Haverhill’s first cannabis retailer is getting back about 70% of its disputed “community impact” fees from the city after both sides filed a “Stipulation of Dismissal” Friday with Essex County Superior Court in Salem. The agreement, which WHAV obtained Tuesday, settles Haverhill Stem’s suit brought in April of 2021 against both the City of Haverhill and former Mayor James J. Fiorentini. Owner Caroline Pineau filed suit about a year after opening, demanding Haverhill “provide the required documentation and substantiate the (impact) fee.” Stem argued the store had not made more of an impact on the city than any other kind of business. While Stem, of 124 Washington St., Haverhill, made community impact fee payments to the city totaling about $887,488, the settlement calls for Haverhill to return $612,500 without interest or reimbursing Stem for the cost of its lawyers. The refund must be paid within 30 days.
Business Bulletin
Stem’s ‘Blast in the Grass’ Golf Tournament Raises $10,000 for YWCA
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Haverhill Stem’s “Blast in the Grass” golf tournament last week helped raise $10,000 for the YWCA Northeastern Massachusetts, dedicated to combating violence and racism in Greater Haverhill. Stem, a cannabis retailer, hosted more than 200 guests Aug. 5, at Renaissance Golf Club in Haverhill for a day of golf and charity, celebrating women shaping the nation’s cannabis industry. “I am so thrilled with everyone who stepped forward to make this event so special and meaningful, particularly for the money raised to help a truly wonderful organization that works day in and day out to address violence and racism,” Stem owner and tournament organizer Caroline Pineau said. “This event showed, once again, that the cannabis industry—and in particular women cannabis entrepreneurs—are at the forefront of business social awareness and responsibility.”
The day of golf featured an LPGA-led clinic to help improve the skills of players at every level.
Cannabis
Judge’s Rulings This Week Limit Both Sides on Stem Impact Fee Suit Against Haverhill
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Heading into trial, a Superior Court judge may well have shaped the future outcome of a dispute over “community impact fees” the City of Haverhill has assessed against a cannabis retailer over the last four years. Superior Court Judge Jeffrey T. Karp, in a Monday decision, refused Haverhill-based Stem’s request to immediately decide in its favor that city fees are overinflated and lack proof, while also saying Haverhill must properly account for any increased cost to the city by hosting cannabis businesses. Further, the judge knocked down one of Haverhill’s key arguments, deciding “marijuana use and abuse educational programming” is not a cost solely related to Stem. Karp left open the possibility that Haverhill could proportionally assess educational expenses against all cannabis retailers. Karp was also clear that legislative changes made since Haverhill and Stem entered into a state-mandated host community agreement in 2018 do not apply retroactively.
Cannabis
Cannabis Legalization Set for Negotiations After Frustrations Among House Supporters
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by Ethan DeWitt, New Hampshire Bulletin
May 30, 2024
The New Hampshire House voted Thursday to send a marijuana legalization bill to further negotiations, after cannabis supporters voiced deep frustrations with changes to the bill by the Senate. In a 261-108 vote, the House requested a “committee of conference” with the Senate to help bridge disagreements over how the state should regulate retail cannabis. Later Thursday, the Senate agreed to the committee. The bill is the primary legislation this year to legalize cannabis, a year after Gov. Chris Sununu said he would sign a cannabis legalization bill that met certain conditions. Both the House and Senate versions of the bill would allow people 21 and older to possess and consume cannabis in New Hampshire.
Cannabis
Councilors Approve Policy Aiding Some Cannabis Applicants, Confirm Deliveries Possible in Haverhill
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Last night, Haverhill city councilors approved their version of a state-mandated policy that aims to get cannabis store licenses in the hands of business owners incarcerated due to the federal government’s so-called “War on Drugs” or otherwise negatively impacted by it. People who fall into this category do not automatically get permits and must still go through an application process. Assistant City Solicitor Matthew D. Provencher informed councilors Haverhill previously opted in to cannabis delivery services, answering a question raised at a subcommittee meeting where the final policy was drafted, as WHAV reported. Brick-and-mortar businesses operating in Haverhill—there are currently four and none of them deliver—must renegotiate their licensing agreements with the city if they want to start. Council Vice President Timothy J. Jordan protested that cities do not receive tax revenue from deliveries brought in from outside.
Cannabis
City Lawyer: State Law Allows Cannabis Deliveries to Haverhill Homes from Out-of-Town Outfits
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Delivery of cannabis to Haverhill homes from out-of-town is allowed under state law, the city solicitor says, but local stores may not make such deliveries until they first negotiate terms in their host community agreements with the city. At least that appears to be the opinion of City Solicitor Lisa L. Mead in a letter to the Haverhill City Council dated last Thursday. Councilors will formally hear the view during talks tonight on a state-mandated “social equity” policy that promises added benefits for shop applicants “disproportionately impacted by the War on Drugs.” The state requires the city to have a policy in place by May 1 or face penalties. Councilors are expected to hear recommendations from its Administration and Finance Committee that suggested changes to a draft policy during a meeting last week. One of the provisions, that qualifying applicants have “exclusive access” to delivery licenses for three years, brought concern by Councilor Melissa J. Lewandowski.
Cannabis
Haverhill Workshops Policy Helping Those Most Impacted By ‘War on Drugs’ Get Cannabis Shop Permits
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As the state enacts legislation aimed at giving cannabis shop permits to those most negatively impacted by the, so-called, “War on Drugs,” Haverhill officials are facing a state deadline to decide how the city will support such applicants. According to a draft of Haverhill’s social equity policy, conditions to qualify include that a majority of a business’s owners have previous cannabis-related convictions, live in an “area of disproportionate impact,” meet certain income requirements, or have descendants from particular minority groups. These were specified as “Black, African American, Hispanic, Latino or Native American or indigenous.”
In an email to the City Council’s Administration and Finance Committee workshopping the policy, Councilor Melissa J. Lewandowski said the document should make clear belonging to the group prioritized by the state does not “guarantee” an applicant a license. With the state’s Cannabis Control Commission—or CCC—having set a May 1 deadline, councilors and City Solicitor Lisa L. Mead discussed at a Monday meeting whether to include sections on cannabis delivery businesses and community impact fees. Lewandowski raised concerns about whether to give applicants “exclusive access” to delivery licenses for three years because the city has yet to make specific legislation about the service.
Cannabis
Judge Karp Says Recent Cannabis Reform Law Probably Won’t Apply to Haverhill Retailer’s Case
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At an Essex County Superior Court hearing yesterday, Judge Jeffrey T. Karp said he was leaning toward rejecting Stem Haverhill’s claim that a 2022 change to state cannabis law should apply retroactively to the business’s 2018 agreement with the city. To operate in Massachusetts, recreational cannabis retailers must first create agreements with their host communities. Part of Stem’s agreement with Haverhill included certain fees to offset costs the city alleges are caused by the business’s existence. Those charges, totaling $887,488 over the past three years according to a July 2023 Stem press release, are the subject of a civil suit the shop filed in 2021. Stem owner Caroline Pineau told WHAV, “While our overriding hope was that Haverhill officials would follow the actions taken now by so many other municipalities, who have recognized that, indeed, legal cannabis presents no negative impacts, and have returned impact fee payments collected without evidence or justification, sadly, Haverhill did not do this, and the case is moving forward in court.”
Before hearing the trial, Karp asked both sides to help resolve five basic questions of law.
Cannabis
Northern Essex Community College to Host Free Cannabis Industry Insights, Career Expo Wednesday
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Northern Essex Community College is having a free career fair Wednesday for those wishing to learn more about the cannabis industry. Called, “Cannabis Industry Insights and Career Expo: Cultivating Your Future,” the event features local cannabis pioneers and executives who have shaped the industry and who will share their journey, discuss current trends and offer advice. There will also be opportunities to network and chat with local companies about their unique roles and career opportunities. Employers attending will be presenting a variety of opportunities for job seekers, including entry-level, experienced and career changers. The Insights and Career Expo takes place Wednesday, Sept.