Morning papers discuss the next steps if a version of the bailout bill doesn’t ultimately pass.

WashPost: “…The Fed and Treasury would have little choice but to return to their strategy of the past 14 months: making case-by-case decisions about the fates of individual firms, on the fly, using existing powers to try to contain the crisis.”

NY Times: “The Treasury Department has already created a series of ‘supplemental’ Treasury securities to finance the Fed’s activities, and there is no limit to how many more it can issue and sell.”