House Votes To Extend Clunkers Program

The Cash For Clunkers Program or CARS (Car Allowance Rebate System) received a major vote of confidence on July 31 when the House overwhelmingly voted to inject $2 billion into the enormously popular program.

1 minute read

August 1, 2009, 11:00 AM PDT

By Irvin Dawid


The car stimulus program was granted $1 billion, and went into effect July 24. It was meant to last to Nov 1 or 'when the funds were exhausted'. Who would have thought that would be not much more than a week?

"The Senate, which will be in session (the first week of August), will take up the program then. A spirited debate is likely, as some senators have said they will use the opportunity to push for tougher fuel-efficiency requirements. If the Senate does not go along with the House's version, the House might have to return to work on a compromise.

The sudden legislative action was prompted by the overwhelming response to the program, formally known as the Car Allowance Rebate System which its backers say has helped not only car buyers but the struggling automobile industry."

President Obama has indicated his support for extension of the program. At this time, it is not known when the original $1 billion will be exhausted.

Thanks to New York Times Direct - Political Email

Friday, July 31, 2009 in The New York Times - Business

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