WALNUT CREEK (CBS SF) – The Walnut Creek City Council on Tuesday will consider a cap on fees local restaurants pay online ordering and delivery service during the COVID-19 pandemic.
Recently, some local restaurants and the business advocacy groups Walnut Creek Downtown Business Association came to the city requesting a temporary cap of 15 percent charged by third-party services including DoorDash, Grubhub and Uber Eats. These delivery service companies, a city report says, have been charging between 10 and 30 percent per order when customers order food through the delivery service’s app or restaurant website.READ MORE: Atmospheric River: Power Restored To Majority of Residents; PG&E Blames Downed Trees For Massive Outages
Whereas before the COVID-19 pandemic these fees didn’t necessarily have a substantial impact on local restaurants, with indoor dining suspended since March, restaurants in Walnut Creek are now reliant on delivery/take-out orders for upwards of 70 percent of their business operations. The fees on these orders, the city report says, present a significant impact on restaurants’ profitability.
Other Bay Area cities, including Berkeley, San Francisco, South San Francisco, San Leandro and Fremont, have taken similar actions, the city report says.READ MORE: UPDATE: Flood Waters Shut Down Lanes Of I-880; Alameda's Harbor Bay Parkway, Silverado Trail In Napa
Last month, the Alameda County approved a 15 percent cap on food delivery fees in unincorporated areas.
If the council chooses to adopt a proposed urgency ordinance enacting a temporary cap on food delivery commissions and fees, it would require a four-fifths council vote.
Tuesday night’s meeting begins at 6 p.m., and is a Zoom telemeeting.MORE NEWS: Atmospheric River: Santa Cruz, San Mateo County Officials Lift Evacuation Orders For CZU Fire Burn Zone
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