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Early Start with John Berman and Zoraida Sambolin

Violent School Arrest Captured on Video; Deal Reached to Avert Government Shutdown; U.S. warship Sails Into Chinese Claimed Territory; View from Front Lines of War Against ISIS. Aired 4:30-5a ET

Aired October 27, 2015 - 04:30   ET

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

JOHN BERMAN, CNN ANCHOR: Breaking news: This morning, China warns the U.S. after a Navy warship sails through waters claimed by the Chinese.

[04:30:04] The U.S. says, uh-uh, international waters, but a dispute nonetheless.

Welcome back to EARLY START. I'm John Berman.

CHRISTINE ROMANS, CNN ANCHOR: I'm Christine Romans. Thirty minutes past the hour for you this Tuesday morning.

Let's begin with this disturbing new video taken by a cell phone of violence inside a high school classroom in South Carolina. It shows a school resource officer body slamming a female student after she apparently refused to get up from her chair. The officer dragging her across the room.

(VIDEO CLIP PLAYS)

ROMANS: The officer in the video identified at Deputy Ben Fields. He has been placed on administrative leave while authorities investigate. Police are still trying to piece together exactly what led up to this incident.

(BEGIN VIDEO CLIP)

LT. CURTIS WILSON, RICHLAND COUNTY SHERIFF'S DEPT.: The student was asked to leave the class several times by the instructor of the school. The assistant principal was there was well. Then the officer was called on scene to actually have the student removed from that location. The student refused and the officer acted that you see on the video.

Now, again, what we saw was just a tidbit of what that video showed. Of course, we're going to look at what happened that led up to it, that accident that took place and then what happened afterwards. All of that is going to take part in what the sheriff decides.

(END VIDEO CLIP)

ROMANS: And we are also learning that the officer questioned, Ben Fields, has been a subject of two lawsuits in the past decade.

BERMAN: All right. Breaking overnight: a major budget deal that could bring relative peace to Washington for more than a year. Congressional Republicans, Democrats and the White House, they hammered out an agreement to avert a government shutdown and to avoid a default on federal debt.

But the deal is dividing congressional Republicans. Some say that retiring Speaker John Boehner gave too much away and that the next speaker, presumed to be Paul Ryan, should have been part of the Republican negotiating team. A reason he wasn't. Many Republicans believe this is the best deal they can get.

(BEGIN VIDEO CLIP)

REP. CHARLIE DENT (R), PENNSYLVANIA: I can only speak for myself. But the outline that was presented seems like a path forward.

REP. LOUIE GOHMERT (R), TEXAS: We should read the bill before we vote on them. Some of us remember that from 2010. Things like presumptive speaker should be negotiating too, not just the outgoing.

(END VIDEO CLIP)

BERMAN: Can the conservatives stop the deal when it comes to a vote set for tomorrow?

CNN's Manu Raju has the very latest from Capitol Hill.

(BEGIN VIDEOTAPE)

MANU RAJU, CNN SENIOR POLITICAL REPORTER: Guys, the White House and Republican leaders reached a major fiscal deal to avert a possible debt default by next week. This deal would raise the national debt ceiling until March of 2017, essentially taking this fight off the table in the election year, pretty significant deal. In addition to that, it would raise domestic and defense spending by $80 million to apiece the defense hawks who are very worried of the across-the-board cuts known as sequestration would really hurt the Pentagon and national security program.

In addition, there's increased domestic money to appease Democrats who are worried that those same sequestration cuts wouldn't hurt a lot of those favored domestic program.

Now, this deal is being pushed aggressively by John Boehner because he wants to really -- it is what he said -- clean the barn up before his successor, Paul Ryan, assumes the speakership later this week.

The big question is, how will House Republicans in the rank and file respond to this? Right now, there are mixed reviews outside of the House Republican conference meeting Monday night. The question is, how will they deal with it when there's actually a vote on the House floor as early as Wednesday?

We don't know the answer to that yet. But, guys, right now, the betting is House Republicans will pass this bill and it will pass the House. Likely pass the Senate and the president may have a major fiscal deal on John Boehner's final days in office -- John and Christine.

(END VIDEOTAPE)

ROMANS: All right. Manu, thank you for that.

Donald Trump will be in Iowa tonight for a rally, trying to whip up support in Sioux City. He has said he has work to do in Iowa. Indeed, a new poll finds Trump a distant second to Ben Carson among Iowa Republicans.

CNN's Sara Murray has the latest.

(BEGIN VIDEOTAPE)

SARA MURRAY, CNN POLITICS REPORTER: Good morning, John and Christine.

Three is a trend and it is a bad one for Donald Trump. The third poll showing Ben Carson has knocked him from the lead in Iowa. This latest polling comes from Monmouth University. It shows Ben Carson with 32 percent support. A 14-point lead over Donald Trump who's drawing 18 percent.

Now, the other candidate we should mention is Marco Rubio. He is surging a bit in this poll, up to 10 percent.

The candidate still struggling though is Jeb Bush. He is at 8 percent among likely Republican caucus-goers in Iowa. He spent yesterday rallying his donors at a retreat in Texas. He got a bit of help from his family members there, and that only drew the mockery of Donald Trump.

[04:35:01] DONALD TRUMP (R), PRESIDENTIAL CANDIDATE: So he's meeting now with mom and dad. No, it's true. He needs counsel.

MURRAY: Now, with all of the dynamics shifting in the race, it's clear Jeb Bush is on the attack. Donald Trump is on the attack and now, Ben Carson in the lead in the first nominating state. At the very least, it sets up for a potentially fiery Republican debate on Wednesday.

Back to you, John and Christine.

(END VIDEOTAPE)

BERMAN: All right. Sara, thanks so much.

We have some new details this morning from inside the Bush campaign's family extravaganza. That long planned event for donors and supporters in Houston. And the first time this campaign where Jeb Bush appeared on stage with his brother, the former president, although no cameras were allowed in the room. Also there at this meeting, Barbara Bush and former President George H.W. Bush. George W. Bush describes his brother as a fierce competitor who with

ties to the Hispanic community. His wife was born in Mexico. It will be crucial.

A PowerPoint demonstration focused on rival candidates with special attention to Marco Rubio, who is painted as an inexperienced and unprepared for the White House. There were comparisons to President Obama when he took office. Not flattering. Not meant to be flattering from the Bush campaign.

Today, Jeb Bush heads to Colorado. Big Republican debate in Boulder tomorrow night.

ROMANS: All right. In a new interview, Bernie Sanders passed on a chance to take shots at Hillary Clinton during a speech in Iowa Saturday. Sanders portrayed Clinton as a flip-flopper. But given the opportunity to do the same or worse on "The View," he changed the subject.

And last night, he told Rachel Maddow that he only wants to drive distinctions between their records. He says the former secretary of state has been rewriting history when speaking about her then-support for the 1996 Defense of Marriage Act.

(BEGIN VIDEO CLIP)

SEN. BERNIE SANDERS (I-VT), PRESIDENTIAL CANDIDATE: All that I criticized secretary Clinton on was saying something that wasn't accurate. I mean, you can argue that, you know, somebody made -- hey, look, I don't agree with DOMA politically or I have to do it. You can make that argument. But you can't say that DOMA was passed in order to prevent something worse. That is just not the case. That's the only point that I want to make.

(END VIDEO CLIP)

ROMANS: Clinton and Sanders both in New York this morning. Sanders on the "Today" show and Clinton will make her first appearance on "The Late Show with Stephen Colbert."

BERMAN: All right. Breaking overnight, a U.S. ship passed within 12 miles of an artificial island built by China in the South China Sea. The move, a challenge to Chinese territorial claims. The Chinese, they really built those islands, the landfills, in a chain the U.S. calls the Spratlys and trying to set up bases there right in the middle of big trade routes.

For the latest, let's bring in CNN's Will Ripley live at a U.S. Naval Base in Japan.

Will, big moves with, you know, this is meant to send a message more than anything else.

WILL RIPLEY, CNN CORRESPONDENT: Yes, you know, John, Christine put it really well when she described these artificial islands unsinkable aircraft carriers because it's clear that these are being militarized, with an airstrip, with the capability to station forces and to put personnel and hardware.

And remember, I was just in Beijing at the beginning of September when they were showcasing the carrier missiles that can be launched and can reach targets such as U.S. warships in the South China Sea. Now, of course, nobody is talking about military dispute like that, but by China establishing these islands, by trying to continuing to developing its weaponry and its military, there are concerns about the potential for future conflict here.

The United States, its number one ally here in Japan, it has a number of military assets in the region, and they are trying to make a point to China they cannot opinion push their boundaries from their mainland shores. Those islands in South China Sea, the Spratlys, 600 miles from Mainland China. China claims that it's been their land for centuries and that they're only claiming what's theirs. The U.S. disagrees.

That's why you have China saying that these are illegal activities. The United States says they are following international law and they are pledging to continue these what they call freedom of navigation patrols where they're going to send war ships within 12 nautical miles of these artificial islands to send a clear message to China that the United States still intends to assert its military, not force, but presence in the region. We'll have to see if it escalates for if they can come up with a compromise. Certainly, some angry words from China as a result of this. The United States, though, standing firm -- John.

BERMAN: It feels like a Cold War demonstration. We may see these for some time.

Will, thanks so much.

ROMANS: Thirty-nine minutes past the hour. Time for an early start on your money this morning.

U.S. stock futures lower. The Fed begins a two-day meeting on interest rates. No change expected in rates this week. There's a slightly better chance of rate hike in December, but nothing is certain and even a rate hike in December is not even 50/50 at this point. It is also a huge day for company earnings, BP, Alibaba, Ford, T-Mobile, UPS this morning.

[04:40:01] Hillary Clinton flunks economics. That's the headline from GOP hopeful Carly Fiorina in a "Wall Street Journal" op-ed this morning. Fiorina says the Obama administration has been brutal to the middle class and Hillary Clinton's policies would only benefit those at the top. Fiorina says household incomes are falling, too many people are leaving the work force.

She writes, quote, "Big government only works for big business, the powerful, the wealthy and the well-connected." Her solution, simplify regulations. Crush regulations that crush small business.

She's actually said that for years. There is too much regulation for small business. The challenge for the Republicans in making an economic argument to win the election is this idea of income inequality, it's the idea that the middle class has been hollowed out.

So, what are the logical near term solutions besides tax reform and regulation? You know, those are the kinds of things in the campaign I think that are very --

BERMAN: But that's what they say are the solutions.

ROMANS: They do. But on the other side, what resonates is raising the minimum wage and taxing the very wealthy. Have companies and the wealthy pay more into the tax system.

So, very two different world views and they're going to become sharp focus over the next days and months.

All right. Disturbing new claims in the deadly crash this morning. Prosecutors now say a driver intentionally drove into that crowd of people. What the suspect's family is saying?

(COMMERCIAL BREAK)

ROMANS: This morning, the woman charged in the fatal crash of the Oklahoma State University homecoming parade. Adacia Chambers, is being held on $1 million bail.

[04:45:02] Chambers made her first court appearance. Prosecutors allege that the 25-year-old intentionally drove her car into the crowd of parade spectators, killing four people and injuring nearly 50 others.

Court documents reveal Chambers told investigators she had attempted suicide several times and was feeling suicidal at the time of the incident. Her attorney says she gave no indication anything was wrong.

(BEGIN VIDEO CLIP)

TONY COLEMAN, ATTORNEY FOR ADACIA CHAMBERS: We know for a fact that she did leave work, but we don't know why. We don't know if she was sent home by her employer or we don't know if she left on her own. But she did, in fact, leave.

But I believe the statement from her employer, when she left, she seemed absolutely fine. They had no concerns about her at all. They certainly didn't think that she was on her way to do what ultimately happened.

FLOYD CHAMBERS, FATHER OF ADACIA CHAMBERS: I just want people to know that Adacia is a kind, loving, caring person, and she would not have done this purposely. I just don't believe that in my heart.

(END VIDEO CLIP)

ROMANS: Chambers father also apologized to the victims. A judge has ordered a psychiatric evaluation.

BERMAN: FBI Director James Comey says police across the country have become gun shy because of the so-called "Ferguson Effect". Speaking on a conference on race and law enforcement, Comey said officers have told them they have reluctantly to aggressively enforce the law for fear of being caught on the next video alleging police brutality.

(BEGIN VIDEO CLIP)

JAMES COMEY, FBI DIRECTOR: I spoke to officers in one big city who describe being surrounded by young people with mobile phones held high taunting them when they get out of their cars. They said to me, we feel under siege and we don't feel much like getting out of our cars.

(END VIDEO CLIP)

BERMAN: Comey believes that reluctance on the part of police on the street has contributed to an increase in homicide in many cities.

Now, the White House, interestingly enough, says it sees no evidence of this. Josh Earnest said this yesterday. So, the FBI director and the White House that he works for at odds on this.

ROMANS: Interesting.

All right. The Baltimore police department is testing body cameras on its officers. On Monday, more than 150 uniformed officers and detectives were outfitted with these cameras. The department is considering whether to make the body cameras standard equipment. It comes six months after Freddie Gray's death in police custody sparked riots in Baltimore. Six officers are being tried separately in the Freddie Gray case.

All right. CNN taking you inside Syria on the frontlines in the fight against ISIS. We are live right after the break.

(COMMERCIAL BREAK)

BERMAN: U.S. Secretary of State John Kerry is set to brief the Senate Foreign Relations Committee today in the closed session on Syria. Later this week, he is expected to hold talks with a post-Assad Syria with roughly a dozen Arab and European countries.

Joining us now after touring the frontlines in the battle against ISIS in Syria, CNN's new international correspondent, my once and current colleague, Clarissa Ward.

Great to have you here on EARLY START.

You were inside Syria, on the frontlines there. What did you see?

CLARISSA WARD, CNN SENIOR INTERNATIONAL CORRESPONDENT: Good morning, John. Well, it's great to be here as well.

We just got back from the frontlines touring with a group called the YPG. These are Kurdish fighters and they really at the core of the U.S. newest strategy to try to defeat ISIS. That's because they're part of the coalition newly formed Arab and Kurdish fighters who have enjoyed some pretty major victories on the battlefield against ISIS with the backing of U.S. and coalition air support.

Now, the U.S. is hoping that the next step could be that the YPG would take the fight to ISIS strongholds and launch offensives in cities like Raqqa. But when we tour the frontlines, we found that the YPG fighters were exhausted after months and months of fighting. We found that they were poorly equipped and lightly armed, carrying just old AK-47s. Some of them even fighting in their sandals and sneakers.

And we spoke to an American fighter who joined YPG to fight against ISIS, and he also said that they really only had the rudimentary of training. So, there's still a very big question mark hanging here, John, as to whether the YPG without getting heavier weapons, without getting better training, without getting more support from the U.S. would actually be able to take the fight to ISIS and its strongholds.

BERMAN: It has become part of the political campaign here, Clarissa, with a lot candidates saying, arm the Kurds. Why is the United States arming the YPG and Kurdish groups inside Syria more? But it's very complicated, isn't, because of one of the U.S. chief allies in the region.

WARD: That's right. I mean, this is a very delicate balancing act for the U.S., which is why it's been some circumspect for the support for the Kurds. And that's because the YPG are based in Syria.

But right next door, their counterpart in Turkey is the PKK. The PKK is seen to be a terrorist group. Turkey certainly regards it as a primary domestic threat.

So, the U.S. really trying not to upset the Turks, but at the same time, wanting to push ahead with this latest strategy for defeating ISIS in Syria.

BERMAN: Clarissa Ward for us there, just getting back from Syria. Great to have you with us. Great to have you here at CNN, Clarissa. Thanks so much.

ROMANS: All right. Winter is almost here, but we got a little good news for you. Your heating bill is going down. Way down!

BERMAN: Way.

ROMANS: Way down. I'll tell you why, next.

(COMMERCIAL BREAK)

[04:58:13] ROMANS: I'm Christine Romans. Let's get an early start on your money this Tuesday morning. Stock futures lower right now. A lot going on today. Big day for business news.

It's the first day of the Fed policy meeting. No change in the interest rates this week. It's a slightly better chance of a rate hike in December. Nothing is certain though. It's a brisk morning for earnings. Alibaba, Ford, UPS, Pfizer before the bell, I think Ford could have incredible sales. Good profit there. And the world's most valuable company, Apple, reports after the close.

And the most valuable private company is looking to raise more money. Uber wants another $1 billion in funding, valuing it between $60 billion and $70 billion, making the five-year-old company worth more than, John, Ford and General Motors. Uber has quadrupled in value since just last summer

Go outside and play. REI wants you to go outside. It doesn't want you to shop at its stores on Black Friday. The retailer is giving its 12,000 workers Thanksgiving Day off and Black Friday, too, with pay. Customers can place orders online, but REI's home page will encourage buyers to explore the outdoors instead. REI CEO says the holiday is just simply gotten out of hand. He acknowledges the decision will put a dent in revenue, although I will say I think it's a good brand in marketing.

BERMAN: Although it got 30 seconds of free advertising on CNN's flagship EARLY START broadcast.

ROMANS: This is true. This is true.

All right. All right. Your heating bill will be lower this winter, John Berman, yours in particular. Why?

BERMAN: I'll be building fire in the middle of the floor.

ROMANS: Predictions of extremely warm weather driven by the so-called Godzilla El Nino. Natural gas prices tumbled 9 percent on Monday to a more than three-year low. They're done 20 percent in October. It's been a warm fall. There are abundant supplies. Those two reasons why prices are down.

Americans are already saving big at the gas pump, too, thanks to cheap oil. It's really like a stimulus for the typical American household. Gas prices, heating oil prices. Those are like stimulus in their pocket right now.

BERMAN: Yes, it's a great new deal.

EARLY START continues now.

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