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Policy Tools for

Saving the Small

Town Grocery Store

David Procter, Kansas State University

Hannah Burton Laurison, Public Health Law & Policy

Sharon Thornberry, Oregon Food Bank

May 21, 2011

Portland, OR

This powerpoint was developed by PHLP for viewing & educational purposes only.

© PHLP 2010

Today’s Roadmap

Welcome

Rural grocery challenges

Policies for sustainable rurall grocery

Engaging rural residents and policymakers

• Why you are interested in today’s topic?

• In your community, what makes it difficult for

small grocers to remain economically viable?

What are the challenges faced by rural

grocers?

Economically Sustainable, Healthy

Rural Grocery Stores

Overview

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The Rural Grocery Initiative

Kansas State University

David Procter, DirectorCenter for Engagement and Community Development

Kansas State UniversityManhattan, Kansas 66506

www.k-state.edu/cecdwww.ruralgrocery.org

(785) 532-6868

Center for Engagement and

Community Development

Mission: CECD was created in 2006 to

promote engagement across the breadth of

Kansas State University - in teaching,

research, and outreach - and to connect

the resources and expertise of K-State to

the significant issues of public need facing

Kansas and communities worldwide.

The Public Need

• Economic Development:

– Rural grocery stores provide significant economic benefit to rural towns

• Community Sustainability:

– Rural grocery stores serve important civic, social, recruiting needs

• Food Access:

– Rural grocery stores provide citizens best access to nutritious food

Food Access:

Improving Food Availability

Many rural citizens live within food deserts

– “an area in U.S. with limited access to affordable and nutritious food,” (U.S. Farm Bill definition)

– “large and isolated geographic areas where mainstream grocery stores are absent or distant.”(http://fooddesert.net/)

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Addressing Issues of Food Access:

National Map of Food Deserts Kansas Food Desert Facts

• 40% of Kansas counties are rated as severe food deserts (Morton & Blanchard, 2007)

• 51% of Kansas communities lack a grocery store (CECD, 2010)

• 7 Kansas counties lack even one grocery store (USDA Food Atlas, 2008)

• Since 2007, 87 rural grocery stores have closed in Kansas (CECD, 2011)

Our Rural Grocery Initiative

Goals

• Identify challenges facing rural grocery stores (2,500 or less)

• Develop responses to those challenges

• Identify sustainable business models of grocer operation

• Develop information network for rural grocers

Identifying Grocer Challenges

• Surveyed 213 KS rural grocers

(86 responded)

– View complete survey and

results at:

www.ruralgrocery.org/survey

• Hosted 2008; 2010 Rural Grocer

Summit (Over 300 participants)

• Interviewed numerous grocers

• From this data collection, we identified:

– Challenges faced

– Best practices

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Grocer Challenges

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10

20

30

40

50

60

70

80

Big Box Op.

Costs

Labor Regs Support Sales

Volume

Buying

Req

Responding to Rural Grocer Challenges

1. Competing with big box stores

2. Coping with high energy costs

3. Meeting minimum buying requirements

4. Managing labor issues

5. Securing community support

6. Finding the right ownership model

Challenge: Securing Community

Support

Best Practices:

• The power of community support

– Walsh, CO

• Processes of building community support

– Community dialogue

• Rural Grocery Dialogues

• Community FEAST

– Effective grocery store operations

– “Buy Local” education

Challenge: Meeting Minimum

Buying Requirement

Best Practices:

• Identifying and facilitating grocery collaborations

• Facilitating food re-distribution centers

• Looking for ways to increase food sales

• Mapping food distribution lines

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Challenge: Finding the Right

Ownership Model

Best Practices:

• Community owned / Co-ops– Gove, KS; Walsh, CO

• Public / private partnerships– St. Paul, KS

– Duckworth v. City of Kansas City, 758 P. 2d 201 - Kan: Supreme Court 1988

• School-based enterprise– Leeton, MO

• Sole proprietorships– Little River, KS; Jetmore, KS

Web Resource for Rural Grocers

www.ruralgrocery.org– Best practices

– Food suppliers / food networks

– Latest research

– Inspirational stories / videos

– Rural grocery news

– grocer forum

– Funding opportunities

Thank You

David Procter, Director

Center for Engagement & Community Development

Kansas State University dprocter@ksu.edu

(785) 532-6868

www.k-state.edu/cecd

www.ruralgrocery.org

cecd@k-state.edu

How can public policies support small grocers?

The Tools

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PHLP works to improve community health by

supporting public health leaders.

PHLP does this by providing sophisticated legal and

policy tools for use in everyday practice.

market forces + public policy =

“food landscape”

What do we mean by

policy?�Local

�Zoning

�Economic Development

�Transportation

�State and Federal

�Grants

� Loans

�Nutrition Assistance

Programs

Local Policy Tools

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LAND ASSEMBLY

Burlington, VTPhoto Credit: Churchstreetmarket Flickr Creative Commons

ZONING

Watsonville, CAPhoto Credit: Michael Patrick Flickr Creative Commons

Condition neighborhood markets

(convenience stores) at the time of

development review to

incorporate the sale of fresh

fruits and vegetables.

WATSONVILLE, CA

TRANSPORTATION

Alberta, VAPhoto Credit: Taberandrew through Flickr Creative Commons

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State Food Policy Tools

GRANTS

Gettysburg, PA

LOW COST LOANS

Norman, OKPhoto Credit: unsure shot through Flickr Creative Commons

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Federal Food Policy Tools

RURAL BUSINESS ENTERPRISE GRANT

Cody, NEPhoto Credit: Kathy Starkweather, Center for Rural Affairs

RBEG

Sanderson, TXPhoto Credit: USDA Rural Development

Rural Energy for America Program

Elkton, SDPhoto Credit: Farmenergy.org

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FEDERAL NUTRITION PROGRAMS

Martinsburg, WVPhoto Credit: http://blogs.usda.gov/

Healthy Urban Food Enterprise Development

Dixon, NMPhoto Credit: Santa Fe New Mexican

What are some challenges to leveraging public policy for small grocers?

� Cost

� Political will (aka

“business as usual”)

� Legal barriers

� Implementation

strategies forrural grocery store policy

�Get to know your local economic development

partners

�Share data

�Target economic development resources

�Match the right strategy to your goals

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Resources

Thank you!

Hannah Burton Laurisonhlaurison@phlpnet.org

www.phlpnet.orgwww.healthycornerstores.org

Engaging Residents and Policymakers in

Rural Grocery Stores

Action

They have always been here!!!

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How hard can it be??? What are the Challenges??

� Stocking the shelves

� Competitive pricing/advertising

� Rising operating costs, insurance, maintenance,

utilities……

� “Government regulations”

� Individual & community buying habits

� Ownership burnout

Finding Solutions……

�Community conversations

�Building awareness

�Educating policymakers

�Commitment > community businesses

�Harnessing community buying power

�Realistic expectations

Thank You!

Sharon Thornberry

sthornberry@oregonfoodbank.org

www.oregonfoodbank.org

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Discuss

� How can you engage policymakers and local residents in supporting rural grocers?

� What would work in your community?

Contact us:David Proctercecd@k-state.edu

www.ruralgrocery.org

Hannah Burton Laurisonhlaurison@phlpnet.org

www.phlpnet.org

Sharon Thornberrysthornberry@oregonfoodbank.org

www.oregonfoodbank.org