Contra Costa County supervisors on Tuesday will consider capping fees that food delivery companies charge restaurants, as restaurants continue to suffer economically under COVID-19 restrictions.
If approved, companies like Uber Eats and DoorDash could charge restaurants no more than 15 percent of the total order price for delivery services.
While the state recently allowed county restaurants to re-open outdoor dining areas, indoor dining is still prohibited while the county is in the most restrictive tier of California’s “Blueprint for a Safer Economy.”
Dozens of Contra Costa restaurants have closed in the past year, as the spread of COVID-19 continues to keep people home. Many restaurants have survived through delivery services, which often charge up to 30 percent of the price of an order. Some estimates say delivery has gobbled up to a quarter of some establishments’ profits.
According to the staff report for today’s meeting, “There is an urgent need for the County to place limits on the fees that third-party firms operating food delivery platforms may charge restaurants.”
It also called the limits “necessary” for the health, safety and welfare of county residents.
If approved by at least four-fifths of the board, the ordinance would go into effect immediately and expire when the state allows county restaurants to resume indoor dining at 100 percent capacity.
YES!! More real fascism!! I was getting tired of that orange chetto meanie with all his fake fascism. Fascism is the new freedom..It’s great!
if you let them control you
its your fault when they take your children
Typical… regulate something that doesn’t concern you. If the price being charged is too high, then the competition enters the race. If the restaurants say it’s too much, then no deliveries. Hurts both sides.
Let correct that staff report from “There is an urgent need for the County to place limits on the fees that third-party firms operating food delivery platforms may charge restaurants.” to “There is an urgent need for the County to remove all current board of supervisors and replace them with members that can actually focus on real issues in our society.”
I would then agree that this is “necessary” for the health, safety and welfare of county residents.
I do not use either Uber or any other food delivery fee, so I have no clue if the price is legitimate or not.
So…if DoorDash cannot hire, train & pay a driver, who herself fully funds a vehicle, cannot pick up food and deliver it, at a cost of $7.50 (for a $50 meal)…and make a living wage, let alone a profit…then they should be forced to endure a cap and lose money?
I keep forgetting that we are no longer a free Republic.
In a free republic, our representatives would never consider legislation that would restrain free trade in any way.
A free republic would allow the market to determine the price.
Oh, how I wish I lived in a free republic once again.
the reason is to kill capitalism and install socialism and communism
you being manipulated
hard right now
the china virus has pushed their agenda ahead and since you are all complying they frauded an election to put us into socialism in 8 years
since they can rig elections when ever they want
get ready for more years of weiner and de slacker taking money for doing nothing but following the agenda of democrats and enslaving the people
oh now we know why the democrats are erasing the past
Get rid of these clowns.So much for free enterprise.If someone doesn’t want to pay the price sooner or later it will go down when they don’t use the service.Try and cut the Politicians salary and see what happens.
What they need to cap are PG&E bills. Mine went up over a hundred dollars in one month. I feel like I am paying big time for their fires. I used to have a lower mortgage payment than my PG&E bill.
What’s keeping restaurants from doing their own deliveries if those services charge too much?
Insurance for a driver and their vehicle for starters. The cost of hiring a driver,, or hiring additional staff for the restaurant if you are sending existing staff out as a driver. If there is a heavy demand,, it often coincides with popular times for in person dining (i.e. 6:00), so if you send out multiple drivers your in house service suffers unless you hire more staff. Some restaurants can only offer certain items for takeout as some dont travel well.
Partnering with third party delivery services isn’t as helpful as you might think. Many businesses start getting orders from a third party company without their consent, then are contacted by the company who points out the “boost” they gave you in business and will continue to work with you for a percentage. Their “cut” changes on a whim, and when there is a problem with the delivery, the customer blames the restaurant rather than the delivery company. it’s a racket right up there with partnering up with Yelp advertising.
How do they know if the delivery food service can survive on 15% cap. Clueless!
They don’t.
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County would lose money on this. https://www.calcpa.org/public-resources/ask-a-cpa/small-business-tax/corporate-tax-returns/sales-tax/can-a-sales-tax-be-added-to-a-delivery-charge
None of their business. Simple as that. If Uber Eats charges too much, consumers won’t use them. I won’t use them, in part because I do not want the restaurant to have to take that hit. That is by choice, my choice, not some tyrannical dictate from our elected “representatives.”
It just means the fee will be passed on to the customers. Just another example of more government interference in the free market system.
I’m so glad the government is continuing incrementally over. We’re all too inept to take care of things on our own.
were already paying more fees that are passed onto the consumer from over regulation.
Uber Eats order $51.43 in food.
Tax $4.50
Uber Service fee $4.50
CA Driver benefits $2
Delivery Fee $2.49
Tip $6.09
I this example does anyone know if Uber Eats also gets a cut of the $51.43 in food purchase from the restaurant?
For people in favor of this, please know that in cities where this has passed the delivery company simply tacks on the fee to the consumer as a regulatory fee.
So what @It put you see it is already happening! What happened in Walnut Creek after the city capped the fees that could be charged to the restaurant, the delivery services starting adding on fees that get paid by the consumer! The extra $2.00 added is to get around the rules.
Just pick it up yourself.