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H3774 • 2025

An Act relative to third party delivery fees

An Act relative to third party delivery fees

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor
Daniel J. Ryan
Last action
2026-01-07
Official status
Referred to House Committee on Ways and Means
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

An Act relative to third party delivery fees

An Act relative to third party delivery fees By Representative Ryan of Boston, a petition (accompanied by bill, House, No.

What This Bill Does

  • An Act relative to third party delivery fees By Representative Ryan of Boston, a petition (accompanied by bill, House, No.
  • 3774) of Daniel J.
  • Ryan relative to third party delivery fees and distributions to cities and towns for transportation infrastructure.
  • Transportation.

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

  1. 2026-01-07 House

    Bill reported favorably by committee and referred to the committee on House Ways and Means

  2. 2025-09-30 Joint

    Hearing scheduled for 10/14/2025 from 01:00 PM-05:00 PM in B-1

  3. 2025-09-30 Joint

    Hearing rescheduled to 10/14/2025 from 01:00 PM-05:00 PM in A-1 and Virtual Hearing location changed

  4. 2025-02-27 House

    Referred to the committee on Transportation

  5. 2025-02-27 Senate

    Senate concurred

Official Summary Text

An Act relative to third party delivery fees
By Representative Ryan of Boston, a petition (accompanied by bill, House, No. 3774) of Daniel J. Ryan relative to third party delivery fees and distributions to cities and towns for transportation infrastructure. Transportation.
Status:
Referred to House Committee on Ways and Means

Current Bill Text

Read the full stored bill text
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Bill H.3774

SECTION 1. Section 1 of Mass General Laws Chapter 159B is amended by adding the following definitions:

"Covered establishment", a restaurant or other eating or drinking establishment offering same-day food or drink for sale in a single commercial transaction through any third-party delivery service platform.

"Customer", an individual using a third-party delivery service platform to place an online order.

“Delivery -assessments”, the fee paid by the customer to the third party delivery service company.

''Department'', the department of public utilities.

"Online order", an order for food or drinks placed by a customer through a third-party delivery service platform provided by a third-party delivery service company for pickup or delivery in the commonwealth.

"Purchase price", the menu price publicly offered on the third-party delivery service platform by a covered establishment. The purchase price shall not include any taxes, gratuities or other fees that may make up the total cost charged to the customer for an online order.

"Third-party delivery service company", a corporation, partnership, sole proprietorship or other entity qualified to do business in the commonwealth that is engaged in facilitating same-day delivery or pickup of food and beverages through a third-party delivery service platform for 20 or more separately owned and operated covered establishments.

SECTION 2. Said chapter 159B is hereby further amended by adding the following section:-

SECTION 23. (a)Annually, not later than February 1, each third-party delivery service company shall submit to the director of the number of deliveries from the previous calendar year that originated in each city or town and the amount collected from delivery-assessments. Notwithstanding any other law, a delivery assessment of no less than $.50 per order shall be applied to orders. The delivery assessment shall not apply to items that are not subject to state sales tax.

(b) The department shall have the ability to adjust the delivery assessment no less than every two years based on inflation.

(b) The division shall: (i) proportionately distribute ½ of the amount received from the fund to a city or town based on the number of rides from the previous calendar year that originated within that city or town to address the impact of transportation network services on municipal roads, bridges and other transportation infrastructure or any other public purpose substantially related to the operation of transportation network services in the city or town including, but not limited to, the complete streets program established in section 1 of chapter 90I of the General Laws and other programs that support alternative modes of transportation; provided that, if the amount of the distribution to a city or town is $25,000 or less, the chief executive officer as defined in section 7 of chapter 4 of the General Laws, may expend such funds for these purposes without further appropriation; and (ii) distribute 1/2 of the amount collected to the Commonwealth Transportation Fund established in section 2ZZZ of chapter 29 of the General Laws.

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