Los Angeles county is trying something new to enable cooks and bakers to operate their own little restaurant by allowing them to prepare food in their own home. Starting on November 1, 2024, Los Angeles will begin a new program called the Micro-enterprise Home Kitchen Operation (MEHKO). This program will be available in all of Los Angeles County except for Pasadena, Long Beach, and Vernon because these cities have their own health departments. The California Health and Safety Code established the MEHKO program in 2019 with the intention of helping individuals to operate a small-scale restaurant in their own private homes. However, the Los Angeles County Board of Supervisors only recently authorized the creation of the program in May of this year.

LA County Supervisor Holly Mitchell supported the creation of the MEHKO program stating that, “[s]idewalk vendors and home cooks are part of the cultural and culinary fabric of our neighborhoods- many times being a primary source of affordable and quality food for residents while providing an opportunity for families to earn a steady income.” Thus, the MEHKO program is for small family oriented businesses or those looking for a “side-hustle.”

There are several limitations that would not allow for significant business growth:

• One permit per residence.

• No more than one full time employee.

• If there are multiple employees, they cannot exceed 40 hours per week.

• Food must be prepared, cooked, and delivered on the same day it is made.

• May not produce, serve, or sell raw milk product.

• May not serve or sell raw oysters.

• May not operate as a caterer.

• May not resell food to other facilities.

• May not display any signage or advertisement.

• May not use third party delivery apps like Grubhub or Uber Eats.

• May not sell or serve alcohol or food with alcohol.

• Business must be limited to 30 meals per day or 90 meals per week.

• Annual sales cannot be more than $100,000.

To operate, the business must submit the Public Health Application, the Standard Operating Procedure, menu, and Certified Food Protection Manager certificate. In addition, anyone handling food must get a Food Handler Card certificate. Finally, the business must pay the fees and schedule a home inspection.

Why is a MEHKO program interesting to small business owners? Well, one business participating in the MEHKO program is clearly not a threat. However, what happens when hundreds of businesses begin operating under the MEHKO program? These are businesses with very little start up costs, no large payrolls, and probably very little overhead. What does that do to the fast food industry?