EDITORIAL: Trimming red tape for food trucks should be only a start

Too many government licensing schemes serve as barriers to would-be entrepreneurs, stifling competition and limiting consumer choice. To the extent that they are needed at all, they should be structured to put a minimal burden on business owners and employees.

That’s why it’s welcome news that various local governments in Southern Nevada now propose to ease the process of obtaining the necessary permits to operate a food truck in the valley. The cities of Las Vegas, North Las Vegas and Henderson, along with Clark County, are in the early stages of creating a multi-jurisdictional license that will allow the owners of such mobile restaurants to avoid the time and treasure of getting permits in multiple municipalities.

“This will definitely help,” Guiliano Raso, who operates two food trucks, told the Review-Journal. “People are always asking for our food truck to move, to go to a different spot. It’s not that easy.” The current set-up, he said, is overly burdensome: “It was a huge process, and then you’re paying for fees at every single one. When you’re a small business, you don’t just have $5,000 to eat at.”

The new process would allow food truck operators to apply for a license in their home jurisdiction, while having the option to add other cities or the county during the application process. Uniform license fees and expiration dates would apply throughout the region. “We’re trying this to be more business friendly, more inclusive and help with the process,” explained Paul Beaton, Henderson’s business license supervisor.

The reform, which was considered at the recent legislative session but inexplicably didn’t survive, makes eminent sense. Similar arrangements already exist in the Las Vegas area for contractors and street vendors. Local fire departments honor inspections from other Southern Nevada jurisdictions. Clark County Commissioner Tick Segerblom said the change “has been a long time coming” and could eventually apply to other businesses, but “we’re starting small.”

He’s right. But bureaucratic inertia is no excuse for inaction. There’s much more to be done. Ask any small-business owner about the various regulatory agencies that must be sated — federal, state, local — and you’ll probably be rewarded with a lengthy rant. The cities and the county should make it a high priority to expand the concept to as many different licensees as possible.

Excessive red tape reduces productivity and discourages innovation. Dynamiting the many government obstacles that make it difficult for small businesses to operate would be a boon to Las Vegas and the local economy.