Lake County seeks repayment after Kroger announces early exit
Lake County officials say Kroger’s decision to close all its Florida facilities — including a major warehouse in Groveland — is the economic equivalent of a natural disaster, cutting nearly 1,000 jobs and eliminating an estimated $1.3 million in expected revenue.
CLERMONT, Fla. – Lake County officials say Kroger’s decision to close all its Florida facilities — including a major warehouse in Groveland — is the economic equivalent of a natural disaster.
The closure will result in the cutting of nearly 1,000 jobs and eliminating an estimated $1.3 million in expected revenue.
Local perspective:
County leaders say the company is violating a 10-year agreement by pulling out after only four years. They told FOX 35 News that they had already paid Kroger incentives under the deal and now want the company to return some of that money.
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Commissioners say Kroger will not receive any further incentives and argue the early exit amounts to a breach of contract. They hope to redirect as much as $400,000 in unused incentives toward workforce programs, including CareerSource Central Florida, to help employees who lose their jobs.
Grocery delivery operations are scheduled to end Feb. 1, though an exact closing date for the Groveland site has not been announced.
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Groveland’s mayor said the city plans to “fight for every dollar” invested in the project and is consulting attorneys on next steps.
The Lake County Commission is expected to discuss termination agreements and potential reallocation of funds at its meeting next Tuesday.
The Source: This story was written based on information shared by The Kroger Co. and the Lake County Commission.