I 

111TH CONGRESS 

1ST SESSION H. R. 1606 

To establish a new automobile voucher program. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 19, 2009 

Mr. MANZULLO introduced the following bill; which was referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions 

as fall within the jurisdiction of the committee concerned 

A BILL 

To establish a new automobile voucher program. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘New Automobile 

5 Voucher Act of 2009’’. 

6 SEC. 2. FINDINGS. 

7 Congress finds the following: 

8 (1) 1 out of every 10 jobs in the United States, 

9 or about 13,000,000, is related to automobiles. 


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1 (2) The automotive sector represents the largest 

2 manufacturing base in the United States and each 

3 automobile assembly plant generates about 5 jobs 

4 among suppliers and the surrounding community. 

5 (3) Automobile parts manufacturers account for 

6 4,500,000 private industry jobs, including nearly 

7 2,000,000 indirect jobs in industries ranging from 

8 steel and plastics to technical services. 

9 (4) Automobile dealerships employ 1,100,000 

10 workers and account for 18 percent of all retail sales 

11 in the United States. 

12 (5) In 2005, 16,900,000 new automobiles were 

13 sold in the United States, but in 2008, only 

14 13,200,000 new automobiles were sold. 

15 (6) This loss of 3,700,000 new automobile 

16 sales, at an average price of $28,400, directly re17 moved $105,000,000,000 from the economy. 

18 (7) Economic multiplier effects of between 3 

19 and 7 percent mean that this decline of new auto20 mobile sales translates into a $315,000,000,000 to 

21 $735,000,000,000 loss to the economy of the United 

22 States. 

23 (8) Only 1,345,885 vehicles were sold in the 

24 United States during January and February of 


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1 2009, representing a 39 percent decrease from Jan2 uary and February of 2008. 

3 (9) The best way to help the United States 

4 automobile industry and manufacturing base recover 

5 is to set a goal of selling 15,000,000 new auto6 mobiles in 2009 in order to restart the United 

7 States economy. 

8 SEC. 3. NEW AUTOMOBILE VOUCHER PROGRAM. 

9 (a) ESTABLISHMENT.—There is established in the 

10 Department of the Treasury a program to be known as 

11 the ‘‘New Automobile Voucher Program’’, through which 

12 the Secretary shall— 

13 (1) authorize the issuance of a voucher, subject 

14 to the specifications described in subsection (b), to 

15 a dealer for each person or eligible fleet operator 

16 who purchases an eligible new automobile from such 

17 dealer, which voucher shall be applied towards such 

18 purchase; 

19 (2) allow any dealer to participate in the Pro20 gram if the dealer agrees to— 

21 (A) apply a voucher towards the purchase 

22 of an eligible new automobile as partial pay23 ment for each eligible person or eligible fleet op24 erator at the time of purchase; and 


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1 (B) comply with all applicable require2 ments under this Act and regulations promul3 gated by the Secretary to carry out this Act; 

4 (3) establish a Web-based electronic system to 

5 process the vouchers at the point of sale; 

6 (4) certify that the Program is operational; and 

7 (5) make payments to dealers for vouchers ap8 plied by such dealers under paragraph (2) in accord9 ance with the provisions of this section. 

10 (b) PROGRAM SPECIFICATIONS.— 

11 (1) VOUCHERS PER PERSON.—Not more than 1 

12 voucher may be issued for any person, unless such 

13 person is an eligible fleet operator. 

14 (2) VOUCHERS PER ELIGIBLE NEW AUTO15 MOBILE.—Not more than 1 voucher may be applied 

16 to each eligible new automobile. 

17 (3) OFFSET.—A dealer— 

18 (A) shall credit the amount of the voucher 

19 being applied toward the purchase of an eligible 

20 new automobile; and 

21 (B) may not offset the amount of the 

22 voucher against any other rebate or discount 

23 otherwise being offered by the dealer or manu24 facturer. 


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1 (4) COMBINATION WITH OTHER INCENTIVES

2 PERMITTED.—Notwithstanding any other provision 

3 of law, the availability or use of a Federal or State 

4 tax incentive or a State-issued voucher for the pur5 chase of an eligible new automobile shall not limit 

6 the value or issuance of a voucher under the Pro7 gram for any eligible person or eligible fleet oper8 ator. 

9 (5) VOUCHER.— 

10 (A) PAPERLESS VOUCHER.—Any voucher 

11 issued under this section shall be issued elec12 tronically through a Web-based electronic sys13 tem. 

14 (B) VALUE OF VOUCHER DURING THE INI15 TIAL PERIOD.—A voucher issued under the Pro16 gram during the initial period may be applied 

17 to offset the purchase price of an eligible new 

18 automobile by $5,000. 

19 (C) VALUE OF VOUCHER DURING THE SEC20 ONDARY PERIOD.—A voucher issued under the 

21 Program during the secondary period may be 

22 applied to offset the purchase price of an eligi23 ble new automobile by $2,500. 

24 (6) PROMPT FULFILLMENT OF REDEMPTION

25 REQUESTS REQUIRED.—The Secretary shall provide 


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1 for the payment of all vouchers submitted to the 

2 Secretary for redemption in accordance with the pro3 visions of this Act not later than 10 days after such 

4 submission, or within such lesser period as the Sec5 retary determines to be practicable. 

6 (c) RULEMAKING.—Not later than 30 days after the 

7 date of the enactment of this Act, the Secretary shall pro8 mulgate regulations to implement the Program, including 

9 the enforcement of the penalties described in section 4. 

10 (d) DISCLAIMER.—Nothing in this Act or any other 

11 provision of law limits the authority of Congress or the 

12 Secretary to terminate or limit the Program or the 

13 issuance of vouchers under the Program. 

14 SEC. 4. PENALTIES. 

15 (a) VIOLATION.—It shall be unlawful for any person 

16 to commit any fraudulent act in connection with a voucher 

17 issued under the Program. 

18 (b) PENALTIES.—Any person who commits a viola19 tion described in subsection (a) shall be liable to the 

20 United States Government for a civil penalty of not more 

21 than $10,000 for each violation. 

22 SEC. 5. REPORT. 

23 The Secretary shall submit a report to the Congress 

24 every 6 months that specifies, for the most recent 6-month 


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1 period, the number of vouchers that have been used under 

2 the Program. 

3 SEC. 6. DEFINITIONS. 

4 In this Act: 

5 (1) AUTOMOBILE.—The term ‘‘automobile’’ has 

6 the meaning given such term in section 32901(a) of 

7 title 49, United States Code. 

8 (2) DEALER.—The term ‘‘dealer’’ means a per9 son residing in a State that is engaged in the sale 

10 of new automobiles as of the date of introduction of 

11 this Act to the first person or eligible fleet operator 

12 that is the ultimate purchaser. 

13 (3) ELIGIBLE FLEET OPERATOR.—The term 

14 ‘‘eligible fleet operator’’ means the operator of a 

15 fleet of automobiles that is owned by a partnership, 

16 corporation, association, or public or private organi17 zation. 

18 (4) INITIAL PERIOD.—The term ‘‘initial period’’ 

19 means the first 6 months of the Program, beginning 

20 from the date the Secretary certifies the Program is 

21 operational. 

22 (5) NEW AUTOMOBILE.—The term ‘‘new auto23 mobile’’ means an automobile for which a manufac24 turer, distributor, or dealer has never transferred 


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1 the equitable or legal title of such automobile to an 

2 ultimate purchaser. 

3 (6) ELIGIBLE NEW AUTOMOBILE.—The term 

4 ‘‘eligible new automobile’’ means a new automobile 

5 whose purchase price is less than $50,000. 

6 (7) PERSON.—The term ‘‘person’’ has the 

7 meaning given such term in section 551 of title 5, 

8 United States Code. 

9 (8) PROGRAM.—The term ‘‘Program’’ means 

10 the New Automobile Voucher Program established 

11 under section 3. 

12 (9) SECONDARY PERIOD.—The term ‘‘secondary 

13 period’’ means the time period beginning the day 

14 after the initial period has expired and ending De15 cember 31, 2010. 

16 (10) SECRETARY.—The term ‘‘Secretary’’ 

17 means the Secretary of the Treasury. 

18 (11) STATE.—The term ‘‘State’’ means a State 

19 of the United States, the District of Columbia, Puer20 to Rico, the Northern Mariana Islands, Guam, 

21 American Samoa, and the Virgin Islands. 

22 (12) ULTIMATE PURCHASER.—The term ‘‘ulti23 mate purchaser’’ means, with respect to a new auto24 mobile, the first person who purchases such auto25 mobile for purposes other than resale. 


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1 (13) VOUCHER.—The term ‘‘voucher’’ means a 

2 voucher issued to a person who is purchasing an eli3 gible new automobile pursuant to the provisions of 

4 this Act. 

5 SEC. 7. AUTHORIZATION OF APPROPRIATIONS. 

6 There is authorized to be appropriated to the Sec7 retary $75,000,000,000 to carry out this Act. Of the 

8 amount appropriated under this Act, the Secretary shall 

9 obligate no more than $50,000,000 to cover administrative 

10 costs for the Program. 

Æ 


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