Government Intrusion In Private Sector Claims Another Local Business Scalp (RDAs)

A local South Davis County business (in Bountiful) is closing it’s doors. Winegars, run by a local family, has been in the area for just over 100 years (since 1917). Unfortunately, government fooling around with things best left to the private sector dealt a blow they couldn’t overcome. You see, local governments used redevelopment agencies (RDAs) which provided a significant tax and competitive advantage to competitors (including a large chain/corporate grocer) which Winegars didn’t have (Winegars to close Bountiful store after decades in the community):

Existing stores have often been negatively impacted when redevelopment agencies or community development agencies are established, said Winegar, giving tax breaks to new businesses. The Smith’s on 2600 South in Woods Cross is in a redevelopment agency area and the Lee’s on Redwood Road in North Salt Lake is in community development agency area. Lonny and his brother, Weston, are the fourth-generation owners of the business. They bought it from their father, Dee, some years ago. The first store owned by the family was the Woods Cross Mercantile, which was opened in Woods Cross in 1917 by Thomas E. Winegar.

Yet another example of government actions deciding winners and losers along with some corporate welfare.

Note: Smith’s is part of the Kroger chain.

Bonus read: See the bottom of this post for links on what RDAs are along with the post on another example of abuse of RDA authority.

Advertisements

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.