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Author Topic: Auto Dealers Paid for Just 2 Percent of 'Clunkers' Claims, Congressman Says  (Read 975 times)

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Offline Chris_

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Auto Dealers Paid for Just 2 Percent of 'Clunkers' Claims, Congressman Says
« on: August 17, 2009, 11:31:56 AM »
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Auto Dealers Paid for Just 2 Percent of 'Clunkers' Claims, Congressman Says

The federal government has only reimbursed auto dealers for 2 percent of the claims they've submitted through the popular "cash for clunkers" program, a Pennsylvania congressman said, calling on the Obama administration to help speed up the process.

Rep. Joe Sestak, D-Pa., called for "immediate action" to address the problem in a statement Sunday, after writing a letter to President Obama Saturday expressing his concerns.

In the letter, Sestak said only 2 percent of claims have been paid and that four of every five applications have been "rejected for minor oversight."

In recent days, auto dealers across the country have been complaining that the reimbursement payments are slow to process. And they said some of their applications were being rejected because of apparent procedural issues. The statistics Sestak cited suggest those complaints are not based on isolated incidents.

Staffing could be one problem. According to sales data summarized by Transportation Department officials, dealers have submitted requests for rebates on 338,659 vehicles sold.

But while Congress just expanded the $1 billion program by $2 billion, the Department of Transportation says a staff of just 225 people is reviewing those claims.


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Wow.  Who'da thunk Congress didn't think that far ahead?   :bs:   :thatsright:
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Offline seabelle

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Re: Auto Dealers Paid for Just 2 Percent of 'Clunkers' Claims, Congressman Says
« Reply #1 on: August 20, 2009, 07:05:59 AM »
LOL...but I heard the program's run out of money again.  How could that happen if they're not paying for the clunkers?

Oh wait, Obama's still President  :thatsright:
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Offline docstew

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Re: Auto Dealers Paid for Just 2 Percent of 'Clunkers' Claims, Congressman Says
« Reply #2 on: August 20, 2009, 08:46:19 AM »
Quote from: seabelle on August 20, 2009, 07:05:59 AM
LOL...but I heard the program's run out of money again.  How could that happen if they're not paying for the clunkers?

Oh wait, Obama's still President  :thatsright:

and the first chance for me to point out Obama's corollary to Murphy's Law:  If you don't know what you're doing, everything will go wrong.
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