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American Morning
Terri Schiavo Ruling; Interview With Marc Klaas
Aired March 22, 2005 - 07:29 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.
BILL HEMMER, CNN ANCHOR: Good morning, everyone. It's 7:30 here in New York. And a lot to talk about this morning, right back to the decision coming just about 60 minutes ago in the Terri Schiavo matter. A federal judge is now refusing to order the feeding tube reconnected. We'll get a report out of Florida in a moment on that, so stay tuned for the latest in a moment here.
SOLEDAD O'BRIEN, CNN ANCHOR: Also, John Couey is being arraigned right now. There he is. That's a live picture. He's being arraigned on charges in the Jessica Lunsford case. We're going to talk this morning about the system that tracks sex offenders. Marc Klaas is our guest as we take a look at how John Couey fell through the cracks.
First, let's start with those new developments, though, in the Terri Schiavo case this morning. In a major blow to her parents, a federal judge in Florida has refused to order Schiavo's feeding tube be reinserted.
CNN's Bob Franken live in Pinellas Park in Florida. He's at the hospice where Schiavo is being cared for.
Bob, good morning to you. What's the reaction there where you are?
BOB FRANKEN, CNN NATIONAL CORRESPONDENT: Well, the reaction, first of all, is not too many of the protesters are here. But nobody is surprised. By this time, it had been carefully explained to people that this was an uphill battle legally, that although Congress in its extraordinary session, had raised the hopes of the people here who support the reconnection of the feeding tube, that he had -- Congress had raised the hopes.
There was still an understanding that the federal courts have not been a part of this. And all Congress really did was to say that the federal courts had to, once again, consider it.
The standard for the judge was: Would there be a likelihood that the ultimate litigation would prevail? He ruled that there was not a likelihood. Therefore, no emergency order would be coming, at least at the federal district level.
Now, of course, this goes to the appeals court level.
We have not heard from the family, the blood relatives of Terri Schiavo. They had had their hopes raised, as I said, when Congress took the action it did overnight on Sunday. But now, their lawyer, who had unsuccessfully argued before the federal judge yesterday, has made arrangements to take this to the next level of the federal judiciary, which is the 11th Circuit Appeals Court in Atlanta. They will accelerate the filing of that suit. It will be up to the court to act quickly or not quickly.
Of course, the other thing that's a factor here is the time. Since Friday, the feeding tube has been disconnected from Terri Schiavo, who is resting in the hospice in back of me. So, at some point, her deterioration of her health could become an emergency that the courts might take into account -- Soledad.
O'BRIEN: All right, Bob Franken for us this morning in Pinellas Park in Florida. Bob, thank you.
Let's get right to the headlines now. Carol Costello in for us.
Hey, Carol, good morning.
CAROL COSTELLO, CNN ANCHOR: Good morning to you. Good morning to all of you.
"Now in the News.".
It's being called the worst school shooting since the Columbine massacre in 1999. A teenager in Minnesota apparently gunned down his grandparents before killing at least nine others and himself at a school on the Red Lake Indian reservation. The chairman of the Red Lake Ojibwa nation says it's still not clear what prompted this shooting rampage.
(BEGIN VIDEO CLIP)
CHAIRMAN FLOYD JOURDAN, RED LAKE OJIBWA NATION: We're all -- you know, the huge question is why, you know, just like in Columbine, you know. We have a security system that was implemented, in fact, before Columbine. And apparently, the security there, the school had a plan. There was security in place, and they did everything they could to stop the tragedy yesterday. And it was just beyond their control, unfortunately, and lives were lost.
(END VIDEO CLIP)
COSTELLO: A traditional prayer service will be held on the steps of the state capitol in St. Paul later today.
Michael Jackson is set to be back in court for a half day today. But his health issues are once again overshadowing the testimony. The pop star arrived in court a few minutes late on Monday. See how slowly he's walking there. He actually arrived with a doctor. He felt like he was going to vomit in court, but he didn't. He also stopped at a hospital emergency room right before this appearance.
In the meantime, a flight attendant testified she filled diet Coke cans with white wine for Jackson, but also said she never saw Jackson give any alcohol to minors. President Bush is again pushing for Social Security reforms. The president is set to meet with senior citizens in Albuquerque, New Mexico. He's trying to convince them that private retirement accounts would be in the best interest of their children and grandchildren. It's part of a 60 cities in 60 days campaign. The president is set to be back at his Texas ranch later today.
And the "New York Daily News" is offering $1 million to make up for its scratch-off snafu. Thousands of New Yorkers thought they had won this past weekend's scratch and match game. It turns out the newspaper printed the wrong numbers. So to make it up, the paper is offering a special drawing just for last weekend's winners. And unfortunately, not all of them will be winners like they thought they initially were.
HEMMER: You think that's going to fly?
COSTELLO: I don't think so.
HEMMER: Not in this town.
COSTELLO: No. One newspaper had the headline "scratch and stiff."
O'BRIEN: Well, you know, I'm sorry, but you can't spend the money if you don't have it in hand. Some people were spending their hundred thousand.
COSTELLO: Exactly.
O'BRIEN: It's like, wait a day or two. Get the cash first.
HEMMER: Yes, I'm making plans, too.
O'BRIEN: I mean, that's me. Please.
HEMMER: Thank you, Carol. Back to that in a moment.
We're watching this courtroom now in Florida. Jessica Lunsford's suspected killer, John Couey, has arrived there for his arraignment. He's behind the officer now in the orange jumpsuit.
John Couey, 46 years old, a registered sex offender with a long criminal history, 24 arrests over a period of 30 years.
In talking with the sheriff in Citrus County, Jeff Dawsy, yesterday live here AMERICAN MORNING, he says that Couey is talking. However, some of his story is described as murky and confused. The sheriff saying -- I'm quoting now -- "I believe some of it. I think he was in a drug-induced haze for a portion of the time."
Jessica Lunsford's body was found about 150 yards, buried in a shallow grave near her home.
Marc Klaas is with us from San Francisco. Marc Klaas's daughter, Polly, was abducted and murdered back in 1993. Marc has been a strong advocate ever since.
And we welcome you back here to AMERICAN MORNING, Marc. We brought you on today to talk about Megan's Law, which was established about 10 years ago, which is essentially set up to protect children from people like John Couey. And it's also set up to help parents get information in the event that a sex offender is living in their neighborhood. How did that law fail Jessica Lunsford?
MARC KLAAS, KLAAS KIDS FOUNDATION: Well, first of all, the two components of Megan's Law are, No. 1, that law enforcement has to register convicted sex offenders. And No. 2, they have to provide for some public notification.
The problems inherent in Megan's Law, as they're being portrayed in this case, are very obvious. The first one is compliance. This guy was out of compliance. He was not where he was supposed to be, doing what he was supposed to be doing. I think the remedy for that is to make the penalties for noncompliance so severe that they wouldn't dare do what Couey did. Perhaps a life term without the possibility of parole simply for failure to register and maintain registration.
The second issue is the issue of verification. Law enforcement needs the ability to verify where these individuals are. They don't have that resource in this country.
What has to happen is law enforcement has to either be able to go to their home to make sure they're absolutely there. They have to be able to either maybe even forward some kind of a non-forwardable -- or send a non-forwardable notification to them that has to be filled out and returned.
But I think in this day and age, given the fact that a positive icon of American life like Martha Stewart has to wear a GPS tracking system that we might apply the same kind of a standard to the 500,000 registered sex offenders that live in this country. And then finally...
HEMMER: So, what you're saying there, you're saying that the system is relying on a potential drug addict, as we've heard from the sheriff describe John Couey before, to go ahead register and sign up when he changes his address within counties in the state.
KLAAS: That's exactly right. That's how it works in this country. And we have to be fair here. Florida has one of the best sex offender registration and notification laws in the entire country, but there are obviously some huge and major failings with theirs. So that will tell you what's going on in America.
We can correct all of these things. We also have to break down the borders, Bill. I mean, that's a very big reality here. Once this guy goes from Florida to Georgia or to some other state, people can look up sex offenders in their state, and he's not going to show up.
We have to have a national sex offender registry. We have to force compliance. We have to give law enforcement the ability to verify that information. And I, quite frankly, think that this could be a very strong and powerful component of Jessica Lunsford's legacy. I think we have to do this for this little girl and for all of the little girls that she represents.
HEMMER: Marc, as you were talking there, we're listening to the judge address John Couey, reading him his rights. He was in court yesterday. The sheriff told us yesterday also he will pursue capital murder charges against John Couey.
He was just saying a short time ago, while you were talking, Marc, that he has no income. And a few other words coming out of his mouth, but not too many words at this point.
Back to your point, Marc.
KLAAS: Yes.
HEMMER: Does a federal system protect someone like Jessica Lunsford? Or still do we ultimately go back to the issue of there are thousands and thousands of sex offenders, and if they do not follow the law, it is tough for the system to catch up to them?
KLAAS: There are hundreds of thousands of registered sex offenders. And unless we get serious about maintaining and controlling these individuals, what happened to Jessica Lunsford will continue to occur in this country.
That having been said, it's not just about legislation. This is a shared responsibility for all segments of society to protect our children.
HEMMER: Marc Klaas, thanks for your time in San Francisco.
KLAAS: Thank you, Bill.
HEMMER: All right. Here's Soledad.
O'BRIEN: All right.
(WEATHER REPORT)
HEMMER: We feel the pain at the pump, and we're going to feel it more, too, very soon. But you may be surprised to know where the gas price hikes are squeezing you in other places, too. We'll also explain the surging prices, what's behind it in a moment here.
O'BRIEN: Also, time is running out for a legendary New York City hotel. But it's not going away without a fight. We'll explain ahead. AMERICAN MORNING continues right after this short break.
(COMMERCIAL BREAK)
O'BRIEN: Welcome back, everybody. We're "Minding Your Business" this morning. We're talking about gas prices. Drivers across the country are feeling the pinch at the pump. Prices are at a record high. So just what exactly is causing the gas prices to rise at such a fast rate?
Gerri Willis is in for Andy, and she is "Minding Your Business" this morning.
Good morning.
GERRI WILLIS, CNN CORRESPONDENT: Good morning, Soledad.
Gas prices are over $2 a gallon for most people across the country. Here's what's going on. China is using a lot of gas these days, developing nations. They're increasing their use of gas across the board. As a matter of fact, China just became the second largest user of petroleum products in the world, surpassing Japan.
Also a lack of spare production is going on. Refinery capacity is declining. As a matter of fact, there hasn't been a new refinery built since 1976.
O'BRIEN: Oh, I tell you, all of that translates into those of us who drive are paying more money at the pump.
GILLIS: You bet.
O'BRIEN: All right, Gerri, thanks.
GILLIS: Thank you.
HEMMER: Back to Jack now and the "Question of the Day," looking at two different issues, big ones, too, that we talked about for three and a half years.
Good morning.
JACK CAFFERTY, CNN ANCHOR: Yes. Well, it's getting worse. The country is going broke is the bottom line. Deficits are running at record levels. Then there's oil prices. Then there is interest rates going up. Then there's Medicare and Social Security, these entitlement programs where spending is absolutely out of control.
And some group of business economists did a poll of business people, and 27 percent of these folks now say that the economy, the deterioration of the economy is the greatest threat to our way of life. Seven months ago, this same bunch said it was terrorism. So apparently, they are aware of the growing ocean of red ink and its intent to eventually devour our standard of living.
Steve writes -- and we're asking the question: Which is the greater threat, terrorism or the economy."
Steve writes: "Deteriorating economy of course. The terrorists know that. They know our system. If they destroy the economy, they destroy the system. It seems we're better at it than the terrorists themselves."
Joe in Massachusetts writes: "The greatest threat to ourselves is ourselves. If you add the federal budget deficit to the balance of trade deficit, it totals more than a trillion dollars a per year. A trillion dollars per year. That red ink will bury us. We're like the proverbial frog being slowly boiled, oblivious to its demise."
And Jack in Texas writes: "The way that this administration has handled the economy and their wasteful spending is nothing short of domestic terrorism."
AM@cnn.com. Let us know what you think.
HEMMER: So much of 9/11, too, was a shot against the U.S. economy, too. The mere target that was pointed out, the World Trade Center. And Osama bin Laden, Zarqawi, Ayman al Zawari (ph), they have all made mention of that many times in the audiotapes.
O'BRIEN: The whole aspect of it.
HEMMER: And the videotapes that they've released, yes.
CAFFERTY: Yes. But we're helping, though. I mean, they did a little bit. They crippled the airline industry. They slowed the economy for a few months. Now, I mean, we're -- and these budget deficits, and I didn't mention it before, the deficit figures don't include the costs of the war in Iraq, the war in Afghanistan, all of these additional budget requests that have gone to Capitol Hill. I think we're -- what are we -- an $85 billion in Iraq now?
HEMMER: Yes.
CAFFERTY: And they're going to need another $80 billion or $90 billion this year. It's obscene what's happening. It's just a (EXPLETIVE DELETED) shame.
HEMMER: The silver lining of that with regard to terrorism is that many of these al Qaeda top leaders have been taken out. And that is a success at this point.
CAFFERTY: Well, we hope.
HEMMER: More to come.
WILLIS: And the economy growing at 3.8 percent right now.
CAFFERTY: On deficits. I mean, the growth is being fueled by deficits. We're spending money we don't have to grow the economy.
O'BRIEN: At the end of the day, you've got to do all of the budget, is like your family budget. You know, you can't do a budget that doesn't include your mortgage and all of the car payments and all of the other things.
CAFFERTY: Last month's budget deficit was $113 billion. One month, a billion dollars.
HEMMER: Wow!
CAFFERTY: You would have to earn $100,000 a year for 10,000 years to earn one billion dollars, and we squandered 113 billion last month.
O'BRIEN: Well, we'll see what the viewers have to say as they e- mail you. Jack, thanks.
Well, how about this news? A historic hotel is shutting its doors. It's the place where the rich and famous stayed and a little girl charmed visitors young and old. So what does happen to that famous little 6-year-old, Eloise? Her story up next on AMERICAN MORNING.
But before the break, here's a trivia question of the day. On which floor of the Plaza does the fictional character Eloise live? Is it, (a), the first floor? Is it, (b), the sixth floor? Or is it, (c), the top floor? Oh, that's an easy one. We're going to have the answer right after the break.
(COMMERCIAL BREAK)
O'BRIEN: Before the break, we asked you this: On which floor of the Plaza Hotel does the fictional character Eloise live? The answer is (c), of course. Eloise lives on the top floor of the 19-story Park Plaza Hotel. But as the curious 6-year-old character says in her theme song, I spend an enormous amount of time in the lobby. I have to see what's going on there. I have read that story about a million times.
Unfortunately, the days are numbered for that New York City landmark. The Plaza Hotel, as we know it here, is getting ready to close after nearly a century. It's not happening, though, without controversy.
CNN's Kelly Wallace is here with more.
Good morning.
KELLY WALLACE, CNN NATIONAL CORRESPONDENT: Good morning, Soledad. A big controversy indeed. After all, this is the Plaza, right? The place where the rich and famous stay. The place where dozens and dozens of movies were filmed. And also the place where a 6- year-old girl named Eloise called home for the past 50 years.
(BEGIN VIDEOTAPE)
WALLACE (voice over): A New York City icon, the place where Mick Jagger partied, Donald Trump ruled and the swankiest of New York's visitors slept. But now it's all coming to an end.
THOMAS SANTA MARIA, PLAZA KITCHEN WORKER FOR 35 YEARS: It's not fair what they're trying to do here, destroy an icon like this, which has been for many, many years the jewel of New York. It's a shame.
WALLACE: Thomas Santa Maria has worked as a kitchen steward at the Plaza for 35 years. Now he and hundreds of others are about to lose their jobs.
UNIDENTIFIED MALE: Are you ready to fight? WALLACE: It's a controversy that has drawn protests for weeks. Plans to close the Plaza next month and convert its 800 rooms into condos, stores and a much smaller 150-room hotel. The new owner says legendary rooms, like the Palm Court, the Oak Bar, and the lobby won't be altered.
Niki Neftali says he's trying to return the glory to the Plaza, not take it away.
NIKI NEFTALI, PRESIDENT, ELAD PROPERTIES: I'm not changing the integrity of the space, because this is what the Plaza is all about.
UNIDENTIFIED FEMALE: Good morning, Mr. Halimony (ph).
UNIDENTIFIED MALE: Good morning, Eloise.
WALLACE: The Plaza is also all about something or rather someone else. That little girl that every little girl wanted to be: Eloise, footloose and fancy-free, the fictional character with a whole lot of room to run around, because, of course, she lives in the Plaza.
(on camera): So could she be running around the hall right now?
UNIDENTIFIED MALE: Absolutely, sure.
WALLACE: What time is it? It's 21:15. Could she be ordering lunch?
UNIDENTIFIED MALE: Yes, sure.
WALLACE (voice over): Meet the man who knows Eloise better than anyone else still living, the illustrator of "Eloise" books, Hilary Knight.
(on camera): What is that amazing connection between Eloise and the Plaza?
HILARY KNIGHT, ILLUSTRATOR OF "ELOISE" BOOKS: She is established now as this symbol of something that is extraordinary and forceful and imaginative and lots of things that this hotel represents.
WALLACE (voice over): Since she first arrived in 1955, she's been attracting moms and daughters to the hotel, hoping for a glimpse of her shoes.
(on camera): How often do people ask to see Eloise's shoes?
UNIDENTIFIED MALE: At least 20 times a day.
WALLACE (voice over): And hoping to get a glimpse of their idol. Fernando Luna, who has worked as a doorman for 24 years, gets the question, "where is Eloise," more than most.
FERNANDO LUNA, PLAZA DOORMAN FOR 24 YEARS: She left yesterday. But next time when you come over here, I'm going to let Eloise know you're here. WALLACE: But what will happen once the Plaza closes its doors and the precocious Eloise will no longer be able to order room service, dash through the halls and keep those doormen on their toes? Four-year-old Morgan Kilam (ph), who was visiting the Plaza, thinks she knows.
UNIDENTIFIED FEMALE: She's going to live in Paris.
WALLACE: Maybe, for a while. But listen closely, Eloise fans. We pressed the new owner.
(on camera): You can assure Eloise will be running around the Plaza, leaving her shoes in the lobby, calling for room service? That's not going to change?
UNIDENTIFIED MALE: Right.
WALLACE: She will have a place?
UNIDENTIFIED MALE: Yes.
WALLACE (voice over): She will have a place somewhere in the new Plaza, further reinforcing her connection to this legendary hotel, which faces an uncertain future.
(END VIDEOTAPE)
And so we pressed the new owners one more time yesterday, tell us what's going to happen to Eloise. They say don't worry. Don't worry. We'll have an announcement before the closing April 30. They say Eloise will still definitely have a home in the new Plaza.
O'BRIEN: Yes, I'm sure she's going to have a condo on the top floor.
WALLACE: Right, exactly.
(CROSSTALK)
WALLACE: She wants the best view, of course.
O'BRIEN: All of the people who worked there were so sweet when I brought my 4-year-old daughter there. And they'd say, "You just missed Eloise. Oh, next time you come, we're going to call her to make sure she's here." It was very sweet. I'm sorry for all of those folks who seriously are going to lose their jobs.
WALLACE: That is very true.
O'BRIEN: Kelly, a great spot. Thank you very much.
WALLACE: Thank you.
O'BRIEN: Bill.
HEMMER: Weren't her favorite two words "room service?" She learned at a young age. Thanks.
Top stories in a moment here. It's been a busy Tuesday morning already. A judge has ruled in Terri Schiavo's case. And a school shooting in Minnesota rivals the tragedy of Columbine. The latest on both stories when we return top of the hour here on AMERICAN MORNING.
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com.
Aired March 22, 2005 - 07:29 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
BILL HEMMER, CNN ANCHOR: Good morning, everyone. It's 7:30 here in New York. And a lot to talk about this morning, right back to the decision coming just about 60 minutes ago in the Terri Schiavo matter. A federal judge is now refusing to order the feeding tube reconnected. We'll get a report out of Florida in a moment on that, so stay tuned for the latest in a moment here.
SOLEDAD O'BRIEN, CNN ANCHOR: Also, John Couey is being arraigned right now. There he is. That's a live picture. He's being arraigned on charges in the Jessica Lunsford case. We're going to talk this morning about the system that tracks sex offenders. Marc Klaas is our guest as we take a look at how John Couey fell through the cracks.
First, let's start with those new developments, though, in the Terri Schiavo case this morning. In a major blow to her parents, a federal judge in Florida has refused to order Schiavo's feeding tube be reinserted.
CNN's Bob Franken live in Pinellas Park in Florida. He's at the hospice where Schiavo is being cared for.
Bob, good morning to you. What's the reaction there where you are?
BOB FRANKEN, CNN NATIONAL CORRESPONDENT: Well, the reaction, first of all, is not too many of the protesters are here. But nobody is surprised. By this time, it had been carefully explained to people that this was an uphill battle legally, that although Congress in its extraordinary session, had raised the hopes of the people here who support the reconnection of the feeding tube, that he had -- Congress had raised the hopes.
There was still an understanding that the federal courts have not been a part of this. And all Congress really did was to say that the federal courts had to, once again, consider it.
The standard for the judge was: Would there be a likelihood that the ultimate litigation would prevail? He ruled that there was not a likelihood. Therefore, no emergency order would be coming, at least at the federal district level.
Now, of course, this goes to the appeals court level.
We have not heard from the family, the blood relatives of Terri Schiavo. They had had their hopes raised, as I said, when Congress took the action it did overnight on Sunday. But now, their lawyer, who had unsuccessfully argued before the federal judge yesterday, has made arrangements to take this to the next level of the federal judiciary, which is the 11th Circuit Appeals Court in Atlanta. They will accelerate the filing of that suit. It will be up to the court to act quickly or not quickly.
Of course, the other thing that's a factor here is the time. Since Friday, the feeding tube has been disconnected from Terri Schiavo, who is resting in the hospice in back of me. So, at some point, her deterioration of her health could become an emergency that the courts might take into account -- Soledad.
O'BRIEN: All right, Bob Franken for us this morning in Pinellas Park in Florida. Bob, thank you.
Let's get right to the headlines now. Carol Costello in for us.
Hey, Carol, good morning.
CAROL COSTELLO, CNN ANCHOR: Good morning to you. Good morning to all of you.
"Now in the News.".
It's being called the worst school shooting since the Columbine massacre in 1999. A teenager in Minnesota apparently gunned down his grandparents before killing at least nine others and himself at a school on the Red Lake Indian reservation. The chairman of the Red Lake Ojibwa nation says it's still not clear what prompted this shooting rampage.
(BEGIN VIDEO CLIP)
CHAIRMAN FLOYD JOURDAN, RED LAKE OJIBWA NATION: We're all -- you know, the huge question is why, you know, just like in Columbine, you know. We have a security system that was implemented, in fact, before Columbine. And apparently, the security there, the school had a plan. There was security in place, and they did everything they could to stop the tragedy yesterday. And it was just beyond their control, unfortunately, and lives were lost.
(END VIDEO CLIP)
COSTELLO: A traditional prayer service will be held on the steps of the state capitol in St. Paul later today.
Michael Jackson is set to be back in court for a half day today. But his health issues are once again overshadowing the testimony. The pop star arrived in court a few minutes late on Monday. See how slowly he's walking there. He actually arrived with a doctor. He felt like he was going to vomit in court, but he didn't. He also stopped at a hospital emergency room right before this appearance.
In the meantime, a flight attendant testified she filled diet Coke cans with white wine for Jackson, but also said she never saw Jackson give any alcohol to minors. President Bush is again pushing for Social Security reforms. The president is set to meet with senior citizens in Albuquerque, New Mexico. He's trying to convince them that private retirement accounts would be in the best interest of their children and grandchildren. It's part of a 60 cities in 60 days campaign. The president is set to be back at his Texas ranch later today.
And the "New York Daily News" is offering $1 million to make up for its scratch-off snafu. Thousands of New Yorkers thought they had won this past weekend's scratch and match game. It turns out the newspaper printed the wrong numbers. So to make it up, the paper is offering a special drawing just for last weekend's winners. And unfortunately, not all of them will be winners like they thought they initially were.
HEMMER: You think that's going to fly?
COSTELLO: I don't think so.
HEMMER: Not in this town.
COSTELLO: No. One newspaper had the headline "scratch and stiff."
O'BRIEN: Well, you know, I'm sorry, but you can't spend the money if you don't have it in hand. Some people were spending their hundred thousand.
COSTELLO: Exactly.
O'BRIEN: It's like, wait a day or two. Get the cash first.
HEMMER: Yes, I'm making plans, too.
O'BRIEN: I mean, that's me. Please.
HEMMER: Thank you, Carol. Back to that in a moment.
We're watching this courtroom now in Florida. Jessica Lunsford's suspected killer, John Couey, has arrived there for his arraignment. He's behind the officer now in the orange jumpsuit.
John Couey, 46 years old, a registered sex offender with a long criminal history, 24 arrests over a period of 30 years.
In talking with the sheriff in Citrus County, Jeff Dawsy, yesterday live here AMERICAN MORNING, he says that Couey is talking. However, some of his story is described as murky and confused. The sheriff saying -- I'm quoting now -- "I believe some of it. I think he was in a drug-induced haze for a portion of the time."
Jessica Lunsford's body was found about 150 yards, buried in a shallow grave near her home.
Marc Klaas is with us from San Francisco. Marc Klaas's daughter, Polly, was abducted and murdered back in 1993. Marc has been a strong advocate ever since.
And we welcome you back here to AMERICAN MORNING, Marc. We brought you on today to talk about Megan's Law, which was established about 10 years ago, which is essentially set up to protect children from people like John Couey. And it's also set up to help parents get information in the event that a sex offender is living in their neighborhood. How did that law fail Jessica Lunsford?
MARC KLAAS, KLAAS KIDS FOUNDATION: Well, first of all, the two components of Megan's Law are, No. 1, that law enforcement has to register convicted sex offenders. And No. 2, they have to provide for some public notification.
The problems inherent in Megan's Law, as they're being portrayed in this case, are very obvious. The first one is compliance. This guy was out of compliance. He was not where he was supposed to be, doing what he was supposed to be doing. I think the remedy for that is to make the penalties for noncompliance so severe that they wouldn't dare do what Couey did. Perhaps a life term without the possibility of parole simply for failure to register and maintain registration.
The second issue is the issue of verification. Law enforcement needs the ability to verify where these individuals are. They don't have that resource in this country.
What has to happen is law enforcement has to either be able to go to their home to make sure they're absolutely there. They have to be able to either maybe even forward some kind of a non-forwardable -- or send a non-forwardable notification to them that has to be filled out and returned.
But I think in this day and age, given the fact that a positive icon of American life like Martha Stewart has to wear a GPS tracking system that we might apply the same kind of a standard to the 500,000 registered sex offenders that live in this country. And then finally...
HEMMER: So, what you're saying there, you're saying that the system is relying on a potential drug addict, as we've heard from the sheriff describe John Couey before, to go ahead register and sign up when he changes his address within counties in the state.
KLAAS: That's exactly right. That's how it works in this country. And we have to be fair here. Florida has one of the best sex offender registration and notification laws in the entire country, but there are obviously some huge and major failings with theirs. So that will tell you what's going on in America.
We can correct all of these things. We also have to break down the borders, Bill. I mean, that's a very big reality here. Once this guy goes from Florida to Georgia or to some other state, people can look up sex offenders in their state, and he's not going to show up.
We have to have a national sex offender registry. We have to force compliance. We have to give law enforcement the ability to verify that information. And I, quite frankly, think that this could be a very strong and powerful component of Jessica Lunsford's legacy. I think we have to do this for this little girl and for all of the little girls that she represents.
HEMMER: Marc, as you were talking there, we're listening to the judge address John Couey, reading him his rights. He was in court yesterday. The sheriff told us yesterday also he will pursue capital murder charges against John Couey.
He was just saying a short time ago, while you were talking, Marc, that he has no income. And a few other words coming out of his mouth, but not too many words at this point.
Back to your point, Marc.
KLAAS: Yes.
HEMMER: Does a federal system protect someone like Jessica Lunsford? Or still do we ultimately go back to the issue of there are thousands and thousands of sex offenders, and if they do not follow the law, it is tough for the system to catch up to them?
KLAAS: There are hundreds of thousands of registered sex offenders. And unless we get serious about maintaining and controlling these individuals, what happened to Jessica Lunsford will continue to occur in this country.
That having been said, it's not just about legislation. This is a shared responsibility for all segments of society to protect our children.
HEMMER: Marc Klaas, thanks for your time in San Francisco.
KLAAS: Thank you, Bill.
HEMMER: All right. Here's Soledad.
O'BRIEN: All right.
(WEATHER REPORT)
HEMMER: We feel the pain at the pump, and we're going to feel it more, too, very soon. But you may be surprised to know where the gas price hikes are squeezing you in other places, too. We'll also explain the surging prices, what's behind it in a moment here.
O'BRIEN: Also, time is running out for a legendary New York City hotel. But it's not going away without a fight. We'll explain ahead. AMERICAN MORNING continues right after this short break.
(COMMERCIAL BREAK)
O'BRIEN: Welcome back, everybody. We're "Minding Your Business" this morning. We're talking about gas prices. Drivers across the country are feeling the pinch at the pump. Prices are at a record high. So just what exactly is causing the gas prices to rise at such a fast rate?
Gerri Willis is in for Andy, and she is "Minding Your Business" this morning.
Good morning.
GERRI WILLIS, CNN CORRESPONDENT: Good morning, Soledad.
Gas prices are over $2 a gallon for most people across the country. Here's what's going on. China is using a lot of gas these days, developing nations. They're increasing their use of gas across the board. As a matter of fact, China just became the second largest user of petroleum products in the world, surpassing Japan.
Also a lack of spare production is going on. Refinery capacity is declining. As a matter of fact, there hasn't been a new refinery built since 1976.
O'BRIEN: Oh, I tell you, all of that translates into those of us who drive are paying more money at the pump.
GILLIS: You bet.
O'BRIEN: All right, Gerri, thanks.
GILLIS: Thank you.
HEMMER: Back to Jack now and the "Question of the Day," looking at two different issues, big ones, too, that we talked about for three and a half years.
Good morning.
JACK CAFFERTY, CNN ANCHOR: Yes. Well, it's getting worse. The country is going broke is the bottom line. Deficits are running at record levels. Then there's oil prices. Then there is interest rates going up. Then there's Medicare and Social Security, these entitlement programs where spending is absolutely out of control.
And some group of business economists did a poll of business people, and 27 percent of these folks now say that the economy, the deterioration of the economy is the greatest threat to our way of life. Seven months ago, this same bunch said it was terrorism. So apparently, they are aware of the growing ocean of red ink and its intent to eventually devour our standard of living.
Steve writes -- and we're asking the question: Which is the greater threat, terrorism or the economy."
Steve writes: "Deteriorating economy of course. The terrorists know that. They know our system. If they destroy the economy, they destroy the system. It seems we're better at it than the terrorists themselves."
Joe in Massachusetts writes: "The greatest threat to ourselves is ourselves. If you add the federal budget deficit to the balance of trade deficit, it totals more than a trillion dollars a per year. A trillion dollars per year. That red ink will bury us. We're like the proverbial frog being slowly boiled, oblivious to its demise."
And Jack in Texas writes: "The way that this administration has handled the economy and their wasteful spending is nothing short of domestic terrorism."
AM@cnn.com. Let us know what you think.
HEMMER: So much of 9/11, too, was a shot against the U.S. economy, too. The mere target that was pointed out, the World Trade Center. And Osama bin Laden, Zarqawi, Ayman al Zawari (ph), they have all made mention of that many times in the audiotapes.
O'BRIEN: The whole aspect of it.
HEMMER: And the videotapes that they've released, yes.
CAFFERTY: Yes. But we're helping, though. I mean, they did a little bit. They crippled the airline industry. They slowed the economy for a few months. Now, I mean, we're -- and these budget deficits, and I didn't mention it before, the deficit figures don't include the costs of the war in Iraq, the war in Afghanistan, all of these additional budget requests that have gone to Capitol Hill. I think we're -- what are we -- an $85 billion in Iraq now?
HEMMER: Yes.
CAFFERTY: And they're going to need another $80 billion or $90 billion this year. It's obscene what's happening. It's just a (EXPLETIVE DELETED) shame.
HEMMER: The silver lining of that with regard to terrorism is that many of these al Qaeda top leaders have been taken out. And that is a success at this point.
CAFFERTY: Well, we hope.
HEMMER: More to come.
WILLIS: And the economy growing at 3.8 percent right now.
CAFFERTY: On deficits. I mean, the growth is being fueled by deficits. We're spending money we don't have to grow the economy.
O'BRIEN: At the end of the day, you've got to do all of the budget, is like your family budget. You know, you can't do a budget that doesn't include your mortgage and all of the car payments and all of the other things.
CAFFERTY: Last month's budget deficit was $113 billion. One month, a billion dollars.
HEMMER: Wow!
CAFFERTY: You would have to earn $100,000 a year for 10,000 years to earn one billion dollars, and we squandered 113 billion last month.
O'BRIEN: Well, we'll see what the viewers have to say as they e- mail you. Jack, thanks.
Well, how about this news? A historic hotel is shutting its doors. It's the place where the rich and famous stayed and a little girl charmed visitors young and old. So what does happen to that famous little 6-year-old, Eloise? Her story up next on AMERICAN MORNING.
But before the break, here's a trivia question of the day. On which floor of the Plaza does the fictional character Eloise live? Is it, (a), the first floor? Is it, (b), the sixth floor? Or is it, (c), the top floor? Oh, that's an easy one. We're going to have the answer right after the break.
(COMMERCIAL BREAK)
O'BRIEN: Before the break, we asked you this: On which floor of the Plaza Hotel does the fictional character Eloise live? The answer is (c), of course. Eloise lives on the top floor of the 19-story Park Plaza Hotel. But as the curious 6-year-old character says in her theme song, I spend an enormous amount of time in the lobby. I have to see what's going on there. I have read that story about a million times.
Unfortunately, the days are numbered for that New York City landmark. The Plaza Hotel, as we know it here, is getting ready to close after nearly a century. It's not happening, though, without controversy.
CNN's Kelly Wallace is here with more.
Good morning.
KELLY WALLACE, CNN NATIONAL CORRESPONDENT: Good morning, Soledad. A big controversy indeed. After all, this is the Plaza, right? The place where the rich and famous stay. The place where dozens and dozens of movies were filmed. And also the place where a 6- year-old girl named Eloise called home for the past 50 years.
(BEGIN VIDEOTAPE)
WALLACE (voice over): A New York City icon, the place where Mick Jagger partied, Donald Trump ruled and the swankiest of New York's visitors slept. But now it's all coming to an end.
THOMAS SANTA MARIA, PLAZA KITCHEN WORKER FOR 35 YEARS: It's not fair what they're trying to do here, destroy an icon like this, which has been for many, many years the jewel of New York. It's a shame.
WALLACE: Thomas Santa Maria has worked as a kitchen steward at the Plaza for 35 years. Now he and hundreds of others are about to lose their jobs.
UNIDENTIFIED MALE: Are you ready to fight? WALLACE: It's a controversy that has drawn protests for weeks. Plans to close the Plaza next month and convert its 800 rooms into condos, stores and a much smaller 150-room hotel. The new owner says legendary rooms, like the Palm Court, the Oak Bar, and the lobby won't be altered.
Niki Neftali says he's trying to return the glory to the Plaza, not take it away.
NIKI NEFTALI, PRESIDENT, ELAD PROPERTIES: I'm not changing the integrity of the space, because this is what the Plaza is all about.
UNIDENTIFIED FEMALE: Good morning, Mr. Halimony (ph).
UNIDENTIFIED MALE: Good morning, Eloise.
WALLACE: The Plaza is also all about something or rather someone else. That little girl that every little girl wanted to be: Eloise, footloose and fancy-free, the fictional character with a whole lot of room to run around, because, of course, she lives in the Plaza.
(on camera): So could she be running around the hall right now?
UNIDENTIFIED MALE: Absolutely, sure.
WALLACE: What time is it? It's 21:15. Could she be ordering lunch?
UNIDENTIFIED MALE: Yes, sure.
WALLACE (voice over): Meet the man who knows Eloise better than anyone else still living, the illustrator of "Eloise" books, Hilary Knight.
(on camera): What is that amazing connection between Eloise and the Plaza?
HILARY KNIGHT, ILLUSTRATOR OF "ELOISE" BOOKS: She is established now as this symbol of something that is extraordinary and forceful and imaginative and lots of things that this hotel represents.
WALLACE (voice over): Since she first arrived in 1955, she's been attracting moms and daughters to the hotel, hoping for a glimpse of her shoes.
(on camera): How often do people ask to see Eloise's shoes?
UNIDENTIFIED MALE: At least 20 times a day.
WALLACE (voice over): And hoping to get a glimpse of their idol. Fernando Luna, who has worked as a doorman for 24 years, gets the question, "where is Eloise," more than most.
FERNANDO LUNA, PLAZA DOORMAN FOR 24 YEARS: She left yesterday. But next time when you come over here, I'm going to let Eloise know you're here. WALLACE: But what will happen once the Plaza closes its doors and the precocious Eloise will no longer be able to order room service, dash through the halls and keep those doormen on their toes? Four-year-old Morgan Kilam (ph), who was visiting the Plaza, thinks she knows.
UNIDENTIFIED FEMALE: She's going to live in Paris.
WALLACE: Maybe, for a while. But listen closely, Eloise fans. We pressed the new owner.
(on camera): You can assure Eloise will be running around the Plaza, leaving her shoes in the lobby, calling for room service? That's not going to change?
UNIDENTIFIED MALE: Right.
WALLACE: She will have a place?
UNIDENTIFIED MALE: Yes.
WALLACE (voice over): She will have a place somewhere in the new Plaza, further reinforcing her connection to this legendary hotel, which faces an uncertain future.
(END VIDEOTAPE)
And so we pressed the new owners one more time yesterday, tell us what's going to happen to Eloise. They say don't worry. Don't worry. We'll have an announcement before the closing April 30. They say Eloise will still definitely have a home in the new Plaza.
O'BRIEN: Yes, I'm sure she's going to have a condo on the top floor.
WALLACE: Right, exactly.
(CROSSTALK)
WALLACE: She wants the best view, of course.
O'BRIEN: All of the people who worked there were so sweet when I brought my 4-year-old daughter there. And they'd say, "You just missed Eloise. Oh, next time you come, we're going to call her to make sure she's here." It was very sweet. I'm sorry for all of those folks who seriously are going to lose their jobs.
WALLACE: That is very true.
O'BRIEN: Kelly, a great spot. Thank you very much.
WALLACE: Thank you.
O'BRIEN: Bill.
HEMMER: Weren't her favorite two words "room service?" She learned at a young age. Thanks.
Top stories in a moment here. It's been a busy Tuesday morning already. A judge has ruled in Terri Schiavo's case. And a school shooting in Minnesota rivals the tragedy of Columbine. The latest on both stories when we return top of the hour here on AMERICAN MORNING.
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