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Auto Dealers Ending Their Cash for (Political) Clunkers Program

cash-for-clunkers-we-can-helpThe nation’s largest auto dealers association has apparently decided to end its long standing participation in the Cash for (Political) Clunkers program.

An historically dependable source of income for Republicans in the House and Senate, the National Automobile Dealers Association (NADA) has long contributed about twice as much to Republican election campaigns than to Democrats.

In 2008, the NADA gave $968,000 to Democrats and $1,892,000 to Republicans ($923,000 to House Democrats and $1,679,500 to House Republicans; $45,000 to Senate Democrats and $212,500 to Senate Republicans).

In 2006, the results were similar – the NADA gave $842,600 to Democrats and $1,978,500 to Republicans ($752,600 to House Democrats and $1,827,000 to House Republicans; $90,000 to Senate Democrats and $151,500 to Senate Republicans).

The ratio was also similar in 2004 – the NADA gave $714,500 to Democrats and $1,888,800 to Republicans ($630,500 to House Democrats and $1,698,800 to House Republicans; $84,000 to Senate Democrats and $190,000 to Senate Republicans).

But for the 2010 election, the Auto Dealers’ political contributions have dramatically shifted gears.

So far, the NADA has given $134,300 to Democrats and only $43,000 to Republicans.  This figure includes $101,800 to House Democrats and $43,000 to House Republicans, and $32,500 to Senate Democrats and nothing at all to Senate Republicans.

The reasons for this unprecedented shift in the Auto Dealers’ political allegiance is pretty obvious: The Republicans have told Detroit and the nation’s auto dealers to drop dead, opposing both the Obama administration’s bailout of the U.S. auto industry and it’s hugely popular “Cash for Clunkers” program.

Here in Orange County, Republicans in Congress have benefited enormously in the past from the NADA’s political contributions.

In 2008, John Campbell (R-48th CD) – an auto dealer himself — received $10,000 from the NADA, which was the largest amount they gave to individual campaigns that year.  In  2006, the year that he was elected to his first full term, they gave Campbell $20,000, also the largest amount given to any campaign and twice as much as they gave to anyone else.

Dana Rohrabacher (R-46th CD) received $7,500 from the NADA in 2008, $5,000 in 2006, and $10,000 in 2004.

Ken Calvert (R-44th CD) also received $7,500 from the NADA in 2008, as well as $5,000 in 2006 and $5,000 in 2004.

What did the auto dealers get for their money?

Recently, not much.

On the Auto Industry Financing and Restructuring Act, the auto bail out bill, Campbell voted “present” (citing his personal financial interest), while criticizing those who voted in favor.

Calvert voted “No,” calling it the “nationalization of the auto industry,” and Rohrabacher did not bother to vote at all.

On the Consumer Assistance to Recycle and Save (CARS) program (the Cash for Clunkers bill), Campbell did vote “Aye” against his party, (apparently no longer concerned about his personal financial stake in the auto dealer business), as did Calvert, but Rohrabacher voted “No,” complaining that the bill is “nothing more than a subsidy to prop up auto manufacturers, many of which have already received billions in taxpayer money.”

As we get closer to the 2010 campaign, we’ll see whether the auto dealers again make the mistake they’ve made in the past of giving cash to these political clunkers.

So far, it seems that they’ve shifted gears and are driving in another political direction.