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American Morning

Afghan Peace Talks; Feds "Underestimated" Gulf Spill; UPS is Hiring; Airline Complaints on the Rise; Verizon IPhone in 2011; The Pulse of America; Roy Halladay Makes History

Aired October 07, 2010 - 7:59   ET

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


JOHN ROBERTS, CNN ANCHOR: Good morning and thanks so much for being with us on this Thursday, the 7th of October. I'm John Roberts.

KIRAN CHETRY, CNN ANCHOR: I'm Kiran Chetry.

Want to get you caught up on what happened overnight. We have some new developments this morning from Afghanistan, as we enter now the 10th year of the war this morning. President Hamid Karzai now says he is reaching out, trying to broker peace with the Taliban. But is the Taliban on board? We're live at the White House with reaction.

ROBERTS: The White House getting slammed for its handling of the oil spill in the Gulf of Mexico. An independent commission finding the Obama administration vastly underestimated the size of the spill or tried to deceive the public about it. What's most intriguing is this is the commission that was struck by the White House. Ed Henry, live from the big house on Pennsylvania Avenue with the administration's response this morning.

CHETRY: And a federal government considering tough new regulations for more than 500-coal powered plants across the country. They're spewing coal ash into the environment. People who live near these facilities insist they're being poisoned.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: They are killing nature, trees, wildlife and making human beings sick.

UNIDENTIFIED FEMALE: People are sick and people are dying.

(END VIDEO CLIP)

CHETRY: However, technically, there's been no study to confirm that. So, Carol Costello visited one Pennsylvania town where residents say that the local power company pulled a fast one on them.

JOHN ROBERTS, CNN ANCHOR: All that just ahead.

But up first this morning, major developments in Afghanistan to tell you about on the day that we enter into our 10th year of war there. Afghan President Hamid Karzai says he has launched a peace council to negotiate with the Taliban and find a way to end the war.

CHETRY: But this morning, a Taliban spokesman says that -- told CNN that the group is not interested in peace talks.

Chris Lawrence is live for us this morning at the Pentagon.

And it almost comes full circle when you think about it. I mean, 10 years now. We went to war ostensibly to overthrow the Taliban because they supported al Qaeda. And now, 10 years later, we are talking about perhaps peace talks with them.

CHRIS LAWRENCE, CNN PENTAGON CORRESPONDENT: That's right, Kiran. You know, defense official told me, you know, you have to take a grain of salt what anyone says publicly. A lot of times, groups have to posture publicly to, you know, sort of, you know, pacify their base while talks can be very different that are held behind closed doors.

But I just spoke with a senior defense official who said, you know, this peace council in what he confirmed is high-level talks with some high-level Taliban leaders, he said there is inherent value in having the talks and but doesn't think that the U.S. military campaign is far enough along to yield any sort of substantial results right now. He told me, we don't think that the Taliban is losing to the degree that they'd come to terms in large numbers. So, without question they're hurting. And he said, we have it on good information that they are feeling the pressure. He says, just not enough.

He also said, you know, they really back the idea of any of these negotiations being Afghan-led but he said that's got to come from a position of strength and it's debatable whether we are there yet.

Hamid Karzai is pushing ahead with this. Take a look at how he referred to the Taliban in his latest address.

(BEGIN VIDEO CLIP)

PRES. HAMID KARZAI, AFGHANISTAN (through translator): The opposition are our Taliban brothers, every son of this land and every youth, whether he is inside or outside of this country wishes to serve this country. I call on them once again to use this opportunity and to say yes to this endeavor. I want them to come and bring peace to this land.

(END VIDEO CLIP)

LAWRENCE: Again, you know, this is a group that has, you know, killed Afghan civilians, that has launched attacks on Afghan security forces -- Karzai referencing them as brothers. I did some checking. It's not the first time he used that reference. Back in June, at the peace council that sort of kicked off this whole initiative, he again referenced them as brothers and invited them back into the fold -- John, Kiran.

ROBERTS: The latest story, Chris, "The Wall Street Journal" today reporting that Pakistan's spy agency, the ISI, is urging the Taliban in Pakistan to strike U.S. and coalition troops. You know, there's long been ties between the ISI and Taliban, they helped bring them to power in Afghanistan so many years ago.

But aren't they supposed to be on our side, the ISI?

LAWRENCE: Well, there are a lot of factions within Afghanistan and, you know, the chairman of the Joint Chiefs of Staff, Admiral Mike Mullen, has been, you know, somewhat outspoken and somewhat critical of the ISI, you know, and some of their moves, urging them to sort of shift their strategic focus.

You know, again, there was a difference between, say, the intelligence arm of the Pakistani government and the ISI and some of the elements within it, and, say, the Pakistani military, General Kayani, and some of the officials with whom U.S. officials and U.S. military officials have very close ties. So, again, you know, this group you mentioned, they helped bring the Taliban to power. They broke with them after the September 11th attacks.

But obviously, U.S. officials have said, you know, there are elements within Pakistan that want to make sure that Pakistan has a place at the table. India has also -- you know, has interest there in Afghanistan. Pakistan has interest there. So, there are more players on the table than just the United States.

ROBERTS: Chris Lawrence at the Pentagon this morning -- Chris, thanks.

CHETRY: Well, the White House vastly underestimated the summer's oil spill in the Gulf or tried to deceive the public about it -- that report from an independent commission that's been investigating this disaster since June. It also says that the administration downplayed the size of the oil spill.

ROBERTS: It goes on to say that the government tried to block information from scientists who were using better methodologies and slow to react to the disaster right from the start.

Ed Henry live at the White House this morning.

And this really is a case of "be careful what you wish," for because the White House asked for this investigation.

ED HENRY, CNN SENIOR WHITE HOUSE CORRESPONDENT: You're right, John.

Now, the president appointed these commissioners. So, they have real credibility here. This is not some sort of partisan attack.

And what they're alleging in this series of really blistering reports is that they believe the White House was overly optimistic throughout this crisis about how much oil was in the Gulf and specifically charging that they may have hid key information from the public.

For example, going back to just two weeks after that BP oil rig first exploded, they're now saying in these reports that basically government scientists wanted to go public with some worst-case scenarios for the public and that the Obama administration essentially blocked that. This report saying, quote, "The federal government created the impression that it was either not fully competent to handle the spill or not fully candid with the American people about the scope of the problem. It is possible that inaccurate flow-rate figures may have hindered the subsea efforts to stop and to contain the flow of the oil at the wellhead."

Now, the White House, obviously, has a whole different view here. They insist they didn't hide anything. And that we should point out that these preliminary reports, sort of just drafts. This is not the final report. So, it could change.

But just the fact that all of this is out there is a big, big political problem for this White House, John and Kiran.

CHETRY: Yes. And how are they responding to the commission's assessment this morning?

HENRY: Well, they're saying, for example, with the whole question of why government scientists were not allowed earlier on to go out with these worst-case scenarios to the public, the administration is saying, look, they believe those worst-case scenarios were flawed, they were not fully cooked, if you will. So, they wanted more analysis before going public with them.

They go on to say, the administration in an official statement, quote, "Senior government officials clear with the public what the worst-case flow-rate could be. As directed by the president, the response was based on science, even when that pitted us against BP or state and local officials. And the response pushed BP every step of the way."

Significant -- you see they mention BP several times there. This White House wants to really make sure the finger of blame pointed at BP, not them, John, Kiran.

CHETRY: To the point that they may have blocked experts who had new technology or better technology of assessing the flow rate, I mean, that's something that a lot of environmental groups and scientific groups were talking about from the outset of the spill.

HENRY: Absolutely, deep frustration about that.

Now, the administration, though, is getting cover from Congressman Ed Markey. As you've noted, he' been on the program -- been on AMERICAN MORNING before, really holding BP to account, insisting that those mistakes were really BP's fault and that it was not the government's. We'll see, obviously, what this final report says, because again, as you and John noted, this is sort of the umpire here created by President Obama himself in the form of this commission. What they have to say in the end is going to carry a lot of weight.

ROBERTS: Ed Henry at the White House this morning -- Ed, thanks.

Also developing this morning, right now, a wave of red toxic sludge is swallowing villages in Hungary. It started with a waste reservoir at an aluminum plant first. And officials say it has now reached the Danube River, threatening the water supply. Hungary has declared a state of emergency. News reports from the country say four people dead, six missing, more than 100 people hospitalized for chemical burns when they came in contact with the red sludge.

CHETRY: Just looking at it, it's horrifying.

This morning, a federal grand jury expanding its investigation into John Edwards, a slew of new subpoenas have been issued in a probe with Edwards' campaign finances. The panel is looking into whether funds that Edwards' 2008 presidential campaign paid for a cover-up of his affair with Reille Hunter. Edwards' attorney says that his client is innocent and that they welcome government scrutiny.

ROBERTS: New Jersey Senator Frank Lautenberg is calling for mandatory anti-harassment policies at any school that accepts federal funding, following the suicide of Rutgers University freshman Tyler Clementi. Lautenberg wants to require colleges and universities that receive federal student aid to accept codes of conduct that prohibit bullying and harassment of students.

CHETRY: And this kegger is really going to cost them. Three students at the University of Wisconsin-Madison have been fined a total of $86,000 after police came to bust up the house party. Two of them underage, the other one was 21. Police say they actually shut off the lights and refused to come out, which only agitated the police more. And, of course, they had a perfectly reasonable explanation for everything that happened.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: We were trying -- probably 20, 30 of her friends over and just kept coming and coming, and word of mouth, I guess, and just got out of hand.

(END VIDEO CLIP)

CHETRY: Well, the number vary on how many people were actually at the bash. The cops say 200 to 300 people. Roommates are saying, no, no. It was maybe 110 at the most.

ROBERTS: A kegger that got out of hand. Never heard of that before. Never heard of such a thing.

CHETRY: They pay it up though.

ROBERTS: Eighty-six thousand dollars. I think they're going to appeal.

Roy Halladay's first-ever post-season start wasn't just memorable, it was historic. He no-hit the Cincinnati Reds in the game one of the National league Division series. It's only happened once before. It was 54 years ago when Yankee pitcher Don Larsen toss a perfect game in the 1956 World Series. Halladay was nearly perfect, allowing just one walk in the fifth inning.

(BEGIN VIDEO CLIP) ROY HALLADAY, PITCHED PLAYOFF NO-HITTER: It's surreal. I mean, it really is. You know, I just wanted to pitch here, pitch in the post-season and, you know, to be able to go out and have a game like that, you know, it's a dream come true.

(END VIDEO CLIP)

ROBERTS: So, didn't get the perfect game last night, but he did pitch a perfect game in the regular season. That was back in May.

CHETRY: There you go.

Well, Rob Marciano is in the extreme weather center this morning.

You know, you are a nice Yankee fan, Rob, because you're given Philly their props. Some of them here, like Mike Steiner (ph), is rumbling and saying, yes, it was a first, you know, it was a division playoff game.

ROB MARCIANO, AMS METEOROLOGIST: Yes.

CHETRY: No big deal. The Yankees did it in the World Series.

MARCIANO: Well, exactly. Well, you can't compete against the era of the Yankees gone by. And, you know, this era's pretty good, too, and the Phillies, well, they're pretty tough. I'm sure overall, probably had a kegger at his place last night. Hopefully, didn't fine on that.

We have showers, a few thunderstorms across the west today, but nothing like yesterday. Check out this video coming to us from Arizona. Four tornadoes touching down, all in the span of about four or five hours, unbelievable. Belmont, which is just west of Flagstaff, about 200 homes damaged, there are truck and trailer flipped over, trains derailed. There were six injuries. None of them deemed serious. So that's the good news. But those pictures are certainly scary.

The storm that produced all that is beginning to weaken and move slowly. We have our own little storm across the Northeast, which refuses to go away. It will finally do that tonight. But until then, another day of relatively unsettled weather for New York to Boston.

But the weekend looks to be not too shabby actually. Once we get through today, sunshine and relatively warm temperatures are expected across much of the country.

John and Kiran, back up to you.

ROBERTS: We're liking that. Rob, thanks.

MARCIANO: All right.

CHETRY: Oprah may be leaving her daytime talk show but she still has staying power when it comes to being one of the most powerful women in the world. She landed the number three spot on the annual "Forbes" list. How about this one? Lady Gaga moved into the top 10, coming in at number seven.

ROBERTS: Beyonce snagged the number nine spot. Talk show host Ellen DeGeneres rounded out the top 10.

And capturing the number one spot, First Lady Michelle Obama, who is ranked number 40 last year. So, she's really climbed up. Most improved player.

CHETRY: There you go.

Well, forget Hillary Clinton as vice president. Does she want the White House for herself in 2016? CNN's senior political analyst Ed Rollins and political contributor Donna Brazile get right to the point. They join us next.

(COMMERCIAL BREAK)

CHETRY: Welcome back to the Most Politics in the Morning. Fifteen minutes past the hour now. The political ambitions of Secretary of State Hillary Clinton creating quite a buzz on Capitol Hill this morning. Not necessarily the V.P. talk on the 2012 ticket that we heard about yesterday but, what about whether or not she's interested in a White House run for herself in 2016.

Joining us to talk about that and other hot topics this morning, the upcoming midterm elections, of course, senior political analyst Ed Rollins and CNN political contributor, Donna Brazile. Great to see both of you.

ED ROLLINS, CNN SENIOR POLITICAL ANALYST: Hi, Donna.

CHETRY: Let me ask you first because James Carville said, once you run for president, you always want to be president. And, of course, she has a lot of loyal followers, campaign workers who sort of been shut out of the Obama White House who, you know, were very eager when this talk of whether or not she'll replace Biden on the ticket came up over the weekend. But do you think that Hillary Clinton would potentially make a go of it in 2016?

DONNA BRAZILE, CNN POLITICAL CONTRIBUTOR: I don't know. Secretary Clinton is quite happy with the job she is doing. She is doing an amazing job as Secretary of State, but you know, 2016 is a long time away. But what we do know is that Secretary Clinton has a long following in this country. She has a strong -- she had a strong organization leaving the campaign trail in 2008. Many of her supporters remain committed to her.

They voted for President Obama, so I assume that they would like to see the president continue to do the great job that he is doing, but come 2016, the party will be open to new candidate and new ideas. And if Secretary Clinton would like to throw her hat in the ring or her gloves in the ring, I'm sure she will be one of the front-runners.

CHETRY: What's your take? Do you think --

ROLLINS: My -- CHETRY: Do they even plan that far ahead?

ROLLINS: Sure they do. Absolutely. My friend, Donna, has to be diplomat. No one can be (INAUDIBLE). Joe Biden is not a viable candidate for president. You know, he may get to stay as vice president, but there's no way he's ever shown any great appeal to voters across the country. Hillary has a tremendous base. She begins with a political operation as good as any and basically steps in as the obvious front-runner. It's her choice.

CHETRY: Yes, but we said that in 2008, as well. That it was going to be a Hillary Clinton-Rudy Giuliani showdown. That didn't work out.

ROLLINS: Rudy Giuliani sure didn't make that -- some of you may have thought that. I never thought that. I was Mike Huckabee's chairman. So, I did everything I could to stop Rudy Giuliani. The bottom line is long ways to go. We got an election in four weeks which what really were focused on.

CHETRY: And speaking that election in four week, the interesting article today in "The New York Times" that caught my attention, Donna, was talking about Democrats. If they lose this year, this will be the third consecutive time that the president's party has lost in the midterms. Clinton and Bush, as well.

And they say it's a sequence that actually has never happened before in the history of the United States politics, and they're point to the independent voter who is really above everything else, circumstances, economic circumstances, ideology, really anti- incumbent.

BRAZILE: They fundamentally want change. They're not alive (ph) with either major party. And I believe that the most important thing that they are looking for is two major parties to sit down, work out their differences and to try to get our common problems fixed without resorting to bickering and demonizing each other.

These voters are very important. That's why in the closing days of this important election season, Democrats are reaching out reminding independents that we -- we took up the challenge to try to get the economy off the cliff and to bring jobs back. We haven't created as many jobs as we need, but we're clearly not losing as many as we inherited back in 2009.

ROLLINS: Independents are the key. They certainly have as many people self identify as independents as Republicans and Democrats. 2006, they were for Democrats. 2008, they were for Democrats. By 13 or 14 points, they're favoring Republicans. That'll be the margin on how we win back the House of Representatives.

CHETRY: But what do you do as a -- you know, as a campaign to try to get people to vote for you if it's not necessarily issues based?

ROLLINS: It's not about partisan. It's not about -- I mean, they didn't want partisanship. And with Joe Biden out there talking about strangling Republicans and Obama basically beating up his own base for not voting, he's just turning voters -- independent voters off.

There's nothing that's changing the dynamics for the last two months about independents. More and more than (ph) supporting republicans. And that will be the balance of power.

BRAZILE: Right now, right now, Republicans are filling in an empty blank, which is we're not in power, but the truth is, is that independents like to see us return to economic growth. They want to ensure that the health care bill that will provide children with preexisting condition coverage. They want to see the changes that many of the Democrats have proposed.

But you know what? Right now, they're in a foul mood, and they are not willing to take any chances with I think the tea party. So, I still believe, Ed, in the closing days of this campaign, we'll get some of those independents back to support Democratic candidate.

ROLLINS: The key test for you, obviously, if you can get thrown (ph) Democrats to turn out. You got to energize your base and I think that's obviously the task that's ahead of you. Right now, our base and the independents, many are tea party, are very enthused about this election.

BRAZILE: That's why I got up this morning early, Ed.

ROLLINS: I'm glad you did to.

BRAZILE: I know you start early.

ROLLINS: Love you.

BRAZILE: I'm going to work the bus stop when I finish, Ed.

CHETRY: Ed will leave at 11:00 p.m. and we're still at first thing at 6 as long as we have coffee for him.

(LAUGHING)

(CROSSTALK)

ROLLINS: I'm the best I will look all day.

(LAUGHING)

CHETRY: You guys, both look great. Thank you for joining us. Donna Brazile, Ed, Rollins, always great to have both of you.

ROLLINS: Great. Thank you very much.

JOHN ROBERTS, CNN ANCHOR: Donna's cooking with grease already this morning.

CHETRY: Yes. ROBERTS: All right, Donna.

It's going to be the largest hiring spree ever. UPS throwing out the help wanted sign just in time for the holidays. Details ahead on you can get some extra cash in your pocket.

Plus, who just smashed one of the Beatles' most enduring musical records? Jacking (ph) at the most top 100 U.S. hits by a non-solo act. We'll tell you coming right up.

(COMMERCIAL BREAK)

CHETRY: Already? Really?

ROBERTS: Little early for that.

CHETRY: The first week of October. We haven't even gotten through Halloween.

ROBERTS: You don't have to go shopping yet, but we'll tell you how you can get the money to go shopping because 24 minutes after the hour, it's time for "Minding Your Business."

UPS is spreading some free holiday cheer. The company plans to hire a record 50,000 seasonal employees this holiday season. Yes, there will be a lot of cheer to go around. They'll be looking for driver, helpers, package sorters and other workers, elves, to handle an expected spike in business during its peak season.

CHETRY: Yes, and, well --

ROBERTS: Didn't even flinch when I said elves.

CHETRY: No, I mean, you need elves. How many toys can Santa himself build? Come on.

Passenger complaints about airline service are on the rise. According to the Department of Transportation, consumers filed more than 8,700 complaints. And that's up 22 percent from last year. Why all the griping? The agency says that one reason maybe it's easier to file complaints online.

You know, to stay on hold for 20 minutes to do it, many passengers say there's another reason, though. When things go wrong, they're often left with little or no information saying that they're stranded for days.

ROBERTS: Coming soon to Verizon Wireless Customers, here it is, folks. Your very own iPhone. "The Wall Street Journal" reports that Apple is making a version of its iPhone that will be available for Verizon customers the first quarter of next year. The new phone will resemble the iPhone 4 that's currently sold by AT&T, but it's just going to have its own name. AT&T has had a lock on Apple products until now, but apparently, things are going to change.

CHETRY: All right. For the tenth straight year, silver is the most popular car color in the world. According to Paint Maker PPG Industries, black and white tied for second, red third, followed by blue, and then natural colors like browns and tans came in fifth.

ROBERTS: All right. We asked you before the break who was knocking off the Beatles from the top 100 list? Glee's musical juggernaut just keeps rolling on. The cast just knocked off the Beatles for the most songs on Billboards' Hot 100 among non-solo acts. The "Glee" cast has 6 new songs in the Billboard chart this week. Six in one week. Giving its 75 top 100 singles that compares to 71 by the "Fab Four."

CHETRY: Every day is Halloween in Lady Gaga's world, of course, when you have, you know, phone for her hair. It is Halloween every day, right?

ROBERTS: It's (INAUDIBLE) of costume, too.

CHETRY: Dressing up like her will be the hottest thing this year. In fact, one costume company expects that they're going to sell a million of these. That's the Lady Gaga outfit. In fact, there it is under their own hollow shop in the neighborhood.

ROBERTS: It's pretty tame, isn't it?

CHETRY: I guess, if you want to go out in a blue unitard, sure. But Lady Gaga, of course, is the single most popular costume sold for adults in six decades, they're predicting. Don't worry, though, if the costume runs out of Gaga, you can always go to the butcher. Get yourself a meat dress.

ROBERTS: The EPA considering cracking down on the more than 500 coal burning plants across the country. Neighbors suspect toxic elements like arsenic have leaked into their ground water because of this, an enormous holding pond. Our Carol Costello takes a tour of one Pennsylvania town and investigates those claims, coming right up.

(COMMERCIAL BREAK)

CHETRY: Twenty-nine minutes past the hour right now. Time for look at our top stories. Peace talks are under way to end the war in Afghanistan as we enter our tenth year of the conflict today. President Hamid Karzai says that he's appointed a peace counsel to talk to the Taliban, but this morning, a Taliban spokesman told CNN that the group is not interested in peace talks.

ROBERTS: The White House getting hammered for its handling of the oil spill in the Gulf of Mexico. An independent commission handpicked by the president finding the Obama administration vastly underestimated the size of the spill or tried to deceive the public about it. Ed Henry live from the White House this morning with the administration's response.

CHETRY: And milestone in the recovery of California's endangered condors. One hundred condors are now flying free across the state. It is the largest number in the last half century. U.S. Fish and Wildlife Service plans to release a half-dozen more over the next couple of months. Current world population stands at 381.

ROBERTS: More than 500 coal-fired power plants are spewing potentially dangerous toxins into the environment every day. That's why the government is considering regulated coal ash.

CHETRY: Many neighborhoods where these plants operate people insist that the air they're breathing and the water they're drinking is poisoned. Carol Costello visited one place in Pennsylvania. She joins us live. Tell us more about the concerns of the people that are living around it.

CAROL COSTELLO, CNN CORRESPONDENT: People are really scared about their health. They're afraid they're getting things like cancer and other dreadful diseases. There's this place in Pennsylvania called Little Blue Run. It sounds so innocuous, doesn't it, but neighbors fear it is endangering their lives, and the Environmental Protection Agency is listening.

(BEGIN VIDEOTAPE)

COSTELLO: Marcy Hughes lived in western Pennsylvania her whole life. It's gorgeous here -- rolling hills, lush farmland, and Little Blue Run, something proposed by Pennsylvania Power back in the '70s. What did they tell you in 1975?

MARCY HUGHES, CONCERNED ABOUT COAL ASH: Basically, they said they were going to have it where, you know, you could swim, you could picnic. They even showed a sailboat.

COSTELLO: Hughes said the utility company told neighbors to dump coal ash, the waste from burning coal to make electricity, into a valley, and then fill the valley with water, and it did. But sailboats? No. We thought you should see why for yourself. So when environmentalists offered us a ride, we took it.

COSTELLO (on camera): We are on the way to Little Blue Run right now. It is about eight minutes away. It's really to demonstrate how big this thing is.

COSTELLO (voice-over): It's nearly 1,000 acres, and in some places it's 400 feet deep. Tons of coal ash and other waste is piped in every year. It comes from the First Energy Corporation, the utility company that now owns Little Blue. The EPA says coal ash contains potential cancer-causing agents like arsenic, cadmium, and lead. And now First Energy wants to make Little Blue bigger to handle an increase in waste.

UNIDENTIFIED FEMALE: They're killing nature, trees, wildlife, and making human beings sick.

UNIDENTIFIED FEMALE: People are sick and people are dying.

COSTELLO: The EPA is now holding hearings across the country on coal ash impoundments like Little Blue. After the disastrous coal ash spill in Tennessee two years ago, the agency is considering whether to toughen regulations and classify coal ash as hazardous. Right now it is considered ordinary garbage.

For Hughes' daughter, Tracy, that's unbelievable. Tracy has suffered three types of cancer, the first at 18, the last seven years ago. She and her mother suspect Little Blue is to blame.

COSTELLO (on camera): I know that they want to expand again. So when you hear about expansion, what goes through your mind?

TRACY HEINLEIN, CANCER SURVIVOR: Putting my house on the market, uprooting my family, listening to my cardiologist, who basically the first time we visited him, looked at my mom and I in the exam room after the exam was over and asked, why do you still live there? And why are you drinking the water?

COSTELLO (voice-over): The fear is toxins from little blue are seeping into the ground water and possibly into neighbor's well water. Barbara Reed fears that, too. Her son's fixer upper less than a mile from Little Blue.

First Energy tested Reed's well in 2009 and the results show Reed's well weather contained dangerous levels of arsenic.

COSTELLO (on camera): And when you see this, what goes through your mind?

UNIDENTIFIED FEMALE: Fear. We have drank that water. We weren't told it was bad.

COSTELLO (voice-over): There's no proof that arsenic came from Little Blue. Subsequent tests showed no arsenic, but once was enough for Reed's son. His fixer upper is abandoned.

CHARLES LASKY, VP FOSSIL OPS, FIRST ENERGY CORP.: We believe it's completely safe. We have not identified any well, drinking water well, that we have a contaminated or contributed to.

COSTELLO: And first energy is right. There's no scientific test that shows anyone is getting sick from Little Blue.

COSTELLO (on camera): Why do you think they're standing up and saying these things then?

LASKY: I can't answer that. I think they've gotten some information that is not closely correlated, scientifically supported.

COSTELLO (voice-over): The Pennsylvania Department of Environmental Protection says its own tests show nothing harmful is leaking from the retention pond, but some neighbors are unconvinced.

HEINLEIN: This is going to sound surreal and maybe too Hollywood-ish but I'd like to invite them to dinner, turn on my tap, and hand them a glass of water from the tap.

COSTELLO (on camera): And see if they would drink?

HEINLEIN: And see if they would drink the water. (END VIDEOTAPE)

COSTELLO: And when I say no scientific test showing elevated levels of arsenic in groundwater, I want to clarify. That's because no scientific tests have ever been done.

But researchers at the University of Pittsburgh have begun testing residential wells in the area. But of course it will take some time before we see any results from those tests. But somebody's finally doing it, right?

ROBERTS: There's arsenic, though, in the water?

COSTELLO: There's arsenic in the retention pond, yes.

ROBERTS: And there's no liner in the retention pond?

COSTELLO: There's no liner in the retention pond. And that's a big thing for neighbors, because if there were a liner underneath all of that stuff, that would prevent it from seeping into the ground. Now, if another retention pond is built somewhere, or if First Energy expands, there will be a liner underneath that. But it's almost a thousand acres. They can't possibly put a liner under that. Do you know how much money? That would probably drive First Energy out of business, and that would also not a good thing, right?

And let's face it, we all use electricity. We do. First Energy produces the electricity here along the east coast. What do you do with the waste? First Energy has that problem. What do you do with it?

CHETRY: The other interesting thing, though, is don't they have to test drinking water in general? I mean, don't municipalities have to make sure it's safe, especially in wells?

COSTELLO: Well water, it's the responsibility of residents. And the EPA would say you should test your well water anyway because all sorts of stuff is seeping into the ground. If you're on city water, that's tested, right? But if you have your own well water, it is up to you to test the water.

Although neighbors that live around this Little Blue can ask First Energy or the Pennsylvania Department of Environment to test their wells for them. And then, of course, you have to send away and wait for the results. But, you know, once was enough for Mrs. Reed. Her son moved out.

CHETRY: Amazing. Tomorrow, we're going to touch on the environmental impact as you said. Everybody wants and needs energy. What is the answer? Thanks, Carol.

ROBERTS: Carol, thanks.

Time magazine political columnist Joe Klein, he took a cross country road trip to gauge the mood of voters and politicians. What has people most concerned? Why do they call President Obama a political mystery? Joe's coming up in just a few minutes.

CHETRY: Also, your fall weather is about to get just gorgeous according to Rob Marciano. Plus, hurricane season 2010 will not end quietly. Otto is now stirring in the Atlantic. Rob joins us with details, coming up.

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ROBERTS: Its 45 minutes now after the hour. We are back with the "Most Politics in the Morning". With more voters paying attention to the battle for Congress, "Time" columnist Joe Klein hit the road for the month of September. For the four weeks he traveled close to 7,000 miles talking to Americans.

Klein writes about his experience in the upcoming issue of "Time" magazine. And Joe joins us now this morning to talk about it. It's great to see you this morning.

JOE KLEIN, POLITICAL COLUMNIST, TIMES MAGAZINE: It's good to be home.

ROBERTS: So -- so in a general sense, what -- what kind of mood is the country in?

KLEIN: They are -- they're -- they're frustrated. And they're anxious. It's not -- you don't see the fist-shaking anger that we show on, you know, the news all the time here. But, you know, they're an awful lot of people who have mortgages that are in trouble.

I met with like nine first responders: cops, firefighters, emergency workers in the middle of Michigan. Eight of the nine had mortgages that were worth more than the value of their houses.

ROBERTS: Underwater.

KLEIN: They were underwater. And they're really worried that we're slipping down from number one; that China is moving ahead of us. People talk about China constantly and about the loss of jobs. And they're not hearing from the president or from the Republicans about what they're going to do about the constant shipping away of jobs.

ROBERTS: So -- so they are getting a sense that the American era may be coming to an end?

KLEIN: Yes. You know, I -- I've been doing this for a while and whenever we have an economic downturn, people fear that their kids may not live as well as they have and then, you know, there's always a new technology that rushes in.

(CROSSTALK)

ROBERTS: Oh, yes. We'll we're going to look better. KLEIN: There is no new technology that they trust right now. They're really -- they're -- they are convinced that the American era is ending rather than fearful of it. And they're not hearing from Washington real plans about, you know, long-term plans about what we do about it.

ROBERTS: You said that this tour was quote, "nourishment for the mind and soul". What was the -- the most surprising thing here? Was it China -- how much they care about it?

KLEIN: Yes. It was -- it was, look you know since I started to work for "Times" in 2003, I have been to Afghanistan three times, Pakistan three times, the Middle East countless times. I haven't been to China because all of the action has been directed by what happened on 9/11.

ROBERTS: Right. I've been to China a couple of times --

KLEIN: Yes.

ROBERTS: -- and it's -- you know the joke is that the national bird is the construction crane.

KLEIN: Right, right. Well, I spent a month there in 1993 but I've abandoned it because there's al Qaeda out there. I covered the Iran elections and people don't mention that. They are not interested in that. They're interested in where their kids are going to work.

ROBERTS: Yes. It's -- anybody's who's got a child in college certainly shares that concern. You also said that they are frustrated by the national political conversation as presented by the media.

KLEIN: Right.

ROBERTS: What are -- what are we not doing right?

KLEIN: Well, we're not talking about the issues that affect their lives directly enough and it's often the way that we do it. One -- one person in a meeting I had in Uba City (ph) started talking about CNN and said why when something happens in Afghanistan do we see two American political consultants talking about it? They want to see less of the left versus right sort of stuff and they want to see more smart analysis and reporting.

That's what we're they -- what we're here for is to go out and report.

ROBERTS: So rather than having two people in the states talking about what's going on in Afghanistan, go to Afghanistan.

KLEIN: That's right.

ROBERTS: To tell the story.

Is the nation really in as much of an anti-incumbent mood as we seem to think they are? KLEIN: Yes. They are very much in an anti-incumbent mood but they are -- they are in an anti-circus move -- mood, as well. Too often we present the bread and circuses. If -- it looks like Christine O'Donnell is running for president out in America because that's all you ever see. And Carl Paladino, the guy -- you know, the angry guy who is running for governor in New York.

You don't see any of the really thoughtful or not much of the really thoughtful -- both Democrats and Republicans -- who are coming up with ideas that might -- might help.

ROBERTS: Yes. But what's their sense of the president?

KLEIN: They -- there's a segment, maybe a third of them who don't like him at all and who may think he's a secret Muslim or a -- a socialist.

ROBERTS: But even people who do like him --

KLEIN: People are disappointed. They admire him. They think he works very hard and they think he has really tried hard, they don't see results. And they -- and -- and -- they don't -- they don't see leadership. They don't see him standing out there and saying here's what we have to do now. They see big, vast complicated pieces of legislation.

ROBERTS: And do you think that that mood would be reflected in November?

KLEIN: Yes. I suspect that this is going to be a pretty good year for Republicans. But it doesn't take a genius to see that. When you look at it from the bottom up, though, you see individual races; a good Democrat here, a good Republican there. And it's hard to add it up.

ROBERTS: Like they say, all politics is local. Great article Joe.

KLEIN: Thank you.

ROBERTS: Well worth reading. Thanks for coming in this morning -- Kiran.

CHETRY: All right guys. Thanks so much.

Well still ahead, you probably thought about it before but winning the lottery won't make you happy forever. Instead, it's actually the priorities that you set in life. So do you have the right priorities? We'll talk about it coming up.

Fifty minutes past the hour.

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CHETRY: Well, what is the secret to true happiness? There's a new study that's out of Melbourne University that confirms it has nothing to do with money. They say it's a combination of things. Its goals, it's connecting with others, it's having good interpersonal relationships.

ROBERTS: It's amazing. Experts say that you've to set priorities in your life and that could lead to the next step, a good marriage and solid friendships. They say it's not only important to get support but to give it as well and then, of course, good health, as well. That leads to happiness.

CHETRY: You need that.

ROBERTS: Well, imagine that moment in sports history, Roy Halladay the Phillies pitcher known as Doc threw the second no-hitter in Major League baseball's post season history. And now people are saying its Doctober. Our resident sports man Max Kellerman joins us live coming up next.

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CHETRY: The Van Halen cassette. They're going to bring back the cassettes.

ROBERTS: Well, might as well bring back Van Halen, too, then, which incarnation, though.

CHETRY: Right.

ROBERTS: Well, it took almost 54 years but Don Larson has got some company in baseball's record books. Roy Halladay throwing a no- hitter in his post season debut last night.

CHETRY: He got a performance second only to Larson's perfect game in '56 World Series. CNN contributor Max Kellerman is with us this morning and talking about this historic moment. So even though some of the Yankees' fans are like, no, no, no. There is no comparison. And that was the final game of the World Series. This is a playoff game, first round.

MAX KELLERMAN, CNN SPORTSCASTER: There's -- there is a big difference there. On the other hand, Larson's last pitch was probably a ball that the umpire gave him as a strike. In fact, the umpire later admitted it and the only walk for Halladay here was a closer pitch, let's say, than Larson's last pitch.

Halladay is -- the most valuable thing in baseball for teens who make the post season is a big-game pitcher. There's a debate that rages about whether clutch hitting actually exists. Is it just that the best hitters still tend to do well or the sample size is so small that a bad hitter gets a few hits and he looks like a clutch hitter?

But there is really no debate that clutch pitching does exist; that there are -- you can show through a variety of some evidence some pitchers rise to the occasion. And everyone always thought that Halladay was that kind of guy but he never pitched in the post season. We all wanted to see it. And we have plenty of evidence at this moment at least that he is, in fact, a big-game pitcher. ROBERTS: You were saying that Larson's last pitch was probably a ball that was called as a strike?

KELLERMAN: Well, the umpire later admitted --

ROBERTS: His last ball, right?

KELLERMAN: Yes.

ROBERTS: But the close call with Halladay was in the fifth inning. So you talk about a principle that the umpire applied to Larson.

KELLERMAN: Well, Steven J. Gould wrote, the famous scientist wrote, years later in defense of the call that truth is -- the question was, is truth spot or circumstance? And Steven J. Gould argued that truth is circumstance and too close a pitch given the circumstance for the batter to take. In this case, it did occur in the fifth inning and it was probably a ball. But, you know --

ROBERTS: But you don't know he's going to have a perfect game.

(CROSSTALK)

Kellerman: You don't know he's going to have a perfect game. And you can easily argue, you know, the more obvious argument which is hey, the umpire doesn't have to be worried about the circumstance. Call ball is right -- which is what the umpire did.

It was, by the way and we keep pointing out this morning that it was almost a perfect game. It was a no-hitter.

CHETRY: Yes, I know. That's amazing. It was a no-hitter and I mean a lot of credit goes to the fielders too and the catcher. I mean everybody -- they were just great.

KELLERMAN: Carlos Ruiz is an excellent defensive catcher; Halladay gave him a lot of credit for calling a good game. He made a nice play.

ROBERTS: Yes.

KELLERMAN: And the throw to first base.

ROBERTS: Sure did. That saved him.

KELLERMAN: And this, by the way, incidentally, this is Halladay's second no-hitter of the season. The first was a perfect game in the regular season; that's also never been done before.

ROBERTS: Amazing.

(CROSSTALK)

KELLERMAN: Phenom.

ROBERTS: Yes. All right.

CHETRY: Stay healthy -- stay healthy Halladay if you're a Phillie fan. Thanks.

ROBERTS: That's going to wrap it up for us. Thanks so much for joining us today. We'll see you again bright and early tomorrow morning.

CHETRY: It's Friday tomorrow.

ROBERTS: Yes. Well, at last.

CHETRY: We'll make it.

"CNN NEWSROOM" with Kyra Phillips starts right now.