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President Obama's Health Reform Blueprint; Glenn Beck Criticizes GOP; Washington in Gridlock

Aired February 22, 2010 - 12:00   ET

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

BROOKE BALDWIN, CNN ANCHOR: Time now for your top-of-the-hour reset. I'm Brooke Baldwin in for Tony Harris in the CNN NEWSROOM.

Check the clocks. It's 12:00 in Washington where President Obama posted his very own version of health care reform. You can check it out. Go to the White House website.

And at the Capitol, we are looking under the dome to find out why Washington can't get much of anything done, our week-long focus, what we're calling broken government, begins today.

And in the Philadelphia area, the FBI is investigating a school district accused of spying on its own students with laptop webcams.

Let's get started.

Want to start with the White House Web site. You can read President Obama's version of health care reform, the first he has put out there. He posted the plan just about two hours ago now, essentially blending the health care bills written by Congress with some new ideas.

So let's talk about it. Let's talk with White House Correspondent Suzanne Malveaux, who I know has taken a look at this 11-page proposal that we've all printed out.

And Suzanne, just take us through essentially the highlights here in the president's proposal.

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Well, you know, one of the things that the communications director at the White House said this morning was that this is really the opening bid here for those discussions that are going to take place with Democrats and Republicans about the health care initiative and moving forward here. It very much mirrors the Senate version of the bill, very similar to it with a couple of exceptions, however.

We talk about the fact that most Americans will be required to get health care insurance. There will be subsidies for low and middle incomes folks. But there are some exceptions to Senate bill here.

One of them is that it is going to treat all of the states the same. There are not going to be any kind of special deals for one senator or one state than another. Specifically, they talk about the Nebraska deal that was made. That's not happening any more, at least not on the president's watch.

The second thing they talk about is it closes the doughnut, or the gap, if you will. There's this gap that requires senior citizens to pay for their prescription drugs. Well, that is going to be closed, so that will be eliminated.

Another thing that it talks about is creating a new provision to give the government more authority when it comes to going up against these insurance companies when they slap really big, excessive fees, hikes on the premiums. There is going to be, through the Department of Health and Human Services, a way of dealing with those insurance companies and saying hey, you know what? That's not allowed.

All of these things together, the president argues, will be put forward on Thursday in an effort to be bipartisan in moving health care legislation forward.

Here's what he told the governors earlier today.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: As governors, I know you feel the same responsibility to see the people we serve through difficult times. And I know you share my feelings that we've also got responsibility to think beyond the crisis and build an economy that works for our future, to tackle some of the problems and barriers that have held us back, and to secure our rightful place as the preeminent economy in the 21st century. And that's why we've taken up the cause of better health care that works for our people, our businesses and our governments alike.

(END VIDEO CLIP)

MALVEAUX: And Brooke, one of the things that senior administration officials said this morning in talking with them in a conference call, they said, look, you know, they expect for the Republicans to come forward with their own proposal. They're challenging them to put it on the Internet, if you will, before this Thursday meeting, gearing up for that.

They say the president, in no uncertain terms, is going to go back to the drawing board. He has put his signature health care plan forward. It is now up to them. And clearly, this is kind of a "show me what you got" kind of health care summit happening on Thursday.

He is really raising the stakes here when it comes to pushing forward on health care reform. We'll see how he manages with both the Democrats and the Republicans, whether either one, either side, even his own party, will sign off on all of this -- Brooke.

BALDWIN: Certainly raising the stakes and giving them a couple of days before this big summit. We'll get to watch it unfold, as you mentioned, on TV, Thursday, for that summit.

Suzanne Malveaux, thank you for that perspective. In just a couple of minutes, we will look ahead to this week's health care reform summit. Again, happening Thursday, what's at stake. We'll talk to Dana Bash about that in just a moment.

But first, fatal mistake in Afghanistan. A NATO air strike kills 27 civilians. We're talking women, we're talking children here. Wounds, 14 more.

The victims were traveling in a convoy in Daikondi province. Now, commanders say they thought they were insurgents, but ground troops arrived, and as I said, they found women and children there. NATO leaders, they're stepping forward, they're apologizing and promising an investigation.

And more trouble for Toyota. A federal grand jury has just slapped the carmaker with a subpoena related to all those acceleration and brake problems we've been talking about for the past month or so. Newly uncovered documents show a Toyota executive bragged about saving $100 million by limiting and delaying that floor mat recall, the one from 2007.

Well, today, take a look at this. Toyota did issue this response. They say, "Our first priority is safety... and to conclude otherwise is wrong."

A congressional hearing on the recall starts Wednesday.

And a pilot strike at Lufthansa. One of the world's largest airlines grounding hundreds of flights. Passengers on partner lines may feel the pinch as well. A lot of people delayed.

Salary and job security are behind this four-day walkout. An airline spokesman says they're trying to soften the consequences for all the passengers out there affected by this thing. But in the meantime, you guessed it, a lot of frustration.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: I know these things happen, but it's just a total inconvenience. And I'm a little bit surprised there only seem to be the odd flight. It's not as if the whole place is shut down. So how they've cherry-picked which flights to cancel, I don't know. We've had no information whatsoever other than the lady in San Francisco saying Lufthansa is on strike.

UNIDENTIFIED MALE: I guess they've got to fight for their rights. On the other hand, it's a bit inconvenient for everybody who's flying with them.

UNIDENTIFIED MALE: It's a big mess. I think it's not the right time and not the right moment to do such things.

(END VIDEO CLIP)

BALDWIN: As promised, more on our top story, health care reform and the summit set for Thursday. Let's look ahead now. CNN Senior Congressional Correspondent Dana Bash joining us at the Capitol.

And Dana, I found it interesting, just listening to Suzanne saying, hey, Republicans may come out. Now they may have their own version that they'll splatter across the Internet before the summit on Thursday, which I just found interesting.

But really, my question is, you know, this plan is focusing on specific ways the president is working to bridge health care gaps among his own party.

DANA BASH, CNN SR. CONGRESSIONAL CORRESPONDENT: Exactly. And let's start there, Brooke, because you said it.

Look, this is all about working towards getting in a good position from the White House's perspective before this summit on Thursday. And one of the main things that the White House knows that they have to do is get Democrats on the same page, or at least try. And that means bridging some of the differences between the House and the Senate bills.

And the president, for the first time, really putting his official stamp on it. Let me just give you one example.

One of the big differences between the House and Senate Democrats was, how do you pay for this massive health care reform? And a big controversial issue was the whole idea that the Senate has to tax high-cost insurance plans.

So here you see a quote here. This is from the White House Web site.

This is a compromise. This is raising the threshold. It was $23,000, and now it says the excise tax will only apply to premiums above $27,500 for families and $10,200 for singles in 2018.

So, this is an example, if you look on WhiteHouse.gov, of one of the main points of controversy between Democrats that the White House is trying to litigate here. It also, I should mention, is a big controversial issue with one of the key groups, and that is labor. And that is something that the White House is hoping will bridge the divide between House and Senate Democrats. A very long way to go on that.

BALDWIN: So as he's trying to bridge the divide and get Dems on board, what about the Republicans? We mentioned they're supposed to be meeting with the president for the summit on Thursday. It's televised.

Is there anything in these 11 pages for them?

BASH: Well, if you look at the White House Web site, the White House says there is. There's actually a whole section, Brooke. It's called "Republican Ideas Included in the President's Proposal." And if you go through, you can scroll through and you can look at some of them.

You talk to Republicans, however, as I have today, and they say sure, they support all of the things in here. But they are kind of peripheral proposals that Republicans have pushed, not the big ideas. Just for example, allowing people to buy insurance across state lines. That's absent from this.

And beyond that, the Republicans, at least the initial response to what the White House has put up here today, is scathing, Brooke. Look at this quote from the House Republican leader, John Boehner.

"The president has crippled the credibility of this week's summit by proposing the same massive government takeover of health care based on a partisan bill that the American people have already rejected." He goes on to say that the summit on Thursday, Brooke, has all the makings of a Democratic infomercial for continuing on a partisan course.

Now, I talked to his top aide. He said yes, he is still planning on going. You heard yesterday, over the weekend, the Senate Republican leader saying they are planning on going. But they are saying that they believe that this is, from their perspective, a sham, and that it is proven by the White House putting out a bill that really is, again, a compromise of two almost entirely -- actually, entirely -- Democratic bills in the House and the Senate -- Brooke.

BALDWIN: A sham. I think I read somewhere political theater. But others may argue it's transparency. So we'll just have to wait. And we all get to watch. Thursday, the summit.

BASH: We do.

BALDWIN: Dana Bash, thank you.

BASH: Thanks, Brooke.

BALDWIN: Glen Beck, known for criticizing President Obama, took on a new target this weekend -- the Republican Party. Why?

First though, our "Random Moment" in 90 seconds.

(COMMERCIAL BREAK)

BALDWIN: All right. I'm going to try to do this with a straight face.

A warning label on wieners? Pass the ketchup and sample our "Random Moment of the Day."

Sure, any kid could choke on a hotdog if he tries to cram it in his mouth, right? Well, even a grownup could gag if you down them like they do at Nathan's hotdog-eating contest every summer.

Still, a pediatricians' group wants warning labels on hotdogs to keep kids from choking. Better yet, they want the hotdog redesigned so it can't lodge in the throat. People, what's next? The banana?

That is our "Random Moment of the Day."

(COMMERCIAL BREAK)

BALDWIN: The Conservative Political Action Conference, CPAC, wrapped up this weekend with talk show host Glenn Beck as its keynote speaker. And CNN's Jim Acosta tells us how he flipped the script by going after the Republican Party.

(BEGIN VIDEOTAPE)

GLENN BECK, FOX NEWS HOST: It is still morning in America.

(APPLAUSE)

BECK: It just happens to be kind of a head pounding, hung over, vomiting for four hours kind of morning in America.

JIM ACOSTA, CNN CORRESPONDENT (voice-over): It's no mystery why the Conservative Political Action Conference elected Glenn Beck as its keynote speaker.

BECK: Is this cold -- yes. I'm turning into a freaking televangelist --

ACOSTA: With his off-the-wall outbursts on all things Obama, Beck is a conservative household name. But at the conference, the conservative talk show host surprised the room with a rant against Republicans.

BECK: All they're talking about is we need a big tent. We need a big tent. Can we get a bigger tent? How can we get a big tent? What is this, a circus?

ACOSTA: At times sounding like a self-help guru, a Dr. Phil to the GOP, Beck ordered the Republican Party to take the first step toward redemption.

BECK: Hello, my name is the Republican Party, and I've got a problem. I'm addicted to spending and big government.

ACOSTA: It was a battle cry for conservative purity right out of the tea party movement. Even presidential hopefuls were getting in on the act as Minnesota Governor Tim Pawlenty reflected on the saga surrounding a certain American golfer.

GOV. TIM PAWLENTY (R), MINNESOTA: I think we should take a page out of her playbook and take a 9-iron and smash the window out of big government in this country.

ACOSTA: But before you think this is a sign of the Republican Party to come --

REP. RON PAUL (R), FINANCIAL SERVICES COMMITTEE: It sounds to me like the revolution is alive and well.

(APPLAUSE)

ACOSTA: When Texas Congressman Ron Paul was named the winner in the conference straw poll in the 2012 presidential race --

UNIDENTIFIED MALE: Now --

ACOSTA: The winner of this year's CPAC straw poll is Texas Congressman Ron Paul.

There were boos. Some Republicans worry their party is sending the wrong message for the upcoming midterm elections.

GOV. ARNOLD SCHWARZENEGGER (R), CALIFORNIA: They have to do everything they can in order to win in November. So they're going to say no to everything. They're going to say it's not good what Obama is doing. That's natural.

UNIDENTIFIED MALE: So they are the party of no.

SCHWARZENEGGER: They're the party of no.

ACOSTA: As for Glenn Beck's call for Republicans to admit they have a problem with conservatives --

SEN. MITCH MCCONNELL (R), MINORITY LEADER: Everybody in this country has got a right to their opinion. I think the American people are very open to our proposals. And if the election were held tomorrow, would be very inclined to vote for us in large numbers.

ACOSTA (on camera): There was one surprising outcome at the CPAC conference. Two percent of those surveyed at the event approved of President Obama's performance. One Republican pollster said he'd like to know who they are.

Jim Acosta, CNN, Washington.

(END VIDEOTAPE)

BALDWIN: And now back to "Broken Government." That's what we're calling our weeklong CNN investigation. And I want you to look at these numbers.

This is a CNN/Opinion Research Corporation poll. It finds 86 percent of people asked believe our government is in fact broken. Only 14 percent think it's on the right track.

So, going with that number, if Washington is broken, can it be fixed?

"TIME" magazine editor-at-large David Von Drehle joins me. He is in Kansas City, Missouri.

David, I read your February 18th article, which is excellent, how it was written. But you write about the trust deficit. And sort of spring-boarding off of those numbers, why, quite simply, are so many Americans disillusioned?

DAVID VON DREHLE, "TIME" MAGAZINE: Well, it starts with the economy. These are bad times, hard times, and hard times always produce anger and disillusionment.

In this case, these hard times have also been used by the governing party to push through agenda items like health care and climate control. And so forth, that may be good, may be bad, but they have not really been explained, I don't think, to the American people as to why they're necessary responses to the economy. And so what people hear out in the country is a trillion here, a trillion there, and they're starting to worry about where all this money is going to come from and why it all has to be spent, and where it's all going.

BALDWIN: So, if people are worried about the trillion -- or maybe I think I heard a quadrillion number thrown out there -- you know, they're unhappy, they're disillusioned, they're distrustful with Washington. We're seeing this grassroots movement. You know, you write about the Tea Party, these anti-big government groups.

So, I guess my question to you is, it's twofold. One, what kind of solutions might this group offer? And two, what about their candidates like you mentioned back in 1992 with Ross Perot? How might the candidates make a difference, big picture?

VON DREHLE: Right. Well, the big picture is the Tea Party is not a single organization. It's a lot of individual groups, hundreds, maybe thousands, connected on the Internet, maybe millions if you count the people just sitting at home and shaking their fists at the news. And so, they don't have an agenda.

They do not have the a coherent plan -- this is what we want to do. And they are not rallied behind one candidate.

They are a force in certain elections. We saw them in Massachusetts around Scott Brown. We're seeing them in Florida around Senate challenger Marco Rubio. We're seeing them in Arizona, in a challenge to John McCain there.

But this is the problem for protest movements, is how do you go from being against something -- in this case, run away government, as they perceive it -- to being for something? Once you start proposing what you want to do, that's when these movements start to fracture and to break up.

BALDWIN: And once they fracture and break up, then is that the last we hear from them, or what?

VON DREHLE: No, I think they do tend to have effects on the governing parties, on the Republicans and the Democrats. We've already seen in Washington a change of tactics, a lot of soul searching, a lot of argument about how the Democratic administration and Congress should proceed. That's an effect of the Tea Party movement already.

You're going to see it in the Republican Party. Which way do they go? How far out there, how far to the right? Do they go to the middle?

Everybody's trying to figure out, what is this and how do we respond? But the response, the lasting response, is going to play out in the parties and not through some third-party movement. This is a two-party country. It's very hard to change that.

BALDWIN: But as you mentioned at the end of your article, both the Republicans and Democrats, you say be very afraid.

VON DREHLE: If you're running those parties you should be very afraid, because Americans don't like what you're doing.

BALDWIN: Yes. And David, let me just go quickly to some more numbers, because I found this interesting.

Back to our CNN/Opinion Research poll, we talk about the 86 percent of Americans that say yes the government is broken. But this is what I found curious -- of that will number, 81 percent say it can be fixed.

So, what do you think, is this a glass half full, half empty situation? Why those numbers? And what do they think will ultimately fix it?

VON DREHLE: I'm an eternal optimist about the United States. I mean, we've always fixed things in the past. There's a lot of creativity, a lot of resilience in this country. And so I'm going to say glass half full. But we're in a tough time and it's going to be a bumpy road.

BALDWIN: And it will be an exciting year, especially come midterm.

David Von Drehle with "TIME" magazine.

Thank you so much for joining us.

VON DREHLE: Thank you.

BALDWIN: Thank you.

Well, our "Broken Government" investigation continues throughout this week here on CNN.

Tomorrow, on CNN's "AMERICAN MORNING," President Obama has promised giving $30 billion to community banks to help small businesses. But is the proposal coming too little too late?

"AMERICAN MORNING" looks at what small business owners think about the fix.

And tonight, on "CAMPBELL BROWN," at 8:00 Eastern Time, what are the top 10 greatest hits of congressional incompetence? Campbell Brown tees up what has people so upset.

And then on "AC 360," who really runs Washington? Maybe just the lobbyists. "AC 360" reveals how beltway lobby shops are really just waiting rooms for brand new politicians.

(NEWSBREAK)

(COMMERCIAL BREAK)

BALDWIN: All right, parents. Imagine this happening to you and your child.

Students from schools in a Philadelphia district say a security program installed on school laptops allowed the school to spy on them even in the privacy of their own homes. In fact, one family, we're hearing, has filed a class action lawsuit. You won't believe how they found out.

Digging into this is our own Ines Ferre.

Ines, I heard about the story when it broke last week, and I thought, how is this possible? So, essentially, the school gives these students the laptops. The student takes the laptop home. But then what happened?

INES FERRE, CNN CORRESPONDENT: Right. And then the students say that they're beak spied on with these laptops.

Now, the FBI, Brooke, is investigating whether the Lower Merion school district outside of Philadelphia broke the law by monitoring students' computers. And that's according to a law enforcement official with knowledge of the case.

Now, this all stemmed from an incident where a 15-year-old student was told by an assistant principal that he was caught engaging in improper behavior. The boy's family says a picture of him was taken by the school via his laptop Web cam at his home, his own room. The boy's parents are suing the school district saying it crossed the line.

Listen to this.

(BEGIN VIDEO CLIP)

HOLLY ROBBINS, PARENT: It was an invasion of privacy. It was as if we had a peeping Tom in our house. I send my son to school to learn, not to be spied on.

(END VIDEO CLIP)

FERRE: Now, the district superintendent has rejected the allegations saying that "At no time did any high school administrator have the ability or actually access the security-tracking software. The district never did and never would use such tactics as a basis for disciplinary action."

Now, a spokesman for the school district told CNN that the district remotely accesses a laptop only if it's reported lost, stolen or missing. And tracking software was activated on some 42 laptops in the 2009/2010 school year. The superintendent says the tracking software has now been completely disabled -- Brooke.

BALDWIN: So it's disabled, but you mentioned the student who sort of touched this whole thing off.

What improper behavior was he engaging in at home?

FERRE: Well, his mother says that the pictures that were taken of him were what the school thought he had pills in his hand, or drugs in his hands. But it turns out, the mother says, that those were Mike and Ike candies, that this child really likes Mike and Ike candies. He had him with him, and they took a picture of him and they thought that it was drugs.

BALDWIN: And now the family has filed this class action lawsuit. We'll have to see how it plays out. What a story.

Ines Ferre, thank you.

We also asked you -- this was our blog question. We're asking essentially did the school district cross the line here?

Want to read you a couple of the responses.

Bec says, "This is beyond disgusting. If I were one of the children or parents, for that matter, I would feel so violated."

Christopher says, "I'm sorry, kids, but the laptop was not your own. And as sad as it might be, welcome to the world of big brother."

Eric writes in, "They absolutely crossed the line. The school has no business recording kids at home. If they want to keep track of computers, put GPS chips in them!"

Thanks for weighing in.

Let's talk about Toyota. More trouble. Now the U.S. courts are involved here.

(COMMERCIAL BREAK)

BALDWIN: All right. Let's get a quick check of the numbers on Wall Street. As I do so, I just want to always remind you, for the latest money news, go to CNNmoney.com.

Now to the big board, if we can. The Nasdaq is down 5 points. Dow Jones Industrials down 17 points, sitting at 10,385. Midday trading there on the New York Stock Exchange.

Toyota has just been hit with subpoenas for documents related to acceleration and brake recalls. Allan Chernoff digging into this story from our New York bureau.

And, Allan, I read the note. It's a subpoena pertaining to the Prius brake problems, correct?

ALLAN CHERNOFF, CNN CORRESPONDENT: Prius brake problem and also that sudden acceleration that we've been talking about for several weeks now regarding Toyota. Toyota, in a filing with the Securities & Exchange Commission, is saying that it has received a request, first of all, from a grand jury, a criminal investigation here in New York, and also from the Securities & Exchange Commission in Los Angeles requesting documents related to those issues. So it seems that Toyota's PR problem is now also a legal problem. A major one.

BALDWIN: And now from the news of the subpoena to the news about this internal memo in which essentially this executive is bragging that they, I think it was what, $100 million that they saved by limiting a recall. How did anyone even find that document?

CHERNOFF: It actually was found, it was submitted to the House Oversight Committee, House Oversight and Government Affairs Committee. They will be holding a hearing this week dealing with these Toyota issues.

And here is the document right here, the internal Toyota document. Let's give a little bit of background. This relates to a recall two years ago when Toyota did recall 55,000 floor mats. This related to the issue of unintended sudden acceleration. It was able to negotiate a recall of the floor mats instead of a bigger recall for total fixes of these vehicles.

And the document says "wins for Toyota safety group." This is, by the way, a document prepared for the top executive of Toyota here in the United States. Negotiated "equipment" recall. Equipment refers to those floor mats on the Camry and the Lexus ES in reference to sudden acceleration, that's that SA, saved more than $100 million with no defect found. So this does not look very good.

But Toyota is saying, wait a minute. Don't make a judgment just on that one document there. They're saying "our first priority is the safety of our customers and to conclude otherwise on the basis of one internal presentation is wrong. Our values have always been to put the customer first and ensure the highest levels of safety and quality."

NHTSA, which oversees these recalls, the National Highway Traffic Safety Administration, well, they're not too happy about the situation. They are saying that "safety is everybody's responsibility." Bottom line, "it's the responsibility of automakers to come forward when there is a problem. Unfortunately, this document is very telling."

And you better believe that document will be the focus of a lot of attention at the congressional hearings this week.

BALDWIN: Right, beginning Wednesday. Mr. Toyoda himself will be in Washington. Allan Chernoff, I'm sure you'll be watch that for us and reporting back.

Allan, thank you.

Protecting you from the plastic. Sweeping new credit card rules that limit excessive rate hikes and other abusive industry practices take effect today. But some of the biggest changes are aimed at those under 21. CNNMoney.com's Poppy Harlow explains. (BEGIN VIDEOTAPE)

PROF. HAROLD TAKOOSHIAN, FORDHAM UNIVERSITY: The availability of credit is both an American dream, as well as an American nightmare.

GERRI DETWEILER, CREDIT.COM: The days of easy credit cards for college students are largely over.

POPPY HARLOW, CNNMONEY.COM (voice-over): New consumer protections regulating credit cards take effect today. And American college students are taking notice, like these ones attending this debt panel at Fordham University in New York.

FRANCIS PASTORELLE, STUDENT, FORDHAM UNIVERSITY: You know, it just was something that was so easy just to swipe it and, you know, I could tell myself I was actually benefiting myself by building this credit history. You know, it's just one of those things where you don't really think about the risks until it's, you know, there in front of you on your statement.

HARLOW: The new rules set limits on how credit card companies can raise rates and fees. A problem that has hit Americans of all ages. But new protections for those 21 and under mean many college students now have to prove that they can pay their balance in full or have a cosigner on the account.

According to Sallie Mae, 84 percent of undergraduates have at least one credit card and they're carrying record-high balances, averaging in excess of $3,000. And with the nation's economic downturn, students are charging more than ever before, even for necessities like textbooks, just to get by.

PASTORELLE: As soon as I would get it down a little bit, there would be another debt that I had to put on. Some sort of medical bill or, you know, textbooks. So it would just always feel like -- it was like a weight that I couldn't get out from underneath.

HARLOW: That weight can be a burden students carry with them well into adulthood. Until now, credit card companies targeted students with enticing terms.

CHARLIE PUENTE, STUDENT, FORDHAM UNIVERSITY: They were flashing, you know, like zero APR, or like no payments the first year, you get this and this platinum card.

HARLOW: But those terms later reset much higher. Still, even wary students often feel compelled to open accounts. Why? To start building their credit. But here's the problem. As the debt piles higher, many students end up hurting their credit scores for years beyond graduation.

(END VIDEOTAPE)

BALDWIN: All right, Poppy Harlow. So we know students use credit cards a lot.

HARLOW: Right.

BALDWIN: That's old news. But the new news is the other protections here for young consumers that are now officially in effect. What are these protections?

HARLOW: Well, what I think is going to stand out most to students is no longer can credit card companies set up those booths on their campus or anywhere near it where they offer you a water bottle or a teddy bear or what have you. These incentives. They cannot give away anything tangible any more to get you to sign up for that credit card. That's going to drive a lot of students away. That's a good thing.

The other part of this law that is recommended, it's not mandated, Brooke, but it's interesting, Congress wrote, when you read through it, they suggested that every university now offer mandatory debt education and credit card classes either in orientation or for graduating seniors to actually teach them all of what goes along with signing up for that credit card.

We visited Fordham University right here in New York. They're doing that for their graduating seniors. A lot more schools across the country catching on and doing that, trying to help the folks that are in school and not making much money to pay off those balances -- Brooke.

BALDWIN: I don't think I got that in my Econ 101 at UNC-Chapel Hill. I don't know about you, Miss Columbia.

HARLOW: I didn't either. Me neither. Me neither.

BALDWIN: All right, Poppy, thanks.

HARLOW: You got it.

BALDWIN: Why are some places better able to cope with the recession than others? We are finding people who are building up America during hard times.

(COMMERCIAL BREAK)

BALDWIN: Taking a quick look at our top stories.

A government official tells CNN, one of three men charged with trying to blow up bombs in New York is expected to plead guilty today. We're talking about Najibullah Zazi. He was arrested in September. His father and uncle also indicted in the case.

A deadly train incident in central Florida. Three teen girls were killed Saturday night when they were hit by a freight train while crossing a trestle over a creek in Melbourne. A friend had already crossed and tried to warn the girls but it was too late.

And space shuttle Endeavour back on solid ground after gliding into a safe landing last night -- late last night at Florida's Kennedy Space Center. The crew left behind a virtually completed space station after installing a new room and observation deck up there. Only four shuttle missions remain before the program totally ends.

With tough economic times still gripping the nation, many Americans are sitting there just wondering if there is ever an end in sight. Our Tom Foreman hit the road in the CNN Express to find people who are taking things into their own hands and building up America.

TOM FOREMAN, CNN CORRESPONDENT: Brooke, we are here looking into this whole idea of how people are building up America through their businesses, through their government, through their community and this place is a great place to be because there are economic forecasters who already say Austin all the way down to San Antonio and much of the rest of Texas will be leading the nation in the economic recovery. And the truth is, you don't have to ride around very long before you see why.

(BEGIN VIDEOTAPE)

FOREMAN (voice-over): At Ginny's Little Longhorn Saloon, the crowd is always happy when Dale Watson is on the band stand. And they should be. Not only is he a bonafide country music legend who lives here, but also their community is building up its economy even while the recession is holding much of the country down.

UNIDENTIFIED FEMALE: I don't feel like we have felt it as much.

FOREMAN: Dale's fans have an idea why.

UNIDENTIFIED MALE: A lot of different types of businesses here.

UNIDENTIFIED FEMALE: People support their local businesses, small businesses.

RUSSELL WILLIAMS, ECONOMICS STUDENT: Businesses want to come here because it's a tax haven. And that creates a growth during these periods of recession.

FOREMAN: With a strong base of steady jobs and government, higher education and the private sector, this is, after all, home to Dell Computers, Austin is hanging tougher. While nationwide unemployment is around 10 percent, Austin's is closer to 7. While foreclosures continue to rock many communities, real estate analysts are predicting Austin will be one of the country's strongest markets this year.

UNIDENTIFIED MALE: Number one meat chili was Gold Medal Chili.

FOREMAN: And while in many places gloom has prevailed, here in even something as simple as the annual chili cook-off at the Jewish Community Center, you can find people pulling together in the face of adversity, across religious, ethnic and economic lines.

ROBERT CULLICK, AUSTIN RESIDENT: There's 1,000 reasons to be separate, right, and to separate ourselves into disparate groups. And the great thing about this community is that we're finding all sorts of reasons to be together.

FOREMAN: Back as Ginny's, that's a sentiment Dale Watson shares.

FOREMAN (on camera): It's not that the recession hasn't hit here. It has hit here, but the town has reacted to it differently.

DALE WATSON: I'll give you that. Yes. It definitely has hit here, but we don't feel it as much because I think we support local businesses more here and that goes from Dell Computers to Joe's Coffee Shop downtown.

FOREMAN (voice-over): Big and small, it's all connected. And that's part of what has kept Austin swinging.

(END VIDEOTAPE)

FOREMAN: There are, of course, a lot of details involved in how all these people are really making this work. We're going to look into more of that all week long as we continue looking at this question of how people all over are building up America -- Brooke.

BALDWIN: Tom Foreman rolling along in the CNN Express. Tom, thank you.

Here's another story out of Texas. Setting fire to sacred places. Authorities get a break in the case that has had an entire community on edge.

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BALDWIN: Wow. Police in east Texas says they've arrested the arsonists responsible for 10 church fires. We have live pictures coming in from Tyler, Texas. There they are being arraigned. CNN's Ed Lavandera has the story.

(BEGIN VIDEOTAPE)

ED LAVANDERA, CNN CORRESPONDENT: For almost two months, church fires have horrified local residents and clergymen across east Texas. But now authorities say they've arrested the two men responsible.

LAVANDERA (voice-over): Ten churches torched across east Texas since January 1st, and these two men are accused of burning them down. Nineteen-year-old Jason Bourque and 21-year-old Daniel McAllister. They've been charged with one count of arson so far, but authorities say more will follow.

STEVEN C. MCCRAW, DIRECTOR, TEXAS DEPARTMENT OF PUBLIC SAFETY: We're confident that these individuals are responsible for it, and -- but the investigation needs to continue.

LAVANDERA (on camera): This is a map of northeast Texas. And I wanted to give you a sense of where these church fires have happened. We're here in the city of Tyler, where there have been two. Three more have happened outside the city limits. Another three down here in Henderson County. There have been two here in Van Zandt county. The first thing we're going to do is go visit one of the pastors of these churches. This is the entrance to Clear Spring Missionary Baptist Church. And this is Pastor Brandon Owens. You're going to show us around.

REV. BRANDON OWENS, CLEAR SPRINGS MISSIONARY BAPTIST: Yes, sir. If you look down here, looked like that could have been one of the Bibles.

LAVANDERA: To see a Bible like this or part of a Bible.

OWENS: Never would have imagined. I mean never.

LAVANDERA: When you stand here and you look out at what was your church, what do you see?

OWENS: I just still see everything intact the way it should have been Sunday after Sunday. I still see my podium sitting right here in front. I still see my Bible open and me preaching. That's exactly what I see right here every time I stand here.

LAVANDERA: There have been Baptists, there have been Methodists, Church of Christ, Catholic.

OWENS: Everything.

LAVANDERA: Black, white --

OWENS: Non denomination. Black, white, everything.

LAVANDERA (voice-over): For almost two months, the Tyler, Texas, area has been on edge. We took a late night tour last week with Commissioner Joann Hampton to see how people were guarding churches.

JOANN HAMPTON, SMITH COUNTY, TEXAS, COMMISSIONER: Who would go around burning churches? and so that's where the confusion would come in. What type of person would do something like that?

LAVANDERA: Investigators aren't saying what drove McAllister and Bourque to allegedly burn down churches. Bourque is a college student. His Facebook page shows he's a fan of a bonfire site. Ironically, authorities say both men attended the same Baptist church. Their church was not burnt.

OWENS: And we're actually not going to let this hurt us. We're going to actually rebuild.

LAVANDERA (on camera): Investigators say they have DNA evidence linking one of the suspects to one of the church fires. Authorities won't say how the fires were started, but a federal law enforcement source tells me many of the fires were ignited in the same way.

Ed Lavandera, CNN, Dallas.

(END VIDEOTAPE)

(COMMERCIAL BREAK) BALDWIN: And now taking a look at some of the hot topics trending right now on the Internet. This is what a lot of you were talking about, clicking on. Ines Ferre joining me with a quick breakdown.

Hey, Ines.

INES FERRE, CNN CORRESPONDENT: Hello, Brooke. So, well, let's get started.

First on the list from google.com, congratulations team USA. The United States hockey team shocking Canada at the Winter Olympics. Despite playing the home team at their national sport, the United States beat them five points to three. Both teams have already made it past the preliminary round. It could really heat up the ice if they meet again in the final rounds.

And this one is from our own CNN.com. A man out in Ohio deciding if he can't keep his home, then nobody else will. Terry Hoskins bulldozed his house worth about $350,000 to prevent a bank from seizing it. Hoskins said, well, it took three years and eight months to build it. It only took two hours to take it down.

It's gone viral over the Internet, proving you don't need words to get a powerful message across. The video called "Embrace Life" is a PSA to get people to buckle up. It showing a family wrapping their arms around a father to protect him from an accident. To see the full video, go to CNN.com -- Brooke.

BALDWIN: I have seen that. And, thank you. I can't believe that guy bull dozed his house. What's up with that?

FERRE: I know. Give me a break.

BALDWIN: I can't believe it. Ines, thanks.

FERRE: Yes.

BALDWIN: Haiti's devastating earthquake has not stolen the dreams of one 15-year-old girl finally known as princess. Her story.

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BALDWIN: You know this, the earthquake in Haiti has deeply affected millions of lives. But in many cases, the devastation isn't keeping people down. CNN's David McKenzie meets one brave girl with a lot of hope and a golden voice.

(BEGIN VIDEOTAPE)

DAVID MCKENZIE, CNN CORRESPONDENT, (voice over): Her friends and family call her "Princess." But what was once a palace for 15-year- old Fardes Lourdes is now destroyed. She lived here with her extended family of 16. Her father is an artist in Neogan (ph), outside Port- au-Prince. But there's no wall to hang his paintings on. The family belongings piled onto the collapsed roof. Reminders of a better time. FARDES LOURDES AUGUSTIN, 15-YEAR-OLD (through translator): It's a little bit hard, but I have to live out there and wait for someone to come and help us. And I hope God will send us someone to help.

MCKENZIE: She leads us to her new home across the street. Introducing her grandmother, cousins, and her Aunt Margaret. Although Fardes Lourdes now lives under this blue tarp with her family, she's thankful for what she has.

AUGUSTIN: I am strong because daddy's still her, my mom is still here and my grandmother is still alive. They're all with me and they love me.

MCKENZIE: Always ready with a smile, the girl, known as princess, dreams of being an actress or singer when they rebuild their lives.

AUGUSTIN (singing): Near, far, wherever you are, I believe that the heart can go on.

MCKENZIE: Dave McKenzie, CNN, Neogan, Haiti.

(END VIDEOTAPE)

BALDWIN: And with that, CNN NEWSROOM continues right now with Ali Velshi.

ALI VELSHI, CNN ANCHOR: Thanks very much, Brooke.