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Minneapolis Mayor Frey Signs Emergency Regulation Capping Third-Party Food Service Delivery Fees At 15%

MINNEAPOLIS (WCCO) -- Minneapolis Mayor Jacob Frey has signed the city's 20th emergency regulation related to the COVID-19 pandemic. This one will cap third-party food service delivery fees.

Frey signed the emergency regulation into law Monday, saying it will help Minneapolis restaurants keep more of their delivery profits and support workers -- while continuing to prioritize public health.

The regulation will cap the third-party food service delivery fees at 15%. Some restaurants have experienced delivery fees as high as 40% of the price of the customer's order, city officials said.

"Our restaurants have stepped up to continue serving their communities while safeguarding the health of their employees and customers," said Frey. "We need to provide every ounce of available support to them. Our restaurants are cultural institutions throughout Minneapolis, and this is urgently needed relief at a critical time."

City officials say Minneapolis is the first Minnesota locality to implement such a regulation. Under the new law, a third-party food delivery platform -- like Grubhub, UberEats or DoorDash -- will not be allowed to charge any additional fee to a licensed food establishment that the licensed food establishment has not voluntarily agreed to pay.

The law goes into effect Wednesday. More information on the regulation can be found here.

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