Community Login
username:
password:

Bottom End

Stimulus Plan Passes; New Auto Team to be Established

From aftermarketNews


WASHINGTON, D.C. -- Following passage of the $787 billion economic stimulus package late last week, President Barack Obama is expected to sign the bill today. The bill passed the Senate by a vote of 60-38. The House vote was 246-183.

Being touted by the President as a “major milestone” on the road to economic recovery, the legislation is said to be the costliest ever considered by Congress. The measure will provide tax relief to 95 percent of Americans by way of $400 rebates for individuals and $800 for couples, in addition to funding support for those who have lost jobs due to the recession. The bill also includes financial support for the development of green jobs, in addition to providing billions of dollars to states to aid schools and local governments and major transportation and technology projects.

Also included in the legislation is an amended version of the Auto Ownership Tax Assistance, which was whittled down from a $11.5 billion tax break down to $1.7 billion in the final version of the bill, with tighter limits on who qualifies. The total cost of the package is estimated to be $790 billion. This provision creates a new tax deduction for state and local sales taxes paid on new car purchases.
 
After signing the measure, President Obama is expected to today name a team to serve as a taskforce to oversee the turnaround of the U.S. auto industry. According to media reports, rather than appointing a single ‘car czar,’ the Presidential Task Force on Autos will act together to judge whether GM and Chrysler are making enough progress to keep the $17.4 billion in loans they received. The automakers are due to submit their turnaround plans to lawmakers on Tuesday.
Published Feb 16 2009, 02:29 PM by bbaker
Filed under:

Comments

No Comments

About the Authors

Dave Wooldridge, Publisher

Dave has spent nearly 25 years reporting on and working with engine builders and their parts and equipment suppliers to promote and enhance the engine rebuilding aftermarket.

Doug Kaufman, Editor

For the past 20 years, Doug Kaufman has covered the various segments of the
automotive aftermarket. Those years have taught him something: you need help
to cover an industry. Get too close to it and you lose track of the big
picture...stay too removed and you miss the detail.

Brendan Baker, Senior Editor

Brendan Baker has spent the better part of 24 years in the automotive aftermarket and racing industry. He has spent the last 11 years in publishing and has been the Managing Editor of Engine Builder magazine for the past five years until recently being named Senior Editor.