PBS NewsHour; August 2, 2010 6:00pm-7:00pm PDT

Captioning sponsored by MacNEIL/LEHRER PRODUCTIONS

>> Ifill: GOOD EVENING. I'M GWEN IFILL. PRESIDENT OBAMA DECLARED TODAY THE COMBAT MISSION IN IRAQ WILL END, AS SCHEDULED, AT THE END OF THIS MONTH.

>> Woodruff: AND I'M JUDY WOODRUFF. ON THE NEWSHOUR TONIGHT, FORMER BUSH ADMINISTRATION OFFICIAL MICHAEL RUBIN AND FORMER CLINTON ADMINISTRATION OFFICIAL BRIAN KATULIS DISCUSS THE U.S. PULLBACK AMID CONTINUING VIOLENCE AND ONGOING POLITICAL STALEMATE.

>> Ifill: THEN, TOM BEARDEN REPORTS FROM A SHIP PLAYING A KEY ROLE IN THE EFFORT TO CONTAIN THE OIL SPILL IN THE GULF OF MEXICO.

>> THE PROCESS OF KILLING THE WELL WINDS DOWN. IT'S ALMOST DONE.

>> Woodruff: U.S. HEALTH AND HUMAN SERVICES SECRETARY KATHLEEN SEBELIUS IS HERE TO TALK ABOUT THE LATEST DEVELOPMENTS ON HEALTH CARE REFORM.

>> Ifill: JONATHON MILLER OF INDEPENDENT TELEVISION NEWS HAS AN UPDATE ON THE FLOODS IN PAKISTAN THAT HAVE KILLED MORE THAN 1,000 PEOPLE HIS WEEKEND.

>> Woodruff: AND JEFFREY BROWN HAS A BOOK CONVERSATION WITH OCEAN EXPLORER JEAN-MICHEL COUSTEAU ABOUT HIS FAMOUS FATHER, JACQUES COUSTEAU.

>> Ifill: THAT'S ALL AHEAD ON TONIGHT'S NEWSHOUR. MAJOR FUNDING FOR THE PBS NEWSHOUR HAS BEEN PROVIDED BY: AND WITH THE ONGOING SUPPORT OF THESE INSTITUTIONS AND FOUNDATIONS. AND... THIS PROGRAM WAS MADE POSSIBLE BY THE CORPORATION FOR PUBLIC BROADCASTING. AND BY CONTRIBUTIONS TO YOUR PBS STATION FROM VIEWERS LIKE YOU. THANK YOU.

>> Ifill: THE PRESIDENT BOASTED OF PROGRESS IN IRAQ TODAY AS THE AMERICAN COMBAT EFFORT, IF NOT THE DIPLOMATIC ONE, WINDS DOWN. MR. OBAMA SPOKE TO A DISABLED VETERANS CONVENTION IN ATLANTA.

>> AS A CANDIDATE FOR PRESIDENT I PLEDGE TO BRING THE WAR IN IRAQ TO A RESPONSIBLE END.

>> Reporter: AND TODAY ADDRESSING THE DISABLED AMERICAN VETERANS, PRESIDENT OBAMA DECLARED THE AMERICAN-LED WAR IS NEARING ITS END.

>> SHORTLY AFTER TAKING OFFICE I ANNOUNCED OUR NEW STRATEGY FOR IRAQ AND FOR A TRANSITION TO FULL IRAQI RESPONSIBILITY. AND I MADE IT CLEAR THAT BY AUGUST 31st 2010, AMERICA'S COMBAT MISSION IN IRAQ WOULD END. (APPLAUSE)

>> AND THAT IS EXACTLY WHAT WE ARE DOING. AS PROMISED AND ON SCHEDULE.

>> Reporter: THE AMERICAN FORCE IN IRAQ HAS ALREADY SHRUNK BY 90,000 OVER THE LAST YEAR AND A HALF. AND IT'S ON TRACK TO DROP TO 50,000 BY MONTH'S END. ALL AMERICAN TROOPS ARE SCHEDULED TO LEAVE AT THE END OF NEXT YEAR.

>> DURING THIS PERIOD OUR FORCES WILL HAVE A FOCUSED MISSION SUPPORTING AND TRAINING IRAQI FORCES, PARTNERING WITH IRAQIS AND COUNTERTERRORISM MISSIONS, AND PROTECTING OUR CIVILIANS AND MILITARY EFFORTS. THESE ARE DANGEROUS TASKS. THERE ARE STILL THOSE WITH BOMBS AND BULLETS WHO WILL TRY TO STOP IRAQ'S PROGRESS. AND THE HARD TRUTH IS WE HAVE NOT SEEN THE END OF AMERICAN SACRIFICE IN IRAQ.

>> Reporter: MORE THAN 4400 AMERICAN TROOPS HAVE DIED IN IRAQ IN SEVEN AND A HALF YEARS OF FIGHTING. WITH THOUSANDS MORE WOUNDED. BUT SO FAR THIS YEAR 43 AMERICANS HAVE BEEN KILLED FEWER THAN LAST MONTH ALONE IN AFGHANISTAN. AT LEAST 100,000 IRAQIS HAVE DIED IN THE WAR, SOME ESTIMATES ARE MUCH HIGHER IN WHAT AT TIMES HAS BEEN BRUTAL SECTARIAN STRIKESMENT BUT THE PRESIDENT POINTED TO MAJOR IMPROVEMENTS DURING RECENT YEARS.

>> TODAY EVEN AS TERRORISTS TRY TO DERAIL IRAQ'S PROGRESS, BECAUSE OF THE SACRIFICES OF OUR TROOPS AND THEIR IRAQI PARTNERS, VIOLENCE IN IRAQ CONTINUES TO BE NEAR THE LOWEST IT'S BEEN IN YEARS.

>> Reporter: REPUBLICANS POINT OUT THAT BECAUSE MR. OBAMA OPPOSED THE U.S. SURGE IN IRAQ HE DESERVES SCANT CREDIT FOR ANY SUCCESS. SENATE MINORITY LEADER MITCH McCONNELL.

>> THANKS TO THE DETERMINATION OF GENERAL PETRAEUS, GENERAL McCHRYSTAL AND AMBASSADOR CROCKER THE COUNTERINSURGENCY STRATEGY WAS ALLOWED TO TAKE ROOT AND TO SUCCEED.

>> Reporter: BUT THE VIOLENCE IS FAR FROM ENDED. TODAY A BOMB BLAST IN BAGHDAD KILLED 12. AND THE IRAQI GOVERNMENT SAYS THERE WERE MORE THAN 500 CIVILIAN DEATHS IN JULY, A RECORD FOR THE YEAR. THE U.S. MILITARY DISPUTES THAT FIGURE. AS THE AMERICAN COMMITMENT STRENGTHS IRAQ'S POLITICAL IMPASSE CONTINUES. THE MARCH ELECTION WAS THE FIRST PLANNED AND RUNED BY IRAQIS AND IT PRODUCED RECORD TURNOUT. BUT IN THE FIVE MONTHS SINCE PRIME MINISTER NEAREE AL-MALIKI HAS NOT BEEN ABLE TO FORM A GOVERNING COALITION AMONG HIS SHIITE PARTNERS. A MAIN OPPONENT IS ALAWI, THE SHIITE FORMER PRIME MINISTER WHO CREATED A SECULAR SECTARIAN BLOC THAT GARNERED MORE VOTES THAN MALIKI. AT A RECENT MEETING IN DAM AS CA CIRRUS YA, ALAWI ASKED FOURTH FROM AL-SADR WHO ONCE WAGED OPEN WAR.

>> THERE WERE OLD DISAGREEMENTS. I FORGET THEM, IN ORDER TO MAKE THE POLITICAL PROCESS MOVE FORWARD. AND I HOPE THAT IN THE FUTURE THERE WOULD NOT BE ANY DISAGREEMENT WITH ALAWI OR ANYONE ELSE.

>> Reporter: DESPITE VISITS FROM VICE PRESIDENT BIDEN AND A HOST OF OTHER TOP AMERICAN OFFICIALS, THERE SEEMS NO END IN SIGHT FOR THE DEADLOCK. THAT HAS RAISED FEARS OF RENEWED SECTARIAN BLOODLETTING JUST AS THE AMERICAN COMBAT PRESENCE FADES. NOW FOR MORE ON FOR MORE ON THE COMPLICATED NATURE OF THE U.S. DRAWDOWN, WE TURN TO BRIAN KATULIS, WHO WORKED FOR PRESIDENT CLINTON'S NATIONAL SECURITY COUNCIL AND ADVISED THE OBAMA PRESIDENTIAL CAMPAIGN ON IRAQ. HE'S NOW A SENIOR FELLOW AT THE CENTER FOR AMERICAN PROGRESS. AND MICHAEL RUBIN, AN ADVISER TO THE U.S.-LED OCCUPATION AUTHORITY IN IRAQ UNDER PRESIDENT GEORGE W. BUSH. HE'S NOW A RESIDENT SCHOLAR AT THE AMERICAN ENTERPRISE INSTITUTE.

>> WELCOME TO YOU BOTH, GENTLEMEN. WHEN THE PRESIDENT SAYS TO TODAY BRIAN KATULIS THAT WE ARE MOVING FROM THE COMBAT MISSION TO THE DIPLOMATIC MISSION, WHAT DOES THAT REALLY MEAN?

>> WELL, PRESIDENT OBAMA IS TRYING TO SEND A MESSAGE THAT WHAT HE PROMISED AS A CANDIDATE, THAT WE WILL IMPLEMENT A PHASED WITH DRAWAL OF TROOPS BUT WE WILL COMMIT TO ENDURING SUPPORT, DIPLOMATIC, ECONOMIC, POLITICAL SUPPORT FOR IRAQ, THIS IS WHAT HE IS EXPLAINING TO THE AMERICAN PUBLIC. WE ARE IN THIS TRANSITION PHASE AND THAT THE COMBAT PHASE HAS ENDED. WE'RE GOING TO FADE TO THE BACKGROUND AND OFFER SUPPORT TO THE IRAQI GOVERNMENT AND THE IRAQI PEOPLE OVER THE LONG HALL.

>> MICHAEL RUBIN, ARE YOU HEARING FADE TO THE BACKGROUND WHEN YOU HEAR THAT?

>> I MOST CERTAINLY AM HEARING FADE TO THE BACKGROUND. WE COULD CERTAINLY HAVE A DEBATE OVER WHETHER IT'S WISE TO FADE TOWARDS THE BACKGROUND OR WHETHER IT'S WISE TO ADHERE TO THIS DEADLINE WHICH IS A POLITICAL DEADLINE WHICH PRESIDENT OBAMA CAME OUT DURING HIS CAMPAIGN, AND IS QUITE DIFFERENT FROM THE LEGAL DEADLINE.

>> YOU OBVIOUSLY DON'T THINK IT IS WISE, TELL ME WHY SM.

>> I DON'T THINK IT IS WISE FOR A FEW REASONS. NUMBER ONE, IRAQ'S GOVERNMENT HASN'T FORMED YET. THERE IS STILL A LOT OF FAULT LINES ALONG KIRKUT, AROUND MOZUL AND WHETHER WE LIKE IT OR NOT U.S. INFLUENCE IS TIED TO THE NUMBER OF TROOPS WE HAVE ON THE GROUND. THAT DOESN'T MEAN THEY SHOULDN'T WITHDRAW, BUT WE'VE GOT TO BE PREPARED IF WE DO WITHDRAW THEM, THAT WE'RE NOT GOING TO HAVE THAT TRIPWIRE IN PLACE SHOULD IRAQI CRISES BREAK OUT IN THIS TIME WITHOUT A GOVERNMENT.

>> HOW ABOUT THAT BRIAN KATULIS T HAS BEEN FIVE MONTHS SINCE THAT ELECTION. THEY ARE STILL TRYING TO MAKE SENSE OF IT, SORT IT OUT. HOW DO WE KNOW THAT WE CAN AFFORD TO PULL BACK AS THE PRESIDENT PROMISED?

>> I THINK WE CAN AFFORD TO BECAUSE U.S. TROOPS FOR THE LAST YEAR IN ESSENCE HAVE NOT BEEN ON IRAQI TREAT STROOS. ONE OF THE BIGGEST MARKET POINTS AND MICHAEL WROTE ABOUT THIS LAST SUMMER WAS WHEN WE WITHDREW FROM POPULATED AREAS. AND MUCH OF OUR DRAW DOWN HAS ALREADY BEEN IMPLEMENTED AND AS ADMIRAL MIKE MULLEN THE CHAIRMAN OF JOINT CHIEFS STAFF SAID LAST WEEK, HE IS PLEASED WITH THE PROGRESS. SO OUR TOP MILITARY COMMANDER SAID EVERYTHING IS GOING OKAY. THE SIMPLE FACT OF THE MAT CERTIFICATE THAT THIS TIME LINE IS SOMETHING THAT IRAQIS ACTUALLY WANT. THEY DEMANDED THIS FROM THE BUSH ADMINISTRATION. THE BUSH ADMINISTRATION DID NOT WANT TO HAVE A TIME LINE AND IT WAS THE IRAQI GOVERNMENT THAT FORCED THE UNITED STATES'S HAND. AND THEY SAID LOOK, WE WANT TO TAKE BACK CONTROL OF OUR COUNTRY AND IRAQIS ARE DOING THAT. THEY ARE A PROUD NATION. THEY ACTUALLY WANT TO TAKE CONTROL OF THEIR COUNTRY. THEY HAVE SUBSTANTIAL POLITICAL DIFFERENCES IN FORMING A GOVERNMENT BUT WE SHOULD NOT STAND IN THE WAY IN THE EFFORTS OF IRAQIS TO TAKE CONTROL OF THEIR OWN AFFAIRS.

>> HE'S ARGUING THAT IT DOESN'T MATTER WHETHER EVERYTHING IS FIXED COMPLETELY. IT'S TIME TO GO BECAUSE THE IRAQIS WANT THE U.S. TO GO.

>> WELL, THE IRAQIS CERTAINLY DO WANT THE U.S. TO GO AND THAT IS WHY THEY AGREED TO A DEADLINE OF SEPTEMBER 13, 2011, AUGUST 341s2010 IS PRESIDENT OBAMA CAMPAIGN RHETORIC BACK WHEN HE WAS A SENATOR.

>> BUT THERE WOULD STILL BE 50,000 TROOPS THERE.

>> THERE WILL STILL BE 50,000 TROOPS THERE. BUT THE NUMBER OF TROOPS ON THE GROUND NOW WITH PRESIDENT OBAMA IS ALSO DO SOMETHING A BIT OF SMOKE AND MIRRORS BECAUSE WHEN HE SAYS THESE AREN'T COMBAT TROOPS THEY AREN'T GOING TO BE INVOLVED IN TRAINING BUT INVOLVED IN PROTECT YOU ARE DIPLOMATIC FORCES. YOU CAN CALL THEM WHAT YOU WANT BUT ONE OF LESSONS LEARNED IN OPERATION IRAQI FREEDOM IS THAT EVERY TROOP HAS TO BE COMBAT READY. AND THAT'S TO THE GOING TO CHANGE.

>> THAT IS ACTUALLY ONE OF THE QUESTIONS I WAS GOING TO ASK IS YOU HAVE HAD 50,000 TROOPS ON THE GROUND. ARE THEY SUPPOSED TO SIT AROUND AND WATCH THE IRAQI FORCES ENGAGE IN WHAT THEY DON'T ENGAGE?

>> WELL LOOK, AGAIN, I THINK THE KEY DEADLINE WAS LAST SUMMER. WE HAVE ALREADY ADOPTED A POSTURE OF TRAINING AND ADVISING. I THINK WE STILL HAVE TARGETED OPERATIONS AGAINST INSURGENT GROUPS AND TERRORIST GROUPS AND THESE HAVE BEGUN QUITE EFFECTIVE EVEN AS WE ARE DRAWING DOWN THE FORCE THERE THE REAL CHALLENGE IN THE NEXT YEAR IS PAGING SURE THE IRAQIS STAND UP. EVERYBODY TALKS ABOUT THE SURGE OF U.S. FORCES IN 2007, THE REAL SURGE THAT MATTERED WAS THE SURGE OF IRAQI FORCES. THE U.S. SURGE WAS ABOUT A 15% INCREASE. THE EYE ROCK-- IRAQI FORCES DURING THAT SAME PERIOD DOUBLED. AND THAT IS WHAT MATTERS THE MOST IS IRAQIS HAVE A STRONG EMPHASIS TO TAKE CONTROL OF THEIR OWN AFFAIRS.

>> DID IT WORK IN THE END.

>> IT DID NOT IN TERMS OF ACTUALLY YOU LOOK AT THE POLITICAL DIVISIONS IN IRAQ, AND ONE OF THE GOALS OF THE SURGE WAS ACTUALLY TO REDUCE THE VIOLENCE, GET IRAQI LEADERS TO BRIDGE THEIR POLITICAL DIVIDE. I ARGUE THAT THE SURGE ACTUALLY FROZE THOSE POSITIONS IN PLACE. AND ALSO FOR THOSE WHO LIKE TO TALK ABOUT A COUNTERINSURGENCY STRATEGY, ACHIEVING RESULTS ON THE GROUND IN IRAQ, THERE ARE MILLIONS OF IRAQIS WHO DON'T SEE THE BENEFITS OF BASIC SERVICES AND INCREASED SECURITY. COUN INSURGENCY DID NOT SUCCEED IN THE WAY THAT I THINK IT IS PORTRAYED IN WASHINGTON.

>> I THINK COUNTERINSURGENCYS DID SUCCEED TO SOME EXTENT IN GIVING THE POLITICAL-- THE POLITICAL ELITE TO MOVE THERE IS STILL A LOT TO BE DONE. ONE OF THE MOST INTERESTING AND IMPORTANT STATISTICS FROM THE IRAQI ELECTIONS LAST MARCH IS THAT ONLY 20% OF THE INCUMBENTS RUNED TO OFFICE. SOME OF THAT IS BECAUSE THEY CHOSE NOT TO RUN AGAIN. SOME OF THAT WAS BECAUSE THEY WERE THROWN OUT OF OFFICE. AS THE YOUNGER GENERATION AND AS THE IRAQIS BASICALLY SAY, ENOUGH OF THEETTE NO SECTARIAN STRIFE, WE WANT RESULTS.

>> BUT THEY HAVEN'T BEEN ABLE TO FORM A GOVERNMENT.

>> THIS IS THE MAIN PROBLEM. BUT SO FAR UNTIL THIS POINT , THEY'RE COMBATING THEMSELVES POLITICALLY. THEY ARE DEBATING. THEY'RE ARGUING. THE QUESTION IS IF WE WITHDRAWAL IN THE MIDST OF THAT, WHETHER SOME MIGHT DECIDE TO TRY TO IMPOSE THROUGH FORCE OF ARMS WHAT THEY CAN'T WIN ON THE FLOOR OF THE ASSEMBLY.

>> WHY IS THIS DIVIDE SO STUBBORN, SO WIDE AND WHAT DIFFERENCE DOES IT MAKE WHETHER THE U.S. IS THERE OR NOT IN ORDER TO CLOSE IT?

>> WELL, LOOK, I THINK WE SHOULD TAKE A STEP BACK AND LOOK AT THE IRAQ WAR AND ITS IMPACT ON U.S. NATIONAL SECURITY. AND MORE THAN SEVEN YEARS LATER IT IS STILL A NET NEGATIVE. WHEN YOU MEASURE FOR U.S. NATIONAL SECURITY INTERESTS. WHAT WE HAVE IS EMBOLDENED IRAN. SOME OF IRAN'S BEST ALLYS ARE NOW IN POWER IN BAGHDAD. WE HELPED CREATE FOR A WHILE THERE A LIVE TRAINING GROUND FOR TERRORISTS WHO ARE NOW USING SOME OF THE TACTICS THEY TESTED ON THE BATTLEFIELD AGAINST US IN IRAQ AT THIS POINT. SO FOR THOSE WHO ARGUED SEVEN YEARS AGO THAT WE'RE GOING TO HAVE TSUNAMIS OF DEMOCRACY AND THAT THE REGION WILL BE COMPLETELY CHANGED, THEY WERE PROVEN WRONG. AND I THINK WHAT WE'RE NOW TRYING TO DO IS TAKE A SAD SONG AND MAKE IT BETTER.

>> I WILL DISAGREE WITH THAT, OBVIOUSLY. CERTAINLY I THINK IT'S A MISTAKE TO ASSUME THAT IRAQI-- EVEN IRAQI SHI'A LEADERS ARE NECESSARILY PRO IRANIA -- IRANIAIAN. IF THE AMERICANS UNDERESTIMATED THE IMPACT OF OCCUPATION, THE BIGGEST MISTAKE IRANIANS HAVE MADE IS NOT UNDERSTANDING THE IMPORTANCE OF IRAQI NATIONALISM. WHAT WE ARE SEEING IS A CORRECTION AFTER DECADES OF SADDAM HUSSEIN DICTATORSHIP AND THE FACT OF THE MATTER IS IRAQ IS NOW THE LARGEST ARAB DEMOCRACY. AND IT HAS SUCCEEDED IN THAT TERM, EVEN THOUGH IT STILL HAS A WAY TO GO.

>> LET'S TALK ABOUT DEADLINES. WE HAVE DEADLINES WHICH ARE NOW THE PRESIDENT, SAYS TODAY, BEING MET IN IRAQ AND DEADLINES WHICH ARE LOOMING IN AFGHANISTAN AND THERE IS QUIT A DEBATE GOING ON ABOUT WHETHER THAT IS A GOOD IDEA OR NOT. BASED ON WHAT WE HAVE SEEN IN IRAQ, AND I KNOW THERE IS A LOT OF DIFFERENCES IN THE TWO SITUATIONS, BUT BASED ON WHAT WE HAVE SEEN IN IRAQ IS IT A GOOD IDEA TO BE SETING A DEADLINE FOR A PULLOUT IN AFGHANISTAN.

>> ABSOLUTELY. BECAUSE IF YOU DON'T, YOU FOSTER A CULTURE OF DYSFUNCTIONAL DEPENDENCY ON THE UNITED STATES. YOU SEND THE WRONG MESSAGE-- MESSAGE THAT WE ARE GOING TO BE THERE AND SPEND BILLIONS OF DOLLARS NO MATTER WHAT. THAT ACTUALLY FOSTERS AMONG THE POLITICAL ELITE IN THESE COUNTRIES THE SENSE THAT WE HAVE A SECURITY UMBRELLA. AND WE NEED TO SEND A CLEAR MESSAGE THAT WE ARE GOING TO SUPPORT YOU. BUT UNDER CERTAIN CONDITIONS. AND IF YOU ACT IN A CERTAIN WAY. AND THIS HAS NOT BEEN THE CASE I THINK IN AFGHANISTAN WHICH IS A REAL DANGER, I THINK, AT THIS POINT. EVEN THE TIME LINE THAT WAS SET FOR NEXT SUMMER IS A SOFT TIME LINE. IT IS NOT A TRUE TIME LINE. WE NEED TO SEND A SIGNAL THAT YOU'VE GOT TO TAKE CARE OF YOUR OWN AFFAIRS.

>> DEADLINES ARE IMPORTANT BUT IT DEPENDS ON HOW THEY ARE IMPOSED. I CERTAINLY AGREE WITH BRIAN THAT YOU DON'T WANT TO CREATE A SENSE OF DEPENDENCY. BUT IF YOU ARE GOING TO HAVE A DEADLINE YOU DON'T MAKE IT BASED ON THE AMERICAN POLITICAL CALENDAR. YOU MAKE IT BASED ON THE REALITY ON THE GROUND IN IRAQ OR IN AFGHANISTAN. YOU ASK BEFORE WHAT WILL IT TAKE FOR IRAQIS TO MAKE A DECISION. WELL, IN THE FAST WHENEVER THERE HAS BEEN A DEADLINE, THEY WENT BEHIND CLOSED DOORS TWO DAYS BEFORE THE DEADLINE, THEY SMOKED. THEY DRANK LOTS OF TEE AND-- TEA AND PERHAPS OTHER THINGS AND EMERGED 24 HOURS AFTER THAT DEADLINE WITH A GOVERNMENT. THE PROBLEM RIGHT NOW IS THERE IS NOT THAT EXTERNAL PRESSURE AND WE'RE ABOUT TO REMOVE EVEN MORE EXTERNAL PRESSURE ALLOWING THEM TO DELAY THEIR DECISION.

>> MICHAEL RUBIN OF THE AMERICAN ENTERPRISE INSTITUTE, BRIAN KATULIS, AT THE CENTRE FOR AMERICAN PROGRESS, THANK YOU VERY MUCH.

>> THANK YOU.

>> THANK YOU.

>> STILL TO COME ON THE NEWSHOUR,

>> Woodruff: STILL TO COME ON THE NEWSHOUR, THE OIL SPILL SEEN FROM A SHIP AT THE CENTER OF THE CONTAINMENT EFFORTS; SECRETARY SEBELIUS ON HEALTH CARE REFORM; THE DEADLY FLOODS IN NORTHWEST PAKISTAN; AND A SON WRITES ABOUT HIS FAMOUS FATHER. BUT FIRST, THE OTHER NEWS OF THE DAY. HERE'S HARI SREENIVASAN IN OUR NEWSROOM.

>> Sreenivasan: SIX CHILDREN DIED IN A SUICIDE CAR BOMBING IN SOUTHERN AFGHANISTAN TODAY. THEY WERE IN A MARKET AREA WHEN THE BOMB WENT OFF. IT HAPPENED IN A DISTRICT WEST OF KANDAHAR CITY. THE TARGET APPEARED TO BE A POLICE TRUCK CARRYING AN AFGHAN OFFICIAL. HE ESCAPED UNHARMED. PRESIDENT OBAMA TODAY ACKNOWLEDGED "HUGE CHALLENGES" REMAIN IN AFGHANISTAN, BUT HE SAID THERE HAS BEEN PROGRESS. ON SUNDAY, THE NETHERLANDS BECAME THE FIRST "NATO" COUNTRY TO WITHDRAW TROOPS FROM AFGHANISTAN. 1,900 DUTCH SOLDIERS BEGAN LEAVING YESTERDAY. WALL STREET OPENED AUGUST WITH BIG GAINS TODAY. THE RALLY TOOK OFF AFTER NEWS THAT FACTORY ACTIVITY HAS NOW INCREASED FOR 12 STRAIGHT MONTHS. THE DOW JONES INDUSTRIAL AVERAGE GAINED 208 POINTS TO CLOSE AT 10,674. THE NASDAQ ROSE 40 POINTS TO CLOSE AT 2295. AND THE PRICE OF OIL MOVED BACK ABOVE $80 A BARREL FOR ITS HIGHEST CLOSE IN NEARLY THREE MONTHS. ANOTHER VETERAN DEMOCRAT, CALIFORNIA CONGRESSWOMAN MAXINE WATERS, NOW FACES CHARGES OF VIOLATING HOUSE ETHICS RULES. THE HOUSE ETHICS COMMITTEE ANNOUNCED TODAY SHE'LL FACE TRIAL IN THE FALL. DETAILS WERE NOT AVAILABLE, BUT INVESTIGATORS FOCUSED ON WATERS' SEEKING FEDERAL HELP FOR A BANK WHERE HER HUSBAND WAS A BOARD MEMBER. SHE HAS DENIED ANY WRONGDOING. FELLOW HOUSE DEMOCRAT CHARLES RANGEL OF NEW YORK ALSO FACES AN ETHICS TRIAL THIS FALL. IN RUSSIA, THE DEATH TOLL FROM HUNDREDS OF WILDFIRES HAS NOW HIT 40. 500 NEW FIRES BROKE OUT IN THE LAST 24 HOURS ALONE, CONCENTRATED IN CENTRAL AND WESTERN RUSSIA. FIREFIGHTERS PUT MOST OF THEM OUT, BUT IN RECENT DAYS, 77 TOWNS AND VILLAGES HAVE BEEN DAMAGED OR DESTROYED. SMOKE FROM THE FIRES HAS EVEN DRAPED MOSCOW IN A HAZE. A RECORD HEAT WAVE HAS FUELED FIRES, AND READINGS MAY HIT 100 DEGREES AGAIN THIS WEEK. THOSE ARE SOME OF THE DAY'S MAJOR STORIES. NOW, BACK TO GWEN.

>> Ifill: NOW TO THE LATEST ON THE OIL SPILL IN THE GULF OF MEXICO. ENGINEERS ARE ON THE BRINK OF PERMANENTLY KILLING THE MACONDO OIL WELL, AND ARE SET TO BEGIN TESTS TONIGHT ON PROCEDURES THAT WILL MAKE THAT HAPPEN. THIS WEEKEND, NEWSHOUR CORRESPONDENT TOM BEARDEN VISITED THE SITE OF THAT WELL AND REPORTS ON THE EFFORTS THAT ONE SHIP PLAYED IN CONTAINING THE OIL.

>> THE DRILL SHIP DISCOVERERER ENTERPRISE WAS AT THE CENTRE OF THE EFFORT TO CHOKE OFF THE RED BROWN GUSHER A PILE BENEATH THE SURFACE OF THE GULF. THE OPERATORS OF THE SHIP'S REMOTELY CONTROLLED UNDERWATER VEHICLES TRIED A VARIETY OF CONTAINMENT DOMES BEFORE FINALLY FINDING THE RIGHT COMBINATION OF PIPES AND VALVES THAT ONCE BOLTED TO THE WELL COULD STIFLE THE HIGH PRESSURE OIL JET. JIM STEWART IS THE SHIP'S CAPTAIN.

>> THE PERCEPTION OF SOME US WATCHING FROM SHORE WAS WE TRIED SOMETHING, IT DIDN'T WORK. YOU TRIED SOMETHING ELSE T DIDN'T WORK. YOU TRIED SOMETHING ELSE AND IT STILL DIDN'T WORK. AT ANY POINT DID YOU EVER THINK YOU COULDN'T DO THIS?

>> NO. YOU CAN'T GO INTO IT THINKING THAT WAY. THERE WERE WEEKS OF PLANNING BEFORE ANYTHING REALLY HAPPENED AS A LOT OF PEOPLE PROBABLY WONDERED AT HOME, WHAT IS TAKING SO LONG. AND THE PROPER PLANNING OVER AND OVER WITH A LOT OF PEOPLE, HOURS OF CONFERENCE CALLS TOOK PLACE BEFORE WE TOOK ACTION. AND ONCE WE DID TAKE ACTION, IT WAS SUCCESSFUL AND IT WAS BECAUSE OF ALL THAT PLANNING.

>> Reporter: THIS IS WHAT WE CALL AN EXECUTIVE WALKWAY. IT IS AN ENTRY TO THE RIG FLOOR.

>> Reporter: OFFSHORE INSTALLATION MANAGER JASON TOOK A GROUP OF JOURNALISTS ON A TOUR OF THE MASSIVE SHIM. IT'S CAPABLE OF DRILLING TWO WELLS AT ONCE. SO THERE ARE STACKS OF STEEL PIPES READY FOR USE. CRANES TO MOVE THEM. A TOWERING DEREK TO HOIST THEM INTO PLACE. HE SAYS THE CREW IS THE ELATED AS THE JOB SEEMS TO BE ALMOST OVER.

>> REALLY GOOD ABOUT THIS OPERATION, REALLY GOOD ABOUT WHAT WE HAVE ACCOMPLISHED. YOU KNOW, WE DID THIS INCIDENT-FREE, WITH NO HARM TO ANY PERSONNEL OUT HERE. SO IT IS A GOOD ACCOMPLISHMENT.

>> Reporter: PROUD OF IT.

>> DAMN PROUD OF IT. YOU DON'T SEE ANY OIL OUT HERE AND IT'S GREAT TO KNOW WE ENTERED THE LAST STAGES OF THIS OPERATION.

>> Reporter: ANY DOUBT THIS IS THE LAST STAGE.

>> NO I THINK WE'RE GOING TO BE SUCCESSFUL. I'M PRETTY... REALLY CONFIDENT WE'RE GOING TO BE SUCCESSFUL.

>> Reporter: DISCOVERERER ENTERPRISE IS IN STANDBY MODE RIGHT NOW. SHE HAS MOVED ABOUT A HALF MILE FROM THE BLOWNOUT WELL. ANOTHER DRILLING PLATFORM CALLED THE Q4,000 AND TWO SUPPORT VESSEL-- VESSELS ARE IN THE FINAL STAGES OF PREPARING THE SO-CALLED STATIC KILL. THOSE VESSELS HAVE THE EQUIPMENT TO INJECT HEAVY DRILLING MUD INTO THE TOP OF THE WELL TO PUSH THE COLUMN OF OIL BACK DOWN THE PIPE THEN INJECT A SLUG OF CEMENT TO SEAL IT PERMANENTLY. BUT DISCOVERER ENTERPRISE IS READY TO MOVE IF SHOULD THERE BE A PROBLEM, AN 8 GENERATION CONTAINMENT CAP DANGABLES FROM A CABLE POSITIONED FROM THE BOTTOM. THE CREW IS READY TO PUT IT IN POSITION SHOULD THE WELL NEED TO BE SEALED AGAIN. RON GRETZKY PILOTS A REMOTELY OPERATED VEHICLE ORR OV FROM A DARKENED ROOM BELOW DECK. HE KEEPS AN ELECTRONIC EYE ON THE STANDBY CAP USING A JOYSTICK AND THROTTLE TO CONTROL THE MACHINE. ROVs ARE THE ONLY WAY TO WORK AT DEPTHS THAT WOULD INVANTLY CRUSH A HUMAN DIVER. HE WAS PART OF THE ROV CREW THAT ATTACHED THE CAP THAT FINALLY STOPPED THE FLOW.

>> THE MOST PRESSURE IS WHAT WE PUT ON OUR SELF-S. I MEAN GRANTED THERE WAS A LOT, A LOT OF PEOPLE WATCHING WHAT WE WERE DOING, YOU KNOW. A LOT OF PEOPLE, A LOT OF EYES ON, MAKING SURE WE, YOU KNOW, DID IT RIGHT. BUT I THINK THE MOST PRESSURE IS WHAT WE PUT ON OURSELVES.

>> Reporter: ALSO FEEL A BIT OF RELIEF.

>> OH, ABSOLUTELY. THAT RELIEF, WHEN THEY PUT THAT FINAL CAP ON, HOPEFULLY, YOU KNOW, AND SAID THAT THEY STOPPED THE OIL FLOW, I THINK EVERYBODY STARTED BREATHING A LITTLE EASIER THEN.

>> Reporter: IT WASN'T ALL DONE FROM AN AIR CONDITIONED ROOM, HOWEVER. WHEN THE DISCOVERER ENTERPRISE WAS CONNECTED TO THE CONTAINMENT CAP AND OIL WAS STILL FLOWING THE SHIP COLLECTED LARGE QUANTITIES OF OIL AND NATURAL GAS AND HAD TO FLARE OFF THE GAS BY MEANS OF A BOOM PROJECTING OUT OVER THE WATER.

>> THIS WAS THE FLARE BOOM, THIS IS WHERE WE HAD THE 50 TO 100 FOOT FLAMES BURNING, WHERE WE COULDN'T EVEN HAVE A CONVERSATION BECAUSE OF THE NOISE. IT SOUNDED LIKE A BIG JET ENGINE ON THE NOISE THAT WAS GENERATED BY THAT FLAME.

>> 12 HOUR DAY THERE THIS HEAT UNDER THE ENVIRONMENT THAT THAT WE HAD HERE, I WISH YOU COULD HAVE SEEN THAT AND HEARD IT AND FELT IT. THE HEAT WAS NOT BEARABLE. YOU COULD ONLY WORK IN THAT AREA SO LONG AND HAVE TO GET OUT.

>> Reporter: EVEN IF THE STATIC KILL IS SUCCESSFUL, B.P. AND TRANSOCEAN PLAN TO COMPLETE ONE OF THE TWO RELIEF WELLS THEY STARTED DRILLING SHORTLY AFTER THE BLOWOUT. THE DRILLING PLATFORMS THAT ARE DOING THAT WORK ARE ANCHORED ON EITHER SIDE OF THE ORIGINAL WELL. THE ORIGINAL PLAN HAD BEEN TO INTERSECT THE WELL CASING 18,000 FEET BENEATH THE SURFACE THEN INJECT DRILLING MUD AND CEMENT. B.P. OFFICIALS SAID THE EXACT PROCEDURE MAY CHANGE BUT REMAIN CONFIDENT THEY WILL PERMANENT-- PERMANENTLY SEAL THE WELL.

>> IN WASHINGTON TODAY

>> Ifill: IN WASHINGTON TODAY, THE ENVIRONMENTAL PROTECTION ADMINISTRATION DEFENDED B.P.'S USE OF CHEMICAL DISPERSANTS TO BREAK UP THE OIL. ITS STUDY, WHICH FOUND THE CHEMICALS NO MORE OR LESS TOXIC TO AQUATIC LIFE THAN OIL ALONE, CAME IN RESPONSE TO CRITICS WHO SAID B.P. OVERUSED THOUSANDS OF GALLONS OF THE DISPERSANT.

>> Woodruff: NOW TO THE IMPACT OF THE HEALTH CARE REFORM LAW, AND THE BATTLES THAT ARE CONTINUING TO PLAY OUT OVER ITS ENACTMENT. HEALTH CORRESPONDENT BETTY ANN BOWSER BEGINS WITH THIS REPORT. THE HEALTH UNIT IS A PARTNERSHIP WITH THE ROBERT WOOD JOHNSON FOUNDATION.

>> IT'S BEEN JUST OVER FOUR MONTHS SINCE PRESIDENT OBAMA SIGNED THE HEALTH REFORM BILL INTO LAW. BUT IT REMAINS UNDER ATTACK ACROSS MUCH OF THE COUNTRY. AT LEAST 20 MORE STATES ARE NOW CHALLENGING THE CONSTITUTIONALITY OF THE NEW LAW EITHER IN COURT OR ON THE BALLOT. IN VIRGINIA TODAY A FEDERAL JUDGE ALLOWED THE FIRST LAWSUIT TO GO FORWARD. BY DENYING A MOTION FROM THE JUSTICE DEPARTMENT TO DISMISS A CASE FILED BY THE STATE ATTORNEY GENERAL. IT ARGUES THE LAW IS UNCONSTITUTIONAL BECAUSE IT REQUIRES MOST AMERICANS TO BUY INSURANCE. TOMORROW VOTERS IN MISSOURI WILL DECIDE WHETHER TO PASS REFERENDUM C WHICH WOULD MAKE IT AGAINST THE LAW TO REQUIRE PEOPLE TO BUY INSURANCE. FOR ITS PART DEMOCRATS AND THE OBAMA ADMINISTRATION ARE TRYING TO ... TO PERSUADE AMERICANS THAT HEALTH-CARE REFORM WILL BE A MAJOR IMPROVEMENT.

>> HOW ARE YOU THIS MORNING?

>> THE LATEST ANNOUNCEMENT, A NEW REPORT THAT SAYS THE LAW WILL PAY MEDICARE $8 BILLION OVER THE NEXT FEW YEARS AND $575 BILLION OVER THE REST OF THE DECADE. SO FAR SOME PORTIONS OF THE LAW ARE ALREADY TAKING AFFECT OR WILL BEGIN TO DO SO THIS FALL, INCLUDING STOPPING INSURANCE COMPANIES FROM EXCLUDING COVERAGE FOR CHILDREN WITH PREEXISTING CONDITIONS. ALLOWING YOUNG PEOPLE TO STAY ON THEIR PARENTS' INSURANCE UNTIL AGE 26. GIVING $250 REBATE CHECKS TO SENIORS TO BUY PRESCRIPTION DRUGS AND ISSUING NEW RULES TO ALLOW PEOPLE TO APPEAL CLAIMS THAT HAVE BEEN DENIED BY INSURANCE COMPANIES. BY 2014 THE ADMINISTRATION SAYS IT EXPECTS 26 MILLION MORE AMERICANS TO HAVE INSURANCE. MUCH INFORMATION ABOUT THE LAW'S IMPACT CAN BE FOUND ON HHS'S NEW WEB SITE. AND LAST WEEK THE PRESIDENT TOUTED THE LAW'S BENEFITS.

>> THAT'S WHY WE PASSED THIS REFORM. TO PUT AMERICANS IN CONTROL OF THEIR HEALTH CARE, NO MATTER YOUR AGE OR SITUATION, THERE'S SOMETHING FOR EVERYONE AT HEALTHCARE.GOV.

>> WE LOOKED AT YOUR BLOOD PRESSURE TODAY AND IT IS GREAT.

>> Reporter: BUT THERE STILL IS PLENTY OF RESISTANCE AND SKEPTICISM.

>> LIFT IT UP AGAIN STRAIGHT.

>> Reporter: POLLS SHOW MANY AMERICANS ARE WARY OR OPPOSED TO THE LAW. ALTHOUGH NUMBERS HAVE SLIGHTLY IMPROVED. HEADING INTO THE MIDTERM ELECTIONS, REPUBLICANS ARE ARGUING THAT MANY AMERICANS DON'T LIKE THE LAW. THIS WAS SENATE MINORITY LEADER MITCH McCONNELL LAST WEEK AT AN EVENT IN KENTUCKY.

>> WE JAMMED HEALTH CARE THROUGH ON A TOTALLY PARTISAN BASIS IN SPITE OF WIDESPREAD PUBLIC OUTRAGE. SO THIS IS SERIOUS AND SUSTAINED DISCONNECT BETWEEN SOME IN WASHINGTON AND THE REST OF THE COUNTRY ON ISSUES THAT HAVE A MAJOR IMPACT ON PEOPLE'S LIVES.

>> Reporter: REPUBLICANS ARE HOPING TO KEEP HEALTH-CARE REFORM FRONT AND CENTER. AND THEY SAY IF THEY PICK UP ENOUGH SEATS, THEY WILL PUSH FOR REPEAL OF THE LEGISLATION. WE TAKE A LOOK AT THESE ECHLT WE TAKE A CLOSER LOOK NOW AT THESE DEVELOPMENTS AND THE BATTLE OVER THE LAW WITH THE SECRETARY OF HEALTH AND HUMAN SERVICES, KATHLEEN SEBELIUS. MADAM SECRETARY, THANK YOU FOR BEING WITH US.

>> GOOD TO BE WITH YOU, JUDY.

>> SO FOUR MONTHS IN AFTER THE LAW PASSED AND STILL SUCH VEHEMENT OPPOSITION OUT THERE. HALF THE STATES ARE TRYING TO REPEAL THIS IN ONE FORM OR ANOTHER. HOW DO YOU EXPLAIN THIS?

>> WELL, I THINK FIRST OF ALL THIS HAS BEEN A LONG AND VERY PARTISAN DEBATE, FULL OF LOTS OF MISINFORMATION. SO THERE ARE A LOT OF PEOPLE WHO STILL DON'T KNOWS WHAT'S IN THE LAW, DON'T KNOW WHAT EXACTLY IT MEANS TO THEM AND THEIR FAMILIESMENT AND WHAT WE'RE TRYING TO DO IS ACTUALLY GET INFORMATION, GET SOME TOOLS AS THE PRESIDENT SAID, WHETHER IT'S THE NEW WEB SITE, HEALTH CARE.GOV WHICH IS REALLY PRETTY DAZZLING. IT GIVES PEOPLE INFORMATION THAT THEY HAVE NEVER HAD BEFORE IN BUN PLACE. OR YOU KNOW, MAILING INFORMATION TO SENIORS. ONCE PEOPLE KNOW WHAT THE LAW MEANS TO THEM AND THEIR FAMILIES, THAT THEIR ADULT CHILD STAYS ON THEIR PLAN. OR THAT NO LONGER WILL A CHILD WITH PREEXISTING CONDITION BE ABLE TO BE KICKED OUT OF AN INSURANCE PLAN BY INSURERS. THEY BECOME MUCH MORE ENTHUSIASTIC ABOUT WHAT ACTUALLY THE AFFORDABLE CARE ACT DOES.

>> I WANT TO ASK YOU ABOUT THAT BECAUSE THE PRESIDENT DID SAY THAT IN THE RUN-UP TO THE PASSAGE OF THIS LEGISLATION. HE SAID ONCE PEOPLE KNOWS WHAT'S IN HERE THEY ARE GOING TO LIKE IT BUT THE POLLS STILL SHOW, YES, THERE IS SOME MORE SUPPORT BUT OVER 50% OF SENIORS STILL SAY THEY ARE DISAPPOINTED IT IN THIS LAW.

>> WELL, WHEN YOU THINK ABOUT WHAT HAPPENED TO SENIORS DURING THE COURSE OF THIS DEBATE, IT BORDERS ON OUTRAGE US. SENIOR, I WOULD SAY, WERE REALLY TARGETED WITH A WHOLE SERIES OF MISINFORMED STATEMENTS THAT WERE DESIGNED TO SCARE THEM ABOUT THE LAW, TO GET THEM TO ACTUALLY CALL ON THEIR MEMBERS OF CONGRESS AND SENATE TO STOP IT, STARTING WITH EVERYTHING FROM DEATH PANELS WHICH STILL MOST SENIORS THINK ARE PART OF THE AFFORDABLE CARE ACT.

>> IS THAT RIGHT.

>> ABSOLUTELY. THE RECENT POLLING SAYS THAT SENIORS THINK THIS ACTION WAS PASSED INTO LAW. SENIORS THINK THAT THERE IS A CHANGE IN THEIR GUARANTEED BENEFIT UNDER MEDICARE. NOTHING COULD BE FURTHER FROM THE TRUTH. THE GUARANTEED BENEFITS ARE NOT ONLY STRONGER THAN EVER, WE'RE GOING AFTER FRAUD AND ABUSE IN A WAY THAT HAS NEVER BEEN FOCUSED ON. AND THE MEDICARE SOLVENCY IS MUCH STRONGER THAN IT WAS BEFORE THE LAW WAS PASSED.

>> I WANT TO ASK YOU ABOUT THAT IN A MINUTE. BUT TODAY'S RULING BY A VIRGINIA JUDGE SAYING THAT THIS CHALLENGE TO THE CONSTITUTIONALITY OF A LAW CAN GO FORWARD. WHAT ABOUT THE ARGUMENT THAT IS BEING MADE THAT IT'S NOT CONSTITUTIONAL TO TELL PEOPLE THEY MUST BUY HEALTH INSURANCE.

>> WELL, I THINK WHEN YOU THINK ABOUT IT, JUDY, FIRST OF ALL IT'S NOT A SURPRISE THAT THE RULING CAME TODAY. WHAT IT BASICALLY DOES IS NOW THERE CAN BE A DEBATE ON THE MERITS OF THE CASE. SO IT'S REALLY A THRESHOLD ARGUMENT. DID THE ATTORNEY GENERAL HAVE STANDING.

>> WHAT DOW MEAN IT'S NOT A SURPRISE IT CAME TODAY?

>> WELL, I THINK THAT BEING PORTRAYED AS SOMEHOW A MAJOR RULING. ALL THE JUDGE SAID IS COME TO COURT AND THEN TALK ABOUT THE MERITS OF THE CASE. WE'RE CONVINCED THAT THERE ARE STRONG CONSTITUTIONAL BASIS FOR THIS. AND THE INTERSTATE COMMERCE WHICH IS THE PURVIEW OF THE FEDERAL GOVERNMENT GOVERNING BUSINESS THAT TRAVELS BACK AND FORTH ACROSS STATES, WHEN YOU THINK ABOUT HEALTH CARE, THERE IS A LOT OF INTERSTATE COMMERCE. A LOT OF THE HEALTH MARKETS ARE REGIONAL. AND PEOPLE PAY TAXPAYERS PAY FOR EVERY DOLLAR OF UNCOMPENSATED CARE FOR EVERYONE WHO COMES THROUGH AN EMERGENCY ROOM DOOR THAT GOES ON TO THE BACKS OF TAXPAYERS AND LOTS OF PEOPLE WHO PAY INSURANCE POLICIES AND PAY MORE FOR THOSE WHO ARE UNCOMPENSATED.

>> MEANWHILE YOU HAVE REPUBLICANS WHO ARE SAYING WHATEVER HAPPENS IN THE COURTS, THEY'RE GOING TO CONTINUE TO TRY TO CHIP AWAY AT THIS LEGISLATIVELY. THEY'RE GOING TO TRY TO DENY FUNDING FOR BIG CHUNKS OF THIS. DO YOU EVER WORRY THAT YOU ARE OUT THERE TRYING TO DEFEND SOMETHING THAT'S GOING TO BE HOLLOWED OUT?

>> WELL, I HOPE WE ARE ABLE TO ENGAGE IN A STRAIGHTFORWARD MANNER THIS FALL IN THAT DEBATE. I THINK IT'S TIME FOR REPUBLICANS TO GO TO THEIR CONSTITUENTS AND TELL PARENTS WHO HAVE A CHILD UNDER THE AGE OF 26 YOUR SON OR DAUGHTER, WE WANT TO TAKE BACK THEIR RIGHT TO ENROLL IN YOUR INSURANCE POLICY, WE WANT TO MAKE SURE THAT INSURANCE COMPANIES, MR. REPUBLICAN CONGRESSMAN OR CONGRESSWOMAN ARE GOING TO BE ABLE TO KICK YOUR SICK CHILD OUT OF A PLAN. WE WANT TO MAKE SURE THAT SENIORS WILL NOT SEE THEIR PRESCRIPTION DRUG DOUGHNUT HOLE CLOSED OVER TIME. THAT'S A DEBATE I WELCOME. AND I HOPE THAT WE ARE ABLE TO TALK ABOUT IT. REPEALING THIS BILL MEANS TAKING BENEFITS AWAY FROM LOTS OF AMERICANS WHO ARE REALLY RELYING ON THIS CHANGE, ONCE AND FOR ALL, TO GET SOME TOOLS INTO THEIR OWN HANDS.

>> ON THE SAVINGS THAT YOU HAVE BEEN TALKING ABOUT TODAY, THAT WILL BE REALIZED FOR MEDICARE, REPUBLICANS LIKE CHARLES GRASSLEY, YOU'VE GOT THE INSURANCE INDUSTRY NOW SAYING THE CUTS THAT WILL COME TO PRIVATE MEDICARE PLANS WILL RESULT IN HUGE INCREASES IN PREMIUMS FOR SENIORS WHICH WILL THEN FORCE THEM TO GIVE UP THEIR MEDICARE .

>> WELL, I DIDN'T THINK THAT'S RACK RATE, FIRST OF ALL. THE DATA SHOWS THAT ABOUT A FOURTH OF THE MEDICARE BENEFICIARIES CHOOSE A MEDICARE ADVANTAGE PLAN. WE HAVE MORE COMPANIES OFFERING MEDICARE ADVANTAGE RIGHT NOW THAN WE'VE EVER HAD BEFORE.

>> THIS IS PRIVATE.

>> THESE ARE THE PRIVATE CHOICES. SO YOU CAN EITHER CHOOSE TRADITIONAL MEDICARE OR A MEDICARE ADVANTAGE PLAN. BUT WE HAVE OVERPAID BY ABOUT 14%. AND EVERYBODY ELSE IN MEDICARE PAYS FOR THAT-- PAYS MORE FOR THEIR MEDICARE POLICIES. NO ADDITIONAL HEALTH BENEFITS TO THE PEOPLE WHO CHOOSE. ALL WE'RE SAYING IS GRADUALLY OVER TIME, THAT OVERPAYMENT SHOULD START-- WE THINK THERE IS GOING TO BE PLENTY OF CHOICE.

>> AND WHAT IS GOING TO HAPPEN TO THOSE SENIORS WHO ARE ON THOSE PLANS.

>> THEY WILL ABSOLUTELY HAVE THE CHOICE OF THOSE PLANS. THOSE PLANS WILL STAY IN EFFECT. THEY WILL STAY IN THE MARKET. IN FACT, THE SENATORS FOR MEDICARE SERVICES HAS ISSUED A NOTICE TO COMPANIES SAYING THERE WILL NOT BE A CUT NEXT YEAR. THERE WILL BE A FLAT LINE FOR MEDICARE ADVANTAGE PLAN SO COME IN WITH YOUR PACKAGE OF PROPOSALS. COME IN WITH YOUR BID. BUT WE THINK THERE ARE GOING TO BE PLENTY OF OPTIONS FOR SENIORS WHO WANT TO CONTINUE ON A MEDICARE ADVANTAGE PLAN.

>> LET ME ASK YOU ABOUT ANOTHER HEADACHE THAT IS MEDICAID FUNDING FOR INDIVIDUALS, THE POOR, A NUMBER OF STATES, GOVERNORS ARE COMING TO YOU TO THE OBAMA ADMINISTRATION SAYING WAIT A MINUTE THIS LAW MEANS THAT WE DON'T HAVE THE FLEXIBILITY TO DEAL WITH THESE RISING MEDICAID COSTS. OUR BUDGETS ARE BEING STRETCHED AND STRAPPED. ARE YOU SAYING TO THE STATES THAT ARE STRUGGLING WITH THIS RIGHT NOW?

>> FIRST OF ALL AS YOU KNOW I WAS ONE OF THEM UNTIL VERY RECENTLY, GOVERNOR OF A STATE, WATCHING THE MEDICAID BUDGET AND THIS IS A FEDERAL STATE PARTNERSHIP. NO QUESTION ABOUT IT. THE FIRST THING WE NEED TO DO IS GET CONGRESS TO ACT ON THE EXTENSION OF THE ASSISTANCE FOR MEDICAID PROGRAMS ACROSS THE COUNTRY. THAT'S BEEN PENDING NOW FOR MONTHS AND MONTHS AND MONTHS. AND TONIGHT AGAIN CAME A NEAR VOTE IN THE SENATE. IT'S NOW BEEN PUSHED OFF TO WEDNESDAY. BUT THAT'S A HUGE STEP FORWARD FOR STATES TO PASS THE FMAP. THE FEDERAL MATCHING PLAN. SECONDLY IN 2014 WHEN THE AFFORDABLE CARE ACT HAS AN EXPANDED MEDICAID OPPORTUNITY FOR LOTS OF ADULT WAS DON'T QUALIFY, IT'S PAID FOR 100% BY FEDERAL FUNDS FOR THE FIRST FOUR YEARS AND THEN GRADUALLY RECEIVED TO A 90% FEDERAL FUNDING. SO THIS IS A HUGE NUMBER OF PEOPLE WHO CURRENTLY ARE COMING THROUGH THE DOORS OF EMERGENCY ROOMS AND STATES, STATES ARE PICKING UP COSTS FOR ALL KINDS OF HEALTH-RELATED COSTS. AND THE FEDERAL GOVERNMENT IS SAYING WE THINK WE SHOULD COVER EVERYONE. AND WE THINK WE ARE GOING TO PAY FOR IT, AND HELP NEW THIS PARTNERSHIP.

>> SO MANY, MANY QUESTIONS OUT THERE. AND WE THANK YOU FOR DEALING WITH SOME OF THEM WITH US. SECRETARY SEBELIUS, THANKS SO MUCH.

>> SURE.

>> STILL TO COME ON THE NEWSHOUR, PAKISTAN DEVASTATING FLOODS, AND JEAN- MICHEL COUSTEAU WRITES ABOUT "MY FATHER, THE CAPTAIN."

>> NEXT TONIGHT THE DEVASTATING FLOOD IN PAKISTAN. SOME IN AREAS WHERE THE MILITARY HAVE BEEN FIGHTING INSURGENTS. MORE THAN A THOUSAND PEOPLE HAVE DIED, UP TO 2 MILLION DISPLACED. WE HAVE A REPORT NARRATED BY JONATHAN MILLER OF INDEPENDENT TELEVISION NEWS.

>> Reporter: VILLAGES AND VILLAGERS REPORTEDLY WASHED AWAY BY WALLS OF WATER. ENTIRE DISTRICTS SUBMERGED. CROPLAND INUNDATED, DRINKING WATER CONTAMINATED, COMMUNICATIONS DOWN, BRIDGES DESTROYED, ROADS GONE, SCHOOLS GONE, HOMES GONE. THOUSANDS OF THEM.

>> THIS IS KNOWN AS THE FLOOD OF THE CENTURY AND THIS HAS VIRTUALLY DEVASTATED MOST OF THE STRUCTURES, ESPECIALLY THE AREAS CLOSE TO THE RIVERS.

>> Reporter: MANY AREAS IN REMOTER PARTS STILL INACCESSIBLE. WITH NEWS STILL FILTERING IN, A SENSE THAT THIS IS NOT THE FULL STORY YET. THESE AMONG THE VERY POOREST PEOPLE IN PAKISTAN, 3 MILLION OF THEM ALREADY UP SET BY WAR WITH TALIBAN INSURGENCE ALONG THE AFGHAN BORDER, AND NOW THIS .

>> WE ARE CLEANING OUR REMAINING WHEAT WHICH IS ALMOST SPOILED. WE HAVE NOTHING. WE ARE JUST DEPENDING ON THE MERCY OF GOD. NOTHING LEFT EXCEPT THIS WET WHEAT.

>> Reporter: THE PAKISTAN-ARMED FORCES NOW USING A FLEET OF 40 MILITARY HELICOPTERS TO DELIVER AID AND RATIONS. THE U.N. WORLD FOOD PROGRAM SAYS THE FLOODWATERS DAMAGED GRAIN WAREHOUSE STOCKS IN THE RELIEF OPERATIONS IN PAKISTAN AND NEXT DOOR AFGHANISTAN. THE NEEDS ARE ABSOLUTELY HUGE. SNAKES ARE A BIG PROBLEM AFTER FLOODS LIKE THESE. WATER-BORNE DISEASES A BIG CONCERN. WHERE ROADS AREN'T WASHED AWAY, A MASSIVE EXODUS. AND THE NATIONAL GOVERNMENT TOO DILUGED BY UNDILUTED RAGE.

>> THIS IS OUR FIFTH DAY. NOBODY HAS COME FROM THE GOVERNMENT. WE'RE STAYING ON THE PUN TAKEN. WE LOST EVERYTHING. IT'S EACH MAN FOR HIMSELF AND WE HAVE NO HELP.

>> Reporter: ISLAMIST PARTIES AND CHARITABLE WINGS OF PRESCRIBED JIHADI GROUPS ARE MOVING IN TO FILL THE VACUUM. ONE OF THESE A GROUP HAS SENT OFF 13 RESCUE TEAMS AND IS PROVIDING FOOD, MEDICINE AND WATER. THE RICH IN A REGION WHERE TALIBAN LINKED GROUPS HAVE CAUSED SO MUCH SUFFERING N MAY LAST YEAR A MILLION PEOPLE FLED IN TERROR FROM THE SWAT VALLEY AS THE ISLAMISTS TOOK ON THE ARMY. TODAY THE TALIBAN IN PAKISTAN TOLD US THEY TEMPORARILY SUSPENDED ATTACKS IN FLOOD-HIT AREAS TO GIVE PEOPLE A CHANCE TO SEEK FORGIVENESS FOR OPPOSING THEM. THIS IS THE U.N.'S LATEST MAP OF THE WORST AFFECTED AREAS. WHERE FLOODWATER LEVELS ARE THE HIGHEST. SWAT DISTRICT AND THE REGION SOUTH OF PESHAWAR ARE THE MOST SEVERELY FLOODED. IT'S THERE THAT LOSS OF LIFE AND DAMAGE HAVE BEEN GREATEST. IN KAZMIR WATER LEVELS UP BY 5 TO 7 METERS IN THE RIVERS. HUGE LANDSLIDES BLOCKED ROADS AND MANY DEATHS REPORTED. THE MONSOON WATERS FOLLOWED THE FLOODPLAIN OF THE ANDER CIV SOUTH INTO PUNJAB. THIS IS THE BRITISH MET OFFICE FIVE-DAY FORECAST UP TO FRIDAY NIGHT. MORE INTENSE MONSOON RAIN TO COME, POCKETS OF MORE THAN 200 MILLIMETERS. THE HEAVIEST RAIN SHIFTING EVER SOUTHWARDS. AS WILL BE THE FLOOT FLOODWATERS DOWN THE INDES. IN SOME PARTS THEY WARN LOCALIZED THUNDERSTORMS COULD BE EVEN MORE INTENSE THAN FORECAST. LOCAL GOVERNMENTS SAY THE FLOOD DEFENCES SHOULD BE ABLE TO TAKE IT. BUT THEY WON'T HAVE SEEN ANYTHING LIKE THIS FOR DECADES

>> Ifill: FINALLY TONIGHT, A SON WRITES ABOUT HIS FAMOUS FATHER AND HIS LEGENDARY WORK IN THE AQUATIC WORLD. JEFFREY BROWN HAS OUR BOOK CONVERSATION. .

>> FOR DECADES JACQUES COUSTEAU EXPLORED LIFE BETWEEN THE WORLD SEAS AND TOOK TELEVISION VIEWER AS LONG AND ALSO TOOK ALONG MEMBERS OF HIS FAMILY INCLUDING HIS ELDEST SON JEAN-MICHEL WHO DOVE WITH HIS FATHER AT AN EARLY AGE AND LATER BECAME PART OF THE CREW ON THE CALYPSO, COUSTEAU RESEARCH VEHICLE. JACQUES DIED IN 1997. HIS SON HIMSELF AN ENVIRONMENTALIST AND OCEAN EXPLORE CERTIFICATE FOUNDER OF THE OCEAN FUTURE SOCIETY AND IS ALSO PRODUCED NUMEROUS FILMS ABOUT SEA LIFE. JEAN-MICHEL HAS JUST PUBLISHED A NEW BOOK "MY FATHER THE CAPTAIN" ABOUT BOTH THE PUBLIC LIFE AND PRIVATE SIDE OF HIS FAMOUS FATHER. WE TALKED RECENTLY IN THE STUDIOS OF SERIOUS XM RADIO.

>> MY FATHER, THE CAPTAIN, MY LIFE WITH JACQUES COUSTEAU, WHY DID YOU WANT TO WRITE THIS BOOK?

>> I FELT THAT I WANTED TO GIVE THE PUBLIC WHO HAS BEEN SO SUPPORTIVE OF EVERYTHING WE HAVE DONE FOR DECADES NOW, THE REAL CAPTAIN COUSTEAU, THE REAL PERSON. NOT JUST WHAT WE PERCEIVE PUBLICLY. BUT THE BEHIND THE SCENES. THE FATHER, THE HUSBAND, TEAM LEADER, AND THE FACT, IN MY CASE, WHERE I FOUND MYSELF AS I GREW UP AND BECAME PART OF THE TEAM, THE FACT THAT I HAD TO JUGGLE ALL THE TIME BECAUSE HE WAS MY FATHER FIRST, AND THEN HE WAS MY FRIEND. AND WE HAD REALLY FUN RELATIONSHIP. WE USED TO PLAY TENNIS TOGETHER. WE USED TO GO AND HAVE A DRINK SOMEWHERE TOGETHER. I MEAN IT WAS JUST FRIENDSHIP. AND THEN HE WAS MY BOSS. AND SOMETIMES WOW, YOU KNOW,.

>> THAT COMPLICATES LIFE A LITTLE, DOESN'T IT?

>> IT WAS A JUGGLING ACT. LITERALLY. AND PARTICULARLY WHEN SOME OF THE MEMBERS OF THE TEAM WHO DIDN'T HAVE THE GUTS TO SPEAK TO HIM DIRECTLY WOULD TALK TO ME ABOUT ISSUES THAT THEY WERE REALLY BOTHERED BY. SO I HAD TO MAKE ASSESSMENTS, YOU KNOW, HOW DO I REPORT THAT TO DAD. HOW DO I MODIFY IF I HAVE TO SO THAT PERSON DOESN'T GET IN TROUBLE. AND IT WAS TOUGH.

>> NOW YOU SAID HE WAS A FUNGI BUT HE WAS ALSO A TOUGH GUY.

>> HE WAS TOUGH, YEAH.

>> WHAT DID THE PUBLIC NOT KNOW ABOUT HIM?

>> I THINK THE PUBLIC DOESN'T KNOW THAT HE WAS DETERMINED AND NOTHING WAS GOING TO STOP HIM. AND IF HE WANTED TO GO THERE, AND DIDN'T HAVE THE EQUIPMENT, HE WILL INVENT IT. IF HE WANTED TO GO WHERE IT'S DIFFICULT TO GO, HE WOULD FIND A WAY TO GET THERE. HE WAS AN AMAZING LEADER FOR ME AND I HAVE LEARNED A LOT FROM HIM.

>> WHAT WAS DRIVING HIM. WAS IT ABOUT GOING PLACES, DISCOVERING THINGS. EXPLORING THINGS.

>> CURIOSITY. I THINK IT'S CURIOSITY. BECAUSE WHEN PEOPLE ASK HIM, WELL, CAPTAIN, WHAT DO YOU EXPECT TO FIND? HE WOULD ALWAYS SAY IF I KNEW, I WOULDN'T GO. SO IT WAS THE SENSE OF DISCOVERY WHICH IS OBVIOUSLY RELATED TO ADVENTURE. BECAUSE IF YOU DON'T KNOW WHAT YOU ARE GOING TO FIND OUT THERE, IT'S ADVENTURE.

>> SO I, IN MANY WAYS I AM ALWAYS INTRIGUED. I WANTED TO SEE WHAT IS SO ON THE OTHER SIDE OF THE HILL.

>> AND FOR YOU THIS MEANT A LIFE THAT WAS STARTED WHEN YOU WERE A YOUNG BOY AND IT SHAPED YOUR LIFE SINCE, HUH?

>> IT DID. BECAUSE MY DAD WAS COMPLETELY UNKNOWN WHEN I WAS A LITTLE KID. AND HE PUT A TANK ON PIE BACK WHICH HE HAD COINVENTED AT THAT TIME. AND PUT IT ON MY BROTHER, ON MY MOTHER. AND PUSHED US OVERBOARD AND WE BECAME SCUBA DIVERS. IT WAS JUST, YOU KNOW, BOOM. AND I REMEMBER WANTING TO TALK TO HIM UNDERWATER SO I WOULD REMOVE MY MOUTH BEAST AND HE WOULD TAKE IT, PUT IT BACK IN MY MOUTH. AND WE LEARNED A LOT THAT WAY. AND I THINK HIS SENSE OF ADVENTURE WAS INFUSED NOT FORCE FULLY THROUGH INVITATION, THROUGH OKAY LET'S GO DIVING. OR LET'S GO TO CORSICA AND GO ON A BOAT TO CORSICA AND SPEND A WEEK OUT THERE AND EXPLORE. I MEAN WE NEED TO GET BACK TO REALITY AND APPRECIATE ALL THE WORK THAT HAS BEEN DONE TO MAKE THE PUBLIC AWARE OF WHAT'S OUT THERE. AND WANT TO DISCOVER MORE BECAUSE WE KNOW NOTHING ABOUT THE OCEAN.

>> WELL, LET ME ASK YOU FINALLY ABOUT THAT THAT. BECAUSE FOR THE TELEVISION AUDIENCE HIS LEGACY IS SORT OF BRINGING US TO THESE PLACES. AND SHOWING US WORLDS THAT WE OTHERWISE WOULDN'T SEE. AS HIS SON, FRIEND, EMPLOYEE, HOW DO YOU SEE HIS LEGACY?

>> I THINK HIS LEGACY WAS TO OPEN OUR MINDS AS TO THE IMPORTANCE OF THE OCEAN AS A LIFE-SUPPORT SYSTEM. THE FACT THAT EVERY HUMAN BEING ON THE PLANET DEPEND ON THE QUALITY OF THAT OCEAN FOR THE QUALITY OF OUR LIVES WHETHER YOU LIP ALONG THE COASTLINE OR WAY INLAND WE ALL CONNECTED TO THE OCEAN. THE NEXT TIME YOU DRINK A GLASS OF WATER, YOU ARE DRINKING THE OCEAN. AND IT'S PURE. IT'S CLEAN. AND THEN WE DISPOSED OF IT AND IT GOES INTO THE STREAMS, INTO THE RIVERS AND RIGHT BACK INTO THE OCEAN. WITH EVERYTHING WE PUT INTO IT. NOT JUST WHAT WE SEE, THE GARBAGE THAT WE SEE, BUT TOXIC MATERIALS LIKE CHEMICALS AND HEAVY METALS AND THAT CAN BE ABSORBED TO SOME EXTENT BY NATURE BUT THERE IS A POINT WHERE TOO MUCH IS TOO MUCH. AND WE'VE REACHED THAT POINT IN CERTAIN PARTS OF THE PLANET. AND IT IS AFFECTED OR EFFECTING THE MARINE LIFE, SOME OF IT WE HARVEST AND PUT BACK ON OUR PLATES. SO IT'S NOW COMING BACK INTO OURSELVES.

>> ALL RIGHT, THE BOOK IS "MY FATHER THE CAPTAININGS WITH JEAN-MICHEL COUSTEAU, NICE TO TALK TO YOU. THANK YOU VERY MUCH.

>> AGAIN, THE MAJOR DEVELOPMENTS OF THE DAY PRESIDENT OBAMA BOASTED OF PROGRESS IN IRAQ, AND HE SAID THE U.S. COMBAT ROLE WILL END, AS SCHEDULED, AT THE END OF THE MONTH. WALL STREET STARTED THE MONTH WITH A MAJOR RALLY. THE DOW JONES INDUSTRIAL AVERAGE GAINED MORE THAN 200 POINTS. AND B.P. ENGINEERS MADE READY TO TRY KILLING THE MACONDO OIL WELL IN THE GULF FOR GOOD IF TESTING TONIGHT GOES ACCORDING TO PLAN. THE NEWSHOUR IS ALWAYS ONLINE. HARI SREENIVASAN, IN OUR NEWSROOM, PREVIEWS WHAT'S THERE. HARI?

>> Sreenivasan: WE'VE LAUNCHED A NEW FEATURE ON THE RUNDOWN. EVERY MONDAY, POLITICS EDITOR DAVID CHALIAN TALKS TO GWEN IFILL AND JUDY WOODRUFF ABOUT POLITICAL STORIES TO WATCH. TONIGHT, PRESIDENT OBAMA'S SPEECH ABOUT IRAQ, AMONG OTHER TOPICS. FROM THE GULF, TOM BEARDEN FILED ANOTHER BLOG ABOUT THE "DISCOVERER ENTERPRISE," AND SENT VIDEO FROM HIS HELICOPTER TRIP TO THE FLOTILLA. WE LOOK AT THE NEW healthreform.gov WEB SITE, AND HOW IT MAY OR MAY NOT HELP CONSUMERS NAVIGATE THE CHANGES. AND WE WRAP UP OUR REPORTS ON ARIZONA'S IMMIGRATION LAW WITH A PROFILE OF ARIZONA REPUBLIC PHOTOGRAPHER NICK OZA. ALL THAT AND MORE IS ON OUR WEB SITE, newshour.pbs.org. GWEN?

>> Ifill: AND THAT'S THE NEWSHOUR FOR TONIGHT. ON TUESDAY, WE'LL ASSESS B.P.'S STATIC KILL OPERATION, ITS LATEST EFFORT TO SEAL THE BLOWN- OUT WELL. I'M GWEN IFILL.

>> Woodruff: AND I'M JUDY WOODRUFF. WE'LL SEE YOU ONLINE, AND AGAIN HERE TOMORROW EVENING. THANK YOU, AND GOOD NIGHT. MAJOR FUNDING FOR THE PBS NEWSHOUR HAS BEEN PROVIDED BY: AND WITH THE ONGOING SUPPORT OF THESE INSTITUTIONS AND FOUNDATIONS. AND... THIS PROGRAM WAS MADE POSSIBLE BY THE CORPORATION FOR PUBLIC BROADCASTING. AND BY CONTRIBUTIONS TO YOUR PBS STATION FROM VIEWERS LIKE YOU. THANK YOU. Captioning sponsored by MacNEIL/LEHRER PRODUCTIONS Captioned by Media Access Group at WGBH access.wgbh.org