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Street vendors hawking their wares on busy city streets seem as much a part of the fabric of New York as the city's skyscrapers and yellow taxis. But there's a fierce fight underway over the size of the industry, with the City Council scheduled to hold a hearing on bills that would change the volume of street vending in the city.

Although vendors may seem ubiquitous – selling fruit, warm hats, and hot food – there is actually a limit on the number of vending licenses given out by the city. Less than 4,000 licenses are available for street vendors.

Despite high demand, the city has not accepted any new names for its wait list since 1992.

"We want to see that the cap is lifted and give us some elbow room so that we can function," said Grace Aydin of the Street Vendor Project.

Brooklyn Councilman Charles Barron has 11 co-sponsors for his bill to lift the cap on street vendor licenses to 25,000. He calls the current restrictions "absurd.

Barron says by lifting the limit, thousands of illegal vendors operating on the streets could apply for a license. He says vendors operating without a license are being unnecessarily fined and harassed.

"It is creating a confrontation with law enforcement that can be eliminated," said Barron.

Not all council members are on board. Manhattan Councilman Alan Gerson is sponsoring an alternative bill, which would lift the license cap, but only by a little. Under his proposal, which has three co-sponsors, there would be 170 new vendor licenses issued by the city.

Even street vendors are divided over the issue.

Some military veterans, who are exempt from the license cap, say they do not want any more non-veterans peddling on the street.

"I think they should open up the cap only for veterans," said the vendor. "More vendors on the street are not going to make it any better."

The mayor is not expected to endorse any of the bills, but a source tells NY1 that the mayor is concerned about the number of illegal vendors in the city and is in favor of changing vendor regulations.