we gave was that tips we give to people if they encounter a shark in the water. megyn: you have to ascertain whether it is truly after you at all. enjoy your swim. jane: good morning, everybody. coming to america when guantanamo bay closes. where did the prisoners go? some say that the price is just too high. jon: speaking of a jolt, this was way more than a few bombs in the air. what caused one flight to its of severe turbulence that dozens of people there -- were hurt. jane: you can see them on the videotape. some thieves were very rich with very fine taste making off with a bottle of wine worth $20,000. jon: it is the surprise that as washington scrambling this morning. the cash for clunkers program is

offered for people to buy new fuel-efficient cars. guess what? people like it when an uncle sam helps give them a new car. now the obama administration says that if the senate does not approve 2 billion more dollars to refuel the program, it will have to hit the scrap heap as soon as tomorrow. wendell goler as the latest. the country already has a pretty big deficit going. why is the government considering adding $2 billion to the program? >> because it is the most popular and arguably most effectively spent billion dollars of the entire $787 billion stimulus program. this program has helped ford posted its first monthly sales increase in two years.

dealers for all the car companies reported selling a month's worth of cars just last week alone. some of those deals were made several weeks ago and put on hold until the money became available, but transportation secretary ray lahood says that he is confident the senate will follow the house's lead. >> we will continue the program until we see what the senate does. i believe that the senate will pass this. i have great faith in the senate and i have great faith in this program because it is so wildly popular. >> the money is coming from a different part of the stimulus bill that aims to increase energy efficiency. in this case, tarp money is not available for the onna program, nor is a $2 billion loan from a friend -- from the fed. jon: what are critics saying? >> critics say that it is more

deficit spending. a texas congressman says that a poultry concern went under in his district. the poultry industry has been pretty stable. the auto industry has been on the ropes. he says the chrysler and general motors already have $70 billion of taxpayer money and that is enough. one in five jobs related to the auto industry. senate sources say that unless the opposition drops dramatically today, there will not be a vote today. since the house is already adjourned, the senate cannot change the bill to negotiate with critics. there is only a couple of days to keep this program afloat. jon: wendell goler, thank you. there is no information coming into the newsroom on a continental flight that hit heavy turbulence. it was diverted to miami to make

an earlier landing. the airline says that nine passengers have been taken to the hospital. the flight left rio de janeiro and headed towards houston. 168 passengers were on board. jane: in colorado, jury selection is getting underway in a child abuse case that sparked a lot of outrage. prosecutors say that aaron thompson beat his two euro -- his two year-old daughter to death and waited two years before reporting her missing. the body of the little girl there has never been found. experts are speculating this could be a problem for prosecutors trying the case. jon: the corruption trial of a former louisiana congressman, william jefferson, is continuing. federal prosecutors accused him of receiving $400,00 in bribes to help businesses get contracts

in africa. his defense team says that he was acting as a private citizen and did not perform any official acts. four years ago, fbi agents searched his home in washington. they found $90,000 in cash hidden in his freezer. jane: the race for health care reform, an issue that affects every single one of us. the senate still has this week to go before it breaks for august. for the lawmakers going back home, they are getting an earful from the public. shannon bream is on the hill for us. what kind of reaction has there been among voters? >> it has not been all positive. last week, we saw that a senator from maryland got an earful from a town hall meeting. both republicans and democrats have talked about this august recess being positive. we know the democrats wanted to

get a bill done before the recess. it happened again this weekend. kathleen sebelius and senator arlen specter went home. it wanted to talk to people. what they heard was not a positive bunch of feedback. here's what they got. >> i look at this health-care plan and i see nothing that is about health or about care. what i see is a bureaucratic nightmare, senator. medicaid is broke. medicare is broke. social security is broke. you want us to believe that a government that cannot even run a cash for clunkers program is going to run 1/7 of the u.s. economy? >> that is a reaction we are seeing. these town halls are scheduled to continue on both sides of the aisle. you can expect to hear more

reactions like that. jane: it might of been easier for them to stay on the hill. as we are heading into this recess, the battle is not over yet. there are pr efforts on both sides. >> there is a brand new advertisement coming out and it takes a humorous tack. there is a soap opera theme music playing in the background. there is a famous actor who says, i'm not a doctor, but i play one on tv. it cuts to president obama talking about what pills you should take. the tone of course is, barack obama is not a doctor, but he wants to get in the middle of telling you what your healthcare should be all about. it is the latest we are sure to say. the gop is hoping that advertisements like this will force democrats to answer some very tough questions. jane: shannon bream, thank you. jon: the swine flu virus may

have faded, but it could be coming back with a vengeance this fall. florida is bracing for a massive fight against swine flu, saying that there may be as many as 5 million cases in the next year. health officials will be taking no chances as they gear up for this possible outbreak. steve harrigan is live for us in miami. how bad is expected to get in florida? >> right now, the numbers are not nearly that high. most of those cases focused right here in miami county, about 30 deaths. there is concern that members could spiral as the illness comes back in waves over the next few years, perhaps as many as 5 million infections. intensive efforts are underway in the school system here to educate children about how to wash their hands and cough properly.

>> traditionally, where children may have stayed home with their families, we're a little bit concerned that parents have to be concerned about their own jobs and they are going to allow their children to be sent to school when they are ill. >> that is the real fear in tough economic times. the parents will not be able to keep their children at home. they will have no day care to send their children to prevent jon: or their contingency plans under way? >> there is a great deal of planning on the way in florida about what could happen again and measures to take. they are training state workers to telecommute. there are some really innovative techniques for how the estate deals with its paper flow. >> organizations that rely heavily on the mail system or on the overnight delivery system, they need to have something set up where they are irradiating paper with ultraviolet light.

>> there is a concern that the virus could live in a paper for as much as 12 hours. less paperwork, more digital. jon: steve harrigan, live in miami. thank you. jane: let's see how the dow is doing on this monday morning. jenna is here to talk about that. >> this is exactly the type of battle that we want to be involved in. we are going to end up the winner and not even have to throw a punch. i'm talking about apples and google. that is the news this morning. google ceo eric schmidt has resigned off of the corporate board for apple. the resignation might be a sign that google is infringing are starting to be a closer and closer to some of apple's technology.

we have heard about the android technology that allows cloud computing. that competition leads to great innovation. better innovation means better product for us. that is something we are going to be watching. starting off the first trading week of august on a strong note as well. jane: we will check back with you in a bed. jon: the unemployment rate in michigan is over 15 percent right now. how about this possibility? housing the terror suspects from guantanamo bay? jane: a shark attack. the coast guard races in. these dramatic pictures coming your way.

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aggressive than normal, confusion, agitation and halluciations may occur. don't take it with alcohol as it may increase these behaviors. allergic reactions such as shortness of breath, swelling of your tongue or throat may occur and in rare cases may be fatal. side effects may include next-day drowsiness, dizziness, and headache. in patients with depression, worsening of depression, including risk of suicide may occur. if you experience any of these behaviors or reactions contact your doctor immediately. wake up ready for your day-ask your healthcare provider for 2-layer ambien cr. jon: a fisherman who tangled with a shark off the coast of louisiana.

a coast guard helicopter was sent in to rescue the men. he was fishing about 65 miles off the coast. the 56-year-old was beaten in the foot. we do not know the size of the shark involved. i never said that the doctors will be able to save his foot. the fishermen will have to undergo further surgery. jane: some new developments in the plans to close the u.s. detention center at guantanamo bay, cuba. where do the prisoners go? as one option after, the obama administration is considering moving some of the detainees to a maximum security prison in michigan. the idea would involve creating a court room within the prison complex there. in michigan, it is estimated this plan would bring about 300 jobs to a state with an unemployment rate at 15.2%.

congressman, good to see you. supporters say that the government can spend $100 million just to renovate this prison. why do you oppose it? >> this is a really bad idea. michigan should not be bailing out this president because he made an ill-advised policy statement back in january where he said, i'm going to close gitmo within a year even though he had no plan or no idea about how he was going to do it. these are dangerous individuals that pose a special threat to the community and the people that guard them. these people need to stay in gitmo. they should not be coming to the continental u.s.. jane: some republicans in your state have been supported of the idea. by his estimate, he thinks that michigan could get up to $1 billion a year. >> i have a tremendous amount of

respect for the local individual and government officials there, but before they start saying this is good for michigan, they really ought to make sure that there is transparency. have they got the information as to who these people are, the threats that they pose, what they have done in the past, and also what they have done while they have been in guantanamo? only when that information has been made public and is transparent to local and state officials can they really make an informed decision i have seen that information. this is really a bad idea to move them into michigan or anywhere within the united states. jane: use is a national security decision, but don't we keep prisoners safer? >> this is a special class of detainees and prisoners. if we are going to move them in this direction, let's have transparency to make sure that local officials and state

officials have access to the same information that i have. i believe that they do. they can walk through bars. jane: there is some opposition in kansas, as well. what is the answer here? >> the president needs to go back and reevaluate that decision. president bush wanted to close gitmo as well. when he looked at the information, he recognized it was really a bad idea. this president made the decision to close gitmo without any information. he made that decision the second day and up -- in office. he should say, we have looked at it, the teams that i have appointed to look at this, they figured out this is really hard to do. they are finding out that this is really a bad idea. jane: congressmen, more to come.

thank you. jon: it was the promise president obama made over and over again when he campaigned for office last year. remember what he said then? >> we are not going to raise your taxes because the last thing we should do is raise taxes on the metal claws. we are going to cut your taxes. jon: that was last year. now there is this year. there could be a problem.

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call the number on your screen. jon: right now, uc president obama their at george mason university. he is announcing the new and improved gi bill. it includes additional educational benefits to the heroes who have sacrificed so much for this country. the president there along with several members of the senate and the secretary of veterans affairs.

there could be some trouble ahead for one of the president's campaign promises. as a candidate, you probably remember mr. obama told middle- class taxpayers, he would not raise their taxes. now members of the president's own economic team seem to be backing away from that promise. here is what treasury secretary tim geithner told george stephanopoulos on abc this week. >> the president has said that taxes will not go up for any americans earning less than $250,000. it does not appear that he can keep that process. >> which cannot make these judgments yet about how exactly we are going to get there. a very important thing -- no one is alone to care more about this and the president of the united states. jon: we're also joined by todd

harris, former communications director. he was director of communications for fred thompson and former john mccain press secretary. jeff, are they trying to soften the ground for the tax increase on the middle class? >> with all respect, this is the conversation that tells you that it has become august in washington. i have been joking that we could just as easily breathlessly be discussing the 435 members of congress who decided to go streaking because nobody went on tv yesterday and said that the ruled it out. the obama administration has been very clear after the party plate, saying that we're not going to raise taxes on the middle class. if i could just say one thing, if you want a sense of what president obama's passion and parity is, he has already cut taxes on 95% of working americans as part of the recovery act. jon: treasury secretary tim

geithner was asked if it was a matter of if, not when taxes would be raised. he said, it is absolutely right. go ahead. >> that is absolutely right. this is what happens when you have one-party rule in washington, with a massive move to the left and american government. we're going to end up with a massive federal takeover of our health-care system and it is going to be paid for by a massive tax increase that nobody can afford. make no mistake about it. this mythical 5% of the population who is supposedly so wealthy that they can foot the bill for all of these not just the $1 trillion health care plan, but also all of this ridiculous government stimulus spending, the numbers just do not add up.

they do not have enough money to tax them. what that means, if you are watching this and you are a middle-class american, your taxes are going to go up. >> what about that? >> well, i think there probably is. i think todd raises something that is important. fixing health care helps working americans. it helps people watching us right now. it has been estimated that if health-care reform fails, eight years from now, the average american family is going to be paying $24,000 a year for health care if they are lucky enough to have it. for those people who do not have it, everyone else is going to be paying for them anyway. if you are worried about taxes going up, consider that tax increase and consider what is the administration is trying to do. they have been clear over and

over again. the president has been clear about this. even when things were going well in the 1990's, the middle class was not doing well. you are seeing real investments in the middle class. that is not money coming out of people's pockets and and in. jon: if medicare and even the veterans administration health care facilities are sometimes such a mess, how does the government propose to do better at running health care for everybody? >> that is absolutely right. the debate that we should be having is not, do we need to reform our health-care system? i think there is bipartisan agreement that that needs to happen. just because you need to reform health care does not by any stretch of the imagination mean that you support or think that the government should be taking over a massive portion of the health-care industry. this whole ridiculous public option -- public option think

should be off the table. we should tell about things that we could really do to reduce the cost of health care. jon: thank you both. jane: the tense relationship between the u.s. and iran. three americans have been arrested for allegedly crossing into iran illegally from iraq. what were they doing there? what can washington due to get them freed? ññ i was always going

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>> i am in the news room right now monitoring a situation that is going on in new bedford, massachusetts. you are looking live right now at an active triage scene. there are more than eight ambulances there. there's been a chemical reaction, some sort of mixing of chemicals that happened near a landfill in new bedford, massachusetts. we're learning that is least 10 people have been injured in this. in fact, they were knocked out by this chemical reaction. officials are saying, they do not know what has caused it. they have sealed off the area. as i have been able to count, we still have at more than eight ambulances on scene. this is an active scene right now. this is just coming into the news room. at least 10 people taken away,

knocked unconscious by some sort of chemical reaction near a landfill. if you're in that area, you know that it is sealed off. we will work out to find out what the chemicals are and how that those injuries are, what kind of injuries -- are the respiratory, burns -- we want to know. jane: thank you. the overseas now to the developing story. three american tourists have been arrested in iran. swiss diplomats are now acting as go-betweens for the site -- the united states and trying to meet with these three hikers. they may have wandered across the border into iran. the three were traveling with a fourth friend. that friend stayed behind at the hotel because he became sick. david, update us if there has been any progress.

>> not a lot at the moment. we spoke to the u.s. embassy. the restated what they said earlier. the state department has contacted the swiss, which represents u.s. interests in tehran. they're hoping to get consular access to these three. it is slightly worrying. the three got picked up back on friday. nothing has been said by the iranian authorities. jane: i cannot imagine that it is extremely sensitive. >> yes. we of the nuclear issue, the friction because of that, the election that was very controversial. the west did say some strong comments about what happened then. there was a lot of tension between the two countries. these three tourists have really walked into a place and could become political pawns.

british sailors ended up having to give a public apology before they were released. jane: i think people are curious about the story. these four young people are said to be tourists in iraq. they were at a resort area. are there really tourists coming to iraq? >> believe it or not, there are quite a few western tourists coming. kurdistan is relatively peaceful. and it has beautiful, mountainous scenery. people do come. there are not many security guards on the iraqi side. there are a lot more on the iranian side, as they found out quite quickly. there are other tourists coming in. we sometimes see western tourists coming in. they go to famous spots like babylon and also around baghdad. they do come here. jane: let us know if anything

breaks. thank you, david. jon: how is business in the country? pretty good. the dow is up about 73 points. we have heard good news about a recovery in the housing market. jenna lee has more from the fox business network. >> we are getting some mixed messages on the housing market recovery. it has pointed to all of us. housing remains central to the recession. also, it is the no. 1 investment for american families. we would like to see a housing recovery across all areas of the market. "the wall street journal" is reporting that we're seeing a recovery on the lower end rather than the upper hand. they are crediting the government programs for this terrif. the cash for clunkers program incentivizes us to go out and buy a car no matter what the

income is. this is not the same for the housing program that the government has put out there. for example, you have to be a first-time buyer to get the tax rebate. you have to earn less than $75,000 if you are a single buyer. there are requirements that keep certain people out of the market. it makes sense on one hand because the lower end seems like a better deal. remember all of those people who got into the mcmansions because they got a bigger loan that they did not necessarily justify through their income. they are sort of stuck. they are not a first-time buyer. they do not have the income requirements to get some of the incentives. they cannot really refinanced their home. they have a group of middle buyers who are stuck in the market. if they are wealthy and are not worried about their mortgage for that home, there is no incentive for them to scoop up a second

home if they're able to. it is an interesting trend that we're continuing to watch. housing remains central to the recovery of this recession. we're getting lots of mixed messages on it so far. jon: thank you, jenna. jane: them over of -- the mother of michael jackson is attending a hearing that will determine who will raise his three kids. she struck a deal with her sons ex-wife. debbie rowe would get some visitation rights. his kids have been living with the grandmother since michael died. today, the judge could grant mrs. jackson permanent custody. jon: an 18-year-old mystery is finally put to rest. we know the fate of an american fighter pilot shot down at the start of the four -- the first gulf war. when we come back, we will talk to his former squadron mate.

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♪ jon: new details on the chemical spill that we were reporting on the earlier. >> the business is abc disposal. they had some sort of chemical reaction that started inside the building. we're learning more about the injuries that were suffered. people were getting sick and passing out as fumes built up inside. they have sealed off that location. people have been taken to the hospital for treatment. this is new bedford, massachusetts. the lieutenant with the police department there in new bedford is saying that this company has never been known to have any problems of this nature before. they are reporting this morning

that employees, mostly employees getting very sick and passing out. jon: thank you. some answers finally in an 18- year mystery, giving family and friends some peace at last. the u.s. navy said that captain speicher's remains were found in the iraqi desert. his plane was shot down in in 1991. at first, the military said that he was killed in action. years later, they changed his status to missing in action. joining us now is retired navy commander who was flying with him on the night he was shot dead. c'commander, what happened? >> it is ironic that he was on that flight. he was originally listed as the

spare, which meant that unless one of the other birds broke, he would not participate. he knew that the odds of him participating were pretty low. he says, i want to be won a -- i want to be on one of the go birds. the threat was high. it was intense. we were green in terms of our combat experience at that time. the threat was high. jon: it is believed that his plane was hit by a missile, right? >> originally, we thought it was a surface-to-air missile. looking back, we realize it was an air-to-air missile. jon: he ejected, but was never heard from again? >> he ejected and that is probably -- that is the biggest

thing that we can learn from all of this. he ejected, the decision was made very early on that he was killed. therefore, a rescue mission was not launched. it subsequently several years later when we found the crash site, it appeared that his ejection could have been out. looking back on it now, if there is anything to learn anything good that could come out of the death of this american hero is, we have to look at how we make decisions we have to ask those big strategic questions, what if? what if we ask those questions? these are good people trying to do this under enormous stress. maybe we could have launched a rescue and maybe we would not have left a good man to die in the desert.

jon: i suppose for his family, it is of some comfort to finally no doubt that his remains have been found and identified, but if in fact, he did come down alive and died in the desert, as you say, that would strining. >> it would. we know now that he is dead. hopefully, -- it is already true. the military has greatly improved its decision making. this is a big lesson learned for all of us. the way for this to never happen again is for us to never forget. maybe when the situation comes up the next time, somebody will look back and say, hold on just a second. let's think this thing through. maybe this is a rush to judgment and maybe the outcome could have

been different. he may have been dead before he hit the ground. at this point, we do not know that. jon: i know one of my nephews worked at that former operating base. how're you honoring him these days? what else should we know about this man? >> speicher was -- i will tell you. we were not close personal friends. just what i know about him and how i got to know him over two years, this was a very spiritual man, a mediator, always in a good mood. always had something good to say. probably the best pilot in his squadron. if you get three navy pilots together and they talk about another one, within a couple of minutes, someone is going to have something to say. that is not true.

i never heard anything bad about him. he was just a great guy. that just adds to this tragedy. jon: a sur, good to talk to you. thank you. jane: take a look at this video. here they are stealing bottles of wine from a liquor store near boston. they got a bottle of 1945. it seems they knew that it is worth $20,000. where is it? now we know. discover new seafood creations... inspired from around the country.

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jane: we want to update you on a story we brought you a few weeks ago about a national air pollution assessment on. it included information about

the air quality in california, saying that it was one of the worst cities for high levels of cancer-causing pollution. the epa is now changing its story. we contacted the epa and the agency told us that the original report was based on the most up- to-date information it had at a time, which was for 2002. the epa has said that it has shared the results with california, requesting them to submit recommendations. the epa has submitted adjustments. jon: a new study finds that in the last decade, phys ed injuries have jumped off -- 150%. it might have to do more with a

lack of adult supervision. a decline in school nurses and larger class sizes. jane: some thieves stealing from a liquor store in massachusetts outside of boston. they are stealing bottles of wine. they did not go for the two buck chuck. a woman was at the counter to distract the owner. what did they get? they took a bottle. there you see it, worth $20,000. a rare vintage from 1945. on the phone with us now is the owner of the store. it looks like you had a sign up advertising this is where the good stuff was. >> i believe that they were targeting the swine. i believe they went straight to the covered where the wine was kept.

the clerk on duty was being distracted by a woman. as soon as they left the store, he went back and checked the cooler. we called the police. jane: i am sure that i am probably the 50th person to ask you this. why did and you have that stuff locked up? >> that is an excellent question. we probably should have. we have never had a problem like this in the past. hopkinton has a very low crime rate. as it turns out -- i do not know if you have heard this. the police have recovered the $20,000 a bottle of wine. the update is that we got a call last night from the police department saying that another

department had recovered the $20,000 a bottle of wine. we will have a back in the store sometime this afternoon. jane: do you think it is still viable? >> absolutely. they would have to do some really harsh damaging things to it in order to cause it that much damage jane: one last question for you. what are you going to do with it? >> when we get it back in the store, it will be behind lock and key. we will also be talking to the company that provided the cooler for us and see if we can get a lock. jane: happy ending to that story. it is good to hear from you. >> thank you very much.

jon: if you buy a $20,000 a bottle of wine, what do you do with it? jane: do you drink it? probably you do on your weekends, right? >jon: the latest fashion craze is taking hold of tokyo. attracting curiosity of onlookers. they look like parts of a skeleton. scientists claim that the robotic suit will help people who are injured or disabled get around by improving mobility. a computer system picks up signals on the surface of the skin. it is supposed to let people move in the way in which they are thinking. jane: that is interesting. an emergency landing after a jetliner slammed into some pretty severe turbulence, unlike what people i've ever felt before. dozens of people were hurt. we are getting for -- firsthand accounts for people on board his

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[captioning made possible by fox news channel] captioned by the national captioning institute --www.ncicap.org-- jon: good morning to you. good afternoon here on the east coast. jane: the clock is ticking at this moment on the cash for clunkers program. this plan is going to run out of gas quickly if the senate does not give a refill. jon: 3 americans who allegedly wandered into iran. just how does the united states decide to get them out now and when there is so much tension with tehran? jane: a new gi bill to help transform lives of soldiers when they get back. also, a new push to reform the way our nation honors the fallen

tree to never come home. jon: the frightening moments on board a continental jet one extreme turbulence rocked that plane. the plane had to be diverted to miami for an earlier landing. more than two dozen people were injured. catherine herridge has the latest from washington. what is the status on this flight? >> some of the flight attendants were slammed against the roof of the jet during the turbulence. it was brought down an hour later because of the severity of that turbulence which left four people seriously injured. jon: are we seeing more of these turbulence-related problems? is the faa coming up with any recommendations? >> that is an excellent

question. a short while ago, i spoke with a spokesman. he confirmed that the primary office for data collection is gathering new information on turbulence-related accidents in the west. the most recent data available is for 2004. in nine fatal accidents come in- flight turbulence is the leading cause of injury. each year, about 58 people in the u.s. are injured by turbulence because they are not wearing their seat belts. head, neck, and ankle injuries are the most common injuries. in the mid to late 1990's, the faa ran a program after a series of high-profile accident similar to what we had this morning. the program amounted to a seat belt-wearing campaign. that was part of the goal there. jon: there is also that air france flight coming out a couple of months ago that went down. was that a result of turbulence?

>> turbulence is considered in that airbus crash. there has been no final determination about the cause. after that crash, nasa began funding a project out of colliver on a which aims to identify rapidly forming areas of turbulence over the ocean with the idea that pilots could be guided around them. flying in turbulence over the ocean is much more difficult. jon: thank you, catherine herridge. jane: now for the cash for clunkers program. the fate of this program lies with the u.s. senate. this is the program or you can turn in your older car and you get money toward the purchase of a fuel-efficient vehicle. the program burned through narrowly -- nearly all of its $1 billion. others say that it was poorly planned. the house has already given a green light to put an additional

$2 billion in to this program. kemike, what are they saying about the fate of this? >> they feel optimistic that the senate will pass $2 billion of stimulus money to continue the program. they argue that it is a very visible example of the economic stimulus package stimulating that aspect of the economy. basically, helping in the area of the economy that has been extremely hard-hit. jane: it sounds like our headlines are money, money, money. it leaves all of us to wonder how the government is going to pay for this. can we expect our taxes to go up? that is a hot topic this morning. >> absolutely right. if you listen to treasury secretary tim geithner, it sounds like the possibility is raising taxes. let's take a listen. >> i did what the country needs

to do is understand we're going to do what is necessary. >> at the very least, that was perhaps a warning that at some point, your taxes are going to be going up. jane: i suppose that robert gibbs is known to get a fair number of questions about that topic today at his briefing. >> no question about that. a lot of members of the house just got back to their district. are you going to raise taxes on the middle class? the senate is about to leave on its august recess. are you going to raise taxes on us? indications are that robert gibbs would want to walk and back from there. jane: we will look for that. thank you, mike. jon: president obama's health care reform plan, an important house committee approved that plan after a heated debate. now comes the tough task of selling it to the american people. according to recent polls, that

is not going to be easy. 48% of americans call the health care system good or excellent. 19% rated as poor. all this comes more than a year after another health care bill was introduced in congress, a bipartisan effort that lawmakers said would not add to the deficit. where do things stand on that? james rosen is live in washington with more. a number of influential people are taking a second look at this first proposal. >> this is called a healthy americans act. it was first proposed two years ago. basically, everyone would purchase their own insurance. everyone would be covered forever. employers would face new taxes, but would no longer be required to provide health insurance. the congressional budget office has found the plan would

actually start to reduce future budget deficits or increase future surpluses. that is, make money. so far, this is the only health- care proposal that has been put forward in the united states congress that has received this kind of writing from the congressional budget office. jon: what was the opposition to it all about? >> the plan does require concessions from all sectors to make it work. the labor unions have been up in arms about this. we as the center why he felt that this was the case. >> i am sure that like other groups, they are saying there should be changes, but none that affect us. the reality is that typical working person and the typical member of a union not only is not going to get their taxes increased under our legislation,

they are going to get a tax cut. >> we should also put out there that this plan has bipartisan backing. jon: i guess that senator wyden is on the senate finance committee. why doesn't his committee take up his own idea? quote there was some thought that it might back in may. there was a committee hearing by the finance committee examining health care reform. when senator wyden tried to draw attention to the plan, the chairman of the committee who has been the leader of the gang of six in the senate that is negotiating health care reform said more or less that this bill is never going to happen. as we learn from time to time on capitol hill, it is not senators who run the united states senate, it is committee chairman and their staffs. jon: thank you very much, james

rosen. jane: we want to show you a new video out of massachusetts. this gas leak has been making people sick at a trash facility in bedford. the area has been sealed off. fumes knocked it least 10 people out. we're hearing some kind of chemical reaction may be to blame their. the exact cause is under investigation. now to a frightening accident in the state of arizona. police say that more than a dozen families were forced from their homes after a strange chemical cloud moved into a residential neighborhood there. sheriff's duffy's discovered an unspecified liquidity in the yard. the cloud dissipated after a few hours. jon: some american tourists detained in iran. it has been nearly 48 hours since we first told you about the disappearance of these three. we still do not know where they

are being held or if they are ok. how do we get those americans back home when you're dealing with that country? i never thought i would have a heart attack, but i did. you need to talk to your doctor about aspirin. you need to be your own advocate. be sure to talk to your doctor before you begin an aspirin regimen. you take care of your kids, now it's time to take care of yourself.

jon: iran's supreme leader endorses president mahmoud ahmadinejad. the incumbent president must receive the supreme leader's approval before being sworn into office. the ayatollah also called a controversial presidential election and a golden age in iran's political history. jane: the swiss and the sea is trying to get some information on three americans who reportedly have been arrested. there they are. it has been almost two days since the tourists disappeared. reportedly, they crossed into iran across the border -- by

mistake. they are said to be surrounded by troops. iran has turned to switzerland to help with the case. the u.s. has no diplomatic ties with iran. john bolton is a former u.s. ambassador to the united nations. good to see you this morning. if you could just explained simply to us what these people were doing -- they are four young people who were together. they started out in turkey and they were just touring the area? >> that appears to be the story. if i was a hiker, i guess i would stay on the appalachian trail. he is said to be a very scenic area. it is one that has been dangerous over the years. historically has been a route for smugglers and at least according to some, it's an area that kurdish guerrillas have crossed as well.

there would be a high concentration of iranian border guards or other security forces. jane: it sounds like these three people when they were captured, they used a phone to actually call their fourth friend and say that they were surrounded by these cards. what should we expect to hear about their fate? >> if in fact this is a purely innocent misunderstanding and as you say, there is not like a big yellow line painted on the ground, a responsible government would give them a slap on the wrist, let them go, and give them back to iraqi authorities. that is presumably what the swiss embassy will be seeking to do first to get access to these three americans and then find out what the story is and then convince the government of iran, which really should just let them go jane: what lessons can we glean from what we saw with

the roxana saberi story? can we hold out hope because of what happened to her? >> we should be concerned, particularly in the political environment in tehran now. you see over 100 dissidents on trial. in a context where the iranian government is accusing them of being tools of western imperialism, now you have three americans crossing the border. you can see how propagandist's could try to spin that as evidence of americans trying to manipulate events inside iran. i would not be laid back about this. i would be urging the swiss to get this resolved as quickly as we can. jane: how do we go about doing that to prevent these three from being used as pawns? >> we're in the hands of the swiss embassy there. this is -- in nonpolitical

circumstances, i think this would be relatively straightforward. it is a mistake, obviously, and they should be simply release. we have seen how iran has used hostages for political purposes. remember the british sailors who were captured and exploited some years ago and obviously, all americans remember the 1979 seizure of our embassy in iran and the horrible circumstances that those hostages were placed in. it is a country that is fully prepared to use foreign hostages for its own purposes and for the reason why we need to get these young people out quickly. jane: thank you. jon: there are two other americans held right now in another nation that has no diplomatic ties to the united states, north korea. remember laura lee and euning aa

lee? secretary of state hillary clinton has been working behind the scenes to try to win their release fritchey has asked the north korean government to grant them amnesty. the north korean government has not released a statement on the status of this situation since that request. jane: the cash for clunkers program will end of this week unless the senate approves more funding. the house has already voted to add an additional $2 billion. where does this money come from? this program already burned through $1 billion in four days.

jon: the popular cash for

clunkers program is officially running on empty. the program will shut down this week unless the senate passes it as well. the program offers pretty big cash rebates to buyers to trade in their gas guzzlers for more fuel-efficient automobiles. what is it doing to the nation's bottom line? we're joined by a senior fellow for the center for american progress you like this program, right? >> yes. it is a good program. it helps people take their old cars, 15 or 20-year-old cars, trade them in, they get better gas mileage and save oil, produce less pollution, and helps to put people back to work. the best news is that the money is coming out of the stimulus package. it has already been paid for. this is not new spending, just

reprogram spending. jon: we are borrowing that money, right? >> yes, does like we borrowed all the money for the iraq war. this is money that has been set aside to help create jobs and help protect small businesses. particularly, although dealers, some of the most important small businesses, particularly in rural areas. jon: someone argue that the administration created the program to please the autoworkers who gave a lot of support to the obama campaign. >> some of the biggest supporters are the odd dealers, many of which are decidedly not democrats, but there are imported small businesses in local communities. they have been suffering a lot from the recession. now that we have this program, we are going to be helping them and help to put on the workers back to work.

we are going to reduce our dependence on foreign oil and pollution. jon: if i could get the government to give me $4,500 to buy a new car, i would like that. where do you stop? if i am a home builder and i promise to build smaller houses that use less energy, should i get some government money? >> there is no reason why you should not get tax incentives to do that. what you're doing is you are producing a good that benefits all of society. they are doing something that benefits all of society. reducing air pollution, reducing oil use. so far, it is estimated that the program to date has saved at least 4 million barrels of oil. that is important since we do not want to have to keep buying more oil from son charge -- some countries that do not want us. jon: bicycle makers reduce energy as well. if there were bicycle makers,

would they say, how about a government rebate program? >> what we ought to do their to get people back on bicycles is to make it easier for you to ride a bike. when i ride my bike to work, it is cheating death every day because there is no bike path. let's have bike trails on major roadways in order to make that safer and ekrich people to try and get out of their cars. we have to put this in perspective. this is $2 billion out of a $787 billion package. look at how much money we have spent on aig. $160 billion of far. look at how much money we subsidize oil companies for. that dwarfs any program here that puts all the workers back to work, helps small business dealers, cut pollution, cut oil use. jon: if the senate does come up with this extra $2 billion and they somehow merge it with the

house deal, u.s. and $3 billion, right, on the program overall. where do you stop? at what point do you say enough is enough and we have an of new cars on the road? >> i think where we stop is what we can get the economy going again and people have less fear about the future, we can put people back to work and people are going to start spending a little bit more money as the economy recovers. this is not new money. we are just reprogramming money that has already been set aside. the same people opposing cash for clunkers are those who voted for the stimulus package. jon: thank you. >> thank you for having me. jane: the question critics are asking is, the pentagon awarded enough medals of honor is to veterans of the wars in iraq and afghanistan. trying to grow it.

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>> im janice dean checking on the nation's whether permit can you believe it is august already? we're watching a series of cold front moving through the midwest. that is giving us some implement whether to the central plains. we could see the potential for damaging winds as well as hail and isolated tornadoes. a frontal boundary that is

draped across the southeast and the gulf coast region. we could see the potential for showers and thunderstorms here. we're seeing what whether stretching from the central great lakes back into parts of illinois. chicago, you could see some damaging winds and isolated hail as we go through the afternoon hours. we also have potential for showers and thunderstorms across the southeast. the other big story we are watching today is the extreme heat over parts of the southern and central plains into oklahoma, including tulsa. we're dealing with temperatures well over 100 degrees with the heat index. it will feel even worse than that. 97 degrees in kansas city. still dealing with incredible heat across the northwest. not so much coastal areas, but in toward the interior section. 99 degrees in salt lake city.

use of 103 degrees last week, which shattered an all-time record. still dealing with very warm temperatures across the midwest. 92 degrees in reno, nevada. 111 degrees in phoenix. 97 degrees in denver. tomorrow's high temperature is still relatively cool from what we have seen in past years across the northeast. 88 degrees in chicago. that is your foxcast. jon: "happening now," hundreds of thousands of americans have served in iraq and afghanistan. only five have been awarded the medal of honor. some are asking why.

jane: a stark warning about our kids are in their generation is not getting enough vitamin d. what does that mean? you are going to want to hear this. jon: some lucky people got their own pieces of gilligan's island. jane: president obama is touting a new bill to help our military veterans can and education. the first gi bill since the 9/11 attacks. this morning, the president spoke at a rally in fairfax, virginia. take a listen. >> our service men and women can make to this nation, do not end when they take off their uniform. we owe a debt to all who serve and when we repay that debt to those bravest americans among us, we're investing in our future. not just their future, but also the future of our own country. jane: the program is expected to

provide $78 billion in education assistance over the next 10 years. the family of a gulf war pilot killed in action plans a private investigation into his death. captain scott speicher's remains were discovered in anbar province in iraq. a spokeswoman says that they felt an overwhelming sadness when they learned that his remains had finally been located. they plan to try to find out exactly how he died. >> there are numerous questions about how he died. we will tie those of with the military. we have extensive empirical data. we have a lot of information. we have information about the initials in the prison. all that has to be coalesced so that we get an accurate final

answer. jon: checking on wall street right now, take a look at the big board. the dow is up pretty solidly today. it was up a little bit over 100 a couple of minutes ago. , some new sales numbers are out today. what has cash for clunkers on to the july numbers? >> a straightforward answer is that the program really helped out july sales quite a bit. today, some of the numbers are coming in. ford is reporting its first jump in sales in about two years. so, it was a positive month forward. -- a positive month for ford. ford is credit tank the cash for

clunkers incentive. these are some of the brands that were really strong for ford. we also have talked about chrysler and chrysler matching some of the rebates for the cash for clunker program. we are hearing reports that they are going to report that sales were up as well and they have been matching the government program to that rebate. they are going to come off of some of that matching. it should be available for some of the brands. we do not know which brands yet. again, we do not have the details yet. the big question for analysts and investors is whether or not this program is artificial. did it just moved up buyers to last week and may be the first few weeks of august? we will not see that buying momentum going into the back half of the year. if we squeeze the window, that

could really affect auto sales for the next year. we talk about this rebate as something that we have never seen before. there was a tax incentive to turn in your clunker for a tax write-off to charities. that was available last year. it is probably still available. anecdotally, you have heard some more stories about how this program brings people away from donating the clunkers to charities. it is a bit of a catch-22 there. so far, it has been a pretty good program so far. jon: all right. from your standpoint and white. thank you very much. jane: let's hear what's happening on the web. a boston university has learned the high cost of downloading

music illegally. >> this is the only second music downloading case against an individual to go to trial. it is a scary reminder about the consequences of copyright infringement. a jury has decided his fine. the boston university student must pay $675,000 to the four record labels that sued him. he admitted to illegally downloading in sharing more than 800 songs. this case was actually only about 30 songs. each one cost him $22,500. he is thankful he did not get the maximum penalty. the recording industry association of america says that it is happy with the decision. the judge is looking into reports that the fine was a little bit too excessive. he may declare bankruptcy which probably means he will not be

able to afford or by this new breed of jet packs. check this out. the company has decided to let the public take test flights starting next year in new zealand. it will not go faster than 6 miles per hour, but it will cost about the same as going bungee jumping. the version that will be available to own, that one will go much faster and higher. i think you would look good in one of those. jon: i want one. who needs day segway when you can jetpack? the sluggish economy is taking a tough toll on california's manufacturing sector. here's a live report with some interesting information coming

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jane: the navy's newest destroyer honors a u.s. war hero. the ship is named after the first marine awarded the medal of honor in operation iraqi freedom. he saved to fellow soldiers by throwing his helmet and his body on a grenade to absorb the blast. he is the first marine since the vietnam war to receive the medal of honor. jon: the benda area -- some people are saying that the pentagon is not awarding enough medals of honor in the iraqi and afghan wars. yet just six considered worthy of america's highest military honor on the battlefield. for some members of congress, that last number just as not add up.

joining us is congressman duncan hunter who serves on the armed services committee. if he looks a little younger than the congressman duncan hunter, that is because this duncan hunter succeeded his father in the u.s. house. >> is actually botox and exercise. jon: a very serious subject. the medal of honor is our nation's highest military award. you think the pentagon has gotten stingy in handing out that award? >> the real issue is not having enough -- how many living recipients have received it. that number is 0 cents action in vietnam. almost 40 years -- not a single living recipient has received the medal of honor.

there could be many reasons for this. the collective standard for action for bravery and courage could have gone up. or the department of defense might somehow be stopping those recommendations as they go up to get approved. they might be cutting down on them. i want to find out what is going on and why nobody has gotten a single one if they are alive. all the ones that we have given out are to be left died. jon: you serve in the marine corps in both iraq and afghanistan. i am certain that yousaf acts of heroism and heard of plenty of others heard what do you think is the reason behind this? >> i do not know. we have had over 1 million men and women serve since two dozen one. i was just doing my job over

there. there is courage and bravery. warfare has not changed that much. we still have to take houses. we have to repulse the enemy, pushed them off, and move on to the next area. that has not changed with warfare. we still have bravery and we still have coverage. i just want that to be recognized. if the military does not do it, you have those in congress who would start legislating the medal of honor. congress has the ability to do that. i do not want that to happen. pretty much everything congress touches, it breaks. i just want the department of defense to do its job. jane: for years, we have told to

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>> some new developments in the michael jackson custody story. his mother according to los angeles superior court will in fact get custody and be able to raise his three children ranging in age from 7 to 12. we reported to you, katherine jackson and debbie rowe had

worked out some sort of an agreement. according to what the judge will adjudicate today, she will have custody of the children. this does not settle the estate left behind by michael jackson. those hearings will resume on friday, october 2. the money portion of all of this. right now, the three children left behind by michael jackson will go to katherine jackson. jane: thank you. we want to get to some health news now, some news that you definitely want to hear. a shocking number of kids are not getting enough vitamin d into their bodies. jon: a new study says that vitamin d deficiency is putting a lot of kids at risk for heart disease and diabetes. you said that you were actually

pretty surprised -- shocked even -- by these numbers. >> i like to think that my patients in kids are really drinking enough milk to have normal vitamin d levels. these numbers are very large. jane: you can get it from sun exposure, but they tell us all the time how much sunscreen to put on. that actually prevents you from observing it. >> exactly. absorption of the sunlight can synthesize or manufacture vitamin d in your body. by breaking that absorption, you are actually not making as much vitamin d. that being said, i would not advocate that we let our kids run outside without proper protection. we need to make up for this in the diet. jon: you do not get vitamin d from sitting in front of a computer screen. >> i think we are a lot less

active as a culture. we're sitting in front of the television or the computer. kids are not playing outside the way they used to. jane: i know that you brought a list with teo when you can do. to the vitamins work? >> they do work. you have 400 international units. jane: you get the fortified milk, the sunlight, fish, eggs, and fortified cereals. >> a lot of cereals will say that they are fortified with vitamin d. jon: if your kids are not getting enough vitamin d, how will you know? >> that is a good point. we're realizing that maybe we do need to start testing kits for vitamin d. i know for instance, my husband gets tested every year. jane: off dr, thank you.

jon: california's economy has been taking a beating, especially the state's manufacturing base. there are worries that the rest of the country might be following california's lead. . a heart attack caused by a clot, one that could be fatal. but plavix helps save lives. plavix, taken with other heart medicines goes beyond what other heart medicines do alone to provide greater protection against heart attack or stroke and even death by helping to keep blood platelets from sticking together and forming clots. ask your doctor about plavix, protection that helps save lives. (female announcer) if you have stomach ulcer or other condition that causes bleeding, you should not use plavix. when taking plavix alone or with some other medicines including aspirin, the risk of bleeding may increase so tell your doctor before planning surgery. and always talk to your doctor before taking aspirin or other medicines with plavix, especially if you've had a stroke. if you develop fever or unexplained weakness or confusion, tell your doctor promptly as these may be signs

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jon: the recession is hitting the california manufacturing sector very hard, shedding jobs faster than any other part of the country. now report to just the problem could become national. william la jeunesse is in los angeles. i know california is a trend setter in a lot of ways. how many manufacturing job losses as the state scene? >> first of all, if we want to save the american manufacturing, to compete with china and india, the government needs to help manufacturing, not hammer them.

this california metals co. is a good example of what has been happening. their staff is down about half. energy costs are so expensive, they start running this furnace at 9:00 at night. a report coming from the milken institute saying california has lost more than 15,000 manufacturing jobs for the last six years. why? high taxes, heavy regulation, and a hostile legislator. basically, they take scrap copper and brass here, and turn it into battle to sell to other companies. a lot of the manufacturing has been producing some bad odors down the street, so now they are asking them to retrofit some of

these jobs. jane: who was your favorite character on gilligan's island? i believe you are a marianne guy. she gave her fans a chance to own television history. she auctioned off a few items from her home. why did she think that the show made such an impact on american pop culture? >> there was no time. everybody wanted to be on a island. it is easily translatable. jane: everyone said that she was very nice. would you have gone? jon: i did not know about it. jane: