Official offers incentive to keep facilities here

The mayor says he wants to help in the company's recovery efforts.
By PETER H. MILLIKEN
VINDICATOR TRUMBULL STAFF
WARREN -- Mayor Michael O'Brien says he's willing to give Delphi Packard Electric a price break on its water and sewer bills to help keep its plants here.
City council's finance committee will meet at 4 p.m. today to discuss the potential financial impact of Delphi Corp.'s bankruptcy on the city -- and ways the city can assist in the company's recovery and help preserve Delphi facilities here.
O'Brien, who plans to attend the meeting, said Monday that Delphi Packard Electric pays the city some $200,000 a year for water and likely an equal amount for sewer service. Delphi officials haven't asked city officials for any changes in utility arrangements.
"We're willing and able to do whatever it takes to secure those facilities in the Warren area," the mayor said.
The mayor added Delphi employees pay about $1.4 million a year in city income tax, which amounts to 8 percent of the city's general fund.
Also on the agenda for the meeting are efforts the city might make to assist General Motors in Lordstown. The session was called by Councilman Alford L. Novak, D-2nd, committee chairman.
Worried about implications
Novak and other council members expressed fears in a council meeting earlier this month that painful times lie ahead for city government as a result of Delphi's bankruptcy reorganization filing.
"The wolf is at the door. I hope and pray that any bargaining units in this city keep this in mind," Novak said in that meeting.
Concerning the bankruptcy's impact, the finance committee agenda calls for discussion of the consequences for the city of wage cuts requested by Delphi management.
The auto parts supplier seeks to reduce its International Union of Electrical Workers-represented work force by 65 percent through plant sales, closings, retirements and layoffs, according to IUE officials. It also seeks to cut remaining employees' wages by about 60 percent and reduce benefits.
About 3,800 IUE members are employed in the Warren-area operations of Delphi Packard Electric Systems, which makes vehicle wiring systems.
Delphi has said it will ask a bankruptcy judge to void its union contracts if the IUE and the United Auto Workers don't agree to new terms by Dec. 17.
The presidents of IUE locals expressed "deep disappointment" Friday in the company's proposal and do not think it should be considered.
milliken@vindy.com