COM 0032.002 2006-2008 - Laserfiche WebLink

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1 VIAL*NIART~ Stores, Inc. January 3, 2007 The Hon. K. Mgel Pilago Chair, Planning Committee Hawaii County Council Re: Resolution 21-07 Dear Chair Pilago: I am writing to express Wal-Mart's strong opposition to Resolution 21-07 and the accompanying draft ordinance (together, the "proposal°). On ks face, the proposal is a transparent attempt to prevent Wal-Mart from competing in the grocery business on the Big Island. Proponerrts may call it a "Big Box Bill,° but it is really a "Big Grocery Bill," because that is what it would mean for island families. The proposal is very poor for many reasons: • It is based on false premises It would not achieve the benefds d Gaims It is anti-competitive and unfair • It would harm working families by keeping food prices higher than they need to be Please do not be misled. Regardless of what its proponents may claim, this proposal is not intended to protect small business. Rather, it is a cynical attempt to protect supermarket chains from having to compete with Wal-Mart, which typically offers grocery prices 17-20% below other supermarkets. This might be good for supermarkets that want to maintain their high food prices, but d would not be in the best interests of Big Island families on a tight twdget who would benefd from increased price competition and an average savings of $2,300 per year when a family shops at a Wal-Mart. The proposal's sponsor, Council Member Stacy Higa, claims in the December 28, 2006 issue of the Hawaii Tribune-Herald, "Most of the Supercenters that have started up on the mainland have pretty much destroyed a lot of the small businesses." On the contrary, independent research indicates that many small businesses thrive alongside Wal-Mart discount stores and Supercenters, and towns with SuperceMers believe they are good for their communities. (I have attached some information for your reference.) Corpm, No. 3 2 ° 2. Rof. To:1'cn Rif. Uate.JAN 0 3 ~nm