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Recovery Efforts Ongoing in Hurricane-Ravaged Florida; Officials in Florida Defend Early Response to Hurricane; U.K. Ditching Plan to Cut Highest Rate of Income Tax; Lula and Bolsonaro Headed for Runoff Vote in Brazil October 30; Ukraine Captures Lyman a Day After Russia's Annexation Move. Aired 4-4:30a ET

Aired October 03, 2022 - 04:00   ET

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

[04:00:00]

MAX FOSTER, CNN ANCHOR: Hello and a warm welcome to our viewers joining us in the United States and all around the world. I'm Max Foster in London. Just ahead.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: There's nothing left.

UNIDENTIFIED MALE: This is such a big storm, we're at so water that you're having basically what's a 500 year flood event.

UNIDENTIFIED FEMALE: All of the flooding blocking this major highway behind me.

UNIDENTIFIED MALE: We did what we had to do at the exact same time. I wouldn't have changed anything.

UNIDENTIFIED MALE: I lost my boat, everything I had, but saved three guys, it's worth it.

UNIDENTIFIED MALE: Can we get some help down here? You know, would that be too much to ask?

(END VIDEO CLIP)

ANNOUNCER: Live from London this is CNN NEWSROOM with Max Foster.

FOSTER: It is Monday October 3rd, 9:00 a.m. here in London, 4:00 a.m. on the U.S. East Coast. Five days after hurricane Ian slammed into Florida authorities are getting a more sobering picture of the destruction left behind. At least 76 people have lost their lives and entire communes have been wiped out. In some of the worst hit areas, emergency workers are still only -- are not only trying to find signs of life beneath the rubble, they're helping those who have lost their entire livelihoods. Officials say the losses so great that places like Sanibel and Fort Myers may never return to what they were.

(BEGIN VIDEO CLIP) SEN. MARCO RUBIO (R-FL): There'll be a lot of people who have no homes to return now or in the near future. They'll be eligible for individual assistance. We're still in the search and rescue process. Although I think it now starts becoming more about search and recovery. And then of course, begins the process of rebuilding to the extent possible, which will take years. Some of these Fort Myers Beach, Sanibel, I mean they'll never look the same again.

(END VIDEO CLIP)

FOSTER: Many parts of the state are still under water and without power. The governor has visited some of those places and described the heartbreak that he saw.

(BEGIN VIDEO CLIP)

RON DESANTIS (R) FLORIDA GOVERNOR: I mean, I saw, you know, homes that had almost up to the roof tops still different buildings, RVs that were almost totally submerged. So, this is a big deal. I know a lot of folks have focused on some of the really catastrophic impacts that we saw along or southwest coast and those are obviously very severe impacts. But this is such a big storm, brought so much water that you're having basically what's been a 500 year flood event here in Desoto County and in some of the neighboring counties.

(END VIDEO CLIP)

FOSTER: Officials in Lee County are facing mounting criticism over the timing of their evacuation orders. CNN learned that they first issued those mandates just a day before Ian made landfall even though an emergency plan advise them to do it earlier. Some fear that the delayed -- the delayed response may have contributed to the region's death toll, which is the highest in the state. CNN's Boris Sanchez asked two officials about that and here's what they said.

(BEGIN VIDEOTAPE)

SHERIFF CARMINE MARCENO, LEE COUNTY, FLORIDA: I stand 100 percent with my county commissioners, my county manager. We did what we had to do at the exact same time. I wouldn't have changed anything. And I know being in those meetings from the very minute. This storm was very unpredictable.

KEVIN RUANE, LEE COUNTY, FLORIDA COMMISSIONER: We've done everything we can, from using state resources, federal resources to make the necessary arrangements that we have. But we started to strongly suggest that they leave. Obviously, in any time where there's a possibility to do this, we have no strangeness to storms. We've seen them all, we continue to remind people. I think people got complacent because we've never had a storm surge, in all the storms going back to hurricane Donna, that they had actually been accurate with any of the forecasting models. So unfortunately, people did get complacent.

(END VIDEOTAPE)

FOSTER: Governor Ron DeSantis also defended the county's decisions and he appeared to cast the blame on others.

(BEGIN VIDEOTAPE)

DESANTIS: I think for probably for various reasons, some people just don't want to leave their home period. They're island people, whatever. But I think part of it was so much attention was paid to Tampa that I think a lot of them probably thought that they wouldn't get the worse of it. So, you know, they -- but they did. And I think it's easy to second guess them. But they were ready for the whole time.

UNIDENTIFIED FEMALE: Is that one of the things you'll be reviewing, once we get out of the aftermath, people get their power back on, looking at those evacuation orders. Because even Lee County if they would have followed their own evacuation orders from what we reviewed, they should have had that mandatory evacuation order sooner.

DESANTIS: Well, but you know the issue though is also that there were a lot, you know -- they informed people and most people did not want to do it. I mean, that's just -- that's just the reality.

[04:05:00]

So, you know, you're in a situation, are you going to grab somebody out of their home that doesn't want to. I don't think that is the appropriate use of government. I mean, I think that that takes it a little too far.

(END VIDEOTAPE)

FOSTER: Many of those who survived the hurricane are facing a long road to recovery meanwhile. CNN's Leyla Santiago visited a town in southwestern Florida and spoke to residents about the struggles.

(BEGIN VIDEOTAPE)

LEYLA SANTIAGO, CNN CORRESPONDENT: Neighbors here in the city of Naples tell me they're still in a little bit of disbelief, a bit of shock when they see the damage outside their doors but the reality is really starting to set in. The reality of what it will be like in the weeks and months ahead when it comes to recovery.

Let me show you exactly what some of the neighbors are having to deal with here. You have homes where there are boats that came into the backyard, debris, boats flipped out, cars that came in with that storm surge. And you can have one house where the dock actually came up and is now in another neighbor's driveway. So quite a bit of efforts will have to go into the cleanup of all this. I spoke to one woman who still had water in her oven, in her drawers as we talked to her. Here's what she told us.

UNIDENTIFIED FEMALE: It's very sad because a lot of history here, with the photos from my husband and his family. And it just tears me up, but I didn't get emotional. I haven't cried. But I'm almost ready to cry right now talking to you. But it's OK because we're alive and we're here and that is the most important thing. SANTIAGO: I mean, I also talked to the city manager here and he

mentioned two things specifically in terms of where the immediate focus is. One is on where to find shelter for displaced people that have been impacted by hurricane Ian and then of course, a very big one is power restoration. At this point they are still assessing the damage when it comes to infrastructure to try to get a realistic idea as to when they believe they'll be able to get to 100 percent for power restoration. I have not spoken to one person here that does not say they expect this to be a long road to recovery.

Leyla Santiago, CNN Naples, Florida.

(END VIDEOTAPE)

FOSTER: If you would like to help those impacted by hurricane Ian, do go to CNN.com/impact for more information.

Now Hurricane Orlene is headed towards the southwest coast of Mexico and predicted to make landfall late on Monday. The category two storm is expected to bring strong winds to the region, but the storm is already showing signs of weakening. The National Hurricane Center says storm surge may contribute to flooding as well as life threatening surf and rip current conditions. Let's bring in meteorologist Pedram Javaheri for more latest on that storm. Hi, Pedram.

PEDRAM JAVAHERI, CNN METEOROLOGIST: Hi, Max, great seeing you. You know, when you look at the areas of the eastern Pacific here a couple of areas of interest to look at. And of course, Orlene followed everyone's interest here when it comes to the strength of the storm, it is a category 2. But as you noted, it is weakening here on approach, which really is excellent news.

105 miles per sustained winds of a storm system that is running into quite a bit of dry air and also a lot of sheer or wind essentially at the top of it that are shredding it apart here. So, it'll be a very short lived event. We think landfall inside the next 12 hours or so and the system is even slated to weaken further.

But notice what it did just in the past 24 or so hours. Going from a category 1 to a category 4. Landfall again expected later on this evening. Heavy rainfall the primary threat into some coastal storm surge threat as well. But really, it's an in an area that is sparsely populated south of Mazatlan, which makes it really for the best case scenario of a tropical system. And you'll notice, winds dramatically increase there at one point from 75 to 130 miles per hour.

But just to give you a sense of scale of the storms compared to what we just saw with Ian, it is about the third the size of Ian as it relates to its cloud field and also the tropical storm force winds that extend from its center. When it comes to this storm system in Orlene, only 90 miles from the center is where you're really going to feel tropical storm force winds. Where with Ian is spanned over 250 miles, even greater amounts beyond that.

Notice on the immediate coast of Mazatlan, Port Vallarta, we do have tropical storm alerts and also hurricane warnings that are in place. The storm surge threat generally going to remain five to six feet in the highest areas. But south of Mazatlan essentially what you're looking at across this region is quite a bit of lagoons and very much sparsely populated region of Mexico.

Of course, Mazatlan itself about a half a million people. We do think the system will weaken on approach as it makes landfall Monday evening possibly with winds around 80 miles per hour. But the impact is also going to be localized. Around Mazatlan may be some heavy rain but because of elevated terrain, the desert landscape across this region, we don't expect this to continue while offshore impacting a large area.

But of course, you notice the tropics here generally quite conditions. A couple areas of interest that were watching over the next several days, but they're a ways out across the Atlantic Ocean. But across the U.S., as quiet as it gets and, Max, this is excellent news after the week we just had across a large area of not only Florida but of course parts of the southeast as well with the heavy rains that we saw.

[04:10:00]

FOSTER: Absolutely. Pedram, thank you very much indeed.

Developing news right here in U.K. right now. Prime Minister Liz Truss' government is reversing a plan to scrap the highest rate of income tax. The plan had sparked public fury and a rebellion in the party ranks. Truss and the Chancellor the Exchequer Kwasi Kwarteng say we get it and we have listened. Let's go straight to CNN's Bianca Nobilo standing by for us at the Tory party conference in Birmingham. We should probably call it what it is which is a massive U-turn.

BIANCA NOBILO, CNN CORRESPONDENT: A screeching U-turn. And also, the core reason that Liz Truss was elected as leader of the Conservative Party. The defining line between her and her rival Rishi Sunak was this type of economic plan. She did what she promised that she'd do. She did even more than that and the market spiraled in reaction. Her own Tory MPs rebelled in double digits. Former cabinet ministers came out and slated her entire plan, the pound slumped. And now they've had to reverse this policy.

So, it's already a very precarious situation for this Prime Minister and her position feels like it is weakening by the hour at the moment. Max, you know because you've been to so many of these conferences as well. This is entirely unprecedented for a new Prime Minister a few weeks into the job to be dealing with appalling polling figures, to be trying to gain the confidence of her party.

And in fact, another reason, Max, I think why the government decided to U-turn on these policies, is because as you know there are confidence motions in the government in Parliament. And if those fail then it's considered there is no confidence in the government and that usually would lead to a general election.

Now an issue of a budget or a core tenet of a party's plan would be treated as a confidence motion and it was becoming clear that Truss simply didn't have the numbers to deliver on that. So, I think that's one of the reasons that we're seeing this U-turn, is they didn't want even more embarrassment to actually put these plans through Parliament and have them rejected.

FOSTER: And this is meant to be a victory lap, wasn't it, this first conference for new government. And she actually had a very strong beginning to a premiership when you consider the way she handled herself during the Queen's death as well. Where would you say her position is right now? Is there a risk she could be gone by the end of the year as some people are saying?

NOBILO: So interestingly, MPs that I was speaking to last night and this morning before that 45P tax cut reversal was announced, said that if they don't backtrack on that plan -- which has caused public furry and real resentment, the idea that the Conservative Party were cutting taxes for the wealthiest when there's a cost-of-living crisis, but they didn't think the Prime Minister would make it through until Christmas.

This obviously buys her time but it also plays into one of the key concern that people have had about Liz Truss. When I went to speak to those who've worked with her in the past and MPs who aren't that supportive of her within the Conservative Party, they're worried about her flip-flopping.

This is a Prime Minister of the Conservative Party that once upon a time belonged to the Liberal Democrats. The party on the opposite side of the political spectrum. She's also changed her mind on issues like Brexit. She was a remainer now she's a hardcore Brexiteer or so she says. So, the idea she can't really be trusted to follow through on policies is one which really concerns people.

I think she's got a bit of time for people to perhaps change their mind about her, but really, lagging this far behind the Labour Party, losing any form of confidence and momentum that her party had in her in the beginning, I'm not quite sure if she's the type of political operator with the experience, the charisma and announce to reverse this and manage for an indefinite period of time -- Max.

FOSTER: Yes, a fascinating conference. Bianca at Birmingham, thank you very much indeed.

Now a high stakes presidential election in the world's fourth largest democracy is headed into a second round of voting with nearly all of the votes counted. Brazil's election authority say leftist former president Lula da Silva took more than 48 percent of the tally while the current right wing president Jair Bolsonaro won just over 43 percent. That means neither candidate topped the 50 percent threshold needed to win outright. Still, it's a far better showing than polls predicted for Mr. Bolsonaro. His result was eight points higher than the last pre-election poll and several surveys conducted before the vote indicated that Lula would win enough votes to avoid a runoff. Both candidates express confidence at rallies late on Sunday night.

(BEGIN VIDEOTAPE)

LUIZ INACIO LULA DA SILVA, BRAZILIAN PRESIDENTIAL CANDIDATE (through translator): I want to tell you that the campaign starts tomorrow. I've never won an election in the first round. I've won all of them in the second round. All of them. Here in the second round what's important is the chance to think thoroughly on what you propose for society, to build a network of alliances and supporters before winning.

[04:15:00]

For you to show to the people what will happen and who will win.

JAIR BOLSONARO, BRAZILIAN PRESIDENTIAL CANDIDATE AND INCUMBENT (through translator): I understand there was a vote for change for the people but there are certain changes that could be worse. We tried to show this in the campaign but that didn't reach to part of the population. We will analyze it. We are moving forward where all is now equal and we will better demonstrate for the Brazilian people.

(END VIDEOTAPE)

FOSTER: That is video of Lula's supporters celebrating Sunday night even though the race is far from over. The runoff is now set for October 30th.

Let's take a look at how the markets are doing this hour. Here's the European markets all looking like they're in the red -- quite significantly actually -- over 1 percent. Meantime, here's a look at U.S. futures as we await the opening bell of the New York Stock Exchange in the coming hours, also down. The Dow coming off its worst monthly drop since March of 2020, nearly 9 percent in September, and down by about 20 percent this year. Rising eventually levels of big U.S. retailers amid rising inflation have also really worried investors.

And if you're traveling out of New York's JFK airport, United Airlines says it'll temporarily halt services there. The company says its schedule there is too small to remain competitive. United has been negotiating with the Federal Aviation Administration to acquire more authorizations for takeoff and landing at the airport. The service suspension begins on October 29. United says it'll work to make sure its 100 JFK employees won't lose their jobs. They'll instead be transferred to nearby locations we're told.

Now still to come, Russian lawmakers are set -- now set to consider draft legislation on annexing four Ukrainian regions. We'll have the latest in a live report ahead.

Plus, devastation left behind in liberated Lyman, CNN goes inside the city after Ukraine takes back control.

And later remembering those killed in Indonesia when a Saturday night match -- football match spiraled into chaos and became one of the worst stadium disasters in world history.

[04:20:00]

(COMMERCIAL BREAK) FOSTER: Russia's lower House of Parliament is set to meet today to consider treaties submitted by President Vladimir Putin on the annexation of four Ukrainian regions. The Russian leader began the process on Friday, by signing agreements to join the territories to Russia following so-called referendums condemned by the West as a sham. Four regions include Kherson, Zaporizhzhia, Luhansk and also Donetsk, where the key city Lyman is now back in the hands of Ukrainian forces after Russian forces retreated over the weekend. Ukraine's president says his country's military successes extend beyond the city of Lyman as the list of areas liberated by Ukrainian forces continues to grow.

(BEGIN VIDEO CLIP)

VOLODYMYR ZELENSKYY, UKRAINIAN PRESIDENT (through translator): The story of the liberation of Lyman in Donetsk Region has now become the most popular in the media but the successes of our soldiers are not limited to Lyman. This you know is the trend. Recently someone somewhere held pseudo-referendums and when the Ukrainian flag is returned no one remembers the Russian farce was in pieces of paper and some annexations.

(END VIDEO CLIP)

CNN's Clare Sebastian is following new elements for us here in London. Nick Paton Walsh is in Ukraine where he's got firsthand looks at the devastation left behind in Lyman -- Nick.

NICK PATON WALSH, CNN INTERNATIONAL SECURITY EDITOR: Startling really to see how much of Lyman has been damaged, how ghostly it is and also stand in a place which is such a strategic defeat for Russia. Which Russia claimed as being part of its territory falsely on Friday as it appears its troops were withdrawing sometimes order orderly, sometimes in utter chaos. Here's what we saw.

(BEGIN VIDEOTAPE)

WALSH (voice-over): It may not look like much but this is where Putin's defeat in Donetsk began, a prize from the last century perhaps but trains and tracks are still how Russia wages war today. Lyman what's left of it now freed of Russia.

WALSH: For this is what it was all about, the central railway hub here now in Ukrainian hands and devastated by the fighting. And this was such a seminal part of Russia's occupation of Donetsk and Luhansk. The concern from Moscow is the knock on effect this is going to have for their forces all the way to the Russian border.

WALSH (voice-over): On the town's edges we saw no signs of the hundreds of Russian prisoners or dead that had been expected to follow Moscow's strategic defeat here, nor inside it either. Perhaps they have already been taken away. Instead, utter silence. Only local bicycles on the streets. Several residents told us the Russians actually left in large numbers on Friday.

TANYA, LYMAN RESIDENT(through translator): They left in the night and the day people said. I didn't see it myself but they say they sat on their APCs and their bags were falling off as they drove. They ran like this.

WALSH (voice-over): It would be remarkable timing that Russia fled Lyman in the very same hours that Putin was signing papers declaring here Russian territory and holding a rally on Red Square. A similar story in the local administration where the only signs of Russia left are burned flags.

They ran away without saying a word to anybody, he says. It was bad, no work, no gas, no power, nothing. The shops didn't work. It truly feels as if there is nobody left.

WALSH: Ghostly silence here, apart from occasional shelling and small arms fire. And it is so much of this town utterly destroyed.

[04:25:00]

So many locals we're told leaving when the Ukrainian push towards it began. But now it's just this utter ghostliness in a place that's such a strategic defeat for Russia.

WALSH (voice-over): Gun fire in the distance, they're nervous some Russians may be left. Outside what's left of the court, the constant change in violence is too much for some. Her husband just arrested.

UNIDENTIFIED FEMALE (through translated text): You put on a hat, you take off a hat. What life is this? I am 72 years old. I'm like a rat in a basement crawling out of the basement. You will not show this -- the truth checked document on a checkpoint. Yesterday, Ukraine came check documents on a checkpoint. And took my husband. A man disappeared from the police station. One hand, another hat. People are suffering. One beats us, another beats us -- and we cry.

WALSH (voice-over): The Ukrainian troops we did see had already stopped celebrating. There is little time. They're on the move again. Another Russian target further east in their sights.

And those left in Lyman a town cursed to have these bars of rusting steel running through it, are gathering the ruins to burn for fuel with winter ahead. Left in the wake of Russia's collapse here, a town they took weeks to occupy but only hours to leave.

(END VIDEOTAPE)

WALSH (on camera): Now there will be startling, I think, revelations in the days ahead from Russia's side as they work out how this happened, assess the damage to its done to their forces and quite where it leaves them for the days ahead and the weeks ahead, particularly in the Donetsk and Luhansk areas where there are certainly suggestions of a knock on effect now that Lyman has collapsed.

We're also seeing too signs of Ukrainian progress in the south on the southern front too and so, a very serious set of revelations I'm sure or recriminations happening now inside the Kremlin with bickering amongst Russia's elite bursting into the open -- Max.

OK, Nick, thank you. Let's look at the situation in Russia. In the Parliament, the lower House, they're considering, Clare, these annexations and formalizing them effectively.

CLARE SEBASTIAN, CNN CORRESPONDENT: Yes, I mean this is pure theatre, Max. Because the Parliament is dominated by Putin's party. No one is now going to go and undo what he did on this ceremony on Friday designed to sort of drum up patriotism in Russia. But, yes, the lower House, the state Duma is now going to consider these annexations treaties and on Tuesday it moves to the upper House of Parliament which is the Federation Council. So, sort of giving its official front to these annexations even as they are essentially annexing which is a territory which as Nick's report so clearly showed that they are actively retreating from.

And all of this, of course, Max, as international condemnation of the annexations continues to grow. The French President Macron over the weekend in a phone call with President Zelenskyy calling for more sanctions. We know the U.K. is considering eighth package. The U.K. and U.S. have already introduced new sanctions over the referenda and the U.S. of course, has just agreed for another 12 billion in aid. So, you know, we watch this unfold -- this theater unfold in Moscow but it really doesn't change anything what happens over the next few days.

FOSTER: And in terms of the international response there's nothing they can really do, this is a process that just carries on internally and countries like the U.S. object.

SEBASTIAN: Right, I mean I think -- look, the interesting response from Ukraine in terms of sort of its international standing was that it immediately announced in the wake of Putin's annexations on Friday that it wanted to fast track NATO membership. I think that is still going to be a while. The international community has very much rallied around Ukraine in the wake of this saying that they are sort of in it for the long hall.

But in terms of NATO membership, well, we have seen nine NATO members in Central and Eastern Europe come out and say to Ukraine, yes, we support your membership that doesn't include the likes of the U.S., Germany, France, the major players here. And of course, this is now very risky for the West and NATO. Because any sense of Ukraine joining would be an escalation in the eyes of Moscow and also would commit them formally to defense of Ukraine under Article 5. When what we actually see happening here is that Putin's actions are prolonging this war, to all intents and purposes.

FOSTER: OK, Clare, thank you.

Just ahead President Joe Biden and first lady Dr. Jill Biden will be traveling to Puerto Rico and Florida to see hurricane recovery efforts. We'll have a preview of that upcoming trip.

And later this hour, a new round of protest in Iran. This time at a prominent university after a young woman's death in police custody last month. Stay with us. [04:30:00]