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Philadelphia Soda Tax Strategy : Stress Needs, Not Health

PHILADELPHIA —In the city of cheese steaks and soft pretzels, a soda tax that regulates people’s behavior is a hard sell.
But Philadelphia is on the verge of becoming only the second city in the country to pass a tax on soft drinks, thanks to the mayor’s creative approach to push the plan as a way to address some of its other ills, including paying for pre-kindergarten opportunities, rebuilding crumbling recreation centers and creating community schools.

The 1.5 cent per ounce tax on regular and diet sodas is expected to raise $91 million. City council is set to approve the measure at its Thursday meeting.

It’s an approach that could be the key to victory for an idea that has failed twice in Philadelphia and dozens of times in places across the country in recent years – and a new strategy cities have been watching as Philadelphia is poised for a rare victory on an issue that has been unpopular.

“Cities learn from each other,” said Vanessa Williamson, a fellow at the Brookings Institute who studies American attitudes about taxation. “I would be very surprised if other cities weren’t going to think about whether the example set by Philadelphia can apply to their cities as well.”

Indeed, the City of Brotherly Love looked to Berkeley, California —the first city in the country to pass a soda tax last fall — for how they might pull off its own. But Berkeley, a town of less than 120,000, has nearly twice the median household income of Philadelphia and is overwhelmingly white.

In Philadelphia, often cited as the poorest big city in the country, more than 180,000 citizens – many of them children – live in deep poverty and only 45 percent of its 1.5 million residents are white.

“Berkeley’s not Philadelphia,” said City Councilwoman Blondell Reynolds-Brown, who voted in support of the soda tax in 2010 and 2011.

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