Committee reserves SB 921 for hearing after lawmaker warns sugar-sweetened beverage tax could hit farmers and school milk

The Finance, Revenue and Bonding Committee voted to reserve Senate Bill 921, which would impose a tax on sugar-sweetened beverages and dedicate revenue to school breakfast and lunch programs, for a subject-matter public hearing. The motion to reserve the bill passed on a roll-call vote.

During discussion, Representative Polleta said she would oppose reserving the bill and requested a roll-call vote, expressing concern about unintended consequences for farms and for products such as chocolate milk. “I think there could be some unintended consequences ... we're talking about a tax on sugary drinks that could mean something like chocolate milk,” she said, and asked committee members to consider possible impacts on constituents with farms in their districts.

The chair noted that reserving a bill for hearing is intended to permit fuller discussion and testimony about consequences. The roll-call on the motion to reserve SB 921 returned approximately 23 votes in favor and 10 against; the committee also announced it would hold votes open until 5 p.m. that day.

Why it matters: supporters of SB 921 intend the tax revenue to fund school breakfast and lunch programs; opponents raised concerns about whether the tax could unintentionally affect agricultural producers and products commonly provided to children. The committee did not adopt the bill at this meeting and scheduled a hearing so witnesses and agency officials can present testimony.