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Sequestration could mean a cut in funding for military grocery stores




A customer loads his cart with drinks at the Commissary at Camp Pendleton on Wednesday, Jan. 24. With the help of government subsidies, prices at military grocery stores are an average of 30 percent less than at commercial stores.
A customer loads his cart with drinks at the Commissary at Camp Pendleton on Wednesday, Jan. 24. With the help of government subsidies, prices at military grocery stores are an average of 30 percent less than at commercial stores.
Maya Sugarman/KPCC
A customer loads his cart with drinks at the Commissary at Camp Pendleton on Wednesday, Jan. 24. With the help of government subsidies, prices at military grocery stores are an average of 30 percent less than at commercial stores.
Cpl. Kenneth Keiser pushes his sons Braden, 4, and Jayce, 2, while shopping at the Commissary on Wednesday. The family does all their shopping at this store.
Maya Sugarman/KPCC
A customer loads his cart with drinks at the Commissary at Camp Pendleton on Wednesday, Jan. 24. With the help of government subsidies, prices at military grocery stores are an average of 30 percent less than at commercial stores.
Store hours are presented in military time at the Marine Corps Exchange (MCX), a department store on the Camp Pendleton Base.
Maya Sugarman/KPCC
A customer loads his cart with drinks at the Commissary at Camp Pendleton on Wednesday, Jan. 24. With the help of government subsidies, prices at military grocery stores are an average of 30 percent less than at commercial stores.
Store worker Lolita Garcia waters vegetables every two hours while the sprinklers are repaired. The Commissary does not make any profits, they charge a five percent overhead on each product which covers employees' salaries.
Maya Sugarman/KPCC
A customer loads his cart with drinks at the Commissary at Camp Pendleton on Wednesday, Jan. 24. With the help of government subsidies, prices at military grocery stores are an average of 30 percent less than at commercial stores.
Operations Chief Brian Stirrat of Oceanside shops at the Commissary to save money when he is buying in bulk, or needs a lot of monthly groceries.
Maya Sugarman/KPCC
A customer loads his cart with drinks at the Commissary at Camp Pendleton on Wednesday, Jan. 24. With the help of government subsidies, prices at military grocery stores are an average of 30 percent less than at commercial stores.
Monster energy drinks are $1.19 at the commissary. Only customers with a military ID can shop at the store, whereas anyone can shop at the MCX department store.
Maya Sugarman/KPCC
A customer loads his cart with drinks at the Commissary at Camp Pendleton on Wednesday, Jan. 24. With the help of government subsidies, prices at military grocery stores are an average of 30 percent less than at commercial stores.
Cpl. Todd Zell bags bell peppers at the Commissary on Wednesday, Jan. 24. This is Zell's first time in the store, as he was just stationed at Camp Pendleton.
Maya Sugarman/KPCC
A customer loads his cart with drinks at the Commissary at Camp Pendleton on Wednesday, Jan. 24. With the help of government subsidies, prices at military grocery stores are an average of 30 percent less than at commercial stores.
Federal government subsidies come from the Department of Defense. Possible changes to the budget could mean those subsidies would go away, and commissaries may have to cut hours, or downsize in staffing.
Maya Sugarman/KPCC
A customer loads his cart with drinks at the Commissary at Camp Pendleton on Wednesday, Jan. 24. With the help of government subsidies, prices at military grocery stores are an average of 30 percent less than at commercial stores.
Master Gunnery Sgt. Dean Price looks at colognes in MCX on Wednesday. MCX is not government subsidized, and prices are closer to those at commercial stores.
Maya Sugarman/KPCC
A customer loads his cart with drinks at the Commissary at Camp Pendleton on Wednesday, Jan. 24. With the help of government subsidies, prices at military grocery stores are an average of 30 percent less than at commercial stores.
Military-related figurines are sold at MCX. The store sells clothing, outdoor furniture, electronics, and more – along with everyday necessities like diapers, and some food and drinks.
Maya Sugarman/KPCC
A customer loads his cart with drinks at the Commissary at Camp Pendleton on Wednesday, Jan. 24. With the help of government subsidies, prices at military grocery stores are an average of 30 percent less than at commercial stores.
Customers head to the Commissary parking lot at Camp Pendleton. There are 18 checkout stands, along with several self-checkout stands.
Maya Sugarman/KPCC


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Military families across the country depend on discounted groceries at base commissaries, but they could suffer price increases if the federal government cuts the program's budget.

Among the critics of government-subsidized groceries is Sen. Tom Coburn (R-Okla.). He said  commissaries, like the one at Camp Pendleton in San Diego County, should be able to operate on their own.

“By getting the Department of Defense out of the grocery business here in the United States, Congress could increase military pay across the board and allow military members to shop at stores of their choice,” Coburn said in a report.

Currently, the Department of Defense pays for the commissaries’ staff salaries, utilities and other operating costs, permitting families to shave 30 percent off their grocery bill, and up to 50 percent for meat and produce.

At Camp Pendleton’s main commissary, for instance, apples sold for about $1 a pound – about the cost of what apples sell for at grocery stores in downtown Los Angeles, said Scott Hill, the store director. National brands like Pepsi and Uncle Ben’s rice are sold at only 5% above cost. The profits go to renovating and expanding commissaries.

Depending on their size, military families can save $2,000 to $5,000 a year, Hill said. The Camp Pendleton commissary has evolved with the times, and tries to match customer demand, providing wholesale items similar to Costco. It even offers a fresh sushi counter.

“We don’t operate on profit and we don’t mark products up,” Hill said.

Coburn and others who want to eliminate the federal subsidy for the Defense Commissary Agency’s 248 stores say there is no reason why they can’t be self-sufficient. Critics point to the military’s version of department stores, known as military exchanges, receive little federal support.

Combining the commissaries with military exchanges could save U.S. taxpayers more than $1 billion a year, a Congressional Budget Office report indicated.

Funding for commisaries could also be decreased through automatic spending cuts known as sequestration that will go into effect next month unless Congress takes action.

But a group that represents businesses that work with military commissaries and exchanges say removing federal support is shortsighted.  They say the Department of Defense saves money in the long run by allowing Uncle Sam to save on cost-of-living allowances to service members.

“Take a close look before you cut this program, because you are going to be basically eating your seed corn for a program that reaps benefits far beyond what it costs,” said Steve Rossetti, director of government affairs for the American Logistics Association.

Commissaries and exchanges provide a $20 return in economic benefit to the nation for every $1 of funding given to both programs, the group said. The grocery savings also helps families save money for the future and allows them to spend those dollars at other businesses. 

Budget cuts to commissaries could raise prices, force layoffs and shorten store hours, Rossetti said.

Camp Pendleton Marine Kenneth Keiser said he values the savings when he shops at the commissary for his wife and two children. He said he funnels the extra dollars into savings and taking his kids to nearby attractions like Legoland.

 “It’s more convenient,” Keiser said.

The Defense Commissary Agency, which runs the military grocery stores, said no matter what happens, it will do “everything possible to minimize the impact of any budget decisions” on its customers, which include active, on reserve and retired military members, as well as their families.

The defense commissary said it has already stopped official travel for conferences and training that is “considered noncritical to the agency’s mission.”