Denver City Council approves delivery fee cap

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DENVER (KDVR) — Denver City Council voted unanimously Monday night to cap delivery fees that restaurants pay to third party services like Door Dash and Uber Eats.

The cap is 15 percent. The ordinance aims to help struggling restaurants in the midst of a pandemic.

The ordinance, which would apply for four months, would also require that 100 percent of tips go to the delivery driver, and that driver pay not be reduced in an effort to make up for the commission cap. Restaurants would also have to opt in to appear on the third-party ordering websites.

The measure deals with a side of the apps’ business model that the average customer hankering for a burrito doesn’t see.

Uber Eats said in a statement that “regulating the commissions that fund our marketplace forces us to radically alter the way we do business and ultimately hurt those that we’re trying to help the most: customers, small businesses and delivery people.”

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