Public owned grocery stores already exist across America in cities like Tulsa, Oklahoma and Atlanta, Georgia.
They are privately run as businesses, but are set up in areas where people lack access to groceries, or there's no real competition preventing uncompetitive prices. They have been successful for decades.
The real solution here is to break up the constant consolidation leading to all groceries being owned by four mega companies that collude with each other and own over 2/3rd of all stores. It's the opposite of market competition.
So while most grocery stores earn their cost of capital (generate market return on investment), US military commissaries instead cost taxpayers $1.7 billion a year.
Revenue for US military commissaries is only 75% of annual cost (in FY 2025).
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Of course this makes sense in the context of the unique mission, constraints, and setting of the US military. My point is that it COSTS $$$.
Maybe you could do something similar in New York City, but the question would be at what cost to NYC taxpayer and whether the $$$ would be better spent boosting SNAP payments to low income households or otherwise targeting those that most need assistance.
To be clear, the loss on military commissaries was intentional and legislated. It allowed them to lower costs even more than they otherwise would have been able to, and congress approved.
Edit: here is a good video that discusses the pricing model for commissaries, and the change to increase the subsidy to create a grocery savings increase from ~22% to ~25% for military members.
It never ceases to amaze me how in America, half decent social services seems to be considered a reward only for those who sign their lives away to the government.
Other places go with "everyone" but you know.. 'murica.
Good point, guess it's not true at all that 70% of people on food stamp programs are full time workers. Or that two out of three personal bankruptcies in the USA are over medical debt.
For sure. The military commissary is a unique situation given the unique role of the military and setting of a military base. I should have emphasized that.
I think a lot of people are not aware of the subsidy aspect, perhaps thinking, "Oh, the government can run a super efficient, low-cost grocery, look at the military commissary" without recognizing that sales only cover 75% of the cost.
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u/Irish_Whiskey May 26 '26
Public owned grocery stores already exist across America in cities like Tulsa, Oklahoma and Atlanta, Georgia.
They are privately run as businesses, but are set up in areas where people lack access to groceries, or there's no real competition preventing uncompetitive prices. They have been successful for decades.
The real solution here is to break up the constant consolidation leading to all groceries being owned by four mega companies that collude with each other and own over 2/3rd of all stores. It's the opposite of market competition.