City board OKs build district ordinance, tackles issues of marijuana legalization in Virginia

Nov. 15—BLUEFIELD — The Bluefield Board of Directors approved an ordinance Tuesday that provides incentives for new housing construction in the city, while also grappling with the issue of legalized marijuana in neighboring Virginia that may be transported into the city limits of Bluefield.

The board also recognized the Bluefield Middle School football team for its undefeated season. All of the students from the team were in attendance at Tuesday's meeting, and received individual certificates from the board honoring them for their perfect season.

On the issue of recreational marijuana being legalized in Virginia, the board approved the first reading of an ordinance that would remove the incarceration penalty for anyone caught transporting 15 grams or less of marijuana into a city street in Bluefield. The state line border runs through the city with motorists crossing into West Virginia and Virginia on a daily basis.

City Attorney Anthony Heltzel said the ordinance is being proposed because Virginia has legalized marijuana.

"Stadium drive for instance — some of our roads that weave in and out of West Virginia and Virginia — it poses a potential problem if they are transporting," Heltzel said. "This does nothing more than remove the incarceration. The fine penalties are still there. And it is only for 15 grams of marijuana or less."

Mayor Ron Martin said the ordinance was proposed under the advisement of Bluefield Police Chief Dennis Dillow, the city judge and the city attorney.

"Because of our roadways and what is going on in Virginia, we felt it necessary to do this," Heltzel said.

Anyone caught with large possessions of marijuana in the city would still be prosecuted, according to Heltzel.

"These are just small amounts of marijuana," Heltzel said of the 15 grams or less included in the proposed ordinance.

The ordinance must still be approved by the board on a second reading.

The Virginia General Assembly voted in 2021 to legalize marijuana for adult recreational use, but retail sales of the legalized marijuana aren't scheduled to begin until January 2024. Under the law, possessing up to an ounce (28.3 grams) of marijuana is legal in Virginia.

On the housing issue, the West Virginia Build Act Exemption ordinance was approved by the board on a second reading.

It would provide incentives, including a temporary exemption from the city's business and occupation tax and the city's sales tax for goods that are purchased for new housing units that meet the guidelines of the West Virginia Build Act. Those guidelines include a $3 million project or a housing project with six units or more.

"Mainly this is to basically entice developers to come in and build," Heltzel said. "If there is a waiver of the business and occupational tax it may be more attractive to builders who are wanting to basically lease townhouses so to speak. But it is completely voluntary."

Renovations or repairs that meet the guidelines of the build act would also qualify for the exemptions.

The city of Bluefield is partnering with the city of Princeton on the West Virginia Build Act plan. Heltzel said the city of Princeton has already passed a business and occupational tax waiver and a sales tax waiver with a goal of creating a build district 20 miles within any direction of Princeton.

"The purpose of the Build West Virginia Act is to basically establish more middle income or business professionals and middle class residences which are very lacking in the state of West Virginia and abroad," Heltzel said. "So the sales and service tax exemption would waive all sales tax for goods that are purchased. In order to qualify it has to be a $3 million project with six units or more. And there has to be approval from the West Virginia Build Act board.

The waiver of the city fees would sunset on Jan. 1, 2028, but the city board could opt to renew the build district designation at that time.

"I think we certainly need to encourage people to build here in the city if they have a desire to do that," Martin said.

The board also approved the first reading of an ordinance Tuesday that increases the fee for electrical and plumbing inspections in the city from $50 to $125 and establishes a master electrician who will complete those inspections for the city.

"The city manager is basically wanting to establish a city electrician for these inspections," Heltzel said. "We are looking for someone who is more of a permanent electrician who can provide reliable inspection reports. However, the electricians in the area are charging roughly $100 for an inspection. In order for the city to recoup that money, this ordinance would modify it from a $50 fee to a $125 fee. The additional $25 is for administration costs."

In other action, the board agreed to extend Heltzel's contract as city attorney, authorized the Bluefield Sanitary Board to begin preliminary discussions with an engineering firm on the proposed Union Street Collections System Upgrade Project; approved demolition bids for five additional dilapidated structures in the city; and approved a proclamation honoring retired Command Sgt. Major Rusty Lane for his service to the city and community.

— Contact Charles Owens at cowens@bdtonline.com

— Contact Charles Owens at cowens@bdtonline.com. Follow him @BDTOwens