November 14, 2008

Abilene Reporter-News

Trish Choate

WASHINGTON -- It looks like not even the best car salesman could persuade Big Country lawmakers to back a federal bailout for automakers.

Abilene's congressman said he voted against the recent $700 billion economic rescue for Wall Street because of the very thing that's happening now.

"Where do you stop all of this?" U.S. Rep. Randy Neugebauer, R-Lubbock, said. "I'm not very interested in putting Main Street capital in the form of taxpayer dollars into those entities."

The House is scheduled to meet Wednesday in a lame-duck session to consider helping struggling car manufacturers. The Senate is to convene earlier in the week in response to proposals to possibly give automakers a $25 billion slice of the rescue package.

U.S. Sen. John Cornyn, R-Texas, echoed Neugebauer's concerns.

"This is bad public policy and an affront to taxpayers who are demanding fiscal responsibility and accountability from their government," Cornyn said.

The government faces a record budget deficit that's still rising, he said.

U.S. Sen. Kay Bailey Hutchison, R-Texas, needs to see what's proposed before taking a position, spokesman Matt Mackowiak said in an e-mail.

Increased job loss could hang in the balance if the government does nothing for General Motors, Ford and Chrysler.

U.S. Rep. Mike Conaway, R-Midland, said the consequences of the financial failure of the big three would be huge.

"But I'm not convinced that any further help by the federal government, or the federal taxpayers more importantly, will address the core issues those companies have," said Conaway, who represents the 11th Congressional District.

They have employment costs resulting from 100 years of union-driven pay, he said.

U.S. Rep. Mac Thornberry, R-Clarendon, said he's not inclined to support any proposals he's seen.

"I think the best thing that could happen for the auto industry is to let it restructure itself," said Thornberry, who represents the 13th Congressional District.

It would be better for carmakers to declare bankruptcy and restructure some of their fixed costs in the process, he said.

Many have pointed out that airlines came out stronger after declaring bankruptcy and then restructuring instead of taking money from the government "to limp along a little while longer," Thornberry said.

Congress approved $25 billion in loans in a continuing resolution earlier this year to provide funds for the auto industry to make greener vehicles.

Conaway said there's talk of changing the rules to make the $25 billion into more traditional loans.

"But I'd have to see the specifics of what that might be," he said.

The chances of an automakers' bailout in a lame-duck session does not look good with Republicans and the White House opposed.

But in the next session of Congress beginning in January, the bailout might have a better chance, Neugebauer said.

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Big 3 auto bailout

Stick to your guns please do not give these people any money.Every business with a spin doctor will have thier hand
out.True jobs will be lost but not near as many as they predict.They are already making small cars and hy-breads,retooling is a scam.
Thanks for reading this.Pete Chambers

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