WASHINGTON — Congressional Democrats pushed forward Thursday with a rescue package to pump $25 billion in new emergency loans into U.S. automakers, but a top senator said the package lacked the support to pass.
Senior Democrats are drafting legislation that would carve out part of the $700 billion Wall Street bailout for loans to the three major U.S. auto companies in exchange for a government ownership stake. They hope to push the measure through during a post-election session of Congress next week.
But the idea is running into resistance from congressional Republicans and President Bush.
“Right now, I don’t think there are the votes. I don’t know of a single Republican who’s willing to support” the auto bailout, said Sen. Chris Dodd, D-Conn., chairman of the Senate Banking Committee.
Dodd, who said he backed the idea, cautioned against “bringing up a proposition that might fail” and appeared to suggest that Congress wait until President-elect Barack Obama is sworn in Jan. 20 to provide further help to carmakers.
The financial-industry bailout gives the government power to help the auto industry, Dodd said, and “under an Obama administration, there seems to be a greater willingness to deal with the issue.”
