Rocky Mount proposes land development code for regulated Internet cafes

A proposed amendment to Rocky Mount's land development code aims to regulate Internet cafes, commonly known as sweepstakes, by designating them as permitted uses in specific zoning districts. This move comes after years of legal challenges and a fluctuating regulatory environment surrounding these establishments.

The amendment seeks to define Internet cafes and impose strict limitations on their operation. Under the new rules, these cafes would only be allowed in the B2 Commercial Corridor and B5 Commercial Services Districts, with a requirement for separation from other similar businesses and residential areas. Additionally, only one Internet cafe would be permitted per structure, and they would be banned from historic and redevelopment districts.

City officials noted that since a 2016 state Supreme Court ruling, which led to the closure of existing Internet cafes, the city has not issued any new certificates of occupancy for these businesses. Despite this, approximately 25 suspected Internet cafes have continued to operate, often under the guise of other business types. The proposed amendment aims to provide a clearer framework for regulating these establishments while addressing concerns about their legality and impact on the community.

The discussion highlighted the challenges city staff face in determining the legality of the games offered at these cafes, with officials emphasizing that the proposed amendment would allow for regulation from a land use perspective, separate from the legality of the games themselves. This approach aligns with practices in other municipalities across North Carolina.

As the city moves forward with this amendment, officials anticipate that it will strengthen enforcement capabilities and reduce the number of unregulated Internet cafes. The amendment is expected to be a significant step in managing the proliferation of these businesses in Rocky Mount, providing a structured pathway for those wishing to operate legally while ensuring community standards are upheld.