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CNN Saturday Morning News

Reporters' Notebook

Aired May 05, 2001 - 09:33   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.
MILES O'BRIEN, CNN ANCHOR: We begin this half hour by taking your e-mail questions and telephone calls on President Bush's budget and other matters political, including the indictment of Congressman Traficant.

Fielding your questions today, CNN White House correspondent Kelly Wallace and CNN national correspondent Bob Franken, seen there on the screen, although they are hundreds of miles apart. But we have the technology to make them look like they're standing side by side.

How you guys doing today?

BOB FRANKEN, CNN CORRESPONDENT: Which -- well, which sometimes works, even.

O'BRIEN: Sometimes it works, sometimes it doesn't. Which brings us to the phone calls. Let's get right to it. Our all-star hall of fame caller Joe McCutcheon from Ellijay, Georgia, is on the line. Go ahead, Joe.

CALLER: Miles, thank you very much. Bob, the budget has continued to grow. President Bush had proposed an increase of $100 billion to $1.9 trillion. My question is, why does the government continue to grow, grow, grow, Bob, while the private sector is laying off thousands and thousands of people?

FRANKEN: Well, that's the question, of course, that many of the politicians are going to ask. Of course, the Democrats would say that it is growing at an inadequate pace. And I think that Kelly at the White House probably has a deeper insight into that, given all the arguments that swirl around the White House.

KELLY WALLACE, CNN CORRESPONDENT: Well, that's exactly right, Bob. You know, the Democrats wanted more of an increase in government spending. The president, not to bog you down with numbers here, Joe, but the president was pushing for a 4 percent increase in overall government spending. He said that would be enough, that it's time to bring some fiscal discipline to the government.

The Democrats, and even some Republicans, though, were pushing for more money for programs such as education, prescription drugs. So in the end, the Republicans in the House and Senate, along with some moderate Democrats, and the White House agreed to a 4.9 percent increase in overall government spending. You do note, though, that there are layoffs going on, of course, around the country while there is an increase in government spending. As you know, Joe, when there is money here in Washington, lawmakers want to spend it.

O'BRIEN: There are certain axioms which never change.

All right, I noticed how Bob did a very excellent lateral pass of that hot football to you, Kelly. Well done, on both ends.

WALLACE: That's good; good move, Bob.

O'BRIEN: All right, Jeremy Gillitzer has this e-mail question for us, "Aside from what the courts may decide regarding the charges against James Traficant, what can the House do to punish him?" Mr. Franken?

FRANKEN: Well, as a matter of fact, there are charges which, if true, would be a violation of House rules, the main one being receiving for expenses money from people with whom you have a business relationship. However, the House Ethics Committee traditionally will defer to the legal system. So at the moment, it's entirely probable that there will not be any conclusive action taken by the House Ethics Committee, they'll await the courts.

O'BRIEN: All right. Let's go back to the e-mail, shall we? This one looks like it's for Kelly. Richard Benton in Gulfport, Mississippi, has this, "Are the Republicans going to get away with easing the rules for judicial confirmations now that Clinton is out of office? How do they present this change as being fair?" I think we can read between the lines and understand Mr. Benton's political affiliation. But nevertheless, let's talk about judicial confirmations, Kelly.

WALLACE: Absolutely. And the writer touching on a very key issue, because President Bush is expected to announce some of his judicial nominations this week. This will be his -- the first nominations to the federal bench since taking office. And Democrats are already very angry. They are, of course, very angry with how the Republicans handled judicial nominations when it came to the former president, President Clinton.

But they're also angry the Republicans in the Senate appear to be trying to remove what used to be a possibility of having one of the senators in a home state be able to sort of vote against a nomination. They're trying to remove that power. And Democrats are not happy at all about it. They are threatening to delay matters and delay any action on these nominations.

So expect to see this debate intensify. Mr. Bush expected to announce his nominations later in the week.

O'BRIEN: OK, yet another axiom.

FRANKEN: And Miles, may I supplement?

O'BRIEN: Yes, of course, of course. Dive on in.

FRANKEN: I was just going to say -- I just wanted to supplement what Kelly is saying, and I know she'll agree with this, that most believe that the biggest legacy that a president can leave is his court system, the one that, the philosophy that the courts are after his presidency is probably as important to a legacy as any matter whatsoever.

So this is the very highest of stakes.

O'BRIEN: All right. Let's get back to the Traficant matter, shall we, as long as we're back with Mr. Franken. A couple of questions...

FRANKEN: Speaking of courts.

O'BRIEN: ... this one comes from Gil Heinlein first. "What are the chances of the congressman from Youngstown, Ohio, officially changing his political affiliation to Republican?" And a related question from Ryan Pauluk, "Do you think that the GOP would willingly accept Traficant into their party?" And give folks a little bit of background for those that are not fully schooled in Mr. Traficant's record, as to why this is in play, Bob.

FRANKEN: Well, Jim Traficant supported Dennis Hastert to be speaker of the House. Hastert, of course, a Republican, said he would vote for him. Of course, the House is very tight in its majority. So what the Democrats have done, they've taken away the committee assignments they would normally give him.

What is the chance of his switching to the Republican Party? I don't think it's very good, for this reason. One, right now the party would probably be a little bit reluctant to welcome him. Number two, at this particular moment, he probably is going to want all the support he can get here. Youngstown, Ohio, is a very Democratic city. He did win his last election. He is very popular for a variety of interesting reasons, quite the populist.

But at the moment, I think that he doesn't need another complication in his life.

O'BRIEN: All right. Let's go to -- we have time for one more phone call. Bob is on the line from Virginia. Good morning, Bob.

CALLER: Good morning, Miles, Kyra, Kelly, and Bob. I have a couple of questions for you. On this tax cut, Kelly, how does the tax cut -- and Bob, you too -- how does the tax cut benefit everyone instead of -- I'm hearing all these attack ads about the 1 percent wealthiest Americans? And also, why -- is this the Republicans' way of paying back the Democrats for the judicial holdup that they did a couple of years ago, i.e., Ronnie White, and the one that's being nominated for the Fourth Circuit Court of Appeals?

WALLACE: Well, let me take first your tax cut question. As you know, the Republicans in the White House and again some moderate Democrats have agreed to about a $1.35 trillion tax cut over 11 years. That's smaller than the president wanted. But we still, Bob, don't know exactly what that tax cut will look like. Will it be across the board? How much of it will be a reduction in the so-called marriage penalty? How much will there be a decrease in the inheritance tax?

So we really don't know those answers until the lawmakers start going through and actually crafting the tax cut.

As you know, Democrats have definitely criticized the president's plan, saying that in real dollars, the wealthy benefit the most. The White House would say that by a percentage basis, the largest tax cut would go to the middle and lower income people.

Back to you.

FRANKEN: But the reaction from Republicans...

O'BRIEN: Bob, Youngstown end, go ahead.

FRANKEN: OK. The reaction from Republicans is, yes, of course, the top bracket does get the biggest break, but it is the top bracket, the wealthiest taxpayers, who pay the bulk of the taxes. So their argument is that it's really an unfair criticism to say that they get the biggest break, because they're the ones who are carrying the heaviest load.

O'BRIEN: All right, Mr. Franken, Ms. Wallace, thank you very much for putting yourself in the line of fire on our behalf and answering some of our excellent questions. We appreciate also, folks, you responding to my desperate plea for e-mails. You came through for us, we appreciate it. We always appreciate your input on this program.

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