Instead of just ruling them in contempt, the judge might even threaten them with the appointment of a special master.
A special master is an “adjunct to a federal court, and Rule 53 of the Federal Rules of Civil Procedure allows a federal court to appoint a master, with the consent of the parties, to conduct proceedings and report to the Court.”
In effect, the SM would design a fully constitutional licensing scheme, and if necessary, appropriate city funds to pay for it, and insure that it is functioning well, showing all of these results to the judge. Then the judge would issue a consent decree requiring the city to keep it as a funded system for say 10 or more years, and for any complaints about the system to be forwarded to the judge.
Meet the new boss! Same as the old boss! Yep, dat’s mah districk, fo’ shuh!