CA Legilative Inquiry

[cookiedan@domain.elided (Daniel Nees)]

From SEMA
==========================

Legislature Demands Answers;
Merits of Scrappage Program Challenged
Based on information submitted by SEMA, the Specialty Equipment Market
Association, and State Senator Maurice Johannessen, the California
Department of Consumer Affairs must answer tough questions about funding
for old-vehicle scrappage programs. California is poised to spend as
much as $60 million to buy and destroy older cars under a plan that SEMA
and other opponents say is flawed and may actually result in increased
emission levels. 
Amended budget report language requires DCA officials to prepare a
report concerning funding for vehicle scrappage programs, one in which
several explanations are provided, including: (1) the level of fraud in
the program; (2) the level of emission reductions expected to accrue;
(3) the amount of money that will be spent; (4) the number of vehicles
that will be scrapped; and (5) the date the program is to begin. 
The Department of Consumer Affairs report was due March 1, 1999. 
The report provision is considered a milestone by SEMA staff and Senator
Johannessen, who have led opposition to California scrappage programs
for a number of years. According to the Senator, "The bill represents
the first time California legislators have looked carefully at the facts
about scrappage. They are now questioning the misguided programs.
California should not spend another cent of taxpayer money until we know
whether the programs can reduce any emissions at all." 
"SEMA has long been concerned that scrappage programs needlessly destroy
potential restoration vehicles and parts while relying on
computer-modeled assumptions that fail to verify whether any emission
reductions occur," stated SEMA President Charles R. Blum. "Many will
readily agree that the old-car buyback programs unfairly penalize the
poor, those to whom a later model, more expensive vehicle is out of
reach due to financial constraints." 
Blum also noted that the scrappage programs are contrary to certain
ecological concerns, among them the value of recycling. "Parts from both
old and recent model vehicles are routinely reconditioned and sold as
replacements for worn-out components-it is a valuable feature of
recycling that is commonly overlooked," he said. 
For more information, contact Frank Bohanan at SEMA, 909/396-0289,
extension 149. 

_____Dan Nees_____
cookiedan@domain.elided

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