Hospitality Minnesota, the leading trade association representing the restaurants, hotels, resorts, and campgrounds in our state would like to express gratitude to the elected officials who modified the initial $0.75 delivery tax proposed during this session. We appreciate them listening to the members of the No Delivery Fee Coalition and our engaged Hospitality Minnesota membership to arrive at the final delivery tax proposal of $0.50 and for the exemption of food and third-party food deliveries.

Although we are grateful for the modification to the delivery fee language, Hospitality Minnesota stands united with our business partners and expresses our disappointment with the passage of this regressive delivery tax.

Despite a record surplus, repeated appeals, and raised concerns, lawmakers have chosen to impose a burdensome tax on the business community of Minnesota, which already faces complications with workforce shortages, supply chain issues, and rising costs. The business community of Minnesota, including the valued allies of restaurants, food service establishments, lodging, resorts, and campgrounds, requires sound solutions and good representation, not harmful and unnecessary taxation.

This tax places an unnecessary burden on both the businesses that rely on delivery and the Minnesotans who depend on these services for access to essential goods. This tax will disproportionately affect not only vulnerable seniors, those living with disabilities, and Minnesotans who live in areas of resource insecurity but also the businesses that regularly and proudly service them. This regressive tax will be challenging to implement, wildly unpopular, and harmful to businesses and consumers that have come to depend on delivery services.

Hospitality Minnesota remains committed to the interests of our industry and its allies. We will continue to advocate for the growth and prosperity of the hospitality industry. Our association will continue to inform our elected officials about the issues that matter most to our industry.