Idyllic town BANS dollar stores amid Dollar General's push to open more locations in the area

An idyllic Oregon town has banned dollar stores following backlash around the opening of a Dollar General store in the county. 

Joseph, which is nestled among the Wallowa mountain range in the northeast of the state and is only home to a few thousand residents, passed legislation last month banning specific types of businesses from operating within city limits. 

The law does not identify any stores by name, but it effectively means chains - including dollar stores - cannot operate in the town, Oregon Public Broadcasting reported.

The move came following campaigns from locals show fought against the opening of a Dollar General store in nearby Wallowa city earlier this year. 

Residents want to protect local businesses, amid rumors that the budget store plans to open more locations in the area. 

Joseph is nestled among the Wallowa mountain range in the northeast of the state and is only home to a few thousand residents

Joseph is nestled among the Wallowa mountain range in the northeast of the state and is only home to a few thousand residents

The legislation specifically bans 'formula' businesses from operating in Joseph. 

It defines a formula business as a storefront that is required to have 'prescribed standards and features, particularly for exterior color schemes, signs or architectural design.'

It carves out exceptions for gas stations, banks and a few other business types - but effectively bans most chain stores and restaurants from opening in the picturesque town. 

Joseph Mayor Lisa Collier said the city wants to preserve small, local businesses

Joseph Mayor Lisa Collier said the city wants to preserve small, local businesses

Local entrepreneur Erika Polmar co-founded No Dollar General. It is a campaign group that formed after Tennessee-based Dollar General decided to build the store in nearby Wallowa. 

'Dollar Generals have become a symbol of a community in crisis,' the group's website reads. 

'Their presence sends the message to other businesses that a community lacks the wealth to be worthy of investment.

'Dollar General's low prices and wide range of products may draw customers away from local businesses. Smaller, independent retailers may struggle to compete, leading to closures and a reduction in community diversity.'

Two chains - Dollar General and Dollar Tree - run most of the dollar stores across the country. Dollar Tree owns all of the Family Dollar stores. 

While the group were not able to prevent the opening of the store in Wallowa, it is adamant the company does not spread to Joseph or nearby Enterprise.

For Polmar, the legislation is a significant victory for the campaign.

'The city of Joseph got a lot of pressure at their most recent planning commission meeting and the City Hall was being flooded with calls and emails from citizens saying that they wanted to make sure that the city was protected,' she told Oregon Public Broadcasting

'Thankfully, the City Council and the city administrators listened and took action very quickly.'

Joseph Mayor Lisa Collier told the Wallowa County Chieftain: 'We want smaller stores, locally owned stores, specialty boutiques, mom and pop shops.'

And Joseph is not alone in its fight against the aggressive expansion of budget chains.

A report last year revealed that at least 75 communities have blocked proposed dollar store development proposals since 2019.

At least 50 cities and towns, meanwhile, have put in place measures to limit new dollar stores, according to the Institute for Local Self-Reliance, an organization which is critical of the impact of corporate retailers on local communities.

Residents are adamant to preserve local businesses, amid rumors that the budget store plans to open more locations in Wallowa county

Residents are adamant to preserve local businesses, amid rumors that the budget store plans to open more locations in Wallowa county

'Dollar Generals have become a symbol of a community in crisis,' the No Dollar General website reads (Pictured: The idyllic town of Joseph)

'Dollar Generals have become a symbol of a community in crisis,' the No Dollar General website reads (Pictured: The idyllic town of Joseph)

Dollar stores can have a more devastating impact on rural communities like Wallowa County than urban areas, new research as shown.

When dollar stores move into a rural area, local grocers are three times more likely to close than in an urban area, according to a report earlier this year from the US Department of Agriculture (USDA). 

'The thing that Dollar General does well is that they target low income communities and communities that are struggling,' Polmar said. 

'Unfortunately, they will have business because people are keen on finding a bargain.'