looking into intelligence lapses leading up to 9/11 begins two days of public hearings today. There will be high profile witnesses and one notable absence. Top officials of the Bush and constitution White Houses will testify. Former Secretary of State Madeleine Albright and current Secretary of State Colin Powell are expected to testify this morning. In the afternoon, the Commission is supposed to hear from former Defense Secretary William Cohen and current Defense Secretary Donald Rumsfeld.

National Security Advisor Condoleezza Rice will not appear. Donald Rumsfeld is expected to respond to charges in a new book accusing the Bush administration of focusing too much on Iraq after 9/11. With more, here's CNN national security correspondent, David Ensor.

(BEGIN VIDEOTAPE)

DAVID ENSOR, CNN NATIONAL SECURITY CORRESPONDENT (voice-over): It already looked like a rough week for the Bush administration defending its efforts against al Qaeda before the 9/11 commission but Richard Clarke's broadside has turned up the heat.

RICHARD CLARKE, FORMER Basically, the president botched the response to 9/11. He should have gone right after Afghanistan, right after bin Laden and then he made the whole war on terrorism so much worse by invading Iraq.

RICHARD BEN-VENISTE, 9/11 COMMISSION MEMBER: We had received a tremendous amount of information leading to the conclusion that some dramatic attack would occur by al Qaeda and people, such as Richard Clarke, were literally running through the halls of the White House with their hair on fire with the seriousness of these threats.

ENSOR: Ben-Veniste and the rest of the commission will hear from the present and former secretaries of state and defense Tuesday, from Clarke and CIA Director George Tenet on Wednesday. Bill Clinton and Al Gore will also meet privately with the commission soon to be asked why did they not do more against al Qaeda?

TIMOTHY ROEMER, 9/11 COMMISSION MEMBER: Why was there no retaliation at the end of your administration to the bombing of the USS Cole where we lost 17 sailors?

ENSOR: Clarke advocated tough action to both the Bush and Clinton administrations. Even Clinton administration officials argue his ideas were not always realistic.

WILLIAM COHEN, FORMER DEFENSE SECRETARY: There were some of the recommendations he would make in terms of more aggressive action I think that we questioned in terms of the feasibility of carrying them out under certain circumstances.

ENSOR: Still in question how much access the commission will get to President Bush and Vice President Cheney. Just the top two members may see them says the White House and National Security Adviser Condoleezza Rice won't testify publicly citing the confidentiality of the advice she gives to the president.

BEN-VENISTE: They do not make her available and I think that's shameful.

ENSOR (on camera): It may be a rough week and clearly there are lessons to be learned but, for what it's worth, several career officials say they do not believe that either Mr. Bush or Mr. Clinton can really be held responsible for what 19 terrorists were able to do on September 11, 2001.

David Ensor, CNN, Washington. (END VIDEOTAPE)

COSTELLO: And former counter-terrorism chief Richard Clarke will be a guest on CNN's "American Morning." That starts, of course, two hours from now. And then tomorrow night, after he testifies before the 9/11 Commission, Clarke will be the guest on CNN's "Larry King Live." That's at 9:00 p.m. Eastern.

Clarke's book, by the way, promises to heighten interest in today's 9/11 Commission hearing. It will be the eighth public hearing before the independent commission. The group is investigating U.S. counter-terrorism policy from August of 1998 to September 11, 2001. The investigation will bring together national security officials and defense chiefs from the Bush and Clinton administrations. The panel's reporting deadline was extended to July 26, 2004, after the bipartisan group insisted it needed more time to complete the work. I hope you got all of that.

Your safety and the terrorists to the nation's rail system will be the focus of a Senate committee, too, this morning. Homeland security director Tom Ridge says his department will begin testing new ways to screen passengers and their luggage later this spring and he says dog teams will be trained to sniff out dangers. This comes after those deadly train bombings in Madrid, Spain two weeks ago.

(BEGIN VIDEO CLIP)

TOM RIDGE, HOMELAND SECURITY SECRETARY: And while there are no indications that terrorists are planning similar attacks in the United States in the near term, we have asked transit and rail operators around the country to be on a heightened state of alert and deploy additional security personnel and surveillance equipment where necessary.

(END VIDEO CLIP)

COSTELLO: New York City police already have increased security for subways and commuter trains. Police have been conducting security sweeps before cars enter tunnels or cross over bridges. Some officers are also being briefed on the background of terrorist groups, their weapons and how to handle possible attacks. There's also more security coming to the nation's 361 sea and river ports. Huge radiation detectors sort of like giant Geiger counters already are in use in New Jersey.

Our Deborah Feyerick tells us about those and plans for more.

(BEGIN VIDEOTAPE)

DEBORAH FEYERICK, CNN CORRESPONDENT (voice-over): More than 22 million shipping containers enter the U.S. every year. They come by sea or overland by truck and rail. Some are screened. Many are not.

Now a new tool that detects radiation is being hailed by customs officials as a major step in securing America, specifically targeting those trying to smuggle in dangerous materials into U.S. seaports. ROBERT C. BONNER, DEPT. OF HOMELAND SECURITY: This increases our ability to detect enriched uranium weapons, plutonium and even so- called radiation dispersal devices or dirty bombs.

FEYERICK: They're called radiation portals. They look like metal detectors but act like Geiger counters. Every container leaving the port of Newark, New Jersey will be screened from now on with other ports to get the devices by the end of the year. Containers that get positive hits for any type of radiation will be opened or x-rayed.

BONNER: I don't now that any, that terrorist organizations have been successful in smuggling in weapons of mass destruction. Obviously, we're doing everything we possibly can or reasonably can to prevent that from happening.

FEYERICK: The critics say the radiation detectors are flawed. Containers may sit on the docks for days or weeks before they're ever checked.

MIKE MITRE, INTL. LONGSHORE AND WAREHOUSE UNION: What about the workers that unload it or what about the people that live next to the port? These containers are going to sit in the port for that amount of time. Wouldn't it have been more well thought out to do these inspections right when they come off the ship?

FEYERICK: Other critics in Washington say containers should be checked before they ever reach U.S. shores.

(END VIDEOTAPE)

COSTELLO: A decision in a police beating investigation tops our Stories Across America this morning. Prosecutors say they will not seek charges against police in last year's beating of Nathaniel Jones. Remember this? The 350 pound Jones was repeatedly hit by metal nightsticks while police say he was resisting arrest. The coroner ruled the death a homicide, but did not conclude that police used excessive force.

(BEGIN VIDEO CLIP)

MICHAEL ALLEN, HAMILTON COUNTY PROSECUTOR: These things, they're not pretty. I mean there's just no getting around it. That thing was flashed all around the world and probably will be again. It's not pretty. But, again, the only one that committed crimes in that parking lot was Mr. Jones. And it is a tragedy that he's dead. I mean there's no question about that. But he's the one that committed the crimes and I think it's appropriate to point that out.

(END VIDEO CLIP)

COSTELLO: Army Chaplain James Yee has been reprimanded on charges of adultery and downloading pornography on his government computer. Yee had been accused of mishandling confidential documents while working as a Muslim chaplain at the detention center at Guantanamo Bay. Those charges were dropped last week. Jury selection resumes today in the Scott Peterson murder trial. Monday, 1,000 prospective jurors began what could be a six week selection process. The judge in the case set May 17 as the date for opening statements.

Embattled singer Bobby Brown was released from a Georgia jail a little earlier than expected. He had an urgent family court matter in Virginia. Brown had been sentenced to serve 60 days after violating his probation but was already scheduled for early release on Thursday.

(BEGIN VIDEO CLIP)

BOBBY BROWN, ENTERTAINER: I love you. This is the last time you'll see me coming out of here or going in. Thank you for your support, all the people out there, for me, myself and my wife and my family. If you could just do us a favor and just let us live for a little while and, you know, enjoy each other, get some sobriety. You know, enjoy your lives and we're going to try to enjoy ours. God bless you all.

(END VIDEO CLIP)

COSTELLO: Bobby Brown there. He is still scheduled to appear in a Georgia court in May. He's charged with battering his wife which, of course, would be singer Whitney Houston.

Good morning, Chad.

CHAD MYERS, CNN CORRESPONDENT: Good morning, Carol.

COSTELLO: How are you?

MYERS: Most entertainers with a camera stuck in their face like that don't act the same as that, actually.

COSTELLO: Well, that was different for Bobby Brown.

MYERS: It sure was. It sure was. That was -- I was this much impressed, actually.

COSTELLO: How much impressed?

MYERS: More than a little. More than...

COSTELLO: More than a little and less than a lot.

MYERS: OK, you know, we'll see if that actually holds up.

Anyway, hey, good morning.

COSTELLO: Good morning.

(WEATHER REPORT)

COSTELLO: All right, thank you, Chad.

MYERS: You're welcome.

COSTELLO: Still to come on DAYBREAK, a T-shirt tussle that has West Virginia crying foul. It's not really the kind of promotion the Mountain State as looking for.

Plus, title search fee, attorney fee, a processing fee -- if you're looking to buy a home, you know closing costs can really add up. Still to come, what's being done to help you out.

Also, the middle class squeeze. Health care costs in America -- a CNN special series of reports, right after the break.

And then this...

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: They have a relative that's with the D.A.'s office, you know, for Homer County. And I couldn't believe that happened.

(END VIDEO CLIP)

COSTELLO: Can you spell oops? A stinging embarrassment in the Terry Nichols trial.

It's Tuesday, March 23.

You're watching DAYBREAK.

(COMMERCIAL BREAK)

COSTELLO: 5:15 Eastern.

Time to take a quick look at the top stories now.

The independent 9/11 Commission holds public hearings today. Among those scheduled to testify, Defense Secretary Donald Rumsfeld.

A New York jury heads into day four of deliberations in the trial of former Tyco executives Dennis Kozlowski and Mark Swartz.

And commissioners in one Oregon county have stopped issuing all marriage licenses. They're waiting until a court rules on the same- sex marriage issue.

We update the top stories every 15 minutes. The next update comes your way at 5:30 Eastern.

All this week on DAYBREAK, we're looking at the health care challenges facing middle class Americans.

This morning, CNN's Lisa Sylvester profiles working professionals who just can't afford coverage.

(BEGIN VIDEOTAPE) LISA SYLVESTER, CNN CORRESPONDENT (voice-over): Forty-six-year- old Pat Lawrence runs her own catering business. She makes enough money to cover food and rent, but cannot afford the $600 a month for health insurance.

PAT LAWRENCE, UNINSURED WORKER: A lot of people have more month at the end of their money than they do money at the end of their month. And I kind of fall into that same category.

SYLVESTER: For most of her adult life, she has not had health coverage.

LAWRENCE: I don't have the annual Pap smear or the mammogram or I don't even go in and have my blood pressure checked.

SYLVESTER: She is among 44 million uninsured Americans, many of them professionals, small business owners and freelancers. The Census Bureau says the number of uninsured has increased by 10 percent in the last two years. Rising health care costs and shrinking wages have put health care coverage out of reach for more middle-class Americans. Four out of five people without insurance are in working families.

RON POLLACK, FAMILIES USA: They tend not to have coverage because their employer doesn't provide coverage or their employer provides coverage and is charging the worker too much money that they can't afford and they're ineligible for any public safety net program.

SYLVESTER: Employers are increasingly asking their workers to shoulder more of the cost of health insurance. Those unable to afford the higher premiums end up dropping their coverage.

STUART SCHEAR, ROBERT WOOD JOHNSON FOUNDATION: So, even if you are employed and you have health coverage, it's very likely that in the last two years you've seen an increase in the co-payment you pay when you get a prescription at the drugstore, that you pay more on a monthly basis for your health premiums.

SYLVESTER: Those without insurance do what Pat Lawrence does, play the game of medical roulette, hoping nothing happens.

(END VIDEOTAPE)

COSTELLO: In tomorrow's segment, overcharging the uninsured. Hospitals routinely put very high list prices on their services. The only group who gets charged those prices are the ones without insurance. That's tomorrow on DAYBREAK.

Time now to check the overseas markets to see how trading may shape up for U.S. investors.

For that, we head live to London and Todd Benjamin -- good morning, Todd.

TODD BENJAMIN, CNN CORRESPONDENT: Good morning, Carol.

We started off higher, these markets rebounding from yesterday's sharp sell-off. They're up about a half percent, the European markets, at the open. Right now they are flat.

In the U.S., the futures market is pointing to just a slightly higher open. That's good news considering the sell-off we saw yesterday, where the Dow was down one percent, the NASDAQ one and a half percent on global security concerns.

In terms of the currency market right now, you've got the euro at 123.36 against the dollar and sterling's around 148 1/2 against the dollar. Of course, the dollar lost ground on Monday on those global security concerns.

In terms of any big economic numbers out today, there aren't, although you're going to get department store sales numbers out of the U.S. today. They should be good. Those tax rebate checks are up 15 percent over the same period a year ago.

And now just going back to your report there about health care costs, you know, that's one of the reasons, actually, we're having a jobless recovery in the U.S. is the sense that rising health care costs put employers off hiring more people -- Carol, back to you.

COSTELLO: Todd Benjamin, many thanks to you.

Attention home buyers -- a proposal designed to save you hundreds of dollars on closing costs is being shelved by the Housing Department. The proposal had encouraged lenders to offer one price to cover all closing costs. Now everything from title searches to appraisal fees are itemized. Opponents say the proposal could lead lenders to hide their fees. And there's a political twist. One senator told the acting housing secretary he won't vote to confirm him unless the proposal is withdrawn and reviewed. So that's what's going to happen.

A brawl in Taiwan's parliament. Take a look. Law makers clash, and I mean literally, over the country's disputed presidential election.

And you've heard the saying sticks and stones may break your bones, right? We'll tell you why a T-shirt tussle has put a dent in part of that theory. You stay tuned.

(COMMERCIAL BREAK)

COSTELLO: A disturbing story out of Indianapolis tops our DAYBREAK Eye-Opener. Police say a 4-year-old boy brought a bag of crack-cocaine to school. He and his sister have been placed in police custody while police search for their parents. The boy told classmates the bag was filled with flour. Well, the flour has a street value of about $10,000.

Have you ever gotten a nasty note from your homeowners' association? Well, one Arizona woman has found a way to poke fun at the rules and regs. She's created a board game. Players are required to make their way through the neighborhood to a neat and orderly ending. Take a look at this for a state slogan. It says it's all relative in West Virginia. Get it? Ooh, the governor is not laughing. He wants Abercrombie & Fitch to quit selling the T-shirt because he says it promotes a negative stereotype of his state. The shirt retails for $24.50. Another T-shirt has the slogan: "New Hampshire -- 40 Million Squirrels Can't Be Wrong."

MYERS: That's a lot of squirrels.

COSTELLO: I was wondering, I thought you were going to complain about the T-shirt price, at $24.50.

MYERS: I don't complain about it.

COSTELLO: For a T-shirt.

MYERS: I just till it gets to the Goodwill and I'll buy it for two bucks there, because you know they're only going to wear it once and throw it away.

COSTELLO: Exactly.

MYERS: Good morning, Carol.

COSTELLO: Good morning, Chad.

(WEATHER REPORT)

COSTELLO: Are we going to tease our DAYBREAK Sunrise Photo?

MYERS: You can always send in your sunrise photo to us, daybreak@cnn.com. That one right there of Gilligan's Island -- no, I'm not sure, I'm not sure where that is. But if you have a photo of your town...

COSTELLO: That was sent to us by the skipper, wasn't it?

MYERS: Hey, that's pretty good.

If you have a picture of your hometown at daybreak, send it to us. E-mail it to us, daybreak@cnn.com, and we'll get it on the air.

COSTELLO: And I actually got one from Toledo, Ohio. I just keep forgetting to load it into the system.

MYERS: I'd love to see that. It could even have the lighthouse in the foreground.

COSTELLO: It could. It just could. Oh, I'll load it into the system and we'll have it tomorrow.

MYERS: OK.

COSTELLO: All right, thank you, Chad.

We've got a lot more to tell you about in the next half hour of DAYBREAK.

Coming up, why Richard Nixon's FBI, not the Secret Service, was keeping an eye on John Kerry.

Top members of the Bush national security team get ready to take the hot seat and will play some inside baseball in the 9/11 hearings.

And the assassination of a Palestinian leader and the aftershocks already being felt. Could they be felt here? The Israeli cabinet has a deadly promise for Hamas leaders. We take you live to Jerusalem.

This is DAYBREAK for Tuesday.

(COMMERCIAL BREAK)

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com


Aired March 23, 2004 - 05:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Good morning to you.
It's Tuesday, March 23.

From the CNN global headquarters in Atlanta, I'm Carol Costello.

Let me bring you up to date.

The stage is set for today's 9/11 Commission public hearing. Raising the stakes is a book by President Bush's former counter- terrorism czar. He accuses the president of ignoring the threat posed by al Qaeda.

Here is John Kerry back in 1971, catching the attention of then President Nixon and his FBI. Newly released files show the high level of surveillance of Kerry when he was an anti-war Vietnam vet.

Was Terry Nichols an innocent victim betrayed by his friend or a partner in terror? Jurors will decide as testimony begins in Nichols' Oklahoma City bombing murder trial.

It's not just same-sex marriages being banned in one Oregon county. Marriage licenses will not be given to anyone in Benton County until a court rules on the legality of gay marriage.

Soul singer Aretha Franklin is in the hospital this morning. Her publicist says she is in stable condition, but we're not being told what's wrong with her or where she's being treated. Aretha Franklin is 62.

We update the top stories every 15 minutes. The next news update comes your way at 5:15 Eastern.

The commission looking into intelligence lapses leading up to 9/11 begins two days of public hearings today. There will be high profile witnesses and one notable absence. Top officials of the Bush and constitution White Houses will testify. Former Secretary of State Madeleine Albright and current Secretary of State Colin Powell are expected to testify this morning. In the afternoon, the Commission is supposed to hear from former Defense Secretary William Cohen and current Defense Secretary Donald Rumsfeld.

National Security Advisor Condoleezza Rice will not appear. Donald Rumsfeld is expected to respond to charges in a new book accusing the Bush administration of focusing too much on Iraq after 9/11. With more, here's CNN national security correspondent, David Ensor.

(BEGIN VIDEOTAPE)

DAVID ENSOR, CNN NATIONAL SECURITY CORRESPONDENT (voice-over): It already looked like a rough week for the Bush administration defending its efforts against al Qaeda before the 9/11 commission but Richard Clarke's broadside has turned up the heat.

RICHARD CLARKE, FORMER Basically, the president botched the response to 9/11. He should have gone right after Afghanistan, right after bin Laden and then he made the whole war on terrorism so much worse by invading Iraq.

RICHARD BEN-VENISTE, 9/11 COMMISSION MEMBER: We had received a tremendous amount of information leading to the conclusion that some dramatic attack would occur by al Qaeda and people, such as Richard Clarke, were literally running through the halls of the White House with their hair on fire with the seriousness of these threats.

ENSOR: Ben-Veniste and the rest of the commission will hear from the present and former secretaries of state and defense Tuesday, from Clarke and CIA Director George Tenet on Wednesday. Bill Clinton and Al Gore will also meet privately with the commission soon to be asked why did they not do more against al Qaeda?

TIMOTHY ROEMER, 9/11 COMMISSION MEMBER: Why was there no retaliation at the end of your administration to the bombing of the USS Cole where we lost 17 sailors?

ENSOR: Clarke advocated tough action to both the Bush and Clinton administrations. Even Clinton administration officials argue his ideas were not always realistic.

WILLIAM COHEN, FORMER DEFENSE SECRETARY: There were some of the recommendations he would make in terms of more aggressive action I think that we questioned in terms of the feasibility of carrying them out under certain circumstances.

ENSOR: Still in question how much access the commission will get to President Bush and Vice President Cheney. Just the top two members may see them says the White House and National Security Adviser Condoleezza Rice won't testify publicly citing the confidentiality of the advice she gives to the president.

BEN-VENISTE: They do not make her available and I think that's shameful.

ENSOR (on camera): It may be a rough week and clearly there are lessons to be learned but, for what it's worth, several career officials say they do not believe that either Mr. Bush or Mr. Clinton can really be held responsible for what 19 terrorists were able to do on September 11, 2001.

David Ensor, CNN, Washington. (END VIDEOTAPE)

COSTELLO: And former counter-terrorism chief Richard Clarke will be a guest on CNN's "American Morning." That starts, of course, two hours from now. And then tomorrow night, after he testifies before the 9/11 Commission, Clarke will be the guest on CNN's "Larry King Live." That's at 9:00 p.m. Eastern.

Clarke's book, by the way, promises to heighten interest in today's 9/11 Commission hearing. It will be the eighth public hearing before the independent commission. The group is investigating U.S. counter-terrorism policy from August of 1998 to September 11, 2001. The investigation will bring together national security officials and defense chiefs from the Bush and Clinton administrations. The panel's reporting deadline was extended to July 26, 2004, after the bipartisan group insisted it needed more time to complete the work. I hope you got all of that.

Your safety and the terrorists to the nation's rail system will be the focus of a Senate committee, too, this morning. Homeland security director Tom Ridge says his department will begin testing new ways to screen passengers and their luggage later this spring and he says dog teams will be trained to sniff out dangers. This comes after those deadly train bombings in Madrid, Spain two weeks ago.

(BEGIN VIDEO CLIP)

TOM RIDGE, HOMELAND SECURITY SECRETARY: And while there are no indications that terrorists are planning similar attacks in the United States in the near term, we have asked transit and rail operators around the country to be on a heightened state of alert and deploy additional security personnel and surveillance equipment where necessary.

(END VIDEO CLIP)

COSTELLO: New York City police already have increased security for subways and commuter trains. Police have been conducting security sweeps before cars enter tunnels or cross over bridges. Some officers are also being briefed on the background of terrorist groups, their weapons and how to handle possible attacks. There's also more security coming to the nation's 361 sea and river ports. Huge radiation detectors sort of like giant Geiger counters already are in use in New Jersey.

Our Deborah Feyerick tells us about those and plans for more.

(BEGIN VIDEOTAPE)

DEBORAH FEYERICK, CNN CORRESPONDENT (voice-over): More than 22 million shipping containers enter the U.S. every year. They come by sea or overland by truck and rail. Some are screened. Many are not.

Now a new tool that detects radiation is being hailed by customs officials as a major step in securing America, specifically targeting those trying to smuggle in dangerous materials into U.S. seaports. ROBERT C. BONNER, DEPT. OF HOMELAND SECURITY: This increases our ability to detect enriched uranium weapons, plutonium and even so- called radiation dispersal devices or dirty bombs.

FEYERICK: They're called radiation portals. They look like metal detectors but act like Geiger counters. Every container leaving the port of Newark, New Jersey will be screened from now on with other ports to get the devices by the end of the year. Containers that get positive hits for any type of radiation will be opened or x-rayed.

BONNER: I don't now that any, that terrorist organizations have been successful in smuggling in weapons of mass destruction. Obviously, we're doing everything we possibly can or reasonably can to prevent that from happening.

FEYERICK: The critics say the radiation detectors are flawed. Containers may sit on the docks for days or weeks before they're ever checked.

MIKE MITRE, INTL. LONGSHORE AND WAREHOUSE UNION: What about the workers that unload it or what about the people that live next to the port? These containers are going to sit in the port for that amount of time. Wouldn't it have been more well thought out to do these inspections right when they come off the ship?

FEYERICK: Other critics in Washington say containers should be checked before they ever reach U.S. shores.

(END VIDEOTAPE)

COSTELLO: A decision in a police beating investigation tops our Stories Across America this morning. Prosecutors say they will not seek charges against police in last year's beating of Nathaniel Jones. Remember this? The 350 pound Jones was repeatedly hit by metal nightsticks while police say he was resisting arrest. The coroner ruled the death a homicide, but did not conclude that police used excessive force.

(BEGIN VIDEO CLIP)

MICHAEL ALLEN, HAMILTON COUNTY PROSECUTOR: These things, they're not pretty. I mean there's just no getting around it. That thing was flashed all around the world and probably will be again. It's not pretty. But, again, the only one that committed crimes in that parking lot was Mr. Jones. And it is a tragedy that he's dead. I mean there's no question about that. But he's the one that committed the crimes and I think it's appropriate to point that out.

(END VIDEO CLIP)

COSTELLO: Army Chaplain James Yee has been reprimanded on charges of adultery and downloading pornography on his government computer. Yee had been accused of mishandling confidential documents while working as a Muslim chaplain at the detention center at Guantanamo Bay. Those charges were dropped last week. Jury selection resumes today in the Scott Peterson murder trial. Monday, 1,000 prospective jurors began what could be a six week selection process. The judge in the case set May 17 as the date for opening statements.

Embattled singer Bobby Brown was released from a Georgia jail a little earlier than expected. He had an urgent family court matter in Virginia. Brown had been sentenced to serve 60 days after violating his probation but was already scheduled for early release on Thursday.

(BEGIN VIDEO CLIP)

BOBBY BROWN, ENTERTAINER: I love you. This is the last time you'll see me coming out of here or going in. Thank you for your support, all the people out there, for me, myself and my wife and my family. If you could just do us a favor and just let us live for a little while and, you know, enjoy each other, get some sobriety. You know, enjoy your lives and we're going to try to enjoy ours. God bless you all.

(END VIDEO CLIP)

COSTELLO: Bobby Brown there. He is still scheduled to appear in a Georgia court in May. He's charged with battering his wife which, of course, would be singer Whitney Houston.

Good morning, Chad.

CHAD MYERS, CNN CORRESPONDENT: Good morning, Carol.

COSTELLO: How are you?

MYERS: Most entertainers with a camera stuck in their face like that don't act the same as that, actually.

COSTELLO: Well, that was different for Bobby Brown.

MYERS: It sure was. It sure was. That was -- I was this much impressed, actually.

COSTELLO: How much impressed?

MYERS: More than a little. More than...

COSTELLO: More than a little and less than a lot.

MYERS: OK, you know, we'll see if that actually holds up.

Anyway, hey, good morning.

COSTELLO: Good morning.

(WEATHER REPORT)

COSTELLO: All right, thank you, Chad.

MYERS: You're welcome.

COSTELLO: Still to come on DAYBREAK, a T-shirt tussle that has West Virginia crying foul. It's not really the kind of promotion the Mountain State as looking for.

Plus, title search fee, attorney fee, a processing fee -- if you're looking to buy a home, you know closing costs can really add up. Still to come, what's being done to help you out.

Also, the middle class squeeze. Health care costs in America -- a CNN special series of reports, right after the break.

And then this...

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: They have a relative that's with the D.A.'s office, you know, for Homer County. And I couldn't believe that happened.

(END VIDEO CLIP)

COSTELLO: Can you spell oops? A stinging embarrassment in the Terry Nichols trial.

It's Tuesday, March 23.

You're watching DAYBREAK.

(COMMERCIAL BREAK)

COSTELLO: 5:15 Eastern.

Time to take a quick look at the top stories now.

The independent 9/11 Commission holds public hearings today. Among those scheduled to testify, Defense Secretary Donald Rumsfeld.

A New York jury heads into day four of deliberations in the trial of former Tyco executives Dennis Kozlowski and Mark Swartz.

And commissioners in one Oregon county have stopped issuing all marriage licenses. They're waiting until a court rules on the same- sex marriage issue.

We update the top stories every 15 minutes. The next update comes your way at 5:30 Eastern.

All this week on DAYBREAK, we're looking at the health care challenges facing middle class Americans.

This morning, CNN's Lisa Sylvester profiles working professionals who just can't afford coverage.

(BEGIN VIDEOTAPE) LISA SYLVESTER, CNN CORRESPONDENT (voice-over): Forty-six-year- old Pat Lawrence runs her own catering business. She makes enough money to cover food and rent, but cannot afford the $600 a month for health insurance.

PAT LAWRENCE, UNINSURED WORKER: A lot of people have more month at the end of their money than they do money at the end of their month. And I kind of fall into that same category.

SYLVESTER: For most of her adult life, she has not had health coverage.

LAWRENCE: I don't have the annual Pap smear or the mammogram or I don't even go in and have my blood pressure checked.

SYLVESTER: She is among 44 million uninsured Americans, many of them professionals, small business owners and freelancers. The Census Bureau says the number of uninsured has increased by 10 percent in the last two years. Rising health care costs and shrinking wages have put health care coverage out of reach for more middle-class Americans. Four out of five people without insurance are in working families.

RON POLLACK, FAMILIES USA: They tend not to have coverage because their employer doesn't provide coverage or their employer provides coverage and is charging the worker too much money that they can't afford and they're ineligible for any public safety net program.

SYLVESTER: Employers are increasingly asking their workers to shoulder more of the cost of health insurance. Those unable to afford the higher premiums end up dropping their coverage.

STUART SCHEAR, ROBERT WOOD JOHNSON FOUNDATION: So, even if you are employed and you have health coverage, it's very likely that in the last two years you've seen an increase in the co-payment you pay when you get a prescription at the drugstore, that you pay more on a monthly basis for your health premiums.

SYLVESTER: Those without insurance do what Pat Lawrence does, play the game of medical roulette, hoping nothing happens.

(END VIDEOTAPE)

COSTELLO: In tomorrow's segment, overcharging the uninsured. Hospitals routinely put very high list prices on their services. The only group who gets charged those prices are the ones without insurance. That's tomorrow on DAYBREAK.

Time now to check the overseas markets to see how trading may shape up for U.S. investors.

For that, we head live to London and Todd Benjamin -- good morning, Todd.

TODD BENJAMIN, CNN CORRESPONDENT: Good morning, Carol.

We started off higher, these markets rebounding from yesterday's sharp sell-off. They're up about a half percent, the European markets, at the open. Right now they are flat.

In the U.S., the futures market is pointing to just a slightly higher open. That's good news considering the sell-off we saw yesterday, where the Dow was down one percent, the NASDAQ one and a half percent on global security concerns.

In terms of the currency market right now, you've got the euro at 123.36 against the dollar and sterling's around 148 1/2 against the dollar. Of course, the dollar lost ground on Monday on those global security concerns.

In terms of any big economic numbers out today, there aren't, although you're going to get department store sales numbers out of the U.S. today. They should be good. Those tax rebate checks are up 15 percent over the same period a year ago.

And now just going back to your report there about health care costs, you know, that's one of the reasons, actually, we're having a jobless recovery in the U.S. is the sense that rising health care costs put employers off hiring more people -- Carol, back to you.

COSTELLO: Todd Benjamin, many thanks to you.

Attention home buyers -- a proposal designed to save you hundreds of dollars on closing costs is being shelved by the Housing Department. The proposal had encouraged lenders to offer one price to cover all closing costs. Now everything from title searches to appraisal fees are itemized. Opponents say the proposal could lead lenders to hide their fees. And there's a political twist. One senator told the acting housing secretary he won't vote to confirm him unless the proposal is withdrawn and reviewed. So that's what's going to happen.

A brawl in Taiwan's parliament. Take a look. Law makers clash, and I mean literally, over the country's disputed presidential election.

And you've heard the saying sticks and stones may break your bones, right? We'll tell you why a T-shirt tussle has put a dent in part of that theory. You stay tuned.

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COSTELLO: A disturbing story out of Indianapolis tops our DAYBREAK Eye-Opener. Police say a 4-year-old boy brought a bag of crack-cocaine to school. He and his sister have been placed in police custody while police search for their parents. The boy told classmates the bag was filled with flour. Well, the flour has a street value of about $10,000.

Have you ever gotten a nasty note from your homeowners' association? Well, one Arizona woman has found a way to poke fun at the rules and regs. She's created a board game. Players are required to make their way through the neighborhood to a neat and orderly ending. Take a look at this for a state slogan. It says it's all relative in West Virginia. Get it? Ooh, the governor is not laughing. He wants Abercrombie & Fitch to quit selling the T-shirt because he says it promotes a negative stereotype of his state. The shirt retails for $24.50. Another T-shirt has the slogan: "New Hampshire -- 40 Million Squirrels Can't Be Wrong."

MYERS: That's a lot of squirrels.

COSTELLO: I was wondering, I thought you were going to complain about the T-shirt price, at $24.50.

MYERS: I don't complain about it.

COSTELLO: For a T-shirt.

MYERS: I just till it gets to the Goodwill and I'll buy it for two bucks there, because you know they're only going to wear it once and throw it away.

COSTELLO: Exactly.

MYERS: Good morning, Carol.

COSTELLO: Good morning, Chad.

(WEATHER REPORT)

COSTELLO: Are we going to tease our DAYBREAK Sunrise Photo?

MYERS: You can always send in your sunrise photo to us, daybreak@cnn.com. That one right there of Gilligan's Island -- no, I'm not sure, I'm not sure where that is. But if you have a photo of your town...

COSTELLO: That was sent to us by the skipper, wasn't it?

MYERS: Hey, that's pretty good.

If you have a picture of your hometown at daybreak, send it to us. E-mail it to us, daybreak@cnn.com, and we'll get it on the air.

COSTELLO: And I actually got one from Toledo, Ohio. I just keep forgetting to load it into the system.

MYERS: I'd love to see that. It could even have the lighthouse in the foreground.

COSTELLO: It could. It just could. Oh, I'll load it into the system and we'll have it tomorrow.

MYERS: OK.

COSTELLO: All right, thank you, Chad.

We've got a lot more to tell you about in the next half hour of DAYBREAK.

Coming up, why Richard Nixon's FBI, not the Secret Service, was keeping an eye on John Kerry.

Top members of the Bush national security team get ready to take the hot seat and will play some inside baseball in the 9/11 hearings.

And the assassination of a Palestinian leader and the aftershocks already being felt. Could they be felt here? The Israeli cabinet has a deadly promise for Hamas leaders. We take you live to Jerusalem.

This is DAYBREAK for Tuesday.

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