COUNCIL OF THE CITY OF PHILADELPHIA COMMITTEE ON PUBLIC HEALTH AND HUMAN SERVICES - - - Room 400, City Hall Philadelphia, Pennsylvania Tuesday, October 9, 2007 10:15 a.m. - - - PRESENT: COUNCILWOMAN MARIAN B. TASCO, CHAIR COUNCILWOMAN DONNA REED MILLER COUNCILMAN W. WILSON GOODE, JR. COUNCILMAN JAMES F. KENNEY COUNCILMAN JUAN RAMOS COUNCILWOMAN BLONDELL REYNOLDS BROWN BILL 070153 - An ordinance amending Title 6 of The Philadelphia Code, entitled "Health Code," by adding a new section requiring that chain restaurants obtain and display certain nutrition information... - - - V A R A L L O Incorporated Litigation Support Services Eleven Penn Center 1835 Market Street, Suite 600 Philadelphia, Pennsylvania 19103 215.561.2220 215.567.2670 2
Good morning. I would like to call the Committee on Public Health and Human Services to order and note that we do have a quorum in the presence of Councilman Goode; the sponsor of the legislation, Councilwoman Blondell Reynolds Brown; Councilman Kenney; and Councilwoman Donna Reed Miller. We will now have the Clerk read the title of the bill.
An ordinance 14 amending Title 6 of The Philadelphia Code, entitled "Health Code," by adding a new section requiring that chain restaurants obtain and display certain nutrition information for food, meal and beverage items offered for sale, and by making certain technical changes, all under certain terms and conditions.
Thank you. The Chair recognizes Councilwoman Blondell Reynolds Brown for any comments she might want to give, and 3 10/9/07 - PUBLIC HEALTH - BILL 070153 then we'll open the floor to other Councilmembers before we begin the testimony.
Good morning, and let me thank all of you for your interest and your anticipated expertise and perspective on this issue. Let me first attempt to put why we are discussing this in a context. There were a number of triggers for me. I will only speak to two. One of which speaks to the fact that childhood obesity, as reported by the National Institutes of Health and the Center for Disease Control, who recently produced a report, have made it plain and clear that childhood obesity is on the rise. Currently, nationally there are 11 million children, or 16 percent, of young people who are obese, and to the extent that government needs to be concerned about that, take a look at that as part of a piece of a bigger puzzle, then we need to do that. Thus, part of the 4 10/9/07 - PUBLIC HEALTH - BILL 070153 reason for the discussion today. The other trigger is -- and it's factual -- that Americans eat a third of calories from away-from-home foods, twice as many calories as in the 1980s. Without clear, easy-to-use nutrition information, it is difficult to make informed choices. Few people would guess that a small chocolate shake at McDonald's has more calories than a Big Mac. Nutrition information is especially needed by the millions of Americans who watch what they eat to manage medical conditions such as high cholesterol, high blood pressure or diabetes. Fewer than half of large chain restaurants provide nutrition information to their customers. And, again, the record needs to be clear that this measure that is up for consideration, discussion and debate is aimed at chain restaurants with ten or more, not your smaller independent 5 10/9/07 - PUBLIC HEALTH - BILL 070153 restaurants. We spent the summer hearing from a lot of you. We've spent the summer sitting down with heads of chains and actually franchise restaurant owners as well. So there's a lot to be learned on this issue and a good ways to go. The record should also reflect that Philadelphia is not a first in taking a closer look at this issue. More than cities and states across the 13 country see it as something that we need 14 to look at, are examining it, and for 15 sure each one of those cities and states 16 are arriving at different places. Our 17 goal is to come up with the best bill 18 that will meet the muster of this 19 Committee, the support of City Council and yet at the end of the day seeks to provide consumers with informed, factual information about what they're eating. Thank you, Madam Chair.
Thank you. Would any other Councilmembers 6 10/9/07 - PUBLIC HEALTH - BILL 070153 like to make comments? (No response.)
There being no comments from other members of the Council -- they will probably do so during the course of the testimony -- we now call on the Administration to come forward and present the testimony. We have testimony here from Dr. Kenneth Smith.
Good morning, Chairwoman Tasco and members of the Committee on Public Health and Human Services. I'm Dr. Kenneth Smith, Director of the Division of Chronic Disease Prevention in the Department of Public Health. Thank you for the opportunity to present testimony today on Bill 070153, which would require nutrition information on menu labels in chain restaurants in Philadelphia. Americans are increasingly 7 10/9/07 - PUBLIC HEALTH - BILL 070153 relying on restaurants to feed themselves and their families. Results from the National Health Interview Survey indicate that the proportion of Americans reporting three or more commercially prepared meals per week increased from 36 percent in 1987 to 41 percent in 2000. The average adult now eats out four meals per week, and American adults and children now consume about one-third of their calories from restaurants and other food service establishments. A growing body of scientific evidence links eating out with higher caloric intake, higher body mass index, BMI, weight gain, insulin resistance and obesity in both adults and children. McCrory and colleagues find that the frequency of restaurant food consumption is positively and statistically associated with an increase in body fat among men and women ages 19 to 80. One reason for the strong relationship between the frequency of 8 10/9/07 - PUBLIC HEALTH - BILL 070153 eating out and obesity is that compared to home-prepared foods, restaurant foods are generally higher in calories and saturated fats and lower in nutrients such as calcium and fiber. Because the average American eats out four meals per week, there is an increasing risk of exceeding one's caloric requirement not just for the day but for the entire week. One order of cheese fries with ranch dressing contains 3,010 calories. A large movie theatre popcorn with butter topping has over 1,600 calories. And a cafe mocha and pastry from a coffee shop provides more than a thousand calories. Given the FDA's recommended limit of 2,000 calories daily, these numbers offer food for thought for anyone concerned with counting calories. Few people would guess that a tuna sandwich from a typical deli has 50 percent more calories than a roast beef sandwich with mustard, or that a small milkshake has more calories than a 9 10/9/07 - PUBLIC HEALTH - BILL 070153 fast-food hamburger. And how many of us would know anything about the sodium, fat or carbohydrate content of these items? Unfortunately, most of us tend to lack the informed intuition about nutritional content of prepared foods needed to make healthy choices. Even trained specialists don't always get it right. A New York University study found that even some well-trained nutrition professionals could not accurately estimate the calorie content of typical menu items. When shown a typical fast-food hamburger and onion rings, a sample of dieticians estimated that it would contain only 865 calories, when it actually contained 1,550 calories. As not even experts in the field of nutrition are consistently able to estimate the caloric intake of restaurant foods, consumers are unlikely to do better. The good news is that when reliable nutrition information is 10 10/9/07 - PUBLIC HEALTH - BILL 070153 provided, people tend to make choices based on that information, and healthy ones at that. Research from Burton and colleagues show that consumers substantially underestimate the levels of calories, fat, saturated fat and cholesterol found in many less healthy food menus. However, when provided with nutrition information, they were more likely to select healthy foods. These results are consistent with what other researchers have observed when nutrition content became a requirement in packaged foods sold at supermarkets. Most of us have had the experience where we abruptly placed some sinful dessert or junk food item back on the supermarket shelf after looking at the nutrition label.
Requiring menu items to list the same information as grocery store items, or at least some of the information, will provide Philadelphians with the opportunity to make healthier choices they are currently unable to make. 11 10/9/07 - PUBLIC HEALTH - BILL 070153 A nationwide survey by a large food service corporation in 2000 found that 83 percent of Americans believe that restaurants should make nutrition information available for all menu items. Almost half of all large chain restaurants already provide such information and would not incur any new costs for analyzing their products. Enforcement of this ordinance 12 will be carried out by the sanitarians in the Department's Environmental Health Services Unit. A review of the Department's current data reveals that there are approximately 520 establishments in Philadelphia that meet the ordinance definition of a chain restaurant. It is estimated that the additional time to review an establishment's records during the course of routine sanitation inspections would require less than one quarter of one full-time equivalent, or approximately $10,000 in personnel costs. 12 10/9/07 - PUBLIC HEALTH - BILL 070153 Because of the serious health consequences related to obesity, there is an urgent need to make practical policy or regulatory decisions now to address the problem. Requiring menu nutrition labeling is a proportionate response to the urgent need to address the epidemic of obesity sweeping Philadelphia and the rest of the nation, and the Department of Public Health fully supports Bill 070153. Thank you for allowing me to present testimony on this important matter. I will now answer your questions.
You say that the Department of Environmental Health Services Unit, sanitarians, will be principally responsible for the enforcement of this ordinance?
Can you give us a sense of the other type of efforts they are responsible for?
Currently, they 13 10/9/07 - PUBLIC HEALTH - BILL 070153 inspect foods for sanitation. There's sort of a whole list of items that they look at, cleanliness, of course they'll be enforcing the trans fat prohibition and things like that. I can get back to you with a full list of the kinds of things that the health inspectors are doing.
I'm just curious, are they responsible for -- L&I would be responsible for citing restaurants that are not honoring the no 14 smoking?
Yes, I believe so. And I can get back to you with additional details.
Are you familiar with the technical amendments that have been introduced by the Law Department or expected to be introduced by the Law Department?
Okay. We'll share them with you, then. Thank you, Madam Chair. I'm done.
Let me ask you a question. Since this piece of legislation is directed towards chain restaurants, what happens in other restaurants for which we have many more than chain restaurants? What about the neighborhood take-out with the steaks and hoagies and the french fries or just the little corner restaurant where a lot of neighborhood people get their food?
Councilwoman, this legislation only impacts large chain restaurants, those with ten sites or more, and it really does not impact those small corner stores, the hoagie stores, the ones that sell the Philadelphia cheesesteaks. Even though I don't 15 10/9/07 - PUBLIC HEALTH - BILL 070153 recommend eating one every day, it doesn't affect that.
Which is interesting, because you talk about the tuna fish sandwich having more calories than a roast beef sandwich. And I get my tuna fish sandwich from a local restaurant that is not a chain, did not know that and get tuna fish sandwiches every day. So what about that restaurant providing me, who might not go to a chain restaurant to eat, the nutrition information?
Well, ma'am, I think that you raise a very good point. You see, one of the reasons for legislation like this is that it helps to change the culture. We know that when the FDA required nutrition labeling in grocery store items, people started changing their behavior regarding what kinds of food they eat. They looked at it. And not only that, the food industry started to change the products that they 16 10/9/07 - PUBLIC HEALTH - BILL 070153 were offering. In fact, what happened when the food industry was required to list trans fat content is that they completely reduced trans fat content in their items. And so I believe that this kind of legislation, even though it may appear to some that it may be a big thing and it may appear to others that it's not enough, I think that it's a proportionate response to what we're dealing with right now, which is the fact that we're seeing children in our healthcare centers with things that we've never seen before, metabolic syndrome, potentially diabetes. I mean, it's really scary, and it's really important for people to understand exactly what they're eating. And, like I said, people have no clue. And I'll bet you if you did go to a large chain restaurant and started looking at the calorie content, it might make you think the next time that you're in one of those smaller stores thinking about a tuna fish 17 10/9/07 - PUBLIC HEALTH - BILL 070153 sandwich.
You also discuss the fact that in order to enforce this, you would use the sanitarians. The last time we had a discussion here in this Council about sanitarians was that we did not have enough of them. Now, we put on them the responsibility for checking take-outs or checking the cleanliness of the restaurants and also whether the restaurants have hot water, and now we're going to have them add this responsibility. Do you have adequate staff to do the follow-through?
Ma'am, unfortunately, I'm unable to speak to that matter. I was hoping that my colleague, the Acting Director of Environmental Health Services, would be here. So I will have to get back with you on that one.
Okay. We would like to have that information in 18 10/9/07 - PUBLIC HEALTH - BILL 070153 terms of who would -- I'd like to know how many sanitarians have you hired. Last time we had a discussion about sanitarians and the complement of staff in the Health Department, they had not hired the staff needed that we had provided funds for in the Health Department. So, again, who is going to do the enforcement.
And I go back to the issue of the restaurants. I would dare say that more young people have access to local neighborhood stores than they do the large chain restaurants. Not that I'm disputing your facts about health issues. I'm just trying to determine if you're going to reach the targeted population that we want to reach, and that's young people. And I'm not saying that all -- most young people are eating french fries from some neighborhood store, like the stores down in my district where they make a lot of 19 10/9/07 - PUBLIC HEALTH - BILL 070153 money off of these cheesesteaks and hoagies, which are great. I love them, too, but I know not to eat them all the time. So those are my questions right now. Any other questions? (No response.)
Next we have a panel. Cathy Nonas, Director of Physical Activity and Nutrition, New York Department of Health and Mental Hygiene; Dr. John Weidman from The Food Trust; Mia Dell, Esquire, Center for the Science in Public Interest; and Andrea Diamond. Good morning. You can decide who is going first between you. It's up to you.
Thank you very much. I think I've been elected. Thank you for inviting me here to testify 20 10/9/07 - PUBLIC HEALTH - BILL 070153 before the City Council in favor of menu labeling, legislation 070153.
I am Cathy Nonas. I'm the Director of Physical Activity and Nutrition Program in the Chronic Disease Prevention Bureau of the New York City Department of Health and Mental Hygiene. And, as you know, we also are very concerned with the meteoric rise of obesity and its associated diseases such as heart disease and, of course, Type 2 diabetes, and there's no doubt that this rise in obesity is due to the extraordinary changes in our environment, particularly in the last 50 years, an environment that we now call obesogenic, because it's so easy for people to sit still and to overeat. It's, therefore, incumbent upon all of us and particularly, as you know, we feel that way in the New York City Department of Health and Mental Hygiene, to do 21 10/9/07 - PUBLIC HEALTH - BILL 070153 something about it. If we can make a change in the environment to promote and preserve the health and safety of our citizens, then, of course, we should do that. And anyone who ever tried to lose weight or maintain their weight can tell you that calories and menu labeling really help. So we are particularly concerned with menu labeling. And it's very difficult for people to count calories. It's even very difficult for me to count calories, and I'm actually a registered dietitian. It's not just the particular foods, but it's also the portions. A bagel today is equal to more than two times the size of a bagel years ago. 20 A 20-ounce bottle of soda is really just one portion for a child and yet 30 years ago it was a third of the size. So if you take that bagel 20 years ago versus today or a third of the size of that soda versus the size of a 22 10/9/07 - PUBLIC HEALTH - BILL 070153 soda today, which, by the way, is a medium size in a fast-food or chain restaurant, then you would find that you would have about a 150 to 200 calorie difference between the two. If you only opted for the smaller size once a week, after a year that would equal two pounds. And if you decided looking on a menu board that you wanted the diet soda instead of spending 250 calories for the medium soda, you would actually save enough calories once per week over the year to save almost four pounds. Today, at least a third of our calories are consumed outside the home, and a large percentage of those calories come from chain and fast-food restaurants that have substantially similar menus, substantially similar portion sizes and can readily add nutrition information. As a matter of fact, many of them do on their websites, or even if you can ask a beleaguered person, maybe they can find at the restaurant some sort of brochure 23 10/9/07 - PUBLIC HEALTH - BILL 070153 that they have, but for the most part, nutrition labeling in these restaurants is invisible. And we in May of 2007, the New York City Department of Health and Mental Hygiene, actually conducted exit interviews from 11,865 diners from a random sampling of 274 fast-food restaurants like McDonald's and Wendy's and Burger King and Pizza Hut and Kentucky Fried Chicken. Less than eight percent of customers reported seeing any calorie information. Most people only saw it at Subway restaurants, and this percentage was particularly low, less than five percent, among those establishments such as McDonald's, Dunkin' Donuts, Burger King and the Yum brands even though they are the ones that say that they offer nutrition information. So as many of you know, the New York City Board of Health and Mental Hygiene adopted a resolution amending our Health Code by adding a calorie labeling 24 10/9/07 - PUBLIC HEALTH - BILL 070153 amendment. The rule became effective on July 1st of this year and was challenged in a lawsuit brought by the New York State Restaurant Association. Many of the restaurants that submitted declarations in support of the plaintiff were the same ones that claim to provide extensive nutrition information to customers, the very customers we interviewed who never saw that information.
So a month ago a federal judge in the United States District Court held that the Health Code as adopted was preempted because New York City's amendment applied only to restaurants that had voluntarily provided calorie information. " New York City is now considering its options. Furthermore, some restaurants like Subways and Auntie Anne's have continued to be in compliance with no reports of negative effects. So what have we learned from our experience? Well, the City Council will doubtless hear, as we did, that consumers don't want this information. But the polls say they do. In many peer-reviewed studies, 62 to 87 percent of people surveyed support menu labeling in restaurants. You'll hear, as we did, that the information won't fit on menu boards. They will. We know. Before the court's ruling, the targeted restaurants had configured their menu boards appropriately. You'll hear that fast-food restaurants say they're providing that information, but, remember, to our almost 10/9/07 - PUBLIC HEALTH - BILL 070153 12,000 exit interviews, they were invisible. You'll hear that calorie labeling won't solve the obesity epidemic. Well, certainly the epidemic is far too complex to be served by one measure alone, but menu labeling can be an important tool and one which is doable now, and we should move forward on it while we're building other interventions. New York City's calorie labeling regulation may have taken some knocks, but we received overwhelming support from across the nation, this nation that has legislation all across it for the same thing as the City Council of Philadelphia does. More than 2,200 comments were received from associations like the American Medical Association, Yale University, the American Diabetes Association. This is good legislation. This is right legislation. And it's clear that the Philadelphia City Council is concerned for the health of its 27 10/9/07 - PUBLIC HEALTH - BILL 070153 constituents, and we applaud you for taking this step. Calorie labeling, menu labeling in chain restaurants, on menu boards and menus, at the point before a food purchase or food order is made, gives consumers an option they need to make an informed decision. Our experience so far in New York City gives us reason to believe that this will be an important and effective tool to help consumers stay healthy. Thank you.
I'm Mia Dell, the Government Relations Manager at Center for Science in the Public Interest. Thank you for the opportunity to speak with you this morning about this important public health policy. People overwhelmingly want menu labeling. Eighty-three percent of Americans support requiring restaurants 28 10/9/07 - PUBLIC HEALTH - BILL 070153 to provide nutrition information such as calories, and in similar polls conducted in Connecticut and California, over 80 percent of people support requiring chain restaurants to provide nutrition information on menus. Without the Council passing this bill, Philadelphia residents won't have access to information they need to make healthy decisions at chain restaurants in a way that they can use it. To be effective, nutrition information in restaurants must be simple and easy to use. Only by posting calories on menus and menu boards is the information provided at point of decision-making in a format that is easy to understand, easy to find and allows comparisons to be simply made when the customer is actually choosing what to order. Furthermore, providing this information on menus and menu boards creates a standard that consumers can 29 10/9/07 - PUBLIC HEALTH - BILL 070153 begin to rely on, familiarize themselves with and use whenever they are in restaurants that must comply with this rule. If some restaurants have posters, others brochures, others kiosks, stanchions and tray liners, customers will have trouble tracking down nutrition information even if the restaurant has it. Nutrition information needs to be on the menu, because it's the most effective way to communicate with the customer. Restaurants know that providing information on menus is the most effective way of sharing information with its customers. The New York State Restaurant Association stated recently that menu boards are the most valued space in the restaurants that offer standardized food items, and that's because menu boards are what customers are reading while they are standing in line to place their order and where they get virtually all of their 30 10/9/07 - PUBLIC HEALTH - BILL 070153 information on what to order, listing of menu items, product descriptions and price. We did a study of McDonald's Provision of Nutrition Information in Washington, DC. Even at McDonald's, the largest chain restaurant in the country and the restaurant with probably the strongest corporate tradition of providing information in its restaurants, we found that nutrition information at the point of decision-making is often difficult to find or completely absent. Only 60 percent of McDonald's outlets provide in-store nutrition information for the majority of their standard menu items, and in most cases, it was necessary to ask two or more employees in order to get a copy of that information. Thank you again for this opportunity, and I'd be happy to answer any questions.
Sorry. Thank you very much. We'll ask questions 31 10/9/07 - PUBLIC HEALTH - BILL 070153 at the end of the panel. Yes?
Good morning, Councilwoman Tasco and Committee members. My name is John Weidman. I'm the Deputy Executive Director with The Food Trust. We're a Philadelphia-based non-profit with the mission of improving access to affordable and nutritious food, and I'm here today in strong support of Councilwoman Brown's menu labeling legislation which will give Philadelphia consumers the information they need to make healthy food choices. Obesity is a problem we must face boldly in Philadelphia, and here's a couple reasons why: According to the Philadelphia Health Management Corporation, over half of children in our city are overweight. This represents 139,000 children. It's a staggering statistic. The health implications for these children are grim and include early onset of diabetes, hypertension, heart 32 10/9/07 - PUBLIC HEALTH - BILL 070153 disease and a lifespan potentially shorter than their parents. Rates of obesity are also higher among African-American and Latino populations. The good news is the epidemic of childhood obesity is preventable and can be reversed through a combination of improved nutrition, increased physical activity and the creation of a food landscape that encourages healthy eating. Nutritional information on menus in chain restaurants is a key component of creating that healthy food landscape. The Food Trust currently provides nutrition education services in a hundred schools in the region, and reading nutrition labels is an important way for children to learn about healthy eating. In one of our programs, children learn how to identify snacks with lower levels of fat or sugar, and then they go out into their neighborhoods and try to find healthier snacks at local corner stores. In fact, many local corner 33 10/9/07 - PUBLIC HEALTH - BILL 070153 stores have become so involved with the program that they have joined our effort by labeling healthier snacks on the food shelves. We find that the lessons children learn are often brought home to inform their parents' food-shopping behavior. However, when children go on a trip with their parents to McDonald's or Dunkin' Donuts, it's extremely difficult for them to put what they've learned to use for themselves or their families. Portion size is another thing children learn about in our school nutrition programs. But as we know, restaurants do not follow USDA recommendations for portion sizes. They super size. Americans are being taught by the restaurant industry that bigger portions are a bigger value. Well, not if you value your health. As a result, children eat almost twice as many calories when they eat at a restaurant compared to at home. So, in effect, 34 10/9/07 - PUBLIC HEALTH - BILL 070153 without having this information in restaurants to inform adult and child consumers the lessons they're learning about portion size, it becomes close to impossible to stick to. It's time for chain restaurants to get on board with behaving responsibly in the midst of an obesity epidemic. The cost to displaying this information are negligible, and we've also seen it work in New York City. By providing this information, the impact would be significant. Consumers might realize that what they thought was a healthy salad was loaded with too much fat and choose something lighter. I recently learned that a slice of carrot cake from the Cheesecake Factory has more than twice as many calories than a hamburger, fries and a Coke at McDonald's. So as we've heard by many today, knowing what is higher or lower in calories is very hard for the average consumer to find out. So in the face of this epidemic, 35 10/9/07 - PUBLIC HEALTH - BILL 070153 can anyone really argue that arming citizens with this kind of information is not a smart thing to do? Recently, USA Today reported, I think in the last couple weeks, that people in poor neighborhoods are 80 percent more likely to be hospitalized for diabetes than their well-off neighbors.
Many poor neighborhoods in Philadelphia have few options for purchasing fresh fruits and vegetables, but have plenty of options for fast food. It should come as no surprise that by surrounding low-income residents with chain restaurants serving food that is high in salt and fat, that diet-related diseases would be more prevalent. But many consumers are trying to improve their food choices, and having nutritional information clearly displayed on menus and menu boards will create a supportive environment that will help parents and children make better choices. Passage of this menu labeling 36 10/9/07 - PUBLIC HEALTH - BILL 070153 bill will not impinge on any Philadelphian's right to indulge in any foods that they want. The freedom to purchase a Triple Cheese Baconater, a Big Gulp Pepsi, an Oreo Dessert Pizza will remain. But for thousands of Philadelphia residents who are concerned about their health and the health of their children, this legislation will give them the information to know how many calories they are consuming so they can enjoy their favorite foods in moderation. In closing, I just want to thank Councilwoman Brown for introducing this important legislation and for this Committee for holding this hearing. Menu labeling is a smart policy that will help reduce obesity and keep Philadelphia on the cutting edge of public health policy. Thank you very much.
Madam Chair and Councilmembers, thank you very much for 37 10/9/07 - PUBLIC HEALTH - BILL 070153 the privilege of being called to testify today in front of you. My name is Andrea Diamond. I am a registered dietician and Program Director for the Albert J. Stunkard Weight Management Program at the University of Pennsylvania, Penn Behavioral Health.
Briefly, by providing this information to the consumer in great support of this legislation, we will educate and inform our consumers the public has a right to make an informed decision as to choices which may have a profound impact on their health. An educated consumer is our best weapon against the epidemic of obesity and heart disease. This ultimately takes not only a personal toll on health for the individual and their family, but has a profound impact on the ever-skyrocketing costs of healthcare, as we've heard presented today, in managing these devastating effects of obesity and 38 10/9/07 - PUBLIC HEALTH - BILL 070153 heart disease. I bring to you that I am on the front lines working with people looking to lose weight and correct medical ills. One of their greatest concerns -- they are motivated to change their health, and one of their greatest concerns, because many of the people that I do work with eat out far more than once a day, is that as long as they try, they try very hard to make informed decisions and they think they're making informed decisions, but as we've heard today, there is so much hidden information that they are at a great loss to do so, and it has had a profound impact on their health. When they feel that they're going in a certain direction, in fact they haven't made many strides at all. So, again, I support this legislation. I thank you for bringing this important legislation, the opportunity for it, and I welcome any questions. Thank you. 39 10/9/07 - PUBLIC HEALTH - BILL 070153
Thank you, Madam Chair. Ms. Cathy Nonas, for clarity purposes, what is the status of this measure in New York City?
Well, at the moment we were preempted by the judge, and we're considering our options now.
And in the legislation that was introduced in New York City, did it suggest that the information should be on menu or menu boards?
It did say that it should be on menu boards and menus. It was calorie labeling only. And, again, as I said, we were preempted, the judge said, because we were targeting only those people who are actually at least showing some nutrition information.
I see. Besides menu and menu boards, how else 40 10/9/07 - PUBLIC HEALTH - BILL 070153 might one inform or educate a consumer?
Well, as the New York City Department of Health, we are consistently educating the consumers. We have three district public offices in some of the most underserved areas: East and Central Harlem, South Bronx, Bushwick, Bedford, Stuyvesant and Brooklyn. And we do tremendous consumer education to try and support healthy alternatives, but as you know, if it's not right there in front of you on a picture of a Baconater that looks so great that you don't realize that it's more than half the calories you need for the day, it's not going to bring it home.
Thank you for making the trip. Dr. John Weidman, you say that there are programs in 100 schools. Are any of those participating schools Philadelphia public schools?
Yes. Most of them are Philadelphia public schools. 41 10/9/07 - PUBLIC HEALTH - BILL 070153 And I should point out, although it does have a nice ring to it, I'm not a doctor.
Do schools have to qualify? Do they have to submit a proposal? How do they become the lucky 100?
Well, actually, now through the Philadelphia School District's Eat Right Now program, all of the public schools have nutrition programming, and it's a consortium of different organizations who are doing that. So The Food Trust is one of those organizations. I think we have the highest number of schools. But every school has some level of nutrition education programming through the Eat Right Now program.
Eat Right Now. 42 10/9/07 - PUBLIC HEALTH - BILL 070153 That's the School District's program, which is funded by the USDA's Food Stamp Nutrition Education program.
I see. Okay. No more questions. I thank you all for your testimony.
Questions from any other members? Councilwoman Miller.
Hi. Good morning. The judge ruled in New York that you were targeting only, what, the chain restaurants?
We were targeting those restaurants that had ten or more similar restaurants with standardized portion sizes and standardized menus.
What defeated our 43 10/9/07 - PUBLIC HEALTH - BILL 070153 legislation was not our right to mandate nutrition information, but it was the fact that we only targeted those chain restaurants that already offered some nutrition information instead of doing the whole shebang.
Could you explain that a little more? It's really not clear. Your legislation only targeted those restaurants who were providing information?
Well, originally, remember, New York City was really the first to do this, and we've learned a lot since, but what we were trying to do is, we were trying not to create an extra burden, and so we only targeted those restaurants that already proved that they had this nutrition information and needed just to make it more available so that the consumer could actually see it. 44 10/9/07 - PUBLIC HEALTH - BILL 070153 And so --
So that we wanted to put it up on the menu boards and they had it on their websites and they had it in brochures, which, as Mia Dell has just said, is very hard sometimes to find in any store and particularly at the point when you're ordering or when you're purchasing. So what we wanted to do were twofold. We wanted to put the calories on the menu board where people could see it before they ordered it, before they purchased it, so they could have an -- they could make an informed decision as to whether they wanted the large Coke, the medium Coke or a Diet Coke. And we weren't trying to stop them from ordering anything; we were just trying to give them that information. And what the Court said was that asking restaurants to display that information in a clear and concise manner was not a problem and it 45 10/9/07 - PUBLIC HEALTH - BILL 070153 was within our right, but that we had unfairly targeted only a portion of those chains, those ones who put it up. And we actually -- we gave them until March 1st. If they still had it in March 1st, 2007, their nutrition labeling, then they would have to make it apparent. So, for instance, Wendy's pulled their nutrition information off. So we -- and that was the judge's complaint.
It's a little bit confusing, but the bill that regulates and requires packaged food labeling on our food supermarkets was passed in 1990 by the Nutrition Labeling Education Act, and that bill specifically exempts restaurants. However, it also says that if a restaurant makes a nutrition claim, then they have to support it in some way that is consistent with FDA rules. So because New York City Board of Health said that all restaurants that were 46 10/9/07 - PUBLIC HEALTH - BILL 070153 already providing nutrition information in some form had to provide it on the menu, the judge determined that the restaurants were making a nutrition claim and, therefore, they could only -- New York City Board of Health could only require the restaurants to provide it in some way that complied with FDA regulations, and FDA does not require menu labeling. So that's why the judge's decision was so specific to New York City and wouldn't affect the legislation we're discussing here today.
Lessons learned. You said you learned some lessons. What are the lessons that you learned?
Well, first of all, we wouldn't target only those restaurants that were giving nutrition information, but we also learned that it was doable, because every restaurant in those months when they thought they would have to comply had to find ways to restructure 47 10/9/07 - PUBLIC HEALTH - BILL 070153 their menu boards in order to put calories, in order to put calories not only up on their menu boards but in a size and a font that was commensurate with either the price or the name of the meal so that people could see it.
Well, some restaurants list the calorie -- I guess it's the nutrition information on the tray place mats.
Right. The problem with that is it's after the point of purchase. And we applaud those restaurants that are really trying hard to give their nutrition information to the customer, but it really doesn't help to ask the customer -- to give the customer the calories after they've bought their food and gotten their food, because then what can they do with it? They can only eat less of it, instead of seeing it on a menu board and maybe making a decision to take the small meal as opposed to the large meal or the Diet 48 10/9/07 - PUBLIC HEALTH - BILL 070153 Coke instead of the regular Coke.
What would be the star poster board or poster for this in New York in terms of providing that information? Do you have any one restaurant in New York that has really met your requirements?
Well, Subways has. Subway had been very health oriented in their advertising to begin with, but they decided to leave those calories up now. So if you go to Subways in New York, you can find the calories up on the board.
I have pictures of some of them. Because they don't have to be in compliance. I have pictures of some of them on the menu board with the calories on the menu board and I also have some for Auntie Anne's, the pretzel place, which also kept them up in New York. So those are the two places where you see it. 49 10/9/07 - PUBLIC HEALTH - BILL 070153
And I believe Subways is running a commercial here in Philadelphia that talks about a lower calorie meal.
Okay. Any other questions, comments? Councilman Juan Ramos.
Thank you, Madam Chair. I'm the author of the trans fat bill in the City of Philadelphia.
And what I hear you saying is the experience that we have seen in Philadelphia that I introduced the bill and without -- just maybe with just some media attention, it was like a snowball effect of -- Philadelphia, we're into cheesesteaks, 50 10/9/07 - PUBLIC HEALTH - BILL 070153 right? It turns out that half of our cheesesteak eateries were already trans fat-free before I introduced the bill, and since then, Loews and Wendy's and McDonald's here in Philadelphia and Burger Kings, everyone, the places that sell fritters in our neighborhoods, said, Hey, we stopped using lard back in the '60s and stopped using the trans fat oil. So it seems as though that consumers throughout the country, with menu labeling, with the banning of trans fat, it seems as though that the public seems to be conscious at least that this is the way to go regardless if I like grandmom's recipe or not. Is that what you have seen nationally as well besides New York?
We have, and obviously there's tremendous legislation all across the country both statewide and citywide to put menu labeling in chain restaurants, and I think that's because an informed consumer has the opportunity 51 10/9/07 - PUBLIC HEALTH - BILL 070153 to make decisions about health for their children and for themselves that they wouldn't have if they didn't have that information, and that information up until now has just not been easily gotten. And particularly, you know, in our underserved areas, as the doctor over here was saying, that there is tremendous frequency to less expensive fast-food restaurants, and we also have a significant percentage prevalence of obesity and diabetes in these neighborhoods. This information can't necessarily be gotten on the web because they don't necessarily have access to the web. And it is important to put it up there when you're looking at a hamburger. And I applaud Philadelphia for doing this. Just drive it through.
Thank you. Any other comments or questions? (No response.) 52 10/9/07 - PUBLIC HEALTH - BILL 070153
Thank you very much for coming down. Thank you all for your testimony. We appreciate it very much. We're going to call on this small panel. One of the panelists has a time problem, as we all do, but I'm going to ask Dr. Barbara Gold, Amy Margulies and Sydelle Zove.
We'll have the Sergeant-At-Arms, he'll take it for you. All right. Good morning. You may proceed with your testimony.
Good morning. I'm the real doctor. My name is Barbara Gold and I'm a pediatrician in general practice in Philadelphia. I have been asked to speak this morning to help the members of City Council understand the importance of the proposed new section of 53 10/9/07 - PUBLIC HEALTH - BILL 070153 the Health Code that deals with nutritional labeling in chain restaurants. This bill represents a key piece in the effort to combat obesity. I am sure that you are all aware that there is an obesity epidemic in this country, with more than 30 percent of children being obese. Primary care doctors are responsible for prevention, and I will explain why having this nutritional information available and visible will help healthcare providers help parents and children to make informed choices before obesity happens. When they are ready to make changes, the information their provider has been telling them to look at will be available. Obesity is a major public health issue, and its sequelae, heart disease, endocrine disease, diabetes and others, mental health problems, orthopedic issues and pulmonary disease, kill and/or incapacitate many more people 54 10/9/07 - PUBLIC HEALTH - BILL 070153 than the outrageously high violence level in this city. Yet somehow it doesn't generate the same level of outrage and horror as our murder rate. Obesity also contributes to early puberty, with ten-year-olds looking like they are and all the social 9 issues that stem from that. 10 Philadelphians, like most Americans, need 11 to learn or relearn about nutrition and 12 healthy living habits. Our lives are far 13 more sedentary than they were even one or 14 two generations ago. We eat out more, 15 our portion sizes are larger, and the 16 kinds of foods we eat are different. To eat healthy in this environment requires determination and information. This bill 19 will give people access to this important information. I wonder how many of you getting your morning vanilla frappuccino medium size and a muffin at a well-known national chain realize that you are consuming close to 1,000 calories or 55 10/9/07 - PUBLIC HEALTH - BILL 070153 more, nearly half of your daily caloric need, without any significant nutrition. And after the testimony this morning, you obviously all realize it, since we've heard it several times. As a pediatrician working with families, I am frequently amazed at the large number of meals that are eaten in restaurants by many families. Some statistics say at least one-third of calories are from meals consumed outside the home. Having the nutritional information proposed in this bill will help me and others help families be aware of fat and calorie content. This will help them to see the choices in a much more graphic way. One of our major goals in helping to reeducate people about nutrition is teaching them to recognize what a reasonable portion size is. In pediatrics we often use the rule of the fist, which means that a portion for a child should be about the size of his or 56 10/9/07 - PUBLIC HEALTH - BILL 070153 her balled fist. Not very large for a two, five or seven-year-old. Yet in a restaurant, even a child's portion is way larger than that, and data shows that when children eat out, they consume almost twice as many calories as they do when they eat at home. The food industry has waged an amazing advertising campaign over the last years or so to drum up demand, 12 sodas, fast foods, et cetera. Those of 13 us who are concerned with good nutrition 14 and public health must now wage a 15 counter-campaign of equal intensity and 16 endurance to redevelop a taste for 17 healthy and nutritional foods. Passage 18 of this bill by the Council would be one 19 very important step in that campaign. 20 Lest you think that it is not possible to change public attitudes and behaviors, let me remind you of the changes in seat belt use and smoking habits that have happened in just the 35 years of my professional life.
With your 57 10/9/07 - PUBLIC HEALTH - BILL 070153 help, we can do this for all the people of our city and help them to lead healthier lives. I thank you for your time.
Thank you very much. Do we have copies of your testimony?
Good morning, Madam Chairwoman and fellow Councilmembers. My name is Sydelle Zove and I am here representing the Greater Philadelphia Coalition Against Hunger. The Coalition is best known for two initiatives: The annual Walk Against Hunger, which raises funds for the region's 500 food cupboards and soup kitchens, and for its Food Stamp Enrollment Campaign, which, like the menu labeling bill, seeks to help people make better food choices. 58 10/9/07 - PUBLIC HEALTH - BILL 070153 The Food Stamp program is one of our nation's last remaining entitlements. If you meet the income eligibility test, you receive a monthly grant to help pay for your household's food. The dollars come from the United States Department of Agriculture, and in August 2007, the value of food stamps distributed to the 324,000 low-income people enrolled in Philadelphia was more than $31 million. Multiply that monthly distribution by 12 and it adds up to a lot of food on the tables of hungry families and a lot of food purchases in local grocery stores. But the Coalition knows that thousands more income-eligible households are not receiving food stamps, and through our aggressive enrollment campaign, we are providing program information and online application assistance to those families. So what is the connection between food stamps and menu labeling, you might ask. Information is power, and 59 10/9/07 - PUBLIC HEALTH - BILL 070153 one of the Coalition's objectives is to deliver accurate information to low-income families about the Food Stamp program. Menu labeling is empowering as well, for it enables consumers to make informed choices. The Food Stamp program puts dollars into families' budgets so that parents can feed their children and improve the nutritional value of food they prepare at home. Menu labeling gives people the knowledge they need to make better decisions about the food they eat at restaurants and fast-food outlets. According to the Center for Disease Control and Prevention, nearly half of all African-American and Latino children born in the year 2000 are expected to become diabetic at some time in their lives. Obesity, diabetes and bad food choices are inextricably linked. At the Coalition Against Hunger, we know that access to fresh, nutritious and affordable food is not always easy, and we know that a food stamp grant, despite 60 10/9/07 - PUBLIC HEALTH - BILL 070153 averaging $200 per month for Philadelphia families, will not solve the hunger and obesity problem, but we realize that it is one piece of the puzzle. Such is also true of menu labeling. So let's put the pieces together. The Coalition will continue to enroll families in the Food Stamp program, and we ask that the Committee advance the menu labeling legislation with conviction and the will to convince your peers that the well-being of Philadelphia's families is paramount. Thank you.
Good morning, Madam Councilwoman and members of the Committee. My name is Amy Margulies. I'm a registered dietician and certified diabetes educator in the Philadelphia area. More than 120 million Americans are either overweight or obese. Among 61 10/9/07 - PUBLIC HEALTH - BILL 070153 Philadelphians, the prevalence of obesity has increased from percent of both men 4 and women ages 20 to 24 to 33 percent of 5 women and 20 percent of men ages 45 to 6 64. Rates of obesity have been 7 increasing rapidly in all age groups. 8 We've heard a lot this morning about the 9 major increase of childhood obesity. 10 This increase of obesity is having a 11 devastating impact on our nation and our 12 city. Obesity leads to many diseases, 13 including coronary heart disease. 14 Coronary heart disease is a leading cause 15 of death in the United States for men and women. According to the American Heart Association, more than 15 million people have some form of heart disease. A major reason for that is over the last 30 years, Americans are spending more and more money on fast food, increasing from $6 billion to 110 billion, or more than 18 fold. In 2004, Americans spent over ten times more eating out than in 1974. We are eating out, ordering in, picking 62 10/9/07 - PUBLIC HEALTH - BILL 070153 up, whatever you want to call it, more and more every year. So it is no 4 surprise that along with our growing waist lines portion sizes are growing, or you could say along with the growing portion sizes our waist lines are growing. Everything we are serving our food on is getting larger and larger as well. Plate sizes are growing, cup sizes are growing, larger muffins, larger pizzas, super size meals, the list goes on. To the average individual eating out, they are served what they think is their portion of food on a plate, but this portion is often a portion appropriate for five people, not one person. But they think they should eat it all and, as you've heard this morning, have their money's worth since they are eating out and spending this money. As we are getting our money's worth, though, when we eat out, the epidemic of obesity is obviously growing 63 10/9/07 - PUBLIC HEALTH - BILL 070153 and we are spending much more money treating this epidemic, including heart disease and diabetes. To start with just an extra ten calories per day consumed by an individual, they would gain one pound a year. It may not sound like much, but an extra hundred calories a day will be ten pounds a year, 200 calories per day, 11 pounds per day. It's easy to understand 12 how this path of eating out more, 13 therefore eating more, is causing the 14 rapid weight gain and dramatic increase 15 in obesity. Take a small serving of 16 french fries, about two and a half 17 ounces, is about 210 calories. A 18 seven-ounce serving, which is served at 19 most restaurants, is 610 calories. The 20 serving may look like a small size to the consumer because it is served on this enormous plate, so they feel that they are okay to eat the entire portion of french fries. It is in fact that extra 64 10/9/07 - PUBLIC HEALTH - BILL 070153 calories consumed by the larger portion sizes served are leading to this epidemic of obesity. We need to help the people of Philadelphia consume smaller, healthier portions of food. Since people are eating more meals out than they are eating at home, it seems restaurants would be a great place for consumers to be able to take control of their health. They need to know how many calories, how much salt, how much sugar, how much fat is in their food so they could make a healthier choice when eating out. A healthy menu without labeling does not help a person with diabetes know how many grams of carbohydrate is in their meal. They may estimate 65 grams of carbohydrate are in a meal and take medication accordingly to cover 65 grams. However, they consume this portion and instead it's about 90 grams of carbohydrate.
They have an elevated blood sugar that lasts for hours that has 65 10/9/07 - PUBLIC HEALTH - BILL 070153 a major impact on their health. And this goes on again and again every time they eat out. The health indicators of Healthy Philadelphia 2010 have two major goals. One is to increase the quality and years of life for the people of Philadelphia. Two is to eliminate the disparities in health. To quote Philadelphia's Health Commissioner, Dr. " Our public is eating out. We need to help them make healthier choices. Menu labeling would allow the people of Philadelphia to do so on a daily basis, which would have a huge positive impact on their health. Thank you.
Good morning, ladies, and I thank you all for your presence and your testimony. 66 10/9/07 - PUBLIC HEALTH - BILL 070153 With the exception of brochures that might be published by special interest groups, where else can consumers get information related to the calories, caloric content, of food that they're eating? Might you know of some other place that hasn't been revealed already?
There's plenty of books out there that have lots of -- especially the chain restaurants do have books with a lot of their nutrition information in it, but I think a good point of today was that it's really -- no 15 matter how much they learn and how many books they have sitting at home, when they're about to order, they have to think fast, and without the information right in front of them, they're likely not going to make the best choice.
I would just add that just as each of you receive reams and reams of written material comes 67 10/9/07 - PUBLIC HEALTH - BILL 070153 across your desk, you can't get to it and read it. What do you see? You see and you listen in sound bytes. That's the nature of our culture today. And it's very important, especially for young people, to present information in ways that is easily digestible, if you may, and the best way to do that is to put it on the menu boards.
Can you comment further on this program called Healthy Philadelphia that's run by the Philadelphia Health Department?
Yes. It's actually something that I just in doing my research for today that I learned about. So I can find out some more information for you. It seemed to be all over the website for Healthy Philadelphia.
Thank you very much. I appreciate your testimony. 68 10/9/07 - PUBLIC HEALTH - BILL 070153 Dr. Smith, do you know anything about the Healthy Philadelphia program run by the Health Department?
Do you know about the Health Department-sponsored Healthy Philadelphia program?
Thank you. The next panel will be Sheila Weiss, Patrick Conway, John Bowie, Miguel Miranda, John Hatib. Good morning. Thank you for coming today to testify. 69 10/9/07 - PUBLIC HEALTH - BILL 070153 Ms. Weiss, are you first?
Thank you very much. Good morning. My name is Sheila Weiss. I am a registered dietician and the Director of Nutrition Policy for the National Restaurant Association. I would like to thank the Philadelphia City Council for this opportunity to testify before you regarding Bill No. 070153. Founded in 1919, the National Restaurant Association is the leading business association for the restaurant industry. Together with the National Restaurant Association Educational Foundation, the Association's mission is to represent, educate and promote an industry that is comprised of over 935,000 restaurant and food-service outlets. As such, diversity, customer service and high-quality foods are top priorities for the ever-growing restaurant industry. While we represent our nation's restaurants, we are here today on behalf 70 10/9/07 - PUBLIC HEALTH - BILL 070153 of your local restaurants, many of which are franchisees and small business owners. These are the 10,223 locations that employ 144,045 individuals in the City of Philadelphia. We applaud the Philadelphia City Council in its efforts to address the growing obesity issue affecting Americans. However, while we support restaurants' efforts to provide nutrition information in some form, we do not support Council Bill No. 070153, as introduced, because we strongly oppose any regulation that requires the industry to post such information directly on the menu or menu board. Considering that ordering, preparation and delivery process for restaurant food is uniquely different than purchasing packaged foods in a grocery store, the restaurant industry should be given more flexibility in how we provide such information to our customers. This flexibility will also 71 10/9/07 - PUBLIC HEALTH - BILL 070153 allow restaurants to provide much more comprehensive nutrition information that addresses a much broader range of dietary concerns. Many restaurants are already providing nutrition information to their customers through the use of kiosks, posters, signs, brochures, tray liners, packaging and customized receipts. Any nutrition labeling initiative should allow restaurants to retain some flexibility in selecting the format that works best for their particular business concept and customer preferences. For some, posting nutrition information on the menu or menu board may work best. For others, an alternative format may be more suitable. The bottom line is that one size does not fit all. If the true goal is to provide consumers with more information, then efforts to restrict that information to menus and menu boards are misguided. Philadelphia's small 72 10/9/07 - PUBLIC HEALTH - BILL 070153 restaurants and franchisees would be harmed. The average table-service restaurant makes only four cents on the dollar before tax, creating a fine line between success and failure. Three in four eating and drinking place firms have fewer than employees, and 96 percent 9 are single-unit operators. Menu labeling 10 regulations could potentially impose 11 costs of tens of thousands of dollars on 12 these economically vulnerable small 13 businesses by requiring nutritional 14 analysis and reprinting of their entire 15 menu and menu board. 16 The restaurant industry's 17 objective has always been to provide a 18 wide variety of food options to 19 accommodate the needs of diverse 20 consumers. It is important that the Philadelphia City Council examines its role and responsibilities in addressing the public health problem of obesity, with the understanding that our diverse population needs recommendations that are 73 10/9/07 - PUBLIC HEALTH - BILL 070153 clear and relevant to modern life. Consistent positive messages that promote healthier thinking and life-styles will always be more successful. The restaurant industry believes it can play a valuable role in serving as a point of dissemination for consumer-focused nutrition information in a meaningful way.
Our industry has been successful because we have listened to our millions of customers and responded to their needs. We would encourage the City to reconsider this bill and to allow its restaurants to retain some flexibility in selecting the format that works best for their particular business concept and customer preferences. We look forward to cooperating with the Council and providing insight regarding the diverse nature of the restaurant industry and the consumers we serve. Thank you very much again for this opportunity. 74 10/9/07 - PUBLIC HEALTH - BILL 070153
Chair Tasco and members of the Committee on Public Health and Human Services and members of Philadelphia City Council, thank you very much for the opportunity to provide testimony this morning on Bill 070153 regarding menu labeling. My name is Patrick Conway and I'm speaking this morning on behalf of the Pennsylvania Restaurant Association and also our local chapter, the Philadelphia Delaware Valley Restaurant Association. Our Association represents restaurants all across the Commonwealth, but today we're speaking on behalf of 10,000 restaurant units located 75 10/9/07 - PUBLIC HEALTH - BILL 070153 in the City of Philadelphia. We recognize and thank Philadelphia City Council for its concern with public health and for its work to address the growing problem of obesity, especially childhood obesity, in Philadelphia and in our neighborhoods. Many Philadelphia restaurants are already providing a good deal of nutrition information to their customers voluntarily, and we support their continued efforts to do so. However, we are opposed to Council Bill 070153 because its mandatory menu and menu board labeling requirements would simply be unworkable for restaurants from a practical standpoint. Ordering a meal in a table-service restaurant, you see, is not like buying a packaged item in a grocery store. Restaurant patrons are ordering menu items today exactly as they want, and customizing the order changes the nutritional content of that menu item 76 10/9/07 - PUBLIC HEALTH - BILL 070153 significantly. For example, consider that one sandwich made from just five items, including bread, meat, cheese, lettuce and tomato, can be ordered 120 different ways. With the diversity of restaurant menu offerings, diversity of ingredients and the ordering customization I just talked about, we will never be able to enjoy the same type of continuity that we have with a standard store-bought labeling program. Government-mandated standardized menu labeling is simply unworkable for the restaurant industry. Sheila has covered the economic picture fairly well, but to point out the hardships that this could cause particularly on small businesses in the City that are locally owned and operated by franchisees, we're concerned about tens of thousands of dollars that could come from analyzing nutritional content in reprinting entire menus. So that's another consideration that we'd ask you 77 10/9/07 - PUBLIC HEALTH - BILL 070153 to take into account. Mandatory nutrition labeling on restaurant menus and menu boards will not solve the growing obesity problem in Philadelphia. A stronger public focus on balance, moderation, physical activity and personal responsibility will be the key to reducing obesity and nurturing healthy life-styles among Philadelphians. In closing, I would like to thank the Chair, the members of the Committee on Public Health and Human Services and the members of Philadelphia City Council for the opportunity to provide testimony on behalf of Philadelphia's restaurants regarding the important topic of menu labeling. We look forward to being a resource for you as we work together on this important issue. Thank you.
Good 78 10/9/07 - PUBLIC HEALTH - BILL 070153 morning.
My name is Miguel Miranda. I'm Managing Partner of the Capital Grille here in Philadelphia at the corner of Broad Street and Chestnut Street. For many years I've looked down the street and looked at City Hall, so I feel very honored to be here and actually speak in front of you. I'm obviously here to speak about the menu labeling initiative that's being considered. And although many people don't realize it, Capital Grille is a chain, along with Morton's, The Palm, Ruth's Chris, restaurants of such. We have multiple units around the country. So we also fall under this legislation. As we take a look at it and how it would affect our business and how it would affect the dining experience for our guests, we've taken a look at our menu. And if some of you have dined with us, you'd recognize the fact that our 79 10/9/07 - PUBLIC HEALTH - BILL 070153 menu does have a pretty good size variety, as well as if you get a steak from time to time, the cuts vary from portion size, as well as the fat content. If you get a porterhouse steak, which obviously is a steak with a bone, the bone size varies from time to time as to how much -- the density of the bone, how much bone is there. So for us to turn around and obviously analyze our menu and give accurate readings for our guests would be extremely difficult to do time in and time out again. And I believe it was earlier testimony saying someone needed medicine, to take a certain amount of medicine to make sure they had the right amount, we would feel that that would be unsafe for us to tell them there's a certain amount of, say, sugar or sodium in that particular steak, and yet it might not be based on the portion size. I know the big consideration to take is also how we cook it. Some items 80 10/9/07 - PUBLIC HEALTH - BILL 070153 are broiled and they're broiled rare, which obviously changes how much the content is there. If you broil it well done, it changes it drastically. Ajou, no ajou. And then don't even get started on the side dishes, which it gets a little bit different there. Obviously our portion sizes are big. That's what we're known for. A 24-ounce porterhouse steak is probably one of the most popular items on the menu. I do recognize obviously it's probably a lot bigger than what is recommended by most doctors. As my doctor tells me on a regular basis, I probably need to cut back myself and get my cholesterol back in check. But as we've tried over the years to actually bring smaller menu items on our menu, a ten-ounce fillet, eight-ounce fillet, still the most popular items are the 24-ounce porterhouse, the 20-ounce Delmonico steak, try as it may be to change that. 81 10/9/07 - PUBLIC HEALTH - BILL 070153 That being said, we do recognize there are some things that we are responsible for as a restaurant and as a community member. We do offer gluten-free diet menu items. We've done our research there, and we have a lot more guests that actually have that issue than anything else basically from celiac disease. So we have that information readily available for them. We can obviously recommend -- we have salads available on our menu. Obviously our staff knows if you want a lighter steak, a fillet mignon is probably a better route to go with, which has less fat content than, say, a strip steak, which obviously has a lot more. So we can make those recommendations. Undoubtedly it obviously makes it really tough for us to put it on a menu, which if you take a look at it, it's already pretty good in size and how much more information we can put on this menu, not including the alcohol or the 82 10/9/07 - PUBLIC HEALTH - BILL 070153 wine program that we have on there as well, will make it somewhat difficult. To me, honestly, as a father of two girls, I applaud what's trying to be done. I think I definitely would need to get a handle on this as a member of the Pennsylvania Restaurant Association as well as the National Restaurant Association.
I think I can speak on behalf of most members to say I think we actually want to be part of helping you with this. I'm not sure if this measure is the way to go. I personally, to be honest, will be happy to go to a school and speak on a monthly basis to the school kids on how to order well in a restaurant, what to look for. That to me I think would be a better way of making a change to their education on our behalf, not just from doctors or dieticians, but maybe from the people in the Restaurant Association or restaurant business. So I ask you to please consider the testimony given today and do what's 83 10/9/07 - PUBLIC HEALTH - BILL 070153 best for the City of Philadelphia. Thank you.
Good morning, Chairwoman Tasco and members of the Committee. I do deeply appreciate the opportunity to speak before you today, and for that, I thank you. For the record, my name is John Bowie and I'm the Division Vice-President for Wendy's International, Inc. I reside at our regional office in Berwyn, Pennsylvania where I lead the operations for approximately 650 corporate and franchise stores in eight states, including all of Pennsylvania and, of course, here in the City of Philadelphia. Today I offer comments in opposition to the proposed menu board labeling mandate. Wendy's does support prominent in-store posting of complete nutrition information for the food that we serve. 84 10/9/07 - PUBLIC HEALTH - BILL 070153 We've provided information for decades, and the way in which we provide it has evolved over time based on technology and other developments and opportunities. We, however, oppose mandates on menu boards. We believe it will confuse consumers. Restaurant menu boards are designed for advertising and marketing. Nutrition information is educational. And just as with the nutrition facts panels on manufactured food, we believe it should be distinct from its advertising. Manufactured food has a dedicated place for nutrition facts. Our customers have a dedicated place for this information on nutrition information posters that are displayed in every store. I have brought a copy of that poster for you to review. Additionally, we're concerned that a local government would seek to regulate food labeling, especially in light of our long tradition of providing 85 10/9/07 - PUBLIC HEALTH - BILL 070153 the information in a very user-friendly way. Founded in 1969, Wendy's has become one of the world's most successful restaurant chains. However, less than 7 percent of our stores are owned by the 8 corporation. The other 80 percent are 9 individually owned and operated often by 10 small business owners. In Philadelphia 11 the majority of Wendy's are owned by 12 local franchisees. 13 Wendy's has long been committed 14 to finding new and better ways to provide 15 nutrition information that our customers 16 want and need. For 30 years Wendy's has 17 provided nutritional information that has 18 exceeded what is currently required and 19 has had no objection to providing the 20 information for our menu items in every single store. In 2006, to better provide this information near the point of sale, Wendy's installed posters with complete nutritional information for all menu 86 10/9/07 - PUBLIC HEALTH - BILL 070153 items in each one of its stores. These posters include information on calories, fat, cholesterol, sodium, protein, carbohydrates, sugar and fiber, as well as allergen information. Every Wendy's restaurant is audited for and required to have these large nutrition information posters permanently affixed to the inside walls of the restaurant where customers have access to the information. We provide this information not because it's required but because we believe our customers deserve it and it's the right thing to do. Our food, like most restaurant food, is hand-prepared and made to order. Therefore, product variations will occur and portion sizes will vary. Relying on information on a menu board to be precise as if the food were manufactured like grocery store goods does not recognize the differences in the nature of the two types of food, hand-made versus manufactured. 87 10/9/07 - PUBLIC HEALTH - BILL 070153 Wendy's believes this proposal is unfair. It will not apply to the entire industry, and we do not believe it is the best way to educate our customers about the food that we serve. We ask the City to carefully consider what is in the best interest of both the customer and the industry and allow us to continue to provide the information near the point of sale, as we have done for the past 30 years. Again, I thank you for the opportunity to speak.
Good morning. My name is John Hatib. I would like to say thank you very much. My name is John Hatib. I'm the General Manager for TGI Friday's located at 1776 Ben Franklin Parkway, which is about two blocks from here. I work for Jackmont Hospitality, which is a 88 10/9/07 - PUBLIC HEALTH - BILL 070153 franchisee of TGI Friday's. Jackmont Hospitality also operates another TGI Friday's located at City Line Avenue, which is on the other side of Philadelphia. We have about 238 employees in the two locations. Our organization opposes the menu labeling proposal for several reasons. First, the cost to update our menu and maintain the proposed menus would weaken our already slim margins. Our menu carries over 100 and spans over ten pages. New entrees and menu items are also added to our menu every six to eight weeks, because we have a franchise of TGI Friday's brand. We estimate that the price for printing new menus and reproduction will cost and almost increase in threefold that will also result in decreased profit margins. Second, providing standardized caloric descriptions are increasingly difficult due to customer substitutions and also our customizations. Customers 89 10/9/07 - PUBLIC HEALTH - BILL 070153 like choices. Customers like to tailor their meal to fit their preferences. It is simply not practical for restaurants or us to generate written menu information to every conceivable customized order. Similarly, variance in recipe and every adherence to measuring of all ingredients during preparation of any meal could jeopardize consistency of our recipes. Third, mandating this type of information would also expose our company to undue liability and litigation. Jackmont Hospitality is a small minority-owned business that prides itself in providing the highest level of quality and service to the community. The proposed menu changes will expose our company to an unthinkable amount of lawsuits that would threaten our ability to survive as a small company in the City of Philadelphia. I also would like to say that I do have about five menus that we have 90 10/9/07 - PUBLIC HEALTH - BILL 070153 that Council can look at just to give you guys an idea how much it's going to cost us if you decide to pass this bill. I would like to say thank you very much for your time.
The gentleman from Wendy's, Mr. John Bowie, might we have copies of your testimony?
Okay. I overlooked it. Could any one of you, just for our knowledge base, define the difference between a chain and a franchise just to put it on the record. Any one of you.
TGI Friday's, it's a franchise. Jackmont Hospitality, TGI Friday's.
Okay. The difference between -- 91 10/9/07 - PUBLIC HEALTH - BILL 070153
For Wendy's International of our approximate 7,000 restaurants, about percent of the 5 restaurants, or 1,400 stores, are company 6 owned and operated. So that they are our 7 restaurants and we operate them with a 8 corporate and field support staff that 9 manages those. The other roughly 5,500 10 restaurants are franchised, and that is 11 an independent business owner has 12 purchased the rights to operate a 13 Wendy's. We provide significant support 14 from a brand, a national level, and then 15 with field support, with auditors, 16 inspectors, and we help them through the 17 various components of the business. 18
And of 19 those independently franchised owners, 20 they decide, because they are that, on whether or not they want to provide menu labeling or do you have nutritional information -- because menu labeling is becoming a four-letter word -- do they provide nutritional information, the 20 92 10/9/07 - PUBLIC HEALTH - BILL 070153 percent, the 1,400, as well as the 5,500? Do both of those worlds provide nutritional information?
Yes. We have very specific requirements for every single franchisee, and they basically -- there should be complete transparency. A company-owned Wendy's restaurant versus a franchise restaurant, you should see no 11 difference. And all of our restaurants are required to have the nutritional poster permanently affixed to the restaurant as close to the point of sale as possible.
What triggered Wendy's corporate decision to provide nutritional information?
In all honesty, ma'am, we've been providing that for 30 years, and it's just something that we felt was the right thing to do. Prior to posters we had nutritional leaflets, handouts, which listed the same information that were available upon 93 10/9/07 - PUBLIC HEALTH - BILL 070153 request at the pick-up window or maybe in a holder on the wall or available at the counter.
I see. And so that that's a segue to the comment or remark or perspective raised by Ms. Weiss wherein you indicate in your testimony that -- you say that you should have flexibility. So give me an example of what that represents and, therefore, would be acceptable to the world where you come from, the National Restaurant Association.
In terms of flexibility, what I was referring to is an example such as a poster at point of purchase rather than a strict requirement to have that nutrition information on a menu or menu board, giving an establishment the flexibility to provide it in another means, such as a poster.
Okay. So then is it fair to say, then -- I don't want to misrepresent you -- you are in 94 10/9/07 - PUBLIC HEALTH - BILL 070153 favor of nutritional information; the challenge or the request or the appeal is giving me, the restaurant owner, the option on how I choose to deliver that information. Would that be fair to say?
As an association, we are in support of restaurants who can provide nutrition information. As you heard from this panel, there are some challenges for certain establishments because of variability in menu items or in options offered that it's not always an easy standard approach to provide nutrition information for a menu item.
Okay. In your testimony you say, and I quote, "The restaurant industry believes it can play a valuable role in serving as a point of dissemination for consumer-focused information." Such as what? Provide me with an example.
Some examples would be nutrition information in an alternative way other than a menu. Also 95 10/9/07 - PUBLIC HEALTH - BILL 070153 providing education to consumers on how to make smarter choices when ordering, asking for a sauce on the side, going for a steamed vegetable instead of a fried vegetable, examples like that.
Gentleman from Wendy's, those independent franchisees, if this bill were to become law, would you provide them with any assistance to post the information on the menu board or are they responsible for that as individual owners?
We provide the information currently through the posters. They would be responsible -- in terms of changing their menu board to accommodate what would be requested under this bill, that would be their financial responsibility to change that menu board.
How often are your menu boards changed, a Wendy's menu board? 96 10/9/07 - PUBLIC HEALTH - BILL 070153
I guess the content. How often do you change your menu?
I mean, there may be some promotional items added to or taken off the menu board a couple times a year. But that would be a menu strip. Yes. The core menu itself, 95 percent of the menu or greater is a standardized menu.
Mr. Hatib, you said that you're an independent chain. You change your menu how often?
Well, as a franchisee of a brand, we're required to change the menus every six to eight weeks. Friday's as a brand changes their menu. That's based on what the consumer wants us to do.
Do you all provide any nutritional information in your restaurants? 97 10/9/07 - PUBLIC HEALTH - BILL 070153
Yes. When people ask questions, we do provide nutritional information.
You don't have a poster board near the front of the restaurant where people are waiting to sit? There's no information out front?
Gentleman from Wendy's, you have your information near the point of sale.
Is that before they order? When you come into a restaurant, there's a wall over here and a wall over here. I'm in the middle. Do I have to go to the wall at the end of the counter to get the information?
That's a great question. I will tell you that it varies by building type, because we have several different layouts depending on the type of building that we built, but generally, inside the restaurant you're entering 98 10/9/07 - PUBLIC HEALTH - BILL 070153 into a serpentine and it's a single cue system, and it is generally either on the wall to your right as you enter the serpentine or straight ahead as you're walking towards it before you get to the counter. So, I mean, one could argue it's both before and after you order. But it's readily available near the front counter on either the left wall or the right wall.
To Ms. Weiss, now, it seems that this issue is going to be on the agenda for a lot of local governments.
And at some point in time it's probably going to become law, maybe everywhere.
So have you thought about trying to figure out how you work with local government to come up with some solution to this rather than saying we can't do it? The best way 99 10/9/07 - PUBLIC HEALTH - BILL 070153 is how can we do it.
We are looking to work with local governments as we can to find ways in which we can help educate the public and find ways in which our restaurants can be flexible in providing information when possible.
So now how can Subway do it and other restaurants can't put the nutrition information on their poster board? What's the difference?
Well, I think -- and I can't really speak specifically to their practices, because I don't -- I haven't been working with their marketers and their artists to do the menu boards, but I think as you can see from this panel, a chain restaurant varies and a sandwich shop like Subway may be able to work with their menu to post the nutrition information, while others like the Capital Grille has a very different menu concept or TGI Friday's has a very 100 10/9/07 - PUBLIC HEALTH - BILL 070153 different menu concept than Subway to be able to provide this information on their menu or menu board. And I think, if I may add, I think that's why we're asking for some flexibility and showing that a one-size-fits-all approach won't be workable for every restaurant concept.
Follow-up question. Is Subway a member of the National Restaurant Association?
Can you give me a round percentage or guesstimate or range of the number of restaurants that are members of the NRA -- National Restaurant Association?
Delete that. I lost my train of thought. That already are engaged in voluntarily providing nutritional information?
I can certainly -- 101 10/9/07 - PUBLIC HEALTH - BILL 070153 I don't know off the top of my head. We represent over -- the restaurant industry in the U.S. has over 900,000 restaurant locations. We have over 60,000 member companies, and I can't give you a number right now.
It would be helpful if you can get that information back to the Chair.
And thank you, Wendy's, John Bowie, for the definition of "franchise." Then what's the definition of "chain"? I'm trying to get a handle on is there a difference or are the two synonymous.
I can also, when I send that other information, give you some information from our research department that clearly defines restaurant chain and franchisee. We do have that information. I don't know it off the top of my head.
That would 102 10/9/07 - PUBLIC HEALTH - BILL 070153 be very, very useful as we go forward.
Councilwoman, generally we refer to a chain as multi unit, and then corporate chains may in some cases also have locally owned and operated franchise locations. So it's sort of a mix. But anything that's multi unit we tend to refer to as a chain versus an independent, which may be a single-unit operator of maybe one or two restaurants.
Would a Morton's, Ruth's Chris and Capital Grille, are they chains?
Although we at times say we are not. Obviously for us and the restaurant industry usually when you say the word "chain," you might take the connotation to, say, a McDonald's, a fast food, because there's several thousands of them, a Wendy's and whatnot. But for us, technically we are a chain. We're more than several units owned by 103 10/9/07 - PUBLIC HEALTH - BILL 070153 the same individuals, and we try to have almost identical menu contents in every single store. So, yes, we are a chain and so is Morton's.