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Senate Passes Payroll Tax Cut Extension; Iraqi Government Divided as American Troops Depart; Press Cameraman Beaten In Iraq; Mitt Romney's Wife Making Campaign Appearances; President Obama Speaks About Senate Passing Payroll Extension; Iowa Paper Endorsement Today; Storm Kills 436 in Philippines; Alternative Court to Treat Veterans; Don't Give Yourself Debt; Band Death Ruled a Homicide; Curley, Schultz Will Stand Trial

Aired December 17, 2011 - 12:00   ET

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


T.J. HOLMES, CNN ANCHOR: Well, Iraq war hero, Jessica Lynch, has fulfilled a lifelong dream. She's now a college graduate. Lynch graduated yesterday from West Virginia University at Parkersburg.

You'll remember, the early days of the war, she was taken prisoner and then rescued in a daring U.S. raid. She got her bachelor's degree, and, Fredricka, she wants to be a teacher.

FREDRICKA WHITFIELD, CNN ANCHOR: I think this is fantastic.

HOLMES: It's a great story. It's something - it's so long ago.

WHITFIELD: Yes.

HOLMES: I mean, she still looks the same, for the most part. But, man, you remember those days, and now look at her. Look at her there.

WHITFIELD: You know, and what a symbol of courage, and what a life lesson she'll be imparting on her students. So -

HOLMES: Oh, yes.

WHITFIELD: -- her future student body is so lucky to have her. And - I mean, she truly is a public servant, you know? She has, you know, served her country, and now -

HOLMES: And now -

WHITFIELD: -- she'll be serving so many communities.

HOLMES: You're absolutely right.

WHITFIELD: It really speaks to her heart, who she is.

HOLMES: Jessica Lynch -

WHITFIELD: She's following her dreams, as you are. You are going to continue to follow your dream, and we'll be watching. And, you know, this has been so super great - HOLMES: Fredricka, you know I love you.

WHITFIELD: -- working alongside you all these years.

HOLMES: You know I love you.

WHITFIELD: We'll all cross paths again.

HOLMES: We absolutely will.

WHITFIELD: That's why I'm not saying good-bye.

HOLMES: I'm not saying goodbye. I'll call you later.

WHITFIELD: Yes. It's just a so long.

HOLMES: Yes.

WHITFIELD: OK, you know, tweet. I'll tweet you.

HOLMES: Yes. So I'll never hear from you, then.

WHITFIELD: I'm just kidding. I know. We'll be in contact. But everyone, you know, will continue to follow you and watch your career and grow.

HOLMES: Thank you so much.

WHITFIELD: And we'll all be rooting you on.

HOLMES: Thank you, Fredricka.

WHITFIELD: You're the best, T.J.

HOLMES: You want me to stay?

WHITFIELD: Yes. You want to stick around a little bit longer?

HOLMES: Yes. I'm going to -

WHITFIELD: OK. He's making a quick exit. All right, thanks so much, T.J.

All right, we've got a lot of big developments taking place today, especially on Capitol Hill. The U.S. Senate has given final Congressional approval to a spending bill that will keep the government operating through September. It also voted to extend the payroll tax cut, but just for two months.

President Obama is scheduled to speak in half an hour from now, and of course we'll bring that to you live.

Meantime, our Kate Bolduan is standing by on Capitol Hill. So Kate, let's start with the spending bill. After so much partisan bickering, it finally passed, but it wasn't easy. KATE BOLDUAN, CNN CONGRESSIONAL CORRESPONDENT: Yes. I'll tell you, this spending bill, it's a massive spending bill, Fredricka. I think it was over 1,000 pages when this report came out.

It got caught up - really, it's been negotiated for months, but it got caught up in the past couple weeks in this really intense battle and standoff involving the payroll tax cut. But - but yesterday, the House moved to pass the - pass the spending bill. It will fund operations through September, as well as avoid a government shutdown, which everyone said was threatened - threatened yesterday.

And today the Senate also did the same. They passed the bill pretty easily and pretty quickly in a vote - in a vote this morning.

And so the next stop is this spending will head to the president's desk.

WHITFIELD: OK, so now let's move to the payroll tax cut. They were talking about a two-month extension. Why did that slip to two months?

BOLDUAN: It slipped to two months, quite - just, quite frankly, because the Congressional leaders could not agree on a more comprehensive deal that they had been working out. They just could not bridge the divide.

They had been working and negotiating, obviously, you know, intensely trying to extend the payroll tax cut and extend unemployment insurance for a year. They couldn't bridge the divide. They said this is the best we could get in order to make sure that this payroll tax cut does not expire at the end of the year.

So they're kind of kicking the can down the road, you know, punting to the new year. So they'll have a two-month extension. I'll say it's passed in the Senate now, as of this morning, but it still needs to go back and pass in the House, and it's unclear where support stands there.

House Republicans leaders (ph) in conference meeting yesterday morning, they were not happy about the idea of a short-term extension. So there are still some questions about where support stands in the House, but we'll - we need to learn a little bit more about that, Fredricka.

WHITFIELD: All right, Kate Bolduan, thanks so much. We'll check back with you.

And again, in about a half an hour from now, President Barack Obama will be taking to the microphones, the airwaves, and of course we'll take his comments as well.

All right, meantime Iowa's largest newspaper, "The Des Moines Register," is set to endorse a Republican presidential candidate later on today. It will come one day after one of those candidates, Mitt Romney, picked up the endorsement of South Carolina governor Nikki Haley.

Let's turn to CNN political reporter Shannon Travis in Des Moines. So any idea who will be getting the paper's endorsement? Any leaks?

SHANNON TRAVIS, CNN POLITICAL REPORTER: No idea. It's a big guessing game. But I can tell you this much for sure, Fred, that everybody wants it. All the Republican candidates want that bragging right to say that this influential newspaper, "The Des Moines Register," has endorsed them.

It could tip the scales for a lot of undecided voters. We know from the polls that a lot of people here in Iowa ahead of the caucuses are still not quite clear who they want to actually support in the Republican race. But, as you mentioned, it will be announced later on tonight, around 8:00 P.M. Eastern, and we'll be watching.

But, just to tell you, that it's not necessarily a measure of success, whoever wins the paper's endorsement and goes on to win. Just a few factoids for you, Fred, only three candidates have gone on - that the - that the papers endorsed, have gone on to win the caucuses. That would be Bob Dole in '88, Bob Dole again in '96, and George W. Bush in 2000.

Only three have gone on to win the nomination, Bob Dole in '96, George Bush in 2000, and John McCain in 2008. And only one person that "The Des Moines Register" has actually endorsed has gone on to win the White House, and that would be George W. Bush in 2000.

WHITFIELD: OK. So the - this latest Iowa poll, showing Gingrich still in the lead, but the race seems to be narrowing. Perhaps his lead isn't as great as it once was. What's going on?

TRAVIS: Yes, emphasis on narrowing and fluctuating. You might add - even add that word, too.

This new American Research Group poll shows Newt Gingrich, 22 percent; Romney, 17; Ron Paul, 17; Governor - Texas Governor Rick Perry at 13; Michele Bachmann at seven; and Rick Santorum at seven here for Iowa.

Again, Newt Gingrich is on top, but previously Romney was on top. So these - these polls are fluctuating. Will Newt Gingrich be able to maintain that lead just a few weeks ahead of the caucuses? We'll have to wait and see, Fred.

WHITFIELD: All right, thanks so much Shannon Travis, in Des Moines. We'll check back with you.

And of course you want to join us every Sunday afternoon at 4:00 Eastern Time when we dedicate a special hour to the presidential contenders in the 2012 election.

All right, the Occupy Wall Street movement is three months old today, and it has spread far beyond a small park in Lower Manhattan.

Take a look right now, live pictures in New York and more evidence that the movement has not lost any steam. In fact, a lot of the organizers say it's picking up steam one more time.

It started as a protest against the wealthy, focusing on what it calls a culture of Wall Street greed and the growing split between rich and poor. The critics say it really has no clear message, having morphed into everything from a fight for jobs to anger over rising college tuition. So, again, people are reassembling in Lower Manhattan today.

All right, more than 400 people are dead after Tropical Storm Washi slammed into the Philippines. Many more are still missing. There are reports that an entire village was swept away. Government officials also believe more than 100,000 people have been displaced.

Reporter Maria Ressa has more on the difficulties of dealing with this storm.

(BEGIN VIDEOTAPE)

MARIA RESSA, CNN CORRESPONDENT (via telephone): The thing that was difficult in this situation is the - it was the tropical storm dumped heavy rain, and what - that it was actually the effect of the rain that caused the greatest damage and the casualties. The government says that it warned residents to evacuate, but most didn't because these areas have not been traditionally hit by flashfloods and landslides.

So what's next right now is you see officials trying to deal with unexpected problems that they are not necessarily prepared for. Part of the reason we're seeing conflicting death toll counts, there are at least 20,000 people in evacuation centers around the port city of Cagayan de Oro, and then you have others -

Really, the main problem of the people hit by this is drinking water, food, water, and clothes, dry clothes. So the government is continuing to ask for volunteers to help deal with the impact for the residents in those areas.

(END VIDEO CLIP)

WHITFIELD: And an emotional story of a veteran's biggest battle.

(BEGIN VIDEO CLIP)

MANNY WELCH, VETERANS TREATMENT COURT GRADUATE: There was a lot of partying going on. A lot of drugs were going on.

(END VIDEO CLIP)

WHITFIELD: As thousands of troops get ready to come home, a big effort to help them cope with life after war.

Plus, the flag of command has been taken down in Iraq. Now, all that's left is for the remaining Americans to come home.

(COMMERCIAL BREAK)

WHITFIELD: The last American troops will be leaving Iraq soon.

(BEGIN VIDEO CLIP) WHITFIELD (voice-over): U.S. troops lowered the flag of command that flew over Baghdad this week in a military ceremony. It marked the end of the controversial U.S. military mission that lasted nearly a decade.

Coming up in the bottom of the hour, we'll go live to Baghdad as U.S. military prepares to pull out completely.

(END VIDEO CLIP)

WHITFIELD: And whether it's anger issues, drugs or posttraumatic stress syndrome, some returning U.S. troops and even older veterans get into trouble with the law. The Veterans Treatment Court is offering them an alternative to jail.

Our Randi Kaye goes in-depth, following one man's journey as he turns his life around and gets a second chance.

(BEGIN VIDEOTAPE)

RANDI KAYE, CNN CORRESPONDENT (voice-over): When you think about American troops coming back home from fighting overseas, you probably have this picture in your head - not this.

UNIDENTIFIED FEMALE: This court is now in session.

KAYE: American veterans in court, arrested on any number of charges.

And that's exactly what happened to this man, Manny Welch.

WELCH: I come from a very good family, and my father gave me a choice. He said, you either go to college, you get a job, or you go to the service. And so I took the Naval exam and went to the Navy.

KAYE: Welch was stationed in Alameda, California. He worked aboard the "USS Coral Sea" aircraft carrier from 1975 to 1979, right after the Vietnam War ended.

WELCH: We were sort of in the peace time, you know, so there was a lot of partying going on, a lot of celebrating going on. A lot of drugs were going on.

KAYE: After the service, Welch's addiction took over.

WELCH: I was addicted to cocaine, marijuana, and alcohol. You know, they talk about drugs of choice, but whatever was available, I used.

KAYE: He was arrested more times than he can remember. It robbed him of everything - his family, his kids, his job, his home, his dignity.

WELCH: October 25th, 2008, when I was rearrested in Amherst, that was my darkest day, because I was at the end - I was at the end of the line. And I was tired of being sick and tired.

KAYE: So, after 30 years of drugs and jail time -

UNIDENTIFIED MALE: Hello, sir.

UNIDENTIFIED MALE: How are you doing, Your Honor?

KAYE: He made his way into Judge Robert Russell's Veterans Treatment Court, the first of its kind in the nation and the model for dozens of others. It helps veterans suffering from posttraumatic stress disorder, brain trauma and chemical dependency.

JACK O'CONNER, VETERANS TREATMENT COURT MENTOR: What Judge Russell's seen were veterans coming through his drug and mental health court, like Manny, and decided with his coordinator, Hank Pirowski, that maybe we could schedule a day and call it Veterans Day. And that's exactly how it started.

KAYE: Jack O'Conner is Manny Welch's Veterans Treatment Court mentor.

WELCH: The motto about leave no veteran behind, you know, because they wouldn't leave me behind. They wouldn't give up on me. They kept, you know, kept me in there.

And I'm proud to be around Jack. Jack does a lot for me. He's done a lot for me. You know, he's my friend today, my buddy.

O'CONNER: How's the job going here?

WELCH: The job is going good.

KAYE: O'Conner is a Vietnam vet who now helps veterans who are in trouble with the law reclaim their lives.

O'CONNER: A few weeks ago, we had a - a situation where a mentor - actually, a vet lost his job and lost his House. A series of tragedies. And in one day, two mentors, one - actually, I'm very proud of this. One actually got him an apartment and the other one hired him. So, in one day, that person's life was changed.

Those mentors don't want their names mentioned, and I'll honor that. They just do it.

KAYE: Following his latest arrest three years ago, Welch was sent to rehab instead of to jail, reunited with his family. He got a job with the Veterans Administration, became a mentor himself in the Veterans Treatment Court, and is now about to graduate from college.

WELCH: I am a responsible, you know, productive member of society today.

KAYE: His message to other veterans in need of help -

WELCH: If I can do this, they can do this, because over 30 years of using in my life, if not more, you know, I found a way out.

KAYE: Randi Kaye, CNN, Atlanta.

(END VIDEOTAPE) WHITFIELD: And a war of words is raging in a small New Jersey town. It's a word tied to the holiday season, and some people don't want to see it hanging over their town. It's the "Christ" in "Christmas" argument, after this.

(COMMERCIAL BREAK)

WHITFIELD: All right, top stories straight ahead, as well as a report by Joe Johns, Joe telling us that it is not a coincidence that the Mitt Romney camp is pushing family values since the rise of rival Newt Gingrich.

All right, "Smart is the New Rich," and this is the time of year when the temptation to overspend is highest because, of course, of the holidays. The credit card bills will come calling.

So here now is Christine Romans with some tips to keep your season bright and debt-free.

(BEGIN VIDEOTAPE)

CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT (voice-over): The worst present you can give yourself for the holidays is more debt. Are you listening Congress?

Don't buy into that hype that you need to add to last year's debt this year. No sale, no hot holiday toys, no impulse purchase is worth it at 20 percent on your credit card. First, if you can't afford it, put it down.

GAIL CUNNINGHAM, NATIONAL FOUNDATION FOR CREDIT COUNSELING: In a perfect world, you would never charge more than you could pay in full when the bill arrived. Worst case scenario, plan to pay it out no longer than three months.

ROMANS: Track your spending. The National Foundation for Credit Counseling surveyed shoppers and found 56 percent had no idea where they spent their money by the end of the month.

CUNNINGHAM: We work very hard for our money and then we spend it very casually. You will never know where the leaks are until you write down every cent you spend for 30 days. Seeing your spending staring back at you in black and white is a real wakeup call.

ROMANS: Prioritize your debt. Credit card debt is particularly unforgiving, even with new protections.

Aim to pay it off. The best boost to your credit score is paying of big amounts of debt and then paying on time every time with the card after that. Did you know a missed credit card payment stays on your credit history for seven years?

Finally, make it your resolution to get out of debt and stay out of debt in 2012.

RYAN MACK, OPTIMUM CAPITAL MANAGEMENT: Go to aucreditreport.com and print out your credit report to see how much debt you owe. Organize your debts in term from smallest on the bottom to largest on the top. Start calling your creditors to - to maximize and reduce the interest rate.

Going into 2012, this is one of the best things that we can start to do to organize our own financial futures and get that right peace of mind.

ROMANS: Christine Romans, CNN, New York.

(END VIDEOTAPE)

WHITFIELD: All right, the Penn State child sex abuse case widens. The prosecution's star witness testifies against Jerry Sandusky, and we learned two more former colleagues of Sandusky will stand trial.

Our legal guys are next.

(COMMERCIAL BREAK)

WHITFIELD: All right. The Chicago Bears have dropped wide receiver Sam Hurd. This follows his arrest Wednesday on federal charges of conspiring to possess and distribute cocaine.

Investigators say Hurd was trying to set up a drug distribution network in Chicago. He is free on a $100,000 cash bond.

And in Georgia, a county school district suspends all high school band activities. No band practice, no halftime performances - nothing.

School officials say the decision is connected to the beating death of a Florida A&M drum major. His death has now been ruled a homicide.

Let's bring in our legal guys to talk more about the FAMU investigation. Avery Friedman, a civil rights attorney and law professor in Cleveland; and Richard Herman, a New York criminal defense attorney and law professor, joining us from Davie, Florida.

All right, gentlemen. This is just heartbreaking, especially for the family of Robert Champion, the drum major. Authorities rule it a homicide. Now, how is this going to redirect this investigation?

Richard, you first.

RICHARD HERMAN, CRIMINAL DEFENSE ATTORNEY: Yes, it's horrible, Fred. They're going to un-turn every stone to look into the hazing activities that have been going on at this university, and, frankly, hazing activities which go on in universities all over the country. And not only universities but high schools as well.

So every now and then we see a fatality, everybody gets in an uproar. They rant and rave how hazings must end. It dies down for a while, and then an incident like this comes to fruition.

It's horrible. This death was unnecessary. And, you know, the band may be taken away from this university for a while. I think that's what's going to happen.

WHITFIELD: And also at issue here is a pattern. So, Avery, investigators are looking at there are other allegations of hazing incidents on campus. This death is being linked to, you know, alleged hazing on campus. So how are investigators going to look at how far was this common knowledge of such alleged hazing on campus, violent or otherwise?

AVERY FRIEDMAN, CIVIL RIGHTS ATTORNEY: Well, it - let me tell you something, Fredricka, this - this process of hazing, which is nothing more than assault and battery, has been going on for 65 years. But at Florida A&M, it appears -

HERMAN: Longer.

FRIEDMAN: -- that officials have been looking the other way. And the bottom line is that it will require an intensive effort to look into it.

The president, Robert Hammons (sic) has actually fired Julian White, the band director. The board brought him back.

WHITFIELD: But now even -

FRIEDMAN: I mean, what's going to be required -

WHITFIELD: But now even President Hammons is under fire. The Florida governor is even trying to issue some pressure, saying he needs to be suspended.

So the question, too, is how far up does this knowledge go?

FRIEDMAN: Well, I think it goes all the way to the top. The fact is that A&M counts on the Marching 100 to generate substantial money. Appearance fees alone, Fredricka, $300,000 a year, probably eight figures.

So the battle will be how do you preserve the Marching 100, which is - really identifies the university, and get to the issue of how do you stop hazing? And that's going to be a very, very difficult thing to do.

WHITFIELD: So Richard, this is a, you know, a long tradition. The - the marching band, that is. And now there are allegation that there has been a very tradition, stretching decades, of hazing as well.

Will the university find itself in the middle of being held culpable? Can the university legitimately defend that they didn't know about this? The Music Department or people in the Music Department may have known about it, but perhaps not the president's office or anyone else.

HERMAN: Fred, they can absolutely try to defend along those grounds, but the more people that are interviewed and the more people that come clean and those who want to avoid being prosecuted themselves will just give it to everyone. They'll lay it out. They'll say this school's perverse, that everyone knew it. It was a rite of passage to be in this esteemed band, just as it is in fraternities all over the country.

It's a rite of passage, Fred. It's not going to - it's more than 65 years. It's going to continue. It's going to continue after this.

But Fred, I think that this investigation, heads are going to roll. When have you a death, it's horrible. It's tragic. And more and more civil suits are going to arise out of this. So it's a big mess at FAMU. Absolutely.

WHITFIELD: OK. So now let's move on to Penn State and the investigation and preliminary hearings, one that didn't take place. Another hearing that did take place involving faculty members Gary Schultz and Tim Curley.

So, Richard, you first. These two found themselves in court. The court says, yes, there's enough to go forward with trial. But what stunned most people earlier in the week is that it appears Jerry Sandusky's attorney made a pretty smart move in which he delayed the proceedings. That preliminary hearing was suspended.

This has been an incredible week in this investigation.

HERMAN: It's - it's been a procedural week, Fred. I think that's what it is, a procedural week.

I think that Sandusky's attorney was afraid, based on all of the testimony coming in in the preliminary hearing, that had those people got on the stand the judge maybe on his own or upon motion by the prosecution, would increase the bail, making it so high that Sandusky could not afford it, would be incarcerated right away that day. And, frankly, Fred, if he gets convicted on these cases, he's going to stay in prison the rest of his life.

FRIEDMAN: Oh, that's right. Sure.

HERMAN: So his attorney made a strategic decision -

FRIEDMAN: That's right.

HERMAN: Yes. His attorney made a strategic decision not to potentially put him in prison for the rest of his life. Let him stay out and participate.

I think it was a wrong decision. You get so much out of a preliminary hearing as a defense attorney, and -

(CROSSTALK)

FRIEDMAN: I think - I think it's - it's important to make the distinction between Jerry Sandusky, who's charged with 52 sex crimes, and what went on in Harrisburg involving Tim Curley and Gary Schultz, who's the athletic director and the senior vice president.

WHITFIELD: Who allegedly knew but didn't do anything.

(CROSSTALK) FRIEDMAN: And that's the issue, Fredricka.

WHITFIELD: Right.

FRIEDMAN: And I'm stunned at - at the confusion about this, even the misreporting and commentary, the (INAUDIBLE). Not elements of the crime of - of sex crimes, but rather Mike McQueary's testimony about what he told them. That's the issue in this case -

WHITFIELD: And let's talk about that, because that does then - that does potentially underscore that there was knowledge. There were - there was knowledge of enough details in which to do something more but not enough was. Mike McQueary testifying that he saw severe, extreme sexual acts taking place on a boy in the locker room 2002, that he did report it.

He - he testified he did go to Paterno. He may not have given details, but it was enough, in his view, to then take it further, for someone on campus to take it further and it - and it wasn't.

FRIEDMAN: Yes. Yes, you nailed the issue. It's not --

WHITFIELD: So did he recuse himself?

FRIEDMAN: -- the details of the elements -

WHITFIELD: Did he - did he relieve himself of - of that responsibility, that he did, indeed, report it? Was that convincing, his testimony?

FRIEDMAN: Oh, two hours of testimony, I thought it was - I thought it was absolutely what he was supposed to be doing.

Again, he doesn't have to testify about the details. He has to testify about whether he reported it to the authority.

The - the senior vice president oversaw the chief of police, Fredricka. That's sufficient. He met his duty. These guys said it never happened.

WHITFIELD: OK.

FRIEDMAN: And that's why there's been doubt over it.

HERMAN: And Fred - Fred, because - because the - the individuals, the victims were not students of Penn State, McQueary's only obligation was to report it to his superior. That was his legal obligation, to report it to his superior, which he did.

WHITFIELD: I know. We're going to talk about that case some more because it's far from over. Thanks so much, gentlemen.

Of course, we're going to have you back -

FRIEDMAN: That's for sure. WHITFIELD: -- in about 20 minutes or so to talk about another story that some believe is quite outrageous, this of a "white only" sign at a swimming pool. The sign is pretty real, and the woman who hung it there is defending her decision to do so.

We're going to delve into that one right after this.

(COMMERCIAL BREAK)

WHITFIELD ANCHOR: Straight to the White House right now, President Barack Obama.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: In the last few weeks I set out a simple principle. Congress should not go home for vacation until it finds a way to avoid hitting 160 million Americans with a tax hike on January 1st. Extending the payroll tax cut that shows up in people's paycheck every week is an idea I had proposed in September as a part of the American jobs act.

At a time when so many Americans are working harder and harder just to keep up, the extra $1,000 or so that the average family would get from this tax cut makes a difference when you're trying to buy groceries or pay the bills, make a mortgage, or make a repair.

And all kinds of independent economists agree the number one challenge facing business right now is the lack of demand from consumers, which is why more people spending money means companies are more successful and more able to hire more workers.

Today Congress agreed to extend the middle class tax cut into next year. And they've also agreed to another part of my jobs plan, extending unemployment insurance to millions of Americans out there trying as hard as they can to find a job. This is spending money that also benefits families and businesses and the entire economy, and it's a lifeline that would have been lost for more than 2.5 million people in the first two months of next year if Congress had not acted.

So I'm very pleased to see the work the Senate had done. While this agreement is for two months, it is my expectation, in fact, it would be inexcusable for Congress not to further extend this tax cut for the rest of the year. It should be a formality, and hopefully it's done with as little drama as possible when they get back in January.

This really isn't hard. There's plenty of ways to pay for these proposals. This is a way to boost the economy that has been supported by these very same Democrats and Republicans in the past. It is something that economists believe will assure that the economy and recovery is on a more stable footing than it otherwise would be.

And my preference, and the preference of most Americans, is that we asked the wealthiest few Americans to pay their fair share and corporations to do without special taxpayer subsidies to cover some of the costs. But I think it's important for us to get it done.

We've got a lot more work to do for the people who sent us here, but today I'm glad both parties in Congress came together. And I want to thank them for ensuring that as we head into the holidays folks at home don't have to worry about taxes going up.

So I had a chance to talk to Senator Reid and Senator McConnell. I thank them for their cooperation on this issue. I'm looking forward to the House moving forward and getting this done when they get back on Monday. And hopefully we're going to be able to make sure when everybody gets back next year we extend this further all the way to the end of the year.

Thank you very much, everybody.

WHITFIELD: All right, President Obama there offering some assurances. He's glad of the job that's been done thus far in Capitol Hill, the Senate voting on government spending and on the payroll tax cut. The Senate giving final congressional approval to a bill that will fund the government through September, so no more threats of the government shutdown at least as it pertains to this weekend, but instead now some of that funding to get the government going through September.

And then also voting in favor of extending the payroll tax cut through February. Of course you heard from the president there, he's also hoping when the House gets back to business on Monday they will do exactly what the U.S. Senate did as well.

Our Athena Jones is there at the White House. Let's go straight to you, Athena. So the president offering some real assurances there. He's glad the U.S. Congress has gotten down to business there. It's not over yet, is it?

ATHENA JONES, CNN CORRESPONDENT: No, it's not over. Of course, the White House has been pushing for this as a key provision of the president's jobs bill. They have been pushing for months to make sure that 160 million Americans don't see their taxes go up in January. So on some levels that's a little bit of a victory.

But it's just a two-month extension. It kind of kicks the can down the road. They will have to return to this in a couple months. The president of course expressed his confidence this is going to be passed by the Congress next year. He said it must be done, it's not hard to do. It's something we should agree on.

So he's coming out trying to declare a little bit of a victory. He didn't mention the Keystone pipeline. He didn't answer any questions. He's also keeping the pressure on saying he's confident when the House comes in on Monday they will pass this bill the Senate just passed, he'll be able to sign it. And then Americans starting the first of the year will get an average $1,000 extra in their pay next year.

WHITFIELD: Athena Jones, thanks so much from the White House, appreciate that.

JONES: American service members meantime are coming home from Iraq. We'll take you live to Baghdad as the final troops prepare to pull out there.

(COMMERCIAL BREAK) WHITFIELD: Just in time for the holidays, the final American military units will soon leave Iraq after nearly a decade old war. Our Arwa Damon joins us live from Baghdad now. So Arwa, how is the Iraqi government holding up in the midst of this American troop pullout.

ARWA DAMON, CNN INTERNATIONAL CORRESPONDENT: Fredricka, it's quite disturbing, because the Iraqi government appears to be coming apart at the seams before that last soldier departed Iraqi soil. Today the Iraqiya bloc, and this is the biggest bloc in parliament headed by former prime minister Ayad Allawi, declared it was suspending its membership because they say Nouri al Maliki has absolutely no intention of implementing the power sharing agreement that allowed the formation of the current government, the agreement of course being between Iraqiya and Nouri al Maliki's State of Law coalition.

And a few days ago the deputy prime minister who is also part of Iraqiya flat out said he believed Nouri al Maliki was a dictator. He said al Maliki was playing a game between the U.S. and Iran that one day the U.S. would grow to realize this and regret their decision. So definitely not a lot of good indications there, Fredricka.

WHITFIELD: Tell me about a mishap or something that involved a CNN photographer who was beaten in an Iraqi square yesterday.

DAMON: Fredricka, you know, one of the main cornerstones of democracy is freedom of speech. Our Iraqi cameraman went down to the square to film anti-government demonstrations. And after they ended, he was dragged down an alleyway by pistol wielding pro-government thugs who beat him up, took his camera away.

What makes this even more disturbing, though, is this happened in plain sight of the Iraqi army. In fact, our camera man went to speak to one of the officer afterwards and he refused to help him out. He just turned around and walked away. Added to that this camera man cannot speak out himself because of his own security concerns. He is afraid because being part of a western network can still potentially be a death sentence in Iraq, plus he's afraid of government repercussions.

And this is not an isolated incident. Human Right Watch has cataloging these types of violations against not only the media but bloggers and activists, anyone who is speaking out about the government really since these anti-government demonstrations began in February. That's just one example of what Iraqis have to deal with that the nation of America is in the process of leaving behind.

WHITFIELD: Arwa Damon, thanks so much. I know throughout the day you're going to be keeping us posted on the troop withdrawal in Iraq as many make their way back to U.S. soil.

Back on U.S. soil now a Disney star, she has a stalker. The man charged with stalking Selena Gomez now says there's only one thing that will keep him away from her. We'll get into that with our legal guys next.

(COMMERCIAL BREAK) WHITFIELD: A town in New Jersey is divided this holiday season on religious lines. The controversy is over a banner hanging over a downtown street. Our legal guys are back, Avery Friedman in Cleveland, Richard Herman in Florida. So guys, we're talking about what some say is a well-intentioned tradition where the sign has the words "Keep Christ in Christmas." But Richard, some say this is a violation between church and state. Do they have it right?

RICHARD HERMAN, CRIMINAL DEFENSE ATTORNEY: Don't we see this every year at this time, Fred? People are celebrating. They are happy.

WHITFIELD: In some form.

HERMAN: They are happy, in the spirit. The true spirit and meaning is up. Then you have these side groups that try to attack it and bring it down. Is it a violation? Potentially, I guess theoretically it could be a violation if the police force and fire department -- if the police and fire department were used to hang this banner, perhaps it could be. I'm understanding it's on private property, has nothing to do with the borough or town. Therefore I don't think it's going anywhere.

WHITFIELD: Avery, who is going to win this battle, Avery?

AVERY FRIEDMAN, LAW PROFESSOR: Who is going to win is Pittman, New Jersey. It's hung up by Knights of Columbus, a religious group, on private practice. This has nothing to do with the establishment clause. Absolutely permissible. If an anti-religious group wants to put up a sign, they can do it, too. There is not a First Amendment issue. Put the sign up. End of controversy, case is over.

WHITFIELD: Let's move on to Cincinnati. This is about a sign on a public swimming pool that says whites only. The owner says she put it there because she collects antiques and thought it was an interesting and an education item. Some people say something is wrong with that. A battle of freedom of speech and civil rights. And this particularly targeted a little girl, Avery, who was black. Apparently somebody at the school said her hair makes the water cloudy and that's why this pool should be white only?

FRIEDMAN: That's James Hines, the landlord. She threw her out. She had the sign up. Then she said I need to stand up for my white rights. Is she on the way to a Klan rally? She's a landlord. She's subject to fair housing act that's been the law of America for 43 years, Fredricka. She's in a world of trouble. My white rights? They are American rights not black or white rights. She's in a lot of trouble for violating fair housing law.

HERMAN: If Avery from the great state of Ohio says it's a violation of the fair housing in the Ohio civil rights act, I am bowing saying he's absolutely right. He's the master of that. He's absolutely right 100 percent.

WHITFIELD: I knew you were going to see that one eye to eye.

FRIEDMAN: That was an easy one. WHITFIELD: I know. Now let's move onto Selena Gomez, the Disney star. She's had a stalker, Thomas Brodnicki, for quite some time now. This time Brodnicki is saying I do have a problem. I need a restraining order, and that's the only way I'll be able to stay away from Selena Gomez. Richard, this isn't usually the way it goes.

HERMAN: I think he needs the boot. That's what he needs, Fred. Where do you draw the line on these crackpots cases? Is this guy simply a flake job or do we take him serious? This is what the courts have to wrestle with. Does he have the ability to carry out threats? We don't know. A judge will make the decision. What is a restraining order? It's a piece of paper. If you had a penny for every violation on those pieces of paper, you'd be wealthier than you already are.

WHITFIELD: What's that mean? I don't know. Let's move on. Talk about Selena Gomez here. I wonder, Avery if someone says I have a problem with Selena Gomez, I can't stay away, maybe the court should shay restraining order isn't enough. Should this person be put in a place where they physically can't get to this individual, jail, House arrest?

FRIEDMAN: Well, Thomas Brodnicki has already told the LAPD that he's had 50 conversations with god a day about killing Selena Gomez. That's kind of a lot of evidence for a court to grant the appropriate permanent injunctive relief.

But at the same time it's very clear there's something wrong with Brodnicki. You've got to refer this guy on for mental health issues. Refer him, get him help, write the restraining order, keep him out of Selena's life. No doubt about it.

WHITFIELD: Something else. Gentlemen, good to see you. Happy holidays.

FRIEDMAN: Merry Christmas to you. We're not going to see you next week.

WHITFIELD: I know.

FRIEDMAN: We'll miss you. We went through all the tissues in the studio with you an T.J..

WHITFIELD: I know.

FRIEDMAN: It was so sad.

WHITFIELD: I'm thrilled for him. I know you guys are, too.

HERMAN: He'll be great.

WHITFIELD: He's a superstar, super great guy. We wish him the best but it is a little sad. This was our last time on the air.

(CROSSTALK)

WHITFIELD: We'll see you guys later, much later in another weekend. FRIEDMAN: Happy holidays.

WHITFIELD: Happy holidays and happy New Year because that's about the time I'll see you next. Thanks so much, gentlemen.

You do want to stick around to hear this because we have talked in the past about Barry Bonds and all he was dealing with in court. Now case closed for the retired baseball great. A federal court in San Francisco yesterday sentenced Bonds to two years probation and 30 days House arrest. He also received a $4,000 fine. Bonds was charged with obstruction of justice in a grand jury's inquiry into illegal steroid use by pro athletes.

And a campaign battle between Newt Gingrich and Mitt Romney has become a family affair. Joe Johns will be along to tell you why after this.

(COMMERCIAL BREAK)

WHITFIELD: To politics now. With Newt Gingrich rising in the polls, the Mitt Romney camp has unleashed a secret weapon, the wife, Ann Romney. Joe Johns explains why we will see even more of the GOP candidates' wives overall on the campaign trail.

(BEGIN VIDEOTAPE)

JOE JOHNS, CNN SENIOR CORRESPONDENT: What usually doesn't work very well in a presidential campaign is for some guy to interrupt an event and start shouting embarrassing questions about a candidate's personal life.

UNIDENTIFIED MALE: It seems like you're cheating on your wife.

NEWT GINGRICH, (R) PRESIDENTIAL CANDIDATE: How would you know, other than -- other than -- other than personal hostility?

JOHNS: But it's the velvet glove approach that's harder to deal with, for example, the wife of contender Mitt Romney in a living room in Iowa with a few dozen supporters.

ANN ROMNEY, MITT ROMNEY'S WIFE: I look back and think of how my has been the kind of guy you can count on. And that's the personal side of him that people don't know pout.

JOHNS: How long has mitt Romney been married to the same woman? By the time it's over you might eventually have it memorized.

MITT ROMNEY, (R) PRESIDENTIAL CANDIDATE: I've been married to the same woman for 25 -- excuse me, I'll get in trouble, 42 years.

JOHNS: Presidential candidates like to think of their spouses as secret weapons. And Romney is on the trail now to humanize her husband to try to make him seem more appealing. But her appearances are also a bid for values voters, women voters, and voters for whom trust is a big issue.

ANN ROMNEY: He has strong family values. That's what matters to him. That's where his world is.

JOHNS: Contrasting Romney with Gingrich, who has had a much more complicated personal life.

PETER HAMBY, POLITICAL REPORTER: The Romney campaign is almost certainly putting Ann Romney out there to highly the couple's 42-year marriage and her children and Romney as a family man as opposed to Newt Gingrich, who is right now on his third marriage.

JOHNS: Not only married three times, but Gingrich has admitted adultery, asked god for forgiveness, and converted to Catholicism, which is the faith of his wife Callista. She too is seen on the campaign trail but not heard nearly as much.

CALLISTA GINGRICH, NEWT GINGRICH'S WIFE: Newt and are I determined to run a positive, issue-oriented, and solutions-based campaign.

JOHNS: Republican political veteran Mary Matalin says some values voters might want to know more about the Gingrich personal story. But for many, it's news that's a decade old.

MATALIN: People have discounted it. They knew about Newt's marriage history and discarded that as a concern about him.

JOHNS: For her part, Ann Romney says she is not trying to compare and contrast her husband's personal life with Newt Gingrich. But campaign insiders have said they think the former speaker's past personal life is one of his liabilities.

Joe Johns, CNN, Washington.

(END VIDEOTAPE)

WHITFIELD: And a pro football player facing federal charges. Now his tenure with the Chicago Bears cut short. What landed him in trouble, next.

(COMMERCIAL BREAK)

WHITFIELD: A look at our top stories now.

President Barack Obama says that he is very pleased with this morning's Senate vote extending unemployment assistance and extending payroll tax cut through February. He spoke at the White House just a few minutes ago. Mr. Obama urged the House to follow the Senate's lead. He also urged Congress to pass a full-year extension of the payroll tax cut after it returns from its holiday recess.

A savage tropical storm has killed at least 436 people in the Philippines and more than 150 people are still missing. Five of the deaths were caused by a landslide, but most of the victims were killed by flash flooding. There are reports that one entire village was swept away. The government estimates that 100,000 people have been displaced from their homes.

And the Chicago Bears have dropped wide receiver Sam Hurd after federal charges of conspiring to possess and distribute cocaine. Investigators say Hurd was trying to set up a drug distribution network in Chicago. He is freed on $100,000 cash bond.

And coming up later on today in the 2:00 Eastern hour, some tips for gift giving gift cards you might not have thought about before.

And is the newest "Mission: Impossible" movie worth your bucks.

Plus, at 4:00 Eastern Time, risky career moves that actually can pay off big. I'm Fredricka Whitfield see you then.

"YOUR MONEY" starts right now.