What would the WalMart proposal mean for Chanhassen?What would the WalMart proposal mean for Chanhassen?
If the Chanhassen City Council approves the proposal for a WalMart at the corners of Highway 5 and
Powers Boulevard, it could significantly change the city's economy and character for the worse. Here are
just some of the effects it could have:
Fewer good - quality jobs in Chanhassen
• A 2007 study by the University of California Irvine found that, for every new retail job created by
WalMart, 1.4 jobs are lost when current businesses lay off workers or close. Since the average
WalMart employs 360 workers, our area could see a net loss of nearly 150 jobs.
• Another study in 2007 at the University of California Berkeley found that opening a new
WalMart reduced the average earnings of retail workers by about 1.5 percent.
• A study in 2005 found that WalMart reduces overall retail employment 2 to 4% over eight years.
• According to an Oct. 20 New York Times article, WalMart is substantially rolling back health
care coverage for part-time workers and significantly raising premiums for many full -time staff.
WalMart expanded its health care coverage only a few years ago after enormous criticism from
states because so many of its employees qualified for Medicaid.
Fewer small businesses in Chanhassen
• It's been proven over the years that when WalMart moves in, other businesses close. What would
Chanhassen stand to lose? Businesses like its toy store, party goods store, butcher shop, floral
shop, hardware store, pet store, automotive store, sporting goods store, grocery stores, office
supply store, hair salons and garden center, as well as the general merchandise store located
diagonally from the proposed site. Chanhassen could also lose businesses that serve those stores,
such as attorneys, printers and accountants.
• According to a 2009 study at Loyola University, businesses close to a new WalMart had a 40
percent chance of closing.
• The National Trust for Historic Preservation found in 1996 that new Wal -Mart stores drew 84
percent of their sales from nearby existing businesses.
• Various industries have shown that WalMart sells goods below cost to gain market share. When
competitors close, it then raises its prices.
Significantly increased traffic on Highway 5 and nearby streets
A WalMart SuperCenter can generate more than 10,000 car trips per day. That means increased
traffic on streets not designed to handle it, along with greater wear and tear on streets and roads.
An August 2006 article in the Institute of Transportation Engineers Journal found that figures
used by traffic engineers, developers and city officials significantly underestimate the traffic
generated at supercenters, by as much as 42 percent.
WalMart will operate 24 hours /day with five to six semi -truck visits per day. Those trucks most
likely will come up Powers Boulevard from Highway 212, so neighborhoods along the way will
see dramatic increases in traffic.
Damage to the environment
Riley Creek borders the proposed site to the west. WalMart has recommended installing a
retaining wall to keep polluted water from flowing into Riley Creek, but it's questionable whether
that would be effective. Area lakes already suffer with water - quality issues. This proposal would
only further threaten the quality of area wetlands and lakes.
Semi - trailers would load and unload throughout the day and night. In addition, WalMart allows
RVs to park and run their generators overnight. This would create substantial noise and air
pollution.
Increased demands on our police and public safety officers
• According to the Eden Prairie Police Department, in the last 12 months the Eden Prairie Wa1Mart
accounted for 286 calls.
• The Shakopee Police Department reports that the WalMart there resulted in 263 calls in 2010, and
188 so far this year.
• Chanhassen doesn't have its own police force. Who will handle the increased need for service,
and at what cost to taxpayers and the community?
Fewer dollars in the community
• Dollars spent at locally owned businesses by and large stay in the community. The majority of
dollars spent at WalMart will not.
• As nearby businesses close and homes lose value, tax revenue to the city will decrease.
• Local businesses contribute more to charitable causes. A 2003 study in Maine found that local
businesses contributed four times the amount that WalMart did to local causes.
What can you do?
Contact the mayor and City Council members. Let them know you oppose the proposed
rezoning to accommodate WalMart at Highway 5 and Powers Boulevard.
• Mayor Tom Furlong: tfurlong @ci.chanhassen.mn.us
• City Council members
• Bethany Tjornhom: btjornhom @ci.chanhassen.mn.us
• Vicki Ernst: vemst @ci.chanhassen.mn.us
• Jerry McDonald: jmcdonald @ci.chanhassen.mn.us
• Denny Laufenburger: daufenburger@ci.chanhassen.mn.us
More information about the City Council is available here:
www.ci.chanhassen.nm.us /inside /Council.html
• Visit www.chanhassenfirst.org for more information. We are citizens who live, work and shop
in Chanhassen. We are nonpartisan and welcome anyone who is concerned about the
overwhelmingly negative impact this proposal could have on our community.
Studies available at http:// www. bigboxtoolkit .comlimageslpdflkeystudies.pdf.