Reply from the PA - Bob Casey

[franknbeans]

Dear Mr. Ganss:

Thank you for taking the time to contact me about the bailout of the automotive industry. I appreciate hearing from all Pennsylvanians about the issues that matter most to them.

Currently we face troubling economic conditions. Our economy is shedding jobs and has entered what could be a severe and prolonged recession. The domestic auto companies are some of the latest firms to face difficulty due to recent sharp declines in demand, the freezing of the credit markets as well as various problems the domestic auto industry has been grappling with over the past several years. While some of these issues are the industry's creation, the American economy is dependent upon the auto industry for its health and stability. Today, one in ten of our Nation's manufacturing jobs are tied to the auto industry. If the largest auto companies fail, 2.5 million jobs could be lost, including 120,000 in Pennsylvania, translating into a loss of personal income on the order of $125 billion. Suppliers, dealers and countless other small businesses would feel a deep and instant impact.

On December 11, 2008, I voted to authorize $14 billion in loans to the major automobile manufacturers. The loan agreement included strict conditions regarding repayment and a requirement for plans for restructuring. I did this to protect all Americans from the devastating blow that losing millions of jobs would deliver to our economy. Despite the support of a majority of the Senate, this bipartisan effort failed to gain the necessary votes to clear a procedural hurdle. Subsequently, the White House extended $17.4 billion in funds from the Troubled Assets Relief Program (TARP) to keep the companies operational until the 111th Congress convenes in January. At that time, I hope that we can pass a complete restructuring package that sets the American auto industry on a path towards a prosperous future. It is my belief that this plan should recognize the sacrifices already made by the workers while demanding that all parties come to the table to make appropriate concessions. I will also demand the strict accountability and transparency provisions in the Senate considered legislation.

Again, thank you for sharing your thoughts with me. Please do not hesitate to contact me in the future about this or any other matter of importance to you.

If you have access to the Internet, I encourage you to visit my web site, http://casey.senate.gov. I invite you to use this online office as a comprehensive resource to stay up-to-date on my work in Washington, request assistance from my office or share with me your thoughts on the issues that matter most to you and to Pennsylvania.



Sincerely,
Bob Casey
United States Senator

[Rodrunner]

Well, it sounds as if he's on the right track of giving the auto industry the financial relief they need along with demands for the necessary restructuring and strict repayment conditions needed to safeguard the public's tax dollars. Let's hope they don't blow this.