LAKEPORT, Calif. – The Board of Supervisors held off on making a decision Tuesday regarding three Northshore business owners' appeal of a major use permit to allow for a new Dollar General store in Nice.
Members of the board wanted more time to consider concerns raised by the community, as well as their own misgivings.
In particular, Supervisor Anthony Farrington said he was concerned that Dollar General – a Tennessee-based “small box” retailer with more than 11,000 stores nationwide – not become “the face of Lake County.”
A corporation representative said Dollar General is exploring three store sites in addition to the two – located at 3539 and 3577 Highway 20 in Nice and 13090 E. Highway 20 in Clearlake Oaks – that the Lake County Planning Commission approved at its May 8 meeting.
Supervisors agreed to continue the discussion at 9:45 a.m. Tuesday, June 24.
Businessmen Avtar Singh, owner of Nice Market; Jagtar Singh, owner of Marina Market; and Mohammed Sadiq, who owns the Nice Tower Market, filed the appeal of the planning commission's approval of the Nice store.
Community Development Director Rick Coel, who along with his staff suggested that the board deny the appeal, said a major use permit for the Nice store was necessary because it's larger than the 5,000-square-foot space allotted in its zoning area.
Coel said the community commercial general plan designation, where the store will be located, is meant to provide a full range of commercial retail and service commercial establishments.
Those businesses are meant to meet the immediate shopping and personal needs of residents and visitors, said Coel, adding that a high priority is given to services and employment opportunities.
Senior Planner Kevin Ingram said the Community Development Department contacted the Northshore Business Association as part of its regular review process and received no comments on the project. The appellants also previously had offered no statement on the store plans.
At the May 8 planning commission meeting, there were business owners who spoke in favor of the plan. “Overall they felt it was a value to the community,” Ingram said.
Mitigations being implemented for the project include taking into consideration nearby legal, conforming uses such as residences, the planners said.
Concerns raised over impact on local business
Avtar Singh said he has to sell products at a specific price level in order to make ends meet. “We have to make a 30-percent profit to cover expenses.
He told the board, “I don't have a future if I lost my business.”
When Supervisor Jim Comstock asked Singh why he didn't raise his concerns at the planning commission meeting, Singh replied that he hadn't known about the meeting.
John Sheehy of Nice said he also hadn't known about the May planning commission meeting. He said he saw the possibility of a negative impact on the community and the attempts to develop the Holiday Harbor property if the store was allowed to move forward.
Deputy County Administrative Officer Alan Flora acknowledged that Dollar General isn’t Macy’s.
“This type of retail establishment fits the demographic nature of a number of the communities that we have on the Northshore, and is consistent with retail services that they would be looking for,” Flora said.
Sheehy suggested that the store’s presence wasn’t consistent with the Northshore Redevelopment Plan.
Supervisor Rob Brown said that plan was great “but not realistic,” and the county couldn’t stop all development due to the vision of one consultant. Brown added, “The plan is the easy part.”
Sadiq told the board that Dollar General will offer about 80 percent of the products he sells “way cheaper” than he can.
Clearlake Oaks resident Marv Butler, who owns Garden Court salon and beauty supply shop in Nice, was in favor of the store.
He said Dollar General will carry some similar items to his inventory, however, “I don't find that a problem.”
Butler added, “I enjoy competition, it keeps me up to snuff.”
John Hathaway, who owns the Woodpecker shop on Highway 20 in Nice, also supported the project.
Returning to the microphone, Butler said he visited the Dollar General in Santa Rosa, and found the inventory’s average price ranged between $1 and $20, with some more expensive items.
“It is a general store. It is not a grocery store,” he said.
Butler also pointed out that the stores don’t sell cigarettes or alcohol.
Supervisor Jeff Smith asked staff if Dollar General had a liquor license. Coel said no.
However, Dan Dover of Cross Development, the company who applied for the permits on behalf of Dollar General, told the board that the corporation plans to eventually apply for a beer and wine license for the local store.
Dover said they’ve designed the store – which will have a prefab metal structure – with a pedestrian friendly access to the rear of the building, which will be pointed toward Holiday Harbor.
From the design perspective, Dover said they have gone to great lengths to modify elevations of the building and give it a more Mediterranean look.
He said it will be a general merchandise store with seven to 10 employees, who he said will be hired locally. An outside manager may be brought in to get the store going.
“From our perspective it will increase competition, and competition generally is a good thing,” said Dover.
Dollar General believes the Northshore population can support the store. “There is plenty of opportunity in the community,” Dover said.
Dover also gave a price comparison between items sold at local stores and how they would be priced at Dollar General. The local prices he offered were the highest found for the particular products.
Those comparisons included:
- 75-ounce bottle of Tide laundry detergent: Dollar General, $10; local competitor, $23.
- Honey Nut Cheerios: Dollar General, $3; local competitor, $7.59;
- One dozen eggs, Dollar General $1.50 to $2; local competitor, $4.89.
- 15.25-ounce can of whole kernel corn: Dollar General, 65 cents; local competitor, $2.69.
Supervisors discuss their concerns
Farrington asked how many stores Dollar General was considering in Lake County, in addition to the Clearlake Oaks and Nice stores.
Dover said they were looking at three other sites.
Supervisor Jim Comstock, who worked for many years in retail, said competition is positive for local businesses and the community, noting they want to keep people shopping at home.
“We all do better if we have competition,” he said.
During the discussion, Supervisor Jeff Smith said Dollar General will take sales tax dollars either from his district – which includes Clearlake – or Farrington’s, which include Lakeport.
However, Smith said the people the board represents want more shopping opportunities, and he believed Dollar General will save them money and driving time.
Farrington said he was concerned about the potential for so many Dollar General stores in Lake County, noting he understands the Kelseyville area is one of the places being considered for a new store.
Brown said he remembered getting comments from concerned business owners in Upper Lake several years ago when a new gas station was opening there. He noted the businesses that expressed concern are still in operation.
He also recalled how that at one time there were three grocery stores in Kelseyville and three in Finley.
“Things happen. Development happens. Competition happens. Change has happened. So there's a lot to consider here,” Brown said.
Board Chair Denise Rushing asked about the development timeline. Coel said Dollar General had indicated the store would be open three to four months after construction began.
The board agreed to bring the item back for continued discussion in two weeks.
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