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HB20B-1005

Local Authority To Impose Food Delivery Fee Restrictions

Concerning authorization for local governments to enact restrictions relating to fees charged by a third-party food delivery service to a retail food establishment.
Session:
2020 Extraordinary Session
Subjects:
Local Government
State Government
Bill Summary

During a declared public health disaster emergency, the act authorizes counties and municipalities to enact ordinances and resolutions that:

  • Limit the amount of the fee, excluding a fee related to credit card processing, that a third-party delivery service may charge to a retail food establishment in a county or municipality where indoor dining is prohibited at a capacity of at least 50% or below at the discretion of the county or municipality;
  • Restrict the ability of a third-party food delivery service to reduce the compensation rate or tips paid to a delivery driver or retail food establishment to offset revenue reductions resulting from a fee limit;
  • Require that any fee or commission charged to a retail food establishment be disclosed by the third-party food delivery service to the customer; and
  • Restrict a third-party food delivery service's ability to service a retail food establishment without the retail food establishment's consent.

The act immunizes any county or municipality that enacts an ordinance or a resolution as authorized by the act from liability for economic damage suffered as a result of the ordinance or resolution unless a court holds that the damage amounts to an unconstitutional taking of private property. The act also defines a declared public health disaster emergency for purposes of the act as the COVID-19 pandemic of 2020, as declared by the governor by executive order.


(Note: This summary applies to this bill as enacted.)

Status

Introduced
Passed
Became Law

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Bill Text

The effective date for bills enacted without a safety clause is August 6, 2025, if the General Assembly adjourns sine die on May 7, 2025 (unless otherwise specified). Details

Request for Proposal for the COL study. Details

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