California Towns Bailout Car Dealerships

Too important to fail? Victorville and Norco, CA have approved loans to local car dealers to keep them afloat.

1 minute read

January 27, 2009, 10:00 AM PST

"Car dealerships in these towns have been the economic engine of local government as well as pillars of the community, sponsoring everything from Little Leagues to rodeos. Victorville Mayor Rudy Cabriales said car dealers are the city's largest source of sales-tax revenue. Victorville, a city of about 106,000, projects sales and use tax revenue of $19.5 million in fiscal 2009, down 24.5% from last year.

Dealerships have been hit hard as consumer spending has plummeted. Last year Californians bought 433,507 fewer cars than in 2007, a drop of 23%, according to the California New Car Dealer Association.

About 1,000 of the country's 20,000 dealerships closed last year, according to numbers from Detroit's Big Three auto makers. The National Automotive Dealers Association expects more than 1,100 to fail this year."

FULL STORY: California Towns Bail Out Auto Dealerships

Monday, January 26, 2009 in The Wall St. Journal

Community / Economic Development Government / Politics United States California Economic Crisis Car Dealerships Norco Victorville View More

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Start Learning

Advertise with us

Urban Design for Planners 1: Software Tools

This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.