Critics have raised concerns over Mayor Zohran Mamdani's proposal to establish government-run supermarkets across all five boroughs, estimating the taxpayer cost at a minimum of $70 million. This figure, critics argue, is substantial enough to fund over one million Costco memberships for New Yorkers. The plan, announced Monday by the mayor who campaigned on reducing costs through government-run markets, aims to offer select items at a 30% discount.

City Councilwoman Joann Ariola (R-Queens) stated, "$70M for slightly discounted produce is ridiculous. At this point it would be cheaper to just buy a million Costco memberships. We’d save $5M in taxpayer funds, and the public can buy their items in bulk. Win-win."

According to reports, the $70 million earmarked for the construction of five stores—one in each borough—could alternatively purchase approximately eight basic Costco memberships for every resident of East Harlem. The first government-run market is not expected to open until 2027 at the earliest. So far, only two locations have been announced: one in the Hunts Point neighborhood of the South Bronx at The Peninsula, and a second planned for a 9,000-square-foot space in East Harlem's Marqueta.

Councilman Phil Wong (D-Queens) drew comparisons to state-owned grocery stores in communist China, expressing concern about potential economic failures. "Back in mainland China where my parents and grandparents fled, these state owned grocery are price controlled but because they are provide controlled the shelves are empty," Wong said. "They only way for you to buy them when people to rush to buy them is to ration ticket. It doesn’t work. It’s simple economics, you have a supply and demand issue. We know it doesn’t work but the only person who doesn’t know it is the mayor and his people."

Democratic operative Hank Sheinkopf suggested the plan, while appealing in theory, faces practical challenges and potential cost overruns. "It all sounds good until you have to do it. He’s running a great show. Itss like free busses. It’s not going to happen."

City Hall estimates that shoppers could save approximately $90 per month once the stores become operational, a saving that would exceed the annual cost of a Costco membership. City Hall did not immediately respond to a request for comment.