When we created this blog, the House had two measures being considered.  One was called “Cash for Guzzlers” and the competing bill called “Cash for Clunkers”.  The later bill won the day but it is interesting that Automotive News, a leader in online news coverage, chose the “Cash for Guzzlers” language.  (View Video)

Cash for Guzzlers

Regardless of what you call the program, there are many people that are finding themselves locked out of the program because their actual mpg is not what counts.  The Car Allowance Rebate System (CARS) operated by the NHTSA uses a Federal website for mpg ratings.  To see if your “clunker” or “guzzler” qualifies go to http://cars.gov.

The Automotive News video discusses the option that Congress by increase funding for the program if it a success.  Consumes are hoping that the second round of funding has some changes.  If you would like to read the ideas that consumers have to improve the CARS program, read our “SPEAK UP” commentary from around the country. (click here)

During the House floor debate, Mazda was called out as one of the automakers supporting the Cash for Clunkers bill in addition to the Detroit 3, Toyota, and Honda.  Toyota could stand to gain the most if the bill passes, as the CashforClunkersfacts.com website reports that Toyota car models lead consumer interest in fuel efficient cars.

The proposal is aimed at jumpstarting the sale of new cars and trucks, with a voucher of up to $4500 given to those who purchase new, more fuel efficient cars.   Environmentalists have their eye on the bill as well as the regulations put forth by the act could mean more environmentally friendly cars on the road, which in turn could reduce the carbon footprint and help position the US to be less dependent on foreign oil.  

Email Alerts

Consumers who would like an email notification when the bill is approved and signed into law, should use our Email Alert signup form in the upper corner of this website.

Cash For Guzzlers Participating Dealers

Consumers who want the best information on their trade and the car they want to purchase, should complete the form on the left.   Fill in the car you would be trading in and indicate the car that you want to purchase.

We’ll have a local Cash for  Guzzlers Participating Dealer contact you.   They will be able to assist you with your new car purchase once the bill is signed into law.

A Cash for Guzzlers Participating Dealer will qualify your trade and present you with a competitive price quote. There is no obligation or fee for the service. Please make sure you include your state and phone number or we can not match you to a local provider.  This way you will be prepared when the bill passes to take advantage of the limited time cash voucher.

Honda, Ford and Chevrolet cars were the second, third and forth choices by consumers which is an easrly indicator of which car dealers would benefit most if the bill was approved.  See chart below:
 

Email Alerts

Consumers who would like an email notification when the bill is approved and signed into law, should use our Email Alert signup form in the upper corner of this website.

Cash For Guzzlers Participating Dealers

Consumers who want the best information on their trade and the car they want to purchase, should complete the form on the left.   Fill in the car you would be trading in and indicate the car that you want to purchase.

We’ll have a local Cash for Guzzlers Participating Dealer contact you.   They will be able to assist you with your new car purchase once the bill is signed into law.

A Cash for Guzzlers Participating Dealer will qualify your trade and present you with a competitive price quote. There is no obligation or fee for the service. Please make sure you include your state and phone number or we can not match you to a local provider.  This way you will be prepared when the bill passes to take advantage of the limited time cash voucher.

The Vote

The Cash for Guzzlers proposal passed with a 50-4 vote by members of the House Energy and Commerce Committee that is lead by Hon. Henry A. Waxman, Chairman

According to Dow Jones  ” Specifically, it provides vouchers worth $3,500 to $4,500 to consumers who trade in old cars for new ones that have an average fuel economy that is between two and 10 miles per gallon higher than those being trading in. It allows for rebates on around 1 million cars, costing taxpayers $4 billion for the program.

The amendment is part of a controversial and historic bill that aims to cut greenhouse gases by 80% over the next half-century. The Democratic leadership aims to pass the bill out of committee by the end of the week and hopes to get approval for the legislation in the full House in late June or early July.”

Read full Dow Jones story by Ian Tally

The Cash for Guzzlers bill  would give a needed boost the the ailing auto industry.  With recent franchises  being closed by Chrysler and GM, the bill could provide some needed relief for the battered auto industry.

Critics of the cash voucher bill claim that the measure does not go far enough to mandate cars with higher fuel efficiency. Some consumer critics contend that the bill should only be available for low income families.  Vocal opponents contend that the rich don’t need the cash incentives.

The climate-change bill is before the House Energy and Commerce Committee and is due for a vote this week. The cash-for-guzzlers provision, is sponsored by committee Chairman Henry Waxman, a democrat from California.

According to the draft proposal, the Cash for Guzzlers bill would offer up to 1 million customers $3,500 vouchers if they trade in cars that get less than 18 mpg for new vehicles that get at least 22 mpg. Vouchers of $4,500 would be awarded if the new cars get at least 10 mpg more than the old.

While the bill’s passage in the House seems likely, prospects for a cash-for-guzzlers measure in the Senate aren’t clear. Sen. Debbie Stabenow, D-Mich., said last week she plans to introduce a fleet-modernization bill identical to that in the House. She said her bipartisan measure has the support of Senate Majority Leader Harry Reid, D-Nev.

So, you can start to understand why there are two names for this same proposal.  Henry Waxman’s proposal is called Chas for Guzzlers and Debbie Stabenow’s proposal is called Cash for Clunkers.  Who knows what the final outcome and name will be.

“Senators from both parties plan to introduce a cash-for-guzzlers bill this week that is identical to the legislation hashed out last week in the House, said Sen. Debbie Stabenow, D-Mich.

The bill would provide vouchers of up to $4,500 to people who trade in cars and trucks for new, more fuel-efficient vehicles assembled anywhere in the world.”   Read Full Story

As we have been reporting, this bill looks like it will be heading for President Obama’s desk.  This would be a huge boost for car dealers.

Honda & Ford Cars Leading the Way

From data collected on Cash For Guzzlers website, Honda Cars and Ford Cars are the top choice among US consumers looking for a fuel efficient cars. By far, these two brands have the lion share of the US consumers attention if this bill is passed.

Consumers have been submitting hundreds of price quotes per day on Cash For Guzzlers website and their interest is very high.  Honda car dealers and Ford dealers look like they will be the biggest beneficiary of this new bill.

Consumers looking for a local dealer that will support the voucher system and provide a competitive price quote, they can use the form on the left.  If the bill is passed, consumers will have their inquiries qualified by a local dealer and receive a price quote.

News Coverage on Cash For Guzzlers

Auto Week - May 5, 2009 – Democrats cut deal on cash-for-guzzlers measure

All Cars Electric – May 5, 2009 – Cash For Guzzlers Agreement Reached

Wall Street Journal – May 6, 2009 – Cash-for-Clunkers: Lower Your Expectations

Washington Post – May 6, 2009 – Cash-for-Clunkers Could Drive New Sales

To put a stop to sliding auto sales that were dragging down Germany’s stalwart automakers, the German government offered drivers a few thousand dollars to scrap their old cars and buy new ones. In February, while auto sales fell throughout Europe, German auto sales jumped 21 percent.

Now the United States is contemplating whether such a tactic can work here, where sales have plummeted to the lowest levels in more than two decades.   Read Full Story

New York Times, May 6, 2009 – Cash for Clunkers

President Obama’s rescue plan for the automotive industry has given the presidential seal of approval to a little-noticed movement in Congress to clear the roads of gas-guzzling clunkers and replace them with more fuel-efficient cars. It’s an excellent idea, with clear benefits for the environment and — Mr. Obama hopes — beleaguered carmakers.  But there’s a right and wrong way to do it.  Read Full Story
 

Detroit News May 6, 2009 – ‘Cash for guzzlers’ compromise praised  

“A compromise by House Democrats on “cash for guzzlers” legislation to boost auto sales won praise from Michigan lawmakers and the domestic carmakers Tuesday.

But, the legislation leaves out “buy-American” incentives Michigan officials had sought and could become entangled in the contentious debate over climate change legislation. Michigan lawmakers of both parties said they hoped the House would consider the measure separately from a climate-change bill, which may not come to a vote for months.”  Read full Cash Guzzler Story

The one-year plan crafted by members of the U.S. House of Representatives would offer vouchers worth up to $4,500 for owners to replace their less fuel efficient vehicles for models that get better gas mileage.

The goal of the “cash for clunkers” legislation is to sell 1 million vehicles.

“By stimulating consumer demand for new vehicles, this proposal will directly benefit domestic autoworkers and automotive manufacturers, which have arguably been hardest hit by the current economic downturn,” said Rep. John Dingell, a Michigan Democrat and staunch industry ally.

House Majority leader Steny Hoyer has embraced the proposal and said in an interview with Reuters in April that the measure would be acted upon quickly once proposed.

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