House votes to give “clunkers” $2 billion more
The U.S. House of Representatives approved on Friday a $2 billion extension of the “Cash-for-Clunkers” automobile sales incentive program.
The Democratic proposal would run through September 30, 2010, and tap funds from an Energy Department loan guarantee program included in the economic stimulus package enacted in February.
An expiration date of 9/30/10 is comical. If the program keeps gobbling up $1 billion per week, another $2b won’t get us half way to Labor Day.
According to the article, the President is now fully on board:
The White House supports new funding for the program on grounds the initiative so far has provided a viable, national economic stimulus amid recession.
Earlier this week Tim Geithner promised the Chinese we were going to get serious about the deficit. I can’t imagine they’re happy financing the American auto sector…
Could there be hope that this doesn’t get through the Senate?
Already a key senator, Energy Committee Chairman Jeff Bingaman, said he opposes using Energy Department funds for the auto program.
Sounds like a technicality to me. Bingaman doesn’t want money to come from the Energy Dept., but he won’t stand in the way if the Senate finds $2 billion elsewhere.