The ordinance applies to all third-party food delivery companies that make more than one million deliveries per year, but exempts UPS, FedEx, and Amazon. It also will not apply to small businesses or restaurants that make their own deliveries, and apps that primarily deliver orders from grocery and convenience stores.
When the ordinance in effect, third-party delivery apps such as DoorDash, GrubHub, and UberEats will be required to prove all their drivers have liability insurance, and provide the city with certain delivery data on a quarterly basis, in order to qualify for a permit to operate.
Companies will be required to renew their permits annually, and those that violate the ordinance or operate without a permit will be subject to a fine of $300 per day for each restaurant the company facilities a delivery from, or $300 per order.
The version of the ordinance the Council approved had mostly minor changes from Wu’s original ordinance.
The final version of the ordinance the council approved did not include a controversial 15 cent tax per order, which the Massachusetts Restaurant Association strongly opposed. Councilor Gabriela Coletta Zapata, who chairs the council committee that oversaw the revisions to the ordinance, said she removed the tax provision after hearing concerns from several other councilors that the cost would be passed down to consumers and small businesses.
Councilor Sharon Durkan expressed strong disapproval that the final ordinance did not include the tax.
“For far too long, third party delivery platforms have operated in Boston as if the rules don’t apply to them,” Durkan said. “Their business models prioritize speed and profits over safety and accountability, leaving residents, pedestrians and even their own drivers, to deal with the consequences of reckless and lawless behavior on our streets.”
She criticized her colleagues for failing to back “a modest 15 cent fee to ameliorate the issues they cause on our streets.”
Durkan, however, voted in favor of the overall measure.
Murphy, who opposed the ordinance, warned the measure could have unintended consequences, or make food delivery more expensive for residents. Instead, she said, the city should better enforce its existing traffic laws.
Representatives for GrubHub, UberEats, and the Wu administration did not immediately respond to a request for comment.
In a statement, a DoorDash spokesperson appeared to thank the council for scrapping the 15 cent tax, but still expressed some reservations about the measure.
“Hundreds of Boston customers, Dashers, and merchants made their voices heard loud and clear about some of the consequences that this ordinance could have had, and we’re glad the Council listened to their warning,” said a DoorDash spokesperson in an emailed statement. “We’ll continue to work with policymakers to help make sure these kinds of proposals actually make the city’s streets safer while still allowing us to provide support for Dashers and connect customers with beloved Boston restaurants.”
Niki Griswold can be reached at niki.griswold@globe.com. Follow her @nikigriswold.
