House paves way to auto bailout

WASHINGTON — The House passed a $15 billion auto bailout bill Wednesday, but a key supporter saw trouble ahead in the Senate.

"I don't think the votes are there," said Sen. George Voinovich, R-Ohio, a backer of the measure. Earlier in the day, several GOP critics lambasted the bill as not going far enough in requiring changes, even though the White House supports it.

"This is only delaying their funeral," Sen. Richard Shelby, R-Ala., said of the carmakers.

All three of Utah's House members voted against the bill — Reps. Jim Matheson, D-Utah, and Rob Bishop and Chris Cannon, both R-Utah.

Matheson was one of just 20 Democrats who opposed the bill. "I am very concerned about the federal government bailing out one industry after another," he said. "Where do you stop?"

He added, "I don't think this addresses the underlying problems with the industry."

Bishop said, "It's frustrating because I want to help automakers out" — but he added that the bill for him simply contained too many problems to support.

"I just came from a seminar where we talked about how we could save the industry, and most of us agreed about what should be done, but this bill includes none of that. With this, they will be back in the same situation in March," Bishop said. "And none of us (Republicans) saw the bill until 20 minutes before debate."

Cannon could not immediately be reached for comment.

Democrats and the Bush White House hoped for a Senate vote as early as Thursday and enactment by week's end. They argued that the loans authorized by the measure were needed to stave off disaster for the auto industry — and a crushing further blow to the reeling national economy.

The legislation would provide money within days to cash-starved General Motors Corp. and Chrysler LLC. Ford Motor Co., which has said it has enough to stay afloat, would also be eligible for federal aid.

Republicans were preparing a strong fight against the aid plan in the Senate, not only taking on the Democrats but standing in open revolt against their party's lame-duck president on the measure.

The Republicans want to force the companies into bankruptcy or mandate hefty concessions from autoworkers and creditors as a condition of any federal aid. They also oppose an environmental mandate that House Democrats insisted on including in the measure.