Agawam City Council votes in favor of marijuana zoning ordinance change

Dec. 15, 2020 | Ryan Feyre
rfeyre@thewestfieldnewsgroup.com

AGAWAM – In a 9-1 vote during the Dec. 7 meeting, the Agawam City Council voted in support of a zoning ordinance amendment to allow the manufacturing of marijuana in town.

The change in the law was requested by Debilitating Medical Conditions Treatment Center Inc. (DMCTC) next to the South End Bridge. The proposed medical dispensary, which signed a host agreement back in 2017 that would allow them to sell medical marijuana, told town officials that a manufacturing business would make their location more profitable.

During a Planning Board public hearing on Dec. 3, Stephen Buoniconti, Agawam’s town solicitor, explained how under the current terms of DMCTC’s current host agreement, the dispensary would have to pay the town $125,000 per year, or 3 percent in gross proceeds. If a manufacturing business is added, than those numbers would increase, thus allowing them to survive as a business.

“We often sit up here every time this time of year saying we have to look for other sources of revenue so that we can do our best to try to lessen the impact of the real estate tax burden on our residents and our businesses,” said Christopher Johnson, president of the city council. “I think it’s foolish on the part of the town of Agawam to look the other way when a significant source of revenue can come into this community by way of what is like any other manufacturing business in town.”

According to Councilor Paul Cavallo, Massachusetts is one of 10 states where recreational marijuana is legal. However, this new ordinance does not mean that Agawam can sell recreational marijuana. The city can only use recreational marijuana for wholesale.

The city council passed an ordinance last December that prohibits marijuana businesses, with the exception of medical ones, from opening.

During his argument, Cavallo brought up the idea of revenue, and stated that DMCTC could possibly make  up to $400,000 or $500,000 a year in tax dollars for the city.

“This is probably going to spiral into a big industry over a period of years, where it can really reap some big rewards,” said Cavallo.

Councilor Dino Mercadante, who was also in favor of the ordinance, argued that DMCTC’s location will not be detrimental to the residential community at large.

“It’s manufacturing, which is good, because it creates some jobs,” said Mercadante. “And also the location … it’s not going to be intrusive to Agawam proper. Everything that comes into that facility is going to go out of that facility, and out of town.”

Another point brought up during this discussion was the idea of obtaining medical marijuana cards, and how much easier that has become, according to Councilor Mario Tedeschi.

“Instead of going up to Northampton or wherever, people will just find it easier,” said Tedeschi. “You can get your medical marijuana prescription, and then they offer you discounts.”

Despite this argument, Tedeschi was another member of the council who supported this ordinance.

The only member to oppose this ordinance was Councilor George Bitzas, who argued that his personal beliefs kept him from supporting the manufacturing of marijuana in Agawam.

“The people of Agawam … they just voted against retail,” said Bitzas. “Now we go around them, and vote in favor of wholesale. That bothers me.”

In order for this law to officially take effect, the council must confirm its vote in a future meeting.

The council also voted unanimously to slightly raise property taxes in order to retain Agawam’s current split between residential and commercial property tax rates.

During her presentation to the council, Assessor Carolyn Reed emphasized how the average value of a single-family home in Agawam has increased by $5,000, which means the average residential tax burden will rise by $85. A business will see its tax burden increase by $61, depending on how much their value has increased.

“I sympathize with those who are still struggling to have their businesses survive, and those who are still struggling to pay the residential side of their bills,” said Councilor Anthony Suffriti.

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