WASHINGTON — D.C. Council passed a bill Tuesday they say is meant to help the District's restaurant industry. The "Restaurant Revitalization" bill includes regulations on food delivery apps and caps service fees at bars and restaurants to 20%.
The bill passed 12-1 and now heads to Mayor Muriel Bowser's desk for consideration. If signed, it will undergo congressional review before becoming law.
Since the passage of Initiative 82, restaurant fees have been a huge topic of conversation for diners around the District.
A taqueria on Capitol Hill called it a 2.5% environmental surcharge. A empanada shop on 14th street called it a 2% supply increase fee. Other restaurants visited at random by WUSA9 charged fees ranging from a 5% administrative fee for COVID recovery expenses, to a 4% “wellness fee” for an “employee benefits program” and a 5% “restaurant recovery charge” to “help cover pandemic related losses and debts.”
In response to growing frustration among customers, much of it on social media, DC Attorney General Brian Schwalb issued a consumer alert last March warning DC restaurants against charging deceptive fees by:
- Burying the fee in fine print
- Failing to disclose how much the fee is until the bill comes
- Using the fee for something other than what they say it’s for
- Using ambiguous or misleading language about how the fee will be use
An amendment, which passed 7-6 on Tuesday, allows restaurants to to impose a service fee of up to 20% as long as it is prominently disclosed to customers, and includes language about how the fee will be used. The amendment protects restaurants from lawsuits, like the one recently filed against Clyde's Restaurant Group.
Meanwhile, the Council voted down an amendment that would speed up the timeline for implementing I-82, and raising tipped minimum wage for workers. I-82 requires eateries to raise tipped minimum wage every year until it becomes the same as regular minimum wage in 2027.
Additionally, the bill includes clarifying language with the goal of lowering liquor liability insurance costs, and bans food delivery services like DoorDash from decreasing a restaurant's delivery radius based on what level of service the restaurant pays the for.
The full text of the bill can be found here.
RELATED: Restaurant surcharges skyrocket in DC as some owners now charge 20% – and that's not including tip
Do you have a news tip on this story or any other story? We want to hear from you. Tell us about it by emailing newstips@wusa9.com.
MORE WAYS TO GET WUSA9
DOWNLOAD THE WUSA9 APP
Apple App Store: WUSA9 News on Apple
Google Play Store: WUSA9 News on Android
HOW TO ADD THE FREE WUSA9+ APP TO YOUR STREAMING DEVICE
ROKU: add the channel from the ROKU store or by searching for WUSA9.
For both Apple TV and Fire TV, search for "WUSA9" to find the free app to add to your account. Another option for Fire TV is to have the app delivered directly to your Fire TV through Amazon.
SIGN UP TO RECEIVE WUSA9 NEWSLETTER
Subscribe to our daily WUSA9 Newsletter for top stories from WUSA9 curated daily just for you. Get content and information right now for can’t-miss stories, Commanders content, weather, and more delivered right to your inbox.