The city of Durango has launched a partial reimbursement program for restaurants and food establishments facing high third-party delivery fees.
A dramatic rise in COVID-19 cases pushed La Plata County into the state’s Level Red coronavirus response in November. Indoor dining is prohibited under Level Red, but restaurants can offer takeout and delivery food services, sometimes relying on third-party delivery services, such as DoorDash, UberEats and GrubHub.
But third-party delivery companies can charge service fees that total as much as 30% of a customer’s order. Durango plans to reimburse businesses for fees that are higher than 15% of an order.
“City Council and city staff are uniquely focused on listening to the needs of small businesses in our community that are disproportionately affected by sacrifices asked of them during the global pandemic,” said Chris Bettin, City Council member, in a news release.
The state is also taking action on such fees. Gov. Jared Polis signed a bill Dec. 7 allowing local governments to limit delivery fees during a declared public health disaster emergency in counties where indoor dining is prohibited – like La Plata County.
There are some eligibility requirements for Durango’s reimbursement program. For example, food establishments must be small businesses as designated by the Small Business Administration.
Businesses will need to provide records that the fees were above 15% and that the restaurant paid the fees. Eligible expenses fall between Dec. 1 and Jan. 31. Reimbursement requests will be accepted through Feb. 28.
“This item, in addition to the business relief funds we’ve been able to administer, are the first steps we’re making toward a more comprehensive relief package to supplement efforts made by state and federal governments,” Bettin said.
For more information, visit durangogov.org under Durango Business relief.
smullane@durangoherald.com
