The News Journal from Wilmington, Delaware • Page 42

DECISION DAY Ita the Boxwood Road shutdown affects Delaware C4 THE NEWS JOURNAL FRIDAY, DEC. 4, 1992 Fire company a 6goodl neighbor 9 to plant of-oecorl fnr the overall commii- 1 III UiflUVOov" nity," said the Rev. George Karney of St. James Episcopal Church, Newport. "We're going to see fallout in other jobs, from cleaning crews to McDonald's." The Rev.

Bruce Howes anticipates doing a lot of counseling in the months to come between 5 percent and 7 percent of his Heritage Presbyterian Church congregation works at GM. "I'm deeply disappointed with GM for closing the plant after putting so much into the plant and the community for so many years," said Howes, pastor of the 120-member church on Airport Road. said. "It was a godsend we always need that type of help." Belvedere Fire Chief Webster D. Trotter foresees a "big impact in our small community." His fears were echoed by Minquas President Philip J.

Young. "We're having a meeting, trying to determine what the impact will be," Young said. "We're nervous about the ripple effect, because a lot of GM's support companies are in our fire protection district, the railroad, trucking companies, which could be severely impacted by GM's closing." usually Five Points, Minquas of Newport, Belvedere, Cranston Heights and Elsmere, all of which count GM workers among their members. The automaker makes cash contributions only to Five Points, but the others have also benefited. A couple of years ago during a layoff, GM created a job bank, kept paying its employees, and farmed them out to do work for non-profit organizations, said President Leslie H.

McCourt of Mill Creek Fire Company. Mill Creek "got some maintenance work and plumbing done," McCourt discount. "They've been a very good neighbor," Sutton said. The plant's closing will have an impact on churches, fire companies and other volunteer-dependent agencies in the immediate area. Most of the emergency runs Five Points makes to the plant about 100 each year are ambulance calls, Sutton said.

GM has its own fire brigade, so there were few fire calls, but when the alarm rang, the very size of the plant guaranteed up to five companies would respond By NAN CLEMENTS Staff reporter RICHARDSON PARK When Five Points Fire Company needed a new truck several years ago, General Motors Corp. kicked in $75,000 toward the cost. Over the past 10 years, the automaker has contributed about $200,000 to the volunteer fire company covering the sprawling Boxwood Road plant, said President Bob Sutton. Besides making annual donations and giving larger sums for equipment, GM has also sold cars and vans to the company at a TTT0 Yl owineir lreairs tike wdDimt rxJJiiJ I r-f Vf- -v Ha i A 4 i i ml a mini-mart, to serve the local neighborhood. I don't know what else to do." Vince's Glass Service, at 601 Boxwood Road, is not as likely to be affected by the closing.

"I get a few people in here from the plant, but very few," owner Vince Powell said Thursday morning. "I really don't think it will impact on me." At Steve's Tavern, across the street from the plant, bartender Ellie Taylor, said the pub would survive. "A lot of the guys come in after work, and we're going to miss them," Taylor said. "But I don't think it's going to ruin the bar." By MARK MARYMONT Special to The News Journal ELSMERE Steve Kalogilos, owner of Party Pizza, knows his party may be over if General Motors closes its Boxwood Road assembly plant. Kalogilos, who has operated the pizza and sandwich shop at 212 Boxwood Road for seven years, estimates half of his business comes from the sprawling plant two blocks south.

"I have seven employees here, and I would probably have to lay off at least three of them. I was talking to my wife this morning, and I guess I'll have to convert to Special to The News JournalROBERT CRAIG Steve Kalogilos, owner of Party Pizza, stands In his Boxwood Road shop with employee Sharon Sacckette, who has worked there for 17 years. 1 1 Economies of 3 other states' counties also will suffer Del. faces the loss of millions .) "Hi "It's a shame," said county freeholder C. David Sparks who said he had some good friends who worked at the plant.

In Chester County, officials said that while they don't know the exact numbers of GM employees who live there? there's certainly enough to make it hurt. "It's the old bit. In a region, when it comes to economics, political boundaries disappear. If people are out of work, it doesn't matter that their work was in Delaware or Pennsylvania. They're out of work," said Thomas V.

Gallagher, director of Chester County's Office of Eco- nomic Development. thing before they do go down. Welch said the shutdown also will affect other Maryland counties, including Kent, Harford and Queen Anne's. He said he knows workers who drive almost two hours one way to get to the GM plant. In Kent County, county administrator Robert S.

McLeod said he had no numbers on how many residents work at the GM plant. "Any time that a business closes down we have concerns about the employees and it will certainly affect all of the support industries that go along with any major business," he said. Salem County, N.J., supplies a number of GM workers, though Salem County officials didn't know how many. The News JournalBRIAN PRICE Edna Trotter of Belvedere holds photo of her parents, who sold lunches at GM. Working like a family just wasn't enough Staff reporter Carl Weiser to this article.

By BETH MILLER Cecil Bureau reporter ELKTON, Md. Delawareans won't suffer alone when General Motors closes its Boxwood Road plant. The ripples will extend into Pennsylvania, New Jersey and Maryland. In Cecil County, between 500-700 residents will lose their jobs, county officials said Thursday. Officials in Chester County, and Salem County, N.J., also expect their employment rolls to be hit hard by the plant closing.

"And even if we play conservative and say it's only 500, that translates to about a point and a half on our unemployment rate," said Roger Venezia, director of economic development for Cecil County. "It's substantial." Also substantial will be the effect on the county's overall economy, Venezia said. "We'll lose the piggyback income tax that comes back across the line," he said. "People bring their paycheck back over and pay taxes here. That will be lost, plus all the other purchasing power that goes with it.

People spend money at the local supermarket and it ripples right through the local economy." Herb Welch of Fair Hill worked at the GM plant for 20 years before retiring in 1981. He was president of the United Auto Workers local when there were more than 5,000 employees at GM, and was a union representative for 16 years. "I'm kind of surprised because the plant up there always made a good car," Welch said. I'm hoping they'll reconsider the Workers: Some say FROM PAGE CI lot. "I paint cars by hand.

I put out the best-quality cars known to plant by Delaware 141 and its Newport ramps. "They do quality work there, and my family and this whole community are very proud of that plant," she said. "That plant has a history, and we know that plant." "No one felt they would touch that plant, because it has a lot to offer and they've put too much money in it over the years," she said. "A lot of the areas, like the paint shop, are new. They could even build something there besides cars." "GM was good to its employees, and they worked like a family there," Trotter said.

"It's hard to believe it's ending." Nan Clements BELVEDERE General Motors Corp. has been a part of the Trotter family's life for nearly half a century. Evangelist Edna M. Trotter remembers when her parents, the late John E. and Edna Anderson, prepared sandwiches and coffee in their neighborhood grocery store, loaded them in a van, and sold them to construction workers building the huge auto plant in 1946.

When the plant opened, family members got jobs there, said the pastor of Star of Bethlehem AUMP Church. "A lot of my family worked there and even retired from there," said Trotter, who lives at 205 Clyde St. in the small community separated from the man, said John Kupchin-ski, 32, who works on the paint pool. Kupchinski said he would not be worried "if I knew I could come out tomorrow and they feel betrayed buy a home. Instead, she said, they'll probably set their sights on a trailer.

They have four children and now rent a house in Pike Creek. Edie Hickman saw her husband at Steve's Tavern about 10:30 after plant officials told him and other fellow workers the plant was doomed. She said John was shaken, but coping. "There's been a lot of stress in the house because of it," she said. "You don't know what's going on from one day to the next.

But buying a house is probably out of the question now." Lawrence Hardy and Cris Barrish are staff reporters and Mark Mary-mont is a News Journal By CARL WEISER Staff reporter DOVER The closing of GM's Boxwood Road plant will eventually cost Delaware $20 million annually in lost tax dollars, state officials said Thursday. But because the loss will occur over three years, the state will have time to absorb the blow without catastrophe. "I worry more about family incomes" than the state's income, Gov. Mike Castle said Thursday. The state took in about $1,257 billion in revenues this year, so GM's contribution comes to about 1.6 percent of the state's revenues.

State finance Secretary Karen Field Rogers said: "That's fairly small, and I would assume by the time this comes along," normal budget growth would make up for the loss. As long as the state plans for it, there shouldn't be any budget problems, she said. "We're fortunate," she said. "Of all the GM plants that are closing, we have the longest lead time." The state estimated that GM and the companies that supply it contribute $7 million to $8 million in corporate income taxes and gross receipt taxes, which is essentially a sales tax paid by companies when they buy products. Workers contribute another $12 million or $13 million in income tax, she said.

How other governments with close ties to the plant expect to get hit: New Castle County. Finance director Anne Elder Nutter said the closing would have little fiscal impact because the county relies on property taxes, not income taxes. GM won't be paying any property taxes over the next two years. Because it got its assessment lowered from $82 million to $61 million, the county owes GM about $700,000 in tax credits. Wilmington.

Mayor Daniel S. Frawley said the plant closing would have a direct $450,000 annual impact on city finances. In 1991, 357 city residents worked at the plant and paid $131,340 in wage taxes, he said. Also, GM is Wilmington's second biggest watersewer customer, having paid $326,000 for those services in 1991. Newport.

Town manager Mark D'Onofrio said there would be little fiscal impact, "outside of some residents who might have difficulty paying their taxes because they work at GM." Staff reporter Cris Barrish and chief Nancy Kesler con tributed to this article. KUPCHINSKI find another job." "Why don't they close the plants in Europe?" he asked. "Why don't they close the plants in Mexico?" Edie Hickman, whose husband, John, works the line, predicted her family would stop looking to 1 Average Weekly wages I ft A 1 Agencies brace for layoffs $800 I Jumps may be I 1 I $750 caused by lv 5 unusually high $700 1 amounts of Ik overtime 7 0 Other agencies mav be broutrht Package may change next year Worker at shuttered GM plants are generally better off than displaced manufacturing employees elsewhere. However, workers' benefits will be subject to renegotiation when the United Auto Workers' contract signed in 1990 comes up for renewal next year. The current benefits include: For workers with less than 10 years of service: a supplement to state unemployment compensation that gives the worker about 95 percent of take-home pay for 36 weeks.

For workers with more than 10 years: the Supplemental Unemployment Benefits mentioned above. Thereter, payments equal to 50 percent of employee's base 1986 1988 1990 1992 '1992 estimated termines what training will be needed, Loughery said. Laid-off employees will be eligi: ble for state unemployment pay-' ments, after any company severance benefits run out. Delaware's maximum weekly unemployment check: $245 per week. Payments depend on past earning levels; most autoworkers will be eligible for the top payment, Loughery said.

The maximum cost to Delaware's unemployment fund of the Boxwood Road shut-down: $41 million. If all employees drew the top $245 per week, for the full six months offeree the bill to tile state would be $21 million. By DALE DALLABRIDA Staff reporter As layoffs loom at General Motors Boxwood Road plant, Delaware state and social agencies are bracing for a wave of dislocated workers. The state Labor Department takes part in a Rapid Response Team, formed to meet widespread layoffs such as the closure of Claymont's Phoenix Steel Corp. plant in 1986.

Other team members: Delaware's Private Industry Council and United Way; labor unions; the Delaware Development Office and Health and Social Services department. in, as the group works out plans to retrain laid-off GM workers. "With a potential layoff of this magnitude, we're going to need more than we have in place now" to train the unemployed, said Labor Department spokesman Mike Loughery. Most current Delaware job programs train for work that pays much less than the $47,000 typical annual salary of Delaware auto-workers, he said. The emergency team "can work with GM and tailor to their needs," he said.

The U.S. government grants annual funds for the program. Delaware will probably ask or more federal money after the team de Source: Delaware Department ot Labor earnings plus an additional percentage point for each year above 15 years of seniority, capped at 75 percent. This payment lasts until retirement age or the employee finds a new full-time job. A variety of options for early retirement and buyouts.

Educational tuition assistance. Rick Raber i.