Last month, Lightfoot pushed for a 10 p.m. cutoff for package sales at stores.
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It was met with criticism from business owners, city leaders and residents.
"To spring this on this particular set of business owners and not provide any justification, not engage in advance discussions, is really a slap in the face to all of these business owners," Rob Karr, President and CEO of Illinois Retail Merchants Association told Eyewitness News in May.
Now the mayor and city aldermen announced plans for a new proposal which would end sales at midnight.
The measure still needs to be approved by the full City Council.