Chicago has licensed just five food carts since legalizing the industry in 2015.
That’s in large part because the license fee and complying with the other requirements are too expensive for many vendors.
On Dec. 14, Mayor Rahm Emanuel introduced amendments to the food cart ordinance that would address this barrier to entry.
The mayor’s revisions would reduce two-year license fees to $100 from $350. Seniors, veterans and disabled owners would pay just $50 for a two-year license.
Cart owners with a food cart license would also be exempt from paying a shared kitchen user fee, which the ordinance currently requires. This amendment would save vendors between $75 and $350.
This is an improvement, especially when considering the landscape in other major cities. In New York, permits cost less than $100 per year.
Making it affordable for people to start a food cart business is a good move for Chicago – after all, food carts are one of the most affordable ways to enter the food industry.
The ability to start this kind of low-cost business is a big deal to Chicago’s street vendors, many of whom operate in low-income neighborhoods that lack access to sufficient food options. Customers in these areas in particular benefit from increased access to fresh food.
Moreover, prior to City Council’s vote in 2015 to legalize food carts, an economic impact report from the Illinois Policy Institute showed that in welcoming these vendors, Chicago could see up to 6,400 new jobs and up to $8.5 million in new local sales tax revenue.
Food carts have long been part of the culture in Little Village, Pilsen, Rogers Park and many other Chicago neighborhoods. These communities rally around food cart culture – kids pick up elotes for an after-school snack, walkers grab champurrado on cool mornings, and anyone looking for a delicious lunch knows vendors’ tamales won’t disappoint. People drive from hundreds of miles away to get a taste of Chicago’s food cart fare.
Chicagoans love food carts. And while these businesses are legal in Chicago, aldermen should embrace Emanuel’s amendments to allow more businesses to start up in the city.