that? has the most shopaholics in the country. of course. they're shopping with other people's money. that's why. martha: happy shopping. bill: see you on the radio with brian kilmeade. martha: it's a hot show. bill: we'll give him a hard time. martha: we always do. see you tomorrow, everybody. jenna: hi, everybody, i'm jenna lee. we start request with a fox news alert in the penn state child sex abuse scandal that unravels moment by moment. jon: i'm jon scott. the winningest coach in college football history is announcing he will retire at the end of this season. lori: paterno spoke to a crowd of supporters last night outside his home, releasing a statement, saying he grieves for the children and their families in this tragedy and that in hindsight he wishes he had done more. jenna: hindsight being 20/20.

now we're learning more shocking details about the man you see on your screen there. he is the former defensive coordinator, jerry sandusky. this is all coming as new reports indicate there could be as many as 17 boys claiming he molested them. that would be double the initial reports by the way. sandusky is free on $100,000 bail. the governor is gearing up to join the college board of trustees in appointing a special committee to investigate charges of potentially a cover-up here, jon. jon: there are so many twist and turns in this case it is changing by the minute. david lee miller live from state college, pennsylvania right now. david? >> reporter: jon, the campus here is still reacting to news that is quickly spreading that joe paterno is going to retire at the end of this season. there was an outpouring of support for joe paterno in the last 24 hours. hundreds of students literally taking to the streets. they were outside his home yesterday. they were outside one of the administration buildings

yesterday rallying support for joe paterno. just a few minutes ago it was announced by pa attorney they in fact he decided to resign. he issued a statement, part of it said. i will read it. we can bring on the screen. i decided to announce my retirement effective end of the season. they have far more important matters to address. i want to make this as easy for them as i possibly can. and to give a little context to that, the board of trustees had a telephonic meeting yesterday. they issued a statement saying on friday when they meet, as you mentioned the governor will be with them, they are going to form this special committee. this special committee will try to investigate and determine what went wrong here, who needs to be held accountable. the special committee wants to make sure this type of tragedy does not happen again on campus. many people here are calling for the head of the university president, graham spanier. they say he must be held accountable. he had a great deal of information and knowledge about the alleged sexual

abuse and he should have notified authorities. something he did not do. it is very possible not only could we see more victims coming forward, we could see more people held accountable and more resignations here on the penn state campus. jon and jenna, back to you. jon: david, for those who don't follow college football, joe paterno is not only winningest coach in college football history he is more than that. they pushed his players to do great academically. >> reporter: he put together a program, jon, you rightly say had nor to do, with more than just sports. it involved academics, excellence in academics. he had a spectacular record here. five seasons that were undefeated. but more than that he was a booster of this school. jon, he contributed some $4 million of his own money to

penn state. and he is someone we're who is going to be sorely missed. many here, very saddened that this in great measure is going to be his legacy. many believe this was going to be his last season regardless. he is 84 years old. they say his contract was due to expire. it was likely he was going to have his last home game tomorrow, and i would be remembered a hero on this campus. now, very mixed feelings about joe paterno. they remember what he contributed in the past. many people here still very disturbed about recent events and trying to reconcile those two images of this man. jon? jon: it is just a shame and a shock how things have changed for him over the last couple of days. david lee miller, thank you. jenna: moving onto another one of our top stories right now we're told at least two of herman cain's accusers will appear at a joint news conference, this according to the attorney for this woman, karen kraushaar.

one of three formerly anonymous accusers who just went public. meantime cain is fighting back against these claims. >> and as far as these accusations causing me to back off and maybe withdraw from this presidential primary race, ain't going to happen. because i'm doing this for the american people. jenna: molly henneberg is live in washington with more on this molly? >> reporter: yes, karen crash share and sharon bialek, had a press conference earlier this week will ask the other anonymous women if they are willing to participate as well according to kraushaar's lawyer. cain says only thing he may remember that may have upset kraushaar that led to her sexual harrassment charge that he noted she was about

at tall as his wife. kraushaar's attorney disputed that. >> my client is intelligent, well-educated woman. she would never file a sexual harrassment complaint about a comment like that, you're the same height as my wife. that is ridiculous. >> reporter: bennett contends the incidents, plural, between cain and kraushaar were quote, not harmless remarks. but cain has vehemently denied that he sexually harassed these women or any others. >> i have never acted inappropriately with anyone, period. and these accusations that were revealed yesterday are simply did not happen. >> reporter: talking there what bialek says happened. bennett said his client, kraushaar will detail her allegations against cain that still to be scheduled press conference. jenna? jenna: more as this develops. molly, thank you.

jon: an off year election with some races and ballot initiatives sending strong signals about what could happen just about a year from now, november 2012. chris stirewalt is a fox news digital politics editor. let's start with ohio. kind of a bellwether state when it comes to how people are feeling about things and they didn't like this proposal that had the governor's support about restricting union powers. >> well, certainly they didn't like that nor did they like president obama's national health care law. it was sort of a split decision on a pair of referenda in ohio. one that, as you say, would have constrained the collective bargaining powers of unions and caused state government workers, state government worker unions, to have paid more or paid something into their own health care and retirement insurance. but on the other side there was a referendum on the question of should ojai anns be, toed to purchase insurance, health insurance

or be enrolled in approved government plan? they said no, let's shield that. very telling here is this. it's a split decision and there's a lot of those old-fashioned reagan democrats out there in ohio. people may broadly support rights of unions but may not be on board with president obama's platform. jon: if you're at the white house this morning and part of team obama and looking at those results, what are the tea leaves telling you for 2012? >> it is going to be a heck of a fight and that's what you see out there. whether it is in the legislative races in virginia and new jersey or across the country, the electorate is divided. attitudes are sharp and there is not a wave, a kind of wave that president obama rode to election in 2008 or the one that conservative republicans stormed into the house with in 2010. people are divided. attitudes are sharpening. jon: chris stirewalt, thank you. and for more of your political fix, you can log on while you're watching.

chris will be at the bottom of the hour hosting p.o.w.er play live on the web. go to the foxnews.com homepage. click up in the red box in the right-hand side corner. >> we want to share with you election day proving historic for voters in oregon where a brand new technology was used for very first time. rick you have more. >> reporter: jenna this is an ipad. first time voters in one state, oregon, were able to use an ipad to vote in a primary election yesterday. firms say not only was easy for people to use the device to place their votes. it was economical. a lot cheaper than regular polling machines. the state started out small with five ipads. election workers took them into nursing home and senior centers where residents may have trouble getting themselves to the polls. after tapping choices on the screen. they sent the ballots to a wireless printer. the pilot program worked so well they're looking to expand it possibly for

future elections. as i said this was a primary election involving replacing a congressman, david wu, who had to resign after a sex scandal. jenna, no word if the senior citizens got to hang onto the ipads and play angry birds after they placed their votes. jenna: we'll leave that as unknown. not quite "american idol" but we're getting closer to making it as easy to vote. we'll see what happens. angry birds, is that what you're doing over there rick? >> reporter: no, i'm working. jenna: rick will have more stories the next two hours. fox news weather alert for you on a powerful tornado devastating parts of southeast texas. the powerful storm uprooting trees and knocking out fences and leaving entire streets as you can see for yourself littered with debris. residents say it was certainly a scary sight. >> it was very fast. it was raining, raining really hard and then all of a sudden the thunder stopped and wind was horizontal and it was whistling through the

house. >> i've been in one tornado before but nothing like this one. jenna: forecasters do say the worst is now over incredibly with all that damage, there were no reported injuries. >> what planet are you on? we're only --. jon: well, you may have seen huge storms on the bearing sea on the hit show "deadliest catch". jenna: i'm a huge fan by the way. jon: the crew risking their lives for big money, hauling crabs off the coast of alaska. now an absolutely enormous storm is lashing the west coast of alaska. it is so big and so powerful some are calling it epic. meteorologist maria molina is in the fox weather center for us right now. maria? >> reporter: good morning guys. it is a dangerous storm system. very powerful for this time of the year. two other thing about that

scenario occurring on northwest portions of alaska that the storm system is headed further off to the north and most storms do during this time of the year. this is an area not used to dealing with strong storm systems like this and there is very little sea ice on the water. so that is leaving many coastal areas susceptible to a stronger storm surge. normally that water would be frozen and acting like a protective barrier from some of the storm surge you typically see with these storms. it is very dangerous out there. the storms have strength and quite significantly we're starting to see some of the worst weather from the storm across northwestern portions of alaska. this is one of our model runs showing where some of the strongest wind gusts in excess of 80 miles an hour could be occurring along coastal areas. we're getting reports that some of those winds already occurred. by thursday the worst of the storm should be over. we're expecting quite a bit of bad weather aside from winds. winds in excess of 80 miles per hour across the area. like a hurricane affecting

northwestern parts of alaska and four to eight-inches of storm and six to nine foot storm surge. that will be devastating for coastal areas. we're not just looking at winner weather across alaska but the u.s. where we have winter storm warnings to tell you about specifically across northern portions of state wisconsin. we could get locally up to a foot of snow. a lot of weather out there and look at storm system not only bringing in snow across the midwest but ref hain -- heavy rain across the portions of great lakes. if you're flying out of detroit likely to see delays with the snow coming down heavily behind the storm system where some of that colder air moves in and lighter showers further off to the south, guys. jon: that is big storm system, isn't it? >> that is the same one that produced tornados past two days over the plains. jon: in alaska they're pulling boats in, doing everything they can to get those people safe. that will be a record-breaker. maria, thanks. jenna: our producer we have a morning note to go over

the stories. they were calling it a blizzard-cane that's what they're calling in alaska. jon: they're used to bad weather up there. brand new troubles for toyota as that automaker announce as new recall. we'll tell you what the cars involved and what the danger is is here live. jenna: legendary college football coach joe paterno announcing he will retire at the end of this season amid the handling of a child sex abuse case. >> joe paterno! [ male announcer ] how are we going to make this season better than the last?

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jenna: this into our newsroom. we want to bring you out to arizona. what you're watch something remnants after pretty horrific crash. what we think happen, we're only seeing it as you are seeing it, a crash appears between two tractor-trailers. this fire is burning so hot that firefighters haven't been able to get close enough to put it out. this is closing down the i-10 freeway.

if you're out in arizona or traveling that direction, it is stopping all traffic. there is conflicting reports about the state of one of the drivers. again, as we hear more, we will bring that to you but the i-10 freeway in arizona closed because of this crash. jon: and back now to one of our top stories, the penn state child sex abuse scandal and famed college football coach joe paterno announcing he will retire at the end of the season. this as he faced growing calls to resign. his fans staged a strong show of support for him last night. meantime we are learning the victims in this shocking case may have doubled in number with as many as 17 boys now reportedly ready to make molestation claims against former defensive coordinator jerry sandusky. many of those boys now young men. sandusky meantime is walking around a free man after posting $100,000 bail. but the patriot news is

taking a very tough stand, putting an editorial on its front page calling for penn state university president gram spanier to step down and the paper does not stop there, taking aim at paterno too saying quote, owe should have done more. a man who was spoken of such affection 46 years about his kids failed real kids when they needed him most. jenette krebs is the editorial page editor of the patriot-news of harrisburg. one of the coauthors of that editorial. we now know that joe paterno will step down at the end of this season. in your view is that sufficient? >> it is. that's right. his son told our newspaper this morning that his father is going to step down. and also said that it was his decision that he is not being forced out by the university. jon: well, i guess being the legend that he is, if joe paterno wanted to, you know,

if the news, if the university wanted to force him out, joe paterno is not going to necessarily be pushed. i mean he would be allowed to make this announcement in whatever way he chose, don't you suppose? >> yes, i do think so. jon: you are a penn state grad. >> our news --. jon: you're a penn state grad yourself? >> i am. i am. jon: what is the reaction, what is the reaction now? we saw this show of support last night. joe paterno basically lives in a house on campus. all kinds of students out there last night surrounding him, showing support. the fact that he is resigning now, what's the reaction? retiring, i should say, yes. >> well, i think the reaction, the reaction is really mixed. i think there's a lot of sadness. he's had such a storied career at penn state. he had such a great, he has had a great football program there and i think a lot of

people are sad to see him leave with this tainting his legacy. i think, i think for us, we felt like after reading the grand jury presentment and it was just horrific the details in it about the child sexual scandal with jerry sandusky, the fact that the president of penn state and joe paterno knew about it in some regard, even though the grand jury said that legally they did everything that they should have, we felt that morally they didn't. jon: and sandusky himself is out now on $100,000 bail. how is that fitting with the community? >> it's not sitting very well. yesterday when our editorial ran on the front page i spent the whole day talking to people. people were e-mailing me, calling me, stopping me when i was out and about, and there's a real, a real anger

about him and how long he was able to allegedly prey on boys and i think a lot of people feel like he should be in prison. jon: jenette, thank you very much. we'll be back. >> you're welcome what's better than gold ?

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jon: there's new reaction this morning to that u.n. report just out on iran's nuclear capability. the u.n. atomic watchdog says inspectors found evidence that the islamic republic is on the brink of building a nuclear warhead. iran's president speaking today before a big crowd denies those claims. >> translator: they accuse this nation of terror in building atomic bombs. we don't need atomic bombs and you truly know this. iranian nation is a wise nation and won't make two

bombs against your 20,000 bombs. iranian nation will build something that you can't respond to it, and it is morality, ethics, believing in god and justice. jon: this as we've seen reports out of israel that a strike on iran's nuclear facilities is under consideration. reena ninan live in jerusalem. what is israel's reaction to this report? >> reporter: hi, jon. well the unofficial reaction can i get an amen? they have been waiting years for this report to come out to detail these findings and these specific details about iran's nuclear weapons program. they waited a day, the israeli government did, to actually release an official response which we got in the past few minutes it says the international community must bring about cessation of iran's pursuit of nuclear weapons. they brought this to be brought down to a halt with irrand they're hoping this might be the smoking gun that the international community was waiting for. the u.s. however, has received a somewhat, to our

understanding tacit agreement with israel that they won't strike. that israel won't launch a unilateral attack on iran without their consent. we believe that agreement still stand but we are, as are hearing rumblings in israel about the potential of a strike. the big push is really diplomats tell us is to move forward with sanctions, crippling damning sanctions. they believe the big holdup in the u.n. security council, china and russia. two countries that make billions of dollars on iran and they don't want to give that up. jon? jon: reena ninan reporting live. thank you. jenna: what can we expect to see now? we'll bring in joe circione, a member of the secretary of state he is advisory board, and member of ploughshares fund. sorry to make you former when you're current. reena's breaking news she brought us israel's reaction to the state of iran's nuclear program. essentially israel saying we need to stop iran. joe, number one, do you

agree with that, and number two, how do we do it? >> absolutely. the iranian program is real threat. there is no nonmilitary solution. israel doesn't have the capacity to stop the iran program. if the u.s. launched military attacks it would take a ground invasion to bring that program to a halt. that is whole new war in the middle east t would tank the global economy. no one really wants to go there. sanctions have been effective slowing the program down. i would look for a new round of unilateral sanctions by the united states tomorrow or rather next week, targeted on the nuclear program on the revolutionary guard and the missile program. i expect the board of governors of iaea to take this up by the middle of the month. there may be new outside chance of new round of u.n. security council sanctions, all this building pressure on iran forcing them, trying to force them to end the program, come clean on their past activities. jenna: joe, you and i both know if russia and china are not on board with those sanctions it weakens them significantly. russia came out with a

statement this morning saying essentially if there is additional sanctions against iran that will be viewed by the russians as a regime change. they say that is unacceptable. so what do we do about that? >> that is exactly right. iran basically has a herman cain program. they both did something terribly wrong in the past that is now being disclosed. it is humiliating to try to acknowledge what happened. so how do you walk them out of this kind of situation? russia does not want more sanctions. fine. then russia help us diplomatically find a way to negotiate an end to the iranian activities. that's the pressure you put on russia. china is --. jenna: what is in it for russia on that? >> one, russia doesn't want instability on its borders. they have their own muslim problems in their, territories and, iran is a business partner of russia's. russia canceled military

sales worth billions to iran because of the kinds of sanctions that have been put on by the u.n. security council. they would like to restart that. there are business interests at play see an end to this program. like to see commerce restored. russia not only feels that but many european countries. that is one of the economic cards the u.s. has to play. jenna: well be interesting to see if that can play out. let me draw upon your technical expertise when it comes to nuclear weapons. you've said in the past iran is really three to five years away from having the bomb. do you still believe that? when we talk about the bomb potentially iran could have what are we really talking about? who is really in, i guess, part of this threat? who can really be targeted? will they be able to target us, united states, is it israel? who is really at the center of this? >> sure the kind of bomb iran could construct would be probably a large bomb, something to put in shipping container, you could drop by plane. it could be brought by boat

any place in the world. talking about delivery by military vehicle are, missile or plane, that is regional. it doesn't have missiles that can reach past southern europe at this point. it really doesn't have a missile that could deliver a bomb to most of europe. certainly not to the united states. still years away from that kind of capability. here is why people think iran is still years away from a nuclear bomb. they don't have the material yet to build the bomb. they have low-enriched uranium. if you want to enrich high levels for a bomb takes at least six months, some people think up to a year. you would most likely see them doing it. they would have to kick out inspectors. start the enrichment. after that another year or two to actually make the device. most of the activities in this iaea report are 10 years old, some 20 years old. they have been certainly reserving it. there is no evidence they perfected it. that is why we have timeline of somewhere between one and five years before they actually have a weapon. the u.s. intelligence does not believe iran made a decision to build that weapon. everything i've seen

confirms that u.s. intelligence assessment. jenna: joe, thank you so much for your expert tees as always. we appreciate your insights. >> my pleasure. jenna: more "happening now" in just a moment. >> thank you. the postal service is critical to our economy-- delivering mail, medicine and packages. yet they're closing thousands of offices, slashing service, and want to lay off over 100,000 workers. the postal service is recording financial losses, but not for reasons you might think. the problem ? a burden no other agency or company bears. a 2006 law that drains 5 billion a year

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something that the company is facing now. >> reporter: that's true. first you need to know if the recall affects you own one of these vehicles toyota will send you notification in the mail. that should start sometime in january. there are no reports of any accident as a result of this issue. the problem we're talking about is a glitch in the steering column which potentially makes the vehicle hearter to steer. this is a worldwide recall but the bulk of vehicles in the recall just under half a million are here in the united states. the issue affecting automaker line of cars is affected you get

something in the mail in next couple months. jenna: rick, thank you. jon: right now at least two women claiming herman cain sexually harassed them will be appearing a the a joint news conference they say. there is no word when it is going to happen. yesterday cain defended himself against allegations that have engulfed his campaign. a new poll shows the scandal seems to be affecting cain's image. according to gallup, his latest positive intensity score dropped to 25. that's lower than his rating before the allegations surfaced. fox news contributor nina easton is a washington columnist for "fortune" magazine. nina, so far the allegations don't seem to have a lot of proof behind them. they are very vocal, very public but not a whole lot of proof. but it is affecting the cain campaign. >> i think the story moved into a danger zone for two reasons for cain. first of all it has gone from allegations to a credibility issue. so cain yesterday came out

and said none of this is true. absolutely none of this. even though you do have women coming forward claiming in their cases it is true. and you have the national restaurant association acknowledging that in two cases there were settlements, one of which i should add cain was not part of or didn't agree to. you have that credibility issue nagging the campaign and secondly it has moved into with these women coming forward it has moved into a stage this isn't a story you just can put an end to. you talked about this joint press conference coming up. so i think this is, more, as these women come forward, as the story stays alive longer and takes more of a to on the toll on the campaign, all of that said there is a still a chunk of the republican party electorate who believe this is conspiracy, a media conspiracy against cain and are going to stand by him. i think a good chunk still will. jon: this karen kraushaar

who filed, who, yeah, settled a sexual ha -- harrassment complaint against him, it has come out she went on to file a complaint, a labor complaint in her next job a few years later. it makes it sound like she is someone who is sort of a serial lawsuit filer but those charges, i mean those, they, it has the effect of sticking more to cain i guess because of his public position. >> well, this is the problem i think whenever women come forward with sexual harassment charges. we saw this with anita hill. we saw this with the first accuser who came public with cain. it becomes your own background gets scrubbed. it is a very risky thing for these women to come forward. none of them, seem like so far, are perfectly perfect candidates shall we say for

making these accusations. seems like more will be coming forward. so again, i mean it's a hard thing. it's a hard thing for these women to come forward. jon: nina easton. thank you. >> thanks. jenna: moving onto another big story today, right now seeking justice for 17 american sailors killed in the attack on the uss cole. this happened of course a little over a decade ago in october of 2000 in yemen. you're seeing some video we have from that month. today the saudi national accused of planning and executing that attack is being arraigned. his trial marks a major first for the obama administration. chief intelligence correspondent catherine herridge is streaming live with more. catherine? >> reporter: thank you, jenna. the arraignment is wrapping up. it is in the courthouse 20 yard over my sold. we're in the courtroom, where we saw the suspect, where anyone outside the

intelligence community seen the suspect in the cole bombing since his capture in 2002. we have the standard picture we use for broadcast. he does not look anything like that picture anymore. this guy is 5'7", 5'8", quite heavy set. he probably gained 30 or 40 pounds. his hair is quite short. he does not have a beard. his deem mean nor in court was extremely relaxed. he gave his attorneys the thumbs up twice. he seemed eager and at times joked with the judge. the judge asked him if he spoke good english. he said no? he said do you want a translator? he joked of course. the judge said he had option of wearing civilian clothes in court. he told the judge he chose to wear his prison uniform. what is also clear the defense in this case will make it a trial by the cia interrogation program and secret prisons and less a trial about the guilt or innocence of their client. what was extraordinarily to me this morning one of the defense attorneys put a series of questions to the judge from the suspect

al-nashiri. he wanted to know the position on the debt penalty. what he defined as torture. if he found evidence of torture in this case. whether he would report it to u.s. bodies or report it to international bodies. in the sentencing phase if the individuals responsible for the cia program never prosecuted that would be a mitigate factor in favor of al-nashiri. this is final point. al-nashiri did not enter a plea in this case. his defense team reserved the right to do that in the future the as you know, jenna, that does not happen in federal court. if someone fails to enter a plea the judge will enter not guilty plea in their place. jenna. jenna: thank you, catherine live for us from guantanamo bay. thank you. >> a 9-year-old who cops say was driving her drunk dad around town. well he is now charged with child abuse. we're going to have the latest on his trial. where his daughter was the first witness to take the stand. and the nation's biggest

mortgage lender apparently needs more money to stay afloat. nearly $8 billion more. where does that come from? bet you can guess. we'll talk about it with charles payne.

jenna: well strolling stories we're keeping an eye on here in the newsroom and from our control room as well. this is the scene today in syria. amateur video reportedly showing more clashes and heavy military in the streets of several cities in syria. activists say 10 people were killed in the violence there after this is coming after a u.n. report claiming 3500 people have been killed in this eight-month long uprising. we'll have more on that as we get it. fed chairman ben bernanke with a message for banks across the country. he is urging them to help small businesses struggling to get loans but easing up on tight lending standards.

we'll see if that works. workers at the seattle zoo are trying to find out how an african lioness escaped from the enclosure. this is not the actual photo of the lion. we want people to know what she would look like. she didn't get far and tranquilized and secured in about an hour, the escape artist she is. jon: that is good news. you see this surveillance video shows the whole thing taking place. a presumably drunk father walking into a convenience store bragging he is been drinking. so his nine-year-old daughter is chauffeuring him around town. rick folbaum has the update on this one and how it is progressing through the courts. >> reporter: shaking my head ever since i heard about this. 39-year-old shaun wemer is in court. facing charges of child abuse what happened 3:00 in the morning one night earlier last month. he went into a store and bragged not only that he had been drinking but his

designated driver was none other than his 9-year-old daughter. and we've got some video here. got to admit this young girl does a pretty good job, pulling into the gas station there, driving this van. she stopped at intersections. she used her turn signals. she obeyed the local speed limit. police say when they pulled her over she was confused why they were stopping her since she was such a good driver. his defense is going to argue because it was 3:00 a.m. and there weren't a lot of other cars on the road, the danger posed was not so great. his attorney wants the charge downgraded to a misdemeanor. the daughter was on the witness stand, first one up. prosecutors asked her if she knew what black velvet was? that is the brand of liquor her dad had been drinking that night. the trial picks up again today. we'll keep you posted. jon: good for her as a driver but too bad she had to be in that seat. >> reporter:. true, true. jon: thank you. jenna: arrests at mexico border are down. that is what the border patrol is saying about one

part of texas. listen to this. critics say law enforcement is cooking the books. that's a big allegation. we'll take a closer look at at live report from texas coming up. big board looks better than it was. down 200 points. stocks taking a dive in the early hours of trading this on fears of a financial meltdown in italy and also concerns about our banks here at home of we're live from rome with the latest

jon: fox news alert. you're looking live at pictures from phoenix, arizona, chandler, actually, where they have finally succeeded in putting out that fire in a tanker truck. two trucks collided on the i-10 freeway during rush hour. very busy freeway. we are told at least one person has been confirmed

killed. authorities evacuated a couple of hotels alongside the highway there. and also ordered that a day-care center near the freeway had to be evacuated. that was diesel fuel apparently that was burning in that truck. diesel fuel not quite as combustible as something like gasoline would be. that's why you don't see basically, you know, the entire truck melted out as you would see if that were a gasoline fire. but one person was killed. they threw the chemicals on it. the chemical foam. finally got the diesel fuel extinguished. but what a mess in rush hour for the i-10 freeway in chandler, arizona. we'll keep an eye on it. jenna: another fox news alert for you here. and this is some new video we got from the white house. let's go ahead and listen to the president. >> we would do a better job here in washington en routing out wasteful spending at a time when families had to

cut back, have had to make some tough decisions about getting rid of things that they don't need in order to make the invests that they do. we thought that it was entirely appropriate for our government and our agencies to try to root out waste, large and small, in a systemic way. obviously this is even more important given the deficits that we've inherited and have grown as a consequence of this recession. this makes these efforts even more imperative. now this does mean making some tough choices. it means cutting some programs that i think are worthy but we may not be able to afford right now. a lot of the action is in congress and legislative and in the budget. i know the joint committee on, trying to reduce our deficits are engaged in a very difficult conversation right now and we want to

encourage them to complete their work but in the meantime we don't need to wait for congress in order to do something about wasteful spending that's out there. cutting waste, making government more efficient is something that leaders in both parties worked on from senator tom coburn, republican, to democrat claire mccaskill. we haven't seen as much action out of congress as we'd like and that's why we launched on our own initiative the campaign to cut waste. not just to cut spending but to make government work better for the american people. for example, we've identified thousands of government buildings that we don't need. some of them sat empty for years. so we're getting rid of those properties. and that is going to save the american people billions of dollars. as part of this campaign i've always asked federal employees to do their part and share their ideas making government more efficient and effective and two of them are here today. i want to introduce them.

roger rhodes works at the department of commerce. raise your hand, roger. there's roger. he found a way to save the department almost $2 million a year on its cell phone bills. i'm sure that there probably is some consumers out there would like to talk to him to find out what they could save on their cell phone bills. celestial is here. raise your hand. she works at the department of homeland security. she is saving taxpayers tens of millions of dollars changing the way the department buys goods and services. so we received nearly 20,000 suggestions from federal employees. i just completed a videoconference with the four finalists of our annual save award. 20,000 submissions by ideas from federal employees how we can reduce waste. eliminate duplication, redundancy, paperwork. and these four finalists have some terrific ideas,

putting books that have been ordered every year online instead of continuing to incur the shipping costs. to having a tool library over at nasa so that instead of buying very specialized tools over and over again for different projects we actually keep an inventory of those tools. in addition to soliciting ideas from federal employees i also tasked vice president biden to work with the secretaries of of all our agencies to identify some systemic areas of potential improvement. travel, transportation, i-t services. all of which we know can save us potentially billions of dollars. in september joe convened the cabinet and has really pushed them hard in finding savings across all our agencies. so, today i'm signing an executive order that builds on their good work. it directs agencies to slash

spending in each of these areas, travel, printing, i-t because we can get better results for less using technology. and overall spending in the areas covered by this executive order will shrink by 20%. members of my cabinet will keep reporting on their progress to joe biden and ultimately to me. and we're going to hold them accountable for meeting this 20% reduction goal. these are important steps that can save taxpayers billions of dollars over the next several years. it doesn't replace the importance of the work that congress needs to do in coming up with a balanced bold plan to reduce our deficit but it indicates once again that there are things that we can do right now that will actually deliver better government, more efficiently, more

consumer-friendly, for less money and we're going to keep on finding every possible way that we can do that, even if congress is not acting. with that i will sign the bill and i want to thank all the officials behind me here today for taking this project so seriously. all right. there you go. >> mr. president -- >> thank you very much. >> [inaudible]. jon: with the flourish of his pen in that fame must left-handed signature the president signs an executive order. looks an awful lot like a bill-signing ceremony. as you probably noticed the president isn't getting many bills through congress these days. so he decided bypass congress wherever he can and issue the executive orders. by the count of our brain room, that is the 9th since the first of august of this year. let's bring in nina eason.

he says if congress is not acting clearly the president trying to portray a chief executive engaged, decisive, taking action even if he doesn't get cooperation from congress or even if congress disagrees frankly with what he is doing? >> this is very much, jon, very much part of his campaign for re-election, is to run against the republican house in particular and make people forget that the senate is democratic. jon: right, he points to republicans in congress a lot when in fact he has had as many difficulties with members of his own party. >> that's right. these executive orders are well and fine and it is a great campaign pitch for him. but the fact of the matter is, this waste and fraud in government is not, he has done this in the past but secondly, it's pennies. this is pennies. i mean how about the simpson-bowles commission, the presidential commission on deficit reduction. >> which he appointed. >> he set up.

he appointed. and he, they came up with really far-reaching proposals that would actually save, go a long ways towards closing the deficit. would save us real money and he walked away from that. he didn't, it turns out was all show on his part. and again i think this is all show. jon: he is playing small ball you're saying? >> he is playing small ball. again it looks good and i don't see and plays again --. jon: i couldn't help but note the pageantry. signs it with a couple bunch of people including the vice president standing behind him as though it was a bill and it is not. >> that is good detail you noticed, jon. that is exactly right.

new tougher sanctions against tehran. this as israel considers possible military options. iran's president vowing his country will not retreat from its nuclear program, warning that it will make the united states regret any hostile action. aaron miller served as advisor to six u.s. secretaries of state and special middle east coordinator. bring in the news we just started the hour with, which has to do with the economy. you say the economy plays a role in the type of policies that we may take. >> nations act in risky and

unpredictable situations. number one can they do it? reality is yes. israelis can inflict damage on iran's nuclear program. we can inflict more. no question about it. the question what will it cost? what will it cost in the event israelis strike iran. and perhaps strike iran repeatedly. you can have a spike in the price of oil. even if the, iranians succeed blocking the straits temporarily and we reopen them, reality, look what the markets did today. down 200 points last time i looked in response to an italian debt crisis? in one country or greece? can you imagine what would happen with oil at $200 a barrel? jenna: what would happen if iran suddenly gets a nuclear weapon? we're look at the stakes here. if that is other side of the coin, what would happen to the economy if there was a nuclear attack by iran

anywhere in the world? >> we have to slow down.

. >> it clearly creates a new, a whole new dynamic, where even iran that didn't pursue its aggressive intentions is still going to be faced with the capacity to block others who may want to thwart it. so, yes, it absolutely gives the iranians an inch tire lee new and different capacity, which is going to affect their names, clearly the israelis, and the

united states. jenna: what is our policy then, what do we do? >> the question is what do we do about it? sanction -rs not going to work. diplomacy is not available. kraoeurp wear fair has delayed the program but it will not work. i agree with you that leaves the default position, which is the prospects of military action. but even military action would only retard the program. it's as if we'd be mowing the grass. the grass is going to grow back. unless you have a regime change, unless teheran was replaced with a regime that didn't want to seek nuclear weapons we have a major problem, because what you'd end up doing is having to cut the grass periodically, every 18 months or so and that creates a situation where you're going to see a middle east in constant turmoil, worst than the one we face right now i'm afraid. jenna: aaron always appreciate

your insight on these things. we will be talking about it more in the days, weeks, and months to come. thank you. >> thank you. jon: well ohio's governor gives a tip of his hat to the opposition today after voters take on two hot button issues at the polls, collective bargaining and the healthcare law's individual mandate. what did the folks there decide in doug mcelway live in the capitol city has a look for us. >> reporter: what happened last night simply reaeu firearms ohio's reputation as a volatile unpredictable swing state. voters produced results which appeared to be diametrically opposed in some respects, and almost counter intuitive. on the one hand they dealt a severe blow to president obama's signature achievement the affordable care act by allowing ohio citizens to opt out of the individual mandate. it passed overwhelmingly.

on the other hand they dealt a large blow to the state's governor and the republican controlled legislature by voting down issue number two which would have restricted collective bargaining rights of public sector unions. the ohio democratic party believes that rejection of issue number 2 sends a powerful message. >> the message is when middle class families react and respond republicans and their far right agenda should pay a little bit of attention. ohio, michigan, wisconsin, these kind of states matter. in ohio we had a governor who over reached, tried to repeal collective bargaining. >> reporter: last night the governor congratulated his opponents on their victory. then he offered a word of warning e. said ohio taxpayers will have to foot the bill for the public sector union's health and public sector benefits. >> as far as local governments go, you know, we'll work with them to help them overcome their

challenges. let me be clear, there is no bail out coming, there is no bail out because flange le frankly there is no money. >> reporter: these conflicting results point out why presidential candidates are going to have to spend a lot of time in ohio over the next 12 months and it makes more truth than ever before than ever before that you can't win the presidency if you don't win ohio. jon: doug mcelway live with interesting results there. thank you, doug. now this fox news alert and brand-new polls just out from rasmussen reports about republican presidential hopeful herman cain. for him the hits just keep oncoming and not necessarily in a good way. the new numbers show cain losing ground to president obama. according to these numbers cain now trails the president by 11 percentage points in a head-to-head match up. just a month ago cain was beating mr. obama by 2. scott mass must and of rasmussen

results the man who compiled these results joins us now. it seems like an obvious question, is it all because of the sexual harassment allegations cain has been tpaoeurgt a couple of weeks. >> you can never answer that question with certainly, obviously that's been the storyline. what we do see in the tphuplts is that over thnumbers, herman cain has not dropped. president obama's numbers have risen. what we are seeing is a growing number of people believe the allegations are both serious and true, that's a problem for herman cain. jon: so you say eye not so muc it's not so much a matter of cain's support falling but the president's numbers rising. >> reporter: that's right. given this choice they are saying we are going to lean in the president's direction. that is not good news for herman

cain but it's not the most devastating of results. if his numbers were falling, herman cain should be very correspond read. at this point he should just be very concerned, i guess. it's still a serious issue, and the growing number of people who believe the allegations are true is a problem for the cain campaign. the fact that only 24% believe his campaign has handled it well is a concern. this is a mixed result over law. two out of three americans say, it's all right, herman cain's ethics are at least as good as most politicians. even among those who believe the allegations are true they say he's asset that cal as his peers. jon: there seems like there is a flavor of the month to the republican campaign. michelle bachmann is up, then she is down. rick perry is up, then he's down. herman cain has been up. you're saying, though, that he's not necessarily dropping. >> reporter: well herman cain is not in as strong a position as

he was a week ago. we have some numbers coming out from a florida primary poll later today. he's still doing pretty well there. this is a difficult time. but when you say flavor of the month, what i think it really is, there is a big debate in the republican party between the people who want mitt romney and the people who want somebody else. right now herman cain is the i'm not mitt romney candidate and he's holding there until more information comes out. most americans, two out of three americans when we asked them about the allegations about herman cain, they may have an opinion one way or the other, but they are not too firm on it. they are waiting to hear more, and we don't know how the story will play out. if the women gather together and have a press conference and the information is credible and damaging, herman cain's campaign will be in serious trouble. if he can deal with it and perhaps change his communications team, it may go in a different direction. jon: as it plays out we'll be covering it.

scott rasmussen of rasmussen reports thank you. >> reporter: thank you. jenna: a new push to build roads and create jobs. sounds pretty good. it's getting bi-partisan support. more on that potential program. the dow down more than 200 points. over concerns of what is happening in italy and overseas in general. also word of some bail out money for fanny mae. congress has been slow in trying to fix this problem. we'll see if charles payne has the answer right after the break. what's better than gold ?

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jenna: a fox news business alert for you now. the the market is trading lower, and they really are worldwide. italy may be being simply too big to bail out. in the meantime we have a bail out story for us right here at home. fanny mae wants more money. that is the nation's biggest mortgage lender. tp-pbee wants nearly $8 billion in government assistance, that is taxpayer money, that is coming after loosing billions of

dollars last quarter. charles payne is here with us. charles, the trerb rise on the hook nor fanny mae and freddie mac, right? unlimited assistance, isn't that just part of what is going on now. >> reporter: that is right. they slipped it on us about a year ago. between fannie mae and freddie mac they are closed to 200 billion. one of the craze eye aspects of it is they still pay a dividend. part of the money will come from the government to pay the government back a dividend. that is the ultimate ponzi scheme shell game and i guess some politician will say, hey at least they are paying us a dividend. it's the kind of stupid thing that sort of got us in trouble in the first place. jenna: taxpayer money goes to them and taxpayer money goes back through the dividend. okay. the associated press put it this way congress has made little progress in figuring out what to to with fannie may and freddie mac. what is the solution here. >> reporter: without a doubt it's a gigantic behemoth.

i think it's been a major mistake by the administration to pushout would be private lenders, to pushout the private sector so that the only thing that is left standing is fanny mae and freddie mac and it's one of these problems that continues to get worse. ultimately they have to be closed down and shut down and dissolved, although i will admit doing so is a lot easier said than done. jenna: that is true, charles, and the timeline on that is very unknown. real quick here let's talk about italy. i mentioned in the top of the introduction that there are concerns that italy is similarly tosimply too big. we don't have a bail out plan to figure out what happens if italy goes belly-up. >> reporter: yesterday silvio berlusconi said he was quitting. someone woke up and said hey we have 120% of our debt to gdp rey she oefplt the country is in a lot of trouble. the annual growth has been 3/4s of 1%.

the roosters have come home. i don't know how they will handle this per se. look at all the effort that went into fixing greece and even that is a major problem. this is the third largest economy that uses the euro. you keep getting this feeling that we will be sucked in. it's kind of ironic they were trying to explain to the chinese why they should use some of their $3 trillion in cash sitting around because ultimately it's going to hurt you guys too. everyone involved in the would-be solution over there going around the world trying to figure this out, in the meantime italy is coming up with some solutions. one of them, they are going to keep stores open and sundays. jenna: really? that's really part of the solution. >> reporter: that's part of the solution. they are going to get young people hired, women hired, move the retirement age to 65. these are drops in a bucket and you understand why they got in this problem in the first place. jenna: a little church, a little shopping, i can see how that could work. we'll see what happens. >> reporter: it's hammering the

market today. jenna: down 240 on the dow. jon: i was in italy a few weeks ago driving the rental car around and with all the money they charged me for tolls it's pretty hard to believe they are hurting. jenna: italy is known for a lot of good things. and i say this as half italian. pasta, fashion, money management not necessarily. jon: why don't they sell the mona lisa, that would probably take care of their debt. jenna: that's a thought. i think it is in france. art history is not my thing. go ahead, jon. jon: there is the disappearance of a 2-year-old boy to tell you about and police now suspect foul play, what investigators are saying about the mother's story, plus a scandal ending the career of the winningist coach in college football history. penn state's joe paterno says he will hang up his cleats at the end of the season this after the arrest of a former colleague on child sex-abuse charges. what did joe know?

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jon: there is a new effort on capitol hill to try to create jobs, this time by rebuilding our nation's highways and bridges. this bi-partisan move could change the way your transportation dollars are spent. chief washington correspondent jim angle is live with a look at that from our d.c. bureau. >> reporter: in a remarkable burst of bi-partisanship a senate committee unanimously passed a bill to repair the nation's infrastructure today dropping any effort to pass president obama's bill which he argued was urgent. everyone prais praised the new bill, the only mention of the president's effort was not complimentary, listen. >> just last week we had an exercise on the senate floor

over infrastructure. and i use the word exercise because these what it was. it was a political exercise essentially designed to fail. well this is a jobs bill, this is an infrastructure bill which is designed to succeed and can succeed. >> reporter: now, unlike the president's bill, which divided congress, this particular bill, the new senate bill, which also fixes infrastructure and creates jobs and has broad by partisan support, the chairwoman of the committee said it would create a lot of jobs. >> i continue be mor continue be more proud today to be chairman of this committee. the bill before us is completely by par by partisan. >> reporter: much of the president's proposed spending won't have come for years. >> according to cbo less than

one tenth of the funds in the democratic proposal will be spent last year and roughly 40% won't be spent until after 2015. after 2015. this hardly matches the president's call for doing something, quote, right away. second, it costs another $57 billion we don't have. >> reporter: now today without the president involved in the process there was no political jocking, the last highway bill had 6,000 earmarks, this one has none and members of both parties were so supportive that the tkepl strat tiff senator said the name of the committee should be changed to the goodwill committee. that is a far cry from last week apartments exercise in which the president sought to tar republicans for resisting his proposal which now even the democrats have dropped without so much as a kind word. jon: so it is possible to get some things done in washing tops, is that the moral here.

>> reporter: apparently and these people are working on it, so much so that they even declined to offer new amendments today because they didn't want to slow down the process. jon: unbelievable. gym angle. thanks. >> reporter: you bet. >> to be honest with you and you could probably hear it and i apologize to you, i get mad, and it's -- it's pretty disturbing. >> it is, it's a program, it's like family for you matt, and i think we all understand that. >> yeah, it makes you sick. jenna: that is the emotional reaction of matt millen former penn state football player and board member of the charity founded by jerry sand r-r. sand shinmoedake the former football coach charged with sexually abusing young boys. as we've been reporting to you penn state coach joe paterno

will retire at end of the season, there are calls for more rest eug nations and questions about what some are calling a university cover up in awful this. annie staples is a reporter for sports i will straight, and fred tisi is a former federal prosecutor. there is a legal size to this and also an ethical side to this. that's what you touched on in illustrated.com when you addressed this as a journalist but also as a father. you said there is really no defense for joe paterno in this story. explain that. >> well, basically he got a report the sexual activity involving a grown man and a young boy in a shower in his football facility, and he did run it up the flagpole, so legally he's covered. he went to the ad. but at what point do you try to find out more? i mean that is a crazy thing to hear. won't you want to know every single thing about it then you find out that jerry sand r-r has been spotted in penn state's complex as recently as last week.

so it's pretty disturbing to think that these guys knew and nothing happened. there are victims who have come forward who said that things happened between them and jerry san sandusky between that report in two and now. those victims, you know, could have been saved if somebody had done something then. if your joe paterno you're the most powerful guy at the school. if you want something to happen you can make it happen. jenna: fred, what do you think about that, just legally from a legal standpoint. >> reporter: i can tell you right now that joe paterno has not been charged with any kraoeurpblgs he will not be charged with any crime and his testimony in front of the grand jury was deemed to be credible. joe paterno has no legal obligation. i do want to touch on quickly, jenna is the fact that people forget that joe paterno also went to gary schultz who was in charge of the penn state university police department. that is a department with 46 armed officers who by statute in pennsylvania have the same authority as the state college

police. so don't tell me that paterno didn't go to the police. schultz is the guy who quite frankly is responsible for the cover up, in my opinion, and for the damage to joe paterno's reputation. >> i can go to the police right now, 911. 911, that is how you go to the police. >> reporter: you know what when i was a federal prosecutor do you think bill clinton would have called me up, he calls janet reno who calls me e. went to the guy who is ultimately in charge which is his responsibility. >> it's a little boy. jenna: you have to think about the victims. sometimes we forget about these in the conversations of bigger names. real quick, fred, about 30 seconds and i'll bring you back after the commercial. fred, the police were aware of a charge in the late 1990s, they supposedly investigated and they simply told them according to the grand jury report, don't shower with young boys. is the police department in trouble? i only have about ten seconds.

>> reporter: no, schultz knew and he never told the police. jenna: gentlemen, stand by i've got to take a quick break. obviously a lot to this conversation. we want to have more of it in just about three minutes. thank you. almost tastes like one of jack's als. fiber one. h, forgot jack cereal. [ jack ] what's for breakfast? um... try the number one! [ jack ] yeah, ts is pretty good. [ male announcer ]alf a day's worth of fiber. fiber one. so i wasn't playing much of a role in my own life, but with advair, i'm breathing better so now i can take the lead on a science adventure. advair is clinically proven to help significantly improve lung function. unlike most copd medications, advair contains both

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jenna: back with us now, andy staples, reporter for "sports illustrated." fred tecce former federal prosecutor. we're talking about the scandal that rocked penn state university and the football program there. fred, we ended with you there. schultz, the vice president at university.

you say he is the one to blame if potentially there is cover-up. if he did not come to the right people to talk and report about the sexual abuses happening on campus, what is the punishment legally for him? >> i've got to tell you, first of all he is charged with failure to report which is a violation under pennsylvania law. forget legally, morally, this guy allowed a predator to continue, to prey upon young boys. i think what this guy did is outrageous. jenna: the alleged predator is out on pail. -- bail. $100,000. is that typical, fred? >> you know what? the guy had no priors. he has strong ties to the community. you know i think at time only eight victims, only eight, as horrible as that sound, i heard late as yesterday that number will double. i would not be surprised to see his bail go up significantly. jenna: andy, you really touched on something in your article, by the way we'll post some links to it to check it out. it touched on something as a team.

not just about as you mentioned a football program. this is also about people in the community that we look up to. heroes if you will. your father and you addressed this story as a father and also someone likes to watch these sports, how do you even make sense of this right now? is it repairable? >> well, this is not repairable. kids got abused. that is never something you can repair. can penn state come back and be the penn state football program be something people can be proud of? absolutely. the people who were involved in this need to be gone. when they're gone, clean slate. the graduates of penn state should still be proud of their university, should is be proud of their football team. they should feel bad this happened and because some people didn't do what they were supposed to do but that doesn't mean the whole university should go under a cloud. this was the act of several people who for whatever reason, didn't do what they were supposed to do. it is their fault. it is not the school's fault. it is not the football program's fault. it is not football players

fault. this is few people who need to be punished, castigated, whatever you want to call it because they could have done something and didn't do it. jenna: not the fault. victims. often easy to forget those innocent in a story like this who don't have a voice, who are not coming out. we remember them. there is lot more to this story coming over next several hours and days. we look forward to you joining us. look to have you back, fred and andy, thank you very much. >> thank you. jon: big votes in mississippi on several controversial ballot initiatives. among them, a definition of when life begins as well as eminent domain. but it appears the biggest election day surprise has nothing to do with either of them. john roberts live in jackson, mississippi, with a look. john? >> reporter: good afternoon to you, jon. a day of firsts here in mississippi. first time voters chose back-to-back republican governors.

if the numbers hold it will be the first time since the civil war era republicans controlled the house here at the mississippi capitol. as many firsts there was important second, a second defeat for so-called personhood amendment. went down in flames yesterday, 59-41%. governor haley barbour raised concerns about possible unintended consequences as the abortion initiative as it was as known saying it could affect things like women's health, in vitro fertilization which is blessing to so many voters and pro-life voters were probably ones that defeated this amendment. governor barbour says the way this amendment was conducted could be damaging to mississippi's pro-life perception. >> it just is a shame that some people's idea that they could bring to mississippi what they couldn't pass in colorado ended up making us look much less pro-life than we are because it wasn't done the right way. >> reporter: yeah.

supporters of that so-called initiative 26 obviously disappointed. they say opponents misled people with these dire warnings what might happen. les reilly headed up yes on 26 coalition said they will continue to fight this fight. >> don't bode well humanly speaking but defend i think we've caused people to have conversation very healthy in the state and i think the personhood is the right approach to the pro-life movement in the 21st century. eventually we'll win. >> reporter: in fact personhood usa which is the umbrella organization spearheading this hoping to get similar initiatives on the ballot in six states in 2012. it was an interesting political strategy that governor barbour pursued. he voted for this amendment while at the same time warning about potential consequences, unspoken words were i have to vote for it because i'm the governor but you don't. jon: interesting. so we'll hear more about

some of these measures it sounds like? >> reporter: yeah, in the future but we'll also be hearing more what happens here in mississippi with republicans look like having their hands on all the levers of power here. jon: john roberts. thank you. jenna: we got a shot how nicely i was listening to john roberts do his report there. jon: we appreciate that. jenna: really listening to him. listen, the world markets are down and we certainly have our had our share of serious stories over the last hour. listen to this one. a gambler goes for broke and walks away a millionaire. how this 22-year-old became an instant winner next. ♪ . [ male annouer ] juice drink too watery?

♪ feel the power my young friend. mmm! [ male announcer ] for unsurpassed fru and veggie nutrition... v8 v-fusion. could've had a v8. co44. >> hey, everyone, i'm megyn kelly. we've got breaking news in the baby lisa investigation.

a shift in the time line of events that night. that could potentially change everything. trace gallagher has a comprehensive report and mark fuhrman is here with analysis. plus congresswoman michele bachmann says president obama needs to apologize to israel's prime minister for his, president obama's, caught on tape comments about mr. netanyahu. he is here live. attorney general eric holder going after the state of alabama's school records suggesting possible discrimination in the wake of alabama's tough new immigration law. it turned into the showdown between the state attorney general and the federal attorney general. kelly's court takes a look. plus we're learning a whole lot more about the backgrounds of some of these herman cain accusers. see you at the top of the hour. jon: we are america's election headquarters. in virginia republicans took control of the state senate, a big win for them. it raises questions about which way the old dominion state will go in 2012.

remember, virginia went for president obama in 2008. let's talk about it with stuart rothenberg. a columnist for "roll call" and editor of the rothenburg political report. reading the tea leafs based on this vote yesterday. republicans really wanted the virginia legislature and they got it. what does it mean for the president a year from now? >> for the republicans in the short term they will draw the congressional districts for virginia to protect some republicans. look are ford wad in the presidential race, the outcome in the senate in virginia is 20-20. they control it because they have the lieutenant governor can break ties. 20-20 in my books isn't overwhelming indicator of strength for one party or another. i think we have to consider virginia a very competitive race, a tossup for the next presidential. maybe give republicans a slight advantage as long as mood is generally for change and as long voters are still unhappy with the president's

performance particularly on the economy. jon: speaking of that, the gallop organization took a poll, recent poll how the voters are feeling about the president and his economic performance. on the economy 2/3 of the country disaproves of the job he is doing. only 30% approves. pretty tough to get reelected with numbers like those unless those change, stuart? >> yeah, as absolutely. that is hard. we call that the president being upside down with higher disapproval numbers than approval numbers. it is not supposed to be that way if you're a politician. i think what it means the president has to change what the election is about. this isn't the first time your viewers will have heard this. the white house has to change this from a referendum on barack obama's performance, particularly on jobs and the economy to a choice. you have to portray republicans as intransigent. they're stopping progress. they won't allow him to improve the economy, to create jobs. got to make it more of a referendum on the republicans who he is going to brand as tea party and

extreme. if he can do that he has a chance. if it is about his performance over the past three years, 3 1/2 years, then he has a difficult time. jon: so that may be reflected in this poll, "the wall street journal"/nbc news poll which askses voters do you think the country is on the wrong track or the right track? 73% say we're headed in the wrong direction. so what you're saying is that if the president can successfully ascribe the blame for that wrong direction to anybody other than him he might stand a chance? >> exactly. that is a great poll question. i use it all the time. a number of surveys use it. it is about the mood and the mood right now is negative, pessimistic, angry, disappointed. people have different kinds of particular emotions but they're all, they all feel worried, afraid. the right track wrong direction not only mentions, measures the mood now but where people think we're going.

and if the president could just turn the corner on some of this, on jobs and the economy, we could still be in a hole but people would think we're headed in the right direction. as long as the wrong track numbers are that high it is very difficult for any incumbent, republican or democrat. jon: virtually three out of four say we're headed in the wrong direction that is tough to turn around. stuart rothenberg. thank you. >> sure. jenna: another strange twist that you might not have heard of in the penn state scandal. the prosecutor who decided not to press sexual abuse charges against the former coach years ago, suddenly disappeared. and there is more questions about this. rick folbaum has more next. i habe a cohd. yeah, i toog nyguil bud i'm stild stubbed up. [ male announcer ] truth is, nyquil doesn't un-stuff your nose. really?

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jenna: in the wake of the sex abuse scandal at penn state reports now indicate there were suspicions about assistant coach jerry

sandusky dating back years. in fact there was an investigation by the campus police as well. why was he never charged back then? rick, you have a twist to this story that we thought we needed to share with our viewers. >> reporter: that's right, jenna. these are charges from the late '90s, 1998 to be exact. when the local d.a. was apparently looking into charges that sandusky was seen showering with an 11-year-old boy, ray gricar was the district attorney at the time and he never brought charges. some say it was because involved the beloved penn state football program but former colleagues of gricar say that could not have been the case. ray gricar himself can not be asks these questions? why? because five years ago he disappeared. one year ago he called his girlfriend to say he was going for a drive and never came back. his car was found 50 miles away in northern pennsylvania. inside the car his cell phone and laptop, minus the hard drive. that hard drive was found later in a nearby river but

too damaged for investigators to see what was on it. despite extensive searches and claims of sightings over the years, gricar's body has never been found? is there any connection here? obviously way too soon to say. with the penn state scandal growing by the day questions what happened to ray gricar will no doubt be raised once again. jenna: we'll continue to watch it. jon: i remember when he disappeared. it was a big story. we covered it alot and nothing. jenna: like so many stories, suddenly goes cold. jon: there is also this search underway, the search for a missing missouri baby. it has taken another bizarre turn. we have exclusive new details on the hunt for baby lisa just ahead. when you have diabetes...

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with an attack on the headquarters of a major political party. in alaska a major storm causing serious damage. waves are pounding the coast. experts say ice that usually protects the coast simply hasn't had the chance to form this year, there goes that protective layer. this is something we'll be watching. look how big that storm is. lady luck was with one young man from germany as he went from amateur player to world series poker champ. jon: what's with the hoodie? jenna: jon, everyone has tear own style. some like the sunglasses, some like the hood. he can do whatever he wants now. the 22-year-old was weighing whether to play cards full time early this year. now he's weighing what to do with his $8 million reward. congratulations to him, world series champ for poker.

jon: 8 million bucks for playing cards. jenna: 8 million. are you a good poker player? jon: i don't play at all. jenna: really? not a gambler? i can't do the whole poker face. i give everything away. jon: i gave up cards after my older sisters beat me in fish, and that is a good thing. when you're the youngest of six there are a lot of sad stories, jenna. jenna: fair enough. jon: congratulations to ps hines, 8 million bucks. kids don't do this at home you're not all going to win that kind of money. jenna: thanks for joining us. jon: "america live" starts right now. megyn: fox news alert on a new challenge facing the republican candidates preparing for tonight's showdown in michigan. welcome to "america live," everyone, i'm megyn kelly. the gop rifles now just hours away from a debate outside of detroit. political analysts are pre ticketing that tonight's debate kicks off what theyal