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Latest auto aid plan drops ban against emissions lawsuits



There's a new version of the federal financial rescue legislation for the auto industry just released. It appears to have dropped the provision to block recipients of the aid from suing the states attempting to impose their own emission standards more restrictive than the federal standards. (See earlier post.)

The text of the legislation ishere, posted at the site of the Senate Conservative Fund.

UPDATE (2:10 p.m.): In a White House briefing this morning, Deputy Chief of Staff Joel Kaplan said he expected the controversial provision to go away. Relevant comments below.


Q Joel, what about the measure that would block the automakers from suing states over their tough emissions standards? We were hearing last night that was expected to be out; we're hearing different things from the Hill today.

MR. KAPLAN: I'll tell you the truth, we haven't spent a lot of time negotiating on that provision because we've just let the Democratic leadership know that there's -- we don't believe there's any chance that the legislation passes if that provision remains in. I do not expect that that provision will remain in when it reaches the floor of the respective bodies. If it does remain in when it reaches the floor of the respective bodies, I do not expect it would emerge successfully from the floor of the respective bodies. We've made that clear. I think it is clear, and as I said, we've not seen final text of legislation.

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Rafael Mangual
Project Manager,
Legal Policy
rmangual@manhattan-institute.org

Katherine Lazarski
Manhattan Institute
klazarski@manhattan-institute.org

 

Published by the Manhattan Institute

The Manhattan Insitute's Center for Legal Policy.