the not-so-empty calories we drink
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The Not-So-Empty Calories We Drink. Kerry O’Rourke HPA 430 2.12.13. Policy Action Plan Overview. Position: Illinois should impose an excise tax on sugar-sweetened beverages Why? Research shows that making soda and other drinks with added sugar more expensive can reduce consumption - PowerPoint PPT PresentationTRANSCRIPT
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THENOT-SO-EMPTY
CALORIESWE DRINK
Kerry O’RourkeHPA 4302.12.13
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POLICY ACTION PLAN OVERVIEW Position: Illinois should impose an excise
tax on sugar-sweetened beverages
Why? Research shows that making soda and other drinks with added sugar more expensive can reduce consumption
End Goal: Reduce rates of obesity in children and adults
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IT’S NOT JUST SODA…GULP! It’s SSBs (sugar-sweetened beverages)
Sports drinks Fruit drinks Teas Flavored/enhanced waters Energy drinks Soda (or pop, as we say in Illinois)
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WHY PICK ON SODA? Since late 1970s, adult consumption of
SSBs has more than doubled.
SSBs provide the largest source of daily calories in the diets of U.S. children ages 2-18.
SSB consumption is highest among the groups that are at greatest risk of obesity and type 2 diabetes.
Source: Friedman RR, Brownell, K. (October 2012). Rudd Report on Sugar-Sweetened Beverage Taxes: An Updated Policy Brief. Yale Rudd Center for Food Policy & Obesity.
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THE SKINNY ON SUGAR
One 12-oz can of soda has about 10 tsp of sugar -- about as much added sugar as the USDA recommends we have each day
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WHY IMPOSE A TAX? Research shows making these drinks more
expensive could reduce consumption
Taxing tobacco has worked to reduce consumption
Revenue can pay for nutrition programs and obesity prevention efforts
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OBESITY AND TAXES
Two complicated topics!
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EXCISE VS. SALES TAXES What’s the difference?
Excise taxes are reflected in the shelf price of an item
Sales taxes are added at the register
Excise taxes can be more effective Consumers notice the higher price when they
reach for the beverage on the shelf
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RESEARCH IS POURING IN One systematic review reported that a 10%
price increase could reduce soft drink consumption by ~8%.
The evidence suggests that a tax of 1 cent or 2 cents per ounce would raise prices enough to reduce consumption.
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BUT MORE RESEARCH IS NEEDED Experts aren’t yet sure what the impact of
taxes will be on actual weight loss. So, we won’t stop other efforts.
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THE SITUATION IN ILLINOIS
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OBESITY AMONG ADULTS IN ILLINOIS
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OBESITY AMONG YOUTH IN ILLINOIS
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RESEARCH IN ILLINOIS Ongoing at the Health Policy Center at UIC’s
Institute for Health Research and Policy NIH funding for a longitudinal study Testing the hypotheses that higher SSB state and
local taxes will lead to: Lower household SSB purchasing Lower BMIs and obesity rates
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RESEARCH IN ILLINOIS The IHRP team is looking at numerous
outcomes: Beverage consumption Tax revenues Frequency of SSB consumption Diabetes incidence Health care costs of diabetes Obesity prevalence Obesity-related health care costs
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ALTERNATIVE TAX SCENARIOS
No Tax 1 cent All Beverages 1 Cent SSBs Only 2 Cents all Beverages 2 Cents SSBs Only0
100
200
300
400
500
600
700620.1
522.7473.9
425.2
327.8
Estimated SSB Consumption,Illinois 2011
(In Millions of Gallons)
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THE “WIN-WIN” FOR ILLINOISSSB tax increase
↓New revenues
↓Reduce SSB consumption
↓Reduce obesity and related diseases
↓Lower health care costs and healthier residents
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INCREASING TAX IN ILLINOIS Illinois has a sales tax of 6.25% now on many
beverages Chicago has an additional 3% tax on bottled
and canned soda and an additional 9% tax on fountain soda syrup A resolution was introduced last spring in the
Chicago City Council designed to “start a dialogue” on the subject
The Illinois legislature has enacted a soda tax cap for Chicago
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INCREASING TAX IN ILLINOIS The path to a tax increase goes through the
General Assembly
SB396 was introduced in 2011
1-cent per ounce excise tax on SSBs to be paid by beverage distributors
Creation of Illinois Health Promotion Fund
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POSSIBLE NEXT STEPS Senator John G.
Mulroe (D)10th District in Chicago
Chair of the Public Health Committee
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PUBLIC HEALTH COMMITTEE Chair: John G. Mulroe-D Vice-Chair: Mattie Hunter-D Members: Napoleon Harris III-D Kwame Raoul-D Heather A. Steans-D Patricia Van Pelt-D Minority Spokesperson: Dave Syverson-R Members: Darin M. LaHood-R Jim Oberweis-R
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POSSIBLE NEXT STEPS Revisit SB 396
Strategy Additional supporters Amount of tax Group paying the tax
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FROM A PUBLIC HEALTH PERSPECTIVE Emphasize the benefits to children Highlight recent research Position it as a population health measure
Success of tobacco taxes
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STAKEHOLDERS LIKELY TO SUPPORT TAX PRO Government-Related
Illinois Department of Public Health Chicago Department of Public Health Cook County Department of Public Health National Conference on Mayors Institute of Medicine United Nations White House Task Force on Childhood Obesity
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STAKEHOLDERS LIKELY TO SUPPORT TAX PRO Community-Based Organizations/Non-Profits
CLOCC (Consortium to Lower Obesity in Chicago Children)
Illinois Alliance to Prevent Obesity
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STAKEHOLDERS LIKELY TO SUPPORT TAX PRO Professional Groups
American Medical Association American Academy of Pediatrics American Public Health Association American Cancer Society American Heart Association
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STAKEHOLDERS LIKELY TO SUPPORT TAX PRO Universities
Institute on Health Research and Policy at UIC Yale Rudd Center for Food Policy & Obesity UC Berkeley’s Center for Health and Public Policy
Studies Think Tanks
Bipartisan Policy Center Brookings Institution Urban Institute
Foundations Robert Wood Johnson Foundation
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STAKEHOLDERS LIKELY TO OPPOSE TAX CON Business and Industry/Trade Groups
Illinois Restaurant Association Illinois Beverage Association (includes
distributors) Illinois Food Retailers Association
Advocacy Groups Chicago Coalition Against Beverage Taxes Americans for Tax Reform
Unions Teamsters
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REFERENCES Amendment to Senate Bill 396. (2011, April 1). Springfield, IL: Illinois General Assembly. Chaloupka, F. J., Wang, Y. C., Powell, L. M., Andreyeva, T., Chriqui, J. F., & Rimkus, L. M. (October 2011).
Estimating the Potential Impact of Sugar-Sweetened and Other Beverage Excise Taxes in Illinois. Cook County Department of Public Health.
Chicago Department of Public Health. (July 2010). Can Taxes on Sugar-Sweetened Beverages Reduce Obesity?
Choucair, B. (May 2012). The Relationship between obesity and sugar-sweetened beverages; testimony from Dr. Bechara Choucair.
Eng, M. (2012, April 30). City set to hear testimony on soda taxes. Chicago Tribune. Friedman RR Brownell, K. (October 2012). Rudd Report on Sugar-Sweetened Beverage Taxes: An Updated
Policy Brief. Yale Rudd Center for Food Policy & Obesity. Lustig, R. H., Schmidt, L. A., & Brindis, C. D. (2012). The toxic truth about sugar. Nature, 27-29. The Urban Institute. (2009, July 24). Reducing Obesity: Policy Strategies from the Tobacco Warsr.
Retrieved from http://www.urban.org/publications/411926.html U.S. Centers for Disease Control and Prevention. (2010, 2011). Behavioral Risk Factor Surveillance
System. Retrieved from http://www.cdc.gov/brfss/index.htm UIC Institute for Health Research and Policy. (n.d.). Association Between Local and State Sugar-Sweetened
Beverage Taxes, Beverage Purchasing Patterns and Weight. Retrieved from http://www.ihrp.uic.edu/study/association-between-local-and-state-sugar-sweetened-beverage-taxes-beverage-purchasing-pattern
Yale Rudd Center for Food Policy & Obesity. (November 2012). Sugar-Sweetened Beverage Taxes and Sugar Intake: Policy Statements, Endorsements, and Recommendations.
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QUESTIONS? Thank you