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Restaurant Owners Balk at Flood of Food Trucks

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    Adam Housley reports from San Francisco

  • Duration 2:40
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Why pay tax and rent on a restaurant when you could do well be a garage coordinated for a fraction of the cost.

Iron shaft wanted these from coast to coast and figured it out.

With the food truck phenomena and rolling ended nearly every major city in the nation but now owners of some sit downs boxer a bit Steen saying the culinary carts are taken a big bite out of the bottom lines.

Adam Housley live in San Francisco -- Adam let's go along with a -- there.

Well you know -- just go one of the Mac is for food carts in the country -- got really embrace this early on that last December the city here decided to streamline the process for trucks to be able to.

Basically get their permit pretty quickly pretty easily have the opportunity to to park in seven different locations that could be one truck moving around or seven different trucks.

When you're talking the trucks this it is a great process it's all about competition some of them have brick and mortar restaurants and do take into account where they -- -- -- parking in front of other restaurants.

And some of these talks are doing very well particulates.

We're not to do it somebody somebody just -- -- traditional restaurants and innocent traditional west on the gonna go eat their food.

You wanna stop -- up quickly get -- now.

A once again that these talks about one right there they -- truck -- does not park right in front of another restaurant in fact they take into account because they have their own brick and mortar location great.

What are the brick and mortar restaurant owners trying to do here to compete.

And that's the issue because while that truck takes into account -- parks or other trucks that try to park right in front of some of these restaurants take this into -- account to.

You have some rest are some of the brick and mortar locations here in the city.

That average about 7000 dollars a month in rent they also have to pay city taxes they have the highest minimum wage in a country out more than ten dollars an hour.

And then you have -- struck the pulls up for three hours right in front of it.

And takes a spot some -- brick and mortar restaurants aren't happy about that at all.

Innocently bought into it customer base.

The this city is basically.

Attempting to.

-- -- subsidized food trucks.

Did complete disregard.

To our interests and that's what's happening right now.

Andy's food trucks great I don't have to pay city minimum wage is in the coming in from outside of the city they don't have to pay a lot of the same taxes -- -- paying 9000 dollars a year that's yet not paying any other rent.

And they local restaurants here say that's just not fair right.

Well it may now be fair but it's pretty Smart.

On the -- cart operators part.

Adam Housley on a tour operators not thus far the city operations though yeah they're losing money that's -- point Adam Housley thanks very much live in San Francis I.