New York City minority business owners sue Mamdani in bid to stop city-run grocery store plan

A New York City nonprofit representing hundreds of small supermarkets, bodegas, and grocery store owners is suing Mayor Zohran Mamdani and the city in an effort to stop his plan to open five government-owned grocery stores. The Multicultural Business Coalition filed a class-action lawsuit in New York County Supreme Court, alleging that Mamdani's plan violates the civil rights of smaller, minority-owned grocery stores, which cannot afford to match the discounts offered by city-run stores.

The plaintiffs argue that the city has not conducted a proper analysis of how the city-run stores will affect local businesses, alleging that city officials selected sites arbitrarily and failed to study neighborhood needs. The group also compares the threat posed by the plan to allowing Walmart to operate in New York City, something local officials have long fought against. Mark Jaffe, the group's general counsel and president of the Greater New York Chamber of Commerce, said the store owners are hoping the city will listen and try to reach an agreement with them.

At a news conference, Mamdani expressed confidence in the legality and importance of his plan, noting that two city-managed markets in Manhattan and Brooklyn operating on a similar model have not negatively affected surrounding bodegas. The plan, a major plank in his affordability agenda, aims to offer food staples at 30% below market rates, potentially cutting New Yorkers' average grocery bill by 15% or approximately $90 a month. The first of the five stores is slated to open next year at Hunts Point in the Bronx, with the rest expected to open by 2030. Mamdani's administration has set aside $70 million for the project and is requesting proposals from external operators. The lawsuit marks at least the third time a signature affordability proposal by Mamdani's administration faces a legal challenge.

(Source：ABC17News.com)