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President Trump's Spending Freeze Unleashes Nationwide Uncertainty; New Video Shows Ukrainian Troops Capturing North Korean Soldiers; Today: Former Senator Bob Menendez To Be Sentenced. Aired 5- 5:30a ET

Aired January 29, 2025 - 05:00   ET

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


[05:00:35]

KAYLA TAUSCHE, CNN ANCHOR: It's Wednesday, January 29th.

Right now on CNN THIS MORNING:

(BEGIN VIDEO CLIP)

GOV. TIM WALZ (D), MINNESOTA: This is not bold. It's not leadership. It's stupid, buffoonish, childish.

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TAUSCHE: Chaos and confusion. Thousands of federal programs targeted in funding freeze. Now a federal judge is weighing in.

Plus, this:

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DONALD TRUMP, PRESIDENT OF THE UNITED STATES: Why are we trying to help a guy like Milley?

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TAUSCHE: Security revoked. General Mark Milley losing his security detail and the president now going one step further, opening an investigation into him.

Then later:

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CAROLINE KENNEDY, FORMER U.S. AMBASSADOR TO AUSTRALIA: It's no surprise that he keeps birds of prey as pets, because Bobby himself is a predator.

(END VIDEO CLIP)

TAUSCHE: A searing letter. Robert F. Kennedy, Jr.'s family speaking out against him on the eve of his confirmation hearing.

(MUSIC)

TAUSCHE: It is 5:00 a.m. here on the East Coast. Here's a live look at the Capitol building, where lawmakers have been furiously responding to that federal funding freeze.

Good morning, everyone. I'm Kayla Tausche, in for Kasie Hunt. It's wonderful to have you with us today.

That nationwide funding freeze on trillions of dollars in federal grants and programs ordered by the White House is now in legal jeopardy after a wave of confusion and worry for charities and other non-governmental organizations nationwide. The chaos was felt throughout the day Tuesday as the scope of new guidance from the White House budget office came into focus. More than 2,000 programs put under review, and that funding paused. Things like the Head Start program for preschool education, cancer center support grants, and emergency grain storage assistance for farmers were all suddenly put in funding limbo.

White House Deputy Chief of Staff Stephen Miller says the guidance was not as widespread as reported.

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STEPHEN MILLER, WHITE HOUSE DEPUTY CHIEF OF STAFF: There were some bureaucrats in the federal government who tried to push out money, billions of dollars for wicked and pernicious purposes that had to be frozen.

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TAUSCHE: The White House trying to suggest that this is perhaps more limited than initially rolled out. But now, after a lawsuit by several of those nonprofits, a federal judge is putting a short term pause on the funding freeze until Monday.

After pressing a Department of Justice lawyer over the order, District Court Judge Loren AliKhan says this. Quote, the government doesn't know the full scope of the programs that are going to be subject to the pause, end quote.

Democratic governors also were not sure how the sudden stop of funding would impact people in their states.

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WALTZ: I know you have a lot of questions. I have a lot of questions because not one person thought this through.

GOV. JB PRITZKER (D), ILLINOIS: What Donald Trump tried to do in the last 24 hours is illegal. Let's be clear: this is a demonstration of cruelty against people who depend on us.

GOV. WES MOORE (D), MARYLAND: We're literally talking about an order that called for trillions of dollars of cuts, which was completely irrational, that there was no reason for it. This was this was essentially a self-imposed government shutdown.

(END VIDEO CLIP)

TAUSCHE: Even with the judge's pause, local programs like Meals on Wheels, which relies heavily on federal grants to deliver meals to elderly people, are scrambling to figure out how the policy could disrupt their service.

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ELLIE HOLLANDER, PRESIDENT AND CEO, MEALS ON WHEELS: I think the uncertainty, the chaos that has happened since last evening when we heard about this has caused a lot of grave concern on the part of older adults who rely on Meals on Wheels as a lifeline.

(END VIDEO CLIP)

TAUSCHE: Joining me now to talk about all of this is Shelby Talcott. She's White House correspondent for Semafor.

Shelby, good early morning to you.

So we heard from Democratic governors and many of these nonprofits. But I also want to play what Republican senators are saying about this, because the party, as well as the administration writ large, has largely been supportive of rescinding some of this federal money. Take a listen.

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SEN. ERIC SCHMITT (R-MO): I think it's appropriate to take a look at it and make sure there isn't some nefarious actions.

SEN. MIKE ROUNDS (R-SD): We think that some of the areas that could be restricted if they are items that the executive branch has the authority to issue or to look at.

SEN. TOMMY TUBERVILLE (R-AL): He's not halted. He's reviewing it. And in a certain amount of time, he's going to release it again. That's what he ran on.

(END VIDEO CLIP)

TAUSCHE: So generally supportive of clawing back funding.

[05:05:00]

But what happens when the rubber meets the road in some of those red states, Shelby?

SHELBY TALCOTT, WHITE HOUSE CORRESPONDENT, SEMAFOR: Yeah, I think that's the big question. Are they going to get pushback from Republicans in some of these states who eventually realize that some of the things that they. Depend on might be on pause?

And what I think is also interesting is, you know, the administration is saying that this isn't confusing, that the only people who are confused are -- are sort of members of the press.

But clearly, there has been confusion in the language in which this was issued, because it is, you know, there has been unclear whether Medicaid is affected. The White House says no, but there were apparently issues drawing down lines. It was unclear army contracting.

So some of these people who are implementing these pauses have also been unclear of whether or not they are affected, which is causing a lot of these problems. and these issues and these questions.

TAUSCHE: You know, the White House yesterday said that the White House counsels office said that the president had the legal authority to do it, but also suggested that some of these programs were not intended to be impacted. Based on your reporting, is it your understanding that that this program was tailored after the fact, or was simply rolled out in an undisciplined way?

TALCOTT: You know, I think it's unclear. I think, you know, it depends on who you talk to. So when you talk to White House officials, they say that it was clear all along, right? Karoline Leavitt said that yesterday. It's been clear all along this is what was intended to be impacted. And this was what was not intended to be impacted.

But clearly, that's not how this has been rolled out, because some of these initiatives, some of the people who are supposed to be implementing these initiatives were unclear as well, based on the language of this.

So there's been a lot of sort of clarification in the White House is working to detail exactly what is affected and what isn't. And again, the question on whether or not Donald Trump does have the authority is likely going to play out in the courts.

TAUSCHE: Well, and the idea of these large scale clawbacks has been in the sights of the Trump team for some time. And you wrote about this on the campaign trail, and I want to show the headline from that piece from back in June 2023. The headline, Trump says he will try to unilaterally cut government spending if elected president.

Around that time, we also heard Trump himself talking about this. Let's take a listen to that.

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TRUMP: I will fight to restore the president's historic impoundment power. Now, a lot of you don't know what that is. For 200 years, the president had the right to block unneeded spending and return the funds directly to the Treasury. They stopped that.

Congress unconstitutionally probably attacked the impoundment power in 1974, but it will come back. We're going to bring it back, and we will squeeze the bloated federal bureaucracy. And instead of just having to just spend it, we're going to reduce our debt.

(END VIDEO CLIP) TAUSCHE: So this was using the impoundment act, as you had reported, to unilaterally claw back government funding. How long has the Trump team been planning on doing this?

TALCOTT: Again, they've been planning on doing this for -- for well over a year. And this is part of Donald Trump's overarching theme to sort of slash government spending and reduce the amount of government that exists, essentially.

So, you know, I think people were surprised by this. But if you go back and listen to what Donald Trump said on the campaign trail as you just played, it is not a surprise. This is something that the Trump administration and the Trump team have been open about wanting to do.

And so I think this is a case where, you know, the campaign was really long. It was over two years, two years long. Donald Trump announced really early, and he said so many things that oftentimes some of these things don't get enough attention or sort of are swept under the rug because, well, Donald Trump may have mentioned it on the campaign trail. It wasn't like he was mentioning the impoundment act during every rally.

TAUSCHE: And now, the administration has until Monday to hammer out the details of this defendant in front of a federal judge. We will wait to see how that plays out for now.

Shelby, we appreciate your joining us this morning. Thank you.

TALCOTT: Thanks.

TAUSCHE: Coming up on CNN THIS MORNING, North Korean soldiers fighting with Russia against Ukraine, an exclusive look at their brutal mindset in battle.

Plus, gold bars and a fancy car. A former senator faces sentencing today on federal corruption charges.

And Pete Hegseth takes unprecedented action against a prominent Trump critic in just his first week as defense secretary.

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KAROLINE LEAVITT, WHITE HOUSE PRESS SECRETARY: He's made it very clear that he does not believe American taxpayers should fund security details for individuals who have served in the government for the rest of their lives.

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[05:14:09]

TAUSCHE: Some North Korean soldiers fighting for Russia are bringing a new level of brutality to the war on Ukraine. Many would rather die than surrender to Ukrainian troops. CNN's Nick Paton Walsh got exclusive insights into the mindset of

these fighters loyal to their leader, even in death.

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NICK PATON WALSH, CNN CHIEF INTERNATIONAL SECURITY CORRESPONDENT (voice-over): These are the first images on the ground of the capture of North Korean troops by Ukraine. The soldier is injured, can hardly walk but they spirit him away. Russian shelling intensifies to prevent capture.

A wild prize pulled through their wires here from brutal fighting in Russia's Kursk region against a radicalized, near suicidal enemy but one who'd never seen drones in war before. The special operations forces who fought them told us.

[05:15:05]

"POKEMON", GROUP COMMANDER, UKRAINIAN SPECIAL OPERATIONS FORCES (from captions): They are all young, fresh and hardy. But they're only prepared for the realities of an Eighties war. Despite all attempts to call them to surrender they continue to fight.

WALSH: There's a unique challenge here. Ukraine wants to take captives but the North Koreans seem to prefer to die. They shoot one here in caution. In the distressing images that follow, they pull one injured Korean's leg, then realize he has a grenade he detonates under his chin.

His last words were to scream North Korean leader Kim Jong-un's name, South Korean officials say.

We meet the Ukrainians who show us the faked Russian military papers he was carrying, suggesting he was from Russia's Far East and his military radio codes. Another paper, handwritten pledges of brainwashed courage.

UNIDENTIFIED MALE (from captions): The hammer of death to the unknown and the puppet trash is not far off. We wield the powerful force that makes them tremble in fear. World, watch closely.

WALSH: These notes from a soldier killed, really a snapshot of the mindset inside the hermit kingdom.

Declarations of loyalty, even tactics on how to fight Ukrainian drones. And also the suggestion that their presence here is about helping North Korea prepare for war.

It's a remarkable insight but also a reminder of how this biggest land war in Europe since the '40s is becoming more global.

But also a glimpse of the fear they live under, how they inform on each other. Notes from an officer writing a critique of his fellow soldiers.

UNIDENTIFIED MALE (from captions): He engaged in a unimaginable disgraceful act by stealing supplies. (Another soldier) failed to uphold the Supreme Commander's dignity and placed his personal interest above all.

WALSH: Ukrainians film themselves taking DNA samples from the dead, which they say proved these were Korean. Ukraine says up to a third of the 12,000 here are already dead or injured and more are coming.

Amur shows us the newest AK-12 rifle and backpack Russia gave the North Koreans. They are over-laden with ammo, he says but sometimes no body armor or warm clothes and minimal water.

AMUR, COMPANY COMMANDER, UKRAINIAN SPECIAL OPERATIONS FORCES (from captions): We have seen cases when fighters from North Korea ran without body armor. They often don't wear helmets which we find strange as well. They're very maneuverable, they run and move very quickly. They're hard to catch, especially with a drone.

WALSH: This thermal drone video shows that speed of attack. Below are seven Ukrainians in a trench facing 130 North Koreans above, who race at them and then try to flank them. Many died here but they seem to be learning.

BANDIT, BATTALLION COMMANDER, UKRAINIAN SPECIAL OPERATIONS FORCES (from captions): They have a plan of what to do if they are attacked by a drone. It's one person who takes the hit. Two or three people stand on the side and shoot directly.

WALSH: Nick Paton Walsh, CNN, Sumy, Ukraine.

(END VIDEOTAPE)

TAUSCHE: An incredible inside look from Nick Paton Walsh, thank you.

Still to come on CNN THIS MORNING, a fiery crash at an Air Force base. The pilot making it out alive just in time. We'll have more of this video in your "Morning Roundup".

Plus, President Trump set to sign a bill into law for the first time in his second term, allowing his administration to crack down even harder on illegal immigration.

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[05:23:25]

TAUSCHE: Twenty-three minutes past the hour. Here's your "Morning Roundup".

Today, former U.S. Senator Bob Menendez is set to be sentenced for bribery and extortion. Earlier this month, prosecutors called for Menendez to be put behind bars for 15 years. He was convicted of 16 corruption charges in July 2024.

Dramatic video out of Alaska, an F-35 fighter jet. You can see it there plummeting from the sky ends up in a fiery crash. The pilot was able to escape using a parachute. That crash, happening during a training exercise. The pilot, who thankfully is safe, says he experienced a quote, in-flight malfunction.

And a wave of tuberculosis cases has killed two people and infected dozens of others in the Kansas City area. Kansas state health department has not said what triggered the outbreak. It started about a year ago and it's still ongoing. The CDC is working with local officials to do contact tracing and testing.

Coming up on CNN THIS MORNING, he once called President Trump a fascist to the core. Now, former Joint Chiefs chairman, General Mark Milley is facing retribution.

Plus, RFK, Jr. Senate confirmation hearing about to begin on Capitol Hill in just a few hours, his cousin pleading with senators to reject his nomination.

(BEGIN VIDEO CLIP)

CAROLINE KENNEDY, FORMER U.S. AMBASSADOR TO AUSTRALIA: It's incomprehensible to me that someone who is willing to exploit their own painful family tragedies for publicity would be put in charge of America's life and death situations.

(END VIDEO CLIP)

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[05:29:42]

TAUSCHE: It is 5:29 a.m. on the East Coast. Here's a live look at Las Vegas, 2:29 a.m. for good measure. I bet people are still up and having fun there.

Good morning, everybody. I'm Kayla Tausche, in for Kasie Hunt. It is wonderful to have you with us.

Five hours from now, Robert F. Kennedy Jr. will appear before a Senate committee hoping to be confirmed as President Trump's secretary of Health and Human Services.

Among RFK's many detractors, his own cousin, Caroline Kennedy. She's urging senators to reject his nomination, sending them.