Portage County food banks using settlement payout from Dollar General to stock pantries

The Center of Hope and Kent Social Services will receive part of a $1 million settlement from earlier this year over allegations that Dollar General used deceptive pricing practices at its Ohio stores.

Ohio Attorney General Dave Yost recently announced that $750,000 of the settlement would be split among food banks and hunger relief organizations within the state's 88 counties.

Portage County Auditor Matt Kelly said each county auditor in Ohio was asked to select select two food pantries to benefit from the settlement. The Ravenna and Kent food pantries will receive about $7,400 each.

Kelly said he selected the Center of Hope and Kent Social Services because he appreciates the work both agencies do, as he had the chance to see it firsthand during a Christmas gift distribution during the recent holiday season.

"I’m so glad we are able to assist both of these wonderful organizations," he said. "I’ve seen firsthand the critical aid that both Center of Hope and Kent Social Services provide to Portage County."

Settlement details

In announcing the settlement, Yost said the goal was to bring some monetary restitution for the deceptive pricing practices that the Tennessee-based discount retail giant allegedly engaged in.

According to the allegations in the attorney general's lawsuit, Dollar General was advertising goods for one price and charging a higher price at the register. Yost filed the lawsuit against the retail chain last year after reports and tests out of Butler County revealed that 20 Dollar General stores within the county had overcharge error rates ranging from 16.7% to 88.2%.

Under the settlement, Dollar General denied any wrongdoing.

Yost said the remaining $250,000 from the settlement will be used to cover the costs of the investigation and litigation against Dollar General.

In addition to the monetary relief, the settlement requires that Dollar General:

• Ensure items are rung up at the correct price at the register.

• Make sure district managers conduct random price checks every 45 days.

• Make stores that receive three failed auditor reports within six months complete a full-store assessment and check the price of every item in the store.

• Educate all employees about the policy and post signs in its Ohio stores informing customers of the same.

Food pantries struggling

The funding comes at a tough time for local food pantries. Marquice Seward, program manager at Kent Social Services, and Lajoyce Harris, who heads the Center of Hope, say just after the holiday season, pantry shelves are bare and donations have dropped.

Kelly said he was originally told that food pantries would get initial payments of $1,000 and was surprised when both pantry directors told him they had each received about $7,400.

Seward said the funding would be used to "continue to stock our shelves" and "aid us in addressing food insecurity."

"The need doesn't stop just because the holidays are over," she said.

Kent Social Services, she said, served 20,000 hot meals last year and fed 387 people through its food pantry, or more than 200 households, in December alone.

Harris said the Center of Hope has seen a "dramatic" increase in the demand for its services over the past year, with at least 15 people coming to the agency each day in December.

"This will definitely help us in order to keep the pantry stocked," she said. "With this money given to us, we're able to serve our community without skipping a beat. It's great."

Kelly said he's glad both agencies can further their missions with the settlement funds.

"Both Marquice and Lajoyce have such a love and passion for helping our community, and this money will go towards helping with that," he said.

Reporter Diane Smith can be reached by calling 330-298-1139 or dsmith@recordpub.com. The Columbus Dispatch contributed to this story.

This article originally appeared on Record-Courier: Money from Dollar General settlement will go to 2 Portage food banks