Commissioners to assess impact of Delphi woes
County officials want to hear from Delphi Corp. workers and suppliers.
By D.A. WILKINSON
VINDICATOR SALEM BUREAU
LISBON -- The Columbiana County commissioners are trying to gauge the local economic impact of Delphi Corp.'s bankruptcy.
"We're trying to assess the effects on our county," Commissioner Chairman Jim Hoppel said Wednesday.
Commissioner Sean Logan said the United Auto Workers had not been able to immediately provide a breakdown of its members who live in the county.
Logan asked that present and retired Delphi employees call his courthouse office and leave a message. His number is (330) 424-9511, Ext. 1155.
Delphi filed for Chapter 11 bankruptcy protection Oct. 8 after it failed to reach a restructuring agreement with the UAW. The company may ask the court to void its labor agreements.
County companies
Logan also asked that any county companies that supply material or services to Delphi also leave a message. Vendors should also note whether they received any payment from Delphi since Monday, he asked.
Under bankruptcy law, Logan said, vendors could be ordered to return the money. That law is designed to prevent companies from paying its favorite vendors -- but not others -- as it goes to court.
"Small businesses, even if they have spent it, will have to return it," Logan said.
The commissioner said he isn't seeking information on companies that may be owed money by Delphi.
Logan has been working with other local, state and federal officials who want to help the company and workers.
Sales tax
But the county relies on sales taxes to fund county operations.
The commissioners want voters to approve a 0.5-percent sales tax in November. The $2 million the tax would bring in would leave the county about $4 million short next year -- before any impact from Delphi's woes.
Logan said projections show the economy slowing later this year and then picking up in early 2006.
"We need to keep a close eye on it," Logan said.
wilkinson@vindy.com
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