Appears pretty easy. Documentation at http://velocity.apache.org/engine/devel/developer-guide.html#Configuring_Logging states to create the runtime.log property. This is what I acquired for those my qualities.

velocityEngine.setProperty(RuntimeConstants.FILE_RESOURCE_LOADER_PATH, templatesPath);

            velocityEngine.setProperty("runtime.log", "/path/to/my/file/velocity.log");
            velocityEngine.setProperty("resource.loader", "string");
            velocityEngine.setProperty("string.resource.loader.class", "org.apache.velocity.runtime.resource.loader.StringResourceLoader");
            velocityEngine.setProperty("string.resource.loader.repository.class", "org.apache.velocity.runtime.resource.util.StringResourceRepositoryImpl");

Not coming up with any log file where I told it to put it and rather locating the new errors place into old (folder of initialization) location. Any ideas? :D