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shared by sirgabrial on 31 Mar 08 - Cached

Taking a bath on water tax
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BUDGET | Revenue from new fee far below what was expected
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Are Chicagoans trekking to the suburbs to buy cases of bottled water -- and avoid a new nickel-a-container tax that adds $1.20 to the price of a 24-pack? Or are they making the switch to tap water to save money?
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Revenues from Chicago's new bottled water tax are trickling in -- at a rate nearly 40 percent below projections -- exacerbating a budget crunch that has already prompted Mayor Daley to order $20 million in spending cuts.
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January collections were $554,000. That's far short of the $875,000-a-month needed to meet the city's $10.5 million-a-year projection.
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"Since January is generally one of the coldest months of the winter, we don't think January collections are a strong indicator of potential revenue for the remainder of the year," she said.
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But that doesn't explain away what Vite calls "enormous increases" in suburban bottled water sales, particularly in stores near the Chicago border.
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