District Of Columbia 2023-2024 Regular Session

District Of Columbia Council Bill B25-0214 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	ENROLLED ORIGINAL
2		-
3		-
4		-
5		-
6		-
7	1		1
8	2
9		-	AN ACT
10		-
11		-	____________
12		-
13		-	IN THE COUNCIL OF THE DISTRICT OF COLUMBIA
14		-
15		-	____________________
16		-
17		-
18		-	To amend, on an emergency basis, the Fair Meals Delivery Act of 2022 to prohibit a third-party
19		-	meal delivery service from excluding any restaurant with whom the third-party meal
20		-	delivery service has an agreement from a customer within 4 miles of a restaurant, to
21		-	restrict third-party meal delivery services from reducing a restaurant’s delivery radius
22		-	below 4 miles based on the level or percentage of commissions paid, to restrict third-
23		-	party meal delivery services from limiting driver availability based on the level or
24		-	percentage of commissions paid, to require third-party meal delivery services to disclose,
25		-	in plain language, all fees, commissions, and charges related to contracted services for
26		-	covered restaurants, and to make other clarifying changes.
27		-
28		-	BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBI A, That this
29		-	act may be cited as the “Food Delivery Fees Transparency Emergency Amendment Act of 2023”.
30		-
31		-	Sec. 2. The Fair Meals Delivery Act of 2022, effective March 10, 2023 (D.C. Law 24-
32		-	292; D.C. Official Code § 48-651 et seq.), is amended as follows:
33		-	(a) The long title is amended by striking the word “platform” wherever it appears and
34		-	inserting the word “service” in its place.
35		-	(b) Section 2 (D.C. Official Code § 48-651) is amended as follows:
36		-	(1) Paragraph (1) is amended by striking the word “platform” and inserting the
37		-	word “service” in its place.
38		-	(2) Paragraph (2) is amended to read as follows:
39		-	“(2) “Core delivery service” means a service that lists a restaurant and makes the
40		-	restaurant discoverable on all third-party meal delivery platforms where a third-party meal
41		-	delivery service lists restaurants and facilitates or performs the delivery through employees or
42		-	independent contractors of the third-party meal delivery service of food or beverages from
43		-	restaurants to customers. The term “core delivery service” does not include any other service that
44		-	may be provided by a third-party meal delivery service to a restaurant, including advertising or
45		-	other promotional services, search engine optimization, business consulting, or credit card
46		-	processing.”. ENROLLED ORIGINAL
47		-
48		-
49		-
50		-
	3	+	_____________________________ 1
	4	+	Councilmember Charles Allen 2
	5	+	3
	6	+	4
	7	+	5
	8	+	A BILL 6
	9	+	7
	10	+	_______ 8
	11	+	9
	12	+	10
	13	+	IN THE COUNCIL OF THE DISTRICT OF COLUMBIA 11
	14	+	12
	15	+	____________________ 13
	16	+	14
	17	+	15
	18	+	To amend, on an emergency basis, the Fair Meals Delivery Act of 2022, to restrict third-party meal 16
	19	+	delivery services from reducing a restaurant’s placement within a given list of restaurants 17
	20	+	on a third-party food delivery platform based on the level or percentage of commissions 18
	21	+	paid, and to make other clarifying changes. 19
	22	+	BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this 20
	23	+	act may be cited as the “Food Delivery Fees Transparency Emergency Amendment Act of 2023”. 21
	24	+	Sec. 2. The Fair Meals Delivery Act of 2022, effective March 10, 2023 (D.C. Law 24-22
	25	+	292; D.C. Official Code § 48-651 et seq.), is amended as follows: 23
	26	+	(a) The long title is amended by striking the word “platform” wherever it appears and 24
	27	+	inserting the word “service” in its place. 25
	28	+	(b) Section 2 (D.C. Official Code § 48-651) is amended as follows: 26
	29	+	(1) Paragraph (1) is amended by striking the word “platform” and inserting the 27
	30	+	word “service” in its place. 28
	31	+	(2) Paragraph (2) is amended as follows: 29
	32	+	(A) Strike the phrase “modalities or platforms offered by a third-party 30
	33	+	meal delivery platform, including any website, mobile application, or other internet service” and 31
	34	+	insert the phrase “third-party meal delivery platforms” in its place. 32
51	35
52	36		2
53		-	(3) New paragraphs (2A) and (2B) are added to read as follows:
54		-	“(2A) “Covered restaurant” means a restaurant that elects to receive only core
55		-	delivery service.
56		-	“(2B) “Delivery radius” means the circular delivery area from around a restaurant
57		-	within which customers can search for and order from a restaurant.”.
58		-	(4) Paragraph (6) is amended by striking the phrase “by, and same-day delivery,
59		-	and the” and inserting the phrase “by, and provides the” in its place.
60		-	(5) A new paragraph (6A) is added to read as follows:
61		-	“(6A) “Third-party meal delivery service” means a person that operates a third-
62		-	party meal delivery platform.”.
63		-	(c) Section 3 (D.C. Official Code § 48-652) is amended as follows:
64		-	(1) The section heading is amended by striking the phrase “meals delivery
65		-	platforms” and inserting the phrase ”meal delivery services” in its place.
66		-	(2) Subsection (a) is amended by striking the word “platform” both times it
67		-	appears and inserting the word “service” in its place.
68		-	(3) Subsection (b) is amended by striking the word “platform” both times it
69		-	appears and inserting the word “service” in its place.
70		-	(4) Subsection (c) is amended as follows:
71		-	(A) Paragraph (1) is amended by striking the word “platform” and
72		-	inserting the word “service” in its place.
73		-	(B) Paragraph (2) is amended by striking the word “platform” and
74		-	inserting the word “service” in its place.
75		-	(5) Subsection (d) is amended by striking the phrase “platform that” and inserting
76		-	the phrase “service that” in its place.
77		-	(6) New subsections (e), (f), and (g) are added to read as follows:
78		-	“(e) A third-party meal delivery service shall not exclude any restaurant with whom the
79		-	third-party meal delivery service has an agreement from a customer within 4 miles of a
80		-	restaurant.
81		-	“(f) A third-party meal delivery service shall not reduce the delivery radius of a covered
82		-	restaurant below 4 miles, based on the level or percentage of commissions paid.
83		-	“(g) A third-party meal delivery service shall not reduce the availability of delivery
84		-	drivers provided to a covered restaurant, based on the level or percentage of commissions paid;
85		-	provided, that this subsection shall not be construed to restrict a third-party meal delivery
86		-	service’s ability to use any method (that does not conflict with the restrictions in this subsection
87		-	or any other applicable law) to offer expedited or priority driver services to a covered restaurant
88		-	that pays for such services on a third-party meal delivery platform.”.
89		-	(d) Section 4 (D.C. Official Code § 48-653) is amended as follows:
90		-	(1) Strike the phrase “, the third-party meal delivery platform” and insert the
91		-	phrase “, the third-party meal delivery service” in its place. ENROLLED ORIGINAL
92		-
93		-
94		-
95		-
	37	+	(B) Strike the phrase “platform lists” and insert the phrase “service lists” 33
	38	+	in its place. 34
	39	+	(C) Strike the phrase “platform of” and insert the phrase “service of” in its 35
	40	+	place. 36
	41	+	(D) Strike the phrase “platform to” and insert the phrase “service to” in its 37
	42	+	place. 38
	43	+	(3) A new paragraph (2A) is added to read as follows: 39
	44	+	“(2A) “Covered restaurant” means a restaurant that elects to receive only core 40
	45	+	delivery service.”. 41
	46	+	(4) A new paragraph (6A) is added to read as follows: 42
	47	+	“(6A) “Third-party meal delivery service” means a person that operates a third-43
	48	+	party meal delivery platform.”. 44
	49	+	(c) Section 3 (D.C. Official Code § 48-652) is amended as follows: 45
	50	+	(1) The section heading is amended by striking the phrase ”meals delivery 46
	51	+	platforms” and inserting the phrase ”meal delivery services” in its place. 47
	52	+	(2) Subsection (a) is amended by striking the word “platform” both times it 48
	53	+	appears and inserting the word “service” in its place. 49
	54	+	(3) Subsection (b) is amended by striking the word “platform” both times it 50
	55	+	appears and inserting the word “service” in its place. 51
	56	+	(4) Subsection (c) is amended as follows: 52
	57	+	(A) Paragraph (1) is amended by striking the word “platform” and 53
	58	+	inserting the word “service” in its place. 54
96	59
97	60		3
98		-	(2) Strike the phrase “platform (“charges”)” and insert the phrase “service
99		-	(“charges”)” in its place.
100		-	(e) A new section 4a is added to read as follows:
101		-	“Sec. 4a. Restaurant disclosure requirement.
102		-	“A third-party meal delivery service shall:
103		-	“(1) Disclose to a covered restaurant, in plain language, the fees, commissions,
104		-	and charges associated with the contracted services in the agreement; and
105		-	“(2) Maintain all contracts with covered restaurants in its records for 3 years after
106		-	the date the agreement is executed.”.
107		-	(f) Section 5 (D.C. Official Code § 48-654) is amended as follows:
108		-	(1) Subsection (a) is amended as follows:
109		-	(A) Strike the phrase “third-party meal delivery platform” both times it
110		-	appears and insert the phrase “third-party meal delivery service” in its place.
111		-	(B) Strike the phrase “platform does” and insert the phrase “third-party
112		-	meal delivery service does” in its place.
113		-	(2) Subsection (b) is amended as follows:
114		-	(A) The lead-in language is amended by striking the word “platform” and
115		-	inserting the word “service” in its place.
116		-	(B) Paragraph (2) is amended by striking the word “platform” and
117		-	inserting the word “service” in its place.
118		-	(g) Section 6 (D.C. Official Code § 48-655) is amended to read as follows:
119		-	“Sec. 6. Third-party delivery platform; registration requirement.
120		-	“A third-party food delivery service operating in the District shall register with the
121		-	Department of Licensing and Consumer Protection.”.
122		-
123		-	Sec. 3. Fiscal impact statement.
124		-	The Council adopts the fiscal impact statement of the Budget Director as the fiscal impact
125		-	statement required by section 4a of the General Legislative Procedures Act of 1975, approved
126		-	October 16, 2006 (120 Stat. 2038; D.C. Official Code § l-301.47a).
127		-
128		-	Sec. 4. Effective date.
129		-	This act shall take effect following approval by the Mayor (or in the event of veto by the
130		-	Mayor, action by the Council to override the veto), and shall remain in effect for no longer than
131		-	90 days, as provided for emergency acts of the Council of the District of Columbia in section
132		-
133		-
134		-
135		-	ENROLLED ORIGINAL
136		-
137		-
138		-
139		-
	61	+	(B) Paragraph (2) is amended by striking the word “platform” and 55
	62	+	inserting the word “service” in its place. 56
	63	+	(5) Subsection (d) is amended by striking the phrase “platform that” and inserting 57
	64	+	the phrase “service that” in its place. 58
	65	+	(6) A new subsection (e) is added to read as follows: 59
	66	+	“(e) A third-party meal delivery service shall not reduce the placement of a covered 60
	67	+	restaurant, in any page, list, or search results in which the covered restaurant is included, relative 61
	68	+	to other restaurants, based on the level or percentage of commissions paid; provided, that this 62
	69	+	subsection shall not be construed to restrict a third-party meal delivery service’s ability to use 63
	70	+	any method (that does not conflict with the restrictions in this subsection or any other applicable 64
	71	+	law) to determine the displaying and ordering of restaurants on a third-party meal delivery 65
	72	+	platform, including: 66
	73	+	“(1) Offering preferential listing to restaurants that pay for advertising or other 67
	74	+	promotional services; 68
	75	+	“(2) Displaying restaurants based on a particular customer’s search or purchase 69
	76	+	history, proximity to a customer’s location, or other similar factors; and 70
	77	+	“(3) Relying on an algorithm to implement paragraph (1) or (2) of this 71
	78	+	subsection.”. 72
	79	+	(d) The lead-in language of Section 4 (D.C. Official Code § 48-653) is amended as 73
	80	+	follows: 74
	81	+	(1) Strike the phrase “, the third-party meal delivery platform” and insert the 75
	82	+	phrase “, the third-party meal delivery service” in its place. 76
140	83
141	84		4
142		-	412(a) of the District of Columbia Home Rule Act, approved December 24, 1973 (87 Stat. 788;
143		-	D.C. Official Code § 1-204.12(a)).
	85	+	(2) Strike the phrase “platform (“charges”)” and inserting the phrase “service 77
	86	+	(“charges”)” in its place. 78
	87	+	(e) Section 5 (D.C. Official Code § 48-654) is amended as follows: 79
	88	+	(1) Subsection (a) is amended as follows: 80
	89	+	(A) Strike the phrase “third-party meal delivery platform” both times it 81
	90	+	appears and insert the phrase “third-party meal delivery service” in its place. 82
	91	+	(B) Strike the phrase “platform does” and inserting the phrase “third-party 83
	92	+	meal delivery service does” in its place. 84
	93	+	(2) Subsection (b) is amended as follows: 85
	94	+	(A) The lead-in language is amended by striking the word “platform” and 86
	95	+	inserting the word “service” in its place. 87
	96	+	(B) Paragraph (2) is amended by striking the word “platform” and 88
	97	+	inserting the word “service” in its place. 89
	98	+	(f) Section 6 (D.C. Official Code § 48-655) is amended as follows: 90
	99	+	(1) The section heading is amended by striking the word “platform” and inserting 91
	100	+	the word “service” in its place. 92
	101	+	(2) Strike the phrase “A person, corporation, partnership, or association operating 93
	102	+	a third-party food delivery platform in the District of Columbia” and insert the phrase “A third-94
	103	+	party food delivery service operating in the District” in its place. 95
	104	+	Sec. 3. Fiscal impact statement. 96
	105	+	The Council adopts the fiscal impact statement of the Budget Director as the fiscal impact 97
	106	+	statement required by section 4a of the General Legislative Procedures Act of 1975, approved 98
	107	+	October 16, 2006 (120 Stat. 2038; D.C. Official Code § l-301.47a). 99
144	108
145		-
146		-
147		-
148		-	______________________________
149		-	Chairman
150		-	Council of the District of Columbia
151		-
152		-
153		-
154		-
155		-	_________________________________
156		-	Mayor
157		-	District of Columbia
158		-
	109	+	5
	110	+	Sec. 4. Effective date. 100
	111	+	This act shall take effect following approval by the Mayor (or in the event of veto by the 101
	112	+	Mayor, action by the Council to override the veto), and shall remain in effect for no longer than 102
	113	+	90 days, as provided for emergency acts of the Council of the District of Columbia in section 103
	114	+	412(a) of the District of Columbia Home Rule Act, approved December 24, 1973 (87 Stat. 788; 104
	115	+	D.C. Official Code § 1-204.12(a)). 105