Posts tagged with "New York City Council passed bill"

Now, NYC restaurants can add a 10% ‘COVID-19 Recovery Charge’ to customers’ bills

September 18, 2020

The New York City Council has passed new legislation that could help hard-strapped  restaurants—but at a price to diners, Fox Business reports.

On September 16, the council approved a bill that, effective immediately, allows restaurants to add a COVID-19 Recovery Charge to their customers’ checks, if they choose to do so—provided that the the charge is “clearly disclosed” on the menu and bill.

The new law limits the amount of the surcharge to 10% of a customer’s total bill, according to Fox Business.

According to NBC New York, the bill only allows small restaurants to add the recovery charge to their customers’ bills. That doesn’t include “pushcarts, stands, vehicles, or large chains

Restarants in the Big Apple have been hit particularly hard by the coronavirus pandemic—starting with the statewide lockdown and restrictions on in-person dining. Even now, restaurants in the city only are allowed to serve food outdoors. (Although, starting on September 30, restaurants will be allowed to offer indoor dining, at a 25% capacity.)

“I know that we’re going to be fine, however, 25% for a lot smaller restaurants is not going to cut the bill, not when you have those looming commercial New York real estate to pay,” Tren’ness Woods-Black, the vice president of communications of Sylvia’s restaurant , told Fox Business’s Maria Bartiromo on September 14.

Previously, restaurants weren’t allowed to add an extra charge in order to make up for coronavirus losses, “even if such surcharge is clearly disclosed,” the NYC Council website said.

The COVID-19 relief charge will only last “until 90 days after full indoor dining is once again permitted,” the bill says.

Research contact: @FoxBusiness