La. delegation mixed on bailout

• By GERARD SHIELDS
• Advocate Washington bureau
• Published: Dec 10, 2008 - Page: 2A - UPDATED: 12:05 a.m.

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WASHINGTON — The majority of Louisiana’s congressional delegation polled Tuesday say they are leaning against supporting the $15 billion federal bailout of the nation’s Big Three automakers.

Delegation opponents of the plan, which could be up for a vote as early as today, say it fails to require reforms to make General Motors, Ford and Chrysler operate better.

“They had the chance to make the companies viable and they didn’t do it,” said U.S. Rep. Rodney Alexander, R-Quitman. “Now they want the taxpayers to bail them out.”

Supporters of the proposal, however, say the measure is needed to keep the nation’s economy from continuing to slip. The car companies say that without the support, they could be out of business by March.

“It is likely that one of these auto makers would cease to exist, and during these tough economic times, that is unacceptable,” said U.S. Rep. Jim McCrery, R-Shreveport.

Republican U.S. Sen. David Vitter voted against the $700 billion bailout of the nation’s financial industry earlier this year.

Vitter said he will vote against aiding the auto industry for the same reason — lack of reforms in the industry.

In particular, Vitter opposes the appointment of a federal “czar” by the president to oversee the auto industry.

It would “politicize management decisions when they should be based purely on business engineering,” Vitter said.

Democratic U.S. Rep. Charles “Charlie” Melancon, of Napoleonville, said that members of Congress may have no choice but to aid the auto industry.

The troubles for the companies will trickle down to the dealerships, and Louisiana has 18,000 employees in car dealerships alone, Melancon said.

“If we go home and they are allowed to go under then all of the GM, Ford and Chrysler dealerships go with them,” Melancon said.

Republican U.S. Rep. Steve Scalise, of Metairie, also voted against the financial industry bailout. As of yet, that bailout has failed to aid the firms it was targeted to help, he contends.