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Senators hear competing views on bill to ban non‑gratuity restaurant surcharges; bill laid on table
Summary
The Senate committee took testimony on Senate File 258, which would ban non‑gratuity surcharges at restaurants; consumer advocates backed the bill as a consumer‑protection measure, while restaurant owners and industry groups warned it would remove a tool used to cover thin margins and support wage equity.
The Senate heard testimony on Senate File 258, a bill to prohibit non‑gratuity surcharges on restaurant bills. Proponents said the measure protects consumers from surprise charges; opponents said it would remove an important tool restaurants use to cover operating costs and equalize wages between front‑ and back‑of‑house staff.
Ron Elwood of Legal Aid said the bill protects consumers by preventing surprise pricing and ensuring menu prices reflect the amount customers actually pay.
Mike Dean of Northstar Prosperity, a consumer group, argued disclosure alone is insufficient and said, “The only fair way to price meals is by ensuring that the price listed on the menu is the price the customer actually pays.” He urged the committee to build on…
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