Fieldhouse Bar and Grill remains open and serving alcohol despite having its liquor license suspended by the Iowa City City Council for two weeks, leaving students confused and employees concerned about the future. 

Fieldhouse Owner Tracy Barkalow is appealing the decision with the Iowa Department of Revenue, according to a statement released by the bar. The appeal places the liquor license suspension on hold until a decision is made.

The council concluded that the downtown establishment violated the terms of its alcohol license by operating in a manner inconsistent with a licensed restaurant. According to state law, Fieldhouse faces a $500 dollar fine for the offense, and possible additional fees if they lose the appeal to the state. 

Fieldhouse announced on Instagram on Jan. 25 that the bar will not close its doors. 

“We’re open, business as usual,” the post said. 

Vayda Bryant, third-year student at the University of Iowa and a manager at Fieldhouse, said Fieldhouse is waiting for the appeal hearing to happen. Bryant said she has no idea when the hearing would happen, saying she has heard it could be anywhere from six months to two years.

Bryant said after the suspension happened, she observed immediately in the following nights that the number of patrons at Fieldhouse decreased. 

“Rumors spread so quickly,” Bryant said. “We’ve been doing a lot of marketing on social media, and that has brought our numbers back up to normal, which is good.”

When the suspension was announced, Bryant said she and other Fieldhouse employees were worried about their jobs.

“Since this is my only job and I am a full-time college student, people don’t realize how much we depend on tips,” Bryant said. “I know this whole thing is mostly targeting the owners, but it’s impacting us as well.”

Fieldhouse reopened a new three-level space on S. Clinton Street in November 2025. The establishment operates under a liquor license that legally requires the business to function as a restaurant, meaning that it has to regularly prepare and serve food to customers in addition to alcoholic beverages.

The City of Iowa City issued Fieldhouse a Notice of Hearing on its alcohol license on Dec. 3, 2025. Concerns were raised about whether the business met the legal criteria required to maintain a restaurant liquor license. 

RELATED: Fieldhouse bar unveils new three-level location

Under Iowa City code section 4-2-2(B), liquor licenses for restaurants are only valid for businesses that meet specific physical and operational criteria. 

The code states, “No liquor control license nor beer permit for serving and consuming on premises shall be approved for an establishment which is not located entirely on the ground floor of a building and which does not contain windows which permit visibility of its interior from the public way.”

Elizabeth Craig, an Iowa City assistant attorney, said during the Jan. 20 hearing that Fieldhouse did not satisfy these requirements and had not demonstrated it operates in a way that fits the city’s definition of a restaurant. 

“In general, unless a business qualifies as a certain type, such as a restaurant, it can’t obtain a liquor license for more than the ground floor of a building,” Craig said. “This is because it is more difficult to quickly and effectively respond to emergencies in buildings with multiple floors, and public safety incidents happen more often in bars versus restaurants.”

Craig told city council members that the city’s concern was Fieldhouse’s focus on bar operations that traditionally align with a nightlife venue rather than a restaurant serving sit-down meals. 

Abby Parizek, a fourth-year at the University of Iowa, was surprised to hear of the suspension.

“This is the first time I’m hearing of this,” Parizek said. “I feel like they literally just opened a few months ago, so that’s crazy to me that they already had their license suspended.”

Bryant emphasized that Fieldhouse is still serving alcohol on all floors of the bar and grill, and is also serving pizza.

“Beginning next week we will be opening at 3 p.m, so that is something to look forward to,” Bryant said.