Costco’s construction is due in part to $55 million in tax -free bonds and grants from the city of New York. At this point, the Costco opening up in East Harlem doesn’t plan to accept food stamps. Costco has stated that it will begin implementing a pilot project to accept food stamps at 2 different New York City locations and, based upon the success of this project, may in the future accept food stamps at the East Harlem location. Acceptance of food stamps at the East Harlem location is contingent upon Costco being satisfied with the pilot program at other locations. Costco has not yet set out what the criteria for success of this program will be, nor has it set a time-line for when success will be measured.

In addition to Costco demurring from any actual commitment to accept food stamps in East Harlem, it is outrageous that Costco, whose presence in the neighborhood is due, at least in part, to taxes paid by community residents, will not accept the dollars of these very residents because they come in the form of food stamps. This thinly veiled discrimination should be portrayed for what it is: exclusion of the poor made possible by misallocation of taxpayer resources.