The Alcohol License Review Committee was unable to increase the capacity of the Blue Velvet Lounge due to the Alcohol License Density Plan at Wednesday night's meeting.
Under the current ALDP, the city is unable to increase the capacity for any establishment, except hotels and restaurants, said Ald. Michael Schumacher, District 18.
Blue Velvet owner Larry Schmock requested that the committee increase the number of patrons from its current 99 capacity to a proposed 168.
Schmock said the Blue Velvet Lounge had been operating as a two-level bar under a 122-person capacity set by the building inspector. When the bar agreed to do a capacity review with the city, however, the number ended at 99.
According to Schmock, the Madison Fire Department requested an architect review all of the plans, and based on that, the capacity level could have gone up to 168.
ALRC member Mark Woulf said it was ""super frustrating"" that the committee could not fix this because of the ordinance. The ALDP is set to sunset at the end of 2010.
To determine the capacity for bars with more than one level, Alcohol Policy Coordinator Katherine Plominski said it is based on square footage per person, exit width and toilet capacity.
The item will be looked at again at the ALRC's December meeting to determine if the 122-person capacity can possibly be reinstated.
A new liquor license for the Pub Bar on State Street was also granted at Wednesday's meeting, under the new ownership of Gus Paras, current owner of the Comedy Club.
ALRC member Pam Bean said she was impressed with the way the Comedy Club is owned and operated, and hopes the Pub will be run with the same diligence.
Paras said he plans to increase the security at the bar and put in cameras.
""I do not need to have monkey business. We do it as clean as possible,"" he said.
According to Asst. City Attorney Steven Brist, there is currently a legal dispute over the sale of the business. Eric Fleming, former owner of the Crave Restaurant and Lounge, may have had a claim on it, he said.