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American Morning
Mr. Toyoda Goes to Washington; "We are Second-Class Citizens"; Independents Left Out of Primaries; Many People Unemployed
Aired February 23, 2010 - 08:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
JOHN ROBERTS, CNN ANCHOR: Well, a good Tuesday morning to you. It's the 23rd of February. Thanks for joining us in the Most News in the Morning. I'm John Roberts.
KIRAN CHETRY, CNN ANCHOR: I'm Kiran Chetry. Glad you're with us.
We have some big stories we're going to be telling you about in the next 15 minutes.
First, a criminal investigation by federal prosecutors now adding to Toyota's troubles. In just three hours a hearing starts on Capitol Hill, and Toyota's top U.S. executive is expected to testify there.
Tomorrow the entire world will be watching when the auto giant's global chief, Akio Toyoda, settles into the hot seat.
ROBERTS: A scaled down jobs bill is now set for a final vote in the Senate. Five Republicans, including the newest member, Scott Brown of Massachusetts, crossed party lines to help Democrats cut off a GOP filibuster in a rare display of slight bipartisanship.
Our Christine Romans is "Minding Your Business" and breaking out the jobs creation bill this morning.
CHETRY: And the promise of change seems to have been broken by a government unwilling to compromise and that's causing more Americans to break free from their political party and choose to become independents.
(BEGIN VIDEO CLIP)
JACOB CARR, DISILLUSIONED VOTER: I guess throughout the years, my hope flame has been dwindling and dimming.
CASEY WIAN, CNN CORRESPONDENT: Would you consider becoming an independent and decline-to-state voter again?
CARR: Yes, you know, I'm definitely considering that or even maybe registering as some -- like a third party.
(END VIDEO CLIP)
CHETRY: Well, you may be surprised to learn that going independent actually takes away your right to vote in some key elections. We'll have more on that.
Also, it's shaping up to be another very tough week for Toyota. The auto giant confirming federal prosecutors have now launched a criminal investigation of the company as well as its top executives, a subpoena demanding all internal documents relating to sudden acceleration issues or brake problems.
There's another new development. Toyota is also announcing its installing brake override safety systems in three more models. And the president of Toyota is pledging improvements, promising more transparency moving forward when there are safety concerns.
Akio Toyoda has also taken the unusual step of writing an opinion piece in today's "Wall Street Journal."
Our Kyung Lah joins us live from Tokyo this morning with details.
And how unusual is a lot of these public apologies, and appearing in public for this president of Toyota?
KYUNG LAH, CNN INTERNATIONAL CORRESPONDENT: Extraordinarily rare because he really tries to avoid all of that, Kiran.
But he is yet making another rare move. In the "Wall Street Journal" -- this morning's "Wall Street Journal," he writes an opinion's piece and, quote, he says, "The past several months have been humbling for all of us at Toyota. It is clear to me, we didn't listen as carefully as we should or respond as quickly as we must to our customer's concerns. I pledge that Toyota will set a new standard for transparency and speed of response on safety issues."
Yet another unusual move for a man known here in Japan as diligently trying to avoid the spotlight.
(BEGIN VIDEOTAPE)
LAH (voice-over): He's called "the Prince," Akio Toyoda, grandson of the company's founder, took a job most saw as inevitable. His promise as he took over the financially struggling company last June: restored the Toyota way. The youngest president in the company's history is instead facing a historic crisis. Eight million cars recalled around the world.
In this first major step of his leadership, say many analysts say, he bungled the company's early response.
After the recalls began, it took two weeks for Toyoda to finally hold a news conference. And then, only after mounting pressure and a direct invitation from Washington is he now going to testify before lawmakers.
"I am pleased to go," says Toyoda. "What I want to stress most is our cooperation in determining the causes and our firm stance on safety."
Japan's transport minister piled on the pressure, saying he's glad Toyoda finally decided to go.
"It's a pity that we heard he was going, then he wasn't going, now, he is going to the U.S."
KEITH HENRY, JAPAN ANALYST: He's been under pressure his whole life, because he's the grandson of the founder of an icon.
LAH: Japan watcher Keith Henry believes Toyoda can handle the hot seat, but notes he is notoriously publicly shy -- so private that there are no public family photos. Toyoda will be in the spotlight, making his case to an American audience.
HENRY: In the U.S., it's a different yardstick that we're going to assess him by, and it will be a test as to not only to Mr. Toyoda, but Toyota as a corporation.
LAH: In a sign that he is growing into his public role, Toyoda surprised customers in Japan by showing up at a dealership to apologize for the Prius recall -- a humble move by the scion of Japan's most powerful company.
Toyoda acknowledged at a recent news conference that he's not perfect. "I, too, have to make constant improvements," he said.
Toyoda is facing a number of pressure points, not just from the company, but also from the government. If this goes badly, if he falters, or if U.S. lawmakers treat him in a way that as view here in Japan as being disrespectful, Kiran, this could have a chilling effect on U.S.-Japan relations -- Kiran.
CHETRY: It will be interesting to see how all of this plays out. Again, the hearings got underway today, in just a few hours.
Kyung Lah for us in Tokyo -- thanks.
ROBERTS: Another developing story this morning, another strong message sent to the Taliban in Pakistan that they may not be welcomed there anymore. Pakistan intelligence officials say another top tier Taliban leader has been captured. His name, Mullah Abdul Kabir, member of Taliban's ruling council. It would be the fourth major Taliban arrest in recent weeks, and it could be a sign that Pakistan is no longer a safe haven for the Taliban and its allies.
CHETRY: Well, former Vice President Dick Cheney is still in a Washington hospital this morning. He said to be resting comfortably after suffering chest pains. Doctors are evaluating his condition. The 69-year-old Cheney has a long history of heart trouble. In the past 30 years, Cheney has survived four heart attacks as well as a bypass surgery.
And another Republican icon is on the mend. Bob Dole admitted to Walter Reed Army Medical Center about three weeks ago, with pneumonia. Dole's recovered from that, but now, the former Senate majority leader who's 86 years old is still in the hospital. He is going to be getting therapy on his knee after an earlier surgery.
ROBERTS: Well, it's been nearly 80 years since the United States won the overall medal count at the Winter Olympics, and that drought may be coming to an end in Vancouver. Take a look at the medal standings after 10 days at the Olympic Games. The U.S. on top with 25; Germany second with 21; followed by Norway with 14.
The United States has not won a Winter Games medal count for gold or overall medals since the 1932 Games in Lake Placid. British Columbia is a good place for Americans.
CHETRY: There you go. They're doing great.
Well, it's six minutes past the hour. Our Rob Marciano is tracking the weather for us this morning.
How about it, huh? They're just out there taking to the slopes -- ice dancing. They got a silver in that yesterday.
ROB MARCIANO, AMS METEOROLOGIST: Oh, we've all -- you know, we've always got along with Canada, so it would be right for the U.S. to do well up there in Canada.
CHETRY: I don't know if Canada feels the same way.
(CROSSTALK)
ROBERTS: History has shown on occasion, it would be apropos for the U.S. to just kind of roll in there and take everything, right?
(LAUGHTER)
MARCIANO: Nice history lesson there, John. All right. Thanks, guys.
Listen, a little bit of rain and snow across parts of the northeast. They'd like to get that snow over in Vancouver. They're not going to get it there. They continue to be warm.
It's warm enough for it to be mostly rain in the New York City area and Philadelphia area, but the suburbs north and west could see two to four inches. In New Jersey, the southern Hudson Valley, and parts of Fairfield County, Connecticut, six to 12 though as you go upstate New York and into southern parts or northern parts of New England.
All right. It's now snowing in Fort Worth, in Arlington -- Dallas, you are next to see some snow. Probably won't see a ton, but maybe an inch, maybe two in spots. But south of Dallas, three to six inches is possible, from Abilene, maybe Waco got a few of those inches, and then just north of Houston is where we expect to see a few inches of snow as well. Unusual winter weather continues.
Another storms coming into the west coast, and cold air yet again coming down from Canada. Complete weather details coming up in about 30 minutes.
John and Kiran, back up to you.
ROBERTS: All right. You know, that's kind of apropos, too. The U.S. goes in there and gets all the medals, so Canada gives us all their cold air.
CHETRY: There you go. Payback time.
MARCIANO: Nice point.
ROBERTS: Thanks, Rob.
Remember Janet Jackson's wardrobe malfunction during the Super Bowl six years ago? Well, the case over the -- did you see that moment -- is headed back to court. Seriously.
Here's why -- in 2008, a federal appeals court threw out the $550,000 penalty that was issued to CBS over that. But last year, the Supreme Court said the FCC fine should be reexamined. Fast-forward to today, and that he same federal appeals court in Philadelphia is taking another look at that fine.
Wardrobe malfunction.
CHETRY: There you go. Because of that, it became a common phrase. I think it was in that end of the year list of new words.
ROBERTS: Yes. You know, I believe -- and this is just my opinion, mind you -- I believe CBS didn't know about it, but they did.
CHETRY: Well, I mean, she wanted (ph) to put all the jewelry on --
(CROSSTALK)
ROBERTS: Yes, or she would have been completely naked out there.
CHETRY: All right. Well, still ahead: broken government firing up the independents. But they're essentially locked out of the key part of the political process. Casey Wian is taking a look.
ROBERTS: And we're also going to take a unique look at broken government. Airline safety reforms -- where are they after that plane crash last year that killed 50 people? We'll talk to the family members of two of the victims and a former FAA official -- coming up. It's really an interesting look at broken government. We'll hope you stick around for that.
It's nine minutes after the hour.
(COMMERCIAL BREAK)
(MUSIC PLAYING)
ROBERTS: Welcome back to the Most News in the Morning. Eleven minutes after the hour.
All this week, we're taking a hard look at our nation's government, the frustrating problems and the solutions.
And according to a CNN/Opinion Research Corporation poll, just 26 percent of respondents say they trust the federal government to do what's right. For state government, the number rises slightly to 33 percent. And again proving all politics is local, for local government, the trust level is much higher, just over 50 percent -- 52 percent of people say they trust their local leaders.
So, the majority do trust local government to do the right thing.
CHETRY: Yes. A different story when it comes to federal and state governments. And it's that lack of trust that's firing up an increasingly powerful group of voters, the independents. They're, of course, courted heavily by both parties.
Yet as Casey Wian shows us, independents are often being denied the right to vote when it really matters.
(BEGIN VIDEOTAPE)
CASEY WIAN, CNN CORRESPONDENT (voice-over): This mother and son rarely see eye to eye politically. He is an unabashed liberal, she is more conservative. But now, Jacob Carr and Nancy Corradini could find themselves in the same boat, as registered independents -- which could essentially rob them to the right to vote in some very important elections.
JACOB CARR, DISILLUSIONED VOTER: I was one of the people who voted for Ralph Nader.
WIAN: In 2008, Jason registered as a Democrat to vote for Barack Obama. Today, he is disillusioned and disappointed.
CARR: I guess, throughout the year, my hope flame has been dwindling and dimming.
WIAN: Would you consider becoming an independent and decline- to-state voter again?
CARR: Yes, you know, I'm definitely considering that or even maybe registering as some -- like a third party.
WIAN: Nancy beat her son to the punch. She became an independent two years ago, after determining her party just didn't speak for her anymore.
NANCY CORRADINI, INDEPENDENT VOTER: Sometimes, it's difficult to be a moderate Republican in the Republican Party. They call you "Republican in Name Only."
WIAN (on camera): RINO?
CORRADINI: Yes, I heard that buzz word the other night. RINO, I thought it was so insulting. I emotionally became detached from the Republican Party.
WIAN: But Nancy never considered that going independent would actually take away her right to vote in some key elections, primaries. Here in California, political parties get to decide before each and every election whether to allow independents to vote.
(voice-over): Joseph Holland is the elections registrar for Santa Barbara County.
JOSEPH HOLLAND, SANTA BARBARA COUNTY CLERK: Elections are not simple. They're -- every election is different. They -- believe it or not -- they do change from election to election.
WIAN: That can leave independents like Nancy pretty confused. But that's not all.
(on camera): On a local level or even on congressional races, primaries are often where the key political decisions are made. Say you're an independent living in a heavily Democratic district. If you can't vote in a Democratic primary, you're not going to have much influence over who wins the general election, it's probably going to be a Democratic candidate you had no role in choosing.
(voice-over): In the 2008 presidential primaries, independents in 17 states and the District of Columbia were shut out of some crucial primaries. Those voters had no say at all in determining the major party candidates.
JASON OLSON, INDEPENDENTVOICE.ORG: We are second-class citizens when it comes to political representation and participation.
WIAN: Jason Olson is an independent voter activist pushing to change the law in California. This June, there's a proposition on the state's primary ballot to eliminate party primaries entirely.
OLSON: All the candidates were on the same ballot. All the voters, regardless of party, vote for the best candidate, and then the top two vote getters will then go on to a run-off style election. So, there would be no more segregating voters by political parties and excluding independents.
WIAN: That's how it's done in Washington state and Louisiana. In other states, party officials are trying to move things in the other direction. In Arizona, for example, the Republican Party is trying to close its primary so only registered Republicans can vote. Still, Olson sees momentum moving in his direction.
OLSON: We have a real shot to have independents kind of crack over the doors, if you will, and start forcing some change.
WIAN: And newly independent, Nancy Koradini, agrees.
NANCY KORADINI, NEWLY INDEPENDENT: I think it's going to snowball, it's not going to stop.
WIAN: Casey Wian, CNN, Santa Barbara, California. (END VIDEOTAPE)
ROBERTS: You know, somebody sent us a snarky e-mail this morning saying, well, of course, independents can vote, they are party primaries. Which is just, I mean, okay, some of them are party primaries. But it's just too simplistic an argument to make as in many states independents can vote, in some states like the state of Virginia, everybody can vote, so republicans can play in the democratic primary, as well as independents, and vice versa.
CHETRY: The way elections are won, is that somebody gets more people to cross over or gets the independents onboard.
ROBERTS: So, it's not a one size fits all thing. Be snarky if you want, but that's the name of the game.
Sixteen minutes after the hour. The Senate takes up a job spill with the help of some Republicans. Five of them weigh in, our Christine Romans is "Minding Your Business" for us this morning. Stay with us.
(COMMERCIAL BREAK)
ROBERTS: Time for "Minding Your Business" here on the Most News in the Morning. Christine Romans joins us now with a look at the jobs bill and the effects of joblessness across this country and some really interesting fascinating representations of just how bad things got.
CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: Still issue number one here is jobs, and of course, it's election year. So, that means your elected representatives, they know that jobs are their priority number here and it might be wise to have a little bit of bipartisanship yesterday when the Senate, did not pass the jobs bill, but passed a procedural hurdle to vote on this jobs bill.
A $15 billion dollar plan in the Senate with tax breaks for hiring the jobless, and social security taxes will be waived for the employers' part of a new employee's first year of working there, and then there is a $1,000 tax bonus I guess if the employee stays on for a year, and that's to keep people from hiring somebody and then firing them again very quickly.
There is money for new highway and transit programs to extend some of these programs through 2010. This mother, try to keep, help municipal governments borrow money so that they can do some big projects. But this excludes a jobless benefit extension. This is something that liberals are very concerned about, because there is a big subsidy right now for cobra health insurance, taxpayers are helping pay for cobra health insurance premiums for an awful lot of people who are unemployed and also these unemployment benefits.
Now, I want to show you quickly. This is an animation that John has been referring to. This is fascinating. This is a grad school project from a woman named, Letoya Egweykwey. She got an A, by the way. You start here. Yellow is good. This is the unemployment rate. Low unemployment rate is yellow.
These reds and purples are high unemployment rates. This is showing visually how the stain of joblessness has spread across the country from July of 2007, which is the summer before the recession, until the end of last year. That purple is very dangerously, high unemployment. Dangerously high for your family finances, for your emotional and financial well-being, and also dangerously high for your politicians' durability, shall we say.
CHETRY: When it's just completely blackened out, that's above 10 percent unemployment?
ROMANS: Yes, it's horrific. Some of those places are actually about 15 percent, some of the counties. And there are parts of the Dakotas where they have this really low unemployment rate. North Dakota has a very low unemployment rate in the fours, which is essentially, full employment. And so there is something happening there, and Texas also has some counties that are doing very, very well. But the bigger picture is that this is what these senators are facing and that's, I think, driving a little bit of bipartisanship behind the bill.
ROBERTS: Thirty-six seats up for grabs?
ROMANS: Yes, that is right.
CHETRY: The Romans numeral last time, I had a bad guess. How about this time?
ROMANS: 1.2 million. And this has to do with those people who are being excluded from this bill, at least, for unemployment benefits. 1.2 million people are getting unemployment benefits that will expire in days.
CHETRY: Was this the cobra extension or the actual extension of unemployment benefits?
ROMANS: And cobra extension goes right along with that extension of unemployment benefits. Democrats say they are going to try to package it separately, and move it through, they stripped it out of this bill. But liberals and consumer advocates are very concerned because you are going to have -- unless they do something, you are going to have literally hundreds of thousands of families who are going to lose a $1,300 a month benefit like that.
ROBERTS: Christine Romans, "Minding Your Business" this morning. Christine, thanks.
CHETRY: Still ahead, there is a notice for all parents. Even if your kids have moved out, don't throw away their old comic books --
ROBERTS: Like my mom did.
CHETRY: How about the old records too, and you know, the album -
ROBERTS: I threw those out. Stupid me. It's my fault. CHETRY: One collector just set a new record selling a rare copy of Action Comics number one for $1 million. That 1938 issue is the first ever appearance of the man of steel, Superman himself. The copy was bought and sold, and then sold by two unnamed collectors on the site comicconnection.com.
ROBERTS: I had a number one Spiderman at some point, but mom tossed that too. She was ruthless with that stuff. I don't want you reading comic books, she said, I want you reading textbooks. Out they went.
Broken government, airline safety. Safety reforms that should have been in place after that Colgan Air crash outside of Buffalo. We are still waiting. We will talk to the family members of a couple victims and a former official from the FAA about why this part of the government remains broken.
(COMMERCIAL BREAK)
CHETRY: Twenty-five minutes past the hour right now, that means it's time for an "AM Original." It's something you will see only on AMERICAN MORNING.
President Obama wants to give billions of dollars to community banks so that they can help keep America's small businesses from slipping into bankruptcy. But there are critics who say that it really won't fix what is broken in our government.
ROBERTS: Carol Costello has been canvassing the country over the past few weeks, to better understand what average Americans are up against, today's report took her from Dallas all the way up to Boston in the northeast. Carol's back in Washington this morning. Carol, what did you find out on your travels?
CAROL COSTELLO, CNN CORRESPONDENT: Found out lots of stuff. President Obama has tried to get big banks to lend money to no avail, so his latest idea is to try to get smaller community banks to lend to small businesses since smaller banks have relationships with businesses in their communities. Some bankers are listening but told me the president's idea may not fix what is broken.
(BEGIN VIDEOTAPE)
COSTELLO (voice-over): Jim Hues is itching to grow a small supply business, but he needs a little help in the color green. So, he asked six of his friendly community bankers for a loan.
JIM HUES: This is all the paperwork that I had to generate. It weighs four-and-a-half pounds.
COSTELLO: Despite his pristine credit, all six turned him down.
HUES: I could double the size of my company right now if I wanted to, but what I need in order to do that is to have operating capital. Whatever happened to bankers, bankers like Jimmy Stewart, George Bailey in "It's A Wonderful Life." He lent money to people in a bad economy, at the expense of his own savings and loans.
They had to wait and save their money before they even thought of a decent home. Wait? Wait for what?
COSTELLO: Didn't bankers like Bailey spark the subprime mortgage crisis, by loaning money to too many people who could not pay it back?
(on camera): You are not Jimmy Stewart from "It's a Wonderful Life "?
HUES: No. No, I'm not.
COSTELLO (voice-over): Edward Merritt runs a community bank in Boston. He may not be George Bailey, but he is not his nemesis, the evil Mr. Potter either. Merritt's bank doles out between $7 and $10 million dollars a month in commercial loans, mostly to mom and pop businesses in Boston. He would like to lend more but good credit is not enough these days.
(on camera): What if I came to you and I said, you know, I need this loan to meet my payroll, and I can't do it this month because, you know, people are not paying me on time, that means I cannot meet my payroll on time, can I have a loan?
EDWARD MERRITT, PRESIDENT, MT. WASHINGTON BANK: That would potentially be a challenging situation, because the first question that I would have to ask you is why can't you meet your payroll.
BARACK OBAMA, PRESIDENT OF THE UNITED STATES: I'm proposing that we take $30 billion dollars of the money Wall Street has repaid, and use it to help community banks give small businesses the credit they need to stay afloat.
COSTELLO: Would that persuade merit?
MERRITT: I am not looking for any more money to lend, quite frankly, I am looking for more qualified borrowers to lend to. And that's as big a problem as I see it today as it is the banks' willingness to lend money.
COSTELLO: So, what is the answer, what should government be doing?
BERT NARTER, CELENT: What we really want from small businesses is more employment. So perhaps it would be a good idea to create a program that reduces taxes on new hires, for example.
COSTELLO: Jimmy Hues is open to that, but it still does not solve his problem. He still does not have the money to hire.
HUES: I would like to have President Obama or any of his financial advisers to take a nice long walk down main street, and then maybe they can come up with some answers. Because if they don't have the answers, we certainly don't have the answers but we can tell them what is wrong.
(END VIDEOTAPE)
COSTELLO: The president has proposed reducing taxes on new hires. It's in the jobs bill that actually drew a tiny bit of bipartisan support and made it through its first hurdle in the Senate. Amazing.
The root of the problem remains, however, small business owners have a problem with cash flow and with falling real estate prices they have less collateral. That makes it difficult for small banks to lend them money. As Mr. Merritt told me, he cannot lend a small business person a million bucks, but he could lend them $800,000. It's just that many small businesses cannot come up with enough collateral to back it up -- John and Kiran.
ROBERTS: You know Carol, with the many stories, fine stories that you do, you have been known to touch a nerve or two in the past, and it looks like you have done it again. Our blog is literally on fire with responses to what you are talking about this morning.
COSTELLO: Absolutely. Yesterday we did a story on the middle class and its problems, and whether there is a middle class in America anymore, and it sparked hundreds of responses of my blogs.
I just want to read you a couple. This is from Dave. "These politicians don't agree because they are Republicans or Democrats, but it's because they are cowards. As long as people keep voting for these cowards, they get what they deserve."
And a lot of people sent in comments things like this, "Middle class is nothing more than a phrase." It is difficult to understand what a middle class income is these days. The government defines it as $40,000 and $250,000, and that's for a mom and dad and two kids under 18.
So it's difficult to determine. It depends on a lot on the geographical area, right, where you live. But that's a wide margin in income.
But keep the comments coming. Please comment on my banking story today. Tell me what you think the answer is -- CNN.com/amfix.
CHETRY: Carol Costello for us, thanks.
Also, tomorrow on AMERICAN MORNING, we will focus on states trying to gamble their way out of the recession. More casinos to close budget gaps, is this a good idea or broken government idea that benefits a few on the backs of many. We will take a look tomorrow right here on AMERICAN MORNING.
ROBERTS: It's half past the hour, checking our top stories this Tuesday morning. Former vice president Dick Cheney is said to be resting comfortably in a hospital in Washington. He was kept there overnight because of chest pains. Doctors are evaluating his condition. Cheney, who is 69, has a long history of heart trouble. He's had four heart attacks, the first of which occurred when he was just 37.
CHETRY: Another Taliban leader caught in Pakistan, the fourth in recent weeks. Pakistani intelligence officials say that he is a member of the Taliban's ruling council. His capture could have major implications on the battlefield in Afghanistan.
ROBERTS: Attorney General Eric Holder is point to the confession of terror suspect Najibullah Zazi, saying it shows that the criminal justice system can be used effectively to prosecute cases of terrorism. Zazi has plead guilty, saying that he went to Pakistan and worked with Al Qaeda before coming back to the United States.
(BEGIN VIDEO CLIP)
ERIC HOLDER, ATTORNEY GENERAL: Zazi has admitted that he brought explosives to New York City and that he and others intended to detonate them on the New York subway system. This attempted attack on the homeland was real. It was emotion, and it would have been deadly.
(END VIDEO CLIP)
ROBERTS: The feds says Zazi could face life in prison and their investigation is still ongoing.
It has been more than a year now since a plane crashed near New York, and in that time our next guests say the federal government has essentially done nothing from stopping it from happening again.
Joining us now as part of the special network-wide investigation into broken government is Karen Eckert, her sister Beverly was among those who was killed in the crash, and so was Scott Maurer's daughter Lauren, he's joining us, as well as the former FAA chief of staff Michael Goldfarb.
First of all, Karen and Scott, I cannot say how sorry I am for your loss. I just cannot imagine the pain you are going through.
KAREN ECKERT, SISTER BEVERLY KILLED IN COLGAN AIR CRASH: Thank you, John.
ROBERTS: Scott, let's start with you. Are we any safer this year flying regional airlines than we were a year ago?
We seem to have a problem with Scott's microphone. Karen, let me ask you the same question. Do you believe we are any safer than we were a year ago?
ECKERT: I think there are still problems in the aviation industry. Time and time again they were found in the probable cause of our crash, and they keep happening. And they focused on the regional airlines.
The two levels of safety, the majors have one level, an excellent level of safety, but the regional airlines, the same contributing factor is happening, and there has been crashes, six fatal crashes in the last six years on the regional flights.
ROBERTS: Scott, Karen says she thinks the FAA has dropped the ball on this, now that we have you back. Your thoughts, has the FAA done what is necessary to protect the public from something like this crash?
SCOTT MAURER, DAUGHTER LORIN KILLED IN COLGAN AIR CRASH: John, sadly, we met with Administrator Babbitt several times, and we had high hopes with him coming into the role here in this past year. He put together a call to action, and there were ten focus points in that call to action.
Sadly, the inspector general related to us earlier this month only one of the objectives was actually met, three of them are partially complete, and six of them were completely not met. So the voluntary approach to solve the problem is not the way to get it done.
ROBERTS: Michael, help us understand what is going on. We all remember the groundhog day hearing of the Colgan crash with NTSB chairman Debbie Hersman getting up there and saying famously, quote, "Today is Groundhog Day, and I feel like we are in that movie. We have made recommendations time after time after time and they have not been heeded by the FAA."
Why isn't the FAA doing more to address these problems?
MICHAEL GOLDFARB, FORMER FAA CHIEF OF STAFF: John, thank you. First of all to Scott and Karen, I share what John said. I can't imagine the pain, and I also cannot imagine a year out having to sit through congressional hearings, and the family having to bring up to the federal government just how bad that crash was and how much safety is at risk is incredible.
Just to review, the Buffalo crash was a game-changer. It was one of the worse aviation crashes we have had. Everything went wrong, inexperienced crew, not enough flight hours, doing the wrong movements, an extensive NTSB report.
I give the Administrator Babbitt some credit for beginning to turn that around, but I agree with Scott. I am not sure the voluntary changes are enough.
ROBERTS: Tell us, Michael, why can't the FAA just implement the recommendations that come up from the NTSB and do it in an effective fashion? What is wrong with the organization?
GOLDFARB: Because it's not so much the organization. There are hardworking people in the FAA. The industry model is changing. We went through a period where you could do no wrong in the private sector, that we should outsource most of government functions to private industry, some of which was justified, where the airlines became the FAA's customer, not the traveling public.
I think that pendulum is shifting back under Administrator Babbitt and the new administration, but we are paying the price of all those years where regulatory changes have not been implemented. It's the lack of transparency. I think there is progress being made, but I agree if the industry doesn't step up to this, others will and ultimately Congress will change it.
CHETRY: What are the key issues, Karen, that you want the FAA to address in the wake of this crash?
ECKERT: The key issues, we want them to raise the qualifications of a pilot that gets into a cockpit. The FAA minimum hasn't been changed in decades -- 250 flight hours for a pilot to climb in that cockpit. That's a trainee in my opinion.
We need to raise that to a pilot's license with at least 1,500 hours of not just flying around but quality experience, nighttime experience, cross-country. We need to raise the level.
We need to raise the training. Our pilots did not have hands on recovery training. That plane did not have to crash. They need to increase the quality of that training. And the FAA can do it by regulation.
We want better rules on fatigue, fatigue management, flight and duty times. The FAA has been told by the NTSB for 20 years to do something about the flight and duty regs that are science based, and they have not done it yet.
ROBERTS: And Scott, are you frustrated with the procedure in Congress? The House passed a bill back in October that would require the FAA to implement recommendations. It stalled in the Senate and they have not gotten to it. More times go by, and people have not stopped flying the regional airline?
MAURER: Yes, we are frustrated. But the good news is Senator Schumer has convinced Senator Reid to bring the Senate reauthorization bill to the floor in March. So we are extremely excited about the opportunity to get this bill on the floor.
The good news here is I know all of America is frustrated with the partisan politics going on in Washington. In this case, safety is a bipartisan issue. The House overwhelmingly passed 33-71, and the Senate Aviation Committee also passed it with full support. So this should happen fairly easily in our opinion.
ROBERTS: All right, we will see if it does. Scott Maurer and Karen Eckert, good to be with you. Michael, thanks so much for joining us again this morning, always great to hear your perspective on things.
Tonight on "CAMPBELL BROWN," a controversial contractor for the Defense Department gets another contract. Find out why this just keeps happening at 8:00 p.m. eastern.
Plus, what is more important for health care reform, coverage or keeping costs down? Sanjay Gupta has some answers for you at 10:00 p.m. eastern on "ANDERSON COOPER 360" -- Kiran. CHETRY: And still ahead, building up America. Some people have found opportunity amid the hard times. Tom Foreman is on the CNN Express finding out the secret to their success and how it may be able to help you.
It's 40 minutes past the hour.
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CHETRY: It's 43 minutes past the hour right now.
Today in our "Building up America" series, a success story born out of the recession, a woman who saw an opportunity to help people be shifty and to get back on her own feet at the same time. Tom Foreman is outside of the CNN Express bus in Austin, Texas, this morning with more on the success story.
Hey, Tom.
TOM FOREMAN, CNN CORRESPONDENT: Hi, Kiran. I wish I were inside the bus. It's very cold here this morning. But what we are talking about today really is about bad things in the sense. It's about the business of bad times. There are really good businesses out there that thrive in some ways when everybody is trying to watch their nickels out there.
And this story is about a woman who has found a way to build up her part of America by focusing on the needs of a lot of people. Take a look.
(BEGIN VIDEOTAPE)
FOREMAN (voice-over): If there is one thing Lisa Gaynor knows, it is this.
LISA GAYNOR, SMALL BUSINESS OWNER: There is a story behind everything.
FOREMAN: And hers is about foresight, opportunity, and building up when everything seems headed down.
About ten years ago Lisa's family moved back to her home state of Texas, her husband, a consultant, traveled for work, and she had a good job with a big corporation in Austin. But then came bad news. Lisa was let go.
GAYNOR: If really knocked the wind out of my sails. I had no idea where to go. That was my identity, that was who I was.
FOREMAN: With nothing else to do, Lisa started decorating her new home by shopping in consignment shops. But few had the nicer items she wanted. She had seen high-end consignment shops in other cities, and she thought she could open one here. And lately that's proven particularly true. GAYNOR: People are having to be smarter with their money and make different choices. So historically only 10 percent of the consumer population is really aware of or open to the idea of consignment shopping. And I think what the recession has done is changed that.
Can I help you find anything?
FOREMAN: She'd never owned a business before, but with the encouragement of local business groups and friends, Lisa launched Design It with Consignment.
GAYNOR: I sell things that are owned by other people or have been previously owned by other people. It doesn't mean antique, it doesn't mean used. It doesn't mean beat up.
FOREMAN: It does mean bargains.
GAYNOR: Retailed for $13,000 and we've got it for $3,500. We've got this for what, $800, even if it was thousands of dollars just a few years ago, these things now sell for like $300.
FOREMAN: Most items sell for 50 to 75 percent less than they did new.
GAYNOR: Lots of sold signs are like that.
FOREMAN: And the recession that has taken so many jobs has been turned into an opportunity for Lisa and her five employees.
GAYNOR: Ironically it has been a boost to my business. We were just reviewing numbers and we have gone up 30 percent over the last two years.
FOREMAN: It's hard work, she's at it six days a week, but it is working.
(END VIDEOTAPE)
FOREMAN: In fact, it is working so well that Lisa is looking to more than double the size of her business. She is talking to the bank about it today and we're wishing her the very best -- Kiran.
CHETRY: Oh absolutely, when you take a chance, you know, you try to do something and you're not sure if it's going to work and it pays off, it's wonderful.
FOREMAN: Yes.
CHETRY: -- and inspiring to other people. So Tom, beside from working on getting John and myself some barbecue --
ROBERTS: Yes what's going with the barbeque there?
CHETRY: What else are you doing tomorrow? FOREMAN: Well, tomorrow -- this is when the case of somebody starting a business that thrive in these times, but what do you do if you have a business that's been established for a long time and it gets utterly hammered in this period of time? How do you build-up from that?
We're going to visit with another woman out here in the edge of town who had a big family business for many, many years and she had every reason to lose everything but she didn't. We'll tell you that story.
And you know John and Kiran --
ROBERTS: Yes.
FOREMAN: Funny you should bring up the barbecue, because gosh, having the stuff we shipped to you guys, I'm pretty sure it should be there by now, but maybe it's coming later. I just want to give you a little look. Yesterday, we've had a little stop out there. It seem very nice, I wish you would have been there. It was lovely.
ROBERTS: Yes.
FOREMAN: We were there at the iron works. I think we might get up to Art's later on.
CHETRY: Wow that looks good.
FOREMAN: We'll sample that down but I'm really surprised you don't have it yet, but maybe it will show up later.
ROBERTS: No, it hasn't arrived. You know, I'm also interested because I kind of lost touch with them. Well, whatever happened to Las Benitez (ph) down there which was like, the place to have the best breakfast in all of the United States of America? I know that they were losing their lease because of a new development was going in and I kind of lost track of where there are with all of that whether they ever found a new place. Maybe you can look them up, too.
FOREMAN: We're going to look that up because we went by yesterday and I saw the new development area but we couldn't nail down where they were running around. But today look, we're going to be trying to be out of the weather today, so that would be an excellent place for us to find. I'll tell you that.
ROBERTS: It would, all right, Tom Foreman for us this morning. I'm still looking forward to that barbecue -- Tom.
FOREMAN: I'm sure you'll enjoy it.
CHETRY: I love how he got himself some barbecue and took a picture just to rub it in.
ROBERTS: Of course. Of course, he's going to do that. Thanks Tom we'll see you again tomorrow. Snow, rain, travel and causing travel delays nationwide and more of it heading our way for the end of the week too. Rob Marciano has got the travel forecast for you coming right up. Twelve minutes now to the top of the hour.
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ROBERTS: Ten minutes now to the top of the hour. Rob Marciano is tracking the weather across the country. He's got a travel forecast for us this morning. Bad in some areas this morning -- Rob.
MARCIANO: Yes, quite a number of areas. Good morning John and Kiran.
But first off, the northeast we go where this storm is winding itself up. Not a terribly strong storm but it's tapping into a fair amount of moisture where the cold air meets that moisture it's all the snow. That's mostly north of the city, six to 12 inches expected there. And a rain-snow mix pretty much along the I-95 corridor.
All rain in Philadelphia, mostly rain in New York where you go just north and especially west of New York up through the Hudson Valley and then through Jersey; we'll probably see some of that snow begin to pile up and that would include upstate New York ski reports and northern New England ski resorts as well.
Dallas, how about you folks getting some snow into the action here, Fort Worth and all of you seeing some pile up right now southwards Waco (ph), mostly a little bit of sleet. And as Tom Foreman reported some sleet mixing in, in Austin.
Winter storm warnings posted for this part of the world, three to six inches in West Central Texas and one to four east central and Dallas may get an inch, if they get two inches they would break an all time record for seeing over 17 into the snow for an entire season.
And yet another storm coming into the West Coast and more cold air coming south.
Speaking of coming down south, we go to Toronto this off of YouTube. This was an NBA game between the Raptors and the Nets. And this is what happened to the half-time show. Cheer leaders dancing and the mascot ate one of the cheer leaders. Absolutely devoured her whole continued to jump on that -- nobody stopping this animal, this beast walking up with this poor unsuspecting young lady and getting away with it.
So that's what happened.
CHETRY: Can we see the beginning again, when he first ate her? Please.
MARCIANO: You're sick.
CHETRY: No, I am serious. Look, ready? MARCIANO: Oh goodness, I mean, fresh out of a horror movie. She didn't put up a fight. I mean, it's like she knew the end was coming. There was no way to defend against that -- that monster.
CHETRY: Who knew there was room for two in that suit?
ROBERTS: Toronto it's a tough town. No question about that.
MARCIANO: It is a tough town. You're right about that.
ROBERTS: Thanks Rob.
MARCIANO: You bet.
CHETRY: All right, well, still ahead. No excuses. Dr. Sanjay Gupta checks in on the progress of the triathlon. Participants in training, he's doing it himself and they're all blogging about how things are going. We're going to check in with him. Coming up.
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CHETRY: Welcome back to The Most News in the Morning. In just five months, Dr. Sanjay Gupta will be here in New York, and putting on his wet suit, he's going to be diving right into the Hudson River. He is competing in the Nautica New York City triathlon.
ROBERTS: He has chosen six viewers of AMERICAN MORNING to train alongside of him. Sanjay joins us now from Atlanta to give us an update on two of them. But before we get to the viewers, Sanjay, we want to know how your training is going?
DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: It's going pretty well. You don't sound suspicious there, John, do you?
ROBERTS: No, I am not suspicious. You are not actually going to be wearing a wet suit either, are you?
GUPTA: Well you can wear a wet suit as part of the -- the first part of the --
ROBERTS: I mean a hazmat suit -- you're going to be in the Hudson River?
GUPTA: With a mask, yes.
CHETRY: Which has gotten much, much cleaner from past decades.
GUPTA: It has gotten cleaner. And another thing about the swim part of this -- people may not know -- you are actually swimming down river in the Hudson River, so it does make it a lot easier as people have told me, although there will still be some challenges, no question.
My training has been going ok. I was in Haiti for almost a month over the last several weeks so even on the road it's important to try and stay in shape, so doing things like push-ups or sit ups. Things that can you do to watch your diet, those all really make a difference.
But you know, not everyone starts with a level of fitness even if they're doing a triathlon. And two other people I want to you meet that we hand-picked out of hundreds of entries I think really tell an important story.
Angie and Meredith, where they came from and where they are going. Take a look.
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GUPTA (voice-over): Training for the New York City triathlon is not the biggest challenge Angie Broward (ph) has faced.
ANGIE BROWARD, TRIATHLON PARTICIPANT: I was diagnosed with cancer last April and I was out of shape. And when this challenge came along, I thought it would be the perfect thing. Not only to get myself back in shape again but to show other people that they can get in shape, too.
GUPTA: As you sort of have looked at the challenge that lies in front of you, what are you most nervous about and most excited about?
ANGIE: Well, I am excited because I think I will be in really good condition. I think I feel really healthy. I think the swimming will be great. That's what I'm most worried about is the swimming. I can swim but I've never really swam.
GUPTA: But it has not been as big a challenge as she anticipated either. With the help of a swimming trainer, she is getting more and more comfortable in the pool.
ANGIE: Every time I feel stronger, I can go a little further before I rest. So it's coming.
GUPTA: Our other participant, Meredith Clark had her own concerns.
MEREDITH CLARK, TRIATHLON PARTICIPANT: There is of course the huge possibility of crashing and burning on TV.
GUPTA: It turns out it's real life that presents the greatest challenges.
CLARK: Being in the office is difficult, especially in a newspaper office because we believe in eating and eating well and eating a lot.
GUPTA: And schedules.
CLARK: The workouts themselves are not difficult, but what I find hard is managing my time to fit the workouts in.
GUPTA: But she is fitting it all in, walking around the parking lot at work, exercising with the help of a trainer. Early morning (INAUDIBLE) classes, she's even spinning on her own. For both triathletes, the journey ahead will be long but doable.
CLARK: There is only 150 days left, so it makes me want to kind of ramp up my efforts.
ANGIE: I feel stronger all the time but I feel like once I can get this done, I think I can close that chapter. I can that put that breast cancer behind me, and I will feel like it's over and I have conquered it.
(END VIDEOTAPE)
GUPTA: I will tell you, Meredith said something interesting. She said she doesn't want a fit strategy that comes with an expiration date anymore.
CNN.com/fitnation, you can probably find one of our people who's competing in this as one of your on-air partner if you are watching at home. If you're trying to do something like this yourself, follow along with them there and hopefully a lot of people will be helped out by this.
ROBERTS: All right.
CHETRY: Sounds great. We will be rooting you on.
GUPTA: You guys should come out there.
ROBERTS: Oh absolutely. Are you looking forward to it?
GUPTA: I am looking forward to it. I like goals like this and I think it's a good one. And I think just getting to a level of fitness as you get older obviously becomes a lot more important; harder to do but very important.
CHETRY: He's 40 you know. He is old.
ROBERTS: Kiran's hitting you at the back -- I have not seen you on a bike before. Are you doing it, ride on a bike?
GUPTA: I think a bike is actually probably going to be the hardest part for me.
CHETRY: This one is a cycling master so he is at the spinning classes several times a week.
GUPTA: I know. He has had me run alongside him when he bikes before.
ROBERTS: Thanks, Sanjay.
GUPTA: Thanks, guys.
CHETRY: Meanwhile it's 9:00 right on the nose. We're going to take a break and we'll be right back.
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CHETRY: And we're back just in time to say goodbye. Hope to see you back here tomorrow.
ROBERTS: All right. The news continues on CNN with Kyra Phillips in the "CNN NEWSROOM".
