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Lou Dobbs Tonight

Interview With Alabama Senator Jeff Sessions; Southern California Firefighters Launch New Offensive Against Massive Wildfires

Aired October 24, 2007 - 18:00   ET

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


LOU DOBBS, CNN ANCHOR: Tonight, firefighters, thousands of them, launching a new offensive, trying to contain at least part of those massive wildfires raging in Southern California. Officials say an arsonist may be responsible for at least one of the larger fires. We will have complete coverage from throughout Southern California.
Also tonight, the toy industry in this country refusing to give American consumers a choice this holiday season. Toy brands continuing to import huge quantities of potentially dangerous toys from communist China. We will have a special report for you.

And the pro-illegal alien open borders lobby suffering another major defeat on Capitol Hill today. Senators killing on new effort to introduce amnesty legislation. Pro-amnesty lawmakers, however, they're refusing to give up. A leading opponent of their amnesty lobby, Senator Jeff Sessions, will be among our guests here. Senator Sessions says congress still determined to stiff the will of the majority of American citizens.

All of that, all the day's news, much more coming right up.

ANNOUNCER: This is LOU DOBBS TONIGHT: news, debate, and opinion for Wednesday, October 24.

Live from New York, Lou Dobbs.

DOBBS: Good evening, everybody.

Firefighters tonight are hoping lower wind speeds will help them contain at least some of those huge wildfires raging across Southern California tonight. Wind speeds have eased significantly since earlier in the week when gale-force winds were fanning many of those fires. More than 900,000 people have now fled their homes.

At least one person has been killed by those fires; 70 people have been injured. Law enforcement agencies are trying to determine whether an arsonist set at least one of the largest fires.

We have live reports tonight from our correspondents all across Southern California, from the front lines of the battle against those fires to the evacuation centers looking after people who have been forced from their homes.

We begin our coverage tonight with Casey Wian, who is in Rancho Bernardo, near the Witch fire, the worst fire in the entire region -- Casey.

CASEY WIAN, CNN CORRESPONDENT: Lou, some good news to report tonight. Five of the fires that have been devastating Southern California since the weekend have been contained. At least a dozen others are still burning at this hour.

(BEGIN VIDEOTAPE)

WIAN (voice-over): On day four of the Southern California firestorm ashes and smoldering rubble are all that remain of 1,500 homes. In the last 24 hours, 20 different fires have destroyed an additional 85,000 acres totaling nearly 435,000 acres from the border of Mexico to the central California coast.

More than 8,000 firefighters have been working around the clock trying to stop the massive firestorm.

UNIDENTIFIED MALE: You need to get out now.

WIAN: Nearly a million residents have fled. Five elderly people in San Diego County died during the evacuation. One man in Los Angeles County perished trying to save his home. Dozens of others have been seriously injured. The financial cost already more than $1 billion in San Diego County alone, according to officials there.

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Most importantly, I want the people in Southern California to know that Americans all across this land care deeply about them. We're concerned about their safety. We're concerned about their property and we offer our prayers and hopes that all will turn out fine in the end. In the meantime, they can rest assured that the federal government will do everything we can to help put out these fires.

WIAN: Nineteen military aircraft joined the firefighting effort today. That after the state agreed to waive a requirement that each flame-retardant flight include a trained fire-spotter, this following requests from three Southern California U.S. congressmen.

NASA is also involved flying a remote surveillance plane over the massive burn zone to help firefighters identify hot spots. States neighboring California have pitched in as well.

GOV. ARNOLD SCHWARZENEGGER (R), CALIFORNIA: We want to thank Nevada, Arizona, Oregon, Colorado, Washington State, Wyoming, North Carolina, and New Mexico, all of them, and New York State also, for their great, great help and assistance.

WIAN: Officials say for the most part disaster relief efforts are well-coordinated.

DAVID PAULISON, DIRECTOR, FEDERAL EMERGENCY MANAGEMENT AGENCY: What we learned after Hurricane Katrina, that we have to work together. We have to be organized. The partnership that we have with the leadership from the governor, the state staff has been outstanding. Nobody does disasters better than California. The firefighters in California are the best wildland firefighters in the world. They are doing an outstanding job.

WIAN: The Red Cross has set up 24 shelters with 2,000 volunteers; meanwhile, some evacuees began returning to their homes. Many remaining in shelters vow to rebuild.

CHRISTIE WILLIAMS, EVACUEE: It's my home. My kids took their first steps there. They had their first laughs, their first smiles there. I can't just leave it. I just can't walk away.

WIAN: Firefighters received a welcome break from the weather; cooler temperatures and calmer winds prevailed over the burn zone.

(END VIDEOTAPE)

WIAN: Still, the 2,000 acre Witch fire, the fire that burned these homes behind me, or what were homes behind me, remains just 1 percent contained tonight -- Lou.

DOBBS: One percent. Casey, thank you very much -- Casey Wian reporting from Rancho Bernardo.

Governor Schwarzenegger tonight describing the scale of this disaster and the firefighting effort trying to contain these fires. The governor said almost 9,000 firefighters are now battling these wildfires. The fires have destroyed more than 1,600 buildings. Governor Schwarzenegger also saying another 25,000 buildings tonight are in danger.

As these wildfires approach, they have scorched more than 400,000 acres, 15 active fires still burning in Southern California tonight. Seven of those have been contained. The worst fires remain in San Diego County. Those fires are now threatening the power lines that take electricity into the city of San Diego and there is great concern throughout Southern California that the power grid as a whole will be jeopardized.

CNN has learned that federal and local law enforcement agencies have launched an arson investigation into at least one of the larger fires.

Our justice correspondent, Kelli Arena, has our report now from Washington, D.C. -- Kelli.

KELLI ARENA, CNN JUSTICE CORRESPONDENT: Lou, the Orange County sheriff's office says that there is an arson investigation under way involving the Santiago fire.

Officials say that they have identified more than one point of origin which is suspicious. Now, ATF officials say that they're sending national response teams to the scene. Those teams are made up of criminal investigators, scientists, engineers, all to assist local authorities. And, as you know, Lou, those investigators are among the best in the business.

Earlier, Lou, officials had said that there was a home searched in connection with this investigation, but they're now backing away from that and, instead, they're saying that evidence response teams are searching the area.

Now, this Santiago fire has burned more than 19,000 acres, Lou. It's destroyed at least 17 structures. If this was arson, it's not a good thing. That's for sure.

DOBBS: Kelli, thank you very much -- Kelli Arena, our justice correspondent.

We will be following that investigation into first whether or not this is arson and following up with the authorities as that proceeds.

Later here in the broadcast, we will be going live to that Santiago fire. It's in Orange County. We will have live reports from the fire that is at the center of this investigation that Kelli just reported on.

The fires have destroyed hundreds of homes, dozens of them in the Lake Arrowhead area east of Los Angeles. That mountain resort area lost hundreds of homes in another big wildfire only four years ago.

Ted Rowlands now reports from near Lake Arrowhead -- Ted.

TED ROWLANDS, CNN CORRESPONDENT: Well, Lou, you can look behind us and see the devastation, the heartbreak that awaits the people that are still evacuated. When they come back, they are going to see that they have lost pretty much everything.

Most of these homes in the area that we're at near Running Springs have been demolished, completely leveled. In all, about 500 homes in the Lake Arrowhead area have been completely destroyed. About 10,000 people still remain evacuated.

You see evidence of the fire still raging today. This is video that we took just about 90 minutes ago. Unfortunately, they were not able to fly the aircraft today for a long period of time because of the intense smoke. The visibility is bad and because this is a mountainous region, it just wasn't safe enough for them to fly.

They lost a huge opportunity because the winds are down now. Fortunately, we just heard choppers back up in the air and confirmed that they are flying again. You see the difference in the wind, Lou. See, this smoke is just going up. Yesterday if we were here, we wouldn't be able to be here because this would be just whipping with the wind activity.

A huge change. Unfortunately, they lost an opportunity throughout much of today. They're going to be at it for the rest of today and into tomorrow, hoping to get this thing under control and get these people back, at least to see what is left of their homes, and for those that have homes, get them back to their homes that they have been away from now for three days -- Lou.

DOBBS: Ted, as you have reported and as we can see in the smoke rising behind you, the winds have abated. Is there more good news on the forecast? Are those winds to remain somewhat calmer? ROWLANDS: Yes, which is great news. The Santa Anas, that event, if you will, has come to an end and meteorologists say that we should expect low winds.

The problem in Lake Arrowhead, though, is the smoke, and today there was no wind, but they couldn't fly. And this is mountainous terrain, like you said. It's just -- it's like you're cheering for the winds to go down, but then when the winds go down the smoke increases and they can't fly. It's really tough.

And this community more than any other in Southern California is dealing with the smoke issue. They're hoping to keep those birds up in the air as long as they can today and into tomorrow.

DOBBS: Ted, thank you very much -- Ted Rowlands reporting from the Lake Arrowhead region, where the fires continue.

We will have much more on these wildfires throughout the broadcast.

Also coming up next, the toy industry in this country is ignoring concerns about the safety of toys being imported from communist China, in particular.

Christine Romans will have that report -- Christine.

CHRISTINE ROMANS, CNN CORRESPONDENT: Lou, after months of product recalls, the fact is, Americans don't have much choice at all when they go to the toy store. And, importers, they have not canceled orders from China in the wake of those recalls. They are ordering even more -- Lou.

DOBBS: We're looking forward to the report. Thank you, Christine. That report coming right up.

Also, new evidence that the New York governor's proposal to give away driver's licenses to illegal aliens could lead to massive voter fraud. We will have that special report.

And another defeat for the illegal alien, open borders lobby on Capitol Hill. Incredibly, those pro-amnesty senators and the Democratic leadership still trying to subvert the will of the people. We will have the story and far more coverage of those wildfires raging in Southern California.

We're coming right back.

(COMMERCIAL BREAK)

BLITZER: We're going back to those fires in Southern California, but developments in the nation's capital as well, a defeat today for supporters of the so-called grand compromise on comprehensive immigration reform that died, many people thought, in Congress back in June.

Since then, though, Democratic lawmakers and the Democratic leadership have tried to push their amnesty agenda piece by piece, one bill at a time, through Congress.

Today, senators failed to push through their controversial DREAM Act legislation.

As Lisa Sylvester reports, that legislation would have effectively granted citizenship to more than one million illegal aliens and their families.

(BEGIN VIDEOTAPE)

LISA SYLVESTER, CNN CORRESPONDENT (voice-over): Lawmakers trying to resurrect immigration reform with the DREAM Act...

UNIDENTIFIED MALE: The motion is not agreed to.

SYLVESTER: ... were defeated. The Senate voted to kill the bill that would have given legal status to more than a million illegal aliens, many of them students. The debate came down along party lines. Republicans said there is little national appetite for any amnesty program, evidenced by the failure of comprehensive immigration reform this summer.

SEN. JEFF SESSIONS (R-AL), ARMED SERVICES COMMITTEE: Even after our national debate and vote a few weeks ago, the Congress still does not get it, that the Congress is still determined to stiff the will of a decent majority of American citizens.

SYLVESTER: Democrats tried to make an emotional appeal, how promising students brought to the United States illegally at a young age would be denied a chance at college and a better future.

SEN. RICHARD DURBIN (D), ILLINOIS: Give these kids a chance. Meet them. Take them the time to see these children. Many of us have. And what you will see in their eyes is the same kind of hope for this country we want for this country in our own children's eyes, to be doctors and nurses and teachers.

SYLVESTER: Republicans acknowledge that there are some heartbreaking stories out there. But they say rewarding illegal behavior with a path to citizenship will only encourage more illegality.

Senator Jim DeMint said the starting point for immigration reform is enforcement.

SEN. JIM DEMINT (R), SOUTH CAROLINA: We need to fix our borders. We need to create an immigration system that works. We don't need to create amnesty one step at a time.

SYLVESTER: Supporters of the DREAM Act acknowledged it was a long shot going in. The defeat of the legislation diminishes the odds that Democrats will try again before next year's election.

(END VIDEOTAPE)

SYLVESTER: Now, ironically, the White House came out against the DREAM Act today, saying it prefers the so-called comprehensive approach. The Office of Management and Budget went a little further, saying that the DREAM Act would lead to large-scale document fraud, contain loopholes that granted permanent status for criminal aliens, even those convicted of felonies, and would allow beneficiaries to petition almost instantly to bring family members into the country -- Lou.

DOBBS: This is remarkable, the White House waiting until the day of the vote to make those rather strong statements in opposition to the legislation.

SYLVESTER: This was, indeed. And they waited until the very last moment. And it was a point that Senator Jeff Sessions seized on, and he mentioned these points because Republicans had been saying this all along.

DOBBS: Absolutely, to a White House that has been absolutely deaf, not only to the Republicans in the Senate, but to the majority of Americans in this, that they're supposed to be representing, that is, American citizens.

Lisa Sylvester, thank you very much.

We will be talking with Senator Sessions, one of the leaders in opposing this latest push for amnesty. He will be joining us here later in the broadcast.

That DREAM Act may have been defeated, but certainly the backers of that so-called failed grand compromise on immigration are pushing yet another measure aimed at amnesty. Senator Dianne Feinstein is fighting for the ag jobs bill now. That bill would overhaul the agricultural guest worker program and provide legal status to illegal aliens who have been in this country for two years, the measure strongly backed by -- you guessed -- big agriculture.

Let's look now at some of your thoughts.

Elaine in Florida: "Lou, my husband bought me a new pen. It is red and, white and blue and says, 'God bless America.' And guess what? Yes, you guessed it. It also says, 'made in China.'"

Al in Pennsylvania: "Well, Lou, we finally did it. We registered independent. We need a third party. The Democrats and the Republicans are not helping this country or the middle class. Thanks for standing by us."

Thank you for registering as an independent.

David in New Hampshire: "Lou, why is it that I only hear about New Yorkers upset about the license giveaway? Doesn't this affect the entire country? Just because your license says New York, it doesn't mean you have to stay in New York."

You're absolutely right.

And we're going to have a lot more of your thoughts on illegal immigration and a great deal more later here in the broadcast.

And each of you whose e-mail is read here is receiving a copy, we decided, of our colleague Jack Cafferty's new book, "It's Getting Ugly Out There."

Up next tonight, street battles in Southern California, where thousands of firefighters are fighting an inferno and more than 900,000 Southern California residents have been forced to flee their homes. The latest reports from the fire front lines coming up here next.

And buyer beware. Are parents stuck with really two choices, to buy dangerous toys imported from communist China or not to buy at all? We will have that special report and a great deal more.

We're coming right back. Stay with us.

(COMMERCIAL BREAK)

DOBBS: We're going back to Southern California for more of our coverage on those wildfires raging there tonight, California facing a power crisis tonight in San Diego, as well. We will have the latest on the investigation into the cause of one of the largest blazes, and we will be going to that, as well, in just a moment.

But, first, millions of toys manufactured in communist China have been recalled this year because of high levels of lead or other safety concerns. Yet, the so-called U.S. toy industry, which is really a branding association, is proclaiming this holiday season to be the safest in years.

But, as Christine Romans now reports, American consumers of those toys have really only two choices this holiday season.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: It's from China. I mean, you don't have a choice. What do you do?

UNIDENTIFIED MALE: Everybody is just shopping from the same big store, which is not here in the U.S.

UNIDENTIFIED FEMALE: Why do we vote? That's why we have a government, right? To protect us.

ROMANS: Little choice after a spate of product recalls. Some frustrated consumers blame the government. Some blame toy brands. These consumer and safety activists underwritten by a union blame the big companies who have made a fortune cutting costs.

EMILY MCKHANN, THEMOTHERHOOD.COM: We're saying, KKR, who own Toys 'R' Us, tell your vendors that you have standards, and make sure that they adhere to your standards, and, if you don't, then don't sell their toys.

ROMANS: Toys 'R' Us says it has always required vendors conduct substantial testing and in addition will even conduct its own tests now -- quote -- "We will not tolerate products that do not meet our rigorous safety standards."

But the fact is, there aren't many choices. At least 80 percent of American toy brands are made in China. Even after millions of toys recalled, multinationals and American toy brands continue to make or buy their products in Chinese factories. This Christmas, almost all the top toys will be made in China.

In fact, the recalls have done nothing to dent China's export boom. China's trade statistics show China exported to the world $878 billion worth of goods in the first nine months of the year. That's up 27 percent from last year's already record exports.

Trade data show most U.S. companies that import from China are not canceling orders. Actually, they are buying even more.

(END VIDEOTAPE)

ROMANS: The fact is, China is the factory floor for America's toys. At today's event, frustration that big companies have been making money for years off of manufacturing toys in China and elsewhere in the world, and now that safety lapses have been found, consumers will likely pay the price in higher toy prices as early as next year.

DOBBS: Yes, if not this year. And, of course, the ultimate price that could be paid here is injury to a child because of the absolute refusal of this administration, this government, this federal government, to in any way put consumer protection out there as a priority.

ROMANS: You know, the Consumer Product Safety Commission says they do have the priority for safety...

DOBBS: Sure.

ROMANS: ... and that the recalls show that it is working.

But, at today's event, you had this X-ray spectrometer or whatever that was looking for lead in the toys. You have got sales of these home lead tests. Some groups are handing them out. Is that what it has come to? There's no choice and you have to test your own toys?

The toy industry would say, you can be sure that the toys on America's shelves are safe.

That's what they have said all along.

DOBBS: Oh, I would say this, then, to the leaders of those toy companies. And I would invite any one of the CEOs or your trade association to please come join me here.

How you could say that those -- make a guarantee of those toys being safe, after the -- after the recalls that have been taking place for toys that have been distributed over the course of the past more than a year, and as recently as two weeks ago, and suggest suddenly there's been a change in the attitude on the part of Chinese production and the toy, the brand -- the brands in this country that are distributing them to consumers. It's crazy.

ROMANS: More testing, but I think we're probably going to pay for it.

DOBBS: Yes, we are going to pay for it. And, as you said in your report, American consumers have two choices. They will either be buying Chinese-made toys or they won't be buying toys.

Thank you very much, Christine Romans.

Dangerous lead-tainted toys made in China, China's human rights abuses, the communist nation's pollution record, the fact that millions of American manufacturing jobs have been lost to China, all of that is spurring at least one central Florida town to take action on its own.

The mayor of Palm Bay, Florida, has proposed to ban the purchase of products with those three little words made in China. They have had there in Palm Bay what you might call a bellyful. The city council expected to take up the measure in the next few weeks. That ban applies only to city purchases and includes goods made in China such as desk chairs, lawn mowers, and tires -- no toys, I suspect.

Coming up here next, driver's licenses for illegal aliens, a fellow by the name of Governor Eliot Spitzer think that's just a boffo idea. Some states have learned the hard way from their mistakes. We will have that report.

And the pro-amnesty DREAM Act killed in the Senate. A leading critic and opponent, Senator Jeff Sessions, will be joining me here.

The devastating fires in Southern California continue to rage. They have burned almost a half-million acres, almost a million people evacuated from their homes. San Diego facing a power crisis as well, those fires threatening the county's last connection to the western power grid.

We will have all of that, and a great deal more, as we continue with our coverage here tonight.

We're coming right back. Stay with us.

(COMMERCIAL BREAK)

DOBBS: The Southern California firestorms have already created what is the biggest natural disaster in America since Hurricane Katrina. And it's certainly not over yet. President Bush will be in the disaster area tomorrow. The numbers tonight, however, are already staggering. Almost 1,600 buildings destroyed. Tens of thousands of buildings and homes threatened, of course. And almost one million people have been forced from their homes by those raging wildfires. Nearly half a million acres have burned -- nearly 700 square miles. Almost 9,000 firefighters are battling those blazes. But so far, only one death and 70 injuries -- 34 of those injuries to firefighters.

And the wildfires tonight are still spreading. The Witch Fire has joined with a smaller nearby fire. That Witch Fire, already huge, is now the biggest of the California wildfires.

Casey Wian has been on those front lines of the Witch Fire for some time now, days -- Casey, bring us up to date, if you would.

CASEY WIAN, CNN CORRESPONDENT: Well, just a little while ago, Lou, my, Johna Savis (ph) and I, took a little walk around this neighborhood in Rancho Bernardo, where the Witch Fires have hit, for a closer look at just how random is the destruction from these firestorms.

(BEGIN VIDEO TAPE)

TUCKER (voice-over): This is the typical scene you see throughout northern San Diego County these days -- what was once a beautiful hilltop home now literally scorched to the ground. You can see a water heater in the driveway, the burned out shell of a pickup truck here. You can also tell that the homeowners tried in vain to save this structure. You can see a garden hose leading from the property right there in the driveway. A garden hose, obviously, no match for the wall of flames that raced through much of San Diego County.

What's particularly interesting, though, is just up the street -- literally right next door to this house -- you see another home. And the only damage it sustained is what appears to be just some damage to the lawn -- damage to maybe some of the trees. But the main structure of the home appears to be completely intact. And then if you can just look across the street, you see beautiful homes virtually untouched by the fire. It's indiscriminant in nature.

A lot of homeowners in this area likely don't know the fate of their homes at this hour. Some of those homeowners are beginning it find out the fate of their homes as we speak.

Just a couple of minutes ago, we saw a police officer escorting a homeowner back to assess the damage at their property.

Some good news to report, Lou. Since the beginning of this broadcast, just a little over a half hour ago, the number of fires contained has now jumped up from five to seven. Still, more than a dozen fires, though, actively raging throughout Southern California, including the Witch Fire, which is still only 1 percent contained. A lot of work still to do. Firefighters are hoping and expecting a break from the weather. Higher humidity, lower winds and lower temperatures should allow them to get more containment of more of these fires tonight and tomorrow.

DOBBS: Well, that's very good news, indeed. Casey, give us another sense -- we know that the power grid in Southern California is being strained, and for a number of reasons. Almost a million people are -- have been forced from their homes tonight and we know that they're going to want to return.

And as we saw in your reporting, as you walked through that neighborhood, there seemed to be -- at least in that neighborhood -- more homes that were unscathed by the fire than destroyed by the fire.

But what is the situation there with power and with water and utilities?

Is it possible for families to return to communities such as the one you're in tonight or will they have to wait further until the infrastructure, the power and utilities are returned?

WIAN: It's different throughout Southern California. It appears to me that families in this community that we're in, in Rancho Bernardo, are not near being able to return. We're seeing police officers, as said, escort them in. We've seen utility crews working feverishly throughout the afternoon, dealing with downed power lines, trying to get power restored. But they're not close here to getting back to living anything near a normal life in these communities -- Lou.

DOBBS: Casey, thank you very much.

Casey Wian reporting for us from Rancho Bernardo.

We're going to have more on what is happening to the power grid and the power supply, of course, for millions of Southern Californians here later in the broadcast.

Firefighters tonight are increasingly optimistic that they can control the fires. And one reason, as Casey Wian has reported and Ted Rowlands, as well -- the change and the speed of the winds. Another, the increasing use of aircraft and helicopters that can be brought in now to fight those firefighters. Firefighters, volunteers, evacuees telling CNN their stories throughout the day.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: You open it up. Here we go.

CAPT. SCOTT MCLEAN, CALIFORNIA DEPARTMENT OF FORESTRY: That's the sound of joy right now, with the ability to get in where it's not smoky. Their drops are hitting their mark because the wind is not there.

MEGAN NORMAN, EVACUEE: I was just trying to keep him out of the smoke, so we came here and the air is a lot better.

ROBERT NORMAN, EVACUEE: What's going on here is amazing. And they have made it very comfortable. We pulled up into the parking lot and within five minutes somebody was coming up to us with a shopping cart and saying, do you need baby food, do you need diapers, do you need wipes, do you need anything, formula?

UNIDENTIFIED MALE: If you'd like to help volunteer, we still have thousands and thousands of people to feed.

SEN. BARBARA BOXER (D), CALIFORNIA: We've got kids in the shade doing arts and crafts. We've got seniors upstairs doing fine. I spoke to some of them. They have big smiles on their faces. It's cool up there, an air-conditioned situation. They've done an amazing job.

HARVEY DEVORE, RETIRED FIREFIGHTER AND EVACUEE: It's hard on the nerves. It's -- for me, I'm just very nervous. I want to -- I want to know what's happening, you know, and do I still have a home?

That's my main concern right now.

(END VIDEO CLIP)

DOBBS: Many of those evacuees, people forced from their homes, have sought shelter in the Qualcomm Stadium in San Diego. More than 7,000 people, we're told, are taking refuge there tonight.

Thelma Gutierrez has the very latest for us on those evacuees and the efforts to help them from Qualcomm Stadium -- Thelma.

THELMA GUTIERREZ, CNN CORRESPONDENT: Lou, I can tell you, what an amazing sight here. There are so many volunteers giving their time to help these evacuees. You take a look right behind me, you can see all the different tents. There are tents for interpreters. There are tents here for crisis counseling, various other things -- more than 2,000 volunteers who have given their time.

Now, there -- we just saw, a short time ago, people donating pellets of water, toilet paper, food, Marines delivering diapers, mothers delivering gallons of milk, kids with trays of brownies walking in, passing them out to the folks here. And some of these volunteers are actually evacuees themselves, like 14-year-old Kelsey Perry.

Kelsey is really remarkable because Kelsey just learned last night that she actually lost her home.

Kelsey, how is your family holding up and what were you told about your home?

You're from Ramona, right?

KELSEY PERRY, EVACUEE/VOLUNTEER: Well, our -- my dad and me, when he first told me, he was actually -- he started crying a little bit because, I mean, he built that house with his own hands. And I grew up in that house and everything. And my mom, she's kind of taking it a little bit harder. But we're just kind of looking as -- I mean it's just time to start over and...

GUTIERREZ: Now, you haven't been back to see your home yet.

PERRY: No. Our friend actually called us and told us that he had just gone up there and seen it and there was nothing left of it.

GUTIERREZ: What were you able to escape with?

PERRY: All that I was able to get was two pairs of clothes and like a couple of photo albums. And that's pretty much it.

GUTIERREZ: So you're having to start all over again.

PERRY: Um-hmm.

GUTIERREZ: Why did you decide to come and volunteer right at a time that you're going -- that your whole family is going through such a difficult time?

PERRY: Well, because I felt so helpless just sitting on the couch watching the news. I mean, I know how I felt and I wanted to help other people get through this.

GUTIERREZ: Kelsey, thank you so much.

And good luck to your family.

And, Lou, that's exactly what we've been talking about all day, is people who are going through a tough time who are also wanting to give back.

DOBBS: Well, Thelma, you make us proud by -- you found a young lady. If anybody has any questions about the strength and the character of young people in this country, young Kelsey is just remarkable.

Thank you for that outstanding report.

Thelma Gutierrez from Qualcomm, where people are being aided as they are fleeing their homes.

Allan Chernoff now is in Spring Valley, California.

He has breaking news for us on the San Diego power crisis. Allan joins us now -- Allan.

ALLAN CHERNOFF, CNN CORRESPONDENT: That's right, Lou.

We can report that San Diego County has narrowly averted a massive blackout. The utility here, San Diego Gas & Electric, tells us that within the past hour, they were able to bring the east-west transmission corridor back online. It had been off for a couple of days. They were able to bring it back online. And as soon as they did, the north-south corridor, the transmission corridor, went down.

So they say it was just a matter of moments before there would have been a major blackout here. The chief operating officer of the utility told me that we are counting our blessings. It remains a very fragile situation. The county has had to buy power from Mexico -- up to 10 percent of the county's needs -- during these fires. They have continued to purchase power from Mexico and they are warning -- the utilities is warning their customers to please conserve.

(BEGIN VIDEO CLIP)

JENNY REDMOND, SAN DIEGO GAS & ELECTRIC: Don't do that load of laundry. Don't watch TV, if you can resist. Please don't run your dishwasher. If you can live without your air conditioning on, we would greatly request that you do that. Because it is very important for us to conserve energy with these power lines being down and the transmission lines being damaged by the fire.

(END VIDEO CLIP)

CHERNOFF: Now, that situation with Mexico may sound exceptional, but the fact is, there has been a relationship since 1984. Sometimes we buy from them and sometimes they buy from us -- Lou.

DOBBS: Well, Allan, this is great news, indeed, for folks who have been hard-hit already by these fires -- the evacuees, the threats to life and to property. I mean I have to believe -- I don't know if you've had an opportunity to talk to many people -- but what we are reporting tonight from Southern California, with the devastation from these fires, half a million acres almost -- approaching half a million acres destroyed by these fires. Nearly a million people evacuated from their homes. The response of the local and state and federal government here -- and the communities -- has just been remarkable. It seems to be a very positive story in the face of so much challenge and devastation.

CHERNOFF: Absolutely, Lou. The volunteers that Thelma was just telling us about -- and I can report to you about the utility crews. They had to clean off 70 major tours that were covered with and still ahead, covered with fire retardants. They were able to do that very rapidly. And that's why that corridor went back online only within the past hour.

DOBBS: Allan, thank you very much.

Allan Chernoff reporting.

And that takes us to the subject of the polls. We've been watching the coverage of this disaster throughout the day.

Our question tonight is very simple -- are you surprised that the national media is not being far more positive in its coverage of the efforts of local, state and federal government and their responses, and community responses, to the Southern California fire disaster?

We'd like to know what you think -- yes or no?

Cast your vote at loudobbs.com.

We'll have the results coming up here later in the broadcast.

Up next, arsonists may be responsible for at least one of those massive fires threatening thousands of homes in Southern California. We'll have a live report for you. And New York's governor, perhaps, should learn a lesson from the chaos and fraud that's occurred in other states when they gave away driver's licenses to illegal aliens -- if we could suggest such a thing for this governor, who doesn't seem hell bent on learning much.

We'll have that full report and continue our coverage of the fires sweeping Southern California.

We're coming right back.

(COMMERCIAL BREAK)

DOBBS: Late word tonight that one of the biggest fires in Southern California, that is right now threatening to destroy thousands of homes, may have been set by arsonists. Officials say that the Orange County Sheriff's Department and Fire Authority and the FBI are now conducting an arson investigation into the Santiago Fire. That fire scorching more than 19,000 acres. It started in three places -- three separate places. And a sheriff's spokesman says all three places have been declared crime scenes tonight. Law enforcement says that at this point, they have no suspects.

Keith Oppenheim is in Santiago Canyon.

He has the very latest for us on the fire and the nascent investigation -- Keith.

KEITH OPPENHEIM, CNN CORRESPONDENT: Hi, Lou.

This is a very active fire scene.

And we're going to zoom in so you can really see what's going on behind me.

We're in a rural part of unincorporated Orange County. There are about 100 firefighters, some trying to save big houses like the one you can see in the background; others trying to save smaller homes. There are about 25 homes dotted around these hills.

And, in fact, in the foreground, you might be able to see there is an out building that's burning right now.

Some of the folks around here are extremely thankful for what the firefighters are doing. And I talked to one guy just a little while ago and he expressed his thanks for the firefighters.

(BEGIN VIDEO CLIP)

MIKE WHEEL, FIRE EVACUEE: I was just actually back to my house. I lost my garage, which was on the upper side of the property. And I lost a deck, which was on the other side of the house so.

OPPENHEIM: The main part of the house is OK?

WHEEL: It is OK. And, you know, I just -- hats off to the crew.

(CRYING)

OPPENHEIM: You're emotional just because they saved -- they saved the house.

WHEEL: These guys, they don't even get paid.

UNIDENTIFIED MALE: They're volunteers (INAUDIBLE).

WHEEL: They don't even get paid. And with the Majestic Canyon Fire Department, they don't get paid for what they do. And they saved my house.

(END VIDEO CLIP)

OPPENHEIM: People are extremely appreciative of what these firefighters are doing.

Now, you mentioned, Lou, that this is an arson investigation. Local authorities are now telling us that they are getting help from ATF, from the federal government -- Alcohol, Tobacco and Firearms Department. And they are also saying that there was an erroneous report earlier that there had been a house searched today in connection with the arson investigation. At this point, they say it's not true. But if it is an arson -- if it turns out this was caused by an arsonist -- and this fire would be a combination of, perhaps, human mischief and Mother Nature fanning the flames.

Lou -- back to you.

DOBBS: OK, thank you very much.

Keith Oppenheim reporting from Santiago Canyon, where his -- we have been reporting there is now an active investigation into whether or not that fire in Santiago that has covered some 19,000 -- scorched some 19,000 acres -- apparently was started in three separate places. So authorities are now investigating.

Up next here, everyone wants a driver's license for identification. Some states giving legal licenses to illegal aliens. And the good governor of New York thinks that's a brilliant idea for his state.

And another effort at amnesty -- the Democratic leadership of the U.S. Senate thought that was a brilliant idea. I'll be talking with a very special guest, who has amply demonstrated to his colleagues that they were neither brilliant nor prepared.

Stay with us.

We'll be back with Senator Jeff Sessions.

(COMMERCIAL BREAK)

DOBBS: Governor Eliot Spitzer is six weeks away from giving away driver's licenses and non-driver identification cards to illegal aliens in New York. North Carolina and Tennessee once had similar policies. They don't anymore.

As Bill Tucker reports, they experienced massive fraud -- a wave of illegal aliens trying to obtain legal identification.

(BEGIN VIDEO TAPE)

BILL TUCKER, CNN CORRESPONDENT (voice-over): The drive to give illegal aliens driver's licenses in Tennessee ended after two federal busts and one joint federal/state investigation uncovered two criminal rings and a bribery scheme. They all had one purpose -- obtaining licenses for illegal aliens from out of state.

BILL KETRON (R), TENNESSEE STATE SENATE: It just got so overwhelming and there were so many illegals being drawn here. I mean the word got out. So they were -- we were just being flooded. And we started hearing complaints at the department of DMV testing stations, where it was taking two or three hours for people just to get a license renewed.

TUCKER: The program was ended last year. North Carolina discontinued a similar program after officials say its motor vehicle offices were overwhelmed by illegal aliens. Law enforcement was glad to see the program end.

SHERIFF JIM PENDERGRAPH, MECKLENBURG COUNTY, NORTH CAROLINA: It caused a lot of problems with identification. And we found that a lot of driver's licenses in this state that were issued to people with fictitious names and fraudulent Social Security cards.

TUCKER: The trend nationally is to require proof of legal residence before a driver's license is granted. Only seven states grant licenses or I.D.s to illegal aliens. New York would become the eighth. Utah is the only one of those states with a two-tier license -- one for citizens, illegal residents and the other for illegal aliens.

In New York, there will be no such distinction.

NEIL BERRO, COALITION FOR SECURE DRIVER'S LICENSES: Let's get it clear. The licenses that are indistinguishable from lawfully present individuals in a state is a major, major concern. That simply provides a form of identification that is exactly what folks are looking for who want to obtain such documents.

TUCKER: An illegal alien becomes indistinguishable from citizens in legal residence, which is why Frank Merola, a county clerk in New York State, is filing suit at his personal expense against the governor, Eliot Spitzer, to stop him from proceeding with a plan that he says would force him to violate state and federal law.

FRANK MEROLA, RENSSELAER COUNTY CLERK, NEW YORK: It's the action of the county clerks to disobey the law (ph). And the law is pretty simple. Section 502 states you are required to have a Social Security number -- cut and dry. There's no way around it. And in addition to that, there's federal law. In federal law, you can't knowingly help someone that you know is in this country illegally. TUCKER: Merola believes other county clerks will sue the governor, as well.

(END VIDEO TAPE)

TUCKER: Now, Merola and 19 other county clerks in New York State face being sued themselves by the governor, who wants to force them to issue driver's licenses to illegal aliens, which, Lou, is something they have so far refused to do.

DOBBS: Now, I -- this governor -- I've tried not to call names here, but this governor is irresponsible. Frank Merola and the county clerks overwhelmingly voting against this. They've made it clear. The people of New York have made it clear. This governor is acting -- it's clear abuse. It's clear -- of his power. It's clear arrogance. And the man has no principal. He has declared himself to be what people hoped he would not be -- and that is an arrogant tool of special interests. We have just about had enough of that in this country.

Thank you, Eliot Spitzer, for providing another example -- a disgusting one.

Thank you very much.

Appreciate it.

Bill Tucker.

Let's turn now to The DREAM Act. It went down in flames today. Designed to give children of illegal aliens a path toward citizenship, The DREAM Act really was a lot more than that. It failed in a key vote in the Senate today.

Senator Jeff Sessions, Republican of Alabama, one of those leading the opposition to the measure, joining us now.

Senator Sessions, it was unclear where this was going to go, the vote.

What was the turning point, in your judgment?

SEN. JEFF SESSIONS (R), ALABAMA: You know, I'm not sure what was the pivotal event. We had a number of Democrats that broke with Harry Reid. We had the White House issuing a statement highly critical of the bill. And, basically, I think as people thought about it, the only thing they could conclude was, at a time when we're desperately trying to convince the world that we have a lawful system of immigration, we shouldn't be giving amnesty to people who just came into the country as little as five years ago, putting them on a guaranteed path of citizenship.

So I think those may have been the factors that came together.

Also, I think people were hearing from their constituents, and they didn't like it. DOBBS: Well, they don't seem to like it there on Capitol Hill when the American people seek representation from their elected officials. And I'm talking about both parties, Senator Sessions.

What in the world is wrong with our elected officials that they think they shouldn't be bothered with representation of the will of the majority in this country?

SESSIONS: They think they know better. They think they know better. They think they care more. But look, Lou, what we should be caring about, and what we should deeply care about, is the rule of law -- a systematic immigration system that allows people to come here lawfully, but does not allow hundreds of thousands -- millions -- to come illegally on a regular basis. It just...

DOBBS: Do you think they've got...

SESSIONS: It is not good for America.

DOBBS: I'm sorry, Senator.

Do you think your colleagues, and principally the Democratic leadership, which seems absolutely incapable of receiving -- they seem to be transmitting all the time. But do you think they're getting that either perhaps there should be some sincerity on their part in securing the borders, securing the ports before starting off on this nonsense again?

SESSIONS: Maybe. We've got some other amendments coming up this fall. I think the ag jobs could be a three million person amnesty.

DOBBS: Right.

SESSIONS: This one is a one million person amnesty. So it'll probably come back up again. So we've got to be alert. But I do think that we're not where we need to be on enforcement yet.

DOBBS: Senator, we thank you very much for being with us.

SESSIONS: Thank you.

DOBBS: Senator Jeff Sessions, leading the forces that prevailed in that vote for reason and the majority will today on Capitol Hill.

Coming up next, the results of our poll.

Stay with us.

We're coming right back.

(COMMERCIAL BREAK)

DOBBS: Our poll -- 77 percent of you say you're not surprised the national media hasn't been far more positive in its coverage of local, state and federal responds to the Southern California fire disaster.

Thanks for being with us.

"THE SITUATION ROOM" begins now with Wolf Blitzer -- Wolf.

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