The No on Z campaign mailed fliers to Santa Cruz voters, sent people door to door and blanketed social media and TV with advertisements ahead of the Nov. 5, 2024 election. (Photo collage by Jesse Kathan)
SANTA CRUZ >> The City of Santa Cruz has prevailed in a lawsuit that challenged its voter-approved sugary beverage tax after a Sacramento Superior Court judge denied a petition from the California Grocers Association, the American Beverage Association and other industry groups.
City voters approved Measure Z in November 2024 with more than 52% of the vote, in defiance of a state law that sought to ban local authorities from implementing soda taxes. At the time of the election, city leaders said a lawsuit was all but guaranteed if voters approved the tax — and were willing to take on the fight.
Beverage corporations including Coca-Cola Co., PepsiCo Inc. and Red Bull poured in more than $1 million dollars to oppose Measure Z and sent campaign mailers warning voters that if it was adopted it would lead to costly litigation from city coffers.
The judge’s ruling asserted that the state law, The Keep Groceries Affordable Act of 2018, does not prevent local municipalities like Santa Cruz from adopting a soda tax because the issue is not a statewide concern, the litmus test for when state law can override local charters.
In a press release sent to media June 30, Santa Cruz Vice Mayor Shebreh Kalantari-Johnson wrote that “the court’s ruling sends a clear message: local democracy can withstand even the deepest-pocketed opposition.”
The release stated that an appeal is expected. Once the court officially files the judge’s decision, the plaintiffs will have 60 days to file an appeal.
Questions or comments? Email [email protected]. Santa Cruz Local is supported by members, major donors, sponsors and grants for the general support of our newsroom. Our news judgments are made independently and not on the basis of donor support. Learn more about Santa Cruz Local and how we are funded.
Nik Altenberg is a bilingual reporter and assistant editor at Santa Cruz Local. Nik Altenberg es reportera bilingüe y editora asistente para Santa Cruz Local.
