Proposed ordinance would cap food delivery fees in Lincoln

An ordinance proposed in the Lincoln City Council would make it illegal for third-party food delivery fees to exceed 15 percent of the cost of the food ordered during times of a declared emergency – whether declared locally or by state officials. 

LINCOLN, Neb. (KLKN) – Lincoln restaurants who use food delivery services may soon see a stop to excessive charges.

An ordinance proposed in the Lincoln City Council would make it illegal for third-party food delivery fees to exceed 15 percent of the cost of the food ordered during times of a declared emergency by city or state officials.

The ordinance says bars and restaurants have increasingly relied upon delivery services to help them generate revenue lost due to COVID-19 restrictions.

The ordinance says delivery fees in excess of 15 percent are “excessive and constitutes a nuisance,” saying capping them is necessary for the protection of public health, safety and welfare.

Grocery stores and other businesses that derive less than 50 percent of their annual revenues take-out and delivery would not be included. The ordinance also wouldn’t apply to alcohol.

You can read the full proposed ordinance HERE.