We have this simplistic idea that if we put a huge roadblock in front of small businesses that they'll innovate around the problem, when in reality they'll just go out of business, and it will take the market a year or more to figure out how to deal with the problem - all the while, more small businesses shut down because they cannot stock their shelves.

I agree with the motivation, but the execution cannot be "simply" banning how these businesses operate.

These aren't high margin businesses that can handle disruptions like this. Small business owners have mortgages to pay, and they'll just close-up shop or "simply" choose to service a different area.