NPR logo Opposition To Automaker Bailout Grows


Opposition To Automaker Bailout Grows

An emergency cash bailout for troubled U.S. automakers is coming under increasing challenge as Congress gets ready for its lame-duck session this week. Detroit auto executives say their companies may not have enough operating funds to make it far into the new year without government help.

Congress has already designated $25 billion to help the automakers retool for more efficient models. Now the Bush administration wants that money to be used for this cash flow emergency.

Massachusetts Democratic Rep. Barney Frank told CBS' Face the Nation that's a bad idea because it would prevent the carmakers from retooling. He said there should be a separate package.

On the same show, Republican Sen. Richard Shelby of Alabama said he'll fight any emergency cash for companies proven incompetent.

Shelby likened the Detroit automakers to a "dinosaur" and said taxpayers shouldn't prop them up.