Springfield City Council approves traffic improvements for proposed Costco
SPRINGFIELD, Mo. (KY3) -
The city of Springfield approved the plans for traffic improvements around a new Costco in east Springfield.
If things progress as planned, Costco would break ground in spring 2021 and open in fall 2021. Costco operates membership warehouses similar to Sam’s Clubs.
The council approved plans for the Costco site located south of Chestnut Expressway at Eastgate and U.S. 65. In order to provide an adequate building site for Costco, the city must relocate Eastgate south of Chestnut Expressway. The city will also make stormwater improvements. Costs could reach nearly $5 million. Costco will pay for these improvements and the city will reimburse Costco using a portion of the local sales taxes generated by their facility. This agreement will reimburse Costco using one-half of the 1-cent general sales tax, 1/4-cent capital improvements sales tax and 1/8-cent transportation sales tax. The agreement has a term not to exceed 15 years, however, it is anticipated reimbursement will occur earlier. In any event, any expenditures not reimbursed at the end of 15 years will be the developer’s responsibility. The city will pay the developer interest on the unpaid balance at a rate of 5%.
Costco expects to hire a minimum of 125 people in Springfield, a figure that could rise well above 200 because the company’s model is for employment to grow as sales grow. The average hourly rate of pay for Costco employees is $25.50. A full-time cashier’s annual salary after five years is $52,944.
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