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REDWOOD FALLS, Minn. (WCCO) ― Top executives from bankrupt General Motors and Chrysler got an earful in Washington, D.C. as lawmakers vent anger over the large number of dealerships being closed.

In Minnesota, that list is larger than the 30 that has been previously reported. It now appears that as many as 80 dealerships may lose their franchises after getting formal notifications from both General Motors and Chrysler.

Sen. Amy Klobuchar was among the Commerce Committee members quizzing GM and Chrysler bosses.

"It's about home-grown and locally owned businesses as well as the employees and customers who depend on them," the senator said at the hearing.

She and fellow senators want auto executives to explain how closing dealerships will save the troubled car makers. GM and Chrysler bosses say their dealer networks were created back in the 40s and 50s when their companies were giants and that's simply not the case today.

Eight Minnesota dealers losing franchises traveled to D.C. to be at the hearing. One of those dealers has been family owned more than 50 years and losing it would be a stinging blow to the town of Redwood Falls.

"I still can't believe it. It makes me sick to my stomach," said Scott Preusse. He's still has a hard time believing the words on the form letter.

Just days after getting the bitter news from Chrysler, General Motors dropped the same bomb on this long time family dealership.

Preusse sells brands at his 54-year-old dealership in the western Minnesota city of Redwood Falls.

"It was devastating, it was a shock. We've been in this community since 1955, three generations building up loyal GM customers," Preusse adds.

However, it appears loyalty went out the window in the automaker's plans to slash dealerships. Both contend they have too many dealers and need to close down competing and lesser performing stores to return to profitability.

The reality of the news is hitting this small farming community hard. Preusse employs 24 people and it puts both dollars and charity into the local economy.

Scott Preusse says added together "payroll and taxes -- a million dollars a year."

It's also the only GM and Chrysler dealer within 45 miles. In a rural county that means less convenience customers needing warranty work and less choice for buyers seeking new cars and trucks.

But this is much more than the loss of a dealership and the selling and servicing of cars. Local businesses fear the ripple effect. In small towns, car dealerships are like magnets, attracting customers from miles around.

Tami Martin's family owns the local Hallmark gift store in Redwood Falls.

"In turn they also eat at our restaurants, shop at our local stores, all that kind of stuff. So we'd be devastated to lose them," she said.

Redwood Falls Mayor Gary Revier calls Detroit's decision an attack on small towns. But he says the residents are responding to the news by writing letters to the automakers and their legislators seeking a reprieve.

"It's really charged our community. We feel like we have a common cause and maybe that's a good thing. We're gonna find a way to beat this thing and we're gonna find a way to keep Scott Preusse in business," said Revier.

Preusse has a stack of those letters at his dealership and says it's heartwarming to know so many, many people care. Still, it doesn't answer the most troublesome question: Why?

"Dealers are the factory's customers, we don't cost them anything. We're revenue, so it just seems totally backwards to us," said Preusse.

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