Hmm. I found this in the chrome.css file, but that is the only place it appears in my templates and styles.
.notices li {
background: {vb:stylevar notices_background};
font-size: {vb:math {vb:stylevar font.fontSize}-1}{vb:stylevar font.units};
color: {vb:stylevar body_color};
padding:{vb:math {vb:stylevar padding}/2} {vb:stylevar padding};
margin-bottom:{vb:math {vb:stylevar padding}/2};
That padding stylevar is set to 10. If I change the stylevar, it messes with all the padding on everything. Argh....this should not be so hard to find!
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