HomeMy WebLinkAboutFCS-14-071 - Food Trucks Staff Report
rTC.� R finance and Corporate Services Department www.kitchener.ca
REPORT TO: Finance and Corporate Services Committee
DATE OF MEETING: April 28, 2014
SUBMITTED BY: C. Tarling, Director of Legislated Services & City Clerk,
519-741-2200 ext. 7809
PREPARED BY: Patricia Harris, Manager of Licensing,
519-741-2200 ext. 7854,
Cory Bluhm, Manager, Downtown Community Development
519-741-2200 ext. 7065
WARD(S) INVOLVED: All
DATE OF REPORT: April 11, 2014
REPORT NO.: FCS-14-071
SUBJECT: FOOD TRUCKS
RECOMMENDATION:
THAT the following Food Truck program be implemented in 2014 to enable food truck owners to
operate within the City of Kitchener throughout the week, in a manner that allows the entire
community to experience food trucks, while simultaneously fostering positive relationships
between food truck operators and existing restaurant operators:
• Parks — permit food trucks in McLennan Park, Huron Natural Area, Budd Park and
Southwest Optimist Park, subject to restrictions where park permit holders are providing
their own food services and subject to any limits to the number of trucks as outlined in
staff report FCS-14-071
• Huron Business Park— permit food trucks on any private property within Huron Business
park provided they have obtained the property owner's permission
• Minimum distance setbacks — establish a 30 metre setback from restaurants unless
permission received from restaurant owners within the distance separation; and
establish a 90 metre setback from schools unless permission granted by the school
• Downtown — prohibit food trucks in the downtown with the exception of the following:
• Monday lunch hours on Civic Square as programmed by The City of Kitchener
• As part of festivals and events (City and community)
• As one-off promotional events between a restaurant(s) and a food truck(s), for a
maximum period of 4 hours, provided all neighbouring restaurant do not object
• Thursdays between 4 p.m. and 10 p.m. on locations agreed upon between the
City, Food Truck Operators and the KBIA (no limit on the number of trucks)
• Pilot in Civic District where 1 to 3 food trucks would be permitted to operate on
one evening per week
• Fees —That the following licensing fee structure be approved:
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o $1,947 annually which would include private property, park locations, and any
City sponsored special events that the food trucks wished to be participants in;
o In addition, there would be a $150.00 per event fee payable to the BIA fee to
cover expenses such as marketing, music, etc. for the Thursday night program, if
participating
OR
o $1,051 if only operate on private property
o All refreshment vehicle fees to be reviewed before 2015 licence fees approved
BACKGROUND:
On March 3, 2014, as per Council's resolution, staff was requested to report back on April 28
after consultation with various stakeholders in the food industry and other potentially affected
parties regarding the appropriate regulations and license fees for food trucks. Staff was asked
to consider the following:
• Possible food truck zones in various City parks and the Huron Industrial Park specifically
• Possible food truck zone in the former Bramm Street yards/Innovation District Area
• Begin a formal discussion process with the City's Business Improvement Areas about
the enhanced role, beyond special events, that food trucks could play in those areas
• Possible reductions to the existing 200 metre and 400 metre distance separations listed
in Kitchener Municipal Code Chapter 586 (Refreshment Vehicles)
Staff's goal is to create opportunities across the city which enables food truck owners to
operate throughout the week, in a manner that allows the entire community to experience
food trucks, while simultaneously fostering positive relationships between food truck
operators and restaurant operators.
The purpose of this report is to summarize the stakeholder consultation completed to date, the
options available to Council, and the different stakeholder perspectives on the opportunity. A
table has been prepared at the end of the report to summarize the decisions required, the range
of the options, and the staff proposal which attempts to balance stakeholder interests and move
forward with a meaningful food truck program in Kitchener for 2014, consistent with Council's
direction.
REPORT:
The food truck industry is a growing market in Ontario and around North America. Many
municipalities have started to regulate food trucks more leniently than previously, but there is no
consistency with regards to the licensing and regulating of food trucks across the Province.
Some municipalities permit food trucks to roam around the City provided they obtain a licence
(Hamilton). Others such as Kitchener, Guelph and Ottawa require food trucks to be in
stationary locations.
In order to understand the full scope of the issues and opportunities surrounding food trucks,
staff contacted various municipalities regarding their by-laws and participated in meetings with
both the food truck operators and restaurant owners to hear their concerns and ideas.
Information was also received from the Ontario Restaurant Hotel and Motel Association
(ORHMA). The City of Kitchener Manager of Park Planning and the Manager of Transportation
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Planning were also contacted regarding the presence of food trucks in various City parks and in
the Huron Industrial Business Park area.
City staff met with the food truck operators on March 28 for a two hour meeting to listen to the
food truck operators' concerns. Seven food truck operators attended. Another meeting was
held with restaurant owners on April 2 for an additional two hours. Five food truck operators
also attended this meeting. Two downtown restaurant owners attended the meeting to provide
input and offer suggestions how both the merchants in the downtown and the food truck
operators could work together. No restaurant operators outside the downtown core attended
although restaurant operators within 200 metres of the parks were invited. A further meeting
was held on April 11 with Cory Bluhm, Manager of Downtown Community Development with
food truck operators and a few restaurant operators in the Downtown in an attempt to establish
agreement and provide a cohesive plan to Council.
The information received from all sources has been summarized below under the categories of
zones, distance separations, fees, enforcement and other considerations for ease of
understanding and decision making.
Food Truck Zones
Currently the City of Kitchener permits refreshment vehicles on both private and public property.
Refreshment vehicles located on public property are regulated under By-law 2014-024 (Street
Vendors By-law). There are specific locations where a refreshment vehicle such as a hot dog
cart, may be located. These locations include: Victoria Park, corner of King and Gaukel
Streets, King Street across from the Bargain Shop and the Harry Class Pool.
Refreshment vehicles are also permitted on private property in site specific locations provided
they have obtained the permission of the property owner, are in the proper zone and are at least
200 metres from any existing restaurant and 400 metres from any other refreshment vehicle.
When the current by-law was first passed in 2002 Council had received numerous complaints
from restaurant owners in the areas outside of the downtown core regarding the proliferation of
refreshment vehicles set up close to their business locations that were causing undue hardship
for the established businesses. Council included the current distance separations after
reviewing their concerns.
Generally, both the Managers of Park Planning and Transportation Services are supportive of
allowing food trucks in some parks and in the Huron Business Park area. That said, Council
should be aware of the following implications of moving forward with a program:
• There is no funding built into budgets to cover any costs for additional debris pick-up in
the parks and damage potentially caused by food trucks (e.g., ruts in turf, turf wear,
spills, etc.)
• Some park locations are bookable and might have a food service as part of the booked
use, presenting a potential conflict between paying park users and food truck operators
• It can be challenging to ensure that food trucks that show up in the park for short period
of time are appropriately licensed to ensure consumer protection
Below is information from staff regarding each park and business park location:
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PARK LOCATION NUMBER OF TRUCKS CONSIDERATIONS
RECOMMENDED
McLennan Park 2 Parking location would need
to be identified on the grass
area due to limited parking
spaces.
Huron Natural Area 2
Budd Park 1 Would be in a defined area.
Conflict with groups running
their own food/bbq service to
help support their operations.
Southwest Optimist Park 1 Ball diamonds are used from
6 p.m. to 9 p.m. in summer.
Tournaments normally run
their own food service as
fundraisers for their
organization.
Victoria Park 0 Given historic concerns from
neighbourhood residents as
well as the proximity to
downtown, staff recommend
food trucks be prohibited in
Victoria Park except for
Special Events.
Condition of Boathouse lease
that requires refreshment
vehicles to be 200 metres
away from the Boathouse
except for Special Events
Huron Business Park No set number Will not be permitted on
Strasburg Road. Recommend
a minimum setback of 30
metres from driveways,
intersecting roadways and
transit stops for safety
reasons. Will not be permitted
in areas signed no parking or
no stopping. Damage to
boulevard grass and/or
landscaping is a concern.
Garbage and recycle facilities
must be proved by the
applicant to reduce the
potential to litter.
It would be preferable to
locate the food trucks only on
private property in Huron
Business Park due to the lack
of sidewalks.
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Because of the large scope of the original request, and after discussion with various City staff, it
was determined that the discussion of a food truck zone in the former Bramm Street
yards/Innovation District should be reviewed at a later date in consultation with the Kitchener
Business Improvement Area as some parts of this district come under the Business
Improvement Area.
The following would form part of the implementation of food truck zones:
• Spaces would be available on a first-come, first-served basis
• Food trucks must provide service off the passenger side of the vehicle only, and limit
customer waiting and service areas to the boulevard/sidewalk of the truck, thereby
eliminating any potential for pedestrians to be on the roadway
• Any potential signage that may be proposed in the area to advertise the food truck
should be subject to applicable zoning and signing by-law requirements
• All proposed locations for a food truck within Huron Business Park must be reviewed
and approved by the Director of Transportation Services, or designate
• Any approvals for food trucks within parks and the Huron Business Park must be subject
to any existing agreements with restaurant/refreshment vehicle owners.
• Require a formal approval procedure to manage requests for placement of a food truck
on-street
The Ontario Restaurant Hotel and Motel Association (ORHMA) has suggested that:
• Food trucks be required to apply for fixed site permits —with rules referring to a specified
location of business in permit issued
• Limit trucks to pre-approved vending spots that meet the aforementioned restrictions
• Not allow food trucks to occupy any parking spaces that are needed to meet the
requirements for principal use of a property.
The food truck operators wish to be permitted to operate curbside food truck vending on any
metered parking spaces subject to a 20 meter perimeter restriction to operating restaurants.
Food Trucks in Downtown Kitchener
Originally, staff recommended the following opportunities for food trucks in the downtown:
• 16 lunch hour events on Civic Square with live music and a food truck
• 2-3 food truck festivals throughout the summer; and
• Integrating food trucks into as many events as possible
While initially Council did not direct staff to pursue new opportunities for food truck operators in
the core (consultation was deferred until the summer), a group of downtown restaurants met
with the food truck operators to try to develop a win-win solution. In essence, rather than
permitting food trucks to operate during peak lunch hours, to provide opportunities during off-
peak hours as a way of collectively driving new traffic to the downtown during these quieter
periods.
As a test pilot, a number of restaurants (while not the majority, nor acting on behalf of the BIA)
suggested consideration of a fourth option — creating a street-party type event every Thursday
night throughout the warm months, from 4 p.m. to 10 p.m. The goal of this event would be for
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the food truck operators and downtown businesses to work together to foster vibrant activity
during what is normally a quiet evening. Food truck operators could operate in pre-arranged
locations, such as along King Street. Restaurant owners would be encouraged to stay open
and offer specials or special menus, while retail owners would also be encouraged to stay open
and offer sidewalk sales. The City and BIA would be able to provide staff resources to assist
with the event, while the BIA may be able to provide live music. If Council were to endorse this
option, staff recommend waiving the special event licensing fee of $244.00 for this event, but
adding a $150.00 fee per food truck fee to assist the BIA with the cost-sharing of providing live
music, marketing and event support.
While it appeared as though food truck operators were generally in support of this fourth option,
at a recent meeting between both groups, food truck operators suggested that they may not be
willing to participate if the City does not provide all day, every day access for food trucks to
operate in the Civic District. Based on feedback received to date, it is clear that, while food
options directly in the Civic District are limited, those that work in this district provide an
important customer base to the rest of the Downtown, particularly for lunch hour traffic. As
such, staff suggest that providing the Civic District as a daily food truck option would cause
significant concern from existing restaurants. Rather, staff suggest undertaking a test pilot,
where 1-3 food truck operators would be permitted to operate during off peak times, such as
one evening of the week.
Staff did not consult restaurants or the BIA on the potential for food trucks in the Civic District.
As such, staff recommend that any actions beyond a modest test pilot be deferred until further
consultation has occurred.
Distance Separations
Most municipalities have required distance separations from restaurants and food trucks. They
range from a 10 metre distance separation up to 60 metres. Kitchener currently has a distance
separation of 200 metres (property line to property line) from a restaurant and a refreshment
vehicle and 400 metres from another refreshment vehicle. The distance separation was
established in Kitchener in 2002 when several restaurant owners complained that there was a
proliferation of refreshment vehicles setting up close to their establishments and they were
causing undue hardship for their businesses.
Below is information from various municipalities with respect to distance separations:
CITY MOBILE/STATIONARY PROXIMITY
REQUIREMENTS
Kitchener Stationary 200 metres from
restaurant/400 metres from
another refreshment vehicle
Waterloo Mobile 10 metres from restaurant*
Guelph Stationary No distance separation but
are only permitted in the
University Zone and are not
permitted on any roadways
Toronto Mobile 50 metres from a licensed
eating establishment
25 metres from the property
line of a place of worship
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25 metres from another
vendor
30 metres from the property
line of a school
Hamilton Mobile 30 metres from a restaurant
without written permission of
the owner
100 metres from a school,
park, hospital, special event
boundary
Ottawa Stationary 46 metres from a restaurant
2 metres from another vendor
91 metres from a public
market
*The City of Waterloo permits a distance separation of 10 metres to a restaurant because there would not have been any locations
in the uptown where they would be permitted to operate if the distance separation was greater than 10 metres. Food trucks cannot
operate on King Street in Waterloo because it is a Regional road, nor are they permitted to operate at any metered parking spaces
because of the lack of on-street parking in uptown Waterloo. They are currently permitted to operate in two surface municipal
parking lots in the uptown and staff is recommending that food trucks be permitted to operate in two more surface municipal lots.
The Ontario Restaurant Hotel & Motel Association (ORHMA) is suggesting a distance
separation of 100 metres away from restaurants unless written consent of the restaurant
operator is obtained.
The local food truck operators are requesting a distance separation of 20 metres from an
operating restaurant.
Staff is suggesting a distance separation of between 30 metres and 50 metres from an
operating restaurant unless they are able to obtain written permission from restaurants within
that distance separation to locate within a closer proximity to them. This will allow several more
opportunities for food trucks to locate on private property and is consistent with other
municipalities in Ontario. It is also being recommended that food trucks be at least 90 metres
from any school during school hours unless they have received written permission from the
school and at least 100 metres from any special event unless permission has been received
from the special event organizer and a licence has been obtained. The distance separation
from schools is consistent with the regulations currently in place for mobile ice cream
refreshment vehicles (i.e. Dickie Dee) and is consistent with other municipalities in the
Province.
Fees
The current licence fees for refreshment vehicles such as food trucks range from a low of
$200.00 in Oshawa to a high of $6,748.00 in Ottawa. Kitchener's licence fee is $1,051.00 for
stationary refreshment vehicles which are located at a specific location. As with most business
licence fees, the fees for refreshment vehicles were established based on cost recovery which
included:
• Administrative fees (including providing information to applicants, checking distance
separations, attending Committee meetings and informing residents and businesses
within the permitted distance separation
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• Inspection fees — (ensuring refreshment vehicle is within the distance separation if there
are complaints)
• Enforcement — laying charges and attending court for those refreshment vehicles that
were operating without a licence.
A street vendor such as a hot dog cart that operates on City property pays an annual fee of
$1,947.00. This fee includes the cost of power washing the sidewalk if there are grease spills,
the cost of the ad that is placed in the paper each year to advertise vacant locations as well as
administration and inspection fees.
Below is information relating to license fees charged for refreshment vehicles in various
municipalities throughout the Province:
MUNICIPALITY LICENCE FEE
Kitchener $1,051.00 (stationary), $1,947.00 for
refreshment vehicle on City property (hot dog
carts)
Toronto $5,000.00 (proposed)
Ottawa $6,748.00 includes permit fee
Waterloo $300-350.00 (proposed)
Guelph $324.00
Hamilton $311.00
Oshawa $200.00
Council could implement a two tier fee structure for refreshment vehicles. Refreshment vehicles
only operating on private property could pay a fee of $1,051.00 for the year. This would give
them access only to locations on private property with no access to park locations or special
events organized by the City unless they paid the individual special event fee. If refreshment
vehicles also wished to utilize a park location and/or participate in special events that the City
was organizing, a fee of $1,947.00 annually could be implemented which would cover private
property, all park locations and City organized Special Events without obtaining a separate
special event licence for each event. The current Special Event licence fee is $244.00 per
event unless the special event is organized by a charitable organization and all proceeds go to
the charity. The Special Event licence fee of $244.00 includes administrative costs as well as
any inspection fees such as the Fire Departments approval and any enforcement costs. In 2013
there were approximately 25 special events licensed.
In suggesting the above fees, staff took into consideration the current fees for stationary
refreshment vehicles and licence fees for the street vendors currently operating. Most of the
refreshment vehicles have paid their licence fees for 2014 and it would be unfair to charge a
much lower fee for food trucks in 2014. Based on the various licence fees across the Province,
staff is prepared to review the licence fees for refreshment vehicles for 2015.
Enforcement
In speaking with various municipalities, enforcement of refreshment vehicles has been difficult in
the past where they have allowed refreshment vehicles to come into the City without a specific
location in mind. A refreshment vehicle from out of town can set up for a few hours at a
location, make their money and take their profits with them all without obtaining a licence. It has
been difficult to locate the vehicles in order to bring them into compliance. Licensing has one
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enforcement officer and it will be very difficult to locate refreshment vehicles that pop in and out
of the City and roam from location to location.
Further Comments received from various stakeholders
Ontario Restaurant Motel and Hotel Association
As the attached correspondence outlines, the ORHMA has additional comments and concerns
regarding the food truck industry as follows:
• Unpredictability of when and where a food truck may show up creates an unfair
disadvantage for brick and mortar restaurants — this level of competition must be
addressed by permits and regulations guiding when and where a food truck can operate
• Restaurants have contributed to the City's economy for many years with fixed expenses
and paying taxes
• Hours of operation should be limited
United Food Trucks Unlimited
Comments (see attached) from United Food Trucks Unlimited are as follows:
• Create designated food truck locations throughout the city with stakeholder input
• Redefine existing restrictions to permit regulated Park Access
• Permit school property service upon written request
Decisions Required
The following table summarizes the decisions required from Council to implement an expanded
food truck program in 2014.
DECISION CURRENT COMMENTS COMMENTS STAFF
REQUIRED FROM FOOD FROM RECOMMENDATIONS
BY COUNCIL TRUCK RESTAURANT
OPERATORS ASSOCIATION
Parks — Food trucks not Redefine No comments Permit trucks in
Determine permitted in existing McLennan park, HNA,
park locations parks except restrictions to Budd Park and
where food during Special permit Southwest Optimist
trucks will be Events regulated park Park subject to
permitted access restrictions where park
permit holders are
providing their own
food services and
subject to any limits to
the number of trucks
as outlined above.
Prohibit food trucks in
Victoria Park except for
Special Events
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Huron Permitted in No comments No comments Permit trucks on any
Business Park Huron private property within
— Determine Business Park Huron Business park
number of provided they provided they have
food trucks meet the obtained the property
current owner's permission
distance
separations
and are on
private property
Distance 200 metres 20 metres from 100 metres from 30 metres from
Separations from Places of restaurant restaurants restaurants — property
Refreshment, line to property line
400 metres Permit school unless permission
from another property access received from
Refreshment upon written restaurant owners
Vehicle; cannot request within the distance
be within 90 separation
metres of a
school during 90 metres from schools
school hours unless permission
granted by the school
Downtown Only in Permit curbside Food trucks not Prohibit food trucks in
downtown core parking on any to be allowed to the downtown with the
during special metered occupy any exception of the
events parking spots parking spaces following:
subject to a 20 that are needed
metre perimeter to meet the Monday lunch hours on
restriction to requirements for Civic Square as
operating principal use of programmed by The
restaurants a property City of Kitchener
Operate in the Not be allowed As part of festivals and
Civic District 5 to operate in events (City and
days a week downtowns with community)
during lunch high
hours intensification of As one-off promotional
restaurants events between a
restaurant(s) and a
food truck(s), for a
maximum period of 4
hours, provided all
neighbouring
restaurant do not
object
Thursdays between 4
pm and 10 pm on
locations agreed upon
between the City, Food
Truck Operators and
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the BIA (no limit on the
number of trucks)
Pilot in Civic District
where 1-3 food trucks
would be permitted to
operate on one
evening per week
Fees $1,050.00 for $300 to No fee $1,947 annually which
stationary $350.00 expectations would include private
refreshment property, park
vehicle; locations, and any City
renewal fee sponsored special
$729.00 events that the food
trucks wished to be
$1,947.00 for participants in
street vendors
on city property In addition, there would
(hot dog carts) be a $150.00 per event
fee payable to the BIA
fee to cover expenses
such as marketing,
music, etc. for
Thursday night
program, if
participating
$1,051 if only operate
on private property
All refreshment vehicle
fees to be reviewed
before 2015 licence
fees approved
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
Quality of Life—A focus on vitality, public health and safety and community vitality
Organizational governance — Business practices and compliance
FINANCIAL IMPLICATIONS:
There will be costs associated with clean up in parks, damages to parks from trucks leaving ruts
in turf, turf wear, spills, etc. The costs are unknown at this time but there are no additional
budget dollars in 2014 to deal with these costs and the additional costs associated with
enforcement. The review of fees contemplated for 2015 will consider whether or not the license
fee needs to be set at a different level to fully recover the associated costs.
There are presently:
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• 3 street vendors licences @ $1,947.00 = $5,841.00
• 9 Stationary refreshment vehicles @ $1,051.00 = $9,459.00
An additional 5-7 food trucks @ $1,947.00 could provide revenue of $9,735-$13,629 but, as
noted above, will result in increased costs of administration, enforcement and maintenance.
COMMUNITY ENGAGEMENT:
Meetings were held with City staff and seven food truck operators on March 28 to hear their
concerns. A further meeting was held on April 2 for restaurant owners from the downtown and
the areas close to the City parks who had been notified by mail of the meeting. Two restaurant
owners from the downtown attended this meeting along with five food truck operators. A further
meeting was held with staff, food truck operators and a few downtown restaurant operators on
April 11 to further discuss options for a collaborative effort between the downtown businesses
and food truck operators.
ACKNOWLEDGED BY: Dan Chapman, Deputy CAO
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MINUTES OF MEETING WITH FOOD TRUCK OPERATORS
Date and time: Friday, March 28, 2014 2:00-4:00 PM
Location: Conestoga Room
Participants:
a. Pat Harris-City of Kitchener
b. Cory Bluhm-City of Kitchener
c. Darren and Brad Schmuck-Schmuck Truck
d. Manish Patel and Sandor Dosman-Fo'Cheezy
e. Paul Gough-Curbside Gourmeh
f. Nadia Drag usamica-Cafe du Monde Creperie
g. Reuben Salonga and Emma Putt-Luchador Gourmet Streatery
h. Andrea Hennige-West of Seoul
i. Dave Betts-Great British Bake
Meeting to discuss the future for Kitchener Food Truck Operators
Agenda of the meeting
1. Introductions
2. Review of the Council Resolution and the City's focus for 2014
3. Food Truck Operators Concerns
4. Review Current Chapter 586 (Refreshment Vehicles) and receive input from
operators as to possible changes
5. Next Steps
6. Closing Remarks
Summary of discussions and detailed decisions
The meeting started at: 2:00 PM
Review of the Council Resolution and the City's Focus for 2014
• Matter is before Council on Monday, April 28, 2014
• Food Truck Zones
• Formal BIA discussion
• Refreshment Vehicle Bylaw
• Possible Distance Reduction (discussion from 200m to 50 or 65m)
• Finding a balance between needs of Food Truck Operators and local restaurants
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Other discussions
• Public Meeting-Wednesday, April 2, 2014 9:00-11:00 AM
• Pat informed the Food Truck Operators of this meeting but asked that there be no
hostile discussion between the Food Truck Operators and the Restaurants.
• Discussion of Ontario Restaurant Owners that the huge amount of rent and taxes that
they pay.
• Discussion of Food Truck areas with access to water and electricity.
• Discussion of Enforcement Issues
• Discussion of fees and what is currently paid by stationary vehicles-$1000.00 initially
and $778.00 for renewals.
• Fees of other municipalities talked about.
• Pat explained Special Events licenses and possible use of a tag to be installed on
outside of Food Trucks to identify a current licence.
• Pat informed the Food Truck Operators of possible use of food truck zones-McLellan
Park, Huron Natural Area/Huron Industrial Park area, Budd Park (subject to
discussions with Kitchener Soccer), Southwest Optimist Park and Victoria Park.
• Cory mentioned possible Thursday evening in which Food Trucks, retailers and
restaurants would stay open late as a means of gauging if this could be successful for
all involved in the future.
• Pat informed the Food Truck Operators that she would be compiling all of the
information into a report and then Council would be making their decision.
Food Truck Concerns/Wish list
• Andrea (West of Seoul) expressed that there is a good relationship with "bricks and
mortars" (restaurants) and wants to have collaborative events. Issue with wording-
stated that a clause that allowed restaurants to invite Food Trucks to less than the
specified bylaw meters would be helpful. Also stated that other municipalities allow
this. Andrea also identified use of seasonal restaurants if given permission by property
owners, i.e. Dairy Queen as a chance for capital gain for such restaurants.
• Rueben Salonga (Luchador Gourmet Streatery) suggested the interest of The City of
Kitchener should be health and safety and right of passage for pedestrians as
opposed to multiple inspections. He stressed that the education piece is missing for
"bricks and mortars", The City of Kitchener and the community in general.
• Paul Gough (Curbside Gourmeh) emphasized that the expenses of Food Trucks need
to be accounted for. He also remarked that there is an inequity and that The City of
Kitchener does not legislate the same control over other businesses as they do with
Food Trucks, for example he stated that he has had 26 health inspections over one
year as opposed to his experiencing in working in a restaurant for 11 years where he
only received 5 inspections.
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• Hard core points from Food Truck Operators-they want reasonable fees and said
they would be willing to pay $500.00; they want reasonable distance restrictions
and designated locations of operation.
• Paul Gough (Curbside Gourmeh) believed an amendment to Chapter 586
(Refreshment Vehicles) made economic sense due to time constraints. He would also
like to be able to park on private property with approval. This led to a group discussion
on a standard approval letter that could be signed by a property owner and emailed to
Licensing by the Food Truck Operator.
• Reuben Salonga (Luchador Gourmet Streatery) asked for The City of Kitchener to
allow daily access to business. He also expressed that the Food Truck Operators
would like the same rules as the "bricks and mortars". Reuben would like to see
permission to provide service to school properties upon written request.
• Manish Patel (Fo'Cheezy) brought up that Food Truck Operators do not want distance
between other food trucks.
• Dave Betts (Great British Bake) would like dedicated spots as the Food Truck
Operators use social media to advertise their businesses. The Food Truck Operators
do not want to roam from place to place as it takes too much time to find a space and
to set up.
The meeting ended at: 4:10 PM
Minutes compiled by: Cola Pearson
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MINUTES OF MEETING WITH RESTAURANT OWNERS
Date and time: Tuesday April 2, 2014 9:00-11:00 AM
Location: Conestoga Room
Participants:
a. Pat Harris-City of Kitchener
b. Cory Bluhm-City of Kitchener
c. Linda Jutzi-Entertaining Elements
d. Le-Anne Pilecki-Kava Bean
e. Ashish Gulta-Transfer Restaurant
f. Paul Gough-Curbside Gourmeh
g. Nadia Dragusamica-Cafe du Monde Creperie
h. Reuben Salonga and Emma Putt-Luchador Gourmet Streatery
i. Dave Betts-Great British Bake
Meeting for Kitchener Restaurant Owners to discuss Kitchener Food Trucks
Agenda of the meeting
1. Introductions
2. Review of the Council Resolution regarding Food Trucks
3. Restaurant Owner Concerns
4. Open discussion between Restaurant Owners and Food Truck Operators
5. Next Steps
6. Closing Remarks
Summary of discussions and detailed decisions
The meeting started at: 9:10 AM
Review of the Council Resolution regarding Food Trucks
• Matter is before Council on Monday, April 28, 2014
• Finding a balance between needs of Food Truck Operators and local restaurants
• Main focus-the third part of the resolution, regarding downtown restaurants (since all
restaurant owners present were from the downtown area.)
• Also a focus on the last part of the resolution, regarding the reduction zone
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Other discussions
• Some of the restaurant owners also sit on the BIA and were able to provide some of
this perspective although they were clear that they were there as independent
restaurant owners and not as representatives of the BIA.
• Open discussion between the Restaurants Owners and the Food Truck Operators.
• Main points: Food Trucks need other good locations on the other days so that they
may succeed.
• Reuben Salenga (FT Operator) suggested using experiences of other municipalities to
benefit Kitchener.
• Pat acknowledged these experiences but reminded the Food Truck Operators that
Kitchener is in the infancy of this process and she is looking at finding a win-win
situation to benefit all involved. By opening up the distances and allowing authorized
use of private properties the Food Truck Operators would have a means of
successfully supporting their businesses.
• Cory reaffirmed that this relationship building process is crucial for a long term
successful partnership. Cory also discussed the Monday lunch at Civic Square as well
as the other opportunities for Food Truck Operators during the remainder of the week.
• Discussion of a clause in the bylaw that allowed "one off partnerships" with individual
restaurants if there were no complaints from surrounding businesses.
• Linda Jutzi (Entertaining Elements) suggested a meeting before council so that the
group might facilitate a larger conversation with all sides involved to prepare an
amicable proposal to present to council. Pat said if this was ready in time she could
attach it to her report.
• Food Truck Operators requested access to a copy of a GIS-system to tell them where
they can park
• Pat informed the Restaurant Owners that she would be compiling all of the information
into a report and then Council would be making their decision.
• Report will be done by April 15, 2014.
• Pat also let everyone know that they would all receive a copy of the report
approximately one week before the meeting.
Restaurants Concerns/Wish list
• Not all restaurants are in favour of the Food Trucks and the proposed pilot may be a
way to ease concerns and explore whether this will be beneficial for all.
• In order to go thru with this pilot project, the restaurant owners need a firm
commitment from the Food Truck Operators that they will in fact come each and
every week.
• Linda Jutzi (Entertaining Elements) expressed that the restaurant owners were also
making sacrifices. This downtown event would be difficult for franchise owners who
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are not able to put on the promotions that other businesses might. Linda also voiced
that she felt there would be a huge uprising if Food Trucks were given open access to
the downtown area.
• Goal-want more foot traffic in downtown area. A small group of Restaurant Owners
feel this will happen if everyone works together. Envision a place to "come, live and
play".
• Believe Food Trucks could help with this and that if they work together it could be a
"win-win" situation for all involved.
• Proposing a pilot evening (possibly Thursdays) for the summer months that would be a
combined venture involving restaurants, retailers and food trucks. All businesses
would extend their hours into the evening, food trucks would have access and there
would be live music.
• Linda Jutzi (Entertaining Elements) expressed that she thought the BIA would be in
support of this and would contribute to a marketing campaign for the downtown event
as the BIA wants to see everyone benefit.
• Discussion that as this would be a new event, all involved would need to stick it out for
the whole season in hopes that it could be an annual event.
• Restaurant Owners would like to revisit this issue after the summer event to evaluate.
The meeting ended at: 11:45 AM
Minutes compiled by: Cola Pearson
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UNITED FOOD TRUCKS UNLIMITED
In Kitchener specifically, we ideally would like to see the following:
1. Include actual food trucks in any city discussions regarding our industry
2. Provide sustainable annual licensing fees commensurate to other comparable markets . . .
Guelph charges$330& Hamilton is at$400. Waterloo is expected to propose$300 per year.
3. Duly recognize Food Trailers as a part of the local food truck movement as it is everywhere else
4. Create designated food trucks locations throughout the city with stakeholder input
5. Permit Curbside Food Truck Vending on any metered parking spots subject to a 48 20 meter
Perimeter Restriction to "operating" restaurants
6. Reduce existing Perimeter Restrictions on private property operation between food trucks &
"operating" restaurants to 48 20 meters (less with written permission)
7. Redefine existing Restrictions to permit regulated Park Access
8. Permit School Property Service upon written request
9. Create even more collaborative community events that support all stakeholders including brick
n' mortar restaurants, BIA merchants &food trucks
10. Create a Transient Traders' Policy that is regionally competitive but prorates local businesses
above "out-of-town"Vendors
11. Further explore daily City Hall Community Events that better utilizes the immense popularity of
food trucks.
12. THE ABOVE 11 POINTS REPRESENT THE MINIMUM CONDITIONS UFT FOOD TRUCKS REQUIRE TO
JUSTIFY INVESTMENT IN A KITCHENER FOOD TRUCK LICENSE.
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Patricia Harris
From: Leslie Smejkal <lsmejkal @orhma.com>
Sent: Wednesday, March 05, 2014 1:42 PM
To: Patricia Harris
Cc: Fatima Finnegan; Leslie Smejkal
Subject: ORHMA
Attachments: ORHMA Food Trucks.ladf
Patricia,
Please know your email has been shared with me to respond on behalf of ORHMA — Ontario Restaurant Hotel
& Motel Association.
We would be pleased to participate in Street Food Truck Vendor consultations with the City of Kitchener.
You will find attached our position regarding Street Food Trucks in municipalities.
Street Food Trucks continue to pop up in municipalities across Ontario — ORHMA has been an active
participant with the City of Toronto MLS Working Group as they harmonize their bylaws.
ORHMA recognizes the investment, labour and passion our members put into their restaurants and advocate
to create a level of fairness with municipalities as they create bylaws for street food trucks.
We also appreciate that street food trucks can also contribute to the vibrancy of communities — it is finding the
balance for both to succeed without compromising a fair and level playing field.
Our position is that food trucks should have a designated location within the municipalities; however, they
should not compete in close proximity to brick and mortar restaurants and should not occupy metered parking
essential to local residents visiting restaurants, retailers and professional service providers (doctors, dentists,
lawyers etc..) that pay property taxes, business taxes and locate their businesses based on parking access for
their customers. We also need ensure that there is a level playing field and that the regulations that apply to
bricks and mortar should also apply to street food trucks such as health and safety.
Please see the attached link for the most recent media coverage with a quote from ORHMA.
http:/lwww.thestar.com/news/city hall/2014102/191toronto streetfood rules might finally be cooking.html
Thank you for your time and consideration.
ORHMA looks forward to working with you on this matter.
Best Regards,
Leslie A. Smejkal
Vice-President, Government Relations
ORHMA — Ontario Restaurant Hotel & Motel Association
Email: Ismejkal @orhma.com
Web: www.orhma.com
Follow us on Twitter: www.twitter.com/orhma
From: Patricia.Harris(@kitchener.ca [ma i Ito:Patricia.Harris @kitchener.ca]
Sent: Thursday, February 27, 2014 3:19 PM
1
3 - 20
Food 11 ruch Concept --
Unit -ir° for Brick and Mortar Restaurant.
Despite the rise in popularity of food trucks in American cities, the local restaurant groups there have
spoken out on the unfair playing field and disadvantages of a food truck operation against the expense
of running a brick and mortar restaurant. Debates on regulating food trucks have occurred in every city
and are still occurring and this type of business seems to be here to stay. Ontario is experiencing a rise
in the number of mobile food vendors and cities such as Hamilton, Toronto and Ottawa are receiving
pressure from the vendors to loosen the regulatory restrictions that would allow them to freely roam the
streets. ORHMA members have voiced their concerns on the damage this type of unrestricted
environment would create for their traditional brick and mortar establishments. Brick and mortar
restaurants contribute significantly to the culture and economy of a city, so it is imperative that
regulation of this new mobile element of the industry is drafted with the intention of maintaining the
confidence of restaurateurs that municipalities value the presence of a strong food service industry in
the form of traditional brick and mortar establishments.
Data on the business of food trucks in Canada in particular is scarce. A Globe and Mail article in the
fall of 2011 sites that food trucks typically bank a profit equivalent to about 40 per cent of sales. For a
bricks-and-mortar restaurant, the average profit is closer to 4 per cent on the high end. The relatively
low entry costs for food trucks are a motivating factor for these businesses and the mobility gives
operators an edge over bricks-and-mortar restaurants. The notion that the trucks attract people to a
certain location is arguable, as they tend to gravitate to where the people are-they're not stuck in a
location that can't make money.
Food Truck operators are calling for loosened regulations and a reduction in the number of restrictions
they are currently faced with when attempting to sell their wares on the streets of any given
municipality. ORHMA contends that such restrictions and regulations are necessary for the safe and
fair operation of any food service establishment— mobile or not. Any such loosening of the laws must
first consider the health and safety of the community as well as the unfair playing field that would be
created for bricks and mortar food service establishments already operating at great expense within the
community.
;�1 ` tti 'it�cllt Is!-Iles f.'acing the RC'.`';umt'mt Sector 111tist b" ['owsid(`red if
(�r��, 1 h,m—ks ,l! ', t.o be l-e(')1lh:11 d III Ontario rmullicipl-111iies:
• Pressures from weakening economy have not boon kind to the restaurant industry. The slim
margins and increases to top line expenses that are currently seen will only continue to
waiver by the competition from the food truck concept.
• Unpredictability of when and where a food truck may show up, creates an unfair disadvantage
for brick and mortar restaurants—this level of competition must be addressed by permits and
regulations guiding when and where a food truck can operate.
• Unfair playing field of start up and operational costs and permit burdens.
• Restaurants have contributed to cities economies for many years with fixed expenses and
have been paying taxes.
• Municipalities need to consider the impact of mobile revenues wherein mobile units from "out
of town"wheel in for a day, make their money and take their profits with them --where is the
economic or social benefit for the municipality?
3 - 21
• Brick and mortar eateries concerned the trucks costing less to operate than traditional
restaurants have an unfair advantage over the restaurants that:
• Pay nigh property taxes and premium rents;
• Employ locals, including many youth and students;
• Start up operational costs are much higher, including licensing, permitting and
inspection compliance requirements;
• Atypical restaurant has the expense of marketing their location and drawing
customers to the location;
• Long term leasing/capital expenses;
• Requirements for availability of serviceable washrooms, garbage disposal,
parking, safety and traffic.
Standard Health Inspections are mandated and routinely performed on general food business
establishments, institutional food service establishments, mobile food premises and child nourishment
programs for compliance with the Ontario Food Premises Regulations. ORHMA supports the
continuation of a strong Health Inspection presence for mobile food units.
In addition to the health regulations, ORHMA suggests the following regulatory considerations must be
extended to food trucks in every municipality:
Fomd `arety
• City ordinances regulating class of trucks ranging from those which sell pre-
packaged/prepared foods to those with chefs that prepare food directly inside the trucks,
• Standard rules and frequency of health inspections.
• Mobile eateries to adhere to inspection signage regulations.
,tlt lt!()11 r.Iv,a frurt restaltrant lraffic: Mocks
• Keep food trucks at least 100 meters away from restaurants—otherwise require written consent of
restaurant operator to locate within distance less than 100 meters.
• Provide for notice period of not less than 72 hours to local restaurants when a special event may
result in the presence of outside mobile food vendors in the area.
• Limit how many food trucks can park per acre: One truck per half-acre or less, two trucks on lots
between one-half and one acre and three for lots between one and two acres. There is no maximum
on lots that are more than two acres, as in the case of a special event.
• Not allowed to occupy any parking spaces that are needed to meet the requirements for principal use
of a property.
• Plan to tie food trucks with parking violations and permanently revoke permits.
• No commercial activity at a parking meter-parking meters are for customers as to allow commercial
activity-it will directly compote with business needs of traditional inline business.
• Not allow in downtowns, entertainment.districts and theme districts with high intensification of
restaurants (ie: "Chinatown").
•{ Limit trucks to pre-approved vending spots that meet the aforementioned restrictions.
k�o1i1 ,, of Operation ill saf1ie, llwC.1til!l1
• Hours of operation should be limited.
• Restriction on length of time trucks can stay in one place , how far these can move when time is up.
• Stay mobile and stay in one location no more than 15 minutes.
• Not allowed to move to a second location within same block or general vicinity.
3 - 22
permits
• Municipalities are encouraged to make permitting a mandatory requirement for operators and permits
should be conditional for period of time no greater than one year in order to allow the city to evaluato
success of food truck presence and to address any concerns/problems stemming from imposition of
guidelines. A mandatory review of the system is encouraged within a prescribed timeline of issuance
of first permit.
• Permits approval process should be subject to all appropriate municipal inspections.
• By-laws requiring trucks to apply for fixed site permits - with rules referring to a specified location of
business in permit issued.
• Compromise discussion in city development zones where trucks can have a one day at the park to
lessen impact on restaurants.
• Property owner and vendor would have to obtain a zoning permit.
111'event cn.mck and tale night distut-b(-Inccs
• Food trucks would not be allowed to have amplified sound or signs on sidewalks.
• Not allowed to set up outdoor seating areas.
• Since many of these are run by diesel emissions and are running all day and all night this will lead to
unpleasant environment in smoke and vibrations - emissions must be minimized,
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