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Clunker rebates wind down

| August 22, 2009 12:00 AM

The Daily Inter Lake

Some local car dealers close out early

Local car dealers are working toward Monday's Cash for Clunkers deadline, with some dealerships closing out the federal rebate program early to process the necessary paperwork.

Glacier Subaru closed out the federal incentive program on Friday, sales manager Tony Baker said.

It's been a little painstaking trying to get the paperwork processed, said Baker, who anticipated spending the weekend filing the needed paperwork.

But he deemed the program a pretty good success, with Glacier Subaru selling 32 vehicles.

The $3 billion federal incentive program to buy new, fuel-efficient vehicles in exchange for older-model gas hogs has been wildly popular with buyers, but dealers have struggled with delays in getting reimbursed.

The federal Transportation Department cautioned dealers about making sales this weekend, advising them to make sales only when the buyer's paperwork is clearly in order and can be submitted immediately for repayment, according to the Associated Press.

The government's online reimbursement system was flooded with requests shortly after the program began in late July, overwhelming the computer system. That led to delays for dealers trying to submit paperwork they needed to get reimbursed for the rebates.

Kari Dodge initially contemplated closing out the clunker rebates on Friday, but at press time was evaluating whether to continue through the weekend, according to interim general manager Anne Elmore.

Elmore said she had spent 2 1/2 hours on Friday trying to get on the jammed-up Web site. Kari Dodge sold nine vehicles in exchange for clunkers, while Kari Hyundai sold roughly the same number, she said.

Eisinger Motors will continue with the program through noon on Monday, general manager Greg Eisinger said.

It's been very good, he said. We've sold a lot of cars.

As of Friday, Eisinger had sold 70 new vehicles in exchange for clunkers.