IOWA CITY — Years after voters agreed that underage drinking posed a problem in this college community and upheld rules banishing 19- and 20-year-olds from most drinking establishments late at night, the City Council advanced a new directive Tuesday night that could ease consequences on some businesses caught selling alcohol to minors.

The council voted 7-0 during the first of three considerations of an ordinance that would reduce the time businesses found in violation lose their permits granting exceptions to the under-21 ordinance.

After years of debate at the council dais and at the ballot box, the Iowa City Council in 2010 adopted rules that forbade 19- and 20-year-olds from being in businesses with liquor licenses after 10 p.m. A move to repeal the rule later that year failed in a public referendum after several prominent people — including Iowa football coach Kirk Ferentz — made a case for keeping the restriction.

But businesses with liquor licenses may apply for an exception to still allow minors inside after 10 p.m. — if more than half their sales come from something other than alcohol.

Currently, 33 Iowa City businesses have the special exception certificates, according to a city database. Businesses like concert venues and restaurants often apply.

As it stands, if a business were caught selling alcohol to a minor twice in five years, it would lose its certificate anywhere from one to five years, depending on the timing of the offense.

Businesses must wait a full year to get back the certification after a second offense, but must also wait until they no longer have two offenses in the last five years.

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Those punishments come in addition to fines imposed by the state, which can vary initially between $500 and $1,500 apiece, Iowa Code shows.

Under the proposed new ordinance, businesses still would not face a threat to their certificates with the first violation. But they’d face a 30-day revocation for the second offense and a 90-day penalty for each violation after that.

“I believe this penalty structure, coupled with state penalties, will be sufficient enough to modify behavior while not being overly punitive to businesses holding exception certificates, the majority of whom do not play a major role in underage consumption problems,” wrote City Manager Geoff Fruin in a staff memo.

Four businesses have had certificates revoked under the current rules, Fruin’s memo shows. Sam’s Pizza, Blackstone’s, Colonial Lanes and the Airliner did not immediately respond to a request for comment.

Council member Susan Mims expressed support for the ordinance, pointing to uneven punishments and to the fact that businesses with the certificates often do not play a big role in underage drinking.

A few examples of businesses with the certificate are the Englert Theatre, Pizza Hut and Buffalo Wild Wings.

Council member Pauline Taylor also expressed support.

“I certainly would rather see the under 21s at such places,” Taylor said. “I’m in favor of it.”

Council member Kingsley Botchway II said that although he’d support the ordinance for now, he’s concerned it was not discussed with the Partnership for Alcohol Safety, an effort between the city and University of Iowa.

The group’s next meeting is Sept. 22, which would be before the council’s third and final reading of the ordinance.

“I do have issues with this,” Botchway said. “I still feel like it’s, you know, if you’re breaking a law, there’s a consequence, especially when it comes to selling alcohol with minors.”