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Issue Number One
Huge Night for Senator Barack Obama; Major Housing bill Goes to House Floor; Economy Down, Crime Up
Aired May 07, 2008 - 12:01 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
GERRI WILLIS, CO-HOST: A huge night for Senator Barack Obama, but Senator Hillary Clinton vows to fight on and is starting the fight for West Virginia with issue #1, the economy.
A major housing bill goes to the House floor. What it could mean for you.
And why when the economy goes down, crime goes up.
ISSUE #1 starts right now.
Welcome to ISSUE #1 I'm Gerri Willis. Ali Velshi will be here in just a moment.
We begin though with the aftermath of the battle for North Carolina and Indiana. It was a very big night for Senator Barack Obama, but don't tell that to his opponent, Senator Hillary Clinton.
CNN's Jessica Yellin, part of the best political team in television, is live right now in stormy Indianapolis.
Hi there, Jessica.
JESSICA YELLIN, CNN CONGRESSIONAL CORRESPONDENT: Hi, Gerri.
We are experiencing a thunderstorm here. But Senator Clinton had a storm of her own last night. She was thrilled with the results, her campaign is saying. They say they are not even considering getting out of the race.
In fact, they say that over the last month, they revealed that she has loaned her own campaign almost $6.5 million. And it's a sign they say of her own commitment to staying in this race. Last night, despite Barack Obama's landslide win in North Carolina and her narrow win here, she conceded nothing.
(BEGIN VIDEO CLIP)
SEN. HILLARY RODHAM CLINTON (D-NY), PRESIDENTIAL CANDIDATE: I want to commend Senator Obama and his supporters on their win in North Carolina.
You know, we are in many ways on the same journey. It's a journey begun long before we were born. It is a journey by men and women who have been on a mission to perfect our union, who marched and protested, who risked everything they had to build an America that embraces us all. And tonight, once again, I need your help to continue our journey.
(END VIDEO CLIP)
YELLIN: Her campaign says she wants to let the process play out.
Now, Gerri, you heard in Senator Clinton's remarks just there a very populist tone, a determination to fight for the little guy. These are the messages she has been hitting on since her wins in Ohio and Pennsylvania, and it's a theme Barack Obama has picked up on very successfully.
If you want to understand one of the reasons he did as well as did he in Indiana and North Carolina, it's because he has adopted that populist message.
Let's listen to some of it last night.
(BEGIN VIDEO CLIP)
SEN. BARACK OBAMA (D-IL), PRESIDENTIAL CANDIDATE: The people that I've met in small towns and big cities across this country understand that government can't solve all our problems, and we don't expect it to. We believe in hard work, we believe in personal responsibility and self-reliance. But we also believe that we have a larger responsibility to one another as Americans. That America is a place -- that America is the place where you can make it if you try.
(END VIDEO CLIP)
YELLIN: And Barack Obama also there hitting some themes you would expect him to enunciate as a general election nominee if he were to become the Democratic nominee.
Now, from here, both candidates are going to sit down with superdelegates, Senator Clinton today, Barack Obama tomorrow, to try to convince more of these people to come over to their team. And then Senator Clinton heads out to West Virginia later today. They will be holding a primary next Tuesday -- Gerri.
WILLIS: Well, Jessica, thank you for that. I would love to talk to you even more, but we should probably let you get in from the storm. Thanks for the help today.
ALI VELSHI, CO-HOST: She is a real trooper standing out there in the rain. I would have told my producers I've got to get out of this.
Listen, that was Indiana and North Carolina. And as Jessica says, it's time to move forward and fast. West Virginia and Nebraska up next. It's a big issue in those states. Issue #1, well, it's the economy.
CNN's Jim Acosta already ahead of the game. He's live right now in Charleston, West Virginia, where it looks like it's just fine. No need for an umbrella there.
Hey, Jim. JIM ACOSTA, CNN CORRESPONDENT: That's right. The skies are clear, Ali, and that's good for Hillary Clinton, who is campaigning in Shepherdstown, West Virginia, today. Campaigning on the economy, I might mention.
And you may be wondering, where is Shepherdstown, West Virginia? Well, it's one of those exurbs that you hear political strategists talking about. It sits very close to the border of Maryland and Virginia, and there are actually many commuters there who make the long drive into the Washington, D.C., area to go to work.
So, obviously, yes, you guessed it, high gas prices are on the minds of those voters there. It's also an issue that has frustrated the Democratic governor in this state who, by the way, is an undeclared superdelegate.
(BEGIN VIDEO CLIP)
GOV. JOE MANCHIN (D), WEST VIRGINIA: I've never felt more helpless as being governor of my great state of West Virginia that I just want to jump in and do something. It's wrong.
(END VIDEO CLIP)
ACOSTA: Now, we wanted to talk to some voters here in Charleston, West Virginia, about some of these economic issues that are hitting home here in West Virginia. And we found one Hillary Clinton supporter in a restaurant called the Blue Grass Kitchen, where she told us she thinks Hillary Clinton may be pandering a little bit on this issue of a gas tax holiday.
(BEGIN VIDEO CLIP)
UNIDENTIFIED FEMALE: I think we need something more long term. And...
ACOSTA: Does it sound like to you that Hillary Clinton is pandering a little bit to voters when she...
UNIDENTIFIED FEMALE: Maybe.
ACOSTA: I don't want you to dis your candidate, but...
UNIDENTIFIED FEMALE: I know. She's -- yes, maybe. I'm sure.
(END VIDEO CLIP)
ACOSTA: Now, West Virginia places to nearly all of Hillary Clinton's demographic strengths. It is whiter, older and more rural than most of the rest of the country, but that is not just a demographic strength here in West Virginia. It will also play to her favor in Kentucky, Ali.
And I should mention, this has nothing to do with the West Virginia primary, but the Blue Grass Kitchen has a really fantastic mango buttermilk pie. I highly recommend it in case you make it into town here -- Ali.
VELSHI: Yes. Jim, you've tasted a lot more food in this country, you and members of the best political team on television. I guess that is the tradeoff for not sleeping and traveling all the time.
Jim Acosta, thanks very much.
ACOSTA: That's right.
VELSHI: We're going to get to know West Virginia pretty well over the next week -- Gerri.
WILLIS: We could use some of that right now.
All right, issue #1, it's all about you. And it's your turn to weigh in on today's "Quick Vote" question. And that means it's time to check in with Poppy Harlow from money.com.
Hi there, Poppy.
POPPY HARLOW, CNNMONEY.COM: Hi Gerri.
Yes, well, you're seeing record gas prices every day. Going to the grocery store is more expensive -- eggs, milk, bread, all cost you more. So we want to know what you're going to pull back on this summer.
Here's our CNNMoney.com "Quick Vote" question today.
This summer I plan to take a vacation, cut back on my summer travel, or get used to staycations.
You can weight in, vote on our poll, cnnmoney.com. We'll be back later in the show with your answers.
Gerri, I just learned that word staycation, but I think a lot of Americans might be doing that.
WILLIS: Yes. Well, that means staying at home, saving on the gas, having a good time at your house, really.
HARLOW: And affording the necessities.
WILLIS: All right. Well, thank you for that, Poppy.
VELSHI: I'm all about the staycation. I've been planning mine for weeks, actually, because I can't sort of bite the bullet and spend the money it takes to go overseas.
Coming up next, a major housing bill makes it to the floor of the U.S. House of Representatives. What it means to you if that bill passes. We'll break down why you pay what you pay for a gallon of gasoline and why gas theft is a fast-growing crime.
You're watching ISSUE #1 right here on CNN. (COMMERCIAL BREAK)
WILLIS: We told you about Congressman Barney Frank's housing bill that would provide as much as $300 billion in loans to people facing foreclosure. Now, that bill is scheduled for debate on the House floor today, but it's already facing opposition from the president this morning.
Listen in.
(BEGIN VIDEO CLIP)
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: We are committed to a good housing bill that will help folks stay in their house, as opposed to a housing bill that will reward speculators and lenders. I will veto the bill that's moving through the House today if it makes it to my desk, and urge members on both sides of the aisle to focus on a good piece of legislation that is being sponsored by Republican members.
(END VIDEO CLIP)
WILLIS: CNN's Jeanne Meserve joins us now from Capitol Hill.
Jeanne, let's talk about this. The president says he's opposed to this bill because it would reward speculators, but the fellow who wrote this bill says it doesn't.
What's the bottom line for the president? Why does he oppose this?
JEANNE MESERVE, CNN HOMELAND SECURITY CORRESPONDENT: The White House calls it a bailout. He says it puts responsible taxpayers in the position of bailing out those who made bad judgments and bad investments. He says it's burdensome, overly-prescriptive, makes taxpayers take excessive risks, and also could jeopardize the financial health of the Federal Housing Administration. He favors a different approach that would expand FHA programs and help a more limited number of people facing foreclosures; namely, those who have missed three payments or less.
WILLIS: Well, Jeanne, though, does this mean the housing stimulus is dead? Is there anything that can be done to salvage it?
MESERVE: It does not mean it's dead. There were 10 Republicans in committee who voted for this legislation. It has been expected that it will pass the House with some Republican support.
On the Senate side, things a little less certain at this point. Senator Richard Shelby has said he shares some of the president's reservations about this, but he also says that discussions are continuing.
WILLIS: You know, the Democrats here are putting together this bill that's taken well over a year to write. It's been in the works for a long time. Is this really just an election year ploy to make Republicans look like they don't care about people suffering with the housing crisis?
MESERVE: Folks I've talked to say no, that isn't the case. They say that this is a real crisis, something that as you well know is reverberating through the economy. Congress is trying to grapple with this. But is there unanimity of opinion? Absolutely not. But to call it an election year ploy people say isn't quite fair.
WILLIS: Jeanne Meserve, thank you for that.
MESERVE: You bet.
VELSHI: All right. Right now on CNN Radio and CNN.com live, Roland Martin is hosting a live program on this election year. We are going to pop in on him now.
Roland, good to see you. Thank you for being with us. I don't know when you sleep, but you've been following this campaign and these primaries, you know, piece by piece, bit by bit.
Yesterday we were talking about the fact the economy is and remains issue #1. It's growing in the minds of American voters. There are more of them concerned that we're in a recession, and they want answers, perhaps even answers that the presidential candidates can't necessarily deliver.
Last night we saw something different. Let's talk a little bit about that.
Barack Obama succeeding, where there was some speculation he might fail by virtue of the fact that Hillary Clinton has more specifics on the economy.
ROLAND MARTIN, CNN CONTRIBUTOR: Well, obviously, every candidate must focus on that. For the longest it was Iraq, but the reality is, with gas prices increasing, with Sallie Mae saying, look, we don't have enough money for college loans, I mean, the economy is weighing on people's minds.
And last night you saw Senator Barack Obama in his speech, the top portion of his speech, he really focused on the economy. He told individual stories of people who are or facing hardships.
Senator Clinton, she talked about the gas tax. That's still there as well. She's in West Virginia today. She's going to be focusing on that, as well.
But you know what? I mean, I understand you have the two candidates there, but she has a very difficult road now. And I don't really see how she has a clear path to getting the nomination, because fewer states are left, 217 delegates, pledged delegates, left. And so she has to really win out on this one.
But still, no matter what happens, Ali, I think there is no doubt that economic issues will trump Iraq, will trump anything else. And the candidates, especially John McCain, better figure out how to hone in on that to touch the people. VELSHI: All right. So there's gasoline. Obviously that's a big issue we are talking about every day.
There's inflation. There are jobs. But there is still that housing crisis which some people think...
MARTIN: Food prices.
VELSHI: Yes, food prices are a major issue. This housing crisis, some people say that's what got us into this in the first place. We know that Congressman Barney Frank's bill is being debated today in the House. It's likely to pass the House, it might have some trouble in the Senate.
But President Bush says he is not going to authorize this bill. It's a complicated bill. And for the average American, I don't think they really get what this is going to do for them. But you think they should pass this.
MARTIN: Well, primarily because the FHA used to have more of the mortgages in the United States. They have a fewer number now.
Now, when Alphonso Jackson, when he was HUD secretary, I talked to him. He said he was in support of it.
Now, I don't know what specifically has happened for the Bush administration to say we are not in support of it, but what this allows, for people to be able to borrow a large amount of money and to be able to -- again, the default rates will lower, as well. That's how it was initially established.
But you know how it happens in Congress. Things change all the time. Language gets changed.
The bottom line is, Congress is going to have to figure out how to step in to affect the housing market, because if you leave it to just the private lenders, they are having significant problems. People looking for some kind of fallback. And look, they will trust the FHA a lot more, frankly, then they will some of these venders out here who have been taking people, taking the clothes off their backs with some of these crazy lending practices.
VELSHI: You know, we need some solution to that.
The other thing you touched on, Roland, which is such a big deal is inflation. We know gas prices are high this morning. Oil almost at $123 a barrel. But that is plowing three into our costs for everything we buy and the cost of food.
MARTIN: Absolutely.
VELSHI: That's really hurting people. And at some point that is going to be an issue on the campaign trail, as well.
MARTIN: Look, most people spend their money, frankly, on food, on gas, things that they absolutely need. You can't get to work if you are driving a car and you don't have money for gas.
I mean, you have to feed your family as well. And we have to be able to confront that.
And so, look, we can sit here and talk about the global economy what's happening in India and China. But look, I have maintained from day one that the war on Iraq has a direct impact, what we're seeing with gas prices. We were told by this administration -- and I remember sitting there watching the testimony. They were saying, oh, no, this is -- look, going in, we are going to stabilize the market. This is going to cause gas prices to lower.
Right. Didn't happen. Oil was, what, $20 a barrel, Ali, before the war? $123?
Now, you try to explain to somebody by saying, oh, no, the war has nothing to do with that. No. Baloney. It has a lot to do with it, and own up to it.
And the last piece, again, how the war does impact the economy. You can't be spending billions and billions of dollars overseas rebuilding Iraq when America is crumbling. I'm sorry.
VELSHI: I hear you.
MARTIN: I think Americans are to the point by saying, you know what? Hey, rebuild your own country, because we have things that are broke that need to be fixed here in America.
VELSHI: Roland, we've got to take a break and pay our salary.
But for those of you out there, Roland is great to listen to in this kind of stuff. And you can continue to hear him on CNN Radio and on CNN.com live.
Roland, good to catch up with you, and I'll see you soon.
Coming up next, as Roland said, the price of oil is affecting what you pay for the price of gas. We're going to break down exactly how that is though. We're going to explain it for you once and for all.
And we'll tell you what the down economy has to do with rising crime rates.
Stay with us. You're watching ISSUE #1, right here on CNN.
(COMMERCIAL BREAK)
VELSHI: The price of a gallon of gas is, surprise, surprise, back up to $3.62 a gallon. Oil was up above $122 a barrel today. Now, you see those two prices and you probably wonder exactly how one relates to the other. But lucky for us, we've got our CNN Senior Correspondent Allan Chernoff, who's going to break it down for us -- Allan. ALLAN CHERNOFF, CNN SR. CORRESPONDENT: Ali, we've got 42 gallons inside of your barrel. OK? If you do the math, that comes out to about 2.5 cents for every gallon.
So, when we are talking about oil moving by a dollar, 2.5 cents, we are talking for a gallon of gas. So, oil moves by $10, 25 cents for a gallon of gas.
Let's have a look at the current price for gas right now -- $3.62. Now, that is based on where oil was late last week, at about $115. Right now we are at about $122. That means the price of gas is going to be going higher.
And as you saw in the graphic, we don't have to go all that much higher to get to $4, Ali. A hundred thirty dollars, that could take us all the way.
Now, let's have a look at some of these others.
As we've been talking about, Goldman Sachs predicted that oil could go to $150 or $200 a barrel. Scary stuff? Look what happens to the price of gasoline -- $4.50 at $150 per barrel; $5.75 at $200.
Ali, all we need is $170 to get to $5. We are not saying this is going to happen...
VELSHI: But in our polling, a lot of Americans did think that that might happen, and within the year. The thing -- the great unknown is how much of that will result in people absolutely changing their driving habits or the way they get to work, or where they live or how fast or how far they go.
CHERNOFF: The fact is, gasoline consumption here in the United States is actually declining right now. People are responding to this huge price for gasoline.
We are seeing less demand. Supply isn't all that awful. What's happening is that there is a lot of investors in the market pushing the price up. So right now the economics are essentially out of whack.
VELSHI: There is one other thing, and that's what you cover, inflation, for us a great deal. So it's not just what you pay for a gallon of gas, but as this barrel of oil gets more expensive, it works its way into everything else you buy. So, on one level, you can change your driving habits, but it's hitting you in other places, as well.
CHERNOFF: Oh, if you are paving over your driveway, if you're redoing your roof, it's all made of petroleum. This baby provides a lot more than gasoline.
VELSHI: Had I filled this with oil when I bought it, things would be an entirely different situation -- Gerri.
WILLIS: All right, Ali. As we've discussed on this program, the presidential candidates are debating over a plan to help you with your gas bill. Senators John McCain and Hillary Clinton are supporting a gas tax holiday this summer. But Senator Barack Obama, he says it's a bad idea, and our next guest agrees.
Jack Otter, the deputy editor of "Best Life" magazine.
(BEGIN VIDEOTAPE)
WILLIS: OK. This is one of those ideas that comes up over and over and over again. And normally it doesn't go anywhere.
Is this really a good idea?
JACK OTTER, DEPUTY EDITOR, "BEST LIFE" MAGAZINE: It's a terrible idea. It's pandering to voters. And the reason is because, once you understand what actually controls the price of gas, you realize it's actually not going to put anymore money in consumers' pockets. Sure, you can take...
WILLIS: For a short term . A little short-term relief, right?
OTTER: Maybe very, very briefly. But the thing is, what happens is, you know, you knock 18 cents off a gallon of gas. And then demand increases, so price goes up.
WILLIS: That's right, because you don't control that price of gas.
OTTER: Exactly. And the traders on Wall Street who actually control the moment-to-moment price of a barrel of oil, they know this. And as soon as this gas tax relief would go through, they would bid up the price. So it doesn't help.
WILLIS: What's a better solution?
OTTER: Well, a better solution are the long, slow, painful ones that we all know. I mean, in today's news it said small cars are selling better. They are outselling the SUVs and the pickup trucks.
WILLIS: Right. Right.
OTTER: When enough people do that, demand goes down, supply goes up and prices come down.
WILLIS: All right.
You know, there is a concern, because the money that this gas tax is used for are roads, bridges, things that are crumbling across the country. Is that something to be really concerned about? And could the money come from somewhere else?
OTTER: Well, yes, from China. I mean, I don't think that if we do pass this they will actually stop fixing roads. But it's about $9 billion that would be used from the gas tax. Instead, we'll borrow more money.
This country already has $9 trillion of debt. What's another $9 billion? They'll borrow it. We'll pay interest on it and fix the roads.
WILLIS: This is really just pandering to voters at the end of the day. Come on. This is really just a political football.
OTTER: Exactly. And, you know, you've got to give some credit to Barack Obama. I have to think he'll lose votes when his opponents say, hey, this guy doesn't want to put that 18 cents in your pocket, but he's taking the intellectually honest stance on this.
WILLIS: You said there is a better issue -- there's a better way of going about this, a better way, ultimately, better policy for America. What do you think it is?
OTTER: Well, the policy is to -- you want to put taxes on activity that you discourage, reduce taxes on activity you want to encourage. So, if anything, we ought to have higher gas taxes and perhaps lower income taxes that. That would make sense.
But in the long term, we need a serious policy to develop alternative energies. In Japan, for instance, in Germany, there are 20-year tax breaks for solar energy. America used to be an energy -- excuse me, a leader in building solar panels.
WILLIS: And we are not anymore?
OTTER: We're not anymore at all. We had 40 percent of that industry back in the late '90s. We now have 8 percent.
WILLIS: So, when people talk about green jobs, it's creating a whole new industry.
OTTER: Exactly.
WILLIS: All right.
Jack Otter of "Best Life" magazine.
Thank you for being with us.
OTTER: Thanks for having me.
(END VIDEOTAPE)
WILLIS: The connection between the falling economy and rising crime, we'll check it out.
Plus, a look at the new trend of gas theft.
And we'll see if high gas prices are going to hurt your favorite vacation destination this summer.
ISSUE #1 rolls on next. (COMMERCIAL BREAK)
GERRI WILLIS, CNN ANCHOR: Welcome back to ISSUE NUMBER ONE.
Just out, our new poll on issues that matter to you. The CNN/Opinion Research poll finds you're divided on the ability of the Fed to improve the economy. Fifty-one percent of you say you have no confidence. Forty-nine percent believing the Fed can do some good.
Ali.
ALI VELSHI, CNN ANCHOR: It's kind of a split. Interesting to see what people think the Fed can do. It's worth a discussion.
There's a very interesting connection between the tough times the economy is going through and a rise in crime. We're going to get to that in a minute. But first, your latest headlines from Don Lemon in the CNN "Newsroom."
Hello, Don.
DON LEMON, CNN CORRESPONDENT: Hello to you.
And I've got to tell you, Ali, we're not dealing with anything near what's happening in Myanmar. I mean, it is a terrible, terrible -- this disaster in Myanmar is going to get much worse we're hearing the longer it takes relief teams to get into the country. That's the word this hour from the International Rescue Committee.
Military leaders of Myanmar, also called Burma, have been slow in issuing visas. Survivors of Saturday's monster cyclone are in desperate need of food, water and, of course, medical supplies. The government says more than 22,000 people died in the storm.
Family members in the United States have been desperately trying to reach relatives in Myanmar. Ahead in the CNN "Newsroom," we'll talk with a man who has made contact and is wondering how he's going to get help to his family there. You don't want to miss that. It's going to be very interesting.
Executions resume here in the U.S. Convicted killer William Earl Lind was the first inmate put to death in more than seven months. Now he died by lethal injection last night in Georgia, 20 years after killing his girlfriend. Opponents of the death penalty staged vigils across the state to protest that. They expect a wave of executions around the country following last month's Supreme Court ruling which upheld the constitutionality of executions by lethal injection.
And make sure you join us at the top of the hour where we'll go inside a controversial police stop in Philadelphia. Does the video of this incident tell the whole story? We'll examine that in depth at the top of the hour.
Now back to Ali Velshi and ISSUE NUMBER ONE.
Take it away, Ali. VELSHI: All right, Don, thanks very much. We'll check back with you later.
Home prices are down, corporate profits are down, employment is down. But not everything is going down. The crime rate is on the rise in Washington, D.C. CNN's justice correspondent Kelli Arena has the story.
(BEGIN VIDEOTAPE)
KELLI ARENA, CNN CORRESPONDENT, (voice over): Michael Stroud lives just minutes from the U.S. Capitol, on a lovely, tree-lined street. But it's hardly blissful.
MICHAEL STROUD, BURGLARY VICTIM: I've been in this neighborhood for 15 years and never have we had this kind of problem. Three break- ins.
ARENA: That's right. His house has been robbed three times in the past 12 months. And Stroud believes the economy is to blame. The thieves took food out of his freezer, clothes and shoes out of his closet.
STROUD: These people are taking necessities, as well as the computers and the TVs. They took food. They broke into a neighbor's house and took the copper pipes.
ARENA: He may be on to something. Bruce Weinberg, who's an economics professor at Ohio State, examined national crime rates for nearly 20 years. He found that crime rose when wages fell and jobs were hard to find.
BRUCE WEINBERG, OHIO STATE UNIVERSITY: We tend to see an increase in crimes when there's some economic motive. So that's going to be thefts, auto thefts, burglaries and robberies.
ARENA: The numbers do add up, at least in Washington, D.C. Since January, burglaries are up more than 35 percent in the area which includes Capitol Hill. Police Commander David Kamperin says the bad economy is one of his concerns, but he has others.
CMDR. DAVID KAMPERIN, WASHINGTON POLICE: We look at, is there people recently been released from prison? We have seasonal concerns. In this district in particular, we have a high increased or volume of visitors in the summer months.
ARENA: A slowing economy can mean less money for programs meant to rehabilitate or keep kids off the street. Burglaries are not up nationwide, but the potential for more crime is very real and the aftermath is sobering.
STROUD: It makes you very afraid. Every little bump in the night you wake up going, oh, my, is it happening again?
(END VIDEOTAPE) VELSHI: All right, Kelli, it's an interesting story. Do we know how much of this is D.C.-based and how much -- you know, or whether we've seen an increase in this sort of thing across the country or other places?
ARENA: Well, several cities, for example, Raleigh, Philadelphia, have seen increases in burglaries and robberies. But, you know, others that we called, including Cleveland, Los Angeles, have not. So this is by no means a national trend. What folks are most concerned about, Ali, is the potential, especially if this economic downturn worsens.
VELSHI: All right, Kelli, thanks very much. Kelli Arena in Washington.
WILLIS: Well, one place crime is surging is at the gas station. Gas is more expensive than ever, as you know, and you'll be amazed at the lengths thieves will go to, to steal gas. CNN's Kathleen Koch takes a look at this disturbing, new trend.
(BEGIN VIDEOTAPE)
KATHLEEN KOCH, CNN CORRESPONDENT, (voice over): It's become a regular feature on convenience story security cameras, a driver taking off without paying, despite the owner's efforts to chase him down.
UNIDENTIFIED FEMALE: The driver-offs are becoming more frequent.
KOCH: One Seattle area thief would pull in after hours and use a master key to unlock the pumps.
(END VIDEOTAPE)
VELSHI: All right. You are looking at live pictures of Hillary Clinton just about to start speaking in Shepherdstown, West Virginia, at Shepherd College. They're moving the podium on her, so we've got a couple of minutes to tell you what's going on. She was about to start speaking. I don't think she expected her daughter to just take the podium and move away. Here she is. Let's listen in to Hillary Clinton.
SEN. HILLARY CLINTON, (D) PRESIDENTIAL CANDIDATE: It is so great to be here. And I am thrilled to see all of you. I'm so happy to be here in West Virginia and excited about the next week as we campaign here in this beautiful state about our country's future.
I want to thank all of you for gathering. I assume some of you are avoiding studying. And that's OK too.
I want to thank Bob Tabb for his support and for his leadership. If you know Bob, you see he has a little pin that he likes to wear. He gave me one. He just gave Chelsea one. It says, "no farm, no food." And it's a good reminder about, you know, the need to support our farmers.
I want to thank Loch Weinsong (ph), from the West Virginia House of Delegates. Thank you so much, Loch. And Virginia Sign (ph) County Clerk and Samantha Zerbach (ph), who is with the Shepherd University students supporting me. And the president of this great university, Suzanne Shipley. And thank you all so much.
Well, we were very excited about our come-from-behind victory in Indiana, where people are concerned about the economy. You know, there's a lot of reasons why I think we came from about eight or so points behind to win. And it's because people really know they need a president again who's going to focus complete attention on making sure you have the jobs that will give you the living wages that will give you a chance to have a better life. And that's not only for people who are young, it's for everybody. Because given this economy, folks are really facing some very tough decisions.
As I traveled across our country and of the many times I've been here in West Virginia, I know that the economy has remained a very difficult challenge. And what we have to do together is really make sure that people who are willing to work hard are going to have the rewards they should here in America. That's always been the way it was. If you worked hard, you will be able to get ahead. But the economy's not working for you. So we need a president again who's going to get back to creating jobs. Something we haven't seen much of in the last seven years under President Bush.
You know, I have to say that when I think about what we can do, it's both very important that we tackle a lot of the problems that we have, but we also think about the future and what kinds of jobs are going to be there for the students attending this university and graduating. I really believe that we can create at least 5 million new jobs from clean, renewable energy. And those jobs will be good jobs. Jobs that can't be outsourced. Jobs that can really support a family.
On a sunny day like this, you can just imagine what we could be doing if we were serious about solar power, which we're not. You can imagine what we could do in our country if we were serious about wind, which we are not. Geothermal, biofuels, clean coal, hydrogen. We don't even know what it is we will be able to achieve together because we haven't treated the energy revolution the way we did when we decided to send a man to the moon and bring him back.
The Apollo project organized our country and we were successful. And out of that research, my goodness, came things like medical discoveries, the Internet. We need to do the same thing with energy. And it could be a revolutionizing, transformative experience for our economy and for all of you. But we don't have a president yet who will lead us in that direction.
Now it's going to take until we get the two oil men out of the White House. But as soon as we do -- everybody knows what we should do. You can go to my web site, hillaryclinton.com, and read about what I will do. And we're, unfortunately, going to have to wait until we have a new president to do it.
But in the short term, I'm worried about these gas prices and what they are doing to all of you. And I know that we've got to have a learn term set of solutions to get higher gas mileage cars. I'm 100 percent behind that. How we're going to use different kinds of ethanol, not just corn base, but sellcelulsic (ph). I'm all for that.
But right now people are really in pain over these gas prices and there is no end in sight. You know, we've gone over $120 a barrel. We are literally over the barrel for the oil companies and the oil countries.
And when I think about what it's going to mean to a lot of the families that I represent and that I advocate for, if they're paying $4 and $5 a gallon gas this summer, that's going to bite in to what you can buy for groceries, whether you can afford your prescription drugs. So we need some immediate relief, which is why I have advocated, you know, going after the oil companies. They can afford it. Make them pay the gas tax out of their record profits this summer.
I'm also very excited about being able to rebuild our country. You know, we are way behind on roads and bridges and tunnels and high- speed rail and mass transit and water systems. We're living off the investments that were made years ago. And I think we can put at least 3 million American workers to work doing that.
So there is no doubt in my mind that we're up to turning the economy around. And one of the main reasons I'm running for president is to do just that. And also to make sure we remedy the injustice of our health care system that leaves out so many millions of people.
It's not only folks who are left out completely, 47 million, and I bet there are some of you without insurance because a lot of young people don't have it. But it's all the people with insurance except the insurance companies won't pay your doctor or pay your hospital bill. What good is it to have insurance if it won't pay for what you need when it comes time to get taken care of?
So we need a different system. And I want to build on a system that already exists. Namely the system by which members of Congress and federal employees get their health insurance. I think if we expanded that so everybody in West Virginia got a chance to buy into it, that would be a fair way to make sure you and your families have the health care you need at an affordable cost that would be available throughout West Virginia and America. If it's good enough for Congress, it's good enough for West Virginia.
And we've got to be sure education remains a passport of opportunity for all of you. This begins, I think, with preschool education and pre-kindergarten. I've done this work for a really long time. And the better prepared our kids are when they go to school, the better they'll do. And that's especially true for kids from disadvantaged backgrounds.
But we've got to do more than that. I want to end No Child Left Behind. It has not worked. And I believe totally in standards and accountability. I was the head of a committee that helped to improve education in Arkansas 25 years ago. But I don't believe in one-size-fits-all. I don't believe in narrowing the curriculum, eliminating a lot of the subjects in order for just drilling for the tests. I don't believe in the kind of unfair burdens that the Bush administration has put on school districts and communities. You go do this, we said we'd pay for it, but we were just kidding. Because essentially that's what's happened.
So we will get rid of it. We'll have a new partnership. I will be an education president for sure to help work with our educators and our families. And I will do everything I can to make college affordable again because I know it's out of the reach of so many people today.
And there are some steps that I would take. Number one, we've got to increase the college tax credit so your families can use more of your own money. We have to expand and extend Pell Grants year round and tie them to the increasing cost of education so you have the opportunity to use those. Number three, I want to have more national service. Up to $10,000 a year for two years of service that would go right into paying for your college if you're willing to do that.
But we're going to have to take on the student loan companies and the banks. They have been charging outrageous rates of interest. And I don't know about West Virginia yet, but everywhere I've gone, I've asked people if they're borrowing money. How many of you have borrowed money to go to school or are paying off student loans today?
When I was in Indiana, I heard people yell at me what they had to pay for interest, 20 percent, 25 percent, 30 percent interest. That is just wrong. When I went to college, my husband and I, we borrowed money from the federal government to go to law school. We paid 2 percent or 3 percent in interest. We can't remember so long ago, which it was, 2 percent or 3 percent, but it was low. And we paid it back.
And that's what I want to give you the chance to do. So we're going to go back to direct lending, where you borrow money from the federal government at a really low rate of interest. You pay it back contingent on your income. And we keep that available to you.
And if you already owe money, well, we want you to have a public service option. If you're willing to do public service, like teaching or nursing or law enforcement, we will forgive your loan over time because that would give you a chance to be able to get on with your life and perform a job that would be so important for you and for our country.
So there's a lot to be done here at home. And I am absolutely confident that we can do it. I think it takes someone who knows that you get onto that Oval Office and you've got to move quickly because everything is just rushing in the door. It's the president who has to handle it all.
But I know that we're up to it if we start acting like Americans again. If we roll up our sleeves, if we put our minds on how we're going to solve our problems, then the same is true with what's going on around the world. I know we have to restore American leadership and that begins by ending the war in Iraq and bringing our troops home.
I have a plan that I would put into place in conjunction with the secretary of defense and the joint chiefs of staff and the security advisers I would have to begin to withdrawal our troops within 60 days. I think that we can be bringing them home because they've done everything they were asked to do. It's the political and diplomatic effort that have failed, both here and in Iraq.
You know, our young men and women have performed heroically. The Iraqi government hasn't taken the opportunities they've been given over the last five years to resolve their own internal strive, to decide what kind of country they want for their own futures. And I would tell them that they no longer have a blank check because President Bush, that moving van has left the back of the White House headed to Texas.
And when we bring our troops home, we have to take care of them. I bet a lot of you know veteran whose have come home and been neglected. They haven't been given the health care that they need. They can't even get their disability compensation rating determined. They are waiting in line for the services that they should be able to take for granted.
I spent a lot of my time trying to cut through red tape to take care of the veterans that I represent in New York. I want to be a commander in chief who gets rid of the red tape. Who says, if you have served your country, we will serve you and we will give you the health care and the compensation and all the other services you deserve.
When I think about America, I really believe that we are so fortunate because each of us has been given the blessing of this country. But there is no guarantee that America remains strong, that we remain a beacon of freedom and hope and a land of opportunity. That only happens because we constantly regenerate the promise and potential of America.
This is such a time. There is no doubt in my mind that if we have an election that is about real issues and about real solutions, the kind that you can wrap your hands around, that you can say, well what is it exactly we're going to do together, because we have to rebuild the trust between the American people and the president. You are the bosses. The president works for you. President Bush seems to have forgotten that. But we will reestablish that fundamental canon of the American democracy.
And by doing so, it's going to be a partnership. And I especially want to offer this partnership to the young people here because a president can only do so much. I can work and try to turn the economy around, but we need young people prepared to take advantage of those opportunities and to recognize that we're in an economy unlike your fathers, your mothers, your grandparents or anybody else. This is truly a global competition. We can't pull up the gangplanks and have America isolated. We just have to compete. That's going to mean new trade policies, new approaches to frankly standing up better for America against OPEC when it comes to oil, and against China when it comes to trade. But then we need to be able to move in and demonstrate our ability to win in the global economy.
When I talk about health care, we're going to have a universal health care plan if I'm the president. And then I'm going to ask everybody to work hard to take better care of yourselves, and especially your children. We could have the greatest health care system in the world, but if people don't take care of themselves, we're going to run out of money.
You can't possibly imagine what it's going to cost to care for young children, 10, 11, 12 years old being diagnosed with type two diabetes. That's unheard of. For young people to have heart disease because they haven't taken care of themselves. We've got to have both a commitment to universal quality affordable health care from our government and a commitment by our people to really be as healthy as we possibly can. That's the kind of partnership I'm looking for.
And when I talk about an education system that starts with preschool, gets rid of No Child Left Behind, includes the kind of curriculum that will make it possible for you to have a productive future, well, it's got to be taken advantage of. Young people and their families have to know that this is going to determine, not just the quality of your life and your success, but what happens in our country in the next generation.
So we're going to be working together. That's when America works best. It's been, unfortunately, that for the last seven years, we have a president who pays a lot of attention to the wealthy and the well-connected, so the income gap has grown. People have worked harder and harder and realized less in income. The dollar doesn't go as far as it did to pay for what everybody needs.
So first things first, turn this economy around, end the war in Iraq, creates the conditions that will give you the real, strong foundation you deserve to chart your own future, to realize your own dreams. That's what I offer as your president.
I believe this election is about solutions, not speeches. It's about results we can achieve together. It is about us, once again, asserting the greatness and goodness of America. There isn't any reason we can't have America's best days ahead of us.
I need your help in this campaign. Next Tuesday will be one of the most important elections in this entire process. And I personally believe that West Virginia is one of those so-called swing states.
Democrats need to win it in the fall. I want to start by winning it in the spring. To lay the groundwork for a victory in November. You all can go and vote early until May 10th. You can go to the county courthouse. I invite you to be part of the campaign we have here. To really roll up your sleeves and get to work on behalf of your future because, ultimately, this election, as I have said across our country, isn't about me. It is about you. It is about what you expect from your next president.
And if you think of this like a hiring decision, because in effect that's what it is, you might consider it a little bit differently because you're being asked to hire the person who will fill the toughest job in the world.
What do you look for? What do you need? What kind of experience? What kind of plan? What kind of results and accountability will you be seeking? If you think about it in that way, who would you hire? I hope next Tuesday you will give me a chance to be your president. Thank you all very, very much!
VELSHI: All right, Hillary Clinton in Shepherdstown, West Virginia, at Shepherd College, talking to people about the economy. A very detailed, very specific speech talking about the kind of things she would do as president in the wake of what a lot of people are saying wasn't the best night for her last night after being sort of defeated in North Carolina and then win just by a hair in Indiana.
WILLIS: But she looks completely at ease today and she really seems like she's hit her groove with this pitch at really blue collar America.
VELSHI: Right.
WILLIS: I think you're hearing her really resound now, despite what happened at the polls last night.
VELSHI: Yes, she definitely has a lot of detail about the economy. That's one thing she's had throughout the campaign.
WILLIS: Interesting stuff.
All right. Stay with us. You're watching ISSUE NUMBER ONE.
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VELSHI: My stacation (ph) plan is slowly edging out the vacation plan.
WILLIS: Gaining momentum. I think I'll do it too.
VELSHI: That's right. Well, in case you needed more convincing, we've got some more troubling news from the airlines. The government today released information about on-time arrival and departures for the month of March. LaGuardia topped the list of airports with the worst on-time arrival record, followed by Miami and Dallas-Ft. Worth. For the worst on-time departure record, Newark Airport took the prize. And the report also showed that airlines on-time arrival performance in the first three months of 2008 was the second worst in the 14 years that they've got data for. For that period, Chicago O'Hare had both the worst on-time arrival and departure ranking.
WILLIS: I am not surprised.
VELSHI: Yes.
WILLIS: How much time have you spent in LaGuardia just hanging out?
VELSHI: And LaGuardia to Chicago, that's a particularly enjoyable waiting trip.
WILLIS: Yes.
The economy is issue number one and we here at CNN, we're committed to covering it for you. ISSUE NUMBER ONE will be back here tomorrow same time, 12:00 p.m. Eastern, right here on CNN.
VELSHI: Time now to get you up to speed with other stories making headlines. CNN "NEWSROOM" with Don Lemon and Brianna Keilar starts right now.
