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Friday, September 11 2009 - 01:44 PM
City never made a dime from Walmart in ten years!
City never made a dime from Walmart in ten years!

City left to hustle for fiscal fix as Wal-Mart swaps locations

The Desert Sun
September 27, 2005 September 27, 2005

In less than a month, the Wal-Mart in Cathedral City is expected to close and on the same day, a new Super Wal-Mart is set to open in Palm Springs.The closure of one of Cathedral City’s largest sources of sales tax comes shortly before the city expects to lose another “big box” store, the Sam’s Club on Date Palm Drive. The city hopes to quickly find occupants for both of the difficult-to-fill buildings.

Wal-Mart is targeting Oct. 26 as the date to close the Cathedral City store and open the Palm Springs super store, according to Cathedral City store management and Stan Rothbart, the Beverly Hills developer of the Palm Springs property.

The combination of the two closures – the Wal-Mart next month and the Sam’s Club in 2006 – has Cathedral City officials sore at the giant Arkansas conglomerate that owns both. That’s because Cathedral City gave Wal-Mart financial incentives that continued until last year. The store has been in town for nearly 10 years.

“Wal-Mart loves to tell you they’re a good corporate neighbor, they take care of the community; and that’s just wrong, they’re not,” Cathedral City Mayor Pro-tem Greg Pettis said. “They come into a community and (we) anticipate we’re going to make some long-term money and in essence we reimburse them for the sales tax they generate. They haven’t done anything for this community.”

Pettis was referring to the $850,000 that Cathedral City reimbursed Wal-Mart for infrastructure improvements around the store. The maximum amount of the reimbursement under the deal – $850,000 – was reached last year.

A new Wal-Mart store on the corner of Ramon and Crossley roads in Palm Springs will replace the existing store.

The 33-acre lot also will be home to a Bank of America, PET-sMART, Del Taco and Office Depot, according to Rothbart.

Meanwhile, Cathedral City officials are looking to several other projects, including the expansion of five car dealerships and two new drug stores on Landau Boulevard and Vista Chino, to offset the loss in sales-tax revenue that will come with the Wal-Mart move, Economic Development Director Paul W. Shillcock said.

Corporate Wal-Mart officials did not return calls for comment.

“To offset the loss in sales-tax revenue?” There wasn’t any revenue.

Note: This is the same Stan Rothbart who developed the Wal-Mart Supercenter on 10th West and O, to close the one on Rancho Vista Boulevard, and who is trying to develop a Wal-Mart by Quartz Hill High School.

09/12/09 - 03:11 AM
mr. Quartz Hill says...
In the case of the QH Wally World—I don’t expect Lancaster to make any money either. But I sure as hell believe that King Rex, Ron Smith, George Runner, Jim Gilley and Frank Viso sure the hell will line their pockets.
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09/15/09 - 10:48 AM
scdyne says...
So what this is saying is that Wal-Mart gets a 10 year Tax-Free incentive to come to a given location. Then after those 10 years relocates and get another state, local or federal Tax-Free incentive. And in some cases even have the city pay for improvements too.
Then just build a new building next to the old useless building or relocate down the street?

No-Sh!t that really happens? I would have never guessed. Not in our A.V. …

So by having an advantage over the small business (that this country is built upon) this is considered Free Trade in a Capitalism?

A LOT of people here (and in general) like to throw out “Free Trade” and “Capitalism” like a 1, 2 punch when the anti-another-Walmart-in-the-AV and NIMBY crowd comes yelling, but there are more complex matters that are in play where Wal-mart is concerned.

We all have excess in our lives and are welcome to it so long as it doesn’t impact the lives of others. I drink too much soda, most people just eat too much, and way too many people smoke.. (Tangent: Wait until Obama tries to stop smoking by offering a national incentive once his national health care plan passes..) The Antelope Valley not only has an excess of Wal-Marts, but maybe it’s about time we started asking questions about how much the Wal-Marts benefit our community rather than turn a blind eye in the name of “free Trade” and “Capitalism.”
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09/15/09 - 11:15 AM
mr. Quartz Hill says...
Very good point, scdyne. That’s why our country isn’t just a capitalistic country, nor a democracy—we’re a republic. This concept (in theory) is set up to protect the people from the likes of King Rex, the Wally Worlds, etc.

Clearly it hasn’t worked out the way our founding fathers had hopped. They didn’t gamble on the Supreme Court turning into 9 legislators.
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09/21/09 - 12:05 PM
dbeardw says...
If a true sense of transparency in government is ever a reality in Lancaster, there would be a revolt of residents in the council chambers the likes of which the Antelope Valley has never seen.

I wouldn’t be there — done my bit on the radio, in letters to the editor, law suits, and many more emotional wounds along the way.

But the new families, the young families, the people in mid career would be so incensed because it’s not what revenues the Walmart deals and many others bring into the city coiffures. It’s the money trail that puts mega dollars nto the pockets of the suck ups who know how to manipulate the system and try to stay in the gray area — but not always succeeding. And then the information never gets out of this valley. We’re like a pressure cooker in this valley with no one sending information to Obama, Eric Holder the U.S. Attorney general or anyone beyond our boundaries.

Within these boundaries, you’re dead if you speak out. But beyond these boundaries is a whole world that the most powerful here are losing their control over.

Haven’t you noticed the plethora of ads the mayor is running about his firm. In a sense those are like campaign ads, keeping his name out there and showing how wonderful and kind he and his staff are.
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09/21/09 - 12:09 PM
dbeardw says...
God Bless!
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