Street vending in Los Angeles was meant to be a pathway for small entrepreneurs to take their first steps toward building legitimate businesses. The city’s street vendor program was designed to offer a foundation – a way for vendors to start small, build their clientele, and eventually graduate to brick-and-mortar storefronts. Unfortunately, this vision has been derailed, and what we see on our sidewalks today is vastly different from the program’s original intent.
It is no longer about a person hustling with a single cart serving snacks, ice cream, tacos, kabobs, you think it, it is out there. Instead, what we are seeing are U-Haul trucks unloading chairs, tables and massive eight by 20-foot tents, turning sidewalks into makeshift markets or restaurants that block pedestrian access. Many of these are set up to operate without permits, leaving legitimate businesses to compete with vendors who do not follow the same rules, pay the same taxes, and face the same regulatory scrutiny.
Bypassing safety requirements
Take any restaurant that is operating without a handwashing station for employees or leaving food out improperly – they would face fines, or worse, immediate closure. Yet, street vendors often bypass these basic health and safety requirements, putting consumers at risk.
Worse still, some vendors are now selling alcohol without permits. I have been to events where these vendors were not just selling beers out of coolers; they had fully constructed bars serving mixed drinks.
If I need to go further – obtaining a liquor license in California can cost around $40,000 and can take years to process. Legitimate businesses go through this rigorous and costly process to ensure compliance with state and local laws. Meanwhile the mobile bar at the tailgate at a sporting event – operating without permits or any oversight – is not carding customers and is creating a “wild west” environment that undermines the safety of the public and of minors.
Associated risks
This is not just an issue of fairness; it is a matter of community safety and accountability. As the California Department of Public Health notes – foodborne illnesses caused by improper handling can lead to severe outbreaks. Unregulated vendors with no oversight are an unnecessary risk to the public’s health and well-being.
We need to bring the street vendor program back to what it was intended for. That means requiring vendors to adhere to basic permitting processes and health and safety standard inspections – just like every other business. No one is saying vendors should face harsher costs and hurdles than a brick-and-mortar businesses, but at the least, should meet the same minimum requirements to ensure public safety, fair competition and compliance with state and local laws.
Los Angeles is a city that thrives on small businesses and entrepreneurship, and we should support vendors who want to grow responsibly. But allowing unregulated and unpermitted vendors to operate unchecked undermines not just the restaurants and storefronts who are complying with the laws, but the credibility of the program. It sends a clear message that the rules do not apply to everyone the same.
Let us make a more level playing field, protect the public and give vendors the tools and accountability they need to succeed the right way. We must rein in the disaster this is and go back to the original vision – support small businesses, protect communities and create opportunities.
Stuart Waldman is president of the Valley Industry & Commerce Association, a business advocacy organization based in Van Nuys that represents employers in the San Fernando Valley area at the local, state and federal levels of government.
