Cash for Clunkers

On July 23, 2009 NHTSA’s Acting Deputy Administrator signed the final rule setting forth requirements and procedures for the voluntary vehicle trade-in and purchase/lease program that was established by the Consumer Assistance to Recycle and Save Act of 2009. The program will help some consumers pay for a new, more fuel efficient car or truck from a participating dealer when they trade in a less fuel efficient car or truck. The rule establishes a process by which dealers can register in order to participate in the program and establishes the criteria NHTSA will use to determine which disposal facilities are eligible to receive and either crush or shred the trade-in vehicles. It also sets forth the criteria that trade-in vehicles and new vehicles must meet in order for purchases and leases to qualify for assistance under the program and establishes the requirements that must be met by consumers, dealers, disposal facilities and others. Finally, the rule sets forth enforcement procedures and provisions for punishing fraud and other violations of the program requirements. Docket reference: NHTSA-2009-0120. Code reference: 49 CFR Parts 512 and 599. NHTSA contact: Frank Borris (202) 366-8089. The rule will be published in the Federal Register on Wednesday, July 29, 2009. For an advanced copy, click here.