WEST CORP. CENTER Phone center jobs call for jubilation

City and school officials will see tax benefits from a new business.
By SHERRI L. SHAULIS
VINDICATOR TRUMBULL STAFF
NILES -- John Rubesich allowed himself a sliver of optimism when he first heard rumors that a new business might be moving into the Niles call center that telecommunications giant MCI vacated in June.
Now, with West Corp. of Omaha, Neb., committed to creating 880 full-time jobs and a new customer service center at the Youngstown-Warren Road facility, the Howland schools superintendent is celebrating.
"After hearing this news, I'm totally optimistic," Rubesich said.
The new business will allow the Howland district to recoup some of the funding cuts the schools have seen in the past year.
West Corp., a customer service provider with 27,000 employees in the United States, Europe and Asia, announced Tuesday that it will open its new center next month in the 82,000-square-foot former MCI facility.
The company plans to begin recruiting for 80 staff and management positions this week, and advertisements will run Sunday for 800 customer service representatives.
West's announcement followed state approval Monday of a 75 percent five-year tax credit for the company's West Teleservices division. The Mahoning Valley had been competing with sites in Colorado and Oklahoma for the new center.
West is also asking Niles and Trumbull County to approve a 75 percent 10-year abatement on real and personal property taxes. Niles City Council will discuss the abatement proposal at 6 p.m. Oct. 6, and Trumbull County commissioners are set to debate the issue at 9:30 a.m. Oct. 14.
In exchange for the abatement, the company expects to invest between $1.8 million and $2.2 million in new machinery and equipment, furniture and building improvements. West Corp. officials plan to begin operations by next month.
Niles is grateful
West Corp.'s new call center is a positive for Niles, said auditor Neil Buccino.
MCI was the city's largest employer when it announced in March plans to close its call center, idling 700, so the layoffs resulted in a substantial drop in income tax revenue.
"Maybe it will bring some life back to that area," Buccino said of the new business move. "That's just great news."
Buccino said he wasn't sure whether the income tax generated by employees at West Corp.'s new service center would be divided, as it was when the MCI call center was in operation. The building is located in the city but lies within the Howland school district.
Mark Zigmont, a spokesman for the Trumbull County Planning Commission, said Howland schools should get 50 percent of the municipal income-tax revenue from the new West Corp. center.
Under state law, Zigmont explained, when a new business with a payroll topping $1 million opens in a community where there's a municipal income tax, the new income tax revenue is divided evenly between the city and the school.
Howland schools' boon
That additional revenue couldn't come at a better time for Howland schools, Rubesich said.
The district passed a levy in May 2003 that generates $3 million each year, then suffered a series of financial blows.
Within a month of the levy passage Delphi Packard refigured its personal property taxes and Howland schools lost $1 million, the superintendent said.
WCI declared bankruptcy and the district lost an additional $800,000, then MCI announced plans to close and the schools lost $165,000 more.
"This is very exciting," Rubesich said of the West Corp. announcement.
"We welcome anything that will open in our area and help create tax dollars to operate our school system."
slshaulis@vindy.com