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Obama to Push Health Care; Target CEO Talks U.S. Economy; Rapist Goes Free after 31 Days; California Raising Minimum Wage; A Conversation with Bill Clinton

Aired September 26, 2013 - 09:00   ET

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


(BEGIN VIDEOTAPE)

CAROL COSTELLO, CNN ANCHOR: Debt ceiling. Are we really here again?

Also, wage race.

UNIDENTIFIED MALE: This could very well kill any recovery that we have.

COSTELLO: California upping its minimum wage to 10 bucks an hour. The first raise in five years.

Plus, Clinton gets candid.

BILL CLINTON, FORMER PRESIDENT: They believe that they don't have to get anything done.

COSTELLO: Bill Clinton on politics, Putin, guns and Bono?

CLINTON: You know, we've been friends a long time and it's not the first time he's made fun of me. But he's getting better at it.

COSTELLO: Plus, find out what he says about another Clinton run for the White House.

PIERS MORGAN, CNN'S PIERS MORGAN LIVE: Who do you think might make the better president? Your wife or your daughter?

COSTELLO: And the return of Alex P. Keaton.

MICHAEL J. FOX, ACTOR: This whole discussion is irrelevant.

COSTELLO: Michael J. Fox and his big return to TV.

NISCHELLE TURNER, CNN ENTERTAINMENT CORRESPONDENT: What's it been like?

FOX: It's been a lot of hard work but it's been -- it's been satisfying.

COSTELLO: A new show and a new message.

You're live in the CNN NEWSROOM.

(END VIDEOTAPE)

COSTELLO: Good morning. I'm Carol Costello. Thank you so much for joining me.

It has been an uphill battle from the start. And now five days before one of the cornerstones of the Affordable Care Act goes into effect, President Obama will play salesman.

In the next hour, the president will push the benefits of Obamacare because starting next Tuesday, Americans can start signing up for insurance through federal health exchanges.

The president's speech comes as some Republicans do everything possible to derail and defund Obamacare.

Senior White House correspondent Jim Acosta joins us now. He's at the -- there you are --

(LAUGHTER)

At the White House.

JIM ACOSTA, CNN NATIONAL POLITICAL CORRESPONDENT: I'm at the White House.

COSTELLO: Pretty sure you were at the White House. But you are.

Good morning, Jim. Tell us more.

ACOSTA: Good morning, Carol. Well, the president is going to be just outside the nation's capital later on this morning. He'll be at a community college in Maryland to tout the benefits of what they describe as the next milestone in Obamacare. These new health insurance marketplaces that are going to be available online to consumers.

Basically the uninsured in the next five days, on October 1st, those marketplaces go online. He will be able to go on there and compare the prices of these plans. And then buying insurance if they don't have coverage. And all of this comes as big sales pitch comes from the president as new polls show his popularity is taking a dip.

A new CNN Poll of Polls shows the president with only a 45 percent approval rating, 49 percent disapproving of the job that he's doing as president. Other polls, there's a new CBS/"New York Times" poll out that shows a majority of Americans still disapprove of the health care law. Only 20 percent said they know a lot about the law.

And so the president, that's part of his job right now to get the word out about these new insurance marketplaces. Meanwhile, one of the other chief promoters of the law, Health and Human Services Secretary Kathleen Sebelius, she was on CNN's "NEW DAY" earlier this morning.

She said a lot of this opposition stems from what she called misinformation. Here's what she had to say.

(BEGIN VIDEO CLIP)

KATHLEEN SEBELIUS, SECRETARY OF HEALTH AND HUMAN SERVICES: What we've seen for 3 1/2 years is a relentless battle driving misinformation, both from opponents of the law itself and a lot of media and now paid advertising continuing to give the American public information that just isn't correct.

(END VIDEO CLIP)

ACOSTA: Now there may be some new glitches when these marketplaces are rolled out, Carol. In "The Washington Post" this morning, there's an article talking about how here in the District of Columbia, their online marketplace is already experiencing glitches so you may hear the president talk about that.

He's talked about that in the past saying that not everything will be perfect once all of these different aspects of Obamacare are rolled out, but he will likely also get feisty, perhaps with Republicans and some Democrats worried about a government shutdown up on Capitol Hill.

The White House saying the president will, quote, "cut through all of the noise coming out of Washington over Obamacare." If you read between the lines there it almost sounds like they're talking about that filibuster-like speech from Ted Cruz yesterday -- Carol.

(LAUGHTER)

COSTELLO: I think so. Jim Acosta, reporting live from the White House this morning. Thank you.

Congress' inability to compromise on just about anything is of course more than political theater because it affects all of us. The Dow has lost more than 400 points in the last five sessions because Wall Street is jittery over a possible government shutdown and debt default.

I got that word firsthand when I sat down exclusively with Gregg Steinhafel, the CEO of Target. The second largest retailer in the country.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: One, two, three.

COSTELLO (voice-over): It's a great day for C.L. Gideons Elementary School kids in Atlanta where a smile could be had for a song.

UNIDENTIFIED FEMALE: What do you got? You got me, baby, and that's a lot.

COSTELLO: Target, as part of its billion-dollar commitment to education, revamped the school's library and even stocked the shelves.

GREGG STEINHAFEL, CEO, TARGET: Giving back is part of our DNA.

COSTELLO: It's perhaps the most enjoyable part of Gregg Steinhafel's job as the CEO of the nation's second largest retailer. The rest is challenging. But running any kind of business in an uncertain economy ain't fun.

STEINHAFEL: We were very encouraged in the beginning of 2012 and we got off to just a fantastic start and it seemed like the economy is really starting to gain some momentum and things softened up in the last half of 2012. And I think that we were expecting 2013 to improve more than it has.

COSTELLO: So Target is cutting back on holiday hiring. This year it plans to hire about 70,000 temporary workers, down from 88,000 a year ago. Instead, Target will offer more holiday hours to full-time staffers.

Steinhafel insists the change is not because he expects sales to be down but because shopping habits have changed.

STEINHAFEL: This is a time where there is greater transformation going on in our business than we've seen in a long time. And it's really the convergence of a lot of factors. It's the -- it's the physical retailers needing to be more digital retailers and it's digital retailers wanting to be more physical and bringing merchandise close to their guests.

COSTELLO: Steinhafel's company is also grappling with Washington and what he feels is an inability to come up with a cohesive plan for the economy. And then there's Obamacare.

STEINHAFEL: You spend a lot of time in Washington helping to shape that legislation and to provide credibility around what is a large employer -- what are the challenges that -- that faces Target. Clearly, we're going to comply with everything, but our objective is really to help make the legislation better.

COSTELLO (on camera): A lot of companies are saying part-time workers, you know, go to the insurance exchange to sign up. We're not going to foot the bill anymore.

So what is Target's stance.

STEINHAFEL: Well, we haven't made any final decisions yet because our enrollment period is a little later than everybody else. So we're still looking at how the law is being shaped and written, what other competitors are doing and we're assessing the landscape to try and determine what's the right thing for us to do as a company.

COSTELLO: A company that still has a major challenge ahead. Attracting holiday shoppers at a time when Target's retail sales have been soft. Key to turning target's signature red into black. (END VIDEOTAPE)

COSTELLO: And even though Steinhafel says Target has not yet made a formal decision on health care, he does say Target continues to work the Obama administration on tweaking the Affordable Care Act or Obamacare.

ANNOUNCER: This is CNN breaking news.

COSTELLO: And breaking news into the CNN NEWSROOM this morning. Human remains have just been found on the "Costa Concordia." The massive cruise ship ran aground off the coast of Italy in January of last year. Thirty-two people were killed and two people were never found following the disaster.

The crew has pulled the ship upright last week. DNA tests have to be used to confirm the identity of the remains just found. Officials say it's unclear if the remains come from one body or two.

A 16-year-old Nevada boy accused of killing his mother and 9-year-old brother is now in police custody. Police say they found Adrian Navarro Canales in a food court near the Las Vegas Strip. He'd been on the run since last week and will be charged as an adult with two counts of murder.

A 3-year-old boy shot in the face during a mass shooting in Chicago is now recovering at home. Deonta, Howard's mother, says it is a miracle he survived. He had two surgeries but will need many, many more in -- over the course of 15 years. His mom says he's afraid to go back to the park but he's in good spirits.

(BEGIN VIDEO CLIP)

DEONTA HOWARD, 3-YEAR-OLD SHOOTING SURVIVOR: Say good night, world.

UNIDENTIFIED FEMALE: Thank you, office. Thank you.

HOWARD: Thank you.

UNIDENTIFIED FEMALE: Thank you.

UNIDENTIFIED FEMALE: Say you love them.

HOWARD: I love you all.

(END VIDEO CLIP)

COSTELLO: Twelve other people were shot in the park last week. Police have arrested and charged four men.

In about two hours, a former teacher sentenced to just one month in prison for raping a 14-year-old student will walk free. Stacey Rambold admitted to raping Cherice Moralez. She committed suicide before this trial. The case has outraged people across the country because the judge said the 14-year-old seemed older than her chronological age and was in control of the situation.

CNN's Kyung Lah has more from Billings, Montana.

(BEGIN VIDEOTAPE)

KYUNG LAH, CNN CORRESPONDENT (voice-over): For the last 31 days, prison has been Stacey Rambold's home and later this morning the former high school teacher is set to walk out, having served just one month behind bars for raping his 14-year-old student Cherice Moralez. As she waited for her teacher to face trial, Moralez's mother says Cherice was tormented by bullying and victim blaming. Before Rambold's case was heard, Cherice Moralez committed suicide.

AULIEA HANLON, MOTHER: She's beautiful. But hopefully, he'll get justice. I hope.

LAH: Justice has failed at every step, says Cherice's mother. Not only did she lose her daughter, but then the judge, Todd Baugh, handed down the short sentence saying Moralez looked older than her chronological age and was as much in control as the then 49-year-old Rambold.

(On camera): Hi. I'm Kyung Lah from CNN.

(Voice-over): The judge who has ducked CNN's questions has since admitted the sentence may have been illegal. State laws mandate a two-year minimum for this crime.

The sentence and the judge's comments sparked national outrage. Earlier this week, petitions with 140,000 signatures were delivered to a Montana judicial watchdog panel demanding Judge Baugh's removal. In the courts prosecutors have appealed Rambold's sentence to the state's Supreme Court, hoping to send him back to prison. And for the victim's mother, a cry for justice. A hollow search along a trail of anguish.

(On camera): Does that pain ever fade?

HANLON: No. No. I think we just get used to it, so you don't cry every day.

(END VIDEOTAPE)

LAH: Now Cherice's mother is bracing for what she is anticipating will be a horrible day. Billings is not that large of a town. She is terrified, Carol, of the possibility that she could run into her daughter's former teacher -- Carol.

COSTELLO: Kyung Lah reporting live from Montana this morning.

Forget the traditional image of the minimum wage worker. You know, the teenager flipping burgers after school. Because 9 out of 10 California minimum wage workers are at least 20 years old. And to help them make ends meet, the state is now raising the minimum wage to $10 an hour. That would be the highest minimum wage in the entire country.

Alison Kosik is at the New York Stock Exchange to tell us more.

Good morning.

ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Good morning, Carol. And that means California's minimum wage workers will soon become some of the best paid in the country. Now this is going to happen in stages because the current minimum wage in California is $8. It's really been stagnating right at that level for about five years. It's going to rise to $9 by July of next year and then will eventually get to that $10 mark by January of 2016.

Now Jerry Brown signed this into law yesterday. He's calling it a wonderful thing. Especially when you look at the cost of living in Cali. It's one of the high actually in the country. The new minimum wage actually surpasses what Washington state's minimum wage is, which is currently $9.19. That is the highest in the nation at the moment, though in Washington state, that's also set to increase.

Now raising minimum wage always a very contentious topic. Not without its critics who say raising it is unfriendly to businesses and that employers are going to have to cut hours and hire fewer workers to cover the cost of the increase. They say that's not something California can afford right now where the jobless rate right now is 8.9 percent.

But you have to remember, what you mentioned, Carol, the traditional minimum wage worker, you know, that teenager, is really being overshadowed by the reality that the bread winner of many families is now the typical minimum wage worker who is barely making ends meet -- Carol.

COSTELLO: Alison Kosik, we're going to be talking more about this in the next hour of NEWSROOM, too, with the man who authored the bill to raise the minimum wage and, of course, somebody who is vehemently opposed to it.

Alison Kosik, thanks so much.

It's been called one of the greatest comebacks ever in sports. And it unfolded in the America's Cup, the world's most prestigious boat race series. Oracle Team USA had trailed 8-1 but never gave up. It won seven straight races. Seven straight races. To tie the series with Emirates NEW Zealand. And then Oracle team USA pulled off a fairy tale ending, winning the final race and the American Cup.

Congratulations.

Still to come in the NEWSROOM, the stripper and Cory Booker. Newark's mayor gets into a Twitter flirtation with an exotic dancer and self- described weirdo. The very odd story after a break.

(COMMERCIAL BREAK)

COSTELLO: Checking our top stories at 17 minutes past the hour.

Prosecutors might present more evidence today at a hearing for Ernest Wallace. Wallace has pleaded not guilty to an accessory charge in the Aaron Hernandez murder case. Hernandez, a former New England Patriot, has pleaded not guilty and is being held without bail.

Can the Postal Service be saved? Starting next hour, a senate panel will look at possible reforms for the agency. Postal service is now proposing a 3 cent rate hike on stamps starting in January. That would raise the cost of mailing a letter to 49 cents. So far, the Postal Service has lost $3.9 billion in the current fiscal year.

Just a week into autumn, but guess what? It looks a whole lot like winter out West. Up to a foot of snow could fall in parts of three states.

CNN's Indra Peterson joins me now.

I don't think we're ready for this yet.

INDRA PETERSONS, AMS METEOROLOGIST: I don't know about you, but I can tell you, I definitely am not ready for this. Everyone keeps laughing at me out here because I have not lived in seasons yet, Carol. A little scary, right? Yes, I know.

And this is a very early storm for even the Pacific Northwest. I mean, they have already seen a foot of snow in the Tetons in Wyoming. Yosemite, you've got about six inches already. And this is not the end of it.

This big cold Pacific Northwest storm is still producing some snowfall. So, another one to maybe three inches in the lower elevations. But above 7,000 feet, still the chance for another foot, mainly out towards Wyoming today as the system moves off to the east.

The big story, it is cold out there. We're talking about temperatures a good 15 degrees below normal. The concern here, though, as we move in towards tomorrow, you have below normal temperatures next to above normal temperatures. We'll start to see some storms firing up along that front line -- Carol.

COSTELLO: We'll be ready. Thank you, Indra.

Still to come in the NEWSROOM: turn about is fair play. Bill Clinton gets back at Bono.

(BEGIN VIDEO CLIP)

BILL CLINTON, FORMER PRESIDENT OF THE UNITED STATES: Well, I'm Irish, you know. And we Irish, we can imitate anybody.

(LAUGHTER)

But alas, I've been singing so long and screaming loud at these concerts that I'm hoarse.

(END VIDEO CLIP)

COSTELLO: He, kind of, sounds like an Irish Al Pacino to me.

Anyway, we'll hear here from the former president's sit-down with CNN's Piers Morgan. We'll be back.

(COMMERCIAL BREAK) COSTELLO: The former President Bill Clinton says there is a reason for dysfunction in Washington. Bill Clinton believes restructuring voting districts has created an atmosphere where lawmakers don't have to work together.

Clinton talked with CNN's Piers Morgan.

(BEGIN VIDEO CLIP)

PIERS MORGAN, CNN HOST: There is a sense that is never been more dysfunctional, more divisive, more personally abusive. Ted Cruz, for all I know, is still banging on now trying to, you know, get Obamacare defunded, and so on. Even when most of his party think he is crackers.

What is the way you and Newt Gingrich eventually --

CLINTON: For once in a while I'm extremely grateful for your British roots.

(LAUGHTER)

I couldn't have said that with a straight place and pulled it off. That is great.

MORGAN: All right, I'm happy to help, Mr. President.

What is the ways first, you and Newt Gingrich eventually worked it up between you -- how do you get stuff done in this dysfunctional Washington?

CLINTON: We worked it out when he was trying to run me out of town. We we're still working together. I mean, I knew it was a -- it was a game to him. He thought, you know, he would -- as he looked -- he once said to Erskine Bowles, the difference between us is that we'll do whatever we can and you won't do that. You think there are things you shouldn't do.

And once I realize what the deal was I let him do whatever he could and then we did business on the side.

And you're laughing but that's really -- we reached an accommodation. But at that time, because they shut the government down twice and because they wish to hold on to their jobs, the Republican, they wanted to maintain their majority, they believe they had to show up for work and get something done.

This reapportionment has created a climate particularly in the House of Representatives, but also in some of the states where there is -- they're basically one party states where they believe that they don't have to get anything done. They just believe that they have to demonize the opposition and say whatever they're going to say.

(END VIDEO CLIP)

COSTELLO: Piers also asked Clinton about the political future of the two women in his life.

(BEGIN VIDEO CLIP)

MORGAN: Who do you think might make the better president, your wife or your daughter?

CLINTON: The day after tomorrow, my wife because she's had more experience. Over the long run, Chelsea, she knows more than we do about everything.

(LAUGHTER)

(APPLAUSE)

And there was -- and there was a time in her childhood when I thought maybe she thought she did when she didn't, now it's highly embarrassing because she in fact does.

(LAUGHTER)

So, I feel like I'm going to school everyday when we have a conversation.

MORGAN: I met your wife for the first time and your daughter today and she looks fantastic, she looks completely re-invigorated, she seemed absolutely on fire with ideas and dynamism and so on. And it just screamed to me one thing -- I'm running.

Can you put as all out of our misery?

CLINTON: No.

(LAUGHTER)

But it should have screamed to you something else -- real life is a healthier existence than politics.

(END VIDEO CLIP)

COSTELLO: And then there was a lighter moment during the interview where Mr. Clinton got back at Bono, because remember on Tuesday, the U2 front man delivered a spot-on impression of the former president.

(BEGIN VIDEO CLIP)

BONO, U2: He walked into the Oval Office and actually, I thought it was a member of his own road crew. It wasn't really dressed right. Actually, I felt like the rock star on that occasion.

MORGAN: What was your reaction when you heard bono pretending to be you?

CLINTON: It was pretty good.

(LAUGHTER)

You know, we've been friends a long time, and it's not the first time he's made fun of me, but he's getting better at it.

MORGAN: Your daughter just informed me, in fact, all of us, that you do a pretty good bono impression. This is your chance, Mr. President.

(LAUGHTER)

CLINTON: Well, I'm Irish, you know. And we Irish, we can imitate anybody. But alas, I've been singing so long and screaming loud at these concerts that I'm hoarse. So I got to be careful with my voice. That's why all my charities only have three letter names.

(LAUGHTER)

(END VIDEO CLIP)

COSTELLO: He still sounds more like Al Pacino to me. What can I say?

Chelsea Clinton will be Piers' guest tonight, 9:00 p.m. Eastern.

Still to come on the NEWSROOM: as the clock winds down to the start of Obamacare, the president once again tries to sell a skeptical America on the plan. We are expecting to hear from Mr. Obama in the next hour. What should he say? And will Americans listen?

(COMMERCIAL BREAK)