Iowa City could place cap on tobacco permits, limit where products can be sold

The Iowa City City Council is continuing to explore amendments to its tobacco permitting process, possibly limiting the number of permit approvals and where products can be sold.

The council tasked City Attorney Eric Goers with exploring these changes in May, when the city instituted a moratorium on new tobacco permits.

The city has ceased issuing new tobacco permits until Jan. 1, 2025.

The council has used the pause to study and determine "the best ways to mitigate the harmful impacts of tobacco, tobacco products, alternative nicotine products, and vapor products on public health."

Goers and Iowa City City Clerk Kellie Grace, whose office is responsible for record-keeping and renewal notification, suggested exploring a permit lottery and limiting tobacco sales.

More: Iowa City's tobacco permit moratorium will address safety concerns, influx of vape shops

Cap likely, but how many is unclear

The council could, in theory, set the cap at whatever they deem necessary.

A representative from the county's Public Health Department said, in jest, that zero would be the safest cap from a public health perspective.

Sixty-two tobacco permits have been approved in Iowa City through June 30, 2025. Many of those businesses sell both alcohol and tobacco.

A cap below the current number would grandfather in the existing businesses with tobacco permits. The total number of permits must be below the cap in order for new businesses to be approved.

Council wants to limit tobacco sales near schools

Councilors have also proposed restricting new permits to businesses within a 500-foot radius of an educational facility or other protected area, including businesses near the University of Iowa's campus.

The Iowa City area map on the county's Alcohol and Tobacco Licenses map currently includes those 500-foot circles for exploratory purposes.

Like the permit cap, businesses would be grandfathered into this system. No new businesses would be able to apply for a permit if they are within 500 feet of a protected place.

The council briefly discussed offering small exceptions. For example, if a business wanted to set up in Iowa City and tobacco sales weren't their top revenue producer, the council could make an exception.

Changes to the permitting process and any sales restrictions are expected to go into effect by Dec. 10, before the permit moratorium expires on Jan. 1, 2025.

Ryan Hansen covers local government and crime for the Press-Citizen. He can be reached at [email protected] or on X, formerly known as Twitter, @ryanhansen01.

This article originally appeared on Iowa City Press-Citizen: Iowa City mulling tobacco permit cap, location restrictions