Big Three get more time to make case

WASHINGTON — Congressional leaders agreed Thursday to give Detroit automakers more time to make their case for a $25 billion emergency bailout, but they demanded that General Motors, Ford and Chrysler provide detailed plans for using the money.

House Speaker Nancy Pelosi, D-Calif., and Senate Majority Leader Harry Reid, D-Nev., agreed to call Congress back into session next month to revisit the bailout.

"The sad reality is that no one has come up with a plan that can pass the House and the Senate and get signed by President Bush," Reid said.

The Senate, meanwhile, sent Bush what may be the only economic-relief measure to get through the lame-duck congressional session: an extension of unemployment benefits.

Approval of the $6 billion measure, which passed the House in October, came as the government said new jobless claims rose to their highest level in 16 years. More than 1.2 million jobs have been lost this year, and the civilian jobless rate is 6.5 percent.

The bill would extend unemployment checks by seven weeks in all states and an additional 13 weeks above the 26 weeks of regular benefits in high-unemployment states, including California, Illinois, Washington and others with an unemployment rate of 6 percent or more. Bush supports the extension.

As for the auto bailout, during two days of testimony this week, the chief executives of GM, Ford and Chrysler, along with the head of the United Auto Workers, failed to convince lawmakers the companies were becoming more cost-efficient and competitive.

They also did not allay fears that the proposed $25 billion in emergency loans would be just the first of many government payments needed to keep the Big Three afloat.

Democrats could wait to act on bailout legislation until President-elect Obama takes office Jan. 20 with strengthened congressional majorities, but one or more of the automakers might not survive until then.

Waxman gets energy-panel post

WASHINGTON — Democrats steered the House toward more aggressively tackling climate change and other environmental problems Thursday, toppling veteran Michigan Rep. John Dingell, a staunch supporter of Detroit automakers, from an important energy panel in favor of California liberal Rep. Henry Waxman.

Waxman is an avid environmentalist and booster of health-care programs and a home-state ally of House Speaker Nancy Pelosi. He defeated Dingell on a secret 137-122 vote in the Democratic Party caucus, capping a bruising intraparty fight.

The Energy and Commerce panel is one of the most important House committees, with sweeping jurisdiction over energy, the environment, consumer protection, telecommunications and health-care programs such as Medicaid and the popular State Children's Health Insurance Program.

Dingell had been the top Democrat on the panel for 28 years and is an old-school supporter of Detroit's automakers and other big industries such as electric utilities.

Sen. Clinton reduces campaign debt

WASHINGTON — Sen. Hillary Rodham Clinton has reduced the size of her presidential-campaign debt to less than $7.5 million as of Nov. 1, according to campaign-finance reports filed Thursday.

The documents show Clinton raised nearly $690,000 in October, a minor sum compared with the $218 million she amassed in her failed presidential bid.

Of the $7.5 million owed to vendors, nearly $5.4 million was to her former adviser and pollster, Mark Penn.

Clinton also lent herself nearly $13.2 million. Under federal law, Clinton can only repay herself $250,000 with private donations.

Obama is considering Clinton for secretary of state. As a Cabinet member, Clinton would face fundraising restrictions to retire her vendor debt.

She could name an agent from her campaign committee to continue to organize and hold fundraising events to retire the debt.

Also

The U.S. Senate recount continued in Minnesota, and by Thursday night, with about 46 percent of the 2.9 million ballots counted, Republican incumbent Norm Coleman's lead over Democrat Al Franken had dwindled to 136 votes.

Seattle Times news services