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Senate advances food-truck bill clarifying local rules and allowing multi-day festival stays

Utah State Senate · February 25, 2019
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Summary

Senate Bill 71, presented by Senator Henderson as a third substitute, tightens prior food-truck legislation and adds a limited exception letting counties permit food trucks to remain on-site for up to five days during short mass gatherings; the Senate read the substitute for a third time after discussion about sales tax, parking and competition.

Senator Henderson introduced a third substitute to clarify the state’s existing food-truck law, aiming to close local loopholes and standardize regulations. The substitute reiterates that city land-use rules must comply with the statewide chapter, prohibits cities from charging a fee or requiring permits for food trucks on private property in most circumstances, and clarifies reciprocal-license processing fees may only cover administrative costs. Henderson said the bill also addresses a county concern: when a temporary mass gathering (festival) lasts multiple days counties can allow food trucks to remain on-site up to five days rather than require them to return daily to commissaries. “This bill simply says… counties can let them stay up to 5 days,” Henderson stated.

Multiple senators questioned the sponsor about competing local taxes and business impacts. Senator Hilliard and Senator Stevenson raised concerns about fairness to brick-and-mortar restaurants, sales-tax collection, and whether cities retain adequate authority over time and place of food-truck activity. Henderson answered that the bill does not change local authority to regulate time, place and manner and that sales-tax collection mechanics remain tied to existing tax commission processes.

Senators representing resort and tourist communities asked whether the bill would change local special taxes levied by some towns; the sponsor said those local tax questions remain under city authority. Senator Stevenson and others said the bill primarily streamlines conflicting local rules and reduces red tape for small, low-margin food-truck operators.

After floor questions and colloquy, the Senate moved the third substitute and ordered it to be read for a third time; the recorded motion to read the third substitute carried (26 yea, 3 nay). The bill will now proceed through the third-reading process before being returned to the House if final passage occurs.