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Harriet Miers Nominated to Supreme Court; Port Arthur In Recovery Process; First Mass Since Hurricane Katrina; Minding Your Business

Aired October 03, 2005 - 07:30   ET

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


SOLEDAD O'BRIEN, CNN ANCHOR: Picture right there.
Good morning. Welcome back, everybody. Just about half past the hour on this AMERICAN MORNING. Miles has the day off.

But coming up, we're going to have much more on the president's decision to nominate White House Counsel Harriet Miers to replace retiring Justice Sandra Day O'Connor.

First, though, let's say hi once again to Rob Marciano. He's in Port Arthur, Texas, this morning.

Hey, Rob. Good morning.

ROB MARCIANO, CNN CORRESPONDENT: Good morning again, Soledad.

Port Arthur, Texas, an area that got hit by Hurricane Rita 11 days ago. We're on the first day of a three-day tour of the states that were hit by not only Rita, but Katrina. First Texas, then Louisiana and then Mississippi. Today we're in Port Arthur, Texas, still in the dark. Power not here but they're starting put the pieces back together. In just a few minutes we'll talk with the mayor.

Soledad, back to you.

SOLEDAD O'BRIEN: All right. A long way to go for those folks there.

Rob, thanks.

Well, President Bush is set to name his nominee to replace Supreme Court Justice Sandra Day O'Connor in just about half hand hour. CNN has learned that his choice is White House Counsel Harriet Miers. Dana Bash is live for us at the White House this morning. And senior legal analyst, Jeffrey Toobin, is also in Washington D.C.

Dana, let's begin with you. What are you hearing from the White House about the selection?

DANA BASH, CNN CORRESPONDENT: Hi, Soledad.

Well, first of all, a senior official says that it was last night that the president made his decision, his final decision to choose Harriet Miers, his chief counsel, to go to the Supreme Court. And already this morning, even at just about a half an hour before we get the formal announcement, the White House is putting out some information. A lot of information. These are talking points. I know you can't read them from here but I'll just give you some of the interesting highlights.

First of all, this is something I assume we are going to hear all day today, perhaps even from the president. Female trailblazer. That is something that is in bold on these talking points. The White House is saying that Harriet Miers is somebody, they are reminding us, who was the first woman to become president of the Dallas Bar Association. She is a Texas native. The first woman elected to the State Bar of Texas. And, of course, she is going to be a female replacing a female, Sandra Day O'Connor, on the Supreme Court if she is confirmed.

Another interesting thing on these talking points. We know that Harriet Miers has no prior judicial experience at all. She has been a private lawyer and worked in politics. They defend that. They are already saying here at the White House in these talking points, 10 out of 34 justices appointed since 1933, including the late Chief Justice William Rehnquist, was from not the bench but from within an administration.

So those are things that the White House understands that they're going to have to not only promote, but also explain when this nomination goes to Capitol Hill, explain to both Democrats and perhaps some Republicans, some conservatives, who might be a little bit nervous about whether or not she will fulfill what they hope she could do on the Supreme Court.

Soledad.

SOLEDAD O'BRIEN: I'm sure we'll hear very soon about what issues people have with Harriet Miers.

All right, Dana, thanks very much.

Let's get right to our legal analyst, Jeff Toobin.

Hey, Jeff. Good morning again.

JEFF TOOBIN, CNN CORRESPONDENT: Hi, Soledad.

SOLEDAD O'BRIEN: Outside of female trailblazer, outside of the fact that she hasn't been on the bench before, what do we know about Harriet Miers?

TOOBIN: Well, we know that she was President Bush's personal attorney when he lived in Texas. We know that she is very quiet. We know that she's never been married. We know she has a very blank slate as far as a record. And, frankly, Soledad, by the standards that we usually apply to Supreme Court justice nominees, she does not appear very distinguished.

Yes, it's true, that there are many people who have been appointed to the court who don't have judicial experience. They tend to be senators, governors, people who have had jobs that required confirmation by the Senate. You know, Harriet Miers has had none of those. That doesn't mean she isn't qualified. That doesn't mean she won't be confirmed. But certainly she doesn't look like an obvious choice or an easy confirmation by any means.

SOLEDAD O'BRIEN: The president had been hinting that he was expanding his search. I think he talked about people from all different walks of life, sort of hinting that he was expanding his search outside of maybe the list that we all had of potential nominees. Why do you think he would pick somebody not on the bench? Is it because they don't have a big history that in a kind of Senate confirmation hearing could be a problem?

TOOBIN: Well, and I think one of the things we've learned about President Bush over these past five years is, that he goes with his gut. I mean he really has instinctual reactions to people. And Harriet Miers is someone he knows and trusts for a long time.

The list of you know, the thing is, you know, in America, in 2005, there are a lot of prominent women. It's not like, you know, in 1981 when President Reagan want, you know, very publicly committed to nominating a woman, you know, he went to a very obscure judge. Sandra Day O'Connor wasn't even on the highest court in Arizona.

Now there are dozens of women judges on federal courts of appeals, on state supreme courts. There is a wide variety of conservative women out there he could have picked. I think this is really a gut pick for President Bush. And, you know, it will be interesting to see how the conservatives react to this choice because, you know, there is no public record supporting conservative causes either. So I'm very curious to see how partisans on both side react to her.

SOLEDAD O'BRIEN: Is she well-respected?

TOOBIN: You know, Soledad, she's really obscure. I mean, this is not a woman who has a big public profile. Certainly there's nothing negative out there in the press about her.

I was just reading "The Washington Post"" profile of her that was when she was named White House counsel last year. And, you know, it was sort of it was about how she wouldn't really answer any questions and how she doesn't really have any public record to speak of. And that hasn't really changed since she became White House counsel. That's a job that requires giving private, legal advice to the president. It is not a job where you're in public. So she does not have a record that, you know, people could make conclusions about one way or the other as far as I'm aware.

SOLEDAD O'BRIEN: I'm sure we'll learn more about her as the days go on.

TOOBIN: Absolutely.

SOLEDAD O'BRIEN: Jeff Toobin for us this morning.

The president's announcement, of course, right at the top of the hour. Thanks, Jeff.

TOOBIN: OK, Soledad.

SOLEDAD O'BRIEN: All of this, of course, is taking place on the first day of the court's term. The new chief justice, John Roberts, left his home just a short while ago. This morning at the court, there will be a ceremonial swearing in before court begins its business today.

There are other stories making news outside of the Supreme Court. Let's get a look at some of the other headlines with Carol Costello.

Good morning.

CAROL COSTELLO, CNN CORRESPONDENT: Good morning.

Good morning to all of you.

"Now in the News."

The 2005 Nobel Prize in medicine has been awarded to two Australians. The award announced earlier today in Sweden going to Barry Marshall and Robin Warren. They're being recognized for their work in how bacteria plays a role in ulcers. The announcement opens this year's series of prices. Next on the list, physics, chemistry, then literature, the peace prize in economics.

In Southern California, firefighters now have the upper hand on a massive wildfire that destroyed more than 24,000 acres. They've contained more than 85 percent of the blaze. The fire destroyed at least six buildings, though. Some 1,200 people were forced from their homes this weekend, but all evacuation orders for the area have now been lifted, although some roads do remain closed.

U.S. scientists and businessman Gregory Olsen has made it to the International Space Station. Olsen and a two-man Russian-American crew opened the hatch to the station earlier this morning. Olsen will spend eight days aboard the station. He is only the third ever space tourist.

And a rare celestial combo that hasn't been seen in almost 250 years. Thousands in Spain and Portugal gather to watch the annular eclipse. That's when the moon passes over the sun blocking it until there's only a shimmering rim. You see it there. The eclipse appeared in northern Spain earlier today and will head southeast over Kenya. But, of course, Chad, we missed it because the sun wasn't up.

CHAD MYERS: Yes, it was dark. Go figure.

(WEATHER REPORT)

MYERS: It is going to be a hot day in Memphis, Nashville, all the way down through Houston and Port Arthur as well. And that's where our Rob Marciano is.

Rob.

MARCIANO: Hi, Chad.

I tell you what, the folks down across the Gulf Coast are all smiles this morning when you talk about Tropical Storm Stan there in the southern Gulf of Mexico. But at least right now, not posing a threat to the U.S. After a month of killer hurricanes, they could use a break.

It was just 11 days ago when category three Hurricane Rita was ripping right through this town.

(BEGIN VIDEOTAPE)

MARCIANO, (voice over): For the first time, many residents of Port Arthur, Texas, returned to see what was left of their homes this weekend. The town was badly damaged when Hurricane Rita drove ashore.

OSCAR ORTIZ, MAYOR OF PORT ARTHUR: We have no power in the city of Port Arthur. We have no water. We have no gas.

MARCIANO: That assessment from Port Arthur's mayor, just days after the storm hit. And for much of the city, homes are still unlivable.

GEORGE GIBBS, HURRICANE VICTIM: Trees down. Lost the roof. House shifted so now you can't open or close the doors. Basically just destruction, just like in New Orleans.

MARCIANO: Nearly three-quarters of the homes in Port Arthur have suffered some kind of damage. That includes the mayor's residence, which was actually spared by Hurricane Rita, but destroyed in a fire. With its 120 mile an hour winds and 10-foot storm surge, Rita struck right at the heart of the local economy. It devastated the shrimping industry and damaged oil refineries.

UNIDENTIFIED MALE: We have been through the hurricane, through evacuation, through everything. We need help. Everybody need help.

MARCIANO: Port Arthur is still without power. City officials, meanwhile, claim FEMA dropped the ball with its lackluster response to the emergency here in Port Arthur and throughout Jefferson County, Texas.

(END VIDEOTAPE)

MARCIANO: People starting to flow back in very slowly. One man who hasn't slept much the past 11 days, that's for sure, is the mayor. Mayor Oscar Ortiz joins me now this morning.

Good morning, mayor.

MAYOR OSCAR ORTIZ, PORT ARTHUR, TEXAS: Good morning.

MARCIANO: How far has your town come? And where do we stand right now? ORTIZ: Well, we've come to the point where we do have water, drinkable water. We do have our sewer lines up to about 80 percent capacity and we do have gas. So we're thankful for those three items. But no electricity. And I don't foresee any in the city of Port Arthur maybe for another three to four weeks.

MARCIANO: For that reason, I know you're allowing some residents to come back in. Are you encouraging them to or would you rather them have some patience and wait a little bit longer?

ORTIZ: Well, not really encourage them. Just say, if you want to come in here and pick up any valuables that you have or if you have some medicine, come in, pick it up and then get back out as quick as you can. My only fear is that when you have people coming in here and you've got construction workers working and some people might have a tendency to want to pick up a chain saw and go to work, clean these things up that the professionals should really be doing, we're going to end up having a lot of accidents. And our hospital right now can't handle that. It's just the emergency room that's open on a very limited basis right now.

MARCIANO: A lot of people don't realize just what an operation it is to put a town back together. Give folks a sense as to the number of people you've got, you know, how you house them and how you feed them just to get them to put the pieces back together.

ORTIZ: Well, so far we've been very fortunate in the fact that we've had a lot of faith-based organizations bring us food. And that's what's been supplying the food here. The different restaurants who found that their freezers were starting to cool down and so they've been giving us the food at the Holiday Inn to feed all these police officers.

I've got almost probably about 800 people that I've got to feed every day at the Holiday Inn Park Central. That's a lot of people to feed. And, you know, if it wasn't for these faith-based organizations that are bringing their food in here, the restaurants that are bringing their food out of their freezers and all of that, I don't know how we'd feed these guys. It would be impossible.

MARCIANO: You mentioned about FEMA, "dropping the ball." Are you disappointed in them, obviously?

ORTIZ: I'm very disappointed in FEMA. As I told the president and I told the governor, that, you know, FEMA, if they would have just had their locations set before the storm because they knew the storm was coming. I mean, that was not rocket science there. The storm was coming. And then they could of then moved in those units into the city the day after.

Instead, all I got the day after the storm was two tankers full of fuel which lasted me six hours and then I didn't get anything for the next few days. I didn't even have the MREs in here. And now they're telling me the MREs are just about gone because they just don't have any more. So my concern now is for the people that are coming in. That's why I'm telling you, you might as well go back out because I don't know if I'm going to be able to feed you.

MARCIANO: What about yourself? Your house survived the storm but then it burned down afterwards. Do you know why?

ORTIZ: Well, yes. I had my niece's car in there. She had left her car in there to go with my wife to Nacadocois (ph), to one of the shelters up there. And the fire marshal was telling me that some of the wires in the dash shorted out and it just started a slow burn and it got the top second floor of my house and it burnt down through the first floor. And now the house is gone.

MARCIANO: That's tough news to hear. Mr. Mayor, we appreciate you getting up with us this morning. And best luck in rebuilding your city.

ORTIZ: Thank you very much. Appreciate you.

MARCIANO: Soledad, even the mayor affected. His house made it through the storm and then it burns down just a day after. The power's still out here. They hope to get at least some of the city back online power wise here either today or tomorrow. And that, at least, would be a welcome sight.

Back to you.

SOLEDAD O'BRIEN: What a heartbreak for really everybody across the board.

Rob, thanks.

Still to come this morning, an important step on New Orleans' road to recovery. We're going to take a look at how a historic church is trying to help victims of Hurricane Katrina. Stay with us. You're watching AMERICAN MORNING.

(COMMERCIAL BREAK)

SOLEDAD O'BRIEN: It was an emotional day on Sunday in New Orleans. Residents of the city and many relief workers who are temporarily living there attended the first mass at the St. Louis Cathedral since Hurricane Katrina hit. Dan Lothian has our report this morning.

(BEGIN VIDEOTAPE)

DAN LOTHIAN, CNN CORRESPONDENT, (voice over): In a city still trying to get back on its feet, even the faithful are struggling to stay standing.

UNIDENTIFIED MALE: Not a good idea.

UNIDENTIFIED FEMALE: It's hard.

LOTHIAN: This man and his wife were overcome with emotion as they entered St. Louis Cathedral for the first Sunday mass at the historic church since Katrina hit. ARCHBISHOP ALFRED HUGHES, ARCHDIOCESE OF NEW ORLEANS: As a people, we have experienced loss of life, loss of homes, loss of possessions, loss of jobs, loss of a whole way of life. And some still suffer from shock, devastation, fear, depression, anger. But that is not the last word.

LOTHIAN: Bringing comfort during a crisis, Archbishop Alfred Hughes vowed that the city and church would not be defeated. Faith, he said, would lead the way.

HUGHES: Faith and church, presence and church life are an integral part of the restoration of this community.

LOTHIAN: But that will take a long time. The couple that had been to distraught to talk to us later explained that they had just visited their nearby home for the first time and everything was destroyed. Parishioner Rosalie Dileo who has found strength in prayer has her own description in recovery.

ROSALIE DILEO, PARISHIONER: It's love each other and take care of each other. Be tolerant. Be considerate. You know, that's what I live by. And that's the thing that's going to carry us through.

LOTHIAN: Behind the cathedral, this large statue of Jesus withstood the storm. Only some fingers were lost. They were later recovered, but . . .

HUGHES: I don't want to reattach those fingers right away.

LOTHIAN: Not until, he says, the church has used its hands to help the city get back on its feet.

Dan Lothian, CNN, New Orleans.

(END VIDEOTAPE)

SOLEDAD O'BRIEN: More than a thousand parishioners and soldiers and emergency workers attended Sunday's mass at the cathedral.

Still to come this morning, the investigation into possible insider trading by Senator Bill Frist. A new report might hold the key to his defense. Andy is "Minding Your Business." That's coming up next on AMERICAN MORNING.

(COMMERCIAL BREAK)

SOLEDAD O'BRIEN: Wait for the president officially announcing that White House Counsel Harriet Miers will be his pick for the Supreme Court, replacing the spot vacated by Justice Sandra Day O'Connor. We're going to bring that to you live when it happens.

Business news now through, first. Timing might be the key to Senate Majority Leader Bill Frist's defense against insider trading allegations. Andy's "Minding Your Business" this morning.

Very serious allegations. What's the defense here? ANDY SERWER, CNN CORRESPONDENT: Well, published reports this morning, Soledad, indicate that Bill Frist tried to dispose of stock in HCA, the giant hospital company that his family founded, weeks and weeks before the company announced there were problems. And this would go a long way perhaps to getting him off the hook.

In an e-mail to his accountant on April 29th, Frist said he wanted to, "dispose of all hospital stocks." The stock was sold in early July. Weeks later, the company announced problems. So you can see here, Soledad, that if he had tried to sell the stock months before, then the problems wouldn't be connected to that sale, therefore, he wouldn't be guilty of any sort of insider trading.

SOLEDAD O'BRIEN: Could put him right in the clear?

SERWER: That's right.

Let's talk about the stock market a little bit because, guess what, the year's three-quarters over. So we can review how the markets have done up to that point.

SOLEDAD O'BRIEN: And?

SERWER: First of all, last week, we had a good one here. And then the third quarter we will move onto. And we're up 2.9 percent on the Dow. There we are for the third quarter. Looking pretty good. A lot of energy stocks having to do with that performance. Obviously, they've done very well.

Year-to-date, however, the Dow still down 2 percent. The Nasdaq down 1 percent. The S&P up a little bit. So we still have some ground to make up in the fourth quarter.

SOLEDAD O'BRIEN: But a lot of green arrows at this point.

SERWER: Indeed.

SOLEDAD O'BRIEN: All right, Andy, thanks very much.

Still to come, and in just a moment, we've got that breaking news out of Washington, D.C. President Bush just minutes away from naming his pick to replace Justice Sandra Day O'Connor. We're going to bring that announcement to you live when it happens. Stay with us. You're watching AMERICAN MORNING.

(COMMERCIAL BREAK)

SOLEDAD O'BRIEN: Breaking news this hour from Washington, D.C. President Bush just moments away from introducing White House Counsel Harriet Miers as his nominee to be the next Supreme Court justice. We're going to bring that to you live.

Harriet Miers could be a controversial choice. She served as the president's personal lawyer. Never served, though, as a judge. Complete analysis of her selection and the chances of a smooth confirmation just ahead. And the president's choice coming on a historic morning for the Supreme Court. The first day on the job for the new chief justice. We'll take a look at the beginning of John Roberts' era on this AMERICAN MORNING.

ANNOUNCER: This is CNN Breaking News.

SOLEDAD O'BRIEN: Good morning. Welcome back, everybody.

Lots to talk about this hour as we wait to hear from the president. Within just a minute or so he's going to introduce his nominee to be the next Supreme Court justice. Mr. Bush has selected White House Council Harriet Miers, an attorney with long ties to the president, who's represented him as his personal attorney back when he was the governor of Texas.

You can see right there, a live shot. As soon as the president comes there, we're going to bring that to you live with his remarks.

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