House reaches deal for the 'cash-for-clunkers' program

Posted on Wednesday, 6 May 2009 , 09:05:28 byEmil

Filed under houseagreementdealcashmoneyprogramNoneTrucks-Pickups

House reaches deal for the 'cash-for-clunkers' program

This 'cash-for-clunkers' program idea has been circulating around Washington, but John D. Dingell Congressman of Michigan may have now penned this proposal which gets finally signed in the law. The plan of Dingell would give customers up to 4,500 Dollars towards the acquisition of a brand new car.

On Tuesday, Dingell announced that a deal had been reached finally on the House of Representative. 'Today’s announcement that my colleagues in the House of Representatives and I have struck an agreement on a vehicle fleet modernization program could not have come at a more opportune time' Dingell affirmed in a statement. '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'.

Dingell’s plan, however, seems to get more questions, not answers. One of the points of the proposal: whether this program should be applying to only cars made in North America or even be open to all autos, regardless the origin point. The plan of Dingell never addresses this issue directly, using language which could get in either directions. Some pieces of the deal say 'new vehicles' while other identify specifically the domestic carmakers. And no car age requirements, or save for the 4th category in 'Work Trucks', or autos weighing that's between 8,500 - 10,000 pounds.