Corker: Take ‘clunker’ extension out of stimulus funds

The $2 billion extension to the “cash for clunkers” program should be taken out of the money set for the stimulus program, Sen. Bob Corker (R-Tenn.) urged Monday.

Corker, who’s made a mark in the Senate for his work on the automotive bailouts, said that the Senate should take the money to extend the program out of the $787 billion stimulus passed earlier this year.

“If this is something we can take from the $787 billion stimulus plan — some of which won’t be spent for three or for years — and use it today in a way that it’s paid for, I would support it,” he said during an interview on CNBC.

The House extension of cash for clunkers last week takes the $2 billion out of the $25 billion in loans to the auto industry through the Department of Energy approved by Congress last year.

The Senate is expected to act on the appropriation this week. Transportation Secretary Ray LaHood warned this weekend the program would have to be suspended next week if the Senate failed to act before adjourning for the August recess.

But the bill may not have smooth sailing ahead.

Sen. John McCain (R-Ariz.) said he’d oppose the extension, and Corker said he’d vote against it as well “if it’s just adding another $2 billion to our debt.”