From my memory, what would be required by the chapter (as levied by our great, illustrious, virtuous, pious, fearless, fantastic, selfless leader) were prohibitively high. It came out to if we wanted to run 3 non-Fortannis games a year, we'd have to run 6 Fortannis games a year (like Bond said, 2 to 1). Specifically, this was the option for running on a variant set of rules, including things like (gasp!) religion.
Three a year is barely enough to keep interest up, and then it would be competing with the main chapter itself (And the other west-coast chapters) to a total of 9 events a year just for Seattle, which starts to stress player funding for attendance.
So, in short, it was shot down without being 'officially' shot down by "the powers that be." There was interest, but because of the restrictions weighing it down, it made it more destructive to the chapter as a whole than helpful for the chapter or player-base.