In Boost for Detroit, Obama to Buy Fuel-Efficient Fleet (17,600 of 'em!) for Uncle Sam

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In Boost for Detroit, Obama to Buy Fuel-Efficient Fleet for Uncle Sam

By Kendra Marr
Washington Post Staff Writer
Friday, April 10, 2009; Page A12


President Obama yesterday announced plans to buy 17,600 American-made, fuel-efficient cars and hybrids for the government fleet, the White House's latest gambit to steer aid to the nation's beleaguered automakers.

The move came in a week when the administration accelerated efforts to revive an industry suffering it lowest sales in decades. Earlier this week Obama dispatched a team of 15 finance experts to Detroit to work with General Motors and Chrysler on restructuring efforts. On Wednesday, the Treasury Department began to release $5 billion in aid to parts suppliers. And yesterday Ed Montgomery, the president's new adviser on auto communities and workers, visited Ohio to discuss what assistance might be needed there.

By June 1, the government plans to spend $285 million in stimulus funds to buy fuel-efficient vehicles from General Motors, Ford and Chrysler. The purchase is slated to include 2,500 hybrid sedans, the largest one-time purchase of hybrid vehicles to date for the federal fleet.

"This is only a first step, but I will continue to ensure that we are working to support the American auto industry during this difficult period of restructuring," Obama said in a statement.

Each vehicle must have a better fuel economy rating than the one it replaces. The government aims to boost the new fleet's overall fuel efficiency at least 10 percent.

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http://www.washingtonpost.com/wp-dyn/content/article/2009/04/09/AR2009040904319.html