Faced with a crippling combination of low revenues, high labor costs and decreasing funding from the state, El Monte, Calif. is moving to declare a fiscal emergency and seek a tax on sugary beverages sold within the city, according to The Los Angeles Times in Los Angeles, Calif. For the full story, click here.
Editor’s Insight: Politicians in need of a quick budget fix think they can tax beverages.
The mayor explains that the tax will accomplish two goals: meet the budget gap and help improve public health. How coincidental!
The mayor also states that he expects the beverage companies to make this proposal controversial.
Right. Blame the soda companies for creating controversy. Something tells me consumers won’t be thinking this when they are forced to pay the tax. 07-25-12 By Elliot Maras