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President Obama Pushes for Unemployment Benefits Extension; Report: U.S. Intel Inefficient; Interview With Congressman Tom Price; How Gulf Coast Businesses are Faring; Spanish Oil Company Interested in Deepwater Drilling in Cuba
Aired July 19, 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: There you have it. Millions of Americans, as you know, out of work and running out of unemployment benefits. The president joined in the Rose Garden by the unemployed.
The president pushing for an extension to unemployment benefits. There may be a vote on it tomorrow.
Let's check in now with our congressional correspondent. Brianna Keilar is standing by.
And Brianna, let's start there. Is there a vote scheduled tomorrow to extend unemployment benefits?
BRIANNA KEILAR, CNN CONGRESSIONAL CORRESPONDENT: Yes, we're expecting that there's going to be a vote, Tony. And unlike the past few votes, we are expecting that this is going to pass by the minimum of votes needed in the Senate to pass at 60 votes.
As you know, Tony, and we've talked about this, Democrats have actually lost a Democrat on this vote, Ben Nelson of Nebraska, who comes from a state that isn't really as affected by unemployment as other states. And so what Democrats are looking to do here is pick up two Republican votes, the senators from Maine, Susan Collins and Olympia Snowe. And there is no mistake that they are going to have having this vote, we're expecting, after the new senator from West Virginia is sworn in.
But I think if you listen to President Obama there, and it's kind of like welcome to the 2010 midterm elections.
HARRIS: I think you're right.
KEILAR: This is the battle going on right now.
As you know, in the past, when the economy has been bad, it's somewhat -- you know, it's pretty standard that Congress will pass an extension of unemployment benefits. But what's pretty different this election cycle, even though you look at these pretty scary numbers here, 14.6 million Americans who are out of work, 46 percent of them unemployed for more than six months, and, of course, relying on these extensions of unemployment benefits, and some of them have seen them expire, what's different this cycle is that there's this huge sort of ground swell about deficit spending, adding to the debt. And a lot of Americans feel that Congress is spending too much money. And so you've had Republicans say, fine, go ahead. We want to do these unemployment benefits, but we want them to be paid for. We don't want the cost of this, which is more than $30 billion, to be added to the deficit. We don't want it to be deficit spending.
And that is what this bill does. It is adds to the deficit. And Democrats say this is an emergency, this a case where we do add to the deficit to keep these people afloat.
HARRIS: And you do that by either cutting spending in other areas or raising revenue, and no one is talking about raising taxes at this point.
Brianna Keilar on Capitol Hill for us.
Brianna, appreciate it. Thank you.
And just ahead, I'll get a Republican perspective on the unemployment benefits extension. Georgia Representative Tom Price joins me in less than 10 minutes.
Other big stories we are following for you in the CNN NEWSROOM.
BP gets the go-ahead today to keep testing it's recapped oil well deep in the Gulf of Mexico. Oil has been found seeping from the seafloor, but not at the busted wellhead. The tests are expected to show whether keeping the well capped is the right thing to do for now.
(BEGIN VIDEO CLIP)
REYNOLDS WOLF, AMS METEOROLOGIST: It looks like the relief well is really going to be the game-changer. That's the thing that really could put an end to this process. But even if we're lucky and that ends up really solving the issue with the well itself, John, if we still have long-term effects on the environment, the economy on the Gulf Coast, it's something that could last for generations.
(END VIDEO CLIP)
HARRIS: With the cap mostly holding, are people returning to the Gulf Coast and its beautiful beaches?
We are focusing on tourism today. Later today, a conversation with Emily Gonzalez (ph), who runs condos, and Rick Dorman (ph), who runs an ice cream stand. They will join me at the bottom of the hour.
The United States sending Pakistan $7.5 billion in aid over the next five years. Secretary of State Hillary Clinton, in Islamabad, says the money is strictly for civil improvements like water and power, no security strings attached.
(BEGIN VIDEO CLIP)
HILLARY CLINTON, SECRETARY OF STATE: We know that there is it a perception held by too many Pakistanis that America's commitment to them begins and ends with security. But, in fact, our partnership with Pakistan goes far beyond security.
It is economic, political, educational, cultural, historical, rooted in family ties. That this misperception has persisted for so long tells us we have not done a good enough job of connecting our partnership with concrete improvements in the lives of Pakistanis.
(END VIDEO CLIP)
HARRIS: And quickly now, in eastern Kentucky, scenes of devastation. Take a look at this. Flash flooding over the weekend killed at least two people and damaged or destroyed about 200 homes.
(BEGIN VIDEO CLIP)
SARAH LEEDY, FLOOD VICTIM: Our trailer is at least a good, what, 200 feet from where it usually sits?
APRIL BLACKBURN, FLOOD VICTIM: It's just really bad. I've lived in this park since I was in fifth grade, and I'm 37 now, and this never happened before. Never.
(END VIDEO CLIP)
HARRIS: The post-9/11 intelligence community found to be inefficient and unmanageable, according to "The Washington Post." Our Pentagon correspondent, Barbara Starr, is live on this story.
And let's take a look at the markets now. Better than 90 minutes into the trading day for a Monday, and we are in positive territory, up nine points.
We're following these numbers throughout the morning, throughout the day, right here in the CNN NEWSROOM.
(COMMERCIAL BREAK)
HARRIS: A scathing report on the top secret world of U.S. intelligence. It follows a two-year "Washington Post "investigation. Conclusion: the intelligence community has grown so much since 9/11, no one knows its exact costs or how many people are involved.
Do you want a quote? Here it is. "The system put in place to keep the United States safe is so massive, that its effectiveness is impossible to determine."
Live now to the Pentagon and our Pentagon correspondent, Barbara Starr.
Barbara, good morning.
Where to start with this? Any reaction there at your post to the story in "The Washington Post"?
BARBARA STARR, CNN PENTAGON CORRESPONDENT: Well, indeed, Tony, there is. The director of National Intelligence, Pentagon officials, administration officials knew this article was coming. They had some concerns about it. We'll get to that in a minute.
But what they are now saying is, look, we acknowledge that the intelligence community has grown significantly since the 9/11 attacks. That's what we had to do, they say, in the government, we know there's some inefficiencies. But they stand by the notion that they have prevented any major attacks in the United States since September 11th. So that's all to the plus column.
They say that they are working to try and identify inefficiencies and redundancies. Some redundancies in the intelligence community they want. They want to have competitive analysis, if you will. But it gets to this whole problem, after all these years, can you still connect the dots when there's a problem?
And here's the scope of what "The Washington Post" came up with. Right now they say there are 1,200 separate government agencies that deal in intelligence collection and analysis, nearly 2,000 private companies, contractor companies that also work on all of this for the government, and some 850,000 people who have security clearances.
So why was the White House so sensitive and so concerned about this article? There had been a lot of concern, Tony, that when you look at those numbers, 2,000 companies, some 1,200 government agencies, that The Post was going to publish addresses on its Web site, literally the street locations of every one of these, and that was going to be a security concern, obviously. Nobody wants to see a terrorist target list out there, but The Post was apparently convinced not to do that -- Tony.
HARRIS: OK.
Barbara Starr at the Pentagon for us.
Barbara, thank you.
Secretary of State Hillary Clinton promising Pakistan hundreds of millions of U.S. aid dollars. Her charm offensive coming with a big price tag.
(COMMERCIAL BREAK)
HARRIS: President Obama pushes Congress to pass an extension of jobless benefits, and he directed his criticism at congressional Republicans.
(BEGIN VIDEO CLIP)
OBAMA: Each time a partisan minority in the Senate has used parliamentary maneuvers to block a vote, denying millions of people who are out of work much-needed relief. These leaders in the Senate who are advancing a misguided notion that emergency relief somehow discourages people from looking for a job should talk to these folks. That attitude I think reflects a lack of faith in the American people, because the Americans I hear from in letters and meet in town hall meetings, Americans like Leslie and Jim and Denise, they're not looking for a handout. They desperately want to work.
(END VIDEO CLIP)
HARRIS: OK. Republican Congressman Tom Price is a friend to the program. He's from Georgia. And he joins us from Washington to respond to the president's criticism.
REP. TOM PRICE (R), GEORGIA: Hey, Tony.
HARRIS: First of all, good to talk to you, Representative Price.
PRICE: Likewise.
HARRIS: First of all, do you think the vote will pass the Senate tomorrow? Do you think that at the end of the day we'll get an extension of these benefits?
PRICE: Well, it looks like with the new senator from West Virginia, that they may, in fact, have the votes. But the president continues to politicize this. And frankly, Republicans aren't opposed to unemployment insurance. Republicans are opposed to unemployment insurance that's not paid for.
If we are borrowing money from China in order to pay our citizens unemployment coverage, unemployment insurance, that's just wrong. And they understand that.
The fact of the matter is that the Democrats haven't even passed a budget in this House of Representatives and in this Congress. How do they know how much money they have if they can't pass a budget?
So, there are ways to solve this challenge, and we ought to be doing it together, but the president continues to make this a very, very partisan issue.
HARRIS: Aren't we borrowing from China to manage our debt in any number of areas, including and beyond unemployment benefits?
PRICE: Well, sure, absolutely. But unemployment insurance for our citizens who are unable to find jobs right now is absolutely appropriate. But it ought to be done under the budget priorities.
We ought to be getting together here in Washington and saying there are priorities that we have as a nation, and unemployment insurance is one of them, and we're going to pay for it. And that's what makes sense to the American people. We cannot continue to borrow and spend our way to prosperity. It won't work.
HARRIS: Yes.
Tom, I want to find out where you are on this issue. You are not opposed to extending unemployment benefits for any other reason other than the deficit. For example, you don't believe that people who are unemployed are lazy, unwilling to accept available jobs. Those aren't the reasons that you're opposed to this.
Is this all about budgets for you?
PRICE: No. Look, there is a moral hazard. Economists will tell you there's a moral hazard that if unemployment insurance is at a level that makes it so that individuals aren't looking for employment, that then there's a danger. I don't believe we're there.
HARRIS: OK.
PRICE: However, unemployment insurance, as you likely know, is continuing for almost two years now. And so I think there is a moral hazard that we get into. But the solution to unemployment is jobs, and the fact of the matter is that this administration and this Congress continue to put in place policy after policy after policy that are destructive to job creation out there, whether it's uncertainty in the taxes, whether it's the health bill that was passed, whether it's the threatening aspects of a possible national energy tax.
All those kinds of things go into a formula that says to businesses out there, we cannot create jobs right now because of that uncertainty. That's what we need to turn around.
HARRIS: Well, let's talk about the deficit and deficit reduction. What's the truth on that score? For example, what percentage of debt reduction in your mind -- and you work on these issues -- will have to come from spending, and what percentage from tax hikes?
The ratio we've heard kicked around is 75 percent to 25 percent. Seventy-five percent of deficit reduction coming from spending and 25 percent from tax hikes.
PRICE: Sure.
HARRIS: What's your thinking on this?
PRICE: Well, the fact of the matter is that this administration and this Congress have put in place nearly $1.3 trillion, $1.3 trillion in the past two budget cycles of new spending, of deficit spending. We ought to get to pre-bailout, pre-stimulus levels immediately.
If we do that, we, in essence, over a very short period of time, get to the trajectory that if we then decrease spending in the departments at one penny in a dollar -- we've got a plan that would have one penny on a dollar saved over a period of 10 years each year -- would balance the budget. Those are the kinds of responsible decisions that the American people are demanding of their leaders here in Washington, which is why you hear the kind of angst and concern and real fear out there across this land because the American people understand that leaders here in Washington are not tackling these real challenges.
HARRIS: If you want to get to -- I'm just reading something from one of our top people at CNNMoney.com. The last one for you. If you want to get to a deficit equal to two percent of GDP by 2020, you would have to cut spending or raise revenue, or a combination of both, to the tune of $675 billion in 2020 alone.
How do we really do that? What are your priorities?
PRICE: Well, Tony, there's this general sense that with the increase in spending through the stimulus and the trillion-dollar deficits that this administration has run, that that's our new baseline, that's the new level that we ought to start at. We reject that.
We believe that we ought to go back to the pre-bailout, pre-stimulus levels and then decrease spending responsibly from there. If you do that, then you can get this budget under control. And that's what the American people are demanding.
And, in fact, I would suggest that until we do that, you won't get that vibrant job creation across this country because businesses, again, don't know whether the government is going to come in and bail out their competitor or change the rules of the game to make it so that they're not certain whether or not they ought to create jobs or not. This uncertainty in the marketplace is huge, and until we address that as a country, we won't see the job creation that's needed to make it so that those individuals out there on unemployment insurance right now will have a job and not have to be looking for that unemployment insurance check.
HARRIS: OK. Representative Price, as always, good to talk to you. Thanks for your time.
PRICE: Thanks, Tony. Take care.
HARRIS: You too, sir.
More companies are hiring. We will check in later this hour with Carter Evans at the New York Stock Exchange.
(COMMERCIAL BREAK)
HARRIS: The Gulf oil disaster, day 91, a new complication a mile beneath the surface -- seepage from the seafloor. It is not coming from the busted wellhead. The government has given BP another 24 hours to continue testing the integrity of the new cap on the well.
Other top stories for you.
Six Iraqis critically wounded after a suicide bombing in Mosul. That's 285 miles north of Baghdad. A convoy for a British construction firm was attacked.
And Boeing's Dreamliner makes its overseas debut at the Farnborough Airshow in England. These new high-tech 787s are more spacious and guzzle, we understand, less gas.
(COMMERCIAL BREAK)
HARRIS: For months, our Dr. Sanjay Gupta and six CNN viewers trained for this past weekend's triathlon in New York. More than 3,000 people participated. We're talking about swimming, biking, running in temperatures spiking into the mid-90s.
In fact, one racer from London is in critical condition after collapsing near the finish line.
So, how did our Fit Nation team do? Have a look.
(BEGIN VIDEOTAPE)
DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: All right. Good morning. Supposed to wake up at 3:15. It's 3:08.
How did you sleep?
UNIDENTIFIED MALE: Great.
UNIDENTIFIED FEMALE: I actually slept really good.
UNIDENTIFIED MALE: Here we go.
UNIDENTIFIED FEMALE: Do you think that's realistic or will it (INAUDIBLE)?
GUPTA: Here's out setup over here. All of our bikes, "Fit Nation" team.
UNIDENTIFIED FEMALE: Good luck, Sanjay.
GUPTA: Thanks.
UNIDENTIFIED FEMALE: Do well.
GUPTA: All right.
UNIDENTIFIED FEMALE: Be strong. Be strong.
UNIDENTIFIED FEMALE: You look good!
UNIDENTIFIED FEMALE: Go CNN!
(APPLAUSE)
UNIDENTIFIED MALE: How was it?
GUPTA: It was well worth it. I'm tired.
STANLEY SABALLETT, FIT NATION TRIATHLETE: It's amazing. I almost died a few times, I felt like. But it's just so good. It feels great to finish.
UNIDENTIFIED GROUP: One, two, three -- (INAUDIBLE)!
(END VIDEOTAPE)
HARRIS: Wow.
So, this weekend, go inside the training of the "Fit Nation" squad. Experience the triathlon through their eyes, learning their fears, their concerns.
It's "SANJAY GUPTA, M.D.," Saturday and Sunday morning at 7:30 Eastern.
Jacqui is in the best shape of her life.
You're running 10ks.
JACQUI JERAS, AMS METEOROLOGIST: I wouldn't say that. Oh, come on.
HARRIS: You are --
JERAS: Whatever. That's so not it.
HARRIS: Good morning. Good to see you.
JERAS: Good morning.
We did a little muddy buddy race.
HARRIS: Is that what it was?
JERAS: And it was like six miles. So, that was biking and running.
HARRIS: Did you post some pictures?
JERAS: I did.
HARRIS: All right. Good.
JERAS: Yes. Go to my Facebook page under Jacqui Jeras and find my muddy buddy pictures, and you'll see me full of mud.
HARRIS: Perfect.
JERAS: Yes, good times. Right?
It was fun. But, you know, I started running in January. So I have never been a runner before. And I don't really plan on being a runner again in the future. I think we'll stick with the biking.
Hey, you know, people are talking about the heat, Tony.
HARRIS: Oh yes.
JERAS: Yes, for the New York triathlon. Yes, it was pretty brutal over the weekend.
(WEATHER REPORT)
HARRIS: Gulf Coast businesses have a message for tourists: Come on down, the water's fine. We will talk with two guests trying to recover from the oil disaster.
(COMMERCIAL BREAK)
(BEGIN VIDEO CLIP)
HARRIS (voice-over): Pictures, information, insight you won't find anywhere else. CNN NEWSROOM with Tony Harris -- anything can happen.
(END VIDEO CLIP)
HARRIS: Day 91 of the Gulf oil disaster and the cap on the busted well will stay closed at least for now. BP gets the OK to continue pressure tests on the well for another 24 hours. The decision comes after the government's point man put BP on notice about closely monitoring for any new signs of leaks. Admiral Thad Allen says testing revealed a seep on the sea floor a distance from the busted well head. Allen ordered BP to quickly respond to questions about the leak. He said the government the answers it needed.
And a hearing is underway right now in Kenner, Louisiana, investigating the deadly rig explosion that set off the disaster. A worker on board the DeepWater horizon is among the witnesses. The oil disaster has taken a heavy toll on tourism along the Gulf Coast. Some businesses are already looking to next year and beyond.
CNN's Ines Ferre has that story.
(BEGIN VIDEOTAPE)
INES FERRE, CNN CORRESPONDENT (on camera): I'm in Pensacola Beach, Florida, and so many people around here have told me that tourism was just crushed this year by the oil spill. So I came here to ask them, how long do they think it will take before tourism will pick up again once the well is fixed.
UNIDENTIFIED MALE: They say any press is good press, but not when it comes to tourism. I think a lot of people are going to stay away and steer clear for years.
FERRE (voice-over): This a shop that rents out kayaks, little sailboats, jet skis.
UNIDENTIFIED MALE: With oil, and the perception -- the perception is almost more damaging than rebuilding. So, if people wanting to come, they may not want to come depending on how things are portrayed. So you're at, what, five years, seven years, I think before tourism comes back to the way they were - the way the volume of business was in '09.
FERRE: It's also rental properties. Folks around here say either the value of them has gone down or this year they simply can't rent them because of the oil spill.
UNIDENTIFIED FEMALE: As soon as this happened, the amount of closings that had just absolutely stopped was unbelievable, unprecedented.
FERRE (on camera): How does this make you feel?
UNIDENTIFIED FEMALE: Very angry, very upset because, you know, that's my income.
UNIDENTIFIED MALE: We do vacation rentals here on the beach, and it's kicked us in the teeth. So we've hurt pretty bad. Reservations have all stopped. People have given up on coming down for this year. So, if they stop it and we keep the beaches clean we we've got a pretty good outlook for next year.
(END VIDEOTAPE)
HARRIS: Well other businesses that rely on tourism are trying to get back on track and get tourists back to the Gulf, and soon. We want to check in with some of them to see how things are going.
Emily Gonzalez is marketing director for Kaiser Realty. She is with us again from Orange Beach, Alabama.
Emily, good to see you.
EMILY GONZALEZ, MARKETING DIRECTOR, KAISER REALTY: Hi, tony. How are you today?
HARRIS: Yes. Great, great, great.
And Rick Dorman is owner of the Pink Pelican Ice Cream Bar in Panama Beach, Florida. And he joins us from Pensacola.
Good to see you, sir.
RICK DORMAN, OWNER, PINK PELICAN ICE CREAM BAR: How are you doing, Tony?
HARRIS: We'll talk to you in a second -- great, I'm terrific, thank you.
Emily, let me start with you. My understanding is you have been putting up daily slide shows of conditions along the beach there in Alabama.
What are you seeing today, and the slide shows, has that been effective for you?
GONZALEZ: The slide shows have been very effective for the people who had reservations before the oil spill. It's encouraged them to see the daily conditions of the beach, as well as kind of knowing what's going on in their area.
Alabama has 32 miles of beautiful beach, and people are really keen to know the difference between Gulf Shores and Orange Beach, Fort Morgan, Laguna Key. Most of the rest of the country doesn't know the little small tweaks between the two, but it makes a big difference. And when the oil is coming ashore, which luckily it's not right now, that makes a big difference as to what beaches are clean and be able to be out there and have fun and even take a small dip in just to cool off.
HARRIS: So, Emily, give it to me straight here. Any change in business since news that the cap, at least for now, seems to be holding?
GONZALEZ: Actually, we did have an increase. On Friday, we were looking at our numbers from Thursday to Friday, and our numbers pretty much doubled as far as our call volume goes hour to hour. But it's nowhere what we would normally expect.
This weekend, we did have our first good break in numbers of return, as far as dollar numbers. We would normally cover that gross amount of money every day in a normal summer as far as re-bookings and new bookings. And we just now for the first time in 2010 broke that number.
HARRIS: OK.
GONZALEZ: So it's nowhere near where we need it to be but it is looking up.
HARRIS: Got you, Emily. Back to you in a second here.
Rick, what have things been like there in Florida for you, and how dependent is your ice cream business on tourists?
DORMAN: Well, Panama City Beach has been wonderful. The beaches have been great from day one. We have had very little oil wash up and it was cleaned up immediately. My ice cream store is right across the street from the beach access and 99 percent of my business is tourism. It's been affected quite a bit this year.
The cap is wonderful news, and I hope that we'll recover - it'll help us recover this year. Our business truly is a summer-based business, and with that being said, it's getting late in the year to make a full recovery.
But I've said it before, perception is reality, and our beaches have always been clean, but people maybe in Tennessee, Alabama, and other areas hear a little bit of news, and they picture our beach is somewhat what Louisiana swamp looks like, covered in oil. And it's never been that way.
I'd like to see things recover quicker but I think it's a slow process. People are relieved that it's capped. Local businesses like myself, we're very excited.
HARRIS: Hey, Rick, Michelle Obama visited your ice cream bar and sat down and spoke with people.
What did she say, and what were people saying to her?
DORMAN: I think her visit was wonderful. It was absolutely great to meet her. And I think it's good - someone of that stature, the First Lady, coming to town is going to bring attention to our beaches. She met with a lot of the officials. She actually walked on our beach and the coverage was out on our beaches, how beautiful they are.
Coming into my little store was a true treat. She was classy, elegant, spoke to me, just wanted to ensure that people know to come on down to Panama City Beach, it's a great place to have vacation. She spent a fair amount of time there, she spoke to all the customers that were in the store, asking them. You know, they were vacationers here, you know, on vacation, and their stories, why they came, were they worried about the oil. And a lot weren't. A lot of them got online, they've seen the live cam shots of the beaches and they still come on down, which we appreciate.
HARRIS: Well, Rick, Emily, we appreciate it. Emily, of course, good to see you again. And let's do this. Let's check in with you - got a few more weeks left in the summer. We'll check back with you and see how things are shaping up. All right?
GONZALEZ: That sounds like a plan.
DORMAN: Yes, that would be good.
HARRIS: Good, good? All right. Good to see you both. Thanks for your time.
GONZALEZ: Thanks.
DORMAN: Thank you.
GONZALEZ: Take care.
HARRIS: Next hour, we will check in with a New Orleans marina about fishing tours and a brand new hotel in Biloxi, Mississippi, that hopes to see some of you visit, and soon.
More on oil and tourism in about an hour.
He fell from grace. Now he is preaching again.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: We have bank robbers that come to church here. We have adulterers, we have thieves, we have liars, prostitutes, drug addicts. They're all people just like me.
(END VIDEO CLIP)
HARRIS: A new congregation, a new direction for Ted Haggard.
(COMMERCIAL BREAK)
HARRIS: Day 91 of the Gulf oil disaster and testing continues on the rig cap well deep underwater right now. There has been some seepage detected on the sea floor, but it is not clear what is seeping. BP wants to keep the cap in place until the relief well is finished. So far the oil giant estimates it has spent almost $4 billion responding to the disaster.
Folks in eastern Kentucky are cleaning up after a devastating weekend. At least two people can killed in flash floods. ABOUT 200 families saw their hopes damaged or destroyed. And let the games begin. The Special Olympics underway in Lincoln, Nebraska. Thousands of athletes taking part in 13 sporting events this week.
A war and diplomacy for Secretary of State Hillary Clinton. She arrives in Kabul for an international conference. Her visit to Afghanistan follows meetings in Pakistan, during which she promised hundreds of millions of dollars in aid to the Pakistani people.
Our Reza Sayah is in the capital, Islamabad.
(BEGIN VIDEOTAPE)
REZA SAYAH, CNN CORRESPONDENT (on camera): Washington has made it clear that it desperately needs Pakistan's help in the fight against militants, and when you need someone's help, you obviously have to be nice to them, you have to say nice things, and it doesn't hurt if you do nice things for them. And that's what U.S. Secretary of State Hillary Clinton was doing during her one day visit here in the federal capital of Islamabad.
Mrs. Clinton on a 24-hour charm offensive to win as many Pakistani hearts and minds as possible. Mrs. Clinton unveiling a number of aid projects paid for by U.S. aid money approved by Congress. The programs are designed to address Pakistan's biggest concerns and needs among them an energy crisis, a water shortage, and jobs. The plans include the building of several hospitals, the building of hydroelectric dams and revamping Pakistan's aging power grid. One of the projects calls for the increase of exporting of their world famous mangoes. The U.S. hoping that project generates jobs in Pakistan.
HILLARY CLINTON, SECRETARY OF STATE: We know that there is a perception held by too many Pakistanis, that America's commitment to them begins and ends with security. But, in fact, our partnership with Pakistan goes far beyond security. It is economic, political, educational, cultural, historical, rooted in family ties. That this misperception has persisted for so long tells us we have not done a good enough job of connecting our partnership with concrete improvements in the lives of Pakistanis.
SAYAH: Make no mistake, the ultimate goal for Washington is the fight against militants. The Obama administration has said over and over again that there cannot be any success in Afghanistan if there is no help from Pakistan, if Pakistan doesn't do more against militants, the militant especially who are taking refuge on Pakistani soil, but fueling the insurgency across the border in Afghanistan. It hasn't always been easy for the U.S. to get Pakistan to do more because of the huge trust deficit here. Mrs. Clinton hoping some of these projects will bridge that trust deficit.
Reza Sayah, CNN, Islamabad.
(END VIDEOTAPE)
HARRIS: If you are looking for a job, we might, underline, exclamation point, we might have some good news. Some companies are opening their doors.
(COMMERCIAL BREAK)
HARRIS: Remember Ted Haggard? A dynamic preacher brought by a sex scandal? Well, now he is back in the pulpit. Reporter Kevin Torres, with affiliate with KUSA has that story.
(BEGIN VIDEOTAPE)
KEVIN TORRES, KUSA REPORTER (voice-over): Ted Haggard's backyard church, St. James, has grown so much over the past couple of weeks.
TED HAGGARD, PREACHER: It's always good to see people that I've known for a lot of years -
TORRES: That he can no longer fit everyone in his barn.
HAGGARD: Three weeks ago we had 170 people. Last week, 230. This week, 330.
TORRES: Haggard couldn't be happier.
HAGGARD: We're really excited.
TORRES: Seeing as he thought his life was over just a few years back.
(on camera): Three and a half years ago, would you have ever thought that you would be in this place that you're in right now?
HAGGARD: Never. Three and a half years ago I thought I was dead and gone forever. I lost my faith to the point that I didn't believe God could ever use a guy like me. I was the chiefest (ph) of sinners.
TORRES (voice-over): And it's those sinners, as well as plenty of other good folks, Ted says, who gave him a second chance.
HAGGARD: We have bank robbers that come to church here, we have adulterers, we have thieves, we have liars, prostitutes, drug addicts. They're all people just like me.
TORRES: Ted says those folks want to change their lives around, too. He believes he has completely shunned away any homosexual feelings he has had in the past.
HAGGARD: I haven't had any counseling regarding sexual issues since right after the crisis, about four months after the crisis.
TORRES (on camera): Yet, the last time we talked, you told me that you still have homosexual thoughts.
HAGGARD: Yes, no more. Because my issue became an issue with dealing with the people that had rejected me so deeply.
TORRES: How can you change within a few months when we last talked, that quickly?
HAGGARD: Well, I believe in lifelong development. I think people are changing and developing all the time.
TORRES (voice-over): Ted says he sees people changing before his eyes every Sunday. That's why his church is growing. Next weekend his parishioners will be meeting here at the Pikes Peak Center in downtown Colorado Springs.
HAGGARD: I have no goals. I have no plans other than to serve the people that choose to come.
TORRES: And he is serving them. Every Sunday his parishioners plan to give away hundreds, if not thousands of dollars to those in need.
HAGGARD: Today we gave one of the needy - one of the families that were in need in our church $2,800 to help them with their bills.
TORRES: Ted says it's about helping others who have helped him overcome a difficult past.
In Colorado Springs, this is Kevin Torres, 9 News.
(END VIDEOTAPE)
HARRIS: Amazing.
Plans to drill for oil in Cuban waters just a few dozen miles from Florida. We will hear what lawmakers are saying about this.
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HARRIS: Speaking of next hour. Pushing for a dream. Next hour, a look at young illegal immigrants lobbying in Washington this week for a bill allowing them to become U.S. citizens.
Plus, I'll be joined live by people running Gulf Coast businesses that rely on tourism. Find out how they're literally holding up during the crisis. Those stories and much more in the next hour of CNN NEWSROOM.
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HARRIS: Got to tell you, drilling for oil in Cuba has been on a small scale. But now a Spanish company is eyeing the potential offshore. And Florida lawmakers want President Obama to prepare for the worst.
David Ariosto has details from Havana.
DAVID ARIOSTO, CNN CORRESPONDENT (on camera): Welcome to oil- drilling, Cuban style. This is what many of Cuba's oil wells looking for. They're on shore, land-based rigs. And they're hauling up the black stuff for this country's energy depleted and cash strapped economy.
But the U.S. geological survey says there's much more out there, which has caught the attention of this Spanish oil giant Repsol. (voice-over): The company is part of a consortium exploring oil drilling in Cuban waters. But their plans have caused quite a stir among Florida politicians, weary of BP's deepwater disaster. Florida prohibits most deepwater drilling off its coast, but a 1977 treaty between the United States and Cuba, divides the water between the two countries right down the middle. That would allow oil companies drill as close as 45 miles from the Florida Keys.
PHIL PETERS, CUBA ANALYST: This is clearly in Cuban territory. It's Cuban territory that the United States has respected, every president has respected that agreement since the Carter administration.
ARIOSTO: It's unclear how close to Florida the Repsol rig might be. But images like these have some calling on U.S. President Barack Obama to be more proactive in disaster preparedness with neighboring countries, especially Cuba.
PETERS: Why be bashful about dealing with the real problem that we have? The fact is, if there's an accident in the areas where Cuba plans to drill, within three days, the Gulf stream carries that oil to our shores. We have a very clear interest in preparing now for an emergency, just as we do with other countries. And so why is the Obama administration being so timid about it?
ARIOSTO: The near half-century freeze in diplomatic relations hasn't helped. But many in Cuba welcome Spanish investment.
UNIDENTIFIED FEMALE: (through translator): I think it's something good that they're looking to drill because it's expensive and if they do it, it will help improve the country.
UNIDENTIFIED MALE (through translator): In this way, there are people working who may be able to get the oil which could be cheaper for us.
ARIOSTO: The region is rich with natural resources, housing billions of barrels of oil by recent estimates. But it's also home to pristine marine life, already threatened by oil in the Gulf. For now, Repsol is waiting for its Chinese-made to be built before move ahead with oil exploration off the Cuban coast.
David Ariosto, CNN, Havana.
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