Tuesday, July 28, 2009

Cash for Clunkers Program 2009-- Green Giant Government at your service

Cash for Clunkers Program 2009-- Green Giant Government at your service
Just when you think you may have heard enough of the Green Giant Government Cash for Clunkers program-- you might as well get comfortable because there's still 135 more pages to discuss.

What matter is it that the EPA has determined that your perfectly functional car is a clunker? Fret not because the more you read of the Cash for Clunkers program-- the better it gets.

Well, better unless you own or work at a car dealership because now "dealers must disable the trade-in vehicle’s engine prior to transferring the vehicle to a disposal facility" because

"the agency believes that the statutory interest in ensuring that the vehicle is not returned to use on the road in this or any other country is largely met before it leaves the dealer’s possession. Prior engine disablement reduces the likelihood that a trade-in vehicle will be returned to use as an on-road automobile."

Never mind that these cars function perfectly as, well-- cars. Meh, who needs them? Crush 'em and shred 'em.

"The CARS Act specifies that while many parts of the trade-in vehicle are permitted to be removed and sold, in the end the residual vehicle, including the engine block, must be crushed or shredded. Therefore, the trade-in value of the vehicle is not likely to exceed its scrap value."

Miami City Buzz Examiner conducted a telephone interview with a local Miami car dealership to specifically garner feedback on the new NHTSA CARS rule. Aside from conveying the massive difficulties that he and other dealerships are experiencing logging into and using the government's website system for trade-ins (See U.S. News & World Report), the dealership representative (who asked to remain anonymous) responded that the 136-page document was "pedantic and very comprehensive".

Could he have been referring to this?

"The agency has decided to implement this process in the rule, requiring a dealer that receives an eligible trade-in vehicle under the CARS program to disable that vehicle’s engine prior to transferring the vehicle to a disposal facility, and to provide a certification to the agency that it has done so at the time the dealer submits its request for reimbursement. Section 599.300(d)(2) specifies the requirement for the dealer to disable the engine, Appendix B sets forth, in a simple and precise manner, the procedures that the dealer must follow to disable the engine and the workplace precautions that should be taken, and Appendix A, certifications section, contains the required dealer certification.
The rule contains one exception to the general requirement that the dealer disable the engine prior to transferring the vehicle to the disposal facility. With regard to transactions that occurred prior to the effective date of this rule, the dealer may have (17 Expert Report of Margaret H. Whittaker, Ph.D., M.P.H., D.A.B.T., July 23, 2009.43) already transferred the vehicle to a disposal facility, whether or not using a salvage auction to transfer the vehicle. In that case, the rule permits the dealer to locate the vehicle at the disposal facility and either disable the engine at that location or, if the vehicle, including the engine block and drive train (unless the transmission, drive shaft, and rear end are sold separately), has already been crushed or shredded, to obtain proof, in the form of the affidavit, from the disposal facility that the crushing or shredding has occurred. Section 599.300(e) implements this exception. The agency is making this allowance only to accommodate dealers who, rather than waiting for the final rule to be issued as the agency had advised, proceeded to conduct transactions that were otherwise completely in accordance with this final rule. Dealers should note that all other requirements of this rule, except for the disposal facility certifications, apply to these transactions."

Yet another controversial issue surrounding the Cash for Clunkers program is how both the Institute of Scrap Recycling Industries (ISRI) and the Automotive Recyclers Association (ARA) have argued against new guidelines requiring dealerships to use sodium silicate in disabling engine blocks.

The Automotive Recyclers Association (ARA), which represents more than 4,500
scrap and junk yards, contends that

"the use of sodium silicate will damage more than the engine block and jeopardize the resale of parts such as pistons, cams, and cylinder heads."

The ISRI who represents, among others, companies that shred vehicles that have previously been crushed, either at their facility or at another disposal facility that lacks a shredder--.
states that

"the use of sodium silicate could pose hazards to workers at shredders and could cause certain metals to corrode, which could lead to excess metal ions in storm water runoff, which in turn could make storm water compliance more challenging."

Thankfully, the NHTSA was able to debunk the concerns of both organizations.

Here's what car dealerships must now do to execute EPA-defined clunkers:

Engine Disablement Procedures for the CARS Program
THIS PROCEDURE IS NOT TO BE USED BY THE VEHICLE OWNER
Perform the following procedure to disable the vehicle engine.
Since the vehicle will not be drivable after this procedure is performed,
consider where the procedure will be performed and how the vehicle
will be moved after the procedure is complete.
1. Obtain solution of 40% sodium silicate/60% water. (The Sodium Silicate
(SiO2/Na2O) used in the solution must have a weight ratio of 3.0 or greater.)
2. Drain engine oil for environmentally appropriate disposal.
3. Install the oil drain plug.
4. Pour enough solution in the engine through the oil fill for the oil pump to
circulate the solution throughout the engine. Start by adding 2 quarts of the
solution, which should be sufficient in most cases.
CAUTION: Wear goggles and gloves. Appropriate protective clothing
should be worn to prevent silicate solution from coming into contact with the
skin.
5. Replace the oil fill cap.
6. Start the engine.
7. Run engine at approximately 2000 rpm (for safety reasons do not operate at
high rpm) until the engine stops. (Typically the engine will operate for 3 to 7
minutes. As the solution starts to affect engine operation, the operator will
have to apply more throttle to keep the engine at 2000 rpm.)
8. Allow the engine to cool for at least 1 hour.
9. With the battery at full charge or with auxiliary power to provide the power of
a fully charged battery, attempt to start the engine.
10. If the engine will not operate at idle, the procedure is complete.
11. If the engine will operate at idle, repeat steps 6 through 10 until the engine
will no longer idle.
12. Attach a label to the engine that legibly states the following:
This engine is from a vehicle that is part of the Car Allowance Rebate
System (CARS). It has significant internal damage caused by operating
the engine with a sodium silicate solution (liquid glass) instead of oil.

The Miami dealership who discussed the Cash for Clunkers program with Miami City Buzz Examiner has also weighed-in on the use of sodium silicate to disable car engines. He explained how one of the servicemen vows that plain old Karo syrup would have worked much better to render engines inoperative-- being both cheaper and safer.
Caution: Karo syrup has not been scientifically proven nor endorsed by the Green Giant Government; neither has it been approved for car engine decimation. But, the corn-based Karo syrup does make for delicious pecan pie-- the kind that doesn't require appropriate protective clothing to eat.

___________________________

Photo: Transportation Secretary Ray LaHood, Monday, July 27, 2009, promoting a car buyer incentive program designed to help consumers purchase new fuel efficient vehicles if they trade in their old gas-guzzling cars or trucks.

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