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| Soda Tax Passes in Philadelphia. Advocates Ask: Who’s Next? | Soda Tax Passes in Philadelphia. Advocates Ask: Who’s Next? |
| (35 minutes later) | |
| PHILADELPHIA — Forty times, city or state governments have proposed taxes on sugary soft drinks, failing each time. When, in 2014, liberal Berkeley, Calif., passed such a tax, most people saw it as an aberration. Several measures, including one in New York, never won much support. | PHILADELPHIA — Forty times, city or state governments have proposed taxes on sugary soft drinks, failing each time. When, in 2014, liberal Berkeley, Calif., passed such a tax, most people saw it as an aberration. Several measures, including one in New York, never won much support. |
| But Thursday, a measure to tax sweetened drinks passed in Philadelphia, one of the country’s largest cities — and also one of its poorest. Indeed, boosting revenue was the winning argument in Philadelphia. | But Thursday, a measure to tax sweetened drinks passed in Philadelphia, one of the country’s largest cities — and also one of its poorest. Indeed, boosting revenue was the winning argument in Philadelphia. |
| Jim Kenney, the city’s mayor, took a different tack than politicians who have tried and failed to pass sugary drink taxes. He didn’t talk about the tax as a nanny-state measure designed to discourage sugar-saturated soft drinks. And he didn’t promise to earmark the proceeds for health programs. Instead, he cast the soft drink industry as a tantalizing revenue source that could be tapped to fund popular city programs, including universal prekindergarten. | Jim Kenney, the city’s mayor, took a different tack than politicians who have tried and failed to pass sugary drink taxes. He didn’t talk about the tax as a nanny-state measure designed to discourage sugar-saturated soft drinks. And he didn’t promise to earmark the proceeds for health programs. Instead, he cast the soft drink industry as a tantalizing revenue source that could be tapped to fund popular city programs, including universal prekindergarten. |
| Many analysts think — and the soft drink industry fears — that this approach may be used in other cities. The advocates who have pushed for the policy say it is a sign of growing public acceptance of soft drink taxes, and presages more such measures around the country. | Many analysts think — and the soft drink industry fears — that this approach may be used in other cities. The advocates who have pushed for the policy say it is a sign of growing public acceptance of soft drink taxes, and presages more such measures around the country. |
| “If we go five years ahead and look back, I think this is going to be a watershed moment,” said Jim Krieger, executive director at Healthy Food America, an organization that is helping cities around the country that are considering soda taxes. “This is going to really provide momentum.” | |
| San Francisco; Oakland, Calif.; and Boulder, Colo., are considering soft drink taxes this year. But Mr. Krieger said that several other communities are now looking at the policy as a way to improve public health and raise needed revenue. He wouldn’t be specific, but said the list of interested cities included some that are as large and diverse as Philadelphia. | San Francisco; Oakland, Calif.; and Boulder, Colo., are considering soft drink taxes this year. But Mr. Krieger said that several other communities are now looking at the policy as a way to improve public health and raise needed revenue. He wouldn’t be specific, but said the list of interested cities included some that are as large and diverse as Philadelphia. |
| The Philadelphia tax of 1.5 cents an ounce will apply to all sugary or artificially sweetened drinks sold by distributors in the city. It is expected to increase prices. It is also expected to substantially reduce sales of sweetened drinks. | The Philadelphia tax of 1.5 cents an ounce will apply to all sugary or artificially sweetened drinks sold by distributors in the city. It is expected to increase prices. It is also expected to substantially reduce sales of sweetened drinks. |
| The soft drink industry and its allies, including the Teamsters union and local grocers, spent nearly $5 million on lobbying and advertising to fight the tax in Philadelphia. They held rallies and demonstrations downtown and ran anti-tax ads on television and the radio, right up until Thursday’s final vote. They branded the drinks tax measure as a “grocery tax,” suggesting that more food products were next. | The soft drink industry and its allies, including the Teamsters union and local grocers, spent nearly $5 million on lobbying and advertising to fight the tax in Philadelphia. They held rallies and demonstrations downtown and ran anti-tax ads on television and the radio, right up until Thursday’s final vote. They branded the drinks tax measure as a “grocery tax,” suggesting that more food products were next. |
| The soda industry has argued that Philadelphia’s politics are unusual, and the vote here can’t be seen as predictive of future efforts. The American Beverage Association, a trade group, has vowed to fight the measure in the courts. | The soda industry has argued that Philadelphia’s politics are unusual, and the vote here can’t be seen as predictive of future efforts. The American Beverage Association, a trade group, has vowed to fight the measure in the courts. |
| “The fact remains that these taxes are discriminatory and highly unpopular, not only with Philadelphians, but with all Americans,” said Lauren Kane, a spokeswoman for the group, in a statement. “Similar tax proposals have been rejected 43 times across the country in the past eight years, including twice in Philadelphia.” | “The fact remains that these taxes are discriminatory and highly unpopular, not only with Philadelphians, but with all Americans,” said Lauren Kane, a spokeswoman for the group, in a statement. “Similar tax proposals have been rejected 43 times across the country in the past eight years, including twice in Philadelphia.” |
| Thursday, the industry and its allies vented frustration. Daniel Grace, the secretary and treasurer of the local Teamster’s local, said advocates had “snookered City Council,” and described the tax as a “brazen cash grab from one industry.” | Thursday, the industry and its allies vented frustration. Daniel Grace, the secretary and treasurer of the local Teamster’s local, said advocates had “snookered City Council,” and described the tax as a “brazen cash grab from one industry.” |
| The promise of prekindergarten energized the city’s education advocates, who joined with public health advocates. But Mr. Kenney’s focus on revenue also allowed him to help cut deals with skeptical city councilors. Ultimately, the soft drink tax revenue won’t pay just for prekindergarten, but a host of city programs, reflecting the priorities of the council members who voted for it. | The promise of prekindergarten energized the city’s education advocates, who joined with public health advocates. But Mr. Kenney’s focus on revenue also allowed him to help cut deals with skeptical city councilors. Ultimately, the soft drink tax revenue won’t pay just for prekindergarten, but a host of city programs, reflecting the priorities of the council members who voted for it. |