BLACKSBURG -- Representatives from the arts community applauded the town council Tuesday for its support of a program to lure arts-related businesses to downtown.

The council approved an ordinance that establishes a downtown tourism district and incentives, such as rebates on some taxes and fees, for qualifying businesses. The ordinance is effective immediately.

Town officials say the program can help foster new businesses for vacant properties in downtown.

"Sounds like a good idea to me," Councilman Don Langrehr said about the ordinance.

Businesses that qualify for the incentives include fine arts studios, music or dance instructors and entertainment venues such as theaters or concert halls.

Lindsay West of The Lyric Council, the organization that oversees the Lyric Theatre, called the program a first step in developing some arts-related businesses in downtown.

Nancy Norton, president of the Blacksburg Regional Art Association, said the association "enthusiastically supports" the ordinance and what it can do for the area.

The tourism district boundary generally runs along Main Street from the old Blacksburg Middle School to Prices Fork Road.

A minimum $15,000 investment in building renovation is required to participate in the program.

The incentives include a graduated rebate of the business, professional and occupational license taxes over three years, a rebate of building permit fees up to $2,000 and a rebate of site plan and utility connection fees, according to a report to the council.

The rebates are available after a business has been in operation for one year.

In other action Tuesday:

• The council approved an ordinance to offer free fares for a limited time for the expanded Blacksburg Transit service in Christiansburg. The expanded Christiansburg routes begin Nov. 23, and riders can try them out for free through Dec. 31.

Last week, the Christiansburg Town Council approved the routes and fares for the service, effective Jan. 1. The Blacksburg council will also consider those fares Dec. 8.

• The council reviewed an ordinance that would make the town's Historic Design Review Board's recommendations mandatory, instead of advisory, when it comes to decisions about plans for new construction on a site where a historic building has been demolished, razed or relocated in the town's historic overlay district. The board is charged with maintaining the integrity of the historic district.

If an applicant disagrees with the board's recommendation regarding the plans, the applicant can appeal to the town council.

The council is expected to vote on the amendment Dec. 8.

The proposed change comes as a result of the council's January decision to deny a demolition permit for the old Taylor's Frames & Things building at 103 S. Main St., also known as the Bennett-Pugh House.

The case brought to light a loophole in the town code. If the council had overruled the Historic Design Review Board's decision, the code allows little regulation of what could replace it. Mayor Ron Rordam had asked the planning commission to draft new regulations that would give the board authority to modify or deny redevelopment proposals. The planning commission has since supported the idea of mandatory review by the board.

Tullio O'Reilly, a friend of the home's owner, Beverly Taylor, who said he was speaking on her behalf, said Wednesday that the house is still for sale.

O'Reilly said Taylor's "first desire is for the house to not be torn down" but that she has "exhausted herself at trying to find a solution."