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Health Care Reform Price Tag; Stealing From Taxpayers; President Obama Signs $18 Billion Jobs Package

Aired March 18, 2010 - 11:00   ET

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

TONY HARRIS, CNN ANCHOR: Fred --

FREDRICKA WHITFIELD, CNN ANCHOR: Hello.

HARRIS: -- you have had a lot of news on health care in your hours.

WHITFIELD: And you will have more.

HARRIS: Boy, oh, boy, we have more to come.

It is Thursday, March 18th. Stories on our radar in the CNN NEWSROOM.

Government debit cards used to buy lottery tickets, cigarettes, even condoms?

(BEGIN VIDEO CLIP)

JOHN ZARRELLA, CNN CORRESPONDENT (voice-over): What the store clerk just did, Florida Department of Law Enforcement officials say, is illegal. And they say you should be outraged.

(END VIDEO CLIP)

HARRIS: Taxpayers get swiped. A sting exposes big-time food stamp fraud.

Plus this --

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: The covers are all stocked up and the freezer is stocked up. So I can stay here for weeks without having to go out.

(END VIDEO CLIP)

HARRIS: Sandbagging is done. Now Fargo hunkers down as the Red River's high waters march south.

And there's more March Madness.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: If he wants to fix it, fix it at the high school level, at the middle school level, at the elementary school level.

(END VIDEO CLIP)

HARRIS: Whoa! A call to boost graduation rates among athletes. The Obama administration tells the NCAA they can't dunk if they flunk.

Good morning, everyone. I'm Tony Harris, and you are in the CNN NEWSROOM.

I want to tell you, fast-moving developments in the showdown over health care reform. Within the next hour we are hearing that official numbers on the price tag of the legislation should be posted by the Congressional Budget Office. Democratic leaders say the price tag will be $940 billion over 10 years.

Our congressional crews are on Capitol Hill, where we are hearing from both Democrats and Republicans. We will bring you the latest as it unfolds.

Let's start with the cost figures we are hearing from Democrats. They say the numbers are better than expected.

Congressional Correspondent Brianna Keilar live from Capitol Hill now with details.

Brianna, there are more numbers out. Why don't you break those down for us.

BRIANNA KEILAR, CNN CONGRESSIONAL CORRESPONDENT: Yes. And let's also say just from the get-go here, Tony, that these are the numbers that we're hearing from Democrats.

HARRIS: Yes.

KEILAR: We're still waiting for the official numbers from the nonpartisan Congressional Budget Office.

Why does that matter? Because you would expect the Democrats are going to emphasize the positives here, and that if there are negatives, that's not the first thing they're going to come out with. So we should be hearing that a little later, if there are negatives.

First off, the price tag over 10 years, $940 billion. Why is this an issue? Well, President Obama said that he wanted it to be $900 billion or lower. So that's one thing.

But what you have is Democrats in the House, Democratic leaders, emphasizing the cuts to the deficit. Because in order to pass this bill through the reconciliation process, you have to reduce the deficit.

So what it would do is, that cutting the deficit by $130 billion that you see there, that would be over that 10 years, over the next 10 years. The second 10 years after that, the following decade, it would reduce the deficit by $1.2 trillion, Democrats say. They say this is what the CBO estimate is going to show. And why is this a big deal? Because Democrats, of course, are trying to go it alone without Republicans, and they're having a hard time winning over some within their own ranks. These moderate Democrats mostly, Tony, are the ones that they're trying to get off the fence and on to the side of "yes," and a lot of them are deficit hawks. They are fiscal conservatives, and they want to see that there is a lot of reduction to the deficit.

One person, for instance, Congressman Baron Hill, he is one of the so-called Blue Democrats. We asked him after these numbers were out what he said. Here's what he said.

(BEGIN VIDEO CLIP)

REP. BARON HILL (D), INDIANA: They seem focused on the numbers. She (ph) was encouraged by this as well. So that moves me a step forward, and I want to get to a point where I can support it, but I'm not there yet until I read the final version.

(END VIDEO CLIP)

KEILAR: So he said that he was encouraged by this preliminary estimate, but as we always say, Tony, the devil's in the details. They want to see the actual bill or the actual estimate from CBO. That could be coming really any minute. And all of these members as well are waiting to see the bill, which should be dropping some time -- should be out there for all of us to read here by the afternoon, is what we understand. That pushes us to a vote on Sunday in the House.

HARRIS: OK, Brianna. I've got another question for you before I toss it out to you.

Let's see the -- Roger, do we have the picture of Senator Coburn and other Senate Republicans who are holding a briefing now talking about what is taking shape here, what we're talking about with Brianna?

And here's the question for you, Brianna. Why did some of these numbers change?

KEILAR: Yes, and we shouldn't get lost in all of the numbers --

HARRIS: Yes.

KEILAR: -- the point of why we're paying attention to them, which is that you had House Democratic leaders that needed to adjust that Senate bill, that bill that's passed the Senate, because there was a lot of stuff in there that they didn't like. And so, in order to make it satisfactory to enough of their members to pass it, which is still going to be a struggle, they had to make some changes.

What we're expecting to see when that bill drops here in the next couple of hours is the change to that so-called Cadillac tax, Cadillac plan tax, those high-end insurance plans. This would be a tax paid for by the insurance companies, but Republicans and critics will argue that it's going to be passed on to consumers. How did they change it? Well, they basically are making fewer of these plans subject to the tax.

In fact, Congressman Henry Waxman, who heads up a very important committee, said that he would call this the Rolls-Royce plan tax, is what he would call it instead. Also, Democrats wanted to see more coverage, more subsidies, more money to help people who struggle to buy their health insurance pay for health insurance, because, again, this health care reform package would require Americans, Tony, to get health insurance.

HARRIS: Yes.

KEILAR: And Democrats are also saying that they're going to cover with this package that we're going to see -- and again, we're still waiting for the language -- it would cover 95 percent of Americans and it would cover 32 million more Americans than are covered right now. That's actually an increase, they say, from the Senate bill by one million.

HARRIS: Right. All right, Brianna. We're going to do this -- I think it's probably just important to mention here that we're going to be getting comments from both Republicans and Democrats in the House and in the Senate.

We just heard from Senator Coburn, Republican Senator Coburn, and I think we should probably try to figure out a way -- and this is for everyone in the control room -- to turn around some of those comments. This debate is going to be roiling over the next couple of hours, and we should try at least to get as much of that on the air over the next two hours as we can, and I know you'll help us sort of officiate that, Brianna.

Appreciate it. Thank you.

Brianna Keilar on Capitol Hill for us.

You know, the CBO score is crucial information in the health care reform debate. So here's a little background on the CBO.

The Congressional Budget Office is a federal agency within the legislative branch of the government. Its job is to provide Congress with -- and listen to this, this is key -- objective, nonpartisan analysis of economic and budgetary matters. Now, according to its Web site, the CBO currently employs about 250 people, mostly economists and public policy analysts.

So, Congress is headed toward a vote Sunday on health care reform, and many of you have already weighed in through our CNN "QuickVote."

Forty-three percent of you say you're against the plan Congress is considering. Thirty-nine percent say you're for it. Nineteen percent say you're confused?

We are also hearing why you are either for or against the current shape of health care reform through your iReports.

(BEGIN VIDEO CLIP)

KEVIN CAMP, IREPORTER: We didn't take the initiative to move ourselves forward and then look at the mess that we've inherited. So I have to say that we're going to have to take a leap of faith here.

(END VIDEO CLIP)

(BEGIN VIDEO CLIP)

CAMERON HARRELSON, IREPORTER: This health care bill's changed, folks. It's going to be a lot of change. But the thing I ask is, is it what we need? You know, I've always thought of the government as being something that is there to serve me, not be in control of me.

(END VIDEO CLIP)

HARRIS: All right. Just go to CNN.com/Tony and leave me a comment, or, ,of course, you can send me an iReport and voice your opinion.

So here we are, really, after more than a year of intense debates, town hall summits. The White House predicts health care reform will pass this week.

We've heard from members of Congress. Now we want to hear from you.

Are you for or against health care reform as it is being shaped now? And why?

Just give it to us straight. Go to CNN.com/Tony. Leave me a comment.

Again, you can send us an iReport or you can voice your opinion. Call me at -- do we have the number? 1-877-742-5760.

We are listening and airing your comments throughout these two hours, right here in the CNN NEWSROOM.

(NEWSBREAK)

(COMMERCIAL BREAK)

HARRIS: Told you just a moment ago that you're going to be hearing from Republicans and Democrats over the course of the next two hours and probably into the afternoon as the current shape of health care continues to work its way through the chambers and as the CBO puts its scoring of the latest iteration of health care reform online, available for everyone in the noon hour.

We just learned that we'll be hearing from House Speaker Nancy Pelosi in the noon hour. We'll of course bring you those comments live, right here in the NEWSROOM. Another story we're following here, pretty outrageous stuff. Beer, cigarettes, even condoms, you can't buy those things with food stamps. But hold on a minute. In the state of Florida, some people can, and some convenience stores are in on the fraud.

It is a story that should outrage all of us, and police are trying to put a stop to it.

Here's CNN's John Zarrella.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: The female's getting out, walking towards the front door.

ZARRELLA (voice-over): An undercover agent walks into a small convenience store in Tampa. Wearing a recording device, she approaches the cashier with a debit card.

UNIDENTIFIED FEMALE: Can I get $100 back off of this?

ZARRELLA: While they're negotiating, she picks up some chips, soda and cigarettes. She presses the clerk.

UNIDENTIFIED FEMALE: What you want?

UNIDENTIFIED FEMALE: I wanted $100 back.

ZARRELLA: The clerk turns over the $100 and the agent leaves with the cash and the goods.

UNIDENTIFIED MALE: UC (ph) is out, small bag in her hand.

ZARRELLA: What the store clerk just did, Florida Department of Law Enforcement officials say, is illegal. And they say you should be outraged.

UNIDENTIFIED MALE: It's directly stealing from the taxpayers of the United States.

ZARRELLA: The debit card the undercover agent used is called an electronic benefit transfer card, or EBT, which can only be used to purchase food. It's more commonly known by its old name -- food stamps.

BOB URA, FDLE SPECIAL AGENT: You see what they do is they charge the U.S. government $212.02. EBT food benefit, food balance, all that, and they give us $100 in cash. Cigarettes and chips for $212.

ZARRELLA: Bottom line, there's no requirement to itemize the receipt, so the convenience store made $100 of your taxpayer money. The recipient, the undercover agent, got cash back. Also illegal.

Authorities targeted 30 stores in the state of Florida. At 16, they were allowed to use the EBT cards. At multiple stores, the cash from those EBT cards were used to purchase lottery tickets. And at one store, agents used the EBT card to buy the prescription drug Oxycodone.

If you think that's outrageous, listen to this transaction at a drive-through store called Big Daddy's.

URA: It looks like Wayne's the clerk. It looks like he may have shaved his beard.

ZARRELLA: It was one of the stores targeted, because in just the month of December, it did $34,000 in EBT transactions, compared to $1,000 at comparable stores that same month.

Here, the agents didn't get money back, but they got beer, cigarettes and this --

UNIDENTIFIED MALE: Do you have any Trojans in there?

UNIDENTIFIED MALE: Who?

UNIDENTIFIED MALE: Trojans?

UNIDENTIFIED MALE: Yes. I've got these.

UNIDENTIFIED MALE: Yes. Do you have a three-pack or -- yes, just give me two of those.

UNIDENTIFIED MALE: Two?

ZARRELLA: Wednesday, following a three-month investigation, state agents hit the 16 targeted stores across Florida. At Big Daddy's, three people were taken into custody -- the owner and two employees. None of them would comment for CNN at scene. Authorities believe during the past year, the 16 stores alone defrauded taxpayers of $3.5 million.

KEN TUCKER, FDLE ASST. COMMISSIONER: If you multiply it nationwide, I can't give you an accurate number, but it has to be in the billions of dollars.

ZARRELLA: The USDA, which administers the program, says nationwide, 38 million people benefit from the supplemental nutrition program. It estimates one percent of the $50 billion in EBT funds were lost to fraud in 2009.

Authorities in Florida say the next phase of their operation will target people using the cards illegally rather than for what they were intended -- food to put on the table.

John Zarrella, CNN, Tampa.

(END VIDEOTAPE)

HARRIS: Boy, I've got to tell you this. Police say the store's owner -- you saw him there -- known as "Big Daddy," well, he was found dead in his shop this morning after being released on bail last night. Police believe he died of natural causes.

Working on your taxes, trying to figure out what you can and cannot deduct? Worry no more. Some tax tips are coming your way.

(COMMERCIAL BREAK)

HARRIS: All right. Let's get you caught up on top stories now.

President Obama will step into the Rose Garden any minute now to sign an almost $18 billion jobs package. The bill gives tax breaks to employers who hire and it funds jobs for road construction.

We will take you to the ceremony. Everyone is starting to gather now in the Rose Garden once it get under way, once we see the president.

Any minute now, the nonpartisan Congressional Budget Office is expected to tell us its estimated price tag for the latest health care reform bill. Democrats tell CNN the figure is $940 billion over 10 years. They say the CBO will project that the bill will cut the deficit by $130 billion -- I'm messing with Ali Velshi here. I apologize for that crazy moment over the same timeframe.

Republican Senator Tom Coburn had this to say just minutes ago.

(BEGIN VIDEO CLIP)

SEN. TOM COBURN (R), OKLAHOMA: I want to send a couple of messages to my colleagues in the House.

If you voted no and you vote yes, and you lose your election, and you think any nomination to a federal position isn't going to be held in the Senate, I've got news for you. It's going to be held.

Number two is, if you get a deal, a parochial deal for you or your district, I've already instructed my staff and the staff of seven other senators that we will look at every appropriations bill, at every level, at every instance, and we will outline it by district, and we will associate that with the buying of your vote. So, if you think you can cut a deal now, and it not come out until after the election, I want to tell you that isn't going to happen. And be prepared to defend selling your vote in the House.

(END VIDEO CLIP)

HARRIS: All right. Let's get you to the Rose Garden now and the president of the United States.

(JOINED IN PROGRESS)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: We are here to mark the passage of a welcomed piece of legislation for our fellow Americans who are seeking work in this difficult economy. But first let me say a few words about the latest development and the debate over health insurance reform. I don't know if you guys have been hearing, but there's been a big debate going on here.

This morning, a new analysis from the Congressional Budget Office concludes that the reform we seek would bring $1.3 trillion in deficit reduction over the next two decades.

(APPLAUSE)

That makes this legislation the most significant effort to reduce deficits since the Balanced Budget Act in the 1990s. And this is --

(APPLAUSE)

This is but one virtue of a reform that will bring new accountability to the insurance industry and greater economic security to all Americans. So I urge every member of Congress to consider this as they prepare for their important vote this weekend.

And I want to welcome all the members of Congress who are here, those who are on stage, Madam Speaker, Majority Leader Reid, as well as some of my cabinet members who are here.

In a few moments I will sign what's called the Hire Act, a jobs bill that will encourage businesses to hire and help put Americans back to work. And I would like to say a few words about what this jobs bill will mean for workers, for businesses and for America's economic recovery.

There are a number of ways to look at an economic recovery. Through the eyes of an economist, you look at the different stages of recovery. You look at whether an economy has begun to grow, at whether businesses have begun to hire temporary workers, or increase the hours of existing workers. You look at whether businesses, small and large, have begun to hire full-time employees again.

That's how economists measure a recovery. And by those measures, we are beginning to move in the right direction.

But through the eyes of most Americans, recovery is about something more fundamental. Do I have a decent job? Can I provide for my family? Do I feel a sense of financial security?

The great recession that we've just gone through took a terrible toll on the middle class and on our economy as a whole. For every one of the over eight million people who lost their jobs in recent years, there's a story of struggle, of a family that's forced to choose between paying their electricity bill or the car insurance or the daughter's college tuition, of weddings and vacations and retirements that have been postponed.

So here's the good news. A consensus is forming that, partly because of the necessary and often unpopular measures we took over the past year, our economy is now growing again and we may soon be adding jobs instead of losing them.

The jobs bill I'm signing today is intended to help accelerate that process. I'm signing it mindful that, as I've said before, the solution to our economic problems will not come from government alone.

Government can't create all of the jobs we need, or can it repair all the damage that's been done by this recession. But what we can do is promote a strong, dynamic private sector, the true engine of job creation in our economy. We can help to provide an impetus for America's businesses to start hiring again. We can nurture the conditions that allow companies to succeed and to grow. And that's exactly what this jobs bill will help us do.

Now, make no mistake, while this jobs bill is absolutely necessary, it's by no means enough. There's a lot more that we're going to need to do to spur hiring in the private sector and bring about full economic recovery,. from helping creditworthy small businesses to get loans that they need to expand, to offering incentives to make homes and businesses more energy efficient, to investing in infrastructure so we can put Americans to work, doing the work that America needs done. Nevertheless, this jobs bill will make a difference in several important ways.

First, we will forgive payroll taxes for businesses that hire someone who's been out of work at least two months. That's a tax benefit that will apply to unemployed workers hired between last month and the end of this year. So this tax cut says to employers, if you hire a worker who is unemployed, you won't have to pay payroll taxes on that worker for the rest of the year. And businesses that move quickly to hire today will get a bigger tax credit than businesses that wait until later this year.

This tax cut will be particularly helpful to small business owners. Many of them are on the fence right now about whether to bring in that extra worker or two, or whether they should hire anyone at all. And this jobs bill should help make their decision that much easier. And by the way, I would like to note that part of what health insurance reform would do is to provide tax credits for over four million small businesses so they don't have to choose between hiring workers and offering coverage.

The second thing this bill does is to encourage small businesses to grow and to hire by permitting them to write off investments they make in equipment this year. These kinds of expenses typically take years to depreciate, but under this law, businesses will be able to invest up to $250,000, let's say, in a piece of factory equipment and write it off right away. Put simply, it will give businesses an incentive to invest in their own future and to do it today.

Third, we'll reform municipal bonds to encourage job creation by expanding investment in schools and clean energy projects. Say a town wants to put people to work rebuilding a crumbling elementary school or putting up wind turbines. Well, this law will make it easier for them to raise the money they need to do, what they want to do by using a model that we've called Build America Bonds, one of the most successful programs in the Recovery Act. It will give Americans a better chance to invest in the future of their communities and of the country.

And finally, this jobs bill will maintain crucial investments in our roads and our bridges as we head into the spring and summer months when construction jobs are picking up.

I want to commend all the members of Congress. And their leadership is what made this bill possible. Many of them are here today.

I'm also gratified that over a dozen Republicans agreed that the need for this jobs bill was urgent and that they were willing to break out of the partisan morass to help us take this forward step for the American people. I hope this is a prelude to further cooperation in the days and months to come as we continue to work on digging our way out of the recession and rebuilding our economy in a way that works for all Americans and not just some Americans.

After all, the jobs bill I'm signing today, and are broader efforts to achieve a recovery, aren't about politics. They're not about Democrat versus Republican. This isn't a game that we're playing here.

They're about people in this country who are out of work and looking for a job. They're about all of the Americans of every race and region and age who have shared their stories me over the last year: the single mother who told me she's filled out hundreds of job applications and been on dozens of interviews but still hasn't found a job; the father whose son told me he started working when he was a teenager and recently found himself out of a job for the very first time in their life; the children who write to me and they're worried about their moms and dads, worried about what the future holds for their families.

That's who I'm thinking about every morning when I enter into the Oval Office. That's who I'm signing this bill for, and that's who I'm going to continue to fight for so long as I am president of the United States.

So with that, let me sign this bill and let's get to work.

(APPLAUSE)

HARRIS: And as the president signs this bill, it gives us an opportunity to talk to our chief business correspondent, the host of CNN NEWSROOM beginning at 1:00 p.m. Eastern Time. Ali Velshi is here with us.

And Ali, look, the president says the federal government can help promote strong, dynamic private sector job growth, but it is not going to be the main driver of jobs. And does this bill do what the president says it will? That is to create the playing field, the environment.

ALI VELSHI, CNN CHIEF BUSINESS CORRESPONDENT: You know -- the environment. It's like a tornado. Right? You know when there's a tornado watch?

HARRIS: Yes.

VELSHI: They're not saying that they know there's a tornado. They know that the environment is perfect for a tornado to form.

HARRIS: Yes.

VELSHI: That's what the government has to do. It has to create the environment for a job creation tornado.

HARRIS: Right.

VELSHI: And that means lower taxes, but more importantly than lower taxes, it means demand. Most businesses will hire people when? When they need more people, when they've got a lot of business, and they need more people, and that is ultimately what this is about. So, this goes in some direction in getting this out, and also it is Bipartisan. He got some Republican support on this because it's a tax cut.

HARRIS: Yes. So, we're talking about an $18 billion job deal here, right?

VELSHI: About $13 billion of it is tax cuts.

HARRIS: Yes, and then there is funding in this where some highway -- are we back to the shovel ready --

VELSHI: Yes. I mean, I would almost not worry about that part of thing. What most of this is that businesses can get a 6 percent reduction on their payroll taxes, so up to $6,200 per employee for this year and $1,000 extra if you hire somebody who has been out of work for two months.

HARRIS: What is it? And I know you prepared something for us.

VELSHI: Yes.

HARRIS: What is it ultimately that's going to get employers hiring again, because this tax cut is probably going to help folks who were leaning in that direction.

VELSHI: Let's take a look. American Express survey businesses, and they said the biggest thing that's going to get them hiring again is increase in customer demand. This is Business 101. Forty-two percent of businesses had an increase in customer demand is what will get them there. Eleven percent said tax credits like the one the president is signing right now and 5 percent said access to more loans. Keep in mind, this has been one of the biggest problems for the last two years, credit.

HARRIS: Yes.

Now, the 11 percent who say tax credits, that might go up or down depending on the quality and size of the tax credit, right?

HARRIS: Yes.

VELSHI: So, at this point, 6,200 bucks a year may put somebody over the line if they're thinking of hiring somebody. Double that, might have hired more people.

HARRIS: Yes, yes.

VELSHI: The estimates we've got are that this can create up to 300,000 jobs, this initiative that the president is signing today.

HARRIS: Right. What is your sense of how close we are to the cap being lifted off this jobs market because we know that we're seeing longer hours for temporary workers.

VELSHI: Yes.

HARRIS: We're seeing more part-time workers.

VELSHI: That's right.

(CROSSTALK)

VELSHI: We are just about to break through and that's expected. We expected that March or April would be when we break through into positive job growth after all of this negative job growth. So, we're just about there, but the reality is to bring that unemployment rate down to 9.7 percent to 8.7 to 7.7, we were at 4.9 when this recession started.

HARRIS: Yes, yes.

VELSHI: That's going to take a long time because you need to grow on average 100 to 150,000 jobs a month.

HARRIS: Right.

VELSHI: We may in this next month get 10, or 15 or 20,000. So, we are going in the right direction, but as you know, Tony, the macro economics of going in the right direction does not matter as much to people who are out of a job right now and running out of unemployment insurance. So, that's why this kind of thing hopefully gives --

HARRIS: Terrific. Ali, as always, great to see you, man.

VELSHI: Always a pleasure.

HARRIS: CNN NEWSROOM, 1:00 to 3:00 p.m. eastern time, Ali Velshi. Still to come this hour from arm forces to work force.

Top transition when you can't get higher. We're live at a job fair for veterans. That's next right here in the CNN NEWSROOM.

(COMMERCIAL BREAK)

HARRIS: You know, the truth of the matter is they'll go to war for their country, even die for it, but after their service veterans often face a battle at home on the job front. Many companies just stopped hiring. All this week, we have been looking at the state of your jobs. We focus now on former service members. Recruitmentmilitary.com Robert Walker joining me from a job fair in the Atlanta Suburb of college park.

Robert, good to see you. Let's get started this way. You know, and it's kind of a provocative way to ask this question, but I know you can handle it. Why should I consider hiring a veteran ahead of, say, young people out of college, people with specific job skills that I need who have been laid off. Why should I hire veterans first? Make that argument for me.

ROBERT WALKER, RECRUITMILITARY.COM: All right. First of all, I'm bias, because I'm a veteran myself, but veterans have a lot to bring to the table. They're disciplined. They're hard workers. They're very trainable, and they have certain skill sets that transfer directly over to the civilian world and, they are really dedicated to the mission which make big difference to some company, just showing up on time now they make a difference.

HARRIS: Yes, it really does. How do I know, and this is another question that I could imagine employers asking, how do I know if they're OK? They've been at war, and there may be some physical wounds, we can all see those, but there may be some mental wounds from war, from battle. How do I know the vet that I am considering hiring is OK?

WALKER: They've dealt with a lot, but also they're used to dealing with a lot as well. So a lot of veteran, even though they're under hard conditions, their point is to be dedicated to what the mission is at that time. So, they may have had things they dealt with, but they are still ready to go back to work, and they've got to provide for their families.

HARRIS: Yes, yes, that's so true. And Robert, if you would, give me the experience today. So I'm walking in today to the job fair there in College Park and as a veteran looking for a job or perhaps, even, a career change. What happens next, talk me through the experience.

WALKER: All right. First of all, Recruiting Military, this is one of 73 events we have going on this year, and as they come in the door, there are around 31 companies that are here for the event. This is a matter of finding out what's going to be the best fix. Some companies know exactly they're looking, and sometimes a matter of selling what you have for the table. So, we have some, you know, like the Vary (ph) which one of partnerships as well as other great organizations are looking for anything from sales to IT, defense contractors and all of them are here specifically because they want to hire military and their spouses.

HARRIS: Are you helping me with interviewing skills? Are you helping me with presentation skills?

WALKER: Most definitely. We'll actually send out a form, top ten ways to be successful as an event. So, we actually prepare these candidates ahead of time and let them know. We also send them a list of the actual exhibitors so they can actually do their research ahead of time so they're actually fully prepared to come for the events. When they walk in the door, they'll know who is going to be here, know which companies looking at target, and know the best way to approach them.

HARRIS: Oh, Robert, give me a couple of tips, you know, maybe the top two tips for folks who are walking into the job fair today, so that they're walking in prepared.

WALKER: Yes. First of all, be confident. You're a veteran. Every company here is specifically here because they want to target veterans and then do not be afraid to tell them your experiences and basically how you can make their company better by coming onboard.

HARRIS: That is terrific. Is there a website available for our folds who are needing more information for veterans who want to get that information because that tips list sounds terrific.

WALKER: Most definitely. They can go to recruitmilitary.com. There's plenty of information for candidates as well as employers to be able to match up and link these two together.

HARRIS: Robert, it's good talking to you. We're going to join you again next hour. We're going to talk to someone who has shown up today and is looking for that fresh start.

Robert Walker, appreciate your time. Thank you, sir.

WALKER: Thank you.

HARRIS: And working on your taxes right now? A lot of people are. You try to figure out what you can and you cannot deduct. Worry no more. We have some tax tips coming your way next in the CNN NEWSROOM.

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HARRIS: Top stories now.

Nine hundred and forty million dollars, democrats say that's what the congressional budget office estimates. The revised health care bill will cost over the next 10 years, and it will cut $130 billion from the deficit over that time. Republican leader say it doesn't change their opinion about the bill which they still strongly oppose.

Headed to Haiti, former presidents Bill Clinton and George W. Bush will meet next week with government officials and others involved in earthquake relief. They are going on behalf of the Clinton/Bush Haiti fund created to raise money for the impoverished nation.

Four weeks. That is all the time you have left to do your taxes. So, you need some help, probably yes, Ines Ferre in New York with some tips, and that's good to see you. The most important seems to me to watch what you deduct, correct?

INES FERRE, CNN CORRESPONDENT: Exactly. OK. Let's start with this. One major expense for any parent is child care, and while actual child care expenses, perhaps pay through a reimbursement account at work can qualify for a tax credit. Child support does not qualify for a deduction, even if it's court ordered. An interesting side note, Tony, court-ordered spousal support is deductible. It's funny how that works -- Tony.

HARRIS: Yes, that's funny. All right. What about a Roth IRA contribution?

FERRE: OK. Let's start with this. OK, yes. Roth IRA. A lot of people may be scrambling to contribute to IRA accounts before April 15th, and while qualified contributions to a traditional IRA will reduce your tax bill, contributions to a Roth IRA will not, and this is because money that you put into a traditional IRA will eventually be taxed when you take it out, but withdrawals from a Roth IRA are income tax-free -- Tony.

HARRIS: Got you. Lastly, what about those off the radar expenses like I'm thinking gambling losses?

FERRE: OK. Yes. Gambling losses. While most of us know that gambling winnings are taxable, the question of losses is a little bit confusing. The rule is that you can only claim gambling losses to the extent of your gambling winnings. So, if you don't have any winnings during the year, you can't deduct any losses.

Let's talk about some other things, some other hobbies, perhaps. Expenses related to a hobby of yours are only deductible to the extent that you have income. You cannot ride off any hobby expenses that exceed your income from that hobby no matter how much you've spent, and Tony, lastly, the weather is getting really warm.

HARRIS: Yes.

FERRE: We all want to fit into those nice bathing suits this summer. So can you deduct a weight loss program or gym membership? Unfortunately, no. Unless that program or membership was prescribed by a doctor in which case then you might be in luck -- Tony.

HARRIS: I've got a pretty friendly doctor. All right, Ines, see you next hour. Good tips as always. Thank you.

FERRE: See you.

HARRIS: Much more tax advice coming your way this weekend on your bottom line. Join Stephanie Elam for that show that really does save your money, Saturday at 9:30 a.m. eastern right here on CNN.

The floodwaters are getting oh, so close to record stage in Fargo, North Dakota and Moorhead, Minnesota. Will the sandbags be enough to hold back the water? We will find out when the Red River should crest and that's next with Rob Marciano right here on CNN NEWSROOM.

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HARRIS: Hey, I think we actually have a shot of it, the CBO, the Congressional Budget Office's website. We actually now have the posting of the score of the changes to the senate bill. So, we're talking about the posting of the CBO score of the changes to -- by the House, to the senate bill on health care reform. So, if you'd like to begin reading that -- it's at cbo.gov. Now, there was a question about when the clock starts to run, the 72-hour clock again. The promise is that everyone will get an opportunity to read the legislation for 72 hours before there is a vote.

Now, my understanding is, and guys in the control room, correct me if I'm wrong here is that, the clock starts to run once the legislation is posted. Is that correct? OK. So, once the legislation is posted, the clock starts to run. The 72-hour countdown to a vote, but once again, we've got the posting of the CBO score on the House changes to the senate version of health care reform. You can find it at cbo.gov.

Good stuff. A lot of activity here in the Newsroom today. I'm going to get you to Rob Marciano right now at the CNN severe weather center. Rob, it all goes as hope. There will be no record-breaking flood in Fargo, North Dakota? What are the numbers?

ROB MARCIANO, AMS METEOROLOGIST: That's right. We're going to be close enough, Tony, to where it really doesn't matter.

HARRIS: Yes.

MARCIANO: We're getting -- going to be within two or three feet of the record and that's going to happen Sunday afternoon, and this forecast could easily change, but nonetheless, they are prepared for it. The question is are they going to be able to maintain those manmade dives and levees and keep the culverts clean right on through the end of next week, because that's how long they're going to be in major flood stage. But, we also have areas to the west of Fargo that are seeing some overland flooding, also areas along the Mississippi near St. Paul that are going to see some flooding, also.

And this will be an ongoing story through the rest of the spring because a lot of the country is under it. All right. Check out some of these numbers. Record-breaking highs yesterday, 91 on parts of (INAUDIBLE), 85 in Los Angeles, and Maine, 54 degrees. All the while, Tony, winter storm warnings just posted now for Denver being high in the mid 60s. Five to ten inches of snow potentially.

HARRIS: Geez, this is -- yes, absolutely. All right. Rob, thank you.

MARCIANO: You bet.

HARRIS: Pushing for NCAA athlete to win, not just on the basketball court but also in the classroom. The Secretary of Education office have a strategy.

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HARRIS: OK. Here's what we're working on for the next hour at CNN NEWSROOM. Health care reform, if it passes what's in it for you right away? Dr. Sanjay Gupta breaks it down that he takes a look at changes that won't kick in for another four years. A Minnesota man refusing to budge from his home of more than 30 years, even though the city wants to buy it, even though he's the only one left on his block, and even though he's being billed for his part of the levee that will keep him from being flooded out.

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HARRIS: March madness, running out of here as soon as the show is over to start watching some games. Is that Curtis blow? The one thing you can bet on. Many of the NCAA basketball players will not graduate from college. It's true. Education Secretary Arne Duncan is calling foul. He is pushing to tie college graduation rates to eligibility and post-season tournaments.

Our Kate Bolduan reports.

KATE BOLDUAN, CNN CORRESPONDENT: Tony, the start of the NCAA basketball tournament means it's that time of year again when sports fans get a little crazy, but it's the surprisingly low graduation rates among some of these teams that may make people even crazier, and it's grabbing the attention of the Obama administration.

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BOLDUAN (voice-over): President Obama, like millions of sports fans across the country, made his NCAA picks, announcing his bracket on ESPN.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: And here, what I think may end up being the best game of the tournament, Kentucky and west Virginia, and I think Kentucky pulls it out.

BOLDUAN: But the presidential choice for the championship game, Kentucky versus Kansas, wouldn't be possible if his own Secretary of Education had his way.

ARNE DUNCAN, SECRETARY OF EDUCATION: I want to reiterate my proposal to the NCAA that teams that fail to graduate 40 percent of their players should be ineligible for post-season competition. Frankly, that's a low bar and not many teams would be ineligible. Overtime, I think we should set a higher bar, but it is a minimum of bright line which every program should meet to buy proposed honors (ph).

BOLDUAN: Secretary Arne Duncan wants any school graduating less than 40 percent of its athletes ban from post-season play citing a new study by the Institute for Diversity and Ethics and Sport. It shows 12 teams in this year's tournament graduated less than 40 percent of their players, including Kentucky at 31 percent, Maryland at 8 percent, and Louisville at 38 percent. The study examined NCAA statistics of four recent graduating classes, the last in 2009.

BRUCE PEARL, HEAD COACH, UNIVERSITY OF TENNESSEE: We are very disappointed and apologetic in many, many ways to be on that list.

BOLDUAN: Tennessee also falls below the line, but men's head coach Bruce Pearl defends his program, saying the problem starts far before students hit the college court.

PEARL: If he wants to fix it, fix it at the high school level, at the middle school level, at the elementary school level. His problems in this country and our educational system lie elsewhere. BOLDUAN: And sports reporters like Andy Pollin say educators may not like it, but it's the reality of college sports today.

ANDY POLLIN, SPORTS DIRECTOR, 980 ESPN RADIO: If the NCAA was actually concerned about graduation rates, they wouldn't schedule week night games that start at 9:00. The NCAA isn't concerned about graduation rates. They're concerned about basketball programs, and they're concerned about the billion dollars that they bring in from this three-week tournament that everybody plays in their office pulls.

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SNOW (on-camera): The NCAA says it shares the concern over low graduation rates, but also said in a statement that imposing a ban on teams for the academic performance of student athletes who enter as freshman 8 to 11 years ago is probably not the best course of action, they say.

BOLDUAN: Now, when I asked Secretary Duncan about how exactly the Department of Education can implement and enforce his proposal, he said they can't. This isn't going to be a federal mandate of any kind. His goal is to raise awareness on the issue -- Tony.

HARRIS: All right. Kate Bolduan reporting for us.