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How Conventions Work; Interview With Jesse Jackson, Jr.; Rare Disease Abundant in Pennsylvania

Aired August 26, 2008 - 11:00   ET

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

SOLEDAD O'BRIEN, CNN ANCHOR: Good morning. Welcome, everybody.
I'm coming to you from the CNN Election Center in New York. I'm Soledad O'Brien. We continue the coverage of the 2008 Democratic convention in Denver.

Delegates are enjoying a beautiful day in the Mile High City after a very emotional opening night. A harder-hitting agenda, we are told, is ahead.

Tonight's featured speaker, Hillary Clinton. The big question, the enduring question, really, is, can she bring her die-hard supporters onto the Obama bandwagon?

Earlier this morning, Paul Begala said he was looking for a sharp indictment tonight of all things Bush, McCain and Republicans.

So let's get started with some perspective and analysis from Chris Kofinis. He's a former senior adviser to John Edwards. Also GOP strategist and CNN contributor Leslie Sanchez is joining us as well.

Nice to see both of you.

Chris, let's begin with you.

We know that Hillary Clinton has a big challenge ahead of her. We've talked about that, frankly, over the last couple of hours. But I also have to imagine it could be very emotional, too, because it's her supporters there, and she's really going to make her -- you know, she's going to say it's over, move on. I mean, that's kind of got to be her message, right?

CHRIS KOFINIS, FMR. SR. ADVISER TO JOHN EDWARDS: It has to be her message. And I think it's going to be an emotional moment.

I mean, what was fascinating about last night, you know, conventions tend to be this organized stagecraft. And what you saw were two incredible human moments with Senator Kennedy speaking and with Michelle Obama speaking. Just incredibly powerful images the American people saw.

And I think tonight what you're going to see from Senator Clinton is a very passionate speech about the stakes in this election, how the differences between us are minor compared to the differences between John McCain and the Democrats. And I think it's going to be a very strong call to action that now is the time, now is the moment to unify and move forward.

LESLIE SANCHEZ, CNN CONTRIBUTOR: You know, Soledad, I have to say that those are almost two competing visions here. In one sense, yes, I think the Barack Obama campaign wants her to be that aggressive person who goes after the Bush administration, goes after John McCain, and carries the water for the party in that sense, and is that attack dog that James Carville is looking for. But on the other sense, I think her long-term political career rests on the fact that she is the unifier, that she is seen as that party elder, because if the Obama campaign does fizzle, where does she stand four years from now?

I think a lot of her supporters are saying in 48 short months she would be the contender in 2012. So she's walking a very tight balancing act.

O'BRIEN: Chris, you know Hillary Clinton clearly has to take her white working class voters and transition them to Barack Obama. Can that really be done in a speech, frankly?

KOFINIS: I mean, it can't be done just in one speech. You know, Senator Obama, I think, has to do it as well.

At the end of the day, I think what Senator Clinton is going to be able to her supporters here at the convention is make it very clear in terms of what the issues are. We know we had a long, hard-fought race, very passionate supporters on both sides, but we have to understand what the stakes are in this election.

And I think -- and she will make the case very strong and very hard in terms of what John McCain's vision is for this country and how terrible it will be if he wins. And I think at the end of the day, then the buck is passed to Senator Obama, and he has to go out for the remaining two months and make the case as strong and passionately as he can as to why he is the candidate to lead this country in a new direction.

I think he can do that. He clearly has the policies, he clearly has the vision, he clearly has the momentum. I think that's the whole point of this convention. If you look at the last day or so, and you look at the themes of the next four days, it is about that. It's about creating the kind of energy and excitement, not just amongst the base, but amongst supporters out there, or Independents, or whomever is watching.

O'BRIEN: Leslie, do you think John McCain has been given a pass so far? I mean, you know -- you've heard the critics, certainly, and Paul Begala has sort of said, you know, it's time to now draw blood. I mean, some of the metaphors, frankly, are a little terrifying -- draw blood, red meat, I mean, go on the attack.

SANCHEZ: I'm a little worried. I am the Republican here, Soledad.

(LAUGHTER)

O'BRIEN: I don't think they mean it personally. I think it's, you know -- but, you know, do you think that actually McCain has gotten a pass until now and that's going to change?

SANCHEZ: Not at all. I mean, I think they're pulling out the same talking points they have been for several months.

They're trying to say this would be an extended Bush administration, just another term. We're saying it would be a second term for Jimmy Carter.

I think you've got to get past all of that. Look at what you're really looking at.

I think John McCain has run a very clean race. He's talking about the distinctions between his leadership, his career, his record, his personal history, versus somebody who is not tested, who is also a maverick and engaging, but is just not ready yet for the national stage. And I think the more America gets to see these candidates together, you'll see that stark comparison.

And also keep in mind, they are fighting for the 15 to 20 percent of Independent voters. These are soft or what we call weak Democrats who don't like to see the partisan bickering. They want to see people come together and get things done.

So, in that sense, you have two competing goals. On the Democratic side, maybe it is better for them to look a little bit softer in that sense and try to bring those folks in. On the Republican side, we need to mobilize our base, and that means talking about the danger of another Democratic administration.

O'BRIEN: Michelle Obama, do you guys think she did the job she had to do yesterday?

KOFINIS: I think she did a fantastic job. I mean, you know, one, she's not a professional politician.

O'BRIEN: Yes.

KOFINIS: So to go out there in front of a, you know, world audience and be able to do that as eloquently and as passionately as she did, I think was incredibly significant. But I'll tell you the part -- you know, as a father, the part that I thought was really special was at the end, when the kids came out and there was that exchange between Senator Obama and the children.

You know, it's those human moments sometimes in these kind of organized stagecraft of politics that we work in. It's those human moments that connect with people out there. And it connected with me, and I imagine it connected with millions of supporters who saw not just Senator Obama as a candidate, but saw Senator Obama as a father, as a person.

That was the goal, I think, of Michelle Obama's speech. I think it worked fantastically well. But it was that moment at the end that I think was really telling.

O'BRIEN: Yes. You can't stage children. That's always dangerous -- dangerous when you try to stage a 7-year-old and a 10- year-old.

KOFINIS: That's right. I'm still trying to get my daughter to say she loves me.

(LAUGHTER)

O'BRIEN: I know. I thought, wow, I wonder what they had to do to do that, because that seemed very natural.

Very good, Sasha.

She gets big points for that.

We're out of time, guys.

Coming up next -- thank you for your time and your analysis.

Coming up next, we talk to Congressman Jesse Jackson, Jr. That's straight ahead.

Stay with us.

(COMMERCIAL)

(BEGIN VIDEO CLIP)

REP. JESSE JACKSON, JR. (D), ILLINOIS: I'm sure that Dr. King is looking down on us here in Denver, noting this is the first political convention in history to take place within sight of a mountaintop.

(END VIDEO CLIP)

O'BRIEN: That was Jesse Jackson, Jr. last night.

Barack Obama is also expected to pay tribute on Thursday, the 45th anniversary of Dr. King's "I Have a Dream" speech.

Congressman Jesse Jackson, Jr. is with us now in Denver.

Nice to see you. Good morning. Thanks for talking with us.

JACKSON: Good morning, Soledad.

O'BRIEN: The last half-hour -- so I was talking to Roland Martin, and he said, you know, every time people talk about, oh, the values and the differences and how Michelle Obama has to reach out and make that connection, he said, listen, let's get to it. It's because he's black.

How much -- you know, that's that values thing -- we look like you because I'm black, and he's got to explain that away. How has race, do you think, been a challenge to Senator Obama in this race?

JACKSON: Well, I don't think there's ever been a presidential campaign since the inception of the republic where race, Soledad, has not been a factor. What's been amazing is how the leadership in this particular campaign has used it.

He's not used it as a southern strategy. He's not used it to divide Americans. He's used it to uplift Americans, to explain to Americans the difficult road that we've come and how far it's taken us to get there.

And so what I hope to expect from Barack Obama in his speech on this 45th anniversary is both substance and poetry. Dr. King accomplished both substance and poetry.

In his speech, he talked about America issuing our country a bad check, a promissory note that came back marked "insufficient funds." Of course, that was in the context of the 1964 presidential campaign between Kennedy and Goldwater, and yet Dr. King offered a vision for the country, a vision, if you will, "I have a dream," a more perfect union where blacks and whites and others would be able to come together.

O'BRIEN: It's kind of a scary challenge, I would imagine, if you're trying to draft your speech, you know, to have that anniversary of that speech be the thing you're trying to -- people will invariably compare your words to at the even of the day. He's going to be speaking to a young audience, to a large degree, people who support Barack Obama, a big youth audience.

What do you think he's going to have to say in order to make Dr. King's words relevant for young people who didn't live through those days? You know, really may not be that relevant for them today?

JACKSON: What Barack Obama has to do is not answer the call of critics, not answer the call of McCain. He must answer the call of history. And if he answers the call of history, the American people will hear him and they will overwhelmingly respond.

Remember, this convention is about convening people from a very difficult, hard-fought Democratic primary process. Bringing that party together, uniting that party, and then ultimately bringing the fight to John McCain, transforming our pain to John McCain.

If we transform our pain to John McCain, unite the Democratic Party, which the Clintons will play a profound role in for the next couple of days here at the Democratic convention, if we leave here unified, Dr. King's dream will be one step closer to reality, with Barack Obama being the 44th president of the United States. That's a profound moment, Soledad. But Barack must address not only the hopes and aspirations as Michelle did last night of the American people, he must also deal with the political context within which this campaign finds itself.

O'BRIEN: And must not only address the hopes and aspirations of black people, but white people as well, which could be a challenge when you look at the poll numbers. And we'll throw one up.

When we polled blacks and whites, you see a wide gap between whether people think that things have gotten better for black men over the last 40 years. If you're black, you say -- 59 percent say, yes, they've gotten better, but, you know, 85 percent of white people say, yes, it's gotten better, which means there's a pretty wide gap on how things are going, specifically to black men.

How do you navigate that, different sets of perceptions, different sets of expectations, one speech?

JACKSON: By the recognition that we have made tremendous progress. On July 4, 1776, we looked at one America that denied African-American their basic citizenship as slaves, and also denied women the fundamental right to vote.

By July 4, 1852, Frederick Douglas issued a stern rebuke about how difficult it was to pay homage to what it meant to be an American. By July 4, 1863, when the north was successful in a campaign against Gettysburg, Abraham Lincoln would talk about a new birth of freedom.

By July 4, 2007, Hillary Clinton, Barack Obama locked in an unprecedented campaign for the Democratic nomination in the very party that denied both of them rights 150 years earlier. In 2008, the presumptive nominee, Barack Obama, and I believe July 4, 2009, the 44th president of the United States.

What that says, Soledad, is every July 4th we have an opportunity to renew the nation, to look at where the nation was, to look at where it's going, and look at the proud moment that this very diverse party, the youngest party, the most women participating as delegates, in the history of the nation, that really says and speaks volumes about the kind of leadership that both Hillary Clinton and Barack Obama have brought to this party.

O'BRIEN: Congressman Jesse Jackson, Jr. joining us.

Thanks for being with us. We appreciate it.

That's it for now.

I'm Soledad O'Brien, reporting from the CNN Election Center in New York. I'll see you in about 15 minutes, continuing our nonstop coverage of the convention.

Back to CNN NEWSROOM right after these short messages.

(COMMERCIAL)

TONY HARRIS, CNN ANCHOR: And good morning again, everyone. You're informed with CNN.

I'm Tony Harris. Heidi Collins is on assignment.

Developments keep coming into the CNN NEWSROOM on Tuesday, the 26th day of August.

Here's what's on the rundown.

You see it right there, Hurricane Gustav sapping warm Caribbean waters for strength. Forecasters say it could be a dangerous storm if it blows into the Gulf. No one wants to hear that.

Issue #1, shoppers growing more confident about their wallets, but things aren't so swell on the home front.

A higher risk of a rare blood disease, startling findings for one hardscrabble stretch of Pennsylvania. Are toxic dumps to blame?

We look for answers in the NEWSROOM.

(WEATHER)

HARRIS: And just in, new developments in the legal and political soap opera of Detroit's mayor. Have you been following this?

Well, just minutes ago we learned that Michigan's governor has ordered unprecedented hearings next week on whether Kwame Kilpatrick should be removed from office. Kilpatrick faces accusations that he assaulted two police detectives. He is also charged with perjury in connection with his sworn denials of an affair with a staffer.

New numbers out on the state of economy.

(BUSINESS REPORT)

HARRIS: A historic visit to Libya. CNN has learned Secretary of State Condoleezza Rice will go there next month. She is in the West Bank today.

Rice will be the highest-ranking U.S. official to visit Libya in more than 30 years. Two years ago, the U.S. reestablished diplomatic relations with Libya and took the country off a list of state sponsors of terrorism.

A major move today by Russia. President Dmitry Medvedev recognizing the independence of South Ossetia and Abkhazia. Secretary of State Rice called the decision "regrettable." Medvedev called on other countries to follow suit, also recognizing the breakaway regions of Georgia.

CNN talked with the Russian president after the decision, and we will get more live from Moscow coming up later this hour.

In Canada, two more deaths have been blamed on food poisoning linked to tainted meat, bringing the total to six deaths. An additional six deaths are under investigation.

Maple Leaf Foods began recalling meat products last week after Canadian health officials linked a deadly outbreak of listeriosis to the company's Toronto plant. Listeriosis can be especially dangerous for the elderly, pregnant women, and people with chronic medical conditions. Symptoms of the food poisoning include fever, muscle aches and sometimes nausea.

A rare disease clustered in one area of Pennsylvania. Scientists are searching for a cause.

Our medical correspondent Elizabeth Cohen is in New York.

Elizabeth, good to see you.

What's happening in Pennsylvania?

ELIZABETH COHEN, CNN MEDICAL CORRESPONDENT: Tony, this is a little bit of a mystery. In a relatively small area, you have 33 cases of a very unusual illness called Polycythemia Vera. The three counties are Luzerne, Carbon and Schuylkill. And officials have definitely said there are more cases in this area than you would expect to see in a population this size.

Now, let's talk about this disease. Most people have never even heard of it.

It is a blood disease where the body makes too many red blood cells, and the disease can cause blood clots, heart attacks and strokes. Nobody knows what causes this disease, which is called PV. They do know that exposure to chemicals might be the culprit -- Tony.

HARRIS: So, Elizabeth, we're talking about 33 people here. Do they have anything in common?

COHEN: You know what? They don't. The CDC has done a study, and these folks didn't have the same jobs, they didn't drink from the same water source. They really can't find any common denominator among these 33 sick people.

HARRIS: Well, what about something toxic in the area? Is that a possibility?

COHEN: A lot of people who live there, that's what they're saying, Tony. They said, look, there was a superfund site that was there until 1979. That's when it was closed down. It was a recycler who accepted all of these solvents and chemicals and sludge and stuff that they said he shouldn't have accepted. They think that might be the reason.

HARRIS: OK.

CNN's Elizabeth Cohen for us in New York.

Elizabeth, great to see you.

COHEN: Thank you.

HARRIS: Hillary Clinton's big night in Denver. Gear up for tonight's CNN coverage with Soledad O'Brien.

And wading home Fay, the storm that keeps on giving. Live to flooded Florida.

(COMMERCIAL)

O'BRIEN: Good morning. Welcome, everybody. I'm reporting from the CNN Election Center in New York, but you're looking at pictures from Denver, Colorado, the Pepsi Center, the outside. You can tell it is an absolutely beautiful day there shaping up to be.

I'm Soledad O'Brien. We are continuing our coverage of the 2008 Democratic Convention, which is taking place in Denver, Colorado. Clear weather, also good weather expected for Thursday, which is the day that Barack Obama will give his acceptance speech. That's critical because it's an outdoor speech.

Many people are expecting some fiery words to be on tap for tonight. One after another speakers are expected to lay into President Bush and John McCain and link of the two of them very closely together. That, some people say, should be the strategy. The highlight, though, is expected Hillary Clinton. A challenging tonight for her possibly, and most likely a very emotional one and probably a difficult one too. If you ask the experts what she's going to have to do is attack Senator McCain, concede defeat, persuade her followers to support the man who beat her. All those things could be a little tricky to do all at the same time.

So let's begin by digging a little bit deeper with CNN contributor, Hilary Rosen.

Hilary, nice to see you again. Let's begin --

HILARY ROSEN, CNN CONTRIBUTOR: Hi, Soledad.

O'BRIEN: -- with what Hillary Clinton has to do. In a way, some people have said those are very different things to try to do in one speech, which is emotionally deal with the 18 million people who wanted to see you in that Thursday speech role, also come out on the attack, which many critics have said has not really happened yet, and needs to happen, and also bring your supporters over to the guy who you were running against. How do you do all that in one speech?

ROSEN: You know, I hate to add to the sense of martyrdom about this, but many people feel like Hillary Clinton just is not going to be able to win tonight because her words will be parsed probably more carefully than any other speech this week -- maybe the president's tomorrow night. But -- this -- I know what her goal is. What her goal is is to make a compelling case for Barack Obama, to erase any doubt in people's minds about the doubts she raised about him, how she has seen him evolve and why she is now confident that he will be a great president.

Secondly, she really wants to thank her supporters and she wants to put the sword in the stone for the moment. She's, you know, climbed these great heights, many, many people have been inspired by it. She needs to mark that moment for all of us.

And, finally, Hillary Clinton is just a great sort of attack dog in many ways. She understands the stakes in this election and can articulate them as good or better than most leaders in our party. And she knows that. She's not going to leave this convention tonight, I think, without giving people some of the red meat that Democrats are constantly looking for.

So, she's got a lot to do. She only gets the same amount of time as everybody else has to do it.

O'BRIEN: Maybe she can go a little long. It sounds like kind of a long list of stuff.

ROSEN: The pressure is on.

O'BRIEN: They could give her an extra three-and-a-half minutes to kind of squeeze more stuff in.

ROSEN: Yes, I'm feeling for her today. The pressure is really on.

O'BRIEN: Yes, I think you're exactly right. It seems like a bunch of things to have to accomplish, and a lot of them are contradictory or could be in a way.

The topic yesterday was this rift between the Clintons and the Obamas with the joint statement that came out. And I'm always curious when someone puts out a joint statement that there is no rift, sort of refers back to, well clearly there is some kind of problem if you're putting out that joint statement, I think.

Do you think we're past that, it's moved on and now that the convention has actually started and there's stuff to talk about, that no one's really looking back to that?

ROSEN: Oh, Soledad, your cynicism was probably not unfounded.

So -- I think what originally happened was that the Obama campaign assigns speech topics. That's their right, that's what every nominee campaign does with all of the speakers of the week, even former presidents. And President Clinton, I guess, didn't like his speech topic. He wanted to talk about the economy. He sees the economy right now as being very similar to the challenge that they faced in 1992 when there was like a laser like focus on real people's lives, real people's struggles. And I think that was kind of the case he was counting on making.

Unfortunately, he's speaking on national security night. So, there has been a little bit of back and forth.

O'BRIEN: He's a good speech giver. He could segue briefly into the economy.

ROSEN: My guess is you're going to see a pretty good mix of both. I think ultimately after that -- they had it out in public a little bit. They came to the conclusion that pretty much anything he said, as long as it was really, really, really nice about Barack Obama, would end up being fine.

O'BRIEN: There is a new ad that John McCain has put out. I'm going to play a couple of seconds of it.

Can you guys roll that -- play that?

(BEGIN VIDEO CLIP, MCCAIN CAMPAIGN AD) NARRATOR: Your children are safe and asleep. Who do you want answering the phone?

Uncertainty. Dangerous aggression. Rogue nations. Radicalism.

SEN. HILLARY CLINTON (D), NEW YORK: I know Senator McCain has a lifetime of experience that he will bring to the White House, and Senator Obama has a speech he gave in 2002.

NARRATOR: Hillary's right. John McCain for president.

(END VIDEO CLIP)

O'BRIEN: OK. So right there, that can't -- you can't unring the bell. Sounds like she just said she thought McCain would be the best next president to me. How do you undo that in a speech? Talk about another mountain to climb.

ROSEN: Well, I think you don't -- you do as much as you can, and then you let Joe Biden do the rest on that particular issue of foreign policy. You know, that's really where the Biden choice helps Senator Obama, helps this campaign significantly. Because, the phone rings once, but then there's a red line to the VP's mansion, too. I think that Hillary Clinton is going to make the case that the pair of Obama and Biden is a critically exciting and talented and deeply intelligent pair with good judgment.

And I think she's also going to talk about her evolution in seeing Senator Obama travel around the world and handle himself as a foreign leader. So -- but, John McCain better be careful what he wishes for, because every single person on his short list has said crappy things about him. And if he keeps putting out these ads where their only messages are things his former opponents -- the former opponents say about Barack Obama, he's going to have a miserable couple of weeks after his convention.

O'BRIEN: So sort of a let's see when he announces his vice presidential pick.

ROSEN: Exactly.

O'BRIEN: We'll see who is still in it then.

All right. Well thanks so much. Hilary Rosen, always nice to talk to you. Certainly appreciate it.

ROSEN: You too.

O'BRIEN: Political director of the HuffingtonPost joining us today.

ROSEN: Take care Soledad.

O'BRIEN: Up next, here's a question for you -- ever wonder what it feels like to go out and speak in front of 75,000 people? We're going to talk to our next special guest right after these messages. (COMMERCIAL BREAK)

O'BRIEN: Welcome back, everybody. Looking at the podium at the Pepsi Center in Denver, Colorado. We spoke earlier this morning with Jim Wallace of the Sojourners, who made the point that God is nonpartisan. Well, joining us this morning, we talk with Rabbi David Saperstein of the Religious Action Center of Reform Judaism. He's going to be giving the invocation on Thursday at what's expected to be a massive rally, massive meaning 75,000 people-plus. That is outdoors at Denver's INVESCO Field.

Nice to see you, Rabbi. Thanks for talking with us.

Give me your sense of -- first, are you nervous? You're delivering an invocation, you're the kickoff to the big speech. That is a lot of people, outdoors. What's your message going to be? Give me the sense of the significance of what you're trying to say?

RABBI DAVID SAPERSTEIN, DELIVERING INVOCATION THURSDAY: Well, first, far more honored than nervous, Soledad. Secondly, the custom of giving invocations at extraordinary public events of all kinds, including the conventions of both parties, is a long tradition, and clearly asking for God's guidance to those who are chosen to be the leaders of this party and chosen to be the leaders of our country and raising up the moral issues that our country faces in keeping with the long prophetic tradition of the Abrahamic phase (ph). Those would be the centerpiece of my remarks.

O'BRIEN: Senator Obama's position on Israel has been fairly mainstream. But there are people who say, but you look at Reverend Wright and that whole controversy, that messy controversy, and they ask the question, does Barack Obama have a problem with Jewish voters? Do you think he does?

SAPERSTEIN: He clearly -- it clearly has been a challenge for him. No one who's known him even back at the time he went to school or his early work in Chicago has ever heard him say anything about Israel or Jews other than very positive things, so that seems to be deeply rooted with him. And of course the selection of Joe Biden who is regarded as one of the great pro-Israel senators of this generation of the United States Senate, I think, solidifies the message of a pro- Israel stance for the campaign.

When Senator Obama spoke at the APAC Convention, he got an extraordinarily positive response from people there. So I think that this is something, and APAC has said, that both Senator McCain and Senator Obama have strong pro-Israel records. I think in the end this will be neutralized as an issue and -- seen as having strong pro- Israel credentials.

O'BRIEN: Do you think Reverend Wright and that whole flak has also been neutralized as an issue?

SAPERSTEIN: Well, you know, both of the candidates have had to deal with statements by ministers who have either supported of them or endorsed them for the presidency that were deeply problematic and had to distance themselves from those statements and from the ministers. So, you know, it's hard to know. If nothing else comes up, I presume that both of the campaigns will have moved past the flak surrounding the ministers surrounding them.

O'BRIEN: Final question for you -- what do you hope to see come out of this convention? By Thursday evening, you'd like to say what?

SAPERSTEIN: That America comes to grips with the fundamental social justice, moral challenges that our religious traditions have been at the core of what we're about, the protection of God's creations, the care for the poor, the widow and the orphan and the weak and the vulnerable, a sense of responsibility to freedom of all human beings in supporting freedom across the globe, speaking out against genocide wherever we see it from Darfur to cultural genocide in Tibet and elsewhere.

These are the issues and I hope there will be solidarity between both parties. These ought not to be politically divisive issues, but issues that unite country in its determination to do the right and moral thing.

O'BRIEN: Rabbi David Saperstein joining us this morning. Thanks for talking with us. We certainly appreciate it.

That's it for me. I'm Soledad O'Brien at the CNN Election Center in New York -- or I should say that it's for me for about the next 15 minutes.

We're going to continue our nonstop coverage of the convention. Back to CNN NEWSROOM, though, for a few minutes after these messages. Stay with us.

(COMMERCIAL BREAK)

HARRIS: And welcome back, everyone, to the CNN NEWSROOM. I'm Tony Harris. Heidi Collins is on assignment.

You saw Rob Marciano there just a moment ago. We'll talk to him in a second. We want to give you the latest information on a hurricane with a dangerous growth spurt. Gustav forming early today as a Category 1 storm and already closing in on Category 2 status. And if it hits the Gulf of Mexico's warm waters as expect -- well let's talk to Rob about that.

We are in the severe weather center.

Rob, good morning. If it hits the Gulf of Mexico, the warm waters, it's anyone's guess.

ROB MARCIANO, AMS METEOROLOGIST: This -- we haven't seen the track or a development like this since '05 and it's starting to look like one if not more of the Ritas, Wilmas, and/or Katrinas. So, that obviously has us on alert.

Show you the satellite picture -- you can look at this thing. It's definitely been flaring up like a friend you don't want coming to dinner, you know what I'm saying? Haiti and south of Port-Au-Prince is where it's located, very close, by about 50 miles. It's got 90 mile an hour winds. And it -- it hasn't strengthened much in the past few hours, but 12 hours from yesterday morning until about 6:00 or 7:00 this morning, it certainly has rapidly intensified.

We do expect it to continue and intensify. This is the latest forecast out of the National Hurricane Center as of 11:00, Cat 1, get it to Cat 2, probably tonight or tomorrow, Cat 3 just underneath Cuba. And then getting into the Gulf of Mexico over the weekend, likely somewhere in the central Gulf, give or take a couple of hundred miles, Sunday morning if not sooner.

So, water temperatures here are 85, 86, and in some cases 87 degrees Fahrenheit. That is very, very toasty water, something that hurricanes love to feed on.

Wasn't a hurricane, but a nasty tropical storm. This is what's left over with Fay. Still feeding moisture from the Gulf of Mexico, still streaming it into an atmosphere that is potent for a thunderstorm that could produce tornadoes. So a tornado watch box in effect for much of Georgia until 7:00 tonight.

Good news with this, Tony, as you know, a lot of this much-needed rain is getting to the drought-stricken areas. So there are pluses to these tropical systems.

HARRIS: As we like to remind ourselves from time to time.

All right, Rob. Appreciate it. Thank you, sir.

A small community with a big problem thanks to Fay. The storm's torrential rains have pushed people out of their homes and run animals out of their habitat. Dangerous animals, we could be talking about gators here. Our Susan Candiotti is covering the story in Geneva, Florida.

Susan, good morning. Be careful.

SUSAN CANDIOTTI, CNN CORRESPONDENT: Good morning, Tony.

Don't worry, I don't see any alligators around here. And it's not like they're rampant.

But this is a -- we're on a double yellow line, in the middle of a street that leads straight down to Lake Harney, just down there a piece. A lot of homes back here. Some on the lake, some now. And because the water was crested, has risen over the lake, some of the alligators and I'm told there are a ton of them that live in there, have been meandering out here in the neighborhood, occasionally.

Now, they do that anyway when the weather isn't bad. But now, they're doing it even more so.

In any case, let me show you a little bit as we toured around this area. About 100-150 homes affected. Some underwater, some are not. We visited with one man by the name of Scooter Isbell. Lived here only about two years and to say the least, he's going around to take a look around, he's got 14 inches of water in the house. He has to move some things up to the second floor to avoid possible damage. And he's discouraged to say the least.

(BEGIN VIDEO CLIP)

SCOOTER ISBELL, HOMEOWNER: All the work it's going to take to rebuild it. I ain't leaving. That's why I bought it out here. Isolation and seclusion.

(END VIDEO CLIP)

CANDIOTTI: So, of course, these people love living out here. But they say this is worse than any of the storms, the hurricanes back in 2004, 2005. Far worse because Fay came over and just sat here. And the rain has been unrelenting.

So the water is still rising, it's not expected to crest this lake and river -- St. John's River -- until maybe Thursday or Friday. It's currently about two-and-a-half feet over flood stage with maybe another foot to go before things even out. They hope.

HARRIS: They hope. Yes. Susan Candiotti for us in Geneva, Florida.

Susan, thank you.

A plot against Barack Obama or the ramblings of quote, "methed-up yahoos." In Denver, Federal authorities say three men arrested on drug and firearms charges pose no credible threat to the candidate or the Democratic National Convention.

One was arrested during a traffic stop on Sunday. The other two tracked down through Denver area hotels. One allegedly said another made threats against Obama. We should find out more about all of this at a news conference this afternoon.

Despite pleas from President Bush, Russia is recognizing the independence of two break away regions of Georgia; South Ossetia and Abkhazia.

CNN's Phil Black joins us live from Moscow, this morning.

And Phil, even the location of this announcement was interesting coming as it did very close to Abkhazia.

PHIL BLACK, CNN CORRESPONDENT: Indeed that's right, Tony.

The Russian president made the announcement from the town of Sochi. It's on the Black Sea. He has a residence there. But it's actually not far from the border between Georgia and Russia. That region that has brought the world to crisis in recent weeks.

The Russian president has spent a bit of time there over the last few weeks or so. But it was from there that he announced that he is defying the United States and defying Europe. And that he will recognize the independence of these breakaway territories in Georgia -- South Ossetia and Abkhazia.

Now the Russian President Dmitry Medvedev says the blame for this lies with Georgia and in particular its President Mikheil Saakashvili. The fault they say, is when he attacked South Ossetia. The Russian president describes that as an act of genocide. And he said that act of genocide has essentially destroyed all hope of Georgians, Ossetians, Abkhazians, peacefully coexisting together.

Now, a short time ago our CNN colleague Matthew Chance, sat down with the Russian president and spoke to him about those issues.

(BEGIN VIDEO CLIP)

PRES. DMITRY MEDVEDEV, RUSSIA (through translator): For us to take this step was the only opportunity to prevent further bloodshed, to prevent further escalation of the conflict and to prevent further deaths of thousands of innocent civilians.

(END VIDEO CLIP)

BLACK: Now, whatever the justification, Dmitry Medvedev was certainly warned not to do this. But as the United States and Europe said, that Georgia's territorial integrity, its sovereignty must be respected.

Now the Russian president insists this isn't a snub to the west. He says, he doesn't seek but, nor does he fear another cold war. If things escalate to that point, well, he says that depends on how the U.S. reacts to this latest development -- Tony.

HARRIS: Oh, brother.

Phil, if you would, what's the latest on U.S. aid arriving to Georgia?

BLACK: Aid is getting into Georgia. The United States is sending aid in, particular, by sort of the Black Sea, the ports along there.

There was a strong NATO naval ship presence building up in that area, delivering aid. But Russia has said today that it's actually a bit skeptical about that naval presence and its intention. It does not necessarily believe that it is delivering humanitarian aid but could, in fact, be rearming Georgia -- Tony.

HARRIS: OK. Phil Black for us in Moscow. Phil, appreciate it, thank you.

Sisters caught in the cross fire. Two little girls trapped by unrest in the Republic of Georgia. Look at this scene. Now reunited with their parents.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP) LARRY KING, HOST, "LARRY KING LIVE": CNN tonight, live at midnight. A special convention edition of "LARRY KING LIVE." Hillary Clinton takes center stage at the Democratic National Convention. Can she bring her party together, or is she stealing some of Obama's spotlight? Republicans deconstruct the Democrats. CNN tonight.

(END VIDEO CLIP)

HARRIS: Well, we love this story. Two young Americans home from the Georgian war zone. The girls were trapped in Georgia, when fighting broke out. But today, they woke up in their own beds in New Jersey. The sisters aged 7 and 3, were visiting their grandparents for the summer when Russian troops -- wait for the hug -- rolled in.

(BEGIN VIDEO CLIP)

TEA-H EVANS, MOTHER: Mommy was crying. Very exciting and shaky and nervous, everything. I can't even explain you guys. But thank you so much. (INAUDIBLE) Here this man made such a happy day, happy life for me. Return my family back.

(END VIDEO CLIP)

HARRIS: A New Jersey Congressman Chris Smith traveled to Georgia to get the girls back home safely.

Heading to college. How does the class of 2008 stack up? This year's SAT scores just out. And holding at recent lows, the average was 502 out of a possible 800 in critical reading. That's the same as last year, the lowest since 1994. Math scores held steady at 515, the lowest point in a decade. The writing test, which is still a work in progress, held steady at 494. The College Board attributes the lower averages to more young people from a broad range of backgrounds taking the test.

CNN NEWSROOM continues one hour from now at 1:00 p.m. Eastern time. "AMERICAN VOTES 2008" with Soledad O'Brien and John Roberts, begins right now.