Voters in the Bay Area city of Richmond, CA, overwhelmingly rejected a proposed tax yesterday that would have made the city the first in the U.S. to tax businesses that sell sodas and other sugary drinks.
Measure N would have taxed local merchants a penny per ounce on sales of beverages containing added sugar, a category comprising more than 700 products and brands, according to a story in the Contra Costa Times.
Proponents hoped the tax would raise prices on sugar-added drinks and reduce sales while providing funding to reduce Richmond's high rates of childhood obesity.
But the American Beverage Association spent nearly $2.5 million saturating the city with "No on No" campaign signs and radio and TV ads.