Los Angeles City Council approved proposed rules for a sidewalk vending program on Tuesday.

Key components of the rules include notifying adjacent property owners of a potential vending permit and determining the price of licenses based on the cost of square footage of nearby commercial space. The regulations would allow up to two vendors per block, but certain areas may be designated vending zones with more carts and kiosks.

In the San Fernando Valley, the Valley Industry and Commerce Association, or VICA, worked with councilmembers to make sure the program allows brick-and-mortar retailers to operate with little disruption.

“Brick-and-mortar businesses continue to face high costs and regulations which jeopardize their ability to remain open,” VICA President Stuart Waldman said in a statement. “Competition from unregulated street vending is an additional challenge that has made doing business in Los Angeles increasingly unprofitable. The proposed rules approved today reflect the process that traditional businesses must undergo in order set up shop. Setting prices based on the cost of nearby commercial space, in particular, helps create an equal playing field for sidewalk vendors and business owners.”