The Boston Metropolis Council will quickly take into account whether or not to undertake a particular tax on drinks together with soda and sugary drinks. This ill-timed and pointless concept, if supported by each the Metropolis Council and the Massachusetts Legislature, will add yet one more value enhance for Boston households and one more problem for our small enterprise neighborhood. I strongly oppose this tax and hope the Council will focus as an alternative on points that enhance the lives of our residents.
The concept has been introduced for a listening to requires imposing a tax of two cents per ounce on sugar-sweetened drinks – not 2 cents per beverage, however 2 cents per ounce. To place that quantity in perspective, underneath this tax the price of a 2-liter beverage would enhance by $1.35, and the price of an 18-pack of 12-oz cans of soda or bottles of sports activities drinks would leap $4.32 – no matter any gross sales, coupons or deposits. The worth of some beverage manufacturers would enhance 60% or extra.
In neighborhoods all through Boston, residents and our seniors are already feeling the affect of rising grocery costs, together with on on a regular basis drinks. In line with the newest Client Worth Index (CPI) report for the Boston space, costs for meats, poultry, fish and eggs are up 3.3% yr over yr. Costs for nonalcoholic drinks and beverage supplies grew even quicker, with prices rising 3.5%, earlier than any new taxes. These are actual prices for Boston households – prices we within the Council needs to be searching for methods to mitigate, not enhance. This tax would put the burden on working households already attempting to make ends meet.
These value will increase additionally affect small companies. A latest survey from the MassInc Polling Group (MPG) discovered that “rising prices of operation from inflation” was far and away the primary concern for small companies in Massachusetts, a priority I hear from storeowners and restaurant house owners throughout my district. Imposing this new tax will exacerbate these considerations by pushing prospects to adjoining cities and lowering enterprise income and jobs throughout the Metropolis of Boston.
After Philadelphia imposed an analogous tax in 2017, researchers discovered that complete quantity gross sales of sugar or artificially sweetened drinks fell by 51% in that metropolis, whereas rising greater than 24% in zip codes adjoining to Philadelphia. The tax additionally led to greater than 1,000 misplaced jobs within the metropolis’s retail, transportation, and different industries. Pushing retail gross sales to different cities and cities does nothing to enhance the lives of Boston residents, however it does damage our enterprise house owners and their workers.
We have to as an alternative give attention to high quality of life points and delivering primary metropolis companies. Any tax enhance proposal handed by the Council and signed by the mayor requires approval of the state Legislature, a street we’ve got tried to journey a number of occasions over the previous few years to no avail.
What’s extra, we’re someway as soon as once more contemplating elevating revenues by taxing our constituents somewhat than different potential native choices that would unfold the affect to vacationers and guests. Nor are we discussing any kind of funds adjustments that might permit the town to function with out asking our residents and companies for extra money.
Our neighbors are inundated with rising costs, and our small companies are combating added prices. Is our answer actually to take a seat within the Council Chamber and focus on including to their monetary woes? As an alternative of pursuing options that can’t even be carried out on the native degree, let’s spend extra time understanding and helping with the financial points that our constituents are dealing with each day.
The proposed beverage tax is dangerous coverage and dangerous timing. I hope my colleagues will be part of me in swiftly dismissing the concept and focus as an alternative on coverage adjustments that can provide aid and alternative to all of Boston.
Ed Flynn is a Boston Metropolis Councilor representing District 2
