CHICAGO -- A Cook County, Ill., judge has extended a temporary restraining order blocking a pending soda tax for at least another week.
Judge Daniel Kubasiak heard arguments in the case on July 21 and said he will rule on the issue on Friday, July 28.
The restraining order was put in place June 30—a day before the tax was to begin—at the request of the Illinois Retail Merchants Association, which is claiming the tax is too vague and unconstitutional.
Cook County officials adopted the 1-cent-per-ounce tax on all beverages to raise money for its general fund. The county anticipated the tax would raise more than $67 million this year and $200 million in 2018.
Since implementation of the tax was delayed, the county has issued more than 100 layoff notices of county workers and threatened 1,000 more, saying they cannot afford to pay the salaries without the new tax income.
So-called soda taxes are becoming more popular for cities across the country as ways to either reduce consumers’ sugar intake, to raise revenue or both. Currently, sugar-sweetened drinks are taxed in five U.S. cities: Berkeley, Albany and Oakland, Calif.; Boulder, Colo.; and Philadelphia. New taxes will go into effect Jan. 1, 2018, in San Francisco and Seattle, making Kubasiak’s ruling a significant indicator of how soda taxes will progress in the future.
Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.