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Pittsburgh Considers Tax On Soda, Energy Drinks

Most stores have entire aisles dedicated to sports drinks and soda. Now, Pittsburgh Mayor Luke Ravenstahl is showing an interest in the idea of adding a tax to these drinks.

A tax on sugar-sweetened beverages is already is being considered in Philadelphia.

Channel 11's news exchange partners at TribLive received a copy of a letter Ravenstahl sent to Philadelphia's mayor this week.

"Like Philadelphia and many other cities across the nation, Pittsburgh continues to seek policies that encourage our residents to maintain healthy lifestyles," Ravenstahl wrote, according to the Trib.

Pamela Rodrigues, who had just finished shopping at a Shadyside grocery store, liked the proposal.

"I just think it's great, because it's taxing ... As America moves towards trying to be more health-conscious, we are taxing people as a way to help them stop," Rodrigues said.

But Mark Geherian countered, "There's no need to be taxing that. You tax booze, cigarette, gas ... leave the pop alone."

The proposed tax would be 2 cents on every ounce.

That means the tax would add 40 cents to the cost of a 20-ounce bottle of pop and 24 cents to the price of a 12-ounce can. It would add $2.88 to the price of 12-packs and $1.35 to the cost of a 2-liter bottle.

The mayor believes that would generate $25 million to help Pittsburgh's troubled pension fund.

He said he is open to any ideas to raise revenue in the city without raising property taxes.

“I'll pursue any option that there is consensus, that we have the ability to build consensus around, and if the sugary drink tax is that option, wonderful,” Ravenstahl said. “If it's to raise the local services tax from $52 to $144, that works for me. If we want to look at levying the payroll preparation tax to nonprofits, that's fine too.”

An attorney for the Pennsylvania Beverage Association said he "would be deeply concerned about imposing another burdensome tax on the city's residents, businesses and visitors."

Allegheny County currently has a drink tax on poured alcoholic beverages. Funds from that tax go toward mass transit.

The only other city to impose a tax on sugary drinks is Chicago, where the levy is 3 percent.

Ravenstahl will be in Harrisburg next week to discuss the possible tax with lawmakers.



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