Chicago's Democrat mayor wants to create city-run grocery stores to promote 'equitable' access to food after half of the city's Walmart and Whole Foods stores closed.
Mayor Brandon Johnson announced a partnership with the Economic Security Project to open municipally-owned grocery stores in Chicago in a bid to tackle many of the city's so-called 'food deserts.'
Johnson's new moves are set to help 'repair past harms that have contributed to purposeful disinvestment and exclusion and lack of food access' in historically underserved communities.
The liberal mayor said: 'All Chicagoans deserve to live near convenient, affordable, healthy grocery options.
Mayor Brandon Johnson announced a partnership with the Economic Security Project to open municipally-owned grocery stores in Chicago. According to estimates from the U.S. Department of Agriculture, 63.5 percent of residents in West Englewood and 52 percent of residents in East Garfield Park live more than half a mile from their nearest grocery store
'We know access to grocery stores is already a challenge for many residents, especially on the South and West sides.
'My administration is committed to advancing innovative, whole-of-government approaches to address these inequities.
'I am proud to work alongside partners to take this step in envisioning what a municipally owned grocery store in Chicago could look like.'
The city did not give a timeline for when the initiative would come forward - and the grant money which will help invest could come from state and federal tax dollars, not just local taxes, reports CBS.
The was mixed reaction to the scheme.
One person wrote on social media: 'Let’s see… major, successful retailers and grocery store operators have pulled out of certain zip codes due to chronic crime, but the city of Chicago is going to install and manage tax-payer-subsidized stores. What could possibly go wrong?'
Another added: 'People need to learn not to steal and the grocery stores won't have to close.'
And a third said: 'Residents must respect community businesses if they want their services.
'The city, with a budget shortfall of $538 million, owning grocery stores with taxpayer funds only in some neighborhoods is unsustainable & blatantly preferential. Work to mitigate causes of why stores left.'
Others accused Johnson's idea of being akin to communism.
Another critic said: 'Well if you want stores to locate in places like that then maybe you should crack down on crime - particularly shop lifting.
'Hard for businesses to stay open when your inventory walks out the door with shoplifters.'
In April this year, Walmart announced that it was shuttering four main stores across Chicago because they were simply not profitable enough
And another person on social media said: 'I don't believe the city of Chicago could run an ice-cream stand in the summer time, let alone a grocery store.'
In April this year, Walmart announced that it was shuttering four main stores across Chicago because they were simply not profitable enough.
This equated to half of all the stores in the Chicago area.
'The simplest explanation is that collectively our Chicago stores have not been profitable since we opened the first one nearly 17 years ago – these stores lose tens of millions of dollars a year, and their annual losses nearly doubled in just the last five years,' Walmart said in a statement.
'The remaining four Chicago stores continue to face the same business difficulties, but we think this decision gives us the best chance to help keep them open and serving the community.'
Last November, Whole Foods closed in Englewood, stripping the neighborhood of fresh food produce and leaving the lot empty for nearly a year.
The closings were announced just days after Chicago's newly elected liberal mayor Brandon Johnson blamed the city's poverty and crime rates on businesses that don't pay taxes.
While Walmart in their statement did not specify the exact causes for the continued losses over the years in the Chicago stores, some on social media immediately pointed to crime rates in the area.
To date in 2023 over 2022, thefts are up by 25 percent according to the Chicago Police Department while robberies are up 11 percent.
In 2022, Walmart CEO Doug McMillon had warned that theft in stores around the country could impact stores and cause additional closings.
Whole Foods closed in Englewood in November 2022, stripping the neighborhood of fresh food produce and leaving the lot empty for nearly a year
Despite the previous warnings, the company noted the decision as difficult.
'The decision to close a store is never easy. The impact is greater than just closing a building. It affects people — people who work in, shop in and live in communities near our stores — and we never take that lightly,' Walmart said.
Walmart officials cited 'business difficulties' in their statement addressing the remaining four stores in Chicago, as well.
According to estimates from the U.S. Department of Agriculture, 63.5 percent of residents in West Englewood and 52 percent of residents in East Garfield Park live more than half a mile from their nearest grocery store.
Ameya Pawar, Senior Advisor at Economic Security Project said: 'The City of Chicago is reimagining the role government can play in our lives by exploring a public option for grocery stores via a municipally owned grocery store and market.
'Not dissimilar from the way a library or the postal service operates, a public option offers economic choice and power to communities.
'A City-owned grocery store in the South or West side of Chicago would be a viable way to restore access to healthy food in areas that have suffered from historic and systemic disinvestment.'
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