Philly mayor says $5.7M soda tax haul doubles projections

Philadelphia Mayor Jim Kenney says the city's soda tax raised $5.7 million in January, more than double what city officials had projected.

Kenney's announcement Thursday comes a day after some supermarkets and beverage distributors say they're gearing up for layoffs after seeing beverage sales fall by 30 percent to 50 percent—worse than the city predicted.

Kenney's announcement says the city projected the tax, which took effect last month, would generate about $2.3 million in January.

The city has projected the tax will raise about $91 million this year and that its revenue collections would pick up steam as the year progressed.

City officials expect soda sales to rebound once customers get used to the higher prices, and they say talk of layoffs is fearmongering meant to keep other cities from imposing a similar tax.