HomeMy WebLinkAbout4382ORDINANCE NO. 4342
AN ORDINANCE of the City Council of the
City of Kent, Washington, restricting restaurant
delivery and pickup fees charged by third-party,
application-based food delivery platforms and
prohibiting reductions in compensation rates paid to
delivery drivers, made necessary as a result of
COVID- 19 restaurant closures.
RECITALS
A. On February 29, 2O2O, Washington's governor issued
Proclamation 20-05 declaring a state of emergency in the state of
Washington due to the COVID-19 pandemic
B. On March 6, 2O2O, Mayor Dana Ralph proclaimed an
emergency in the city of Kent due to the COVID-l9 pandemic.
C. On March L3,2020, the President of the United States declared
a national emergency due to the COVID-19 pandemic.
D. The conditions warranting the above proclamations continue to
exist. As of November 15, 2020, the Washington State Department of
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Health has reported 130,040 confirmed COVID-19 cases and 2,5L9
confirmed COVID deaths in the state of Washington.
E. Social distancing measures required to mitigate the spread of
the COVID-19 virus have significantly impacted restaurants. On March 16,
2O2O, Washington's governor issued proclamation 2O-I3, which prohibited
indoor dine-in services in order to curtail the spread of COVID-19. On
March 23,2020, the governor issued proclamation 20-25, the "Stay Home
- Stay Healthy" proclamation, which prohibited people from leaving their
homes, and which required the cessation of business activities including the
closure of restaurants. Over the course of the past several months,
restaurants were permitted to partially reopen pursuant to a phased
reopening plan. However, businesses have not been permitted to provide
dine-in services at levels required to sustain businesses. As a result of the
pandemic, many restaurants have been forced to close.
F.
rates of
prohibits
Most recently, on November t5,2020, in response to climbing
COVID-19, the governor issued proclamation 20-25.8, which
indoor dine-in service until at least December L4, 2020.
G. During the COVID-19 pandemic, it is critical that restaurants
continue to operate. They perform the essential function, along with grocery
stores and other food services, of providing the public with access to food
as well as employment for workers. Many of these small businesses are
minority owned and operated, and the closure of restaurants could have a
disproportionate impact on the BIPOC community.
H. To date, the COVID-19 pandemic has had a considerable
impact on the local economy and, in particular, the restaurant, food service
and other related industries, resulting in economic hardship for business
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owners due to loss of business income, as well as layoffs and reduced work
hours for a significant percentage workers.
I. As a result of the cessation of in-person dining, restaurant
delivery and take-out options are critical to the public's accessibility to food
and the continued viability of local businesses.
J. Many consumers are eager to support local restaurants and
use third-party, app-based food delivery platforms to place food orders.
These third-party, app-based food delivery platforms charge commission
fees to restaurants based on the purchase price. While the service
agreements between restaurants and third-party, app-based food delivery
platforms vary, these agreements include delivery commission fees of up to
30o/o or more of the purchase price.
K. Restaurants, and particularly small, independently-owned, or
minority-owned restaurants with few locations, have limited bargaining
power to negotiate lower commission fees with third-party, app-based food
delivery platforms due to only a few companies in the marketplace that
provide such delivery services. These businesses face dire financial
circumstances during this COVID-19 pandemic because take-out and
delivery are often the only options to keep the business in operation.
L. Capping the commission fee to a maximum of 15olo of the
purchase price on delivery or pick-up orders while restaurants are unable to
provide unrestricted dine-in service will accomplish the fundamental
government purpose of ensuring the public's accessibility to food and easing
the financial burden on struggling restaurants during this public health
emergency while not unduly burdening third-party, app-based food delivery
platforms.
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M. This public health emergency has also resulted in a significant
number of employment layoffs, reduced work schedules, and record-
breaking unemployment claims. During this time of local economic
shutdown and uncertainty caused by the COVID-19 pandemic, many
vulnerable workers have found work opportunities as delivery drivers for
these third-party, app-based food delivery platforms to financially support
themselves and their families.
N. Third-party, app-based food delivery platforms will further
undermine already vulnerable workers if the . companies reduce
compensation rates to these delivery drivers as a result of this ordinance,
necessitating additional protections to avoid such potential adverse
consequences.
O. It is in the public interest to take action to better position
Kent's restaurant industry to enable restaurants to survive the impacts of
the COVID-19 pandemic. Similar action has been taken in many cities
around the country.
P. The recent complete prohibition of in-person dine-in services
at restaurants makes the passage of this ordinance an urgent matter, and
the Kent City Council declares this ordinance necessary to address a public
emergency in order to protect the economic viability of the restaurant
industry in Kent, restaurant employment, and the provision of food
resources to the community.
a. The Council intends this ordinance remain in effect until such
time as the governor allows restaurants to operate at a capacity of seventy-
five percent or more, or upon the state of Washington, either through
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legislative action or an emergency proclamation of the governor, establishes
a maximum chargeable rate for third-party, app-based food delivery
platforms applicable to all cities within King County, Washington.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF KENT,
WASHINGTON, DOES HEREBY ORDAIN AS FOLLOWS:
ORDINANCE
SECTION 7. - The above recitals are hereby adopted as the findings
of the City council and the basis for the passage of this ordinance.
SECTION 2. - Maximum charge for food delivery - Compensation
reduction prohibited - Definition - Penalty. A new ordinance entitled,
"Maximum charge for food delivery - Compensation reduction prohibited -
Definition - Penalty" is hereby adopted as follows:
A. Maximum charge. It shall be unlawful for a third-party, app-based
food delivery platform to charge a restaurant a commission fee per online,
delivery, or pick-up order for the use of its services that totals more than
15o/o of the purchase price of such online order.
B. ComLensation reduction prohibited. It shall be unlawful for a third-
party, app-based food delivery platform to reduce the compensation rates
paid to the delivery service driver or garnish gratuities as a result of this
ordinance or during the duration of this ordinance.
C. Definitions. For the purposes of this ordinance, the below terms shall
be defined as follows:
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1. "Restaurant" means a business located within the city limits of
Kent in which food and/or beverage preparation and service is provided
for individual consumption either on- or off-premise.
2. "Third-party, app-based food delivery platform" means any
website, mobile application, or other internet service wherein a third-
party offers or arranges for the sale of food and beverages prepared by,
and the same-day delivery or same-day pick-up of, food and beverages
from a restaurant.
3. "Online order" means an order placed through a third-party,
app-based food delivery platform for pick-up or delivery from a restaurant
within Kent.
4. "Purchase price" means the menu price of an online order.
Such term excludes taxes, gratuities, and any other fees that may make
up the total cost to the customer of an online order.
D. Penalty. The violation of any provision of this ordinance shall
constitute a civil infraction punishable by the imposition of a monetary
penalty in the amount of five hundred dollars ($500) per occurrence and the
loss of the offender's business license.
SECTION 3. - Severability. If any one or more section, subsection,
or sentence of this ordinance is held to be unconstitutional or invalid, such
decision shall not affect the validity of the remaining portion of this ordinance
and the same shall remain in full force and effect.
SECTION 4. - Corrections by City Clerk or Code Reviser. Upon
approval of the city attorney, the city clerk and the code reviser are
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authorized to make necessary corrections to this ordinance, including the
correction of clerical errors; ordinance, section, or subsection numbering; or
references to other local, state, or federal laws, codes, rules, or regulations.
SECTION 5, - Declaration of public emergency - Statement of
urgency. In accordance with RCW 35A.11.090 and 35A.t2.L3O, the council
hereby declares the need for this ordinance an urgent matter and a public
emergency necessary for the immediate protection and preservation of
public peace, health, and safety.
SECTION 6, - Effective Date. This ordinance shall take effect and be
in force beginning Saturday, November 2L, 2O2O at 12:00 am.
SECTION 7. - Automatic repeaL This ordinance shall automatically
be deemed repealed upon the effective date of any law, proclamation, order
or guidance of the Washington governor or legislature that permits
restaurants in Kent to operate with in-person indoor dining at a capacity of
seventy-five percent or more, or upon the effective date of a maximum
chargeable rate for third-party, app-based food delivery platforms applicable
to all cities within King County, Washington that is established by law,
proclamation, order or guidance of the Washington governor or legislature.
DANA MLPH, MAYO
November 17, 2020
Date Approved
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ATTEST:
KIMBERLEY MOTO, CITY CLERK
APPROVED AS TO FORM:
ARTHUR *FITZPATRICK, CITY ATTORN EY
November 17, 2020
Date Adopted
November 20, 2020
Date Published
B
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eladsified Proof
Client
Address
238398 - City of Kent, City Clerk - LEGAL ADS
220 Fourth Ave S
Kent, WA, 98032
Phone
E-Mail
Fs
(2s3) 8s6-s728
kkomoto@kentwa.gov
Order#
Classifioation
StartDate
End Date
Run Dates
Publication(s)
9 l 3880
3030 - Legal Notices
1t/20/2020
1U20/2020
I
Kent Reporter
Requested'$r,KIM KOMOTO
PO# ORDS 43"11-4382
CreatedBy 8280
Creation Date ll/17/2020, 0l:04:24 pm
Order Price
Tax t
Tax 2
Total Net
Payment
$338.73
$0.00
$0.00
$338.73
$0.00
Salos Rep 9470 - Jennifer Tribbeu Phone
E-Mail
Fax
(360) 802-8212
jtribbett@courierherald.com
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CITYOF KENT
NOTICE OF
ORDINANCES
PASSED BY THE CITY
COUNCIL
The following are sum-
maries of ordinances
passed by the Kent City
Council on November
17,2020.
ORDINANCE NO. ,(l71
-AN ORDINANCE ofthe
City Council of the Cityof Kent, Washington,
amending the Compre-
hensive Plan Land Use
Plan Map designationsin compliance with the
requirements of the
Growth Management Act
(cPA-2019-04,
cPA-2019-05,
cPA-2019-06).
This ordinance shall take
effect and be in force 30
days from and after its
passage, as provided by
law.
ORDINANCE No. iB74
- AN ORDINANCE ol
lhe City Council of the
Cig of Kent, Washing-
ton, amending sections7.01.070. 7.02.230.
7.03.030, 7.04.220, and
7.05.130 of the Kent City
Code to ohange the cal-
culation of lifeline utility
rates for water, sewer,
storm and surface water
drainage, and to make
other minor technical
changes within those
same code sections.
This ordinance shall take
effect and be in force 30
days after the date of its
passage as provided for
by RCW 35A.1 1.090 and
RCW 354.12.130; how-
ever, the new authorized
lifeline utility rates in
Sections 1,2, 4, and 5
will not be
utility charges
ary 1,2021.
ORDINANCE
applied to
until Janu-
NO. 4375
- AN ORDINANCE of
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elaSsified Proof
the City Council of the
City of Kent, Washing-
ton, approving the con-
solidating budget adjust-
ments made between
July 1, 202O and Sep-
tember 30, 2020, refleit-
ing an overall budget de-
crease of $4,338,400.
This ordinanoe shall take
effect and be in force
fve days after its publi-
cation as provided for by
RCW 35A.11.090 and
RCW35A.'12.130.
ORDINANCE NO. 4376
- AN ORDINANCE ol
the City Council of the
City of Kent, Washing-
ton, amending the Kent
Comprehensive Plan
and its Capital Facilities
Element to reflect a six-year Capital lmprove-
ment Program for capitalimprovement projects
(2021 -2026) (CPA-2020-
2').
This ordinance shall take
effect and be in force 30
days from and after its
passage, as provided by
law.
ORDINANCE NO. 4377
- AN ORDINANCE of
the City Council of the
City of Kent, Washing-
ton, amending the KentComprehensive Plan
and its Capital Facilities
Element to include the
Capital Faoilities Plansof the Kent, Federal
Way, and Aubum SchoolDistricts for the202012021 through
202512026 school vears
(cPA-2020-1 ).
This ordinance will take
efiect and be in force 30
days from and after its
passage, as provided by
law.
ORDINANCE NO. 4378
- AN ORDINANCE ol
the City Council of the
City of Kent, Washing-ton, amending Section
12.13.160 of the Kenl
City Code to adjust the
school impact fee sched-
ules (CPA-2020-1).
This ordinance shall take
effeot and be in force 30
days from and after its
passage, as provided by
law.
ORDINANCE NO. 4379
- AN ORDINANCE ol
the City Council of the
City of Kent, Washing-
ion, amending the KentComprehensive Plan
and its Utilities Element
to include the 2019 Wa-ter System Plan
(cPA-2020-3).
This ordinance shall take
effect and be in force 30
days from and after its
passage, as provided by
law.
ORDINANCE NO. 4:I8O
- AN ORDINANCE ot
the City Council of theCig of Kent, Washing-
ton, levying 2020 proper-
ty taxes for the first year
ofthe 2021 -2O22bien-nial budget for the City
of Kent.
This ordinance shall take
effect and be in force
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Classified Proof
lve oays atter me oate
of its publication as pro-
vided for by RCW
35A.11.090 and RCW
35A.12.130; however,
the property tax levied
through this ordinance
shall not be assessed for
collection until January
1,2021.
ORDINANCE NO. r$81
- AN ORDINANCE ofthe
Cig Council of the City
of Kent, Washington, re-
lating to budgets and fi-
nance and adopting the
{tnal 2021 -2O22 biennial
bddget.
This ordinance shall take
effect and be in force
five days after the date
of its publication as pro-
vided for by RCW
35A.11.090 and RCW
354.12.130; however,the budget authorized
through this ordinance
shall be effective Janu-
ary 1,2021.
ORDINANCE /til82 - AN
ORDINANCE of the City
Council of the City ol
Kent, Washington, made
necessary as a result o{
COVID-19 restaurant
closures, restricting res-
taurant delivery and
pickup fees charged by
third-party, application-
based food delivery plat-
forms and prohibiling re-
ductions in compensa-tion rates paid to
delivery drivers.
This ordinance shall take
effect and be in force be-
ginning Friday, Novern'
bet 20, 2020, at 11:59
pm.
A copy of
text of any
be mailed
of the City
the complete
ordinance will
upon request
Clerk.
Kimbedey A. Komoto,
City Clerk
Kkomoto@KentWA.gov
253-856-5725
#9'13880
11t20r24
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