Stifled: Let market decide fate of food trucks, businesses

The Institute for Justice has asked the Texas Supreme Court to review the case of three South Padre Island food truck owners who can’t operate because of arbitrary restrictions city officials have placed on the enterprises. We hope the court agrees to take up the matter.

The three operators had sued the city over the ordinance, which a local district judge ruled was unconstitutional. That ruling, however, was overturned on appeal.

The petition rightfully challenges city ordinances limiting the number of food trucks within the city to 18. To get a city permit, the trucks also must be endorsed by an existing Island restaurant owner.

Of course, those restaurants aren’t likely to be inclined to support a permit that will create competition.

This isn’t the only city in the Valley, or elsewhere, that has passed ordinances restricting competition to established businesses — even though those restrictions also restrict city tax revenues those businesses would produce, and the public services those additional funds could provide. Some commissions have sought to limit food trucks to those owned by businesses that already have brick-and-mortar establishments, required them to operate at designated sites and not move from those locations — obviously ignoring the very feature that has made food trucks such a rapidly growing industry in recent years. Food-specific television networks even offer programs that feature the best food trucks in the country.

A city could benefit greatly if such a business within its boundaries were featured — unless, of course, the best mobile restaurant operator couldn’t operate because of an ordinance that protects other vendors from competition.

Such restrictions deprive city residents and visitors from benefits that food trucks could offer, such as the ability to set up near special events, such as sporting events or annual festivals. Yes, they would compete with concessionaires at those events, but the public would have more options.

The war on mobile eateries isn’t recent. A pro-Trump group in 2016 famously threatened that liberal immigration policies would give us “taco trucks on every corner,” although the threat backfired after viral social media posts endorsed the idea.

In the absence of arbitrary patronage, such restrictions shouldn’t be necessary. If a taco truck operates on every corner, it’s because the people support them with their business. Trucks that don’t sell simply go away.

Popular resort areas such as South Padre Island seem the perfect place for food trucks that can follow the crowds, service special events and augment, rather than compete with, local restaurants. Island residents and visitors would benefit not only from the additional food options, but from additional venues that could help reduce wait times and traffic bottlenecks at all establishments.

In this era of free-flowing campaign contributions and quid pro quo donations, the willingness of city officials — at South Padre Island or anywhere else — deserves to be questioned.

We trust that the state Supreme Court will see the need to review such anti-business restrictions and accept the Institute’s petition.