Controversial “Cash-For-Clunkers” bill reportedly tacked on to Climate Change bill

May 20, 2009 at 6:01 pm

(Source: Autobloggreen & Detroit Free Press)

It seems that calls from House Majority Leader Steny Hoyer (D-MD) and Senate Majority Leader Harry Reid (D-NV) to fast track the Cash-For-Clunkers bill through the legislative process may have fallen on deaf ears. According to the Detroit Free Press, the somewhat controversial bill will be tacked on the much broader Climate Change bill that’s currently being drafted by the House Energy and Commerce Committee.

 Ohio Rep. Betty Sutton’s amendment made it onto the American Clean Energy and Security Act, the legislation being marked up this week by the House Energy and Commerce Committee. Approved by a vote of 50-4, the amendment provides a voucher of up to $4,500 for trading in an old, lower mile-per-gallon vehicle to purchase a new one.

The measure wouldn’t favor domestic vehicles over those made by companies based overseas but it has incentives for trucks and sport-utility vehicles which could be of particular help to American automakers. President Barack Obama and key House Democrats agreed on the provisions contained in the amendment at a recent White House meeting.

U.S. Rep. John Dingell, a Dearborn Democrat and staunch advocate of domestic automakers, said the cash-for-clunkers amendment, if passed, “will result in meaningful reductions in vehicle fleet carbon emissions and fuel consumption, all while providing much-needed stimulus for our ailing automakers.”

According to a fact sheet from earlier this month, the measure would:

-• For passenger cars, provide a voucher for new ones with mileage of at least 22 miles per gallon, as long as the car being traded in gets 18 mpg or less. If the mileage of the new car is at least 4 m.p.g. higher, the voucher is worth $3,500. If the mileage of the new car is 10 m.p.g. more or better when compared to the old vehicle, the voucher is worth $4,500.

-• For light-duty trucks and sport-utility vehicles, provide a voucher for new vehicles getting at least 18 m.p.g. The old vehicle must get 18 m.p.g. or less. If the new vehicle gets at least 2 m.p.g. more than the old, the voucher is worth $3,500. If the new vehicle gets at least 5 m.p.g. more than the old, the voucher is worth $4,500.

-• For large light-duty trucks, including pick-ups and vans weighing 6,000 to 8,500 pounds, new vehicles with mileage of at least 15 m.p.g. are eligible for vouchers. If the new truck gets at least 1 m.p.g. than the old, the voucher is worth $3,500; if it gets 2 m.p.g. or more, the voucher is worth $4,500.

-• Consumers can trade in pre-2002 work trucks – defined as a pickup or cargo van weighing 8,500 to 10,000 pounds – and receive a $3,500 voucher for a new work truck in the same work class or small. There will be a limited number of these vouchers, however. While there is no EPA mileage standard for these vehicles, it is believed that newer models are cleaner and run more efficiently than older ones.

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