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'Cash for Clunkers' Going Broke (shutting down Thursday night)
Politico ^ | July 30, 2009 8:44 PM | Staff

Posted on 07/30/2009 6:09:39 PM PDT by fight_truth_decay

The Obama administration is telling lawmakers that its much-touted "cash-for-clunkers" program is already running out of money and will be suspended Thursday night, according to three Senate aides familiar with the discussions.

The program — aimed at giving at boost to the U.S. auto industry — was supposed to expire at the end of October. But in the one week since it took effect, it appears to have run dry of the $1 billion allocated to it, aides said Thursday.

The White House will need to decide whether to push for more money at a time when it's also pushing an ambitious and expensive domestic agenda — or let the program fade after it was touted as a way to help Detroit while improving the environment.

One Michigan Republican, Congresswoman Candice Miller, has already come out in favor of extending the program, saying in a statement that “There can be no doubt that the Cash for Clunkers program is a complete success given the fact that the entire $1 billion allocated to the program was expended in less than a week."

She called the program "simply the most stimulative $1 billion the federal government has spent during the entire economic downturn."

Sen. Chuck Schumer (D-NY) also called the program a victim of its own success in a statement issued Thursday night: "This was a very successful program, maybe even too successful. The program should continue, but perhaps with a tune-up so that we get the most stimulus, conservation and efficiency for the buck."

White House aides were not immediately available for comment. The National Highway Traffic Safety Administration administers the program, but no one was available for comment Thursday evening.

Last Friday, registration began for dealers who wanted to participate in the program, which is intended to encourage consumers to trade in their old cars for a credit program to purchase new fuel efficient cars. Under the rules that went into effect last week, the purchased vehicles must be 2008, 2009 or 2010 models, and the vehicles must be purchased between July and November to qualify. And consumers would be able to receive a $3,500-$4,500 discount from car dealerships when they trade in their old vehicles and purchase a new one.


TOPICS: Business/Economy; Extended News; Government; News/Current Events
KEYWORDS: bhodot; cashforclunkers; clunkers; commiesareclunkers; congress; vehicularhomicide
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To: Murp
If the money was averaged out among all US car dealers - each dealer would be able to offer 12 clunker grants. Yep - twelve.

I wonder if any of these marks - oops, I mean "dealers" took in more than 12 clunkers...

81 posted on 07/30/2009 7:59:39 PM PDT by GOPJ (Maldives sea levels have NOT risen in 1250 years -Professor Nils-Axel Moerner)
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To: mojo114

Being shipped overseas to his cousin Raila Odinga who will use them in Kenya.

Raila controls the auto market in Kenya and send it back to Hussein in the form of cash to Obama’s 2012 campaign.


82 posted on 07/30/2009 7:59:42 PM PDT by ncfool (The GEORGE BUSH revolution has finally arrived in Iran! Where is Obama?)
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To: penelopesire

Allowing Democrats run of the White House and Capitol Hill is a guaranteed plan for massive gov spending, corruption and mismanagement.


83 posted on 07/30/2009 8:02:10 PM PDT by Ipberg
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To: VeniVidiVici
One thing I heard on the radio today was that dealers were making folks sign a statement saying that if the dealer didn’t get paid from the government that the buyer was on the hook for the amount.

Whoa, that's gonna leave a mark.

84 posted on 07/30/2009 8:07:19 PM PDT by NonValueAdded (What if the Sanction of the Victim is withdrawn?)
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To: fight_truth_decay
One Michigan Republican, Congresswoman Candice Miller, has already come out in favor of extending the program, saying in a statement that “There can be no doubt that the Cash for Clunkers program is a complete success given the fact that the entire $1 billion allocated to the program was expended in less than a week."

And tell us, Candy, what metric do you use to call that a complete success? That they ripped through a billion dollars? They only started registering dealers last Friday, right? The metrics can't possibly be in yet and you have no clue if the money aided Detroit or Tokyo.

85 posted on 07/30/2009 8:11:40 PM PDT by NonValueAdded (What if the Sanction of the Victim is withdrawn?)
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To: fight_truth_decay

Epic Government Fail.

if they can spend 1 billion dollars in 4 days on cars. Just think of how fast they can spend 1 Trillion dollars on Health Care!


86 posted on 07/30/2009 8:20:04 PM PDT by RatsDawg
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To: Loyal Buckeye
I was sick when I learned the dealer had to ruin the perfectly good engine that had maybe 5,000 miles on it

You have blood or antifreeze on your hands.

87 posted on 07/30/2009 8:24:55 PM PDT by steve86 (Acerbic by nature, not nurture)
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To: fso301

I heard there are about 20,000 dealerships offering this program, so after selling 12.5 cars each, they have reached their limit. I think some dealers are going to eat some big losses.


88 posted on 07/30/2009 8:26:44 PM PDT by Colorado Cowgirl (God bless America!)
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To: fso301

Rep. Pete Hoekstra wrote on his facebook a few hours ago that he got word that the program indeed sold over 200,000 cars in under a week.


89 posted on 07/30/2009 8:27:02 PM PDT by RatsDawg
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To: RatsDawg
Rep. Pete Hoekstra wrote on his facebook a few hours ago that he got word that the program indeed sold over 200,000 cars in under a week.

Per Drudge the program did ~$98 million which divided by an average of $4K per vehicle would result in trade-in's of 24,500 vehicles.

90 posted on 07/30/2009 8:31:28 PM PDT by fso301
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To: palmer

FNC did a thing, went to where they were mashing cars. They take off the tires,pull out the engine. They pour something on the engine to make sure they will never work again. crush the bodies. No exceptions.


91 posted on 07/30/2009 8:32:51 PM PDT by libbylu ( Palin begins from Wasilla not only a campaign, an Iditarod of a crusade ....YEAH!)
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To: PubliusMM

This is what Rep. Pete Hoekstra (R-MI) posted on Facebook and Twitter a few hours ago.

“Cash for clunkers appears to have generated sales of over 200000 in less than 1 week. There are questions on program but overall positive.”


92 posted on 07/30/2009 8:36:00 PM PDT by RatsDawg
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To: NonValueAdded

I hate to say that Republican Hoekstra was giddy about it too tonight.


93 posted on 07/30/2009 8:37:42 PM PDT by RatsDawg
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To: fso301

Well if they really did take 200,500 + cars, and only sent out enough money for 24,500 cars, then we have a big mess on our hands.


94 posted on 07/30/2009 8:40:53 PM PDT by RatsDawg
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To: boop

Once again charities and the poor get screwed by liberals.


95 posted on 07/30/2009 8:51:57 PM PDT by Brimack34 (I hate people that hate Palin and calls me a birther.)
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To: fight_truth_decay

And some people think these idiots can run health care?
What a freaking JOKE!!


96 posted on 07/30/2009 8:53:07 PM PDT by StarCMC (Sometimes you need a Jimmy Carter to get a Ronald Reagan.)
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To: fight_truth_decay

What’s going to happen next will be worse than what it was supposed to help.

So they’ve suspended the program after a week. What happens next? NOBODY will buy a car until they start the program back up again. Knowing congress that could take awhile.


97 posted on 07/30/2009 9:41:58 PM PDT by VeniVidiVici (ABC-AP-MSNBC-All Obama, All the time.)
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To: RatsDawg
Well if they really did take 200,500 + cars, and only sent out enough money for 24,500 cars, then we have a big mess on our hands.

From the Drudge linked article:

Through late Wednesday, 22,782 vehicles had been purchased through the program and nearly $96 million had been spent. But dealers raised concerns of large backlogs in the system, prompting the suspension.

Article Here

98 posted on 07/31/2009 2:09:56 AM PDT by fso301
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To: fso301

I got 4500 for a 94 Suburban last night. Got a Prius for my long distance drives. I may have been one of the last trades made according to the dealer at 10 PM.


99 posted on 07/31/2009 3:21:10 AM PDT by doosee
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To: buridan
But why should someone trading an 18mpg car for a 25mpg car get a $4500 subsidy, while someone trading a 20mpg car for a 30mpg car gets nothing?

This is what government does. It takes money from some people and gives it to others for no good reason.

100 posted on 07/31/2009 3:22:33 AM PDT by EVO X
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