News

New York lawmakers seek to remove cap on mobile food permits

November 13, 2019

The Friday arrest of woman selling churros at a New York City subway station who did not have a proper permit has focused attention on the problem of unlicensed mobile food vendors in the city, where the demand for mobile food permits far exceeds the available supply, according to a New York Times report.

State Senator Jessica Ramos of Queens has introduced a law to eliminate restrictions on the number of food and merchandise street vendors, while 29 city council lawmakers support a similar measure. 

Restaurants oppose the change, claiming it will hurt brick-and-mortar businesses, while the city's department of health has claimed more food carts could present health problems unless there are also more food commissaries.

Mobile food vendors must have a mobile food vending license which costs $50 and a permit for each food truck or cart, costing $200. However, the number of permits has been capped at 2,900 since 1983, which has resulted in a black market for these permits that functions like the city's taxi medallion market. Because of the demand, those holding the permits can sell them for as much as 125 times the price.

Transferring permits is illegal, so most permit sales are made in cash.