By Kirk Ross
Staff Writer
Carrboro — Sen. Ellie Kinnaird’s push for a Costco for Carrboro has some shopkeepers fuming over what they say is a slight against them that she’s used in making her argument.
Meanwhile, town officials say it is very unlikely a store will be sited here.
Kinnaird, who met with Costco and town and county officials two years ago seeking a store for the area, has said the company’s pay and benefits and its corporate practices are a good match for the town. Landing one, Kinnaird says, could be a major shot in the arm for the local economy.
“The only way to make our taxes less of a burden to homeowners is to increase the tax base by developing a vigorous commercial tax base in Carrboro,†she said.
Carrboro Mayor Mark Chilton acknowledged that there have been discussions in the past, but said the company ruled out Carrboro because there were no sites near a major four-lane highway.
“We’re not talking to them, we’ve met with them twice at least in the last four years, but at no time in the last year or two,†he said in a recent interview. “I think there are some places in Chapel Hill they could potentially be interested in, and that’s what I got from my conversationâ€
Costco officials have remained mum on any discussions. In an email response, a spokesperson for Costco chairman and co-founder Jeff Brotman told The Citizen last week, “Our corporate policy is to not comment on specific markets.†The closest Costco to the Chapel Hill-Carr-boro market is on North Pointe Drive in Durham.
Kinnaird recently revived her Costco push, asking town officials to support the effort. In making her case about wages and benefits, however, she has rankled proponents of a more locally focused economy, including members of the nascent LocalMotion organization, which promotes homegrown enterprise and cooperation.
Wootini gallery owner Michael Maher said the senator’s position is out of step with efforts to build a strong locally based economy. Maher said while he agrees that building the tax base is important, he feels small businesses and not big box stores like Costco are the way to do it. Locally owned businesses, he said, return a much higher percentage of their sales to their communities than do chain stores.
“If you want honest growth — grow from within. The money and development you would use to lure a Costco . . . you could better use to create an incubator program for entrepreneurial business, enhance the artistic community, promote what is already here,†Maher wrote in an email response to The Citizen.
In her letter outlining the case for a Costco, Kinnaird insists that the town’s small boutiques and shops shouldn’t be the basis for the local economy.
“More importantly, those small businesses cannot pay a living wage or health insurance to their employees. The small workforce they hire is therefore deprived of both,†Kinnaird wrote. “Costco, on the other hand, paid $18 an hour some years ago, and I suspect pays more now. Every employee, full and part time, is provided with health insurance.â€
She acknowledged taking heat over the issue and said she wished she had noted that the smaller shops can provide owners and small-business people with a good living.
Carrboro alderman Dan Coleman said it appears that Costco and other larger retailers are not interested in locating in Carrboro. While a diversity of opinion on economic policy is a good thing, he said, it makes more sense for the town to focus on growing and supporting its locally-owned businesses.
PDF: Kinnaird’s case for a Costco.
Maher’s response (available Friday)
Beth Mechum contributed to this report.
I am a citizen of Chapel Hill. I love this area and my family has been here for many generations.
I have seen how classism, intellectualism, and yes, racism has shaped our local economy.
I shudder to think what would happen if a Walmart-type superstore was to emerge from the this economic downturn.
I agree with Senator Kinnaird that Carrboro and surrounding areas need an economic boost.
Mr. Maher and Alderman Coleman have very good points.
What I would like to see is Carrboro and Chapel Hill leaders getting behind a more diverse community of local leaders and OUR Senator and making the towns what we would like them to be.
Sincerely,
A Concerned and sometimes Exhausted Citizen.