December 5th, 2008
03:30 PM ET
10 years ago

Senate Dems to prepare auto bailout plans this weekend

Dodd has been asked to spend the weekend working on auto bailout ideas.

Dodd has been asked to spend the weekend working on auto bailout ideas.

WASHINGTON (CNN) - A senior Democratic leadership aide tells CNN that Senate Majority Leader Harry Reid has asked Senate Banking Chairman Chris Dodd and his staff to work this weekend to prepare several options on how to help auto companies, plans Democratic will consider first thing Monday morning.

The aide gave a highly optimistic timetable, given the deep divide among lawmakers about how, and whether, to help Detroit.

“Ideally, we would reach consensus on process and substance with our caucus and Senate Minority Mitch McConnell mid-day Monday,” said the aide, who said their goal would be to schedule any necessary votes no later than mid-week.

Democratic leaders were hoping to confer with Republicans about various ideas most lawmakers are reluctant to discuss publicly.

One option that several leading Democrats are talking about is having giving the government big role in restructuring the auto companies, either with an oversight board or an individual. Some Democrats have suggested a “car czar,” and others suggest the president putting the treasury secretary in charge.

Dodd and Reid are scheduled to hold a conference call this afternoon with House Speaker Nancy Pelosi and Financial Services Chairman Barney Frank.

Filed under: Auto Bailout • Chris Dodd • Congress
soundoff (63 Responses)
  1. Over 60% of Americans are Against This

    But Congress will do it anyway because they're scared and have no backbone. Pitiful that we elect these characters but they don't do what we want.

    December 5, 2008 04:02 pm at 4:02 pm |
  2. kim, ca

    When do the American people get a bailout?

    December 5, 2008 04:02 pm at 4:02 pm |
  3. Bruce

    let them go under...if they are as strapped as they say they are then this will be a drop in the about merge all three into one...
    or better yet give us , the taxpayers a one time check and let us stimulate the economy. We would pay bills, save, invest, and buy cars, and from that letting the market work it owuld become apparent that the Big 3 do not ahve the vehicels that we want,,,,,or need...they got themselves into this ..let them get out themselves.

    December 5, 2008 04:03 pm at 4:03 pm |
  4. sandee in Portland

    Since the money given to AIG and Citibank wasn't used to loosen up credit but was used for acquisitions, I think we should just let those two companies go bankrupt and concentrate of helping companies that would actually employ people and help the economy

    December 5, 2008 04:06 pm at 4:06 pm |
  5. BO is just B.O.

    Boy, this makes me feel better. Dodd and Reid to come up with solutions? Didn't they make of movie with those two, ie. "Dumb & Dumber".

    December 5, 2008 04:07 pm at 4:07 pm |
  6. worriedmom

    We should not have Reid nor Dodd participating in anything to do with bail out. Dodd is under investigation for activity with home mortgage sweet deal and Reid is just plain looney! Maybe we should put both in a car together, let them travel for miles and miles with the heat blasting and see if Reid likes the smell then!

    December 5, 2008 04:09 pm at 4:09 pm |
  7. mb

    Where are the republicans? This needs to be worked out with all parties.

    December 5, 2008 04:17 pm at 4:17 pm |
  8. No Incumbents 2010

    Even though the majority of Americans do not want a bail out.
    Taxation without representation!

    Kick 'em all out!

    December 5, 2008 04:19 pm at 4:19 pm |
  9. Armando

    Dodd, Pelosi, and Reid, not to mention most of the leading house repubs should be in prison. If an arson sets fire to your house are you going to call him to help you put it out? That's basically the same thing we are doing now.

    December 5, 2008 04:22 pm at 4:22 pm |
  10. lonnette33

    Amazing there are no comments on this story. I'm sure CNN is holding back the comments due to bias for the bailout.

    NewFlash: Americans don't want the bailout. But of course Congress is going to approve the funds anyway. Pelosi and Reid leading the way. I am speechless. These guys just don't get it.

    December 5, 2008 04:24 pm at 4:24 pm |
  11. Frank

    The auto industry Must be saved, period! Any company, any, who had a 33% down turn in business can not survive. The turn down in business was because of their products, people who want to buy cars simply can't auto loans. The banks who caused our economic problems get money without any problem, yet the companies that the banks caused to go under get no money. What's wrong with this picture? Unlike the banks who got a true bailout, the auto companies are asking for a LOAN. Isn't time that Congress helped blue collar America as much as they help white collar America? So wake up, the loss of jobs will be much higher than the 3 million people involved in the auto industry. When 3 million people can no longer purchase goods, it affect drugstores, bakeries, hardware stores, grocery stores, gift shops, etc. etc. The list is endless, so the true loss of jobs will be closer to 10 million! America can not afford to let the Big 3 fail!!

    December 5, 2008 04:31 pm at 4:31 pm |
  12. No Incumbents 2010

    Hey Frank I can't pay my light bill this month can someone bail me out? Hey Frank I gambled away my money making stupid decisions, can someone bail me out? Hey Frank someone sold cars cheaper and more fuel efficient and everyone bought them forcing me to lose money, can someone bail me out?

    December 5, 2008 04:43 pm at 4:43 pm |
  13. AdamW

    Don't do it Dodd!

    If you bail out these fools you will never be reelected!

    Let them crash and burn like you would let any other common man business.

    December 5, 2008 04:43 pm at 4:43 pm |
  14. Nimi from NY

    I don't understand how the banks had easy access to the bail out money and the autor makers have to sweat so hard to get theirs. The banks don't have as much laborers as the the autor makers. So for them to get the money when they don't produce anything and the auto makers do is beyond me. Every year we lose jobs to the rest of the world, we've lost our competitive edge and now the government wants the only remaining companies to fail and people to lose their jobs. If this happens, no matter who is running for office the next time, will surely lose Michigan and Ohio. People ought to make a political statement on this issue in the next four years.

    December 5, 2008 04:44 pm at 4:44 pm |
  15. proudliberal

    i thought the bailout for the financial institutions was supposed to free up credit. why cant one of them fatcat banks give em a line of credit?

    December 5, 2008 04:44 pm at 4:44 pm |
  16. Matt

    Please include the following language somewhere:

    "Prior to release of said Baoilout Funds, said Executives must don pink tutus and fairy wings, then sing and dance the teacup song on the Capitol steps for 40 days and 40 nights"

    December 5, 2008 04:45 pm at 4:45 pm |
  17. Cori from Colorado

    I hope the Big 3 fail, they shouldn't get a dime! America is strong and will bounce back from this crisis. I'm not in favor of supporting a failing business, not at the expense of hard working taxpayers like myself.

    December 5, 2008 04:47 pm at 4:47 pm |
  18. California Gold

    I think it would be prudent to add this to President Obama's New Year's "To Do" List. Don't be so hasty and loose with the purse strings Congress!

    December 5, 2008 04:50 pm at 4:50 pm |
  19. gt


    December 5, 2008 04:52 pm at 4:52 pm |
  20. ED FL

    Is this Chrysler CEO the same Nardelli that made so much money at home Depot then left a screwed up [once proud buisness] organization that is a pitiful example of how not to run a buisness and bought up good profitable businesses that have turned into flops in the real world. let Chrysler go down the tubes and maybe someone with standards necessary to make and sell a decent product.

    December 5, 2008 05:00 pm at 5:00 pm |
  21. jack

    Why not let the Big 3 go chapter 11, reorganize union contracts, cut dealers and then come back stronger than before. The airlines used bankruptcy and people didn't stop flying. Why can't the car companies use the courts? I do not buy their argument that people will be afraid to buy their product. We are afraid to buy their product because it will not last. Who can afford to buy a new car and make repairs that are larger than the monthly payment. Most Americans that's who. Wake up Detroit, when you can build a car that will not see the service garage for 4 years after you drive off the lot, then you will have Americans flooding back to your dealerships.

    December 5, 2008 05:00 pm at 5:00 pm |
  22. Rachel

    In answer to the question "Where are the Republicans" They are still trying to figure out what happened in the election. I suppose now they are working on 2012. They didn't do anything for 8 years why should they start earning their keep now?

    December 5, 2008 05:02 pm at 5:02 pm |
  23. Dave, Central Illinois

    Dodd in charge? You can thank him and old bathhouse Barney Frank for their part in the mess we are in. Good Lord, we are scr$w$d!

    December 5, 2008 05:08 pm at 5:08 pm |
  24. be blessed


    December 5, 2008 05:10 pm at 5:10 pm |
  25. J.C.

    There is a lot of emotion out there against the bailout. We want to help, but don't want to be laughed at by the CEOs on Wall Street after receiving our bailout money. What exactly do the big three plan to do with this bailout money? We want to know the plan.

    And, we must get rid of at least one out of three. We cannot afford to keep three unproductive companies, period. It would be more productive to move these auto workers to work on infrastructure than keeping them in an unwanted industry. I would love to buy American. But who wants to buy a car with more troubles and less fuel efficiency? The White House is absolutely right. The big three have to work on energy efficient cars and stop producing more unwanted cars.

    December 5, 2008 05:15 pm at 5:15 pm |
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