Big-box battle

On Monday, the Maine House of Representatives passed the Informed Growth Act that would require anyone proposing a retail store of 75,000 square feet or more to pay $40,000 for a study on the impact that store would have on property taxes, municipal budgets, local retail jobs and wages and whether it has an “undue adverse impact” on the local economy.

While some say the Informed Growth Act will be beneficial to small businesses by making it more difficult for big-box retailers to move in and take over, the new requirement is deplorable on several levels:

1. There is already a mechanism in existence in Maine that acts like what the House passed this week. It’s called a comprehensive master plan. Each town is required to have one or else it loses a portion of state subsidy. The plan, which requires periodic updates, sets zoning and a vision for how townspeople want to see their community grow. And, relevant to this discussion, the plan designates commercial areas where big-boxes and other such retailers are allowed to build. The Informed Growth Act is therefore redundant.

2. This act also shows that the elite are in control in Maine as never before. The Act is a sort of classism where the needs of the poor are forgotten. Wal-Mart, the spread of which this bill aims to prevent, is indeed a powerful influence in a community. Rather than being the negative influence that most armchair economists believe it is, Wal-Mart is a positive influence for people who can’t afford expensive clothing, groceries, and everyday items. The Windham Wal-Mart is a necessity to many lower-income families in the Lakes Region. Legislators in the House seem to have forgotten that most constituents rely on stores like Wal-Mart.

3. The experience in Windham is that big boxes seem to help small business. In an interview at the recent one-year anniversary of Lowe’s and Home Depot’s grand openings in Windham, the manager of Aubuchon Hardware in the North Windham Shopping Center said he was happy with the big boxes because they drew more overall business to town, some of whom came to Aubuchon. He said savvy customers compare prices and soon realize that Aubuchon can provide good deals, as well. Also, G.M. Pollack moved to town this year and Windham Jewelers is still going strong despite the discount jewelry department at Wal-Mart. Shaw’s and Hannaford at last check were also doing fine despite Wal-Mart’s discount groceries.

For lawmakers to target large retailers is a sort of American heresy. The belief that a democracy works best in a free market is what made America unique and great. Bills like the Informed Growth Act smack of socialism, where government too heavily regulates business, eventually driving competition away, to the detriment of the consumer.

In Maine, we need to beware bills like this that would limit the business sector, no matter how big the business is. The Maine Senate should defeat this proposal, because it is redundant and anti-business.

-John Balentine, editor