City Council votes to prohibit 'big-box' retail stores
 

4:46 p.m. June 4, 2007

 

SAN DIEGO – The San Diego City Council on Monday passed an ordinance that will prohibit the construction of so-called big-box retail stores within city limits, despite a threatened mayoral veto.

The measure to limit the building of superstores such as those that Wal-Mart has been trying to erect was tentatively approved on a 5-3 vote by the council last November, but the second reading was delayed so that more public input could be generated.

The measure bans new establishments that are larger than 90,000 square feet and generate more than 10 percent of revenue from non-taxable goods, like groceries.

Mayor Jerry Sanders has threatened to veto the ordinance because of what he considers its anti-business nature.

Councilmen Jim Madaffer, Brian Maienschein and Kevin Faulconer cast the dissenting votes.

Most public speakers either described what they said were Wal-Mart's damaging business practices, from depressed wages to added pressure on small businesses, or discussed how the company generated jobs and had low prices to help the poor survive in a high-cost city.

But supporters of the ordinance on the council characterized it as a simple land-use or zoning decision.

“This is such a polarizing issue,” Councilwoman Toni Atkins said.

The ordinance would only ban the building of new superstores, which are much larger than the four current Wal-Mart outlets in San Diego, and would not affect the stores already in business, Atkins said.

Maienschein predicted that the larger Wal-Mart stores will be built just outside the city limits, so that San Diego will get all of the negative impacts and none of the tax revenue.

“If people think Wal-Mart is such a terrible company, they have the opportunity to not shop there,” Maienschein said, reacting to criticism of the firm.

Sanders will have 10 days to veto the measure, and the council will have a month to override his veto, according to council President Scott Peters.