Wall Street Bailout May Sink Main Street

The proposed $700 billion bank bailout may save the U.S. financial system, but it also will dry up federal aid to state and local governments, a national journalist warned local government officials Monday.

Cokie Roberts, speaking to about 3,600 representatives from local governments at the International City/County Management Association (ICMA) conference in Richmond, warned that "the bad news is there will be no money for anything else." In Roberts' opinion, debt service on the proposed bailout package "will become the single biggest item in the federal budget."

Roberts has covered Congress, politics and public policy for nearly 20 years at ABC News. In addition to her responsibilities at ABC, Roberts serves as Senior News Analyst for National Public Radio, where she was the Congressional Correspondent for more than ten years. She has recieved numerous broadcasting awards, including three Emmys, and has been inducted into the Broadcasting & Cable Hall of Fame.