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Compromise bill would keep delivery fee cap while allowing optional marketing services, sponsor says

3171007 · May 1, 2025
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Council Member Rafael Salamanca described Intro 7-62b as a compromise that preserves caps on third-party delivery fees for restaurants while permitting optional enhanced marketing services and requiring transparent, opt-in pricing and protections for small businesses.

Council Member Rafael Salamanca introduced Intro 7-62b, a measure described by the sponsor as a compromise that would maintain a cap on the fees third-party delivery services charge restaurants while allowing platforms to offer optional enhanced marketing services for an additional, disclosed fee.

“Intro 7-62b is a long overdue compromise and is a major win for local restaurants and consumers and is a result of extensive negotiations to ensure small independent restaurants voices are heard and their needs are met,” Salamanca said. He said the bill would preserve the city’s fee caps while permitting optional enhanced services such as in-app marketing and targeted campaigns for a separately stated fee, which he described as “no higher than” an additional 20% for enhanced services.

Under the sponsor’s description, the bill would require platforms that offer enhanced services to also offer a basic service plan that includes delivery and discoverability at a cost no higher than the current capped rates. Salamanca said the measure includes safeguards—like requiring clear disclosure of marketing fees, an opt-in right for restaurants and a prohibition on platforms purchasing a restaurant’s name as a keyword for advertising—so restaurants are not forced into additional charges.

Salamanca framed the measure as especially helpful to small, family- and immigrant-owned restaurants that lack in-house marketing capacity, saying the bill would help them reach customers and remain competitive. He also said the compromise would bring clarity to the market and reduce legal uncertainty, noting it follows extended negotiations between the city and delivery platforms.

The sponsor presented the bill and described its provisions; the transcript does not include a recorded council vote or final action.