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American Morning

Sources Say Real Deal Terrorist in U.S.; Ahmadinejad Won't Rule Out Nuke Weapons; White House and Pentagon Split Over Sending More Troops to Afghanistan; New Army Training Regiment; Montana Ports and Stimulus Money; Former CEO of WWE to Run for Dodd's Senate Seat; Designers of Michelle Obama's Dress Becoming More Well-Known

Aired September 18, 2009 - 07:58   ET

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


T.J. HOLMES, CNN ANCHOR: Good morning, everybody. Welcome to this AMERICAN MORNING for this Friday, September 18th. I'm T.J. Holmes, sitting in today for John Roberts.

KIRAN CHETRY, CNN ANCHOR: And I'm Kiran Chetry. Glad you're with us this morning. We have a lot on the agenda. Here's a look now at the big stories that we're going to be breaking down for you in the next 15 minutes.

First, sources say that the threat is very real. Terrorists in the U.S. allegedly plotting an attack on New York City subways or commuter trains. The investigation has spread from New York all the way to the Rockies. We're going to tell you what our sources are saying this morning.

Also, disdain growing among Republicans and some liberal Democrats over Senator Max Baucus' long-awaited health care plan. So is there any hope of producing a bipartisan bill? We'll find out when we talk to former senate majority leader Tom Daschle. He's a man, of course, no stranger to getting legislation through Congress.

CHETRY: And from wrestling to the Senate, WWE's chief executive officer is stepping down to run for the Senate against Chris Dodd during the 2010 election. Linda McMahon is going to be joining us to talk about her run, coming up.

HOLMES: And we want to begin this hour with new developments on a story we've been tracking all week. An alleged terror plot that stretches from Colorado to New York. Right now we're getting new information on what officials say may have been a plan to bomb train stations and subways. Sources are telling CNN the investigation is ongoing and the threat is real.

We want to talk to our Homeland Security correspondent now, Jeanne Meserve. And Jeanne, seems like the more we hear about this thing, a little scarier it gets.

JEANNE MESERVE, CNN HOMELAND SECURITY CORRESPONDENT: Well, T.J., this is very much an on-going investigation. Authorities are really trying to get a good handle on what exactly they're dealing with here. Sources have told CNN that multiple backpacks were found during searches of residences in New York on Monday. Backpacks, you'll remember, were used in the Madrid transit bombings back in 2004 and sources say their discovery in New York has led some in law enforcement to theorize that perhaps any alleged plot might have focused on a transportation hub where there wouldn't even intense screening of things like backpacks, a place like a subway station or a train station.

Now, two sources also tell CNN that bomb making instructions have been discovered. One law enforcement source says they were on a computer that was brought to New York by Najibullah Zazi. Zazi is the Afghan national who's at the center of this investigation. His lawyer is disputing those charges.

(BEGIN VIDEO CLIP)

ARTHUR FOLSOM, ATTORNEY FOR NAJIBULLAH ZAZI: I have no information confirming anything like that. And all I can possibly -- sorry. My client has no comment at this time. If you have any questions, you can direct them to me.

All I can say is that if they had found bomb-making materials in his car, on his computer, or one wild report I saw yesterday, that there were something like enough explosives in the apartment to blow up two buildings -- do you really think the FBI would have allowed us to walk out of here last night?

(END VIDEO CLIP)

MESERVE: Zazi is reportedly going to meet again today for a third time with the FBI. Meanwhile, law enforcement sources are saying they do think this is the real deal. They say extra resources have been put into New York and into Denver, but there have been no arrests in this case -- T.J.?

HOLMES: And no arrests, but Najibullah Zazi, the one they have their eyes on, authorities do, the suspect. What do we know about this guy?

MESERVE: Well, we don't have a full picture of the kind of man he is. We know he was born in Afghanistan, emigrated to the U.S., eventually came out here to Denver. He worked here in Denver for the last six months or so for an airport limousine company.

I called the company yesterday and talked to a man there who describes Zazi as a good kid, as nerdy. He said he was a good character. And he said when he heard that he was under investigation for possible involvement in plotting -- terrorism plotting, he said he laughed out loud at the prospect.

Back to you, T.J.

HOLMES: All right. Our Jeanne Meserve for us live this morning -- thank you so much.

KIRAN CHETRY, CNN ANCHOR: Well, Iran is on edge this morning after a pro-Palestinian rally turned violent in the streets of Tehran overnight. A lot of the protesters were wearing green. That's the color adopted by former presidential candidate Mir Hossein Moussavi.

Witnesses telling CNN that many in the crowd could be heard chanting "Death to the dictator." Nearby at Tehran University, many protesters yelled "liar" as President Mahmoud Ahmadinejad addressed a crowd for Friday prayers.

And speaking of Iran's president, in an interview with NBC, Ahmadinejad said that the enrichment of uranium for peaceful purposes will not be shut down. He also could not rule out the development of a nuclear weapon.

(BEGIN VIDEO CLIP)

ANN CURRY, NBC NEWS: Are there any conditions under which Iran would weaponize?

MAHMOUD AHMADINEJAD, IRANIAN PRESIDENT (through translator): Well, nuclear arms, we believe, they belong to the past and the past generation.

CURRY: So may I assume, then, your answer to that question is no?

AHMADINEJAD: My response to what question?

CURRY: Is there a condition under which Iran would weaponize?

AHMADINEJAD: We don't need such -- we don't have such a need, nuclear weapons.

CURRY: So the answer is no, sir?

AHMADINEJAD: I don't know what you mean by "no."

CURRY: I'm asking if there are any scenarios in which you would change what you say is your course and move into creating a nuclear weapon. Am I correct that the answer is no?

AHMADINEJAD: We do not see any need for such weapons.

CURRY: People will remark that you did not say no as I've asked you three times the same question and you did not say no. Are you sure you want that to be your final answer, sir?

AHMADINEJAD: Well, you can take from this whatever you want, madam.

(END VIDEO CLIP)

CHETRY: All right. There you have it. President Ahmadinejad also insisted that he won the June 12th election fair and square.

Well, another American soldier died in Afghanistan dying at the hands of a suicide bomber and we're seeing more violence after Washington doubled troop levels there.

So, do we need even more troops on the ground?

Our Barbara Starr is tracking this story for us this morning. And, Barbara, as we heard, General McChrystal, he's the man in charge of the war, what is he saying right now about upping the troops in Afghanistan?

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Well, publicly, General McChrystal, Kiran, is not saying very much, because, privately, it appears he's been told by the Pentagon: Don't call us, we'll call you.

(BEGIN VIDEOTAPE)

STARR (voice-over): Latest suicide car bomb attack in the heart of Kabul. Another day when insurgents made clear the capital city is not safe. But suddenly, the Obama administration and the president's top military advisers are split on the urgency to fix Afghanistan's security problems. Just days after the top military officer said...

ADM. MIKE MULLEN, JOINT CHIEFS CHAIRMAN: A properly resourced counterinsurgency probably means more forces.

STARR: The vice president said, not so fast.

JOE BIDEN, VICE PRESIDENT OF THE UNITED STATES: A decision on additional resources is premature and it's a distance off.

STARR: In an exclusive interview, Vice President Joe Biden told CNN's Chris Lawrence no more troops will be sent until the current 21,000 troop increase is in place and the Afghan election results are finalized -- all still weeks away.

But a senior U.S. military official tells CNN, General Stanley McChrystal, the top U.S. commander, has now decided how many more troops he needs, but he has been told by Washington, "Don't send that request until you're asked for it."

ROBERT GATES, DEFENSE SECRETARY: There's been a lot of talk this week and in the last two or three weeks about Afghanistan. And frankly, from my standpoint, everybody ought to take a deep breath.

STARR: The reason may be, the White House is not ready to hear what the general has to say. All indications are McChrystal now believes he needs 30,000 to 40,000 additional troops -- military sources tell us they worry it's a huge decision the White House does not want to get in the way of other issues like health care.

But senior military officers have long signaled they can't wait too long, given Afghanistan's collapsing security.

MULLEN: I think it is serious and it is deteriorating, and I've said that over the last couple of years -- that the Taliban insurgency has gotten better, more sophisticated.

(END VIDEOTAPE)

STARR: Plans may not stay under wraps for long, because there is growing pressure from some Republicans in Congress to have General McChrystal come to Washington and openly testify about what he thinks he needs to win the war -- Kiran?

CHETRY: Barbara Starr for us this morning from the Pentagon -- thank you.

HOLMES: And former Vice President Dick Cheney is recovering this morning at a Washington hospital. The 68-year-old Cheney had elective back surgery to deal with lumbar spinal stenosis. That's a narrowing of the spine. It's common cause of lower back pain in older adults. Cheney's office says the procedure went well and he's expected to be released soon.

CHETRY: And hold the hanky. A White House reporter is getting schooled in sneeze etiquette by Health and Human Services Secretary Kathleen Sebelius. It happened during Thursday's White House briefing when NBC's Chuck Todd dared to sneeze into his hand.

(BEGIN VIDEO CLIP)

KATHLEEN SEBELIUS, SECRETARY OF HEALTH AND HUMAN SERVICES: I think that -- bless you.

(LAUGHTER)

ROBERT GIBBS, WHITE HOUSE PRESS SECRETARY: I mean...

SEBELIUS: I mean, what is that about?

(LAUGHTER)

SEBELIUS: Jeez! Who's got some Purell? Give that to Mr. Todd right away, a little -- a little hand sanitizer. Good, good. We'll have Elmo give Chuck a special briefing. We'll get Elmo over.

(LAUGHTER)

SEBELIUS: Elmo knows how to sneeze.

(LAUGHTER)

(END VIDEO CLIP)

CHETRY: Man, that's embarrassing. "Elmo knows how to sneeze." My 3-year-old daughter knows how to sneeze in her elbow, but Chuck Todd doesn't. John King's always sneezing in his elbow. You know what I mean? You never have to worry about it.

HOLMES: Glad she called him out on it. It's a good to make an example out of it. It's the simplest thing and folks do it around here. I see people doing it this morning, sneezing right into the hands.

CHETRY: And then going like this and getting right on the keyboard.

HOLMES: It's nasty.

CHETRY: Hand sanitizer.

HOLMES: What does John do over here with his keyboard that I'm using of his?

CHETRY: He -- I actually -- I sneeze all the time, I haven't ever seen him sneeze.

HOLMES: Wow!

CHETRY: Done a lot of other things, but sneeze, not so much.

HOLMES: OK. Well, let's turn to this now. Something you may remember, the blogs were lighting up after then-Senator Obama posed with this statue of Superman. He got some pretty geek creds, something I have never got.

CHETRY: No. You have none.

HOLMES: And after his inauguration, he teamed up with Spider- Man for a special edition of the Marvel comic.

CHETRY: That must have been huge geek cred there, too, as well. I know this because the geeks downstairs -- my geek buddies were very happy about this one.

HOLMES: You have geek buddies?

CHETRY: Yes. They want to keep it...

HOLMES: Does that make you a geek?

CHETRY: They want to keep it in the original...

HOLMES: Oh, that thing. OK.

CHETRY: Yes, important.

Well, the next move may just get him even more attention from a galaxy far, far away. Because there you see, our 44th president of the United States is playing with a "Star Wars" light saber. There you go. May I force be with him.

It happened earlier this week at the White House and the event was to drum up support for Chicago's bid to host the 2016 Olympics.

HOLMES: How does that help?

(LAUGHTER)

CHETRY: It's a new category. You didn't know?

HOLMES: OK.

CHETRY: Dress up as your favorite "Star Wars" character. No, I don't know. I'm assuming fencing? No?

HOLMES: Maybe. Yes, fencing.

CHETRY: Martial arts.

HOLMES: Light saber. They wouldn't give him the real deal.

CHETRY: Yes, exactly.

HOLMES: All right. Well, maybe he could take one of those light sabers up to Capitol Hill and try to get his health care legislation passed. But since he doesn't have that, you know who he does have? Tom Daschle on his team -- and Tom Daschle will be here with us live.

Stay with us.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

DAVID LETTERMAN, TV HOST: Are you despondent and confused about the health care issue in this country?

CROWD: Yes.

LETTERMAN: Are you fed up and just don't feel like you can carry on?

CROWD: Yes.

LETTERMAN: Have you had enough?

CROWD: Yes.

LETTERMAN: Well, I don't know what to tell you.

(LAUGHTER)

(END VIDEO CLIP)

HOLMES: Hey, I don't either.

But welcome back to the "Most News in the Morning" here.

Right now, the efforts to overhaul the nation's health care system are at a critical point, especially after Senator Max Baucus' compromise fell a bit flat with some Republicans and some Democrats. So, where do we go from here?

Former Senate Majority Leader Tom Daschle is here. He's advised the president on health care reform, also advised many in the health care industry through his role at Alston & Bird.

Sir, you just had -- you just heard there, David Letterman making a joke really, I don't know what to tell you. At this point, do you know what to tell us? I mean, we thought this Baucus bill was supposed to be the compromise that people would be able to get around, but it seems like it has split people just as much as the other bills.

TOM DASCHLE, FMR. U.S. SENATE MAJORITY LEADER: Well, T.J., I'd say that the message is: help is on the way. I really think you're going to see a consensus over the course of the next couple of weeks.

Obviously, these are very difficult issues. And if you were going to start from scratch, you might do things differently. But we're trying to build on the system we've got and it's a tough, tough job. We've not been able to do it for 70 years. I think we're going to do it this year.

HOLMES: Do it this time. Let's go with the Baucus bill here that many thought would be the one. It was a group of six here -- three Republicans, three Democrats. But -- and as we know, there are a whole lot more Democrats and Republicans that need to agree on this thing. Let's talk about what you might like about it.

First, do you like the cost? The CBO says $774 billion, $856 billion is what the finance committee said it would cost. That's below that $900 million marker, but some are saying the downside here is because it cost a little less, it's not going to help people as much.

DASCHLE: Well, you've got to like the cost, but you put your finger on the problem. I think it that when it comes to both how much help there is for the states and how much help there is for the middle-class as they try to buy insurance, we're probably going to have to adjust those figures. I think there's a growing consensus that we've got room in the budget now to address those figures a little more successfully. So, my guess is, you're going to see those numbers tweaked over the next few days.

HOLMES: And you say tweaked -- that sounds like more expensive. How much more expensive are we talking about here, Senator?

DASCHLE: Well, I think within the realm of the budget. You know, we're shooting for something below $900 billion, and I think you're going to do that. We've got over -- we've got several billion dollars to deal with here. I think most of those resources are going to go into making insurance more affordable for more people.

HOLMES: And I know you've been looking -- it's tough, too. There are five bills out there that are thousands and thousands of page, but we have a general idea of all of these bills. This particular bill does not have the public option in it. We have some saying -- a Democrat just was here with us yesterday, Representative Weiner, said this one is "dead on arrival."

So, how does this bill move us forward if you have a Democrat even saying this bill doesn't have a chance in heck, if it does not have the public option in?

DASCHLE: Well, the prospects for a public option, T.J., are different in the House than they are in the Senate. A calculation has been made that the votes just aren't there today, but I think, perhaps, before the end of this process, you're going to have some votes. You'll have a vote up or down probably on some form of a public option either in committee or on the Senate floor, and then we'll know.

But clearly, we've got to move forward and that's exactly what the Democrats and some Republicans are trying to do. Find what common ground we can. We'll find out whether that includes a public option or not in the Senate.

HOLMES: You say that there'll be an up or down vote at some point. I guess, at that point, do you expect and is there just hope that Democrats will then just, you know, stake their position and vote together -- no matter what this public debate is like -- just hoping that maybe once it does come to the floor, that Democrats will get together and this might just have to be a partisan bill?

DASCHLE: Well, this is a test of governance. We are facing one of the biggest challenges in the country, domestically, with health reform. We've got to demonstrate that we can address that challenge successfully.

Democrats are in the clear majority in the House and Senate. We have the White House. We've got to perform. We've got to get this job done.

I think you'll see Democrats coalescing around a final version that will give us the unity we need to do that job within the next few weeks.

HOLMES: All right, sir. Before I let you go here, let me just ask you -- just about the president. You, of course, have the ear of the president and he has your ear as well. Tell us. He has said several things publicly -- but from what you understand, will the president sign a bill that does not have the public option?

DASCHLE: Well, the president's going to wait and see until the final product is delivered before he makes any final decision on what he's going to do, T.J. He's going to look at everything. He's going to look at whether there's a public option, something that he and I both strongly support. But he's going to look at the whole package and make a decision at that time.

HOLMES: And last thing here, he is going to be doing a whole lot of television this weekend. Is that good or bad? Does the president need to maybe -- he's playing off his personal popularity, but is he running a risk here of overexposing?

DASCHLE: Well, he's our best spokesperson. And, you know, it's -- now is the time. Now is the case -- is really his best opportunity to make the case to the American people, using the media, talking to members of Congress, talking to groups -- as he did yesterday on a university campus. He is doing everything he possibly can to ensure that we've -- we've not left one stone unturned in getting this job done.

HOLMES: And I know you said the best spokesman. I know I've got to let you go here, but, still, as part of the problem as well, he talks about my plan, but what he has right now his suggestions. Do you think he needs to send a bill up there that says "health care by Barack Obama" instead of leaving it to them up on Capitol Hill to put something together?

DASCHLE: Well, we now have five hills.

HOLMES: Yes.

DASCHLE: Three in the House and two in the Senate.

(CROSSTALK)

HOLMES: But none of them are his. Do we need his?

DASCHLE: Well, we'll have his. And he's working to make sure it's his at the end of day. What he has said is he's going to work with the Congress to deliver a bill that's both his and that Congress, and that's the way it should be.

HOLMES: All right. Well, Senator Daschle, we certainly appreciate you taking the time with us. We know you know all about health care. You were this close to being the health and human services secretary, and maybe you do or maybe don't, wish you had that job at this point. But we appreciate you for being here. You take care.

DASCHLE: My pleasure. Thanks, T.J.

HOLMES: And don't forget again, this Sunday, President Obama sitting down with our John King on CNN's "STATE OF THE UNION." You can't miss this interview with our John King, Sunday, 9:00 a.m. Eastern -- again, right here on CNN.

CHETRY: All right. Well, we're going to be joined by Jason Carroll when we come back. He had a chance to check out the army's new training regiment. They say if they get the soldiers into a better type of shape using smart new technologies, they actually do much better once they're deployed, especially in places like Afghanistan. Jason Carroll put it to the test as well. He's going to show what they're trying to do to make a stronger soldier.

Nineteen minutes after hour.

(COMMERCIAL BREAK)

(MUSIC PLAYING)

CHETRY: Hello. Welcome back. I'm scaring T.J, because when a camera is not on us, I dance just to make him laugh.

Miami, that's a better shot than me trying to dance. Partly cloudy, 88 degrees a little bit later. Only going up a degree for a high -- 89 degrees and scattered thunderstorms this morning.

HOLMES: You're a fine dancer.

CHETRY: Thank you. I just sat here like this. I don't know what you're referring to.

GERRI WILLIS, CNN PERSONAL FINANCE EDITOR: Absolutely true.

(LAUGHTER)

CHETRY: Well, Gerri Willis is with us. We're talking about student loan reforms on the horizon. And the House passing a bill that would prevent banks from making loans to college students; instead, it would be Uncle Sam as the main provider of the loans.

HOLMES: Yes. This is called the biggest overhaul in college aid program since the creation in the 1960s. So, college students, you need to be paying attention right now.

WILLIS: That's absolutely -- and their parents, we'll talk about them, too.

OK. So, what we're talking about is actually taking the government out as the middle man in college student loans. And you may not know this, but the federal government actually provides capital, guarantees, and subsidies to banks to make these loans. So, it's really all about the government, but the banks are really the handout in the community, really reaching out.

So, they want to change that, in the subsidies, boost Pell Grants for needy students. But some of that money that would have gone to banks can now go to Pell Grants and then pay for community college reform. This is a very big change in the way that college student loans are divvied out.

CHETRY: So, you're saying they're basically cutting out the banks, the middle -- the banks as the middle man.

WILLIS: Absolutely right.

(CROSSTALK)

CHETRY: It could end up allowing them to even make more loans because of the money that they're saving.

WILLIS: More money for Pell Grants, more money for needy students, more money for community colleges.

HOLMES: So, is it going to happen?

WILLIS: Well, great question. You know, it sailed through the House. The Senate could be an entirely different story. And there's actually a deadline here, July 1st, 2010. Why is that? Well, they would have to put this into effect, and this takes a long time for the colleges themselves to do and they say, I can't make this deadline right now.

Now, I wan to tell you what the critics say because there are critics out there.

CHETRY: Right.

WILLIS: They say this would cost more money, in fact, and there would be a lot of job losses because there are a lot of people who work at banks right now. This is all they do, is to make these college loans, and this would be a bad time to get rid of those loans.

But you can imagine parents out there, students out there, so many more relying on loans. Forty-seven percent this year saying they will rely on loans to pay for college against 37 percent last year. This is a big need for people out there.

HOLMES: All right. We shall see what happen. I guess a lot of students and parents sat up when they heard this and said, "Oh, the Senate," you've got to wait on them to do something.

WILLIS: Yes.

HOLMES: And we'll be waiting.

WILLIS: That's true.

HOLMES: All right. Gerri, we appreciate you as always.

CHETRY: Gerri, thank you.

WILLIS: My pleasure.

CHETRY: Well, still ahead, she's throwing her hat out of the ring -- I guess you could say, right? Because we're talking about WWE wrestling family superstar CEO Linda McMahon. She's actually going to be running for Senate. She's going to try to take on Chris Dodd. What are some of the biggest issues that she wants to take on if she does end up being a senator for Connecticut?

Well, she's going to be joining us. So, we'll talk to her about it in just a minute.

Twenty-five minutes after the hour.

(COMMERCIAL BREAK)

(MUSIC PLAYING)

HOLMES: Welcome back, everybody, to the "Most News in the Morning."

Right now, every minute, every day, American troops in Afghanistan facing a dangerous and advancing enemy. It's one of the reasons the joint chiefs chairman says more resources, including more U.S. service members, are needed.

CHETRY: Yes. And they're also asking a lot of questions like, how do we adapt as a military, train the men and women for this rugged, mountainous terrain, and increase their odds of making it out safely.

Our Jason Carroll joins us now with a sneak peak at a new army program that you actually ran through the rigors of some of it.

JASON CARROLL, CNN CORRESPONDENT: Yes, ran through some of it. It's tough. It's really tough. But the idea is to make a better soldier.

You know, soldiers in Afghanistan have been suffering many non- combat injuries as a result of the heavy loads that they carry in Afghanistan's rough terrain. Now, the army is taking a tip from how professional athletes train in order to make a stronger soldier.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: Left, right, left.

CARROLL (voice-over): It's dawn, Fort Campbell, Kentucky, marching in formation.

(CHANTING)

CARROLL: Traditional calisthenics. For decades, physical training for army soldiers has changed very little. But now, change has come.

UNIDENTIFIED MALE: How do you feel? Feel all right?

UNIDENTIFIED MALE: Yes.

CARROLL: It looks a lot different. The results -- unmistakable.

LT. COL. BRIAN SMALLEY, U.S. ARMY: And the end result will be a stronger, faster soldier that will be less prone to injury.

CARROLL: The new program is called the Eagle Tactical Athlete Program, ETAP.

These are the first wave of soldiers sweating under ETAP which emphasizes endurance, balance, speed, and preventing injuries.

ETAP's director, Dr. Scott Lephart says 40 percent to 60 percent of new recruits actually get hurt during training.

DR. SCOTT LEPHART, UNIVERSITY OF PENNSYLVANIA: If, indeed, we can mitigate the risk of injuries, reduce the injuries and enhance their capacity to perform their duty, it's a significant contribution on our part.

CARROLL: Training is based on the methods Dr. Lephart developed at the University of Pittsburgh's Department of Sports Medicine and Nutrition. Professional sports team like Steelers and Penguins pay top dollars for this training. But unlike ice or turf, these soldiers will be fighting in Afghanistan. No problem, program is customized to environment.

LEPHART: They were observing significant amount of ankle injuries due to the rough terrain and the elevation in Afghanistan. Therefore, we were able to integrate new exercises that would specifically work on the soldier's agility and balance.

CARROLL: Before training begins, the customized program uses computer technology to measure how a soldier lands, how much air they take in, and strength.

UNIDENTIFIED MALE: Set and go to the right, cross hand, left. Great effort.

CARROLL: The tests are not easy.

UNIDENTIFIED MALE: Three, two, one -- sprint, as fast as you can go.

CARROLL (on camera): Yes, it's tough.

(voice-over): Tough and easy to measure weakness. But will this new program break decades-old training methods?

SGT. BRAD OHLMAN, U.S. ARMY: I think if everybody gives it a chance, you know, and just tries it, they will come around to actually liking the program.

(END VIDEOTAPE)

CARROLL: Well, the new training program lasts about eight weeks. Fort Campbell hopes to have all of the 25,000 soldiers in the 101st Airborne Division fully trained on the new program by early next summer. That is their hope, that is their goal.

HOLMES: I mean, they're talking about just the 101st there, but eventually all soldiers? Would they like them all to go through?

CARROLL: Good point. And that's exactly what they're hoping. They're hoping that other areas of the military will adopt this. And in fact, Dr. Lephart -- who you saw there in the piece -- he is planning no meet with the Green Berets, he's already met with the Navy SEALs in terms of trying to develop a training program for them.

So, you know what the hope is. We'll see what happens.

CHETRY: All right. Very interesting. Thanks a lot, Jason.

Right now, we're coming up half past the hour. A look now at the other top stories this morning.

An Afghan national from Colorado who's at the center of a terror investigation is facing more questions now from the feds. CNN has learned officials think the target of the alleged plot could have been New York City subways or trains, places without tougher, airport- style security. The FBI right now not commenting, but sources say they think the plot also involves, quote, "real deal terrorists."

HOLMES: Police in California say two different cadaver dogs each working on its own, showed interest in the same spot on Phillip and Nancy Garrido's property. In a few hours, they'll check the spot with radar equipment that lets them see what's happening underground.

The couple's accused of kidnapping Jaycee Lee Dugard and keeping her in backyard tents and sheds for 18 years. Police think the Garridos could also be involved in two other disappearances in that area.

CHETRY: And Raymond Clark, the man accused of killing Yale grad student Annie Le will not be back in court until October 6th. In front of a judge yesterday, he did not enter a plea. Bond was set at $3 million.

Clark's best friend sat down exclusively with our Larry King last night, saying he is completely stunned by Clark's arrest.

(BEGIN VIDEO CLIP)

BOBBY HESLIN, RAYMOND CLARK'S BEST FRIEND: Absolutely, complete shock. I cannot understand the position that Ray's in right now, why he's in this position.

Obviously, we do know, you know, what is going on, but it's like, it's a complete shock, because this has a dear friend of ours and a dear friend of mine who I've grown my whole entire life to know and it's -- the whole country and everybody else are wondering.

We want questions -- I mean, we want answers to all of our questions. Everybody has questions.

He's being portrayed right now as being a murder suspect. And that's not the Raymond Clark who I've known my whole entire life.

(END VIDEO CLIP)

CHETRY: Well, another close friend of clerk's told Larry, "I," quote, "just can't picture him doing something like this."

HOLMES: We are also tracking your stimulus dollars this morning. It's a bill many lawmakers reportedly didn't read. You remember that. It's the money the government told us was desperate needed to prevent a global economic meltdown.

CHETRY: Now in this CNN exclusive, our special investigations unit found that alto of it is literally going to the middle of nowhere in Montana. Our Drew Griffin takes us there.

(BEGIN VIDEOTAPE)

DREW GRIFFIN, CNN CORRESPONDENT, SPECIAL INVESTIGATIONS UNIT: We knew this one we had to see to believe, but after driving for hours, we thought we might never see it.

GRIFFIN (on camera): We've flown to Billings, Montana. We've been driving for five hours through a country that has more antelope than people, and I'll tell you, we've done the bridges to nowhere, the roads to nowhere, but this may be the topper.

GRIFFIN (voice-over): It was supposed to be $15 million to replace what appears to be a perfectly fine border crossing station, especially when you consider the Bureau of Transportation's statistics say this border crossing station at Scobey, Montana, sees fewer than 20 vehicles a day.

GRIFFIN (on camera): It's not that you could just call this border crossing slow. Here I am in the middle of the day sitting in the middle of the road. There's nobody here.

GRIFFIN (voice-over): It's even quieter here, the border crossing at Whitetail, Montana. A Bureau of Transportation statistics say that custom agents here get an average of fewer than two vehicles a day.

Yet, this, too, was to see a $15 million upgrade thanks to the federal stimulus bill.

UNIDENTIFIED MALE: Well, I think everybody was pretty well blown away that there's been $32 million in Daniel's County on new border stations. I believe they need to update it, but that just seems to be kind of a crazy number.

GRIFFIN: Why, suddenly, was so much money supposed to come to northeast Montana border crossings, especially when you consider that these border crossings are so unused they're both closed at night? Could it be politics?

Since the Democrats took over in the Senate, Montana's two Democratic senators have become very powerful. Senator Max Baucus is chairman of the Senate Finance Committee. Senator Jon Tester is on the Homeland Security Committee. And both took credit for the millions allocated up here in a joint press release, saying they pushed Homeland Security for the stimulus spending.

"This is good news for all of Montana and especially communities across the northern tier," Senator Baucus said in that release. Senator Tester said the spending would "pay off for generations to come by creating new jobs and opportunity that will benefit all of Montana."

And just this week, Senator Tester reiterated his support in a statement saying, through his spokesperson, "Because our borders are only as strong as their weakest link, Jon supports sealing up all security gaps and expects to see the work done as responsibly and efficiently as possible."

The Department of Homeland Security even told us that security concerns, not politics, drove this decision to spend on the ports. TRENT FRAZIER, HOMELAND SECURITY, DIRECTOR OF PORT MODERNIZATION: We feel that these ports, like all of the ports of entry, are a vital part of that network of security that we establish along the borders, and that the investments that we're going to do at these ports of entry are a critical step in ensuring that we can perform our mission.

UNIDENTIFIED MALE: My dad, Paul.

GRIFFIN: Mark's Chabot's family has been farming this border for generations. His land is adjacent to the border crossing in Scobey.

In winter, entire days go by, he says, where you won't see a single car. And an idea to build a new border station that sees fewer than 20 cars a day at a cost of $15 million tax dollars he says could only have come from Washington.

MARK CHABOT, SCOBEY, MONTANA RESIDENT: Well, when you're spending somebody else's money, cost is no big deal, right? If I'm spending your money, what do I care? As long as you've got a big pocketbook, why do I care on what I spend it?

The accountability we need to have and the sensibility and the common sense needs to apply here.

I mean, the senators did a fine job as far as getting money for northeast Montana, absolutely great. But would it be wiser spent on something more useful to the public generally?

GRIFFIN: Scobey and nearby Whitetail would have received a temporary boost to the local economy, but not anymore. Shortly after the DHS defended the project to CNN on camera, the secretary pulled the plug, ordering a full review of how her department makes spending decisions.

Drew Griffin, CNN, Scobey, Montana.

(END VIDEOTAPE)

HOLMES: And I want to be clear here that CNN did try to get comments from the two U.S. senators from Montana. We tried for two weeks before the project was put on hold. The only response we received was the one you heard there in the report.

CHETRY: We're going to take a break. When we come back, Rob Marciano tracking extreme weather for us. We have the south soaked by heavy rains. Now there are flood watches in some parts of the country. He'll bring us up to date.

It's 38 minutes after the hour.

(COMMERCIAL BREAK)

CHETRY: Welcome back to the most news in the morning.

Could she be the next Jesse Ventura? Linda McMahon is stepping down as CEO of World Wrestling Entertainment, the WWE, to enter the race for U.S. Senate in Connecticut as a Republican.

Exchanging the wrestling ring for the political ring, McMahon will have a tough fight ahead of her. Joining me now from Stanford, Connecticut, to discuss her bid for Senate is Linda McMahon. Linda, thanks for being with us this morning.

LINDA MCMAHON, (R) SENATE CANDIDATE, CONNECTICUT: Thanks for having me, Kiran.

CHETRY: I just want to know, first of all, what made you decide, I'm going to go for this year, I'm going to go for -- try to get through the primary and try to challenge Chris Dodd?

MCMAHON: You know, Kiran, I'm a businesswoman, and I've been watching what's going on. The mounting debt that we have, people out of work, reckless spending going on in Washington, and I couldn't sit on the sidelines and watch anymore. I really wanted to get in, to do something.

I've found also as I've traveled around Connecticut and talked to people, there has been a growing sentiment and been really consistent that our citizens have lost faith and trust in Chris Dodd.

It was a good time to get in, I think the right time to get in. So I want to get will and make a mark for the people of Connecticut.

CHETRY: You know, I mean, politics is, you know, some people say, hey, it's sort of like wrestling, if you will, because you've got to get your hands dirty in there.

You, as you said, are a successful business woman. You and husband Vince started this with, what, 13 employees, and for years and years, three decades you've built upon this, a very successful business, publicly traded company now.

Did you talk about it with your husband and your family, and what did you guys go over when it comes to the pros and cons of making yourself so public out there, trying to run for office?

MCMAHON: Well, I clearly have the support of all of my family, and good friends as well.

And you know, Kiran, you talked a bit about spending 30 years build this business. That's true. And we haven't always been in the position that I am now, because, at first, when Vince and I started out, we actually went bankrupt. We lost our house, we lost our credit cards. We couldn't even rent a car.

So I know the angst of that. I know the embarrassment of that. I know what it's like to wonder, are you going to have a job, are you going to be able to make your mortgage? So I think I walked in the shoes of some of the folks here in Connecticut and, really, in the country, and I understand their plight.

So I know what it's like to be in that position. And we have to get people back to work. Our economy's not going to change until we actually create jobs or have businesses grow.

And small businesses, they create about 70 percent of the jobs, and they can't get credit today. If you own a small business, if you can't get credit for a bridge loan, sometimes you have to fold up shop, you certainly can't grow.

So that's my goal. I understand creating jobs, and I want to be able to help do that.

CHETRY: Jesse Ventura, when he ran, he took a lot of flak at first, and we saw endless video of him in the ring and him in his audacious costumes. And of course I'm sure you're going to get some of that as well, trying to make that transition from being part of very, very popular sports entertainment venture on to the Senate.

So let's take a look at some of the video and just see -- this is one actually that's pretty funny with you and your daughter. Let's take a look.

(BEGIN VIDEO CLIP)

STEPHANIE MCMAHON: You're simply a conniving --

UNIDENTIFIED MALE: What? That's her mother! What the hell is wrong with her? Oh! Stephanie struck her mother down! Stephanie slapped her own mother!

(END VIDEO CLIP)

CHETRY: I come from a long line of WWE fans, so I actually saw that when it happened.

But are you nervous that maybe some of these performances will come back to haunt you on the campaign trail?

MCMAHON: You know, Kiran, what I have to do in Connecticut is travel around and talk to our people, because they don't know me. I want to travel around our state. I want our citizens to be able to look me in the eye. I want them to get to know me and to know what I stand for.

And I want to hear what they have to say. I want to hear their ideas, because I don't think you can go to Washington just entirely with your own ideas. You have to know what the citizens of your state expect out of you.

So I trust that when I have that opportunity, they'll make their decision next year, and I will have convinced them I'm the right one to be their voice in Washington.

CHETRY: So you don't care...

MCMAHON: Because, I'll tell you...

CHETRY: I was just going to say, you don't care if your competitors try to use some of your best wrestling moments against you?

(LAUGHTER)

MCMAHON: I think the citizens of Connecticut will see that that's an entertainment product, and they'll get to the crux of the matter. Our citizens are very smart. They enjoy our product, but they also know that it's an entertainment product that's on television.

And the company that's behind that is a very strong company. It's traded on the New York Stock Exchange.

CHETRY: Of course, absolutely.

MCMAHON: So I think they'll have a good idea about that.

CHETRY: I want to get your opinion on just a couple of things that are percolating right now in the Congress.

And quickly, if you will, what do you think about this whole debate about overhauling health care? Do you think that what's in there right now in the Senate, this bipartisan -- hopefully bipartisan proposal by Max Baucus is going to make it and should make it?

MCMAHON: I'll tell you, I do think we need health care reform. I don't think anyone really questions that.

But what we do question is how are you going to pay for it, and what are the things that our citizens are afraid they're going to lose?

And what I hear in talking to the people of Connecticut are pretty much the same as you hear everywhere, and that is, are we going to have loss of benefits for our seniors? How does it affect the doctor-patient relationship? And those are real concerns. But cost I think is at the center of it.

So I'm going to look very carefully. If I were in the Senate now, I would be looking very carefully at the bill, and we need to probe it and do it right. And we don't need to rush through it, but we need to get it right.

CHETRY: All right, well, I want to say good luck to you and thanks so much for joining us this morning. Linda McMahon, great to talk to you.

MCMAHON: Thank you, Kiran. If you want to know a little bit more, you can go to Linda2010.com.

CHETRY: Got your Web site up already. All right, that's definitely a start in the right direction.

MCMAHON: Thank you.

CHETRY: Thanks, Linda. HOLMES: It's so differently to see her standing here and talking about health care and then getting smacked in the ring by her daughter.

(LAUGHTER)

CHETRY: That's right. Well, it's a family affair. Stephanie is in it, her son Shane, and dad Vince.

HOLMES: It's entertainment, but wouldn't you love to see that scene on the Senate floors?

CHETRY: Sometimes.

HOLMES: Sometimes it does look like this, I guess.

CHETRY: Exactly.

HOLMES: Stay with us. A lot of you are going to be traveling today, flying. You might have some issues with a couple of major airports because of the rain-soaked south. Rob Marciano is coming up next.

(COMMERCIAL BREAK)

(WEATHER BREAK)

CHETRY: Still ahead, are you an overnight success? It may seem like it at times, but these fashion designers who helped dress Michelle Obama, they've been at it a long time in some cases. But we've certainly benefited by the first lady choosing their designs. We're going to talk to one of those designers still ahead.

It's 51 minutes past the hour.

(BEGIN VIDEOTAPE)

SUSAN JACOBS, CNN HERO: I'm a single mom. Not having a car, I have to take three buses every morning. I also depend on a friend of mine to get my kids to day care, because of the way the buses run, I'm unable to do it and get to work on time.

I know what it's like to have the fear of losing my job because I can't get to work. I was hitchhiking. That didn't last long because of the kindness, actually, of a stranger. He said "I'll let you use one of my vehicles."

He was put in my path to help me move forward and made me realize I could make it.

I'm Susan Jacobs and I provide working wheels to keep families working.

This is Susan with wheels of success.

Our goal is to try to step in to work with employers so that before they lay someone off, hopefully we have a solution.

The Cavalier's done too?

UNIDENTIFIED MALE: Yes.

JACOBS: We started taking donated cars and doing repairs. You pay a monthly payment for a year based on a sliding scale, and also give three volunteer hours a month back to the organization.

(APPLAUSE)

JACOBS: Receiving a car is more than just the car, and people literally see how their life's going to change.

UNIDENTIFIED FEMALE: This is awesome. I got my own car.

JACOBS: I love what I do. My life has made a difference.

(COMMERCIAL BREAK)

CHETRY: There are only two people here that can dance.

HOLMES: Only two?

CHETRY: Of the female persuasion, I might add.

HOLMES: Obviously, a selection from Alina Cho's iPod. But it is so delicious this morning, a dream come true for have a fashion designer to having a high-profile woman pop up in something that you created.

CHETRY: And who is more high profile that the first lady, right? well, what about the first lady wearing your design on Inauguration Day. It certainly made designer Isabel Toledo a household name.

And Alina Cho as there on her -- with her on Inauguration Day. And then she went back to check on how things are going since that sudden explosion of fame, right?

CHO: Yes. I mean, it's been eight months, and we wanted to know, what's changed in her life.

You know, guys, fashion insiders have known about Isabel Toledo for years. They called her a designer's designer. But remember, most of America had never heard of her. That is, until Michelle Obama walked out on Inauguration Day wearing that lace dress and coat that Toledo designed.

So eight months later, how's she doing? We went back to pay a visit, and boy, has her life changed.

(BEGIN VIDEOTAPE)

ALINA CHO, CNN CORRESPONDENT: What goes through your mind when you look at this now?

UNIDENTIFIED FEMALE: Oh, my goodness, I'm so proud. I'm very proud of this dress. It's got such a history.

BARACK OBAMA, (D) PRESIDENT OF THE UNITED STATES OF AMERICA: Preserve, protect, and preserve the constitution of the United States.

CHO: So much so that famous dress, the one Michelle Obama wore on Inauguration Day, now sits in a glass case. Isabel Toledo designed it.

CHO (on camera): What's change in your life?

UNIDENTIFIED FEMALE: The studio is quite busy, I have to say, which is wonderful.

CHO (voice-over): When the first lady wore Toledo's dress and coat, she probably had no idea just how much that choice would change this designer's life. For starters, Isabel and her husband and collaborator, Rubin are now celebrities.

CHO (on camera): What do people say to you?

UNIDENTIFIED FEMALE: They're just so happy to meet me. And to be a part, they always tell me about what they were doing on that day. They give me their stories, which is wonderful, very personal.

CHO (voice-over): People want to peak into their lives. There have been reality show offers.

UNIDENTIFIED MALE: Yes, plenty of it. But who wants to do a Ricky and Lucy show, right? That was good for Ricky and Lucy, but --

CHO: A new book, and something Toledos seem most proud of, a retrospective at the prestigious FIT museum in New York. The exhibit includes another Toledo dress that Mrs. Obama owns and the inspiration behind the inauguration coat.

UNIDENTIFIED FEMALE: This coat right here is the body of the Michelle, believe it or not, and this is 1995.

CHO: At the time, the coat was never mass produced. Now it's a part of history.

Toledo even designs new collections with the first lady in mind.

UNIDENTIFIED FEMALE: I can go back to my archives and, with Michelle in mind, think of what pieces are very Michelle.

CHO (on camera): Michelle is a muse?

UNIDENTIFIED FEMALE: Absolutely, yes. That's why a little bit of Michelle is in me, a little bit of you is in me.

CHO: When I last seen Toledo on Inauguration Day --

UNIDENTIFIED FEMALE: I was so happy.

CHO: She had tears in her eyes. Today -- UNIDENTIFIED FEMALE: They're still there, actually, because of the happiness. It's been really wonderful.

(END VIDEOTAPE)

CHO: Both Rubin and Isabel, such wonderful people. It just could not have happened to nicer people.

That inauguration dress and coat, by the way, that Toledo designed could end up at the Smithsonian, but it's not a given. Now, the gown that the first lady wore will end up there, but Mrs. Obama still owns the Toledo creation, so, ultimately, it's her decision.

And right now, guys, Toledo tells me that museums everywhere are furiously bidding for it. And you were asking with, is that the actual dress and coat that Mrs. Obama wore -- it is.

CHETRY: What did you call the material, because it is very unique?

CHO: What's interesting, it's actually Swiss lace, and it's very warm. It's wool lace.

But get this -- the Swiss government found out. They got so excited about it that they invited the Toledos to show their new collection at the Swiss embassy. So they're going to do a runway show in November at the Swiss embassy in Washington, D.C.

HOLMES: Oh, my gosh. Yes, life has changed for them.

CHO: It has.

CHETRY: And they're adorable. As you said, they've known each other since they were 13-years-old.

CHO: They've known each other when they were 13. Rubin said he knew right then and there he wanted to marry Isabel. He had to wait until after they graduated from high school to actually date.

But they're actually collaborators. They're co-designers, really. She explains what she -- her ideas, and he draws them. He's a fantastic artist. And so their creations are really their creations. You know, her name's on the label, but it's their creations.

HOLMES: Back to the first lady, the coat, the yellow -- you said the museums are bidding for it?

CHO: They are.

HOLMES: They'll have to pay her for it?

CHETRY: Donated it?

CHO: It's unclear. Ultimately, I think, that the first lady would donate it. You know, again, the gown will become -- the gown that she wore, that white one-shoulder gown that Jason Wu designed will go to the permanent collection of the Smithsonian.

But not a given, yet, so we'll have to wait and see. My guess is that it will end up at the Smithsonian too.

HOLMES: Thank you for that. Swiss lace, was it?

CHETRY: Swiss lace.

HOLMES: Where can I find that? Not in Men's Warehouse or anything, right?

(LAUGHTER)

CHO: Not that I know.

CHETRY: Would you wear it?

HOLMES: I'm just saying, it looked nice.

(LAUGHTER)

CHETRY: We had a great week. T.J., thanks for being with us. I know you're trying to head back to Atlanta.

HOLMES: Weather permitting.

CHETRY: Hope it works out for you.

HOLMES: Thank you.

(LAUGHTER)

CHETRY: Anyway, continue the conversation on any of today's stories on our blog CNN.com/amfix. See you back here Monday.

HOLMES: Now it's time to hand it over to the "CNN Newsroom" in Atlanta with Heidi Collins.