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Hampden Care Facility is planning a medical marijuana dispensary at this building at 606 Cottage St., subject to approval of its host community agreement by the City Council.

(Submitted photo)

SPRINGFIELD -- The City Council on Monday will once again consider approving a host community agreement for a medical marijuana dispensary in East Springfield that has caused some councilors to object to a clause that may give the company an exclusive long-term contract.

The council meeting begins at 7 p.m. at City Hall and will also include several public hearings regarding business requests for special permits.

Hampden Care Facility Inc. is proposing the medical marijuana dispensary at 506 Cottage St., and negotiated a host community agreement with city officials on behalf of Mayor Domenic J. Sarno.

Council President Michael Fenton said the council is doing its "due diligence," and continues to have concerns about one company having exclusive rights to operate a dispensary in the city for a prolonged period of time.

"The concern has been exclusivity and the length of exclusivity," Fenton said. "That will continue to be the focus of the council on Monday."

The agreement spells out guidelines and conditions for the marijuana facility, including annual payments that will be made to the city and security provisions. The original proposal called for the city not to support any other dispensaries in Springfield for a 10-year period.

At a recent meeting, company officials said they would be open to reducing that negotiated term to five years, with the option for a five-year renewal, but with lower annual payments to the city for sacrificing the security of a 10-year agreement.

Sarno said his goal is "to get those who are suffering the medical relief they need ASAP."

"I am hopeful that our City Council renders a decision to help those individuals and families in need ASAP," Sarno said. "Also, if another dispensary is proven to be needed, we have the proper avenues in our agreement to address such concerns."

During a subcommittee meeting, several councilors either objected to the five-year period of exclusivity as still being too long, or objected to the reduced payments, or both.

Under the host community agreement, the company would give a percentage of its gross revenue to the city as an annual payment. Under the 10-year term, the amount would begin at 3 percent of the gross revenue and rise gradually to 7 percent.

Under the shorter term, the amount would be reduced by 1 percentage point, officials said.

There are also payments made annually to the Police Department and to the East Springfield and Indian Orchard neighborhood councils.