WASHINGTON, D.C. – Congresswoman Lois Capps released the following statement regarding the Auto Industry Financing and Restructuring Act (H.R. 7321).  The measure passed by a vote of 237 in favor, 170 opposed and 1 present: 

“Today I somewhat reluctantly voted for the Auto Industry Financing and Restructuring Act, a measure that would provide a critical bridge loan to the U.S. auto industry while additionally requiring much needed changes in its existing business practices.  This was a difficult vote.  Clearly the leaders of the domestic auto companies have done an abysmal job, resisting for years common sense reforms and innovations that would have resulted in stronger, more competitive companies.  Furthermore, I was astonished by the arrogance that these same executives displayed in their original request for federal assistance.  However, millions of American jobs are at stake if one or more of the three domestic automakers fail.  That would also deal another serious blow to our already struggling national economy.  I do not believe that we can sit idly by and allow the domestic auto industry to fail.

“For years I have pushed for legislation that would have forced automakers to produce more fuel efficient and effective vehicles.  It is very clear that had Detroit embraced these changes, we would not be in this desperate position today.  This legislation requires the automakers to reform, innovate, and finally adopt a twenty-first century business model.  And it protects taxpayers to the greatest extent possible by putting them first in line to be repaid when the companies return to profitability.  With these taxpayer protections and strict guidelines for reform, it is my sincere hope that we can save millions of jobs and prevent another strain on our fragile economy in these difficult times.”

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Pictured above: (center) Congresswoman Capps meets with Central Coast firefighters to discuss emergency preparedness.