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CNN SATURDAY MORNING NEWS

Iraqi Kurds Head to the Polls; Interview With Gen. David Petraeus; Obama Invites Professor, Officer to White House

Aired July 25, 2009 - 06:00   ET

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


T.J. HOLMES, CNN ANCHOR: All right. From the CNN Center, this is CNN SATURDAY MORNING for July 25. Good morning to you all. I am T.J. Holmes.

BROOKE BALDWIN, CNN ANCHOR: And good morning. Happy Saturday. I'm Brooke Baldwin, sitting in for Betty Nguyen.

HOLMES: And welcome back.

BALDWIN: Hey, thanks.

HOLMES: Good to see you.

BALDWIN: Thanks for having me back.

It is bright and early, 6:00 a.m. here in Atlanta, 3:00 a.m. on the West Coast. And we thank you for starting your weekend with us.

First, let's talk about an issue affecting your wallet and your wellness. President Obama trying extremely hard now to push his plan to overhaul the nation's health-care system. Many Republicans though, they're saying, 'Wait a minute, not so fast.'

Now, the president returning his focus to this challenging fight in this morning's radio address. We'll bring that to you.

HOLMES: All right.

You say turning his attention back to, because his attention was somewhere else for awhile. As you know, a couple of days, the Harvard professor, a friend of the president's, who was arrested by that white police officer. Really sparked conversation about racially profiling in this country.

Well, the president tried to back it down a little bit yesterday. Came out and made some comments. We'll be talking about that later.

But also, I sat down with an interview with Gates' attorney, who is Charles Ogletree. And he was trying to back things down a little bit yesterday when I talked to him as well.

Take a listen.

(BEGIN VIDEO CLIP)

CHARLES OGLETREE, ATTORNEY FOR HENRY LOUIS GATES: He's feeling this sense of indignity that people feel every day. And it has nothing to do with race; there are people who feel powerless when they've done everything they can legally do to protect themselves.

(END VIDEO CLIP)

HOLMES: Nothing to do with race. You heard him right there. So where -- when did this become about race? The full interview coming up here in just a bit.

But first, we do have some new stories we want to tell you about that happened overnight.

Up first here, the office that's investigating Michael Jackson's death now possibly being investigated itself. The coroner's office we're talking about here, may have illegally leaked some information, and now that's being looked into.

BALDWIN: Interesting. According to the coroner's office, at least six employees who were not assigned here, not assigned to the case, accessed his death certificate, which of course is a violation of department policy, department rules. And in the days following his death, several tabloids published vivid details about the condition of Michael Jackson's body. We'll talk about that.

Also, it is moving time for Alaska Governor Sarah Palin. Tomorrow her official last day in office. I guess that's a moving truck.

Palin's departure coming amid a flurry of ethics complaints, many of which have since been dismissed. Palin says she is the target of what she's calling a "personal destruction campaign," and the cost of fighting false accusations just part of the reasons why she says she is resigning.

HOLMES: Also, voting is under way right now in presidential and parliamentary elections in the Kurdish region. This is the autonomous region of Kurdistan, which is north of Iraq. There are the two dominant coalitions being challenged by a smaller coalition there. They're trying to break the status quo by campaigning against corruption and also widespread reforms.

Final results are not expected for the next few days.

Let's go to our Arwa Damon, who's keeping an eye on what's happening in the Kurdish north.

Arwa, hello to you. And tell our viewers why this matters.

ARWA DAMON, CNN INTERNATIONAL CORRESPONDENT: Good morning, T.J.

Well, these elections are significant for a number of reasons. First and foremost, because they will cement democracy in the region. That is what some analysts are saying.

But also because of the recent increase in tensions that we've been seeing between Iraq's Kurdish population and its Arab population. The Kurdish region that you are talking to, that is governed by the Kurdistan regional government, borders central Iraq. And along that borderline is something of a trigger line as well, potential for conflict there, because there are a number of disputed territories. And some of those territories are oil rich.

In the run-up to these elections, we have been hearing some very inflammatory rhetoric from Kurdish leaders about how they are not willing to compromise on any front whatsoever. That has raised some concerns, grave concerns, amongst the international community, the United Nations and the U.S. military that wants to ensure that it is leaving behind a stable Iraq.

What we are hearing today though, from all sides, is that these elections will help pave a way for the future of the relationship between the government up in the northern part of the country and the government in Baghdad -- T.J.

HOLMES: (AUDIO GAP) ... visitor, if you will, in town there, in -- in Iraq, Petraeus, showed up.

DAMON: That's right, he did.

In fact, we had the opportunity to sit down with him exclusively yesterday to speak about not just the conflict here, but about the global war on terror.

(BEGIN VIDEOTAPE)

DAMON (voice-over): Even though the U.S. is reducing its combat role in Iraq, the American general in charge of both Iraq and Afghanistan told us, in an exclusive interview, that Iraq is still the center of the fight against international terrorism.

GEN. DAVID PETRAEUS, U.S. CENTCOM COMMANDER: You have the al- Qaida connections, of course, with the senior leadership in the federally administered tribal areas of western Pakistan, extend into the Afghanistan, threaten Pakistan and then very much threaten the rest of the world. There are links from there to al-Qaida in the Arabian peninsula, which has re-established itself in south Yemen.

And then certainly, Iraq is in the center of all of this. It's very, very important geo-strategically.

DAMON: That is mainly because of its location, but also because control of Iraq's natural resources. Oil and gas is so strategically important.

The general, who served nearly four years as a commander in Iraq, was one of the main orchestrators of America's surge strategy there. He says there are Iraq lessons that apply to Afghanistan.

PETRAEUS: Some of the lessons are very obvious. Again, you shouldn't start clearing until you have your plan to hold and build.

It wasn't just the surge; it wasn't just 30,000 more forces here. It was the employment of those forces in a manner that focused on security of the people, and did it by living with the people. And then also sought to help the process of reconciliation. Because you cannot kill or capture your way out of this kind of endeavor.

DAMON: And that realization is why America implemented another strategy in Iraq it wants to carry over: reaching out to its enemies. In Afghanistan's case, the Taliban.

PETRAEUS: There is -- there has always been activity at local levels, which one would characterize as reaching out to elements that were willing to be part of the solution instead of a continuing part of the problem.

DAMON: Those efforts though not yet on the scale of what they were in Iraq. There is the realization that when it comes to combating global terror, brute force is not the solution.

PETRAEUS: Well, you -- this is not the kind of struggle where you kill or capture the bad guys, take the hill, plant the flag and go home to a victory parade.

At the end of the day, it is about education. It is about, in a -- in a sense, accepting modernity; pragmatic, progressive leadership of countries. And that's the ultimate solution. And that's why, again, I mentioned that this takes a whole-of-government approach. Again, you -- you just can't kill or capture everybody; you have to kill or capture the condition.

(END VIDEOTAPE)

DAMON: And trying to kill or capture those conditions is going to be a global challenge -- T.J.

HOLMES: Arwa Damon for us this morning, thank you so much, Arwa. We'll see you again soon.

BALDWIN: All right. So back to what's been happening in Washington. Yes, we've been hearing a lot about health care. But we're also hearing President Obama -- he came out yesterday saying it's his -- it was a cameo appearance, talking about the arrests in Cambridge of Professor Gates.

But the question now is, really, should the president have commented on the issue? Some people say no, it was more of a local issue. And this controversy surrounding the arrest of this prominent Harvard professor, Henry Gates, has now escalated all the way to 1600 Pennsylvania Avenue.

HOLMES: Yes, he was a special guest at his own daily briefing yesterday.

BALDWIN: Yes.

HOLMES: Our White House correspondent Dan Lothian now tells us that after reviewing the situation, the president himself now trying to calm it down.

(BEGIN VIDEOTAPE) DAN LOTHIAN, CNN WHITE HOUSE CORRESPONDENT (voice over): It wasn't quite an apology, but President Obama tried to put out a wildfire that was burning out of control, placing a five-minute phone call to Sergeant James Crowley.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: I obviously helped to contribute ratcheting it up. I want to make clear that in my choice of words, I think I unfortunately gave an impression that I was maligning the Cambridge Police Department or Sergeant Crowley, specifically. And I could have calibrated those words differently.

LOTHIAN: Words the president uttered at his Wednesday prime-time press conference.

OBAMA: The Cambridge police acted stupidly in arresting somebody when there was already proof that they were in their own home.

LOTHIAN: In his first sit-down television interview, Crowley said he never wanted to take such drastic action.

SGT. JAMES CROWLEY, CAMBRIDGE POLICE DEPARTMENT: I was continuously telling him to calm down during this whole exchange, because I really didn't want this either. Nonetheless, that's how far Professor Gates pushed it, and provoked, and just wouldn't stop.

LOTHIAN: The president now concedes that his good friend Henry Louis Gates Jr. also played a role in how all this played out.

OBAMA: There was an overreaction in pulling Professor Gates out of his home to the station. I also continue to believe, based on what I heard, that Professor Gates probably overreacted as well.

LOTHIAN: This came just hours after a group of police officers in Massachusetts made it clear what they wanted to hear from President Obama.

STEVE KILLIAN, CAMBRIDGE POLICE PATROL OFFICERS ASSN.: I think when the time is right, they should make an apology to us. I think the president should make an apology to all law-enforcement personnel throughout the entire country who took offense to this.

LOTHIAN: The president admitted that this controversy was taking attention away from his top domestic priority: health-care reform.

Beyond smoothing this over with the arresting officer, Mr. Obama said he hopes this becomes a teachable moment.

OBAMA: Where all of us, instead of pumping up the volume, spend a little more time listening to each other, and try to focus on how we can generally improve relations between police officers and minority communities.

LOTHIAN (on camera): The White House says that President Obama called Professor Gates, had a positive discussion and invited here to meet with Sergeant Crowley in the near future. The president and Crowley had earlier talked about all three of them getting together here at the White House for a beer.

Dan Lothian, CNN, the White House.

(END VIDEOTAPE)

BALDWIN: All right. So what is Dr. Gates saying? Here is an e- mail that our own Don Lemon received after the president's remarks.

Here it is: "Yes, I was very pleased that the president called me today, and I was pleased that he proposed that I meet with Sergeant Crowley at the White House, since I had offered to meet with him since last Monday. I am eager for this to be used as a teaching moment to improve racial relations in America. This is certainly not about me."

HOLMES: Yesterday, his attorney actually said the two have not spoken, or had not spoken, Crowley and Gates, but that they wanted it to happen. So maybe it is on the way to happening now.

You can by all means comment on this story. A lot of you have already commented on our Facebook and Twitter pages and our blogs, all over the place. Continue to do so this morning; we're going to be reading some of those comments, and we do have a lot; a lot of people really just ready to move on right now.

Including, like I said, Gates; attorney, James Ogletree, who I sat down with yesterday, talked about this situation. Going to talk about -- really, he tried to back things down a bit. You see him there, James Ogletree. Really wanted to take a step back yesterday as well. But again, saying that this could lead to something -- this could be a good thing that could help relationships -- help police in dealing with citizens, but also citizens dealing with police.

BALDWIN: And the president also referring to it as a teaching moment as well.

HOLMES: Yes.

BALDWIN: Teachable moment. So we'll see.

Maybe we'll be schooled in the weather department as well. Mr. Wolf tracing some -- what? -- severe weather in part of the country.

(CROSSTALK)

BALDWIN: Mr. Wolf.

REYNOLDS WOLF, CNN METEOROLOGIST: Yes, I -- I kind of like that.

BALDWIN: You like that?

WOLF: Yes, I do, actually.

HOLMES: Don't get used to it.

WOLF: Yes. Yes, exactly. Probably not (INAUDIBLE) to get used to. (WEATHER REPORT)

(COMMERCIAL BREAK)

(MUSIC, NSYNC, "JUST GOT PAID")

BALDWIN: Yes, breaking out the NSYNC. T.J...

HOLMES: Yes.

BALDWIN: ...a huge fan.

HOLMES: Had to dig deep into my collection to find that one.

(LAUGHTER)

WOLF: Some of your favorites. Some on the iPod? That's always your go-to.

(CROSSTALK)

HOLMES: NSYNC just -- Deanna (ph), we love her, our producer. We don't know where she comes up with this stuff.

BALDWIN: Pulling out a little NSYNC on an early Saturday.

HOLMES: But she has it.

But this kind of ties into this story we're going to show you.

BALDWIN: Little bit of a segue.

HOLMES: Let's roll the surveillance tape here. This is out of Chicago. Guy is trying to rob, of all places, an Office Depot. It was foiled because....

BALDWIN: Because the guy behind the counter thinks fast and flips on the intercom, so everyone else in the store can hear this whole attempted, you know, robbery go down. So obviously the guy is hearing himself.

So what does he do?

HOLMES: (INAUDIBLE)

BALDWIN: Run out -- runs out the store. But he's not done yet.

HOLMES: Not done! He's got the -- he has a sweet tooth.

BALDWIN: He does, apparently.

HOLMES: He runs to a nearby candy store. Not for candy -- for the cash. He did rob a candy store.

But Reynolds, the most interesting detail I saw out of all this: after he robbed the candy store, he fled in a taxi. BALDWIN: In a taxi.

HOLMES: So, it's a white taxi they say he got away in. I don't know if he hailed a cab; I don't know if he went and just stopped the guy and then commandeered the cab.

BALDWIN: Follow the trail of candy.

HOLMES: He fled in the taxi.

WOLF: Even (INAUDIBLE) -- what is -- you know, when he -- when in the time the cab stops and he's got to look at the meter and pay, what does he pay with? Mr. Goodbar? Mr. Goodbar is...

(CROSSTALK)

WOLF: We're done. Is that what happens?

(LAUGHTER)

WOLF: I mean, how's this working? Why a candy store? I mean, you think that there would be other options that might be a little bit higher on the mark...

HOLMES: Maybe.

WOLF: ...in terms of getting some money.

BALDWIN: Sweet tooth? I don't know.

WOLF: Maybe. I don't know. Maybe, you know, if they ever get him with the mug shot and they've got chocolate in the corner of his mouth, maybe that's the guy.

BALDWIN: Busted.

WOLF: That's your man. All right. Hey...

HOLMES: What's going on with you, Renny? What are we looking at today?

BALDWIN: Hey, you're the man.

(WEATHER REPORT)

BALDWIN: Thanks, Reynolds.

HOLMES: Nice in San Francisco. Sixty-three.

BALDWIN: I like that.

HOLMES: It could be kind of cold out there.

WOLF: Yes, that breeze makes all the difference. No question (INAUDIBLE).

HOLMES: All right. Renny, we appreciate you.

WOLF: All right, guys.

HOLMES: We'll see you shortly.

Well as we mentioned -- we've been talking about this story -- the president came out yesterday and made some comments to calm everybody down, bring them back from the whole Professor Gates vs. the Cambridge police story.

BALDWIN: Right.

HOLMES: Well I yesterday as well sat down with Charles Ogletree, the attorney for Professor Gates, who seemed himself trying to be back away -- or back everybody away from the edge, if you will. And...

BALDWIN: Because people are wondering about any potential legal issues that might arise from this.

HOLMES: He says no.

BALDWIN: He says no.

HOLMES: Not on the table, no lawsuit on the table. But he also says it's not entirely about race.

Take a listen.

(BEGIN VIDEOTAPE)

HOLMES: Did Professor Gates do anything wrong? Not in a legal sense in break some law, but did he do anything wrong as a private citizen, as an upstanding citizen, as a responsible citizen, and not give due reverence to the police officer?

OGLETREE: No.

Of course he's angry. He has given two forms of identification in his house; he's said, 'I am who I am.' And he said, you know, all he -- all he asked, he said, 'I want to file a complaint against you, because you're not listening to me. And I want to file a complaint against you and I want your badge and your number.'

HOLMES: Did he ever though -- you said he upset -- so you're acknowledging that maybe he did come across as upset or animated or belligerent even. Could that have been interpreted by the officer as that?

OGLETREE: I'm not sure how the officer would interpret it. But if you ask any homeowner, 'How do you feel in your own house, when you produce your identification,' and the officer knows that it's you, how do you feel? I can't imagine many people wouldn't be disappointed.

HOLMES: Is it possible that -- and some would argue as well, but I want to ask your opinion -- is Professor Gates guilty of some sort of profiling as well, whereas he sees an officer, a white officer, and he sees it as, this officer is out to get me because I'm a black man, rather than, this is just an officer doing his job?

OGLETREE: Well, I mean -- and you've never heard me use the word, this officer engaged in racial profiling. I've said he's exercised bad judgment. And I think he did.

HOLMES: So do you believe this has nothing to do with race?

OGLETREE: I don't know. We'll find out. I -- I think there's a lot that hasn't been determined yet, and a lot to be determined.

The only time that this was not calm is when Professor Gates said, 'I'm going to file a complaint.' Maybe he should have thought that and not said it. But once he said, 'I'm going to file a complaint, I'd like to have your name and your badge number,' the dynamics changed.

Because that's what he said. And -- and that's repeated over and over again. He says, 'Why are you doing this? Is it because I'm a black man and you're a white police officer?;

HOLMES: Now, was he saying it as calmly as you're saying it to me?

OGLETREE: Well, I -- well, the recordings will show. You can imagine that he's feeling this sense of indignity that people feel every day.

(END VIDEOTAPE)

HOLMES: All right. More from him in a little while.

But also this morning, we'll be speaking with Professor Gates' daughter Elizabeth about her father's arrest. Again, that's coming up a little later, 10:30 a.m. Eastern right here on CNN.

And again, want everybody -- how you doing on the Facebook, Twitter thing? Last time you were here it wasn't going too well.

BALDWIN: I've tweeted maybe six times. I'm working on it. I'm -- I'm trying to get hip.

HOLMES: What was your last tweet?

BALDWIN: What was my last tweet?

HOLMES: Yes.

BALDWIN: That I was in New York last week working.

HOLMES: Last week was the last tweet.

BALDWIN: Sorry I'm not uber tweety.

HOLMES: I'm going to handle this right here. You tweet something.

BALDWIN: Whatever.

HOLMES: Please send -- go to our -- or my Twitter...

BALDWIN: You're carrying all the weight this morning, T.J.

(LAUGHTER)

BALDWIN: Rough morning for you.

HOLMES: ...this morning. By all means, chime in on whatever you'd like to this morning. We'll be sharing comments. And let us know what's on your mind.

BALDWIN: Hey, maybe I'll tweet now.

HOLMES: I doubt it.

BALDWIN: All right. In Washington, it's been a week full of attacks and claims about health care. Time now for a reality check.

HOLMES: Josh Levs looking into it. Good morning, Josh.

JOSH LEVS, CNN CORRESPONDENT: Hey, good morning to you guys.

I'll tell you what we've got coming up. PolitiFact has given President Obama a "Full Flop", and a claim citied by a GOP lawmaker gets "Pants on Fire." We're going to show you what that's all about.

(COMMERCIAL BREAK)

(MUSIC, MARVIN GAYE, "WHAT'S GOIN ON")

BALDWIN: Love that one.

HOLMES: Yes, Marvin Gaye.

BALDWIN: It's a classic.

Here's what's going on: overhauling the health-care system. There may be no issue in Washington that really more greatly affects your wallet or your wellness.

HOLMES: Yes. So the stakes are high, no doubt. So we thought it was time to check some of the claims out there on both sides of the issue to see if they stand up to the smell test, if you will.

CNN's Josh Levs has the fact check.

(BEGIN VIDEOTAPE)

LEVS: The health-care debate is heating up, and obviously right now, we've got claims flying back and forth, left and right, metaphorically, literally. And we need to reality-check them.

So in order to do that, we are bringing in Bill Adair from PolitiFact.com. There you are, Bill. How are you doing?

BILL ADAIR, POLITIFACT.COM: Good. Thanks for having me, Josh.

LEVS: All right. Thanks for doing this.

I want to start off today with something interesting. One of the latest ones you all have on PolitiFact.com, you're giving President Obama a "Full Flop" on health care.

What's that about?

ADAIR: Well, it has to do with something that he said back during the campaign. Back in the early part of the campaign for the Democratic nomination, Hillary Clinton and John Edwards mandated that people get health-insurance coverage as part of their health-coverage plan. That was what led it to be universal.

Obama did not; in fact, he made a point of saying that he would not mandate it because he was afraid that people couldn't afford it.

Fast-forward to today. Obama is now supporting a mandate.

LEVS: Actually, this is one of the most memorable Clinton vs. Obama moments of the entire presidential-nomination campaign last year.

ADAIR: Yes, it was...

LEVS: When she was waving those fliers, saying, "Barack Obama, shame on you." And he had these ads out about her. That's what -- what he was getting at, this idea of a mandate for everyone to have health insurance.

ADAIR: Exactly. And yes, he -- he criticized her for having that mandate, and that led to the big "shame on you" response.

So, you know, in our view, that -- that makes this really a "Full Flop." So that's how we rated it on our Flip-O-Meter. Obama has acknowledged that much, and so a "Fill Flop" for this one.

LEVS: Got to love politics.

All right. Let's look at the other side now. You have one on Republicans that's interesting. This began as -- as I understand it, an editorial, but was picked up by a lawmaker. And you're giving this one your "Pants on Fire" rating.

What's this about?

ADAIR: Yes, the claim is that on Page 16, very precise, of the health-care bill, is a provision that would outlaw private, individual health insurance. And that was in "Investors Business Daily" in an editorial, and then has been picked up by Congresswoman Michele Bachmann and many bloggers to say, 'Look, this health-care bill that's pending is -- could be disastrous. And it would outlaw your coverage,' they say.

Well, it's not true. If you go to Page 16, as we did, it has no such thing. It's so ridiculous we gave it our lowest rating, "Pants on Fire."

LEVS: Bill Adair, thanks so much.

ADAIR: Thanks, Josh.

LEVS: All right, guys. Back to you.

(END VIDEOTAPE)

HOLMES: All right. And can President Obama count on public support for his health-care fight? We'll tell you what people are saying in the latest polls.

BALDWIN: And we'll be talking weather, tornadoes (INAUDIBLE) in Florida. A look at the aftermath and how people are coping as they wake up there this morning.

(COMMERCIAL BREAK)

HOLMES: Well, hello again, and welcome back to this CNN SATURDAY MORNING. I'm T.J. Holmes.

BALDWIN: Good morning. I'm Brooke Baldwin, in for Betty this Saturday. Thank you for starting your day with us. A lot going on.

HOLMES: A lot going on, including a man yesterday who was told, 'Hey, the president is on the phone.' Seriously.

That guy you see there, the one on the right, that is Sergeant Crowley. He was the one in the middle of that whole mess with the Professor Gates you see there, from Harvard.

The president called yesterday to tell him that, 'You know what? Sorry about some of those comments I made.' And wanted to really make an impression that he really -- wasn't trying to degrade the officer or the police department. The president came out yesterday and said, yes, in fact he sounds like a good man and outstanding officer after having the conversation.

This is more of what the president said in a surprise to us all when he stepped out yesterday for the daily briefing.

(BEGIN VIDEO CLIP)

OBAMA: I want to make clear that in my choice of words, I think, I unfortunately gave an impression that I was maligning the Cambridge Police Department, or Sergeant Crowley, specifically. I could have calibrated those words differently.

(END VIDEO CLIP)

HOLMES: The president said it certainly is a testament to how big of an issue race is in this country. After he made his comments at his press conference that it garnered so much attention, so mucho of the conversation in this country. We'll have more about what the president had to say to Sergeant Crowley coming up later.

BALDWIN: Also garnering a lot of attention, California's budget crisis. Apparently it appears to be over, at least for now. Lawmakers wrapped up a 24-hour marathon session to cut programs, shuffle some funds around. They say they sliced $25 billion from a new budget but it did fall short of the goal and what that means is that Governor Arnold Schwarzenegger will have to use his veto power to eliminate another $1.1 billion in programs. For weeks now the cash strapped state has been forced to pay bills with IOUs.

The White House saying it will not stop work on health care reform even if Congress goes on recess in two week's time without passing a thing. In the House some of the more conservative Democrats, referred to as Blue Dog Democrats, they're holding up their bill over some cost concerns. In the Senate, Majority Leader Harry Reid already saying a vote will not happen until after the break.

HOLMES: President Obama has been pushing Congress to pass health care legislation before the August break, but resistance in the Senate and House make that pretty much impossible at this point. With his deadline looming, he continues to make the case for sweeping reform at town hall meetings, White House photo ops, weekend web addresses and in Wednesday night's prime-time news conference.

(BEGIN VIDEO CLIP)

OBAMA: If we do not reform health care, your premiums and out of pocket costs will continue to skyrocket. If we don't act 14,000 Americans will continue to lose their health insurance every single day. These are consequences of inaction. These are the stakes of the debate that we're having right now.

(END VIDEO CLIP)

HOLMES: Paul Steinhauser, CNN's deputy political director, and a friend of our show here on CNN SATURDAY MORNING.

Paul, he's been out there, and out there a lot, talking about it. So, is the public right now, are they still impressed with how he's handling the health care situation?

PAUL STEINHAUSER, CNN DEPUTY POLITICAL DIRECTOR: You know, T.J., it seems Americans are divided on the issue. We put out a CNN Poll of Polls this week, that's an average of the most recent national surveys, on how Americans think the president is doing on health care. Take a look at this. You can see Americans are divided; 47 percent approve, 44 percent disapprove, of how Barack Obama is handling the issue of health care reform. A lot of these polls now -- as you can see from there -- he's under 50 percent approval. That's down from earlier this year, T.J.

HOLMES: We've see those numbers. Maybe not so crazy about how he's handling it. But what about the other side? Do Americans like what Republicans, maybe, are saying about health care reform right now?

STEINHAUSER: I guess you could say the tough news for Barack Obama doesn't mean good news for Republicans. One of the polls we averaged in ABC News and "The Washington Post", they asked that specifically. And look at this, you can see, 54 percent trust the president to do a better job on health care reform than Republicans in Congress. Only 34 percent think Republicans would do a better job than President Obama.

HOLMES: And, Paul, you and I have talked about this before. How much is his popularity still carrying him? We talk about political capital. Does he have that much more to expend? Will that get his health care changes in place?

STEINHAUSER: The best way to figure out a president's political capital, or clout, is to look at his approval ratings. That's why we do it. Take a look at this. Our CNN Poll of Polls on the president's approval rating. You can see, this month, 56 percent, that's still a very good number, T.J. But if you notice it's down from 62 percent in early June and 61 percent just a few weeks ago. There has been some slippage and that's troubling to the White House. Overall, though, I think he still has enough clout, at least, according to the approval ratings to get things done.

HOLMES: All right. And we're talking about this deadline he had for August. OK, if it does have to get pushed back does that mean it's in trouble of failing all together?

STEINHAUSER: It doesn't help. We're not saying it's impossible. But it doesn't help.

Two reasons why: Opponents of health care reform, people who want to bring the president's plan down, they are not going to have a whole extra month to go out and advertise. They'll beef it up, they'll turn up the volume. You'll see more anti-health care reform commercials on television. And that will not help the president's efforts as Congress is on break over August.

The other thing is, it pushes everything back. You'll come back in September, you are going to have a whole bunch of different bills. Congress will have to come together on one unified bill. And the president says he wants it on his desk by the end of the year. Because remember, next year is an election year. You don't want this to go over into next year, T.J.

HOLMES: You always have to throw some politics in there. All right, Paul Steinhauser. Always good to see you. Appreciate you, buddy.

STEINHAUSER: Thanks, T.J.

HOLMES: All right. This is our top story on our website, the health care debate. You can log on to CNN.com.

BALDWIN: President Obama trying to push health care legislation through before the congressional recess. His comments on how it will affect small businesses released just a couple moments ago.

How about this, T.J.? Anyone? Free Bentley? Free Bentley, got to be some strings attached, right? We'll tell you what that string is coming up.

(COMMERCIAL BREAK)

BALDWIN: It's kind of a tough housing market. A lot of people offering different perks throw it in with the house. There is one very large perk for someone looking for a home in Cardiff by the Sea, California; this is outside of San Diego. The asking price on this home -- not the car -- the home is $1.8 million. But they are willing to throw in the Bentley for free.

HOLMES: The house sounds pretty nice, 4,000 square feet, ocean view. Can't sell it. Been on the market for a year. So he is throwing in the coupe.

(BEGIN VIDEO CLIP)

BOB LEHMAN, SELLING HIS HOME: You know, if they see this house compared to another house in the Cardiff area and say, look, if I'm going to choose the house, I'll take the one with the Bentley.

(END VIDEO CLIP)

WOLF: Wow. Speechless.

HOLMES: That's a good deal.

WOLF: The only Bentley I know is on George and Weezi's (ph) neighbor on "The Jeffersons." That's a little bit different from that. That's a sweet ride, isn't it, man? I'm telling you?.

BALDWIN: I would be so afraid to drive that thing. If you got a scratch to fix it would be 1,000 bucks.

HOLMES: It's a $200,000 car. Betty would lose her mind right now. Because that is her -- that is the car she wants. That is it.

BALDWIN: Betty wants a Bentley.

HOLMES: The same color, the convertible.

BALDWIN: She could rock a Bentley pretty.

WOLF: How much is it again?

BALDWIN: $200,000.

WOLF: Only $200,000.

BALDWIN: Hey, you get it free with the house. Such a deal.

WOLF: Can you imagine driving that thing through rough weather like a hail storm? BALDWIN: Not so much. That wouldn't be fun.

WOLF: Take a look at this video that we have for you in Barnum (ph). This was shot just yesterday. Some rough stuff there. Strong winds caused all kinds of damage near Port Orange, Florida. It would cause all kinds of havoc if you had a convertible Bentley for $200,000 with the purchase of a home in San Diego, but this is in Florida. Certainly some rough times there. They'll be cleaning up today. Could see some strong storms today. We've seen a few in the Ohio Valley and parts of the Upper Midwest. We'll talk about that throughout much of the morning. There's a wrap.

BALDWIN: I guess you have to get amazingly, crazy insurance on that kind of car.

WOLF: I would think so. A wise thing to do.

BALDWIN: Probably wise. OK.

HOLMES: Reynolds, thanks. We'll see you shortly.

Coming up, students trying to go to school while fighting problems at home, also trying to stay out of trouble themselves.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: I am a black teen and I expect to be treated with respect.

UNIDENTIFIED FEMALE: I expect to be loved.

UNIDENTIFIED FEMALE: Expect to be heard.

UNIDENTIFIED FEMALE: Don't forget.

UNIDENTIFIED FEMALE: That I am a human being.

UNIDENTIFIED FEMALE: Just like everyone else.

(END VIDEO CLIP)

BALDWIN: That is Spoken Word poetry, written and presented by sixth graders from Ron Clark Academy, that's in Atlanta. All of that is part of CNN's "Black in America 2" event -- T.J.

HOLMES: Well, Brooke, as we all know, kids can be mean sometimes, when you coming up in middle school and high school. And just high school can be tough for any student especially if that student doesn't have the support he or she needs at home; makes it even tougher if at home a parent is missing because one of those parents is in prison. That's a struggle that a lot of kids are dealing with.

Our Soledad O'Brien introduces us to a woman helping these kids not just stay out of prison themselves but succeed in life.

(BEGIN VIDEOTAPE)

SOLEDAD O'BRIEN, CNN SPECIAL CORRESPONDENT (voice over): For these high school kids in Houston, Texas ...

MARILYN GAMBRELL, FOUNDER, NO MORE VICTIMS: OK, all phones off.

O'BRIEN: Marilyn Gambrell's class is a lifeline.

GAMBRELL: If we cry it's OK. You all just keep it real, OK.

O'BRIEN: This is No More Victims, a program for children whose parents are incarcerated.

UNIDENTIFIED FEMALE: I'm only 16 years old. If I was to tell you everything I've been through, it would make you cry.

O'BRIEN: Each of these children have seen their share of hardships and here they can share their pain and support each other. For these kids No More Victims is a family and Marilyn Gambrell is mom.

GAMBRELL: How does it feel having one or both parents in prison? How does that impact your life?

TANECIA GARDNER, NO MORE VICTIMS: It hurts because, like, my dad leaving my mom --

O'BRIEN: Tanecia Gardner is one of the newest members of the family.

GARDNER: Since he left, we didn't have another parent to, you know, buy school stuff. I had to do all of it by myself. It hurts me. It hurts my mom.

GAMBRELL: She came for two weeks, and cried in every class and didn't say one word. She didn't say a word.

I would say, Sweetheart, do you want to talk? No. OK, maybe tomorrow.

O'BRIEN: Tanecia's father and stepfather are in jail. She's helping her mother raise her six younger siblings. And like many of these kids, Tanecia is holding a lot in.

GARDNER: If you look at me, you won't really tell, you know, what I've been through and stuff. And so, like the type of person that I am, I'm a fun person, I just like to have fun or whatever. So you won't really see that I have any problems.

O'BRIEN (On camera): You want nobody to know that?

GARDNER: Yeah.

O'BRIEN (voice over): Marilyn says talking and sharing leads to healing.

(On camera): How does talking about a problem really make it better? I mean, is that essentially what the classes are?

GAMBRELL: It is. Saying it out loud, letting secrets go, that have tormented and tortured. And letting it go is one aspect, but being loved and supported no matter what. Finding out that when you said it you weren't the only child, that has been the key.

Oh, that looks awesome!

O'BRIEN (voice over): Another key element of No More Victims? This community center. It is a safe place where the kids can hang out, use a computer, have a meal. Marilyn is here often and available to the kids 24 hours a day.

GAMBRELL: We here throughout (ph). We have to be, the stability is critical. A stable person that is not here today and gone tomorrow, or I'll see you a month later and check on you. The stability and unconditional love, and providing the true most basic needs, the most basic needs. Nothing fancy.

O'BRIEN: Her approach may not be fancy but Marilyn's success rate is astounding. Since starting the program in 2000, 700 kids have been part of No More Victims. Most graduated high school. Few have ever gotten into serious trouble.

SHANTE WEAVER, NO MORE VICTIMS: I want to be like a normal family and have a father.

O'BRIEN: Shante Weaver says No More Victims changed her life. She joined in 2005.

WEAVER: This class is really important because, I mean, most of us feel like killing ourselves before we got in this class. When we got into this class, we saw love.

O'BRIEN: This was Shante then; this is Shante now, two jobs, going to college; a veteran member, able to help out younger kids like Tanecia. For five years Marilyn Gambrell has been there for Shante, even while her mother was in prison.

WEAVER: Ms. Gambrell she goes to our trials, she goes to our graduations. She gives us birthday gifts.

O'BRIEN: It took years for Shante to open up about all she's been through. Something that Tanecia Gardner is slowing learning to do.

GAMBRELL: All of a sudden, one day, cried the whole class. I said, "Sweetie, you want to stay over for a minute?" I got the, yes, and I went, OK.

Ever since that day, she comes in, she is so full of energy and happy. No more tears. It's like she let go and was set free.

O'BRIEN (On camera): How do you feel about yourself?

GARDNER: I feel that I'm smart and I have made it.

(END VIDEOTAPE)

HOLMES: As you see on your screen, I have Judge Mathis with us. I'll get to you in a second. But also, Marilyn Gambrell, the woman you just saw featured there.

What is it these kids are not getting?

GAMBRELL: A safe place. And a lot of emphasis, I know, what we've created for them in the classroom setting at school, as well as at our facility, as well, it's a safe place to come where you are not going to be hurt. Where you're not going to be judged about what family issues you're dealing with. You're honored, you're loved, you're respected. Birthdays are important. It's just creating a very safe place filling a void. And relieving some of the responsibility, that we can from this child, so they can kind of breathe and feel a lot better about themselves, and mostly safe.

HOLMES: All right. Judge Greg Mathis with us here. A lot of people know you from your TV show. And a lot of people might know the back story. If they don't know, you have a gang-to-gavel story that some would call it, quite frankly, a former thug.

And you have seen the wrong side of a jail cell before judge. But you made it. How were you able to, and you can probably relate to that story you just saw. How were you able to get your mind right and not end up, where she's trying to keep these kids from ending up?

JUDGE GREG MATHIS: Two things, T.J. One, when I was released from jail I was told to get a GED as a condition of my parole. I did that. I was able to escape the environment in which I had grown up in through an affirmative action program they had a Eastern Michigan University. When I left and went to college, I was in an environment that was conducive to educating and re-entry into mainstream society.

HOLMES: How helpful would this be, do you think, Judge Mathis, if we could take it from where she is doing it now and implement this thing nationwide?

MATHIS: I think it would be of immense help. A program such as that, really would boost the opportunities for young people.

HOLMES: And Marilyn, you can pick up on that point as well. Any possibility of it going nationwide. But also want to ask, we saw in the piece there, it appeared to be just minority students, black students, in particular, in that particular piece, but is it mostly, or what percentage would you say are African-American students. Do you have other minorities? Do you have white students in there as well?

GAMBRELL: We do. We have the majority is about 85 percent African-American. And then we have Hispanic children is the next largest number, and maybe five or 10 white children. This is just the nature and reality of our community, where we are at. But this program is capable of going, absolutely, nationwide. This child exists in every school district in this country.

There's millions of children. We don't even talk about them. They're referred to as throw away children. We need to absolutely implement it in schools. That's where we're going to be able to help most children. It is one place they come to. This is across the board, socio-economically, racially, this child exists across the board in every aspect of this country.

HOLMES: All right. Well, Marilyn Gambrell, really good to have you with us this morning. Again, you said those were tears of joy. I'm glad they were. I really applaud you for what you are able to do.

And, Judge, applaud you for what you were able to accomplish. If you aren't familiar with Judge Mathis' story, you need to go look it up and see the background. He didn't just show up there and they gave him a robe. He went through a lot to get it

Thank you both for being here this morning. Thank you so much.

We want to remind you all, if you missed a minute of it, "Black in America 2", you can see it again in its entirety. We are running it tonight and tomorrow 8:00 Eastern, 5:00 Pacific Time.

BALDWIN: I was sitting, actually, for "Black in America" when we had this massive rollout in Times Square on Wednesday. And that's were Professor Gates was talking to Soledad. Professor Gates the Harvard professor who was arrested in Cambridge. We were talking a lot about that this morning and a lot of questions surrounding the possibility of Professor Gates seeking legal action against the Cambridge Police Department.

HOLMES: Yes, I got that answer yesterday, from Gates' attorney. Also was told that this case is not about race. You'll hear him explain that, the attorney for Gates, coming up.

BALDWIN: Good interview.

Also, what do you do when you see a great sale? Ladies, you're with me, I know. With so many great deals on houses these days, bidding wars are breaking out. How do you win the house of your dreams without getting caught up in this bidding frenzy? We have tips with an expert, coming up in half an hour. Stay here.

(COMMERCIAL BREAK)

HOLMES: Hello there from CNN Center this is CNN SATURDAY MORNING for July 25th. I'm T.J. Holmes.

BALDWIN: I'm Brooke Baldwin sitting in for Betty Nguyen this morning. Check that, 7 a.m., time is flying. Thank you for starting your day with us.

Want to get straight to breaking news we're getting out of Afghanistan, which seems to be an attack in progress, right now; Taliban militants attacking government buildings in a southeastern city of Kost (ph).

HOLMES: This, apparently, right now is an ongoing situation, a battle that is still going on between forces there and also the Taliban. Apparently they had AK-47 rifles and the were launching, or lobbing, rocket propelled grenades. Three suicide bombers, we're told, blew themselves up. We have our Ivan Watson in Afghanistan. We're trying to get him up on the phone. He's collecting information, but a breaking situation, we'll give you details as they come into us.

BALDWIN: Right. We're hearing also, according to CNN, the military has reason to believe there were two more bombers in the area, who have not yet attacked their targets. Undergoing, underway, we'll get the latest from Ivan.

Also, coming up, it is an issue that affects both your wallet and your wellness. We're talking about health care and what's happening on this whole debate. Will they pass anything before this two-week recess in Washington? Talking about that. We'll see what they're saying in D.C.

HOLMES: Yes, it doesn't look good about meeting that deadline before they get out of there for their recess. But we shall see. Also, the very latest we'll have for you on the situation with the president coming out yesterday, trying to diffuse the situation between Professor Gates of Harvard and also the Cambridge Police Department.

So, we'll be looking in to all of those things this morning. But also, we have something else. There's going to be a new governor of Alaska.

BALDWIN: Yes, starting tomorrow.

HOLMES: Yes.

BALDWIN: Moving time for Alaskan Governor Sarah Palin. The moving truck, we have pictures of a truck there -- there it is, outside of the governor's mansion in Juneau yesterday. Tomorrow is her last day in office. Palin's departure coming amid a flurry of ethics complaints, many of which have been dismissed. But Palin says she is the target of a personal destruction campaign and the cost of fighting all of these false accusations she says is just part of the reason why she is resigning.

HOLMES: Also, turn to Africa now. The Democratic Republic of Congo, new fighting there is sending thousands of people, thousands more fleeing their homes. The United Nations says 35,000 more people are on the run right now. And that's on top of a half million who were forced out earlier this year by fighting between government forces and rebels.

BALDWIN: Well, Iran may have clamped down on protests after the re-election of President Mahmoud Ahmadinejad but it cannot stop scenes like this one, you're looking at pictures out of Seoul, South Korea.

Today, rallies are happening in cities all around the world and here in the U.S., supporting Iranians who protested last month's election results. Many of them are saying they were fraudulent. Authorities in Iran are cracking down and killing some and arresting many others.

CNN on the scene live at several of these protest sites around the world. Right now, we want to take you to Berlin and talk to Frederik Pleitgen, who is at one of those rallies.

Fred, I see it's perhaps raining where you are in Berlin. What are you seeing? Set the scene for us.

FREDERIK PLEITGEN, CNN BERLIN CORRESPONDENT: There's about 2,000 Iranians here at this protest. They've actually just now fled under the roofs of the buildings that are around us because there has been a pretty substantial thunderstorm going on for the past couple of minutes, literally has just started.

But you're absolutely right. This is one of the many global protest venues against the Iranian regime organized by Amnesty International, also by Iranian exiles. We're going to be hearing here throughout the next couple of hours are speeches by exiled Iranians. Also, by some people who say that their relatives have been killed in the recent clampdown, of course, during that unrest after the disputed presidential election in Iran.

Now, what's been going on here in Germany is that, leading up to the protest today, there have been several actions by exiled Iranians. There's actually a hunger strike that's been going on for three days and the protesters from here, those 3,000 are going to be joining those hunger strikers later on in a different venue here in Berlin. But certainly, this is very much a part of those global protests.

The message that's being sent out from here is exactly the same as of all the other global venues, which is calling on the Iranian government to recognize human rights and to uphold human rights in Iran. And also, to release what they call the political prisoners who have been imprisoned after those disputed elections in Iran.

And last but not the least, this is a very important on -- of course, also, the calling on the international community to get very tough on Tehran, especially in those negotiations about Iran's nuclear program.

BALDWIN: Fred, it seems like a lot of these rallies globally really are just a symbol, a show of solidarity for Iranians for democracy. I know it's loud. There's music happening right there. But have you had a chance to speak directly to some of these folks at these rallies? What are they saying?

PLEITGEN: Well, I think that's very interesting because we've had a lot of chances actually, (INAUDIBLE) also today to speak to exiled Iranians. But you know, there's -- I would say there's sort of mix of feelings. They, of course, are very worried about what is going on in their country. They're very angry at the government of Mahmoud Ahmadinejad in their country. Some of them feel that the international community has not come out as forcefully as it should have, but also on the part of a lot of them, there's a lot of hope that they're expressing. They are saying they believe that the protests that have been going on in Iran, that appear to be continuing in Iran to this day, they say that is a very hopeful sign that there is something like an upheaval against the government of Ahmadinejad.

Certainly, a lot of them are saying that they feel that is a very good sign. But nevertheless, of course, they are very, very worried about people that they still have back home in that country.

BALDWIN: Very worried, very passionate. Fred Pleitgen in the rain for us in Berlin this morning -- Fred, thank you.

HOLMES: Well, the president is making some phone calls yesterday. One of those was to the Cambridge police officer who arrested his friend, Sergeant Crowley is the name. Crowley I should say. And he arrested, of course, Professor Gates, of course, a friend of the president.

Let's listen to the president yesterday when he came out surprised us all.

BALDWIN: Cameo appearance in the White House.

HOLMES: Yes.

(BEGIN VIDEO CLIP)

OBAMA: I unfortunately gave an impression that I was maligning the Cambridge Police Department or Sergeant Crowley specifically. And I could have calibrated those words differently. And I told this to Sergeant Crowley. I continue to believe, based on what I have heard, that there was an overreaction in pulling Professor Gates out of his home to the station. I also continue to believe, based on what I heard, that Professor Gates probably overreacted as well.

(END VIDEO CLIP)

HOLMES: All right. The president calling this, like many have, a teachable moment that maybe it escalated, got a little out of hand, both men maybe at fault, maybe a little pride, a little ego on both sides, and just trying to man up on each other. Nobody just had the good sense to back down at the time.

BALDWIN: Yes. And I love at the end of the daily briefing he was saying, you know, "I really hope to get Crowley and Gates at the White House maybe to share a beer."

HOLMES: That is going -- know we're going to see that picture at some of those three men together.

BALDWIN: That will be the shot.

HOLMES: And that will maybe help in the healing and continue this conversation forward. Well, I had a conversation with Charles Ogletree, who is the attorney for Professor Gates. I talked to him yesterday, and he, too, was trying to back this thing down a little bit and also get it away from a conversation necessarily just about race.

(BEGIN VIDEO CLIP)

OGLETREE: He says, "Why are you doing this? Is it because I'm a black man and you're a white police officer?"

HOLMES: That was he saying as calmly as you're saying it to me?

OGLETREE: Well, the recordings will show.

HOLMES: OK.

OGLETREE: You could imagine that he's feeling a sense of indignity that people feel every day. And it has nothing to do with race. There are people who feel powerless when they've done everything they can legally do to protect themselves, and find that -- what Professor Gates found -- is that, in a moment, you've been arrested.

(END VIDEO CLIP)

HOLMES: All right. More on that later.

We'll be also speaking with Professor Gates' daughter this morning. We'll have her live, talking to her -- talking about her father's arrest. That at 10:30 a.m. Eastern Time.

Also, you know how who find us on Twitter, Facebook, on our blog as well. Give us your comments about this particular topic and anything else you'd possibly like to talk about. You know where to find us by now.

BALDWIN: But first, we brought you the breaking story at the top of the hour. We're talking about these Taliban bombings in eastern Afghanistan. It's a town called Khost. Right now, authorities are searching possibly for more bombers.

CNN was reporting the military had reason to believe that there were still two bombers in the area. And one of the targets -- we're hearing -- was an Afghan military hospital. No word on casualties yet.

HOLMES: Yes, but this is ongoing situation. From what we understand, the battle is still going on.

Ivan Watson is our guy on the ground right now in Afghanistan. He is in the area.

Ivan, I know it's been -- you've been making some phone calls. Just give us the latest on what you've been able to find out.

IVAN WATSON, CNN CORRESPONDENT (via telephone): Yes, T.J., I'm pretty far from where this action is taking place. I'm in the south of the country. But CNN is working the story.

And what we've gotten so far from an Afghan military official and from some of the residents of this eastern town called Khost is that there is some kind of an attack mounted. At least one confirmed suicide bomber attacking near an Afghan military hospital in that eastern of Khost. And there are fears that there are other suicide bombers out on the loose right now.

And we're getting reports from the sources that Afghan troops are out in force in the streets trying to crack down, trying to maintain security in those streets. Those accounts don't quite match with what "The Associated Press" has been reporting, T.J., quoting the defense ministry spokesman, General Azimi, who has described up to three suicide bombers launching a series of attacks on government buildings in that town backed up by other fighters using rocket-propelled grenades and assault rifles as well in that attack.

And that fits a pattern we've seen in the past evolving in Afghanistan. Increasingly sophisticated attacks where there are waves of fighters initially with suicide bombers who break open defenses and they are followed soon after by fighters on the ground with small arms -- showing that this insurgency has definitely evolved from its early days when it was much less competent at trying to mount attacks on some of these pretty well-fortified government buildings -- T.J.?

HOLMES: All right. Our Ivan Watson -- I know you'll continue to work your sources, work that phone. Ivan, we appreciate you. We'll be talking to you again soon.

BALDWIN: Well, we're also talking about extreme weather in the Midwest this morning. Reynolds Wolf is keeping an eye out on that.

I know -- where was that hail we saw, Reynolds?

WOLF: You know, the hail we were talking about earlier was actually in Wisconsin. A bit farther to the south, about 1,000 miles south in Texas, it's going to be not hail but heat, and plenty of it, with high temperatures today that will be soaring into the triple digits. Some places to the 90s, with the high humidity, it's going to feel that warm.

Take a look a live shot that we have for you in Austin, compliments of KVUE. There's the state capitol building, looks just picture perfect. All that limestone is going to be warming up, sizzling hot later on today. We're going to give you your complete forecast coming up very soon right here on CNN SATURDAY MORNING.

Let's send it back to you guys at the desk.

HOLMES: All right. Reynolds, we appreciate you. See you again soon.

And it sounds great for first-time home buyers. A lot of housing prices are down.

BALDWIN: Right. HOLMES: It's a good time to get in there maybe and get a deal. Also, a lot of foreclosures. So, you can get out there and get a good deal. But you have to fight for it sometimes because other people have the same idea.

BALDWIN: Yes.

HOLMES: They want the house, too, and they'll try to bid you for it.

BALDWIN: Bidding wars happening. We will talk to our resident expert sitting in the seat over there already to see how we can help you win the house of your dreams.

(COMMERCIAL BREAK)

(MUSIC)

BALDWIN: If you're like me, when you see a good sale, don't you jump on it? Ladies, shoes, purses, hand bag, you're with me. What about houses?

You know, with the high foreclosure rates these days, there are some really steep discounts on homes. Some great deals to be had. In fact, some cities are seeing markdowns, they're saying, by 60 percent.

So, with all of these different good deals out there, thousands of people are bidding on the same houses and these condos, trying to get this deal but often times are finding themselves on the losing end of the stick.

So, how do you know if your bid is too low, too high? How can you get this home of your dreams?

Joining me now for some bidding advice is housing expert Clyde Anderson and author of "What Had Happened Was."

CLYDE ANDERSON, FINANCE AND HOUSING EXPERT: There you go. You got it.

BALDWIN: What had happened was -- what had happened was we had this massive bubble...

ANDERSON: Right.

BALDWIN: when we come to them, we talk about the housing market. You know, you would think, now, that with prices lower, people really can finally...

ANDERSON: Right.

BALDWIN: ... get in on a nicely priced home...

ANDERSON: Right.

BALDWIN: ... but that's not the case. ANDERSON: Right. Well, I mean, it's because prices are so low right now, it's causing a bidding war in a lot of cases. Investors are coming in, buying up these properties, and they're creating a bidding frenzy almost. And so, you really got to watch out, you got to know what you're doing.

BALDWIN: So, when you were learning on how to do this and some people are bidding on multiple homes in one day, site unseen.

ANDERSON: Right.

BALDWIN: And this is only happening just in the past couple months, how do you know if your price is too high?

ANDERSON: Well, you got to really have a good real estate agent. I think that's one of the keys. You got to have a real estate agent that knows what they're doing, knows the market. And you to go in and look at the comps. There are several factors that you have to really explore to make sure that you're right in line.

BALDWIN: And there is one very big reason why this is happening right now, because of investors.

ANDERSON: Investors. And, you know, we were talking about it. Investors cause a lot of these problems in the first place. Investors aren't all bad. But a lot of times, they'll go in and push up those prices. And so, you get those prices beginning to inflate, you want to make sure that we're keeping it in its true value, you know? That you really have something to weigh it against, comparables, house that are sold in the last three to six months -- that's key.

BALDWIN: I mean, this is exactly what we saw happening before the bubble burst.

ANDERSON: Exactly.

BALDWIN: These investors getting in. And now, they're getting in as well.

We want to talk about just some dos and don'ts with people out there in this bidding wars.

ANDERSON: Yes.

BALDWIN: What do you do and don't you do.

ANDERSON: Well, I think there are several things that you have to look at. One of the things I say is have a real estate agent, have a real estate agent that knows the market, you know? Be sure that they know what they're doing. They know the players in the market and they can definitely help.

You know, also know the comps. See what sold in the last three to six months. If you're in a hot market, really look at the last 30 to 45 days to know exactly what you're getting into. Look at properties that are comparable in size and style and square footage and that sort of thing to make sure you're right in line. And also, review the tax records. Review the tax records, you can see what the taxes have been on the property for the last two, three years.

BALDWIN: What don't you do?

ANDERSON: The don't -- very important don'ts. Really, you got to make sure that you don't buy above the fair market value, you know? Make sure that you're going into it with a seller that's willing to sell. Sellers have different motives. Know that seller's motives and that's what coming into having a good real estate agent does for you as well.

Also, bid less than the asking price. If there are multiple bids can be the thing that will kill you. Do not bid less than the asking price. If you know that other people are interested in the property, you really got to be strategic with your bid and come in there at the right price.

And also, don't get up and caught up in emotion. Leave emotions at the door.

(CROSSTALK)

BALDWIN: ... sometimes, you find your house, you know?

ANDERSON: Well, you even talked about shoes and the clothes.

BALDWIN: Yes.

ANDERSON: I mean, you get caught up in emotions in buying decision. So, it's really strategic. They may have the cookies baking and all that when you come into the home, don't get caught up in it. This is a business transaction.

BALDWIN: Smart they are.

ANDERSON: Business transaction. You got to keep that in mind.

BALDWIN: OK.

ANDERSON: So, that's really key.

BALDWIN: Because you really could fall into some great deals right now.

ANDERSON: Yes.

BALDWIN: So, the key is being smart, the dos, the don'ts, quite interesting. Good tips.

ANDERSON: Thank you. My pleasure.

(CROSSTALK)

BALDWIN: Thank you, sir. T.J.? HOLMES: So, don't get caught up in emotions. Does that mean you shouldn't take into account they're throwing in a free Bentley with the house?

BALDWIN: Yes. (INAUDIBLE)

ANDERSON: Now, that -- now, that's a little bit different. That's a little bit different. Those emotions are different.

BALDWIN: If you see the Bentley.

(LAUGHTER)

BALDWIN: You're going. He's going with it.

HOLMES: Come on housing expert. We need something straight down the line here.

ANDERSON: Well, I don't know.

(LAUGHTER)

HOLMES: All right. Good to see you, buddy.

ANDERSON: You, too.

HOLMES: All right. Well, health care, we're talking about that, of course, this morning. The president as well, he wants health care for all. So, how many people would it actually help if he gets his way with the legislation? Josh Levs is looking into it for us.

LEVS: Hey. Yes, good morning to you again. You know, the number of uninsured Americans, you've heard, actually might be inflated. We're going to show you that.

Plus, how many of them could afford insurance?

(COMMERCIAL BREAK)

BALDWIN: President Obama's call for health care reform has drawn a mixed reaction from the business world. But this morning, he says small businesses might be among the most to gain here. In his weekly radio address, he cites a White House study that shows where insurance costs are the highest and most crippling for small businesses.

(BEGIN VIDEO CLIP)

OBAMA: These are the mom and pop stores and restaurants, beauty shops and construction companies that support families and sustain communities. They're the tiny startups with big ideas, hoping to become the next Google or Apple or HP.

And, as shown in a new report released today by the White House Council of Economic Advisers, right now, they are getting crushed by skyrocketing health care costs. Because they lack the bargaining power that large businesses have and faced higher administrative costs her person, small businesses pay up to 18 percent more for the very same health insurance plans, costs that eat into their profits and get passed on to their employees.

As a result, small businesses are much less likely to offer health insurance. Those that do tend to have less generous plans.

In a recent survey, one-third of small businesses reported cutting benefits. Many have dropped coverage all-together. And many have shed jobs or shut their doors entirely.

This is unsustainable. It's unacceptable, and it's going to change when I sign health insurance reform into law.

(END VIDEO CLIP)

BALDWIN: President Obama says small businesses should find cheaper rates and receive tax credits to help offset some of the costs.

HOLMES: Republicans not feeling it. They don't buy the idea that this plan will be good for small businesses. That's what they're talking about in their weekly radio address.

Washington State Congresswoman Cathy McMorris Rodgers says it will ultimately cost jobs.

(BEGIN VIDEO CLIP)

REP. CATHY MCMORRIS RODGERS (R), WASHINGTON: Families, seniors and future generations will not be alone in struggling with this bill's cost. America's small businesses will pay a steep price as well. Because the Democrats plan is bankrolled by a small business tax, more jobs will evaporate.

We've lost more than 3 million jobs since the beginning of the year, and Americans have every right to ask, "Where are the jobs?" According to the National Federation of Independent Business, the Democrats' plan will destroy 1 million more small business jobs, and according to methodology developed by the president's own senior economic adviser, the Democrats government takeover of health care will cost at least 4.7 million jobs over the next 10 years.

Because of these extraordinary costs to families, small businesses and future generations, alarm bells are sounding across the country.

(END VIDEO CLIP)

HOLMES: Throughout this debate -- yes, is everything OK? Are you well? Do you need a minute?

(LAUGHTER)

BALDWIN: Good.

HOLMES: The show must go on. All right. A lot happens behind the scenes. We wish we could show you, but you probably wouldn't watch again.

But throughout this whole debate, we keep hearing lawmakers talk about the millions of Americans who are uninsured, but the number we keep hearing -- what if that number is not exactly correct?

BALDWIN: Josh Levs crunching some numbers for us this morning.

LEVS: Yes.

BALDWIN: Josh, how many people are uninsured?

LEVS: Yes. Well, this is where it gets so tricky, because the government is actually telling me what you guys are saying here, that the number we keep hearing might not be accurate.

Let's start off with the number that we keep hearing as the big picture. This is one example. President Obama is saying it just the other night.

(BEGIN VIDEO CLIP)

OBAMA: This is not just about the 47 million Americans who don't have any health insurance at all.

(END VIDEO CLIP)

LEVS: So, there you go. He said 47 million. Sometimes we hear 46 million or 45 million. Let's go to the screen because I want you to see where all this comes from.

This is it. The Census Bureau does say that 45.7 million people were uninsured for all of 2007. That is their number. That's what they're stating. So, when you hear people say, 45 million, 46 million uninsured, it does come from the Census.

But here's the part most people don't realize. Look at the next thing, the next screen here. The Census that gives that number also says this, health insurance coverage is likely to be underreported.

I called them, I said, "What does this mean?" They said 45.7 million is probably too big. It's probably not that many. It's probably not as many people as we think who don't have health insurance for that long. So, that benefits the side out there that says, you know what, the number is really inflated.

But then you have the flip side. People arguing it's even bigger. Take a look at this.

It's a private group out there called Families USA. They are an advocacy group. They are pushing for more people to have more health insurance. They say it's actually twice that. They say it's nearly 90 million people who are uninsured.

The reason is, the census asked, "Did you not have health insurance for an entire year?" This private group did their own survey where they said, was there any point at all where you didn't have some health insurance at all? They said when they did that, they got a bigger number.

So, you have these competing claims. But at the core of it, you do have the Census figure there that even the Census is saying, "You know, it's not that big."

BALDWIN: So, what about families who could afford health insurance?

LEVS: Right.

BALDWIN: How many are they?

LEVS: That's the other thing. Some of these people are by choice, right? And we know that.

Let's show this one quickly. And I know we got to go. Let's go to this last figure, because this is another part of the trick. Twenty percent of the uninsured have family incomes of $75,000 or more according to the Census.

So, if your family is making $75,000, you'd like to think that's enough money for your family to have health insurance. But it doesn't automatically mean that you might not have access. You might have preexisting conditions.

So, we can't say in every case. But 20 percent of the uninsured, according to Census, have family income of $75,000 or more. You would like to think that they could afford insurance.

HOLMES: All right. And health care, of course, is a big topic. Josh, we appreciate you.

LEVS: Thanks, guys.

BALDWIN: Thank you.

HOLMES: Big topic and it's our top story on our Web site.

For more on the health care debate, you can logon to CNN.com.

BALDWIN: Another big story, did you see this? Dozens arrested. I think the number was 44 arrested in New Jersey. Elected officials caught in a bribery scandal. Just a small sampling though of politicians who've been caught with their hands in the cookie jar, we'll say. But why do they think they'll get away with it?

HOLMES: Also, some tough questions as we've been hearing about Harvard Professor Henry Louis Gates, Jr. I asked some questions of his attorney to see if he thinks both sides may have reacted a bit badly.

(COMMERCIAL BREAK)

HOLMES: Brooke and I will be back in 30 minutes at the top of the hour with more live news. First, we want to hand it over to "HOUSE CALL" with Dr. Sanjay Gupta.