No re-application is required and no fee is due!
It is strictly up to your chief/licensing officer. You need to call or sit down with one of them and ask what it would take for them to drop the restriction. Some will do it with a letter, after a certain period of time (6 months, 1 or 2 years), some only on renewal (6 years) and some never.
If they are willing to do it, they just go into MIRCS and make the change and the state re-prints you a new LTC with restriction changed and sends it to the PD. It would have the same LTC # and expiration date as your current LTC.