Despite last minute wrangling, the auto industry won’t get much-needed funding from Congress.

In a press conference Thursday, Senate Majority Leader Harry Reid (D-Nev.) said that despite bipartisan efforts to provide $25 billion in funding already allocated by the Energy Department, a viable plan was not reached.

“The sad reality” is that the Senators couldn’t come up with a plan that would pass the House and Senate and be signed by President George Bush, said Reid. He said the main reason is that the auto industry executives didn’t convince Congress and the American people that a bailout would help the companies during its two days of testimony.

“The best way to proceed is for the automobile companies to make their case to Congress and the American people,” said Reid. He said the car companies are welcome to submit a plan to Rep. Barney Frank (D-Mass.), the chairman of the House Financial Services Committee, and Christopher Dodd (D-Conn.), the chairman of the Senate Banking Committee, no later than Dec. 2.

The plan will be reviewed and if necessary Congress is willing to come back to hold hearings the week of Dec. 8. He said the car makers have to present a viable plan to Congress and taxpayers.

Senator Reid reiterated that the current administration -- as will the future administration -- has the authority to allocate money from the Troubled Asset Relief Program or the Federal Reserve to give the auto makers the help they need. He said the money can come with any strings deemed necessary.

U.S. House Speaker Nancy Pelosi (D-Calif.) added that “until the show us a plan we cannot show them the money.” She said the auto makers have yet to provide a viable plan for the funding.

In a statement Ford (F) said it "welcomes the opportunity to provide our plan to Congress. We have a great plan that will continue Ford's transformation into a lean, profitable company that delivers the safe, fuel-efficient, high-quality new products that our customers want and value."

In a subsequent press conference by the bipartisan group of Senators that came up with a compromise, Michigan Senator Carl Levin expressed disappointment that party leaders did not let their proposal go to the floor for a vote, warning the economy could “slide into a depression,” if the auto makers aren’t bailed out.

“We’re disappointed that we are not going to act today,” said Levin. “We believe there is a reasonable chance that if this was put to a vote today or tomorrow it could get the 60 votes necessary however a decision has been made by the leaders to bring it back December 8 after there has been some hearings on the plans,” Levin said the party leader’s decision to have the auto makers present their viability plans to congress puts the responsibility on Congress to determine if the plans will work.

According to Levin, the bipartisan compromise called for the creation of a new program administrated by the Secretary of Commerce to provide emergency bridge loans to the auto industry from the money appropriated under the Advanced Vehicle Manufacturing Incentive Program, which is designed to be used to retool factories to make more efficient cars. The car makers would be responsible to use any turnaround profits to first restore the Advanced Vehicle Manufacturing Incentive Program and to then reduce the public debt.

Applicants receiving the emergency bridge loans would have to show how the funds will ensure the financial viability of the company and include performance goals and milestones. The auto makers will also have limits placed on executive compensation and bonuses. An oversight board would be created to oversea the use of the emergency loans.