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Page 1 of 2 Murashige, Laura , _ . From: Rich Hedges [hedghogg@ix.netcom.com] Sent: Monday, February 05, 2007 1:13 AM "r~~~'~ FE~ rj P~ To: counciltestimony@co.hawaii.hi.us t.,,_ Subject: Social Costs of Big Box Stores are Huge, Especially to Tax Pays;,. ; I , s, Attachments: Richard Hedges.vcf; Social Costs of Big Box Stores are Huge.doc Social Costs of Big Box Stores are Huge, Especially to Tax Payers Big Box stores are huge buildings (220,000 square feet or larger). Big Box Wal-Mart stores are 2'/z times the current size of COSTCO in Kona. The increased traffic from autos along without the huge amount of trucks going to one location with product will create traffic gridlock. Big Box Wal-Marts are very bad land use. Truck traffic impacts have not been assessed. Obviously, the impacts associated with truck traffic, is different than that of car traffic. Trucks are larger, noisier and necessitate their own roadway and parking considerations. These trucks will pull product from Kawaihae Harbor south along highway 19 toward Kona and East along highway 19 toward Waimea. They will also pull product from Hilo Harbor along Highway 11 south to Kea' au where the plan there first big box store. Prepare to lose what Hawaii employees have come to feel is their right. Prepare to lose the State of Hawaii mandated employer paid healthcare. Hawaii is the only state in the country to have such a requirement on employers. California had such a law. It was passed by the legislature and signed by the governor in 2003. Wal-Mart and other low-income employers hired signature gatherers at $4.00 per signature to gather signatures, filed for a referendum, spent millions on advertising and were successful in convincing the voters to repeal the health insurance requirement in California. It can happen in Hawaii once Wal-Mart saturates the Market with big box stores. Remember considerably fewer than 50% on Hawaii's young workers are registered to vote. Wal-Mart is the worst example of big box stores. Costco is the best example of large format stores. Unfortunately, Wal-Mart has turned its back on Sam Walton's vision, but it's not too late. You be the judge. Following are some social reasons to avoid big box Wal-Marts: . Since the average full-time Wal-Mart employee earned $17,114 in 2005, he or she would have to spend between 32 percent of his or her income just to cover the premiums and medical deductibles, if electing for single coverage. . The average full-time employee electing for family coverage would have to spend between 22 and 40 percent of his or her income just to cover the premiums and medical deductibles. These costs do not include other health-related expenses such as medical co-pays, prescription coverage, emergency room deductibles, and ambulance deductibles. . Wal-Mart's most affordable plan for 2006 includes a $1,000 deductible for single coverage and a $3,000 deductible for family coverage ($1,000 deductible per person covered up to $3,000). [Wal-Mart 2006 Associate Guide] . In 2004, Wal-Mart employees, in total, paid approximately 41 % of the plan costs. 3Z• o comm. No. Ref. To: hes 2/5/2007 Ref. Uate,_,_,~----"