Elio Amazed
Elio Addict
- Joined
- Jun 30, 2014
- Messages
- 3,507
- Reaction score
- 4,630
"Congress funded the program in 2009, when it appropriated
$7.5 billion to cover the subsidy cost for the $25 billion in loans, as well as $10 million for
program implementation. Since the start of the program, DOE has awarded $8.4 billion in loans
to five companies (Fisker, Ford, Nissan, Tesla, and the Vehicle Production Group). As of January
2015, ATVM has $16.6 billion in remaining loan authority. No new loans have been made since
2011. Two companies—Fisker and the Vehicle Production Group—were unable to make
payments on their loans, and DOE auctioned the loans off in the fall of 2013. Tesla paid off all of
its loan in 2013, nine years ahead of schedule."
"In April 2014, DOE announced a number of changes that appear designed to refocus the program
to assist vehicle component manufacturers, rather than the vehicle assemblers that have received
prior ATVM loans. As of January 8, 2015, however, no new loans have been made.
Appropriations for the program do not cover the entire value of the loans but instead cover the
“subsidy cost” (i.e., the risk of default). For the original appropriation, Congress assumed a
subsidy rate of 30%, meaning that $7.5 billion would be sufficient to fund $25 billion in total loan
value. A report by the Government Accountability Office (GAO) estimates that a total of $3.3
billion in subsidy costs has been paid to date, with approximately $4.2 billion unobligated."
"The ATVM program was established in 2007 and funded in 2009. In the fall of 2011, it was
discussed in Congress in the context of using a reduction in the program as an offset to proposed
increased funding for disaster relief in the FY2012 Continuing Resolution. Ultimately, Congress
did not reduce ATVM funding and the program remains as originally authorized and funded,
although two recent reports have called for the unused funds to be rescinded."
The full Congressional Research Service Document is at... https://fas.org/sgp/crs/misc/R42064.pdf
It contains some of those pesky irrelevant details...
$7.5 billion to cover the subsidy cost for the $25 billion in loans, as well as $10 million for
program implementation. Since the start of the program, DOE has awarded $8.4 billion in loans
to five companies (Fisker, Ford, Nissan, Tesla, and the Vehicle Production Group). As of January
2015, ATVM has $16.6 billion in remaining loan authority. No new loans have been made since
2011. Two companies—Fisker and the Vehicle Production Group—were unable to make
payments on their loans, and DOE auctioned the loans off in the fall of 2013. Tesla paid off all of
its loan in 2013, nine years ahead of schedule."
"In April 2014, DOE announced a number of changes that appear designed to refocus the program
to assist vehicle component manufacturers, rather than the vehicle assemblers that have received
prior ATVM loans. As of January 8, 2015, however, no new loans have been made.
Appropriations for the program do not cover the entire value of the loans but instead cover the
“subsidy cost” (i.e., the risk of default). For the original appropriation, Congress assumed a
subsidy rate of 30%, meaning that $7.5 billion would be sufficient to fund $25 billion in total loan
value. A report by the Government Accountability Office (GAO) estimates that a total of $3.3
billion in subsidy costs has been paid to date, with approximately $4.2 billion unobligated."
"The ATVM program was established in 2007 and funded in 2009. In the fall of 2011, it was
discussed in Congress in the context of using a reduction in the program as an offset to proposed
increased funding for disaster relief in the FY2012 Continuing Resolution. Ultimately, Congress
did not reduce ATVM funding and the program remains as originally authorized and funded,
although two recent reports have called for the unused funds to be rescinded."
The full Congressional Research Service Document is at... https://fas.org/sgp/crs/misc/R42064.pdf
It contains some of those pesky irrelevant details...
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