Goshen — Any doubts about the Obama administration's vehicle trade-in program, "Cash-for-Clunkers," were swiftly dispelled with its launch this week.

Goshen — Any doubts about the Obama administration's vehicle trade-in program, "Cash-for-Clunkers," were swiftly dispelled with its launch this week.

"I think this is the best thing that could have happened to everyone: It's helping the taxpayer, it's helping the environment and it's going to help the economy," said Lou Roselli, general manager for Healey Chevrolet-Buick in Goshen, which has already made 10 deals through the program.

The $1 billion program, launched Monday, offers rebates of $3,500 or $4,500 from car dealerships when you trade in your old vehicle and buy or lease a new one.

The program has caught fire nationally, a trend echoed in the Hudson Valley, according to interviews with a half-dozen dealerships.

In fact, the program might be working too well. The White House announced Thursday night that it was reviewing the plan amid concerns the program's $1 billion budget may have been exhausted in only a week, The Associated Press reported.

Transportation Department officials called lawmakers' offices earlier Thursday to alert them to plans to suspend the program as early as Friday. But a White House official said later the program had not been suspended.

"We are working tonight to assess the situation facing what is obviously an incredibly popular program," White House Press Secretary Robert Gibbs said. "Auto dealers and consumers should have confidence that all valid CARS transactions that have taken place to date will be honored."

Paul Healey, co-owner of six car dealerships in the Hudson Valley, said he has been more than surprised by the success of the program. "I honestly didn't think it was going to have the response that it had, but it's really producing the results that Congress had anticipated," he said.

Healey began advertising the trade-in program before its launch this week, giving him a huge jump start. His six dealerships have already finished some 90 deals with customers, creating a back log worth roughly $360,000 that has yet to be delivered by the government, he said.

"It's stimulated quite a lot of customers," said Fred DeRise Sr., owner of Heart Chevrolet-Volkswagen in Kingston, which has already made 20 deals under the program after seeing sales drop 25 percent since last year.

Many of the new customers are trading in used cars for the dealership's top fuel-efficient models, such as the Volkswagen Jetta TBI, a diesel-injected car that gets an average 40-plus miles per gallon on the highway, DeRise said.

Through late Wednesday, 22,782 vehicles had been purchased nationwide through the program and nearly $96 million had been spent, AP reported.

A survey of 2,000 dealers by the National Automobile Dealers Association found about 25,000 deals had not yet been approved by NHTSA, said AP. It raised concerns that with about 23,000 dealers taking part in the program, auto dealers might already have surpassed the 250,000 vehicle sales funded by the $1 billion program, AP added.

Middletown's Fulton Chevrolet Cadillac owner John Worts decried the red tape involved with the trade-ins. Deals take 10 days to be approved by the government, which holds up cash flow at dealerships that must offer the rebates up front, while also disposing of the inefficient used cars and their engines.

"If something isn't done right, it's going to bounce back, and it's going to cost me money," Worts said.