Minneapolis Caps 3rd-Party Delivery Fees At 15 Percent

MINNEAPOLIS, MN — Mayor Jacob Frey Monday sign an emergency regulation that puts a cap on third-party foodservice delivery fees at 15 percent in Minneapolis. The mayor and Council Member Lisa Goodman developed the measure to protect restaurants while indoor dining is banned in the state.

According to the mayor's office, some restaurants are incurring third-party delivery fees as high as 40 percent of the price for the customer order.

"Our restaurants have stepped up to continue serving their communities while safeguarding the health of their employees and customers," Frey said in a news release. "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."

Minneapolis is the first locality in Minnesota to pass this type of regulation, according to the mayor's office.

"The Twin Cities restaurant scene is an envy of the nation," said Goodman.

"This new policy reflects a commitment to having their backs as they confront challenges beyond their control. Making sure they get to keep more of their sales while maintaining access to delivery services will be good for the businesses and good for the overall health of our economy."

The lawn, known as Emergency Regulation 2020-20, takes effect Wednesday at noon. Third-party food delivery companies that violate the law could face misdemeanor prosecution.

"As we head into the holiday break of a challenging year, we’re happy to see our Twin Cities leadership pulling together to support the employees who make our local restaurant industry incredible," said Wendy Puckett, Owner of Wendy’s House of SOUL in Minneapolis.

"There are commonsense steps that local government can take to help provide relief and this is an excellent example of exactly that."