Rep. Frank: Autos Bailout Deal By End Of Today
Rep. Barney Frank (D-Mass.) just appeared on CNBC and said he expects an announcement from Congress by the end of the day on $15 billion in emergency bridge loans for the troubled U.S. Big Three automakers.
Frank said he expects a bill to be crafted and sent to President Bush for his signature by the end of the week.
GM, Ford and Chrysler have asked Congress for $34 billion in direct loans to keep them afloat for the next several months.
Congress wanted the White House and Treasury to fund the autos bailout from the $700 billion rescue/bailout, but the administration resisted, saying the money should come from $25 billion in direct loans already approved for automakers.
That money is pegged to help the Big Three retool their factories to make more fuel-efficient cars and House Speaker Nancy Pelosi (D-Calif.) had felt environmentalist pressure not to bleed off that money.
But the White House has prevailed on the issue and Congress will redo the language in the $25 billion already appropriated to let the automakers use the money to pay bills. The question is, will $15 billion be enough for the Big Three?
"We don't think $15 billion is enough to get them to March," Frank said, "but given the administration's insistence that be the only money we give them, that's where we are."
December 8, 2008; 12:11 PM ET
Categories: The Ticker | Tags: Chrysler, Ford, GM, General Motors, automakers, bailout
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