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Bush Holds News Conference to Discuss Social Security Reform, Middle East Democracy; Bush Nominates Paul Wolfowitz as President of the World Bank; Homeland Security Considers Disaster Scenarios

Aired March 16, 2005 - 10:00   ET

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

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


DARYN KAGAN, CNN ANCHOR: We are standing by, as we were mentioning earlier, President Bush will be holding a news conference in about 15 minutes. You're going to see it live.
Right now, let's look at what's happening now in the news.

Let's talk a little bit more about that news conference this hour from President Bush. A senior administration official telling us the president will discuss political developments in the Middle East, as well as domestic issues. We'll go live to the White House before it begins. Right now, scheduled 15 minutes from now.

Just about two hours from now, Scott Peterson will face sentencing for the murders of his wife, Laci, and their unborn son. The jury earlier recommended the death penalty and the judge is expected to reaffirm that. Peterson's attorneys are expected to ask for a new trial today.

The father of a missing 9-year-old girl from Florida says he's confident she will be found safe. Mark Lunsford held a brief news conference this morning in Homosassa, and said that police told him nothing about the man they now call a person of interest. The Citrus County sheriff announced last night they are looking for an individual who is apparently acquainted with Jessica.

Pope John Paul II appeared this morning at the window of his apartment overlooking St. Peter's Square. It was his first appearance -- his first public appearance since Sunday's release from the hospital and surprised, as several thousand pilgrims gathered on the square. The Vatican had earlier said the pontiff would not appear.

Good morning. I'm Daryn Kagan. Rick Sanchez is on assignment today.

We're waiting for the president to speak and we expect that news conference to begin in about 15 minutes. Of course, we will go live there when it begins. Meanwhile, let's check in with Suzanne Malveaux who is at the White House.

Suzanne, give us a preview of the type of topics we expect to hear from the president.

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Already a very busy day here at the White House. You're absolutely right, about 15 minutes or so we're going to expect the president inside of the briefing room to take some questions. First, he's going to make a brief opening statement. He is going to talk about, of course, his Social Security reform plan to create those private accounts. That is going to be the centerpiece.

He is going to say that he's very pleased with the national dialogue; that both the Democrats and Republicans have come up with good ideas. And that this is a system that requires a permanent fix, but this is really an uphill battle for this president. He's been on the road pushing for his particular plan.

But just take a look at the latest ABC/"Washington Post" poll. It simply asks how the president is handling Social Security. And there are 35 percent from this poll say they approve. Fifty-six percent say they disapprove.

Now secondly, the president is also going to be talking about this historic day when it comes to Iraq. The fact that the National Assembly gathered, they selected in principle the leadership of that government. Again, he is going to make the case that this is simply another example of democracy that is on the move in the greater Middle East region.

Now also, of course, that comes on a day that is very important. Polls again showing that the majority of Americans really do not buy the president's vision here, that they do not believe that shedding American blood is actually worth spreading democracy. So that is something else he is really going to have to fight to convince the American people.

And finally, I should let you know as well we've got a lot of news happening already this morning. A senior U.S. official telling us that the president has selected the new president of the World Bank. That will be Deputy Secretary of Defense, Paul Wolfowitz. As you know, a strong proponent of the Iraq War.

Now, I spoke with the outgoing president of the World Bank, Jim Wolfensohn, just moments ago. Asked him really what is going to be the greatest challenge that Wolfowitz is going to be facing? And he said that the philosophy of the World Bank is that poverty and peace are connected. That he is going to have to work with world leaders to convince them that yes, they need to increase aid. That yes, they need to encourage to open markets and free trade, those types of things.

Wolfensohn also saying, of course, that he enjoyed his terms. He served two five-year terms. He said he's ready to move on and wishes Wolfowitz the best.

KAGAN: Suzanne Malveaux at the White House. Suzanne, you're going to go far, right? You're going to hang with us?

MALVEAUX: I'm going to stay right here.

KAGAN: All right. You stay right at your post. We expect the news conference to begin in 10 minutes. We'll be back with you then. Meanwhile, let's get some other news in before the president speaks and check in on our "Security Watch." We are looking ahead at some of the disaster scenarios the Homeland Security Department is considering. Article in "The New York Times" today, it outlines several hypothetical terrorist attacks and what the department is projecting.

Some scenarios they came up with, take a look at this: the possibility that terrorists could release sarin gas into the ventilation systems of three big office buildings. The report says that would kill 6,000 people. A blown up chlorine gas storage tank would kill 17,500 people.

For some insights, CNN security analyst Clark Kent Irvine joins us live now from Washington. He is a former inspector general for the U.S. Department of Homeland Security.

Clark, good morning. Thanks for being here with us.

CLARK KENT ERVIN, CNN SECURITY ANALYST: Good morning, Daryn. Thank you.

KAGAN: Reading through the scenarios in this articles and on the list is like one bad dream movie after another. And yet, I guess they're real scenarios that could happen.

ERVIN: Well, that's right. And the department is to be applauded for doing this. There's a limited amount of money. There's a limited amount of planning time. And so planning and money must be focused on the most likely scenarios, and the ones that would have the greatest impact in terms of loss of life and economic damage.

KAGAN: Yes. And let's even talk about how this list even came to be. The criticism that there's limited resources out there, and that they weren't being put in places they should, that in this type of world, every place is not equal.

ERVIN: That's exactly right. Not all threats are equal. And even if certain threats were to materialize, they wouldn't have the same impact, again, in terms of loss of life or damage. The department has been slow to focus its attention on the likeliest threats. So this is belated. But again, the department is moving in the right direction.

KAGAN: When you look at this list, which also includes possible scenarios that would include a sports arena, theater, these types of venues, perhaps a music concert. Are they not giving ideas to the terrorists? Like hey, why don't you look over here, this is where we're really vulnerable?

ERVIN: Well, my take on it is that the terrorists know what their objectives are. Again, maximizing the loss of life and economic damage. They know what the vulnerabilities are. So it's not as if this report is giving a Roadmap to terrorists.

On the other hand, if in fact the action in this report is taken, it is likely to deter attacks. And if attacks were to occur, it is likely to minimize the impact. So on the whole, this is a good thing.

KAGAN: And we should say this list wasn't intended to be public in the first place?

ERVIN: That's right, exactly.

KAGAN: OK. Clark Kent, thank you. Clark Kent Ervin, thank you so much. We will be with you.

ERVIN: Thanks, Daryn.

KAGAN: The newly chosen secretary of Homeland Security speaking on the direction of the department. Michael Chertoff, describing homeland security as a marathon and not as a sprint.

(BEGIN VIDEO CLIP)

MICHAEL CHERTOFF, HOMELAND SECURITY SECY.: Of course, as with the Cold War, we know that this struggle will not be won for years to come. This is a marathon and not a sprint. Accordingly, we must lay out a vision of homeland security that is sustainable over the long run. A vision that balances durable and comprehensive security with the American way of life and the values that we cherish.

(END VIDEO CLIP)

KAGAN: Chertoff says the ultimate goal for homeland security is to allow people to go about their daily lives.

The latest anthrax scare is being called a false alarm. You might remember from yesterday, it closed three Pentagon mail facilities and it led 900 workers to take antibiotics. A military lab mix-up gets the blame this time. Workers apparently tested a sample of actual anthrax that's kept on hand for comparison, instead of the mailroom sample. Later tests came back negative for anthrax and helped the lab realize the error. Officials say some remaining tests are still not complete.

We encourage you to stay tuned to CNN day and night for the most reliable news about your security.

Right now, we're going to turn to the latest on the Atlanta courthouse shootings. A memorial service for the court reporter who was killed on Friday begins three hours from now. Visitation was held for Juliann Brandau at a suburban Atlanta funeral home last night. A neighbor who has lived next door to Brandau since second grade called her nothing but wonderful, and that she had an awesome aura.

As for the suspect, Brian Nichols, his brother says the courthouse-shooting suspect isn't a monster. CNN's Larry King spoke exclusive with Mark Nichols last night. He says he's devastated but he is standing by his brother.

(BEGIN VIDEO CLIP)

MARK NICHOLS, BRIAN NICHOLS' BROTHER: Look at me. I'm tired. I'm worn out. I haven't slept in three days. I haven't eaten. You know, that's my only brother. You know, and I love him. And I want him to know that we all still love him. We're not turning against him. We're here for him. It's hurting me. It really is. It's hurting me.

(END VIDEO CLIP)

KAGAN: Brian Nichols is four years younger than his brother. But Mark Nichols says he always looked up to Brian as if he were the older one. Mark described Brian as stable, smart and gentle.

Well, Brian Nichols former hostage will get the reward money for turning him in. The state of Georgia giving Ashley Smith a check for $10,000. Other agencies had offered an additional total of $50,000 reward. The "Atlanta Journal Constitution" reports those agencies are making a possible joint presentation to Smith.

New security procedures are in place this morning at the downtown Atlanta courthouse. Plain clothed officers have been put in and moved to courtrooms. More uniformed deputies have also been added to the courthouse. A system has been set up to I.D. high-risk inmates, and they will be escorted by specially trained officers.

The changes come as a federal judge's group urging a full review of judicial security. The Judicial Conference wants U.S. marshalls to focus on security at judge's homes and places way from the courthouse.

When she was held hostage, Ashley Smith read to Brian Nichols from "The Purpose-Driven Life." That is a hugely popular book among Christians. It sold more than 21 million copies. You can see how this best seller has changed people's lives on a special edition of "NEWSNIGHT." Paula Zahn is going to fill in for Aaron. That's tonight at 10:00 p.m. Eastern.

OK. Let's check out the clock. We are five, maybe four and a half minutes from President Bush showing up, holding a news conference. You'll see it live right here on CNN. Good time for to us take a break.

(COMMERCIAL BREAK)

KAGAN: We are standing by. Any minute, we expect the president, President Bush to come out and begin a news conference. You're going to see that live. In the minute we have before that begins, let's talk about other news coming out of the White House today. The president recommending Deputy Secretary of Defense Paul Wolfowitz to be the next leader of the World Bank.

We're getting reaction already to that recommendation. Hear now is House minority leader Nancy Pelosi.

(BEGIN VIDEO CLIP)

REP. NANCY PELOSI (D-CA), MINORITY LEADER: All I can think is that our member on the ranking -- ranking member on the Defense Subcommittee of Appropriations, Mr. Murtha has been calling for Mr. Wolfowitz's removal for along time now. And maybe this is the president's way of removing him from the Defense Department. Otherwise, I can't see a match of credentials with the mission of the World Bank.

(END VIDEO CLIP)

KAGAN: Well, that would not seem like a ringing endorsement for Paul Wolfowitz, but we will be following that. It will be interesting to see if the president brings it up at this news conference. That story breaking separately from the news that the president wanted to hold this news conference; we got that word about an hour ago.

Here's President Bush. Let's listen in.

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Thank you for giving me a chance to come by and say hello.

I'm preparing for my trip out of town for Easter week, and thought I'd share some thoughts with you and answer some questions.

I am looking forward to continuing my dialogue with the people on Social Security. It's important for the American people to understand that I believe the Social Security system has worked well, that Franklin Roosevelt did a positive thing when he created the Social Security system, but that I am deeply concerned about the Social Security system for younger Americans.

BUSH: And I believe we're making progress on convincing the American people of two things: one, nothing will change for seniors -- those who've retired or near retirement; and secondly, that we must work together to make sure the system works for a younger generation of Americans.

That's progress.

I think I told you all earlier that one of my missions in the Social Security debate was to set that issue before the people so that people fully understand why I was addressing it. That was why.

I fully understand some in Washington are saying, "Why would the president bring this up? It's a difficult issue; may cause us to have to make a tough vote."

I'm making that case to the people and will continue to do so, in Florida on Friday and then we'll head out west from Crawford and then back to Crawford for my meetings with Prime Minister Martin and President Fox.

BUSH: I urge the members to go out, when they go home, to talk to their constituents, not only about the problem but about solutions.

I urge members to start talking about how we're going to permanently fix Social Security. Members, I hope, would not talk about a Band-Aid solution; I think it's important for them to talk about a permanent fix -- something that will last forever. I think the voters will appreciate people who come up with constructive suggestions, not statements merely in opposition of some ideas.

And so this is part of what I wanted to share with you, is that I'm actually enjoying myself on these trips.

BUSH: I hope you're enjoying traveling with me.

I like to get out of Washington. I like to discuss big issues. I like to remind people that my job is to confront problems. And I'll continue to talk about Social Security for the next period of time.

Iraq had a meeting today of its transitional national assembly. It's a bright moment in what is a process toward writing of a constitution, the ratification of the constitution and elections. And I congratulate the Iraqis for their assembly. And we've always said this is a process and today was a step in that process. It's a hopeful moment I thought.

I'm looking forward to seeing you down there in Crawford, those of you lucky enough to be able to travel with me.

BUSH: I wish you all a happy Easter.

And I'd be glad to answer some questions.

QUESTION: Mr. President, the U.S.-led coalition in Iraq once had 38 countries contributing troops and now that number has fallen to 24, and yesterday Italy said it was going to start pulling out some forces in September.

How can you keep the coalition from crumbling and is it time to think about a timetable for pulling out some U.S. troops given that the Iraqi parliament was seated today and you're making progress in training some portions?

BUSH: Well, actually I called Silvio Berlusconi on another matter, which may or may not come up during this press conference. Actually, I'll give you a hint. I called him about the World Bank...

(LAUGHTER)

... and discussed my nominee.

BUSH: But he brought up the issue of Italian troops in Iraq. And I said, first of all, he wanted me to know that there was no change in his policy; that, in fact, any withdrawals would be done in consultation with allies and would be done depending upon the ability of Iraqis to defend themselves.

And I said, "Are you sure I can say this to the press corps that will be wanting to know what took place in our conversation?"

He said, "Absolutely." So I think what you're going to find is that countries will be willing -- anxious to get out when Iraqis have got the capacity to defend themselves. And that's the position of the United States: Our troops will come home when Iraq is capable of defending herself.

BUSH: And that's generally what I find to be the case when I've talked to other allies on this issue.

We're making progress. I've talked to General Casey quite frequently, and he keeps us abreast of the progress being made.

One of the things -- one of the issues, in terms of Iraqi troops being able to defend their country, is the ability to stand up chains of command. I think I've shared this with you before, and it's still an issue that they're working on.

There's officer training schools, plus the ability for a command to go from a civilian government to a military chain of command down to the lower ranks of troops.

And there's positive signs that have taken place in the development of the Iraqi security force, and there's still work to be done. Our allies understand that.

But -- I say anxious to come home, everybody -- nobody -- I mean, people want their troops home. But they don't want their troops home if it affects the mission. We've made a lot of progress.

BUSH: It's amazing how much progress has been made, thanks in large part to the courage of the Iraqi people.

And when I talk to people, most understand we need to complete the mission. And completing the mission means making sure the Iraqis can defend themselves.

QUESTION: So you don't think it's crumbling, the coalition?

BUSH: No, quite to the contrary. I think the coalition has been buoyed by the courage of the Iraqi people. I think they have been pleased and heartened by the fact that the Iraqis went to the polls and voted, and they're now putting together a government. And they see progress is being made.

I share that sense of enthusiasm about what's taking place in Iraq.

QUESTION: The Iranians have dismissed the European incentive as insignificant. Should more incentives be offered? How long do they have until you take their case to the Security Council?

BUSH: Well, first of all, I want to thank our European friends for taking the lead on this issue, telling the Iranians that they should permanently abandon any enrichment or reprocessing to make sure that Iran does not develop a nuclear weapon.

Let me review the bidding on this, if I might; just, kind of, the history right quick.

Iran has concealed a nuclear program that became discovered not because of their compliance with the IAEA or NPT, but because a dissident group pointed it out to the world, which raised suspicions about the intentions of the program. You can understand why: It's a nontransparent regime run by a handful of people.

BUSH: So suspicions were raised. And as a result of those suspicions, we came together with friends and allies to seek a guarantee that they wouldn't use any nuclear program to make weapons.

A lot of people understand that if they did have a weapon, it would create incredible instability, it wouldn't be good for world peace.

And so the best way to do that -- and this is where we are in the talks -- was to say to the Iranians that they must permanently abandon enrichment and reprocessing. And the E.U.-3 meant it. And now we're waiting for an Iranian response.

QUESTION: And how do long do you wait? When do you go to the Security Council?

BUSH: The understanding is, we go to the Security Council if they reject the offer. And I hope they don't. I hope they realize the world is clear about making sure that they don't end up with a nuclear weapon.

QUESTION: Mr. President, you say you're making progress in the Social Security debate, yet private accounts is the centerpiece of that plan, something you first campaigned on five years ago and laid before the American people -- remains, according to every measure we have, poll after poll, unpopular with a majority of Americans.

So the question is, do you feel that this is a point in the debate where it's incumbent upon you, and nobody else, to lay out a plan to the American people for how you actually keep Social Security solvent for the long term?

BUSH: First of all, let me -- if I might correct you -- be so bold as to correct you -- I have not laid out a plan yet -- intentionally.

BUSH: I've laid out principles. I've talked about putting all options on the table because I fully understand the administration must work with the Congress to permanently solve Social Security.

And so one aspect of the debate is: Will we be willing to work together to permanently solve the issue?

Personal accounts do not solve the issue. Personal accounts will make sure that individual workers get a better deal with whatever emerges as a Social Security solution.

And the reason why is because a personal account would enable a worker to -- voluntarily, by the way; this is a voluntary program, you can choose to join or choose not to join. The government's not making you do that. It's your option. And you can decide whether or not you want to put some of your own money aside in a conservative mix in stocks and bonds to earn a better rate of return than that which you would earn -- your money would earn inside the Social Security system.

BUSH: And over time, that compounds, grows, and you end up with a nest egg you could call your own.

And so I think it's an interesting idea and one that people ought to discuss to make sure the system works better for an individual worker.

But it's very important for people to understand that the permanent solution will require Congress and the administration working together on a variety of different possibilities.

QUESTION: But, sir, but Democrats made it pretty clear that they're not interested in that; they want you to lay it out. And so, what I'm asking is...

BUSH: I'm sure they do.

First bill on the Hill always is dead on arrival.

I'm interested in coming up with a permanent solution. I'm not interested in playing political games. I'm interested in working with members of both political parties.

QUESTION: Will you say if you're specifically supportive of an income test with the slowing of future benefits? Could that get some kind of bipartisan consensus going?

BUSH: There are some interesting ideas out there. One of the interesting ideas was by this fellow by the -- a Democrat economist named of Pozen. He came to visit the White House. He didn't see me, but came and tossed some interesting ideas out, talking about making sure the system was progressive.

We're open for ideas. And look, I can understand why people say, "Make -- force the president to either negotiate with himself or lay out his own bill."

I want to work with members of both political parties. And I stood up in front of the Congress and said, "Bring your ideas forward." And I'm looking forward to people bringing their ideas forward. It's how the process works. And I'm confident we'll get something done

BUSH: See, the American people want something done. They don't like partisan politics. They don't like people saying, you know, "I'm not going to accept so-and-so's idea because it happens to come from a particular political party." What they want is people coming together to solve this problem.

QUESTION: Mr. President, the price of oil is at record levels: well above the $28 price point that you would prefer. The price of gasoline is projected to go above $2.50 this spring.

How concerned are you that this can start to (OFF-MIKE) the American economy? Is there more you could to do to talk with oil- producing nations to get the price at the well-head down? And is there more you could do, since part of the problem is refining capacity, to encourage oil companies who haven't built a refinery in 20 years to start increasing their capacity domestically?

BUSH: No, I am concerned about the price of energy. I'm concerned about what it means to the average American family when they see the price of gasoline going up. I'm concerned what it means to small businesses.

I'm worried about the price of natural gas, particularly given the sense that -- because a lot of utilities now rely upon natural gas to provide electricity for their consumers. And I have been worried about this since 2001, when I first showed up in Washington, D.C.

I'm concerned about the relationship between the demand for oil -- our growing economy's demand for oil, but more particularly the demand for oil from -- or energy in general -- from countries like China, fast-growing countries that are consuming a lot of raw materials and natural resources.

And it is of concern. And that's why I went to the Congress and asked them to join in a comprehensive energy plan, which they have yet to do.

BUSH: I would hope that when members go back to their districts and hear the complaints of people about the rising price of gasoline, or complaints from small-business owners about the cost of energy, that they will come back and, in the spirit of -- in a proper spirit, get a bill to my desk that encourages conservation and will continue to find alternative sources of energy.

And by the way, the modernization of the electricity grid is an important part of the energy bill.

I, frankly, don't think we need a lot of incentives for energy companies in the energy bill. The incentive is price. That's plenty of incentive for people to go out and find additional resources.

BUSH: I hope Congress passes ANWR. There's a way to get some additional reserves here at home on the books.

In terms of world supply, I think if you look at all the statistics, demand is outracing supply and supplies are getting tight. And that's why you're seeing the price reflected.

And hopefully there'll be more conservation around the world, better conservation around the world, as well as additional supplies of energy.

One thing is for certain: We've got to use our technology to, over time, evolve away from reliance upon oil and gas, and at the same time use our technologies to make sure we can use our plentiful resources, like coal, in an environmentally friendly way.

BUSH: I went to Columbus, Ohio, the other day and I talked to the person responsible for the Future Gen Plant, which is an innovative use of technology for there to be emissions-free coal- burning plants. It'll not only be helpful for the United States, it would be helpful for the world, the developing nations to be able to use this technology.

This is going to be a subject, by the way, of -- was a subject of interest in my trip to Europe. The councils of the E.U., we talked about how we can work together on technological developments to change habits and change supply of the energy mix for the world. And so it'll be a topic at the G-8 as well.

QUESTION: Could I follow up? Everybody else has had a chance...

BUSH: I know. I'm trying to break the habit.

Sorry, it's not you, Roberts. Don't take it personally.

QUESTION: I never do, sir.

BUSH: That's good. Neither do I.

QUESTION: Mr. President, can you explain why you approved of and expanded the practice -- what's called rendition -- of transferring individuals out of U.S. custody to countries where human rights groups and your own State Department say torture is common for people in custody?

BUSH: In the post-9/11 world, the United States must make sure we protect our people and our friends from attack. That was the charge we have been given.

And one way to do so is to arrest people and send them back to their country of origin with the promise that they won't be tortured.

BUSH: That's the promise we receive.

This country does not believe in torture. We do believe in protecting ourselves; we don't believe in torture.

QUESTION: As commander in chief...

(CROSSTALK)

BUSH: You're going to make Roberts feel terrible.

(CROSSTALK)

BUSH: No, no, we shouldn't make...

QUESTION: Doesn't bother me at all.

BUSH: Elizabeth?

QUESTION: As commander in chief, what is it that Uzbekistan can do in interrogating an individual that the United States can't?

BUSH: No. We seek assurances that nobody will be tortured when we render a person back to their home country.

Elizabeth?

BUSH: Paul Wolfowitz, who was a chief architect of one of the most unpopular wars in our history, is your choice to be...

BUSH: That's an interesting start.

(LAUGHTER)

QUESTION: ... is your choice to be the president of the World Bank. What kind of a signal does that send to the rest of the world?

BUSH: First of all, I think people -- I appreciate the world leaders taking my phone calls, as I explained to them why I think Paul will be a strong president of the World Bank.

I've said he was a man of good experience. He helped manage a large organization -- the World Bank's a large organization, the Pentagon's a large organization.

He's been involved in the management of that organization. He's a skilled diplomat. Worked at the State Department in high positions, ambassador to Indonesia, where he did a very good job representing our country.

And Paul is committed to development. He's a compassionate, decent man who will do a fine job in the World Bank.

BUSH: And that's why I called leaders of countries and that's why I put him up.

I was pleased to see that Jim Wolfensohn earlier today made a very strong comment about Paul's candidacy.

Jim Wolfensohn has done a fine job in leading the World Bank. He's represented the World Bank with a lot of class and a lot of dignity, and I think his comments are very important comments, for people to get to know Paul better before the vote is taken.

QUESTION: Tom DeLay, the House majority leader, has been admonished three times by the House Ethics Committee and is currently embroiled in similar controversies involving a lobbyist who happened to be a pretty big fund-raiser for your two campaigns.

QUESTION: Do you have the full confidence in Tom DeLay, his tactics and his leadership over the Republican Party?

BUSH: I have confidence in Tom DeLay's leadership and I have confidence in Tom DeLay.

And we've worked closely with Tom DeLay and the leaders in the House to get a lot done during the last four years, and I'm looking forward to working with him to get a lot done in the next four years.

We've got a big agenda. We've got to get an energy bill out of the House. We've got to get more legal reform out of the House. Got to get a Social Security reform package out of the House.

BUSH: Got to get a budget out of the House. There's a lot going on.

And Speaker Hastert and Leader DeLay and Whip Blunt are close allies and people with whom we are working to get a lot done.

QUESTION: Mr. President, you have spoken out about the need for owners, coaches and players in all sports to stop steroids. But you've also voiced reservations about government getting too involved in that. And, as you know, Congress is issuing subpoenas to Major League Baseball players during spring training.

Do you think that that's an abuse of power?

BUSH: Well, Congress generally has an independent mind of its own.

I spoke out and was pleased to see that baseball responded and they've got a testing policy in place for the first time ever, a firm testing policy in place. It's very important that baseball then follow through and implement the testing, and, obviously, deal with those who get caught cheating in the system.

BUSH: And, you know, the hearings will go forward, I guess. I guess that's the current status. But I'm wise enough not to second- guess the intentions of the United States Congress.

I do appreciate the public concern about the use of steroids in sport, whether it be baseball or anywhere else, because I understand that when a professional athlete uses steroids, it sends terrible signals to youngsters.

We've had some stories in my own state. One of the newspapers there pointed out that they thought there was steroid use in high schools as a result of -- in order to make sure kids, at least in the kids' mind, could be a better athlete.

BUSH: It's a bad signal. It's not right.

And so I appreciate the fact that baseball's addressing it. Listen, I appreciate the fact that the Congress is paying attention to the issue.

This first started, of course, with Senator McCain, who basically said, "Get your house in order," and baseball responded.

And my hope is the system will work.

QUESTION: Mr. President, your judicial nominees continue to run into problems on Capitol Hill. Republicans are discussing the possibility of ending the current Democratic filibuster practice against it.

QUESTION: And Democrats yesterday, led by Minority Leader Harry Reid, went to the steps of the Capitol to say that if that goes forward, they will halt your agenda straight out.

What does that say about your judicial nominees, the tone on Capitol Hill?

And which is more important, judges or your agenda?

BUSH: Both.

I believe that I have an obligation to put forth good, honorable people to serve on the bench and have done so, and I expect them to get an up-or-down vote on the floor of the Senate.

This isn't a new position for me. I've been saying this for the last several years.

And they ought to get a vote. They're getting voted out of committee, but they're not getting a vote on the floor, and I don't think it's fair to the candidates and I don't think it's fair to the administration for this policy to go forward.

BUSH: And so, hopefully, the Senate will be able to conduct business and also give my nominees a vote, an up-or-down vote on the floor of the Senate.

Yes, sir?

QUESTION: Sir, on Social Security, what is the time line that you want to see for action by Congress on a bill? And when do you start to get worried about not getting something done this year?

And also, if I can add, would you be willing to drop personal accounts in order to get a bill?

BUSH: Personal accounts are very important for the individuals.

BUSH: You know, it's interesting, David quoted some kind of poll. There's all kinds of polls. For every poll you quote, I'll quote another one. That's, kind of, the way Washington works is they poll everything.

The one I read the other day said people like the idea of personal accounts.

I think people like the idea of being able to take some of their own money -- in other words, government says, "You can decide," as opposed to "We'll decide for you." You get to decide, that this is in your interest.

And you get to decide whether you want to set some of your own money aside in an account that'll earn a better rate of return than that which will be earned in the Social Security system. That's an important part of making sure the system works for the individual. BUSH: I repeat: Personal accounts do not permanently fix the solution. They make the solution more attractive for the individual worker. And that's important for people to understand, and that's why it's very important for Congress to discuss this issue.

In terms of timetables, as quickly as possible, whatever that means.

No, I am going to -- I mean, one of the things that I think is very important for people to understand is that I believe that we have a duty to work on big problems in Washington, D.C.

So I'm going to continue working on this. And it's a -- I guess -- I'm not going to go away on the issue, because the issue's not going to go away.

BUSH: The longer we wait, the more difficult it is to solve the problem.

And, listen, I fully understand this is a difficult issue. Otherwise, it would have been solved a long time ago.

And I understand some members don't -- you know, view this as a tough vote -- you know, "Why'd you bring it up? It's a tough vote."

And this is not the way I think. I think we have a duty, I truly do.

Now's the time to get this solved.

I remember 1983 -- you know, we got a 75-year solution.

It wasn't a 75-year solution that they came up with, it was -- I liked the spirit of people coming together from both parties to sit down and see if they couldn't solve the immediate problem.

BUSH: But it wasn't a 75-year solution, because we're talking about it now.

And in 2018 the situation starts to get worse because more money is coming into the system -- more money is going out of the system than coming in.

You know, one thing about Social Security -- sorry to blow on here, but now that you asked -- a lot of people in America think there is a trust. Your money goes in, the government holds it, and then the government gives your money back when you retire.

That's just not the way it works. And it's important for the American citizens to understand it's a pay-as-you-go system.

BUSH: And right now, we're paying for a lot of programs other than Social Security with the payroll tax coming in, thereby leaving a pile of IOUs.

And part of why I think a personal account is an attractive option for a younger worker is that there would be real assets in the system at this point in time.

I also will continue reminding people when it comes to personal accounts that the system oftentimes doesn't work for a widow. You know, if a wage earner dies prior to 62, there are no spousal benefits available until 62.

If both spouses work, the spouse that survives will get the higher of his or her Social Security benefits or the death benefits, but not both.

BUSH: In other words, somebody's contribution in the system just goes away. And a personal account will enable somebody to leave behind an asset base to whomever he or she chooses.

And that's an important concept for people to understand.

QUESTION: Mr. President, your administration recently called on the Texas courts to review some death penalty cases down there.

BUSH: Yes.

QUESTION: And during your State of the Union, you talked about the importance of DNA evidence and you talked about the possibility that maybe there were inequities in the system and the lawyers that represent death row inmates.

I'm wondering if this represents a change in your feelings about the death penalty since you were governor of Texas? And if there are the possibilities -- the possibilities exist of problems, why not call for a moratorium?

BUSH: No, I still support the death penalty and I think it's a deterrent to crime. But I want to make sure, obviously, that those subject to the death penalty are truly guilty. And that's why I talked about what I talked about and why I made the decision I made.

I think regardless of your position on the issue, one of the things we've got to make sure is that we use, in this case, technology, DNA technologies, to make sure that we're absolutely certain about the innocence or guilt of a person accused.

QUESTION: Mr. President, are you trying to send a message to the IRA by not inviting Gerry Adams and the Northern Ireland politicians tomorrow?

BUSH: You know, I talked to Bertie Ahern about this at the E.U., and he just asked who was coming to the events. I said, "You are, for certain."

We wanted to make sure that we honored those in civil society in Ireland who are contributing positively to the peace process, and that's what we'll be doing on this particular trip.

It's very important that people understand that the parties must renounce violence. There's a Good Friday Agreement laid out the way forward for peace in Northern Ireland, and this administration and our government strongly supports those steps.

Tomorrow's message will be, you know, we want to thank those in civil society who are working hard to achieve a peaceful resolution.

QUESTION: By inviting the widow -- the sisters, rather -- of this man who was killed...

BUSH: That's part of the statement, a very strong part of the statement.

And I'm looking forward to meeting these very brave souls. They've committed themselves to a peaceful solution, and hopefully their loved one will not have died in vain.

I mean, out of this, hopefully some good will come out of the evil perpetuated on this family.

QUESTION: Mr. President, yesterday you said that Hezbollah could prove it is not a terrorist organization by laying down arms and supporting peace.

How willing and flexible, and under what conditions, are you able to, as you promote democracy in the Middle East, encourage parties like Hezbollah to discontinue the use of terrorism as a tactic?

BUSH: Yes, I think -- let me make sure that you put my answer in full context.

I first said that Hezbollah is on the terrorist list for a reason: because they have killed Americans in the past, and they are a violent organization. And the question was about Lebanon.

And let me take a step back, if I might, on this question, because it's important for the American people to understand our policy.

Our policy is this: We want there to be a thriving democracy in Lebanon. We believe that there will be a thriving democracy, but only if -- but only if Syria withdraws not only her troops completely out of Lebanon, but also her secret service organizations, intelligence organizations -- not secret service, intelligence organizations.

BUSH: I am concerned and the world should be concerned that the intelligence organizations are embedded in a lot of government functions in Lebanon. And there needs to be a complete withdrawal of those services in order for there to be a free election.

And we will -- you know, this government will work with elected leaders of a free -- truly free Lebanon, and looking forward to it.

I like the idea of people running for office. It's a positive effect when you run for office, you know. Maybe someone will run for office and say, "Vote for me, I look forward to blowing up America." I don't know. I don't know if that'll be their platform or not. But it's -- I don't think so. I think people generally run for office say, "Vote for me; I'm looking forward to fixing your potholes or making sure you got bread on the table."

But Hezbollah is on the terrorist list for a reason, and remain on the terrorist list for a reason. Our position's not changed on Hezbollah.

QUESTION: President Bush, a court ruling in California this week has revived debate over same-sex marriage. You support a constitutional amendment to ban such marriages.

QUESTION: But it's not something you talk about nearly as often as Social Security and many other issues.

Will you put some muscle behind that effort this year or is it something you'd prefer not to deal with?

BUSH: No, I haven't changed my position.

And as a matter of fact, the court rulings are verifying why I took the position I took. And that is, I don't believe judges ought to be deciding this issue. I believe this is an issue of particular importance to the American people and should be decided by the people. And I think the best way to do so is through the constitutional process.

I haven't changed my mind at all. As a matter of fact, court rulings such as this strengthen my position, it seems like to me. People now understand why I laid out the position I did.

QUESTION: What are you doing to promote action on that amendment?

BUSH: Well, I -- you know, the courts are going to promote a lot of the action by their very rulings.

BUSH: People will understand that -- the logic behind the decision I make.

And that no matter what your position is on the issue, this is an issue that should be decided by the people, not by judges. And the more the judges start deciding the issue, I'm confident the more the people will want to be involved in the issue.

This is a very important issue for the country and one that, obviously, needs to be conducted with a great deal of sensitivity and concern about other people's feelings. But this is an issue I feel strongly about.

QUESTION: You faced a lot of skepticism in the run-up to the Iraq war and then a lot of criticism for miscalculating some of the challenges of postwar Iraq.

QUESTION: Now that the Iraq elections seem to be triggering signs of democratization throughout the broader Middle East, do you feel any sense of vindication?

BUSH: First of all, I fully understand that as long as I'm the president, I will face criticism. It's, like, part of the job.

Frankly, you wouldn't be doing your job if you didn't occasionally lay out the gentle criticism.

I welcome constructive ideas as to how we might do our job better, so that doesn't bother me. And therefore, since it doesn't bother me and I expect it, I don't then seek vindication.

Look, history -- shall I give you my talk on history and presidencies?

OK, thank you.

What's interesting is George Washington is now getting a second or third or fifth or tenth look in history. I read the Ellis book, which is a really interesting book, and "His Excellency," it's called. McCollough's writing a book on George Washington as well.

BUSH: People are constantly evaluating somebody's standing in history -- a president's standing in history based upon events that took place during the presidency, based upon things that happened after the presidency, based upon like in my case, hopefully, the march of freedom continues way after my presidency.

And so, I just don't worry about vindication or standing.

The other thing that turns out on this job, you have a lot on your plate on a regular basis. You don't have much time to sit around and wander lonely in the Oval Office, kind of, asking different portraits, "How do you think my standing will be?"

(LAUGHTER)

I mean, I've got a lot to do, and I like to make decisions and I make a lot of them.

But, you know, look, I mean, the people who deserve the credit in Iraq are the Iraqi citizens that defied the terrorists.

BUSH: Imagine what it would be like to try to go vote thinking that there could be a suicide bomber standing next to you in line or somebody would lob a shell or a mortar at you.

The courage of the Iraqi citizens was just overwhelming, I thought.

It's easy for us to vote. The question is what it would be like to vote if you were fearful for your life. In parts of the country, people were getting, you know, messages that said, "If you vote, we'll find somebody you love and take care of them."

And yet they defied these terrorists. And it was a powerful moment in the history of freedom.

BUSH: People in the world have got to see what it means for a group of people that've been downtrodden to rise up and say, "I want to be free."

Now, there's a lot of work to be done. And I'm sure there will be some opinions about what takes place during the next nine months when the constitution is written, and whether or not the elections move forward as smoothly as some think they should.

Obviously, there's concern now I read about that -- I'm occasionally reading, I want you to know, in the second term, your stories that is -- that, you know, they haven't formed a government yet. But I take a different look.

First of all, obviously, there will be a government formed. But I think it is interesting to watch the process of people negotiating and worrying about this and worrying about that, and people seeking out positions as to their stands on issues that'll be relevant to the future of Iraq.

BUSH: It's a wholesome process and it's being done in a transparent way. I mean, you've got the press corps all over them, watching every move, which is a positive example for others in the region, and that's important.

It's important for people in that region to see what is possible in a free society.

And I firmly believe that the examples of Iraq and Afghanistan, I believe there will be a Palestinian state, I believe we'll be able to convince Syria to fully withdraw or else she'll be isolated, fully withdraw from Lebanon or else she'll be isolated, I believe those examples will serve as examples for others over time.

And that will lead to more peace, and that's what we want.

QUESTION: Mr. President, you also think it will lead to America's reputation being restored. Earlier this week you brought Karen Hughes back at ambassador rank to address the question of antipathy to America around the world, particularly the Muslim world.

What does that entail?

BUSH: Well, it entails a couple of things.

It entails people understanding why we do things we do.

You know, for example, I think we had the image of wanting to fight Muslims, that the United States stood squarely against a religion as opposed to a society which welcomes all religions, and in fact we're fighting a handful of people relative to the Muslim population that wanted to -- I used to say hijack the religion.

BUSH: People need to understand we're a compassionate nation and we care deeply about suffering, regardless of where people live.

You know, President Clinton and President Bush, 41, did a fine job of helping the world see the great compassion of America when they went on their trips in the areas ravaged by the tsunamis. It is very important for us to have a message that counteracts some of the messages coming out of some of the Arab media, some of it coming out partly because of our strong and unwavering friendship with Israel.

You know, Israel is an easy target for some of the media in the Middle East, and if you're a friend of Israel, you become a target.

BUSH: And since we're not going to abandon our alliance with Israel, you know, there was some churning in the press and there was some unhelpful things being said.

And so part of that is to make sure people understand the truth. And that is, on this particular issue, you bet we're going to stand by Israel.

But we also believe the Palestinians have the capability of self- governance and a truly democratic state that will live side by side with the Israelis in peace.

And so Karen's going to -- one, I want to thank her for coming back from Austin. It's very hard, if you're a Texan, to abandon Austin for anywhere else -- or Texas for anywhere else.

Secondly, I applaud Secretary Rice's decision to include Karen in the process.

BUSH: I thought that was very wise of her to call upon Karen's talents.

And Dina Powell from my office, an Egyptian-American, is also going over, leaving the White House compound to work with Karen because she believes deeply in the American experience and American values and wants to share those values with people around the world.

And, you know, I think when people also see that we do what we say we're going to do -- for example, that we help feed the hungry and that we believe all folks should be free and that women should have an equal say in society -- I think when people see we actually mean that and then when it comes to fruition, it'll help the people around the world better understand our good hearts and good nature.

QUESTION: Mr. President, earlier this year you told us you had wanted your administration to cease and desist on payments to journalists to promote your agenda. You cited the need for ethical concerns and the need for a bright line between the press and the government.

Your administration continues to make the use of video news releases, which are prepackaged news stories sent to television stations, fully aware that some or many of these stations will air them without any disclaimer that they are produced by the government.

The comptroller general of the United States this week said that raises ethical questions. Does it raise ethical questions about the use of government money to produce stories about the government that wind up being aired with no disclosure that they were produced by the government?

BUSH: There is a Justice Department opinion that says these pieces are within the law so long as they're based upon facts, not advocacy.

BUSH: And I expect our agencies to adhere to that ruling, to that Justice Department opinion.

This has been a longstanding practice of the federal government to use these types of videos.

The Agricultural Department, as I understand it, has been using these videos for a long period of time. The Defense Department, other departments have been doing so.

It's important that they be based upon the guidelines set out by the Justice Department.

Now, I also -- I think it would be helpful if local stations then disclosed to their viewers that this was based upon a factual report and they chose to use it.

BUSH: But evidently in some cases that's not the case.

QUESTION: But the administration could guarantee that's happening by including that language in the pre-packaged report?

BUSH: You mean a disclosure, "I'm George W. Bush and I..."

(LAUGHTER)

QUESTION: Well, some way to make sure it couldn't air without the disclosure that you believe is so vital.

BUSH: You know, Ken, I mean, there's a procedure that we're going to follow and the local stations ought to -- since there's a deep concern about that -- ought to tell their viewers what they're watching.

QUESTION: Mr. President, do you think there should be regime change in Iran, and if so, what are you prepared to do to see that happen?

BUSH: Richard, I believe that the Iranian people ought to be allowed to freely discuss opinions, read a free press, have free votes, be able to choose amongst political parties.

BUSH: I believe Iran should adopt democracy. That's what I believe.

QUESTION: Do you believe that nativity scenes and the 10 Commandments should continue to be displayed on federal property or in schools? BUSH: We had a display of the 10 Commandments on the statehouse grounds in Texas and I supported that display.

QUESTION: Mr. President, back to Social Security if I may, you said right at the top today that you urge members of Congress to go out and talk about the problem with their constituents.

But...

BUSH: No, about solutions to the problem.

QUESTION: But also talk about solutions.

BUSH: Yes.

QUESTION: And it's that part that I want to ask about. Aren't you asking them to do something that you really haven't?

BUSH: No, I'm interested in -- first of all, I have laid out, in the State of the Union address -- I haven't looked at all previous State of the Union addresses, but I think I'm the first president ever to say all options are on the table and named a series of options.

BUSH: I think. Now, maybe somebody could go back and find out. If you've got some idle time on your hand you might want to go read previous State of the Union address and see if that's true.

I don't believe a member should go write a bill, but I do believe a member should start discussing ideas with constituencies about how to solve the problem, as opposed to blocking ideas, to say, "Here are some ideas," and come back and present them.

That's what's happening, by the way. There's a lot of members are talking about different concepts. I've called a lot of them into the White House compound. I've listened to them. There's a variety of ideas. And that's positive. I view that as a positive sign that members of Congress, one, take the problem seriously.

I thought it was helpful yesterday when the United States Senate said, you know, that Social Security is a serious problem that requires a permanent solution.

And now it's time for people, when they get back from Easter, having talked to different constituency groups, to come back and sit down and start sharing ideas about how to move the process forward.

And my pledge is that I will not take somebody's idea and use it as a political weapon against them.

BUSH: That's what's changed in this debate.

In other words, the Social Security, they used to call it the third rail of American politics, because when you talked about it, you got singed at the minimum. And it's now time to talk about it in a serious way, to come up with a permanent solution.

QUESTION: Mr. President, you talked earlier about going to...

BUSH: Can't call on Herman and not on Jackson, he's a Texas boy.

QUESTION: Thank you.

You're talking about going to the Security Council if Iran turns down this E.U.-3 deal. Iran says they're not making nuclear weapons.

Are we looking at a potential military confrontation with Iran?

BUSH: No, that we've got a lot of diplomacy, you know.

I mean, there's a lot of diplomacy in this issue. And that's why I was so pleased to be able to participate with our friends France and Great Britain and Germany, to say to the Iranians, "We speak with common voice. And we share suspicions, because of your past behavior.

BUSH: "And the best way to ensure that you do not develop a nuclear weapon is for you to have no enrichment of plutonium -- have no highly enriched uranium program or plutonium program that could lead to a weapon."

That's what we've said.

And we've just started the process. We just had the discussion.

How long ago was I in Europe? Maybe 10 days or so? Two weeks? Yes, two weeks.

I mean, it takes a while for things to happen in the world. I know there's a certain impatience with a never-ending news cycle, you know. But things don't happen necessarily overnight the way some would like them, you know, "Solve this issue and we go to the next issue."

There a certain patience required in order to achieve a diplomatic objective.

BUSH: And our diplomatic objective is to continue working with our friends to make it clear to Iran we speak with a single voice.

Listen, whoever thought about modernizing this room deserves a lot of credit.

(LAUGHTER)

It's like there's very little oxygen in here anymore.

(LAUGHTER)

And so for the sake of a healthy press corps and a healthy president, I'm going to end the press conference.

But I want to thank you for giving me a chance to come by and visit. I wish you all -- genuinely wish you all a happy Easter holiday with you and your family. Thank you.

KAGAN: And with that, President Bush wraps up what looks like was about a 48-minute news conference with the White House press corps. A large, long list of items. He got to Social Security, Iraq, Iran, energy, Paul Wolfowitz being recommended to head the World Bank, steroids, just to name a few, as well as a same-sex marriage issue.

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Aired March 16, 2005 - 10:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
DARYN KAGAN, CNN ANCHOR: We are standing by, as we were mentioning earlier, President Bush will be holding a news conference in about 15 minutes. You're going to see it live.
Right now, let's look at what's happening now in the news.

Let's talk a little bit more about that news conference this hour from President Bush. A senior administration official telling us the president will discuss political developments in the Middle East, as well as domestic issues. We'll go live to the White House before it begins. Right now, scheduled 15 minutes from now.

Just about two hours from now, Scott Peterson will face sentencing for the murders of his wife, Laci, and their unborn son. The jury earlier recommended the death penalty and the judge is expected to reaffirm that. Peterson's attorneys are expected to ask for a new trial today.

The father of a missing 9-year-old girl from Florida says he's confident she will be found safe. Mark Lunsford held a brief news conference this morning in Homosassa, and said that police told him nothing about the man they now call a person of interest. The Citrus County sheriff announced last night they are looking for an individual who is apparently acquainted with Jessica.

Pope John Paul II appeared this morning at the window of his apartment overlooking St. Peter's Square. It was his first appearance -- his first public appearance since Sunday's release from the hospital and surprised, as several thousand pilgrims gathered on the square. The Vatican had earlier said the pontiff would not appear.

Good morning. I'm Daryn Kagan. Rick Sanchez is on assignment today.

We're waiting for the president to speak and we expect that news conference to begin in about 15 minutes. Of course, we will go live there when it begins. Meanwhile, let's check in with Suzanne Malveaux who is at the White House.

Suzanne, give us a preview of the type of topics we expect to hear from the president.

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Already a very busy day here at the White House. You're absolutely right, about 15 minutes or so we're going to expect the president inside of the briefing room to take some questions. First, he's going to make a brief opening statement. He is going to talk about, of course, his Social Security reform plan to create those private accounts. That is going to be the centerpiece.

He is going to say that he's very pleased with the national dialogue; that both the Democrats and Republicans have come up with good ideas. And that this is a system that requires a permanent fix, but this is really an uphill battle for this president. He's been on the road pushing for his particular plan.

But just take a look at the latest ABC/"Washington Post" poll. It simply asks how the president is handling Social Security. And there are 35 percent from this poll say they approve. Fifty-six percent say they disapprove.

Now secondly, the president is also going to be talking about this historic day when it comes to Iraq. The fact that the National Assembly gathered, they selected in principle the leadership of that government. Again, he is going to make the case that this is simply another example of democracy that is on the move in the greater Middle East region.

Now also, of course, that comes on a day that is very important. Polls again showing that the majority of Americans really do not buy the president's vision here, that they do not believe that shedding American blood is actually worth spreading democracy. So that is something else he is really going to have to fight to convince the American people.

And finally, I should let you know as well we've got a lot of news happening already this morning. A senior U.S. official telling us that the president has selected the new president of the World Bank. That will be Deputy Secretary of Defense, Paul Wolfowitz. As you know, a strong proponent of the Iraq War.

Now, I spoke with the outgoing president of the World Bank, Jim Wolfensohn, just moments ago. Asked him really what is going to be the greatest challenge that Wolfowitz is going to be facing? And he said that the philosophy of the World Bank is that poverty and peace are connected. That he is going to have to work with world leaders to convince them that yes, they need to increase aid. That yes, they need to encourage to open markets and free trade, those types of things.

Wolfensohn also saying, of course, that he enjoyed his terms. He served two five-year terms. He said he's ready to move on and wishes Wolfowitz the best.

KAGAN: Suzanne Malveaux at the White House. Suzanne, you're going to go far, right? You're going to hang with us?

MALVEAUX: I'm going to stay right here.

KAGAN: All right. You stay right at your post. We expect the news conference to begin in 10 minutes. We'll be back with you then. Meanwhile, let's get some other news in before the president speaks and check in on our "Security Watch." We are looking ahead at some of the disaster scenarios the Homeland Security Department is considering. Article in "The New York Times" today, it outlines several hypothetical terrorist attacks and what the department is projecting.

Some scenarios they came up with, take a look at this: the possibility that terrorists could release sarin gas into the ventilation systems of three big office buildings. The report says that would kill 6,000 people. A blown up chlorine gas storage tank would kill 17,500 people.

For some insights, CNN security analyst Clark Kent Irvine joins us live now from Washington. He is a former inspector general for the U.S. Department of Homeland Security.

Clark, good morning. Thanks for being here with us.

CLARK KENT ERVIN, CNN SECURITY ANALYST: Good morning, Daryn. Thank you.

KAGAN: Reading through the scenarios in this articles and on the list is like one bad dream movie after another. And yet, I guess they're real scenarios that could happen.

ERVIN: Well, that's right. And the department is to be applauded for doing this. There's a limited amount of money. There's a limited amount of planning time. And so planning and money must be focused on the most likely scenarios, and the ones that would have the greatest impact in terms of loss of life and economic damage.

KAGAN: Yes. And let's even talk about how this list even came to be. The criticism that there's limited resources out there, and that they weren't being put in places they should, that in this type of world, every place is not equal.

ERVIN: That's exactly right. Not all threats are equal. And even if certain threats were to materialize, they wouldn't have the same impact, again, in terms of loss of life or damage. The department has been slow to focus its attention on the likeliest threats. So this is belated. But again, the department is moving in the right direction.

KAGAN: When you look at this list, which also includes possible scenarios that would include a sports arena, theater, these types of venues, perhaps a music concert. Are they not giving ideas to the terrorists? Like hey, why don't you look over here, this is where we're really vulnerable?

ERVIN: Well, my take on it is that the terrorists know what their objectives are. Again, maximizing the loss of life and economic damage. They know what the vulnerabilities are. So it's not as if this report is giving a Roadmap to terrorists.

On the other hand, if in fact the action in this report is taken, it is likely to deter attacks. And if attacks were to occur, it is likely to minimize the impact. So on the whole, this is a good thing.

KAGAN: And we should say this list wasn't intended to be public in the first place?

ERVIN: That's right, exactly.

KAGAN: OK. Clark Kent, thank you. Clark Kent Ervin, thank you so much. We will be with you.

ERVIN: Thanks, Daryn.

KAGAN: The newly chosen secretary of Homeland Security speaking on the direction of the department. Michael Chertoff, describing homeland security as a marathon and not as a sprint.

(BEGIN VIDEO CLIP)

MICHAEL CHERTOFF, HOMELAND SECURITY SECY.: Of course, as with the Cold War, we know that this struggle will not be won for years to come. This is a marathon and not a sprint. Accordingly, we must lay out a vision of homeland security that is sustainable over the long run. A vision that balances durable and comprehensive security with the American way of life and the values that we cherish.

(END VIDEO CLIP)

KAGAN: Chertoff says the ultimate goal for homeland security is to allow people to go about their daily lives.

The latest anthrax scare is being called a false alarm. You might remember from yesterday, it closed three Pentagon mail facilities and it led 900 workers to take antibiotics. A military lab mix-up gets the blame this time. Workers apparently tested a sample of actual anthrax that's kept on hand for comparison, instead of the mailroom sample. Later tests came back negative for anthrax and helped the lab realize the error. Officials say some remaining tests are still not complete.

We encourage you to stay tuned to CNN day and night for the most reliable news about your security.

Right now, we're going to turn to the latest on the Atlanta courthouse shootings. A memorial service for the court reporter who was killed on Friday begins three hours from now. Visitation was held for Juliann Brandau at a suburban Atlanta funeral home last night. A neighbor who has lived next door to Brandau since second grade called her nothing but wonderful, and that she had an awesome aura.

As for the suspect, Brian Nichols, his brother says the courthouse-shooting suspect isn't a monster. CNN's Larry King spoke exclusive with Mark Nichols last night. He says he's devastated but he is standing by his brother.

(BEGIN VIDEO CLIP)

MARK NICHOLS, BRIAN NICHOLS' BROTHER: Look at me. I'm tired. I'm worn out. I haven't slept in three days. I haven't eaten. You know, that's my only brother. You know, and I love him. And I want him to know that we all still love him. We're not turning against him. We're here for him. It's hurting me. It really is. It's hurting me.

(END VIDEO CLIP)

KAGAN: Brian Nichols is four years younger than his brother. But Mark Nichols says he always looked up to Brian as if he were the older one. Mark described Brian as stable, smart and gentle.

Well, Brian Nichols former hostage will get the reward money for turning him in. The state of Georgia giving Ashley Smith a check for $10,000. Other agencies had offered an additional total of $50,000 reward. The "Atlanta Journal Constitution" reports those agencies are making a possible joint presentation to Smith.

New security procedures are in place this morning at the downtown Atlanta courthouse. Plain clothed officers have been put in and moved to courtrooms. More uniformed deputies have also been added to the courthouse. A system has been set up to I.D. high-risk inmates, and they will be escorted by specially trained officers.

The changes come as a federal judge's group urging a full review of judicial security. The Judicial Conference wants U.S. marshalls to focus on security at judge's homes and places way from the courthouse.

When she was held hostage, Ashley Smith read to Brian Nichols from "The Purpose-Driven Life." That is a hugely popular book among Christians. It sold more than 21 million copies. You can see how this best seller has changed people's lives on a special edition of "NEWSNIGHT." Paula Zahn is going to fill in for Aaron. That's tonight at 10:00 p.m. Eastern.

OK. Let's check out the clock. We are five, maybe four and a half minutes from President Bush showing up, holding a news conference. You'll see it live right here on CNN. Good time for to us take a break.

(COMMERCIAL BREAK)

KAGAN: We are standing by. Any minute, we expect the president, President Bush to come out and begin a news conference. You're going to see that live. In the minute we have before that begins, let's talk about other news coming out of the White House today. The president recommending Deputy Secretary of Defense Paul Wolfowitz to be the next leader of the World Bank.

We're getting reaction already to that recommendation. Hear now is House minority leader Nancy Pelosi.

(BEGIN VIDEO CLIP)

REP. NANCY PELOSI (D-CA), MINORITY LEADER: All I can think is that our member on the ranking -- ranking member on the Defense Subcommittee of Appropriations, Mr. Murtha has been calling for Mr. Wolfowitz's removal for along time now. And maybe this is the president's way of removing him from the Defense Department. Otherwise, I can't see a match of credentials with the mission of the World Bank.

(END VIDEO CLIP)

KAGAN: Well, that would not seem like a ringing endorsement for Paul Wolfowitz, but we will be following that. It will be interesting to see if the president brings it up at this news conference. That story breaking separately from the news that the president wanted to hold this news conference; we got that word about an hour ago.

Here's President Bush. Let's listen in.

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Thank you for giving me a chance to come by and say hello.

I'm preparing for my trip out of town for Easter week, and thought I'd share some thoughts with you and answer some questions.

I am looking forward to continuing my dialogue with the people on Social Security. It's important for the American people to understand that I believe the Social Security system has worked well, that Franklin Roosevelt did a positive thing when he created the Social Security system, but that I am deeply concerned about the Social Security system for younger Americans.

BUSH: And I believe we're making progress on convincing the American people of two things: one, nothing will change for seniors -- those who've retired or near retirement; and secondly, that we must work together to make sure the system works for a younger generation of Americans.

That's progress.

I think I told you all earlier that one of my missions in the Social Security debate was to set that issue before the people so that people fully understand why I was addressing it. That was why.

I fully understand some in Washington are saying, "Why would the president bring this up? It's a difficult issue; may cause us to have to make a tough vote."

I'm making that case to the people and will continue to do so, in Florida on Friday and then we'll head out west from Crawford and then back to Crawford for my meetings with Prime Minister Martin and President Fox.

BUSH: I urge the members to go out, when they go home, to talk to their constituents, not only about the problem but about solutions.

I urge members to start talking about how we're going to permanently fix Social Security. Members, I hope, would not talk about a Band-Aid solution; I think it's important for them to talk about a permanent fix -- something that will last forever. I think the voters will appreciate people who come up with constructive suggestions, not statements merely in opposition of some ideas.

And so this is part of what I wanted to share with you, is that I'm actually enjoying myself on these trips.

BUSH: I hope you're enjoying traveling with me.

I like to get out of Washington. I like to discuss big issues. I like to remind people that my job is to confront problems. And I'll continue to talk about Social Security for the next period of time.

Iraq had a meeting today of its transitional national assembly. It's a bright moment in what is a process toward writing of a constitution, the ratification of the constitution and elections. And I congratulate the Iraqis for their assembly. And we've always said this is a process and today was a step in that process. It's a hopeful moment I thought.

I'm looking forward to seeing you down there in Crawford, those of you lucky enough to be able to travel with me.

BUSH: I wish you all a happy Easter.

And I'd be glad to answer some questions.

QUESTION: Mr. President, the U.S.-led coalition in Iraq once had 38 countries contributing troops and now that number has fallen to 24, and yesterday Italy said it was going to start pulling out some forces in September.

How can you keep the coalition from crumbling and is it time to think about a timetable for pulling out some U.S. troops given that the Iraqi parliament was seated today and you're making progress in training some portions?

BUSH: Well, actually I called Silvio Berlusconi on another matter, which may or may not come up during this press conference. Actually, I'll give you a hint. I called him about the World Bank...

(LAUGHTER)

... and discussed my nominee.

BUSH: But he brought up the issue of Italian troops in Iraq. And I said, first of all, he wanted me to know that there was no change in his policy; that, in fact, any withdrawals would be done in consultation with allies and would be done depending upon the ability of Iraqis to defend themselves.

And I said, "Are you sure I can say this to the press corps that will be wanting to know what took place in our conversation?"

He said, "Absolutely." So I think what you're going to find is that countries will be willing -- anxious to get out when Iraqis have got the capacity to defend themselves. And that's the position of the United States: Our troops will come home when Iraq is capable of defending herself.

BUSH: And that's generally what I find to be the case when I've talked to other allies on this issue.

We're making progress. I've talked to General Casey quite frequently, and he keeps us abreast of the progress being made.

One of the things -- one of the issues, in terms of Iraqi troops being able to defend their country, is the ability to stand up chains of command. I think I've shared this with you before, and it's still an issue that they're working on.

There's officer training schools, plus the ability for a command to go from a civilian government to a military chain of command down to the lower ranks of troops.

And there's positive signs that have taken place in the development of the Iraqi security force, and there's still work to be done. Our allies understand that.

But -- I say anxious to come home, everybody -- nobody -- I mean, people want their troops home. But they don't want their troops home if it affects the mission. We've made a lot of progress.

BUSH: It's amazing how much progress has been made, thanks in large part to the courage of the Iraqi people.

And when I talk to people, most understand we need to complete the mission. And completing the mission means making sure the Iraqis can defend themselves.

QUESTION: So you don't think it's crumbling, the coalition?

BUSH: No, quite to the contrary. I think the coalition has been buoyed by the courage of the Iraqi people. I think they have been pleased and heartened by the fact that the Iraqis went to the polls and voted, and they're now putting together a government. And they see progress is being made.

I share that sense of enthusiasm about what's taking place in Iraq.

QUESTION: The Iranians have dismissed the European incentive as insignificant. Should more incentives be offered? How long do they have until you take their case to the Security Council?

BUSH: Well, first of all, I want to thank our European friends for taking the lead on this issue, telling the Iranians that they should permanently abandon any enrichment or reprocessing to make sure that Iran does not develop a nuclear weapon.

Let me review the bidding on this, if I might; just, kind of, the history right quick.

Iran has concealed a nuclear program that became discovered not because of their compliance with the IAEA or NPT, but because a dissident group pointed it out to the world, which raised suspicions about the intentions of the program. You can understand why: It's a nontransparent regime run by a handful of people.

BUSH: So suspicions were raised. And as a result of those suspicions, we came together with friends and allies to seek a guarantee that they wouldn't use any nuclear program to make weapons.

A lot of people understand that if they did have a weapon, it would create incredible instability, it wouldn't be good for world peace.

And so the best way to do that -- and this is where we are in the talks -- was to say to the Iranians that they must permanently abandon enrichment and reprocessing. And the E.U.-3 meant it. And now we're waiting for an Iranian response.

QUESTION: And how do long do you wait? When do you go to the Security Council?

BUSH: The understanding is, we go to the Security Council if they reject the offer. And I hope they don't. I hope they realize the world is clear about making sure that they don't end up with a nuclear weapon.

QUESTION: Mr. President, you say you're making progress in the Social Security debate, yet private accounts is the centerpiece of that plan, something you first campaigned on five years ago and laid before the American people -- remains, according to every measure we have, poll after poll, unpopular with a majority of Americans.

So the question is, do you feel that this is a point in the debate where it's incumbent upon you, and nobody else, to lay out a plan to the American people for how you actually keep Social Security solvent for the long term?

BUSH: First of all, let me -- if I might correct you -- be so bold as to correct you -- I have not laid out a plan yet -- intentionally.

BUSH: I've laid out principles. I've talked about putting all options on the table because I fully understand the administration must work with the Congress to permanently solve Social Security.

And so one aspect of the debate is: Will we be willing to work together to permanently solve the issue?

Personal accounts do not solve the issue. Personal accounts will make sure that individual workers get a better deal with whatever emerges as a Social Security solution.

And the reason why is because a personal account would enable a worker to -- voluntarily, by the way; this is a voluntary program, you can choose to join or choose not to join. The government's not making you do that. It's your option. And you can decide whether or not you want to put some of your own money aside in a conservative mix in stocks and bonds to earn a better rate of return than that which you would earn -- your money would earn inside the Social Security system.

BUSH: And over time, that compounds, grows, and you end up with a nest egg you could call your own.

And so I think it's an interesting idea and one that people ought to discuss to make sure the system works better for an individual worker.

But it's very important for people to understand that the permanent solution will require Congress and the administration working together on a variety of different possibilities.

QUESTION: But, sir, but Democrats made it pretty clear that they're not interested in that; they want you to lay it out. And so, what I'm asking is...

BUSH: I'm sure they do.

First bill on the Hill always is dead on arrival.

I'm interested in coming up with a permanent solution. I'm not interested in playing political games. I'm interested in working with members of both political parties.

QUESTION: Will you say if you're specifically supportive of an income test with the slowing of future benefits? Could that get some kind of bipartisan consensus going?

BUSH: There are some interesting ideas out there. One of the interesting ideas was by this fellow by the -- a Democrat economist named of Pozen. He came to visit the White House. He didn't see me, but came and tossed some interesting ideas out, talking about making sure the system was progressive.

We're open for ideas. And look, I can understand why people say, "Make -- force the president to either negotiate with himself or lay out his own bill."

I want to work with members of both political parties. And I stood up in front of the Congress and said, "Bring your ideas forward." And I'm looking forward to people bringing their ideas forward. It's how the process works. And I'm confident we'll get something done

BUSH: See, the American people want something done. They don't like partisan politics. They don't like people saying, you know, "I'm not going to accept so-and-so's idea because it happens to come from a particular political party." What they want is people coming together to solve this problem.

QUESTION: Mr. President, the price of oil is at record levels: well above the $28 price point that you would prefer. The price of gasoline is projected to go above $2.50 this spring.

How concerned are you that this can start to (OFF-MIKE) the American economy? Is there more you could to do to talk with oil- producing nations to get the price at the well-head down? And is there more you could do, since part of the problem is refining capacity, to encourage oil companies who haven't built a refinery in 20 years to start increasing their capacity domestically?

BUSH: No, I am concerned about the price of energy. I'm concerned about what it means to the average American family when they see the price of gasoline going up. I'm concerned what it means to small businesses.

I'm worried about the price of natural gas, particularly given the sense that -- because a lot of utilities now rely upon natural gas to provide electricity for their consumers. And I have been worried about this since 2001, when I first showed up in Washington, D.C.

I'm concerned about the relationship between the demand for oil -- our growing economy's demand for oil, but more particularly the demand for oil from -- or energy in general -- from countries like China, fast-growing countries that are consuming a lot of raw materials and natural resources.

And it is of concern. And that's why I went to the Congress and asked them to join in a comprehensive energy plan, which they have yet to do.

BUSH: I would hope that when members go back to their districts and hear the complaints of people about the rising price of gasoline, or complaints from small-business owners about the cost of energy, that they will come back and, in the spirit of -- in a proper spirit, get a bill to my desk that encourages conservation and will continue to find alternative sources of energy.

And by the way, the modernization of the electricity grid is an important part of the energy bill.

I, frankly, don't think we need a lot of incentives for energy companies in the energy bill. The incentive is price. That's plenty of incentive for people to go out and find additional resources.

BUSH: I hope Congress passes ANWR. There's a way to get some additional reserves here at home on the books.

In terms of world supply, I think if you look at all the statistics, demand is outracing supply and supplies are getting tight. And that's why you're seeing the price reflected.

And hopefully there'll be more conservation around the world, better conservation around the world, as well as additional supplies of energy.

One thing is for certain: We've got to use our technology to, over time, evolve away from reliance upon oil and gas, and at the same time use our technologies to make sure we can use our plentiful resources, like coal, in an environmentally friendly way.

BUSH: I went to Columbus, Ohio, the other day and I talked to the person responsible for the Future Gen Plant, which is an innovative use of technology for there to be emissions-free coal- burning plants. It'll not only be helpful for the United States, it would be helpful for the world, the developing nations to be able to use this technology.

This is going to be a subject, by the way, of -- was a subject of interest in my trip to Europe. The councils of the E.U., we talked about how we can work together on technological developments to change habits and change supply of the energy mix for the world. And so it'll be a topic at the G-8 as well.

QUESTION: Could I follow up? Everybody else has had a chance...

BUSH: I know. I'm trying to break the habit.

Sorry, it's not you, Roberts. Don't take it personally.

QUESTION: I never do, sir.

BUSH: That's good. Neither do I.

QUESTION: Mr. President, can you explain why you approved of and expanded the practice -- what's called rendition -- of transferring individuals out of U.S. custody to countries where human rights groups and your own State Department say torture is common for people in custody?

BUSH: In the post-9/11 world, the United States must make sure we protect our people and our friends from attack. That was the charge we have been given.

And one way to do so is to arrest people and send them back to their country of origin with the promise that they won't be tortured.

BUSH: That's the promise we receive.

This country does not believe in torture. We do believe in protecting ourselves; we don't believe in torture.

QUESTION: As commander in chief...

(CROSSTALK)

BUSH: You're going to make Roberts feel terrible.

(CROSSTALK)

BUSH: No, no, we shouldn't make...

QUESTION: Doesn't bother me at all.

BUSH: Elizabeth?

QUESTION: As commander in chief, what is it that Uzbekistan can do in interrogating an individual that the United States can't?

BUSH: No. We seek assurances that nobody will be tortured when we render a person back to their home country.

Elizabeth?

BUSH: Paul Wolfowitz, who was a chief architect of one of the most unpopular wars in our history, is your choice to be...

BUSH: That's an interesting start.

(LAUGHTER)

QUESTION: ... is your choice to be the president of the World Bank. What kind of a signal does that send to the rest of the world?

BUSH: First of all, I think people -- I appreciate the world leaders taking my phone calls, as I explained to them why I think Paul will be a strong president of the World Bank.

I've said he was a man of good experience. He helped manage a large organization -- the World Bank's a large organization, the Pentagon's a large organization.

He's been involved in the management of that organization. He's a skilled diplomat. Worked at the State Department in high positions, ambassador to Indonesia, where he did a very good job representing our country.

And Paul is committed to development. He's a compassionate, decent man who will do a fine job in the World Bank.

BUSH: And that's why I called leaders of countries and that's why I put him up.

I was pleased to see that Jim Wolfensohn earlier today made a very strong comment about Paul's candidacy.

Jim Wolfensohn has done a fine job in leading the World Bank. He's represented the World Bank with a lot of class and a lot of dignity, and I think his comments are very important comments, for people to get to know Paul better before the vote is taken.

QUESTION: Tom DeLay, the House majority leader, has been admonished three times by the House Ethics Committee and is currently embroiled in similar controversies involving a lobbyist who happened to be a pretty big fund-raiser for your two campaigns.

QUESTION: Do you have the full confidence in Tom DeLay, his tactics and his leadership over the Republican Party?

BUSH: I have confidence in Tom DeLay's leadership and I have confidence in Tom DeLay.

And we've worked closely with Tom DeLay and the leaders in the House to get a lot done during the last four years, and I'm looking forward to working with him to get a lot done in the next four years.

We've got a big agenda. We've got to get an energy bill out of the House. We've got to get more legal reform out of the House. Got to get a Social Security reform package out of the House.

BUSH: Got to get a budget out of the House. There's a lot going on.

And Speaker Hastert and Leader DeLay and Whip Blunt are close allies and people with whom we are working to get a lot done.

QUESTION: Mr. President, you have spoken out about the need for owners, coaches and players in all sports to stop steroids. But you've also voiced reservations about government getting too involved in that. And, as you know, Congress is issuing subpoenas to Major League Baseball players during spring training.

Do you think that that's an abuse of power?

BUSH: Well, Congress generally has an independent mind of its own.

I spoke out and was pleased to see that baseball responded and they've got a testing policy in place for the first time ever, a firm testing policy in place. It's very important that baseball then follow through and implement the testing, and, obviously, deal with those who get caught cheating in the system.

BUSH: And, you know, the hearings will go forward, I guess. I guess that's the current status. But I'm wise enough not to second- guess the intentions of the United States Congress.

I do appreciate the public concern about the use of steroids in sport, whether it be baseball or anywhere else, because I understand that when a professional athlete uses steroids, it sends terrible signals to youngsters.

We've had some stories in my own state. One of the newspapers there pointed out that they thought there was steroid use in high schools as a result of -- in order to make sure kids, at least in the kids' mind, could be a better athlete.

BUSH: It's a bad signal. It's not right.

And so I appreciate the fact that baseball's addressing it. Listen, I appreciate the fact that the Congress is paying attention to the issue.

This first started, of course, with Senator McCain, who basically said, "Get your house in order," and baseball responded.

And my hope is the system will work.

QUESTION: Mr. President, your judicial nominees continue to run into problems on Capitol Hill. Republicans are discussing the possibility of ending the current Democratic filibuster practice against it.

QUESTION: And Democrats yesterday, led by Minority Leader Harry Reid, went to the steps of the Capitol to say that if that goes forward, they will halt your agenda straight out.

What does that say about your judicial nominees, the tone on Capitol Hill?

And which is more important, judges or your agenda?

BUSH: Both.

I believe that I have an obligation to put forth good, honorable people to serve on the bench and have done so, and I expect them to get an up-or-down vote on the floor of the Senate.

This isn't a new position for me. I've been saying this for the last several years.

And they ought to get a vote. They're getting voted out of committee, but they're not getting a vote on the floor, and I don't think it's fair to the candidates and I don't think it's fair to the administration for this policy to go forward.

BUSH: And so, hopefully, the Senate will be able to conduct business and also give my nominees a vote, an up-or-down vote on the floor of the Senate.

Yes, sir?

QUESTION: Sir, on Social Security, what is the time line that you want to see for action by Congress on a bill? And when do you start to get worried about not getting something done this year?

And also, if I can add, would you be willing to drop personal accounts in order to get a bill?

BUSH: Personal accounts are very important for the individuals.

BUSH: You know, it's interesting, David quoted some kind of poll. There's all kinds of polls. For every poll you quote, I'll quote another one. That's, kind of, the way Washington works is they poll everything.

The one I read the other day said people like the idea of personal accounts.

I think people like the idea of being able to take some of their own money -- in other words, government says, "You can decide," as opposed to "We'll decide for you." You get to decide, that this is in your interest.

And you get to decide whether you want to set some of your own money aside in an account that'll earn a better rate of return than that which will be earned in the Social Security system. That's an important part of making sure the system works for the individual. BUSH: I repeat: Personal accounts do not permanently fix the solution. They make the solution more attractive for the individual worker. And that's important for people to understand, and that's why it's very important for Congress to discuss this issue.

In terms of timetables, as quickly as possible, whatever that means.

No, I am going to -- I mean, one of the things that I think is very important for people to understand is that I believe that we have a duty to work on big problems in Washington, D.C.

So I'm going to continue working on this. And it's a -- I guess -- I'm not going to go away on the issue, because the issue's not going to go away.

BUSH: The longer we wait, the more difficult it is to solve the problem.

And, listen, I fully understand this is a difficult issue. Otherwise, it would have been solved a long time ago.

And I understand some members don't -- you know, view this as a tough vote -- you know, "Why'd you bring it up? It's a tough vote."

And this is not the way I think. I think we have a duty, I truly do.

Now's the time to get this solved.

I remember 1983 -- you know, we got a 75-year solution.

It wasn't a 75-year solution that they came up with, it was -- I liked the spirit of people coming together from both parties to sit down and see if they couldn't solve the immediate problem.

BUSH: But it wasn't a 75-year solution, because we're talking about it now.

And in 2018 the situation starts to get worse because more money is coming into the system -- more money is going out of the system than coming in.

You know, one thing about Social Security -- sorry to blow on here, but now that you asked -- a lot of people in America think there is a trust. Your money goes in, the government holds it, and then the government gives your money back when you retire.

That's just not the way it works. And it's important for the American citizens to understand it's a pay-as-you-go system.

BUSH: And right now, we're paying for a lot of programs other than Social Security with the payroll tax coming in, thereby leaving a pile of IOUs.

And part of why I think a personal account is an attractive option for a younger worker is that there would be real assets in the system at this point in time.

I also will continue reminding people when it comes to personal accounts that the system oftentimes doesn't work for a widow. You know, if a wage earner dies prior to 62, there are no spousal benefits available until 62.

If both spouses work, the spouse that survives will get the higher of his or her Social Security benefits or the death benefits, but not both.

BUSH: In other words, somebody's contribution in the system just goes away. And a personal account will enable somebody to leave behind an asset base to whomever he or she chooses.

And that's an important concept for people to understand.

QUESTION: Mr. President, your administration recently called on the Texas courts to review some death penalty cases down there.

BUSH: Yes.

QUESTION: And during your State of the Union, you talked about the importance of DNA evidence and you talked about the possibility that maybe there were inequities in the system and the lawyers that represent death row inmates.

I'm wondering if this represents a change in your feelings about the death penalty since you were governor of Texas? And if there are the possibilities -- the possibilities exist of problems, why not call for a moratorium?

BUSH: No, I still support the death penalty and I think it's a deterrent to crime. But I want to make sure, obviously, that those subject to the death penalty are truly guilty. And that's why I talked about what I talked about and why I made the decision I made.

I think regardless of your position on the issue, one of the things we've got to make sure is that we use, in this case, technology, DNA technologies, to make sure that we're absolutely certain about the innocence or guilt of a person accused.

QUESTION: Mr. President, are you trying to send a message to the IRA by not inviting Gerry Adams and the Northern Ireland politicians tomorrow?

BUSH: You know, I talked to Bertie Ahern about this at the E.U., and he just asked who was coming to the events. I said, "You are, for certain."

We wanted to make sure that we honored those in civil society in Ireland who are contributing positively to the peace process, and that's what we'll be doing on this particular trip.

It's very important that people understand that the parties must renounce violence. There's a Good Friday Agreement laid out the way forward for peace in Northern Ireland, and this administration and our government strongly supports those steps.

Tomorrow's message will be, you know, we want to thank those in civil society who are working hard to achieve a peaceful resolution.

QUESTION: By inviting the widow -- the sisters, rather -- of this man who was killed...

BUSH: That's part of the statement, a very strong part of the statement.

And I'm looking forward to meeting these very brave souls. They've committed themselves to a peaceful solution, and hopefully their loved one will not have died in vain.

I mean, out of this, hopefully some good will come out of the evil perpetuated on this family.

QUESTION: Mr. President, yesterday you said that Hezbollah could prove it is not a terrorist organization by laying down arms and supporting peace.

How willing and flexible, and under what conditions, are you able to, as you promote democracy in the Middle East, encourage parties like Hezbollah to discontinue the use of terrorism as a tactic?

BUSH: Yes, I think -- let me make sure that you put my answer in full context.

I first said that Hezbollah is on the terrorist list for a reason: because they have killed Americans in the past, and they are a violent organization. And the question was about Lebanon.

And let me take a step back, if I might, on this question, because it's important for the American people to understand our policy.

Our policy is this: We want there to be a thriving democracy in Lebanon. We believe that there will be a thriving democracy, but only if -- but only if Syria withdraws not only her troops completely out of Lebanon, but also her secret service organizations, intelligence organizations -- not secret service, intelligence organizations.

BUSH: I am concerned and the world should be concerned that the intelligence organizations are embedded in a lot of government functions in Lebanon. And there needs to be a complete withdrawal of those services in order for there to be a free election.

And we will -- you know, this government will work with elected leaders of a free -- truly free Lebanon, and looking forward to it.

I like the idea of people running for office. It's a positive effect when you run for office, you know. Maybe someone will run for office and say, "Vote for me, I look forward to blowing up America." I don't know. I don't know if that'll be their platform or not. But it's -- I don't think so. I think people generally run for office say, "Vote for me; I'm looking forward to fixing your potholes or making sure you got bread on the table."

But Hezbollah is on the terrorist list for a reason, and remain on the terrorist list for a reason. Our position's not changed on Hezbollah.

QUESTION: President Bush, a court ruling in California this week has revived debate over same-sex marriage. You support a constitutional amendment to ban such marriages.

QUESTION: But it's not something you talk about nearly as often as Social Security and many other issues.

Will you put some muscle behind that effort this year or is it something you'd prefer not to deal with?

BUSH: No, I haven't changed my position.

And as a matter of fact, the court rulings are verifying why I took the position I took. And that is, I don't believe judges ought to be deciding this issue. I believe this is an issue of particular importance to the American people and should be decided by the people. And I think the best way to do so is through the constitutional process.

I haven't changed my mind at all. As a matter of fact, court rulings such as this strengthen my position, it seems like to me. People now understand why I laid out the position I did.

QUESTION: What are you doing to promote action on that amendment?

BUSH: Well, I -- you know, the courts are going to promote a lot of the action by their very rulings.

BUSH: People will understand that -- the logic behind the decision I make.

And that no matter what your position is on the issue, this is an issue that should be decided by the people, not by judges. And the more the judges start deciding the issue, I'm confident the more the people will want to be involved in the issue.

This is a very important issue for the country and one that, obviously, needs to be conducted with a great deal of sensitivity and concern about other people's feelings. But this is an issue I feel strongly about.

QUESTION: You faced a lot of skepticism in the run-up to the Iraq war and then a lot of criticism for miscalculating some of the challenges of postwar Iraq.

QUESTION: Now that the Iraq elections seem to be triggering signs of democratization throughout the broader Middle East, do you feel any sense of vindication?

BUSH: First of all, I fully understand that as long as I'm the president, I will face criticism. It's, like, part of the job.

Frankly, you wouldn't be doing your job if you didn't occasionally lay out the gentle criticism.

I welcome constructive ideas as to how we might do our job better, so that doesn't bother me. And therefore, since it doesn't bother me and I expect it, I don't then seek vindication.

Look, history -- shall I give you my talk on history and presidencies?

OK, thank you.

What's interesting is George Washington is now getting a second or third or fifth or tenth look in history. I read the Ellis book, which is a really interesting book, and "His Excellency," it's called. McCollough's writing a book on George Washington as well.

BUSH: People are constantly evaluating somebody's standing in history -- a president's standing in history based upon events that took place during the presidency, based upon things that happened after the presidency, based upon like in my case, hopefully, the march of freedom continues way after my presidency.

And so, I just don't worry about vindication or standing.

The other thing that turns out on this job, you have a lot on your plate on a regular basis. You don't have much time to sit around and wander lonely in the Oval Office, kind of, asking different portraits, "How do you think my standing will be?"

(LAUGHTER)

I mean, I've got a lot to do, and I like to make decisions and I make a lot of them.

But, you know, look, I mean, the people who deserve the credit in Iraq are the Iraqi citizens that defied the terrorists.

BUSH: Imagine what it would be like to try to go vote thinking that there could be a suicide bomber standing next to you in line or somebody would lob a shell or a mortar at you.

The courage of the Iraqi citizens was just overwhelming, I thought.

It's easy for us to vote. The question is what it would be like to vote if you were fearful for your life. In parts of the country, people were getting, you know, messages that said, "If you vote, we'll find somebody you love and take care of them."

And yet they defied these terrorists. And it was a powerful moment in the history of freedom.

BUSH: People in the world have got to see what it means for a group of people that've been downtrodden to rise up and say, "I want to be free."

Now, there's a lot of work to be done. And I'm sure there will be some opinions about what takes place during the next nine months when the constitution is written, and whether or not the elections move forward as smoothly as some think they should.

Obviously, there's concern now I read about that -- I'm occasionally reading, I want you to know, in the second term, your stories that is -- that, you know, they haven't formed a government yet. But I take a different look.

First of all, obviously, there will be a government formed. But I think it is interesting to watch the process of people negotiating and worrying about this and worrying about that, and people seeking out positions as to their stands on issues that'll be relevant to the future of Iraq.

BUSH: It's a wholesome process and it's being done in a transparent way. I mean, you've got the press corps all over them, watching every move, which is a positive example for others in the region, and that's important.

It's important for people in that region to see what is possible in a free society.

And I firmly believe that the examples of Iraq and Afghanistan, I believe there will be a Palestinian state, I believe we'll be able to convince Syria to fully withdraw or else she'll be isolated, fully withdraw from Lebanon or else she'll be isolated, I believe those examples will serve as examples for others over time.

And that will lead to more peace, and that's what we want.

QUESTION: Mr. President, you also think it will lead to America's reputation being restored. Earlier this week you brought Karen Hughes back at ambassador rank to address the question of antipathy to America around the world, particularly the Muslim world.

What does that entail?

BUSH: Well, it entails a couple of things.

It entails people understanding why we do things we do.

You know, for example, I think we had the image of wanting to fight Muslims, that the United States stood squarely against a religion as opposed to a society which welcomes all religions, and in fact we're fighting a handful of people relative to the Muslim population that wanted to -- I used to say hijack the religion.

BUSH: People need to understand we're a compassionate nation and we care deeply about suffering, regardless of where people live.

You know, President Clinton and President Bush, 41, did a fine job of helping the world see the great compassion of America when they went on their trips in the areas ravaged by the tsunamis. It is very important for us to have a message that counteracts some of the messages coming out of some of the Arab media, some of it coming out partly because of our strong and unwavering friendship with Israel.

You know, Israel is an easy target for some of the media in the Middle East, and if you're a friend of Israel, you become a target.

BUSH: And since we're not going to abandon our alliance with Israel, you know, there was some churning in the press and there was some unhelpful things being said.

And so part of that is to make sure people understand the truth. And that is, on this particular issue, you bet we're going to stand by Israel.

But we also believe the Palestinians have the capability of self- governance and a truly democratic state that will live side by side with the Israelis in peace.

And so Karen's going to -- one, I want to thank her for coming back from Austin. It's very hard, if you're a Texan, to abandon Austin for anywhere else -- or Texas for anywhere else.

Secondly, I applaud Secretary Rice's decision to include Karen in the process.

BUSH: I thought that was very wise of her to call upon Karen's talents.

And Dina Powell from my office, an Egyptian-American, is also going over, leaving the White House compound to work with Karen because she believes deeply in the American experience and American values and wants to share those values with people around the world.

And, you know, I think when people also see that we do what we say we're going to do -- for example, that we help feed the hungry and that we believe all folks should be free and that women should have an equal say in society -- I think when people see we actually mean that and then when it comes to fruition, it'll help the people around the world better understand our good hearts and good nature.

QUESTION: Mr. President, earlier this year you told us you had wanted your administration to cease and desist on payments to journalists to promote your agenda. You cited the need for ethical concerns and the need for a bright line between the press and the government.

Your administration continues to make the use of video news releases, which are prepackaged news stories sent to television stations, fully aware that some or many of these stations will air them without any disclaimer that they are produced by the government.

The comptroller general of the United States this week said that raises ethical questions. Does it raise ethical questions about the use of government money to produce stories about the government that wind up being aired with no disclosure that they were produced by the government?

BUSH: There is a Justice Department opinion that says these pieces are within the law so long as they're based upon facts, not advocacy.

BUSH: And I expect our agencies to adhere to that ruling, to that Justice Department opinion.

This has been a longstanding practice of the federal government to use these types of videos.

The Agricultural Department, as I understand it, has been using these videos for a long period of time. The Defense Department, other departments have been doing so.

It's important that they be based upon the guidelines set out by the Justice Department.

Now, I also -- I think it would be helpful if local stations then disclosed to their viewers that this was based upon a factual report and they chose to use it.

BUSH: But evidently in some cases that's not the case.

QUESTION: But the administration could guarantee that's happening by including that language in the pre-packaged report?

BUSH: You mean a disclosure, "I'm George W. Bush and I..."

(LAUGHTER)

QUESTION: Well, some way to make sure it couldn't air without the disclosure that you believe is so vital.

BUSH: You know, Ken, I mean, there's a procedure that we're going to follow and the local stations ought to -- since there's a deep concern about that -- ought to tell their viewers what they're watching.

QUESTION: Mr. President, do you think there should be regime change in Iran, and if so, what are you prepared to do to see that happen?

BUSH: Richard, I believe that the Iranian people ought to be allowed to freely discuss opinions, read a free press, have free votes, be able to choose amongst political parties.

BUSH: I believe Iran should adopt democracy. That's what I believe.

QUESTION: Do you believe that nativity scenes and the 10 Commandments should continue to be displayed on federal property or in schools? BUSH: We had a display of the 10 Commandments on the statehouse grounds in Texas and I supported that display.

QUESTION: Mr. President, back to Social Security if I may, you said right at the top today that you urge members of Congress to go out and talk about the problem with their constituents.

But...

BUSH: No, about solutions to the problem.

QUESTION: But also talk about solutions.

BUSH: Yes.

QUESTION: And it's that part that I want to ask about. Aren't you asking them to do something that you really haven't?

BUSH: No, I'm interested in -- first of all, I have laid out, in the State of the Union address -- I haven't looked at all previous State of the Union addresses, but I think I'm the first president ever to say all options are on the table and named a series of options.

BUSH: I think. Now, maybe somebody could go back and find out. If you've got some idle time on your hand you might want to go read previous State of the Union address and see if that's true.

I don't believe a member should go write a bill, but I do believe a member should start discussing ideas with constituencies about how to solve the problem, as opposed to blocking ideas, to say, "Here are some ideas," and come back and present them.

That's what's happening, by the way. There's a lot of members are talking about different concepts. I've called a lot of them into the White House compound. I've listened to them. There's a variety of ideas. And that's positive. I view that as a positive sign that members of Congress, one, take the problem seriously.

I thought it was helpful yesterday when the United States Senate said, you know, that Social Security is a serious problem that requires a permanent solution.

And now it's time for people, when they get back from Easter, having talked to different constituency groups, to come back and sit down and start sharing ideas about how to move the process forward.

And my pledge is that I will not take somebody's idea and use it as a political weapon against them.

BUSH: That's what's changed in this debate.

In other words, the Social Security, they used to call it the third rail of American politics, because when you talked about it, you got singed at the minimum. And it's now time to talk about it in a serious way, to come up with a permanent solution.

QUESTION: Mr. President, you talked earlier about going to...

BUSH: Can't call on Herman and not on Jackson, he's a Texas boy.

QUESTION: Thank you.

You're talking about going to the Security Council if Iran turns down this E.U.-3 deal. Iran says they're not making nuclear weapons.

Are we looking at a potential military confrontation with Iran?

BUSH: No, that we've got a lot of diplomacy, you know.

I mean, there's a lot of diplomacy in this issue. And that's why I was so pleased to be able to participate with our friends France and Great Britain and Germany, to say to the Iranians, "We speak with common voice. And we share suspicions, because of your past behavior.

BUSH: "And the best way to ensure that you do not develop a nuclear weapon is for you to have no enrichment of plutonium -- have no highly enriched uranium program or plutonium program that could lead to a weapon."

That's what we've said.

And we've just started the process. We just had the discussion.

How long ago was I in Europe? Maybe 10 days or so? Two weeks? Yes, two weeks.

I mean, it takes a while for things to happen in the world. I know there's a certain impatience with a never-ending news cycle, you know. But things don't happen necessarily overnight the way some would like them, you know, "Solve this issue and we go to the next issue."

There a certain patience required in order to achieve a diplomatic objective.

BUSH: And our diplomatic objective is to continue working with our friends to make it clear to Iran we speak with a single voice.

Listen, whoever thought about modernizing this room deserves a lot of credit.

(LAUGHTER)

It's like there's very little oxygen in here anymore.

(LAUGHTER)

And so for the sake of a healthy press corps and a healthy president, I'm going to end the press conference.

But I want to thank you for giving me a chance to come by and visit. I wish you all -- genuinely wish you all a happy Easter holiday with you and your family. Thank you.

KAGAN: And with that, President Bush wraps up what looks like was about a 48-minute news conference with the White House press corps. A large, long list of items. He got to Social Security, Iraq, Iran, energy, Paul Wolfowitz being recommended to head the World Bank, steroids, just to name a few, as well as a same-sex marriage issue.

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