(A) Optional suspension or revocation. Following a written notice and hearing, as provided by this section, a liquor license, wine permit or beer permit may be suspended by the Council for a period up to one year for violations of this code of ordinances or suspended for a period up to one year or revoked by the Council for any of the following causes:
(1) Misrepresentation. Misrepresentation of any material fact in the application for the license or permit;
(2) Violations. Violations of any of the provisions of the state’s Beer and Liquor Control Act;
(3) Change in ownership. Any change in ownership or interest in the business operated under a Class “A”, Class “B” or Class “C” liquor control license, or any wine or beer permit which change was not previously reported to and approved by the city and the Alcoholic Beverages Division;
(4) Original disqualifications. An event which would have resulted in disqualification from receiving the license or permit when originally issued;
(5) Sale or transfer. Any sale, hypothecation or transfer of the license or permit;
(6) Payment of taxes. The failure or refusal on the part of any licensee or permittee to render any report or remit any taxes to the Department of Revenue under the state law; and
(7) Commission of prohibited sale or act. The conviction of any liquor control licensee, wine permittee or beer permittee for a violation of any of the provisions of Iowa Code § 123.49 shall, subject to § 11.0607 of this code of ordinances, be grounds for the suspension or revocation of the license or permit by the Alcoholic Beverages Division or the city.
(2011 Code, § 12.0301)
(B) Mandatory suspension or revocation. A license or permit shall be suspended or revoked by the City Council in accordance with the following.
(1) Sale to minors or “spiking”. If any licensee, wine permittee, beer permittee or employee of a licensee or permittee is convicted of a violation of Iowa Code § 123.49(2)(h), or if a retail wine or beer permittee is convicted of a violation of Iowa Code § 123.49(2)(h), the city shall, in addition to the other penalties fixed for such violations of this section, assess a penalty as follows.
(a) Upon a first conviction, the violator’s liquor control license, wine permit or beer permit shall be suspended for a period of 14 days.
(b) Upon a second conviction within a period of two years, the violator’s liquor control license, wine permit or beer permit shall be suspended for a period of 30 days.
(c) Upon a third conviction within a period of five years, the violator’s liquor control license, wine permit or beer permit shall be suspended for a period of 60 days.
(d) Upon a fourth conviction within a period of five years, the violator’s liquor control license, wine permit or beer permit shall be revoked.
(2) Gambling, solicitation, disorderly conduct, use of containers. If any liquor control licensee is convicted of any violation of Iowa Code § 123.49(2)(a), (d) or (e), or any wine or beer permittee is convicted of a violation of Iowa Code § 123.49(2)(a) or (c), the liquor control license, wine permit or beer permit shall be revoked and shall immediately be surrendered by the holder and the bond of the license or permit holder shall be forfeited to the Alcoholic Beverages Division.
(2011 Code, § 12.0302)
(C) Hearing on suspension or revocation. The Council shall conduct a hearing on each suspension or revocation in the following manner.
(1) Notice. The permit holder, and surety on the permit holder’s bond, shall be served with written notice containing a copy of the complaint against the permit holder, the ordinance provisions or state statutes allegedly violated, and the date, time and place for hearing on the matter.
(2) Hearing.
(a) The Council shall conduct a hearing, at which both the permit holder and complainants shall be present, the purpose of which is to determine the truth of the facts alleged in the complaint.
(b) Should the permit holder or permit holder’s authorized representative fail to appear without good cause, the Council may proceed to a determination of the complaint.
(3) Rights of permit holder. The permit holder shall have the right to be represented by counsel, to testify and present witnesses in permit holder’s own behalf and to cross-examine adverse witnesses.
(4) Evidence. The Council shall admit only reliable and substantial evidence into the revocation or suspension proceeding, and shall give all admitted evidence its natural probative value.
(5) Criminal charges. In the event that criminal charges have been brought against the permit holder on the same facts and circumstances as are the basis for the revocation or suspension complaint, the Council shall await a judgement in the criminal action before conducting the revocation or temporary suspension hearing required by this section. Neither a conviction, nor an acquittal, in the criminal action shall be conclusive for purposes of the revocation or suspension proceeding held under this section.
(6) Record and determination. The Council shall make and record findings of fact and conclusions of law and shall revoke or suspend a permit under this section only when, upon review of the entire record, it finds clear and convincing evidence of a substantial violation of this section or state law.
(2011 Code, § 12.0303)
(D) Alcoholic Beverages Division notified. When the City Council revokes or suspends a liquor license, wine permit or beer permit, the Alcoholic Beverages Division shall be given written notice thereof stating the reasons for the revocation or suspension and the length of same.
(2011 Code, § 12.0304)
(E) Appeal to state and court. The right of appeal to the hearing board shall be afforded a liquor control licensee, wine permittee or beer permittee whose license or permit has been suspended or revoked. Any applicant who feels aggrieved by a decision of the Director or city disapproving, suspending or revoking issuance of an liquor control license, wine permit or beer permit may; provided, the applicant has exercised applicant’s right of appeal to the hearing board as provided by state law, appeal from said decision within ten days to the District Court of the county wherein the premises covered by the application are situated. The city may appeal a decision of the hearing board within ten days to the District Court of the county wherein the premises covered by the application are situated.
(2011 Code, § 12.0305)
(F) Effect of revocation. Any liquor control licensee, wine permittee or beer permittee whose license or permit is revoked under the state’s Beer and Liquor Control Act shall not thereafter be permitted to hold a liquor control license, wine permit or beer permit in the state for a period of two years from the date of revocation. A spouse or business associate holding 10% or more of the capital stock or ownership interest in the business of a person whose license or permit has been revoked shall not be issued a liquor control license, wine permit or beer permit, and no liquor control license, wine permit or beer permit shall be issued which covers any business in which such person has financial interest for a period of two years from the date of revocation. If a license or permit is revoked, the premises which have been covered by the license or permit shall not be re-licensed for one year.
(2011 Code, § 12.0306)