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Possible Deal In Tax Cut Standoff?; Devastation In Baghdad; U.S. Says Pakistani Strike Was Self-Defense; Nurses Strike in California; Parents Allegedly Killed Own Daughters

Aired December 22, 2011 - 15:00   ET

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


BROOKE BALDWIN: Now this. Here we go, hour two. I'm Brooke Baldwin.

A number of stories we're working for you. First, President Obama making the fight over your money personal this afternoon while Republicans seem divided. U.S. defense officials also saying mistakes were made in a deadly attack. And anyone traveling for the holidays, you have to listen up here. Chad has some breaking weather news for you.

Time to play "Reporter Roulette."

But, Jessica Yellin, the senior White House correspondent, let's begin with you. We heard from the president not too long ago clearly putting the pressure on House leadership as he is really making this personal, personifying this impasse, playing directly to the American people.

JESSICA YELLIN, CNN CHIEF WHITE HOUSE CORRESPONDENT: Absolutely, Brooke.

In this instance, think about the stalemate the president faced earlier this summer, where he was fighting with Congress over a vague and confusing issue, the debt ceiling that didn't hit Americans in any kind of direct way. Contrast that with this issue which hits Americans directly in their wallet.

If this isn't resolved by January 1, your average American family will see $40 less in their paycheck. It couldn't be more simple and a more clear argument for the president to be making, that Congress should get its act together and resolve this one way or another.

So it's a very clear fight for the president to be having. And not only that. He has both Republicans and Democrats in the Senate on his side. And it is just Republicans in the House who are in opposition to him. So he couldn't be in a sweeter spot for himself. It is a very easy fight for him to have both on the politics and the policy, Brooke.

BALDWIN: Meantime, in a much warmer climate, you have the first lady and the two daughters, two bad you're not there, I guess, in Hawaii vacationing. They were hoping the president would be there. He is not because of this impasse. Is there any indication he will be taking a vacation? YELLIN: The White House isn't saying that the president has any plans to join them. But the last hurdle that was keeping him from going other than this payroll fight was the -- what's called the omnibus spending bill. That's the big budget that funds the government through 2012 next year. Had not yet arrived at the White House yesterday. It is now here.

The president can sign it. So as of -- the White House has said or administration has said that he will sign it before midnight tomorrow. So we could see a situation where the president signs it either today or tomorrow and gets on a plane, could go to join his family for Christmas in Hawaii and then, in theory, could come back after the weekend to sit here at the White House and once again urge Congress to pass some kind of payroll extension so the American people's taxes don't go up in the new year.

We could see him going to Hawaii for a brief Christmas break and then come back if this isn't done, Brooke.

BALDWIN: We will see. I'm sure members of Congress would like to take vacations as well. Some are of them sticking around Washington. Jessica Yellin, thank you.

Speaking of Congress, let's take you now live to Capitol Hill next on "Reporter Roulette."

Senior congressional correspondent Dana Bash joins me now.

And, Dana, it's not often you see the number-one Republican on the Senate side and the president on the same side of something.

DANA BASH, CNN SENIOR CONGRESSIONAL CORRESPONDENT: It's not often at all. And that certainly is the headline here from Capitol Hill on this stalemate today.

And that is, the Senate Republican leader, Mitch McConnell, breaking his silence. He hasn't really said anything at all. He's been home and still is in his state of Kentucky, saying that he has what he calls a path forward, which is effectively siding with the Democrats. Let's face it.

He says that he believes the Democrats should appoint the so- called conferees or the negotiators to go ahead and start talking about a long-term deal to extend this payroll tax cut for the entire year, which is what Republicans want, but also telling his fellow Republicans in the House, you have got to do a short-term extension. That is something that they have simply not wanted to do, really dug in against doing that.

One little important thing here is that it was a carefully worded statement. And the Republican leader did not specifically say that the House Republicans should pass what the Senate passed, which is a two-month extension. He simply said to extend it, gave them some wiggle room to see if they could maybe save face a little bit and find a compromise a little bit short of or maybe longer than, so to speak, a two-month extension. BALDWIN: Perhaps intentionally nebulous. Everybody very carefully crafted there on Capitol Hill. I know, Dana, that you have been talking to House Republicans. You know them. You have great sources. Do you think that the House Republicans will cave because of this pressure from Senator McConnell?

BASH: Ultimately, it's hard to imagine them not giving in. But in the short term, I'm told from House Republican sources not to see -- I mean, don't look for something today, for example, and probably not until next week. That could change because this is a fast-moving story.

But why is that? Because, look, number one, certainly this is a powerful voice, Mitch McConnell, saying let's get on with it, guys. But House Republicans are really mad at Mitch McConnell, their fellow Republican leader in the Senate, because they feel like he negotiated this short-term deal and it is a bad deal, and that he put them in a bad political position.

Secondly, look, on the fundamentals, many House Republicans believe that this is bad policy to extend this payroll tax cut for two months. You finally saw them trying to get their message mojo today trying to explain why they think it is bad policy, talking about it being terrible for small businesses and really costing small businesses a lot of money to figure out the paperwork of this.

So getting -- turning that ship and getting them or at least enough of them to agree to doing this is going to be pretty tough. And it will be a very, very tough move for the speaker of the House, for Speaker Boehner, because so many people in his conference are so mad. Look, he has to protect his power here and he has to protect his interests and make sure that people...

(CROSSTALK)

BASH: Yes, make sure that people don't get extremely mad at him and his leadership.

BALDWIN: Dana Bash, you picked quite the week to come back from maternity leave. It is wonderful talking to you, by the way, new mom.

BASH: Thank you. You, too, Brooke.

BALDWIN: Welcome back. Dana, thank you.

BASH: Thank you. It's good to be with you.

Next on "Reporter Roulette": new developments here on this deadly attack along the Afghan border. This is an attack that has further complicated the already tenuous relationship between the U.S. and Pakistan.

Let's go to Barbara Starr there at the Pentagon.

Barbara, according to the investigation by the Defense Department, U.S. troops acted in self-defense -- that's what we're hearing from them -- with that airstrike that killed 24 Pakistani troops.

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Yes, they say self- defense, but that's like saying, how was the play, Mrs. Lincoln?

This is a case where back on November 25, U.S. airstrikes were called in on that border when U.S. forces said they were under fire from insurgents. It turned out it was Pakistani troops that they did not know were in the area. The Pakistanis thought they were under fire. Huge firefight ensues.

What are we talking about? Bad coordination, bad information, mistrust between both sides, not telling each other the full picture about where they were operating, bad mapping data, so that when they were trying to sort it all out, in fact, some people looking at some of the maps were looking at an area 14 kilometers away from where the firefight was actually happening, all of this the result of a U.S. military investigation into it, saying the U.S. troops are acting under self-defense.

But, look, the Pakistanis are furious about this. They remain furious. And relations with this vital ally remain very strained. Experts will tell you, there is no sign of it thawing any time soon -- Brooke.

BALDWIN: Given the strain, given the tenuous relationship in terms of next, is there any chance the U.S. apologizes?

STARR: Well, this is all very carefully done in diplomatic talk, isn't it?

The U.S. has said it regrets the incident. It is very sorry about it. A full-blown apology? The Pakistanis would like to see President Obama come out and apologize, but there may be political ramifications for the president, who may not want the Republicans to see that picture of him doing it.

So, I think what you will see, the indications are U.S. will offer payments to the families of those who were killed. It is very typical in that part of the world. That is what is done. Look for that to happen very quietly, but a full-blown apology by the United States government, not so soon.

BALDWIN: Not going to happen. Barbara Starr at the Pentagon -- Barbara, thank you.

(WEATHER UPDATE)

BALDWIN: Still ahead: This very minute, 6,000 nurses are on strike, walking off the job. We will tell you why when I speak with one of them live and what this means for patients.

Plus, this:

(BEGIN VIDEO CLIP)

MIKE BROOKS, CNN SECURITY ANALYST: From the front to the back of the bus, with people just beating the hell out of you.

(END VIDEO CLIP)

BALDWIN: Wow. We are now hearing what killed a Florida A&M band member. And the question now, who threw the deadly punches?

Also, just days after U.S. combat troops leave Iraq, a devastating attack. One Iraqi leader tells CNN, the U.S. was warned about this.

And for days, a college student was nowhere to be found, her family begging for her safe return. Then, all of a sudden, that changed. She is alive. OK. Wonderful, but where was she for a week? What are her family members saying?

Stay here.

(COMMERCIAL BREAK)

BALDWIN: And if it's interesting and happening right now, you're about to see it. "Rapid Fire," let's go, beginning with something no one with a little baby wants to hear.

Wal-Mart is recalling some infant formula after a 10-day-old baby died in Missouri. Wal-Mart said it has pulled a batch of what -- it is called Enfamil -- from its stores nationwide that may have sickened this baby boy, may have. The child died from a rare bacterial infection. The infant formula maker says it's running tests to see if the death in fact came from its product or perhaps other factors.

In Baghdad, a series of bombs rocked the capital, raising all kinds of fears about the stability in Iraq. Nine car bombs, six roadside bombs exploded during rush hour. At least 63 people are dead, another 200 wounded and all of this comes four days after U.S. troops pulled out of Iraq.

A woman in California has been charged with sending money to Pakistan to help terrorists carry out attacks on American troops. Federal officials say the 39-year-old woman sent more than $2,000 in wire transfers. She was arrested back in August at the Los Angeles International Airport, where she was preparing to get on a flight, a one-way flight to Turkey.

Six thousand nurses in California walking off the job today. This is a one-day strike to protest working conditions they say and higher health care costs. The hospitals say they have hired replacement nurses to cover the shifts, but nurses say this is really all about patient safety. Nurses say they're responsible for way too many patients, and that obviously then puts the patient at risk.

Stay with me. In a couple minutes, I will speak live with one of the nurses who has walked off the job.

And killer whale blamed in the death of its trainer nearly two years ago may be sick. This is according to SeaWorld in Orlando today, which says trainers noticed a change in Tilikum's behavior. The male orca is now in a special tank for medical treatment.

Still ahead: Police say parents murdered their teenage daughters because in part they were wearing short skirts -- new revelation about these so-called honor killings.

Plus:

(BEGIN VIDEO CLIP)

BROOKS: Who were the ones that were delivering the blows, the serious blows? Was there one person who delivered the most blows that may have caused his death?

(END VIDEO CLIP)

BALDWIN: CNN is taking a closer look at this kind of bus the Florida A&M rides on. This is the bus where investigators say students beat a fellow band member to death, all part of that hazing ritual.

The behind-the-scenes report in two minutes.

(COMMERCIAL BREAK)

BALDWIN: I certainly hope that colleges and high schools around the country are taking a good long look at any hazing rituals their students may be taking part in. If there is anything, anything good to come out of death of a Florida A&M drum major, it will be zero tolerance for what happened to Robert D. Champion during a school- sponsored bus trip.

Right now, investigators are for the specifics of what left this popular drum major dead.

Watch this report. This is CNN's George Howell showing us what investigators are really up against.

(BEGIN VIDEOTAPE)

GEORGE HOWELL, CNN CORRESPONDENT (voice-over): It happened on a tour bus parked outside an Orlando hotel, November 19. Florida A&M drum major Robert Champion died after a vicious beating. Investigators say it was a homicide that resulted from hazing.

BROOKS: You look at a bus like this, the narrow aisles, the seats are close together, the ceiling. It's just such tight confines in here, and to have to walk from the front to the back of the bus, with people just beating the hell out of you, what must have he gone through?

HOWELL: We turned to HLN law enforcement analyst Mike Brooks to take us into the minds of investigators trying to piece together what happened to the 26-year-old victim before someone placed this 911 call.

911 OPERATOR: Is he breathing? CALLER: We don't know if he's breathing or not but we need to get and ambulance ASAP.

911 OPERATOR: I have help on the way already.

HOWELL (on camera): How do you determine the level of culpability? Who did what?

BROOKS: That's a great question. And as a law enforcement officer, I want to know who were the ones that were delivering the blows, the serious blows. Was there one person who delivered the most blows that caused -- that may have caused his death? We don't know. Other people who might not have been involved at all.

HOWELL (voice-over): Band members who spoke to CNN say it may have been the result of a hazing ritual called Crossing Bus C, where the victim walks backwards from the front of the bus to the back while being beaten repeatedly by fellow band members.

BROOKS: Investigators have their work cut out for them because they have got to interview everyone. But this bus is a crime scene. What happened? Where did it happen on this bus when he was being beaten with fists, maybe with musical instruments? Those are things law enforcement has to find out exactly what happened.

HOWELL: Robert Champion died of significant rapid blood loss due to blunt force trauma according to the autopsy report the victim of a severe beating. And with so many possible witnesses on the bus --

BROOKS: I find it hard to believe that if that much was going on inside the bus, that they were beating him so viciously inside that bus, that somebody on the outside didn't hear something, didn't see something.

HOWELL: Brooks says it's a complicated investigation to determine exactly what happened in the moments leading up to Robert Champion's death.

BROOKS: Did anybody try to stop this? Did anybody say, hey, he's had enough, he's had enough, knock it off? Did that happen? Only the people in the bus know.

(END VIDEOTAPE)

BALDWIN: Absolutely horrible.

And now information that is surfacing today on Champion's autopsy. Experts who have seen the full autopsy tell CNN that Champion had the kind of muscle damage usually seen in victims of car accidents or child abuse or even torture.

Coming up next, some good and bad news involving the economy and jobs.

Plus, this:

(BEGIN VIDEO CLIP)

REP. JOHN BOEHNER (R-OH), SPEAKER OF THE HOUSE: We have a spending problem.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: There are a lot of crises in the world that we can't always predict or avoid. This isn't one of those crises.

(END VIDEO CLIP)

BALDWIN: Sounds familiar, this fight not over the payroll tax cut, but over the debt ceiling back in the summer. You will see how the biggest economic debacles of the year unfolded live on our air. Don't miss this, please.

(COMMERCIAL BREAK)

POPPY HARLOW, CNN CORRESPONDENT: Time now for the "Help Desk," where we get answers to your financial questions.

And joining me this hour, Gary Schatsky is a financial planner and president of ObjectiveAdvice.com. Gail Cunningham is with the National Foundation for Credit Counseling.

Thank you both for being here.

Gail, first question to you. This comes from Chris in Florida. Chris writes'; "My wife has approximately $45,000 in student debt spread out over 10 loans. She is a teacher and a low-income school and could possibly receive repayment help. What's the best way to simplify and reduce that debt?"

GAIL CUNNINGHAM, NATIONAL FOUNDATION FOR CREDIT COUNSELING: Wow, $45,000 spreads over ten months, that's a bit complicated for them to keep up with. I do think there may be help available to them through income based repayment plans.

Now we are speaking here of federal loans. So if their loans are private, that may be a different animal to deal with. But income based repayment apply for that, they are going to ask for documentation of course, such things as previous tax returns, et cetera.

But that's OK. It's going to be well worth it. She may also require some forgiveness along the way and she would probably qualify for that having been in the type of job she is in the teaching profession.

HARLOW: That's a good thing to look into.

CUNNINGHAM: Consolidate those loans. Get the payment started.

HARLOW: And Gary, your question comes from Jonathan in San Diego. Jonathan wrote, I'm considering rolling over several 401(k) plans from former employers into an IRA. How do the legal protections from the two differ? GARY SCHATSKY, FINANCIAL PLANNER: That's a really good question. First of all, from the legal protection standpoint you're normally talking about creditor protection or bankruptcy.

Generally, and it depends state by state, 401(k)'s have greater protections that IRAs, but not all states. But more importantly when you roll over to an IRA, there are great advantages.

You have tremendous flexibility on your investments and you can get cheaper funds. So unless you're really concerned about credit risk, rolling to an IRA often makes a lot of sense.

HARLOW: All right, guys, thank you so much for your advice.

Folks, if you have a question you want answered, just send us an e-mail any time to CNNHelpDesk@CNN.com.

(COMMERCIAL BREAK)

(STOCK MARKET UPDATE)

BALDWIN: And you know what?

And if there is one year, speaking of the economy, that really lives up to the quote it's the economy, stupid, 2011, it is.

You may be ready to put this year behind you, but before we do, we have some highlights -- or, rather, lowlights of a year that just can't end soon enough.

Alison Kosik filed this report.

(BEGIN VIDEOTAPE)

ALISON KOSIK, CNN CORRESPONDENT (voice-over): The recovery is slow.

BEN BERNANKE, FEDERAL RESERVE CHAIRMAN: At a rate that is both uneven across sectors and frustratingly slow --

KOSIK: Congress is deadlocked.

REP. JOHN BOEHNER, (R) HOUSE SPEAKER: The House cannot pass a bill that raises taxes on job creators.

HARRY REID, (D-NV) SENATE MAJORITY LEADER: All 53 of us have informed the speaker that his legislation was doomed in the Senate.

KOSIK: Europe a mess, and Wall Street occupied. The U.S. economy actually grew in 2011, but barely.

TIMOTHY GEITHNER, TREASURY SECRETARY: Even as economic growth continues, we continue to face very substantial economic challenges.

KOSIK: Challenges like the housing market. Home prices dropped about four percent. And jobs -- over 13 million Americans are still out of work. Politicians and business leaders search for solutions.

BARACK OBAMA, (D) PRESIDENT OF THE UNITED STATES: Pass this bill. Pass this jobs bill.

UNIDENTIFIED MALE: I think a balanced approach is what most business people, most CEOs would like to see.

KOSIK (on camera): It has been a frustrating year for the U.S. economy. It could have been worse. It could have been Europe.

(voice-over) Debt crises threatened the economies of Greece, Italy, Spain, and others, leaving leader scrambling to hold the Eurozone together and save the common currency, and U.S. investors holding their breath.

(on camera) 2011 started with big gains for stocks. The DOW soared past 12,000, holding its own while governments toppled in Tunisia, Egypt, and Libya.

(voice-over) But then Japan. The devastating earthquake, tsunami, and nuclear disaster threatened our fragile recovery. And over the summer congress's debt ceiling stalemate pulled the rug out from under the market.

BOEHNER: We have a spending problem.

OBAMA: There a lot of crises in the world that we can't always predict and avoid. This isn't one of those crises.

KOSIK: The DOW dropped 512 points on August 4, another 630 plus points on August 8th as S&P downgraded its rating on the United States that left investors dizzy and Americans angry. Some took to the streets. A fight for financial fairness began in September here in New York's Zuccotti Park and spread across the country.

Many sought retail therapy, the biggest black Friday and cyber Monday on record. The DOW recovered the summer's losses and has a chance to end the year in positive territory. Call it a little Christmas cheer at the end of an economic year to forget.

Allison Kosik, CNN, New York.

(END VIDEOTAPE)

BALDWIN: All right, let's take a look the a these pictures here. Live pictures. KGO Affiliate in San Francisco. Look at this. This is a four-alarm fire in San Francisco. This is a four story apartment building. Massive flames, all kinds of smoke as firefighters there on the roof tackling this I'm sure on all angles, trying to put the fires out. San Francisco, we've heard so far no reports of any injuries. We'll keep an eye on that fire raging there in San Francisco.

But coming up next, investigators say parents killed their three teenage daughters because they wore short skirts and flirted with boys. Now the trial begins in these so-called honor killings. Plus, for days, we reported that a college student was missing, disappeared. Her family said she had a bizarre and frightening encounter with a strange man. Then suddenly she turns up alive. She is safe and sound. Where was she? Casey Jordan is on the case, next.

(COMMERCIAL BREAK)

BALDWIN: They were typical teenage girl who sometimes wore short skirts, sometimes flirted with boys. But prosecutors say they were killed by their Afghan born parents in what is being called honor killings. We're talk about Canada here. Bodies of three teenagers found inside a car in a canal in 2009. Their father, brother, and father's second wife are on trial for murder. I want to bring in Casey Jordan "On the Case" for us today. Casey, this is complex. If you can just lay out the evidence. What evidence do prosecutors have here?

CASEY JORDAN, CRIMINOLOGIST: The evidence forensic is a little bit week. But we have the headlight from the father's car found at the scene by the canal where the car was submerged. Most important, there were bruises all over their bodies. They appear to have drowned. The question is, were they dead or unconscious when the car went into the canal? Only seven feet of water. The driver's side window was open. All four bodies inside. By all accounts they should have been able to get out if they were alive when the car plunged.

BALDWIN: The girls told school officials in the past they were abused at home. Apparently one ran to a woman's shelter. Another apparently tried to kill herself. That has to play into the case.

JORDAN: Absolutely. So we have forensic evidence and we have what, for lack of a better phrase, we call cultural evidence. The father on the stand has said that while he won't admit killing them, that they deserved to die for their behavior. They were out of control.

And by all accounts his attitude as well as tape-recordings that the police have of things that he said to his current wife, his second wife in the car about how they were horrible and basically deserved to die and how he hoped that they would just basically rot forever, all of this is being introduced to show a mindset which is completely conducive to an honor killing where he believed what he was doing is what his god would expect of him under the circumstances to control his completely unbelievably out of control westernized three teenage daughters and his first wife.

BALDWIN: Case number two we talked about this before. This started out as missing persons case in Kansas. Today thank goodness for this family. This 19-year-old woman was not abducted. She was not held against her will. She's safe and sound. We're talking about Aisha Khan. Police are calling this a personal family matter. The police chief saying this, "The most important fact for us all to remember is that she is safe. Everything else is now a personal family matter. We respect their privacy. Law enforcement officials were able to find, identify, and verify last night that she was not abducted and that no crime occurred." Obviously, like I said, thankful she is A-OK. Could someone in this family get slapped with a bill from the search?

JORDAN: It's entirely possible. It would not be the family, because I think the family absolutely believed she was abducted. The question is going to be about Aisha Khan, what really happened. And why aren't the questions being answered? The why, why, why, it's why everyone so conflicted. We played the phone calls with her sister. It is really important that people who are willing to search for someone who is missing get some answers so they don't feel like they've been taken for a ride. Questions come up like the old runaway bride scam that we had several years back. Was she unhappy with her arranged marriage? Attention seeking? Or, this is the professor in , was she really just trying to avoid her final exam?

BALDWIN: Perhaps we will never know, Casey Jordan. Thank you so much "On the Case" for us today.

JORDAN: Thank you, Brooke.

BALDWIN: Coming up in 60 seconds, you're going to meet a guy who goes through celebrities' trash, and what he does makes him a lot of money.

(COMMERCIAL BREAK)

BALDWIN: Just a quick reminder. As we're watching here at the bottom right of your screen, this four-alarm fire in the western edition neighborhood of San Francisco. Fire clearly on the scene. So far, no reports of any injuries, but we'll keep an eye on that.

Meantime, trashy gossip magazines detail all the lives of celebrities. But if you want to see the real garbage, here is a San Francisco artist who takes trash from celebrities and gives them a whole new look. This is today's "Solutions."

(BEGIN VIDEOTAPE)

BALDWIN: Jason Mecier redefines a celebrity junky.

JASON MECIER, PORTRAIT ARTIST: I make celebrity portraits out of their actual trash and garbage.

BALDWIN: Jason matches the celebrity with materials that reflects them.

MECIER: Like Florence Henderson sent me her junk to do her portrait. Then I also used like bottles for the background. I try to represent the person as best I can with the objects.

BALDWIN: It can take Jason up to 50 hours to finish a piece.

MECIER: I try to map it out. I guess the best way to describe it is like a jigsaw puzzle. I'll try a little piece and I'll just see where it will fit.

BALDWIN: Choosing subjects is easy. MECIER: My favorite is more like people who are like cartoon- type people, like Amy Sedaris, Phyllis Diller. I just like the idea of more cartoony people because I can go more from that.

BALDWIN: His dream portrait?

MECIER: I would say lake Lindsay Lohan. She could send me a bag of stuff, or like all her cigarette butts or something.

BALDWIN: Up next, more portraits and possibly a coffee table book.

(END VIDEOTAPE)

BALDWIN: Coming up in 60 seconds, the last time nurses went on strike in California a patient died because of a mistake by a fill-in. Right now 6,000 have walked off the job. I'll speak like with one nurse about why he says this is going to cost the entire country.

(COMMERCIAL BREAK)

BALDWIN: Some 6,000 nurses in California are not at work today. They call a one-day strike, saying they are furious about cuts in health care, patient safety also. They're frustrated about salaries, benefits, these demonstrations. Here's one example in Long Beach, California, started this morning in both Los Angeles and in San Francisco. The hospitals say this walk-out will not affect patient care today. In fact they say they have hired temporary nurses to fill in.

One of the nurses who walked out of work today joins me from San Francisco. Efren Garza has been an RN for 25 years. Efren, thanks for coming on. Why are you walking out today?

EFREN GARZA, CALIFORNIA NURSE: Thank you, Brooke. Well, we're doing this, we're working here with a situation where we've already met 30 days, 30 time with Sutter Health and Alta Bates medical center, which is in east, in the East Bay. And they continue to have 150 takeaways placed on the table, which add up to about $50 million which in out of pocket for RNs. We currently represent in this one hospital 2,000 nurses.

Now the issue is that Sutter Alta Bates medical center made $100 million last year, and the whole corporation as a whole, all of Sutter corporate, made over $900 million.

BALDWIN: Efren, I understand. Forgive me for interrupting and I can a lot of this is about facts and figures, and the price, et cetera. What about the patients? Because I know you're in this thankless profession. You're there because you want to care for people. How does this affect patients?

GARZA: We're frustrated because it is the, many of these concessions are trying to keep the voice of the nurses silent as far as being able to advocate for safe patient care. There are positions they want to eliminate, such as charge nurses, who are the persons that control, say, what's happening on the unit. We do patient care assignments. We ensure the best and the safest care can be given. We advocate on behalf of the patient. And positions such as this are being -- Sutter wants us to be pulled out of the bargaining unit so we would no longer have that voice.

We're also being asked to give up all of our sick time. That would force nurses to come in and work sick because the first seven days of being ill would no longer be paid leave. There are many other issues such as this type of situation that we're facing.

BALDWIN: Efren, let me jump in, if I may because I have to get, due diligence here at CNN.

GARZA: Absolutely.

BALDWIN: Sutter, I have this -- let me just read this quote. They say "We remain committed to providing our nurses competitive wages and benefits while also doing our part to make health care more affordable for our patients. But the union demands new costly benefits such as health care for life that will increase costs at our hospitals by tens of millions of dollars each and every year." What if they don't budge? You've been an RN as I mentioned for more than two decades. Do you walk away?

GARZA: No. We won't walk away. Those are the types of thing that we negotiate for. There's nothing there that's set in stone. What we've asked is, even with this last time we met on Monday and Tuesday, and we said if you take your takeaways off the table then we can come to an agreement as far as what we would be willing to remove from our, from the situation where we're on our bargaining.

But we're not asking for an increase in wages. And the majority of what we're fighting for is current contract language that has been in existence for 40 or 50 years.

BALDWIN: I know you are the voice of 6,000 nurses today. I appreciate you coming on and sharing your perspective, Efren. Thank you.

GARZA: OK, thank you very much.

BALDWIN: On the campaign trail Newt Gingrich talking about how much he makes for speaking events. So CNN did a little digging.

(BEGIN VIDEO CLIP)

CHRISTINE ROMANS, CNN CORRESPONDENT: When it comes to public speaking fees, former presidents make the most. And Bill Clinton is king.

(END VIDEO CLIP)

BALDWIN: Wait until you hear how much celebrities and high profile figures make for their speeches, everyone from former presidents to Donald trump. That's next.

Plus, Wolf Blitzer has an interesting interview coming up in "THE SITUATION ROOM." Find out who, next.

(COMMERCIAL BREAK)

BALDWIN: We are watching this fire spread through the commercial break. It appears the flames have spread from the middle of the building to the edge here as a four story apartment building in the western edition neighborhoods in Japantown in San Francisco. Live pictures, KGO. So far, no injuries reported, but this has been upgraded from a four alarm fire to a five alarm fire. And now it's expanded to a three story building next door. San Francisco there, we're watching that.

Also, Republican presidential candidate Newt Gingrich has been criticized for his ties to Freddie Mac, but the former House speaker says he didn't even need to lobby for the mortgage giant because he was paid to generously to give speeches. CNN's Christine Romans takes a look at the speaking circuit that so many politicians profit from because they're celebrities.

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ROMANS: Newt Gingrich this week said he made at least $35,000 for each speech he gave after leaving Congress. But when it comes to public speaking fees, form e former presidents make the most, and Bill Clinton is king. I wanted to show you this. Wow, $75 million in speaking fees since leaving office in 2001. In 2008, he made more than half a million dollars for just one speech. And in 2010, he was making about an average of $205,000 per speech.

How do we know this? Because his wife is required to disclose it as the secretary of state.

Ronald Reagan sort of started this. He famously made $2 million from a Japanese company back in 1989 for two speeches. Since then American presidents have left their $400,000 a year jobs to make many times that speaking to audiences.

The Center for Public Integrity says that President George W. Bush has earned $15 million for about 140 speeches here and abroad since he left the White House. That comes out to about $107,000 a speech.

Who pays? It's big corporations, universities, trade associations. And often from the very industries the speaker once oversaw. Goldman Sachs paid former Treasury Secretary Larry Summers $135,000 a speech. That's according to a "Wall Street Journal" analysis of financial disclosure forms.

Now, it's Washington insiders, politicians and sort of politicians. In 2005, Donald Trump earned $3 million for three real estate seminars, and MTV reality show star Snooki, just to spice it up, she made $32,000 for two speeches at Rutgers earlier this year.

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BALDWIN: Christine Romans, thank you. I want to break out of that and head straight to Washington to Kate Bolduan who's been following this whole impasse over the payroll tax cut extension. Kate Boludan, what do you have? A new development?

KATE BOLDUAN, CNN CONGRESSIONAL CORRESPONDENT: Significant. The development that we've been waiting for, I'd say, Brooke. I've been told by a top Democratic source that there is expected to be announced at 5:00 this evening a deal between all the principle players on this payroll tax battle that we've been following day by day.

I'm told that of course nothing is certain until Speaker Boehner speaks with his caucus, because that's been a big question and that there is going to be a call, according to this source, for House Republicans at 5:00. So that's when Speaker Boehner will be able to speak with his members to see how they feel about this deal.

But the short and skinny of it if you will, is that the basic framework is a two-month extension as we have been discussing. The big headline is I'm told -- sorry for looking down at my BlackBerry -- that the White House, Senate majority leader Harry Reid, Senate Minority Mitch McConnell, and House speaker John Boehner and the House minority leader Nancy Pelosi are all on board and have signed off on this deal that we will be looking to learn more about. But a significant development here today as we've been seeing a lot of moving parts this afternoon, Brooke.

BALDWIN: This is huge as we are ten days away. Let's throw that countdown clock up as we have it from the White House. They have been counting and calling out. Kate Bolduan, stay with me. They have been calling out the House, saying if they don't act, 10 more days until this expires.

So you're saying Reid, McConnell, Boehner, Pelosi, all on board with this deal. You say it will be announced in about 65 minutes from now. Let me just clarify. That is when Speaker Boehner speaks with his caucus to make sure his caucus is on board. Am I hearing you right?

BOLDUAN: Right. And what this source of course cautioned and we have to until every vote is cast or brought, that, you know, nothing is certain until all members have signed off, not just the leadership.

But a significant development this afternoon considering that the sides have been so dug in and the standoff has gotten so bitter and so contentious recently that we're now learning according to this senior source that the principle players, including the White House and House Speaker John Boehner have signed off on this deal to extend the payroll tax cut for two months. And we'll need to look and obviously, once we learn more details, kind of what all sides are getting out of this deal and what broke the impasse and the logjam. Those will be some of the details that we're looking for coming up.

BALDWIN: And also to be clear, I know we have Wolf standing by, but, Kate, you said specifically that the two-month extension, do we know that specifically yet, that we're talking about this possible deal, and in this possible deal we're talking specifically two months or it's too early to tell? BOLDUAN: According to this source, the basic framework is a two- month extension.

BALDWIN: Two-month extension. Wolf Blitzer, you and I were talking in the last 60 minutes and you said it is your suspicion that a deal would be reached, and it sounds like that possibly has happened. Your reaction.

WOLF BLITZER, CNN HOST, "THE SITUATION ROOM": There was enormous pressure on the House Republican leadership, enormous pressure from Senate Republicans, including the Senate Republican leader Mitch McConnell, enormous pressure from Republicans outside, including yesterday a very influential editorial in the "Wall Street Journal" saying the Republican leadership in the House, they were giving a gift to the president of the United States in this reelection campaign if they didn't work out at least a temporary deal for two months during which they could go ahead and negotiate an extension on the payroll tax cut, Medicare benefits for doctors, also, unemployment benefits for the next two years. They would have two months to negotiate all of that.

But in the meantime they could not go away for Christmas. They couldn't go away certainly for New Year's until the end of this year until they worked out a deal. Otherwise the Republicans would be hammered, not only the Republican presidential candidates, but Republican candidates for the House and Senate. And Mitch McConnell certainly saw a possibility of losing a bunch of close Senate races in November of next year. The pressure on the House Republican leadership was enormous, and certainly on the surface it looks like the speaker, the majority leader, they've decided that pressure is too strong. They're going to go ahead and accept this two-month extension.

BALDWIN: Tremendous. Wolf Blitzer, we'll see you in two minutes as you're going to begin the top of your hour with this. Kate, let's you and I continue talking here.

Let's just back up. We saw the president speak from the White House, flanked by Americans, speaking about the tweets he's been getting, thousands upon thousands of what sacrifices would you Americans be making if you got 40 fewer dollars in your check if this didn't happen. And then you have been reporting, not often we see the number one Republican in the Senate, Mitch McConnell, on the side of the president. And so that perhaps could have been part of the catalyst to begin what could be a possible deal.

BOLDUAN: You could really see it if you were watching this closely of just all the pressure that was mounting for there to be a deal. The president took great pains to go out very publicly, you know, bringing, quote-unquote "real people" into his press availability today.

And then kind of the mounting pressure of rarely do you see on fellow Republicans criticizing fellow Republicans on such a contentious issue. And then you started seeing more and more Senate Republicans coming out, we want to long-term deal, but we need to push this there. It's irresponsible to not get this two-month extension through even though we all agree that a one year is better than a two- month. And on some level, there has to be the fact that broke the logjam is not only the calendar and timing, is all the pressure that was really mounting. Brooke?

BOLDUAN: Kate Bolduan, tremendous reporting from you today from the Hill as a possible deal has been reached. Let's give you a chance to catch your breath. And now we'll go to Wolf Blitzer. Breaking news here. "THE SITUATION ROOM" starts now.