bream. we love to hear your thoughts. gregg jarrett and heather childers is going to take it from here. thanks for watching fox news, where we report and you decide. >> gregg: i'm degrees generator. glag glad you are with us. welcome to a brand-new hour. >> heather: i'm heather childers. go to the news, democrats start arriving for their big convention in charlotte. and fox news is there. we'll have a live report from there and we'll find out what both presidential campaigns are doing today. >> gregg: as the drew peterson case reaches the final stages our legal panel is here to weigh in on explosive testimony from a defense witness that might have been hand picked by the

prosecutors. >> heather: one of the most controversial and influential religious leaders has died. we'll take a look back at his of reverend moon. >> gregg: a mandatory evacuation is lifted in louisiana but emergency officials say the threat of flooding from hurricane isaac is not over yet. their concern about a lock along the pearl river. if it does, that could send even more floodwaters rushing into dozens of neighborhoods. in the meantime, other hurricane evacuees getting to head back to home and take a look at damage there. >> part of living on the river. you are going to eventually live in the river. >> today we're watching the water go down and get back and salvage whatever we can. >> we are in the process of moving. >> and now? >> now we're in the process of

rebuilding. >> gregg: floodwaters are receding in some areas. casey stegall is live in new orleans. a lot of folks are still in the dark there. have you gotten any updates on when these people can expect their electricity back. >> reporter: it looks a little bit different back here behind me when we were talking live on the air the other night as isaac was coming ashore. the sun is shining and that is certainly a welcome news for a lot of people to start drying out this drenched region. you talk about the power, 240,000 people still do not have electricity at this hour. some five days after isaac came ashore. they have been making progress, down from the nearly 800,000 who were without power at the height of this storm. it is making things as you can imagine pretty miserable for people, especially who have no air-conditioning as the heat index forecasted to be triple-digit temperatures today.

nearly $15 billion improved levee flood protection system in and around new orleans fared quite well. this was built after hurricane katrina but not so much in a parish, a community built, not a federal levee but community built earthen levee was overtopped and set floodwaters up to second story windows. people had to be rescued from the roofs of their homes. some of the residents called it their own katrina. so to help alleviate the problem he are is what is happening. crowds have been working to intentionally breach the levee there. cutting big holes in it to drain the water out of the town, a whole lot faster. >> we're making a lot of progress. we have a lot of work to do still but the plan we have is working and has been working for the last three days. >> reporter: we know that it is

working because the latest reports out of that community are that the water levels have dropped more than a foot in the last 24 hours. if mother nature continues to cooperate we continue to get the sunshine, hopefully this region is going to start drying out. >> gregg: casey, i understand the top federal officials visiting the region, who is coming? >> president obama is going to be here tomorrow. he is going to be meeting with some of the local leaders, most likely will be meeting with the governor of the state, bobby jindal and janet napolitano is here today. earlier she was up in portions of mississippi because obviously it wasn't just louisiana that was bat beird this storm. mississippi and alabama got hit pretty hard, too, so napolitano was meeting with officials seeing some of the damage for herself. she was making her way down to louisiana area, slidell where shepard smith did a fox report earlier this week on the north

shore of lake that had flooding as well. >> gregg: casey stegall, thanks very much. >> heather: isaac has not completely died out yet. parts of the country are still dealing with rain from the storm including some areas that had been hit hard by drought. maria molina has the details. >> we're still tracking what is left of isaac, now an area of low pressure with showers and storms and heavy downpours across places like ohio, indiana kentucky and tennessee where we need the rain. big story across parts of midwest how dry it's been. the worst type of it for some people. we're seeing the rain where we need it. indianapolis seeing the rainfall right now. we do have a bad side of the rain because some of the rain will actually come in the form of severe storms. i do want to show our drought

monitor where we have some of the drought conditions. worst of it in southwest parts of indiana, western parts of kentucky and tennessee. where we're seeing the rain and what we've been seeing over the last 24 hours, some good news but severe weather across parts pats northern parts of mississippi, up into tennessee and parts of kentucky. biggest concern for today is going to be the rick for large hail, damaging wind gusts and isolated tornadoes, includes memphis and birmingham. you need to stay alert throughout most of day as you do have that risk for tornadoes, because of that risk we already have a tornado watch in until 10:00 p.m. local time and that is central down into central tennessee as an northern parts of alabama. we will keep you updated. they are slow movers producing heavy rain in very short period of time and also producing dangerous lightning and you can

hear all that thunder as the storms roll through. right now, no tornado warnings but we'll bring you updates that develop. >> heather: thank you very much. meantime, initial estimates are out how much damage usual hurricane isaac has caused? >> the number right now is 1.5 to $2 billion. compared to katrina's $42 billion price tag. mississippi, always are the key stakes. gregg? >> gregg: republicans made their case now the incumbents turn. president obama holding a campaign rally in boulder colorado. he is barnstorming through battleground states on his way to the democratic convention in charlotte. mike has more. ahead of the democratic convention there, there was one question asked a lot today, what

was that? >> reporter: gregg, george stephanopolous and chris wallace asked advisors, are the american people better off than they were four years ago. pretty basic question on fox news sunday. david axelrod dodged the question. wallace pressed again and here is axelrod's response. >> the average american recognizes it took years to create the crisis that erupted in 2008 and peaked in january of 2009. it's going to take some time to work through it. >> reporter: in the heightened political season republican national committee said even obama advisors can't say conclusively national american people are better off than they were four years ago. expected republicans to bring that up time and time again this week. >> gregg: that was an idea and question that dogged jimmy carter on his reelection

campaign. how are things shaping up in charlotte? >> reporter: looking around town here in the the city we have seen a lot of security buy up, barricades are up. no parking signs are out. police are out making their presence felt. as you would expect for an event of this magnitude where the president of the united states and vice president and others will be coming to town. inside a rena the home of the charlotte bobcats but they have put a lot of technology into the inside to make this quite an interactive show for people that coming down to the democratic national convention. there will be live streaming over the internet and a lot of technology used to try to bring this event to as many people across the country. >> gregg: mike live in charlotte. thanks very much. fox news channel is the place for complete coverage for the democratic national convention. all the action beginning tomorrow both from the air and

our website, check it out at foxnews.com. >> heather: returning to the preponderance presidential campaign, governor romney will keep a low profile during the dnc but is addressing the so-called gender gap. >> i'm hearing from so many women that may not have considered voting for republican before that said it's time for the grownup, the man that is going to take this very seriously and take the future of our children very seriously. >> heather: steve is live in washington for us with the latest on this. >> reporter: after accepting the g.o.p. nomination, mitt romney hit the campaign trail in ohio and florida and questioned president obama's record saying that he hasn't kept his promise when it comes to creating jobs. >> he said he would measure the success whether people could

find good jobs. we have 23 million americans out of work or dropped out of work force, can't find full time work. if there is a coach whose record is zero and 23 million you get rid of him and get someone new. [ cheers and applause ] >> i don't like the way this game is going under this president. >> reporter: romney, of course, will continue hammering away at the economy and washington economic statistics very carefully, jobless figures. on top of that he will continue to ask americans the key question -- are you better off than you were four years ago? one key republican newt gingrich suggested that president obama hasn't done anything, he hasn't done the right thing. >> president got the stimulus plan he wanted with no one reading it. he got every single dollar. the president rammed through obamacare, the largest change in

the size of government in modern times. he got it done. the reason people say, he didn't get nig done because it's failing. >> reporter: as they gather for the big convention in charlotte, mitt romney plans to spend the week preparing for the presidential debates in october which will be very important for him and both sides. >> heather: thank you very much. >> gregg: a bombshell resignation rocking the white house. suzanne barr, chief of ice customs and enforcement has quit on claims that she sexually harassed other employees. >> reporter: she first made news about two weeks ago for allegedly telling a colleague he was a sexy expletive. now making news for telling her boss she is stepping down. the former chief of staff voluntarily placed her place on leave but he is leaving for good

as she wrote in a letter, in recent weeks i have been the focus of unfounded allegations designed to destroy my reputation but of greater concern is the threat these represent to the reputation of this agency and the men and women who proudly serve their country by advancing ice's mission. it was three paragraphs long. ice's response was two sentences. director mortgaged on has received her resignation. we wish her the best of luck. chairman of the homeland security committee went into farther greater concern ex expressing far more concern. the resignation raises questions about personnel policies at the department of homeland security. the committee on homeland security and intensify it's review of all the facts regarding this case and

personnel practices across the board. suzanne bar says the allegations against her are without merit and she is confident in time her reputation will be restored. >> gregg: peter doocy, we're going to have a fair and balanced debate go b this very controversy a bit later in the show. >> heather: receive land sun moon has died. he it was self-proclaimed messiah and leader of movement known as unification church. it claimed millions of members worldwide. it gained fame by holding mass weddings and built an em financial empire. he was 92 years old. >> gregg: as the crews are putting the finishing touches on democratic national convention. protestors are making their

voices heard. what they are angry about. >> heather: an update on a story that outraged. parents of a young deaf boy say school officials asked him to change his sign language name. we'll tell you why and what the school district is now saying. >> the encouragement and support is amazing. it's more than i could have asked for and been extremely helpful.

>>. >> heather: time for quick check of the headlines, crews working around the clock to restore power to louisiana residents after hurricane isaac barreled through the state. nearly 250,000 customers are still in the dark. a team of experts trying to save five stranded pilot whales after they came ashore off on a south florida beach. seven whales died. >> protestors taking to the streets in charlotte ahead of tuesday's democratic national convention. the crowds rallying against war, immigration and so-called abusive bank practices.

>> gregg: federal reserve board chairman ben bernanke expressing grave concerns about the job market, he is open to more quantitative easing by printed can more money to buy more government bonds and keep interest rates lower really fix the problem. brenda buttner is the anchor of "bulls and bears". good to see you. when bernanke uses term by describing the economy, tepid growth, far from satisfactory. average person would say, the economy is off a little bit and stinks. >> i don't think you will hear that plain spoken english from any head of the fed. you don't do don't want to hear those words. but what he is going to do is qiantd at a time i have easing for fancy talk to britain more

money to buy more bonds. wall street likes that. that is not bad in an election year. >> gregg: what does it do for the economy. i was reading a column in the "new york times" post comparing bernanke to bill murray. it was a good line. he has awakened every morning for the past four years and faced the same problem and trying to deal with the same solutions he came up with the same unacceptable results. is he right? >> the problem here is that the fed usually to help the economy or help a recovery, it brings down short term interest rates. right now, interest rates are between zero and .25%. so what they are trying to do is buy more bonds. a lot of people says it does no good, wall street goes up and then it pulls back. it doesn't help savers.

we've got interest rates way down. that is an unintended consequence. real problem this take the heat off the lawmakers because the real power here is not monetary policy, it's fiscal policy. >> gregg: and the president's fiscal policy has been stimulus. if you look at where unemployment was when the stimulus begin, it's pretty much flat. it's the same? >> yes. we were told it would be below 8%. it's really important to realize over in europe, it took high interest rates to finally get them to look at the debt. it takes the heat off of washington. >> gregg: we're about trillion dollars more in debt because of that fiscal stimulus? >> right. >> gregg: which reminds margaret thatcher's quip, eventually you run you the of other people's

money. but spending you run out of money? >> yes, you do. unless you can print more dollar loses value. the other things happen you get inflation. that is what the fed is supposed to fight. there are many on the federal open market committee that do not agree with bernanke, but it still looks like that he has the majority. >> gregg: he doesn't see inflation on the horizon, do others? >> yes. you go to the grocery store and you see that there is inflation. the government's official definition of inflation is not held true here, but for most people to buy gas, to pay for college, whatever, there is inflation. >> gregg: i mentioned trillion dollars in debt because of the stimulus, there have been a couple of them. the president argues well we need to tax the well think. that would gain about $70 billion per year under which

sounds like a lot of money until you look at budget which is $4 trillion and current budget deficit for this year is $1.65 trillion. so $70 billion is going to pay for beer and cigarettes. >> so it's actually hurts small business owners so taxing them would not help the unemployment rate zbloog brenda buttner, good to see you. catch her at 10:00 a.m. eastern time right here on the fox news channel. >> heather: have you heard about this story, one school district in nebraska is finding out the power of outrage across all the country. they have gotten thousands of angry e-mails over alleged treatment of a three and a half-year-old hunted are, she deaf. his parents say that teachers at his nebraska preschool asked him to change his sign language name because the sign language name

for hunter apparently resembles a gun to people. that violates the weapons policy. when word got out about his treatment. public outcry was so great. the school released a statement. we north requiring any current student with a hearing impairment to change his or her sign language name, our mission remains every student every day a success. >> gregg: president obama exchange in colorado holding one of last rallies before the democratic convention. ed henry is there. >> reporter: the president just had a huge rally about 13,000 people. some of his top advisors are having a hard time answering the question, are we better than these are hot. s pping 'em everywhere. but we can't predict our shipping costs. dallas. detroit. different rates.

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>>. >> heather: bottom of the hour, time for the top of the news. severe flooding in the aftermath of hurricane isaac. thousands of evacuees remain homeless, nearly 250,000 people are without power. president obama will visit the region tomorrow. >> gregg: it's also spawning severe weather warnings. isaac is bringing much needed relief with rain through the

ohio valley. >> and federal officials are investigating what went wrong during an air show in eastern iowa yesterday. the pilot of a soviet air jet crashed into a field and was killed. no one else was hurt. >> gregg: president obama making his case for another four years in the white house, vice president joe biden now making remarks at the national railroad museum in green bay, wisconsin. there is a picture of the veep. a little while ago he wrapped up a campaign rally in boulder, colorado. he is hoping to recapture the magic of 2008. he wants to convince voters he deserves a second term. ed henry is with the president in boulder. president obama has been attacking governor mitt romney's convention speech giving a preview of his own. >> reporter: he certainly is. he had a large crowd at campus of colorado university of boulder.

13,000 people but i ran into a romney campaign official watching it, there is home crowd for the president, young people that turned out for him in 2008. he isn't expanding his base. a base got the president a pretty big victory in 2008. his case is all about the economy. you are right. he was previewing the big convention speech on thursday night and trying to make the case that his economic vision is better than romney's. take a listen. >> the economy is not doing what it should be, it's all about obama's fault. that was the key theme, and governor romney knows a secret to creating jobs and growing the economy. then there was a lot of talk about hard truths and bold choices, interesting things was, nobody ever bothered to tell us what they were.

when governor romney finally had a chance to reveal the secret sauce, he did not offer a single new idea. >> reporter: we'll see whether or not the president has any secret sauce in his convention speech. president is happy with the current draft of that speech but she still tinkering with it. he has been working on it aboard air force one. >> gregg: no more car in the ditch we have a different analogy. tell us about the strategy hitting the ballot ground states? >> i've been coming to battleground states, again and again, even though they have small number of electoral votes, bottom line is two reasons. one, there is early voting in these states. obama campaign, president can make his case now. he doesn't have to waited until november, people can vote.

this race when you look at real clear politics, the average of these polls including colorado is 50/50, it's razor thin on each side. they have to fight for every electoral vote whether a big stated like florida or ohio or smaller states like this one. >> gregg: ed, thanks very much. >> heather: president obama president obama is slamming governor romney and the republicans for their plans on restoring prosperity. is this a good strategy for the president as he gets ready for the democratic national convention. let's bring the panel, brad blakeman and julie ridinski, a former acknowledges director for democratic senator jon corzine of new jersey. thanks for joining us.

here is the fact. unemployment is at 8.3%. democrats say that president obama's policies are helping the u.s. climb out of the recession that he claims he inherited and accusing governor romney of seeking to return to the same policies that led to the economic meltdown. do you expect democrats to stay on the defensive through their convention? >> i think the republicans went first. what you see the incumbent party that is not being defensive. that is simply saying there was case made or not really made by mitt romney why high would be the better nominee. i don't think mitt romney made that case or we didn't hear any specifics what he would do. after that barack obama talks about what he intends to do the next term. that is very general with what happens with the incumbent party. that is not being defensive again. that is rebutting what the

previous party. >> heather: so is it winning strategy for the democrats? >> it is not, but the only thing they have. if you can't talk about your accomplishments. look at david axelrod on fox news sunday. ee he was asked by chris wallace are folks better off today than four years ago and he could not answer the question. this is part of the democrats 3-d strategy, distort the romney record and distract on your abysmal record. it won't work and democrats were listening, they would have heard specifics. we're going to get government out of way of people. we're going to deregulate and lower taxes across the board. we're going limit government spending and reduce the deficit if that is not the plan for action, if that is not a plan of success, i don't know what more republicans going to do. >> how are you doing that. romney didn't lay out how he is going to that.

>> we're going to reduce spending. >> how are you going to do that? bottom line, paul ryan presents a budgeted that he walking away from. there is no way that any of these budgets add up to reducing the deficit. >> did obama or did he not produce a budget since he has been president and did one democrat vote for it. >> by law you have to produce a budget. >> which passed. >> no the house republicans refuse to vote for the budget. >> that is right. not one democrat would vote for it. >> when have you had a republican president that gets every single thing he wants on the budget. you know better. >> heather: okay, all right. >> you know that too, brad. >> i want you to respond to this. you were talking about debates, in his 2008 acceptance speech, president obama declared this.

listen. >> we measure progress in the 23 new million jobs when bill clinton was president. when the average family saw income go up $7500 instead of going down $2,000 like it has under george bush. >> heather: all right. julie, it turns out according to an analysis, median incomes since june 2009 has declined 4.8%. since 2007, has declined a whopping 7.2%. how does the dnc overcome that reality this week? >> they point out the following. that under barack obama's three and a half years, he has created more private sector jobs for romney. are we happy about where the economy is? of course we aren't. but is it better track record

than bush had in eight years, it is. >> heather: brad you get the final word? >> if it wasn't bad news, obama wouldn't make news. our credit rating has been downgraded. bankruptcies, we can't afford the accomplishments of this president has begin us. that is why mitt romney is going to win. >> heather: and bear in mind after dnc ends, they release a monthly jobs report for august. we'll see what happens. thanks for joining us. >> gregg: like a scene from jaws, a great white shark spotted in a popular beach community. this massive shark was dead. jaws was at the very end but death has scientists so confused. we'll tell you about it. >> heather: bombshell testimony in drew peterson murder trial. what their own witness had to say that was music to the prosecution's ears. >> i think it seals the deal for

the stated. the jury heard loud and clear that drew killed kathleen. >> very pleased with the way the case is going. [ owner ] i need to expand to meet the needs of my growing business. but how am i going to fund it? and i have to find a way to manage my cash flow better. [ female announcer ] our wells fargo bankers are here to listen, offer guidance and provide you with options tailored to your business. we've loaned more money to small businesses than any other bank for nine years running. so come talk to us to see how we can help. wells fargo. together we'll go far.

>>. >> gregg: closing arguments set to begin in the drew peterson murder trial. he faces a maximum of 60 years in prison if convicted of

killing his third wife kathleen savio. on wednesday jurors heard testimony from a divorce lawyer who represented kathleen and keep this straight, had spoken with peterson's fourth wife, stacy peterson who is now missing. in an interview with fox's jean mini, heexpanded how drew killed savio. >> obviously the biggest issue that stuck in my mind was her discussing what advantages could be gained in the divorce from telling telling the police how drew had killed kathy peterson. that was a pretty specific thing in my mind she said how. >> gregg: yeah, how is pretty detailed. joining me now defense attorney joey jackson and mercedes. he was fantastic lawyer for the prosecution called by the

defense. >> i would want my money back. >> he was very risky move. it imploded in their face. whether you are trying to take the wind out of their sails because we're going to put the witness on because it's going to benefit us. there is divorce settlement. that is why savio's lawyer, stacy peterson's lawyer. >> gregg: one more sound bite. this is divorce attorney that helped immensely the prosecution. here it is. >> i think we did discuss early in the call my concern for her reaching out and talking to me. she assured me she gotten a new cellphone because he didn't know about it. i talked to her about the potential liability with holding information and this is homicide.

that is felony, to conceal a homicide some sort of a accomplice liability. when the phone call ended the impact was much greater and when i'm calling the state police with any information regarding her disappearance it was a sickly feeling. >> gregg: keep in mind what this really is. he said to the jury, what she said, now deceased to the defendant. that is triple hearsay. would you argue that in closing arguments? >> that is why he was supposed to be precluded from testifying. that is why the defense made motion upon motion. >> gregg: but it comes in under the statute. >> it comes in because you have the situational where the defense calls a with it. now i understand why they did this. you wanted to show motivation. they wanted to say stacy had a motivation to invented things. it blows up in their face and is helpful to the prosecution. >> they allow this double and

triple hearsay to come in under the new statute. not so in new york. >> gregg: when he says to leo, don't help me. it was an awful thing that happened to the defense. >> they warned against it. one of the lawyers on the team, don't do it, joe. don't do it. >> gregg: i'm just not going to do it. >> exactly. back away from it. it was a very foolish move. >> gregg: harry smith, it was the pastor who takes the witness stand and basically says the defendant made incriminated go statements to his fourth wife. it gets worse and. >> another reason the statute is live ai live and well and is going to focus on domestic violence. there is this underlying, i would say current -- you know, obviously, savio was saying, he told me he was going to kill me number one.

number two, he knew how to make it look into an accident. >> that is the point. if you are the prosecution, can establish that is th is the guy. if it's going to be an accident or something that looks like the accident but the murder who can pull that off but a police officer. in their closing if the prosecution focuses on that key pointed they have a very good jointed. >> it's very important. it's unquestionable. >> the line of the night on justice last night. when did he say when the judge asked him, i have no idea. i think the defense has a shot here. >> gregg: it depends on the closing. joey jackson, mercedes, good to see you both. >> heather: coming up a stunning resignation putting a federal agency in the spotlight. why the chief of staff of the immigration and customs enforcement has stepped down and controversy surroundings the

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>>. >> heather: ba now back to one of the top stories. suzanne barre has resigned

following allegations that she sexually harassed other employees. she called the allegations unfounded. she said she didn't want to distract from the agency's mission, however, homeland security chairman peter king says barre's resignation raises serious questions about management practices. mike slateder and, always fox news contributor. thank you both for joining us. so peter i'll begin with you. is this behavior ever acceptable in any organization, let alone from a senior obama political appointee and long time aide to janet napolitano? >> absolutely not. it's never acceptable. i don't care if the obama administration or bush

administration, but she or he has the goal makes the rules. but neither by code of law or culture is harassment ever acceptable. when it comes to the code of culture we tend to wink or nod to it. it is distressing but it happens all the time in the workplace. >> i was shocked when i first heard this story that roseanne barre, luckily i misread. suzanne barre. that being said. mark this moment because i agree with her here. it's completely unacceptable no matter what gender, it's wrong. i have to assume innocent until proven guilty. we have to go. that i wanted to make a note of this. the accusations i believe against her. one of the examples they had to

go back to 2009. saying there was a fratd house culture within ice. if there was really a fratd house culture i would think maybe there would be a lot more examples than two or three. one is unacceptable, maybe there were more, we'll find out. we'll see what the investigation says. it shouldn't take ten years. >> heather: take a look at part of the affidavit, head of new york office for immigration and customs enforcement. at some point during the conversation i witnessed seuss ang bar turn to an employee name has been redacted there and say you a sexy expletive there. he looked as at his body and asked a question about his anatomy. several employees laughed nervously. >> what n am i supposed to say to that. that is horrible. but i am bothered about that

last. and intimidation in the workplace. human beings have never figured out how to manage power. that is something that we are going to have to deal with. when you tell in all work places to be very careful you mait may not be able to face what you find. i hope we have a thorough investigation. but we have to have a thorough investigation. it happens all ltd time. you know you you are not shocked by this story. >> amen, my church service this morning how everyone is flawed, all of us. just but a you are elected to a government position, doesn't mean you turn into an angel. but the more power we give to this, more stuff like this. >> heather: on a wider scope. and peter king says that barr's resignation raises question of hr and the hs. here is the statement. the resignation of suzanne barr

raises questions about management practices and personnel policies and department of homeland security, the committee on homeland security will continue to intensify it's investigation into practices across the board. does her resignation warranted more investigation, what should happen next? mike, i know you said it shouldn't take ten years. >> i struggle and think where the buck stops on something like this. is this janet napolitano, one person above. is this president obama? i would take a quote when john borrows, that people will fail all the time but you are not failure until you start to blame someone else. i would like to hear more from janet napolitano on this. if it's true what are they doing. >> maybe she is watching and she'll give us a statement. thank you both for joining us.

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>>gregg: democrats hoping for a repeat performance from 2008

gathering now in charlotte, north carolina, for the convention on tuesday. crews working overtime to prepare the arena, time warner arena. look at this: the arena floor and stage, a work in progress as the clock dicks down, leading to a big turn out. >> glad you are with us. >>heather: welcome to a brand new hour inside america's election headquarters. not everyone there is there to pump up the democrats for the main event. the occupy moment kicking off a week of protests marching on headquarters of financial giants in a run up to the convention. joining us from charlotte is mike emanuel. mike? >>reporter: a lot of democratic zig -- dignitaries and rank and file democrats are gathering. around town in charlotte, it is

getting security that is much tighter. the president and vice president are due here in charlotte, along with a number of other democratic v.i.p.'s with barricades up and "no parking" signs with warnings all over town that it will be difficult to get around. inside the arena, seven weeks of work transforming this facility from an nba arena has created the backdrop. state-of-the-art screens are on display and the delegates, soon, will be filling up the space. top advisors are asking, are the americans better off today than four years ago? >> are we where we need to do? no. the problem with what governor romney said, for three days, they never offered anyone a plausible alternate. he spoke for 45 minutes and

never offered any real ideas for moving the economy forward. >> that san charge of -- that is an example of how the top advisors will work the convention. george stephanopolis said mitt romney does not offer any ideas and the republicans are say, well, even the democratic top advisors could not say that the membership are better off than four years ago. we will hear a lot on that in the days ahead. >>heather: thank you, mike. >>gregg: the obama campaign is promising a packed house at the convention. president obama will deliver his nomination speech on thursday at the bank of america stadium. that is home to the nfl's panthers holding more than

73,000 people. some democrats have been worried and expressed concern such a huge venue could be hard to fill. back in 2008, then presidential candidate obama addressed a packed democratic convention. remember that? the pillars and the columns. >>heather: wonder if there are columns this year? i think not. this is the place to be for complete coverage of the democratic national convention with all the action starting tomorrow both on the air and on our website at www.foxnews.com. >>gregg: the dnc is getting underway and governor romney and supporters are maintaining a focus on the achilles' heel of the obama campaign: the economy. >> the biggest news next week will not be the three the democratic convention but on friday, when we hear, again, about the monthly jobs report.

>>gregg: now more from washington, dc, on this story. >>reporter: mitt romney is ready to sit out the democratic convention but he was on the campaign trail yesterday in florida and ohio. as in the acceptance speech, he hammered the president for having grand goals that do not help american families. >> how he famously said he would slow the rise of the oceans; he was going to heal the plan el. our promise to you is we will help the american people and help the families of america. >>reporter: the g.o.p. nominee will be crisscrossing the battleground states the next two months, and questioning president obama's handling of the economy. he will ask the question: are you better eve today than four years ago? romney is taking aim at president obama for failing to keep his promises. >> i think that the critical issue facing american voters is

the economy. next week, i think, in charlotte, the president needs to explain why he did not do what he said he was going to do. when he took office he said in an interview if he did not have the economy turned around in three years, his presidency would be a one-term proposition. well, the economy hasn't turned around. >>reporter: mitt romney attended church near the new hampshire vacation home. heel keep a low-profile during the convention using the time, instead, to prepare for the all-important presidential debates in october. >>gregg: steve, thank you very much. >>heather: thousands remain homeless and a quarter of a million people are without electricity in the wake of hurricane isaac. those near the pearl river are under a voluntary evacuation order with a lock possible failing at a canal. now to casey from new orleans.

casey? >>casey: president obama will meet with local leaders and saying some of the damage for himself. today, homeland security secretary napolitano stopped in mississippi. she is now in slidell, louisiana, right now, northeast of here on the north shore of lake pontchartrain, an area that sustained quite a bit of damage. there were evacuations orders, there, as well. most of the flooding and the high-water rescue did not happen in the big easy but happened in the lower-lying parishes. look at this video from plaquemines parish. if you have been following our isaac coverage you have heard that name because it was one of the herdist-hit areas with a levee spilling over on the eastern side of the mississippi river, inundating the community with water. it came in so quickly that many residented had to climb to their

roof and wait to be rescued. >> they had strong winds, at 80 miles per hour. >> the man we just heard from is a member of local law enforcement using his boat to help people get to their property and try to salvage what they can, even though his own home is badly, badly flooded. the best way to get around many of the communities now is by boat. a lot of people are still under mandatory evacuation because it is not safe to go in. when you see the aerial pictures you can understand why neighborhoods looking more like rivers and lakes. at this hour, the number of people without power at 265,000. the number is dwindling. that, of course, is good news. at height of the storm the primary energy company in the

state of louisiana said there were 800,000 people without electricity and now that number is down to 265,000. however, the company is saying it could take until at least wednesday before the vast majority of those folks are finally back and able to turn on their lights and their much-immediated air conditioning. it is lot and steamy in new orleans. >>heather: we are watching a river boat passing behind you so it looks to be getting back to normal. >>casey: they are. >>gregg: parts of the country are still getting hit by the remnants of isaac, though. some areas can really use the rain. maria? maria: we do have the rain across areas that really need it. that is good news. however, some of the rainfall will come in the form of severe river. we have a tornado warning issued, severe weather risk

across the tennessee valley, to the southeast, and one area under a tornado warning, meaning this could be a tornado on the ground, is across northwest alabama, including laurens county. there is some rotation with one of the thunderstorms and there could be a tornado on the ground. that tornado warning is in effect until 4:30 p.m. local time. that would be central time. seek shelter immediately. and two tornado watches in effect across parts of kentucky and parts of northwest alabama and northern mississippi, but the center of isaac, what is left of isaac, is over illinois. ahead of it you have the miscellaneous across indiana, kentucky, where we need the rain. you can see the drought monitor showing extreme drought across western indiana and kentucky and the ohio valley. some of the rain will come in

the form of severe weather and cities are under the gun including memphis, nashville, and birmingham. >>gregg: this storm will just not give up. thank you very much, maria. >>heather: we have an incredible story of survival in alabama. two teens playing in a flooded street were sucked into a storm drain. the two teens were fighting for their lives. both scraped their faces against the top of the drain where they had just inches of air. as the derail filled, one was about to give up and she saw murky water and swam for it. 9 two popped up in a flooded ditch where a neighbor pulled them to safety. they walked away with only cuts and bruises. >>gregg: incredibly lucky to be alive. >> major shakeup in afghanistan. the united states suspending training of all

government-backed militia after a string of deadly attacks on their counterparts. >> the u.s. military says it is halting training and recruiting from the local police force. this is a local group set up by u.s. special forces and equipped by special forces to battle the taliban in areas where there isn't a conventional military presence in afghanistan. the point of this is to get the local community battling the taliban, stepping up and fighting the insurgency but it is a controversial program in afghanistan because in some cases, they have recruited former taliban fighters to be part of the militia. so, because of rising attacks on u.s. and international troops on what they call "insider attacks," they want to pause the recruiting and training for this 16,000-strong force to revet the

members and stopping the training on 1,000 or so new members who will be part of the future militia. but it does not solve the larger problem of insider attacks in afghanistan because most insider attacks happen from the traditional conventional military or police force. those are where we have seen the insider attacks or afghanistan security forces turning their weapons on u.s. and international troops with 45 killed this year alone. that is a big problem here in afghanistan that, really, is undercutting the trust between the international community and the afghanistan government and the afghan forces. the military says this is a first step to determine and to limit the impasse and danger in afghanistan. whether that will make a big difference, that is, certainly, something that remains to be seen. >>gregg: thank you from

afghanistan. >>heather: at home, mysterious fishtail from the shore of west port, massachusetts. fisherman covered the body of a 13' great white shark. a scientists said they are at a loss to explain who or what killed the giant fish. anna? >>reporter: the beaches could be re-opened in cape cod but the fears are lingering after a slew of evidence that great white sharks did, indeed, come close dot shoreline putting beachgoers at risk. yesterday a 13' great white shark body washed ashore near the state line of rhode island and the 1,500 pound animal was found saturday morning on the west port shore. a scientist says it is unclear how the great white died. police are patrolling the waters for other sharks and locals are less surprised by the discovery.

>> we think it is probably a basking shark, but, this, we decided it was a white shark so we are caught off guard. >>heather: at the end of a july a man was attacked by a great white shark while swimming with his son on the beach on cape cod. another man came in close contacts with a great white some summer as he paddled the kayak. the shark was bigger than kayak and although the kayak kept the man out of the water, he could have been flipped by such a large creature. the last time a great white sharking juried a swimmer at cape cod beach was back in 1936. sharks could mistake swimmers for seals, which is what they feast on. the seal bodies have been washing up on the shore after a

shark attack. if you choose to swim in the atlantic, stay away from this area. >>heather: i will do that. thank you very much, anna, we appreciate that. you vacation oned there? >>gregg: we did, and we sought a bunch of seals. we got in the water. you just can't -- what are the odds? >> another water story from massachusetts, two odd lobsters get a reprieve from the dinner plate. look at these guys, fishermen caught a blue lobster and a three-clawed lobster. the market where they landed will not serve them up but are holding a contest to name them. bonnie and clyde are the frontrunners. i vote for bogey and bacall.

>>heather: three claws? >>gregg: three claws. >>heather: better check your cash supply because gas prices hit an all-time high. we will tell you how and what is to blame. >>gregg: it is that time of year, kids, headed back-to-school are they mentally and physically prepared for it? >>heather: and the rite of passage, the driver's license. remember that? >>gregg: the flinstones era we did not have to get a driver's license. >>heather: so, it is taking a back seat. what will happen to our economy if teenagers decide to slam the brakes on driving? that is ahead. ask me.

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health we all remember it used to be that 16 meant getting a driver's license, along with that, freedom. but, today, it seems kids find more freedom in their phones. new research shows that teenagers would rather text than

drive. in 1983, almost 70 percent of 17-year-olds had a driver's license. in 2010, less than half of that same age group could drive. that could have a serious long-term affect on the economy. now a fox news senior correspondent and anchor of "bulls and bears," certainly thinks about it and is here to share with us more thoughts. so, less teens driving and it could affect the economy. >>guest: yes, the more internet users there are, the fewer young license holders we find and that holds through, through the 30's. it is not just 16 and 17-year-olds. of course it will affect the economy because they want virtual contact. they do not need real contact. >>heather: they do not need

the car. >>guest: when i turned 17 i was waiting to my license. it has changed the way we communicate. it does affect the economy and it will hit auto sales. there is another reason that some of the teenagers are not driving. many young people now are going to big cities where you have the subways, you have bart and all of that. that is another change in the demographics. this is a big, a demographic, they are supposed to be big consumerrers, they are not buying cars, insurance, gas and all of that. >>heather: and the state of the economy is not helping in terms of 16-year-olds and getting the first car when you are 16 years old. my first was a 1964corvair. it was beautiful. candy apple red.

>>guest: the economy. the economy. so, the economy does affect affordability of a car or gas and insurance and parents are having trouble, too. but that does not affect my daughter because she turned 17 today, and the first day she can take her test and tuesday and she is signed up at 8:00 a.m. >>heather: happy birthday. give her a shout out. >>heather: do you have any tips? >>guest: at a lot of the tips ae not designed for younger drivers and a lot of them are environmentally conscious going with the hybrids and not looking for the s.u.v.'s which traditionally american car sales have been focused on that. that could be one way. >>heather: more environmentally friendly vehicles.

>>guest: more focus groups on looking at the vying for that age group. >>heather: so they can be more interactive. like the internet. >>guest: exactly. >>heather: thank you, brenda. you can catch brenda on "bulls and bears" saturday morning at 10:00 a.m. eastern right here on the fox news years. >>gregg: my grace has her learner's permit and has not done any damage. she is a great driver and a wonderful trial. the campaign trail is heating up this holiday weekend. governor romney criticizing his own party overtime lingering budget deficit. is that the right move? a fair and balanced debate ahead. flu protection with a 90% smaller needle.

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>>gregg: president obama is set to tour the hurricane ravaged sections of louisiana tomorrow. severe flooding remains a problem for thousands. 250,000 people without any power. >>heather: stage is society for the start of the democrat national convention in charlotte. protesters already taking to the streets. >>gregg: gas prices up 8 cents a gallon at a record high.

pipeline shut downs because of isaac and a refinery fire are partly to blame. >>heather: president obama campaigning in a battle ground state ahead of the democrat national convention this week. he spoke in colorado where he is hoping to convince voters to give him another four years. white house correspondent ed henry is live with the latest from colorado. ed? >>reporter: the president had a large proud here, 13,000 people, on the campus of the university of colorado in order to try to get the message out and give us a preview of themes for the democratic convention in charlotte. i ran into a romney spokesman here watching the action. he downplayed the ground saying this is a home game. he has been hitting a lot of college campuses. the college kids who were excited in 2008 and the president trying to get them excited again. the obama campaign is saying

that turned out a lost votes in 2008 winning big over john mccain. if he can ignite that again he could win again over romney. the problem is the economy. the president is trying to push back over some of the stumbles he had the last four years saying that mitt romney did not offer new ideas in tampa. >> despite all challenges we face in this new century, what they offered over those three days was an agenda better suited for the last century, a rerun. it could have been on "nick at night," you might as well have watched it on a black and white tv with rabbit ears. >>reporter: he was trying to have fun with the convention speech. some wonder why he would be in colorado so were but they environmentally voting and he wants to influence the voting. he was at a restaurant that had

t-shirts that say "eat in the buff," and it is not a new meaning to "pressing the flesh," but the colorado buffaloes is the tame of the we team so the team is called identity -- "the buffs," so there was nothing crazy going on. >>heather: thank you for clarifying that, ed. >>gregg: what a shame! >> governor romney taking his own party to task over the budget deficit while speaking in ohio yesterday, he told the crowd that republicans have fallen short in dealing with our fiscal mess. >> we will have to do something that republicans have spoken about for a long-term and a while. when we had the lead we let people down. i will cut the deficit and get us on track to a balanced

budget. >>gregg: is that good or bad strategy? we bring in doug schoen, and form pollster, and republican campaign consultant and national political correspondent for talk radio news service. doug, is it statesman like, to say, look, i'll be honest, i'll be principled even if that means criticizing my own party if i think they are wrong. >>doug: well, it is something governor romney needs to do in the short-term to distinguish himself from george bush and the policies of the past. that being aid, it does play into the democrats' hands with the convention coming up and with the democrats almost certainly going to blame george bush for the economic malaise. >>gregg: the old car in the ditch routine. tony, many republicans were very unhappy with the huge spending

and deficits run up by the last g.o.p. president. but governor romney openly expressed that fact as he did, is he elevating the argument his opponent has already been making or blunting it in. >> he is taking a clear departure from four years of president obama which is blaming people. blame is not a substitute for leadership. perfection is not by any means a believable virtue. i don't believe he is helping the president. he is taking an honest assessment and going to fair minded americans, the 7 percent to 8 percent undecided and saying, look, we understand that both parties have created the mess that low tide an economic disaster four years ago. that does not excuse this president from totally abdicating his responsibility to make the problem better. >>gregg: maybe governor romney is using the criticism to prove he will work with both sides s that actually coopting a promise president obama made but failed to keep, arguably?

>>doug: that is the point. the governor is making what is a calculated decision, taking a calculated risk, if he distances himself from george bush, he also is emphasizing unity, now, both on the stump and at the convention. that's a risk worth taking but, as you suggested to tony, it does have down sides. >>gregg: tony, a criticism of the president, is that he gives a lot of speeches but he rarely rolls up his sleeves to do the hard work of governing by working with leaders in congress. is that a vulnerability that republicans should try to exploit? >> it should be exploited and it is. this president has totally decided for two years not to govern. he is running, simply, a total vat joy based on re-electing himself, based on dividing the american people and he has had no progress with congress because he has not demonstrated

a willingness to be an honest broker. the strongest suit and some conservatives do not like this, he is a lot more pragmatic, a problem solver. that is what the record indicates. >>gregg: success in washington is often measured by the building of personal relationships. in response to that criticism, president obama in an interview recently said that his duties as a father get in the way. that is to say, instead of residentializing with leaders and power brokers, whose vote he needs, he likes to spend times with his kids in the evening, dinner with them at 6:30 and help with the homework after. admirable father qualities, to be sure, but this is the top job in america. do americans, especially in a time of crisis, need a president who can work harder than that, who can arguably put the country first? >>doug: of course you are

right. i will let you in on a secret. i have been there after hours in the white house and the differenty secret is, anyone in the country, particularly in congress, will come to the white house when the president calls. so, bottom line there is time to eat dinner, do the kids' homework and still meet with legislatures in a formal and informal setting. >>gregg: he said in the interview, sort of, that he doesn't do that because he likes to spend his evening with his kids when he is in washington. >>doug: i am suggest he does not do it and having worked with bill clinton and seen how many meetings he juggled, he could do a better job. >>gregg: so --. >> he co-opted the center away from the republican party, and that was bill clinton, and he did it by talking about the time of big government being over. this is a president who

obviously has moved so far to the left he has left the garage barn door opening for the republican party, particularly mitt romney, to re-capture the center. you do it by being honest, truthful and talk to the american people like adults. >>gregg: when you clock out at 6:30, arguably, is that sort of out of touch with what most americans have to do just to earn a living? >>doug: well, absolutely. look, people expect the president to work 24/7, the amount of time the president spent on the golf course and the fundraisers pales in comparison to the amount of time he has been doing bipartisan work with the other side, trying to get compromise. to tony's point, the person who will close the barn door for the president is bill clinton who will be speaking on wednesday night. >>gregg: all right, gentleman, thank you very much. >>guest: that door is pretty wedged open right now. >>doug: it will be shut by

president clinton. >>guest: he is not on the ballot. i wish he was. >>gregg: thanks, guys. >>heather: governor mitt romney we know has an extensive business background but how would he handle national security and military issues? we will look at governor romney as a possible commander in chief. i recognize there are people in the crud who have served our country in a way that most of us can only imagine. and there are individuals who have served in our armed forces. t by working people. the economy needs manufacturing. mhines, tools, people making stuff. companies have to invest in making things. infrastructure, construction, production. we need it now more than ever. chevron's puttg more than $8 billion dollars back in the u.s. economy his year. in pipes, cement, steel, jobs, energy. we need to get the wheels turning. i'm proud of that. making real thin...

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>>heather: now the headlines: crews in china started restoring a section of the great wall that clapped last month after heavy rain in july and august. three people in oregon hospitalized after a monster truck lost control and crashed into the stands during a race. the injuries are not life threatening. award winning songwriter hal david passed away at the age of 91. he is known for collaborations with the oscar winning "rain drops keep falling on the head," and "walk on by," and "i say a little prayer." >>gregg: presidential hopeful mitt romney is trying to proven

he has the right stuff to the men and women in uniform and to the average voter. >> united we face down unspeakable darkness. united our men and women in uniform continue to defend freedom today. i love those people who serve our great nation. >>gregg: what kind of a commander in chief might governor romney make in we watch fox news military analyst, chuck n ash. former u.n. ambassador bolton tends to doubt, he said, president obama's promise that all options including military are on the table. would a president romney be different? >>guest: i think so, because governor romney has made some statements that give me the

impression that what he wants to do is change the dialogue like president reagan changed the dialogue from president carter with iran. we have let out too much information about what we are and are not telling do. when you give enemies that much information about what you are willing to do and what you are not willing to do, it gives them far too much leverage on you. we need to change this conversation. we need to take a lot of what has been in the public domain and bring it back inside, classify it, and keep our mouths shut about what we are or are not going to do. >>gregg: what would a commander in chief do about the jihadist? >>guest: he has been public on that. i have looked at the website he

has to bone up on some of his issues there and one of the things is to keep the military operations underway, to keep the pressure on the jihadists and, also, to re-engage and redefine the conversation, a different tenor, with the colleague mall and international players in this. the third thing is to work with some of the countries that are just now starting to fall under jihadist influence, to get our special operations forces in there as trainers not so much as they have gone south and try to rebuild. >>gregg: when it comes to foreign policy, it is increasingly a global economy. how would a president romney increase america's

competitiveness in the world? >>guest: well, one of the things that could be done, and realize the link between national security and a robust economy, one of the things that has been overlooked for a long-term is american proudist. in other words, if you say, well, we will outsource jobs to china because we pay the chinese work 10 percent, if the u.s. worker is 10 percent more productive do you want to locate your operation all the way over there given the geography and also in a political environment such as communist china? so, american productivity is a huge lever that needs to be enhanced. that can be done with several different ways, including reducing some corporate income taxes and things like that. >>gregg: tariffs? reduced tariffs, as well?

>>guest: sure. the last thing we want to do is make the mistake we did back in the 1930's when we increased tariffs and started a trade war in the smoot legislation. that is the worse thing to do. >>gregg: and try to force china to stop manipulating their currency in their figure. that is a big factor. thank you, captain. >>heather: coming up, sorry, kids, vacation is over. time to hit the books instead of the beach. >>gregg: bad news for parents, too, how you get the kids back in a healthy school year routine with minimal headaches. these fellas used capital one venture miles for a golf getaway. double miles you can actually use...

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>> it will be back-to-school for millions of students in a few days. >>heather: but taking them away from the care-free summer routine can be easier said than done. how do you avoid the unnecessary

drama? >>gregg: there is a lot of that. >>heather: we have the chairman of emergency medicine at the medical center in brooklyn. so, the very first tip you have is structure. kids need to be on some type of structure. >>guest: children like structure. everyone likes routine, particularly children. it takes a while to get into the routine. the younger children usually need a little by more structure and as they get older, a little less. it also depends on the personality. >>gregg: what did you days before? >>guest: before, it is important to have communication. they should know what is going to happen on the morning of school. they should know they have to come home and do their school homework, and they should know they should be doing reading. there should be that communication. it is very important the day before, the night's, to give the child input as to what they will

wear. what they will have for lunch. this way, there is no conflict, no decisions, in discussions in the morning. they are comfortable because they have made that decision. >>gregg: that is the night before. make sure they, after homework is done, defined period of relaxation. >>guest: that is reasonable. you try to do it, you are gearing for an early night bedtime. the kids have been up late, they have been doing a lot of video games and a lot of activity. after they are done with their homework and done with dinner, it is nice to have a little bit of structured relaxation. is it limited time with video and limited tv program? but when the time hits to get ready for bed, it should be quiet. >>heather: does the whole family need to adjust to help the kids re-adjust to the new structure? >>guest: that is a great idea. kids love their role models and parents are the role model. >>gregg: in the morning, i don't leave enough time to make

sure, because, you know, you are brand new at it after 2 1/2 month roast, so, leave yourself plenty of time in the morning. >>guest: very important especially not parents have a schedule they have to adhere to, if they have to lebanese at a particular time, they should make sure they give themselves extra time, they are done with their preparation before so they can dedicate the time to helping the children get ready. >>heather: when they begin the new school year what is the biggest piece of advice to parents and to kids? >>guest: it has to be structured. come home. they do their homework. they have to know their homework is a priority. the playing and the other things are not. they need exercise. though need good nutrition. they need a steady diet. they also need to know the importance of homework. they need to know when it is quiet time it is quiet time. maybe reading a book with the parents. that is good idea for the parents to read a book to them, something that is not relevant to school, something they may

enjoy. >>heather: lead by example. >>guest: lead by example. that is important. and it is important to know that things sudden go wrong and do not be too hard on yourselves and it could take several weeks for the while to be adjusted to the routine. >>gregg: it is okay to help with the homework? you get all the studies say don't help. >>guest: sure. it is fine. as long as you are engaged and trying and you are with them. that is great. >>gregg: thank you, dr. mukasey, it has been good to see you. >>guest: good luck. >>gregg: good luck to all the parent whose will startup in a few days. >>heather: you will do great, you have great girls. >>gregg: we hope you have a great labor day. the words are going this way-there's no way. oh, the lights came on.

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