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Wisconsin Public Employee Union Battle Continues; Group Homes for Troubled Teens Suffer in Budget Crunch; Eyewitness Tells of Military Crackdown in Libya; Laid-off Firefighter Tells the Tale of Municipal Budget Crises; Philadelphia Priests Charged in Sex Abuse Case

Aired February 19, 2011 - 15:00   ET

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


MARTIN SAVIDGE, CNN ANCHOR: The heated battle over Wisconsin's budget, state workers protest yet again. Congress is crunching the numbers, too. The House approves $60 billion worth of budget cuts. And the fate of four Americans is uncertain after their yacht's hijacked by pirates.

We begin with the showdown in Madison. Opposing sides in the Wisconsin budget battle descend on the state capitol there today, battling over a budget proposal the state's new Republican governor stands by, saying it will save jobs.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Is this bill going to pass as is, or is there any movement at all?

GOV. SCOTT WALKER (R), WISCONSIN: Well, I think, in the end, we've made significant adjustments to address legitimate concerns that people have raised throughout the legislative hearing process. And again, we're broke. We got to balance the budget. And only alternative is to say 5,500 state workers next budget could be laid off, 5,000 to 6,000 teachers and local government workers could be laid off. I don't want to lay anybody off and I don't think that's a good alternative. So for us, we're going to stay on the side of saying, Give them the tools, give them the modest opportunity for local governments, as well as the state, to balance their budget. And we're going to stay firm with that.

(END VIDEO CLIP)

SAVIDGE: All right. Let's go right to CNN's Casey Wian, who is in the thick of things. Casey, the governor says he's going to save Wisconsin jobs. Wisconsin does have a budget crisis, so why the protests?

CASEY WIAN, CNN CORRESPONDENT: Well, there's very different views here in Wisconsin about that governor -- about the governor's proposal and what the state should be doing to balance its budget and what it should not be doing, in the view of some, to affect the rights of public employee unions.

Now, I'm right here in the crossroads, if you will, of this entire debate. You can look at some of the signs that we've got here. We've got one here that says, "Walker is too extreme, must resign," and another one says, "Scott, we stand with you."

We've got people who are -- now you can hear the chants (INAUDIBLE) some people are chanting "Kill the bill," others (INAUDIBLE) chanting "Pass the bill."

This bill is at the tip of the spear of what may turn into, some believe, a national movement to try to balance the state budgets and also try to restrict the influence of public sector unions. We've had (INAUDIBLE) who've walked off their jobs three days last week. Schools were closed in many districts here in Wisconsin.

Now we're hearing from the other side. Tea Party organizers have mobilized people from several states (INAUDIBLE) Wisconsin to demonstrate their view that unions have too much power. The issues has divided people along those lines here in Wisconsin (INAUDIBLE)

(BEGIN VIDEOTAPE)

TIM PHILLIPS, AMERICANS FOR PROSPERITY: Wisconsin is ground zero. I think it's going to determine largely whether or not the pampered nature of these public employee unions is finally reined in so that they're paying for health care and they're paying for pensions at a level that the private sector is doing. I think this is the ground zero.

KAREN SCHWEDRKSY, PROTESTER: This will cost us an additional $208 to $567 a month for our family just to have health insurance, on an income of $50,000 a year. We need to look at alternatives here. We need to find solutions here that create jobs. We don't need to divide this country. Everybody who works deserves rights.

(END VIDEOTAPE)

WIAN: In what's perhaps the most remarkable thing about this entire day of protests, we've had tens of thousands of people descend on this capitol. People are very animated, very passionate on both sides. Some people are very, very angry about this. But these protests have been entirely peaceful. (INAUDIBLE) that this many people have been able to come together to voice their opinions, express their views and (INAUDIBLE)

SAVIDGE: Casey Wian right in the middle of it, right there in Madison, Wisconsin. Thanks very much.

Well, in upstate New York, one school district facing declining state revenue is turning to cooperation instead of confrontation. Teachers and other staffers employed by the West Genessee (ph) school district near Syracuse have accepted a wage freeze for the 2011-2012 school year. The agreement helps bridge a portion, at least, of a $5 million budget gap. The teachers association says it's agreeing to the wage freeze to keep teachers employed. The district says the agreement will preserve smaller class sizes and keep school programs intact.

Voices raised in celebration, but also frustration. This is Bahrain, where for now, thousands of people are again being allowed to gather in protest against the government. Just two days ago, security troops forcibly cleared the Pearl (ph) roundabout, killing several people in the process. At least 10 people have died in a week of clashes. Similar protests triggered revolutions in Tunisia and Egypt over the past few weeks.

Four Americans sailing in the Indian Ocean -- they have been hijacked and are being held by Somali pirates. U.S. Navy officials in the area are aware of the situation and say that they will intervene if necessary. We are told that the yacht belongs to a California couple, missionaries, who are documenting their journey around the world. There's been no confirmation yet that Jean and Scott Adam (ph) are among those being held by the pirates today.

They're called the forgotten population, and they're not even adults.

Also later, face to face with fashion icon Iman. Want to know the secret of her success?

(COMMERCIAL BREAK)

SAVIDGE: The struggling economy is hurting non-profit services all across the country, with donations down and funding tight. An Atlanta foster home for troubled adolescents will close this month after 40 years, possibly leaving troubled youth homeless and on the streets.

CNN's Julie Peterson has more on this "In Your House" report. And we've changed the name of the young man you'll hear from to protect his identity.

(BEGIN VIDEOTAPE)

JULIE PETERSON, CNN CORRESPONDENT (voice-over): Home...

"KYLE," FORMER RESIDENT": It's a lot different than when I was here.

PETERSON: ... can be a very special place.

UNIDENTIFIED MALE: I get chills, and I'm really happy to see you're doing (INAUDIBLE)

PETERSON: Nineteen-year-old Kyle (ph) is returning to The Bridge, a place he called home in his earlier teen years, a non-profit residential treatment facility on Atlanta's west side. Thirty-two youths sleep, eat and go to school here.

"KYLE": Coming here to The Bridge was, I guess, the breaking point to a radical change in my life.

PETERSON: It was his 11th home while under the care of Georgia's Department of Family Services. Kyle says this placement changed his life.

"KYLE": None of the group homes I've been to, placements or nothing, I never had nobody that treat me the way The Bridge has. PETERSON: Kyle credits all the services, including intensive group therapy, with making all the difference. He's even grateful for the behavior control room.

"KYLE": I came in here to calm down several times.

PETERSON (on camera): Did it work?

"KYLE": It does. You take -- it's -- you're taking personal time.

PETERSON: They would move -- carry you in here?

"KYLE": They would...

PETERSON: Put you in there?

"KYLE": They would -- if you get physical in any way and stuff like that and won't walk, then they will escort you down.

PETERSON: And that happened to you.

"KYLE": That happened to me.

PETERSON (voice-over): All the residents endured abuse and neglect at home before moving into foster facilities. Kyle's memories of the abuse he says he suffered at home, the ones that led to state care, are fresh.

"KYLE": I would be raped and stuff and sexually assaulted and abused for her to get, you know, a nick or whatever she was trying to score.

PETERSON (on camera): How old were you when that was happening?

"KYLE": When it first started happening, I was 6 years old. When I go to sleep at night, I have bad dreams about it. I still think about it, and stuff like that. There's no way you can try to get rid of that image. Someone being sexually assaulted is going to follow them from that day on.

PETERSON (voice-over): It costs $3.2 million to run The Bridge. Three quarters of this came from the government, the rest from private sources. Tom Russell's run The Bridge for the last dozen years. He describes the facility as Atlanta's only place for high-end 24/7 care.

TOM RUSSELL, CEO, THE BRIDGE: These doors are metal doors.

PETERSON: He says it's a place for kids who can't handle public school, many of whom have a history of running away.

RUSSELL: I often describe these kids as the forgotten population. Most people aren't familiar with these youngsters. Most people aren't familiar with their needs. And they remain invisible.

PETERSON: Russell says the adolescents here are lost and angry. With this in mind, even the cafeteria furniture is designed to minimize injury and damage when residents' anger boils over. (on camera): Tell me about this chair. (INAUDIBLE) tell me. I'm going to sit in this chair, and it's specially designed because why? What (INAUDIBLE)

RUSSELL: (INAUDIBLE) designed so that they're not easily tipped over.

PETERSON: So pretend you're one of the other residents, and I am, too. You come up to me. I'm mad. You're mad. What happens? How would it transpire?

RUSSELL: I may come at you like this and try to push you back and...

PETERSON: And throw me back...

(CROSSTALK)

PETERSON: ... but I can't go all the way until an adult comes over...

RUSSELL: Right.

PETERSON: ... and has time to intervene.

(voice-over): Special services and therapies gave Kyle a new life. He's graduated from high school, is off medications and lives on his own. He's confident about studying to be a social worker, and he volunteers with current foster care kids, sharing optimism and hope.

"KYLE": The best thing I have done is try to stay positive and look at -- and have a plan in place.

PETERSON: The Bridge's money runs out at the end of February and the non-profit will shutter it's doors. Between now and then, the 32 residents will be moved yet again to other facilities around Georgia. Tom Russell isn't hopeful.

RUSSELL: If programs like The Bridge aren't there, many of these youngsters are going to end up on the streets, homeless, in jail, and dead.

PETERSON: One former client, who is none of these things, is living a grateful and productive life.

"KYLE": This is my second home.

PETERSON: The result of this unique, safe home away from home. Julie Peterson, CNN.

(END VIDEOTAPE)

SAVIDGE: A distressing story there. With donations dwindling and state budgets cut, what can be done to care for foster children? We'll find out next.

(COMMERCIAL BREAK)

SAVIDGE: It's estimated that nearly half a million children are in the foster care system across America. And Once they reach 18, it's called "aging out." And then take a look at these stats -- 52 percent are unemployed, 43 percent have no health insurance, 37 percent are homeless or couch surf, meaning that they go from friend's house to friend's house, 24 percent don't have a high school diploma or a GED, and only 3 percent get a bachelor's degree or higher.

So let's focus on these teens and the importance of 24/7 homes. Joining me now is Pat Lawler. And Pat, I know that you operate 11 homes in 11 states. And you've also got some stats on how your program -- how well it does. So let's take a look at these. You say that 69 percent of your youth remain at home with a family, 76 percent report that they're in no trouble with the law, 87 percent of the youth are in school and they've graduated from high school or have gotten a GED in classes.

So let's talk about the financial challenges that you face, that other homes like yours face. What are you going to do in times like this?

PAT LAWLER, CEO, YOUTH VILLAGES: Yes. We recognize that, you know, many young people benefit greatly from being in a residential program. But throughout the '80s, the only services we offered at Youth Villages was really residential care. We began collecting data in the late '80s and found that many young people that left our programs weren't doing well and that the real core of the problem was their families. And many of these young people's families had as many challenges as their children.

And in 1994, we began providing intensive in-home services, working with the entire family and the community and their school. And since that time, we've cared for more than 25,000 young people and had tremendous success rates. And not only is it better to work with the child in a family setting, but it's also much more cost effective.

SAVIDGE: This aging out problem -- how significant is it?

RUSSELL: Aging out problem is significant. The numbers have grown dramatically in recent years to about 30,000 kids a year aging out of foster care. There'll be more than 50,000 kids aging out over the next 10 years. And our program works intensely with the young people as they age out, providing a job, providing health care, providing continuing education, providing a place to live, really supporting that young person as they age out because most young people just aren't prepared for life's challenges who've grown up in the child welfare system.

SAVIDGE: And we saw, you know, that disturbing story about The Bridge that's closing here in Atlanta. What's going to happen to those kids? I mean, from what you know from your experiences, what will happen to them?

RUSSELL: Yes. Yes. You know, what we've found across the country is the number of young people in residential programs has dropped dramatically, and states are looking for more effective alternatives and really looking for programs that have proven results and -- but also programs that are cost effective. I mean, Georgia is one of the most progressive states in the country, looking at better solutions and working more closely with the community and providers that provide community support and in-home support.

SAVIDGE: Well, as we look at Bridge's close and as we talk about states trying to find, of course, more cost effective and successful programs, what are the key elements any program must have to satisfy both the finances, and of course, the function, the ability to help these young people?

RUSSELL: Yes. Yes. We've been very fortunate over the years to have thousands of generous donors support our work. And you know, states do not provide 100 percent of the funding for residential programs and we rely heavily on private support, and that's one of the key components that's necessary. But also, it's important that young people are successful when they leave and that length of stays at residential programs are short. And programs can prove that not only their program's working effectively, but also they're cost effective.

SAVIDGE: Pat, hang with us because we've just Wendy Read on the line. She is a woman we've been trying to reach out to in California. We've managed to get through with Skype.

Wendy, you've been trying to set up a home for foster teens out in California, and yet it's been a long, difficult task. You're not ready to give up, but what's been the biggest problem for you?

WENDY READ, THE CHILDREN'S PROJECT: Well, we're here in Santa Barbara County, and we have been trying for a long time to create an environment for foster teens that would really change the outcomes that we currently see. We're very lucky here in Santa Barbara. We have a generous and very interested group of people that have said, These foster kids are our children.

We feel very strongly that the community and the private sector, in particular, really needs to step up and help care for these kids that are legally our children. So we have been working for about six years, and we're really focusing on two things in particular, stability and good educational outcomes. So we know it's going to be a challenge, but we're really confident that the model that we've come up with will really address those two problems in particular.

SAVIDGE: All right, Wendy, one more for you just before we have to go. So it's clear that you see that instead of relying on state or federal money here, we have to rely on, basically, the average person or corporation coming forward here to give you or to help organizations like you, no longer waiting for the state.

READ: Well, I have to say that, as an attorney, I always feel the need to point out that these children are our responsibility. So I'm not suggesting that the government doesn't have a responsibility to fund the ongoing programs. But I agree with your previous guest who said that it's really a question of trying to determine those programs that have successful outcomes, that are really going to help prepare our children when they emancipate out of foster care to have the tools that they need to create happy and productive lives.

So it's -- I think, and we here in Santa Barbara believe, that it's really a combination of taking those government dollars that are there, but really making sure that the community is involved. People want to help foster youth. So we really believe that it needs to be a combination of private sector and public sector money.

SAVIDGE: Wendy Read and Pat Lawler, thank you both. Good luck to you both in your endeavors in this cause.

READ: Thank you. Thanks very much.

RUSSELL: Thank you.

SAVIDGE: Her iconic name is synonymous with beauty and fashion, but did you also know that Iman is a business mogul? She'll explain how she did it when she goes "Face to Face" with our Fredricka Whitfield.

(COMMERCIAL BREAK)

SAVIDGE: Oh, you know what that means, a home video that makes you want to scream "Ouch" and an amazing shot that has people calling foul. "Viral Videos" -- it's that time with Jacqui Jeras.

JACQUI JERAS, CNN METEOROLOGIST: I know. Yes, this first one will definitely make you cringe when you see it.

SAVIDGE: Really?

JERAS: Yes. If you're a gymnast, you will recognize this. This is what they call a giant on the high bar. And these were two guys who were trying to do it simultaneously. Ouch! Oh, there it is! Isn't that terrible?

SAVIDGE: They never let go, though.

JERAS: Well, you don't let go. And you know, technically, you should be able to do this, right, and then you just keep going around and around. But the one guy didn't quite make it over the top and so he ended up -- yes, there he goes, almost, but didn't quite make it. It's actually a really hard thing to do.

SAVIDGE: You know what? I'm not surprised!

JERAS: Clearly!

SAVIDGE: I'm not surprised.

JERAS: It's not a great outcome, unfortunately. But that's on Break.com right now, if you want to share that with your friends.

SAVIDGE: Is that in the Olympics, by the way, that particular...

JERAS: The high bar? Yes.

SAVIDGE: That maneuver. JERAS: For me. Oh, well, you'll see it. Absolutely.

SAVIDGE: OK.

JERAS: All the time. I know this because I was a gymnast (INAUDIBLE)

SAVIDGE: Got any more?

JERAS: I do. No, we've got a lot more. OK, this next one, this is so sad. I feel so bad for this guy. All right, check out the video. You see this guy. He's in a liquor store. He's working there.

SAVIDGE: I see (INAUDIBLE)

JERAS: He's stocking the shelves. These are all bottles of wine, right? Yes, you know what's going to happen because every time you walk through, you know, a liquor store or maybe -- here goes. Ready? Oh! Every single bottle pretty much.

SAVIDGE: He did try to hold it back. I thought that was quite noble.

JERAS: He did. But I don't think he really did it. Watch again. He's just walking by. I don't think he touched it. So I don't know if putting the bottles on the other end kind of made it off balance or what happened, but...

SAVIDGE: Looks like a lot of, I don't know, is it cab or...

JERAS: It's 300 bottles of wine.

SAVIDGE: Really.

JERAS: Wasted, just wasted, Marty. He wasn't fired, though, is what I heard. I heard that he wasn't fired.

SAVIDGE: You sound like you're almost going to cry.

JERAS: But he had to clean it up. All right, this last not but not least, talk about a lot of people have seen that, this next one. It's got about a million hits already on YouTube. Take a look at this. This is a 73-year-old. He's at a hockey game in Indiana. And you've seen this before, right, the long shot.

SAVIDGE: Yes.

JERAS: Two hundred feet away, six-inch hole!

SAVIDGE: Wow!

JERAS: He makes it!

SAVIDGE: Wow!

JERAS: A 73-year-old guy!

SAVIDGE: Wow! JERAS: He's supposed to win $50,000, but the insurance company says, Sorry, you stepped over the red line.

SAVIDGE: Whoa!

JERAS: Fans are outraged! And the guy says before he even made the shot, he's, like, I'm not going to keep the money, I want to give it to charity.

SAVIDGE: Oh!

JERAS: So people are very upset about this. This happened last weekend. And apparently, now the insurance company says, Well, OK, we're going to pay part of it and give it to the American Heart Association and St. Vincent's Hospital...

SAVIDGE: Really?

JERAS: ... in Indianapolis.

SAVIDGE: (INAUDIBLE) again?

JERAS: Just because he had a good heart.

SAVIDGE: Oh.

JERAS: This was in Indiana. A 73-year-old guy -- guess he played hockey all of his life.

SAVIDGE: Oh, well.

JERAS: Good for him! That's an amazing shot!

SAVIDGE: That was an incredible shot. Yes, it was, I have to say. I've seen that once only from the half line of the ice, the guy did it.

JERAS: Really.

SAVIDGE: He won a set of tires, so...

(CROSSTALK)

JERAS: Yes, tires? Fifty thousand dollars.

SAVIDGE: All right. Thanks, Jacqui, very much.

Building homes for those who can't build for themselves. Meet our "CNN Hero of the Week" up next.

(COMMERCIAL BREAK)

SAVIDGE: Building homes for wounded U.S. servicemen and women -- that's coming up in our "CNN Hero of the Week."

But first, a look at some of our top stories. Tens of thousands of protesters are again surrounding the Wisconsin state capitol in Madison. Teachers and other state workers continue their loud, week- long denunciation of the budget by Governor Scott Walker. Police kept them apart from members of the Tea Party, who demonstrated today in support of the Republican governor.

A Pennsylvania judge faces a prison in a cash-for-kids scheme. A jury found Mark Ciavarella guilty of racketeering and fraud. Prosecutors say that he accepted millions of dollars in bribes and kickbacks and bribes for putting juveniles into detention centers that are owned by friends of the judge. Sentencing is expected in 60 days.

And then in Kentucky, a woman was sentenced to seven years in prison for trying to extort money from the University of Louisville basketball coach, Rick Pitino. Prosecutors say that Karen Cunagin Sypher made up a story that Pitino raped her. Pitino testified that he and Sypher had consensual sex, but he denied raping her.

This week in "CNN Heroes," we are updating you on a hero from last year. Dan Wallrath build homes for injured U.S. servicemen and women. Take a look.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: It is my honor to present CNN Hero Dan Wallrath!

DAN WALLRATH, CNN HERO: Being a top 10 CNN Hero was just very humbling. The true heroes are servicemen and women who answer the call. Since the show aired, we've been getting phone calls and e- mails and donations from all over the world. It's just been incredible.

GEORGE VERSCHOOR, "EXTREME MAKEOVER HOME EDITION": We had seen Dan on the CNN Heroes tribute, and we thought that's a perfect guy we got to team up with.

UNIDENTIFIED MALE: Good morning, Patrick and Jessica!

ANDERSON COOPER, HOST, "AC360" (voice-over): ABC's "Extreme Makeover Home Edition" joined forces with Dan to build a home for an Iraq war veteran wounded in the 2009 attack at Ft. Hood in Texas. Thirteen soldiers died, but Staff Sergeant Patrick Ziegler pulled through.

WALLRATH: He was shot four times, once in the head. He's just made a remarkable recovery.

COOPER: For Dan, who normally works with around 200 people, it's a chance to help build a home on a much larger scale.

WALLRATH: It has been probably 4,000 or 5,000 volunteers involved. We have tons of military folks helping us.

Bless you.

This house is going to be built in about 100 hours, where normally, we take about six months.

COOPER: At an event at Ft. Hood honoring Patrick and his fiancee, Jessica, Dan made a special announcement.

WALLRATH: We have established a Ft. Hood victims' fund to reach out to all the families affected by this tragedy.

(CHEERS AND APPLAUSE)

WALLRATH: I feel so good all the time about seeing these lives change. And now we're going to be able to change a lot more.

(END VIDEOTAPE)

SAVIDGE: What a great story. I'll be talking to Dan tomorrow right here in the NEWSROOM at 4:00 Eastern, and you can see the "Extreme Makeover" show tomorrow night on ABC.

Remember, all the CNN Heroes are nominated by you, so log on to CNN.com and tell us about the hero in your neighborhood or town.

(COMMERCIAL BREAK)

SAVIDGE: It is not Egypt, not Tunisia, not Bahrain. This is Libya, where Moammar Gadhafi has ruled alone for more than 40 years. Human Rights Watch reports that more than 80 people are dead after clashes with government forces since the demonstrations started on Tuesday. One protester tells us the movement is inspired by the people-driven revolutions in Tunisia and Egypt.

We have an eyewitness to a military crackdown in Benghazi. That is Libya's second largest city. And right now, she is joining us on the telephone. We are not going to identify her for her own safety.

And ma'am, first let me ask you, are you in a place where you can speak us to safely?

UNIDENTIFIED FEMALE (via telephone): Yes. I can speak now. We are very afraid. We are near the camp, the big camp in downtown in Benghazi. This camp for (INAUDIBLE) Gadhafi's house. And all the people warn, Get inside to this camp. After that, the soldiers had shoot, shoot, shoot the people and kill many, many young people. After that, the Libyan young people make a bomb with a TNT (ph), I think. They shoot it inside the camp, and they take a dozer (ph) to the walls. They do it. But after one hour, a few -- I think 25 minutes last (ph), they came, a new army, they are shot (INAUDIBLE) in the streets (INAUDIBLE)

SAVIDGE: OK, let me -- let me just have you pause for a moment. I know what you've been through is extremely emotional.

UNIDENTIFIED FEMALE: Sorry? Sorry?

SAVIDGE: I know what you're going through is very difficult, so we'll just take a moment here for you here to catch your breath. And stay with us. But who is doing the shooting? Are these members of the Libyan military? Are these special forces? There have been reports of mercenaries. UNIDENTIFIED FEMALE: No, it's special forces for Gadhafi and his son (ph). The army with the people now. Nobody with the army, with special (INAUDIBLE) every army with us.

SAVIDGE: So you're saying that the military there in Benghazi has come over to the side of the protesters?

UNIDENTIFIED FEMALE: Sorry, I don't speak English very well.

SAVIDGE: I understand.

UNIDENTIFIED FEMALE: But please, please help us. You can say the people here, it's -- it's -- (INAUDIBLE) killed a lot of people. Why? We do nothing. We do nothing. We have no guns. You know we have no guns. I speak to the all the world (ph), to America, to Mr. Obama, please help us. We do nothing. We want to live a good (ph) people. We want to take (ph) what (ph) time (ph) everything is fine for us. Please, help us. And I am afraid. Really, I am afraid.

SAVIDGE: What is it that the people want? What is it that you would like to get?

UNIDENTIFIED FEMALE: They want to live freedom. We have no freedom here. You know we have no freedom. Just his men live (ph). We have no hospital, no schools very well. Everything is bad.

SAVIDGE: Is it quiet now? Has the shooting stopped, or is the fighting continuing?

UNIDENTIFIED FEMALE: Yes. Yes. But the soldiers go back -- go out from the camp and they said, We are with you. We are with you. We believed this. We believed (INAUDIBLE) all these young people believed them. And after that, they -- they start shooting the people! Why? Why? Why they live (ph). Why they lie? (INAUDIBLE)

SAVIDGE: So you assume the troops lied to get amongst the protesters and then opened fire?

UNIDENTIFIED FEMALE: Yes. They found (ph) two people and they said, We are with you, we are with you. They are very, very -- very happy to listen that. After that, they opened and shoot -- shoot -- shoot the people. I -- this is the first time I saw the soldiers. I just -- I watch it on the TV, you know? I think -- and we aren't in the war (ph). Everything is bad now. Please help us! You have to say to Libyan government, Please don't shoot the people. They have nothing. They have no guns, no nothing. Please help us!

SAVIDGE: Do you have any idea...

UNIDENTIFIED FEMALE: And I am afraid. I am afraid now. I have a young (ph) people (ph). I am afraid.

SAVIDGE: I understand. Do you have any idea of how many people may have been wounded or killed?

UNIDENTIFIED FEMALE: Yes. Today I think it's 60 -- 60 people died in Benghazi after 3:00 in afternoon.

SAVIDGE: And you say now, though, for the moment, it is quiet?

UNIDENTIFIED FEMALE: Yes, they are quiet. They are very quiet. But we are afraid. Maybe they come to the -- the -- the building. Something (INAUDIBLE), with a (INAUDIBLE) suspicious (ph) (INAUDIBLE) There are people from Guyana (ph), from Benin, from Tunisia, from another country, Bangladesh -- Bangladesh. They are killed the people with a big -- with the big knives (ph), you know?

SAVIDGE: These are -- just so our audience understands, what you're referring to is that there have been reports of mercenaries, non-Arabs who have been involved in maintaining security in that country.

UNIDENTIFIED FEMALE: Please help us. I am talk to Mr. Obama!

SAVIDGE: And what would you say to the president?

UNIDENTIFIED FEMALE: To the president, please help us! Libya is one of the people with -- the country was the friend of America. They have a (INAUDIBLE) of America before 1969, in Libya, in Tripoli, in Tobruk. I know, my father was working with American people.

SAVIDGE: Before I let you go -- just before I let you go, I want to find out from you, what do you think tomorrow will bring for your country and for the people there?

UNIDENTIFIED FEMALE: I hope it will be good. We are afraid. This man (INAUDIBLE) Listen. Listen. Listen. They shout. They shout now. Please help us. Just help us. We are do nothing. We are peace (ph) people. You know -- everybody in the world knew the Libyan people is very kind people. Please help us. Help us.

SAVIDGE: All right, thank you so much for speaking to us. Please make sure you're in a safe place, and we will continue to check back with you and to follow the events of the people in Libya. Thank you.

As she was expressing there, Benghazi, the second largest city in Libya -- apparently, it appears the protesters may have attempted to take over a large military installation there. And then, again according to that eyewitness on the telephone, after they did so, the military came in and said that they were joining the revolt and the revolution and the protesters, but then she says they instead turned their guns on the protesters. We'll continue to follow that story and bring you updates as we get them back (ph) in the NEWSROOM right after this.

(COMMERCIAL BREAK)

SAVIDGE: Some very strong winds that are blowing, especially up there in, well, the Northeast right now. We saw it in Washington. Really, really strong.

JACQUI JERAS, CNN METEOROLOGIST: What a difference a day makes, right? Yesterday, you know, we were talking 60-degree temperatures across parts of the Northeast. And today, much colder, dropping temperatures and incredible wind.

You know, it looks kind of pretty out there with the sunshine. But take a look at what the winds have done in Washington, D.C. This is a picture of what was the national Christmas tree. It was toppled down by high winds. We're not talking about a Christmas tree that was chopped down and set up, we're talking about one that's been there for years and years and years and happens to be 42 feet tall. This was a blue spruce. And this sits between the South Lawn and the Washington Monument, in that Ellipse area. So kind of some sad news that that is no longer there.

The winds have been gusting between 50 and 60 miles per hour, and they continue to be incredibly strong. Look at this, in the 20 to 30-mile- per-hour range. That's the three-minute sustained average, so that's what it's constantly doing out there. And then we're seeing some of those greater gusts and those strong winds blowing over the warmer Great Lakes still, and that's why we're seeing some of the lake-effect snows that are moving across the area, as well.

Take note if you're trying to travel today, too, that we've had a lot of problems at the airports as a result of these winds. Over and hour delays at JFK. San Francisco, you've got over an hour. Newark, 30 minutes. That's people who are trying to get into these cities, by the way. And Washington-Dulles is looking at delays around 55 minutes.

We think the strongest of the winds should be subsiding probably after 5:00 o'clock-ish, and then things should be improving gradually as we head in through the evening and the overnight hours.

Our other big weather story today is the storm system in the Southwest. This has been a real soaker for southern California. We're concerned about mudslides and debris floes in the burn areas. This is moving across parts of Arizona, bringing heavy snow into parts of the Rockies. In fact, we're talking one to two feet in the higher elevations across parts of Colorado. There's been seven feet of snow, by the way, in parts of the Sierras in the last 72 hours. Yes, I said seven feet. That's in the Lake Tahoe area.

All right, that storm system will on the move and move across parts of the Midwest for tomorrow, and so the winter storm watches and warnings have already been put in place. And that dark red there, that's even a blizzard warning because the winds are going to be very strong with this, as well.

We'll show you the track of that storm because two of them are kind of combining together. The good news, that it's fast-moving, but not before it dumps about a foot of snow across some parts of Minnesota and Wisconsin. It will head into the Northeast, so that taste of summer is certainly gone, but we think it will be a weaker storm by the time it heads there on Monday.

So winter is still kind of hanging on...

SAVIDGE: Has not left us, right.

JERAS: ... especially across that northern tier. It's February, after all.

SAVIDGE: Thanks, Jacqui, very much.

Other states are keeping a close eye on what's going on in Wisconsin. We'll tell you why.

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SAVIDGE: Updating some of the stories we've been following this week. A 10-year-old Florida girl is dead, her twin brother in intensive care, and their father is facing charges. The children, both adopted through Florida's foster care system, were found in their father's pickup truck. The father, 53-year-old exterminator Jorge Barahona, has entered a not guilty plea to charges that he tried to murder the boy, allegedly with toxic chemicals. The girl's death is still under investigation. The judge set bail is set at $1 million, and he ordered a psychiatric evaluation.

Two-and-a-half years after a fire damaged the Texas governor's mansion, authorities are now offering a $50,000 reward for information leading to an arrest. Investigators released this surveillance video of a man throwing a Molotov cocktail at the mansion. They also released a sketch of the suspect. They say that the attack may be linked to an Austin-based anarchist group also accused of targeting the 2008 Republican national convention.

On a lighter note now, wet weather at Ft. Campbell, Kentucky, couldn't put a damper on homecoming ceremonies. About 235 troops stepped off the plane to cheers and very happy tears yesterday. They are the first group from the 101st Combat Aviation Division to arrive. Another plane carrying members of the 3rd Brigade combat team due in on Monday.

Well, the uproar we've been watching in Wisconsin could spread. Most states across the country face budget problems. CNN's Maggie Lake reports.

(BEGIN VIDEOTAPE)

CLEOPHAS BELL, LAID-OFF ORANGE, NEW JERSEY, FIREFIGHTER: Daddy missed you!

MAGGIE LAKE, CNN CORRESPONDENT (voice-over): Cleophas Bell is a young father with an uncertain future. Until last month, he was a firefighter in Orange, New Jersey, a job he hoped to hold for life. Then the axe fell in a major round of budget cutting.

BELL: Never in a million years did I think that I would be laid off because that is one of the lures to the job, is job security. We're not greedy public employees. We were willing to contribute more, we were willing to give up more, and you know, they weren't -- they -- it didn't work.

LAKE: Orange mayor Eldridge Hawkins, Jr., himself a former police officer, acknowledges the union concessions but says they must give up even more. MAYOR ELDRIDGE HAWKINS, JR., ORANGE, NJ: Police and fire make up 77 percent of our salaries and wages. So there's no way to close this gap without their cooperation. We just cannot keep pace with the skyrocketing cost of health care and pensions and the salaries that these unions are contractually entitled to. And I say that because they are entitled to them, which is why we need the give-backs.

LAKE (on camera): There are no easy solutions in Orange, New Jersey, and unfortunately, this is a scene that's playing out across the United States. Painful cuts need to be made, and no one can agree on where or how. Some say only drastic change is going to solve this budget crisis.

(voice-over): One idea for distressed states that's gaining support, bankruptcy...

UNIDENTIFIED FEMALE: ... to allow for federal bankruptcy...

LAKE: ... the subject of recent congressional hearings.

JOHN HENES, KIRKLAND & ELLIS LLP: To me, when I think about a bankruptcy regime for states, I don't think about it as it's radical, I think about it as just a process, a process to allow states to work out their issues. And I think that can be done.

LAKE: John Henes says the recent experience of GM is a good example of how bankruptcy proceedings can force unions and management to strike a deal. States are currently not allowed to file for bankruptcy, and it is extremely tough for cities and towns to do so. Officials like Mayor Hawkins call it a risky option.

HAWKINS: And when you do things like declare bankruptcy, it can destroy your bond rating, which means you're going to be paying for this money at a much higher premium (ph) and a much higher interest rate.

LAKE: State deficits are shrinking slightly as the overall U.S. economy strengthens. Even so, current estimates show 44 states and the District of Columbia with budget shortfalls totaling some $125 billion. And clean-up costs after this year's brutal winter storms are putting an added strain on the bottom line.

Meanwhile, nervous municipal bond investors have exited the market, driving up borrowing costs. Analysts warn officials are running out of options and time.

HENES: Whether there's a bankruptcy law or no bankruptcy law, there is -- there's pain coming. There's compromise that will have to come. The question is, how do you do it in a rational way without spooking the municipal bond market? How do you protect parties by having a process in place that's not just for the states to have a noose hanging over the unions' heads, but to have the unions being able to say to the states, You need to treat us fairly.

LAKE: For now, unions and their laid-off employees feel betrayed by their local governments and fearful of new pain to come. Maggie Lake, CNN, New Jersey.

(END VIDEOTAPE)

SAVIDGE: Two crowds marching in Madison, Wisconsin, today, state workers angered by budget cuts and Tea Party members who support the governor.

Half a world away, crowds are also gathered in Libya, anger and frustration inspired by the historic revolutions in Tunisia and Egypt.

And the personal life of a fashion world superstar. Fredricka Whitfield and Iman "Face to Face" in just a few minutes.

A startling turn in the Catholic church sex abuse scandal. More priests are facing charges, including a church official not accused of molesting kids. His crime, allegedly transferring suspected molesters to unsuspecting parishes, putting more kids at risk. Our Susan Candiotti has the latest from Philadelphia -- Susan.

(BEGIN VIDEOTAPE)

SUSAN CANDIOTTI, CNN CORRESPONDENT (voice-over): Despite efforts to change its ways, Philadelphia's archdiocese again is facing damning allegations from a grand jury, including a child sex abuse cover-up.

BISHOP DANIEL THOMAS, ARCHDIOCESE OF PHILADELPHIA: It's clear that more needs to be done.

CANDIOTTI: These two priests, Edward Avery and Charles Englehardt, and a lay teacher, Bernard Sher, now stand accused of raping the same boy between 1998 and 2000. Father James Brennan is charged with assaulting a different boy in 1996. But allegations against a fourth priest is setting the case apart.

(on camera): Here's what makes this case different. It appears to be the first time a priest who's not accused of being an abuser himself is charged with going out of his way to put dangerous priests into contact with more children, who in turn also were abused.

(voice-over): He's Monsignor William Lynn, from 1992 to 2004, the man tapped by the archdiocese to investigate abuse. Lynn faces up to 14 years in prison. if convicted of endangering the welfare of two children allegedly raped by other priests, priests Lynn allegedly knew to be sex offenders.

R. SETH WILLIAMS, DISTRICT ATTORNEY, PHILADELPHIA: This is about evil men being held accountable for doing despicable acts.

CANDIOTTI: District Attorney Seth Williams is bringing the charges that at least one respected analyst agrees could rock the Vatican.

WILLIAMS: They say this is a precedent. This is the first time in American prosecution that we are holding accountable a person who didn't do the abusing but was, we believe, negligent in his authority.

CANDIOTTI (on camera): According to the grand jury report, Monsignor Lynn learned that one of the priests under his direction had fondled a young boy. That priest was sent to a sex offender program. Yet, Monsignor Lynn allegedly lied about what happened to parishioners and called it all a rumor. When that priest was released from the program, he was ordered to stay away from young people. Yet just the opposite happened. The archdiocese assigned him here to St. Jerome's Church and School.

According to the grand jury, that priest, Father Edward Avery, allegedly raped a young boy here. That same boy was allegedly raped by another priest here and a lay teacher.

(voice-over): Bishop Daniel Thomas was assigned by the cardinal to talk with CNN about the grand jury's report. The bishop points out the DA credits the archdiocese with providing victim counseling and now reporting some accused abusers to police, including the four now charged.

In response to the report, the archdiocese has just hired a former local prosecutor, who sits on a church board, to review the grand jury's recommendations. The bishop promises things will be different.

(on camera): Why should people believe the archdiocese this time?

BISHOP DANIEL THOMAS, ARCHDIOCESE OF PHILADELPHIA: Some have said this is too little too late, but the reality is it's never too late to make it right.

GINA MAISTO SMITH, ARCHDIOCESE OF PHILADELPHIA: This is an opportunity to make a difference.

CANDIOTTI (voice-over): However, the D.A. and grand jury say there is credible evidence that 37 additional active priests are alleged abusers. The archdiocese has put three of those priests on administrative duty, but disputes it knows of credible information about any of the 37 at this time. It vows a complete review.

(END VIDEOTAPE)

CANDIOTTI: Now, Philadelphia's district attorneys - sorry, it's very windy out here right now. Philadelphia's district attorney urges any victim to come directly to them, adding in his words that it's not necessary to go to the archdiocese first. Martin.

MARTIN SAVIDGE, CNN ANCHOR: Susan, any reaction from the accused priests or the monsignor?

CANDIOTTI: We've been able to talk to some of them. For example, first of all, Monsignor Lynn. Through his attorney, he says that his client absolutely denies the charges, and his attorney also maintains that the child endangerment laws do not apply to Monsignor Lynn because his attorney says the monsignor is too high up in authority in the archdiocese to have had any direct contact with children.

Therefore, the statutes do not apply to him. The attorney says that the 2005 grand jury recognized that and in this case the grand jury is misapplying the law. We also reached the attorney representing Father Ebberhart and he also denies the charges on behalf of his client. He says that Father Ebberhart is so convinced of his own innocence that he even waived his right against self incrimination and even testified before the grand jury.

But Martin, we've been unable to reach the attorneys for the other three defendants.

SAVIDGE: Susan Candiotti, thank you very much, especially for braving the high winds out there. Thank you.