Relating To Sugar-sweetened Beverages.
The bill sets forth not only the fee structure but also the appropriations necessary for the program's implementation. It allocates $250,000 for each fiscal year 2025-2026 and 2026-2027 to support hiring and operational costs associated with the program. Additionally, the Act establishes an advisory committee to oversee the Healthy Ohana Trust Fund, which will manage and allocate funds specifically targeted toward health promotion and disease prevention initiatives. The legislation marks a significant shift in how the state addresses health and wellness through fiscal measures aimed at behavioral change regarding sugary drink consumption.
SB719, known as the Healthy Ohana Act of 2025, aims to address public health issues in Hawaii by establishing a Sugar-Sweetened Beverage Fee Program administered by the Department of Health. The Act introduces a fee of two cents per fluid ounce on the distribution and sale of sugar-sweetened beverages, effective July 1, 2026. The revenue generated from this fee will be deposited into the Healthy Ohana Special Fund, which will be utilized to support programs aimed at preventing obesity and chronic diseases, as well as addressing health disparities among underprivileged communities in the state. The law emphasizes the importance of reducing sugar consumption, particularly given the association of sugar-sweetened beverages with various health issues including obesity, diabetes, and heart disease.
Despite its potential benefits, the bill is expected to face contention over the implications of imposing such fees on consumers and distributors. Opponents may argue that these additional costs could disproportionately affect lower-income families who regularly consume these beverages. Supporters, however, emphasize the long-term benefits, including reduced healthcare costs and improved public health outcomes. The complexities surrounding the fee's impact on industry practices and consumer behavior will likely be areas of ongoing discussion as the bill progresses.