The U. S. House of Representatives has passed the “Cash for Clunkers” Bill (HR-2751) that has been supported by NADA, NJ CAR and auto dealers around the country. The Bill would provide for rebates of between $3,500 and $4,500 when consumers trade in a vehicle toward the purchase of a new qualifying model. There is no income limitation for the rebate, but the maximum purchase price is $45,000. The measure is expected to help boost auto sales by creating a significant cash incentive to replace older cars and trucks with newer, higher-mileage, less-polluting vehicles.
The Bill passed by a vote of 298 to 119, with 239 Democrats and 59 Republicans voting in favor of the measure. All members of the New Jersey Congressional Delegation, with the exception of Congressman Scott Garrett (R-5), voted in favor of the Bill.
The Bill next goes to the Senate for action, where there has been some wrangling over the exact provisions of the proposal. President Obama is expected to sign the Bill, if Congress passes it as he has supported consumer incentives for the auto industry as a way of jump starting auto sales.