New Orleans is widely known for the variety of food for locals and tourists to enjoy. Despite the reputation that food has on New Orleans culture, food trucks continue to support change for the industry in the city.
The opportunity to have a successful food truck business in NOLA is quite possible. It’s simply a matter of understanding what the requirements and restrictions are and being an advocate for the growth of the industry in New Orleans. And of course, that’s in addition to operating efficiently and providing quality food.
The Climate of the Food Truck Business in NOLA
Food truck laws and regulations vary from state to state and New Orleans has its own set of regulations that were last updated in 2013 by the mayor. There are things that food truck owners are still trying to make a reality for their industry in NOLA but other organizations have been against it.
The Louisiana Restaurant Association opposed the idea of food trucks arguing that food truck operators have no instant access to a bathroom. The organization thought could cause concerns about the quality of the food being served.
Limitations and Restrictions
Since the opposition from the Louisiana Restaurant Association, food trucks have had the opportunity to still operate in New Orleans but there are certain rules to go by to legally be in business.
The New Orleans Food Truck Coalition is an organization that supports the development of the food truck industry in the city. The organization consists of various owners and operators that trained chefs, restaurateurs, bartenders, and more.
An event known as the Food Truck Symposium is thrown to bring attention to the food trucks and their attempts to work with City Hall to make the city’s laws more amenable to the industry.
100 Permit Cap
The city only issues 100 permits for mobile food vendors. The vendors cover carts, ice cream trucks, fresh food vendors, and food trucks. Issuing only 100 food truck permits means there are not enough to go around.
If an entrepreneur wants a food truck then they will need a food truck before they can obtain the permit. However, the cap on permits provides no guarantee that a truck owner would get a permit. Therefore the permit limitation prevents any would-be entrepreneurs from investing in food trucks.
Access to the Central Business District and French Quarter
Food trucks are not permitted to be in the Central Business District and French Quarter unless they have been grandfathered in. Since there are many businesses in the Central Business District, the potential profits missed for a food truck could be high. Food trucks in the area wouldn’t be a big threat to restaurants but more so to serve as a quick option for employees in the area.
Trucks looking to still operate in the Central Business District, French Quarter, and even the Warehouse District could go through a “franchise” process.
Proximity to Restaurants
The city code prohibits a food truck from parking within 600 feet of a restaurant. However, city hall tells food trucks they cannot be within 200 feet of a restaurant which creates a lot of confusion.
Mardi Gras
The city holds a lottery for some designated spots during this event every year. It seems like some of the same groups are winning spots every year. Local food trucks would love to buy these spots instead.
Seafood
Food trucks are not allowed to serve seafood. Even with New Orleans having a great stance in the seafood industry and modern refrigeration, food trucks cannot serve local and fresh seafood.
Limited Time
There is a regulation on how long some food trucks can be in certain locations which are known to be 45 minutes. Food truck operators sometimes need at least 30 minutes to set up for serving customers. Meaning 15 minutes is the time some operators will have to serve others before they have to move.
If getting into the food truck industry it is recommended to join the New Orleans Food Truck Coalition as they are advocating for better food truck laws. Food trucks in the city can create jobs, bring in sales tax revenue, and can help add to the cultural reputation that New Orleans is known to have about food.
Food Truck Setup
Just like setting up any other business, a food truck business needs to go through the registration process and proper startup. However, food trucks have some specific requirements to get started.
Permits
Food truck permits are considered to be permits that are legally necessary to serve customers food from an operational truck in street areas. This may be the hardest one to obtain due to the limited number of food truck permits issued but a food truck business also needs a(n):
- Occupational license
- Health permit
- Fire department inspection
Applying for a Food Truck Permit
The application is on the nola.gov website and can only be submitted after filing an occupational license master application. When sending the application for processing please also send:
- A copy of the mobile food truck’s valid registration with the Louisiana Department of Motor Vehicles
- A copy of a valid Louisiana driver’s license of the owner and all approved drivers
- A copy of vehicle insurance for the mobile food truck that discloses the coverage for any automobile accident that could occur
- A copy of your commercial general liability insurance coverage policy with liability coverage of at least $500,000 (the city of New Orleans should be listed as the insured party to provide coverage while operating on public rights-of-way)
- A photo of the mobile food truck that indicates the dimensions not exceeding 26 feet in length and 8 feet in width
- Copies of all approvals, inspections, and certificates required by the department of health and hospitals
- Proof of inspection from the fire department
Location and Zoning
Food truck ordinances have been established by a vote by the New Orleans City Council then signed by the mayor. Back in the Summer of 2013, a food truck ordinance had provisions that changed things to positively affect food truck owners.
Food trucks were then allowed to service the Tulane hospital and Superdome districts that were previously off-limits. This opened up the potential market for food truck owners that were previously off-limits.
Ordinances like these make a food truck owner question what their limitations are to certain public areas. The key to understanding available food truck spaces is understanding zoning. The city provides a city zoning ordinance tool on the nola.gov website. The new ordinance does not include a restaurant proximity restriction.
Food trucks with permits are allowed to park in commercial, business, industrial and mixed-use areas but there are exceptions. Food trucks are not permitted to park at:
- The Central Business District
- The French Quarter
- The Marigny (area bounded by Esplanade Ave, North Rampart, Elysian Fields Ave, and Royal Street)
- Residentially zoned areas
- Any residential or park district identified in the zoning ordinance
- Oak Street between Broadway and Monticello
- Maple Street between Audubon Place and Leake Ave (River Road)
- The area bounded by Louisville Street, Vicksburg Street, Robert E Lee Blvd, and Conrad Street in Lakeview
- St Bernard Ave between interstate 610 and the lake
- Paris Ave between interstate 610 and the lake
- Elysian Fields Ave between interstate 610 and the lake
- Franklin Ave between interstate 610 and the lake
If a food truck wants to either hold an event or be around an event in a restricted area, a special event permit can be filed at city hall. Special rules apply for Mardi Gras that prevent vendors from being within 2 blocks of a parade route. Don’t assume that the same rules apply for the 2 weeks before Fat Tuesday.
Corporate Food Trucks
There have been a few major corporations that have attempted to enter the food truck market. These types of food trucks differ from a typical local food truck that has left many wondering what can be done to keep corporate food trucks away. Not much can be done about it though as long as they operate legally.
The Constitution prevents governments from restricting commerce or favoring business over another unless they can show a rational basis for public health or safety.
Corporate food trucks have emerged for the sake of the corporation expanding their market, trying out new dishes, and most importantly making money. The ultimate goal is for corporate food trucks to make money like their local competitors. However, consumers aren’t flocking to those food trucks and some have even shut down in multiple major cities.
Food trucks can be an excellent opportunity to run a local business in New Orleans or anywhere else in the country. Some cities have recognized the general convenience that food trucks provide in their communities. Boston had realized, and while one of the partners at the firm was vacationing, they saw a truck they presumed to be a food truck, but it was a truck offering city hall services.
Services included everything from paying property taxes to getting a dog license. The truck follows a schedule and Boston residents can find out other information via its Twitter page.
Have a business attorney help with starting a food truck business who can back up clients and make sure they are compliant with the city.