Democratic leaders: No deal reached on auto bailout.

In a press conference this afternoon, Democratic congressional leaders announced that they were not able to reach a deal on a rescue package for the struggling auto industry, reportedly rejecting “compromise legislation worked out by key senators from auto states.” Senate Majority Leader Harry Reid (D-NV) said that they would give the automobile industry a second chance: They must present a plan for viability no later than Dec. 2 and possibly submit to another round of hearings. Congress may then come back and vote during the week of Dec. 8. “Until they show us the plan, we cannot show them the money,” said House Speaker Nancy Pelosi (D-CA). Watch a portion of today’s press conference:

The Wonk Room’s Pat Garofalo explains the necessary components for any auto rescue package, including strong oversight and requirements for innovation.