The final Cash-for-Clunkers bill that President Obama signed into law back on June 24th carried a total of $1 billion in funding, which is a quarter of the amount the legislation initially called for. Dave McCurdy, president of the Alliance of Automobile Manufacturers, tells Automotive News that's only enough to cover roughly 250,000 vehicles and – assuming the program is successful – that Congress may vote in the fall to add more funding:
I think it'll go very quickly, and Congress may have to revisit it in the fall... 250,000 vehicles isn't enough. We think there'll be additional phases of this. It'll probably evolve.McCurdy goes on to suggest that the controversial bill's evolution may well include a more stringent set of fuel efficiency requirements. Currently, the full $4,500 incentive is available on any vehicle that at least 10 mpg more efficient that the sub-18 mpg vehicle it replaces. A smaller $3,500 payout goes to anyone that trashes a car for one that manages at least 4 mpg better than the vehicle it replaces or a new pickup that's at least 2 mpg more efficient than the so-called clunker.
[Source: Automotive News - sub. req'd | Image: Theo Heimann/Getty]