other fannie mae executives who got v.i.p. loans from countrywide include then vice chair jamie gorelick who earned $26 million over four years at fannie mae and now represents b.p. and former c.e.o. franklin raines, who earned $90 million in his five years at fannie mae. the amounts of their loans aren't known. but gorelick, raines, and others have said they would haven't taken any loans if they thought they were getting a special deal. >> i am unaware of preferential treatment given to me by countrywide. >> reporter: in all, documents show at least 42 fannie mae officials took 153 v.i.p. loans from countrywide, sometimes three and four loans per person. in this 2001 e-mail, countrywide officials talk about giving a below-market loan to fannie mae's then-c.o.o. dan mudd. >> on top of giving a loan below cost, they wanted to make sure he was very pleased with the service. no question at all, they knew they were losing money and they knew they were currying favor that would be valuable. >> reporter: mudd says he did not seek an

let me tell you another one, fannie mae and freddie mac. in 2007 which is when the democrats first came to power, we did what the republicans never did and we did put legislation in place to change them and using that authority frank puts them in a conservatorship. if we had done that earlier, there would not have been as much damage. >> charlie: and we continue this evening with a look of creativity. how do you get it and what can you do with it. >> i think the important thing is that creativity is not making up things, at least in science, just in your head. you have to know a fair amount of information about different fields that are related, different ways of thinking about problem solving. and make up your own solution, putting all those pieces together. >> actually define creativity as something that's new and original and useful. and they're actually saying that we can teach that this schools by what we often call the creative problem solving process. learning, to fact find but then still what's important. it's about diverge empt thi

it also includes the fate of a fannie mae and freddie mac.abilene, texas, on our independent line. you are on. caller: hi. i am a first-time caller. i am inquiring about the premium mortgage insurance. host: you are listening to feedback. mikki question or comment, please. caller: this would apply to fha loans about 10 years ago host: there may be some interference on the line. let's go on to rockville, maryland, on our democrats line. caller: in order for someone to get reelected regardless of whatever party, they have to have accomplished in getting things past or blocking things from being passed. in the partisan environment we have, don't you need comprehensive things to get something passed? if it is just piece mill and things are salt and you do not have something substantial to show to your constituents, how do you expect to get their endorsement for the next election cycle? guest: that is an excellent question. presidents have more pressure, in particular members of congress and the senate. the only one of many members of the team vot

federally regulated mortgage giants freddie mac and fannie mae say that institutions a loan. brown says freddie mac and fannie mae already ignore similar certain assessments. >>> june sales rose by 1.3% in the bay area with almost 8,400 homes closing escrow. the median home price was $170,000 which is unchanged. >>> stocks turned around in the final hours of trading today on word of a possible deal between goldman sachs and the government. the settlement ends a lawsuit against the company. >>> california has the largest number of illegal immigrants who qualify for the dream program. california has 553,000 or 26% of the 2.1 million immigrants who could apply for legal status through the proposed federal program. texas is second with 258,000 illegal young people, followed by florida with 192,000. >>> it is finally happened, bp today plugged its leaking oil well. details ahead. >>> and this is gulf seafood, but is it safe to eat. today scientists are starting to find out. >>> now we're learning who paid a record amount to own the warriors. >>> it was near 100 degrees in some nei

a few of them were approved prior to fannie mae and for -- freddie mac concerns being raised. the program is caused while those concerns are address. but it was about 20 applications. >> the concern was a communications issue? >> with a green finance program what it does is it allows property owners to prepay their loans for property improvements on energy efficiency, removals, and water conservation through a lien on the property. fannie mae and freddie mac have expressed concern that they maintain their priority status. that issue is what has a dialogue under way within the financial community and government as to how to resolve it and make sure that we can move forward with our program effectively. we are not alone in that. many communities have that concern. >> thank you. >> any public comment? seeing no one, onto the next item. >> commissioners, before that, is this a good way to get information for the tangling questions? >> that is not often the case. >> next item? >> in this case, employee recognition. i would like to call attention to a typo that i made. we all believ

but government financiers fannie mae and freddie mac say they will not longer accept liens because they have risk of default. >>> developers are worried new air quality guidelines can delay or stop affordable housing projects. developers are concerned about new requirements to conduct produce control studies for projects near freeways or refineries and other high pollution sources. that new rule would apply to most transit oriented development in the interbay area. >>> the young museum is opening their doors and inviting the public in. the d young is one of six museums offering free admission for part of the weekend. it's part of the free family event. >>> coming up on ktvu channel 2 news at 5:00, while many bay area cities are seeing more empty store fronts, san jose is welcoming a new ross store. >>> and that is our report, i'm john sasaki for tory campbell and everybody here at ktvu thank you for joining us. our next report is at 5:00. have yourselves a great day.

fannie mae and freddie mac were put into conservatorship. they were the first major institutions to be reformed. we also in this house passed a bill to control subprime lending. the gentleman from alabama had been the chairman of the subcommittee with jurisdiction over subprime lending in those republican years and never produced a bill. he said it was our fault because he wrote a letter, myself, mr. miller of north carolina and we didn't tell him we'd vote for im. i wish i could have it back. i wish i knew i was secretely in charge of the republican agenda. i wish i knew they wouldn't do anything unless i said they could but nobody told me. where were they when i needed thome to be more powerful. the republicans never checked with me as to what they were supposed to do. it's 2007, we did pass such a bill to restrict subprime lending and the wall street journal attacked us. they said it was a sarbanes-oxley for housing. sarbanes-oxley is about as nasty as you can get for "the wall street journal" and here's what they said about subprime lend

slow economic growth and kill jobs and they are angry the bill doesn't take aim at freddie mac and fannie maech had to be bailed out by the government. >> the bill addresses most of the problems and makes a good start. it's not perfection but in the real world, we don't get perfection. >> reporter: for the banks, the new rules go into effect as they continue their come back from the recession. wells fargo and morgan stanley beat wall street expectations announcing billions in profits the last three months. alexis christoforous, cbs news, wall street. >>> in the gulf of mexico, bad weather is threatening to delay bp's efforts to permanently plug the damaged oil well. a storm in the caribbean has a 60% chance of becoming a tropical storm by friday as it moves into the gulf. if that happens, ships would have to leave the spill zone. bp couldn't keep an eye on the capped well. this is a live look at what is happening under water. without the ability to observe the cap, bp says it may have to open it up for nearly a week and let the oil flow until the weather clears. >> we said before if we have t

. >>> they're down to penny stocks but fannie mae and freddie mac jumped after the administration said it's organizing a conference on housing finance in august. >>> elsewhere general electric, the current owner of this network, will pay $23.4 million to settle federal charges some subsidiaries paid illegal kickbacks to the iraqi government to win contracts under a u.n. program. >>> and, finally, at australia's jenolan caves, once the site of an out-of-this-world location shoot for "star trek," staffers have added an eighth language for conducting tours. the "star trek" language of klingon. how about that? >>> well, the rangers walk off happy, a-rod comes up empty on his birthday, and t.o. has a new home. >>> plus, a little circus action helps the blue jays put away the o's. your early morning sports headlines are straight ahead. >>> a strong cold front's going to bring relief to the heat for some. your regional forecast is coming up. you're watching "early today." if you're just waking up, this is "early today." and in sports, the cincinnati bengals already feature one brash superstar

and with financial reform in the rearview mirror, the administration is moving on to fannie mae and freddie mac. the treasury will hold a strategy session august 17 to figure out what to do with the mortgage giants and their bloated balance sheets. so far, taxpayers have spent $145 billion stabilizing fannie and freddie. >> tom: still ahead, will apple's success rub off on its business partners? tonight's "word on the street" has three under-the-radar stocks tied to the iphone maker. >> susie: as we mentioned, b.p.'s new c.e.o. says cleaning up the gulf is at the top of his agenda, and congress wants make sure that happens. today, senate majority leader harry reid rolled out new legislation requiring the oil giant to clean up its mess and pay for damages. it's all part of a much-smaller- than-expected energy bill that leaves producers of clean energy out in the cold. darren gersh has more. >> reporter: the president called the slimmed-down energy bill working its way through the senate "a first step," and he vowed to continue pushing for a broader bill addressing climate change and renewabl

we reet now have $13 trelion of debt, five trelion of fannie mae and freddie mac. we can't grow at 4% to sex%'s year until we address that issue i believe. >> rose: "teem" magazine and daefd rubenstein next. captioning sponsored by rose communications from our studios in new york city, this is charlie rose. >> rose: "time" magazine has a powerful photograph of a young afghan woman aged 18 who had her nose and ears cut off on orders from the taliban because she fled her abusive in-laws. the story in "time" is not only about this young woman but women in afghanistan and what has happened to them in afghanistan. joining me is richard stengel, managing editor for "time", and joe klein writes about pakistan this week. begin with the cover. tell me about how it came into being. what were the powerful forces in your own head that said we have to do this, and what were the restraining forces that said maybe not? >> yes. well, charlie, we had aaron baker, our afghanistan bureau chief there, who had written a very powerful and emotional story about how afghan women were blos

>>> the white house will hold a conference next month to discuss the future of mortgage giants fannie mae and freddie mac. together they own or guarantee about half of all u.s. mortgages. the two companies had to be bailed out during the financial meltdown and it cost taxpayers $145 billion so far. >>> general motors has put a price tag on its new electric car. the volt will cost $41,000. but a federal tax credit will shave about $7,000 off that price. chevrolet is already taking orders for the volt, which runs on battery power with a small gas engine for backup. the official launch date is in november. >>> and you may want to take your mother's advice and remember to sit up straight, especially during a job interview. a careerbuilder survey finds bad posture could sink your chances of landing a new job. the survey of 2500 hiring managers finds body language mistakes like bad posture and a weak handshake could hurt you in a job interview. betty, remember, eye contact at all times. >> that's right. that's right. and sitting up straight. okay, i have to remember that. my mom always gets on

fannie mae and freddie mac were put into conservatorship. they were the first major institutions to be reformed. we also in this house passed a bill to control subprime lending. the gentleman from alabama had been the chairman of the subcommittee with jurisdiction over subprime lending in those republican years and never produced a bill. he said it was our fault because he wrote a letter, myself, mr. miller of north carolina and we didn't tell him we'd vote for im. i wish i could have it back. i wish i knew i was secretely in charge of the republican agenda. i wish i knew they wouldn't do anything unless i said they could but nobody told me. where were they when i needed thome to be more powerful. the republicans never checked with me as to what they were supposed to do. it's 2007, we did pass such a bill to restrict subprime lending and the wall street journal attacked us. they said it was a sarbanes-oxley for housing. sarbanes-oxley is about as nasty as you can get for "the wall street journal" and here's what they said about subprime lend

one big piece of the puzzle left out of this big reform, fannie mae and freddie mac, they're the private company that's made billions and whose executives made billions while buying risky mortgages. taxpayers kicked in $145 billion and counting. republicans wanted them to wind down like other big financial firms in trouble, but that was removed from the bill. experts are mixed on how well the new law will work. according to an a.p. poll, 64% of americans aren't confident the law will prevent a future meltdown. katie? >> katie: sheryl attkisson on capitol hill. sheryl, thanks very much. in other news tonight, b.p. could be just days away from completing that first relief well. but drilling was stopped today because of this: a big storm way off in the caribbean. forecasters say there's a 50% chance it will become a tropical storm within 48 hours and it could reach the gulf by the weekend. kelly cobiella has more. >> reporter: with a storm brewing hundreds of miles away, the work to finally plug b.p.'s blown out well has come to a halt. b.p. stoped drilling its relief well until the threat

no addressing of the institutions that were the catalysts to this financial meltdown, which are fannie mae and freddie mac. in 2006, armed with a report, we fought to reform fannie and freddie. congressman hayworth voted to have them continue the ways that lead down to a fine -- that led to a my not -- that led to a financial meltdown. i never supported amnesty. mr. >>d -- >> mr. deakin. >> in 1986, you voted for amnesty. fannie mae and freddie mac are the problem. we have to stop bailing out financial institutions and get rid of fannie mae and freddie mac. when people are willing to invest their own capital, then we have a solid economy. you cannot rely on taxpayers to bail out corporations. >> thank you very much. next question is for senator mccain. foreign affairs. general casey says the american forces could be fighting in afghanistan for another decade. you have said we need to stay in afghanistan and won. we have-- until we have won. are you willing to stay there for another 10 years, even as members of your party began to call this a losing war? cal will we know if we have 1? -- ho

fannie mae and freddie mac give the taxpayers a contingent liability of $5.5 trillion. so what happens if these loans all blow up? that means the taxpayers are stuck with 5ds.5 trillion plus one, and know the math on that. $6.5 trillion in contingent liability for the american taxpayer because the people that don't understand free enterprise think somehow the only reason that thank somebody that doesn't have an income, doesn't own their home is because nobody's offered them a no down payment loan. and so you they're going to figure out -- and somehow they're going to figure out how they're still going to pay the mortgage payments on a house. now, that means -- here's your house, you have no skin in the game, and it takes at least six months to foreclose in most of the states on a loan like that, well, who wouldn't take a home for -- i wouldn't, actually, but there are many people that would take a home for no down payment, you get to live here for six months without making payments before we figure out how to evict you. we had a bankruptcy clawback bill that was brought

hold a conference to look at ways to fix the country's broken housing finances and overhauling fannie maend freddie mac that have been run by the government since their near collapse in 2008. >> dairy queen asking the court to halt sales of blue frozen yogurt. the name is true close to another name. >> and they purchased quaker oats and they are planning new products, including maker mix up creations allowing kids to combine flavors and muti grain coming out for adults. >> consumer confidence and home prices are the right. >> voters in antioch will decide whether they want to pay an extra half cent sales tax to avoid further cuts. city council voted to put it on the november ballot. it would raise antioch sales tax to 9.7%. they say it may be the only way to avoid cuts to police and fire services. concord and novato city councils have voted to put an increase on their ballot. >>> san francisco voters will have a series of tax measures to consider this fall in addition to a car registration tax and hotel tax. san francisco supervisors have agreed to a citywide vote on increasing the tax on

>> they are looking toward housing, housing policy, and looking at fannie mae and freddie mac. the two housing giants that were not dealt with in this bill. you have the deputy treasury secretary alluded to an upcoming -- to fix those two agencies. that is something that republicans really pushed for throughout this process. there were very upset that those mortgage companies were not addressed, their housing practices, saying that was at the root of the current economic crisis. i think we are looking forward to next year and seeing a bill dealing with fannie mae and freddie mac, hitting the floor. they will be watching the implementation of this bill. the president will have to appoint a consumer protection bureau head. that will come in the next few weeks or maybe sooner, and the president will sign the bill into law at some point next week. >> carrie budoff brown, an update you could read online at politco.com. >> in a few moments, a hearing and how the use of oil dispersant is affecting the gulf of mexico. in more than an hour, a senate banking committee confirmation hearin

a.i.g., fannie mae, freddie mac, germ motors, the student loan programs, that comes to to 1/3 and along comes obamacare, the nationalization of all of these entities, all fortune 500 companies and we come to the nationalization, mr. speaker, of your skin, your skin, and everything inside it, taken over by the federal government and the very taxation of the outside started the first of july if you walked into a tanning salon, 10% goes to uncle sam to pay for obamacare which is going to be a revenue-saving operation. we need to repeal obamacare and pull it out by the roots. i have in conjunction with michelle bachmann, worked intensively to repeal obamacare. she introduced a repeal on the first day. i introduced one on the first week. we have a discharge at the petition at the well, discharge number 11. we have 136 signatures and i wouldn't be surprised if it goes over 140. a discharge petition can circumvent a block by the speaker if 218 signatures on discharge petition number 11, that means obamacare comes to the floor of the house where it would certainly be repealed in the house, howe

that the uneven treatment of the creditors financial institutions beginning with bear stearns an fannie mae freddie mac and of course everyone knows lehman brothers was the proximate cause for taking what was a significant financial crisis. but generating a financial panic. everyone lost faith. so i would be very sympathetic to that argument and i think he's correct. our analysis, the analysis that dr. blinder and i conducted began after the panic hit, after we were in the middle of turmoil and the financial system was on the precipice of a collapse and we asked the question, well if policymakers had not responded by provided equity to the banking system f policymakers had not responded by conducting bank stress test, if the f.d.i.c. had not stepped in and guaranteed bank debt issue ansesance f the f.d.i.c. had not raised deposit insurance limits to restore confidence, if we had not had all the plethora of tax cuts and spending increases that were all the various aspects of stimulus, then we what be in a measurably worse place. john is right there were a number of policy mistakes that got u

democrats are expected to take up another contentious issues, the future of government-run giants, fannie mae freddie mac. >>> the average person on the street probably does not have any idea what the financial reform bill does. in fact, i would say probably a lot of lawmakers don't either. scott mcgrew joins us with a look at that. >> and that's okay. it really is. and here's why. many of congress can't say what the bill does, even though they're signing off on it. it's a regulatory bill. what the bill is saying, it's setting goals for, say, the fdic, the s.e.c., the new consumer protection agency that you mentioned. it doesn't say how to enforce the goals. it says stop the crisis that we lived through from ever happening again, but it's up to the executive branch in the future to determine how to do that. how to make financial companies and banks and hedge funds more secure. this makes those financial industries crazy, because they simply don't know what to expect. wall street does no what to expect from apple. lots of money. the broader markets will respond to apple's news it made the most

are expected to take up another contentious issue, the future of government-run mortgage giants, fannie mae and freddie mac. >>> millions of people out of work are soon going to have their jobless e lesless benefit. senate democrats broke through a republican filibuster yesterday and so now a final vote is expected today. democrats won with support from senator carte goodwin, the newest west virginia democrat. the extension failed three times since june. republicans had argued that the $33 billion measure should be paid for by offsetting cuts in other spending. now, nearly 270,000 californians will benefit from the extension, according to the employment development department. but another 147,000 workers in the state have exhausted their unemployment maximum, so they're really not going to be helped by this extension. >>> it's 6:14 right now. there's a new twist in that argument over who owns facebook. there maybe, actually, a written contract between founder mark zuckerberg and a man who says he owns 80% of the site. >> this is just a weird story. who would have ever expected this? and it

bailouts going on, we are looking at economic regulation bills to take care of the problems of fannie mae and freddie mac the deal was none of the problems but consolidates the power is such >> socialism is a way of getting the government to steal. it is time for people to wake up to the basic principles of our country was founded on, a rule by law and not april by men. limited government. what we are dealing with and all of these political beings deal with with god and men, who is god? the liberal government messes up everything it touches. it can't figure out how to put a stopper in: the bottom of an ocean. they can't figure out how to put a plant to put a stopper in the bottom of the ocean. in st. louis a day ago in a big hearing about the veterans hospital, they were not cleaning dental instruments and people were exposed to hiv and hepatitis these democrats were outraged that their government debt from medical system was exposing people. did it ever crossed there might admit that the government should not be in the medical business to begin with? who has killed more people in all the

the tax credit for mortgage interest, the credit provided by fannie mae and freddie mac, and the housing goals particularly for low income americans. are you still committed to those three pillars? >> we want to make sure that we do what is necessary to make sure americans have the ability to borrow, to finance the purchase of a house. we bring stability to house prices. we help prepare the huge damage done by the housing market and you still say it's in a lot of distress. we brought a measure of stability to house prices. interest rates have come down dramatically. millions of americans have been able to refinance and take advantage of lower rates which is much more money in their pockets and we've put in place a very carefully designed mortgage modification program to help people who have a chance to stay in their house take advantage of that chance. now, we'll make sure we continue to do what's necessary to again repair the damage of this housing crisis but we have to reform the system. we have to bring to fannie and freddie and to the broader housing finance market a better set of po

when it fails to address the giants of the collapse, fannie mae and freddie mac. failing to address these two cancerous entities is like going in for surgery and keeping the large tumor in place. in conclusion, god bless our troops and we will never forget september 11 and the global war on terrorism. the speaker pro tempore: for what purpose does the gentleman from arizona rise? >> to address the house for one minute. the speaker pro tempore: without objection, the gentleman is recognized for one minute. >> mr. speaker, i'm troubled by recent press reports suggesting that the justice department is going to sue new mexico for the new arizona law. i believe this is the wrong direction to go. i believe the administration's time and efforts will be much better securing the border and fixing our broken immigration system. if there's one message that the congress should need is that arizonans are fed up with the federal government from failing to address this important issue. mr. mitchell: it won't fix our broken immigration system, boy cots. the only thing that pro tr

. >> charlie: fannie mae and freddie mac were not dealt with here. >> they're next. >> charlie: they're next. that's what you are saying. now that we've got this bill finished we'll turn our attention to them. >> absolutely. we've got a very smart, capable team of people working for six months looking at alternative ways to reform those institutions and frankly fix the broader housing finance market. >> charlie: it's said this gives you more power. >> does it give me personally more power? >> charlie: no. the treasury department. >> treasury becomes the chairman of a council that is made up of the principal supervisors and regulators. the basic authority for the rules -- for the design of the rules and the enforcement is left as it should be with those independent, specialized regulators -- the f.c.c., the -- the f.t.c., the federal reserve, et cetera. what treasury's job is to make sure that there are no big gaps, that the overall rules are sufficiently conservative -- they provide enough promise of stability, that they're frankly tough enough and to make sure that as the market adapts

if fannie mae came in on a first-come, first-served basis at 55% of the bank approved, higher appraisal prior to any recession with the requirement licensed in a bonded contractor bid for a minimum purchase price upgrade, jobs would explode. not to mention the quickly expanding taxpayer rolls. host: in the latest edition of business week, james warren writes "the primary goal for businesses of all sizes and business owners of all political beliefs -- now the the stimulus is winding down they might have something else in common." this quote from dennis lane, "we can no longer for the government that we have, maybe they need to hire more workers to get even less done." speaking about the budget deficit on the states, here is part of the summer session from saturday. >> this is how we are positioning our states for success in the future. it will be important. successors and future generations can have a more sustainable state governments in their place. >> it will take a modification and expectation of the public based on what the government does. this is how they maintain the capacity wit

host: this option -- this in the paper -- fannie mae and freddie mac will begin trading after they wereitorial opposing the dodd-frank proposal. we have someone on the republican line. caller: i am 72 years old. not one thing have they done for the working man. they have done medicare. they can say they have done a lot, but they have not. they have tried to destroy this president. if we say no to everything, we can destroy you as president. that is what they have done. come on, a young boy. you are smart enough and educated enough to know that the republicans are for the rich. that is why you don't want regulation on banks or businesses. you don't want to take any tax breaks from the businesses. you want to take the money from the working man and they don't have it. host: thank you, paul. guest: i think what paul is voicing is a common frustration among democrats. i find it interesting that, you know, a lot of these calls have not had much to do with financial regulation. i just -- the only reason i say that is because i feel like this bill is very misunderstood. paul said that republic

house republicans have listened to the will of the people and voted to save billions by reforming fannie mae and freddie mac, by selling excess federal lands, and by preventing taxpayer subsidized union activities. yesterday the house had another opportunity to save money by getting rid of propotional stimulus signs. a year and a half after the spending stimulus passed, unemployment has risen to 10% as the so-called stimulus has failed to create jobs. but liberals cleverly came up with propaganda to push americans on this failed policy. at a cost up to $10,000 a sign, stimulus signs are nationwide. $20 million could be saved if we elem-r limb nated this waste. when it comes to wasteful washington spending, all signs point to the stimulus. in conclusion, god bless our troops and we will never forget september 11 and the global war on terrorism. the speaker pro tempore: the gentleman yields back the balance of his time. for what purpose does the gentlelady from new york rise? without objection. recognized. mrs. maloney: mr. speaker, unemployment benefits are a necessary lifeline for jobless wo

there is no addressing of the institutions that were the meltdown, writes fanny mae and freddie mac. i along with others fought to change fanny and freddie. by the way, i never supported amnesty. >> mr. deakin, the final word? >> i'm sorry. in 1986, you did vote for amnesty, so i don't see how you can say you never supported it. we have to stop bailing out financial institutions. we need to get rid of fannie mae and freddie mac. >> forces could be fighting in afghanistan for another 10 years. you said we need to stay in afghanistan until we have won. are you willing to stay for another 10 years if that's what it takes, even if some from your own party are beginning to call it the war of a losing proposition. how will we know when we have won in afghanistan? >> we will know how we won in afghanistan the way we know we won in ran -- iran. they have a functioning government. they have a government that is functioning for the people in contested electrics. i would remind you that nch said john mccain's candidacy's campaign was doomed because i supported the surge, i said i would rather lo

. >> reporter: critics say the bill fails to reform mortgage giants fannie mae ask freddie mac and gives too much power to federal regulators to create new rules. republicans who almost universally opposed this legislation argue it will curve growth and kill jobs at a time the nation can least afford it. >> i think it ought to be repealed. >> reporter: former investment banker douglas elliott believes the bill is better than doing nothing. >> the bill addresses most of the problems and makes a good start. it is not perfection but in the real world we don't get perfection. >> reporter: adding to his accomplishments later this week, the president is expected to sign a bill sending unemployment benefits to millions of americans. erica? >> chip reid this morning. thanks. >>> joining us now is cbs news business and economics correspondent rebecca jarvis with a closer look at how the changes could affect you and me, average consumer, everybody at home. first up, we know this law establishing the bureau of financial protection that will regulate mortgages, credit cards, student loans. what's it

this bill is not real reform because we ignored the reform of fannie mae and freddie mac. we did not do very much of anything, to speak of, dealing with the rating agencies. we have empowered a lot of the regulatory bodies that failed us before. and the question is, what have they learned? and it's not going to create jobs, which we desperately need. it's going to cost jobs. it's going to hurt the economy, not help. >> you say it's going to hurt the economy. president obama said yesterday, unless your business depends on cutting corners or bilking customers, you have nothing to fear. specifically, how does this hurt businesses who are playing by the rules? >> first of all, you're going to create, george, one of the largest bureaucracies, the consumer agency, that we've ever had. in many many years, and it's going to delve into just about any aspect of any small, medium, large business, financial institutions in this country. we don't need this. we need to create jobs. we're all consumers. and we like to make sure that the consumer has some protection. but we basically prot

but government finance fannie mae and freddie mac will no longer accept them because they have seniortus for repayment in the event of a default. >>> the lawsuit is wrong because the new owners of the home would be required to finish paying for the upgrades. >>> bay area developers are worried air quality guidelines could delay or stop affordable housing projects according to the san francisco business times. it reports they're concerned about new requirements to conduct pollution control studies for projects near freeways oil refineries and other high pollution sources. that new rule would apply to most, in the inner bay area. there's a recall of bagged salad products and in 19 other states. fresh express is warning about packages of row main lettuce that may be contaminated with e coli. she approximate letter s and use by dates from july 8th through july 12th. if you still have one of those, throw it away. >>> so far there's no word of anyone getting sick from the row main. >>> find out more at our web site and click on the web links. >>> all right. time now is 8:19. bay area police

government has spent $700 billion in the last year alone supporting financial institutions like fannie maeof that largely without congressional action. >>> and congress is expected to finish work on an extension to long-term unemployment benefits. republican opposition to the bill was defeated yesterday in the senate. >>> finally this half hour, a closer look at the life of british prime minister david cameron. he is a young, energetic leader with young children. >> unlike many politicians he enjoys the music of radiohead and lily allen. diane sawyer has more on the not so common conservative. >> reporter: there he was with internet videos. shirt sleeves rolled up. biking to work. playing in the snow. moving seamlessly from the podium to the stove. his wife samantha was also born into the upper class but had a creative director job at a prestigious stationery goods company. their firstborn was ivan, born with a rare form of cerebral palsy. cameron called him their beautiful boy, and when he died last year at the age of 6, a nation grieved. the couple also has a daughter, nancy, now age 6 a

, freddie c, sallie mae, fanny farmer, i don't know hothat got in there but it seems good. anyway, saving them all from tranarency. guarding subidies, placing the class warfare card, we have versus them, the race card and on and on and on. the fun and games is over. the smile of the purveyors cynicism which is we areonly doing god's work. we will be a little less invoked. so, the staff will work with your staff during the august recess and be renewed and refreshed from the return in september. what's all stay in the room, no anger or bitterness. it isn't going our way we must come and that this for me -- we must trust each other, listen to each other, challenge each other, respect each other and continue to know each other. we care deeply about our own issues as it should be. but this fine country is bigger and more imortant than any of my personal issues or yours. so as we struggle to educate our fellow americans as to the vivid realy of where we are and when our myriad detractors unite in saying, quote, when things get better than we will deal with all of this my report i

fannie mae and freddie mac or the problem. we need to get rid of them. when people are willing to invest their own capital, then we have a solid economy. we cannot rely on the taxpayers to bail out big corporations. >> the next question goes to senator mccain. general george casey has said american forces could still be fighting in afghanistan for a another 10 years. you have said we need to stay in afghanistan until we win. are you willing to stay for another 10 years that that is what it takes? even as some in your own party are calling for removal? >> we will know how we won in afghanistan the same way we won in iraq. when they have a government that is functioning for the people. everybody else says that john mccain was doomed because of my support for the surge. i said that i would rather lose a campaign than lose a war. afghanistan is long, hard, and tough. i spent the fourth of july with general petraeus in afghanistan. the problem is the president's announcement for having a set date for withdrawal. you cannot win a conflict that he set a date fo

before, social security, medicare, and you can also include what's going to happen with fan fan -- fanny maee are the importaat things that have to be addressed in the coming years. >> earnings and hours ticked downward last month and the stakes grow larger, it says in "the new york times." " incumbents feel particularly precarious and make economic decisions are financial reform, unemployment benefits, and aid to states still sit on their desks." guest: this is the short-term question, which will do more harm to the economy -- doing more or doing less? we had this same group -- same discussion at last week's group in toronto. some countries were cupping in saying, if you pull back now, the economy weakens, and if the economy weakens, you have fewer people paying taxes. the european opinion was if you want to show confidence, you need to show commitment to deficit reduction. host: "resession still a looming menace. government must not assume recovery is here." barbara, democrat, good morning. caller: what i would like to ask miss ayeser -- kaiser, do you really think if it was any other pers

we go back and look at some of the things the clinton administration was doing with respect to fannie maey for loans. discontinued -- the bush administration was also guilty of this. --- this continued. they felt home ownership was good everywhere and we need to do a lot of things to encourage it, even among people who might not be financially responsible or ready to take on a mortgage. so i think that across the board, politicians in both parties encouraged home ownership. among communities and economic groups for whom home ownership might not have been the best option. host: shares of freddie mae and freddie mac will begin trading over-the-counter thursday nearly a month after it was delisted by the new york stock exchange. we are talking about coverage of and the editorial opposing the dodd-frank proposal. we have someone on the republican line. caller: i am 72 years old. not one thing have they done for the working man. they have done medicare. they can say they have done a lot, but they have not. they have tried to destroy this president. if we say no to everything, we can destroy yo