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Hollywood's Big Hits; President and GOP go Toe-to-Toe; Winter Emergency; Reconstructing Port-au-Prince; Rebuilding Haiti; America's Independents; Stimulus for Notorious Nuke Site; Winter Emergency; President's 2010 Priorities; Honda "Fit" Recall

Aired January 30, 2010 - 11:00   ET

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

KEVIN FRAZIER, "ENTERTAINMENT TONIGHT" ANCHOR: Meanwhile, "The Blind Side", it was just one of those moments where a person captured another person perfectly. I mean, you know, I know people wouldn't believe it, but when you watch "Ray" and you see Jamie Foxx, then I watched Leigh Anne Tuohy, and I look at Sandra Bullock.

BETTY NGUYEN, CNN ANCHOR: Got you. All right.

You know, every year we - we talk about this. When it comes to minorities, you know, getting on that center stage...

FRAZIER: Yes. Oh, yes.

NGUYEN: ... taking home that Oscar, are you seeing more being nominated this time around or is it kind of status quo?

FRAZIER: I mean, let's be honest, when it comes to awards season, the people who take home the awards are not a great cross section of America and - I mean, that's something that has to be worked on and that's something that has to change, and it goes back to the movies. They're - the people who are the powerbrokers and the people who are making the movies.

I mean, you know, I applaud super producer Joel Silver for giving the Hughes brothers a shot to make "The Book of Eli" and, you know, I love the fact that Oprah Winfrey and Tyler Perry stepped in and kind of took the reins with "Precious" and championed that movie. Where would "Precious" be without them?

Lee Daniels, a great director, but think about this. He is the first African-American director ever to be nominated by the Director's Guild for Best Director. How does that happen?

NGUYEN: Yes. Really.

And, you know, all the buzz this year's about certain movies in particular. I got to ask you, when it comes to those that we're expecting to see be nominated, is there a favorite that you have?

FRAZIER: Listen...

NGUYEN: Oh, yes.

FRAZIER: I love - I loved Mo'nique's...

NGUYEN: "Precious"?

FRAZIER: The two - the main two. I loved Mo'nique's performance, and I loved sandra Bullock's performance, and I loved them for the exact reasons I said earlier, is that that you see in Mo'nique one of those sinister characters that comes out and grabs you from the screen that - and it scares you. Mary Jones - when you watch that movie, she scares you.

NGUYEN: Not - not "Avatar"? Not the groundbreaking, you know, movie that that's been so far?

FRAZIER: I thought "Avatar's" fantastic and I think it's great. I think that Mo'nique had the best performance of the year, along with Sandra Bullock.

I also think that now there are people who are being overlooked. I mean, there are some people like...

NGUYEN: Like what?

FRAZIER: I would love to see someone like Nicole Beharie for "American Violet" be nominated, or at least be considered. And in the Dance, I would - you know, I would like to see a - a movie like "Skin" get some run and some - just a few props.

I mean, it's - its interesting, the movies that are chosen and who gets at least into the mix. But I think Sandra Bullock and Mo'nique and Christoph Waltz are the ones who you got give the love to this year.

NGUYEN: All right. They'll be the ones that we'll keep our eye on. We'll be watching as those nominations come out this week.

Frasier, as well, thank you so much. Good talking to you.

FRAZIER: Always great talking to you. TJ, next time she's going to let you talk. I promise.

HOLMES: Hey, I don't know what's going on with movies, that's why she took it...

NGUYEN: He specifically said, "It's all you."

All right. See you later.

T.J. HOLMES, CNN ANCHOR: Good to see you, buddy.

We will continue here now from the CNN Center. You are in the CNN NEWSROOM for this Saturday, January 30th. I'm TJ Holmes.

NGUYEN: Yes. Thanks, everybody for joining us. I'm Betty Nguyen.

OK, let's get right to some of our top stories today. President Obama laying out a two-pronged strategy to keep the economy growing in 2010. Well, in his weekly address today, the president called job creation his number-one priority this year, but he says reducing the deficit is also critical to economic recovery.

The government's money problems were a major point of contention at a House GOP retreat in Baltimore. President Obama went toe to toe with Republicans in an extraordinary exchange. Here's one of the more confrontational moments.

(BEGIN VIDEOTAPE)

REP. JEB HENSARLING (R), TEXAS: But this is what I don't understand, Mr. President. After that discussion, your administration proposed a budget that would triple the national debt over the next 10 years. Surely you don't believe 10 years from now we will still be mired in this recession and propose new entitlement spending and moved the - the cost of government to almost 24.5 percent of the economy.

Now very soon, Mr. President, you're due to send in a new budget, and my question...

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: Jeb, I know there's a question in there somewhere, because you're making a whole bunch of assertions, half of which I disagree with, and I'm having to sit here listening to them.

At some point, I know you're going to let me answer. All right.

HENSARLING: Oh, that - that's the - that's the question. You're soon to submit a new budget, Mr. President. Will that new budget, like your old budget, triple the national debt and continue to take us down the path of increasing the cost of government to almost 25 percent of our economy?

That's the question, Mr. President.

OBAMA: All right. Jeb, with all due respect, I've just got to take this last question as an example of how it's very hard to have the kind of bipartisan work that we're going to do, because the - the whole question was structured as a talking point for running - running a campaign.

Now, look, let's talk about the budget once again because - I'll - I'll go through it with you line by line.

The fact of the matter is is that when we came into office, the deficit was $1.3 trillion. $1.3 trillion. So - so when you say that suddenly I've got a monthly budget that is higher than the - or a - a monthly that - that's higher than the annual deficit left by Republicans, that's factually just not true. And you know it's not true.

(END VIDEOTAPE)

NGUYEN: Joining us now from Washington is CNN Political Editor Mark Preston. Mark, we saw the president go to that Republican retreat, and we saw the sparring. What I want to know is was there anyone that gained politically because of this?

MARK PRESTON, CNN POLITICAL EDITOR: You know, a very good question, because I was talking to a - a Democratic lobbyist very early this morning, and he raised that same question. He said, look, President Obama went there. He seemed to do very well because he was willing to engage Republicans on their turf. Republicans probably did OK because they were willing to hear President Obama out.

The question is, did Congressional Democrats do well, because if President Obama, you know, goes to one of these events and he's critical of Congressional Democrats, which he was there, as well as Congressional Republicans, for the bitterness that is - that we're seeing on Capitol Hill, are they going to lose out?

So, you know, it's something we'll see play out over the next few months. But, you know, look, they were very civil. They didn't agree on the issues, and I don't really expect them to agree, Betty, in the coming months on many issues.

NGUYEN: So the fact he did take the invitation - the president, that is. I mean, have you seen any other president do this? And - and on the heels of that, I want to ask you, you say no agreements were made, so essentially, what was the point?

PRESTON: Well, you know, I mean, look, you have to build a bridge and you at least have to show that there's some comedy here in - in Washington.

So, you know, there was no agreement on specific issues. They're not going to agree on health care. They're not going to agree on how to grow the economy. There might be pieces of legislation that you'll see Democrats and Republicans and of course President Obama agree on, but, by and large, big-ticket items, you know, Republicans and Democrats will keep on banging heads.

What did come out of this, though, yesterday, and we'll see if President Obama keeps his word, which I suspect he will, is that he said he will continue to meet with Congressional Republicans on a regular basis.

Now, as far as a - a president addressing the other party, this has happened in the past, but what we haven't seen, Betty, is that - this political theater happening. Usually the president will go in, deliver an address and then the cameras are shut off, reporters are asked to leave the room, the question and answer period is held behind doors.

Yesterday we saw that play out on the airwaves across the country.

NGUYEN: But we're going to see the president speaking at other events and, you know, reaching across the aisle, if you will. Do you think that there is a climate of bitterness and bickering, or are we moving into a mending of the fences, if you will? PRESTON: You know - I mean, we're heading into a - a midterm campaign year, so expect President Obama, you know, to go out and talk about bipartisanship. You know, he's going to need some bipartisanship, certainly in the Senate, if there is opposition to some, you know, some items. He needs 60 votes.

But you know something? He is also the head of the Democratic Party, and he's got to try to help House Democrats and Senate Democrats win seats in November.

So, look, he's going to be on the campaign trail. There's - there's going to be some heated rhetoric and, you know, that's how it goes here in Washington.

NGUYEN: Yes. There was also some criticism that was thrown at the Supreme Court during the State of the Union Address earlier this week. A - a lot of people watched that and just was a little bit, I guess, perplexed at - as to why was it done at that venue. And then you - we saw Justice Alito shake his head and say that's not true.

I mean, what is going on with the climate of Washington? Or is this just in particular with the president, something that was just really a - a bone of contention for him and he wanted to get it out there?

PRESTON: I think it was a bone of contention for him.

What you - what you usually see here in Washington when it comes to the Supreme Court and Congress is that you never see those direct confrontations on camera between the justices, members of Congress or the president. For that matter, members of Congress will be critical of the Supreme Court but, you know, they're not staring them down, so to speak.

What we saw the other night was very rare when the president took exception with the ruling of the Supreme Court, and we have to say what the ruling was, it had to do with their decision to allow corporations and unions to spend money on television ads, unlimited money, running ads against candidates, something President Obama does not agree with.

But on the whole issue of acrimony here in Washington, yes, things aren't very good here in Washington, but you know something? They weren't very good in here when President Clinton was in office or when President Bush was in office. Democrats and Republicans are not going to agree on issues, and it's just kind of what makes the cogs run here in this country.

NGUYEN: Yes, you got to keep talking, and that's what they're doing.

So Mark Preston, thanks so much for you talking to us today. I know you got a busy weekend ahead, but we appreciate your insight.

PRESTON: Thank you.

NGUYEN: And we want to you, the viewer, this note. Just in case you missed President Obama at the Republican retreat, you have another chance to see it on a special edition of "SITUATION ROOM". That's tonight at 6:00 PM Eastern.

HOLMES: Well, a meeting of the minds - presidential meeting of the minds today, President Obama hosting the Former President George HW Bush at the White House. Mr. Bush was accompanied by his son, the former governor of Florida, Jeb Bush.

Apparently no heavy policy talks here, just a little social - excuse me - social gathering between the former presidents.

I'm (ph) going to make it through this one, though, Betty.

NGUYEN: All right.

HOLMES: All right. The Pentagon now about to start looking at ways to allow gays to serve openly in the military. That's a key goal of President Obama's. Of course, he mentioned that in his State of the Union this week.

Next week, Defense Secretary Robert Gates and Joint Chiefs chairman Admiral Mike Mullen are expected to announce a special review of the military's Don't Ask, Don't Tell policy. The review is expected to take nearly a year to complete and will investigate how to lift the policy without hurting morale or troop readiness.

NGUYEN: Let's talk about weather right now because blinding snow, ice coated trees, downed power lines, highways too dangerous to drive on --- there's a whole lot going on because a big winter storm is causing all sorts of problems from the Southern Plains to the East Coast.

It struck first in Oklahoma and then moved to Texas, Oklahoma City, pretty much paralyzed by ice and snow. Tens of thousands of homes and businesses were basically in the dark after they lost power.

And then of course the storm moved on. It moved eastward. A state of emergency is now in place in Arkansas, Tennessee, and parts of Virginia. Heavy snow and ice are also causing a whole lot of problems in the Carolinas.

Karen Maginnis has been tracking this storm for us, I think I saw the numbers earlier. Is that true? Eleven inches in - in North Carolina?

KAREN MAGINNIS, AMS METEOROLOGIST: Yes. We did see some reports in Asheville of 11 inches. There was a one-day record in Asheville of 8 1/2 inches.

I want to show you what's happening across the South Central United States, because Oklahoma City is still sitting at 20 degrees, so it's not above freezing, so all of that ice is just going to stay put. Those downed trees, downed power lines, they can't do any more damage. Those roads are still going to be terribly slick unless they have been somehow groomed or conditioned or something.

Dallas, 26 degrees, but nonetheless, quite a bit still taking place across this area because we are still looking at - and we've got some jumpy graphics here. I don't know how much more we can do. But anyway, we do have quite a bit of activity to tell you about across the mid-Atlantic region.

Looks like Birginia and specifically Baltimore and Washington, DC, you could see 4 to 8 inches of snowfall. Some isolated areas could see as much as a foot. There you see a beautiful picture out of Washington, DC and what we can expect there, 4 to 8 inches of snowfall there.

The forecast is continually being revised, and that's because this weather system shifts and because of that those snowfall totals are going to change just a little bit. But, all in all, it looks like Virginia is going to be the place that sees the most severe as far as the snowfall totals are concerned.

Can we put up the Atlanta tower cam? Because I know Betty really does like this, especially when there's raindrops on...

NGUYEN: There you go! With the windshield wiper.

MAGINNIS: Yes. I know. And I know you like to have - would like to have control over that, Betty, but I just don't think that that's going to happen.

NGUYEN: I know. They don't let me touch any of the technology around here, for some reason.

MAGINNIS: And speaking of technology, I'm going to have to figure out this - this little hiccup that's going on in my...

NGUYEN: Oh, you mean the Magic Wall is not working?

MAGINNIS: The Magic Wall...

NGUYEN: (INAUDIBLE)?

MAGINNIS: ... is unmagical right now, so let's get that fixed.

NGUYEN: All right. OK, we'll get back to you with that.

MAGINNIS: OK.

NGUYEN: Thank you.

So nearly three weeks after the earthquake, the situation in Haiti remains just desperate, and we're going to take you live to Port-au- Prince to check in on recovery efforts and find out if enough is being done.

(COMMERCIAL BREAK)

HOLMES: All right. We have started to shift from the rescue mode there in Haiti, more so to the recovery efforts.

Our Karl Penhaul is live for us in Port-au-Prince right now. Karl, they're just trying to put the pieces back together, trying to get back to some kind of normalcy, so what does it look like? Here we're almost three weeks after this powerful earthquake. How is the recovery and the reconstruction starting to shape up? KARL PENHAUL, CNN VIDEO CORRESPONDENT: Well, TJ, there's a saying in Haitian, and it goes something like, "Derrier mon gen mon," and that means behind the mountains there are more mountains. Believe it, from here on in, this is going to be an uphill struggle for the Haitians and - and for Haiti itself to try and piece some semblance of normal life back together.

Whatever the billions in international aid coming in, it is never going to be enough, and I think there's a tendency, especially in TV journalism, that we have a disaster, we look for some heroes in the middle, and then we try and find some kind of happy ending. Believe you me, Haiti is a long, long way from that happy ending.

The aid that is coming in is still not enough to go around every day. There are not enough tents to house these people temporarily, to house the homeless. The international community has not succeeded in getting enough tents in. But they're lucky so far because there hasn't been a lot of rain. But this situation is going to be very different when it starts to rain. The homeless, their plight, will become much more difficult.

In terms of getting in the food aid, yes, food aid is coming in. The UN is setting up distribution points, the Haitians are setting up distribution points. That is done with varying degrees of effectiveness. There's a lot of chaos in those food lines still, hungry people fighting in desperation. One of the reasons is because they know there is not enough food to go around, especially not on a daily basis.

You talk to the people in the food lines and they're talking that they may get a handout once every three days. The international donors know that. They say there's no way we can feed everybody that needs food every single day. And so that is another sign of - of the desperation there, TJ.

HOLMES: Well, you did - you talked about the desperation there, but you also - and you made a great point there, Karl, about oftentimes looking for the happy ending. Well, what have you seen there that at least puts the people there - and - and, you know, you didn't sound too optimistic, quite frankly, but still, that maybe puts the people on the right path.

Are you seeing some glimmers of hope and success or are we still in that - that mode of desperation right now?

PENHAUL: I would love to tell you that there's some good news here, TJ. Yes, maybe you can see one or two people or a lot of people doing some good things, but when you try and put it all together and see what it means overall, I would still very much say we've gone from one disaster, which is the earthquake, and the Haitian people are now in another disaster, which is their struggle for survival.

O was talking to the chief of police, and he said, well, he's been surprised because he expects there to be much more lawlessness and looting immediately after the earthquake, but he's not optimistic in the coming days. He thinks that things will get worse. He says his people are getting more hungry, not less hungry, more desperate, not less desperate, and he believes that that will lead to more looting and more lawlessness.

And, in fact, over the last couple of days we have seen signs of that. We have seen looting. We have seen private security companies fighting back against some of the looters, and on occasions, as well, when the looters can't get into buildings either to steal food or certain appliances or goods that they can then sell for cash to buy food, they're simply setting light to buildings, they're setting fire to buildings, hoping then that the fire services will come and break into those buildings and essentially help them loot.

All this adds to a grim picture. I know that this isn't what people want to hear, but it really is the situation on the ground, TJ.

HOLMES: You know, maybe not what people want to hear, but certainly important, and we need to hear it.

Karl Penhaul for us live in Port-au-Prince. A dose of reality that is much needed and much appreciated today. Thanks so much, Karl.

NGUYEN: Well, goodness, after hearing all of that, many of you are wondering so what happens now for Haiti? What's next?

Well, international efforts to rebuild the earthquake-ravaged country are in full force, but it's nowhere near enough. And to make matters worse, it's not even clear just how many are in dire need.

Barbara Starr has this side of that story.

(BEGIN VIDEOTAPE)

BARBARA STARR, CNN PENTAGON CORRESPONDENT (voice-over): Desperate Haitians still struggling for food, water, and shelter nearly three weeks after the earthquake. More than 100 countries and 500 relief organizations and 20,000 American troops are here, but it's still not enough for the more than 1 million displaced.

Listen to the top US commander.

GEN. DOUGLAS FRASER, CMDR., US SOUTHERN COMMAND: We're still not up to meeting the needs of the Haitian people as far as the amount of supplies that are there. We don't have an accurate number of exactly who needs - still needs shelter, who needs food.

STARR: Many Haitians are trying to get out of Port-au-Prince to go live with friends or family. Relief workers are trying to figure out who is left and who needs help.

CNN's Christiane Amanpour spoke to Haiti's prime minister.

CHRISTIANE AMANPOUR, CNN CHIEF INTERNATIONAL CORRESPONDENT: There's no heavy tents. Where are they?

JEAN-MAX BELLERIVE, HAITIAN PRIME MINISTER: I don't know. It's a good question. Normally - we had report that they're (ph) already sent 20,000 tent in Haiti and 20,000 well on the way. The president himself asked to see the - the storage place, and we only counted 3,500 tents.

AMANPOUR: Three thousand five hundred tents?

STARR (on camera): The situation remains grim. The navy hospital ship Comfort has almost no more room for patients. Medical capacity in Haiti is now being maxed out, and the bottom line - no one can say how long it may take to meet the basic needs of Haitians or how much it may cost to do it.

Barbara Starr, CNN, Washington.

(END VIDEOTAPE)

NGUYEN: Obviously a lot of devastation in Haiti, but there's also enormous hope for the future. Be sure to tune in to a special edition of "AC 360" tonight with a look at how individual acts of heroism are helping people rescue a shattered nation. That's "CNN HEROES: SAVING HAITI" tonight and tomorrow, 8:00 PM Eastern, right here on CNN.

HOLMES: We want to take a look at some of the top stories we're keeping an eye on.

An emergency declaration in place in several southern states battered by a winter storm. Snow and ice have crippled areas from the Southern Plains to Virginia and the Carolinas. Roads and highways treacherous right now, thousands of homes and businesses have lost power.

Well, a lottery winner who had been missing in Florida now - excuse me, now found dead. Police say it's obvious that Abraham Shakespeare was murdered, the autopsy being performed this weekend. His remains were found buried under some recently poured concrete at a home in Plant City.

The 43-year-old vanished last April. He won $31 million in a lottery drawing four years ago.

Well, jobs issue one for the president. His weekly address, his administration's main focus, he says, in 2010 will be getting Americans back to work. He's also vowing to rein in federal spending. Some of the themes you heard in his Wednesday night State of the Union Address.

We'll have another check of our top stories in 20 minutes.

NGUYEN: Well, we are headed back into the political world. Coming up, just what is an Independent? We're going to define it. Stay with us.

(COMMERCIAL BREAK)

HOLMES: You know, so much of our political coverage seems to focus on Democrats and Republicans and maybe rightly so in a lot of situations. But there's also some Independents out there who matter an awful lot, and maybe matter most, (INAUDIBLE). NGUYEN: I was about to say - yes. Our Deputy Political Director Paul Steinhauser takes a look at the Independent movement, which is a voting block that may be coveted now more than ever before.

PAUL STEINHAUSER, CNN DEPUTY POLITICAL DIRECTOR: Hey, guys.

One question often asked is just how many people are truly Independent? In every CNN/Opinion Research Corporation poll that we conduct, we always ask, politically, do you consider yourself a Republican, Democrat, or an Independent? In our most recent survey from a week ago, 42 percent of those we questioned described themselves as Independent, 32 percent called themselves Democrats, and 26 percent say they're Republicans.

Now let's break that down. Of those 42 percent who say they're Independents, 14 percent say they're Independents who lean towards Democrats. Another 19 percent say they lean towards the GOP. That leaves 9 percent of the public who say they are Independents with no partisan preference.

Another important point, people, including Independents, change their minds.

(BEGIN VIDEO CLIP)

KEATING HOLLAND, CNN POLLING DIRECTOR: In the past 12 months, the number of men who called themselves Independents has gone up, but the number of Independent women has remained the same. Possibly, as a result of that, Independents are now more Conservative than they were last January.

(END VIDEO CLIP)

STEINHAUSER: Why do we spend so much time talking about Independents? That's simple. They matter.

While they don't always swing elections, recently they have. Independents helped Barack Obama win the White House in 2008, but it was a very different story last November when they helped the Republicans capture two Democratically held governor seats in Virginia and New Jersey. And of course they helped the GOP pull off a big upset in this month's Senate election in Massachusetts.

Back to you.

NGUYEN: All right. Well, coming up, a continuing look at how your stimulus money is being spent, and the focus, one of the most populated places in the world - and polluted, too, a former plutonium processing plant where critics say money is being misspent.

(COMMERCIAL BREAK)

HOLMES: When America invented the atom bomb, millions of dollars sort of went into that project. Thousands of jobs went into it, as well. In a remote area of Washington state where the reactors were built. More than 60 years later, that same place is getting some federal stimulus dollars.

NGUYEN: Yes, it is. As part of a decades-long project to clean it all up, here's CNN's Patrick Oppmann.

(BEGIN VIDEOTAPE)

PATRICK OPPMANN, ALL PLATFORM JOURNALIST (voice-over): Once weapons- grade plutonium was made here. Now it's the largest nuclear waste site in the western hemisphere, a site where moth- balled reactors rise out of the scrub land. One of the most polluted places in the country.

OPPMANN (on camera): It's almost impossible to overstate the size of this project. You have millions of gallons of radioactive waste, thousands of contaminated sites all spread out over about 600 square miles. So an area that's about half the size of the state of Rhode Island.

OPPMANN (voice-over): Now the Hanford site is getting $2 billion in federal stimulus money, money that helps pay Joe Gill's salary. Gill suits up in protective gear to lead a team into what was a plutonium processing plant. I suit up with them.

OPPMANN (on camera): Completely covered so I don't touch anything. If I touch anything with my camera, they'll keep my camera, so have to be very careful with how I shoot this story. Luckily, I've got a lot of help here getting me ready to go into an area they're decontaminating.

OPPMANN (voice-over): To protect us from radiation, workers break down contaminated equipment a room away through lead-lined gloves. It's painstaking and potentially hazardous work, but Gill is happy to be doing it. Is this a good job to have?

JOE GILL, CLEAN UP MANAGER: It's a great job to have. You know, in Seattle, I managed a production warehousing facility for one of the largest companies in the world. Thought I'd be there 20 years. Well, we laid off almost 8,000 people in three months and they shut our plant down. Those jobs aren't jobs you just read in the paper and get.

OPPMANN: Stimulus money is paying for this cleanup work to be done right away rather than several years from now, providing about 1,400 jobs. That ground water has uranium in it flowing right into the river today as we speak.

Gerry Pollet heads a Hanford watchdog group. He's in favor of stimulus money cleaning up decades of contamination but not where it's going.

GERRY POLLET, HEART OF AMERICA NORTHWEST: It's a system where contractors compete to say give me the money rather than energy department and the public agreeing this is where the money should go. And cleaning up along the river is supposed to be a top priority along with empty highland waste tanks. It is not where the money is going. OPPMANN: Cleanup administrators respond to the funds went for work that could be started immediately, such as dismantling these huge basins that cooled reactors. The nearby tricities that border the site have felt the benefit.

OPPMANN (on camera): Despite the economic slowdown, cleanup dollars kept the Hanford area very busy. Home sales were up last year, and unemployment was some of the low nest the state. Residents here say it's almost as if the bad economy has passed them by.

OPPMANN (voice-over): Joe gill says the stimulus buck didn't stop with him.

GILL: Well, yes, we're able to move here and buy a house and stimulate the economy that way. We're able to save for our children's futures. We're able to buy things we need, upgrade our house.

OPPMANN: Stimulus spending may be a radioactive issue in Washington, DC, but in Washington State, a large chunk of that money is making the recession a little less toxic. Patrick Oppmann, CNN, on the Hanford site, Washington.

(END VIDEOTAPE)

NGUYEN: Well, you know, a dangerous winter storm is causing all sorts of problems from the southern plains to the east coast. In fact, a state of emergency now in place in Arkansas, Tennessee, and parts of Virginia.

HOLMES: Another hard-hit state, North Carolina, heavy snow and ice have made roads and highways there treacherous. The snow so heavy in North Carolina, up in the mountain, at least, parts of interstate 26 and 40 have been shut down.

NGUYEN: You know, the storm struck first in Oklahoma, then to Texas, Oklahoma City pretty much paralyzed by ice and snow. Tens of thousands of homes and businesses have lost power. So the question is, when are things going to warm up just a little bit, Karen so they can get life back to normal in these areas that have been hit so hard?

KAREN MAGINNIS, AMS METEOROLOGIST: Yes, it's going to take at least another day and Oklahoma stays in a deep freeze for at least the next 24 hour, and nothing is going to melt or help the situation at all. Roads are still very treacherous. We zoom in across Virginia.

This is going to be some of the worst areas we'll see for the next 24 hours with some of the regions, especially the mountains picking up perhaps in excess of a foot of snowfall. Richmond, 4 to 8 inches expected there and also Williamsburg we're looking at significant snowfall.

But in North Carolina, it's going to be the ice and the freezing rain and the sleet that will cause you big problems not just on the interstates but the secondary roads. Look at these temperatures now, only in the teens. They'll only rise another 4 or 5 degrees and that'll be just about it. But we can see behind this system, temperatures have actually warmed up just a little bit as this system manages to pull away fairly quickly. It's moving along substantially now, but still those winter storm warnings and advisories out all the way from the Southern Appalachians towards the mid-atlantic.

High pressure now moving on in across Oklahoma into Texas but still in the deep freeze there. But we still are looking at that snowfall stretching all the way from Nashville, a couple of inches expected there. But looking at the heaviest snow bands all the way from the Southern Appalachians but Charlotte, freezing rain and sleet.

I looked at the latest observation in Richmond, Virginia, about an hour or so ago and they had freezing rain, heavy snowfall and some blowing snow as that area of low pressure starts to move through the region.

All right, for this afternoon, how about some temperatures -- we're expecting 39 degrees for Dallas but going into the next 24 to 48 hours, those temperatures are going to warm up rather significantly. Dallas will be in the 50s. So that's good news. Betty, T.J., back to you.

NGUYEN: You know we are in the throes of winter when the 50s are sounding good. Right? Thank you, Karen.

It already slammed the plains, now a massive winter storm dumping a treacherous combination of snow and ice, and all of this is spreading east.

(COMMERCIAL BREAK)

NGUYEN: Let's check today's top stories for you right now. President Obama is vowing to take action to cut the deficit saying it is a critical component of the economic recovery. Now, in his weekly address, the president also stressed the importance of job creation. He says putting more Americans back to work is his number-one priority in 2010.

Toyota isn't the only Japanese automaker with a recall. Now Honda says a faulty power window switch on its Fit hatchbacks can overheat and pose a fire hazard. It's recalling more than 140,000 of the 2007 and 2008 models in the U.S. This recall also includes a half million of the vehicles in other countries, as well.

And a massive winter storm slamming parts of the mid-atlantic and southeast. Just check out this video. Heavy snow expected in many areas including Virginia. In fact, nearly a foot has already fallen in parts of North Carolina. The storm blanketed parts of Texas and Oklahoma earlier this week. Thousands of homes and businesses without power at this hour.

(COMMERCIAL BREAK)

HOLMES: Well, let's take a look at DC. There that's our camera. We have at a stake out position right outside the White House, a lot of snow coming down there. A state of emergency has been declared in a lot of southern states because we had that big winter storm that we're keeping an eye on. It's really slamming the region.

Tamara Gibbs with our affiliate WTDD in North Carolina joining us this morning. So, Tamara, how are things?

TAMARA GIBBS: T.J., things are very cold in this winter wonderland. I'm sure you can probably hear the sleet beating on my jacket here. Let me give you a look at how road conditions are here.

You see vehicles sort of passing along here, probably going a little bit too fast than what they should be. What we're being told is that the roads are passable right now but they are treacherous. That means that there are some slick spots out there. Road crews have been trying to remove some of this accumulation, but they're battling two things.

First it was snow. Now it's sleet. And so that is part of the problem that they're experiencing. And as you mentioned, the governor planning to declare a state of emergency, national guard units also helping with all of the efforts here in North Carolina.

HOLMES: And Tamara, you're right, it does appear that some of those folks on the road are going a little faster than they probably should because I can't even really see a road behind you. That just looks like nothing but white. You can't see the road really.

GIBBS: Yes, it's virtually an ice-skating rink, if you will. Someone there with a loud muffler, but definitely you don't want to do NASCAR out here. Again, we keep telling people just slow down. You can't drive on these roads in the way that you would in a nonweather event.

The good news, however, is that people in North Carolina seem to be heeding those warnings. We've had very few accidents in the area where I'm reporting live from right now. But again here's this guy, going a little slow, giving us a little bit of a wave. Hopefully he won't encounter any trouble down the road.

HOLMES: He needs to keep both hands on the wheel right now.

GIBBS: Exactly.

HOLMES: All right, Tamara Gibbs from our affiliate WTDD, we appreciate you this morning. Thanks so much.

NGUYEN: All right, let's talk about your money for a second. Who's making sure that your stimulus money isn't being wasted or being stolen? We're going to meet a man in charge of all of that.

(COMMERCIAL BREAK)

Well, the "Newsroom" does continue at the top of the hour with the lovely and talented, Fredricka Whitfield.

FREDRICKA WHITFIELD: Thank you so much. Good to see you guys. Interesting morning, huh? HOLMES: Yes.

WHITFIELD: Boy, we're going to have an interesting day. Beginning with our legal guys who will join us in the noon eastern hour, everything from John Edwards, the admission of the affair, the admission of the baby, and now there's a tell-all book. And some are wondering whether some of the information in the book, might that bring to some evidence as it pertains to the investigation of finance -- campaign finance funds, were they used, could they have been used in any potential cover-up of the mistress, this affair that he had.

Also, something happened this week in New Orleans that some are wondering whether it has kind of some attributes of Watergatesque types of level of investigation. We're talking about the break-in, the alleged break-in of a federal building of Senator Mary Landrieu's office in New Orleans. Our legal guys will be talking about that. Details about where that investigation is heading next.

NGUYEN: Yes, that's interesting, because one of the guys we had on the show, some sound or at least video saying I just was checking the phones, making sure they were working.

WHITFIELD: He's a well-known conservative activist, at least one of the four who were arrested. But what's the ulterior motive?

NGUYEN: What's the point of it all? Very interesting stuff. I'm looking forward to that.

HOLMES: We'll see you in just a moment.

WHITFIELD: All right.

HOLMES: Well, a lot of you probably wondered if anyone is really checking up on how your stimulus dollars are being spent.

NGUYEN: Well, there is an independent watchdog agency mandated by Congress to keep track of spending and root out fraud, waste, and abuse. Also in charge of the administration's stimulus tracking web site recovery.gov. Now, Kate Bolduan has an exclusive look at the man running all of this.

(BEGIN VIDEOTAPE)

KATE BOLDUAN, CNN CORRESPONDENT: In early morning car pool with his wife arriving at a nondescript building just steps from the White House, probably not what you'd expect from the man tasked with overseeing hundreds of billions of taxpayer dollars.

EARL DEVANEY, CHAIRMAN, RECOVERY BOARD: Tom, (inaudible).

BOLDUAN: His name, Earl Devaney, official title, Chairman of the Recovery Accountability and Transparency Board. Affectionately know as the RAT Board.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: With the appointment of Earl Devaney. BOLDUAN: Sixty two years old and ready to retire, Devaney was appointed by President Obama just days after the stimulus bill was passed.

PRES. BARACK OBAMA: I pointed out just when I saw -- he looks like an -- he's tough. He barely cracks a smile.

BOLDUAN: He found out the president was planning to make that announcement just 10 minutes beforehand. His wife got the news from a co-worker who saw it on TV.

DEVANEY: I had a hard time coming up with the right birthday present this year. The right mother's day present. The right Christmas present.

BOLDUAN: We spent a day with Earl Devaney to find out how he does his job, watching out for your money.

Anyone coming up saying, where are my tax dollars today?

DEVANEY: No, nobody today, but I wouldn't be surprised. I really do think if you're going to steal money this is not the money to steal. There are too many eyeballs on it.

BOLDUAN: His staffers call him the big guy. He's a former college football lineman, later a secret service agent turned inspector general. He's best known for helping uncover the Jack Abramoff lobbying scandal at the Interior Department.

You are the watchdog the stimulus. How big is this job?

DEVANEY: Absolute -- the enormous figure of $787 billion, which is very hard to get your head around, the job is what IGs do. Everyday, we look for proactive ways to prevent fraud, waste and abuse.

BOLDUAN: And we now know the stimulus total is up to $862 billion.

DEVANEY: What about the states? Are they coming in?

BOLDUAN: Devaney is considered a straight shooter and no-nonsense, but did come under fire when bad information surfaced on the recovery web site including reports of stimulus jobs in zip codes that don't exist. So far though he maintain a rare reputation in Washington, well respected on both sides of the aisle.

UNIDENTIFIED MALE: I encourage you to continue doing the great work that you're doing.

UNIDENTIFIED MALE: I'm very appreciative of your work.

BOLDUAN: Republican Darrell Iisa calls Devaney the most honest man he knows.

REP. DARRELL ISSA (R), OVERSIGHT AND GOVERNMENT REFORM COMMITTEE: I think there's going to be one silver lining to the stimulus and that's going to be the work Earl Devaney and the whole recovery.gov is doing. BOLDUAN: He answers directly to Vice President Biden.

And there were two things that you made very clear to tell the vice president.

DEVANEY: I would tell him what he needs to hear, not what he wanted to hear and I would probably make them mad with the first six months.

BOLDUAN: How did that work out?

DEVANEY: I think - I don't know if mad is the right word, but I've -- the vice president and I have had some interesting discussions.

BOLDUAN: Those interesting discussions have likely includes Devaney's take on counting stimulus jobs. Last November when critics raised questions about White House claims of how many jobs the stimulus had created or saved, Devaney suggested the numbers aren't so clear.

DEVANEY: I believe that the principle downside of transparency is embarrassment and there is enough of that here to go all around.

BOLDUAN: Why should the American public trust you, trust Earl Devaney, with their tax dollars?

DEVANEY: All I've ever done is try to ensure that the American people don't get ripped off or have their money wasted.

BOLDUAN: One year ago, I would have to believe so many people would say they had no idea who Earl Devaney was. Would you have preferred to keep it that way?

DEVANEY: Yes.

(END VIDEO TAPE)

NGUYEN: That is Kate Bolduan reporting there. We are told that the latest and most up to date stimulus project information is being posted on the recovery board's web site today.

Well, he has weathered a lot of political storm, but don't expect President Obama to start pedaling waterproof jackets. Why the White House demanded a massive Time Square ad be taken down.

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I know. Some people may be a little disappointed, but it looks like President Obama's modeling days are over, for now.

HOLMES: Yes, he still has a future in it, probably. A clothing company that tried to boost sales by showcasing a picture of the president in one of its jackets as pull down those ads now. Not stopping a presidential look-alike from peddling products.

NGUYEN: Yes, here's Jeanne Moos.

(BEGIN VIDEOTAPE) JEANNE MOOS, CNN CORRESPONDENT (voice-over): President Obama took it all off. You cannot call this the Obama jacket?

UNIDENTIFIED MALE: Absolutely not. Where's the black Obama jacket?

MOOS: We know where it's not. Not in anymore. The Times Square ad showing the president in a weatherproof jacket hit the dust at the demand of the White House.

UNIDENTIFIED MALE: We didn't want to anyway alienate the White House.

MOOS: The folks noticed President Obama wearing their jacket on the Great Wall of China.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: This is majestic.

MOOS: The president meant the wall, but the coat company thought he looked majestic in their jacket so they bought rights to an Associated Press photo and slapped it on a billboard. A leader in style, bet you say that to everybody.

UNIDENTIFIED MALE: You look great in that, by the way.

MOOS: To avoid any kind of legal problem, the company officially refers to the Obama jacket as Style 2821. The White House doesn't want the president's image to be used to sell any product. So after milking the controversy for a few weeks, Weatherproof cheerfully took down the billboard, and asked Sarah Palin if she would model one of their jackets.

UNIDENTIFIED MALE: Said no.

MOOS: When they spotted Conan O'Brien wearing one the other day on NBC they asked his folks.

UNIDENTIFIED MALE: They were not interested at this point.

MOOS: But an Israeli satellite TV company knows the next best thing to having the actual first couple peddling their product.

UNIDENTIFIED FEMALE: Mister, I'm going to change the world, maybe you can start with think boring TV.

UNIDENTIFIED MALE: Yes, I can. My lady walks the

MOOS: They hired an Obama look alike.

UNIDENTIFIED MALE: He looks like me. Jose Williams.

MOOS: On Jose's way to shoot the ad in Romania --

JOSE WILLIAMS, OBAMA IMPERSONATOR: It was nonstop. I got on the plane people thought they were being privileged by the president sitting in economy class.

MOOS: Jose says he loves the president and when he impersonates him. WILLIAMS: I'm very careful it's going to be in my mind, good taste.

MOOS: Catch you later Obama billboard, replaced with Mount Rushmore, fit for a president. It's safer to use a dead president, or --

UNIDENTIFIED MALE: I don't know if you're available in terms of modeling?

MOOS (on camera): Yes.

UNIDENTIFIED MALE: But you look fabulous in the jacket.

MOOS: Forget weatherproof. Call me weather-beaten. Jeanne Moos, CNN, New York.

(END VIDEOTAPE)

NGUYEN: I don't know. I think that company is pretty smart. Look, they put it up, they knew they would have to take it down, but look at all the talk that surfaced. It's been on TV how many times now and we're still talking about it.

HOLMES: I didn't even know about the jackets before.

Now do you. And Fredricka, you, either?

WHITFIELD: That worked. Now we all know. They're still going to call it the Obama jacket.

NGUYEN: Right, of course they will. Hang on that, and so will everybody else. Hang on the threads for a while. All right, have a great day.