Hy-Vee Confirms Closure of Two Stores in Coming Weeks, Sparking Food Desert Concerns in Affected Areas

The Hy-Vee grocery store chain leaders have announced that two locations will close soon. The Cedar Rapids and Waterloo, Iowa stores will close on Sunday, June 23.

Store Closures Due to Financial Shortfalls

Tina Potthoff, the senior vice president of communications at Hy-Vee, stated that the stores were closed due to their inability to achieve financial targets in recent years. She mentioned that these locations needed to consistently meet the company's sales goals, leading to the decision to close them.

Employees impacted by the closures will have the chance to work at other Hy-Vee stores without any reduction in their pay or benefits.

Additionally, pharmacy patients from these stores will be informed about alternative pharmacy options through detailed emails.

Hy-Vee has assured that all employees affected by the upcoming store closures will be offered positions at other locations within the area, with no change to their current salary or benefits.

Pharmacy customers' prescriptions will be automatically transferred to a nearby Hy-Vee Pharmacy.

Additionally, these customers will receive a letter detailing the new pharmacy location that will serve them.

The decision to close the stores in Wellington Heights and Mound View follows nearly two decades after these locations were established, with approximately $1 million in tax incentives from the Cedar Rapids government in 2001.

State Representative Sami Scheetz criticized the closures: "This store was built on the back of taxpayer support, and its closure betrays the community's trust and investment." His statement highlights the community's disappointment, as local CBS affiliate KGAN-TV reported.

With the closure of these stores, residents of Wellington Heights are now faced with losing their nearest grocery store, raising concerns about access to essential food supplies.

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Historic Hy-Vee Store Closure Shocks Community

The Hy-Vee store on Logan Avenue in Waterloo opened in 1969 and is set to close. This store, noted for its significant local history, was rebuilt in 2004 across Logan Avenue, also known as US Hwy 63. The nearby hospital provided nearly six acres of land for the rebuild, but it remains unclear what additional incentives the city may have offered.

Waterloo Mayor Quentin Hart was surprised and disappointed to learn of the closure at the same time as the general public. He immediately sought to discuss potential solutions with Hy-Vee's upper management. "We will continue to reach out to the company's corporate office to address the closing while making sure we look for new opportunities," Hart stated.

The store employs 95 people-33 full-time and 62 part-time. As reported by The Waterloo-Cedar Falls Courier, all affected employees will be offered positions at other Hy-Vee locations in Crossroads, Dunsborough Avenue, or University Avenue, maintaining their current pay and benefits.

In Cedar Rapids, the Hy-Vee store on First Ave. NE, which opened in 2002, received close to $1 million in incentives. State Rep. Sami Scheetz, representing Cedar Rapids, criticized the closure, citing the betrayal of community trust after 20 years of taxpayer support.

"This store was built on the back of taxpayer support, and its closure betrays the community's trust and investment," Scheetz remarked. "It's disheartening to see that while our local dollars helped Hy-Vee grow, our own citizens are left with diminishing services," he added, highlighting the impact of the closure on local services.

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