Newsom needs voter approval to tax individual cans of soda and sugary juice, but he only needs approval from the Board of Supervisors to levy a tax on retailers.
His tax legislation would charge grocery stores, but would not affect restaurants that serve sodas.
Newsom wouldn't say how much the stores would have to pay or how the city would spend the tax money. Back in 2007 when he first suggested the idea, he said the money would go to his Shape Up San Francisco exercise program and for media campaigns to discourage soda drinking.
The city attorney has warned him the city would probably be sued over the matter, but what does he care? He said it is worth the risk to try to curb a leading cause of obesity and diabetes. (and for the tax money?)
"We know we'll be sued," he said. "But I really believe this is important to do."
A soda tax has also come up in the national debate about health care reform as one way to help pay to insure more people.
The American Beverage Association has responded saying: "If our goal is to address obesity, then educating consumers about the importance of balancing calories consumed from all foods and beverages with the calories expended through physical activity is what matters - not demonizing any one particular food." Jim Lazarus, vice president of the San Francisco Chamber of Commerce, said the group opposes the soda tax.
"Does this mean there's a fee on candy bars, on ice cream, on potato chips?" he asked. "Where do you draw the line?"
Coca-Cola Co. CEO Muhtar Kent said "I've never seen it work where a government tells people what to eat and what to drink,"