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Campbell Brown
New Support for Obama Senate Replacement; Israel Agrees to Gaza Truce Talks
Aired January 07, 2009 - 20:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAMPBELL BROWN, CNN ANCHOR: Hi there, everybody.
Breaking news from the man who wants to replace Barack Obama in the Senate. Just moments ago, we heard from U.S. Senate hopeful Roland Burris.
Bullet point number one tonight: Burris telling reporters in Chicago about the meeting that may have changed his future.
(BEGIN VIDEO CLIP)
ROLAND BURRIS, FORMER ILLINOIS ATTORNEY GENERAL: Now, Senator Durbin and Senator Reid are pretty sharp guys, and I don't have any idea what caused them to -- I'm not going to say that they changed their minds. They could have gotten more information and after all the disclosure and they begin to assess the situation -- I mean, Senator Reid did not know me.
(END VIDEO CLIP)
BROWN: As controversial Illinois Governor Rod Blagojevich's choice to replace Obama, he was a political dead man walking just days ago. Well, suddenly, Senate Democratic leaders may be ready to keep him in Washington.
Also tonight, there is more breaking news from the Middle East. Bullet point number two: the first signs that a truce could be coming to Gaza after nearly two weeks of fierce battle. Israel has just agreed to send envoys to Egypt, which, along with France, has offered to play middleman with Hamas. The question now, will Gaza's rulers agree to meet with their sworn enemy?
And bullet point number three: Barack Obama's biggest moment since his election. Facing official predictions of the longest and deepest budget deficits since World War II, the president-elect will tell us tomorrow how he intends to stop the recession, to turn the economy around.
First, though, "Cutting Through The Bull."
And I have to mention tonight the headline that caught my eye on the CNN ticker earlier today: "Porn Industry Seeks Federal Bailout." Yes, you heard me. The porn industry wants a bailout.
Leave it to Larry Flynt and Girls Gone Wild CEO Joe Francis to take the absurdity of what is going on right now with our federal bailout program to a whole new level. According to their press release, the adult entertainment industry needs $5 billion of your tax money because it has too been hit by the economic downturn.
They concede, now, that the $13 billion industry is no fear of collapse, but they say, in this environment, why take chances?
I don't really think this requires commentary or condemnation, frankly. Just thought you would enjoy it. And we are actually going to take a NO BIAS, NO BULL look at this story a little bit later tonight.
But, back to our top story, this was a day when Barack Obama stood right in the crossroads of history. After he met with President Bush, following the election, the president-elect suggested bringing together all the living presidents, the first White House gathering of its kind in nearly 30 years.
Look at this picture. Obama follows in the shadows of leaders who have faced war, the collapse of the Soviet Union, impeachment, and Americans held hostage. And now these four men are offering their full support to the next man who will occupy the Oval Office.
(BEGIN VIDEO CLIP)
SEN. BARACK OBAMA (D-IL), PRESIDENT-ELECT: All the gentlemen here understand both the pressures and possibilities of this office. And for me to have the opportunity to get advice, good counsel, and fellowship with these individuals is extraordinary. And I'm very grateful to all of them.
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: We want you to succeed. Whether we're a Democrat or Republican, we care deeply about this country.
(END VIDEO CLIP)
BROWN: Tomorrow, the president-elect faces his biggest test since the election, as he spells out his plan to attack the recession to try to get the economy moving.
(BEGIN VIDEO CLIP)
OBAMA: We have an economic situation that is dire, and we're going to have to jump start this economy with my economic recovery plan, creating three million jobs. That's going to cost some money.
(END VIDEO CLIP)
BROWN: How much? Around $775 billion, we are now told.
Obama is also juggling other political issues, like the sudden reversal of fortune for Roland Burris, who now seems a lot more likely to replace Obama in the Senate.
(BEGIN VIDEO CLIP) OBAMA: If he gets seated, then I'm going to work with Roland Burris just like I worked with all the other senators to make sure that the people of Illinois and the people of the country are served.
(END VIDEO CLIP)
BROWN: Add the fighting in Gaza to all of that, suddenly, tomorrow's speech has the feel of a president-elect with little choice but to start his term right now.
Let's go straight to our senior political analyst, Gloria Borger, for a little analysis on all this, and also our chief business correspondent, Ali Velshi.
And, Gloria, let me start with you. And start with that pretty extraordinary gathering at the White House.
GLORIA BORGER, CNN SENIOR POLITICAL ANALYST: Yes.
BROWN: I mean, we would have all loved to have been a fly on the wall for that meeting. I know they sat down for lunch together as well. What do we know about what happened behind closed doors?
BORGER: Campbell, this is the ultimate definition of executive privilege.
(LAUGHTER)
BORGER: These presidents are not going to tell you what they spoke about.
I'm sure that it was very cordial, very mannerly, probably some discussion about raising young children in the White House. But it's also kind of a dicey luncheon they had there. Don't forget, Jimmy Carter has called President Bush the worst president in history. Barack Obama made George W. Bush the poster child for his campaign.
And who knew that, in the end, Bill Clinton and Bush 41 would become great friends working on tsunami relief? But these fellows in the end, Campbell, understand what a lonely office the presidency is. And they have sat behind that desk in the Oval Office. I'm sure they talked to Barack Obama about it, what it's like to make a decision and know that you're the only one in the world who can do it.
BROWN: That's right.
And, as we also mentioned, Obama preparing for this major speech tomorrow. He's going to lay out his plan to jump-start the economy. The stakes couldn't be higher right now.
BORGER: Right.
BROWN: I mean, give us a preview, as much of a preview as you can, because I know they're still not giving us a lot of detail, are they?
BORGER: They aren't.
But I talked to a couple of folks in the transition today who are very familiar with what he's going to say. And they said to me, think of it as a pre-inaugural address. Think of it as the beginning of a campaign, because what it's going to be is the beginning of a sustained communications effort to sell his stimulus package to the country and to the Congress.
So, he's going to outline, in very stark terms, Campbell, the stakes here for the economy, what he wants to do in this $775 billion or $800 billion package, why he's got to do it in the short-term, and then talk about the long-term problems that we face down the road in getting that budget deficit under control, for example, dealing with entitlement programs.
But they understand at the White House that this is very much a campaign that he's going to have to sell to the American people.
BROWN: Yes.
Gloria Borger for us tonight -- Gloria, thanks very much.
BORGER: Sure.
BROWN: And I want to get Ali Velshi's perspective on this tonight, Ali of course who is following the money, and there's a lot of it on the line here.
And, Ali, today, the markets dropped substantially, everybody sort of watching, waiting to see what he's going to say tomorrow. What does he need to say to restore confidence on Wall Street in the financial system? What should we be listening for?
(CROSSTALK)
ALI VELSHI, CNN CHIEF BUSINESS CORRESPONDENT: Well, he's getting socked on all sides.
Let me tell you the problem, the new problem, that he has got right now. And that is the federal deficit, which we have just found out. Look at that number, $1.2 trillion, the federal -- that's the shortfall between what the government takes in and what the government pays out, $1.2 trillion.
The estimated debt for the country, the accumulated deficits is now closing in on $11 trillion. And president-elect Obama says we can expect trillion-dollar-plus deficits for the next few years.
See how has this in gone. In 2007, the deficit, the yearly deficit was $161 billion, 2008, $455 billion. We were all worried about it at those levels -- $1.2 trillion. So, you asked me, what must Barack Obama have in his speech?
Well, the one thing he's got to talk about is gaining back trust. Americans don't trust Wall Street. They don't trust Washington right now. They need to -- Barack Obama has to talk about how he's got people's interests at heart.
He needs to talk about honesty. Remember, this recession started in December. Our viewers knew there was a recession last December, December of 2007. The administration didn't come clean on the idea that the problems were as serious as they were until months later. This administration has to come clean on everything.
And two days from now, Campbell, on Friday morning, less than 48 hours from now, we are going to get the jobs report for December. And we are now looking again in that range of half-a-million people having lost their jobs in December. So, jobs, jobs, jobs has got to be a focus at some point in this speech.
What's he likely to say? Well, he's going to have to tell people that it gets worse before it gets better, because he's now not campaigning against a sitting administration. He's now the cheerleader in chief for the economy. So, he's got to set the expectations. And the expectations are poor.
He's got to talk about his economic dream team, how he has assembled the best people possible to fight this problem. He's going to talk about the tax cuts. We talked about that last night, Campbell, the infrastructure building, and the energy, alternative energy infrastructure that he wants to build with some of that stimulus money.
And he's got to express the fact that he continues to feel the pain of the American people, because we are feeling pain like we have not seen in decades, Campbell. So, it's a very, very tall order for Barack Obama tomorrow.
BROWN: Indeed, it is. Ali Velshi for us tonight -- Ali, thanks.
So, here's the question now. Can one man's words really change the economy? In a moment, we're going to talk to our panel, best political experts around, about what Obama needs to say to get Congress on board to begin to get this mess fixed.
And then later, China's influence at the White House, and we're not talking about the country here. Our "Political Daily Briefing" samples some high-ticket merchandise just arriving now in Washington.
Plus, some critics have called the federal financial bailout obscene. We're going to tell you why that could take on a whole new meaning.
(COMMERCIAL BREAK)
BROWN: As he keeps reminding us, Barack Obama is not president yet, but in the midst of crisis upon crisis at home, abroad, he is giving this major speech tomorrow just outside of Washington. And with many Americans looking for him to rescue the economy, this could be the most critical moment of his I guess early presidency or pre- presidency before we even get started here.
Our political panel ready to talk about what Obama needs to say tomorrow, Republican strategist Kevin Madden, CNN senior political analyst Jeffrey Toobin, and CNN political analyst Roland Martin.
Guys, back with me once again.
Jeff, start us off here. This is, I guess, a first big test of whether he really can deliver. What does he have to accomplish?
JEFFREY TOOBIN, CNN SENIOR ANALYST: Well, I think he needs to get his package through Congress.
But, you know, I would dissent a little bit about the stakes of the speech. I think he's now in the realm of results are what matters. You know, no one will care about this speech if the economy continues to go badly. If it goes well, the speech will be perceived as brilliant. The results matter now. The economy is Barack Obama's problem.
BROWN: Wheeling and dealing, Kevin. You know, you expect to hear Obama use his speech to send signals to Congress, especially the opposition, who he will need, at least a couple, on board to make this happen. What are the codewords we should be listening for to know that he is reaching out, targeting Republicans?
KEVIN MADDEN, FORMER ROMNEY CAMPAIGN NATIONAL PRESS SECRETARY: Right.
Well, I think, first, Campbell, this is the Barack Obama easing into the bully pulpit role. And it's much less of being a candidate. Whereas, when you're a candidate, you're running against somebody, this is going to be Barack Obama running for something and trying to use, you know, millions of people to try and change 535 different opinions up on Capitol Hill.
So, you're going to hear him try to reach out to Republicans. He's going to use words like investment, recovery. He's going to use words like stimulating, growth. Those are going to be the signals that he's going to try and send that this is a bipartisan olive branch of a stimulus package that is designed not only to beat Republicans, but it's there to get Republican votes, Democrat votes, and offer solutions to the American public.
BROWN: Roland?
ROLAND MARTIN, CNN CONTRIBUTOR: And, Campbell, you forgot those critical words. You're going to hear tax cuts, tax cuts, oh, tax cuts, tax cuts.
(LAUGHTER)
BROWN: There we go. That's the codeword I was looking for, Roland.
(CROSSTALK)
MARTIN: That's what he's going to be saying. And, trust me, we will be counting how many times he said the words tax cuts at the end of the day. Campbell, I think one of the things he also must do, though, he must also focus on accountability, because what we have seen with these previous bailout packages, people have been saying, not enough accountability in terms of CEO pay, pay raises, not enough accountability when it comes to disclosing when he got the money.
He has to say, we in Congress, we the government will be accountable. But he's also going to have to challenge the American people and say, you know what, it's not just about us. You also must be a part of this as well.
And, so, it's going to be a share deal. Expect to hear we a lot as well, which he's always used throughout this campaign for the last two years.
BROWN: Kevin...
MADDEN: And I bet you hear a little bit of action, action, action, too, and how the need to really move very quickly on it.
BROWN: Let me ask you, though, about what may be going on behind the scenes, because as Obama is sort of reaching out to Republicans, are we seeing a little bit of a turf war among Democrats? Some in the leadership, Democratic leadership, have been sending these signals that they're not going to roll over for Barack Obama.
For example, yesterday, Harry Reid told one publication -- quote -- "I don't work for Barack Obama. I work with him."
What do you think is going on behind the scenes here?
(LAUGHTER)
MADDEN: Ah, that's great for us Republicans to hear that internecine warfare. We need that right now. We need anything.
But, look, I think this has a lot more to do -- I can't help but think this has a lot to do with the fact that, not even a year ago -- it was only a couple months ago that Barack Obama was a colleague. He was a junior senator from Illinois. And now he's at the other end of Pennsylvania Avenue. And he's the president of the United States.
And there's always a saying on Capitol Hill that it's the House, the Senate, and then the enemy is the White House. So, I think there's a little bit of that. There's a lot of ferocity when it comes to protecting turf wars up on Capitol Hill. And senators are especially vigilant about protecting the checks and balances of the Congress. And they're not going to just roll over and do whatever it is and rubber-stamp the White House.
(CROSSTALK)
MARTIN: Campbell, real quick, what that means is, they want their way as well. They don't want just him to say, here's what I want. They want to get their stuff in this stimulus package as well.
BROWN: Right.
TOOBIN: Well, but this is a very different time from 1993.
In 1993, the Democrats wanted to show Bill Clinton who was boss, who were in charge of Congress. And they all wound up getting wiped out. Congress recognizes now that they have to make Obama succeed.
So, sure, there are a lot of egos at play here, and the Senate is full of people who think they should be president, but the Democrats realize now that this is not a time to teach Obama a lesson. It's to succeed or fail together.
BROWN: Let me ask you about, Jeff and everybody, another point, though. This just came up today, Obama's Cabinet appointees now seeming to come under greater scrutiny.
Yesterday, powerful Republican Senator Arlen Specter questioned attorney general-appointee Eric Holder's character and ability to be independent. He basically said, what we don't need right now is another Alberto Gonzales.
Are we going to start seeing more of this? They have had a very smooth ride so far, but these things are starting to crop up now.
TOOBIN: I think Arlen Specter is making an excellent point here, because there have been problems throughout American history when attorney generals are too close to the president, whether it's John Mitchell and Richard Nixon or Alberto Gonzales and George Bush.
Now, I think it's a somewhat unfair attack against Eric Holder, but raising the issue of legal independence is a good thing. And I don't think there's any chance Eric Holder's going to lose confirmation, but, you know, this shot across the bow I think is an intelligent thing to do.
(CROSSTALK)
BROWN: Well, Roland, is that a fair point? Especially what we saw with the Bush administration, is that -- that all of Congress, Democrats and Republicans, would like to see that job in particular be a little bit more independent from the White House.
MARTIN: Well, first of all, it would be nice if Arlen Specter had said that before John Ashcroft and Alberto Gonzales. And so I'm glad he all of a sudden got religion.
Look, he's selling wolf tickets. He's trying to appeal to the right. But he's trying to show that he's tough enough. But, look, you can talk about all day about in terms of how he didn't push back enough in terms of Eric Holder against President Clinton, but this is the guy who also had the special prosecutor against Bruce Babbitt, was the secretary of interior for Bill Clinton, who also approved the extension of Kenneth Starr expanding that investigation.
He also led the investigation against Dan Rostenkowski that threw him in federal prison. So, it's not like he was in lockstep with Bill Clinton the entire time.
BROWN: Right.
Kevin, your thoughts on this.
MADDEN: Well, look, real quick, you know how -- Jeffrey made a point of this before. You know how every senator wakes up and they look in the mirror and they see a president.
Well, every member of the Judiciary Committee wakes up and they see an A.G. looking back in the mirror. They're going to give him a very, very tough confirmation hearing.
BROWN: All right.
TOOBIN: That's what I see too, especially now that Sanjay got such a good job.
(CROSSTALK)
BROWN: I didn't know you had those aspirations, Jeff Toobin.
(CROSSTALK)
TOOBIN: Don't forget. No one else sees it, just me.
BROWN: Roland, what are you lobbying for?
MARTIN: Look, forget that. All those jobs, that's a pay cut. I'm not taking any of them.
BROWN: OK. All right.
(CROSSTALK)
(LAUGHTER)
BROWN: Wait. Guys, stick around. You're not going anywhere. We have got more to talk about.
Coming up, are Senate Democrats the gang that couldn't shoot straight on one issue in particular now? First, on Obama's vacant Senate seat, they won't seat Roland Burris. Well, now they're done quite a turnaround. They're praising him. Were party leaders outfoxed by Illinois Governor Rod Blagojevich?
Also ahead, Senate candidate Al Franken as you have never seen him before. I'm not going to spoil the surprise here, but, trust me, you're not going to want to miss the "Political Daily Briefing" tonight.
And then later NO BIAS, NO BULL, no kidding -- how the porn business is hustling for a government bailout.
(COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
BURRIS: In my conversation with Majority Leader Reid and Majority Whip Durbin, we don't anticipate any type of a roadblock once the procedures are done.
(END VIDEO CLIP)
BROWN: Well, a lot has changed in just one day for Roland Burris. Today, less than 24 hours after he was barred from the Senate floor, Burris had a warm meeting with Majority Leader Harry Reid. And tonight as you just heard, odds are he is actually going to be the next senator from Illinois.
So, we want to go to Tom Foreman in Washington, who is a wiz at following warp-speed politics.
And, Tom, please help us make sense of the Roland Burris wheel of fortune.
TOM FOREMAN, CNN CORRESPONDENT: Campbell, it just doesn't make any sense. A Democratic insider tells CNN what anybody can see right now. Roland Burris has called the Senate's bluff, and they have blinked. A little more than a week ago, look at this, he stood beside the man accused of trying to sell Barack Obama's Senate seat, Illinois Governor Rod Blagojevich, and Democrats far and wide said they would no way accept anyone selected by this governor for that job.
But look at the picture today: Burris sitting between two of the top Dems who led the charge against him, Senate Majority Leader Harry Reid, senior Illinois Senator Dick Durbin over here. And he is looking pretty comfortable.
(BEGIN VIDEOTAPE)
GOV. ROD BLAGOJEVICH (D), ILLINOIS: Please, don't allow the allegations against me to taint this good and honest man.
FOREMAN (voice-over): From the moment Burris was picked, top Democrats said the appointment should not, could not, would not be allowed. Barack Obama opposed it. All 50 Democratic senators signed a paper against it. The Illinois secretary of state refused to certify it. And, when Burris showed up at the Capitol, he was turned away.
BURRIS: I will not be accepted and I will not be seated and I will not be permitted on the floor.
FOREMAN: That was yesterday, but, today, the tide has turned dramatically. The Senate Rules Committee chair, California's Dianne Feinstein, now says the appointment was legal. The Congressional Black Caucus is openly backing Burris. And Harry Reid, who consulted with the president-elect, is now saying, let's see what happens.
SEN. HARRY REID (D-NV), MAJORITY LEADER: I'm happy to have the opportunity to meet him. We're going to have a productive discussion, and we will talk to you guys later. (END VIDEOTAPE)
FOREMAN: So, where does it go from here?
Well, clearly, Burris has momentum. He's asking an Illinois court to force state officials to certify his appointment. If that happens, the Senate Rules Committee will then take a look at the matter. And then the entire Senate might debate it.
All of that, of course, could take several weeks. But, contrary to what almost all the big Democrats said just a few days ago, when the music stops, it increasingly looks like Mr. Burris might have a chair in Washington -- Campbell.
BROWN: Who would have thought?
(CROSSTALK)
BROWN: Tom Foreman for us tonight -- Tom, thanks.
So, this revolving door at the Capitol will make you dizzy these days. Burris is out. Now he could be in. Tough to keep track of it all. Let's bring back the panel, Kevin Madden, Jeff Toobin, Roland Martin.
Jeff, I think you actually made this point very recently, that the Democratic Party has, of course, always been known and always been criticized for a lack of party discipline. Is that part of what happened here?
TOOBIN: It's part of what's happened here.
And, you know, shame on them. Shame on them for this disgraceful performance of letting Blagojevich proceed with this. But you know what? Shame on me, too, because I believed them.
(CROSSTALK)
TOOBIN: I actually believed that they were saying what they meant and that they actually cared that this corrupt process was allowed to go through and that Burris was anything other than a cynical hack who was doing anything to become a senator. But, you know, I was wrong. They are much worse than I thought they are.
(LAUGHTER)
(CROSSTALK)
BROWN: Poor Jeff. Jeff has lost his faith in the political system here, guys.
Roland, what do you think?
TOOBIN: Yes.
MARTIN: Well, first of all, I was saying for all this time that he was going to get the job. Why? Because it's the law.
We can talk all -- look, I got a piece on CNN.com laying this whole deal out, in terms -- it was all legal. We could talk about perception. We could talk about moral, what was right, what was wrong. He shouldn't have done it.
But the law was with Blagojevich the entire time, because Democrats never took the power from him. And so they can -- and here's what's hilarious, Campbell. Now Jesse white is now angry, saying he's being used as a pawn by the U.S. Senate, saying they could have taken Burris without his signature.
And so the guy who they were praising last week, now he's mad at them. It's all hilarious. Dems are totally screwed up.
BROWN: Kevin, I'm sure you're enjoying this.
(CROSSTALK)
MADDEN: No, I mean, look, they totally outfoxed the Capitol Hill Democrats. This has nothing to do with the law. This was brilliant politics.
Blagojevich -- these guys, it was like as if two casino sharks had come in and taken over a bingo game in the church basement with old ladies playing.
MARTIN: That's right.
(CROSSTALK)
(LAUGHTER)
MADDEN: There was no match for the Chicago political machine.
(CROSSTALK)
TOOBIN: The one thing worth asking is, Blagojevich clearly outfoxed Harry Reid and Barack Obama in this whole scenario.
And the answer is, so what? He gets his senator in, but that doesn't keep him out of prison. I think this is a tactical victory, and he makes everyone else look silly. But Blagojevich is in just as much trouble today as he was when he was arrested three weeks ago.
MARTIN: Yes, but you know he's sitting back smiling right now, saying, gotcha, gotcha.
(CROSSTALK)
BROWN: OK, so let's not be so cynical for just one moment.
And, Roland, I mean, wouldn't like the people of Illinois and frankly wouldn't Burris be served better, you know, if there wasn't this taint, this cloud that's clearly hanging over him as he steps into this role? MARTIN: Of course, but the reality is the governor never resigned.
Secondly, the Democrats in Illinois never took the power out of his hands. And, so, look, where would we be left? If Blagojevich had not made the appointment right now, there would not be a U.S. senator. The Illinois Assembly, they have not moved. He has not been impeached. They have not called for a special election.
And so the reality is, if he didn't appoint him right now, Illinois would only have one senator.
BROWN: Do you think the argument -- because this argument was made strongly by a lot of his supporters, that he is the only -- would be the only black senator. Do you think that gained traction, that there was an element of race that came into this?
TOOBIN: I think it did. And I think that's another shameful action of this.
You had people like Bobby Rush, who was so outraged that they would keep an African-American out of the Senate. But Bobby Rush didn't support Barack Obama when he was running for the Senate for the Democratic nomination, so it's not like Bobby Rush cared that much just a couple years ago. I just think this was a cynical manipulation of the race issue. But I don't think it mattered in this context.
BROWN: And, Kevin, after the circus that surrounded this appointment, assuming that he will, in fact, be seated, what kind of senator is he going to be? Will he be taken seriously? Are they going to partner with him, work with him? Or are you a little bit radioactive after something like this?
MADDEN: Well, look, you know what the amazing thing is, that there are so many senators who have been up there 10 -- I'm sorry -- six, 12 years, and nobody knows who they are. And Burris is now one of the most well-known, recognized Democrat senators.
BROWN: It's a fair point, for better or worse.
(LAUGHTER)
MADDEN: And that may be a good thing for Burris, but it's going to be a very difficult thing for Capitol Hill Democrats, because essentially his appointment was so tainted and it was the result of so much controversy.
(CROSSTALK)
TOOBIN: Larry Craig was very famous, too.
(CROSSTALK)
TOOBIN: ... famous is not a huge advantage always.
MADDEN: It's true. MARTIN: And, Campbell, I will tell you this.
BROWN: Yes.
MARTIN: If there's a very close vote, trust me, they will love Roland Burris' vote.
BROWN: We're all so dark.
Jeff, you have been disappointed and hurt by this whole process.
TOOBIN: What am I going to do?
MARTIN: I'm just not shocked by it all.
BROWN: I know. I know.
TOOBIN: I know. Roland was right, and I was wrong. Let's be fair here.
BROWN: OK.
You won this one, Roland.
Thanks, guys, Kevin, Jeff, Roland.
MARTIN: No, I think Blagojevich won this one.
(LAUGHTER)
BROWN: Yes, absolutely.
Still to come tonight, remember the earmarks that so many politicians slammed during the campaign? Well, they are still out there. Earmarks tonight, we're going to talk about that, your tax dollars at work. We were stunned about this one, lobster cam. We're going to tell you about that, along with some other favorites of how Congress is spending your money.
Also ahead, truly the worst, chilling transcripts, cell phone conversations between the mass murderers in Mumbai and their terrorist masters. You're going to want to hear this when we come back.
(COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
NAOMI CLARK, 1ST GRADE, WOOD PARK SCHOOL: Dear President-elect Obama, congratulations. You are going to be our first black president. I hope you like being it. Love, Naomi. I put smiley faces, hearts and stars for decoration. Bye.
(END VIDEO CLIP)
BROWN: Very creative, 6-year-old Naomi Clark of Commack, New York. Her family says another president from Illinois inspired her love of the White House after she visited the Abraham Lincoln Museum in Springfield.
Well, if you are feeling inspired, we'd love to see your letter to the next president. Look for the iReport link on our Web site CNN.com/campbell.
We go from Arizona to Australia to China in tonight's "PDB," the "Political Daily Briefing" full of solid gold nuggets from CNN contributor Dana Milbank, national political correspondent for the "Washington Post."
Dana, how are you?
DANA MILBANK, CNN CONTRIBUTOR:: Good, Campbell.
BROWN: After a long presidential campaign, I understand it is back to business as usual for some of the key players, right?
MILBANK: That's right. As Obama's going off to start his new job this month, the vanquished candidates going back to their old jobs. Mitt Romney is returning to the board of directors of the Marriott Hotel chain.
John McCain starting a new political action committee called "Country First." But the former nominee sights are now a bit closer to home, I think. Among the bills he's introduced in the new Congress, the Arizona national scenic trail bill and the Indian arts and crafts amendment.
BROWN: OK. Not exactly what I would have guessed, I guess. Anyway, I hear you also have an update over the Obamas having to stay at a hotel for a few days rather than at the traditional Blair House, the guest house of the White House. What's going on?
MILBANK: Well, as we discussed in an earlier "PDB," the Obamas had asked to move into Blair House across the street from the White House so their girls could start school this week. The Bushes said no. And now we know why.
On Monday, former Australian Prime Minister John Howard will be sleeping in the 119-room mansion. Now, it's not exactly clear why the White House didn't just move Howard somewhere else. As they say down under, these guys must be a couple of snaggers short of a barbie (ph).
BROWN: OK. Not exactly sure what that means.
MILBANK: Well, it's sort of like you're having a few kangaroos loose in the top attic.
BROWN: Right, exactly. That clarifies things tremendously.
Moving on, there's apparently an old video that has surfaced about one potential senator. Tell us about it.
MILBANK: Well, Minnesota Secretary of State Mark Ritchie told CNN today that the recount in the state Senate race was as accurate as humanly possible, but Republican Norm Coleman, the loser in the final tally, has filed a lawsuit. Coleman may wish to show the court this old video of the winner, Al Franken, that has surfaced on YouTube.
Now pretty soon, Minnesota, that piece of burden could be your United States senator.
BROWN: He was good. He was really good.
MILBANK: Wait until you see him on the Senate floor.
BROWN: I can't wait. Some pretty slick moves there.
Finally, the White House unveiling new China, I understand.
MILBANK: Yes. Now that the country is in the depths of recession, the new Bush White House state China has arrived worth $500,000. It's a gold-ream set. Now, it has been paid for by private funds, but the first lady was still apologetic as she unveiled it today. Let's listen to her.
(BEGIN VIDEO CLIP)
LAURA BUSH, FIRST LADY OF THE UNITED STATES: Obviously, when we started these -- designing these and working with these and determining whether or not we would acquire these, the economy was a lot better than it is today.
(END VIDEO CLIP)
MILBANK: Well, the truth is, Bush didn't much like state dinners anyway and his favorite China pattern truthfully would probably be the paper wrapper around his hot dog.
BROWN: No. That's a fair point.
Dana Milbank for us tonight. Dana, as always, thanks.
MILBANK: Thanks, Campbell.
BROWN: Coming up, take a look. Can you spot the medical problem that some Florida doctors are accused of missing three years ago? We're going to have a story update for you in just a moment.
And we'll tell you why the financial bailout could be getting an x rating.
(COMMERCIAL BREAK)
BROWN: The latest industry to ask for a Washington bailout? Well, you might call it obscene on more than one level. That is still ahead, but first Randi Kaye is here with me with "The Briefing" tonight -- Randi.
RANDI KAYE, CNN CORRESPONDENT: Hi there, Campbell. There is new hope tonight for an end to the fighting in Gaza. On the 13th day of violence, Egypt's U.N. ambassador says Israel, Hamas and the Palestinian Authority have agreed to go to Cairo for cease-fire talks tomorrow. Today, a three-hour truce to allow humanitarian aid into Gaza fell apart in just minutes.
A chilling new account of the Mumbai terror attacks in the words of the attackers and their handlers. In cell phone transcripts just published, the ten young gunmen are calmly and coldly instructed to kill foreign hostages. One hundred sixty-five people were murdered in those attacks.
A serious health crisis for a former vice presidential candidate, Jack Kemp, Bob Dole's 1996 running mate, has an undisclosed form of cancer. Kemp is 73. He's been U.S. housing secretary, a congressman, and the Buffalo Bill's quarterback.
People on both coasts are battling extreme weather tonight. Heavy rain caused flooding in road closures across the south. A landslide destroyed a home in North Carolina. And in the northwest, some highways are closed due to an avalanche threat. In the northeast, sleet and freezing rain shut down dozens of schools. More snow is in the forecast.
And a former hospital may face a lawsuit from a patient who says doctors missed something. Take a look at her x-ray. Maybe you'll see what they missed, a knife blade lodged in the back of her neck.
The Jacksonville woman was stabbed three years ago. Her lawyer says the emergency room doctors just stitched her up and sent her on her way.
BROWN: Wow. It looks like she has a pretty good case.
KAYE: You think so.
BROWN: Randi Kaye for us tonight. Randi, thanks.
We don't know everything that's going to be in President-elect Obama's economic stimulus plan, but we are guessing there won't be anymore money for lobster cams. What does that mean? We're going to explain in just a moment.
(COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
OBAMA: One of the things that I think is important is that we do not have earmarks in this package. You know, I've said before, I think it's entirely appropriate for members of Congress to want to have some say in terms of projects that take place in their district. Many of the projects that they might advocate for are worthy, but this isn't the place to do it.
(END VIDEO CLIP)
BROWN: You heard the president-elect. His economic stimulus package will be 100 percent pork free. On Capitol Hill today, Senator John McCain and other lawmakers went even further demanding the elimination of earmarks, period. Fueling their case, an outrageous new list of lawmakers' pet projects being paid for with our money. And senior correspondent Joe Johns is in Washington to tell us more -- Joe.
JOE JOHNS, CNN SENIOR CORRESPONDENT: Hey, Campbell. Well, it's the second day of the brand new Congress and that's all the time it took to renew the war against congressional earmarks and pork barrel spending. Remember, 12 months ago, Congress started the fight to get rid of those pesky federal spending projects that just seemed to pop up everywhere. And now, a lot more people are on board, including Barack Obama.
Arizona Senator John McCain, you'll also remember earmarks have long been his favorite target today pointed out a few of last year's earmark greatest hits, including $188,000 of your money spent on something called the Lobster Health Coalition at the lobster institute in Maine. Perhaps they're best known for and I'm not kidding, lobster dog biscuits. If you think that's a creative way to spend your money, then you'll love this.
(BEGIN VIDEO CLIP)
SEN. JOHN MCCAIN (R), ARIZONA: The Lobster Institute has been working on its lobster cam. That's lobstercam.com. This is a lobster trap at the bottom of the ocean with a camera in it.
(END VIDEO CLIP)
JOHNS: That's close, it's actually called thelobstercam.com, but the last time we checked, no TV signal and no made-for-TV crustaceans. They do have some archive picks. We called and e-mailed the Lobster Institute today. No response.
Our colleagues at "Time" magazine have also collected their top ten list of most outrageous earmarks of the last year. And yes, the Lobster Institute made their list too. One of theirs and ours was the tax break worth up to $2 million that the government gave to makers of children's wooden arrows.
That's right. Wooden arrows. And this tax break was tucked into, of all things, the big bailout bill that was rushed through to keep the economy from collapsing. Then there was the $98,000 to arrange a walking tour of a place named Boydton, Virginia. Though respectfully other than maybe the courthouse, there's not much to see.
The "Time" magazine list includes one earmark we almost missed. Another one from former Senator Ted Stevens of Alaska. $150,000 to get rid of the rats in the Aleutian Islands.
Rats. Of course, rats have been in the Aleutian and almost everywhere else for a very long time, longer even than congressional earmarks. But our guess is rats will finally disappear about the same time Congress gets over its urge to spend your money on pork.
BROWN: Yes, when is that going to truly happen? Joe Johns for us tonight.
The rats, unbelievable. Can we get a little cash to get rid of rats in New York?
JOHNS: Yes, or Washington.
BROWN: All right. Joe Johns, good to see you. Thank you, Joe. Appreciate it.
Of all the crazy things the government is spending our money on, there is another group lining up for a handout, the porn industry. That story in a moment.
(COMMERCIAL BREAK)
BROWN: "LARRY KING LIVE" coming up at the top of the hour, and tonight, a unique look at the pressures facing the president-elect from one of the country's most prominent religious leaders.
Larry, who's your guest tonight?
LARRY KING, CNN ANCHOR: Hey, you got it, Campbell. It's Bishop T.D. Jakes. He's with us tonight. He knows our next president, got a lot of insight into Barack Obama. And we'll get his take too on the Travolta tragedy and how to get through grief.
We'll also have the latest on the continuing puzzle that is the Caylee Anthony case. And then, speaking of strange, one of the strangest and saddest stories you'll ever hear.
A boy goes missing and no one tells authorities until ten years after the fact. His birth parents, the people who gave him up for adoption when he was a baby will join us. And the attorney for the adoptive parents too. And we hope you will too.
That's "LARRY KING LIVE" next, Campbell.
BROWN: All right, Larry. We'll be watching. See you in a few.
Well, they say that sex sells. Can Larry Flynt sell it on Capitol Hill? The story coming up.
Plus, Illinois Rod Blagojevich nervy? You bet. Savvy? That too. That is why he's in our "Bull's-Eye" tonight.
(COMMERCIAL BREAK)
BROWN: It sounds like a joke, a dirty one. The porn industry is the latest to ask for a bailout from Washington.
Hustler publisher Larry Flynt and Girls Gone Wild CEO Joe Francis want a cool $5 billion to keep America hot. In a statement, Flynt said, "It's time for Congress to rejuvenate the sexual appetite of America."
Let's face it, Congress is probably the last place most Americans would go for that. Even so, is this request for real? Erica Hill uncovers the story for us. There are a lot of hidden entendres.
ERICA HILL, CNN CORRESPONDENT: There are a lot and we had to -- and we really worked hard to avoid a lot of those double entendre.
BROWN: I know.
HILL: It's not easy.
BROWN: So is this a publicity stunt, or is there any reality here?
HILL: Well, they said no. I spoke with Joe Francis this afternoon and he says look, this is not a publicity stunt. He admits, though, they say look, you know, the porn industry isn't exactly in danger of filing for bankruptcy. There's still money coming in.
For instance, their DVD sales are off 20 percent. But he says basically the porn industry now is just looking for its share of the pie. Take a listen.
(BEGIN VIDEO CLIP)
JOE FRANCIS, CEO, GIRLS GONE WILD: If you're going to abandon the basis of free market capitalism in this country, you know what? I have my hand out too. And I would love to be a part of it. So feel free to nationalize and give me $5 billion.
(END VIDEO CLIP)
BROWN: Oh, my God. I don't even know where to begin here. I mean -- what about Capitol Hill? I mean, they have a congressman, you know. I mean --
HILL: They do, they do. And actually, you know, there's so much talk that the adult entertainment industry really, the hub is in the San Fernando Valley in Southern California.
Now, not everybody agrees with that including some of the folks who represent that area. But I spoke with one of them this afternoon. I spoke with Congressman Brad Sherman. I said, what do you think about this? He's not really impressed by the request.
(BEGIN VIDEO CLIP)
BRAD SHERMAN (D), California: Well, I thought it was a shame that two porn industry executives would pull this publicity stunt. America faces some really difficult times. We need to focus our national attention on the kinds of reforms that we're going to need to make sure this never happens again.
(END VIDEO CLIP)
BROWN: You know, we've wanted to do this story because it seemed so ridiculous, but the fact of the matter is, as extreme as the porn industry is, there are a lot of people who it sounds ridiculous...
HILL: There are.
BROWN: ... and yet they're asking for bailout money. HILL: They really are. And I was surprised in looking at some of the research today, some of this. I want to give you a quick list.
The American Library Association, hadn't heard that one before. Retailers, as we know, they asked for a sales tax holiday. We told you about that one.
University presidents, though, asking for $40 billion to $50 billion. They want to rebuild their infrastructure. The ethanol industry wants $1 billion loan.
There is one group, though, Campbell, that we can tell you will not be getting money even if it asks for it. Apparently, the treasury secretary was asked directly about plumbers and he said he was pretty sure they wouldn't cash in.
BROWN: Why would we ask about plumbers?
HILL: I don't know. Maybe Joe -- maybe Joe isn't available to lobby. Maybe that's why. Who knows?
BROWN: We hear he's a reporter now.
HILL: Yes, he's a foreign correspondent these days.
BROWN: Right.
HILL: He's very busy.
BROWN: Erica Hill, well done.
HILL: Thanks.
BROWN: You're able to keep a straight face. Thank you very much.
Coming up, no contest when it came to who is in our "Bull's-Eye" tonight. The man who outboxed congressional leaders in the most extraordinary bid of political gamesmanship we have seen in quite some time. See for yourself when we come back.
(COMMERCIAL BREAK)
BROWN: Tonight, our "Bull's-Eye" goes to Rod Blagojevich for painting the entire U.S. Senate into a corner. Just two weeks ago, all the Democratic senators said they would absolutely not seat anyone appointed by the disgraced Illinois governor. No way, no how.
Well, they say a picture is worth a thousand words, so take a look at this. It is Blagojevich appointing Roland Burris just a few hours ago on Capitol Hill. Who's he sitting there with? Well, that would be the majority leader, Harry Reid, and Illinois Senator Dick Durbin.
Senator Reid saying, "The process is working out." So tonight, it looks as if the Democratic leadership has been outsmarted by the governor of Illinois, the same man federal prosecutors say they tried to sell that very same Senate seat to the highest bidder.
That is it for us tonight. We will see you tomorrow.
"LARRY KING LIVE" starts right now.
