Southeastern PA

Philly mayor: $5.7M beverage tax haul doubles projections

Beverage sales fall by 30% - 50%, businesses say

PHILADELPHIA - Philadelphia Mayor Jim Kenney said the city's sweetened-beverage tax raised $5.7 million in January, more than double what city officials had projected.

Kenney's announcement Thursday came a day after some supermarkets and beverage distributors said they're gearing up for layoffs after seeing beverage sales fall by 30 percent to 50 percent.

Kenney's announcement said the city projected the tax, which took effect last month, would generate about $2.3 million in January.

The city has projected the tax will raise about $91 million this year and that its revenue collections would pick up steam as the year progressed.

City officials said they expect soda sales to rebound once customers get used to the higher prices, and they said talk of layoffs is fearmongering meant to keep other cities from imposing a similar tax.


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