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Military Benefits Targeted in Bipartisan Budget Deal; Obama Enlists Videos, Moms to Sell Obamacare to the Young; Elizabeth Warren Wants Employment Credit Checks Stopped; Obama Picks Gay U.S. Delegates to Attend Olympics in Russia

Aired December 18, 2013 - 13:30   ET

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


DANA BASH, CNN CHIEF CONGRESSIONAL CORRESPONDENT (voice-over): Right savings, wrong targets say some Republicans.

SEN. LINDSEY GRAHAM, (R), SOUTH CAROLINA: Of all the people we could have picked on to screw, how could we have arrived here? How could we have done this?

But Lindsey Graham's best Senate friend and well-known military vet disagrees, effectively asking, how could we not.

SEN. JOHN MCCAIN, (R), ARIZONA: In the words of former secretary of defense, Mr. Gates said that these entitlements in the military are "eating us alive."

BASH: John McCain says this gives him heartburn, but noted military pensions cost $52 billion last year and skyrocketed 49 percent over a 10-year period.

MCCAIN: We're going to have to look at this whole issue of the pay, benefits, and retirement, and all of that, and of members in the military in a prospective fashion.

(END VIDEOTAPE)

WOLF BLITZER, CNN ANCHOR: And Dana is joining us now from Capitol Hill.

Dana, those projected cuts in military pensions don't take effect, what, until 2015. So they have some time to reinstate those cuts next year, right?

BASH: They do. And based on the conversations that we've heard on the Senate floor all day long, it looks like that is very likely to happen. We've heard Senators come on the Senate floor saying they are going to vote for this bipartisan budget because they think it's important to have some kind of consensus and it's important to have certainty in the economy, meaning that the government likely won't shut down for two years. But they noted what you said, that it's actually two years before these kick in, and they've got to try to find some way to find that $6 billion in savings that doesn't affect people who fought in wars for this country. So you've heard that from Democrats and from Republicans. Having a little bit of buyer's remorse even the Senate Democratic chairman of the Budget Committee, Patty Murray, who negotiated said on CNN this morning she's fine with changing it if they can find savings elsewhere. You definitely see a groundswell of desire to do that. And it would not be surprising at all if, when they come back next year, they find a way to do so.

BLITZER: There's plenty other money out there where they can make significant cuts to more than pay for that, including the billions of billions of dollars the U.S. continues to spend, for example, in Afghanistan. $100 billion this past year alone. And that funding is going to continue, assuming that deal is reached with the Afghan government for billions more.

We'll stay on top of the story together with you. I know there's going to be a big debate up on Capitol Hill on it. We'll watch the vote later today, as well. We assume that will pass relatively easily in the Senate.

President Obama's enlisting moms to help sell Obamacare to young people, including the mom-in-chief, Michelle Obama. I'm going to speak with our chief political analyst, Gloria Borger, about this strategy, whether it's likely to help.

(COMMERCIAL BREAK)

BLITZER: President Obama turns to a powerful group to try to help sell young people on health insurance. He's enlisting moms, including the mom-in-chief, the First Lady Michelle Obama. And the president meeting with a group of mothers at the White House in the next hour. It's all part of a major push to try to get younger people to sign up for the Affordable Care Act or Obamacare. The administration is also turning to videos like this.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Your mother and I --

UNIDENTIFIED FEMALE: Have joined a circus.

(SINGING)

UNIDENTIFIED MALE: We're deaf punk.

UNIDENTIFIED FEMALE: We're a deaf punk.

I'm a wizard.

UNIDENTIFIED MALE: I'm just a Muggal.

(SINGING)

UNIDENTIFIED MALE: I am the one who knocks.

UNIDENTIFIED FEMALE: Grandma is a dragon.

UNIDENTIFIED MALE: We got matching tattoos.

UNIDENTIFIED FEMALE: We got matching tattoos.

UNIDENTIFIED MALE: So what did you want to talk to me about?

UNIDENTIFIED FEMALE: We know you don't have health insurance.

UNIDENTIFIED MALE: We love you no matter what, but it's time to get covered.

UNIDENTIFIED MALE: That's it? Health insurance?

UNIDENTIFIED FEMALE: It's important.

UNIDENTIFIED MALE: I know. And I'll do it. I just thought -- never mind.

(END VIDEO CLIP)

(LAUGHTER)

BLITZER: Gloria Borger is joining us right now.

Gloria, how much of an effect could all of these efforts, the videos, enlisting moms, actually have in convincing young people, healthy people out there to go ahead and sign up for health insurance?

GLORIA BORGER, CNN CHIEF POLITICAL ANALYST: I'll tell you, the White House hopes it has a tremendous effect, Wolf, because in order to make this law work, they need to have those young healthy exchanges, like the young man you saw in that video. He needs to join a health care exchange to help pay for the older, sicker people who are going to be covered under Obamacare. So that's why they're pushing.

Michelle Obama, look, is very popular. She's a lot more popular than her husband. She's a mother. She can talk to women. I think women, there's a theory that women are the one who kind of nag their kids. Of course, I wouldn't know that personally. But they nag their kids to get things like their health care coverage.

BLITZER: Yes, you know the administration has set a deadline of next Monday to be able to sign up and make sure that everyone has -- people who are signed up by Monday have health insurance starting January 1st. How is that working out?

BORGER: You know, you're getting a lot more people enrolling than you had, of course, at the beginning. But that's a very important date, Wolf, because what they don't want is for people to have any lapses in coverage, particularly if they were canceled, if their health policies were canceled.

We just heard word this morning from some insurers that AHIP, America's Health Insurance Plans, that health plans, according to them, are voluntarily extending the deadline for consumers to pay their first month's premium so that they won't be caught in a bind either if they extend their health care coverage with private insurers.

BLITZER: Obviously, even though the website seems to be doing better, the administration is still having major problems selling Obamacare.

BORGER: Yeah.

BLITZER: Take a look at this "Washington Post"/ABC News poll, do you think the problems with healthcare.gov are isolated or a sign of broader problems? 55 percent see it as a sign of broader problems. 36 percent see it as an isolated incident.

What else can the White House do to fix this image problem they have out there?

BORGER: Look, they have to make it work. I mean, and right now, this is of course, affecting the president's own ratings, because the notion of how competent a manager he is has taken a real hit. The notion of how honest and trustworthy he is has taken a real hit. I think people look at the rollout of Obamacare and the big question they raise is, should we trust the government to manage a program of this size. And this is a real problem if you're a liberal and you believe in big government and, so far, big government has really messed up the roll out of something that is so important to Americans. And so I think they have to get this working. They have to have people feel good about their health care coverage. They have to believe that it's competitive cost wise. And they have to believe that the president has actually delivered what he promised he would deliver.

We won't know for a while, Wolf, what the results are. But in three to six months, we'll have an idea of how the public really feels about this plan.

BLITZER: Yeah, the president still has an opportunity to change that image problem he has --

BORGER: He does.

BLITZER: -- if this thing starts working well.

All right, Gloria, thank you.

BORGER: Thank you.

BLITZER: She's been hand picked by President Obama to represent the United States at the Winter Olympic Games in Sochi, Russia. It's an honor, sure, but it's also a blatant message to President Putin about his stance on gay rights. We'll talk to the ice hockey player, Caitlin Cahow. That's next.

(COMMERCIAL BREAK)

BLITZER: Earlier this hour, Nevada police wrapped up a news conference on that deadly shooting at a medical center in Reno. Police say the gunman walked through the first and second floors of the building and opened fire only when he reached the third floor, indicating the shooting was not random.

(BEGIN VIDEO CLIP)

UNIDENTIFIED LAW ENFORCEMENT OFFICER: The preliminary investigation has revealed that the suspect entered the building, made his way to the third floor, to the Offices of Urology of Nevada. As we have pieced together the information, the preliminary investigation also has revealed that the suspect went past the front desk, into the area of the patient examination rooms, armed with a .12-gauge shotgun. The suspect fired a total of five rounds. One of which appears to be the shot that fatally wounded him. As he moved through the examination area, the suspect fired at least four rounds from the shout shotgun, striking three victims, fatally wounding one and critically wounding two.

(END VIDEO CLIP)

BLITZER: Police say the victim who was killed was a physician and one of the wounded victims was a patient. They have not identified the gunman. Yet or speculated on a motive.

A Harvard University student accused of sending out phony bomb threats to avoid a final exam is making his first court appearance today. 20- year-old Eldo Kim, a sophomore at the prestigious Ivy League school, allegedly sent e-mails on Monday to several Harvard offices warning the bombs were to go off on campus. Bomb technicians carried out an extensive search but found no explosions. Authorities say Kim admitted to the hoax. If convicted, he could face up to five years in prison.

We'll take a closer look at the markets right now. With only a few minutes left until the big news from the Federal Reserve at the top of the hour on whether it will continue the $85 billion a month in economic stimulus programs. Checking the big board right now, the Dow is up only about five points. We'll continue to watch the Dow. Stand by for the important news from the Fed at the top of the next hour.

Protecting the rights of job applicants, one U.S. Senator has stepped up with a new bill looking to stop potential employers from performing one specific background check on potential employees. That's next.

(COMMERCIAL BREAK)

BLITZER: Over the past few years, credit checks have become an important part of the employment process, and bad credit could be an important factor for some companies out there as they decide who to hire. Now the Massachusetts Democrat Senator Elizabeth Warren wants to put a stop to the practice.

Brian Todd is joining us.

Brian, you just finished speaking with Senator Warren. What exactly is she trying to stop and why?

BRIAN TODD, CNN CORRESPONDENT: Wolf, she's introduced a bill that would prevent potential employers from requiring potential employees, applicants to go thru the credit checks to get their job, and it would also prevent potential employers from rejecting an applicant because of a bad credit check. Senator Warren cites several factors in wanting to do this. One of them, she says -- there was a report this year from a left-leaning think tank, called Demos, that said one in 10 unemployed Americans have been denied a job due to the information on their credit reports. Senator Warren points out that a lot of the time, people have bad credit for reasons they can't control or are not their fault, they lose a job, they might lose heath insurance, they might have a family calamity, going through a divorce, things like that, where their credit, their finances get impacted and their credit becomes worse through factors they may not be able to control.

I spoke to Senator Warren a short time ago when she talked about the bill.

(BEGIN VIDEO CLIP)

SEN. ELIZABETH WARREN, (D), MASSACHUSETTS: There have been studies that show no correlation between your credit check -- no or little correlation between your credit check and your ability to do the job.

(END VIDEO CLIP)

TODD: And Senator Warren is proposing an exemption for people who need clearance, some kind of security clearance to get their jobs. She's fine with them having to go through the credit checks but not people who have ordinary jobs who are maybe struggling with these problems that a lot of people go through.

One thing we have to point out is there is opposition to this bill. We just spoke to someone from the National Federation of Independent Businesses. They represent a lot of small businesses. They say the credit checks are an important tool for potential employers for reasons that don't have much to do with people's finances. One of the people there said employers can tell whether you've lied about a job you had in your past, and they can tell through a credit check sometimes about a source of income or something like that, whether someone has lied about a job they had. They say these credit checks are an important screening tool, and they don't want this bill to go through.

BLITZER: What's the expectation? How likely is it the bill will become the law?

TODD: That's a little unclear. Senator Warren introduced the bill yesterday. We're told it does not have bipartisan support in the Senate yet, but this just got introduced so it's very early on in the process, Wolf. Not sure about the House side yet, either. There are some 40 organizations, though, advocacy groups for people seeking employment and things like that, and for others, that do support this bill. So there is a lot of support initially out there, outside of Congress. How it fares in Congress, that's another story.

BLITZER: Certainly is.

All right, Brian. Thank you. As we told you earlier, the Obamas won't be attending the Winter Olympic Games in Sochi, Russia, in February. Instead, some of the picks for the U.S. delegation seem to be a direct response to Russia's controversial anti-gay laws. The White House Press Secretary Jay Carney said, just a few moments ago, that the choices are only meant to reflect the diversity of the United States.

Joining us now is the former Olympic medal winning hockey player, Caitlin Cahow.

Caitlin, thanks very much for joining us.

I know you're opening gay. You'll be part of the opening delegation attending the ceremonies, the opening and closing ceremonies. What do you think? What is your initial reaction, for example, for having been selected by the president?

CAITLIN CAHOW, FORMER OLYMPIC HOCKEY PLAYER: Well, first off, Wolf, thanks for having me. It's an incredible thrill. It's a deep honor for me to represent my country. I did it at two Olympics and I'm just thrilled to even be considered as part of this great group of delegates. I can't wait to go to Russia and support Team USA and show the nation and the world what American athletes are capable of and what we stand for back home.

BLITZER: Clearly, you'll be sending a message to the people of Russia, especially those who support this anti-gay propaganda law that was recently enacted that has caused so much criticism around the world, right?

CAHOW: Absolutely. I think that the president's decision to send the delegation he has is definitely a statement, albeit, a respectful one in many ways, allowing the athletes to take center stage and allowing the delegates to do their job and support them.

At the same time, he is making a statement about what the United States will tolerate and the kind of rights that we espouse, and I think in addition to making statements in Russia, it's a great opportunity for us to put the mirror to our own faces back home and say we have come a long way. It's been remarked, but we have a lot more to do, and we'll take the enthusiasm and inspiration from the Olympic Games and bring it home and get back to work.

BLITZER: You were never among those who were calling for a boycott of the winter Olympic Games because of the anti-gay laws in Russia right now, right? You never supported any boycott?

CAHOW: No, I didn't. In fact, in statements I made about this, likening the situation to Jesse Owens in Germany. He didn't go over with the view he was going to protest and make a scene. He went over and competed peacefully and won and demonstrated the greatness of who he was.

I think the athletes headed to Sochi are there to do the best they can and compete and win and represent the country, and just show the greatness of American athletes. BLITZER: Will you be making any statements, do you think, when you're in Russia during the winter Olympic Games? Supporting equal rights for gays and sending a direct message to the people of Russia or will you be mostly on the sidelines watching the games, ice hockey in particular, and the other sporting events?

CAHOW: My number-one goal is to support the athletes, my teammates, all of Team USA, and to represent my country with dignity. If that means making a statement, then so be it, but my main goal is to go over and be as supportive as I can and be in Russia and have my presence there demonstrate that this sort of regulation won't be tolerated in the United States because we believe in dignity and equality. That's what we're sending over with our athletes, we're sending those values.

BLITZER: I know you suffered some concussions and you had some serious medical problems. How are you feeling right now, Caitlin?

CAHOW: Actually, Wolf, to be honest, I sat a three-hour long constitutional law exam, so I'm doing OK, as OK as I'd could be. I've had a really tough road with concussions, with serious injury, something I do hope to speak about as part of this delegation, but I'm doing great and looking forward to a great experience in Russia.

BLITZER: How did you do in that? I know you're at Boston College Law School. You are a graduate of Harvard. How did you do on that constitutional law exam?

CAHOW: I don't know. Maybe we can give a shout out to my professor. But it's blind grading, so I'm not sure it would help. I think I did pretty well. A lot of it was on the 14th Amendment, so I feel like I have been pretty well versed as of late in a lot of these issues.

BLITZER: We need another lawyer in the United States, as you well know, right?

CAHOW: Yeah, so I've heard. So I've heard.

(LAUGHTER)

BLITZER: All right, Caitlin, thanks very much. I know you'll do an excellent job representing all of us in Sochi, in Russia. Enjoy the Winter Olympic Games and cheer on our team. We'll all be cheering from back here as well.

Thanks so much for spending a few moments with us.

CAHOW: Thank you, Wolf.

BLITZER: A terrifying close call for a blind man and his service dog. Cecil Williams and his Labrador retriever fell on a set of subway tracks in New York right as a train was approaching. An alert MTA employee rushed over, told the man to lie still between the rails and not try to climb out. The conductor of the approaching train applied his brakes when he saw Williams, but couldn't avoid running over the tracks where Williams and his dog were lying. Rescue crews managed to pull out both of them. Neither were seriously hurt. Williams' girlfriend calls it all a miracle.

Before we go, this quick reminder. We need your votes for the top stories of 2013. Go to CNN.com/yir for "Year in Review." There, you'll see 20 of the biggest news stories of the past 12 months. We need you to choose 10. Results will be announced online and on TV on December 30th, 9:00 a.m. eastern.

That's it for me. Thanks very much for watching. I'll see you at 5:00 p.m. in "The Situation Room."

NEWSROOM continues right now with Brooke Baldwin.