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Knollenberg Announces Innovative Plan to Help Grow the New Michigan Economy
Bold Legislation Will Help Auto Industry Meet CAFE Standards


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Troy, MI, Apr 29 - Joined by leaders of the Big 3 automakers, Oakland County Executive L. Brooks Patterson and Automation Alley Executive Director Ken Rogers, Congressman Joe Knollenberg today announced a bold new plan that would help stimulate Michigan’s struggling economy and help the auto industry meet the new federal CAFE standards.

“There’s no question that Michigan needs all the economic help it can get,” said Knollenberg.  “Unfortunately, all Michigan’s gotten to date from the federal government is more job-threatening regulations. My plan changes that.  It provides an economic boost to our state, encouraging both the auto makers and the smaller suppliers to innovate.  It rewards investments in alternative fuel technologies, and it helps the auto makers meet the CAFE standards, which are an unfunded federal mandate.”

Knollenberg added, “My goal is to help make Michigan the world leader in automotive innovation.”

Leaders of the Big 3 automakers were quick to lend their voices in support of the Congressman’s bill:

“Congressman Knollenberg's proposal would provide critical help to the auto industry as we meet the challenges of moving forward with advanced power trains in the midst of intense global competition,” said Charlie Pryde, Director of Government Relations, Ford Motor Company.

Added Robert Babik, Director of Emissions, Environment and Energy for General Motors: “As GM continues to improve vehicles efficiency, reduce oil dependency and reduce environmental impacts, hydrogen infrastructure and advanced battery development are crucial to future innovation.  Congressman Knollenberg’s plan will greatly accelerate market acceptance of advanced technology and alternative fuels.”

“Expanding the tax credit to cover our research and development on alternative fuels, as Congressman Knollenberg suggests, is one of the most important steps Congress could take,” said Fred Hoffman, Director of Government Relations, Chrysler LLC.

Also lending their praise were County Executive L. Brooks Patterson and Automation Alley Executive Director Ken Rogers.

Said Patterson: “Joe Knollenberg knows exactly what we need.  Oakland County is perfectly positioned to take advantage of his plan.”

Added Rogers: “Our mission is to drive the growth of Southeast Michigan’s technology economy, and we’re succeeding.  Knollenberg’s plan will be a huge help.”

Highlights of the legislation include: 

  • making the research and development (R&D) tax credit fully refundable for companies engaging in advanced fuel technology R&D.  This would benefit both the auto makers and smaller automotive suppliers who are working on advanced fuel technologies. 
  • providing support for advanced battery research, one of the most promising alternative fuel options.
  • creating two hydrogen fuel station pilot programs, with a goal of at least 200 publicly available pumps at currently existing retail gas stations by 2013.   In addition, instructing the federal government to invest in a hydrogen-fueled automotive fleet.
  • requiring the EPA to streamline protocols and regulations on biodiesel, allowing a harmonized blend useable in all biodiesel-compatible engines.
  • establishing an inter-agency federal taskforce on CAFE standards, which would focus on ensuring reasonable goals are being set and reasonable assistance is being provided by the federal government to the automakers.  This streamlining of government will ensure better use of taxpayer dollars and greater government efficiency.

The Knollenberg plan is the first-of-its-kind targeted at helping the auto industry and Michigan’s struggling economy.  The attached fact sheet includes more details on each of the proposals included in the Knollenberg plan.

A small business owner, PTA president, homeowner association president, and parish leader, Congressman Joe Knollenberg has been a citizen leader in Oakland County for the better part of three decades. He was first elected to Congress in 1992 and is a senior member of the House Appropriations Committee.

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