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Candidates on Eleventh Hour Sprint for Iowa; Hillary Clinton Holding Rally Now in Ames, Iowa; New Cruz Ad Calls Rubio "The Republican Obama"; Rubio Rallying Supporters in Council Bluffs; Donald Trump Sends a Message to Evangelicals in Iowa; Jeb Bush About to Speak to Veterans in Iowa; Concerns Over Water Causing Cancer in one New York Town; Michigan Governor Speaks Out on Flint Water Crisis; Looking Into Ted Cruz's Canadian Roots. Aired 1-2p ET

Aired January 30, 2016 - 13:00   ET

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


[13:00:01] FREDRICKA WHITFIELD, CNN ANCHOR: Thanks so much for being with us, we have complete coverage from Iowa this hour.

The candidates are fanned out across that state in a last-minute push to get voters on their side before the caucuses.

Live pictures right now of rallies for Hillary Clinton and Marco Rubio, which are about to get underway there. Clinton just picked up an endorsement, in fact, from "The New York Times" editorial board, as did Republican John Kasich for the GOP nominee.

Jeb Bush is also already to his -- on his way to a second event of the day in Clear Lake, Iowa. In fact, let's go out to Des Moines, Iowa, right now and that's where we find our John Berman.

It is a very busy day on the trail for all the candidates who are trying to -- if they haven't turned heads already, they're trying to make it happen at least today and tomorrow before the caucusing.

JOHN BERMAN, CNN ANCHOR: Yes. They sure are. They are all out today. We've seen so many events, so many still to come. And we're getting a lot of great interviews. These candidates talking to CNN. Why? Because they want to send a last-minute message to the voters here.

CNN just caught up with Hillary Clinton. Hillary Clinton about to take the stage in Ames, Iowa, home of Iowa State University. Hillary Clinton spoke to CNN digital reporter Dan Merica about the later swirling e-mail controversy, 22 e-mails held by the State Department, saying they contain or they now contain top secret information.

Our producer asked could these e-mails provide political fodder for the Republicans. Listen.

(BEGIN VIDEOTAPE)

HILLARY CLINTON (D), PRESIDENTIAL CANDIDATE: Changes anything. So if there is some kind of motivation it is not going to affect the fundamental facts because they remain the same. There have been as others have pointed out some constant leaking but my view on this, Dan, is I didn't send or receive any e-mails marked classified. I take classified information really seriously. And I just think that if the Republicans want to use this for political purposes, that's their decision, but I'm going to keep talking about what the voters in Iowa talked to me about.

DAN MERICA, CNN DIGITAL REPORTER: So on politics now, you obviously ran in 2008, didn't work out how you would have liked it. How does this feel different than your 2008 campaign?

CLINTON: I feel really good about my campaign here in Iowa. We've had an amazing grassroots organizing effort. I'm so proud of all the people who have put it together, and literally tens of thousands of volunteers that they've enlisted. I think I'm different and perhaps a better candidate. So I hope that also shows.

MERICA: How so?

CLINTON: Well, I think that I learned a lot. But also I have some additional experience that is incredibly relevant to being president and commander-in-chief. Those four years as secretary of state gave me a front row seat, the opportunities and the perils that we face in the world. So I feel really confident and very much ready to do the job.

MERICA: One similarity between '08 and today is you argued back then that you were the most prepared, you were the most electable, something similar to what you're doing right now. It didn't work out back then, why is it going to work out this time?

CLINTON: Well, I think people know we have to preserve and further the progress that has been made under President Obama. I don't think the great majority of Democrats or open minded independents want us to rip up what we've achieved, digging our way out of the recession we were put into it at the end of the last Republican administration, winding down wars, trying to be smarter about how we protect ourselves, building on the Affordable Care Act, and so much else. And I don't think most persons want to turn the clock back on the rights that have been gained.

MERICA: Different now than it was in '08 and does that benefit you?

CLINTON: I think that there is an unsettled mood, we're certainly seeing that over on the Republican side, the kinds of things that are being said and proposed by all of the Republican candidates, so yes. Every election has its own mood, but I think for most Americans they can't wait for progress. They can't wait to get prescription drug costs down. They can't wait for good jobs with rising incomes.

You know, they can't wait around while we get thrown into another contentious national debate or while the Republicans try to dismantle the progress we've made.

MERICA: You've mentioned Obama a couple of times in this interview, let alone on the stump. You read the Politico interview he did. Do you feel like you have his support? CLINTON: Look, we started off as rivals as you know, fought a hard

campaign against each other. And then when he won, I immediately went to work to get him elected. I was surprised when he asked me to be secretary of state. We became close partners in his administration and we became real friends, and I have a very high level commitment to making sure that he is recognized for his accomplishments. I don't think he gets the credit he deserves for saving the economy.

[13:05:03] And I will stand up against Republican attacks on him personally and on his record. I know how hard it is to do what he's accomplished, and I want to build on that. I don't want us to go back. I want us to keep going forward.

(END VIDEOTAPE)

BERMAN: Really interesting. That was CNN digital reporter-producer Dan Merica speaking to Hillary Clinton just moments ago. Hillary Clinton has a big event in Ames, Iowa, in just a few minutes. She's appearing with former member of Congress, Gabrielle Giffords, and Mark Kelly. She will be speaking about gun control.

Our Jeff Zeleny, senior Washington correspondent is there in Ames. I'm joined by CNN political commentator Patti Solis Doyle who was a campaign manager for Hillary Clinton back in 2008. Also with us CNN political analyst John Avlon.

Jeff, that was a meatier interview than I thought. Hillary Clinton had a lot to say to Dan right there. What did you hear?

JEFF ZELENY, CNN SENIOR WASHINGTON CORRESPONDENT: I was struck most, John, by her reflection about the differences between 2008 and now. She said perhaps I am a better candidate and I certainly have more experience. So a little more reflective than we've heard for awhile, but that is the Hillary Clinton you see out here on the campaign trail. Just in recent weeks and months. But she is a sharper and better candidate than she was then.

But, John, the question is, this argument of experience is one that voters don't always recognize right away. It didn't work for her eight years ago. They sided with Barack Obama who had less experience than her. So the question now is, if it's going to work this time. But I think she was very reflective about the mood of the country. And -- but her campaign seems in the last couple of days or so to be more slightly more confident, and I think she's more confident than she was even at the beginning of this week here, John.

But this is so tight, it's so close. Both campaigns are watching for this "Des Moines Register" poll to come out this evening. It's certainly viewed as the gold standard of Iowa polling here and that is going to give a sense of how this race is shaping up between Senator Sanders and her. But very reflective there from her as she makes her way to Ames here today, John.

BERMAN: Yes. Very interesting, Jeff.

Patty, you know, Dan Merica got that interview because he's an intrepid reporter, but he also got it because Hillary Clinton wanted to send a message out. I'm wondering if she talked to Dan to talk about the e-mails, I want to talk about the e-mails now, still early in this campaign to get it out there so I can focus on the other things they don't want to focus on. And what you said about the e- mails essentially these are Republican attacks.

PATTI SOLIS DOYLE, CNN POLITICAL COMMENTATOR: Well, look, I think there's three important things about the e-mail. One, the facts haven't changed, right? She didn't send or receive classified information at the time that they were sent. Two --

BERMAN: Well, one fact is changed. The State Department is withholding these e-mails now, saying that there is top secret information in them right now. That's the --

SOLIS DOYLE: But after the fact. It was classified after the fact. Two, Senator Feinstein who actually has read these e-mails said that none of the e-mails originated with her, which I think is important. And I think the third saying the most important for our purposes here in beautiful Des Moines, Iowa, is that Democrats don't care about this issue. They just don't. They -- Democrats trust her. So I don't think it's going to have a huge effect on the Iowa caucuses, which is what we're here right now. And you have to win the nomination to already get into the general. And of course in the general, this will be a bigger topic.

JOHN AVLON, CNN POLITICAL ANALYST: But the e-mails have been a drag on her over the course of this campaign, and not only with Republicans who are, you know, inclined to be on her side from the giddy up, but at the town hall we saw that Bernie Sanders' supporters come up and speak about how young voters didn't know whether she was necessarily honest. The e-mails have contributed to that.

But I think the State Department push off of those dates saying there's classified information and the fact that it is still not a settled matter with regard to the status of the investigations. Those are real. Those can't be just, you know, ignored. Whether it has determinative impact tomorrow night, we'll see, but that is still hanging over this campaign.

BERMAN: Patti, what about Hillary Clinton's comment that she thinks she's a better candidate now than she was eight years ago. You were there.

SOLIS DOYLE: Yes .

BERMAN: Eight years ago.

SOLIS DOYLE: I think she is. I think she really is. I think she's far more comfortable in her own skin. I think that four years as secretary of state has made her more confident on issues, you know, she has broad knowledge on international issues, on issues of national security and on foreign policy. And I think, you know, she's done it before. She knows what it's like, she knows what it means to have 20- hour days on the campaign trail. She knows how to interact with voters. I mean, she's just much better at it. And you can see that on the trail.

BERMAN: John?

AVLON: One other tell from that interview that I thought was interesting, you know, she made a point of reaching out to open-minded independents. You know, we forget in this play to the base environments that there are more independents in Iowa than there are Democrats and Republicans. And they can register with the party or participate in the caucus. So as you're looking to expand your base, as you're facing a Bernie Sanders surge, wondering how many more voters he's going to bring to the table, that's vitally important for the candidates to keep in mind because rmemeber the last time as Patti well knows, it was a relatively crowded field. There's John Edwards.

SOLIS DOYLE: Right.

AVLON: There's Barack Obama.

SOLIS DOYLE: Yes .

AVLON: The fact that this is neck-and-neck with Bernie Sanders is sort of surreal, so the fact that she's specifically reaching out to open-minded independents I think speaks to the deeper strategy.

[13:10:04] BERMAN: John Avlon, Patti Solis Doyle, Jeff Zeleny, thanks so much.

And big props to Dan Merica for getting that interview because it's really interesting to hear from Secretary Clinton at such length just two days before the caucuses here.

She of course is not the only one on the campaign trail. Hillary Clinton is not the only candidate in Ames right there. Senator Ted Cruz has got an event going on right now. You can see him right there. There's a live event there. Senator Cruz spending a lot of time in recent weeks trying to suggest that he is the most conservative candidate, the hero of evangelicals.

Up until about two days ago when he was talking about his opponents, though, he was talking mostly about Donald Trump. Well, that all changed. That all changed in the last 24 hours. Now he's got campaign ads up against Marco Rubio, his campaign staff saying things about Marco Rubio. Him, too. Here's a sample.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Caucus for Cruz to undo Obama's damage. Marco Rubio's different. The Republican Obama, the champion of Obama's amnesty and led the Gang of Eight.

(END VIDEO CLIP)

BERMAN: Yes. "The Republican Obama," that ad now running all across the state. Those are not kind words in a Republican primary.

Want to bring in CNN's Sunlen Serfaty. Talk to me about the ad, talk to me how it compares to his message on the stump today, Sunlen.

SUNLEN SERFATY, CNN NATIONAL CORRESPONDENT: Well, it's interesting, John. What we've seen from Senator Cruz so far today is not really avoiding making any broad attacks at any other candidates. This is a stark contrast to just 24 hours ago when he was attacking Marco Rubio openly on the campaign trail. I think it speaks to the frantic nature of the final stretch here in Iowa. But certainly even though while Ted Cruz does not focus on Rubio today, his campaign certainly is.

As you said with that new ad really linking Marco Rubio to -- calling him the Republican Obama, reminding voters here in Iowa that Rubio was one of the co-sponsors of the Gang of Eight immigration reform bill that failed in 2013. And while that line of attack is not new, the intensification of that line of attack is new and it certainly speaks to the growing anxiety within the Cruz campaign about what an eventual threat Marco Rubio could be coming out of Iowa.

So what they're really trying to do right now is to stop his momentum, make sure he does not post big numbers here in Iowa going into the next state, New Hampshire, South Carolina, and it's one big reason why we're really seeing an intensified focus, not only out on the campaign trail and by the campaign, but intensified devotion of resources, the Cruz campaign, taking money they were attacking Donald Trump with and now moving that to Marco Rubio -- John.

BERMAN: You know, it's really interesting. You speak about money. I just was looking at a fundraising pitch from Ted Cruz to his donors, in one of those letters that candidates allegedly send to the donors. And he said in this letter, Ted Cruz, the attacks by Donald Trump on him in recent weeks in Iowa have been hurting. And I imagine what Ted Cruz is talking about is all the candidate talk. Donald Trump keeping up the attack, saying Ted Cruz was born in Canada, I'm not even sure he is eligible to run for president, Donald Trump says.

What are you hearing on the stump from the Cruz supporters at the rallies?

SERFATY: Well, I think there is some awareness that these attacks by Donald Trump have hurt Ted Cruz to a certain extent here in Iowa. He was asked about these allegations that he's not eligible to run for president. That is straight from the stump speech of Donald Trump. So certainly voters here, listening to them, they're talking to the candidate directly about that. You know, the Cruz campaign is aware that it might -- they might be taking some hit in the polls.

And certainly since Donald Trump had debuted that sort of attack a few weeks ago, the Cruz campaign have seen his numbers go down here in Iowa. So they are aware and they're starting to hit back with more force, you know, really laying into this being a hit on Ted Cruz but being about Donald Trump's New York values. That's how they're trying to spin it.

This is a key part of their closing message in the final days, really trying to argue here to Iowa voters that Donald Trump could be unstoppable if he gets out of Iowa. That's a message that they really want Iowa voters to hear and of course they want those voters to come over to Ted Cruz -- John.

BERMAN: All right. Sunlen Serfaty for us in Ames, Iowa, right now where Ted Cruz has an event.

If you've been keeping score at home, we've seen Ted Cruz, we just heard from Hillary Clinton. We're about to see Hillary Clinton again on the stump. And Marco Rubio has been hitting Iowa hard this morning. Right now he's in third place in most of the polls, but the Rubio campaign, certainly a lot of Republican establishment folks, want you to believe he is gaining momentum. Rubio surging, being whispered hotel lobbies all around the state right now.

You can see Marco Rubio there. An event in Council Bluffs in Iowa, on the stump again. He was just on the stump about an hour ago, answering questions, facing voters.

Joining me now, senior political reporter Manu Raju. What is going on inside the Rubio campaign?

[13:15:05] MANU RAJU, CNN SENIOR POLITICAL CORRESPONDENT: They're going really hard after Ted Cruz. You know, it's interesting, this morning in Sioux City, Iowa, Rubio actually deviated from his stump speech which he doesn't do. I mean, he gives generally the same stump speech at every political event.

What did he do when he deviated this time? He attacked Ted Cruz. He said Ted Cruz is running a deceitful campaign, and he said this in Sioux City, Iowa, which is a very conservative part of the state and which where Ted Cruz is drawing a lot of support, where Donald Trump is also drawing a lot of support, and it's really -- it just shows how much Ted Cruz is on Marco Rubio's mind in the final days.

He believes, Rubio campaign believes, that if they have a strong third place finish, they can take that to New Hampshire and make the case that they can be the alternative to Donald Trump. But if Ted Cruz does not end up in first place, they believe that this will be a death nail to the campaign.

Now the Cruz campaign believes they can sustain a loss in Iowa, they're already trying to lower expectations, saying that we have the money that can last for weeks and weeks and weeks on end, but if he doesn't win here, where does he win next, John?

BERMAN: Hang on -- hang on one second, Manu, because Marco Rubio on the stump right now. I think he is talking Ted Cruz. Let's listen.

SEN. MARCO RUBIO (R), PRESIDENTIAL CANDIDATE: You know, this last minute thing, if it were true they always do it at the last minute. These people -- I'm not complaining.

BERMAN: I didn't hear what he said. You have to speak more clearly for me because I can't hear what he was saying.

RUBIO: We have to unify the party in a serious way because this election is a serious election. It's not about sideshows, who shows up at the debate. I don't really care. It gave me more time. So I was fine with that.

(LAUGHTER AND APPLAUSE)

RUBIO: I will unite the conservative movement. But that alone won't be enough. We have to grow it. There are people out there haven't voted for a conservative in 25 years because the Democratic Party has told them, you know, the Republicans and conservatives don't care about people like you.

We will change that. Not by changing our principles, that's what they used to tell us all the time. Well, if you want to win these elections, you guys are going to have to change your principles, become more like the Democrats.

I don't think we need two Democrat Parties. I think we need a strong national security party, a strong conservative party, a strong free enterprise party. And that's what we will do. But we have to take those principles to people that haven't heard from us in a long time, and I will.

To people that are out there, for example, young Americans struggling on their student loan debt. We've got a 500 percent increase in student loan debt in the last 10 years. We will take our principles to them because I had a student loan. I had student loans over $100,000 just two years ago, three years ago.

Student loans are debilitating. The only way you can -- the only you get rid of a student loan is to pay them off or die. The only two ways. You can't even get rid of them with bankruptcy. I never thought I'd get those off my back. I was able to do it because I wrote a book, it's called "An American Son.' It's available on paperback if you're interested.

(LAUGHTER)

BERMAN: All right. What you just saw Marco Rubio in Council Bluffs, in Iowa. At the end there he was back on his standard stump speech. And by standard stump speech I mean the thing he almost does exactly identically every day.

RAJU: Even that joke is the same, John.

BERMAN: But he deviated for just a moment before that to talk about Ted Cruz.

RAJU: It's so important -- it's so interesting how much the Cruz campaign is in the Rubio campaign sights. And when you talk -- when I talked to Rubio advisers, they don't believe the voters who are Donald Trump supporters are necessarily Marco Rubio supporters, but they believe that Ted Cruz supporters are Marco Rubio supporters.

BERMAN: Or can be.

RAJU: Or can be, and they can convince them to flip. They believe that profile is very similar, which is one reason why they're trying to poach some support from Ted Cruz now. They think that if they can get them in their fold, that they can create a coalition of conservative voters who support Ted Cruz, could support him as well as more moderate center right Republicans to create a coalition. That's why you're hearing him say I will unite the Republican Party because Ted Cruz, as we know, has been a very divisive figure within the Republican Party.

BERMAN: And he's dumping some money. A 30-minute campaign infomercial airing all across the state later today and tomorrow. It'll be very interesting to see how that plays.

Manu Raju, great to have you here with us.

RAJU: Thanks, John.

BERMAN: A lot going on today. A lot going on tomorrow. And man, is there a lot going on Monday. That is the day of the Iowa caucuses. CNN will be here for complete coverage live all day Monday as the first actual votes are cast in the 2016 presidential race.

We'll be right back.

(COMMERCIAL BREAK)

[13:22:34] BERMAN: All right. John Berman in Des Moines, just two days before this state, Iowa, holds the first actual vote in the 2016 campaign here in the Iowa caucuses Monday night. One of the few candidates not yet out on the stump this morning, Donald Trump, but he has a very busy day ahead. Three events. Hasn't stepped foot to the stage yet, but he has appeared on Twitter and Facebook.

Social media does not wait for Donald Trump. He has thanked evangelicals for their support, releasing this new video promising the evangelical voters in the state, and they are crucial, that he will never let them down. Let's watch.

(BEGIN VIDEO CLIP)

DONALD TRUMP (R), PRESIDENTIAL CANDIDATE: My mother gave me this bible, this very bible, many years ago. In fact, it's her writing right here. She wrote the name and my address, and it is just very special to me. And again, I want to thank the evangelicals. I will never let you down.

(END VIDEO CLIP)

BERMAN: Don't miss the imagery there. Donald Trump standing behind or sitting behind in this case literally right behind the bible.

CNN senior White House correspondent Jim Acosta is in Dubuque where Donald Trump holds the first event of a very busy day, an unusually busy day for Donald Trump -- Jim.

JIM ACOSTA, CNN SENIOR WHITE HOUSE CORRESPONDENT: That's right, John, we don't normally see Donald Trump hold these, you know, three a day events, campaign days, but yet that's what he's doing today. And we understand from talking to his campaign staff, that he's going to be making quite an entrance into this final weekend of campaigning before the Iowa caucuses. He's going to be arriving here within the next hour on what is sometimes called Trump force one, that is his Boeing 757, and it's going to be parked right behind me, parked right behind the candidate here within the hour or so. He is making a pretty grand entrance, a huge entrance, you might say, for this final weekend of campaigning before the Iowa caucuses.

And John, I also saw a guitar being tuned up back there. I don't believe Donald Trump plays the guitar. So perhaps there might be a musical guest as well. We'll have to wait and see. But it's interesting when you pointed out that video that was posted on Facebook this morning by Donald Trump thanking evangelicals in the state, it would be I think a pretty extraordinary thing for Donald Trump to capture Iowa with the backing of evangelical voters.

He has not -- he is not that kind of candidate in this race. There are people like Mike Huckabee, Rick Santorum, Ted Cruz, and if Donald Trump can, you know, run the table here and defeat those candidates with evangelicals, that's going to be a major, major accomplishment and a very big victory for his campaign.

[13:25:06] The other thing that his campaign has been doing this morning, John, another video was tweeted out featuring his daughter, Ivanka Trump, explaining to voters here how to go to caucus sites, how to show up on caucus night and make sure they go through the process correctly, even pointing out to their caucus goers that you have to register as a Republican to participate on caucus night and on the GOP side of things.

And I think that goes to show you that there are some concerns inside the Donald Trump campaign as to whether or not all of these new voters he is attracting, he packs auditoriums and basketball, you know, arenas all around the country, whether those folks actually show up and vote, and we'll get a better sense as to where this race stands later on this evening when the "Des Moines Register" poll comes out.

That will be a very, very good measure in terms of where things stand right now in this race, and whether or not this phenomenon that we've been seeing over the last year of Donald Trump, you know, rising to top of the pack in this GOP race for the White House is actually going to pan out into some kind of victory on caucus night. It is going to be the political story to watch here in the next 48 hours -- John.

BERMAN: All right. Jim Acosta, yes, the great mystery of this race. Donald Trump supporters, are they in fact Donald Trump caucus goers? Thank you, Jim. We will wait the landing of Trump Force One.

We're also expecting Jeb Bush to begin a rally in the next few minutes. I think we have some live pictures perhaps of where that will be. We will get to that event as soon as it begins. And we're going to speak to one of his key advisers about what Jeb Bush can do leading up to these Iowa caucuses to make an impact. Stay with us.

(COMMERCIAL BREAK)

[13:30:34] BERMAN: That is the beautiful capitol building in Des Moines, Iowa, in the capital of Iowa. All the candidates right now making their way through the state, making their last-minute sales pitch to voters here.

We have seen many of them on the stump. Many are speaking on the stump right now. Jeb Bush is getting ready to speak to a group of VFW, veterans right now, he is in Clear Lake, Iowa. That is the stage. This is one of the cases he's going to make, trusted leadership, stronger America. One of four events for Jeb Bush today. His events, we are, have been drawing bigger crowds in Iowa over the last several days.

A lot of people thought that Jeb Bush had a good debate performance Thursday night. One of the strongest in the absence of Donald Trump there. The big question now, though, is what does that matter? Can he turn that into actual votes?

Joining me is Michael Steel, an adviser for policy and communications for the Jeb Bush campaign. Is it a Jeb Bush campaign exclamation point as Jeb Bush likes to say?

MICHAEL STEEL, JEB BUSH ADVISER FOR POLICY AND COMMUNICATIONS: Well, absolutely. I mean, he won the debate earlier this week because he is the best candidate to be commander-in-chief, to take on Hillary Clinton to actually win in November. He's got detailed plans to fix Washington, turn the economy around, defeat ISIS, and keep the American people safe.

BERMAN: Talk to me about a path to victory because it doesn't look like you're going to win Iowa.

STEEL: I think that's a fairly safe assumption at this point, although you've got to earn it in Iowa. And that's what Jeb out there is doing today. And if you look at this state, Chuck Grassley is an icon here, 22 years in the United States Senate, he has never missed a vote. You've got to earn it in Iowa and that's what Jeb is out there doing today.

BERMAN: Never missed a vote? Who are you saying has missed a vote in this Republican field?

STEEL: Well, I think that this is a real record of achievement that a lot of people look to.

BERMAN: Subtle. Subtle. We're looking at Jeb Bush right there, your boss, he's making his way to the podium right there. I'm sure he will not mind if you speak over him as he makes his way to the stage.

Talk to me about this establishment food fight that we are seeing in New Hampshire right now because you look at the polls -- not even looking at the polls. Look at the number of candidates running right now, appealing to the same group of voters, Chris Christie, John Kasich, Jeb Bush, and to an extent Marco Rubio. And you know what, even Donald Trump in New Hampshire plays to people who may be considered moderate Republicans. How do you break out there?

STEEL: I think we break out by having the governor with the best record of actual conservative achievement and best plans for the future.

BERMAN: Let's talk about Donald Trump because Jeb Bush likes to talk about Donald Trump and brags about the fact that he has taken on Donald Trump when others haven't. You know, we're two days, we're 48 hours away from actual voters here. You know, it's time to look forward but also back a little bit.

Did you guys ever imagine when you got into this that you would have to deal with a force like that? And what has it changed for you?

STEEL: I think Donald Trump changed everything in terms of the Republican field this year, but as you kind of alluded to, Jeb Bush has been the only candidate in this race who's been willing to take him on, call him out for not being a serious conservative and not being someone who can beat Hillary Clinton, which is the ultimate goal here.

BERMAN: You -- as I suggested, it seems like you're running more in New Hampshire right now than in Iowa, though you are fighting in Iowa. It does give you a -- a bit of a luxury of, you know, a broader view. As you're looking at the race, particularly the others right now at the top, you're looking at Donald Trump, Ted Cruz, Marco Rubio, what do you make of that fight here?

STEEL: Well, I think ultimately this is going to be a question of leadership. Who's going to be willing to stand and fight for our conservative principles and who is going to run like a scalded cat when things get tough.

BERMAN: Donald Trump, do you think he's going to attend the debate next week in New Hampshire?

STEEL: I certainly hope so. We missed him the other night.

BERMAN: What do you mean you missed him? What did you miss?

STEEL: As I said, we -- Jeb is ready, and willing, and able to press the case for conservative reform, for his record against all of the candidates on the stage. He is happy to have Donald Trump there, and ready to take him on.

BERMAN: And one of the things that people wondered beyond New Hampshire is South Carolina. There have been discussions in the media about should George W. Bush get on the trail and campaign for his brother. Want to break some news right here, want to tell us whether we're going to see the former president?

STEEL: You know, I've got no news to break, but I don't think it's any secret that Governor Bush loves his family, his family loves him, and the former president and everyone else think that he would be the best choice for commander-in-chief. And that's important when you think about someone who's been behind the desk, who's made the big decisions. That a real validater.

BERMAN: Michael Steel, great to have you with us. Thanks so much. Good luck. STEEL: Thank you, sir.

BERMAN: All right. Next up the battle for the Latino vote in Iowa. Who is winning, who is trying for that key voting bloc. We're going to speak to a national spokesperson for Latino Americans just ahead.

[13:35:02]

(COMMERCIAL BREAK)

WHITFIELD: All right. Here's how mortgage rates stand this week.

(COMMERCIAL BREAK)

WHITFIELD: Welcome back. I'm Fredricka Whitfield.

Flint, Michigan, isn't the only community having serious concerns about the safety of their drinking water. People in a New York town are worried their water could be causing an aggressive form of cancer.

Joining me right now with more on this developing story is CNN's Christina Alesci who is in our New York bureau with more on this very frightening situation.

CHRISTINA ALESCI, CNN CORRESPONDENT: Yes, the residents of Hoosick Falls are definitely on edge. They are really worried about, as you said, the safety of their water supply.

Here's what we know so far. A local resident raised questions about the water supply back in August, 2014. Now by November, the village had three wells tested, one of them exceeded the EPA's health advisory levels for a specific industrial chemical known as PFOA. Now this is used in firefighting foams, in cleaning products. As a result, officials shut down that one well, and started testing others throughout the year.

Now around the same time, authorities also questioned a local company that manufacturers industrial films and tapes, Saint-Gobain. Now the company hasn't said whether it's responsible for the contamination, but Saint-Gobain has been cooperating with authorities. In fact it's now covering the costs of a $300,000 filtration system, but it's just a short-term solution. The company will pay for a longer-term fix which could be completed by October.

But here's the thing, Fred. It took officials over a year to advise residents not to cook or drink the water. As a side note, officials say it's safe to shower with, but there was a complicating factor here. PFOA technically is not a regulated contaminant.

[13:40:03] As I mentioned, there were guidelines but there were no enforceable standard. Now there's an emergency measure to classify PFOA as a hazardous substance. We don't know how long residents were drinking and cooking with the water, it had high levels of this chemical which has been linked to health problems. It could impact the liver, the immune system, and as you mentioned it's linked to certain cancers. Now the state department of health is investigating rates of cancer in the area as a result of all this.

WHITFIELD: And so what about this Saint-Gobain? Have investigators linked the contamination to that company with some certainty?

ALESCI: Not exactly certainty, but the government has already designated the company's plant there as a possible source. Again, what's crazy about this is the federal government didn't require testing for this chemical, but there is some relief for Hoosick. Earlier this week, the government -- the governor's office announced the plastic company's plant and other locations that they're technically designated as a super fund site, that will make the village eligible for resources and money to investigate further which they'll definitely need.

WHITFIELD: My goodness. All right. Christina Alesci, thank you so much for that.

All right. Congress will soon debate a bill to bring $600 million to Flint, Michigan. The money will be used to replace toxic water pipes and care for people who got sick from drinking the tap water tainted with lead.

Yesterday, Michigan's governor signed a bill to provide the city with $28 million. It will be used to help the children with high levels of lead in their systems. People in Flint still cannot drink the tap water.

CNN's Poppy Harlow talked with the Michigan governor, Rick Snyder, about how all of this happened.

(BEGIN VIDEOTAPE)

POPPY HARLOW, CNN CORRESPONDENT: Can the people of Flint today, as we sit here, can they drink the water?

GOV. RICK SNYDER (R), MICHIGAN: No. We don't want them to. And that's the terrible tragedy of all this.

HARLOW (voice-over): This morning as the people of Flint wait and wonder if they have been poisoned by the lead in their water, Michigan Governor Rick Snyder admits he failed them and promises to fix the crisis.

(On camera): All medical experts agree no level of lead ingestion by anyone especially children under the age of 6 is OK.

SNYDER: That's correct.

HARLOW: You said last week over 100 children here in Flint have high levels of lead in their blood. How many kids is it as we sit here today?

SNYDER: It's about 100 and some if you go back over the last couple of years.

HARLOW: You're saying there is the 100 children as of now, there may be many, many more.

SNYDER: There could be many more. We're assuming that.

HARLOW (voice-over): A local pediatrician one of the first to discover the lead in the water her called the impact on the children irreversible and multigenerational.

(On camera): Dr. Monna Hanna-Attisha told me that what can be done is that you can minimize the impact through early literature programs, universal preschool, access to healthy foods, to say that have calcium binds instead to the lead to the child's bones, et cetera, mental health services. She put a price tag on that, Governor, and she told me it's going to cost $100 million just to do that. Will you make sure they get $100 million?

SNYDER: I'm not sure she would know how to put the price tag. I have reviewed recommendations she's made. And actually a number of those actions we were already working on doing in Flint.

HARLOW: She has done the analysis. I'm asking you again, $100 million, will you make sure they get that if that's what they need?

SNYDER: Well, we're making sure they get what they need.

HARLOW (voice-over): A 2011 study found water from the Flint River would have to be treated with an anti-corrosive agent to be safe to drink. To do that would have only cost $100 a day, but that was never done.

(On camera): I was speaking with a young man this morning, and he said to me, they put money over people. And he said, the black lives and the poor white lives weren't worth it. When you look at the numbers, $100 a day, what happened?

SNYDER: Well, that's the failure point. I mean, in terms of cost structures, $100 a day, this is where the huge error was, is people -- there were people that were subject matter experts in this that didn't believe that needed to be done. That was a huge mistake. That was part of the fundamental mistakes of this whole situation.

HARLOW: Didn't need to be done. Why?

SNYDER: Well, again, in terms of --

HARLOW: That money was --

SNYDER: No. Not on that point.

HARLOW: -- given priority here over these people?

SNYDER: Not at all. This is where the investigations will follow up and all those in terms of the details of all that. And we're cooperating with all of those investigations because I want to find out what went on. I want the facts out there.

HARLOW: The kids were being poisoned by the water they were drinking here. The EPA knew about it.

SNYDER: It doesn't.

HARLOW: Your spokesman, your former spokesman knew about it in July 2015 and sent an e-mail about it. And you didn't declare a state of emergency until January of this year. Why did it take so long?

SNYDER: Actually I learned about it in October. And I took action immediately then, offering filters, working with people on getting water on doing water testing. Again we needed to do more, though. So as soon as I learned about it, we took dramatic action.

HARLOW: Why not just immediately replace all of the lead pipes?

[13:45:06] SNYDER: That's a question you can ask across the country and the challenge of that is that's not a short --

HARLOW: But I'm asking you because Flint --

SNYDER: That's not a short-term project.

HARLOW: Flint has had people poisoned.

SNYDER: That is not a short-term project in terms of ripping up all the infrastructure, replacing all that. That can take an extended period of time.

HARLOW: Your former spokesman wrote an e-mail back in July of 2015. Here's part of it. " "I'm frustrated by the water issue in Flint. These folks are scared and worried about health impacts and they are basically getting blown off by us."

You have said since then that you knew about that e-mail. And that you were made aware of that. Why not act then?

SNYDER: The experts came back from both Department of Environmental Quality and Health and Human Services to say they didn't see a problem with lead in the bladder or lead in the blood and --

(CROSSTALK)

HARLOW: The folks here did.

SNYDER: Well, again --

HARLOW: They were getting rashes.

SNYDER: This is --

HARLOW: There are kids who are having rashes. The water was discolored.

SNYDER: If you could let me finish, Poppy. I mean, that makes you feel terrible. I mean, I wish you would have done something different.

HARLOW (voice-over): As the scope of the crisis has grown, residents have rallied, demanding the governor step down.

(On camera): A number of the residents that I have spoken with in Flint have said ultimately they want accountability.

Governor, will you resign?

SNYDER: No. Again, I think it's normal, the right action is if you have a problem that happened from people that you were responsible for, you go solve it, you don't walk away from it.

(END VIDEOTAPE)

HARLOW: So, Fredricka, the question now is what will the people of Flint get. You mentioned the $28 million that has been approved by the state legislature. That is a start. It is nowhere near what they need. This is going to cost hundreds of millions of dollars. You heard the governor there saying replacing all the pipes not a short- term solution. But I can tell you from being there, a lot of the people want action immediately. He says he is committed to getting it done.

I should note, two senators, two Democratic senators from Michigan, have just proposed a bill in Congress for $600 million in federal funding for Flint. $400 million will go to replace those pipes. It's going to be a fight in Congress. So we have to keep watching. We'll see what happens.

WHITFIELD: All right. We'll watch more of your report, Poppy, later on tonight at 5:00 Eastern hour in the NEWSROOM. Thanks so much.

And this breaking news we're following. All three escaped California inmates now are back in custody after more than a week on the run. One turned himself in yesterday and the Orange County Sheriff's Department tweeted moments ago that the other two have also been apprehended.

There will be a news conference at 3:00 Eastern Time in about an hour and 15 minutes from now, we'll bring you the very latest at the top of the hour. And for now we'll be right back in the NEWSROOM.

(COMMERCIAL BREAK)

WHITFIELD: All right. Ted Cruz's birthplace has been brought up quite a bit on the campaign trail thanks to Donald Trump. So our Drew Griffin traveled to Calgary, Canada, to learn more about his life in Canada and about the Cruz family.

(BEGIN VIDEOTAPE)

DREW GRIFFIN, CNN INVESTIGATIVE CORRESPONDENT (voice-over): Here's the birth certificate. That's the hospital where he was born. And there's no doubt where Ted Cruz first lived.

(On camera): So it's not actually your log cabin, but historic, yes, because if Ted Cruz gets the votes he needs, this would be the birthplace home of a U.S. president, the first time ever outside the United States.

SEAN MILLER, CALGARY RESIDENT: A Canadian in the White House.

GRIFFIN (voice-over): Well, not actually, but shocking to Canadian Sean Miller who understood the implications of all this immediately.

MILLER: Doesn't the American president have to be born in the United States? Oh, my goodness.

GRIFFIN: The answer to that question, according to most scholars, is no. But what exactly is Cruz's Canada story?

It begins in Calgary in the late 1960s when his American mom, the former Eleanor Elizabeth Darragh of Wilmington, Delaware, and his father Rafael Bienvenido Cruz of Matanzas, Cuba moved to Canada to start their business in the oil industry.

Easton Wren knew them both and was especially impressed with Rafael, the geophysicist who was turning his expertise in mathematics and seismology into a very successful business.

EASTON WREN, CALGARY GEOPHYSICIST: His software, his algorithms seem to have an edge to them that many people liked. He's a very clever man and he was very -- lots of charisma. So the combination of technical capability with charismatic personalities served him well in the business here.

GRIFFIN: The Cruz family quickly moved from the rental home across from the hospital to this wealthier neighborhood on the Elbow River where Rafael and Eleanor bought this home. They were moving up and Rafael Cruz was becoming established in Calgary's scientific community.

WREN: He had his trademark mustache, very charismatic. Very -- the center of the group.

GRIFFIN: Wren volunteered with Cruz as his assistant editor for a technical journal for two years. Then suddenly in 1974, the Cruz family just disappeared.

WREN: He has sold his company and had gone back to the United States.

GRIFFIN (on camera): Were you surprised?

WREN: Yes, because I thought that his business was growing, and I felt that he was becoming more established, and there's no reason to give it up.

GRIFFIN: Did he talk about, "I want to go back to America?"

WREN: Never.

GRIFFIN: "That I'm going to give up my Canada."

WREN: Never to me. Never to me. Never to me. He was establishing his business here, and it was successful, indeed. And there was never any sense that he was about to leave for any reason.

GRIFFIN: The story, according to Ted Cruz, it was alcohol that changed everything. Cruz says his mother and father drank too much.

TED CRUZ (R), PRESIDENTIAL CANDIDATE: And when I was 3 years old, my father decided, he didn't want to be married anymore. And he didn't want a 3-year-old son. So he got on a plane and left Calgary and he flew back to Texas, to Houston. And he left us.

GRIFFIN: The story goes Raphael Cruz went to Texas found religion, stopped drinking, brought his family to the U.S. and for the past 40 years has been a preacher.

The political problem for Ted Cruz during all those 40 years, while he was a U.S. citizen by birth from his mother, he was still also a Canadian, a dual citizen.

(On camera): What makes you a Canadian citizen?

[13:55:05] IAN HOLLOWAY, DEAN OF CALGARY'S LAW SCHOOL: Being born in Canada.

GRIFFIN (voice-over): Ian Holloway, the dean of Calgary's Law School, says Cruz's birth certificate leaves no doubt he was Canadian at least until May of 2014. That's when Senator Ted Cruz said he wasn't even aware of his dual citizenship and he officially renounced his Canadian citizenship. Canada granted his request with this document.

(On camera): So is it fair to say that between this document and this document, he has been a Canadian citizen?

HOLLOWAY: He's been a Canadian citizen.

GRIFFIN: All along?

HOLLOWAY: All along.

GRIFFIN (voice-over): Cruz is not Canadian anymore. That is official. But that still doesn't resolve the other lingering question. Can he become the first former Canadian citizen to become president of the United States?

Drew Griffin, CNN, Calgary.

(END VIDEOTAPE)

WHITFIELD: All right. The next hour of the CNN NEWSROOM begins right after a break.

(COMMERCIAL BREAK)

ANNOUNCER: This is CNN Breaking News.

WHITFIELD: Hello, everyone. And thanks so much for joining me. I'm Fredricka Whitfield. Breaking news, the two remaining fugitives from a California jailbreak

last week are now back behind bars in San Francisco. Authorities in Orange County will hold a press conference next hour to discuss the details. One of the three was captured yesterday, and police said that he was cooperating in the search for the other two.

CNN legal analyst and criminal defense attorney Joey Jackson is with us now on the phone. So in your view, Joey, again, we're waiting for details. Do you believe that the apprehension of one may have helped lead to the capture of the other two?