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New York and New Jersey Prepare for Super Bowl; New York and New Jersey Residents Renting Homes for Super Bowl; Super Bowl Earnings Debated; Former NFL Player Runs Computer Education Program for Children; Bruno Mars to Play Super Bowl Half Time Show; Post NFL Careers for Player Examined
Aired February 1, 2014 - 14:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
FREDRICKA WHITFIELD, CNN ANCHOR: You go girls. We'll be watching.
All right, and I'll see you in 30 minutes. I'm Fredricka Whitfield. YOUR MONEY starts right now.
CHRISTINE ROMANS, CNN HOST: The Super Bowl is here. A traffic jam of of private jets, hundreds of millions in economic activity. But who benefits? I'm Christine Romans. This is YOUR MONEY. Thanks for joining us for this special edition from Super Bowl Boulevard in Time Square. The excitement is building, the spectacle enormous, and the payoff, well, that's up for debate. And $550 million is how much the host committee says this Super Bowl will bring to the New York-New Jersey area. It's a number sports economists think is vastly overblown. New York is hosting this mega event. New Jersey, if you want to get technical, is where it will happen, just as its new mayor, New York City's new mayor, has pledged to slim the gap between rich and poor.
(BEGIN VIDEO CLIP)
MAYOR BILL DE BLASIO, (D) NEW YORK: We are called to put an end to economic and social inequalities that threaten to unravel the city we love.
(END VIDEO CLIP)
ROMANS: Host committees promise big spending, overfilled hotel room, overflowing restaurants, and a health infusion of tax revenue. But does any of that cash trickle down to Americans who aren't going to the even but are living and working in its shadow? And does it even matter? Every city it seems wants to host the Super Bowl, no matter what the numbers are. It is a chance to showcase your hometown for 100 million viewers. It is a point of civic pride. That's something you can't necessarily put a price tag on.
Two of the men responsible for bringing the game here, they join me now, Jets owner Woody Johnson and Giants co-owner Jonathan Tisch, both here today. For the record, you are in the warm studio. I'm the one sitting out here in the cold.
WOODY JOHNSON, CO-CHAIRMAN, NY/NJ SUPER BOWL HOST COMMITTEE: Not that bad! It's going to be 45 at game time. Weather is -- JONATHAN TISCH, CO-OWNER, NEW YORK GIANTS: Balmy.
JOHNSON: We're taking that off the table.
ROMANS: I've been training for this for a long time so the weather doesn't bother me.
JOHNSON: Thank you.
ROMANS: Sports economists we talked to say the $550 million estimate is overblown. Are numbers like the Super Bowl hype, how is this going to be such an economic boon for this area? Woody, I'll start with you.
JOHNSON: Well, you know, these questions come up at every one of these events. I mean, the fact is New York and New Jersey are a lot better for having the Super Bowl than not. You can put whatever number you want. The number that -- that we're estimating is $550 million, but that, you know, we can look at it after and come up with a more finite number.
But one of the things you can't measure necessarily is what is does for New York and New Jersey in the minds of people either that want to do business or travel or -- or partake in the advantages of New York and New Jersey in the future. And there's a legacy factor that goes on and on and on.
ROMANS: Yes. Every city wants a Super Bowl. No matter, every city wants a Super Bowl. Jonathan, the parties are huge the spending huge. But not everyone can afford to get in. Does an event trickle down to the average man and woman rather than just watching four hours a game on the couch?
TISCH: It absolutely does. What we've learned over the last couple of years in the Bloomberg administration now and de Blasio administration as it relates to New York City, tourism is a huge generator of jobs. And 350,000 people make a living in the travel and tourism industry. That sector added more jobs over the last year than any other piece of New York City's economy. And when you've got 400,000 people coming into the city with this kind of money, this creates jobs. And also the tax dollars derived from travel and tourism, that is what goes to pay for the firefighters, our police officers, emergency services. Our industry, travel and tourism, is a backbone of New York City's economy.
JOHNSON: So there's a lot of -- a lot of activities around New York that hopefully people enjoy. I think they will enjoy. I've enjoyed them.
TISCH: One other way we're going to --
ROMANS: I went down the toboggan slide. It was great.
TISCH: One other way to rate success is Woody and I are doing the toboggan run tomorrow.
JOHNSON: How was it?
TISCH: Hopefully neither will end up with broken bones. That will be success.
JOHNSON: Yes, yes.
ROMANS: I have some advice for you. You have to really push off hard at the beginning and half way down you have to give yourself a couple good pumps on the way down and I think you can win.
ROMANS: Or you'll tie. Thanks so much, guys. And best of luck to you, best of luck in the last 24 hours of planning, and we'll all be watching the game. Thank you.
TISCH: Thank you.
JOHNSON: Thank you.
ROMANS: Every city wants to host the Super Bowl. Up next, I'm going to talk to a Super Bowl champ who says playing the game in New York in winter is a terrible idea. Jerome "The Bus" Bettis explains and tells us about his new push to teach kids about science, next.
ROMANS: The Super Bowl kicks off tomorrow, but Goldie Blocks has already won. The start-up that makes toys designed to interest young girls in science is the first small business ever to have a commercial air during the game. Goldie Blocks won a contest, and into it will cover the $4 million cost for Super Bowl TV time.
Another person getting kids excited about science, you remember Jerome Bettis as a great NFL running back. His final game in the league he won the Super Bowl with the Pittsburgh Steelers. But now "The Bus" is running the cyber bus. The program is part of his foundation that teaches inner city kids about computers, starting with how to build them. Jerome, what a cool program. We talk about STEM, STEM is the future. We talk about it. You're doing it. The bus is here. Tell me how you're doing it.
JEROME BETTIS, FORMER NFL PLAYER: The goal is to try to bridge the digital divide that's in these inner cities. So we're taking the kids and we're doing a couple of things. We're taking them onto a college campus. We want to show them that a college campus is normal. It's a great place to be and that you can be there. You fit in there. So we're taking them onto the campus. We're teaching them computer literacy. But the key her is we teach them how to build the computer, how to use it, and then we want them to integrate it into the home, because we give them the computer at the end of the program. And we feel that it's a great program not only because they learn how to use a computer and really get involved in this technology age, but they learn how to build it. So now once that computer needs to be updated, now all you have to do is take out that mother board, you know, and speed it up and you can put more ram in and more memory.
You can do anything you need to do with the computer because you know how to build it.
ROMANS: And it's coming from you. It's not coming from some tech, you know, tech executive or some Silicon Valley icon from the business world. You're an icon for these kids. Do you think that they relate to that better?
BETTIS: I think they do, and I think they understand it's coming from the heart. It's not coming from, you know, me wanting to gain any more celebrity.
ROMANS: More celebrity, I'm going to tell you, the guy we're sitting here right now, every person, you can hear it. Everyone walking by our location is screaming "The Bus," "The Bus"! Let me ask you this. People bundle of up here. There's snow on the ground. Come on. It's nice to see the cold weather Super Bowl, or do you think it was a crazy mistake?
BETTIS: I think it was a mistake. Let me tell you why.
ROMANS: You played in the cold, right?
BETTIS: But it was indoor stadium. The reason I say I think it's a mistake is not because of what we see out here. It's not because of this aspect. It's the aspect of the fans. And the players, they've all played in cold weather, so that won't be a problem, but it's the experience of coming to a Super Bowl. If this is my first at a Super Bowl, I want that experience to be incredible. I want to go to the game and see it in all its majesty. I want to be in that moment. And I think you lose a little bit because of the elements. You have to think about that more than the game.
ROMANS: You have an awesome Super Bowl ring, an awesome career. People might think, Jerome Bettis, "The Bus," he's indestructible. But many people might now know, you actually have a very serious allergy. What are you doing about it?
BETTIS: I'm working with a company called Sanofi, and they introduced a device, and it's Auvi-Q, and it's an auto injector, an epinephrine auto injector, and it's really like a coach on the field. It actually talks you through the process. It's a very, very unique product. And when I saw it, I was amazed. So you have to get a prescription for it, but when you pull it out to use it, it actually --
UNIDENTIFIED FEMALE: This trainer contains no needle or drug.
BETTIS: It talks you through the process when you need to use it, because if you are ever in a traumatic situation.
ROMANS: Of course.
BETTIS: And you're having an anaphylaxis event, you are nervous. To, one, have to give yourself an injection, that is a very scary proposition. And when you have something that's talking you through the process, it makes it a lot easier for you. So I like to think it's a coach, like, on the field.
ROMANS: There you go. Jerome Bettis, nice to meet you. "The Bus," really nice to meet you. Best of luck with the cyber bus and all your work with STEM. Hope to talk to you again soon.
All right, coming up, 400,000 visitors here for the Super Bowl, and they all need a place sleep.
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BRIAN KRAUSS, HOME OWNER RENTING HOME FOR SUPER BOWL: I feel like it's an instant gold rush come to town.
(END VIDEO CLIP)
ROMANS: How some homeowners are looking to cash in by renting their digs to strangers.
ROMANS: All right, welcome back to this special edition of YOUR MONEY from Super Bowl Boulevard in Time Square. If you're in the market to bay home, you've just caught a break. Mortgage rates ticked lower this week. The 30-year fixed rate averages 4.32 percent, so lock in your rates soon. And 30-year loans will probably top five percent by the end of the year. And home prices could be topping, too. Prices in November slipped from October. That's the first month over month decline in 10 months, a sign of maybe a near-term top in home prices. But prices still rose slightly when compared with a year ago.
OK, forget about buying for a minute. Let's talk renting. Business correspondent Alison Kosik is here. Alison, homeowners in the New York/New Jersey area for some strange reason are looking to rent their homes. Hmm, could it be the Super Bowl?
ALISON KOSIK, CNN MONEY CORRESPONDENT: It really could be. And this is not just any event. This is the Super Bowl. And for many who live here in the area, the New York/New Jersey area, it really does feel like a gold rush to capitalize on the money that's coming in.
KOSIK: The matchup is set, but the real winner in this year's Super Bowl could be homeowners.
KRAUSS: I'm asking $5,000 a night, and really, they're getting a beautiful home.
KOSIK: Brian Krauss is renting his New Jersey home the week of the big game. It has a gym.
KRAUSS: It's all industrial equipment.
KOSIK: Theater room.
KRAUSS: It has a 70-inch screen.
KOSIK: And a refrigerator full of beer. You're going have this fully stocked?
KRAUSS: Oh, fully stocked.
KOSIK: And he's not the only one. There are more than 1,000 listings on Craigslist. There are Super Bowl rentals with an s, Super Bowl rentals with a z. The list goes on. And for fans booking last-minute -- renting a home might be the best option. There are 100,000 rooms in the area, but 400,000 visitors are expected. A cruise ship is even being used as a hotel, the Bud Light hotel.
UNIDENTIFIED MALE: We've got between 2,000 and 3,000 guests per night on here.
KOSIK: But room rates in the area are high. The Fairfield Inn in East Rutherford, $359 a night. Extended Stay America, $255. Later in February these rooms will go for about $100. As for Krauss, if he rents his home, his next booking will be for a trip out of town.
KRAUSS: Come February 2nd, I hope I'm somewhere warm.
KOSIK: And if you're wondering, Krauss actually hasn't been able to rent his home, but he doesn't mind. You know, the big challenge with renting a home around the Super Bowl is the stiff competition. A lot of people in the New York/New Jersey area are renting their homes and their houses for the Super Bowl. And just in case you're wondering, people are already renting their homes or listing their homes for next year's Super Bowl in Phoenix, and this one hasn't even happened yet.
ROMANS: Wow. I know one people. A lot of people have friends coming out of the woodwork from Seattle and Denver who want a couch to borrow for a few days. Thanks, Alison, so nice to see you.
Bruno Mars is taking music's biggest stage tomorrow, headlining the Super Bowl half time show. He's also coming off a Grammy's win. Not bad for 28. Take a look at being one of pop's biggest stars with us.
ROMANS: Bruno Mars is going from superstar to the Super Bowl. Born Peter Hernandez to a musical family in Hawaii he started as the world's youngest Elvis impersonator. He struggled as a performer. He was dropped from Motown records, then changed his business plan and began writing and producing songs for other artists.
ROMANS: His big break came in 2010 doing vocals for two songs he helped write, "Nothing on You," and "Billionaire."
ROMANS: His debut album, a success.
ROMANS: And landed Mars two number one hits.
ROMANS: Album number two reached number one.
ROMANS: And the accompanying tour brought in $46 million so far.
ROMANS: Altogether, mars sold 115 million singles worldwide, and landed five number one singles faster than any male singer since Elvis. The 28-year-old was Billboard's artist of the year last year.
BRUNO MARS, SINGER/SONGWRITER: Expect to have some fun with us.
ROMANS: And landed his second Grammy, this one for best pop vocal album of the year, Unorthodox Jukebox. Outside the studio, he is invested in Chromatic, a start-up that makes digital sheet music, and electronics cigarette maker NJOY, which he uses to kick the habit.
Up next, the biggest stage in music, Mars will play the Super Bowl halftime show for more than 100 million viewers. He joins legendary peers, the first artist under 30 to headline in a decade. The business of being Bruno Mars is far from over.
MARS: I feel like I haven't even started yet.
ROMANS: NFL players get treated like superheroes, but once they leave the game, they can face a very different lifestyle.
(BEGIN VIDEO CLIP)
MIKE DITKA, FORMER NFL COACH: To collect disability in our society is almost impossible, in our society. It's harder in the NFL. (END VIDEO CLIP)
ROMANS: The shocking reality of NFL retirement after the break.
ROMANS: We don't know who will win the big game tomorrow, but we do know who won the battle of the beets -- me. Joining me now is my EARLY START co-host John Berman and Patrick Kerney. He played 11 seasons in the NFL, including three with the Seattle Seahawks and led in NFC in sacks in 2007.
OK, guys, impressive pictured, but check this out. I challenged Nischelle Turner from SHOWBIZ and Rachel Nichols with sports to a toboggan race here at Super Bowl Boulevard, and I emerged victorious. I never win in sports so I really wanted on the record for this.
JOHN BERMAN, CNN ANCHOR: Here's the thing. I've been doing reporting behind the scenes at CNN. There was a lot of talk about this race, and there is a feeling amongst many people that it was not completely fair and that you may have cheated more than just a little bit.
ROMANS: Wait. This is from Nischelle Turner?
BERMAN: Take a look at this.
(BEGIN VIDEO CLIP)
ROMANS: The tobogganing is about to happen.
UNIDENTIFIED FEMALE: A couple deep knee bends. Ooh, baby. All right, get loose.
UNIDENTIFIED FEMALE: Win, two, three --
UNIDENTIFIED FEMALE: We made it.
(END VIDEO CLIP)
BERMAN: So that's Christine Romans/Tonya Harding grabbing the back of Nischelle Turner's sled right there making sure she doesn't win.
ROMANS: It was all in fun and games. Look, I was ahead most of the time. Then Nischelle was crawling along, and so I decided to level the playing field a little.
BERMAN: She literally came back and told me she won. I talked to other people who literally told me she cheated. This is a huge scandal.
ROMANS: Wasn't it Al Davis of the Oakland Raider who said if you're not cheating, you're not trying.
PATRICK KERNEY, FORMER NFL PLAYER: I believe it was. That was like a great defensive lineman. You anticipated the snap count and took it for you.
ROMANS: I am the mother of three boys so I know how to throw elbows when I have to.
Gentlemen, I want talk about your current role in the NFL. A really interesting job, you've recently been named the league's vice president of player benefits. You've got an MBA from Columbia. It's not really the typical post-NFL career. Some have a three-and-a-half year career, and that's it. In many cases, they don't have the financial literacy skills to turn into a lifetime of retirement. How are you trying to change?
KERNEY: For me, step one, changing the perspective. You're going to make between 60 to 95 percent of your lifetime income in that very small window. It better cover that much of your lifetime's expenses. Understand that money is not so much for you but for the long haul.
ROMANS: Listen to Mike Ditka, who does this a lot. He's very powerful on this, too. Listen.
(BEGIN VIDEO CLIP)
DITKA: What we don't know about is why the retired players who have disability needs are not being taken care of. Why can't this be taken care of? That's all we're asking. I don't care who's fault it is. We're not pointing the finger at one or the other. There's money, there are resources there. Take care of the people who need it. And that's all we're asking.
(END VIDEO CLIP)
ROMANS: That's him testifying before Congress on this. So if a career is three-and-a-half years, you also point out that a lot of these guys, some of these guys don't even sign up for the 401(k), which is free money, retirement planning. It's such a passionate in the now kind of job, how do you change the mindset?
KERNEY: In the early 200s they switched from an opt-in to an opt-out. And that has cured a lot of that issue. But there is so much more in terms of expense control and understanding the big picture, understanding realistic expectations for investments, what an investment is, and also expectations for a second career in terms of what kind of money you're going to earn, what that income curve looks like for the rest of your life, and how to plan, how to make better informed decisions.
ROMANS: You're a sports fan. You see them coming through high school or college.
BERMAN: And Sarah Ganim with CNN does terrific reporting about college sports, finding out some of the literacy rates and the learning going on in major programs not what it should be. And that's particularly alarming when you hear that some of these pro careers aren't that long because you need learn something else besides just how to win at sports.
ROMANS: Patrick Kerney, it's nice to see you, John Berman.
Coming up at 4:00 p.m. eastern today, join Rachel Nichols and Larry Fitzgerald for a Super Bowl special. The player, the predictions and the weather, 4:00 p.m. eastern right here on CNN. Have a great weekend.