I 
111TH CONGRESS 
1ST SESSION H. R. 2640 
To accelerate motor fuel savings nationwide and provide incentives to reg-
istered owners of high polluting automobiles to replace such automobiles 
with new fuel efficient and less polluting automobiles. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 21, 2009 
Ms. SUTTON (for herself, Mr. DINGELL, Mr. MARKEY of Massachusetts, Mr. 
BARTON of Texas, Mr. UPTON, Mr. INSLEE, Mr. STUPAK, Mr. BRALEY 
of Iowa, Mrs. MILLER of Michigan, Mrs. CAPPS, Mr. BLUNT, Mr. 
DOYLE, Mr. TERRY, Mr. WELCH, Mr. WHITFIELD, Mrs. CHRISTENSEN, 
Mr. ROGERS of Michigan, Mr. DONNELLY of Indiana, Mrs. EMERSON, 
Mr. ARCURI, Mrs. BIGGERT, Mr. WILSON of Ohio, Mr. CASTLE, Mr. SAR-
BANES, Mr. CAMP, Ms. BALDWIN, Mr. MCCOTTER, Mr. CARNAHAN, Mr. 
YARMUTH, Mr. COURTNEY, Mr. BLUMENAUER, Mr. HALL of New York, 
Mr. MANZULLO, Ms. KILPATRICK of Michigan, Mr. SCHAUER, Ms. 
FUDGE, Mr. HARE, Mr. SHULER, Mr. CONNOLLY of Virginia, Mr. 
MAFFEI, Ms. MOORE of Wisconsin, Mr. LEVIN, Mr. CONYERS, Mr. 
HASTINGS of Florida, Mr. LOEBSACK, Ms. KOSMAS, Mr. WALDEN, Mr. 
HILL, Mr. RYAN of Ohio, Mr. PETERS, Mr. KILDEE, Mr. LATOURETTE, 
Ms. DEGETTE, Mr. BOCCIERI, and Ms. KAPTUR) introduced the following 
bill; which was referred to the Committee on Energy and Commerce, and 
in addition to the Committee on Ways and Means, for a period to be sub-
sequently determined by the Speaker, in each case for consideration of 
such provisions as fall within the jurisdiction of the committee concerned 
A BILL 
To accelerate motor fuel savings nationwide and provide in-
centives to registered owners of high polluting auto-
mobiles to replace such automobiles with new fuel effi-
cient and less polluting automobiles. 
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Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Consumer Assistance 
to Recycle and Save Act’’. 
SEC. 2. TEMPORARY VEHICLE TRADE-IN PROGRAM. 
(a) ESTABLISHMENT.—There is established in the 
National Highway Traffic Safety Administration a pro-
gram to be known as the ‘‘Cash for Clunkers Temporary 
Vehicle Trade-in Program’’ through which the Secretary, 
in accordance with this section and the regulations pro-
mulgated under subsection (e), shall— 
(1) authorize the issuance of an electronic 
voucher, subject to the specifications set forth in 
subsection (c), to offset the purchase price or lease 
price for a qualifying lease of a new fuel efficient 
automobile upon the surrender of an eligible trade- 
in vehicle to a dealer participating in the Program; 
(2) certify dealers for participation in the Pro-
gram and require that all certified dealers— 
(A) accept vouchers as provided in this 
section as partial payment or down payment for 
the purchase or qualifying lease of any new fuel 
efficient automobile offered for sale or lease by 
that dealer; and 
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(B) in accordance with subsection (c)(2), 
dispose of each eligible trade-in vehicle surren-
dered to the dealer under the Program; 
(3) in consultation with the Secretary of the 
Treasury, make payments to dealers for vouchers ac-
cepted by such dealers prior to April 1, 2010, in ac-
cordance with the regulations issued under sub-
section (d); 
(4) in consultation with the Secretary of the 
Treasury, provide for the payment of rebates to per-
sons who qualify for a rebate under subsection 
(c)(3); and 
(5) in consultation with the Secretary of Treas-
ury and the Inspector General of the Department of 
Transportation, establish and provide for the en-
forcement of measures to prevent and penalize fraud 
under the Program. 
(b) QUALIFICATIONS FOR AND VALUE OF VOUCH-
ERS.—A voucher issued under the Program shall have a 
value that may be applied to offset the purchase price or 
lease price for a qualifying lease of a new fuel efficient 
automobile as follows: 
(1) $3,500 VALUE.—The voucher may be used 
to offset the purchase price or lease price of the new 
fuel efficient automobile by $3,500 if— 
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(A) the new fuel efficient automobile is a 
passenger automobile and the combined fuel 
economy value of such automobile is at least 4 
miles per gallon higher than the combined fuel 
economy value of the eligible trade-in vehicle; 
(B) the new fuel efficient automobile is a 
category 1 truck and the combined fuel econ-
omy value of such truck is at least 2 miles per 
gallon higher than the combined fuel economy 
value of the eligible trade-in vehicle; 
(C) the new fuel efficient automobile is a 
category 2 truck that has a combined fuel econ-
omy value of at least 15 miles per gallon and— 
(i) the eligible trade-in vehicle is a 
category 2 truck and the combined fuel 
economy value of the new fuel efficient 
automobile is at least 1 mile per gallon 
higher than the combined fuel economy 
value of the eligible trade-in vehicle; or 
(ii) the eligible trade-in vehicle is a 
category 3 truck of model year 2001 or 
earlier; or 
(D) the new fuel efficient automobile is a 
category 3 truck and the eligible trade-in vehi-
cle is a category 3 truck of model year of 2001 
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(1) LIMITATIONS.— 
(A) GENERAL PERIOD OF ELIGIBILITY.—A 
voucher issued under the Program shall be used 
only for the purchase or qualifying lease of new 
fuel efficient automobiles that occur between 
March 30, 2009 and March 31, 2010. 
(B) NUMBER OF VOUCHERS PER PERSON 
AND PER TRADE-IN VEHICLE.—Not more than 
1 voucher may be issued for a single person and 
not more than 1 voucher may be issued for the 
joint registered owners of a single eligible trade- 
in vehicle. 
(C) NO
COMBINATION
OF
VOUCHERS.— 
Only 1 voucher issued under the Program may 
be applied toward the purchase or qualifying 
lease of a single new fuel efficient automobile. 
(D) CAP
ON
FUNDS
FOR
CATEGORY
TRUCKS.—Not more than 7.5 percent of the 
total funds made available for the Program 
shall be used for vouchers for the purchase or 
qualifying lease of category 3 trucks. 
(E) COMBINATION
WITH
OTHER
INCEN-
TIVES PERMITTED.—The availability or use of a 
Federal, State, or local incentive or a State- 
issued voucher for the purchase or lease of a 
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new fuel efficient automobile shall not limit the 
value or issuance of a voucher under the Pro-
gram to any person otherwise eligible to receive 
such a voucher. 
(F) NO ADDITIONAL FEES.—A dealer par-
ticipating in the program may not charge a per-
son purchasing or leasing a new fuel efficient 
automobile any additional fees associated with 
the use of a voucher under the Program. 
(G) NUMBER
AND
AMOUNT.—The total 
number and value of vouchers issued under the 
Program may not exceed the amounts appro-
priated for such purpose. 
(2) DISPOSITION OF ELIGIBLE TRADE-IN VEHI-
CLES.— 
(A) IN GENERAL.—For each eligible trade- 
in vehicle, the title of which is transferred to a 
dealer under the Program, the dealer shall cer-
tify to the Secretary, in such manner as the 
Secretary shall prescribe by rule, that the vehi-
cle, including the engine and drive train— 
(i) will be crushed or shredded within 
such period and in such manner as the 
Secretary prescribes, or will be transferred 
to an entity that will ensure that the vehi-
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cle will be crushed or shredded within such 
period and in such manner as the Sec-
retary prescribes; and 
(ii) has not been, and will not be, sold, 
leased, exchanged, or otherwise disposed of 
for use as an automobile in the United 
States or in any other country, or has been 
or will be transferred, in such manner as 
the Secretary prescribes, to an entity that 
will ensure that the vehicle has not been, 
and will not be, sold, leased, exchanged, or 
otherwise disposed of for use as an auto-
mobile in the United States or in any other 
country. 
(B) SAVINGS PROVISION.—Nothing in sub-
paragraph (A) may be construed to preclude a 
person who dismantles or disposes of the vehicle 
from— 
(i) selling any parts of the disposed 
vehicle other than the engine block and 
drive train (unless the engine or drive train 
has been crushed or shredded); or 
(ii) retaining the proceeds from such 
sale. 
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(C) COORDINATION.—The Secretary shall 
coordinate with the Attorney General to ensure 
that the National Motor Vehicle Title Informa-
tion System and other publicly accessible and 
commercially available systems are appro-
priately updated to reflect the crushing or 
shredding of vehicles under this section and ap-
propriate re-classification of the vehicles’ titles. 
(3) ELIGIBLE PURCHASES OR LEASES PRIOR TO 
DATE OF ENACTMENT.—A person who purchased or 
leased a new fuel efficient vehicle after March 30, 
2009, and before the date of enactment of this sec-
tion is eligible for a cash rebate equivalent to the 
amounts described in subsection (b)(1) if the person 
provides proof satisfactory to the Secretary that— 
(A) the person was the registered owner of 
an eligible trade-in vehicle; and 
(B) such vehicle has been disposed of in 
accordance with clauses (i) and (ii) of para-
graph (2)(A). 
(d) REGULATIONS.—Notwithstanding the require-
ments of section 553 of title 5, United States Code, the 
Secretary shall promulgate final regulations to implement 
the Program not later than 30 days after the date of the 
enactment of this section. Such regulations shall— 
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(1) provide for a means of certifying dealers for 
participation in the program; 
(2) establish procedures for the reimbursement 
of dealers participating in the Program to be made 
through electronic transfer of funds for both the 
amount of the vouchers and any reasonable adminis-
trative costs incurred by the dealer as soon as prac-
ticable but no longer than 10 days after the submis-
sion of a voucher for the new fuel efficient auto-
mobile to the Secretary; 
(3) prohibit a dealer from using the voucher to 
offset any other rebate or discount offered by that 
dealer or the manufacturer of the new fuel efficient 
automobile; 
(4) require dealers to disclose to the person 
trading in an eligible trade-in vehicle the best esti-
mate of the scrappage value of such vehicle and to 
permit the dealer to retain $50 of any amounts paid 
to the dealer for scrappage of the automobile as pay-
ment for any administrative costs to the dealer asso-
ciated with participation in the Program; 
(5) establish a process by which persons who 
qualify for a rebate under subsection (c)(3) may 
apply for such rebate; 
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(6) consistent with subsection (c)(2), establish 
requirements and procedures for the disposal of eli-
gible trade-in vehicles and provide such information 
as may be necessary to entities engaged in such dis-
posal to ensure that such vehicles are disposed of in 
accordance with such requirements and procedures, 
including— 
(A) requirements for the removal and ap-
propriate disposition of refrigerants, antifreeze, 
lead products, mercury switches, and such other 
toxic or hazardous vehicle components prior to 
the crushing or shredding of an eligible trade- 
in vehicle, in accordance with rules established 
by the Secretary in consultation with the Ad-
ministrator of the Environmental Protection 
Agency, and in accordance with other applicable 
Federal or State requirements; and 
(B) a mechanism for dealers to certify to 
the Secretary that eligible trade-in vehicles are 
disposed of, or transferred to an entity that will 
ensure that the vehicle is disposed of, in accord-
ance with such requirements and procedures 
and to submit the vehicle identification numbers 
of the vehicles disposed of and the new fuel effi-
cient automobile purchased with each voucher; 
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(7) consistent with subsection (c)(2), establish 
requirements and procedures for the disposal of eli-
gible trade-in vehicles and provide such information 
as may be necessary to entities engaged in such dis-
posal to ensure that such vehicles are disposed of in 
accordance with such requirements and procedures; 
and 
(8) provide for the enforcement of the penalties 
described in subsection (e). 
(e) ANTI-FRAUD PROVISIONS.— 
(1) VIOLATION.—It shall be unlawful for any 
person to violate any provision under this section or 
any regulations issued pursuant to subsection (d). 
(2) PENALTIES.—Any person who commits a 
violation described in paragraph (1) shall be liable to 
the United States Government for a civil penalty of 
not more than $25,000 for each violation. 
(f) INFORMATION TO CONSUMERS AND DEALERS.— 
Not later than 30 days after the date of enactment of this 
section, and promptly upon the update of any relevant in-
formation, the Secretary shall make available on an Inter-
net website and through other means determined by the 
Secretary information about the Program, including— 
(1) how to determine if a vehicle is an eligible 
trade-in vehicle; 
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(2) how to participate in the Program, includ-
ing how to determine participating dealers; 
(3) a comprehensive list, by make and model, of 
new fuel efficient automobiles meeting the require-
ments of the Program. 
Once such information is available, the Secretary shall 
conduct a public awareness campaign to inform consumers 
about the Program and where to obtain additional infor-
mation. 
(g) RECORDKEEPING AND REPORT.— 
(1) DATABASE.—The Secretary shall maintain 
a database of the vehicle identification numbers of 
all new fuel efficient vehicles purchased or leased 
and all eligible trade-in vehicles disposed of under 
the Program. 
(2) REPORT.—Not later than June 30, 2010, 
the Secretary shall submit a report to the Com-
mittee on Energy and Commerce of the House of 
Representatives and the Committee on Commerce of 
the Senate describing the efficacy of the Program, 
including— 
(A) a description of program results, in-
cluding— 
(i) the total number and amount of 
vouchers issued for purchase or lease of 
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new fuel efficient automobiles by manufac-
turer (including aggregate information 
concerning the make, model, model year) 
and category of automobile; 
(ii) aggregate information regarding 
the make, model, model year, and manu-
facturing location of vehicles traded in 
under the Program; and 
(iii) the location of sale or lease; 
(B) an estimate of the overall increase in 
fuel efficiency in terms of miles per gallon, total 
annual oil savings, and total annual greenhouse 
gas reductions, as a result of the Program; and 
(C) an estimate of the overall economic 
and employment effects of the Program. 
(h) TREATMENT OF PAYMENT.— 
(1) FOR FEDERAL AND STATE PROGRAMS.—A 
voucher under this Act or any payment made for 
such a voucher pursuant to subsection (a)(3) shall 
not be considered income and shall not be considered 
as a resource for the month of receipt and the fol-
lowing 12 months, for purposes of determining the 
eligibility of the recipient (or the recipient’s spouse 
or other family or household members) for benefits 
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or assistance, or the amount or extent of benefits or 
assistance, under any Federal or State program. 
(2) FOR PURPOSES OF TAXATION.—A voucher 
under this Act or any payment made for such a 
voucher pursuant to subsection (a)(3) shall not be 
considered as gross income for purposes of the Inter-
nal Revenue Code of 1986. 
(i) DEFINITIONS.—As used in this section— 
(1) the term ‘‘passenger automobile’’ means a 
passenger 
automobile, 
as 
defined 
in 
section 
32901(a)(18) of title 49, United States Code, that 
has a combined fuel economy value of at least 22 
miles per gallon; 
(2) the term ‘‘category 1 truck’’ means a non-
passenger 
automobile, 
as 
defined 
in 
section 
32901(a)(17) of title 49, United States Code, that 
has a combined fuel economy value of at least 18 
miles per gallon, except that such term does not in-
clude a category 2 truck; 
(3) the term ‘‘category 2 truck’’ means a large 
van or a large pickup, as categorized by the Sec-
retary using the method used by the Environmental 
Protection Agency and described in the report enti-
tled ‘‘Light-Duty Automotive Technology and Fuel 
Economy Trends: 1975 through 2008’’; 
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(4) the term ‘‘category 3 truck’’ means a work 
truck, as defined in section 32901(a)(19) of title 49, 
United States Code; 
(5) the term ‘‘combined fuel economy value’’ 
means— 
(A) with respect to a new fuel efficient 
automobile, the number, expressed in miles per 
gallon, centered below the words ‘‘Combined 
Fuel Economy’’ on the label required to be af-
fixed or caused to be affixed on a new auto-
mobile pursuant to subpart D of part 600 of 
title 40 Code of Federal Regulations; 
(B) with respect to an eligible trade-in ve-
hicle, the equivalent of the number described in 
subparagraph (A), and posted under the words 
‘‘Estimated New EPA MPG’’ and above the 
word ‘‘Combined’’ for vehicles of model year 
1984 through 2007, or posted under the words 
‘‘New EPA MPG’’ and above the word ‘‘Com-
bined’’ for vehicles of model year 2008 or later 
on the fueleconomy.gov website of the Environ-
mental Protection Agency for the make, model, 
and year of such vehicle; or 
(C) with respect to an eligible trade-in ve-
hicle manufactured between model years 1978 
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through 1984, the equivalent of the number de-
scribed in subparagraph (A) as determined by 
the Secretary (and posted on the website of the 
National Highway Traffic Safety Administra-
tion) using data maintained by the Environ-
mental Protection Agency for the make, model, 
and year of such vehicle. 
(6) the term ‘‘dealer’’ means a person licensed 
by a State who engages in the sale of new auto-
mobiles to ultimate purchasers; 
(7) the term ‘‘eligible trade-in vehicle’’ means 
an automobile or a work truck (as such terms are 
defined in section 32901(a) of title 49, United 
States Code) that, at the time it is presented for 
trade-in under this section— 
(A) is in drivable condition; and 
(B) has been continuously insured con-
sistent with the applicable State law and reg-
istered to the same owner for a period of not 
less than 1 year immediately prior to such 
trade-in; and 
(C) has a combined fuel economy value of 
18 miles per gallon or less; 
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(iii) 15 miles per gallon for a category 
2 truck; 
(9) the term ‘‘Program’’ means the Cash for 
Clunkers Temporary Vehicle Trade-in Program es-
tablished by this section; 
(10) the term ‘‘qualifying lease’’ means a lease 
of an automobile for a period of not less than 5 
years; 
(11) the term ‘‘scrappage value’’ means the 
amount received by the dealer for a vehicle upon 
transferring title of such vehicle to the person re-
sponsible for ensuring the dismantling and destroy-
ing of the vehicle; 
(12) the term ‘‘Secretary’’ means the Secretary 
of Transportation acting through the National High-
way Traffic Safety Administration; 
(13) the term ‘‘ultimate purchaser’’ means, 
with respect to any new automobile, the first person 
who in good faith purchases such automobile for 
purposes other than resale; and 
(14) the term ‘‘vehicle identification number’’ 
means the 17 character number used by the auto-
mobile industry to identify individual automobiles. 
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(j) AUTHORIZATION OF APPROPRIATIONS.—There is 
authorized 
to 
be 
appropriated 
to 
the 
Secretary 
$4,000,000,000 to carry out this Act. 
Æ 
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