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The Situation Room

Hurricane Ophelia Lingers Over Carolina Coast; President Bush to Deliver Prime-Time Address; Some New Orleans Residents Returning Home

Aired September 15, 2005 - 15:00   ET

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


WOLF BLITZER, CNN ANCHOR: I'm Wolf Blitzer. And you're in THE SITUATION ROOM, where news and information arrive at one place simultaneously. Standing by, CNN reporters across the United States and around the world to bring you the day's top stories.
Happening now, it's 2:00 p.m. Central Time in New Orleans, where many evacuees will soon be able to call the city home again. While residents may return to the driest, least damaged neighborhoods, they will still face a massive cleanup and dusk-to-dawn curfew.

President Bush is heading back to the disaster zone once again. After a stop in Mississippi, he'll discuss recovery plans in a primetime speech from the heart of the French Quarter tonight in New Orleans.

And it's 3:00 p.m. on the Carolina coast, but Hurricane Ophelia is paying no attention to the time, as it lingers and lingers, lashing out with first winds and heavy rains.

You're in THE SITUATION ROOM.

From the Gulf Coast to the Carolina coast, it's "Mission Critical" right now. More than 180,000 people, a third of the pre- storm population, will be allowed to return to New Orleans over the next few weeks. And Mayor Ray Nagin says the famous French Quarter will be open for business in less than two weeks. New government tests, however, of the floodwaters showing dangerous amounts of sewage-related bacteria and toxic chemicals. And as those waters recede, whole neighborhoods are left covered in putrid, slimy muck. We're watching that.

Another storm we're watching still raging. Hurricane Ophelia has dumped as much as 18 inches of rain in some parts of North and South Carolina. Tens of thousands of customers are without power right now, but the area may have escaped major damage.

More developments now on both of these storms, Ophelia first. As much as 18 inches of rain has fallen between Myrtle Beach, South Carolina, and Wilmington, North Carolina. The hurricane has driven storm surges as high as eight to nine feet. At least 80,000 customers are without power. At one point, some 200,000 were affected.

Let's move on, talk about little bit about Katrina. About 40 to 50 percent of New Orleans right now still flooded, but the water is dropping by more than a foot per day, as pumps remove some nine billion gallons each day.

Mississippi's governor says his state has obtained a small cruise ship to house hundreds of evacuees. Governor Haley Barbour also says about 2,000 trailers and mobile homes are on the way right now to Mississippi for use by evacuees.

Bringing back New Orleans, Mayor Ray Nagin today announced a schedule for some residents to return to the city starting this weekend.

CNN's Jeff Koinange is live in New Orleans. He's joining us with the latest. Jeff?

JEFF KOINANGE, CNN CORRESPONDENT: That's right, Wolf.

We're in a place called the South Shore Harbor. And Wolf, the mayor is being very optimistic in what he's saying, something like -- about close to 200,000 people coming back in the coming weeks, coming days and weeks. But I tell you, Wolf, let's just take a look at one microcosm of this city, what Katrina did to one tiny spot in this city.

This harbor now, behind me, Lake Pontchartrain, that was filled with boats, basically, boats on the marina. It seems like a giant hand came and swept the boats out. Look -- look around me. Look at these huge boats literally swept off the harbor down on to what was a parking lot. This is basically a parking lot. There are literally boats everywhere, Wolf, if you see that, boats on boats, boats strewn about, damaged boats, boats all over the place. It's unbelievable, the extent of damage and destruction that Katrina did.

And when you talk about this costing billions and billions of dollars, Wolf, this is what you look at, the extent of destruction that is going to take weeks, if not months, if not years, to put back together again, Wolf.

BLITZER: And we're just getting this in, Jeff. Listen to this.

The National Oceanic and Atmospheric Administration here in Washington -- it's called NOAA -- has just listed Hurricane Katrina, Hurricane Katrina, as -- quote -- "the most destructive hurricane to ever strike the United States." A spokesman for NOAA, Greg Hernandez, says the determination was based on various criteria, including damage.

I suspect that's not necessarily going to be a huge surprise to you, given the destruction, the damage, the death that you have seen over these past several days.

KOINANGE: Without a doubt, Wolf. Doesn't surprise me one bit.

I didn't cover the tsunami last December, Wolf, but this feels like what the tsunami did, literally washing boats, washing people, washing homes, destroying an entire city. And the most eerie part about it, Wolf, when we drive around the streets of the city, the eeriness, the ghost town, the fact the city has been emptied out, literally. Water is still stagnant, 40 percent of New Orleans still under water.

By the time this city does get back on its feet, Wolf, it's going to take forever and it's going to cost billions of dollars, Wolf. And this -- I mean, looking around here, it just seems like a lot of people are saying this city will never come back together again. But the mayor and other city officials very optimistic. At least if they get the business part of it going, then they will draw the people back in and get things going.

But, Wolf, looking around here, it is going to take a while.

BLITZER: I don't know if you can do this, Jeff, but take us on a little tour briefly of this area, so we can see some of that destruction.

KOINANGE: Good. Good. Good.

OK, look, as I walk around this parking lot -- and you can see this -- look at -- look at right here in the distance, unbelievable, the fact that these boats were literally washed out from the water all the way on to the parking lot. If you can see, they're strewn all over the place, these luxury boats, fishing boats, crab boats, all kinds of boats.

I'm just walking around here. Look at this beautiful little vessel here. It's -- has -- even has a name on it. It's called the Mona Faye (ph), right there, lying on its side. Boats, one over here, you can just imagine the strength of Katrina, I mean, pushing, literally pushing this huge boat here right on to the parking lot, and there's major damage on boats like this, Wolf.

Looking around the place, as we walk around, there's a famous casino right here. You can see that, a famous floating casino. As you can tell, casinos are a big business in New Orleans. This one here literally washed on to the parking lot. Bally's Casino, you can see that name right there. That one, to restore, will take months, if not years.

And I tell you, Wolf, this is a microcosm of what's happening here. People just don't realize, until you come on to the ground and see for yourself, it's unbelievable, the extent of damage that this hurricane caused, Wolf.

BLITZER: Jeff Koinange reporting for us, and doing an outstanding job, as he always does. Jeff, we are going to check back with you. Thank you very much.

President Bush will address the nation tonight from New Orleans, that speech scheduled for 9:00 p.m. Eastern. We will be here in THE SITUATION ROOM at 9:00 p.m. to bring you that speech live tonight.

Meanwhile, the New Orleans mayor also made clear not everyone will be welcomed back.

(BEGIN VIDEO CLIP) RAY NAGIN, MAYOR OF NEW ORLEANS: This city, for the first time that anyone can probably imagine, is drug-free and violence-free. And we are intent on keeping it that way. The bad guys, I think, have been rooted out and dealt with accordingly.

As they come back to -- as they think about coming back to the city, let me just remind them of a couple of things. Our police department has a serious, even more invested bond with this city, and they're not taking any crap. We have the Army that is here.

We have every possible law enforcement agency known to man that is patrolling this city. They have night-vision equipment. They have M-16s. They have M- 4s. And they might have a few bazookas that we're saving for special people. So, if you come back to this city and you think it's going to be like it was before, we have a rude awakening for you.

(END VIDEO CLIP)

BLITZER: Tough words from the mayor of New Orleans, Ray Nagin, just a little while ago.

The city, by the way, will be under a dusk-to-dawn curfew. And the U.S. military will have perimeters set up around the reopened areas. We're watching this story very closely.

In the meantime, though, let's move on to that other storm which has been battering the Atlantic Coast, fierce winds, drenching rain and pounding surf along North Carolina's Outer Banks. They're definitely feeling Hurricane Ophelia.

Our national correspondent Susan Candiotti is joining us now live from Nags Head with more. Are you feeling it, Susan?

SUSAN CANDIOTTI, CNN NATIONAL CORRESPONDENT: We are, but it's creeping along. In fact, actually, I think it's stationary out there off the Outer Banks, near Cape Hatteras. But here in the northern part of the Outer Banks, you can see the waves crashing ashore here, so powerful. I just was going to pause for just a few seconds, so maybe you can get a sense of what it's like to be out here.

It is just so tremendous, the power of nature, as we can tell you that, throughout the state, they're reporting minor to moderate damage, thank goodness, and no injuries or deaths reported. Down on Cape Hatteras, they have lost power on the lower end of the Outer Banks there, as they were expecting to. But they are already talking about trying to get power restored as early as possible, but they won't be able to get damage assessment teams out there until tomorrow.

Out there, I just wanted to point out, this is about a 35-foot- high sand dune we're on, Wolf. And you can see how well it protects a lot of the homes that are behind here onshore. And that wooden stake that you see sticking up there out of the sand on this side of the fence, that is how high the water came up two years ago this week, Hurricane Isabel.

The owner of the motel here, his name is Everett...

EVERETT FIFIELD, MOTEL OWNER: Fifield.

CANDIOTTI: Fifield. Thank you very much. Everett, this place was built in 1947. Why do you think it's been able to withstand so many storms?

FIFIELD: Well, I think it has a brick fascia. And we are protected a lot. I think the pier does help us here. It acts as...

CANDIOTTI: And you didn't board up because you didn't think it would be that bad?

FIFIELD: We were basing it upon the news, the forecast that we had, that we didn't think we would have full force, constant hurricane-force winds, so we opted not to this time.

CANDIOTTI: And, so far, so good.

FIFIELD: So far, so good. We are concerned about the beach erosion. I'm watching the next high tide, which comes in, in a few hours, and concerned about my steps being lost. But other than the beach erosion, I think we will be OK this time.

CANDIOTTI: Well, we are very glad to hear that, of course.

Now, the next high tide will hit about 6:00 this evening. But, again, if only there were a way to step on the gas and get Ophelia moving, everyone here would love to have that happen. But we have to let nature take its course.

Wolf, back to you.

BLITZER: Susan Candiotti in Nags Head, thank you very much.

Ophelia is certainly not going anywhere in a hurry, but to find out where the storm may be heading, let's turn to our meteorologist Bonnie Schneider. She's joining us from the CNN Hurricane Headquarters. Bonnie, what is the latest information we're getting?

BONNIE SCHNEIDER, CNN METEOROLOGIST: Well, Wolf, right now, the storm is still stationary, but we are anticipating some movement, finally, with Ophelia. A steady move to the north-northeast is expected to occur later on tonight.

As we look at our satellite perspective, we can see the center of circulation is offshore, meaning the strongest rain downpours are actually offshore as well. In fact, on our radar picture, you can see some of the strong areas of intense rain are still over the ocean right now. Kind of the best part of the storm, or the left part, is actually over the Outer Banks right now. But we are still getting those gusty winds. And wind has been a big, big factor with Ophelia. In fact, as we look back at some of the wind gusts we have seen, in Hatteras Village, we had wind gusts as high as 95 miles per hour. Sustained winds, of course, were less than that. But these gusts can do their damage and knock down power lines. And that's exactly what we have been seeing with Ophelia.

Now, here's our latest hurricane track for Ophelia. The next concern we're just watching closely is the potential for some rough surf and some wind and rain for coastal sections of Massachusetts, maybe as far west even as eastern Long Island, depending on where Ophelia will go.

Since the storm is stationary right now, we're watching it closely to see once it does get on the move. We are expecting the storm to pick up speed a bit once it comes over these open waters of the Atlantic. The water here is a little cooler as well. So, that should help diminish Ophelia's strength back down to tropical storm status by the time we get to the weekend.

So, we will be watching closely the coastline of New England to see if they get the effects of Ophelia. But the one good thing to note is, the downpours are offshore, but we are still going to see that wind. Ophelia is still stationary at this hour.

Wolf.

BLITZER: Bonnie, thank you very much, Bonnie Schneider with the latest forecast for us.

While we're watching Ophelia on the ground, how might it be affecting airplanes up in the skies?

Let's turn to the Web for more on that. Our Internet reporter, Abbi Tatton, is standing by with that. Abbi?

ABBI TATTON, CNN INTERNET CORRESPONDENT: Yes, Wolf, an online resource for tracking commercial and general aviation over the United States in real time is available at FlightExplorer.com.

And we are going to put that on the screen for you now, so we can see it. What you are going to see is over the coast of the Eastern Seaboard of the United States, you can see Hurricane Ophelia there sitting off the coast of North Carolina, and all the planes, commercial and general -- that's privately owned planes -- over the United States avoiding the path of the storm right now.

What we can do is track an individual aircraft and see how it might be disrupted, its path might be disrupted by the storm. Zooming in here, we're seeing USA 512. That's U.S. Air Flight 512. It's going from Miami to Philadelphia. The second line tells you 370. That's means it's flying at 37,000 feet right now. And 431, it's traveling at 431 miles an hour.

Through this tool, you can track a flight, how it's moving, how it might be moving because of this storm. This is available at FlightExplorer.com. We're using a professional version, but there is a simpler version available to the public at home, so you can see how this air traffic is moving from your home, Wolf.

BLITZER: That's fascinating. If you're watching a friend or a relative flying someplace, you go there, FlightExplorer.com. And you can actually see where that plan is in almost real time.

Thank you very much, Abbi, useful information here in THE SITUATION ROOM.

Let's get some more useless -- useful -- useful -- information, Jack Cafferty standing by in New York. I almost said useless information, Jack, but I corrected myself.

(LAUGHTER)

JACK CAFFERTY, CNN ANCHOR: I heard that. Was that a Freudian slip, Wolf?

BLITZER: No. I think it's very useful.

(LAUGHTER)

CAFFERTY: How many hours have you been on your feet today?

BLITZER: Too many. Too many.

CAFFERTY: Huh?

BLITZER: Too many.

CAFFERTY: You're a tough guy. They should pay you by the word. THE SITUATION ROOM resembles a telethon without a disease the last couple of days. It just goes on and on and on.

BLITZER: It's over. It's over with now. We are going back to our regular schedule tomorrow.

CAFFERTY: Oh, are we? OK. Well, I'm off tomorrow, so you won't have this useless information to kick around.

Massachusetts Governor Mitt Romney, he calls himself a red speck in a blue state. He wants the federal government to raise the bar when it comes to domestic intelligence gathering. He made a speech to the Heritage Foundation, and he said the federal government should wiretap mosques and conduct surveillance of foreign students in his state.

The Republican governor, who's considering a run for the White House in 2008, said that, when it comes to homeland security, the U.S. needs to shift its focus from response to prevention. Civil rights groups are aghast at this idea, saying his ideas are misguided and ineffective. The ACLU points out, the government already collects data on foreign students.

So, here's question. Should the government wiretap mosques and conduct surveillance of foreign students as a part of the war on terror? You can e-mail us your thoughts at CaffertyFile -- one word -- @CNN.com.

And now back to the toughest guy on television.

BLITZER: Well, that would be me, I guess. (LAUGHTER)

CAFFERTY: Yes, it is.

BLITZER: Thanks very much, Jack.

CAFFERTY: All right, Wolf.

BLITZER: We will get back to you in a little while.

Still to come, back to life, New Orleans announcing plans to bring residents back home starting this weekend. We will have the latest.

Also, this, President Bush in New Orleans, he's addressing the nation tonight. Will it be enough to turn around public opinion? We will take you there.

Also, dog rescue, the National Guard springing into action to save man's best friend.

You're in THE SITUATION ROOM.

(COMMERCIAL BREAK)

BLITZER: Once again, want to repeat the news that we're getting from the National Oceanic and Atmospheric Administration here in Washington, NOAA, as it's called. This hurricane, Hurricane Katrina, specifically, is now being billed by NOAA as -- quote -- "the most destructive hurricane to ever strike the United States," a spokesman saying that determination based on various criteria, including damage.

President Bush is on his way back to the Katrina disaster zone this hour, ready to spell out his program for helping hurricane victims rebuild their lives.

Our White House correspondent Suzanne Malveaux is already in New Orleans, and the president set to speak at 9:00 p.m. Eastern tonight. Suzanne, set the stage for us.

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Well, Wolf, it is really less than six hours away. And it's really going to be a defining moment for this president.

He's going to in the heart of New Orleans, the French Quarter, a chance for him to lay out his vision before the American people on his recovery efforts, but not only that, but also to lay out a vision to try to rebuild his credibility here, much of which has been lost, many people criticizing the president over the last couple of weeks for what has been considered a sluggish or slow response.

His first stop, of course, is going to be Gulfport, Mississippi. That is where he's going to be surveying damage there. But he is going to come here, and White House officials say he is going to outline what is going to be perhaps one of the most ambitious federal plans when it comes to an unprecedented amount of money, money going for housing, for education, tax credits, those type of initiatives.

It is all part of this strategy, an evolving strategy at the White House, to try to turn the tide here, turn the corner from that criticism to moving forward.

Wolf.

BLITZER: Suzanne, this is special for you, coming back to New Orleans. You have family there. You know this city well.

First of all, those who are missing, what's the latest on that? And what does it feel like to be back in New Orleans?

MALVEAUX: Well, Wolf, there are so many mixed feelings about it. You feel like -- I feel like I am representing my family when I'm here. I'm happy to say that we found my cousin, who had been missing two weeks, yesterday at a base, an Army base out in Arkansas. So, everybody is accounted for.

The one thing you feel here, coming here, is, you really -- you just want to go home. You want to see the houses. You don't want to leave. It is hard to actually step away. It is hard to see those homes now, because it's so still restricted, many of them, as you know, of course, still very dangerous to be there.

But it is a very special feeling to be back. But, seeing this place, there are so many wonderful memories. It is -- it's hard to imagine how it has come to this. But, again, you envision, you dream that there will be better memories later down in the road.

BLITZER: You have got a helicopter flying over you. And I'm sure that is going to be a common occurrence.

Suzanne, good to have you back in New Orleans. I wish it were under different circumstances, though. Thanks very much. We will get back to Suzanne Malveaux, our White House correspondent in her hometown of New Orleans.

Right now we're getting some new video. I want to show our viewers what's going on, video coming in courtesy of FEMA. They've been flying over this area, showing some of the destruction. We will continue to show this video to you as it comes in.

We're also getting new information on hurricane relief.

For some specific details, our Ali Velshi is joining with us the bottom line.

Ali, what are you picking up?

ALI VELSHI, CNN ANCHOR: Wolf, I'm just working through this right now, an 18-point bill passed by the Senate just a little while ago. It is for hurricane tax relief. There are some very important provisions in this bill. I want to tell you a little bit about a couple of them. One of them is that, if you have debts that are discharged because of the hurricane, the IRS is now going to make sure that you don't have to pay tax on that debt that you now don't have to pay.

You're also going to be allowed -- if you're a victim of the hurricane, you are going to be allowed to withdraw more out of your IRA or 401(k) without the 10 percent penalty that you typically have to pay.

There is also going to be greater encouragement through tax deduction for companies that want to donate food and books, because of the shortage of books as a result of schools getting flooded and destroyed. The Senate has passed a bill that is going to encourage donation of books to schools.

There is going to be an increase in the limit, the taxable limit, for donations, cash contributions for hurricane relief.

This is just coming in to us now. We will make sense of this, but it does look like there's been some fast movement from the Senate in passing an 18-point bill on hurricane tax relief, Wolf. We will stay on top of it for you.

BLITZER: Thanks very much, Ali. We will get back to you shortly.

Countless animals are also feeling Katrina's impact, including many pets. We will show you efforts to rescue this dog. Check this out. We will show you a picture of what U.S. military forces are doing to try to save a dog. Plus, we will update you on some other refugees from a Mississippi aquarium.

Also, some 1,000 evacuees still waiting for tents two weeks after the storm.

You're in THE SITUATION ROOM.

(COMMERCIAL BREAK)

BLITZER: In New Orleans, the first priority is getting to any residents who need help. But with most of the city evacuated, crews are often now saving stranded pets. Here's an amazing scene of a dog in need and a National Guard team to the rescue.

(BEGIN VIDEO CLIP)

J.T. ALPAUGH, POOL PHOTOGRAPHER: A nice touch of humanity demonstrated by our National Guard troops down below.

They have found someone's pet, gone to the extra steps. And they have taken the extra time to make sure this dog has got some fresh, clean water. They appear to have broken up some MREs. They're going to try to provide this dog some food.

Obviously, the animals at this time and point are pretty concerned -- or, rather, frightened, and are very uncertain of the conditions that they've been living in.

Not as tense as diffusing a bomb, not as demanding as air-to-air -- as actual combat. But these gentlemen displayed a great effort to save this animal, not get themselves injured. Outstanding effort by them.

(END VIDEO CLIP)

BLITZER: Good work by the National Guard in New Orleans.

Meanwhile, there's also a race to rescue some dolphins. Eight, to be exact, were washed out of their aquarium tanks after Katrina slammed into the Gulf of Mexico. Experts say the dolphins have spent most of their lives in aquariums and might not know how to survive in unchartered waters. The dolphins are underweight, have various injuries, but appear to have grouped together.

Involved in the rescue operation right now is Moby Solangi. He's president of Marine Life Oceanarium, who is on the phone with us now from Gulfport, Mississippi. Thanks, Moby, very much for joining us. What is the latest?

MOBY SOLANGI, PRESIDENT, MARINE LIFE OCEANARIUM: Well, we were able to get two dolphins and rescue them. We have taken them to a Holiday Inn swimming pool.

We are right now waiting on the Navy's tanks that they use to hold dolphins. And they should be arriving in a couple of days. And we will move them and treat them.

BLITZER: So, the -- what about those two dolphins that you have rescued? What's their condition?

SOLANGI: They seem to be doing OK. We had taken blood samples, and there seemed to be a little bit of a concern. So, we were able to rescue those two. And they're under medical care. We have taken some samples and sent them to the hospital, which we -- we should have the results in a few hours.

BLITZER: But you're still searching for the other six. Is that right?

SOLANGI: They're all hanging out. Wolf, it's miraculous. Ten, 12 days later, they show up right at our doorstep. All eight of them are together. We are feeding them three or four times a day.

We have mats, which they consider themselves at home. And that's how we got the other two there, beached on the mats. We were able to get them. And, hopefully, we will be able to get the other six in the next few days.

BLITZER: And where are you now, Moby? Are you on a search operation right now or are you onshore?

SOLANGI: No, we're on a search operation. We're on boats. We go three or four times a day. We have the trainers that are bonded with these animals. They are feeding them. And, you know, these animals are just ecstatic to see their trainers and be fed. They were hungry. For 10, 12 days hadn't eaten anything. Being captive born or domesticated animals, they don't have the instincts to survive in the wild.

BLITZER: Well, good luck, Moby. Let's hope we -- that you succeed in finding your dolphins. Appreciate you joining us very much.

SOLANGI: Thank you, sir.

BLITZER: Thank you. Each individual story is heartbreaking, mothers and fathers still looking for their children after Hurricane Katrina. Coming up, we'll tell you about some happy endings and how other families hoping for the same.

Also, Hurricane Ophelia whipping up worries by the hour. We'll have the latest on what's happening.

And Delta and Northwest have filed for bankruptcy protection. What might that mean for you? Ali Velshi standing by with an explanation. We'll be right back.

(COMMERCIAL BREAK)

BLITZER: In advance of the president's speech tonight, the Democrats on Capitol Hill are offering their thoughts about Hurricane Katrina, what should be done. The Democratic leader in the Senate, Harry Reid, is speaking right now.

SEN. HARRY REID (D-NV), MINORITY LEADER: ... as wealthy as this country. And while they're about it, if they're not going to cut those taxes, which they said they're going to, maybe they could take a look and see if it's really the right time to cut Medicaid by $10 billion. And is it the time to cut student loans? So, again, I'm not into the cutting at this stage.

QUESTION: Did Speaker Hastert invite you to go down to the news room before we go down there? And did you know Mr. Frist and Mr. Reid are going down there, starting tomorrow? If you're not going with the speaker, did he invite you? And also if he didn't, are you going to go down there on your own?

REP. NANCY PELOSI (D-CA), MINORITY LEADER: Well, the speaker didn't invite me. He told me in fact that the leadership would be going at a later date in my last conversation with him, but that he was going to provide for the members of the Appropriations Committee to go.

Our ranking member on appropriations, Mr. Obey, thinks it's too soon. I think some of what he sees on TV says that maybe that many members don't need to go down there and be cared for and fed while there's still a relief effort going on because it would be many more people than the leadership. But, no, I was not invited by the speaker to go. Well ...

BLITZER: Nancy Pelosi, the Democratic leader of the House of Representatives, Harry Reid, the Democratic leader in the Senate, they're offering their thoughts on hurricane relief in the aftermath of Katrina. We'll monitor their news conference up on Capitol Hill.

In the areas hit hardest by Hurricane Katrina, there is some progress but the situation remains critical. CNN's Deborah Feyerick is tracking all the developments in the disaster zone. She has this status alert. Deb.

DEBORAH FEYERICK, CNN CORRESPONDENT: Well, Wolf, status alert, tent city. D'Iberville, Mississippi is just north of Biloxi. It's a desperate situation there. FEMA has yet to deliver six huge tents that officials were counting on to house more than 1,000 people. The city manager says people who were counting on those tents are living in homes that are still flooded.

Part of the problem is where to put the tents. D'Iberville is so small, just 8,500 people. The city wants to set them up on local baseball fields. The feds are saying no go. Trailers are also on order.

Now, speaking of trailers, status alert, getting the oil flowing. Some 330 trailers have arrived for workers at gas refineries, natural gas plants and petrochemical facilities throughout Louisiana's river region.

They're trying to get that industry back on track and those trailers will house the workers there to do that. That tops our status alert at this hour. If you have any information on an affected area, please let us know here at StatusAlert@CNN.com.

Wolf.

BLITZER: Deborah Feyerick, thank you very much. As a drowning city battling for its life, hard-pressed New Orleans police officers battle to maintain some semblance of order, but other officers left the city. Now many have been located.

Our Mary Snow is on the scene for us. She's joining us now live from New Orleans with more. Mary.

MARY SNOW, CNN CORRESPONDENT: Well, Wolf, as New Orleans begins to re-open, as we heard the mayor say earlier today, one question is security. During the storm, many police officers left. The department said that there were more than 500 officers unaccounted for. Earlier today, we literally ran into the police commander and asked him about the situation. The police superintendent, Eddie Compass, said he had a meeting yesterday and that the department has located more than 200 officers who left the job. I asked him why they did, and he said they were for varying reasons. Here's what he had to say.

(BEGIN VIDEO CLIP)

SUPT. EDDIE COMPASS, NEW ORLEANS POLICE: Well, it's various things. I don't want to get into them. We are going to take every case on an individual basis.

SNOW: Are you putting them back on the force?

COMPASS: There are going to a disciplinary committees, and just see (ph) all officers who do not have excuses for their not being here. It's going to be on a case by case basis.

(END VIDEO CLIP) SNOW: Now, Compass said that there would be a hearing for each one of these officers. And he said that he expects soon to get a good handle on the whereabouts of all of those police officers who were unaccounted for.

Wolf.

BLITZER: Mary, you just got to New Orleans, a fresh set of eyes. Give us a little flavor of your impressions, having just gotten to that city.

SNOW: Just about anywhere you drive to places that are dry, no water, still, there is really severe damage. We went down to the Convention Center and that's where we ran into Eddie Compass. And you see like makeshift military headquarters so to speak, where there's a command center.

They're cleaning up the Convention Center. We went over to the Superdome earlier. That, of course, is closed off by military personnel. You see more military vehicles on the street, of course, than cars. But it's so much rebuilding has to be done and the devastation is just unbelievable.

BLITZER: We'll see you later in the program, Mary. Thank you very much. Mary Snow reporting from New Orleans here in THE SITUATION ROOM.

And coming up, the littlest victims of Hurricane Katrina raising the biggest concerns, children displaced from their families still missing. Our Brian Todd will have a live report from the Center for Missing and Exploited Children.

And surprising words from the Israeli prime minister, Ariel Sharon. At the United Nations today he had much to say about Palestinian hopes for their own state. We'll tell you what he said.

Much more of our coverage right after this.

(COMMERCIAL BREAK)

BLITZER: Here in THE SITUATION ROOM, we're plugged into almost everything happening online. Following Hurricane Katrina, two technology experts are doing their best to help out with relief efforts.

Our Internet reporter Jacki Schechner joining us now with details. What are you picking up, Jacki?

JACKI SCHECHNER, CNN INTERNET CORRESPONDENT: Wolf, it's Joel Johnson and Jake Applebaum. And they are two self-proclaimed tech geeks who have gone down into New Orleans to help reconnect the community to set up communications for them down there.

Now, here is Joel with his laptop and his solar-powered backpack -- that's how the laptop is maintaining its communication. It's also got a cell modem, like your cell phone would use. That's how he's getting online. Now, this how the communication is like in the area that they're in. It's an Army vehicle that is blasting messages out to the community. So they wanted to get it rewired. One of the ways that they're doing that is they have built a low-powered FM radio station out of a lunch pail. Take a look at the inside of this. That's the wiring. They've got an FM frequency reserve, 94.5. Joel got up on the roof, created an antenna. And anyone who can see that antenna will be able to tune in into this radio station, really building the technology from the ground up.

They're working with a community organizer named Malik Rahim. And then what they are doing is building the final result, a community center built by the community itself. They are really working from the inside-out to get things up and running. You can follow their progress along on a blog. It is jacob.wordpress.com -- Wolf.

BLITZER: All right, Jacki, thank you very much.

Check out this new video that's just coming in to CNN right now. This is good news. Water being pumped out of the city of New Orleans. You see the water coming out of those pipes. It's dirty, it's disgusting, it's foul. But it is leaving the city. That will give authorities a chance to start cleaning up, once all of that water is pumped out of the city and it's coming out. It's not coming out as fast as many would like, but it is coming out, and they're trying to get this city back in action.

The mayor of New Orleans, Ray Nagin, saying earlier today, things are in fact moving in the right direction. And in part, they're moving in the right direction because of the pictures that we're seeing coming in, the new video that we're seeing right now.

Up next, new attacks in Iraq. After a shocking slaughter, a fresh round of bloody violence.

Feeling pain from Ophelia. The Carolina coast takes a beating from the storm that just won't quit.

And with airlines going bankrupt, what happens to all those frequent flyer miles all of us have been saving? We'll tell you.

Stay with us.

(COMMERCIAL BREAK)

BLITZER: We've been trying to bring you some stories of missing children reunited with their families in the wake of Hurricane Katrina. But many cases still unresolved.

CNN's Brian Todd is over at the National Center for Missing and Exploited Children in nearby Alexandria, Virginia. He's been watching this story for us. What's the latest, Brian?

BRIAN TODD, CNN CORRESPONDENT: Wolf, the latest is yet another uptick in the numbers of children reported missing. As of right now, the center reports 2,008 children are still listed by this center as missing from the storm and its aftermath. That does not include more than 700 cases that the center says have been resolved, where kids have reunited with their parents. We are now in the eleventh day of this operation.

In the middle of this control room, this is the Katrina Missing Persons Hotline, dozens of former law enforcement officers. Now, these people have been brought in from all over the country, from Boston to Southern California. They're donating days and days of the time. Some have had to extend their stays because of the need. And they are here 16 hours a day, from 8:00 a.m. to midnight.

We're going to give you some cases that they are trying to track down right now. This is in the category of children looking for parents.

Lynzell King. He is almost five years old. He turns five in about two-and-a-half weeks. He was found in New Orleans, separated from his mother at the storm. His mom was last seen at the Superdome. Now, they believe at the center here that Lynzell is staying at a shelter in Minden, Louisiana -- Minden's spelled M-I-N-D-E-N -- Louisiana. And they also believe that he is with some extended family members at that shelter. However, his mother is missing and the family is extremely worried about her. The mother's name is Rochelle King.

Another child missing, Joe Mard, 15 years old. Again, separated from his caretakers by the storm. Transported out of the Superdome on September 4. Where is he now? Well, the officials here say he is at a shelter in Chattanooga, Tennessee, with his uncle. They are looking for Joe's grandparents who are also his caretakers.

All right. Here's another case, and an example of what they have to work with here. A young lady named Kalite, last name unknown, and they do not have a date of birth. In this picture, she looks to be between about three and five-years-old, separated again from a caretaker by the storm. She was transported from her home to a shelter in Oxford, Mississippi.

Information on Kalite, and any of these children, if you have it, please call this number 1-888-544-5475.

Now later in the program, Wolf, we're going to try to get into the numbers a little bit. How they come about these numbers. And just kind of delving into what the officials say about why they're going up.

BLITZER: All right. Thank you very much. And thank everyone for the important work they're doing.

CNN's Fredricka Whitfield is joining us now live from the CNN Center in Atlanta with a closer look at other stories making news. Hi, Fred.

FREDRICKA WHITFIELD, CNN ANCHOR: Hello to you, Wolf. In Iraq today, new rounds of violence. Thirty people are dead and 57 hurt in a string of attacks in Baghdad and other cities. One incident in particular in a southern Baghdad neighborhood of Dora, four police officers were killed in a double suicide car bombing.

Israel Prime Minister Ariel Sharon says Palestinians have a right to their own country, but says they should show -- quote -- "their desire for peace." Mr. Sharon made the comment today at the United Nations. He added Palestinians should take steps to eliminate terror and the culture of hatred in their relations with Israel.

In Rome, Pope Benedict XVI met with Israel's two chief rabbis today. They rabbis urged the pope to denounce anti-Semitism and the destruction of synagogues after Israel's withdrawal from Gaza. The rabbis said they fear the terrorism of desecrating synagogues could occur in other parts of the world.

And he was the man behind movies like "Westside Story" and "The Sound of Music," Hollywood is mourning the death of Robert Wise, who died of heart failure yesterday. Over his 50 year career, the director and producer directed 39 films. He was nominated for seven Oscars and won four. Wise had just celebrated his 91st birthday on Saturday.

Wolf.

BLITZER: All right. Fred, thanks very much. See you in a little while.

CNN's Jack Cafferty's been going through your e-mail on his question of the hour. And Jack is standing by with some of your e- mail right now. Jack?

CAFFERTY: How you doing, Wolf? Massachusetts Governor Mitt Romney in a speech to the Heritage Foundation down in Washington said he thinks the government ought to start wiretapping mosques and conducting surveillance of foreign students in his state as part of the war on terror.

Civil rights groups think he's nuts. They call his ideas misguided an ineffective. We thought we'd ask what you thought about it.

Richard in Plantation, Florida says, "Why stop at mosques? Let's bug churches, synagogues, social clubs, toilet rooms, bedrooms, hotel rooms, bar rooms. A better idea yet, let's consider a gathering of three or more people a conspiracy, especially if one them has a foreign accent. That way we can get rid of all the Dominican baseball players. Silly isn't it?"

Robert in Cudahy, Wisconsin, "Yes. A big yes to both. After all, the students are here as our guests. And in the past, some of the terrorists have gotten their college education in this country.

Somebody named Ignats -- and I don't believe for eight seconds that's your name -- but Ignats writes, "Does anyone really believe that the government isn't already wiretapping mosques?"

Carol in Texas, "Foreign students. Why bother with them? They're unregistered. How about all those people pouring unregistered, undocumented unnoticed across our borders each day? That's the bigger threat."

Valerie in Rexford, New York, "No. Though tempting, we cannot become that which we are fighting."

And Ben writes, "Not only should they wiretap mosques and foreign students, but also kennels known to house foreign animals and Persian cats."

BLITZER: Ben's got a sense of humor.

CAFFERTY: Indeed.

BLITZER: All right. Jack, thanks very much. We'll touch back with you in a moment.

There's much more ahead here in THE SITUATION ROOM. Up next, the "Bottom Line" on the latest airlines to file for bankruptcy protection. Who will be paying a price for all that?

And we're also tracking Hurricane Ophelia. Remember, CNN is your hurricane headquarters. We'll update you on the storm and what's going on next.

More from THE SITUATION ROOM after this.

(COMMERCIAL BREAK)

BLITZER: Lots of news going on here in THE SITUATION ROOM. It's almost time for the markets to close. The closing bell, if you will.

CNN's Ali Velshi joining us from New York with more on that and other things he's interesting in. What are you picking up?

VELSHI: There's plum nothing going on in the markets. Let me tell you that. I'm going to skip right by that for a second and tell you that if it doesn't seem like I'm bringing you any new news today, Wolf, it's because I haven't been really doing my work. I have been busy dealing with two different airlines today trying to use up my frequent airline miles to book vacations. No luck. I've had no luck doing that today. Obviously, this is spurred by bankruptcy filings last night by Northwest Airlines, the number four airline in the country, Delta Airlines, the number three airline in the country.

We now have three -- four airlines -- four major airlines in bankruptcy protection, Wolf. And you know, it's a problem in the airline industry. We've discussed this before. There are a lot of airlines sort of duplicating each other, getting too big to be manageable. The competition is too fierce in the industry. The prices are too low.

And these airlines are not making good money. They haven't been making money for years. They have laid off thousands and thousands and thousands of people. And when it comes down it to, Wolf, airlines go into bankruptcy in this country, and it's not clear what that means to regular travelers, regular people. BLITZER: What happens, Ali? You call up, you want to use your frequent miles, and there's no one there answering the phone? Is that it?

VELSHI: Well, it's pretty good. They're there. And one never knows why things do or don't work. People we've spoken to who follow this very closely -- it's a big topic for Internet chat, because it's good currency if you know how to use your airline miles -- say don't worry just yet. With big airlines like Northwest and Delta, what you'll likely see is some route changes, staffing changes, more negotiations. But it might be a little bit of inside baseball. You'll see contracts being renegotiated that the airlines couldn't renegotiate before.

For the time being, you're probably not going to see substantial changes in the way miles are used, routes are planned. For the longer- term, Wolf, you are going to have to look out and see what happens. Don't worry about anything for the next few months.

BLITZER: And I've got a ton of miles on Delta, as you do too, as well.

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