On the same day that congressional leaders threw in the towel on a bailout for the auto industry, three Bay Area mayors joined an innovative startup in backing a $1 billion plan to create the modern day Detroit.

According to the San Jose Mercury News, the startup Better Place pledged to build the "re-charging infrastructure that must be in place before most consumers would consider buying or leasing an electric car."

The report continued:

Better Place, headed by former high-tech executive Shai Agassi, plans to install about 250,000 charging ports, 200 battery-exchange stations and a control center to service Bay Area electric car drivers. The goal is to have most of the system in place by 2012.

"We need to put together a new industry, and it needs to scale very fast," Agassi said at a press conference in San Francisco. He was flanked by San Jose Mayor Chuck Reed as well as Oakland Mayor Ron Dellums and San Francisco Mayor Gavin Newsom.

Perhaps the timing of the collapse of the talks in auto bailout Washington and the announcement from Better Place was simply a coincidence. Or perhaps the press conference with the three mayors was quickly pulled together as it became clear that the congressional talks were going to fail.

Either way, the message is pretty clear: Bay Area innovators are once again ascendant and what's left of the Big Three and a good portion of the Michigan economy is in the bullseye. Anyone willing to bet that Silicon Valley will miss? Not I.