(1) All alterations to a premises must be approved by the department. Should a location with one stated seating capacity receive a restaurant beer/wine license and subsequently obtain approval for alteration of the premises to expand its seating, the new expanded capacity will require an additional payment if the expansion causes the restaurant to escalate into a higher category (61 to 100 or 101 or more) .   Payment of the difference between the application fee paid and the fee charged for the higher category of seating must be made to the department.   Given satisfaction of all other requirements, the department will approve the expansion so long as the quota for licenses within the 101 or more seating capacity for that quota area has not been met.