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American Morning

Obama Pushes Health Care Plan; Al Qaeda Targets Pakistan; Dick Cheney Hits Talk Circuit; Cell Ban Considered After Trolley Crash; Shuttle Set to Launch to Service the Hubble Space Telescope; U.S. Death Linked to Swine Flu; Charging Rent to Homeless; President Obama Delivers Zingers; U.S. Reporter to Leave Iran Jail

Aired May 11, 2009 - 06:00   ET

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


JOHN ROBERTS, CNN ANCHOR: And good morning to you. Thanks very much for being with us on this Monday, it's the 11th of May. John Roberts along with Carol Costello who's in for Kiran this morning.

Good morning to you.

CAROL COSTELLO, CNN ANCHOR: Yes. Kiran was at the correspondents' dinner so it probably exhausted her.

ROBERTS: You think? I missed that this year, but I heard it was a pretty good one.

COSTELLO: Yes. President Obama was very funny and, of course, we probably have some excerpts from his funny speech later on this morning.

ROBERTS: Looking forward to all of that this morning.

COSTELLO: We have a lot to cover this morning. Here are the big stories we'll be breaking down for you in the next 15 minutes.

In just a few hours, President Obama takes on the crushing cost of health care. He's secured a deal with several health care providers which could save the nation trillions over the next decade. We're live at the White House with details for you.

The former vice president challenging Republicans to stay true to their conservative core. Dick Cheney hit the talk show circuit this weekend. We'll have his take on interrogation tactics, his critics, and former Secretary of State Colin Powell.

And this morning, more fallout after a trolley collision in Boston injured dozens of people. The head of the Boston Area Transit announcing plans to fire all train drivers if they even carry cell phones on board. This after the conductor admitted to texting at the time of the crash.

ROBERTS: This morning, President Obama takes a major step in tackling a campaign promise, fixing the health care system that is often described as in crisis.

In just a few hours, the president will announce a deal with several health care providers to get skyrocketing health care and insurance costs under control. It's all part of the president's plan to help the nearly 46 million uninsured Americans and others who have insurance but can barely afford it.

CNN's Suzanne Malveaux is the only reporter live at the White House this morning.

Suzanne, got the purple memo this morning as well. Glad to see that.

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Yes.

ROBERTS: What are we learning this morning?

MALVEAUX: Good morning, John.

You remember we talked about this big budget last week or so, and the question, of course, was how much savings was going to come out of those costs and it was really just a half of one percent of savings. But when administration officials were talking about it, it's like we could save perhaps $300 billion when it comes to health care reform. So that is what they're rolling out today. How much are they actually going to save when it comes to the cost of health care?

Well, you cannot stop it from increasing but you can slow it down. So what they're proposing is to slow it down one and a half percent, that over the course of 10 years. That would mean a slowing down about 20 percent savings overall in that 10-year time span.

What does this mean for everyday folks here? Well, they're talking about a family of four saving about $2,500 a year. It is big savings they argued for the government over time, some $2 trillion. But as you mentioned, John, this is really a big part of the campaign pledge to lower the deficit to get that down and also to deal with the federal budget, John.

ROBERTS: Economist Paul Krugman writes in today's "New York Times" is this the death? Is it the end for Harry and Louise? Because some of the people coming to the table with the administration today are the same ones who opposed health care reform during the Clinton years. Why are they changing their tune?

MALVEAUX: Well, you know that many of the people that were a part of that battle, part of that fight in this administration, they know what people are looking for, whether or not it's health care providers, the hospitals, insurance companies that each one of them really does ultimately want to come to the table that it's likely some sort of reform. It's going to get passed in Congress, so it's likely that they at least want to have some sort of input, whether or not it is taking a look at their records, revamping their records, how do they save money when it comes to billing, all those kinds of things.

Even AARP, we have heard, saying that they are endorsing this plan. This time around, they feel like they do have something to gain that there are more groups. They're actually cooperating so it's going to be actually a little bit less of a cost to them and so they might as well get on board, John. ROBERTS: All right, Suzanne Malveaux for us live from the White House. Suzanne, thanks so much for that.

This morning, a dangerous development as Pakistan's war on the Taliban escalates. "The New York Times" reporting that al Qaeda is now capitalizing on the chaos to strengthen its presence in nuclear- armed Pakistan and recruit militant Islamist groups from the Middle East, North Africa and Central Asia.

And in another sign of how violent the conflict has become, tens of thousands of families have fled the Swat Valley. But despite concerns over Pakistan's control on the situation, General David Petraeus telling John King on CNN's "STATE OF THE UNION," there are no plans to deploy U.S. troops there.

(BEGIN VIDEO CLIP)

JOHN KING, CNN CHIEF NATIONAL CORRESPONDENT: When you were here, you said that the United States would not go into Pakistan unless it saw something compelling. This has been a sensitive issue. As the Pakistani military has put pressure on the Taliban, have there been any occasions in the past few weeks where you've had targets of opportunity that have caused U.S. forces to go across the border?

GEN. DAVID PETRAEUS, U.S. CENTCOM COMMANDER: No. And I think we have been unequivocal in saying that this is not about us putting combat boots on the ground. This is about us providing assistance, as we do to numerous nations around the world, a bit more robust in this case, certainly, but we provide some training assistance. We provide ammunition. We provide spare parts, help with maintenance system, processes. But a lot of these very similar to the kinds of security assistance programs that we have around the world, albeit this one more robust and also in the form of the coalition support fund's significantly additional funding.

(END VIDEO CLIP)

ROBERTS: The Pakistani army says over the past day at least 200 militants have been killed - Carol.

COSTELLO: Former Vice President Dick Cheney hitting the talk show circuit and he's taking no prisoners. Cheney is criticizing fellow Republicans for shifting too far to the left and he had some choice words for former Secretary of State Colin Powell.

Jim Acosta now on Cheney's very public weekend.

(BEGIN VIDEOTAPE)

DICK CHENEY, FORMER VICE PRESIDENT OF THE UNITED STATES: If I don't speak out, then where do we find ourselves, Bob? Then the critics have a free run and there isn't anybody there on the other side to tell the truth.

JIM ACOSTA, CNN CORRESPONDENT (voice-over): Far from a secure undisclosed location, Vice President Dick Cheney is out in the open and sounding off. Whether it's on Rush Limbaugh's recent broadside that Colin Powell no longer belongs in the Republican Party...

CHENEY: If I had to choose in terms of being a Republican, I'd go with Rush Limbaugh, I think. I think my take on it was Colin had already left the party.

ACOSTA: Or on the Bush administration's use of questionable interrogation techniques on suspected terrorists.

CHENEY: No regrets. I think it was absolutely the right thing to do. I'm convinced, absolutely convinced that we saved thousands, perhaps hundreds of thousands of lives.

ACOSTA: Even as the Justice Department is weighing whether to prosecute Bush administration officials for authorizing harsh interrogation methods, Cheney stated the orders came straight from the top.

CHENEY: He basically authorized it. I mean, this was a presidential level decision and the decision went to the president. He signed off on it.

ACOSTA: Last week, the former vice president told a North Dakota radio program it would be a mistake for the GOP to moderate, even as "Time" magazine declared the Republican an endangered species, other party leaders are echoing Cheney's message.

SEN. JOHN MCCAIN (R), ARIZONA: I don't want to moderate either. I think our policies, the principles of our party are as viable today as they have in the past.

ACOSTA: Democrats like the sound of that.

DONNA BRAZILE, DEMOCRATIC STRATEGIST: You poll Rush Limbaugh, Colin Powell, my money is on Colin Powell.

ACOSTA: Cheney is not the first vice president to take on his successors. Al Gore accused the Bush White House of using torture three years ago.

ALA GORE, FORMER VICE PRESIDENT OF THE UNITED STATES: They violate the Geneva Conventions, the international convention against torture, and our own laws against torture.

ACOSTA: Now, it's Cheney's turn.

UNIDENTIFIED MALE: Are you surprised, sir, you're the one who has to defend the administration that much?

CHENEY: That's what vice presidents do.

ACOSTA: Jim Acosta, CNN, Washington.

(END VIDEOTAPE)

COSTELLO: And the former vice president took just as much heat as he dished out this weekend. President Obama and at least one Hollywood headliner couldn't resist making Dick Cheney a target Saturday night at the White House Correspondents' Dinner.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: Dick Cheney was supposed to be here, but he is very busy working on his memoirs tentatively titled "How to Shoot Friends and Interrogate People."

(END VIDEO CLIP)

WANDA SYKES, COMEDIENNE: Dick Cheney. Oh, my God. He's a scary man. He scares me to death.

I tell my kids, I say, look, if two cars pull up and one has a stranger and the other car has Dick Cheney, you get in the car with the stranger.

Dick Cheney is trying to defend torture. He's trying to defend torture. He goes, yes, well, they should release the memos that show all that good information we got from our practice.

You can't defend torture. That's like me robbing a bank and then going in front of the judge and saying, yes, your honor, I robbed the bank, but look at all these bills I paid.

(END VIDEO CLIP)

COSTELLO: She was funny. You know, a lot of people wondered if she was going to go too far because she's known for her racy commentary.

ROBERTS: Yes. Well, the comment on Rush Limbaugh, a lot of people didn't seem to like in the room, but a lot of people did. So...

COSTELLO: Yes, we're going to play that one for you later. We'll see if you like it or not.

ROBERTS: Whether you appreciate her brand of humor depends on where you sit on the political aisle I guess.

This morning's swift reaction after a trolley rear-ended another trolley in Boston injuring nearly 50 people. The conductor of one trolley told police he was text messaging at the time of Friday's crash.

AMERICAN MORNING's Alina Cho has been following the story and joins us now with the latest.

Good morning, Alina.

ALINA CHO, CNN CORRESPONDENT: Good morning. Here we go again, John. Good morning, everybody.

You know the head of the Boston Transit Authority wasted no time taking action. He has announced a sweeping ban. As early as this week, all Boston City train, trolley, and bus drivers will be banned from even carrying their cell phones or BlackBerrys while on the job. The idea - leave it in the car, leave it at home, but when you board a train or bus, do not bring it with you.

(BEGIN VIDEO CLIP)

DANIEL GRABAUSKAS, MBTA GENERAL MANAGER: We have reinforced to our employees that this is a danger that they are holding in their hands, whether they're behind the wheel of a bus or a trolley or a train, the lives of hundreds of individuals. And you saw what happened last night or perhaps some convenience that this individual thought that he was going to take advantage of. He has wreaked havoc on the lives of 100 people and damaged significantly two pieces of equipment. I mean, it's unconscionable as far as I'm concerned.

(END VIDEO CLIP)

CHO: The driver of that train has been identified as 24-year-old Aiden (ph) Quinn. Police say he admitted that he was looking down at his phone and texting his girlfriend right before he slammed into the back of another trolley. Now the district attorney is said to be considering criminal charges and Quinn, no surprise, is expected to be fired once a full investigation is complete.

Of course, this is not the first time this has happened. You'll recall last September, 25 people were killed, 135 others injured when a commuter train in California slammed into a freight train. The driver of the commuter train was texting 22 seconds before he ran a red light signal. An investigation found he had sent a total of 43 texts while on duty that day - sent or received.

Now, there was this bus driver in San Antonio, Texas, as well, caught on tape texting, and then crashing into the SUV in front of him. And get this, the transit authority there reportedly fired two other drivers who were also caught on tape using their cell phones.

Now, laws and rules vary from state to state. It's really confusing when you take a close look at them. After that crash last September in California, they banned cell phone use by transit operators. That was followed by a nationwide ban by the federal railroad administration two weeks later.

Guys, four states right now are considering, including New York, are considering banning texting while driving among all drivers. I mean, some people will say, you know, it's not enough that you put your makeup on and you shave while you're driving, now you're turning your car into a home office. I mean - I think there is a clear evidence as we've seen here that it can be dangerous.

ROBERTS: In Massachusetts, there are also regulations in the book saying you can't text or use your cell phone while you are at work but they're obviously are ignoring that rule. What's to say they're not going to ignore the rule of leave your cell phone at home or in your car?

CHO: Well, they could lose their job. That could be an incentive, but we'll have to wait and see. I mean, they are vowing to make some changes.

ROBERTS: All right. We'll see if they do.

COSTELLO: Well, if the ticket prices are high enough, that might help them obey the law.

ROBERTS: True. Absolutely.

ROBERTS: Thanks - Carol.

COSTELLO: The price of a first class stamp goes up two cents today. It will now cost you 44 cents to mail a first class letter unless you have a stash of those forever stamps at home, and sending a postcard will cost you a penny more, 28 cents.

This morning, markets overseas not up where Wall Street left off. In Asia, Hong Kong closed down while Japan's Nikkei closed up slightly. In Europe where trading is underway, the major indexes are in negative territory.

And this morning as unemployment rises, more Americans are being stretched to the max and they're having a hard time paying off their credit card bills. And that could spell disaster for America's troubled banks. We'll explain.

It's 11 minutes past the hour.

(COMMERCIAL BREAK)

ROBERTS: Fourteen and a half minutes now after the hour. Let's fast forward through the stories that will be making news later on today.

At 3:00 p.m. Eastern, NBA Hall of Famer Dave Bing will be sworn in as Detroit's mayor. He won a special election last Tuesday. You remember the city's former mayor, Kwame Kilpatrick, resigned last fall after lying under oath about an extramarital affair.

This morning at 8:00, former Mexican President Vicente FOX will be delivering the commencement at Emory University in Atlanta.

And at 2:00 p.m. Eastern, the Miss California USA pageant will hold a press conference to address the fate of crown holder Carrie Prejean. Pageant officials had been trying to determine if she should keep the tiara because of possible contract violations including failing to reveal that she posed for revealing pictures while she was a teenager. Well, we'll see what happens there.

COSTELLO: Something about that strikes me as hypocritical because they paid for her breast implants, right? And now they're upset that she posed nude. Sorry.

CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: There's not much more revealing than the little, white bikini anyway when they keep talking about risque photos and oh, you know, shock, shock, she has risque photos. COSTELLO: No, the California committee paid for her breast implants.

ROBERTS: I know. Do we need to hear that at 15 minutes after 6:00 in the morning?

COSTELLO: We talked about erectile dysfunction last week. You missed that.

ROMANS: Good morning, everyone.

COSTELLO: Let's talk about stress tests because we know that U.S. banks have them...

ROBERTS: I'm doing a stress test right now.

COSTELLO: John.

Hey, let's talk about credit card debt and how that's going to affect the banks.

ROMANS: OK, let's talk about that.

Look, are you stressed with your credit card bills? Because, frankly, the next big potential headache for the banks are your credit card bills. They're stressed, frankly, about whether you're paying them and at what rate.

We know that at a much quicker pace than we're used to seeing, people are not paying their credit card bills. And part of those stress tests last week were the fed and the treasury trying to get a sense of just how much of these going bad credit card bills the banks can handle.

So $82.4 billion through 2010 is what the Fed expects could be potential losses, bad credit cards. Some private economists frankly have much higher numbers. So you're going to be hearing a lot about credit cards this week.

The president is really pushing, would like to sign legislation to end some of those egregious practices about credit cards by the end of the month but you also, the other side of that is the bank's concern about the millions of people frankly who are not paying right now.

ROBERTS: And there are lots of those, too, as you said, millions.

Hey, you've heard of Roman numerals, right? Well, we're going to kick off something new today. Our "Morning Romans' Numeral." It's the number driving the news each day and that's coming up.

Christine, a quick little look at what we're going to be talking about.

ROMANS: Sixteen is my numeral for today. ROBERTS: Excellent.

ROMANS: Sixteen. Sixteen percent is the underemployment rate according to Pew Research (ph) at the University of Maryland. This means these are the people who are discouraged workers, right? These are people who are discouraged workers, part-time workers who want a full-time job and people who don't have a job - 16 percent.

This feeds into this credit card number. Think of that. If 16 percent of people are underemployed, wow, that's an awful lot of credit card bills that aren't getting paid because people frankly are triaging their bills right now. So that's the number for you.

You're going to hear a lot about 8.9 percent is the unemployment rate. Underemployment rate is much, much higher.

ROBERTS: All right, 16, "Romans' numeral" for the day.

ROMANS: That's it.

ROBERTS: Thanks, Christine. Good to see you.

The Shuttle Atlantis is on the launch pad, set to lift off this afternoon. The mission - to fix the Hubble Space Telescope. It's the last one, by the way. And the challenge the crew over the next 11 days and the danger that they could be facing as well.

And China not taking any chances with the swine flu, sealing hundreds of guests and staff inside a hotel. They've since been released. We're going to talk to one American who spent a week locked inside that hotel.

It's 18 minutes now after the hour.

(COMMERCIAL BREAK)

ROBERTS: Welcome back to the Most News in the Morning. That is a live look this morning at the space shuttle "Atlantis" is set to lift off from Cape Canaveral, Florida, less than eight hours from now. The mission to fix the Hubble Space Telescope. It's been seven years since the Hubble has had any servicing and, obviously, there is a lot of work to do.

Zain Verjee now live in London for us this morning with more on this. The crew facing some serious challenges in the coming day, yes.

ZAIN VERJEE, CNN STATE DEPARTMENT CORRESPONDENT: Real major challenges, John, but this is so exciting. This mission was supposed to happen back in 2004, and they are supposed to blast off finally today. Here's why Hubble matters.

(BEGIN VIDEOTAPE)

VERJEE (voice-over): Pictures that take us to the edge of the universe. Two far away galaxies, a look back at time and into black holes, all snapped by the world's most famous telescope, the Hubble. But it needs to be fixed.

UNIDENTIFIED MALE: Liftoff of Space Shuttle Atlantis.

VERJEE: Seven astronauts will blast off to do surgery in space, fixing instruments, replacing broken cameras, batteries to keep Hubble going. It's the final and most dangerous mission, five spacewalks in five days. Astronauts could get hit by space junk and any rescue will be tough.

This glimmering jewel is nearly as big as a school bus. It circled earth more than 100,000 times and logged almost three billion miles. The astronauts say it's worth risking their lives and that Hubble needs a hug to keep cosmic pictures like these beaming back to earth.

(END VIDEOTAPE)

VERJEE: This is a really rare mission, John. What's going to happen is that they're actually going to be two space shuttles on the launch pad. They're going to have Atlantis, that will have the astronauts to repair the Hubble telescope. And then you're going to have Endeavour who's going to be on standby in case there's a major problem. It's going to blast off then and rescue the crew if they need it. The reason that that's there is because the International Space Station is just in a completely different orbit, so they can't get to it if they need it - John.

ROBERTS: Right. And I guess this is the last repair mission, too. I love the way you put it, Hubble needs a hug. How much of what they do up there are we going to be able to see?

VERJEE: Well, we're going to be able to see some images, but the real interesting thing for us to be able to see it up close and in detail is that they're actually going to have IMAX 3-D cameras up there with them and they're going to be filming the space fork. So spring of 2010, we're going to be able to see it when they release the movie.

ROBERTS: Very cool. Zain Verjee for us in London this morning.

VERJEE: Yes, it is.

ROBERTS: Didn't know you were a space expert. Great job there. Terrific. Thanks so much.

COSTELLO: She knows everything.

ROBERTS: She does. She's amazing that woman.

VERJEE: Thank you.

ROBERTS: Two basketballs, by the way, are going to be on board the Atlantis for the Hubble repair mission.

Here's an "AM Extra" for you. One basketball belongs to the Harlem Globetrotters. They wanted a presence in space after visiting six continents and 120 countries with their show. The other ball was once handled by Edwin Hubble, the Hubble Space Telescope named after him. He played for the University of Chicago's big ten championship basketball team. That was 100 years ago.

COSTELLO: Wow. Speaking of universities, you were at the University of Colorado in Boulder up for the commencement.

ROBERTS: I was.

COSTELLO: And you gave the commencement speech and you had a really great message for the kids. You're talking about walls and overcoming obstacles and also about chicken poop.

ROBERTS: Yes. I was actually using as a - you know, a source to develop some themes, Randy Pausch's terrific book called "The Last Lecture" in which he says, you know, you're going face a lot of walls in your life. The walls aren't there to keep you out. They're only there to show you how much you want something.

And then I told the graduating students I said, you know, you need to face challenges in a way to overcome them. I said, if you can take chicken poop and make it into chicken soup, you're going to get noticed.

COSTELLO: And they liked that one.

ROBERTS: Some of the students liked that.

COSTELLO: Students were texting you.

ROBERTS: They were.

COSTELLO: Was that during your speech?

ROBERTS: They were twittering back.

COSTELLO: They were twittering.

ROBERTS: Yes. I think it was afterwards.

COSTELLO: Oh, good. At least they listened to you and waited to twitter.

ROBERTS: My son graduated from C.U. last year, so it was an honor to go back this year. I gave two commencement addresses, one to the school of journalism and one to the main group. You know, there were almost 5,300 people graduating.

COSTELLO: So what did you - what did you tell aspiring journalists who are going into a world where newspapers are dying?

ROBERTS: Yes, that there's a tremendous amount of competition out there and you've got to bring something to the table that nobody else has.

COSTELLO: Well, if anyone can do it, kids from this generation can.

ROBERTS: Yes. Well, there are so many different...

COSTELLO: They're very impressive.

ROBERTS: So many different venues for them to explore journalism, the blogosphere, the Internet. You know, even some of the traditional forms of media are going away, there are new ones popping up all the time. So they're really plugged into that world and I think a lot of them are going to do well.

COSTELLO: Cool. So if you really want it, you can do it.

Also this morning, it looks like even the homeless can't escape the sky-high price for a night in New York City. We'll tell you about the new rule that's already coming under fire.

And trapped in a hotel, China quarantines hundreds of tourists for a week even though no one had the flu virus. We'll talk to one man who says the whole ordeal was a vacation nightmare.

It's 26 minutes past the hour.

(COMMERCIAL BREAK)

ROBERTS: Welcome back to the Most News in the Morning.

A live look at Dallas right now. Thanks to our friends at WFAA, 67 degrees going up to a high of 72. Scattered thunderstorms in the forecast today, so keep that in mind if you are traveling there today.

Welcome back to the Most News in the Morning and here are some of your top stories right now.

Pope Benedict XVI is now in Israel for a five-day visit. He is there to promote peace between Israelis and Palestinian and has already called for a Palestinian homeland. Later on today, he's going to fly from Tel Aviv to Jerusalem to visit the Holocaust Memorial. It's the Yad Vashem.

A wildfire that burned 13 square miles and destroyed dozens of homes near Santa Barbara, California may have been started by someone using a power tool to clear brush. Local residents recently received notices to remove brush from their properties by June 1st to reduce the threat of fire and instead may have ignited one. The fire forced 30,000 evacuations and destroyed more than 75 homes.

Congress may be ready to regulate tobacco. This week the Senate takes up a bill that's already been passed by the House. It would allow the Food and Drug Administration to ban the most harmful chemicals found in tobacco products, and it could reduce the nicotine content in cigarettes so that they would no longer be addictive. COSTELLO: This morning, a third death in this country linked to the swine flu. Doctors say the man who lived in Washington State also had underlying health problems. Across the globe, the number of deaths linked to the virus has now passed 50.

And for the first time, China is reporting its first case of the infection. The Chinese have taken extraordinary measures to prevent the spread of the flu strain.

In Hong Kong last week, nearly 300 people were quarantined inside a hotel room after a guest got sick. Mark Moore was one of those quarantine guests. He joins us this morning from Singapore.

Good morning, Mark.

MARK MOORE, QUARANTINED IN HONG KONG HOTEL: Good morning. Thanks for having me on the show.

COSTELLO: We welcome your presence because this is such a fascinating story. So you're in Hong Kong, in this very posh hotel, you're having a great time, and all of a sudden, what happens?

MOORE: To be honest, I didn't know what was happening. I was in my room doing e-mail. And my brother called me and said, you realize your hotel is under quarantine the last two hours, which nobody had notified me. And the whole hotel was locked down. Everyone in the hotel had to stay there.

COSTELLO: So what did you do when you got the word from your brother? I mean, eventually, the hotel management came and took you to a certain area. Tell us about that.

MOORE: We were all tested. We had our temperatures tested. We were all taken to a common area, which, I think, some of us questioned because if there were sick people in the hotel, surely it would have been better to keep us in our rooms and test us individually in isolation. And we were brought down to the mezzanine floor and we were tested en masse.

COSTELLO: So they took your temperature...

MOORE: Nobody, by the way, was sick.

COSTELLO: Nobody was sick except for that one guest. So what did you do for those seven days?

MOORE: Seven days, pretty much confined to our room. This is a business hotel. Very few facilities, no swimming pool, no gym. And the only restaurant was converted into a consultation area and the ground floor into a distribution area for food and for consultation with sort of general inquiries and the police. Nobody was allowed into the hotel and - although we were allowed to get food deliveries and parcels delivered into the hotel while we were there.

COSTELLO: So what would happen if you tried to leave? I mean, did anybody threaten you? MOORE: There were police on the door. One entrance and one exit. Everything else was locked down. And the windows were off and basically curtained off, so even the press, the media couldn't see into the hotel.

COSTELLO: Interesting. I want to read a statement from the Hong Kong government. It said, "We all understand the boredom, the frustration the guests experienced during the quarantine period. Many of the guests have expressed understanding of our measures. We truly appreciate that, and we are thankful for the sacrifice they have made for the sake of public health."

You know, they're very sensitive in Hong Kong because the SARS outbreak occurred there and a lot of people died. So how would you respond to this? That they're thankful for the sacrifice you have made for the sake of public health.

MOORE: I understand, everyone's a little nervous, and there's still lot to - to still understand about this disease. And I also understand that they're very sensitive after SARS. I was in Hong Kong during SARS and for sure there's a real concern within the Hong Kong community.

However, I think the general consensus in the hotel amongst the guests was that we accepted having been quarantined, but after two, three, four days with nobody showing any symptoms, we were pretty much sure that nobody was sick and nobody was going to get sick and we wanted to leave.

COSTELLO: Well, I know. I saw the pictures of you guys finally being released from the hotel. People were hugging one another, they were crying, they were celebrating. I mean, what was it like among the guests in there? Were you going completely nutsy?

MOORE: The guests were remarkably well humored. And everyone was - that I saw at least, was very peaceful and held themselves together and very well. And I also like to thank the front line staff, the government officials, the police, the hotel staff in the hotel, everyone was extremely well-mannered and polite and tried to make our stay as easy as possible, I would say.

COSTELLO: Well, Mark, thank you very much. We're glad you're finally sprung and we hope you go back to Hong Kong.

MOORE: Good to be out. And I guess the only...

COSTELLO: Go ahead.

MOORE: I think everyone will go back to Hong Kong. And I guess the only - the only point was that the normal epidemiology, the incubation period for the disease, as we understand it, is three to four days. So there's a question mark amongst the guests, why was the quarantine period extended to seven days?

After a couple of days, everyone started removing their masks, everyone was confident that we were all healthy and well, and drinking wine with one another and socializing. And, however, I guess the rules come down from Beijing that the hotel had to stay closed for seven days.

COSTELLO: And you have no choice when the rules come from China. I mean, there are a lot of critics all over the world who are - who are charging that public officials are overreacting to this flu strain.

Thank you, Mark Moore, for joining us this morning. We appreciate it.

ROBERTS: Well, in these tough economic times, even the homeless are now being charged to stay at a shelter. But critics say the policy hurts more than it helps.

And tornadoes, they're chilling and unpredictable and we still don't know exactly how they form. But now teams of scientists are trying to find out.

Our own Rob Marciano going along for what's being called the biggest tornado hunt in history. Wait until you see what they found.

Thirty-six minutes now after the hour.

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ROBERTS: Welcome back to the Most News in the Morning.

New York City's homeless will soon be forced to pay up. City officials will begin charging rent to working families that are staying in public shelters.

CNN's Jason Carroll is here now. He's following the story for us.

Good morning to you.

JASON CARROLL, CNN NATIONAL CORRESPONDENT: Yes, this a great concern to a number of people. Some families have already got notices under their doors saying if they don't pay, they could end up losing their housing. One estimate shows hundreds of homeless, working families, could be affected by this.

(BEGIN VIDEOTAPE)

CARROLL (voice-over): Homeless and living in a shelter. Princess Seaborn is now being forced to do something she never expected.

PRINCESS SEABORN, LIVING IN HOMELESS SHELTER: The city wants me to pay rent - pay rent being in a shelter.

CARROLL: Princess and her daughter, Kenya, have been living in this New York City shelter for six months. She was told last week she would need to pay $345 a month to continue living there. Money, she says, she just does not have. SEABORN: I tried to explain on my best behalf that I don't have it. And you know, all I'm getting is pens and papers in my face, saying sign here, sign here. And obviously I have to sign.

CARROLL: This new policy is based on a 1997 state law, which requires shelter residents with jobs to use a portion of their earnings to pay rent. The amount varies according to family size and what shelter is being used.

So, why is the city doing this now? During a 2007 state audit, the city was required to pay back $2.4 million in housing aid that should have been supplemented by homeless families with income. City officials say they're just following the state mandate.

CNN was denied an interview request, but was provided with this statement: "New York State law and regulation mandate this policy. We were the last jurisdiction in the state to have this policy implemented. Regardless, our objective remains to move families back into their own homes and into the community as quickly as possible."

Homeless advocates argue the new policy will actually prolong a person's stay at a shelter.

ARNOLD COHEN, PRESIDENT AND CEO, PARTNERSHIP FOR THE HOMELESS: I think they fundamentally misunderstand in this policy is that money often goes to such things as child care, which has a direct impact on the ability of folks to leave the shelter system. So when they have child care, they're able to look for jobs, they're able to look for housing. But we're taking that - essentially taking that money away from them.

CARROLL: In the meantime, more of New York's working homeless can expect to start paying rent to stay in shelters, a move Princess says isn't fair and she's appealing to the state to have her rent voided.

SEABORN: Why should we have to suffer because of the fallback? Because this is what it is - it's a cutback.

(END VIDEOTAPE)

CARROLL: Well, New York's mayor defended the policy, telling a local paper, quote, "We're told we have to do it, so we're doing it."

Critics of the policy say the city should be taking the lead to get this policy reversed before some homeless families end up back out on the street.

ROBERTS: Do they have any leeway here with people who are really in hardship cases, you know?

CARROLL: Possible, possibly. I mean, you can always appeal this. That's what Princess is going to be doing. She's going to be going to the state to try to appeal this rent that's been added on to her stay there. That's what other homeless families might be able to do as well. ROBERTS: All right. Jason Carroll for us this morning. Jason, thanks so much - Carol.

COSTELLO: The one-liner about Rush Limbaugh that left the crowd gasping at the White House Correspondents' Dinner this weekend. You'll hear that line and see all the highlights from the big night that people are still talking about this morning.

It's 42 minutes past the hour.

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ROBERTS: It's 45 minutes after the hour.

Let's fast forward now through the stories that we'll be watching on CNN.

This morning, most of Mexico's schools are welcoming back students after a nationwide shutdown to help stop the spread of swine flu. The schools have been disinfected and officials say students who show up with symptoms of the illness will be turned away.

Secretary of State Hillary Clinton gets to meet some potential future diplomats at 10:30 a.m. this morning. She's going to visit with students at a model U.N. conference that's taking place at the State Department. And then after that, it's the real thing, at 11:00 meeting with Finland's foreign minister and at 5:45 p.m., a sit down with France's foreign minister.

At 9:30 this morning, General Motors new President and CEO Fritz Henderson will update the company's restructuring efforts. Most analysts believe the automaker is headed for bankruptcy protection. To avoid that, GM must convince bondholders to swap $27 billion in debt for 10 percent of the company's risky stock - Carol.

COSTELLO: Well, extreme weather for you. Right now, Reynolds Wolf is at the weather center in Atlanta.

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ROBERTS: Dick Cheney on the attack. He says President Obama is endangering the nation and he's calling out Colin Powell. A look at whether he's helping or hurting the GOP.

And right now, President Obama wading into one of the nation's thorniest political issues - health care reform. We've got details on the plan to cut costs. This, as health care continues to be a topic on our show hotline at 877-MY-AMFIX.

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CALLER (via telephone): We have the most expensive health care system in the world and we don't cover 47 million people. We need to do something. And maybe we need to know a little more about why.

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OBAMA: We had been rivals during the campaign, but these days we could not be closer. In fact, the second she got back from Mexico, she pulled me into a hug and gave me a big kiss, told me I better get down there myself.

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ROBERTS: Fifty-one minutes now after the hour. Welcome back to the Most News in the Morning.

No one was spared from the president's one liners at the White House Correspondents' Association Dinner on Saturday night, not even the president himself.

Our Kate Bolduan has got the highlights of a star-studied evening that was just loaded with zingers.

KATE BOLDUAN, CNN NATIONAL CORRESPONDENT: John, Carol, it was a black tie event, however, there was very little, if anything, formal about it. The president was the opening act, but some say he stole the show.

(BEGIN VIDEOTAPE)

BOLDUAN (voice-over): The red carpet.

CHRIS TUCKER, ACTOR/COMEDIAN: I heard it was, you know, the dinner to be at, so I'm excited to be here.

DEMI MOORE, ACTRESS: Well, I am looking forward to an evening of good stories and good laughs.

BOLDUAN: And the capacity crowd at the Annual White House Correspondents Association Dinner bringing together a mix of Washington elite, journalists and a heavy dose of Hollywood glamour.

(on camera): Who would you play if you could get a role in an Obama administration film?

DWAYNE "THE ROCK" JOHNSON, ACTOR: Oh, that's very easy. There's a reason why they call me The Rock Obama. There's only one man.

BOLDUAN (voice-over): The main event, President Obama appearing in the role of comedian-in-chief. He poked fun at the media, his critics, even himself in the first 100 days.

OBAMA: I believe that my next 100 days will be so successful I will be able to complete them in 72 days.

(LAUGHTER)

And on the 73rd day, I will rest. BOLDUAN: The president did not pass up the chance to blast Republicans or the previous administration.

OBAMA: Dick Cheney was supposed to be here, but he is very busy working on his memoirs. Tentatively titled "How to Shoot Friends and Interrogate People."

BOLDUAN: Even Vice President Biden wasn't spared, a target of both Mr. Obama and featured entertainer, comedian, Wanda Sykes.

OBAMA: In the next 100 days, I will learn to go off the prompter and Joe Biden will learn to stay on the prompter.

SYKES: God forbid if there's ever a hostage situation, we're done. They don't even have to torture him, all they have to do is say, how's it going, Joe?

BOLDUAN: Sykes reserved her toughest jab, possibly the evening's most controversial remark, for conservative talk radio host Rush Limbaugh, slamming him for saying he hopes President Obama fails.

SYKES: To me, that's treason. He's not saying anything differently than what Osama bin Laden is saying. You know, you might want to look into this, sir, because I think maybe Rush Limbaugh was the 20th hijacker, but he was just so strung out on OxyContin he missed this flight.

(LAUGHTER)

(END VIDEOTAPE)

BOLDUAN: The evening was dominated by humor, but the president took a serious turn at the end of his speech acknowledging the extraordinary challenges facing the country right now - John, Carol.

ROBERTS: Kate Bolduan for us this morning. Kate, thanks so much.

COSTELLO: Every time I hear that I have to recover from it. Wanda Sykes is a zinger.

Oh my goodness. She wasn't holding back.

Former Vice President Dick Cheney hammering away at President Obama saying his policies are making the entire unsafe. He's also taking pot shots at Colin Powell.

And the youngest victims of Pakistan's war on the Taliban, the children. We're live in Pakistan with the story of survival.

It's 54 minutes past the hour.

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COSTELLO: Some great news to share with you. This just coming in to CNN. And I'm going to peg it to AP. They are reporting the Iranian-American journalist Roxana Saberi held in Iraq for allegedly spying has been released. In fact, she'll be released in the next hour. We're hoping to bring you pictures. Of course, she was in Iran reporting. And, originally, she was charged with buying wine at a store. And then all of a sudden Iran came down hard on her and charged her with spying. It's been a source of tension between the United States and Iran.

But, again, according to the Associated Press, Roxana Saberi will be released from that Iranian prison. And we hope to bring you more in about an hour and a half here on AMERICAN MORNING.

ROBERTS: That indeed is good news.

COSTELLO: Yes.

ROBERTS: Well, this morning, President Obama begins tackling a major campaign promise, fixing the health care system that's often described is in crisis.

In just a few hours, the president will announce a deal with several health care providers to get skyrocketing health care and insurance costs under control. It's part of the president's plan to help millions of uninsured Americans and others who have insurance but can barely afford it.

CNN's Suzanne Malveaux is live at the White House for us this morning.

What are you learning, Suzanne?

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Well, good morning, John.

You know, last week, we were pointing out the budget here. This was just about a half of one percent, the cuts, the reduction that the administration was making, hardly anything. But we kept hearing senior administration officials fight back and say, look, it's going to be about reforming health care. That's the way we're going to save some money here in the tune of $300 billion. That's what this announcement is all about.

It is not necessarily about cutting down the cost, but it really is about slowing down the increase. So the first thing that we are going to hear from the administration is talking about slowing down the increase about one-and-a-half percent. That a year for the next ten years or so.

Now, what does that actually mean for families of ordinary folks that the administration is saying a family of four can save about $2,500 a year when it comes to health care costs? It is big money for the government when you look at it overall. They're saying about $2 trillion. This is all a part of the campaign promise that President Obama made simply saying, look, he's got to cut down the deficit, the record deficit, wants to cut that in half by the end of his first term. And that he also wants to get this budget in control, and part of that - a big part of that is looking at health care reform - John.

ROBERTS: All right. Looking forward to see what comes down the pike later on today.

Suzanne Malveaux for us at the White House.