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Use of Measure Z sugar-sweetened beverage tax revenue

Santa Cruz

Summary

The city has collected $3.5 million from the sugar-sweetened beverage tax, but a court appeal means that money likely can't be spent for a year to 18 months. The committee is building a work plan and funding strategy, which will eventually need council approval.

At a glance

Total mentions
5
Last 30 days
1

Discussed at 1 meeting in the last 60 days; most recently Oct 22, 2026.

Impact analysis

💰Financial impact

About $3.5 million in tax revenue is collected and earning interest but likely won't be spent for a year to 18 months while the appeal plays out.

✅Who benefits

Residents who voted for the tax could eventually see funded programs once the appeal resolves and a spending strategy is approved.

⚠️Who could be affected

Some speakers called the tax regressive and questioned the fairness of member selection.

Mentions & discussions (9)

MeetingOct 22, 2026discussed

Sugar-Sweetened Beverage Tax Oversight Committee — October 22, 2026

Santa Cruz voters approved a tax on sugary drinks, and this committee is figuring out how to spend the money. Boulder, Colorado's Health Equity Fund — which grants soda tax revenue to community health organizations — was presented as a possible model. The committee's recommendations will shape local health programs for years.

MeetingAug 13, 2026

Sugar-Sweetened Beverage Tax Oversight Committee — August 13, 2026

The city has collected $3.5 million from the sugar-sweetened beverage tax, but a court appeal means that money likely can't be spent for a year to 18 months. The committee is building a work plan and funding strategy, which will eventually need council approval.

MeetingMar 26, 2026

Sugar-Sweetened Beverage Tax Oversight Committee — March 26, 2026

Voters approved a two-cents-per-ounce tax on sugary drinks in November 2024, expected to raise about $1.3 million a year for parks, youth and senior programs, and public safety. This new committee will oversee how those funds are used — but a lawsuit from the grocery industry is holding up spending.

MeetingFeb 10, 2026

City Council — February 10, 2026

The council seated the committee that decides how sugar-tax money gets spent — ratifying Barbara Lawrence, appointing Vice Mayor Kalantari-Johnson, and ratifying five at-large members. Some public speakers criticized the selection process and how the funds might be used.

MeetingJan 13, 2026approved

City Council — January 13, 2026

The Council adopted a framework for the committee that will oversee how the voter-approved sugar-sweetened beverage tax money is spent, with two east-side community members already appointed.

Zócalo Public SquareJun 3, 2025

A Rebellion Is Fizzing in Santa Cruz Because of the City's Soda Tax

A Rebellion Is Fizzing in Santa Cruz Because of the City's Soda Tax Zócalo Public Square

CalMattersMay 9, 2025

Santa Cruz goes ahead with soda tax in defiance of state law

Santa Cruz goes ahead with soda tax in defiance of state law CalMatters

Los Angeles TimesMay 1, 2025

Here’s why Santa Cruz just added a soda tax, in defiance of a statewide ban

Here’s why Santa Cruz just added a soda tax, in defiance of a statewide ban Los Angeles Times

AP NewsApr 30, 2025

Northern California town’s sugary soda tax is first to defy state ban

Northern California town’s sugary soda tax is first to defy state ban AP News

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