PHILADELPHIA (AP) — Philadelphia's new tax on sweetened beverages is slightly exceeding expectations.
Figures released Thursday by the city's Department of Revenue show the tax brought in $6.4 million in February. The city had projected the tax would generate $6.3 million for the month.
The 1.5-cent-per-ounce tax on sweetened and diet beverages funds pre-K and community schools. It also will help pay to renovate recreation centers, libraries and parks.
The tax generated $5.9 million in January, more than double its prediction of $2.3 million.
The tax is imposed at the distributor level. If fully passed onto the consumer, it amounts to $1.44 on a six-pack of 16 ounce bottles.
Pepsi is pulling 2-liter bottles and 12-packs of its products from Philadelphia stores to offer products and sizes that working families can better afford.
This story has been corrected to show the city's projection for February was $6.3 million, not $5.9 million.