Newsline

The Cash for Guzzlers measure, also known as the Cash for Clunkers program, moved closer to becoming law as the proposal was overwhelmingly approved by the House Energy and Commerce Committee. The Cash for Guzzlers proposal was attacked to an important climate change bill being reviewed by the US House Energy Committee.

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.

May 18, 2009 – Another development in the Cash for Guzzlers bill.  According to an e-mail news alert from Auto News, the bill has been attached to climate-change legislation due for a key House committee vote this week.  If this true, then the bill is on tracks to be cleared for its next challenge in the Senate. 

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.

Automotive News is reporting that the “Cash for Guzzlers” bill is heading for a vote this week.  In a recent blog post, Automotive News states:

“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.