Congress Will Demand More Fuel Efficiency from Detroit

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Finally, finally, Congress is set to act to demand that American automakers improve the fuel efficiency of their cars and trucks. The Senate is expected to vote in the next two weeks on a bill demanding an average fuel efficiency of 35 miles per gallon by 2020. Left to their own devices since 1985, the automakers have been in reverse: 1987 model-year vehicles averaged 26.2 miles per gallon; last year’s fleet averaged 25.4 mpg. Clearly, know-how is not the problem.

But the automakers will say any old thing to avoid changing, even when their declining market share suggests that, from a purely financial perspective, change is necessary. GM’s chief begged lawmakers to be “responsible” so as not to “disadvantage the domestic industry.” Yet it may well be the lack of fuel efficiency that has put Detroit at a disadvantage in recent years relative to Japanese automakers Honda and Toyota.

GM also lashed out against CAFE, charging that the law “has not accomplished what it set out to do,” because American fuel consumption has continued to increase. Here again, lies, bloody lies. The auto industry has lobbied continuously and aggressively against strengthening fuel standards since they were first introduced. And, they’ve backslid from the efficient cars they made in the 70s and 80s.

Democratic Sen. Byron Dorgan (N.D.) reportedly gave the Big Three the schooling they’ve long needed. “We protected you from CAFE and you lost market share, jobs and money anyway.” (GM, Ford and Chrysler lost a combined $16 billion last year and put thousands of Americans out of their jobs.) “You’ve lost,” Dorgan said. “Your position is yesterday forever.”

Good riddance.

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WE'LL BE BLUNT

It is astonishingly hard keeping a newsroom afloat these days, and we need to raise $253,000 in online donations quickly, by October 7.

The short of it: Last year, we had to cut $1 million from our budget so we could have any chance of breaking even by the time our fiscal year ended in June. And despite a huge rally from so many of you leading up to the deadline, we still came up a bit short on the whole. We can’t let that happen again. We have no wiggle room to begin with, and now we have a hole to dig out of.

Readers also told us to just give it to you straight when we need to ask for your support, and seeing how matter-of-factly explaining our inner workings, our challenges and finances, can bring more of you in has been a real silver lining. So our online membership lead, Brian, lays it all out for you in his personal, insider account (that literally puts his skin in the game!) of how urgent things are right now.

The upshot: Being able to rally $253,000 in donations over these next few weeks is vitally important simply because it is the number that keeps us right on track, helping make sure we don't end up with a bigger gap than can be filled again, helping us avoid any significant (and knowable) cash-flow crunches for now. We used to be more nonchalant about coming up short this time of year, thinking we can make it by the time June rolls around. Not anymore.

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Getting just 10 percent of the people who care enough about our work to be reading this blurb to part with a few bucks would be utterly transformative for us, and that's very much what we need to keep charging hard in this financially uncertain, high-stakes year.

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