Rocky Mount council reviews rules impacting local internet cafes and taxation options

The Rocky Mount City Council is grappling with the future of Internet cafes in the city, as discussions during the Council Committee of the Whole meeting on July 14 revealed significant concerns about zoning regulations and potential revenue generation from these establishments.

Councilman Knight raised a pivotal question regarding the possibility of grandfathering existing Internet cafes that are in close proximity to one another, highlighting that only four currently hold valid occupancy permits. These four are considered legal, nonconforming uses, while the remaining 23 would need to comply with new standards if they wish to continue operating. This could lead to the closure of nearly half of these businesses, as they would either need to relocate or cease operations altogether.

The conversation also turned to the financial implications of these cafes, particularly regarding taxation. Council members expressed interest in exploring ways to generate revenue from the machines used in these cafes, especially since the state legislature had previously revoked the ability for municipalities to require business licenses. The council is considering whether a local fee could be assessed on these operations, but legal uncertainties remain.

Councilman Walker pointed out that neighboring Wilson has found a way to generate tax revenue from similar businesses, prompting further investigation into their methods. However, the consensus among council members was to proceed cautiously, ensuring that any new fees or taxes are legally sound to avoid potential lawsuits.

Additionally, the council discussed the aesthetic impact of these cafes on the community, with Councilman Joy emphasizing the importance of maintaining a visually appealing landscape. The council is looking into existing land development codes that dictate landscaping and building positioning to ensure that new establishments adhere to these standards.

As the council continues to deliberate, the future of Internet cafes in Rocky Mount hangs in the balance, with potential changes that could reshape the local business landscape and revenue streams. Further investigations and discussions are expected before any official votes are taken on the matter.