Had no time to pay attention to today’s hearing by the House Financial Services Committee on federal financial aid for the domestic auto industry. Heck, it may still be going on. (Check CSPAN. Nope.)

Henry Payne of The Detroit News, a critic of government aid, reports at National Review Online what he’s hearing:

Detroit, Mich. — They can’t get it done.

That is the backroom word on Capitol Hill as auto executives from the Detroit Three wrapped up a second, and final, day of hearings before the House in attempt to get a $35 billion loan to keep them solvent.

Instead, speculation is that the Bush administration — loath to watch a U.S. automaker drown in its last month in office — will offer $8-14 billion band-aid to GM and Chrysler (both of which will run out of cash this month) possibly from the TARP.

“Detroit’s automakers will be lucky to get less than half of the $34 billion they’re seeking for survival, as several House members said today there was simply not enough time to examine the industry’s pitch and hammer out a consensus by next week,” reads one report from the Detroit Free Press. “Only stopgap funding of up to $14 billion appeared possible next week.”

This will act as a tourniquet for the two most-crippled automakers so they can limp along until the Obama administration can convene with a new Congress and tackle long-term surgery in the new year.

 Meanwhile, the latest from The Detroit News’ webpage:

• GM Board member says prepackaged bankruptcy ‘a fantasy’
  A member of General Motors Corp.’s Board of Directors today reiterated that the automaker would consider all options, including Chapter 11 bankruptcy, if Congress refuses to loan the company as much as $18 billion in emergency aid. - 5:48 pm
• Chrysler hires bankruptcy advisers
  Chrysler LLC’s hiring of a firm that specializes in bankruptcy proceedings was its adherence to the request by Congress to study the drastic step as an option, the automaker said in a statement today. - 5:02 pm
• GM to lay off 2,000 more workers
  With Congress debating whether to give General Motors Corp. up to $18 billion in financing, the automaker announced 2,000 more layoffs today at three factories. - 5:02 pm
• Congressional agency: Auto aid bill can’t use $25B from energy retooling program
  WASHINGTON — The Congressional Budget Office said a compromise bill to aid automakers can’t provide $25 billion from an Energy Department retooling program, dealing another blow to efforts to win quick aid before Congress goes home for the year. - 5:02 pm

Posted at the Senate Committee on Banking, Housing and Urban Affairs:

BIG THREE RESTRUCTURAL PLANS PRESENTED TO CONGRESS

December 2, 2008

Click for Ford Motor Company’s Report and Restructural Plan Presented to Congress Click for Ford Motor Company’s Restructural Plan Appendix Powerpoint Click for General Motors Corporation’s Letter about Restructural Plan  Click for General Motors Corporation’s Report and Restructural Plan Presented to Congress Click for Chrysler Corporation’s Letter about Restructural Plan Click for Chrysler Corporation’s Report and Restructural Plan Presented to Congress Click for Chrysler Corporation’s Appendix: Areas of inquiry

The original Nov. 21 letter from Senate Majority Harry Reid and Speaker of the House Nancy Pelosi to the auto company executives, including the political positioning against the Administration and key demand of the companies:

Unfortunately, the Bush Administration and the Federal Reserve have thus far declined to use their powers to improve our nation’s financial stability by assisting the auto industry. Notwithstanding existing authorities, this Congress is prepared to consider additional legislation that would give the assistance you seek, provided that you submit a credible restructuring plan that results in a viable industry, with quality jobs, and economic opportunity for the 21st century while protecting taxpayer investments.

House Majority Leader Steny Hoyer’s statement, December 2.

Last month, the Democratic leadership in Congress insisted that the automakers present a plan for long-term viability before receiving any assistance from taxpayers. With the economy officially in a recession, we continue to work to help this vital industry, and its 3 million jobs, ride out the storm and emerge stronger.

But before any taxpayer money is provided, the American people deserve to know how the Big Three plan to survive the current crisis, become competitive companies once again, and eventually repay taxpayer loans. The American people also need to be assured that the companies will be held accountable for any tax dollars they receive, and that CEOs will not be rewarded with exorbitant salaries.

Today, the automakers are presenting to Congress their plans for restructuring. We will examine them closely in the days to come, and on Thursday and Friday, Congressional committees will hold hearings. I hope that those hearings, along with the plans submitted today, will lead to increased public confidence in the auto industry’s viability and that Congress will be able to take action next week.

Comments by White House Press Secretary Dana Perino, December 2:

Q The automakers are getting ready to present their plans up on the Hill. Has your position — has the White House position changed at all on this? Have you seen any summaries? Do you know what they’re –

MS. PERINO: I don’t know if we have seen the summaries or not. I know Secretaries Gutierrez and Bodman sent letters to Congress last week to give the administration’s view on the taxpayer issue. We have said that we want to provide help for the auto industry. We thought that we had provided a bipartisan way forward to be able to do that. (continue reading…)