## Facts

- The New York City Board of Health amended the New York City Health Code to adopt the “Sugary Drinks Portion Cap Rule,” limiting certain sugary drinks sold by covered food-service establishments to 16 ounces per serving.
- The rule applied to many venues regulated by city health authorities (e.g., restaurants, theaters, stadiums) but exempted other sellers and certain beverages (including some milk-based drinks and diet beverages).
- The stated purpose was to address obesity and related health conditions among New York City residents.
- After a proposal, public hearing, and extensive public comment, the rule was adopted and scheduled to take effect in March 2013.
- Business, nonprofit, and labor organizations challenged the rule, alleging the Board exceeded its authority and made policy choices reserved to the City Council.

## Issues

1. Whether the New York City Board of Health exceeded its delegated regulatory authority by adopting a broad, value-laden portion-size rule without sufficient legislative authorization, in violation of separation of powers principles.

## Decision

- The Court of Appeals, by a 4–2 vote, affirmed the judgment invalidating and enjoining the rule.
- The court held the Board of Health exceeded its authority by engaging in legislative policy-making without adequate delegation or guidance from the City Council.
- Having resolved the case on separation-of-powers grounds, the court did not reach whether the rule was arbitrary and capricious.

## Legal Principles

- Legislative power in New York City is vested in the City Council; administrative agencies may not make major policy choices absent clear legislative delegation.
- Under the Boreali framework, a regulation is more likely legislative in character when: (1) it reflects policy balancing among competing social and economic concerns; (2) it lacks legislative guidance; (3) the legislature has considered but declined to act in the area; and (4) the agency’s action is not primarily a product of technical expertise.
- General public-health authority does not, by itself, authorize an agency to impose a sweeping regulatory program that turns on contested value judgments and politically significant tradeoffs.

## Conclusion

The court invalidated New York City’s sugary-drink portion cap because the Board of Health crossed from implementing public-health policy into making it, selecting among contested policy outcomes without clear authorization from the City Council.


N.Y. Statewide Coal. of Hispanic Chambers of Com. v. N.Y.C. Dep’t of Health & Mental Hygiene, 16 N.E.3d 538 (N.Y. 2014)