Northwest Jacksonville

Transcription

1 Northwest Jacksonville Food Desert Study Community Meeting Monday, December 17, :30-7:30 PM Legends Community Center

2 Goal of the Food Desert Program Develop Programs to Provide Incentives for Supermarkets and Healthy Food Programs in the Northwest Area -Ordinance E

3 Meet the Team Tony T. Brown President T Brown Consulting Group Wealth of experience in developing grocery stores and devising financial solutions Former Director of Community Development in Florida, Bank of America (Barnett Bank) Former Director of the U.S. Dept. of Treasury, Community Development Financial Institutions (CDFI) Fund Structured $538 million plan for grocery stores in low income communities in a 7-year period (Kroger Company)

4 Meet the Team Celeste Chavis, Ph.D. Senior Advisor T Brown Consulting Group Associate Professor in the Department of Transportation & Urban Infrastructure Studies, School of Engineering at Morgan State University Expertise in Geographic Information Systems (GIS), transportation operations and big data applications She has worked with several agencies including Baltimore City Department of Transportation, District Department of Transportation, IBM Africa and the Tanzanian government

5 Meet the Team Cantrece Jones President Acuity Design Group ADG has extensive experience working on State, Local and Federal projects. Ms. Jones excels in Project Management, Design Workshop Facilitation, Community Outreach, Conflict Assessment and Resolution, Government Relations, Agency Coordination, Community Planning and Facilitation, Public Information Campaigns, Media Relations, Organizational Management, Urban Planning and Community Development.

6 Today s Community Meeting (5:30 PM -7:30 PM) Purpose Share Ideas and recommend opportunities to address the food desert issue. Expectations 1. Everyone participates 2. Respect all opinions 3. Be brief so others can speak 4. Your opinions matter

7 Audience Participation

8 Audience Participation I live in the Northwest Jacksonville area. Answer: 1 = Yes 2 = No

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10 Audience Participation Press the number that best describes your age group: 1. I am 18 years old or younger 2. I am years old 3. I am years old 4. I am years old 5. I am older than 65 years old

11 Audience Participation I own a car. True or False: 1 = True 2 = False

12 Audience Participation I own a smart phone. True or False: 1 = True 2 = False

13 Audience Participation I own an ipad, laptop or computer. True or False: 1 = True 2 = False

14 What is a food desert?

15 What is a food desert? Click the number that best describes the definition of a food desert. 1. An area of the country where crops cannot grow. 2. An area where starvation is rampant. 3. A low-income area where residents have limited access to affordable and nutritious food (more than one mile from a supermarket in urban or suburban areas, and more than 10 miles from a supermarket in rural areas).

16 Market Analysis Dr. Chavis

17 United States Department of Agriculture (USDA) Definitions Distance to Grocery Vehicle Ownership Financial Burden

18 Where are Jacksonville s food deserts? 40 of 173 (23%) census tracts in Jacksonville are Food Deserts 2015 USDA Food Deserts in Northwest Jacksonville

19 Where are Northwest Jacksonville s food deserts? 15 of the 40 (37%) Food Desert census tracts are in NW Jacksonville 2015 USDA Food Deserts in Northwest Jacksonville

20 Food Stores in NW Jacksonville 28 food stores, 22 of which are grocery stores, within 1 mile of study area.

21 Audience Participation

22 Audience Participation I find it difficult to shop for fresh fruit, vegetables and meats? Low Access: 1 = Yes 2 = No

23 Audience Participation How do you usually get to the grocery store? 1 = I drive / get a free ride 2 = I pay for a ride (e.g. taxi, Uber) 3 = I take transit / JTA 4 = I walk or bike 5 = other

24 Audience Participation How often do you do buy groceries at a convenience store? 1 = Never 2 = Once or twice a month 3 = At least weekly

25 Audience Participation I maintain a healthy diet regiment. Healthy Diet: 1 = Yes 2 = No 3 = Sometimes

26 Audience Participation Educational or nutritional programs on healthy eating should focus on (Pick one response): Healthy Diet: 1. Cooking classes 2. Healthy eating recipes 3. Greater market acceptance of SNAP card 4. Free or reduced costs for meals at school 5. Programs at Jacksonville Farmer s Market

27 Audience Participation If you find it difficult to shop for fresh fruit, vegetables and meats, what would solve this problem (Pick One Response) Solutions: 1. More Grocery Stores 2. Better Public Transportation 3. Affordable taxi or sharedride services 4. Home delivery services 5. Other

28 Audience Participation If developing more grocery stores is a limited option, what alternative method of getting fresh fruit, vegetables and meats would you select? (Pick One Response) Solutions: 1. I would take the bus if convenient. 2. I would call a taxi or ride service if affordable. 3. I will purchase from local convenience store 4. I would order online and have delivered. 5. Other

29 Grocery Industry Trends Tony Brown

30 What factors go into a grocer s selection of a site? Minimum building size (22,000-38,000 sf) Minimum number of parking spots ( spots) Size of Facility Density within 3 mi Traffic Counts (20,000 veh/day) Aerial Photography Number of People Reached Incentives such as CRAs, NMTC, OZs Zoning (alcohol ordinance) Distance to competitors Location Data from: Aldi, Walmart Neighborhood, & Publix Stores

31 What does it cost to develop a grocery store? The development of a grocery store is very expensive The cost to construct and equip a 25,000 sf store would exceed $7.25 million. Other items such as land costs, site preparation and utilities can significantly increase total cost

32 What factors go into a grocer staying at a location? The store must be profitable Sales volume matters The retail sale of grocery items is a low margin offering Publix, for instance, reported a gross profit of 27% This means that once goods are sold, $0.27 of each dollar remains to pay for labor, electric and other operating expenses; including shareholders Source: Publix 2017 Annual Report

33 Why are low-income areas typically underserved? There s a market imbalance based on household income. The average American household spent about 7% of its total budget on food at home. Household earning $91,764 spent $5,169 or 5.6%. Lower income household, at $38,899, spent $2,801 or 7.2%. Source: 2015 US Bureau of Labor Statistics

34 Why are low-income areas typically underserved? Higher Earners - $92K (5.6% of budget) Household Grocery Budget Imbalance Lower Earners - $39K (7.2% of budget) $5,100 $2,800 Source: 2015 US Bureau of Labor Statistics

35 Why are low-income areas typically underserved? Revenue Required for Store to Stay Open: Higher Earners $10 Million Lower Earners 1,935 customers 3,570 customers Nearly 2x more customers to achieve same sales goal! Source: 2015 US Bureau of Labor Statistics

36 What are the major trends in the grocery industry? Smaller store sizes Increased competition from nontraditional grocery retailers (Amazon) Use of technology for consumer convenience

37 What are the major trends in the grocery store industry?

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39 Alternative Delivery Have you ever ordered groceries online? Yes or No: 1 = Yes 2 = No

40 Alternative Delivery Have you ever ordered groceries for delivery? Yes or No: 1 = Yes 2 = No

41 Alternative Delivery If a pilot program was created, would you order groceries online for delivery to your home (Pre-Video)? Yes or No: 1 = Yes 2 = No

42 What are the major trends in the grocery store industry?

43 A community solution

44 What do you think?

45 Thank You! Monday, December 17, :30-7:30 PM Legends Community Center