By Tom Morphet
Businessman Chip Lende said he may be asking borough leaders to
investigate sales tax issues relating to promotional events like Saturday’s visit by
Home Depot in Haines.
The event that Juneau store manager Troy Wolfinbarger described as
"an outreach," advertised free shipping on orders placed from Haines within a
week, using a code provided at the event.
Four salesmen set up in the Haines Senior Center for the all-day event,
showing samples of products, distributing sales catalogues and fliers and offering
discounts on store credit cards.
Home Depot officials told would-be customers that orders from Haines
would not be charged Juneau sales tax, but also told borough sales tax officials no sales
would take place at the local event.
Lende, owner of a local lumberyard and hardware store, said the giant
retailer was, in fact, selling product in Haines.
"What’s the sale? Is it the phone call when you give them
your credit card number? … If they’re giving information that solicits that
order, then it’s a sale."
Lende said he was afraid Saturday’s event would serve as a
precedent. "If this loophole is allowed, what’s from keeping Costco and Wal-Mart
from coming up here and doing the same thing? (Big box stores) have always been out there
and we’ve competed against them, but we need a level playing field."
A small but steady stream of residents stopped in Saturday. About half
of those approached said they didn’t want their names or photographs published in the
Chilkat Valley News.
Resident Carmen DeFranco came looking for carpets, hoping to take
advantage of a Home Depot offer to send an installer to Haines, if enough orders were
received. A former fishing guide and sporting goods store owner, DeFranco said he
comparison shops locally before taking his business outside, but said he thought Juneau
carpet-layers would do a better job than local ones. He also said local sales tax was
"ridiculous."
Sean Bryant said he was looking for fiber-faced drywall, a
mold-resistant style of sheetrock, as well as special trusses for an insulation system,
items not available in Haines. Home Depot wasn’t sure it could get the products,
either, he said.
Rodney Hinson was unapologetic about buying doors, lumber and
insulation through the Juneau store. Shopping at home was a "nice sentiment," he
said, but long-term community good had to be balanced against what’s good for
individual consumers.
"If overall prices were lower (locally), maybe people would be
able to do more business here," Hinson said. One woman shopping for cabinets said
Home Depot’s price was less than half the cost of buying them in Haines.
Dennis Miles, who sells carpet at his Main Street store, said Home
Depot’s carpet prices advertised Saturday at between $1.33 and $1.75 per square foot,
were comparable to his.
"Their first objective is to take all the business from the
surrounding (Juneau) area by hurting us or putting us out of business. We’re fighting
back with competitive prices and good, hometown service," Miles said.
Mary Miles said she hopes residents would at least check local prices
before shopping out of town, to see if her store can match a price and "to see if
you’re comparing apples to apples or apples to pears. At least give us a
chance."
Money spent at local businesses recirculates in the local economy as
shop owners buy groceries and other needs, with a potential to exponentially increase
sales tax, helping support local schools, facilities and other needs, Dennis Miles said.
