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Rebuilding New Orleans Discussed; Harold Ford Interview; Ophelia Heads to Sea; IRS to Give Victims a Break

Aired September 16, 2005 - 14:00   ET

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

FREDRICKA WHITFIELD, CNN ANCHOR, LIVEFROM: In Gulfport, Mississippi, on this day of remembrance, Homeland Security chief Michael Chertoff.
MICHAEL CHERTOFF, HOMELAND SECURITY SECRETARY: ...redemption comes out of the ordeal which we've all gone through.

Many people have suffered because of this storm. People have lost their lives, people have lost loved ones, people have seen their lives destroyed and shattered. But for those who remain, there is a promise, as the president said yesterday, of rebuilding to a better and a brighter future.

Nevertheless, as we look forward, we also have to pause sometimes and look behind and understand the loss that we and everybody else have suffered both in this community and all the communities that are afflicted. And I will tell you that the loss has been felt and has reverberated throughout the country and even over seas. So in honor of those who perished and honor of that is which has been lost and also in honor of the spirit of those who continue on toward a brighter future, I would ask that we all join in a moment of silence. Thank you.

WHITFIELD: All right. A moment of silence and some acknowledgement for the many people who perished. Said Homeland Security Chief Michael Chertoff as well as the great losses suffered throughout the Gulf region on this day of prayer taking place across the country. Many different remembrances. Today, President Bush was at the National Cathedral in Washington, D.C. Reiterating some of his messages that he gave last night while in New Orleans saying specifically that the greatest hardships of Katrina fell on the poor and he reiterated the national commitment to help these people in these post-Katrina days.

Now leading the recovery and response efforts have been the Coast Guard Admiral Thad Allen. Our Kyra Phillips has been spending some time with him. Getting a since as to what he and his colleagues are up against. It's a daunting task. Specifically when you talk about New Orleans Kyra still 40 percent of that city under water.

KYRA PHILLIPS, CNN CORRESPONDENT: Yeah, it was pretty amazing Fredricka, that we had the exclusive access that we did. We wanted to sort of get inside the admiral's head, spend an entire day with him, and it was a whirlwind. You wouldn't believe the schedule that this man keeps. This is somebody that gets up at 3:30 in the morning and works till 12:30 at night. And we talking about General Russell Honore and when he came here and boy he was America's hero coming in and taking charge and getting I guess you can say law and order in this city and a lot of organization.

But now Admiral Thad Allen is the man in charge. He's the one who stepped in. And we had a chance to start with him from the morning all the way to the afternoon. It was incredible the number of people that he met with. A lot of surprises along the way, too. Just in one day, it started out with the mayor of New Orleans. It went to a number of conference calls with FEMA and DHS. Then the next thing you knew, we were on the flight deck greeting secretary of Homeland Defense Michael Chertoff. Then he had to brief with the FBU Director Robert Muller. He had to meet with the Attorney Generals. The list goes on and on.

He connected with General Honore. And then of course as you know he had to team up with the president of the United States last night for his speech. Now the biggest piece of news that came out yesterday the mayor of New Orleans said he wanted to see at least 180,000 people back in the city to live, back in this city to work. I asked the admiral about that and if indeed that could become a reality. And this is what he told me.

So, of course, the question that everybody is asking, how realistic, 180,000 people back in New Orleans within two weeks, is it a reality?

VICE ADM. THAD ALLEN, HEAD OF FEMA RELIEF OPS: Well, it's a pretty tough reality. We're taking a good hard look at what the mayor's proposed. Health, environmental, security, safety concerns. And we're going to give the best assessment we can. As I stated in the press conference that we held earlier today, our role is to support the city and the state here. And we can bring resources to bear on all of those areas.

PHILLIPS: Now, where we were heading to as we were talking about the reality of people coming back into the city, we were actually headed over to the Iwo Jima to meet the Secretary of Department of Homeland Security, Michael Chertoff. You'll be able to see that in the video now as the Coast Guard helicopter brought him in. And the admiral met up with him. Of course, these were all the concerns that he wanted to talk to the secretary about, the environmental concerns, the health concerns. If indeed, they could get the resources together from a security standpoint and also a health standpoint to make it a reality for people to come back into the city and start working.

From the Iwo Jima, which, by the way, this carrier has basically been the life line to New Orleans, the admiral spent time on the ship yesterday also with an address to all the sailors on that carrier, encouraging them to stick with this fight and to keep working hard. He even said that he wanted to rename the carrier "The City New Orleans." Because it was becoming such powerful tool with regard to keeping people thriving in this city. But we left the Iwo Jima and then Secretary Chertoff and Admiral Allen hooked up with General Honoree and then they all came into the mobile command center where Chertoff works out of here in New Orleans, and they started looking at a map of New Orleans. And going through this map zip code by zip code. And the admiral briefed everybody about the realities of, OK, can we get this neighborhood up and going? What are the concerns? Can they come into these houses? Do they have to worry about toxic mold? How high are the water levels? Is the water toxic in that area? Then they went street by street. Block by block. I mean the intensity of the process was absolutely incredible. Then, of course, after that briefing, he went on to meet with a number of other people that we're going to talk about of course later on this evening. But he also had to get ready for the president of the United States. And all those leaders including the acting director for FEMA who was there also, met with the president. Of course, they had a discussion about all of these issues.

Fred,

WHITFIELD: And Kyra, lots of meetings taking place obviously with all these people in charge. But what about the results? You mentioned that Admiral Allen and security Chief Chertoff talked about addressing environmental concerns. Particularly as business leaders and some residents are allowed to come back this weekend. What did they talk about specifically about those environmental concerns? How do they make sure that these pollutants still in the water, still these contaminants on the soil and ground don't jeopardize the health of these 180,000 people who are allowed to come back?

PHILLIPS: That's his biggest challenge right now. There are people from the CDC that are here. There are people from health and human services here. I even asked the Admiral about that. I said, OK you're a coast guard admiral. You know how to save lives. You know how to command ships; you know how to clean up oil spills. He's definitely an expert at that. I said but you also have to become a bit of an environmental expert. He said, you wouldn't believe how much I've had to learn with regard to that subject matter. That's why he's constantly on the phone with all these different individuals to try to organize.

WHITFIELD: It's safe for these people to come back there?

PHILLIPS: Exactly. Sure. That's their biggest concern right now. As he comes forward and General Honore sort of steps to the side right now, there's discussion even about security and medical health. What if someone comes back into their home and they're mowing the lawn and they injure themselves? Well, is there a hospital for them to go to? Can they get treatment? And if indeed they discover that there's toxic mold in their house and they start having respiratory problems, what does need to happen to that home? Once again, is there medical help for that individual? So that's how tedious it gets and that's how down to detail they all get when they have to come together for these continuous meetings. And of course, tonight, on "Paula Zahn Now," 8:00 Eastern you will see our day from early morning to the end of evening with the president's speech, just everything that Admiral Allen had to go through and deal with.

WHITFIELD: All right. We look forward to that on "Paula Zahn Now" tonight. Thanks so much. Kyra Phillips. Well President Bush took a break from his epic plans for reconstruction today to practice what he and others have preached. He went to church on a day he designated for prayer and remembrance and CNN White House Correspondent Dana Bash has this report.

(BEGIN VIDEOTAPE)

DANA BASH, CNN WHITE HOUSE CORRESPONDENT (voice over): The president, I did spend the morning here in Washington at the National Cathedral observing the day that he put effect for the victims of Katrina, those who have passed away and those who have displaced. The wide swap of land over the Gulf Coast. The president talked about rebuilding there, but not so much in a tangible sense, but talked about rebuilding in terms of society. As you well know, there have been a lot of accusations that the racial divide in this country, those who do not have the blacks in New Orleans and in and around the Gulf Coast, there were accusations that were essentially left there because of racial injustices. Well the president has been asked several times about that. Here today at the National Cathedral, he tried to address that by saying as we clear away the debris of a hurricane, let us also clear away the legacy of any quality.

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Let us deliver new hope to communities that were suffering before the storm. As we rebuild homes and businesses we will renew our promise as land of quality and decency. One day, Americans will look back to the response to hurricane Katrina and say that our country grew not only in prosperity, but also in character and justice.

BASH: Now that again at the National Cathedral coming the day after the president as you mentioned did give what aids hope would be an important speech to the long run. And that is from New Orleans talking about the more concrete ways he hopes the federal government will help to rebuild that particular area. Talking about it being one of the largest reconstruction efforts in the world. Naming some new additions up to $5,000 for job training and creating an opportunity zone for tax breaks for small businesses. Those are some initiatives. Part of bigger spending that the federal government has already done and estimated by some to be about $200 billion in total.

The White House has been asked whether or not they have a specific price tag for the total all together. They do not have one. But White House officials did here today say at that recovery would be paid for by the federal taxpayer. And it will add to the deficit at least in the short term. Now they were careful to say at that president still thinks he'll be able to make this goal of cutting the deficit in half in five years. But they're also saying that they're not at this point trying to offset this large spending. They're not trying to cut federal programs elsewhere in order to pay for what will be needed to pay for. The president is simply saying right now there are going to do what it takes. And Fredricka we heard just a short while ago from Senate leaders, both Democrats and Republicans in the region, essentially echoing that. But there are conservative Republicans who say that they is just not acceptable that there has to be some cuts in the federal spending.

WHITFIELD: All right Dana Bash. Thank you so much from the White House.

Well nearly three weeks now since Katrina, a major story that continues to emerge is that of the many children still missing from their parents. There are at least 2,000 documented cases. This weekend CNN will expands its commitment to finding the missing kids of Katrina and getting them reunited with their loved ones. Working in conjunction with the National Center for Missing and Exploded Children. CNN will air a non-stop stream of those missing complete with their names and ages and photographs. All the information that is available. We'll also provide appropriate contacts. That's tomorrow morning at 7:00 a.m. Eastern and running 40 hours straight through Sunday evening. We hope you'll get involved with us in the effort to find these children and to reunite them with their loved ones.

The former hurricane Ophelia has morphed back into a tropical storm. It never officially made landfall, but it still did substantial damage along the Carolina coast. CNN meteorologist Rob Marciano reports from Salter Path, North Carolina.

ROB MARCIANO, CNN METEOROLOGIST: As it continues to weaken and move out to sea the signs that this hurricane left behind are dramatic. Behind me is a fishing village. Look at the buildings. What's left of them, the peers? This is a fish-processing house. The fishing boats come up here; unload their fresh catch of the day, completely destroyed. Look at this cinder blocks. Concrete walls completely torn apart by the water, the wind and the waves. What was one docks and piers are just pylons.

Over there is the Crab Shack, the white, the red and the partially exposed duck work in the roof there that was one of the most popular restaurants on this island it has been around for almost 30 years, family owned. The owner would actually bring his fishing boat in, unload the fish, in a matter of minutes, it could be on your plate. Down the coast, you can see there's not a pier left standing. A 51-slip marina completely wiped out. This was not a county that was under a mandatory evacuation. So you have to wonder were there issues, were there people that needed to be rescued. We tracked down the captain of the Salter Path fire department Joey Frost and this is how he describes the night the storm hit.

JOEY FROST: We went to six or seven homes to do rescues. Three or four of them left, two or three decided to stay. They started calling us. We put chest waders on; we started wading in the water with our flashlights and our survival gear to go to them.

MARCIANO: Stories of rescue and survival are a good thing. Usually a good thing is this typically, a calm sliver of water between the mainland and this island. The problem is days preceding the storm we had east winds piling up the water in the center part of the sound. The storm arrived slowly, brought in the high tide and the storm surge into this area. Piled more water in. Then the storm moved east, north winds kicked in and took that mound water in the center part of the sound and slammed it violently into this community. And this is the damage you see. What's left of hurricane Ophelia? A category one storm. You wouldn't think you'd see this sort of damage in a category one storm. But it just goes to show you that a hurricane is still hurricane regardless of its category.

Rob Marciano, CNN, Salter Path, North Carolina.

WHITFIELD: Well, tropical storm Ophelia continues to meander off the coast of North Carolina. But does it oppose a threat to anyone on the mainland. Let's check with meteorologist Bonnie Schneider.

BONNIE SCHNEIDER, METEOROLOGIST: All right Fredricka. The only threat we are concerned with is this weekend for the Cape and the islands of Massichutes and coastal road island. But right now, the storm is finally on the move, which is good news. The movement is now to the northeast at about 8 miles per hour. It should pick up speed as we work our way into the next 12 or 24 hours. Right now, the location is 450 miles to the southern/southwest of Nantucket. So as we look back on the track and look forward you'll see that we are concerned about this weekend on how close the storm will get to the Cape and the islands while we approach Saturday. So we have a tropical storm warning in effect, meaning we're going to see some winds, some rain and probably and some rough surf ahead for coastal New England.

And a tropical storm watch is also in effect for areas of Nova Scotia. So it looks like it is going to be a tricky weekend to watch Ophelia. This storm has a history of doing loops, moving erratically, so that is why we will have to keep watching it. But just keep in mind the next area of concern coastal Massachusetts and Rhode Island as Ophelia gets closer to there this weekend. The good news is it is still a tropical storm and we do expect it to weaken as it comes over some cooler ocean waters. Fredricka.

WHITFIELD: All right. Bonnie thanks so much.

Well it had been rumored that Arnold Schwarzenegger would announce during a town hall meeting in San Diego that he would run again. And the Associated Press is now reporting that he does confirm that he is going to run for re-election. You'll recall that he won during a special election after a recall of the governor. And Arnold Schwarzenegger now making it official that he will run again for the a second term this go round.

Well, imagine having all your important papers scattered in a storm. How do you recover your records or even file your taxes? You wouldn't want to think about that. Well the IRS commissioner joins me live with details on how Uncle Sam is cutting Katrina victims a break.

(COMMERCIAL BREAK)

WHITFIELD: Well, the Internal Revenue Service is lending a helping hand to the victims of hurricane Katrina. It's extending deadlines, and changing rules and waiving certain fees for people whose lives have been turned upside down by Katrina. IRS Commissioner Mark Everson is joining me to talk about some of the changes and when we talk extending some of these deadlines. First of all, thanks for being with us.

You know we're talking about extending them by quite a few months. Into the early part of January. For those people who owe taxes, for those who have some sort of tax or estimated tax-deferred payment plans, right?

MARK EVERSON, IRS COMMISIONER: That's exactly right. If you think about it, there are businesses that were affected that they owe Social Security taxes that they withhold on the part of employees. Pension plan payments that need to be made. There are estimated payments. Some people had extended their last year's return even until the middle of the October. So if you're in that region that all gets extends to the end of the year. It is actually, January 3rd, the first Monday of the New Year.

WHITFIELD: Even for some folks, that might seem a little too soon. They've lost all their paperwork. The last thing they're thinking about is their taxes. They are still trying to figure out you know where do I get to stay permantely, I'm in a shelter, and I've got a lot of phone calls to make. Trying to figure out what kind of assistance I can get from FEMA. This is an overwhelming process for an awful lot of evacuees. Are there any conditions where perhaps early January just still might be too soon enough for some of these people that they could maybe get some more time?

EVERSON: We're looking at this very carefully on an ongoing basis. We're not going to be rigid about this at all. I would stay, particularly in terms of this document reconstruction; we've made it available. People can get for free, they can get a copy of the old return, and the information there and we can help them begin to reconstruct some of their financial records. The other thing that we're doing, which is interesting, I think, is that we're actually manning the call sites. We have four call sites around the country and when someone calls into FEMA, we're answering those calls. And we're taking down all the information. It's the front end, if you will, of getting benefits. Because if you think about the devastation this storm it prompted hundreds of thousands of people to be scattered across the country. They are not all near FEMA sights. They're calling into 1-800-621-fema. And we're also doing that work.

WHITFIELD: I can see how those who would be looking forward to a refund might want to hurry up and get their papers in order. Many of these people don't even have their driver's licenses to identify who they are. They don't have a job. They don't even have access to their bank accounts in a lot of respects. If they owe, they're really caught between a rock and a hard place. Trying to figure out, reconstructing their documents. They're all in a blur right now. How to even get access to their checking account to make some of these payments.

EVERSON: This reconstructing a financial life is obviously is very important. It falls in just after food, clothing and shelter, which, of course is the immediate need. Again, by getting in touch with FEMA, what happens is, we take them through this registration process and we ask them a series of questions at the end that refer them to other numbers. Social Security, IRS. Where they can go through the process and think about the needs that they have about reconstructing their life.

Again, they may be in Hartford, Connecticut, or in Bakersville, California. In many instances I've been listening to some of the calls that have been coming in. It's the first time they're really connecting; they are getting over the shock of this. And not all of them are in big centers. They're with families or friends. And they've maybe put off this moment where they have to start to reconstruct life and they're doing it. I have been amazed to hear the conversation they have a real dignity.

WHITFIELD: Wow and an awful lot of people are going to need this kind of advice and to really be treated rather gingerly. Because this is a terrible, terrible time for hundreds of thousand of people. Mark Everson, IRS Commissioner. Thanks so much. It was good to see you.

EVERSON: Thank you.

WHITFIELD: Well more than 2,000 children either reported missing or looking for their families after Hurricane Katrina. Ahead on LIVEFROM what's being done to reunite them with their loved ones.

(COMMERCIAL BREAK)

WHITFIELD: News around the world now. British police are searching for more evidence in a deadly bombing from London's transit system this summer. Investigators are searching homes and businesses in northern England. Including a building in the town of Leeds. That is where three of the suicide bombers were from. Well no one has been arrested during the searches, which began on Tuesday. But 52 people were killed when those bombs exploded on the three subway cars and a bus. And that happened on July 7.

In Iraq, at least 14 people were killed today in attacks by insurgents. Ten Iraqis were killed when suicide car bomber detonated outside a Shiite mosque near the northern city Kirkuk. In Baghdad gunmen killed a Muslim local cleric and a local mayor.

And in Israel, a plan that will likely spark contriversary Israel's defense minister tells CNN security forces have been ordered to build a buffer area along the border with northern Gaza. A fence separates the boarder right now. A buffer zone would have to use land turned over to the Palestinians under the disengagement plan.

Rebuilding New Orleans, what will a new version of that historic city look like? And will some of the displaced poor be permanently pushed out? We'll talk about that with Congressman Harold Ford ahead on LIVEFROM.

(COMMERCIAL BREAK)

WHITFIELD: "Now In The News" in Nepal, 87 journalists were arrested and help briefly in Nepal. The group demonstrated in an area in the capital of Kathmandu where protests are banned. They wanted the government to restore press freedom that had been suspended.

There's a bit of relief for drivers today. The AAA says gas prices are still dropping. The average price of a gallon of self- serve unleaded regular is down 2.8 cents to $2.88.

And go or stay? The same dilemma so many New Orleanians faced when Katrina bore down is facing them again as parts of the city begin to reopen. A "Washington Post" poll of some 600 evacuees in Houston finds that only 43 percent want to go back. Six in 10 feel the government let them down, but nine in 10 are optimistic for the future.

Returning to today's stop story, the president's promise to spend billions of government dollars to rebuild the hurricane ravaged Gulf coast, will there will be unintended consequences?

Some worry poor people could be permanently displaced if local governments take advantage of a recent Supreme Court ruling to seize homes through eminent domain to use them for more profitable private development. Here to discuss that issue and more, Democratic representative Harold Ford of Tennessee. He sits on the House Budget Committee and joins us live from New York. Good to see you.

REP. HAROLD FORD (D), TENNESSEE: Thanks for having me.

WHITFIELD: Well, is it your feeling that many of the evacuees heard what they wanted to hear from the President Bush last night?

FORD: Well, I think the president was speaking to them and speaking to the rest of the country as well. There's no doubt there will be a few legacies from Katrina. One will be how we respond to the immediate needs of the victims and survivors. Initially, we failed the test as FEMA and others could not organize in a way that saved lives and helped people to adjust and to evacuate.

The second part is what we do now to help, as the president now has committed a tremendous number of resources and Congress has passed it. And the third legacy is what we do to ensure that FEMA doesn't collapse like this again.

And I think finally, perhaps the biggest, is what we, as a country, do as a country to address poverty and what we do in terms of addressing new ideas and strategies to help fix public institutions like schools that don't work, and ensure that when people work they get proper training and job training. And companies and business in America ask so much more from their employees than we're giving. I hope these are the things that we focus on as we move forward.

WHITFIELD: All right. Well, let's tackle some of those things that you mentioned.

FORD: Sure.

WHITFIELD: When you talk about immediate needs, many of the evacuees who have been placed and displaced to far away places -- they're in shelters, they have no transportation -- they're wondering right away, number one, how am I going to get back to the New Orleans area to check on my properties? Who's going to help me get there?

And then once I get there, I don't have insurance. I realize my home needs to be rebuilt. Who's going to help me do that? These are some of the issues that the -- a lot of these evacuees wanted to hear from the president last night. Specifically, how are they going to get help?

They wanted to hear more than just the federal government is thinking about turning over federal land to build for some of the poorer communities. They wanted to hear more than they're going to get $5,000 in immediate assistance.

FORD: When you look at the amount of money that the American people have spent, Congress has appropriated the people's money, almost 62 to $63 billion. At that rate, we could provide $50,000 grants to individuals who have lost their homes and frankly have lost their lives in many ways. I think we ought to look at larger grants for those who want to relocate.

Remember, New Orleans was an interesting city. It's a place where Super Bowls and national championship games are played, but by and large, a majority of the people there were middle class to really to poor to being below the poverty level, some 30 percent almost.

So there are a lot of people who don't have a whole lot to go back to. So it's probably in our best interests as we talk about urban renewal and urban renaissance to use this, in many ways, as an opportunity to demonstrate our commitment to helping people get back up on their feet, but more important, our way, and a new way, of addressing how to help people to lift themselves and to start some kind of new life.

Grants to families to buy homes and for job training are all important. The president talked about some small things last night specifically, and talked about big things generically. And I can empathize with people who have been uprooted, wanting to know where do we go from here. And I hope for the next week or two in the Congress that we focus on this with a real intensity.

WHITFIELD: And we have seen it post-hurricanes, whether it was Hugo or Andrew, a lot of people who felt disenfranchised then, before the hurricanes hit, felt it even more so after the hurricanes because suddenly, moving back to their communities was just unaffordable. The property was a premium that only some people could afford.

How could that not happen in New Orleans when we're already seeing these polls? Half the people -- nearly half the people say they don't want to go back, in part because they don't trust government. A lot of those people won't be able to go back because they won't be able to afford it. How do you keep that from happening?

FORD: You know, the president talked about making the Gulf coast and part of that area a tax-free zone. We should probably make some of these individuals tax-free zones and allow them to move anywhere they choose to. The reality is, I understand their distrust of government.

If the government promised that they would protect and defend you and you stood at your home or on the roof of your home for five or six days without food or water, here in the United States of America, you too would probably not trust the government. I think it's important to perhaps treat each individual, or each family as an entity that is moving not only into a tax-free zone, but as a tax-free family or some kind of tax-free unit as they go to seek job training and go to put a down payment on a home. Perhaps we can provide some rebates and refunds and credits to those poor families and working, middle-class families who have been uprooted from this area to really no fault of their own.

And we must remember, they're refugees. These people are Americans and deserve to be treated as such. You had Everson on there from the IRS, and it's great what they are doing, but they ought to focus on how you help people, the majority of people who were uprooted from there who have no life now, who have no money and no resources, no home, no car, many of them disconnected from their families. I appreciate the commissioner, but much more is needed.

WHITFIELD: Congressman Harold Ford. Thank you so much. Of course what makes New Orleans such a special city is the people of New Orleans. And without them, and without that kind of culture of that city, it's hard to see how this is going to be a bigger, better city without their contribution. Thank you so much.

FORD: We're the United States. We'll figure it out. It's always good to see you and congratulations on everything.

WHITFIELD: All right. Thanks very much. Good to see you.

Well, another part of the recovery effort is trying to bring children and parents, their entire families, back together. In the chaos following Katrina thousands of families were separated, losing track of so many loved ones. The National Center for Missing and Exploited Children is working to help find them -- find each other. First Lady Laura Bush observed the efforts today. Brian Todd is live from Alexandria, Virginia with more on the continuing efforts -- Brian.

BRIAN TODD, CNN CORRESPONDENT: Fredricka, the news from here today is not only Mrs. Bush's visit, which we'll get to in just a moment, but that for the 12th straight day, the 12th day that this Katrina missing person's hotline has been up at this center, the numbers of children missing have gone up. Twelve straight days they've gone up. The numbers now that this center has reported missing is 2,052 total children missing from Katrina and its aftermath. But the numbers of recovered children, cases that are resolved, have also gone up. That number now stands at 760.

These volunteers here are working virtually around the clock, 16 hours a day. These are all former law enforcement officers, lending their volunteer time and effort to tracking missing kids.

They did get a visit, as Fredricka mentioned, earlier today from First Lady Laura Bush. She toured this facility. She had very high praise for these volunteers, asking them questions about how they intake the calls, where they process them, how they process them. And she took a moment to put this whole nightmare into perspective for the parents of the missing children. (BEGIN VIDEO CLIP)

LAURA BUSH, FIRST LADY OF THE UNITED STATES: This is such a very important part of reuniting families all the time, but especially now in the aftermath of Hurricane Katrina, when we have so many families who were separated. Each of us who have children know what it's like to lose your child for a minute in a department store. So we can imagine what these families are feeling and what they're thinking if they've been separated from their children for the last week or so.

(END VIDEO CLIP)

TODD: And we're going to talk about a couple of those cases now. These two that we're about to bring up are from Mississippi. Now, the vast majority of missing children are from Louisiana. But still quite a few from Mississippi.

Here is one. Hanna Ellis. She is five years old, last known to be at home in Kiln, Mississippi, with an adult female. Hanna Ellis, not seen since Hurricane Katrina hit.

Also from Mississippi, Paul Bodin. Now, this is an outdated picture when Paul was about six months old. Paul is now almost six years old. And this is another obstacle that these volunteers and all the officials here at the center are facing. They get outdated pictures, they get fragmented information. Paul Bodin, almost six years. He was last known to be at home in Waveland, Mississippi with his father.

If you have information on Paul, Hanna Ellis, or any of these other missing children, you are asked to call the Katrina Missing Persons Hotline, 1-888-544-5475, or go to www.missingkids.com for more information -- Fredricka.

WHITFIELD: All right. Also heartbreaking, but, of course, fingers are crossed that it's -- hopeful endings for all this. Brian Todd, thanks so much.

At least one of those separation stories has, indeed, a happy ending. Straight ahead on LIVE FROM, a 3-year-old boy back in his mother's arms. We'll show you how they found each other.

SIBILA VARGAS, CNN ENTERTAINMENT CORRESPONDENT: And I'm Sibila Vargas here on the red carpet at the Shrine Auditorium, as TV prepares for its biggest night. But the question is how will Emmy deal with Katrina? I'll have that question and more, when LIVE FROM continues.

(COMMERCIAL BREAK)

FREDRICKA WHITFIELD: Now, to entertainment news. The Emmy Awards will go on Sunday night, as planned. But this year's show will play attention to the victims of Hurricane Katrina. CNN entertainment Sibila Vargas is live in Los Angeles with all the details.

Hello to you, Sibila.

VARGAS: Hi, Fredricka.

Well, you know, preparations are definitely underway. They've got people working all around me, trying to make this place fit for all the celebrities that are going to be walking down this red carpet into the Shrine auditorium.

But I got to tell you, the question on everyone's mind is how is the Emmy going to deal with Katrina? Well, I can tell you, they will address it, but pretty much, it will be status quo.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: We're on the east side of New Orleans.

VARGAS (voice-over): Despite the devastation left by Hurricane Katrina, television's biggest celebration is going forward pretty much as planned.

KEN EHRLICH, EXEC. PRODUCER, EMMY TELECAST: I don't think there was ever a moment where we basically said it's going -- we're going to go away.

VARGAS: Inside the Shrine Auditorium, the preparations are much like last year. The red carpet has been rolled out. The dress code remains unchanged.

TOM O'NEILL, GOLDDERBY.COM: It's important that it doesn't look like Hollywood is fiddling while New Orleans burns.

VARGAS: But there are some subtle changes, designed to show support for the victims of Hurricane Katrina.

MELISSA GREGO, "TV WEEK": You have to walk that line of, well, what's appropriate? You know, do we have a frivolous, glamorous night when there's so many people who have lost their lives, their livelihoods. It is going to be business as usual, but I do expect there to be at least some acknowledgement of what's going on.

VARGAS: Part of that acknowledgement will come in floral form.

EHRLICH: The magnolia is the state flower of both Louisiana and Mississippi, so we've got one. And we've got 144 of them, which we're going to give to presenters and performers on the show.

VARGAS: During the telecast, viewers will be invited to donate money for hurricane relief. Host Ellen DeGeneres, a New Orleans native, is expected to refer to the disaster in her opening monologue. DeGeneres won praise for the way she hosted the Emmys four years ago, a show that was twice delayed following the 9/11 attacks and the invasion of Afghanistan.

GREGO: She proved she could do it back in 2001. It's a very lucky thing for both the industry and the audiences that she's going to be hosting this year.

VARGAS: And some people think the country could use some good cheer right now, including DeGeneres herself.

EHRLICH: She says, you know, on Emmy night, we need to make people laugh. Not forget about what's happened, but laugh. So I think viewers are in for a terrific evening.

(END VIDEOTAPE)

VARGAS: And part of the evening's highlights will be a competition called "Emmy Idol" where celebrities will face off -- actually in sing-off, singing songs, popular tunes like "Green Acres" or the Jeffersons' "Moving On Up." Trump is going to be part of that, as well as Megan Mullaly. William Shatner will also partake.

So it is pretty light. And you wonder how something like that going to come off in the face of, you know, what we've been looking at all of these days. But like I said in the package, it's really about kind of moving forward, not losing sight of what happened, but really trying to get back to normalcy. And trying to put a smile on people's faces, despite what's going on around us right now.

Fredricka, back to you.

WHITFIELD: We'll be watching this weekend. Thank you so much, Sibila Vargas.

Well, another Hollywood romance with another not-so Hollywood ending. Straight ahead, the latest on the split between Renee Zellweger and country singer Kenny Chesney.

(COMMERCIAL BREAK)

WHITFIELD: That John Wayne-like guy who the New Orleans mayor, Ray Nagin, referred to is still in charge, taking names and taking notice in the streets of New Orleans. I'm talking about Lieutenant General Russel Honore. And our Barbara Starr is still traveling with him, trying to keep up with him because I understand he moves rather fast. And Barbara is on the telephone with us now. And, Barbara, what's it been like?

BARBARA STARR, CNN CORRESPONDENT: Well, Fredricka, you're absolutely right. It is another day of trying to keep up with General Honore as we moves around New Orleans. But we started the morning onboard the Iwo Jima where General Honore, along with Vice Admiral Thad Allen, the man in charge here on the ground for FEMA and a number of senior congressional leaders and senior military commanders here were meeting.

They were going over what now. They were talking about how to implement the president's plan, the state of recovery here in New Orleans. But the other big topic of conversation we've learned was how to avoid such a slow federal response time next time. What are some of the lessons learned?

Now, senior congressional leaders we spoke to, including Senator Majority Leader Senator Frist and Admiral Allen himself, some of the other leaders here on the scene, say one of the areas they're going to start focusing on is what the president spoke about last night, that faster militia response, that increased role for the active duty military, that next time there is a crisis, whether it's a natural disaster or a terrorist attack.

And what officials we've spoken to today here on the ground are saying, is that what they were looking towards is trying to find a way that the next time they get those active duty troops on scene immediately, that they don't wait for that dual track of state control and federal control and waiting for the governor to ask and the mayor to ask and FEMA to respond, that what they've really learned out of this disaster when there is something of this magnitude it may only be the United States military that can respond with the overwhelming capability that it has.

And so they have to find ways to adjust the law, adjust the regulations, and move active duty troops in much more quickly than they did this time, Fred.

WHITFIELD: And, Barbara, since there's been criticism of FEMA's slow response, particularly under the umbrella of Homeland Security, is there any talk among the general's peers about trying to remove FEMA from being under the umbrella of Homeland Security so that it can once again operate as an entity in and of itself?

STARR: Well, when we spoke to senior congressional leaders that were in that briefing this morning with Admiral Allen and General Honore, when they came out what they told us was everything is essentially on the table, that it's too soon to make decisions, that they want to have that full review of what happened here and then decide how to best move forward.

But the common thread that continues to run through all the conversations that we have here is that something did not work as it should here, that the system needs to be fixed, that perhaps there's just too much bureaucracy, and that they need to be able to have a much more agile, much more mobile federal disaster response the next time something of this magnitude were to occur.

WHITFIELD: And now, let's look at just this weekend. Traversing the streets there, whether it be on foot or in some sort of special vehicles or even boat has been a challenge for just about everyone on the ground.

Now you're going to add some 180,000 residents and business owners throughout the area to start making assessments of their properties and business. How much more of a challenge is this going to be for the military and other law enforcement officials on the ground trying to get things done?

STARR: Well, that's very interesting because Admiral Allen spoke with us this morning about that very question. What they may have to do, as I think has been discussed publicly he tells us, is have city officials, state officials, everyone in agreement that there will be a dawn to -- that there be an after-dusk curfew in the central business district in New Orleans, that there will have been considerable safety issues. And while they will try and move some people in and get businesses up and running, what we're told is the concerns about just basic security, that is basic police security in the area, but also consider this. Just having the fire department up and running is going to be an issue. So they may have a curfew in the central business district.

WHITFIELD: OK.

STARR: It has been suggested. I don't know that anything is settled yet. But that certainly was on the table today because what we're hearing, is if you don't have a fire department, it's going to be a problem.

WHITFIELD: All right, Barbara, thank you so much. As you travel with Lieutenant General Russel Honore, we'll be checking in with you throughout the day. That's going to do it for me here on LIVE FROM. I'm Fredricka Whitfield. I'm going to pass the baton now over to Wolf Blitzer in THE SITUATION ROOM -- Wolf.

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