‘Reusable Giant Bags’
courtesy of ‘Mr. T in DC’

The District’s 5-cent bag tax, which started in January 2010,  netted approximately $150,000 during its first month of enactment. According to the D.C. Office of Tax and Revenue, only 3 million bags were issued in the month of January compared to 2009’s 22.5 million bags per month average, and it appears that the new law DC shoppers has been successful in altering  shopping bag habits faster than was expected.

Prior to enactment, the new tax was estimated to generate $10 million in revenue over the next four years and would fund the Anacostia River Cleanup Fund. Given January’s results it appears that consumer behavior has changed so rapidly that this revenue may fall short of its original projection.