On Monday, I wrote about the Accelerated Retirement of Inefficient Vehicles Act, which some Washington lawmakers want to include in the upcoming economic stimulus package. Many vehicles are targeted for the scrap pile, including Chevy Blazers, Chevy Silverados, Chevy S-10s, Chevy Tahoes, Dodge Dakotas, Dodge Rams, Ford Explorers, Ford F-Series, Jeep Cherokees, Jeep Wranglers and any other SUV or truck that obtains less than 18 miles per gallon. Under the plan, the Federal government would pay a premium for 1999 and newer cars.

I’m staying on this story because it’s finally starting to pick up momentum and get noticed.  More people have been asking me for further information and/or how they can get involved in stopping the program.  The program, called the Accelerated Retirement of Inefficient Vehicles Act (click here to go to the Library of Congress website to read the bill), would make federal funds available so that car owners can trade-in their SUV’s and older model cars in exchange for vouchers which would be used to obtain newer, more fuel-efficient vehicles.

I do realize that at first glance, this may seem like a great plan, but the consequences could create dire circumstances for those who simply are not able to afford the cost of a new vehicle.  Not only that, but the plan could be a monumental waste of taxpayer dollars.

Aaron Lowe, who is the Vice President of government affairs for the Automobile Aftermarket Industry Association says it much better than I can:

The Cash for Clunkers program has unintended consequences that are not currently being considered by Congress. Those seeking a ‘quick fix’ have failed to consider the impact of the program on lower and fixed income families as well as charities. By taking vehicles off the road that might be sold as used, the program will raise the price for all used vehicles, thus impacting those on limited income that cannot afford new vehicles. Further, since the parts on those vehicles that are scrapped could be sold as used or reconditioned, the program will cause an increase in repair prices for consumers.”

While it’s true that Congress has considered similar programs before, the bottom line is that these kinds of programs are simply not cost effective and are a waste of government spending.   Not only that, but more importantly to me, this plan has the potential to put millions of American families at a great disadvantage.  Some simply cannot afford a new (or newer) vehicle even with a voucher to help make a newer model seem more affordable. Also, the job loss would be detrimental to the economy and could put American families in absolutely dire situations down the road.

I said in my earlier post that I had a lot of questions about the program and that it would undoubtedly bring up even more questions, as well.  What does this mean for people like me who are involved in auto restoration and customization?  What about special projects?  What about charitable car donations? 

Unfortunately, I’m still not able to answer most of the questions I have because information is slow in coming and I’m frustrated about that, too. While I agree that providing incentives to purchase more fuel-efficient vehicles is a good idea, I just don’t think this is it. The way I see it, it puts too many good people in a hardship they simply cannot afford. 

While I know that not everyone will agree to my opposition of the program, if would like more information or would like to voice your concerns, you can send an email to the Speaker of the House, the Senate Majority Leader and your congressional representatives directly, or visit FightCashforClunkers.org and click on the “Take Action” link at the bottom of the page.

Tags: Car Shopping, General // 3 Comments »