Issue : As you may already be aware, Congress in the process of developing an economic stimulus plan which they hope to pass by the beginning of February.  One provision that is under consideration would provide federal funds to car owners to trade--in their older vehicles for vouchers that would be used to obtain a newer, more fuel efficient vehicle.  These programs are of concern to the aftermarket since they take vehicles off the road that could be more cost effectively repaired, reduce the availability of parts for rebuilders since the cars are totally scrapped, and have never been shown to be a cost effective method for reducing vehicle emissions from cars in-use.

Background: Many states have attempted over the past two decades to implement vehicle retirement programs whereby car owners can turn their vehicle in to the state for money (normally only about $1,000).  The programs are sold on the fact that they will get older higher polluting off the road.  While the programs have a certain appeal to politicians, in practice most states have rejected them or failed to implement them despite legislative authorization.   

Further, Congress has considered Cash for Clunker proposals in the past and has decided against them in every case.  In fact, there currently is a prohibition on federal funding for state-run vehicle Cash for Clunkers plans through use of funds available under the Congestion Mitigation and Air Quality Improvement Program (CMAQ).  Despite numerous attempts to remove this prohibition, once lawmakers became educated to the fact that Cash for Clunkers programs are not cost-effective and do not positively impact air quality emissions or fuel economy, they have left the funding prohibition in tact.

Action Required: In order to prevent a Cash for Clunker bill from being included in the economic stimulus, we need you to send letters to the House and Senate leadership as well as your elected representatives in Congress to express your opposition to the inclusion of this provision in the economic stimulus legislation.

You can easily send an email to the Speaker of the House, the Senate Majority Leader Harry Reid, your Senator, and your Congressman by going to: http://capwiz.com/aftermarket/home/ and clicking "Take Action".  Just enter your name and address and the letter will be automatically forwarded. 

Thank your for taking the time to support your industry.