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Town Hall Blitz in Iowa; President Obama's PR Offensive; Is the Recession Ending? Protecting Afghan Voters; Who Will be Covered?; Health Care Fact of Fiction; Can't Afford Health Insurance; Police U.S. Soldier is Cartel Hit Man; Pharmacy raided in Jackson Case; Town Hall Blitz in Iowa

Aired August 12, 2009 - 09:00   ET

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

HEIDI COLLINS, CNN ANCHOR: Voices raised on both sides of the health care debate. We're cutting through the noise to find out what's possible and what's not in reform.

The president says AARP is on-board with reform legislation. The seniors group says not so fast.

And despite high unemployment, a number of economists say the recession is over. The CNN money team puts this new report into perspective.

Good morning, everybody. I'm Heidi Collins. It is Wednesday, August 12th.

And you are in the CNN NEWSROOM.

Well, this morning, as you know, it is make-or-break month for health care reform. And we have our reporters all across the country to listen to what you have to say.

In fact, our Candy Crowley is covering Senator Charles Grassley's town hall meetings. She is in Iowa this morning. Will he face another fired up crowd? We'll go ahead and take you there in just a moment.

And CNN's Jim Acosta is looking at the president's fight now to get his health care message out and whether or not that message has changed at all. He'll answer his critics as well.

And then our Dr. Sanjay Gupta is actually taking some of your questions. Health care reform and your college students. What you need to know. We'll get to all of that.

But first we begin in Iowa where a leading Republican faces the prospect of a long day and short tempers. Senator Chuck Grassley is holding four town hall meetings on health care reform.

Senior political correspondent Candy Crowley is in Winterset where the first meeting gets under way next hour.

So, Candy, once again this could get pretty heated.

CANDY CROWLEY, CNN SENIOR POLITICAL CORRESPONDENT: It could. But remember, first of all, that I was pretty used to political debate, that Senator Grassley has been around the U.S. Senate for three decades, been around Iowa a lot longer. He's a farmer here, native of Iowa.

He says he's been to about -- hosted about 2800 town hall meetings over the course of his Senate career. So he's seen a lot and he's seen a lot of heated debates. He said last night he was talking on a local TV station that he's not worried that he actually sort of enjoys the give-and-take.

He is a bit of a target simply because he is part of that small group in the Senate Finance Committee. He is the ranking Republican in Senate Finance that is trying to come up with some sort of plan for the Senate side. It's the last committee that has yet to pass out anything. So he is really in the thick of it.

So we expect that he will get some very pointed questions.

COLLINS: Yes.

CROWLEY: But also some friendly questions because after three decades, they pretty much like him.

COLLINS: Yes, they know who he is, definitely. Grassley has taken some criticism already for his work on health care reform. Republicans say it could cause him to face a primary in 2010. What do you think about that?

CROWLEY: Well, it's certainly possible. Because that's the problem when you're trying, in the U.S. Senate, whether you're a Republican or Democrat, to find that sweet spot in the middle, in the moderate middle where you think you can get something through the Senate.

Now if he should come up with something deemed as too liberal by some of those in Iowa, Republicans in Iowa, certainly he'll face a challenge. But again this is a fairly moderate state. It has swung Democratic presidentially for some time.

It does obviously have a Democratic senator and a Republican one. But certainly there is always that risk that you can run but Senator Grassley has been in the thick of a lot of things. The...

COLLINS: Yes.

CROWLEY: The Reagan budget deficit fight. He's pretty much a veteran of these sorts of political fights.

COLLINS: All right. Well, we will continue to check in with you and see what happens there certainly. Candy Crowley for us in Iowa this morning, thanks, Candy.

President Obama is at the White House today but it's a little more than a pit stop. Later this week he's going to be heading west for town hall meetings similar to the one he held yesterday in New Hampshire. And CNN's Jim Acosta is in Portsmouth with more on the PR offensive that's under way.

So, Jim, how is the president's town hall compared to some of those congressional town halls in the news?

JIM ACOSTA, CNN CORRESPONDENT: Well, Heidi, here we are in New Hampshire. Candy was in Iowa. Is this 2008? That's...

COLLINS: All over again, right?

ACOSTA: Yes.

(LAUGHTER)

You know the president's town hall was more subdued. Perhaps it was the air conditioning in that auditorium at the high school compared to what was going on outside of the event. It was much more ruckus, much more rowdy.

And the president, you know, had the advantage of Secret Service protection. You know a lot of people had to go past those wands as they were going into the event. And there was a huge police presence outside.

In fact, the police were so effective in keeping the crowd under control yesterday that they actually had separated supporters of health care reform to one side of the street, and opponents of health care reform on the other side of the street, something I have never seen before.

There was even a gentleman there who was carrying a handgun at his side. He was not hiding this. It was out in the open. Police came over and talked to him, he showed his permit, said he had permission from the church he was standing in front of to be there.

The police allowed this gentleman to continue carrying his handgun during this event yesterday outside where the crowds were gathering. So the police had a pretty good handle on all of this and it managed to keep things under control.

Having said that, they've got very rowdy at times outside of the event. We were there and saw some pushing and shoving and that sort of thing going on, lots of shouting, lots of chanting, lots of those signs that seem to have some pretty horrendous messages on them, when you consider they're addressing the president of the United States.

COLLINS: Exactly.

ACOSTA: But all in all, it was much more subdued than a lot of these congressional town hall meetings, Heidi.

COLLINS: OK. Well, I do wonder, though, what is the White House strategy with these town halls?

ACOSTA: Well, you know, they had hoped to recalibrate their message this week. They were hoping to get away from talking about expanding coverage to those 46, 47 million Americans who don't have health care. They wanted to change the message from talking about that too much to talking about health insurance reform.

You'll see on the White House Web site, they're talking about health insurance reform. They want to make it clear to people who already have insurance that changes could be under way and this reform plan that could perhaps make their own health insurance even better, to eliminate this thing of pre-existing conditions, eliminating people from health care rolls who have insurance because of pre-existing conditions.

And that sort of thing. That's the message they want to get across this week. But unfortunately, yesterday you had the president talking about death panels and whether or not...

COLLINS: Yes.

ACOSTA: ... they were going to be pulling the plug on grandma. So, obviously their message has gotten lost and a lot of these ruckus, rowdy debates and some of the rhetoric coming out of those debates.

COLLINS: Well, I guess when you hold a town hall you have to be prepared for what it is that the people want to be talking about, want to be asking questions about. So I know we will be seeing...

ACOSTA: Absolutely.

COLLINS: ... a whole lot more of them. Jim Acosta for us this morning in Portsmouth, New Hampshire. Thank you.

With so many people saying so many things about health care reform, what's the real story? Our Josh Levs has been working on that very big question. He is trying to sort some facts from fiction now, and joins us.

Hi there, Josh.

JOSH LEVS, CNN CORRESPONDENT: Hey, Heidi. It's a lot of pages of reading. And picking up right there from what Jim was just saying, do any of the bills anywhere in all that paperwork say anything even remotely close to a death panel? Also, where does the AARP actually stand on all this?

We'll have all the facts coming up, Heidi.

COLLINS: All right. Very good. We'll check back in just a little while.

Meanwhile, turning to the economy, the stock market's been climbing. Layoffs easing. And the housing market a bit more encouraging. So does this mean the recession may finally be winding down?

Here with some perspective, Christine Romans from the CNN money team joining us now from New York. And I'm always very, very hesitant to even say that, but there are some economists out there who are doing it, who are saying it.

CHRISTINE ROMANS, CNN CORRESPONDENT: And you know, we should be hesitant, quite frankly.

COLLINS: Yes.

ROMANS: You're right to be because there are a lot of dangers still lurking out there. But look, let me tell you what the "Wall Street Journal," its survey of economists and Bloomberg News, its survey of economists found.

The "Wall Street Journal" surveyed some 52 economists, 47 responded, 27 of them said the -- it's already over, the recession is already over and the economy is growing. Eleven of them said, look, if it's not growing right now, it will be next month or the month after that. So a majority of them think that things are moving in the right direction.

The Bloomberg -- economist survey by Bloomberg said that you're going to see four quarters of economic growth of 2 percent or more. So that's definitely a recovery if they are right.

So is the recession over? Well, we've seen from the GDP, it has been leveling off and some -- in the "Wall Street Journal," if you look at the far right of this chart, they're actually expecting 2.4 percent growth in the current quarter.

Unemployment, though, could still climb to 10 percent or higher. And most economists agree that this could still happen even if you see the economy starting to recover...

COLLINS: Yes.

ROMANS: ... the unemployment rate is still going to keep rising. Two things that will keep rising even in a recovery, joblessness and the budget deficits. So those are two things politically and practically that will be an issue for the next year so -- and also the S&P 500.

You mentioned the stock market is starting to do better. It may have actually anticipated what economists are saying right now. The S&P 500 has already bounced off its lows. But tale a look at that chart. You can see, Heidi, that even today it's still well below where it was...

COLLINS: Yes.

ROMANS: ... when this recession began. So even if you do succeed in climbing out of the recession, you still have not clawed back your losses in stocks.

COLLINS: Yes. And then what you were saying earlier about job losses and unemployment, I mean, obviously, still a lot to look at here. And then later today I know we're expecting news on interest rates from the Federal Reserve. What are we going to be looking for in that announcement?

ROMANS: Well, we'll be looking to see what the Federal Reserve has to say about whether there is economic growth right now, whether they think it's coming in the near term, and just what kind of efforts have been undertaken to get this economy moving toward a recovery if there's anything new or further that they're going to do.

They're not expected to move interest rates. They're expected to keep them quite, quite low here.

COLLINS: Yes.

ROMANS: It's going to be what they say about trying to juice the economy and trying to help the recovery along that will be important. And you know, the Fed chief, Ben Bernanke, Heidi, his term expires, he has to be reappointed to this term.

COLLINS: I know.

ROMANS: In that "Wall Street Journal" survey, most of the economists said they'd like to see him stay on for continuity's sake.

COLLINS: Yes.

ROMANS: And because they say overall -- a couple of missteps but overall they said he's done a good job.

COLLINS: Yes. Yes, it was an interesting read, definitely. All right. Christine Romans of our money team.

ROMANS: Sure.

COLLINS: Thank you so much.

ROMANS: Bye, Heidi.

COLLINS: To Afghanistan now. It's been a Taliban-held town for years. But today U.S. Marines launched an operation to take it over. We'll explain why the assaults are going on now.

ROB MARCIANO, CNN METEOROLOGIST: And I'm Rob Marciano in the CNN Severe Weather Center. While Felicia fizzled toward the Hawaiian islands, we have another tropical depression in the Atlantic. We'll talk about that when the CNN NEWSROOM comes right back.

(COMMERCIAL BREAK)

COLLINS: A hollow victory against terrorism. Police in Indonesia thought they killed the country's most wanted terrorist during a weekend raid. But DNA evidence shows Noordin Top wasn't there.

Instead, they killed a suspected accomplice they say was involved in last month's deadly bombing at the Marriott and Ritz-Carlton hotels in Jakarta. It is believe that Noordin Top is behind those attacks and several other bombings, in fact, including one in Bali in 2002 that killed more than 200 people.

A U.S. Marine operation to take over a Taliban-controlled town is now under way in southern Afghanistan. Night scope video shows helicopter dropping marines into hiding. Early this morning.

The Taliban fighters responded with small arms, mortar and rocket-propelled grenade fire. Marines were also met with enemy fire as they fought for control of the mountains surrounding that Helmand Province that we talk about so often here. Coalition forces are trying to protect voting sites around the country ahead of next week's election.

And we're going to be talking with our correspondent there on the ground, Atia Abawi, who is standing by. We will get to her just as soon as that is possible.

Meanwhile, our Rob Marciano's standing by right now to give us more information about what is swirling and whirling around in the Atlantic, huh?

MARCIANO: Swirling and whirling, but way out there in the Atlantic.

COLLINS: OK. Good.

(WEATHER REPORT)

MARCIANO: When you head home this afternoon, Heidi, you may have to dodge a couple of raindrops.

COLLINS: Oh. Well, where's the St. Bart's forecast. You're working on that, right?

(LAUGHTER)

MARCIANO: Yes. I don't think anyone's going to feel sorry for you.

COLLINS: Headed on a little vacation. I know it's hard. But anyway, you'll have that next time around, right?

MARCIANO: Yes.

COLLINS: Very, very important.

MARCIANO: Absolutely.

COLLINS: OK. Thank you, Rob. We'll check back later on.

MARCIANO: OK. See you.

COLLINS: Well, you may have run into this yourself. Your college student reaches a certain age and is no longer covered by your insurance. Now, could that change under health care reform? We'll take a look at it in a moment.

(COMMERCIAL BREAK)

COLLINS: Next Thursday's vote marks Afghanistan's second-ever direct presidential election. CNN's Atia Abawi is joining us now live from Kabul with more on efforts to protect voters.

So, Atia, we've been talking about this for a while. A lot of polling stations to be looking at across this country. What specifically are they doing?

ATIA ABAWI, CNN CORRESPONDENT: Well, what they're trying to do right now, Heidi, is they're trying to go into villages that have been under strong Taliban control for years, if not since 2001 still. What they're doing is they're trying to secure and hold the areas so they can help the Afghan citizens feel comfortable enough to go out and vote.

The latest that we're seeing is in different parts of Helmand Province. Helmand is a province where thousands of U.S. Marines have been flooding into this summer trying to secure and hold areas.

Now they've gone to a northwestern district called Naw Zad. This is 80 days before the election. They are saying that they are in the efforts of securing but at the same time, in eight days the Afghan people may not feel more comfortable enough to go out and vote. Heidi?

COLLINS: Yes, I mean, I guess that would be the major concern. And no matter what they say about security that they are able to put into place, are they really going to be able to make people feel safe enough to go ahead and vote?

ABAWI: Well, when it comes to places like Helmand Province, Kandahar Province, southern Afghanistan, some of the most volatile regions in Afghanistan, we have to remember that there have been coalition troops there.

Coalition troops have gone to these villages that have gone back to Taliban control and right now the Afghan people are distrustful that the coalition troops are actually there to stay and help them.

So no, they probably won't go out and vote because they don't know if the coalition troops will stay. If they leave again, they say they will go under the wrath of the Taliban again and they don't want to take that chance by upsetting them if they do come back into power.

COLLINS: Wow.

ABAWI: Heidi?

COLLINS: And that is some of the (INAUDIBLE). There's only eight days to sort of turn things around, if you will. So, of course we will be watching very, very closely. Atia Abawi, reporting from Kabul this morning. Thank you, Atia. Back to health care now. When it comes to health care reform, most people simply want to know, will I be covered? Our "Insider," CNN's chief medical correspondent and practicing neurosurgeon, Dr. Sanjay Gupta, here now to help us clarify some things.

So, Sanjay, want to get straight to what this college student actually said at the president's town hall meeting yesterday. Let's go ahead and listen for just a minute.

(BEGIN VIDEO CLIP)

DAVID MORRIS, STUDENT: Hi, Dr. Gupta. My name is David Morris. I'm from Portland, Maine. And I'd like to know if under Obama's insurance reform plan if students like me who turn 25 and can't be on their parents' insurance anymore while they are full-time students will be covered.

(END VIDEO CLIP)

DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: It's a great question. It's amazing actually to see how many college students, students of all sorts are showing up at these town halls as well. A remarkable thing.

First of all, let's take a look at some of the numbers here. When you talk about the number of uninsured, you hear varying numbers, but around 46 million seems to be a number that a lot of people agree on.

About 13 million of those 46 million are young people between the ages of 18 and 29. So this is a growing sort of -- and the fastest growing group of uninsured in the country. So David sort of falls into that sweet spot. He's 25, still in college, about to be dropped. What happens with someone like him?

We've asked that same question of folks at the White House. And they've sort of given us sort of a checklist of things that they think might be able to help someone like David or lots of other students in his position.

Extend the plan until age 26. Right now it's around 25 so extend it about a year. Possibly qualify for Medicaid as well. Now as far as qualifying for Medicaid, it means people have to make less than a certain percentage above the poverty line.

So typically $16,000 or less a year. So if you work at a part- time job or something you might qualify for Medicaid even as a young person. What I thought was interesting was number three here. This idea that if you're a young person you focus on prevention, you focus on things that may be different than an older person focuses on.

And that might be an option as well, to try to get them some sort of basic health insurance so they're not dropped completely and have no safety net.

COLLINS: Yes. Wow. That's interesting. Thirteen million, huh? GUPTA: Yes, and the fastest growing.

COLLINS: Yes. Yes, definitely. Well, some of the critics, though, that are out there are calling this group, demographic, if you will, sort of the young invincible, saying that they can actually afford health care but they choose not to be covered. Is that the real issue?

GUPTA: In part it is. And you know we had to sort of crunch some of the numbers to figure that out. They're called the young invincibles because they think they're immortal. Nothing is going to happen to them so why should they have health care insurance?

About 45 percent of these people who fall under this category actually do have jobs and could potentially afford health care insurance. So that's something that a lot of people are focused on.

Also keep in mind that, you know, despite the fact that they're going to be healthier because they're younger, they have the highest rates of pregnancy, which is something that often requires a hospitalization. They also have the highest rate of trauma and accidental deaths.

COLLINS: Yes.

GUPTA: So the death rates are 70 percents of deaths are caused by trauma in this particular group. So it goes from being suddenly healthy to suddenly in a catastrophic place.

COLLINS: Exactly.

GUPTA: After trauma. We actually talked to this guy who's a bike messenger? Who rides around New York, you know, being a bike messenger.

COLLINS: Oh yes. I've seen many.

GUPTA: You've seen in the streets of New York. And that's a potentially dangerous job.

COLLINS: Yes.

GUPTA: He's been hit by a car, he's someone who's actually had problems, you know, car doors opening. Despite all those injuries he says, you know what, it's still better for me not to have health care insurance. I'm still not buying it. I just simply can't afford it.

These plans might be able to help someone like him. But again, Heidi, it comes down to money.

COLLINS: Yes. Absolutely.

GUPTA: How to pay for it.

COLLINS: Now quickly, is it your sense -- again, we always like to talk to you as a physician as well, as a surgeon, that people understand this or even know that those type of plans are out there?

GUPTA: Well, you know, I mean, some of these sort of more basic plans for younger people without health problems, you know, a lot of those haven't really existed yet the way that they're being crafted now. And they don't exist now.

I mean, again, we're still talking about a hypothetical.

COLLINS: Exactly.

GUPTA: But when you look at this House bill, this idea of creating a plan that focuses on prevention, focuses on the things that young people might need is an idea that's being floated out there. It'd be cheaper but cover less.

COLLINS: Yes. Obviously you deal with a lot of trauma yourself, so.

GUPTA: That's right. That's right.

COLLINS: All right. Well, Sanjay, we sure do appreciate that, our "Insider." Thank you.

GUPTA: You got it.

COLLINS: So that's just it, can't afford health insurance? The spiraling cost of premiums leaves a retired insurance agent without insurance. His story coming up in his own words.

(COMMERCIAL BREAK)

ANNOUNCER: Live in the CNN NEWSROOM, Heidi Collins.

COLLINS: It's a day Wall Street has been waiting for. Today we get the Federal Reserve's decision on interest rates.

Stephanie Elam is at the New York Stock Exchange now with a preview of the trading day.

Hi there, Stephanie. We don't expect a whole lot to happen with these interest rates, do we?

STEPHANIE ELAM, CNN BUSINESS CORRESPONDENT: Yes, no. We don't expect a whole lot. I think...

COLLINS: But we're waiting anyway.

(LAUGHTER)

ELAM: We're still going to wait because that's what we do. This is what we do every time this comes out, 2:15 Eastern Time on Fed day. We get that news about what's going to happen. But right now we're really just expecting a flat open. But a lot can change, of course, once the Fed decision does come out here.

The Fed's key interest rate is likely to stay near zero but what investors really want to see is the notes that come along with it, the statement, to get inside the minds of those at the Fed to figure out what they're saying and why they've kept things the same or changed it. It will give us an idea as to how policymakers view the economy and what they plan to do down the road.

All of this comes after a "Wall Street Journal" study shows most economists relieve the recession has ended. A new report from the housing market is giving hope that that may be true. Toll Brothers says orders for new homes rose 3 percent in the first quarter marking the first year-over-year increase in three years.

Toll Brothers says buying -- buyers are gaining confidence and many markets are improving. Toll shares, they are jumping about 10 percent in the pre-market. Right now they're up about 9.5 percent here as well.

JPMorgan Chase, they're trying to make some extra cash. The "Wall Street Journal" says the bank is looking to sell 23 office properties in what could be the nation's biggest real estate sale this year. The properties span from New York to Texas to Washington, all around. The sales could actually raise more than $1 billion.

All right. With all of that in mind, let's go ahead and take a look at the early numbers, Heidi, right now. Pretty flat but mixed. The Dow on the downside by 15, 9228, and NASDAQ up 1 point, at 1970, the S&P 500 pretty much dancing right below the flat line.

I'm not sure, but maybe people are more interested in what they're saying about the recession being over and speculation about that. But it's important to point out that that's one of those rear view mirror items where after we're through it that we turn around and go, oh, yes, it's done. So just keep that in mind. We're not going to know like today or tomorrow, but I guess there's hope out there.

COLLINS: Yes, a very good point. All right. We are watching all of those numbers, as usual. Stephanie Elam, thanks so much.

ELAM: Sure.

COLLINS: And away from Washington and the pundits and the spin, our Ali Velshi's on the road with the CNN Express in this make-or- break month for health care reform. At his latest stop, Ali through together a town hall style meeting of his own without the town hall.

(BEGIN VIDEOTAPE)

ALI VELSHI, CNN CORRESPONDENT: We're here in Paducah, Kentucky. We are hearing different things from people wherever we're going. But I haven't found to many people around here who are opposed to reforming health care.

UNIDENTIFIED MALE: I'm for the idea, but I don't think that Congress and the president has done a good job of disseminating the information. I'm just hearing a lot of flak and not a lot of meat and potatoes.

VELSHI: What about you?

UNIDENTIFIED FEMALE: I think right now we have a lack of choice. I mean health care is expensive. I mean the average cost of the coverage I found more often than not are more expensive than the actual care. I would think any choice -- any viable choice would be better than what we've got now.

VELSHI: What do you think?

UNIDENTIFIED MALE: My understanding, there is about 48 million people that's not covered. Those people need to be covered.

UNIDENTIFIED FEMALE: Well, my husband and I are two of that 47 million-plus that aren't -- don't have health care. And I'm not talking insurance. Of course, we don't have insurance, but I want health care. My husband has diabetes and he just had a bout with cancer. What insurance company is going to cover us? There aren't any.

If I get sick today, where do you think I'm going? I'm going to the emergency room. Who's that costing? That's costing us, the taxpayers. So if it's going to cost my bottom line, if they have to tax me more in order to get health care, tax me. Tax me, tax me, tax me. I am willing to pay.

VELSHI: Let's talk about the 46, 47, 50, whatever million you want to use number of people who are not insured in this country. What's your thought on that?

UNIDENTIFIED MALE: I would really love to drive a Hummer. They're cool cars. I can't afford one, so I don't drive one. I drive what I can afford.

UNIDENTIFIED FEMALE: Oh, my God. I can't believe you're saying that people don't deserve health care if they can't afford it.

UNIDENTIFIED MALE: Where did I say that, Heather?

UNIDENTIFIED FEMALE: That's what I here you saying.

UNIDENTIFIED MALE: Then you're not listening, Heather.

UNIDENTIFIED FEMALE: Yes, I hear you.

UNIDENTIFIED MALE: I said . . .

VELSHI: But you did say that you would like to buy a Hummer and you can't buy a Hummer because you can't afford it. So you're saying if you can't afford health -- you can't afford the Hummer, you don't drive it. If you can't afford health care, you shouldn't get it?

UNIDENTIFIED MALE: No. No, no, no. I'm saying, you have the basic stuff. You get a catastrophic illness, you're in a car crash, an accident, something like that happens, of course you get coverage for that.

(END VIDEOTAPE)

VELSHI: Now, Heidi, that was just a little bit of the conversation. It went on for a while. You can see an extended version of it on cnnmoney.com. We're leaving Paducah now. We're going into Illinois. And we're going to stop a little later on in the morning. But people can stop and tell us their concerns. We're going to keep on having this discussion with Americans about their concerns and their fears about health care.

Heidi.

COLLINS: All right, Ali, great. Appreciate that.

And while on the road in New Hampshire, the president mentioned AARP was backing a health care reform bill. Our Josh Levs is looking beyond what he and others are saying on that in order to get the facts. He's joining us now.

So what's the deal here, Josh?

JOSH LEVS, CNN CORRESPONDENT: Yes, it's interesting, Heidi. You know, one -- actually, you know what, I'll tell you what, let's go straight to what the president said yesterday.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: We have the AARP on board because they know this is a good deal for our seniors.

AARP would not be endorsing a bill if it was undermining Medicare.

(END VIDEO CLIP)

LEVS: But actually the AARP has now responded to that. And they said, you know what, we're actually not endorsing. Let's take a look. I have a quote for you right here in a graphic.

They say, "while the president was correct that AARP will not endorse a health care reform bill that would reduce Medicare benefits, indications that we have endorsed any of the major health care reform bills currently under consideration in Congress are inaccurate."

Now they go on to say, I want to show you this next part too, they do say that they "share the president's commitment to act this year." They say, "our members appreciate his insistence that any final reform package will not reduce Medicare benefits."

So you can see that there clearly has been some support for some ideas, but they are making clear this morning, Heidi, that they do not endorse any plan that's out there right now, including any of the president's or democrats' plans.

COLLINS: And, obviously, seniors a very big part of all of the health care reform -- a large, large demographic. All right. So then you looked at some of the claims made by the White House or the president himself. You're also following claims coming from Republicans?

LEVS: Yes, we're following both sides, of course. Let's zoom in on the computer behind me. I want to show everyone a few things. First of all, cnnpolitics.com has always got a lot. But factcheck.org, credit to where it's due, actually, spotted the AARP story there first.

We also follow politifact.com. And this is something we're hearing about a lot. They point to what Sarah Palin said, that seniors and the disabled will have to stand in front of Obama's death panel so his bureaucrats can decide, based on the subjective judgment of their level of productivity in society, whether they are worthy of health care.

And politifact.com has done an analysis of the incredibly massive bills and, you know what, let's go straight to a graphic from what they are saying. They say, look, "it's definitely not what President Barack Obama or any other Democrat has proposed." And let's go to the next one. They go on to say that "there is no panel in any version of the health care bills in Congress that judges a person's 'level of productivity in society' to determine whether they are 'worthy' of health care." But they do also add this. And I want to point this out because it gets at a larger point here. They say, "conservatives might make a case that Palin is justified in fearing that the current reform could one day morph into such a board. But that's not what Palin said," they point out.

Now here's why I wanted to point that out, Heidi. First of all, it's important to look at the facts, obviously. But also you and I have talked about this, so much of what we're hearing -- in attacks on both sides and claims -- is predicted, right?

COLLINS: Yes.

LEVS: This is what will happen in a year or five years or 10 years. And we don't even have a merged bill yet, let alone one bill for the president, let alone any legitimate predictions of what that bill might do. So a lot of people with a lot of predictions and fears. And you can't fact check those.

COLLINS: No, you can't. It certainly raises a lot of points for discussion, though, in this very, very long battle. So we know you're on top of it and appreciate it. Josh Levs, thank you.

LEVS: Thanks, Heidi.

COLLINS: Meanwhile, Ray Hernandez worked in the insurance business for 35 years. He's retired now, but he can no longer afford the kind of health insurance he once sold for a living. Ray Hernandez now in his own words.

(BEGIN VIDEOTAPE) RAY HERNANDEZ, RETIRED HEALTH INSURANCE SALESMAN: Well, I started as an agent in 1967 at the age of 23. I was an insurance agent for 35 years. I loved the business because it rewarded you for the effort. Over the years of my career, I saw the coverage get more expensive, but you got less.

Here's my tax return from 2002. Our medical expense that year, a month, was $960. Now I go to 2007, and the cost came out to $1,990 a month. That's almost $24,000 that year. Because we could no longer afford that kind of cost, we did the unthinkable, we dropped our insurance.

UNIDENTIFIED FEMALE: It's a little scary not to go to the doctor when you think, maybe, well I should have this checked.

HERNANDEZ: But we finally got her coverage. It was around $500 a month. Not a very good plan.

UNIDENTIFIED FEMALE: And still today, with changing my deductibles, higher deductibles every year an still the cost keeps going up, up, up.

HERNANDEZ: It took a huge chunk of our income.

UNIDENTIFIED FEMALE: And we've cut way back on most of all our expenses. We just don't do the things we used to do. Not knowing and not knowing that you could lose everything if something happened, that's what was scary about it.

HERNANDEZ: I feel very nervous and uneasy about that, and I shouldn't be. I shouldn't have to feel that way. In my senior years, I should be able to feel secure.

UNIDENTIFIED FEMALE: We had planned so many years for our retirement and to be able to do things and travel and spend time with our grandchildren.

HERNANDEZ: As an American citizen, I know I have a right to an education. If I get in trouble with the law, I have a right to an attorney. Why don't I have a right to health insurance? Affordable health insurance. There's something wrong with that picture.

(END VIDEOTAPE)

COLLINS: So, obviously, a lot of people discussing health care reform. And a lot of them are really taking their concerns to some of these town hall meetings that I'm sure you have seen in the media that are taking place across the country.

Our question for you today, would you go to one of those town hall meetings if you could and why or why not? Go ahead and send us in on the Heidi (ph) here. We'll check it out a little bit later on, on our blog page. You can go to cnn.com/heidi and then just post your comments there. You see a little synopsis of the story that we're looking at today. Or you can always call the Hotline to Heidi number. That phone number, 1-877-742-5760. We, of course, will read some of those responses and hear your comments later on in the show.

Police are calling a teenage U.S. soldier the hit man in the murder of a Mexican drug cartel member. We've got a live report coming up from Texas.

(COMMERCIAL BREAK)

COLLINS: A Los Angeles area prison is still locked down days after a riot injured around 200 inmates. Here are some of the first pictures now of the destruction caused by the Saturday riots in Chino, California. Corrections officials think racial tensions sparked the riots. Eleven inmates are still hospitalized. Around 1,100 others are now in other facilities. California has been dealing with heavy overcrowding at prisons. In fact, at Chino, they had 5,900 inmates, but the prison was only built to hold 3,000.

A U.S. soldier is in custody in El Paso, Texas, today. Police say he was the hit man in the shooting death of an official in a Mexican drug cartel. CNN's Ed Lavandera has the story.

(BEGIN VIDEOTAPE)

ED LAVANDERA, CNN CORRESPONDENT (voice-over): Eighteen-year-old Michael Jackson Apodaca, still wearing his military uniform, in handcuffs and charged with capital murder. El Paso Police say Apodaca fired the shot that killed this man three months ago outside his home in an upscale El Paso neighborhood. The shooting victim was a mid- level member of the Juarez drug cartel, but also an informant for American federal agents.

CHIEF GREGORY ALLEN, EL PASO, TEXAS, POLICE: What we do feel is that this was retribution for the fact that the deceased person had pretty much gotten the person in trouble in Juarez. He was arrested by the federal authorities over there. And so, consequently, this was kind of a retribution for that arrest.

LAVANDERA: According to court documents, Apodaca was hired to carry out this hit and paid by Ruben Rodriguez Dorado, a member of the Juarez cartel. Court documents say Dorado ordered the murder because the Juarez cartel discovered the victim was talking to American authorities.

ALLEN: And I want to stress that this was a payback situation and not something that's an ongoing type of battle like you see in Mexico right now. It's a whole lot different. And even though this can be considered to some degree spillover, we don't look at it in the same way as it's occurring in Mexico.

LAVANDERA: According to officials at Ft. Bliss in El Paso, Michael Apodaca joined the Army about a year ago. He worked as a crew member that launches patriot missiles. But his family says they don't believe the charges against him.

DAVE JACKSON, MICHAEL JACKSON APODACA'S GRANDFATHER: He was in the top of his class. You talk to all his sergeants. He's a good soldier. Now before he went in, he was in with a bad crowd. (END VIDEOTAPE)

COLLINS: CNN's Ed Lavandera joining us now live with more on this.

So, Ed, are there any other arrests expected in this case?

LAVANDERA: There is, we understand, one other arrest expected. We've asked if that is going to -- perhaps going to be another member of the military. We've been told that that does not appear to be the case at this point.

Heidi.

COLLINS: All right. Well, let us know if you learn more about that situation. Sure to appreciate it. Ed Lavandera for us this morning.

Meanwhile, want to get you this because just a few minutes ago we received the new video here of Justice Sonia Sotomayor, Supreme Court justice, we can say that now, after her confirmation on Saturday, arriving at the White House where she will be attending a reception for her. It's going to happen around 10:15. About a half an hour from now, held by the president and the first lady. And going to take place in the East Room. So just wanted to show you these pictures of her arriving. Once again, you see there, Supreme Court Justice Sonia Sotomayor.

Also this now to show you. Pretty incredible pictures in Taiwan right now. A massive rescue effort going on, in fact. One hundred and three people are dead. Dozens believed still missing and thousands are either stranded or displaced across parts of the island. Typhoon Morakot battered the island over the weekend, triggering the worse flooding and mudslides there in 50 years. Rescue teams also digging through mud and rocks, trying to find and air lift any survivors.

Rob Marciano is joining us now with more on this extreme weather.

Man, the video's unbelievable.

(WEATHER REPORT)

COLLINS: Corporate jet controversy. Congress now changing the plan, abandoning their idea of adding new luxury planes nobody wanted.

(COMMERCIAL BREAK)

COLLINS: An uproar over new jets now has Congress changing course. They are actually pulling their request for four new planes the Pentagon never asked for. The House added $270 million to the defense budget to pay for two Gulfstream jets and two larger 737-type aircraft. The Gulfstreams are used to ferry VIPs, including members of Congress. The Pentagon had only asked for one of those. Taxpayers will not be saving any money, though, on this. The $270 million is already approved and will be used for something else. So, a lot of people taking their health care concerns to the town hall meetings that we have been covering here all week long and we wanted to know a little bit more about what you think on this. Would you actually go to one of those town hall meetings, if you could, and then explain why or why you wouldn't. We'd love to hear from you. Just go to my blog, right over here, cnn.com/heidi and post your comments there. You'll see a little bit more about the story. Or you can always call the Hotline to Heidi number. And that number, 1-877- 742-5760.

We have a whole lot going on in the next hour of the NEWSROOM. Our crews are in place to bring it all to you, of course. Let's check in now with Candy Crowley in Iowa this morning.

Hi there, Candy.

CANDY CROWLEY, CNN CORRESPONDENT: Hi, Heidi.

From Winterset, Iowa, site of the first of four town hall meeting that Republican Senator Chuck Grassley will hold today. It could get lively, so stick with us.

POPPY HARLOW, CNN CORRESPONDENT: I'm Poppy Harlow in New York.

Here's what we're going to be talking about. One hundred and forty square miles of vacant land, fewer people, little access to healthy food. Could urban farming -- have you ever heard of it -- could it be the answer for Detroit? We'll have more on that coming up at the top of the hour.

ROB MARCIANO, CNN METEOROLOGIST: Been a very quiet hurricane season in the Atlantic Ocean. Really hasn't even started yet. But we do have a tropical depression. Our second one of the season. Will it become our first tropical storm? Talk about that in the next hour.

Heidi.

COLLINS: OK. Great. Thanks, guys. Appreciate that.

Also, the emotional toll and the dangerous search and rescue operations in Taiwan. Incredible pictures here. CNN takes you to where villages stood before the typhoon.

(COMMERCIAL BREAK)

COLLINS: New signs investigators in the Michael Jackson case are focusing on his personal physician, Dr. Conrad Murray. Police raided a Las Vegas pharmacy yesterday and a source tells CNN they uncovered evidence he bought the powerful anesthetic Propofol from there.

More now from CNN's Ted Rowlands.

(BEGIN VIDEO CLIP)

TED ROWLANDS, CNN CORRESPONDENT: This is the fifth search warrant in connection in the Michael Jackson death investigation targeted at Dr. Conrad Murray. This is the doctor that was with Jackson at the time of his death.

According to a source close to the investigation, the pharmacy that was raided in Las Vegas is the pharmacy where Murray was able to purchase Propofol or Diprivan, that strong drug normally only used by anesthesiologists in a clinical or a hospital setting. But the drug that another source has told CNN Dr. Murray gave Michael Jackson in the 24-hour period before his death.

This comes on the heels of the coroner reporting that they have finished their report into the death of Michael Jackson. They have the toxicology and they have a cause of death but they're holding it pending the completion of the LAPD's investigation. Clearly that investigation continues.

We talked to Dr. Conrad Murray's attorney's representative. They say they have no comment on this latest search warrant, but they stress they continue to cooperate with authorities.

(END VIDEO CLIP)