Street vendor management needs to be prioritized by the municipality. With the promulgation of the Constitution of Nepal 2072, the country went into federal structure. Birendranagar municipality of Surkhet was declared as the permanent capital of the Karnali province, which covers the largest of the seven provinces. With the announcement of the capital city, the urbanization in Birendranagar has increased exponentially. There is also a huge increase in the number of people in the city while the use of vehicles is increasing. The roads within the municipality are not new. In this case, the increased activity has created a barrier to traffic. In addition, unmanaged streets have made this problem even more complicated. Hriti Foundation presented the policy alternatives for street vendors management in Birendranagar city through the discussion paper.