Susan A. Rizzo, Albany County Comptroller
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Albany County Legislature formally introduces legislation to cap costly third-party delivery fees

Post Date:12/21/2020 7:08 pm

The Albany County Legislature, on Monday, officially introduced a local law that limits the fees that third-party food delivery companies can charge restaurants during a declared emergency. The measure is designed to protect small business owners struggling amid the coronavirus pandemic.

The legislation follows a week after County Executive Daniel P. McCoy took similar action with an Executive Order which restricts a delivery company from charging no higher than 15 percent of the purchase price. The local law takes it a step further by giving restaurants the ability to seek relief and enforcement, and to commence legal action if necessary.

"I commend the County Executive for his efforts to tackle this issue head on and help our small businesses who are struggling to keep their doors open during this pandemic. The Legislature expects to pass this local law in early 2021 that will not only enforce this Executive Order but give businesses the tools they need to protect their bottom line,” said Albany County Legislature Chairman Andrew Joyce.

Similar legislative measures have been undertaken in New York City and Westchester County, among others and was first raised in recent weeks by Legislator Samuel Fein who was concerned about the impact the fees were having on local businesses, already struggling because of the COVID-19 pandemic.

“I am proud to introduce legislation that will put an end to predatory practices that are making it even harder for our local restaurants to survive. Local restaurants need our help and it’s important that we come together as a community to support them,” Fein said.

Legislators Matthew Peter and Dustin Reidy also joined in support of the bill.

“With the pandemic still raging and an absence of meaningful federal relief for our restaurants, we must do everything within our power to make sure that they survive until they are able to fully reopen,” stated Peter. “Profiteering and price gouging is unacceptable and I'm proud to join the County Executive and my colleagues on the County Legislature in taking this small step to protect small businesses.”

Reidy added, “Food delivery is a necessary service both for local restaurants and residents during the COVID-19 pandemic. Out of state food apps know this and have taken advantage, raising fees as high as 30% of a delivery charge. We need to rein this predatory pricing in and support our local, small businesses during this pandemic and I’m proud to introduce legislation that does just that.”

The local law is being sent to the Legislature’s Law Committee for further review.

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