Another $30 Million In Stimulus Money Down The Failed Green Company Drain

Lather. Fail. Repeat.

Critics of Democrats calling for additional subsidies for electric vehicles are pointing to the financial troubles of one stimulus-backed car producer that just announced it is closing its U.S. plant.

Missouri-based Smith Electric Vehicles said this week that it is suspending operations in the United States due to a “tight cash-flow situation.”

Its financial troubles came despite nearly $30 million in funds from the Department of Energy (DOE) granted to the company through President Barack Obama’s 2009 stimulus package.

“You’re setting a model for what we need to be across this country,” Obama said when he visited Smith’s Kansas City production facilities in 2010.

“You’re doing more than just building new vehicles,” Obama said. “You are helping to fight our way through a vicious recession and you are building the economy of America’s future.”


In the minds of the politicians who support these taxpayer funded greendoggles, these businesses should work simply because they want them to work. The Democrats are the anti-economics and anti-real world party and just can’t factor in the presence of reality to any of their legislative lunacy. If you’re propping an industry that has no firm foundation, you’re going to have to continue to do so (not that I want to give them any ideas) indefinitely or market realities show up.

“We didn’t see value in continuing to build a small number of vehicles at the price point we were,” said Hansel, who noted that despite federal support the company was manufacturing vehicles at a loss.

Of course when things like price points and production costs are mentioned, the average Democrat legislator-and especially this president-don’t understand a single word.

Because hey-free money, right?




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