Chapter 149 of the General Laws, as appearing in the 2020 Official Edition, is hereby amended by inserting after section 152A the following section:-

Section 152B. (a) For the purposes of this section the following words shall, unless the context clearly requires otherwise, have the following meanings:

“Service charge”, a fee charged by a restaurant to a patron in lieu of a tip to any wait staff employee, service employee or service bartender, including any fee designated as a service charge, tip, gratuity or a fee that a patron or other consumer would reasonably expect to be given to a wait staff employee, service employee or service bartender in lieu of, or in addition to, a tip.

“Peak restaurant season”, the period of the year when tourists are mostly likely to visit a municipality as determined pursuant to subsection (c).

(b) During a municipality’s peak restaurant season, a restaurant within the municipality may include a minimum service charge of no less than 19 per cent with each bill, invoice or charge to parties consisting of 4 or more patrons; provided that the restaurant provides notice of the minimum service charge by posting information in a conspicuous place in the restaurant or on the menu.

(c) The municipality’s peak restaurant season shall be determined by a vote of the city council, in the case of a city, or by a vote of the select board or board of selectmen, in the case of a town. The city council or town select board shall specifically define the peak restaurant season in their city or town, if they decide to give restaurants, located in that city or town, the option of charging a minimum service charge during peak restaurant season. Once the peak restaurant season is determined, restaurants within that municipality may implement a minimum service charge pursuant to subsection (b).

(d) If a restaurant implements a minimum service charge during peak restaurant season, they shall be required to give patrons notice about the minimum service charge.