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By Corey Boles and Patrick Yoest Of DOW JONES NEWSWIRES WASHINGTON -(Dow Jones)- The U.S. House of Representatives started debate on the controversial $14 billion auto rescue package, with a vote on final passage possible Wednesday evening.
Senior Democratic aides cautioned, however, that a vote could be delayed at any time.
House Ways and Means Chairman Charles Rangel, D-N.Y., one of the most powerful House Democrats, told reporters he didn't think a vote on final passage was likely sometime Wednesday.
The House did vote Wednesday afternoon on a procedural motion allowing full consideration of the underlying bill, but that doesn't necessarily mean there will be a vote on final passage later in the day.
Even if the House acted, the level of support for the bailout continued to be unclear in the Senate. Several Republican senators said they would fight its passage, and at least one Democrat also saying he was opposed to the legislation.
An agreement was reached late Tuesday between congressional Democrats and the Bush administration on an immediate financial rescue of the auto industry. But the pact doesn't include the backing of a majority of the 49 Senate Republicans.
Under the legislation, the federal government would provide emergency low-cost bridge loans to two of the U.S. auto makers, General Motors Corp. (GM) and Chrysler LLP. The third, Ford Motor Co. (F), is not asking for a bridge loan, but it is supporting the other two.
In exchange for the funding, the companies would be obliged to come forward with a thorough restructuring plan by the end of March 2009.
The bill would create a "car czar" tasked with overseeing the restructuring of the car companies. This person would have authority to dictate terms if the auto manufacturers are unable to reach agreement with their labor unions, part suppliers, dealers, investors and debt holders.
If a vote occurs in the House, it is widely expected to pass due to the size of the Democratic majority. House Republicans predicted passage, reluctantly.
"We recognize that this is going to pass," Rep. David Dreier, R-Calif., said during a rules committee hearing Wednesday.
After a meeting of Republican senators Wednesday afternoon, several GOP lawmakers said they were opposed to the bill in its current form, and doubted whether there was a majority of their colleagues who supported it.
The meeting was attended by Vice President Dick Cheney and Josh Bolten, White House chief of staff. It was the first time many of the conference committee members had a chance to hear the details of the proposed rescue package directly.
Senate Republican leaders said after the meeting it was too early to determine the level of support among GOP senators.
One group headed by Sens. Bob Corker, R-Tenn., John Ensign, R-Nev., and Richard Shelby, R-Ala., said they were completely opposed to the aid package.
They said they back an approach forcing the auto industry to completely restructure before any taxpayer money is handed over. Corker is working on an alternative version of the legislation detailing this plan.
Other, more moderate Republican senators said they were also opposed to the bill in its current form, but signaled they might be able to back it if changes were made.
One remaining sticking point is an attempt by Democratic lawmakers to include a provision in the bill banning the auto companies from pursuing legal challenges to state pollution control laws.
By Tuesday, Democrats had backed away from the prohibition, with senior figures in the party admitting the lawsuits would proceed regardless of whether the Big Three auto makers are involved.
The House version of the legislation states the companies must abide by all applicable emissions laws - both state and federal. A separate Senate version of the bill only states they must fall in line to federal statutes in this area.
Against the wider debate over the rescue package the issue may seem a somewhat arcane one, but it could still prove to be a major stumbling block between Democratic and Republican lawmakers.
Senate Finance Chairman Max Baucus, D-Mont., the Democratic chairman of the Senate Finance Committee, announced his opposition to the bailout bill because it includes a provision he believes helps public transit agencies continue a tax shelter.
His counterpart on the tax-writing panel, Sen. Charles Grassley, R-Iowa, also said he was against the tax shelter and has other concerns with the rescue package, but hasn't said he opposes the aide bill itself.
If the House does approve a bill offering financial assistance to the auto industry with the White House's blessing, it will place considerable pressure on Senate Majority Leader Harry Reid, D-Nev., and Senate Minority Leader Mitch McConnell, R-Ky., to cobble together a supermajority in the Senate.
It is unclear at the moment whether there is enough opposition in the Senate to defeat the measure or just slow its passage down.
-By Corey Boles, Dow Jones Newswires; 202-862-6601; corey.boles@dowjones.com
-By Patrick Yoest, Dow Jones Newswires; 202-862-3554; patrick.yoest@dowjones.com
(Josh Mitchell and Martin Vaughan contributed to this report.)
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Publié le 10 Décembre 2008 Copyright © 2008 Dowjones