Vote: "cash for clunker plan"

[rickaren]

Senate may vote today on cash for clunker plan

Posted Wednesday, Jun 3, 2009, 11:33 am in Employee News

The U.S. Senate may vote today on competing plans to boost U.S. auto sales by paying owners to crush old, inefficient models, the Detroit Free Press reported.

The plan spearheaded by Sen. Debbie Stabenow, D-Mich., has the backing of automakers, dealers and President Barack Obama, the paper said. But a competing proposal from Sen. Dianne Feinstein, D-Calif., would set tougher mileage standards after complaints from environmental groups that the consensus plan won’t save enough fuel, the Free Press reported.

Following another month of weak sales and forecasts for sales of only 10 million new cars and trucks this year, automakers and their allies on Capitol Hill have pressed Congress to act quickly, the paper said. Backers say the compromise would cost about $4 billion—paid for with money from the economic stimulus plan passed earlier this year—and could boost sales by 1.3 million vehicles per year, according to industry officials, the story said. (Detroit Free Press)

[rickaren]

‘Cash for Clunkers’ stalls in Senate

Posted Thursday, Jun 4, 2009, 2:41 pm in Employee News

Supporters have dropped an attempt to add “cash for clunkers” legislation to a tobacco regulation bill now before the Senate, a setback in efforts to boost car sales with federal subsidies, The Detroit News reported.

Two congressional aides said the measure was derailed by objections from the Senate Appropriations Committee to using money from the $787 billion economic stimulus package for the measure, which would offer up to $4,500 credits for consumers trading in older, low-gas-mileage vehicles, the paper said.

Industry officials said they were optimistic the dispute could be resolved, and that the plan, which has White House backing, would win passage as a stand-alone bill or attached to other legislation, the News said. But Michigan lawmakers have said legislation must pass soon to help boost flagging car sales. Industry groups believe consumers are waiting to buy vehicles until Congress acts, the story said.

In the House, supporters of an identical measure have failed to win consideration of a stand-alone bill or to attach it to other legislation, the paper said. The measure is part of a sweeping energy and climate bill that could take months to move through the House, the story said. (The Detroit News)