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Optional Public Option?; Homeless to Harvard?

Aired October 23, 2009 - 12:00   ET

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


TONY HARRIS, CNN ANCHOR: Time now for your top-of-the-hour reset.

I'm Tony Harris in the CNN NEWSROOM.

It is 12:00 p.m. on Capitol Hill, where Senate Majority Leader Harry Reid is focusing on a compromise for health care reform. Opting out of the public option now on the table.

It is 6:00 p.m. in Slovakia, where NATO defense ministers are discussing more troops for Afghanistan. We expect to hear from the U.S. State Department this hour.

And it's noon in Cambridge, Massachusetts, where President Obama is visiting MIT. He is talking clean energy at the bottom of the hour, and we will bring it to you live when it begins.

Let's get started.

A Senate health reform bill with a public insurance option? It is the latest twist in negotiations on the future of your health care. Some Senate Democrats are pushing for a government-backed insurance option and a provision allowing states to opt out.

Senior congressional correspondent Dana Bash live from Capitol Hill.

Dana, what can you tell us about this new development?

DANA BASH, CNN SENIOR CONGRESSIONAL CORRESPONDENT: Well, I can tell you, I literally just came from the second floor of the Capitol, where the Senate majority leader, Harry Reid, has his offices. And he just had one of a series of meetings he is having with a critical, critical group of Democrats in his own caucus.

It was a meeting with Democrat Mary Landrieu of Louisiana. She is one of those conservatives, in her words -- I just talked to her with a group of reporters -- that she has told the leader that she and others have great reservations about the idea of -- and they've expressed them forcefully and clearly -- about the idea of a public option to the Senate majority leader.

However -- and this is the important part here -- however, what Senator Landrieu said, and other conservative Democrats are saying, is that they could perhaps go for the idea that the Senate majority leader is now floating, which is to have a national public option and perhaps allow states to opt out of that. Now, she also -- there's another idea that would sort of do the opposite, to just allow states to opt in, don't start with that baseline, and force states to decide whether or not they want to opt in.

It sounds like, you know, two sides of the same coin, but it does have a different, I think, perspective with regard to a lot of these senators who really are grappling with the concept of whether or not they can sell this idea of a government-run plan back home, because Senator Landrieu made it very clear, just moments ago, standing outside of Senator Reid's office, that it is a very, very tough sell, but that's what's going on. Senator Reid, as we speak, is trying to get the votes -- Tony.

HARRIS: That's a terrific update.

Let's move over to the House side. How is the public option faring there?

BASH: Well, as I said last hour, it really is a big difference in terms of where the Democratic Caucus is, because there, they're trying to figure out what kind of public option to have, not whether or not to include one at all. And basically what their grappling with are two kinds of concepts with regard to a government-run option.

One is where the government would basically mandate how much doctors and hospitals would get, that they would set the rates, and that would be set to Medicare rates, which tends to be lower, which would anger some of the private insurers because they would have to force them to lower their rates even more. The other option is to allow the government to negotiate. Not mandate it, but negotiate those rate rates with doctors and hospitals. And that's basically where the divide is.

There was a very lively, we're told, and perhaps a little bit contentious Democratic Caucus meeting with all the Democrats trying to figure out which way to go. And afterwards, the House Speaker came out and she gave us a sense of what she's thinking.

(BEGIN VIDEO CLIP)

REP. NANCY PELOSI (D-CA), HOUSE SPEAKER: The robust public option is, in my view, a preferred way to go because it saves the most money, $110 billion. It's not the only way to go. And at the end of the day, we will have a public option in our legislation to keep the insurance companies honest and to provide real competition.

(END VIDEO CLIP)

BASH: Sounding very hopeful about the fact that at the end of the day, meaning when they send this bill finally to the president, which could be Christmas Eve at this point, that she believes that there will be a strong public option. We'll see.

But another interesting note and that is that the number two House Democrat said that he wants to have a vote on the House floor November 10th. That's just a little more than two weeks from now, so there's going to be a lot of real activity very soon, and House Democrats are going to have to decide very soon which way they're going to go on this issue, the public option, and a whole range of other contentious issues we haven't even been talking about.

HARRIS: Boy, that's a small window. You've got to get the debate -- you've got to get the bill, and then you've got to get the debate going. That's a small window.

BASH: It is. It is a small window.

A little easier to set the rules. In fact, a lot easier to set the rules and set the debate in the House than it is in the Senate. But I've got to tell you, the Senate, they want to start in two weeks also.

That's going to be a much longer debate. So, we're going to see the private talks spill out onto the floors of the House and Senate pretty soon.

HARRIS: I can't wait.

All right. Our senior congressional correspondent, Dana Bash, for us.

Dana, thank you. Great update.

BASH: Thank you.

HARRIS: Federal Reserve Chairman Ben Bernanke urging Congress to act now on overhauling the nation's financial regulatory system. The Fed chief speaking just a short time ago at the Boston Federal Reserve's annual conference. He says the way to prevent a repeat of the banking and credit debacles is to enact legislation while the turmoil is abating.

Sales of existing homes rebounded sharply last month. The National Association of Realtors says sales of previously owned homes rose 9.4 percent in September. The adjusted annual rate of 5.7 million is the highest in more than two years. Many first-time homebuyers are taking advantage of a tax credit set to expire in November.

New York is backing off on mandatory H1N1 vaccinations for health care workers. State health officials had made the vaccination mandatory by November. It even threatened to fire workers who refused, but state health officials suspended that order because the vaccine is in such short supply. A federal health official says we should all have enough vaccine by next month.

(BEGIN VIDEO CLIP)

DR. ANTHONY FAUCI, NATIONAL INSTITUTE OF ALLERGY & INFECTIOUS DISEASES: The production of the vaccine has been slow. We expected a lot more than we have right now, but as we get into the end of October, the beginning of November, the curve of vaccine availability is going to start to go very, very high. Right now, unfortunately, it's lower than where we want to it be.

(END VIDEO CLIP) HARRIS: Los Angeles County giving H1N1 vaccinations at free clinics today. Those at high risk or with no health insurance get the first shots.

And they were lining up very early in Indiana for another free clinic. This one inside a shopping mall. These folks taking no chances.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: I have a newborn, so I'm trying to make sure I stay healthy and stuff.

UNIDENTIFIED FEMALE: I have Type II Diabetes.

UNIDENTIFIED FEMALE: My son has asthma. He's 12. And I think everybody's at risk.

(END VIDEO CLIP)

HARRIS: In Pakistan, the military is wrapping up the first week of an intense offensive against Taliban militants. In the past week, the Taliban have been relentless in almost daily revenge attacks across the country today. Today, dozens killed and wounded in three major attacks near the capital and in Peshawar.

Several NATO countries are considering sending more troops to Afghanistan. Defense Secretary Robert Gates is attending a meeting today of NATO defense ministers. He says some NATO members are indicating a willingness to either add more troops or increase their civilian assistance.

This comes as President Obama debates sending more combat troops to Afghanistan. No matter what that decision is, Gates says the U.S. is not abandoning Afghanistan.

(BEGIN VIDEO CLIP)

ROBERT GATES, U.S. DEFENSE SECRETARY: Other nations have put more than 35,000 troops on the ground in Afghanistan, and their views are important to us as we consider the way ahead. I assured the allies this morning, and will state again this afternoon, that the United States has no intention of pulling out of Afghanistan or abandoning our core mission there, a mission we deem critical to our national security and vital national interests.

(END VIDEO CLIP)

HARRIS: Afghanistan's president says he would like to see more U.S. troops in his country. CNN's Fareed Zakaria had an exclusive interview with President Hamid Karzai.

(BEGIN VIDEO CLIP)

FAREED ZAKARIA, HOST, "FAREED ZAKARIA GPS": So, you support the McChrystal report, and you would like to see 40,000 more American troops in Afghanistan?

HAMID KARZAI, AFGHAN PRESIDENT: I support General McChrystal's report, specifically when that report talks of providing protection to the population, providing them better reconstruction activity, and that the war on terror must not be pursuing and killing the Taliban, but it must rather concentrate on providing protection to the people.

Now, with regard to the addition of troops, this is a matter that we have to discuss as the election gets over with the U.S. government, the arrival of troops. If it contributes to better security for the Afghan people, if it contributes to better protection for our civilian population, and if it enhances the ability of the Afghan forces to eventually stand on their own feet and defend their country, that's something that we can work about and agree about.

(END VIDEO CLIP)

HARRIS: OK. You can watch all of Fareed's exclusive interview with the Afghan leader Sunday afternoon, 1:00 and 5:00 p.m. Eastern Time.

We've been asking for your thoughts on the war in Afghanistan, and many of you have picked up the phone in hundreds -- in the hundreds and shared your comments.

(BEGIN AUDIO CLIP)

UNIDENTIFIED MALE: Good morning. My name is Douglas, and I'm calling from Minneapolis, Minnesota.

And I want to say this war is not winnable. Most wars aren't. We're killing tens of thousands of innocent people and ensuring that the Taliban will continue to grow. And most importantly, we're losing a lot of our young and most brilliant and future leaders of America.

UNIDENTIFIED MALE: Hi. I'm Brian calling from Nebraska.

While I'm going into the United States Marine Corps hopefully by February, I actually think we should send more troops to Afghanistan to resolve the conflict going on.

UNIDENTIFIED MALE: Hi. My name is Jim from Le Roy, New York.

I am a former United States Marine that fought in Vietnam in July of '66. I spent my 20th birthday there.

I can tell you from my experience, we either need to fight to win or we need to get out. There's no halfhearted measure that's going to get the job done. We cannot continue to cut and run when the American public puts its tail between its legs, because they don't understand.

(END AUDIO CLIP)

(COMMERCIAL BREAK)

HARRIS: House Democrats want a robust public option. Now Senate Democrats are considering an optional one. Either way, the so-called public option is front and center in the health care debate.

Kenneth Thorpe is chairman of the Department of Health and Policy Management at Emory University in Atlanta, and he has helped the Democrats work on health care legislation. And he joins us from Washington.

Kenneth, good to see you again.

KENNETH THORPE, CHAIRMAN, DEPT. OF HEALTH AND POLICY MANAGEMENT, EMORY UNIVERSITY: Great to be back. Thanks.

HARRIS: A couple things I want to get to you on here.

We've paid close attention, as you know, to the health care debate and the bill coming out of the Senate Finance Committee. And up until, say, Monday, it really looked like the template for the final Senate bill. And now, got to tell you, as you know, that bill does not include a public option. We are seeing this dramatic comeback of the public option.

Why do you think that is?

THORPE: Well, I think what's happened is that people are finding that the costs of their health insurance in the private sector is high and rising. I think there's tremendous concern out there among the public about how much health care is going to cost.

And the one thing that we know about the public option, the robust one, based on Medicare payment rates, is that those premiums would be about 10 percent less on average than what you would pay for a private health insurance plan. So, it's cost, cost, cost.

HARRIS: So, explain this to us. We'll put up the polling on this as I ask you this next question, because the public option is gaining in support here, even since August, when we -- well, you remember August as well as I do.

So, explain this public option. Is it Medicare expanded?

THORPE: Well, it would pay based on Medicare payment rates, which are about 30 percent less than what private health plans pay hospitals, for example. The benefit package would be a little bit different, but it would look like Medicare. But I think it's important to make sure that people understand, it's only available for people buying coverage through the insurance exchanges.

HARRIS: OK. So, this is this idea of Medicare Plus 5 that we're hearing these days?

THORPE: That's correct. So, the plans would pay in the House version the Medicare payment rates plus an additional five percent. So, still substantially below what the private sector pays, a little bit more beneficial to providers than what the Medicare program pays.

HARRIS: And what do you think of the opt-out feature that's being discussed now that may be available in some legislation for states?

THORPE: Well, I think, as you started, the art of politics here is compromise.

HARRIS: Yes. Yes.

THORPE: And my sense is that we'll end up, if anything, to have a public option where it is optional, meaning that the states could either decide to include it in their exchanges or not. There could be a trigger that says that unless we get costs growing at a slower rate, only at that point would the public option come into play. So, right now there's a lot of variations on this theme being discussed in both the Senate and House.

HARRIS: OK, great. A lot of variations being discussed.

You're in the room right now with Reid and Pelosi. And what are you saying to them, as someone who is grappling with these issues every day? What are you saying to them about the way forward, what they should be considering when it comes to a public option?

THORPE: Well, I think what we need to make sure is that we get the bill passed. And if we can get a public option in there that can attract 60 votes in the Senate, some version of it, that is terrific.

But I think what's important is to make sure that we don't lose sight of the bigger issue here, too, which is getting more Americans covered, moving to universal coverage, and also targeting some of the other issues driving health care spending, which is rising rates of chronic disease and an explosion of chronic illnesses like diabetes and high blood pressure.

HARRIS: Yes.

THORPE: We need to come back and figure out more effective, preventive ways to address those issues as well.

HARRIS: So, you would -- you would be happy with -- if you don't get everything, you would be happy with something that passes, even if it's an incremental first step?

THORPE: I think it's important to put a stake in the sand here, to make sure we're going in the right direction, towards universal coverage, and putting into place mechanisms that are going to get health care costs under control. I think what we're seeing here in this discussion is that nobody's going to get their first choice.

The real challenge here in crafting this legislation is to make sure that everybody's second choice is not the status quo. That's probably the worst option. So, we're going to have to craft a compromise position here where we can really make substantial movement on expanded coverage and controlling the growth in health care costs.

HARRIS: Kenneth Thorpe, it's great to see you, as always. Thanks for your time.

THORPE: Thank you.

HARRIS: And still to come in the NEWSROOM, Michelle Obama is observing Breast Cancer Awareness Month with an event at the White House. The first lady -- OK, live pictures now -- is also focusing on health care reform. The event highlights the importance of health care for women and how pre-existing conditions can affect insurance coverage of breast cancer.

More of our top stories now.

You know, it is possible to make it -- really a question. Is it possible to make it from skid row to Harvard? We are going to introduce you to a young man who is doing everything he can to make his dream come true.

We're back in a moment.

(COMMERCIAL BREAK)

HARRIS: Let's get you caught up on our top stories now.

Three suspected militant attacks in Pakistan killed or wounded dozens of people today. The military's wrapping up the first week of an intense anti-Taliban offensive.

Massive flames shot into the sky over San Juan, Puerto Rico, early this morning after an explosion ripped through a gasoline distribution center. Hundreds evacuated. No word on the cause of the blast.

The U.S. has accepted a proposal brokered by the U.N. that calls for uranium produced in Iran to be enriched abroad. A counterproposal from Iran to buy the nuclear fuel it needs for use in medical research.

Breaking down the barriers in the Army, it's what we're talking about in our "What Matters" segment, in partnership with "Essence" magazine.

If you've never taken orders from a woman, get used to it. Command Sergeant Major Teresa King is the first woman ever to take charge of the Army's largest school of drill sergeants. She uses her own brand of tough love to turn civilians into soldiers at Fort Jackson, South Carolina.

King joined the military out of high school. Before her new gig, she held jobs at NATO and the Pentagon.

October is Breast Cancer Awareness Month, and while fewer women in the United States are dying from the disease, black women are almost 40 percent more likely to die from it than white women, according to a new study by the American Cancer Society. The disparity may be caused by late diagnosis and less accessibility to screenings and proper health care.

You know, sometimes things aren't always as they appear. From the outside, one California teenager seems to have it all. He is student body president, a star football player and straight-A student, but he has a secret.

Thelma Gutierrez has his story.

(BEGIN VIDEOTAPE)

THELMA GUTIERREZ, CNN CORRESPONDENT (voice-over): At 17, you could say Kenneth Chancey lives a double life.

KENNETH CHANCEY, HOMELESS STUDENT: I mean, there is times when it gets difficult. But I can't let those difficult times bring me down.

GUTIERREZ: He's on a journey many of his friends know nothing about. Kenneth is a starting running back on the varsity team at Helen Bernstein High School. He's a straight-A honor student, named best overall academic student.

And he's popular. He's student body president, a big man on campus with dreams of a college education at Harvard.

ALMA FLORES, HISTORY TEACHER: He's an A student. He's definitely into leadership. He's athletic.

GUTIERREZ: But at the end of the day, when all his classmates go home, Kenneth and his 14-year-old sister Stephanie start their journey home to Skid Row in downtown Los Angeles, where there's no escape from reality.

Kenneth and Stephanie live here at the Union Rescue Mission.

GUTIERREZ (on camera): What would you want people to understand about the struggles of their children?

CHANCEY: Well, there are struggles especially, obviously, financially. I would kill to have a house and my own room.

This is my storage area where I keep most of my track stuff and my school stuff.

GUTIERREZ (voice-over): Kenneth, Stephanie and their father Gordon live in a tiny 250-square foot room at the shelter in a special area designated for families with children.

They ended up here after Gordon, who works as a day higher in the entertainment industry, lost his apartment about the same time he won custody of his kids. Even though Kenneth lives in a shelter, he says it's so much better than what life was like before.

CHANCEY: In sixth grade, I lived in a van. Let's see -- my mom used drugs, my stepdad used to hit me.

GUTIERREZ: Kenneth says that was the past. Now he's focused on the future. He says he will leave Skid Row and he wants to go to Harvard University. CHANCEY: I do have big dreams, but I have to make them come true.

GUTIERREZ: He says has the grades to get in. Now, the hard part. He has to find the money, grants or scholarship to get in there.

(END VIDEOTAPE)

HARRIS: Boy, you've really got to root for a kid like that.

Thelma Gutierrez joining us from Los Angeles.

Thelma, good to see you.

What's the latest on Kenneth's quest?

GUTIERREZ: Well, Tony, I can tell you that Kenneth just reached out to us the other day. He told us that his father thought he could make it, so he moved Kenneth and his sister out of the shelter. But things didn't work out exactly as he had planned. The family couldn't return to the shelter because they had lost their place there.

So, once again, Kenneth and his sister have found themselves homeless. But for now they are living temporarily with Kenneth's best friend.

And there is some good news, Tony. Kenneth is resilient. He told us he was elected student body president again. He's still on the football team. He's taking honors classes, and he says he is determined to go to Harvard.

So, that is what he's working on. He knows it's not going to be an easy journey -- Tony.

HARRIS: Got to get some infrastructure around that kid's life.

Thelma, appreciate it. Thank you.

Ambassador Richard Holbrooke, special representative for Afghanistan and Pakistan, is scheduled to speak at the State Department this hour. We will bring you the latest on what he has to say about the volatile region.

(COMMERCIAL BREAK)

HARRIS: Right now, President Obama is in Cambridge, Massachusetts, at the Massachusetts Institute of Technology. He's been touring a research lab, where students are working on cutting- edge, clean-energy technology.

Any minute now, he will be addressing a group there. And as soon as the president begins his remarks, we will take you there live.

I know many of you are noticing gas prices going up. AAA says right now the average price for a gallon of regular unleaded is $2.64. That's 14 cents higher than a week ago when gas averaged $2.50 a gallon.

Let's get you to our money page. We love the work being done by our money team at CNNMoney.com. Can't tell you enough about their work, and give you an opportunity to go there yourself. CNNMoney.com. for the latest news and analysis on everything going on financially today, every day.

Let's get you to the big board now. Three hours into the trading day. The Dow is down. It looks like a selloff Friday, down 82 points. The NASDAQ down, two. Let's call it flat.

President Obama's pay czar issued new rules that will mean massive pay cuts for top executives at some bailed-out companies, but there are some exceptions.

CNNMoney.com's Poppy Harlow joins us live from New York.

Poppy, good to see you.

What's been the reaction to these government mandated cuts?

POPPY HARLOW, CNNMONEY.COM: Sure. Good to see you, too, Tony, this Friday.

I mean, a lot of talk on and off Wall Street. Also a lot of criticism of what we now know, which is that the pay czar, Kenneth Feinberg, has issued new rules for executive compensation. These are going to be at the seven firms in this nation that have the most bailout money, $350 billion in total of U.S. taxpayer funds propping them up. It's going to apply to the top 25 employees at each of these companies, Tony. But the big question is, should the government really regulate pay at U.S. businesses?

We posed that to the pay czar yesterday. CNN's Jessica Yellin did. Here's what he said.

(BEGIN VIDEO CLIP)

KENNETH FEINBERG, TREASURY DEPARTMENT SPECIAL MASTER FOR COMPENSATION: It's not a good idea for the -- for the United States government to start micromanaging compensation practices at American businesses. But that's not this case. These are under the statute seven specific companies that are, in effect, owned by the taxpayers of the United States. And that's a much different situation.

(END VIDEO CLIP)

HARLOW: And it certainly is a different situation, Tony. Essentially what he's saying is that these businesses would not be standing if it weren't for the taxpayer money propping them up. As for what this means for those companies, take a look here. We want to pull it up for you.

HARRIS: OK.

HARLOW: See those down arrows? Those red down arrows, that is the pay cuts when you look at the total compensation packages for those top executives. Down almost 70 percent at Citigroup. Down more than 65 percent at Bank of America. And there you see it. Same story for GM, and down 25 percent for the folks at AIG - Tony.

HARRIS: Boy. You see those percentages? That's pretty dramatic stuff. But, Poppy...

HARLOW: Right.

HARRIS: There are exceptions to the new rules, correct?

HARLOW: Yes, you're exactly right. I mean, that's what stood out to me when this form from the Treasury Department was released yesterday. There was a line on the front-page that said "there will be exceptions," and I'll quote here where "necessary to retain talent and protect taxpayer interest." A lot of folks question that talent on Wall Street that got a lot of these firms into the situation or the automakers when you look at GM or Chrysler.

Now, the pay czar has called AIG, for example, his hardest case. Because they're allowing three AIG executives, Tony, to keep their bonuses. And here is how he justifies that measure.

HARRIS: OK.

(BEGIN VIDEO CLIP)

FEINBERG: What these three AIG officials are entitled to is a prior, valid contract entered into long before the law was passed or I arrived. And the fact of the matter is that I met with the AIG officials, and there's clearly an understanding that these contracts are valid. However, since those contracts are valid, I did take those dollars into account in setting compensation for 2009 and going forward into 2010.

(END VIDEO CLIP)

HARLOW: All right, so bottom line here, Tony, those are the rules...

HARRIS: Yes.

HARLOW: ... but it's really truly a case-by-case basis for these bailed-out institutions. Still to be seen whether it change the long- term pay structure on Wall Street. That full interview with the pay czar. It's right there at CNNMoney.com. But it's going to get a lot of talk for a while.

HARRIS: Oh, yes.

Poppy, good to see you. Thank you. Have a great weekend.

HARLOW: You're welcome.

HARRIS: A bill making it a federal crime to assault anyone because they are gay, now heading to President Obama's desk and he says he will sign it.

CNN congressional correspondent, Dana Bash, reports it's been a long, tough fight for the gay community.

(BEGIN VIDEOTAPE)

DANA BASH, CNN SENIOR CONGRESSIONAL CORRESPONDENT (voice-over): When Todd Metrokin came here for late night pizza last summer, he offered a slice to some people sitting outside.

TODD METROKIN, HATE CRIME VICTIM: Because I thought it was a nice exchange. And as we were walking away, my friend mentioned, you know, that he said -- called me a faggot under his breath.

BASH: As they walked through this Adams Morgan neighborhood in D.C., Metrokin didn't realize they were being followed until they were suddenly attacked.

METROKIN: The attack occurred right about here. They were calling us names, faggot.

BASH: What was the last thing you remember?

METROKIN: The last thing I remember was the first hit.

BASH: He woke up in the hospital, looking like this; bruises and broken bones, even a shoe mark on his face.

METROKIN: Somebody had to actually stomp on my face while I was on the ground to achieve that. And that's when it became just so crystal clear to me the kind of hate that requires someone to do that.

BASH: Attacks like this will now be a federal offense under legislation expanding the hate crimes law which now covers race, color and religion to also include victims targeted because of their sexual orientation.

SEN. PATRICK LEAHY (D-VT), JUDICIARY CHAIRMAN: Violence against members of any group because of who they are is not going to be tolerated in our country.

BASH: Many Republicans object, arguing violent crimes are already illegal and this creates what they call thought crimes.

REP. JOHN BOEHNER (R-OH), MINORITY LEADER: The idea that we're going to pass a law that's going to add further charges to someone based on what they may have been thinking, I think is wrong.

BASH: But supporters note this would punish acts, not beliefs. And points to government figures showing crimes against gays and lesbians are on the rise and say federal dollars, attention and penalties this new law would provide are needed.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: And I'll sign it into law. BASH: Politically, the White House hopes passing this long- fought priority in the gay community will ease frustration that President Obama is slow to act on their issues.

(on camera): Gay rights groups are praising Democrats for passing what they called the first piece of, quote, "civil rights legislation for lesbian, gay, and transgender Americans." But privately gay rights activist say the president has a long way to go to tamp down on simmering anger that is dragging his feet on other big priorities, like reversing "don't ask, don't tell," and the defense of marriage act.

Dana Bash, CNN, Capitol Hill.

(END VIDEOTAPE)

HARRIS: A Northwest Airlines jet flies more than 100 miles past its schedule destination. Air traffic controllers couldn't make contact with the crew. What happened?

(COMMERCIAL BREAK)

HARRIS: Caught up on our top stories.

Other nations could be sending more troops to Afghanistan. That's the word from Defense Secretary Robert Gates today. He is on a meeting of NATO defense ministers in Slovakia. Gates says allies are indicating a willingness to either add more troops or increase civilian assistance to Afghanistan.

Senator John McCain's mother hospitalized in Portugal. Roberta McCain is 97. The senator's spokeswoman said Mrs. McCain fainted and hurt her head while vacationing in Lisbon. She's in stable condition.

And saying good-bye to one of the great comics of early television. Soupy Sales known for taking a pie in the face and a fixture on popular game shows. Sales died Thursday at a New York Hospice. He was 83.

The cockpit voice recorder from a Northwest jet could reveal why pilots flew 150 miles past their destination before finally responding to ground controllers. The voice and flight data recorders have been sent to Washington for analysis, and the pilots are grounded.

CNN's John Roberts reports.

(BEGIN VIDEOTAPE)

JOHN ROBERTS, CNN CORRESPONDENT (voice-over): At 5:41 p.m. Eastern time, Northwest Airlines Flight 188 departs San Diego bound for Minneapolis. The takeoff is routine. As the Airbus A320 flies at an altitude of 37,000 feet over the Rockies, the crew makes radio contact with Denver Center air traffic controllers.

A short time later, when Denver Center tries to re-establish contact, there's no response from the cockpit. Controllers try texting the crew. Nothing.

At 7:56 p.m. Eastern, the FAA designates the flight NORDO status, short for "no radio communication." Denver Center hands off tracking responsibilities to Minneapolis Center. Controllers in Minneapolis can't make radio contact either.

So fighter jets are mobilized in Madison, Wisconsin, fears mounting that Flight 188 might have been hijacked.

CNN's Chad Myers, one of the first reporters on the story, tracking the flight minute by minute.

CHAD MYERS, CNN CORRESPONDENT: This plane was supposed to start to descend. It never did. It never took the power off. It kept flying, flew over Minneapolis and kept right on going.

ROBERTS: Flight 188 overshoots Minneapolis airport by 150 miles. There has been no radio contact for more than an hour.

Finally, at 9:14 p.m., air traffic controllers are able to connect with the crew. By that time, the plane was already well past Minneapolis and over Wisconsin.

Controllers asked the pilot to make a 180-degree turn and then ordered him to perform a series of maneuvers to make sure he's in control of the aircraft, not hijackers.

The pilot's explanation for overshooting Minneapolis? The NTSB says, quote, "The crew stated they were in a heated discussion over airline policy and they lost situational awareness."

At 10:02 p.m. the plane finally lands safely in Minneapolis one hour and 14 minutes late.

MYERS: This was a crazy little flight, and I think the NTSB will have a lot to say about this. They have the voice recorder and the flight data recorder. They had taken those out of the plane. They've taken them back to D.C. They will download all the data, and they'll know by tomorrow what actually happened in this cockpit.

John Roberts, CNN, New York.

(END VIDEOTAPE)

HARRIS: Somebody's in trouble.

Let's get you to the severe weather center now, and Reynolds Wolf is in today for Chad Myers.

And I know you're going to give us a look at the weather across the nation, but you're also following some flight delays as well.

REYNOLDS WOLF, CNN METEOROLOGIST: Absolutely. I mean, how do you explain...

HARRIS: How do you... WOLF: How do you explain that to your customers when you're disembarking?

HARRIS: Trouble.

WOLF: Hey, I'm sorry, we were having a heated argument about -- yes, try that one.

HARRIS: Yes, not paying attention at 30,000 feet. OK.

WOLF: I know, crazy stuff. I tell you what, you know, back in Minneapolis where that flight was actually destined. They have some delays today, as you mentioned, Tony. It looks like about an hour delay there, and it's all due to the heavy rainfall you're going to be seeing in places. Also in Chicago, about an hour wait for you.

In Washington, D.C., Dulles, it's going to be anywhere from 30 to 45 minutes, maybe as late as an hour. In Atlanta, we got some ground stoppages and that might hold you up for just a little bit.

Now some of the reasons why we're seeing some of the delays in parts of the Great Lakes is due to this area of low pressure and that moisture. We're going to be seeing scattered showers and a few rumbles of thunder that may extend into parts of the Tennessee Valley and as far as the Deep South. That's why we're seeing these delays in Hartsfield. All of this is going to be driving off towards the east.

Meanwhile, out to the west, we see yet another storm system developing which could mean rainfall in the valleys from the higher elevations of the cascades. We're talking about a touch of some light snowfall which will be a possibility. Possibly some heavier snowfall in places up in, say, Montana and into Wyoming also, say Yellowstone National Park and into the Titans. Salt Lake City, you might see some snowfall there in the highest elevations also.

Meanwhile, something else we're going to be seeing will be still these fairly mild conditions in parts of the southeast as you start your weekend off in Atlanta. Still, again, the scattered showers, 60 degrees. But as you wrap things up, check out the 80s. You'll see in parts of Florida, 72 in Houston, 72 in San Francisco and 38, still cold, in Minneapolis.

Let's send it back to you, Tony.

HARRIS: All right, Reynolds, appreciate it.

WOLF: You got it.

HARRIS: President Obama now at MIT in Massachusetts talking about clean energy technology. Let's have a listen.

(JOINED IN PROGRESS)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: This tells you something about MIT -- everybody hands out periodic tables.

(LAUGHTER)

What's up with that?

(LAUGHTER)

I want to thank all of you today for the warm welcome and for the work all of you are doing to generate and test new ideas that hold so much promise for our economy and for our lives. And in particular, I want to thank two outstanding MIT professors, Eric Lander, a person you just heard from, Ernie Moniz, for their service on my council of advisors on science and technology. And they have been hugely helpful to us already on looking at, for example, how the federal government can most effectively respond to the threat of the H1N1 virus. So I'm very grateful to them.

We've got some other special guests here I just want to acknowledge very briefly. First of all, my great friend and a champion of science and technology here in the great Commonwealth of Massachusetts, my friend Deval Patrick is here.

(APPLAUSE)

Our Lieutenant Governor Tim Murray is here.

(APPLAUSE)

Attorney General Martha Coakley is here.

(APPLAUSE)

Auditor of the Commonwealth Joe DeNucci is here.

(APPLAUSE)

The Mayor of the great city of Cambridge, Denise Simmons, is in the house.

(APPLAUSE)

The mayor of Boston, Tom Menino, is not here, but he met me at the airport, and he is doing great; he sends best wishes.

Somebody who really has been an all-star in Capitol Hill over the last 20 years, but certainly over the last year, on a whole range of issues -- everything from Afghanistan to clean energy -- a great friend, John Kerry.

Please give John Kerry a round of applause.

(APPLAUSE)

And a wonderful member of Congress -- I believe this is your district, is that correct, Mike?

Mike Capuano.

Please give Mike a big round of applause.

(APPLAUSE)

Now, Dr. Moniz is also the Director of MIT's Energy Initiative, called MITEI. And he and President Hockfield just showed me some of the extraordinary energy research being conducted at this institute: windows that generate electricity by directing light to solar cells; light-weight, high-power batteries that aren't built, but are grown -- that was neat stuff...

(LAUGHTER)

... engineering viruses to create -- to create batteries; more efficient lighting systems that rely on nanotechnology; innovative engineering that will make it possible for offshore wind power plants to deliver electricity even when the air is still.

And it's a reminder that all of you are heirs to a legacy of innovation -- not just here but across America -- that has improved our health and our wellbeing and helped us achieve unparalleled prosperity.

I was telling John and Deval on the ride over here, you just get excited being here and seeing these extraordinary young people and the extraordinary leadership of Professor Hockfield because it taps into something essential about America -- it's the legacy of daring men and women who put their talents and their efforts into the pursuit of discovery. And it's the legacy of a nation that supported those intrepid few willing to take risks on an idea that might fail, but might also change the world.

Even in the darkest of times this nation has seen, it has always sought a brighter horizon. Think about it. In the middle of the Civil War, President Lincoln designated a system of land grant colleges, including MIT, which helped open the doors of higher education to millions of people. A year -- a full year before the end of World War II, President Roosevelt signed the GI Bill which helped unleash a wave of strong and broadly shared economic growth. And after the Soviet launch of Sputnik, the first artificial satellite to orbit the Earth, the United States went about winning the Space Race by investing in science and technology, leading not only to small steps on the moon but also to tremendous economic benefits here on Earth.

So the truth is, we have always been about innovation, we have always been about discovery. That's in our DNA. The truth is we also face more complex challenges than generations past. A medical system that holds the promise of unlocking new cures is attached to a health care system that has the potential to bankrupt families and businesses and our government. A global marketplace that links the trader on Wall Street to the homeowner on Main Street to the factory worker in China -- an economy in which we all share opportunity is also an economy in which we all share crisis.

We face threats to our security that seek -- there are threats to our security that are based on those who would seek to exploit the very interconnectedness and openness that's so essential to our prosperity. The system of energy that powers our economy also undermines our security and endangers our planet.

Now, while the challenges today are different, we have to draw on the same spirit of innovation that's always been central to our success. And that's especially true when it comes to energy. There may be plenty of room for debate as to how we transition from fossil fuels to renewable fuels -- we all understand there's no silver bullet to do it. There's going to be a lot of debate about how we move from an economy that's importing oil to one that's exporting clean energy technology; how we harness the innovative potential on display here at MIT to create millions of new jobs; and how we will lead the world to prevent the worst consequences of climate change. There are going to be all sorts of debates, both in the laboratory and on Capitol Hill. But there's no question that we must do all these things.

Countries on every corner of this Earth now recognize that energy supplies are growing scarcer, energy demands are growing larger, and rising energy use imperils the planet we will leave to future generations. And that's why the world is now engaged in a peaceful competition to determine the technologies that will power the 21st century. From China to India, from Japan to Germany, nations everywhere are racing to develop new ways to producing and use energy. The nation that wins this competition will be the nation that leads the global economy. I am convinced of that. And I want America to be that nation. It's that simple.

(APPLAUSE)

That's why the Recovery Act that we passed back in January makes the largest investment in clean energy in history, not just to help end this recession, but to lay a new foundation for lasting prosperity. The Recovery Act includes $80 billion to put tens of thousands of Americans to work developing new battery technologies for hybrid vehicles; modernizing the electric grid; making our homes and businesses more energy efficient; doubling our capacity to generate renewable electricity. These are creating private-sector jobs weatherizing homes; manufacturing cars and trucks; upgrading to smart electric meters; installing solar panels; assembling wind turbines; building new facilities and factories and laboratories all across America. And, by the way, helping to finance extraordinary research.

In fact, in just a few weeks, right here in Boston, workers will break ground on a new Wind Technology Testing Center, a project made possible through a $25 million Recovery Act investment as well as through the support of Massachusetts and its partners. And I want everybody to understand -- Governor Patrick's leadership and vision made this happen. He was bragging about Massachusetts on the way over here -- I told him, you don't have to be a booster, I already love the state. But he helped make this happen.

(APPLAUSE)

Hundreds of people will be put to work building this new testing facility, but the benefits will extend far beyond these jobs. For the first time, researchers in the United States will be able to test the world's newest and largest wind turbine blades, blades roughly the length of a football field, and that in turn will make it possible for American businesses to develop more efficient and effective turbines, and to lead a market estimated at more than $2 trillion over the next two decades.

This grant follows other Recovery Act investments right here in Massachusetts that will help create clean energy jobs in this commonwealth and across the country. And this only builds on the work of your governor, who has endeavored to make Massachusetts a clean energy leader from increasing the supply of renewable electricity, to quadrupling solar capacity, to tripling the commonwealth's investment in energy efficiency, all of which helps to draw new jobs and new industries. That's worth applause.

(APPLAUSE)

Now, even as we're investing in technologies that exist today, we're also investing in the science that will produce the technologies of tomorrow. The Recovery Act provides the largest single boost in scientific research in history. Let me repeat that: The Recovery Act, the stimulus bill represents the largest single boost in scientific research in history.

(APPLAUSE)

An increase -- that's an increase in funding that's already making a difference right here on this campus. And my budget also makes the research and experimentation tax credit permanent -- a tax credit that spurs innovation and jobs, adding $2 to the economy for every dollar that it costs.

And all of this must culminate in the passage of comprehensive legislation that will finally make renewable energy the profitable kind of energy in America. John Kerry is working on this legislation right now, and he's doing a terrific job reaching out across the other side of the aisle because this should not be a partisan issue. Everybody in America should have a stake...

(APPLAUSE)

Everybody in America should have a stake in legislation that can transform our energy system into one that's far more efficient, far cleaner, and provide energy independence for America -- making the best use of resources we have in abundance, everything from figuring out how to use the fossil fuels that inevitably we are going to be using for several decades, things like coal and oil and natural gas; figuring out how we use those as cleanly and efficiently as possible; creating safe nuclear power; sustainable -- sustainably grown biofuels; and then the energy that we can harness from wind and the waves and the sun.

It is a transformation that will be made as swiftly and as carefully as possible, to ensure that we are doing what it takes to grow this economy in the short, medium, and long term. And I do believe that a consensus is growing to achieve exactly that. The Pentagon has declared our dependence on fossil fuels a security threat. Veterans from Iraq and Afghanistan are traveling the country as part of Operation Free, campaigning to end our dependence on oil. We have a few of these folks here today...

(APPLAUSE)

Right there.

The young people of this country that I've met all across America, they understand that this is the challenge of their generations. Leaders in the business community are standing with leaders in the environmental community, to protect the economy and the planet we leave for our children.

The House of Representatives has already passed historic legislation, due in large part to the efforts of Massachusetts' own Ed Markey. He deserves a big round of applause. We're now seeing prominent Republicans like Senator Lindsey Graham joining forces with longtime leaders like John Kerry on this issue to swiftly pass a bill through the Senate as well. In fact, the energy committee, thanks to the work of its chair, Senator Jeff Bingaman, has already passed key provisions of comprehensive legislation.

So, we are seeing a convergence. The naysayers, the folks who would pretend that this is not an issue, they are being marginalized. But I think it's important to understand that the closer we get, the harder the opposition will fight, and the more we'll hear those whose interests or ideology run counter to the much-needed action that we're engaged in.

There are those who will suggest that moving toward clean energy will destroy our economy, when it's the system we currently have that endangers our prosperity and prevents us from creating millions of new jobs.

There are going to be those who cynically claim -- make cynical claims that contradict the overwhelming scientific evidence when it comes to climate change. Claims whose only purpose is to defeat or delay the change that we know is necessary. So, we're going to have to work on those folks.

But understand there's also another myth that we have to dispel, and this one's far more dangerous, because we're all somewhat complicit in it. It's far more dangerous than any attack made by those who wish to stand in the way of progress. And that's the idea that there's nothing or little that we can do. It's pessimism. It's the pessimistic notion that our politics are too broken and our people too unwilling to make hard choices for us to actually deal with this energy issue that we're facing.

And implicit in this argument is the sense that somehow we've lost something important, that fighting American spirit, that willingness to tackle hard challenges, that determination to see those challenges to the end, that we can solve problems, that we can act collectively, that somehow that is something of the past. I reject that argument. I reject it because what I've seen here at MIT, because what I've seen across America, because of what we know we are capable of achieving when called upon to achieve it.

This is the nation that harnessed electricity and the energy contained in the atom, that developed the steamboat and the modern solar cell. This is the nation that pushed westward and looked skyward. We have always sought out new frontiers, and this generation is no different.

Today's frontiers can't be found on a map. They're being explored in our classrooms, in our laboratories, in our start-ups, in our factories. And today's pioneers are not traveling to some far- flung place. These pioneers are all around us. The entrepreneurs and the inventors, the researchers, the engineers, helping to lead us into the future, just as they have in the past.

This is the nation that has led the world for two centuries in the pursuit of discovery. This is the nation that will lead the clean energy economy of tomorrow. So long as all of us remember what we have achieved in the past, and we use that to inspire us to achieve even more in the future.

I am confident that's what's happening right here at this extraordinary institution, and if you will join us in what is sure to be a difficult fight in the months and years ahead, I'm confident that all of America is going to be pulling in one direction to make sure that we are the energy leader that we need to be.

Thank you very much, everybody. God bless. God bless the United States of America.