Thursday, July 30, 2009

Cash for Clunkers

The Cash for Clunkers program has been getting attention in the past few days, even though technically it went into effect on July 1.

It's a government program that should be simple enough to implement, but it's a mess.

Mark Levin pointed this out on his radio show yesterday.

From Suzanne Ziegler, the Star Tribune:

The Cash for Clunkers program has buyers ready to spend, but dealers are running into problems getting rebates approved.


Car dealers across the Twin Cities area reported busy showrooms and low inventories Tuesday as customers scrambled to unload their old gas guzzlers and save $3,500 or $4,500 on a new, more fuel-efficient car under the federal government's $1 billion Cash for Clunkers program.

At Morrie's Minnetonka Ford/Lincoln/Mercury, the receptionist started a waiting list for the finance department, the first time she ever had to do so. One dealership in Coon Rapids ran out of two of the eligible cars, the Jeep Patriot and Compass.

But dealers reported problems with the government's online system to get the transactions approved by the National Highway Traffic Safety Administration (NHTSA), which is running the program.

Scott Lambert, vice president of the Minnesota Auto Dealers Association, said he was "astounded" to learn at a meeting Tuesday representing about 150 Minnesota dealers that not one has had a deal approved.

"We had dealers representing 1,500 to 2,000 transactions," he said. "We asked how many had a deal approved yet, and not one hand went up."

Lambert said the government has created a program that's "so big and cumbersome that it can't find a way to accept anything. We're sending in good, reliable deals."

It's nerve-racking for the dealers, he said, because they have given the customer $4,500 and now the dealers need to be reimbursed.

...The program took effect July 1, but traffic at dealerships is up now because dealers had been reluctant to participate until the rules were published, which happened Friday. The program expires once the $1 billion is gone or Nov. 1, whichever comes first, prompting many to take advantage early.
If the government can't handle the Cash for Clunkers program, a $1 billion relatively small scale thing, how in God's name will the government be able to efficiently manage a government-run health care program involving millions and millions of Americans and $1 trillion?

It's a terrifying thought.

More on Cash for Clunkers, from Mark J. Perry's blog, CARPE DIEM:

The United States Government has recently released the “Cash For Clunkers” program, 2009. There has been some confusion as to how to go about claiming the $4,500 check. First of all, there is no “$4,500 check,” at least not one the public will ever see. The entire transaction must be done at the dealership, and if the transaction qualifies, the dealership will receive the sum direct from the government.

How does the dealer know if the transaction qualifies? The government rules, requirements and procedures are outlined in this 136-page government document, whose title is enough to make your head spin....

Perry comments, "If there are 136 pages of mind-numbing government regulations for a $4,500 car rebate, can you imagine how many pages of regulations will be required for a government-managed health care system?"

The problems with this program should cause Americans to shudder at the thought of government-run ObamaCare.

THE GOVERNMENT CAN'T HANDLE THIS CASH FOR CLUNKERS REBATE PROGRAM.

IT'S BOGGED DOWN IN A LOAD OF PAGES OF REGULATIONS.

AND WE ARE SUPPOSED TO BE OK WITH PUTTING THE GOVERNMENT IN CHARGE OF HEALTH CARE?

NO!

It's disaster in the making.

We need health care reform and we need it now.

We don't need the mess that Obama and Democrats are pushing.

5 comments:

lady di said...

Big surprise...govt unable to handle another of their programs

DailyDealAddict said...

Read this article: The Real Reason for the "Cash for Clunkers" Suspension. The ex car salesman blog shares exactly why they stopped the program. Even reports that some sales managers are calling asking for the money back because they were denied the rebate when the final paperwork was submitted but their car was already ruined by dumping a solution in the engine. They now have no car. Scary. See: http://tinyurl.com/ml9sdo

Cars4Charities said...

You can always donate car to charity and get a tax deduction instead of a voucher. Details at http://www.cars4charities.org.

Mary said...

There are many charities that accept cars as donations.

Anonymous said...

True, you can donate a car, but get $4500? What charity will let you claim that much on my clunker?