Car News

Back in 2007 Congress, made the Advanced Technologies Vehicle Manufacturing federal loan plan to allow the government to loan up to $25 billion to vehicle manufacturers. The federal loans had been designed to help supply the cash important to retool factories and construct a lot more fuel-efficient vehicles, but now some members of Congress are searching to end the program nicely brief of the $25 billion mark.

The Detroit News reports that Texas Congressman Bill Flores has introduced a bill to end the loan plan. The Republican representative from Texas says he is introducing the bill to “save additional billions in unused taxpayer dollars.” Flores added that the funds should be provided for “an instant require,” adding that the dollars have been tied up in an “inefficient bureaucratic method that has made little progress in the past three years.”

The bill is becoming supported by many Republicans, but Democrats, led by Michigan Senator Debbie Stabenow and Representative Gary Peters, are against the bill.

So far, the funds have been challenging to come by, although Ford received $5.9 billion to assistance 13 projects and protect 33,000 jobs. Nissan received an additional $1.4 billion, even though Fisker and Tesla received more than $1 billion in combined loans. But when those loans went through, Chrysler has been waiting for a $3.5 billion loan for over 18 months and Common Motors has decided not to request any of the funds.

The loan money has come under elevated scrutiny immediately after solar panel manufacturer Solyndra LLC collapsed after receiving $528 million in loans. The White House last week launched a 60-day review of the program, likely delaying additional loans until 2012.