The Numbers Are In: Cook County Beverage Sales Continue to Decline, Consumer Flight and Resident Outrage Grows

Lawndale News Chicago's Bilingual Newspaper - Business

Cook County retailers and employees released a new analysis showing that beverage sales continue to drastically decline in Cook County since the county’s unfair and overreaching beverage tax went into effect on August 2nd. Members of the Illinois Food Retailers Association and their employees held a news conference at Leamington Foods in North Lawndale to roll out this new analysis as opposition to the beverage tax among residents reaches nearly 90 percent. “The beverage tax is as bad as we expected, but sales have declined at a much quicker pace than we anticipated,” said Frank Guiglio, district manager for Tony’s Fresh Market. All of Tony’s 13 stores have seen declines in effected beverage sales between 19 to 44 percent. “I have never seen so much outrage and anger that is being displayed by our Tony’s customers regarding this regressive beverage tax,” added Guiglio. Stores near the county border have experienced some of the greatest declines in beverage sales, with some seeing declines nearing 50 percent compared to sales in August 2016.

Lawndale News Chicago's Bilingual Newspaper - Business

“Lower sales means that we have to cut down hours from all employees,” said Laurie Tenuta, district manager for Valli Produce International Fresh Market whose store has seen juice, sports drinks, lemonade and ice tea sales decline by over 54 percent. “It is not right for them to have to lose hours or have to suffer because of this tax.” A bipartisan ordinance to repeal the county’s beverage tax was formally introduced last week and a hearing and vote in the County Board’s Finance Committee is expected before the next County Board meeting on October 11th. “These beverage sale declines matter. This tax is something that the county has inflicted on residents, has inflicted on employers and has inflicted on their workers,” said Brian Jordan, president of the Illinois Food Retailers Association. The news conference took place the same day Cook County begins collecting a floor tax that will collect the beverage tax from retailers on all the beverages they have stocked in their store. This equates to retailers fronting Cook County thousands of dollars to pre-pay the beverage tax in hopes of recouping the cost in the future.

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