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CNN Wolf Blitzer Reports

Coverage of Republican National Convention

Aired August 30, 2004 - 17:00   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.


WOLF BLITZER, CNN ANCHOR: Happening now, hovering over the Republican national convention, the war on terror. Why does President Bush now say the United States can't win it? Stand by for hard news on WOLF BLITZER REPORTS.
Call to order.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: We're going to talk about the president's record of the past four years because what you've done in the past is indicative of what you'll do in the future.

(END VIDEO CLIP)

BLITZER: Republicans open their convention with a message. Mayors, and the magic of McCain-- can they make their case for four more years? On the trail, Democrats say they offer a difference.

(BEGIN VIDEO CLIP)

SEN. JOHN EDWARDS (D-NC), VICE PRESIDENTIAL NOMINEE: When it comes to how America fights terror and leads the world, make no mistake, this election offers the American people a very real choice. We believe -- we believe -- John Kerry and I -- that this war is winnable.

(END VIDEO CLIP)

BLITZER: Spying or sloppiness? Did a Pentagon insider pass secrets to Israel?

ANNOUNCER: This is a special edition of WOLF BLITZER REPORTS, live from the Republican national convention in New York.

BLITZER: Hello from Madison Square Garden, where they wasted no time, absolutely no time, getting down to business.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: ... honor and high privilege to nominate George W. Bush, a strong and compassionate leader, for the office of president of the United States of America.

(END VIDEO CLIP) BLITZER: Vice President Cheney made an early appearance here and heard his name offered up for a second term. One of the first speakers here, the former New York City mayor Ed Koch. He's still a Democrat, but--

(BEGIN VIDEO CLIP)

ED KOCH (D), FORMER NEW YORK CITY MAYOR: This year, I'm voting for the re-election of President George W. Bush!

(END VIDEO CLIP)

BLITZER: Later this hour, I'll ask Ed Koch why he's decided to cross the line.

Let's go down to the convention floor, CNN's John king standing by with a look at what the president may reveal this week about his agenda for a possible second term. But we begin with CNN's Candy Crowley on the GOP stars who will come out here tonight -- Candy.

CANDY CROWLEY, CNN SENIOR POLITICAL CORRESPONDENT: Wolf, you would be hard-pressed to find two more popular Republicans across the country than former New York mayor Rudy Giuliani and Senator John McCain of Arizona. Those are the two headliners tonight, which has a theme, ``A nation of courage.'' We have, of course, been given excerpts of their speech, both men on point. And as you might imagine, this is about the leadership of George Bush.

John McCain will say, ``He'' -- speaking of the president-- ``has been tested and has risen to the most important challenge of our time, and I salute him. I salute the determination to make this world a better, safer, freer place. He has not wavered. He has not flinched from the hard choices. He will not yield, and neither will we.''

Interesting use, Wolf, of the word, ``I salute him,'' this from a man, of course, with military credentials, combat credentials, and an interesting play on words, given what we saw at the Democratic convention.

As for Rudy Giuliani -- ``America's mayor,'' they call him, the man who led New York, and in some ways, the nation through 9/11. He, too, attesting to the president's leadership tonight, saying, ``Having''-- the president ``having strong beliefs, being able to stick with them through popular and unpopular times, is the most important characteristic of a great leader'' -- Wolf.

BLITZER: Candy Crowley, on the convention floor. Thanks, Candy, very much.

What would President Bush hope to accomplish during the next four years? He's expected to outline his agenda during his acceptance speech here Thursday night. For that, let's turn to John King for a bit of a preview -- John.

JOHN KING, CNN SENIOR WHITE HOUSE CORRESPONDENT: And Wolf, the president worked on that speech a bit this morning at the White House in the theater. Aides say it will run about an hour. One mistake this president believes his father made back in 1992 was not laying out a clear agenda for his second term. He says he will not leave this convention without doing that.

Now, we are told the speech is all but done, just being tinkered on. One theme we are told to look for is that the president will promise to keep taxes low and make them more simple. He also will promise to expand and make health care both more accessible and affordable. The president will talk about offering help to workers who are strained in this tough economy between work and family responsibilities. Look for more talk of opportunities like flex time, the president putting that forward. He also will talk about more retirement options, including reviving a plan from the last campaign to allow Americans to invest some of the taxes they pay into Social Security into private investment accounts.

Now, that is the president's domestic focus for a second term, much of it designed to rebut the arguments coming from the Kerry/Edwards campaign. He, like the speakers tonight, also will defend himself and portray himself as steadfast and decisive in the war on terrorism. This is a carefully scripted convention.

The president veered a bit from that script in an interview aired today by NBC, when he was asked by Matt Lauer when would we be able to define victory, win a victory in the war on terror.

(BEGIN VIDEO CLIP)

GEORGE WALKER BUSH, PRESIDENT OF THE UNITED STATES: I don't think you can win it, but I think you can create conditions so that the-- those who use terror as a tool are less acceptable in parts of the world. Let's put it that way.

(END VIDEO CLIP)

KING: Democrats immediately seizing on that, saying the president now concedes he cannot win the war on terrorism. White House aides say the Democrats are taking the president out of context. They say what he means is that this is an unconventional war and that there will never be a peace treaty or any surrender by the terrorists and that the president has said that from the very beginning. But Wolf, some White House aides also concede the president could have chosen his words a bit more carefully.

BLITZER: All right, John King. It's dark here inside Madison Square Garden. That's why you see no lights. But there will be lots of lights later tonight. John, thanks very much.

While his big party gets under way in New York City, President Bush is on the campaign trail today in two key battleground states, New Hampshire and Michigan. Our Suzanne Malveaux is traveling with the president. She filed this report from the Granite State.

(BEGIN VIDEOTAPE)

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: This is President Bush's beginning of a big push towards the convention, the strategy here, of course, to highlight key elements of his agenda in critical states. Today it is New Hampshire, known for its fierce independence. President Bush won it by just 1 percent, 7,000 votes, back in 2000. Now, despite the fact it is historically conservative and Republican, the biggest challenge the campaign is facing, they say, is to mobilize and persuade independent voters, the strategy here for the president to capitalize off the fact that voters here don't like taxes and they don't like big government.

BUSH: The tax relief plan, the economic stimulus plan we passed is working here in the Granite State-- 3.8 percent!

MALVEAUX: Now, here's what they looking at out of registered voters in New Hampshire. Republicans 36.9 percent, Democrats 26 percent, and those who are unenrolled or undeclared in a party affiliation 36.8 percent. Now, President Bush's next stop is Michigan. That is where the latest poll shows Kerry is ahead of the president by just 3 points. Suzanne Malveaux, CNN, Nashua, New Hampshire.

(END VIDEOTAPE)

BLITZER: John Kerry is vacationing at least part of this week on Nantucket Island off Massachusetts. But running mate John Edwards was on the attack once again today, slamming the president over those remarks that a victory in the war on terror might simply not be possible. CNN's Joe Johns is with the Kerry camp on Nantucket -- Joe.

JOE JOHNS, CNN CONGRESSIONAL CORRESPONDENT: Wolf, this was supposed to be a break for the Kerry campaign and for Senator Kerry himself. In fact, he went wind surfing earlier today. But it has not been all fun and games, certainly, the campaign taking time out to hit the president on foreign policy first in a conference call this morning, then a few hours later, as you said, John Edwards delivering a speech in North Carolina, hitting the president on foreign policy, and in particular, two statements he has made recently, including the statement, We can't win the war on terror. Edwards said this is no time to declare defeat.

The president has said in recent days, also, that the U.S. is experiencing ``catastrophic success'' of his war policy. Edwards said there were a number of miscalculations in U.S. foreign policy recently, touched on that, also, in the North Carolina speech.

(BEGIN VIDEO CLIP)

EDWARDS: The reality is, whatever we hear in New York during the course of the week, and I'm sure there's going to be a lot of happy rhetoric, the president himself said on television today that he had serious doubts about winning the war on terrorism. John Kerry and I know we can win the war on terrorism, and we know how to win it.

(END VIDEO CLIP)

JOHNS: Now, Republicans have not allowed these attacks on the president's foreign policy to go unanswered. They have responded. In fact, they said just this afternoon that a number of Democrats have supported the president and his leadership in the war on terror. Wolf, back to you.

BLITZER: Joe Johns in Massachusetts for us. Thanks, Joe, very much.

And joining us now here at the Republican national convention at Madison Square Garden, a key member of the Bush cabinet, the secretary of health and human services, Secretary Tommy Thompson. Secretary, thanks very much for joining us.

TOMMY THOMPSON, HHS SECRETARY: Wolf, it's always a pleasure to be on your program. Thank you very much.

BLITZER: Could you give me a little sense-- put on your political hat for a minute.

THOMPSON: Sure.

BLITZER: I want to make sure that we get your political sense of where this election stands right now.

THOMPSON: Right now, it's very close. The battleground states are very close, such as Wisconsin, New Hampshire, West Virginia, Pennsylvania and Ohio. But I would say that the president is on the upswing, especially in my home state of Wisconsin, where he's taken the lead. And I think it looks good for the president.

BLITZER: What about Wisconsin specifically? How many times were you elected in Wisconsin?

THOMPSON: I was elected-- well, many times, but four times for governor.

BLITZER: So you know this state.

THOMPSON: I know that state like...

BLITZER: It looks very, very close right now. Who has the upper hand?

THOMPSON: Right now, it looks like George W. Bush. The most recent poll shows that George Bush is up about 3 points. That's a very good sign this close to the election. And I think coming out of this campaign and out of this convention, that increase will be even more. The president is going to go to Milwaukee on Friday right after the convention, and that's another good sign that he believes Wisconsin is winnable.

BLITZER: All right, let's talk about some of the policy issues that you're involved in that could have an impact on this election -- stem cell research. It was a big issue with the Democratic convention. We heard the son of president, Ronald Reagan, Ron Reagan, speak about that. Nancy Reagan has taken a strong position on that. Do you believe that this issue at all will be raised from the podium behind us? THOMPSON: I'm not so sure it's going to be raised from the podium, but I can tell you that the president is very concerned about stem cell research. He's the first president to put money into stem cell research. This year, we're going to spend $25 million, and the president says, Spend as much money as necessary on the stem cell lines that are available right now, which are 23.

BLITZER: How much promise does stem cell research have for Parkinson's, Alzheimer's, spinal cord injury? You've studied this at great length over the past few years.

THOMPSON: I have. Well, I think that there's no question it shows a great deal of promise, but it's very premature. A lot of research needs to be done on it, and it's going to take a long period of time before we have any kind of therapies that can be used for any of these maladies. But it does show promise. But so does adult stem cells, so does placenta stem cells. It's not only embryonic. And this president, this administration is doing research in all of those areas to find a cure, hopefully, for at least one, if not all of these maladies.

BLITZER: Is the president, after he's reelected, assuming he's reelected, opening to reconsidering his stance on this right now?

THOMPSON: The president has been very strong and forthright on this. This is a stand on principle, on ethical principles. He does not believe that we should in any way cause the damage to an embryo in order to do research. And therefore, I don't think there will be a change in the policy.

BLITZER: What about-- switching gears very quickly -- bioterrorism, another subject on your agenda? The president today said you can't win the war on terror. Did you understand the point he was trying to make?

THOMPSON: Absolutely. The president said this is a tough war. And there's no question that there's no country involved, there's a terrorist in a lot of countries. And there's not one leader that you're going to be able to negotiate a peace treaty. But there is no question that we're winning the war on terror. We've arrested and we've killed several terrorist leaders. And I can't tell-- can't imagine anybody not recognizing that this president has led and made America and the world safer on his fight against terror.

BLITZER: The former governor of Wisconsin, now the secretary for the last several years. You going to stay on in a second term?

THOMPSON: No, I'm not.

BLITZER: All right. Is that official?

THOMPSON: That's official.

BLITZER: Is that the first time you're making news with this?

THOMPSON: No, no. BLITZER: You've told people--

THOMPSON: I've told the president.

BLITZER: All right. Well, you spent four years in the cabinet. Thanks very much for joining us.

THOMPSON: Thank you, Wolf.

BLITZER: Our live coverage of the Republican national convention will continue with an inside look at a very important political relationship, the relationship of Senator John McCain and President Bush.

Plus, spy probe, a Pentagon employee now under investigation for allegedly giving classified information to Israel.

A positive sign in Iraq. The top radical Shi'ite cleric tells the Mahdi Army to lay down its arms. Plus this--

(BEGIN VIDEO CLIP)

DR. WILLIAM KENNEDY SMITH: I did have a consensual relationship with Audra Soulias in 1999.

(END VIDEO CLIP)

BLITZER: The Kennedy cousin accused of sexual assault breaks his silence. Hear from William Kennedy Smith. All that coming up, and much more coverage from the Republican convention here. Take a look at this, live pictures from the podium. Rudy Giuliani-- they call him ``America's mayor.'' He'll be speaking tonight in prime-time. CNN will have coverage. He's getting familiar with the podium. He's getting familiar with the microphone, the set-up up there. They want to make sure there are no problems. Rudy Giuliani, practicing for tonight's big speech.

(COMMERCIAL BREAK)

BLITZER: Rehearsals and last-minute preparations for tonight's first night of the Republican national convention here at Madison Square Garden in New York. I'm Wolf Blitzer reporting. Much more coverage of what's happening here at the Garden. We'll have that.

First, though, let's check some other important news we're following right now. In Iraq, an aide to Muqtada al Sadr says the rebel cleric has called for a nationwide cease-fire by his militia, except in cases -- and I'm quoting now -- of self-defense. The Shi'ite leader is said to be waiting for the right time to enter the political arena. Al Sadr's men battled U.S. and Iraqi troops for three weeks in Najaf until a peace deal was brokered last Thursday.

Meantime, Iraq's interim prime minister Iyad Allawi says last year's disbanding of Iraq's security forces is hampering his government's ability to control the insurgency. The U.S.-led coalition dissolved the Iraqi army and police after the fall of Saddam Hussein, and Iyad Allawi tells CNN the insurgents are still taking advantage of that decision.

What does President Bush have to do on the issue of Iraq? You can submit your thoughts on our Web site, cnn.com/Wolf. We'll read some of your comments tomorrow when I speak live with the White House chief of staff, Andrew Card.

It's the Republican Party here in New York, but this week, Democrats are wasting no time in going on the attack. Joining us now with some insight on Democratic strategy during this Republican convention, the Democratic attorney general of New York state, Eliot Spitzer.

Mr. Attorney General, thanks very much for joining us. Why did you decide...

ELIOT SPITZER (D), NEW YORK ATTORNEY GENERAL: Wolf, it's a pleasure.

BLITZER: -- to join this Democratic so-called ``truth squad,'' as they're calling it in the war room, and come out and speak during this Republican convention? What's the most pressing issue on your mind?

SPITZER: The most pressing issue, I think, Wolf is for the public to understand that there's an enormous gap between the rhetoric of the Republican Party and the reality of what has happened to the nation over the past four years. I don't think any of us wants to challenge the motives of the Republican Party. We like George Bush as a person. We like the people in his administration. But just listening to Secretary Thompson a few moments ago saying that $25 million was enough to fund all the stem cell research that was appropriate, that's simply not the case. Stem cell research is critically important. More money should be put into it. The Bush White House has refused to do it.

That is one of a myriad of issues where there's this enormous gap between the rhetoric and the reality. And we just want the public to focus on the reality because we are absolutely convinced that if the public does that, John Kerry will be elected by an enormous margin. And it's true across the board on all the issues, foreign and domestic.

BLITZER: You know New York state politics about as well as anyone. Explain this. The Democratic nominee is way ahead in all of the polls in New York state. It doesn't seem to be much of a race here in New York state. Why is it, though, that there's a Republican governor of this state, a Republican mayor of New York City, Michael Bloomberg, a former mayor, Rudy Giuliani, who will be speaking here, also a Republican, and another former mayor, a Democrat, Ed Koch, who will be on this program shortly, who supports George W. Bush's reelection? To our viewers outside of New York state, explain what's going on here.

SPITZER: Well, Wolf, again, this is where the smoke and mirrors of this convention, I think, have to be revealed. You're right, we have moderate Republicans whom we elect because we believe in bipartisan government. We believe in addressing tough issues in a thoughtful manner, as some of these elected Republicans have done, as Ed Koch, who's a Democrat, has done throughout this career.

The Republican Party of the state of New York is not the Republican Party of George Bush. George Bush is so far out of the mainstream that, although he's bringing in the Republicans of New York state to speak for him, to create the illusion of moderation, I don't think anybody should be deceived. George Bush, and the Republican Party he wants to create is not at all the Republican Party of New York state that has elected a George Pataki, who disagrees -- and this has been in the press for some time now-- George Pataki, who disagrees with President Bush on a range of the most important social issues that are out there.

So I think, once again, we are seeing this very large gap between the rhetoric of George Bush and the reality that we think the public should understand.

BLITZER: Eliot Spitzer, thanks very much for joining us.

SPITZER: Thank you, Wolf.

BLITZER: And our live coverage of the Republican national convention is just ahead, with a look at a senator, an important senator, who will be in the spotlight tonight, namely John McCain, his sometimes complicated relationship with President Bush.

Plus this--

(BEGIN VIDEO CLIP)

ED KOCH (D), FORMER NEW YORK CITY MAYOR: I'm here to convert you.

(END VIDEO CLIP)

BLITZER: It's not what you think. Another Democrat now speaking out in support of President Bush. I'll talk live here on the floor with the former New York City mayor Ed Koch. He's a Democrat, but he's supporting President Bush.

And there's been a new development in the story of the New Jersey governor, James McGreevey. His former aide makes an announcement. So much more coverage from the Republican convention just ahead.

(COMMERCIAL BREAK)

BLITZER: You see the back of his head. That would be Ed Koch, the former mayor of New York City, sitting in the New York delegation. There he is, Ed Koch. I'll go down there shortly. We'll speak live. And I'll ask him why this Democrat now supports a Republican to be the president of the United States. Ed Koch standing by-- actually, sitting by. We'll get to him shortly.

Welcome back to our continuing coverage. Much more coverage from Madison Square Garden coming up. But there's a very important story in Washington we're following, a spy probe. It concerns the alleged transfer of classified material to Israel. But is it spying or something less? Let's go live to our justice correspondent, Kelli Arena -- Kelli.

KELLI ARENA, CNN JUSTICE CORRESPONDENT: Wolf, government sources tell CNN prosecutors are still deciding whether to bring espionage charges against a Defense Department employee or lesser charges, such as mishandling classified documents.

(BEGIN VIDEOTAPE)

(voice-over): It turns out, government officials say, the Pentagon analyst came to the FBI's attention as part of a larger ongoing investigation into possible Israeli spying. The officials say more than a year ago, he joined a lunch meeting between an Israeli embassy official and employee of AIPAC, the influential pro-Israel lobbying group, a meeting federal agents were monitoring. Based on the investigation, which they say included wiretaps and photos, government officials allege the defense analyst eventually passed along classified information to two employees of AIPAC. Included in that information, a draft presidential directive on U.S. policy toward Iran. They say the lobbyist then passed the information on to Israel.

AIPAC denies any wrongdoing.

BERNICE MANOCHERIAN, AIPAC: The allegations against us are outrageous, as well as baseless. They will not dissuade us from exercising our rights as American citizens to be involved in the political system.

ARENA: Israel also denies wrongdoing, and an Israeli official tells CNN no Israeli diplomats have been contacted by the FBI about the matter. Senior officials at both the Pentagon and State Department have been interviewed or briefed.

RICHARD BOUCHER, STATE DEPARTMENT SPOKESMAN: No. The most that I could say is that the secretary's been briefed on the investigation.

(END VIDEOTAPE)

ARENA: No charges have been filed against the Pentagon analyst. Sources say, after he was confronted with the photographs and wiretap information, he decided to cooperate and is still cooperating. Repeated efforts to reach him have been unsuccessful. At this point, there is no indication the criminal investigation has widened beyond that single analyst, and sources say they are still discussing whether any arrests should be made -- Wolf.

BLITZER: Kelli Arena with the latest on this spy probe, alleged spy probe, going on in Washington. Thanks very much, Kelli, for that.

Bitter enemies in 2000, allies today. Coming up, we'll have a look at why John McCain this time around is going to bat for George W. Bush.

Kennedy cousin. She's suing to stop his alleged assaults on women. Now we'll hear his side of the story.

It wasn't the music they wanted to hear. An unruly welcome for the daughters of President Bush and the daughters of Senator Kerry at the MTV Video Music Awards.

Much more coverage coming up, including more from the Republican convention at Madison Square Garden.

(COMMERCIAL BREAK)

BLITZER: Welcome back to our continuing coverage. I'm now on the floor here at the Republican National Convention at Madison Square Garden in New York.

Four years ago, a lot of our viewers will remember there was a very bitter Republican presidential primary contest between George W. Bush and John McCain. It was so bad that, in fact, at times McCain allies predicted the senator from Arizona would never forgive the president for speaking out against him and for those attack ads that were leveled against him, especially during the primary in South Carolina.

In an interview, though, today, with CNN's Judy Woodruff, John McCain said the 2004 campaign, the one under way right now, is the most divisive in many decades.

(BEGIN VIDEOTAPE)

JUDY WOODRUFF, CNN ANCHOR: Do you think this country's going to remain divided after this election no matter who wins?

SEN. JOHN MCCAIN (R), ARIZONA: The way this campaign is going, yes.

But, if I were President Bush, as soon as I'm reelected, I would make my top priority trying to bring this nation back together. This is the worst, most partisan environment that I've seen in 22 years in public office. And I deeply regret it. I deeply regret it. We are friends. We're not enemies. We have a common enemy. Maybe we ought to start working together to address that challenge.

(END VIDEO CLIP)

BLITZER: John McCain now strongly supporting the president for reelection.

Our White House correspondent Dana Bash has been taking a closer look at this unique relationship between Bush and McCain.

Dana Bash is here at the convention -- Dana.

DANA BASH, CNN WHITE HOUSE CORRESPONDENT: Well, Wolf, McCain aides say that that exact theme, unifying the country, is going to be a part of his speech tonight here at the convention. And for a president who is so polarizing, having John McCain say that is worth its political weight in gold. (BEGIN VIDEOTAPE)

BASH (voice-over): The Republican out stumping with the president lately isn't his running mate.

MCCAIN: My friends, this president understands the challenge.

BASH: It's his bitter rival of four years ago. Their storied slugfest, so 2000. This is hug fest 2004.

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: John McCain has embodied honor and integrity, courage and strength. And I'm honored to have him by myself.

BASH: But McCain is often a thorn in his side, saying the president should have sent more troops to Iraq and splitting on other key issues.

MCCAIN: I think we shouldn't have enacted the tax cuts for the rich. I think that we should be able to import drugs from Canada.

BASH: The Bush campaign says those differences might actually help with swing voters.

MATTHEW DOWD, BUSH CAMPAIGN STRATEGIST: Because it basically says to people out there, you can disagree with the president on some policies but in the end he's the right man for the job. And that's what John McCain's saying.

BASH: The relationship is complicated. The politics are not. McCain's broad appeal is extremely rare in today's polarized politics and makes him a prom queen of sorts. Everyone wants to bring him to the dance.

SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: John McCain and I have joined together, Republican and Democrat.

BASH: The Democratic challenger embraces him in almost every speech, and even explored the idea of putting the Republican on his ticket.

MCCAIN: There were certainly discussions. For me to go much further than that I think would betray the confidence of conversations.

BASH: Some say McCain milks it. He definitely gets it.

MCCAIN: I am sure that there is the belief on the part of the president's advisers, as there was on John Kerry's advisers, that there's a certain number of independent voters who would vote because of my allegiance to either party. And so I am flattered by that.

BASH: He walks a fine line, careful to campaign for the president,, but never speaks out against Kerry, his friend and fellow Vietnam veteran, even coming to his defense on a controversial issue, ads where other Vietnam veterans questioned Kerry's valor. MCCAIN: What disturbs me more than anything else is to go back and reopen the wounds of a war more than 30 years ago.

BASH: He's also disturbed by reopened wounds from just four years ago, his own battle against George W. Bush, when McCain was accused by an outside group of abandoning veterans.

(BEGIN VIDEO CLIP)

MCCAIN: I don't know if you can understand this, George, but that really hurts.

(END VIDEO CLIP)

BASH: The Kerry campaign used some of that tongue-lashing in an ad to prove there's a history of Bush dirty politics. McCain just calls it history and hopes the Democrats drop it.

MCCAIN: There's no point in looking back in anger. And, by the way, Americans don't like a sore loser.

BASH: The senator says the Bush-McCain relationship is overanalyzed and really not that complicated.

MCCAIN: We're friends and I enjoy his company. And I'm going to do what I can for his reelection. Will we continue to have disagreements on specific issues? Yes.

(END VIDEOTAPE)

BASH: But, Wolf, don't look for any of those disagreements here tonight. In fact, the primary focus of John McCain's speech will be defending the case for war in Iraq, perhaps an area where the president needs it most. And we're told by a McCain aide that we should even look for a line or two going after filmmaker Michael Moore for what he says about the war in Iraq.

BLITZER: All right, Dana Bash, good report. Thanks very much.

Let's turn now to the former mayor of New York City. He's a Democrat, Ed Koch.

I believe, Mr. Mayor, you are still a Democrat.

ED KOCH, FORMER MAYOR OF NEW YORK: I certainly am.

BLITZER: But you're reporting this Republican president.

KOCH: I am, on the single issue which overrides all other issues, and that is taking on international terrorism. I believe the Democratic Party doesn't have the stomach to do it. I don't think that John Kerry will overrule that party. That party has overruled him, as I see it. And I am therefore supporting the reelection of the president.

BLITZER: How unusual is this for you, Ed Koch, the man, to vote -- to actually go ahead and vote for a Republican for president?

KOCH: For president. I have never voted for a Republican for president. I have voted for Republican mayors, Lindsay, Giuliani, Bloomberg. But we're at war. And I believe that nothing else matters until we win that war against people who, according to Lee Hamilton, want to kill us.

And when they say they want to kill us, they're talking about Christians and Jews and Hindus and every other group that doesn't accept the supremacy of Islam.

BLITZER: You heard the president say to Matt Lauer on NBC he doesn't think we can win this war on terror.

KOCH: I didn't see that. And I would be surprised if he said it.

BLITZER: He said it's not winnable. He said it's just going to continue and continue. You can deal with it. You can fight it. You can score inroads, but you can't necessarily win it. That's what he said.

(CROSSTALK)

KOCH: Well, I didn't watch that. I didn't watch that. I'm not going to comment on it.

I believe it is a battle that will go on for an extended period of time. And I don't believe the Democrats have the stomach to take on that battle.

BLITZER: John Kerry had the stomach to go into Vietnam and risk his life to fight...

KOCH: Let me just say this.

I admire John Kerry. I think he's a war hero and I think it's wrong to attack any of those credentials. But I believe he made a decision that, if he wants to be the candidate and needed the delegates who normally supported Howard Dean, who is an ultra-lefty, that he had to tell them what they wanted to hear. If they could, they would be out of Iraq yesterday. And I believe that John Kerry has flip-flopped on that issue.

BLITZER: What do you say to your liberal Democratic friends? And you still have many of them.

KOCH: Man.

BLITZER: Who say, maybe you're right on the war on terror, Ed Koch.

KOCH: Yes.

BLITZER: But when it comes to domestic social issues, abortion rights for women, this may be a president if he's reelected that could put two or three justices on the U.S. Supreme Court.

KOCH: What I have said is that I disagree with the president on every domestic issue that I can recall. But the issue that trumps all other issues is life and death. And they want to kill us, meaning the Islamic fascists, if you want to refer to them that way, of which there are multimillions.

And I believe the person who is standing up to the United States, when other countries are capitulating -- Spain, the Philippines, they've capitulated. The terrorists say, change your foreign policy. They've changed their foreign policy. I want a president who will lead us to victory.

BLITZER: So you're like Zell Miller, the Democratic senator from Georgia who's supporting this president. Any inkling, any desire on your part to leave the Democratic Party and become a Republican?

KOCH: No. Listen, there was a poll that was reported -- I saw it in "The Times" -- over the weekend that said more than 50 percent of the Democrats perceive themselves to be moderates. So, the people who are leading the party, Kennedy, he's not a moderate. He's an ultra-lefty. And everybody knows that.

BLITZER: You're sounding like a Republican here.

KOCH: Oh, no, I don't agree with you at all.

I think Bill Clinton was very proud to lead the party to the center when it was way out there on the ultra-left. He's not ashamed of having moved it to the center, not so far as I know.

BLITZER: He's not supporting Bush.

KOCH: Listen, each person -- I'm 80 years old. I'm never going to run for anything ever again. I want the best for my country, for my city, and my state. I believe that reelecting George Bush is the best for this country. And that's why I'm doing it.

BLITZER: All right, Ed Koch, you were never a shy guy. I knew you when you were a congressman, when you were a mayor, and now you're making it clear that you're supporting Bush. Thanks very much for joining us.

KOCH: All right, thank you.

BLITZER: We have much more coverage coming up here from the Republican Convention on the floor. That's where we are right now.

When we come back, we'll hear, though, from the first President Bush, George Herbert Walker Bush. He spoke with our Paula Zahn earlier today. We'll give you an excerpt of what he had to say.

Plus, you'll meet a delegate from the battleground state of Arizona.

And the Kennedy cousin speaking out about accusations of sexual assault. Today, William Kennedy Smith gives his side of the story.

Also ahead, cheers and jeers. The candidates' daughters find the campaign trail can be a tough place, even at a glamorous event like the MTV Video Music Awards.

Much more coverage from New York from Madison Square Garden when we come back.

(COMMERCIAL BREAK)

BLITZER: A former aide has dropped plans to sue New Jersey Governor James McGreevey for sexual harassment. A lawyer for Golan Cipel says McGreevey's recent resignation announcement amounts to an admission of wrongdoing. And a lawyer says that's all Cipel really want.

William Kennedy Smith, the Kennedy family member who gained national attention after being accused of rape in 1991, faces a new accusation of sexual assault. Smith told a news conference he's stepping down from his job to fight allegations he calls a lie.

CNN's Keith Oppenheim is live in Chicago with the latest on this story -- Keith.

KEITH OPPENHEIM, CNN CORRESPONDENT: Hi, Wolf.

It's important to note that this lawsuit is technically not for sexual assault. It's for emotional distress, in large part because the statute of limitations has long since passed. It was last week that 28-year-old Audra Soulias, a former assistant to William Kennedy Smith, charged that, in 1999, he got her drunk, forced her to come home with him and assaulted her.

Soulias' attorneys said the woman was discouraged by many to take any action, and they acknowledge that she had a relationship with Kennedy Smith for several months after the alleged incident. Kennedy Smith is a doctor who runs an organization that works to help victims of land mines. And the woman's attorney said the organization was conducting an internal investigation into sexual harassment claims against Kennedy Smith. In January, they say Ms. Soulias received threatening calls from Kennedy Smith after she offered to help with that investigation.

Today, Kennedy Smith gave his side of the story.

(BEGIN VIDEO CLIP)

WILLIAM KENNEDY SMITH, ACCUSED IN LAWSUIT: I did have a consensual relationship with Audra Soulias in 1999. It lasted for about five months. It was in no way forced or coerced. I cannot dignify her allegations by repeating them, even to deny them. So all I can say is that they are false.

(END VIDEO CLIP)

OPPENHEIM: Kennedy Smith says he's leaving his job to fight these allegations. Ms. Soulias says that her actions are not about money. But today, his lawyers produced a letter from her attorneys calling for a $3.3 million sum to avoid a lawsuit -- Wolf, back to you.

BLITZER: All right, Keith Oppenheim with that -- thanks, Keith, very much.

Our live coverage of the Republican National Convention here at Madison Square Garden will continue.

Just ahead, a CNN exclusive interview. Hear what the first President Bush told our Paula Zahn earlier today.

Plus, it's really all about the people attending the convention. We'll introduce you to a delegate with a very famous last name.

(COMMERCIAL BREAK)

BLITZER: During the Democratic Convention, CNN senior analyst Jeff Greenfield introduced us to some of the delegates. Here at the Republican Convention, he's doing it once again.

Today, we'll meet an Arizona delegate named Tom Liddy. And if that last name sounds familiar, it's no coincidence.

(BEGIN VIDEOTAPE)

TOM LIDDY, ARIZONA DELEGATE: Pump up the volume.

ANNOUNCER: It's Liddy and Hill on News Talk 550 KFYI.

JEFF GREENFIELD, CNN SR. ANALYST (voice-over): Friday afternoon, Phoenix, Arizona.

T. LIDDY: It's not just any Friday. It's P.C. Friday.

GREENFIELD: And conservative talk show radio is on the air.

T. LIDDY: What's up with the French and the whole Kerry thing?

GREENFIELD: If co-host Tom Liddy isn't exactly a household name.

G. GORDON LIDDY, RADIO TALK SHOW HOST: And it is I, G. Gordon.

GREENFIELD: His father is. G. Gordon Liddy also hosts a radio show. But he'll forever be remembered as the Watergate burglar whose silence kept him in prison for 52 months, longer than anyone else involved in that scandal. Less known is the toll that it took on Liddy's wife and five children.

T. LIDDY: Nineteen seventy three to 1977 were tough, tough years for the Liddy kids. It was about our dad one day not coming home because he was found guilty of nine felonies and sentenced to 20 years in prison. As a 10-year-old kid, that's a real shot to the gut. And you have a hard time putting that in perspective. What I remember most about those days was the poverty. Remember, my dad was the breadwinner. My mom taught in a tough neighborhood in Northeast Washington, D.C., because it paid a little bit more.

GREENFIELD: At age 20, Tom Liddy joined the Marines and, like his dad, went to Fordham for law school. Today, when he's not behind a microphone, Liddy practices law in Phoenix.

T. LIDDY: Everything squared away?

UNIDENTIFIED FEMALE: Oh, we are squared away.

T. LIDDY: Good. That's good. That's good.

GREENFIELD: Where he's also the Maricopa County Republican chairman.

T. LIDDY: Maricopa County right now, which looks humble in size, but in reality is over 60 percent of the population of the state, it's a big prize that we've got to hold for the president.

GREENFIELD: That's why on this day he's rallying his troops to make calls for the president.

UNIDENTIFIED FEMALE: My name is Megan (ph). And I'm a volunteer for the Arizona Republican Party.

UNIDENTIFIED MALE: You had expressed an interest in volunteering. And I wanted to follow up.

UNIDENTIFIED FEMALE: Are you still interested in volunteering?

T. LIDDY: We got about 5,800 volunteers.

GREENFIELD: And that's also why the Republican National Committee is in town to see how the get-out-the-vote effort is doing.

T. LIDDY: You know we've got a large early balloting program here.

UNIDENTIFIED FEMALE: Right.

T. LIDDY: But we cracked the code on that.

GREENFIELD: If you ask Tom Liddy today how he came to be this involved in politics, he'll recall one day back in 1973, the day his father went off to prison.

T. LIDDY: I started reading the paper that day and never stopped. I read op-ed pages in every paper in the country over and over and over again. I probably wouldn't have been that active and looking at politics local and national if it weren't for Watergate.

(END VIDEOTAPE)

GREENFIELD: Tom Liddy, welcome. You've got deliver Maricopa County or Arizona ain't going for the president. Janet Napolitano, your Democratic governor, told us a month ago she's never seen the Latino community as energized. Is that turnout one of the things that keeps you awake at night in how you're going to overcome it?

T. LIDDY: No, not at all. It's one of things that inspires me.

The Latino vote is a very important part of the state of Arizona, not just in Maricopa, but all across. They've been very active the last four or five years. We expect them to become a larger and larger part of the voting population, just as they're a huge and important part of the state.

GREENFIELD: And they're going, according to our polls, 2-1 for Senator Kerry. Can you turn that around with what, with specific ideas? What's the argument you're going to get them back with?

T. LIDDY: Well, we go after Latino voters the same way we go after every other voter. We just talk about what it is that interests us and the way we view the best way to move forward on domestic issues and international issues. And lo and behold, Latino voters are like everybody else. We think we'll get 38 percent, 40 percent of them, carry this state for Bush.

GREENFIELD: Lastly, I've been to Phoenix. It's a big city. New York is a little bigger. Are you finding a welcome out here? Is this comfortable for you to come from the Southwest to the Big Apple?

T. LIDDY: Well, a little humid, but it's a lot cooler. But I'm an old Fordham man, so I spent some time in this city. And it's a great city. It's absolutely wonderful to be back. And the people are just magnificent, especially the police.

GREENFIELD: Tom, thanks for joining us.

Wolf, we'll

(CROSSTALK)

BLITZER: Thank you very much.

GREENFIELD: Yes.

BLITZER: Jeff, thanks very much. We're going to be doing this every day this week, right?

GREENFIELD: We'll do it Sunday, if you would like.

BLITZER: Let's do it all the time.

(LAUGHTER)

BLITZER: That's the problem.

All right, we have another big exclusive coming up here on CNN tonight. Paula Zahn sat down with the first President Bush earlier today. An excerpt from Paula's interview, that's coming up next.

(COMMERCIAL BREAK)

BLITZER: It's not very crowded now, but it will be much later here at Madison Square Garden.

There have just been two pairs of father-son presidents in U.S. history. John Adams and his son, John Quincy Adams, were the first pair. President Bush and his father are the second.

CNN's Paula Zahn talked with the former president, George Herbert Walker Bush, earlier today.

(BEGIN VIDEO CLIP)

PAULA ZAHN, CNN ANCHOR: The president faces yet another very close election. And I know you told me before one of the biggest mistakes you made in '92 was underestimating Bill Clinton's ability to connect with the American public. What is it that the president should be worried about when it comes to John Kerry?

GEORGE H.W. BUSH, FORMER PRESIDENT OF THE UNITED STATES: Well, I think the president is connecting with the American people. I really do. He's facing extraordinarily difficult problems, of course.

But I don't worry -- I don't worry so much about John Kerry, who I've known forever. And his record is, I don't think, in keeping with the mood of the American people in terms of the fourth most liberal man in the Senate and all of that. I guess it's just two agonizing months of campaigning. And we'll see what comes out of it.

(END VIDEO CLIP)

BLITZER: And the rest of Paula Zahn's exclusive interview with former President Bush will air tonight during our 8:00 p.m. prime-time coverage of this convention here on CNN.

The daughters of President Bush and the daughters of Democrat John Kerry made a joint appearance over at the MTV Video Music Awards last night. Vanessa and Alexandra Kerry were there in person. Barbara and Jenna Bush were on a pre-recorded video, all urging young Americans to vote -- nothing wrong with that. They were greeted, though, by a mixture of cheers and boos.

And please stay with CNN for live coverage of the Republican National Convention. I'll be back tonight, along with Anderson Cooper at 7:00 p.m. Larry King will have a live edition at 9:00 p.m. Also mid-night, 10:00 p.m. Eastern, Senator John McCain of Arizona takes the stage, followed by "NEWSNIGHT WITH AARON BROWN."

Until then, thanks very much for joining us. I'm Wolf Blitzer in New York.

"LOU DOBBS TONIGHT" starts right now.

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 August 30, 2004 - 17:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
WOLF BLITZER, CNN ANCHOR: Happening now, hovering over the Republican national convention, the war on terror. Why does President Bush now say the United States can't win it? Stand by for hard news on WOLF BLITZER REPORTS.
Call to order.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: We're going to talk about the president's record of the past four years because what you've done in the past is indicative of what you'll do in the future.

(END VIDEO CLIP)

BLITZER: Republicans open their convention with a message. Mayors, and the magic of McCain-- can they make their case for four more years? On the trail, Democrats say they offer a difference.

(BEGIN VIDEO CLIP)

SEN. JOHN EDWARDS (D-NC), VICE PRESIDENTIAL NOMINEE: When it comes to how America fights terror and leads the world, make no mistake, this election offers the American people a very real choice. We believe -- we believe -- John Kerry and I -- that this war is winnable.

(END VIDEO CLIP)

BLITZER: Spying or sloppiness? Did a Pentagon insider pass secrets to Israel?

ANNOUNCER: This is a special edition of WOLF BLITZER REPORTS, live from the Republican national convention in New York.

BLITZER: Hello from Madison Square Garden, where they wasted no time, absolutely no time, getting down to business.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: ... honor and high privilege to nominate George W. Bush, a strong and compassionate leader, for the office of president of the United States of America.

(END VIDEO CLIP) BLITZER: Vice President Cheney made an early appearance here and heard his name offered up for a second term. One of the first speakers here, the former New York City mayor Ed Koch. He's still a Democrat, but--

(BEGIN VIDEO CLIP)

ED KOCH (D), FORMER NEW YORK CITY MAYOR: This year, I'm voting for the re-election of President George W. Bush!

(END VIDEO CLIP)

BLITZER: Later this hour, I'll ask Ed Koch why he's decided to cross the line.

Let's go down to the convention floor, CNN's John king standing by with a look at what the president may reveal this week about his agenda for a possible second term. But we begin with CNN's Candy Crowley on the GOP stars who will come out here tonight -- Candy.

CANDY CROWLEY, CNN SENIOR POLITICAL CORRESPONDENT: Wolf, you would be hard-pressed to find two more popular Republicans across the country than former New York mayor Rudy Giuliani and Senator John McCain of Arizona. Those are the two headliners tonight, which has a theme, ``A nation of courage.'' We have, of course, been given excerpts of their speech, both men on point. And as you might imagine, this is about the leadership of George Bush.

John McCain will say, ``He'' -- speaking of the president-- ``has been tested and has risen to the most important challenge of our time, and I salute him. I salute the determination to make this world a better, safer, freer place. He has not wavered. He has not flinched from the hard choices. He will not yield, and neither will we.''

Interesting use, Wolf, of the word, ``I salute him,'' this from a man, of course, with military credentials, combat credentials, and an interesting play on words, given what we saw at the Democratic convention.

As for Rudy Giuliani -- ``America's mayor,'' they call him, the man who led New York, and in some ways, the nation through 9/11. He, too, attesting to the president's leadership tonight, saying, ``Having''-- the president ``having strong beliefs, being able to stick with them through popular and unpopular times, is the most important characteristic of a great leader'' -- Wolf.

BLITZER: Candy Crowley, on the convention floor. Thanks, Candy, very much.

What would President Bush hope to accomplish during the next four years? He's expected to outline his agenda during his acceptance speech here Thursday night. For that, let's turn to John King for a bit of a preview -- John.

JOHN KING, CNN SENIOR WHITE HOUSE CORRESPONDENT: And Wolf, the president worked on that speech a bit this morning at the White House in the theater. Aides say it will run about an hour. One mistake this president believes his father made back in 1992 was not laying out a clear agenda for his second term. He says he will not leave this convention without doing that.

Now, we are told the speech is all but done, just being tinkered on. One theme we are told to look for is that the president will promise to keep taxes low and make them more simple. He also will promise to expand and make health care both more accessible and affordable. The president will talk about offering help to workers who are strained in this tough economy between work and family responsibilities. Look for more talk of opportunities like flex time, the president putting that forward. He also will talk about more retirement options, including reviving a plan from the last campaign to allow Americans to invest some of the taxes they pay into Social Security into private investment accounts.

Now, that is the president's domestic focus for a second term, much of it designed to rebut the arguments coming from the Kerry/Edwards campaign. He, like the speakers tonight, also will defend himself and portray himself as steadfast and decisive in the war on terrorism. This is a carefully scripted convention.

The president veered a bit from that script in an interview aired today by NBC, when he was asked by Matt Lauer when would we be able to define victory, win a victory in the war on terror.

(BEGIN VIDEO CLIP)

GEORGE WALKER BUSH, PRESIDENT OF THE UNITED STATES: I don't think you can win it, but I think you can create conditions so that the-- those who use terror as a tool are less acceptable in parts of the world. Let's put it that way.

(END VIDEO CLIP)

KING: Democrats immediately seizing on that, saying the president now concedes he cannot win the war on terrorism. White House aides say the Democrats are taking the president out of context. They say what he means is that this is an unconventional war and that there will never be a peace treaty or any surrender by the terrorists and that the president has said that from the very beginning. But Wolf, some White House aides also concede the president could have chosen his words a bit more carefully.

BLITZER: All right, John King. It's dark here inside Madison Square Garden. That's why you see no lights. But there will be lots of lights later tonight. John, thanks very much.

While his big party gets under way in New York City, President Bush is on the campaign trail today in two key battleground states, New Hampshire and Michigan. Our Suzanne Malveaux is traveling with the president. She filed this report from the Granite State.

(BEGIN VIDEOTAPE)

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: This is President Bush's beginning of a big push towards the convention, the strategy here, of course, to highlight key elements of his agenda in critical states. Today it is New Hampshire, known for its fierce independence. President Bush won it by just 1 percent, 7,000 votes, back in 2000. Now, despite the fact it is historically conservative and Republican, the biggest challenge the campaign is facing, they say, is to mobilize and persuade independent voters, the strategy here for the president to capitalize off the fact that voters here don't like taxes and they don't like big government.

BUSH: The tax relief plan, the economic stimulus plan we passed is working here in the Granite State-- 3.8 percent!

MALVEAUX: Now, here's what they looking at out of registered voters in New Hampshire. Republicans 36.9 percent, Democrats 26 percent, and those who are unenrolled or undeclared in a party affiliation 36.8 percent. Now, President Bush's next stop is Michigan. That is where the latest poll shows Kerry is ahead of the president by just 3 points. Suzanne Malveaux, CNN, Nashua, New Hampshire.

(END VIDEOTAPE)

BLITZER: John Kerry is vacationing at least part of this week on Nantucket Island off Massachusetts. But running mate John Edwards was on the attack once again today, slamming the president over those remarks that a victory in the war on terror might simply not be possible. CNN's Joe Johns is with the Kerry camp on Nantucket -- Joe.

JOE JOHNS, CNN CONGRESSIONAL CORRESPONDENT: Wolf, this was supposed to be a break for the Kerry campaign and for Senator Kerry himself. In fact, he went wind surfing earlier today. But it has not been all fun and games, certainly, the campaign taking time out to hit the president on foreign policy first in a conference call this morning, then a few hours later, as you said, John Edwards delivering a speech in North Carolina, hitting the president on foreign policy, and in particular, two statements he has made recently, including the statement, We can't win the war on terror. Edwards said this is no time to declare defeat.

The president has said in recent days, also, that the U.S. is experiencing ``catastrophic success'' of his war policy. Edwards said there were a number of miscalculations in U.S. foreign policy recently, touched on that, also, in the North Carolina speech.

(BEGIN VIDEO CLIP)

EDWARDS: The reality is, whatever we hear in New York during the course of the week, and I'm sure there's going to be a lot of happy rhetoric, the president himself said on television today that he had serious doubts about winning the war on terrorism. John Kerry and I know we can win the war on terrorism, and we know how to win it.

(END VIDEO CLIP)

JOHNS: Now, Republicans have not allowed these attacks on the president's foreign policy to go unanswered. They have responded. In fact, they said just this afternoon that a number of Democrats have supported the president and his leadership in the war on terror. Wolf, back to you.

BLITZER: Joe Johns in Massachusetts for us. Thanks, Joe, very much.

And joining us now here at the Republican national convention at Madison Square Garden, a key member of the Bush cabinet, the secretary of health and human services, Secretary Tommy Thompson. Secretary, thanks very much for joining us.

TOMMY THOMPSON, HHS SECRETARY: Wolf, it's always a pleasure to be on your program. Thank you very much.

BLITZER: Could you give me a little sense-- put on your political hat for a minute.

THOMPSON: Sure.

BLITZER: I want to make sure that we get your political sense of where this election stands right now.

THOMPSON: Right now, it's very close. The battleground states are very close, such as Wisconsin, New Hampshire, West Virginia, Pennsylvania and Ohio. But I would say that the president is on the upswing, especially in my home state of Wisconsin, where he's taken the lead. And I think it looks good for the president.

BLITZER: What about Wisconsin specifically? How many times were you elected in Wisconsin?

THOMPSON: I was elected-- well, many times, but four times for governor.

BLITZER: So you know this state.

THOMPSON: I know that state like...

BLITZER: It looks very, very close right now. Who has the upper hand?

THOMPSON: Right now, it looks like George W. Bush. The most recent poll shows that George Bush is up about 3 points. That's a very good sign this close to the election. And I think coming out of this campaign and out of this convention, that increase will be even more. The president is going to go to Milwaukee on Friday right after the convention, and that's another good sign that he believes Wisconsin is winnable.

BLITZER: All right, let's talk about some of the policy issues that you're involved in that could have an impact on this election -- stem cell research. It was a big issue with the Democratic convention. We heard the son of president, Ronald Reagan, Ron Reagan, speak about that. Nancy Reagan has taken a strong position on that. Do you believe that this issue at all will be raised from the podium behind us? THOMPSON: I'm not so sure it's going to be raised from the podium, but I can tell you that the president is very concerned about stem cell research. He's the first president to put money into stem cell research. This year, we're going to spend $25 million, and the president says, Spend as much money as necessary on the stem cell lines that are available right now, which are 23.

BLITZER: How much promise does stem cell research have for Parkinson's, Alzheimer's, spinal cord injury? You've studied this at great length over the past few years.

THOMPSON: I have. Well, I think that there's no question it shows a great deal of promise, but it's very premature. A lot of research needs to be done on it, and it's going to take a long period of time before we have any kind of therapies that can be used for any of these maladies. But it does show promise. But so does adult stem cells, so does placenta stem cells. It's not only embryonic. And this president, this administration is doing research in all of those areas to find a cure, hopefully, for at least one, if not all of these maladies.

BLITZER: Is the president, after he's reelected, assuming he's reelected, opening to reconsidering his stance on this right now?

THOMPSON: The president has been very strong and forthright on this. This is a stand on principle, on ethical principles. He does not believe that we should in any way cause the damage to an embryo in order to do research. And therefore, I don't think there will be a change in the policy.

BLITZER: What about-- switching gears very quickly -- bioterrorism, another subject on your agenda? The president today said you can't win the war on terror. Did you understand the point he was trying to make?

THOMPSON: Absolutely. The president said this is a tough war. And there's no question that there's no country involved, there's a terrorist in a lot of countries. And there's not one leader that you're going to be able to negotiate a peace treaty. But there is no question that we're winning the war on terror. We've arrested and we've killed several terrorist leaders. And I can't tell-- can't imagine anybody not recognizing that this president has led and made America and the world safer on his fight against terror.

BLITZER: The former governor of Wisconsin, now the secretary for the last several years. You going to stay on in a second term?

THOMPSON: No, I'm not.

BLITZER: All right. Is that official?

THOMPSON: That's official.

BLITZER: Is that the first time you're making news with this?

THOMPSON: No, no. BLITZER: You've told people--

THOMPSON: I've told the president.

BLITZER: All right. Well, you spent four years in the cabinet. Thanks very much for joining us.

THOMPSON: Thank you, Wolf.

BLITZER: Our live coverage of the Republican national convention will continue with an inside look at a very important political relationship, the relationship of Senator John McCain and President Bush.

Plus, spy probe, a Pentagon employee now under investigation for allegedly giving classified information to Israel.

A positive sign in Iraq. The top radical Shi'ite cleric tells the Mahdi Army to lay down its arms. Plus this--

(BEGIN VIDEO CLIP)

DR. WILLIAM KENNEDY SMITH: I did have a consensual relationship with Audra Soulias in 1999.

(END VIDEO CLIP)

BLITZER: The Kennedy cousin accused of sexual assault breaks his silence. Hear from William Kennedy Smith. All that coming up, and much more coverage from the Republican convention here. Take a look at this, live pictures from the podium. Rudy Giuliani-- they call him ``America's mayor.'' He'll be speaking tonight in prime-time. CNN will have coverage. He's getting familiar with the podium. He's getting familiar with the microphone, the set-up up there. They want to make sure there are no problems. Rudy Giuliani, practicing for tonight's big speech.

(COMMERCIAL BREAK)

BLITZER: Rehearsals and last-minute preparations for tonight's first night of the Republican national convention here at Madison Square Garden in New York. I'm Wolf Blitzer reporting. Much more coverage of what's happening here at the Garden. We'll have that.

First, though, let's check some other important news we're following right now. In Iraq, an aide to Muqtada al Sadr says the rebel cleric has called for a nationwide cease-fire by his militia, except in cases -- and I'm quoting now -- of self-defense. The Shi'ite leader is said to be waiting for the right time to enter the political arena. Al Sadr's men battled U.S. and Iraqi troops for three weeks in Najaf until a peace deal was brokered last Thursday.

Meantime, Iraq's interim prime minister Iyad Allawi says last year's disbanding of Iraq's security forces is hampering his government's ability to control the insurgency. The U.S.-led coalition dissolved the Iraqi army and police after the fall of Saddam Hussein, and Iyad Allawi tells CNN the insurgents are still taking advantage of that decision.

What does President Bush have to do on the issue of Iraq? You can submit your thoughts on our Web site, cnn.com/Wolf. We'll read some of your comments tomorrow when I speak live with the White House chief of staff, Andrew Card.

It's the Republican Party here in New York, but this week, Democrats are wasting no time in going on the attack. Joining us now with some insight on Democratic strategy during this Republican convention, the Democratic attorney general of New York state, Eliot Spitzer.

Mr. Attorney General, thanks very much for joining us. Why did you decide...

ELIOT SPITZER (D), NEW YORK ATTORNEY GENERAL: Wolf, it's a pleasure.

BLITZER: -- to join this Democratic so-called ``truth squad,'' as they're calling it in the war room, and come out and speak during this Republican convention? What's the most pressing issue on your mind?

SPITZER: The most pressing issue, I think, Wolf is for the public to understand that there's an enormous gap between the rhetoric of the Republican Party and the reality of what has happened to the nation over the past four years. I don't think any of us wants to challenge the motives of the Republican Party. We like George Bush as a person. We like the people in his administration. But just listening to Secretary Thompson a few moments ago saying that $25 million was enough to fund all the stem cell research that was appropriate, that's simply not the case. Stem cell research is critically important. More money should be put into it. The Bush White House has refused to do it.

That is one of a myriad of issues where there's this enormous gap between the rhetoric and the reality. And we just want the public to focus on the reality because we are absolutely convinced that if the public does that, John Kerry will be elected by an enormous margin. And it's true across the board on all the issues, foreign and domestic.

BLITZER: You know New York state politics about as well as anyone. Explain this. The Democratic nominee is way ahead in all of the polls in New York state. It doesn't seem to be much of a race here in New York state. Why is it, though, that there's a Republican governor of this state, a Republican mayor of New York City, Michael Bloomberg, a former mayor, Rudy Giuliani, who will be speaking here, also a Republican, and another former mayor, a Democrat, Ed Koch, who will be on this program shortly, who supports George W. Bush's reelection? To our viewers outside of New York state, explain what's going on here.

SPITZER: Well, Wolf, again, this is where the smoke and mirrors of this convention, I think, have to be revealed. You're right, we have moderate Republicans whom we elect because we believe in bipartisan government. We believe in addressing tough issues in a thoughtful manner, as some of these elected Republicans have done, as Ed Koch, who's a Democrat, has done throughout this career.

The Republican Party of the state of New York is not the Republican Party of George Bush. George Bush is so far out of the mainstream that, although he's bringing in the Republicans of New York state to speak for him, to create the illusion of moderation, I don't think anybody should be deceived. George Bush, and the Republican Party he wants to create is not at all the Republican Party of New York state that has elected a George Pataki, who disagrees -- and this has been in the press for some time now-- George Pataki, who disagrees with President Bush on a range of the most important social issues that are out there.

So I think, once again, we are seeing this very large gap between the rhetoric of George Bush and the reality that we think the public should understand.

BLITZER: Eliot Spitzer, thanks very much for joining us.

SPITZER: Thank you, Wolf.

BLITZER: And our live coverage of the Republican national convention is just ahead, with a look at a senator, an important senator, who will be in the spotlight tonight, namely John McCain, his sometimes complicated relationship with President Bush.

Plus this--

(BEGIN VIDEO CLIP)

ED KOCH (D), FORMER NEW YORK CITY MAYOR: I'm here to convert you.

(END VIDEO CLIP)

BLITZER: It's not what you think. Another Democrat now speaking out in support of President Bush. I'll talk live here on the floor with the former New York City mayor Ed Koch. He's a Democrat, but he's supporting President Bush.

And there's been a new development in the story of the New Jersey governor, James McGreevey. His former aide makes an announcement. So much more coverage from the Republican convention just ahead.

(COMMERCIAL BREAK)

BLITZER: You see the back of his head. That would be Ed Koch, the former mayor of New York City, sitting in the New York delegation. There he is, Ed Koch. I'll go down there shortly. We'll speak live. And I'll ask him why this Democrat now supports a Republican to be the president of the United States. Ed Koch standing by-- actually, sitting by. We'll get to him shortly.

Welcome back to our continuing coverage. Much more coverage from Madison Square Garden coming up. But there's a very important story in Washington we're following, a spy probe. It concerns the alleged transfer of classified material to Israel. But is it spying or something less? Let's go live to our justice correspondent, Kelli Arena -- Kelli.

KELLI ARENA, CNN JUSTICE CORRESPONDENT: Wolf, government sources tell CNN prosecutors are still deciding whether to bring espionage charges against a Defense Department employee or lesser charges, such as mishandling classified documents.

(BEGIN VIDEOTAPE)

(voice-over): It turns out, government officials say, the Pentagon analyst came to the FBI's attention as part of a larger ongoing investigation into possible Israeli spying. The officials say more than a year ago, he joined a lunch meeting between an Israeli embassy official and employee of AIPAC, the influential pro-Israel lobbying group, a meeting federal agents were monitoring. Based on the investigation, which they say included wiretaps and photos, government officials allege the defense analyst eventually passed along classified information to two employees of AIPAC. Included in that information, a draft presidential directive on U.S. policy toward Iran. They say the lobbyist then passed the information on to Israel.

AIPAC denies any wrongdoing.

BERNICE MANOCHERIAN, AIPAC: The allegations against us are outrageous, as well as baseless. They will not dissuade us from exercising our rights as American citizens to be involved in the political system.

ARENA: Israel also denies wrongdoing, and an Israeli official tells CNN no Israeli diplomats have been contacted by the FBI about the matter. Senior officials at both the Pentagon and State Department have been interviewed or briefed.

RICHARD BOUCHER, STATE DEPARTMENT SPOKESMAN: No. The most that I could say is that the secretary's been briefed on the investigation.

(END VIDEOTAPE)

ARENA: No charges have been filed against the Pentagon analyst. Sources say, after he was confronted with the photographs and wiretap information, he decided to cooperate and is still cooperating. Repeated efforts to reach him have been unsuccessful. At this point, there is no indication the criminal investigation has widened beyond that single analyst, and sources say they are still discussing whether any arrests should be made -- Wolf.

BLITZER: Kelli Arena with the latest on this spy probe, alleged spy probe, going on in Washington. Thanks very much, Kelli, for that.

Bitter enemies in 2000, allies today. Coming up, we'll have a look at why John McCain this time around is going to bat for George W. Bush.

Kennedy cousin. She's suing to stop his alleged assaults on women. Now we'll hear his side of the story.

It wasn't the music they wanted to hear. An unruly welcome for the daughters of President Bush and the daughters of Senator Kerry at the MTV Video Music Awards.

Much more coverage coming up, including more from the Republican convention at Madison Square Garden.

(COMMERCIAL BREAK)

BLITZER: Welcome back to our continuing coverage. I'm now on the floor here at the Republican National Convention at Madison Square Garden in New York.

Four years ago, a lot of our viewers will remember there was a very bitter Republican presidential primary contest between George W. Bush and John McCain. It was so bad that, in fact, at times McCain allies predicted the senator from Arizona would never forgive the president for speaking out against him and for those attack ads that were leveled against him, especially during the primary in South Carolina.

In an interview, though, today, with CNN's Judy Woodruff, John McCain said the 2004 campaign, the one under way right now, is the most divisive in many decades.

(BEGIN VIDEOTAPE)

JUDY WOODRUFF, CNN ANCHOR: Do you think this country's going to remain divided after this election no matter who wins?

SEN. JOHN MCCAIN (R), ARIZONA: The way this campaign is going, yes.

But, if I were President Bush, as soon as I'm reelected, I would make my top priority trying to bring this nation back together. This is the worst, most partisan environment that I've seen in 22 years in public office. And I deeply regret it. I deeply regret it. We are friends. We're not enemies. We have a common enemy. Maybe we ought to start working together to address that challenge.

(END VIDEO CLIP)

BLITZER: John McCain now strongly supporting the president for reelection.

Our White House correspondent Dana Bash has been taking a closer look at this unique relationship between Bush and McCain.

Dana Bash is here at the convention -- Dana.

DANA BASH, CNN WHITE HOUSE CORRESPONDENT: Well, Wolf, McCain aides say that that exact theme, unifying the country, is going to be a part of his speech tonight here at the convention. And for a president who is so polarizing, having John McCain say that is worth its political weight in gold. (BEGIN VIDEOTAPE)

BASH (voice-over): The Republican out stumping with the president lately isn't his running mate.

MCCAIN: My friends, this president understands the challenge.

BASH: It's his bitter rival of four years ago. Their storied slugfest, so 2000. This is hug fest 2004.

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: John McCain has embodied honor and integrity, courage and strength. And I'm honored to have him by myself.

BASH: But McCain is often a thorn in his side, saying the president should have sent more troops to Iraq and splitting on other key issues.

MCCAIN: I think we shouldn't have enacted the tax cuts for the rich. I think that we should be able to import drugs from Canada.

BASH: The Bush campaign says those differences might actually help with swing voters.

MATTHEW DOWD, BUSH CAMPAIGN STRATEGIST: Because it basically says to people out there, you can disagree with the president on some policies but in the end he's the right man for the job. And that's what John McCain's saying.

BASH: The relationship is complicated. The politics are not. McCain's broad appeal is extremely rare in today's polarized politics and makes him a prom queen of sorts. Everyone wants to bring him to the dance.

SEN. JOHN KERRY (D-MA), PRESIDENTIAL CANDIDATE: John McCain and I have joined together, Republican and Democrat.

BASH: The Democratic challenger embraces him in almost every speech, and even explored the idea of putting the Republican on his ticket.

MCCAIN: There were certainly discussions. For me to go much further than that I think would betray the confidence of conversations.

BASH: Some say McCain milks it. He definitely gets it.

MCCAIN: I am sure that there is the belief on the part of the president's advisers, as there was on John Kerry's advisers, that there's a certain number of independent voters who would vote because of my allegiance to either party. And so I am flattered by that.

BASH: He walks a fine line, careful to campaign for the president,, but never speaks out against Kerry, his friend and fellow Vietnam veteran, even coming to his defense on a controversial issue, ads where other Vietnam veterans questioned Kerry's valor. MCCAIN: What disturbs me more than anything else is to go back and reopen the wounds of a war more than 30 years ago.

BASH: He's also disturbed by reopened wounds from just four years ago, his own battle against George W. Bush, when McCain was accused by an outside group of abandoning veterans.

(BEGIN VIDEO CLIP)

MCCAIN: I don't know if you can understand this, George, but that really hurts.

(END VIDEO CLIP)

BASH: The Kerry campaign used some of that tongue-lashing in an ad to prove there's a history of Bush dirty politics. McCain just calls it history and hopes the Democrats drop it.

MCCAIN: There's no point in looking back in anger. And, by the way, Americans don't like a sore loser.

BASH: The senator says the Bush-McCain relationship is overanalyzed and really not that complicated.

MCCAIN: We're friends and I enjoy his company. And I'm going to do what I can for his reelection. Will we continue to have disagreements on specific issues? Yes.

(END VIDEOTAPE)

BASH: But, Wolf, don't look for any of those disagreements here tonight. In fact, the primary focus of John McCain's speech will be defending the case for war in Iraq, perhaps an area where the president needs it most. And we're told by a McCain aide that we should even look for a line or two going after filmmaker Michael Moore for what he says about the war in Iraq.

BLITZER: All right, Dana Bash, good report. Thanks very much.

Let's turn now to the former mayor of New York City. He's a Democrat, Ed Koch.

I believe, Mr. Mayor, you are still a Democrat.

ED KOCH, FORMER MAYOR OF NEW YORK: I certainly am.

BLITZER: But you're reporting this Republican president.

KOCH: I am, on the single issue which overrides all other issues, and that is taking on international terrorism. I believe the Democratic Party doesn't have the stomach to do it. I don't think that John Kerry will overrule that party. That party has overruled him, as I see it. And I am therefore supporting the reelection of the president.

BLITZER: How unusual is this for you, Ed Koch, the man, to vote -- to actually go ahead and vote for a Republican for president?

KOCH: For president. I have never voted for a Republican for president. I have voted for Republican mayors, Lindsay, Giuliani, Bloomberg. But we're at war. And I believe that nothing else matters until we win that war against people who, according to Lee Hamilton, want to kill us.

And when they say they want to kill us, they're talking about Christians and Jews and Hindus and every other group that doesn't accept the supremacy of Islam.

BLITZER: You heard the president say to Matt Lauer on NBC he doesn't think we can win this war on terror.

KOCH: I didn't see that. And I would be surprised if he said it.

BLITZER: He said it's not winnable. He said it's just going to continue and continue. You can deal with it. You can fight it. You can score inroads, but you can't necessarily win it. That's what he said.

(CROSSTALK)

KOCH: Well, I didn't watch that. I didn't watch that. I'm not going to comment on it.

I believe it is a battle that will go on for an extended period of time. And I don't believe the Democrats have the stomach to take on that battle.

BLITZER: John Kerry had the stomach to go into Vietnam and risk his life to fight...

KOCH: Let me just say this.

I admire John Kerry. I think he's a war hero and I think it's wrong to attack any of those credentials. But I believe he made a decision that, if he wants to be the candidate and needed the delegates who normally supported Howard Dean, who is an ultra-lefty, that he had to tell them what they wanted to hear. If they could, they would be out of Iraq yesterday. And I believe that John Kerry has flip-flopped on that issue.

BLITZER: What do you say to your liberal Democratic friends? And you still have many of them.

KOCH: Man.

BLITZER: Who say, maybe you're right on the war on terror, Ed Koch.

KOCH: Yes.

BLITZER: But when it comes to domestic social issues, abortion rights for women, this may be a president if he's reelected that could put two or three justices on the U.S. Supreme Court.

KOCH: What I have said is that I disagree with the president on every domestic issue that I can recall. But the issue that trumps all other issues is life and death. And they want to kill us, meaning the Islamic fascists, if you want to refer to them that way, of which there are multimillions.

And I believe the person who is standing up to the United States, when other countries are capitulating -- Spain, the Philippines, they've capitulated. The terrorists say, change your foreign policy. They've changed their foreign policy. I want a president who will lead us to victory.

BLITZER: So you're like Zell Miller, the Democratic senator from Georgia who's supporting this president. Any inkling, any desire on your part to leave the Democratic Party and become a Republican?

KOCH: No. Listen, there was a poll that was reported -- I saw it in "The Times" -- over the weekend that said more than 50 percent of the Democrats perceive themselves to be moderates. So, the people who are leading the party, Kennedy, he's not a moderate. He's an ultra-lefty. And everybody knows that.

BLITZER: You're sounding like a Republican here.

KOCH: Oh, no, I don't agree with you at all.

I think Bill Clinton was very proud to lead the party to the center when it was way out there on the ultra-left. He's not ashamed of having moved it to the center, not so far as I know.

BLITZER: He's not supporting Bush.

KOCH: Listen, each person -- I'm 80 years old. I'm never going to run for anything ever again. I want the best for my country, for my city, and my state. I believe that reelecting George Bush is the best for this country. And that's why I'm doing it.

BLITZER: All right, Ed Koch, you were never a shy guy. I knew you when you were a congressman, when you were a mayor, and now you're making it clear that you're supporting Bush. Thanks very much for joining us.

KOCH: All right, thank you.

BLITZER: We have much more coverage coming up here from the Republican Convention on the floor. That's where we are right now.

When we come back, we'll hear, though, from the first President Bush, George Herbert Walker Bush. He spoke with our Paula Zahn earlier today. We'll give you an excerpt of what he had to say.

Plus, you'll meet a delegate from the battleground state of Arizona.

And the Kennedy cousin speaking out about accusations of sexual assault. Today, William Kennedy Smith gives his side of the story.

Also ahead, cheers and jeers. The candidates' daughters find the campaign trail can be a tough place, even at a glamorous event like the MTV Video Music Awards.

Much more coverage from New York from Madison Square Garden when we come back.

(COMMERCIAL BREAK)

BLITZER: A former aide has dropped plans to sue New Jersey Governor James McGreevey for sexual harassment. A lawyer for Golan Cipel says McGreevey's recent resignation announcement amounts to an admission of wrongdoing. And a lawyer says that's all Cipel really want.

William Kennedy Smith, the Kennedy family member who gained national attention after being accused of rape in 1991, faces a new accusation of sexual assault. Smith told a news conference he's stepping down from his job to fight allegations he calls a lie.

CNN's Keith Oppenheim is live in Chicago with the latest on this story -- Keith.

KEITH OPPENHEIM, CNN CORRESPONDENT: Hi, Wolf.

It's important to note that this lawsuit is technically not for sexual assault. It's for emotional distress, in large part because the statute of limitations has long since passed. It was last week that 28-year-old Audra Soulias, a former assistant to William Kennedy Smith, charged that, in 1999, he got her drunk, forced her to come home with him and assaulted her.

Soulias' attorneys said the woman was discouraged by many to take any action, and they acknowledge that she had a relationship with Kennedy Smith for several months after the alleged incident. Kennedy Smith is a doctor who runs an organization that works to help victims of land mines. And the woman's attorney said the organization was conducting an internal investigation into sexual harassment claims against Kennedy Smith. In January, they say Ms. Soulias received threatening calls from Kennedy Smith after she offered to help with that investigation.

Today, Kennedy Smith gave his side of the story.

(BEGIN VIDEO CLIP)

WILLIAM KENNEDY SMITH, ACCUSED IN LAWSUIT: I did have a consensual relationship with Audra Soulias in 1999. It lasted for about five months. It was in no way forced or coerced. I cannot dignify her allegations by repeating them, even to deny them. So all I can say is that they are false.

(END VIDEO CLIP)

OPPENHEIM: Kennedy Smith says he's leaving his job to fight these allegations. Ms. Soulias says that her actions are not about money. But today, his lawyers produced a letter from her attorneys calling for a $3.3 million sum to avoid a lawsuit -- Wolf, back to you.

BLITZER: All right, Keith Oppenheim with that -- thanks, Keith, very much.

Our live coverage of the Republican National Convention here at Madison Square Garden will continue.

Just ahead, a CNN exclusive interview. Hear what the first President Bush told our Paula Zahn earlier today.

Plus, it's really all about the people attending the convention. We'll introduce you to a delegate with a very famous last name.

(COMMERCIAL BREAK)

BLITZER: During the Democratic Convention, CNN senior analyst Jeff Greenfield introduced us to some of the delegates. Here at the Republican Convention, he's doing it once again.

Today, we'll meet an Arizona delegate named Tom Liddy. And if that last name sounds familiar, it's no coincidence.

(BEGIN VIDEOTAPE)

TOM LIDDY, ARIZONA DELEGATE: Pump up the volume.

ANNOUNCER: It's Liddy and Hill on News Talk 550 KFYI.

JEFF GREENFIELD, CNN SR. ANALYST (voice-over): Friday afternoon, Phoenix, Arizona.

T. LIDDY: It's not just any Friday. It's P.C. Friday.

GREENFIELD: And conservative talk show radio is on the air.

T. LIDDY: What's up with the French and the whole Kerry thing?

GREENFIELD: If co-host Tom Liddy isn't exactly a household name.

G. GORDON LIDDY, RADIO TALK SHOW HOST: And it is I, G. Gordon.

GREENFIELD: His father is. G. Gordon Liddy also hosts a radio show. But he'll forever be remembered as the Watergate burglar whose silence kept him in prison for 52 months, longer than anyone else involved in that scandal. Less known is the toll that it took on Liddy's wife and five children.

T. LIDDY: Nineteen seventy three to 1977 were tough, tough years for the Liddy kids. It was about our dad one day not coming home because he was found guilty of nine felonies and sentenced to 20 years in prison. As a 10-year-old kid, that's a real shot to the gut. And you have a hard time putting that in perspective. What I remember most about those days was the poverty. Remember, my dad was the breadwinner. My mom taught in a tough neighborhood in Northeast Washington, D.C., because it paid a little bit more.

GREENFIELD: At age 20, Tom Liddy joined the Marines and, like his dad, went to Fordham for law school. Today, when he's not behind a microphone, Liddy practices law in Phoenix.

T. LIDDY: Everything squared away?

UNIDENTIFIED FEMALE: Oh, we are squared away.

T. LIDDY: Good. That's good. That's good.

GREENFIELD: Where he's also the Maricopa County Republican chairman.

T. LIDDY: Maricopa County right now, which looks humble in size, but in reality is over 60 percent of the population of the state, it's a big prize that we've got to hold for the president.

GREENFIELD: That's why on this day he's rallying his troops to make calls for the president.

UNIDENTIFIED FEMALE: My name is Megan (ph). And I'm a volunteer for the Arizona Republican Party.

UNIDENTIFIED MALE: You had expressed an interest in volunteering. And I wanted to follow up.

UNIDENTIFIED FEMALE: Are you still interested in volunteering?

T. LIDDY: We got about 5,800 volunteers.

GREENFIELD: And that's also why the Republican National Committee is in town to see how the get-out-the-vote effort is doing.

T. LIDDY: You know we've got a large early balloting program here.

UNIDENTIFIED FEMALE: Right.

T. LIDDY: But we cracked the code on that.

GREENFIELD: If you ask Tom Liddy today how he came to be this involved in politics, he'll recall one day back in 1973, the day his father went off to prison.

T. LIDDY: I started reading the paper that day and never stopped. I read op-ed pages in every paper in the country over and over and over again. I probably wouldn't have been that active and looking at politics local and national if it weren't for Watergate.

(END VIDEOTAPE)

GREENFIELD: Tom Liddy, welcome. You've got deliver Maricopa County or Arizona ain't going for the president. Janet Napolitano, your Democratic governor, told us a month ago she's never seen the Latino community as energized. Is that turnout one of the things that keeps you awake at night in how you're going to overcome it?

T. LIDDY: No, not at all. It's one of things that inspires me.

The Latino vote is a very important part of the state of Arizona, not just in Maricopa, but all across. They've been very active the last four or five years. We expect them to become a larger and larger part of the voting population, just as they're a huge and important part of the state.

GREENFIELD: And they're going, according to our polls, 2-1 for Senator Kerry. Can you turn that around with what, with specific ideas? What's the argument you're going to get them back with?

T. LIDDY: Well, we go after Latino voters the same way we go after every other voter. We just talk about what it is that interests us and the way we view the best way to move forward on domestic issues and international issues. And lo and behold, Latino voters are like everybody else. We think we'll get 38 percent, 40 percent of them, carry this state for Bush.

GREENFIELD: Lastly, I've been to Phoenix. It's a big city. New York is a little bigger. Are you finding a welcome out here? Is this comfortable for you to come from the Southwest to the Big Apple?

T. LIDDY: Well, a little humid, but it's a lot cooler. But I'm an old Fordham man, so I spent some time in this city. And it's a great city. It's absolutely wonderful to be back. And the people are just magnificent, especially the police.

GREENFIELD: Tom, thanks for joining us.

Wolf, we'll

(CROSSTALK)

BLITZER: Thank you very much.

GREENFIELD: Yes.

BLITZER: Jeff, thanks very much. We're going to be doing this every day this week, right?

GREENFIELD: We'll do it Sunday, if you would like.

BLITZER: Let's do it all the time.

(LAUGHTER)

BLITZER: That's the problem.

All right, we have another big exclusive coming up here on CNN tonight. Paula Zahn sat down with the first President Bush earlier today. An excerpt from Paula's interview, that's coming up next.

(COMMERCIAL BREAK)

BLITZER: It's not very crowded now, but it will be much later here at Madison Square Garden.

There have just been two pairs of father-son presidents in U.S. history. John Adams and his son, John Quincy Adams, were the first pair. President Bush and his father are the second.

CNN's Paula Zahn talked with the former president, George Herbert Walker Bush, earlier today.

(BEGIN VIDEO CLIP)

PAULA ZAHN, CNN ANCHOR: The president faces yet another very close election. And I know you told me before one of the biggest mistakes you made in '92 was underestimating Bill Clinton's ability to connect with the American public. What is it that the president should be worried about when it comes to John Kerry?

GEORGE H.W. BUSH, FORMER PRESIDENT OF THE UNITED STATES: Well, I think the president is connecting with the American people. I really do. He's facing extraordinarily difficult problems, of course.

But I don't worry -- I don't worry so much about John Kerry, who I've known forever. And his record is, I don't think, in keeping with the mood of the American people in terms of the fourth most liberal man in the Senate and all of that. I guess it's just two agonizing months of campaigning. And we'll see what comes out of it.

(END VIDEO CLIP)

BLITZER: And the rest of Paula Zahn's exclusive interview with former President Bush will air tonight during our 8:00 p.m. prime-time coverage of this convention here on CNN.

The daughters of President Bush and the daughters of Democrat John Kerry made a joint appearance over at the MTV Video Music Awards last night. Vanessa and Alexandra Kerry were there in person. Barbara and Jenna Bush were on a pre-recorded video, all urging young Americans to vote -- nothing wrong with that. They were greeted, though, by a mixture of cheers and boos.

And please stay with CNN for live coverage of the Republican National Convention. I'll be back tonight, along with Anderson Cooper at 7:00 p.m. Larry King will have a live edition at 9:00 p.m. Also mid-night, 10:00 p.m. Eastern, Senator John McCain of Arizona takes the stage, followed by "NEWSNIGHT WITH AARON BROWN."

Until then, thanks very much for joining us. I'm Wolf Blitzer in New York.

"LOU DOBBS TONIGHT" starts right now.

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