Not to stir up the pot, but I think the reporter is correct on both counts. As a Journalism school grad, you are taught to write down exactly what is said. In the first instance, if the person says the words "could have" you would write them as such. You don't automatically fix grammar or shorten could have to could've.
Secondly, I believe that is the correct use of quotes.
Anyhow, it's not usually in my nature to defend journalists. If they don't mess up the grammer, they almost always miss the facts.
I could be wrong. It's been a long day.