Agawam Mayor Richard Cohen announced an agreement with MGM casino on Friday.
The Surrounding Community Agreement guarantees $2,375,000 over the course of 15 years assuming MGM is granted a license. MGM was the sole casino in Western Massachusetts approved by voters in Springfield.
Other parts of the agreement included MGM paying for legal and consulting expenses incurred by Agawam for studying the impacts and negotiation of the agreement.
Additionally, Agawam could be paid additional money if a consultant determined the casino was causing adverse affects in town. That consultant would be agreed on by the town and MGM. A study would be conducted after one year of operation and after five years.
One of the most important provisions, according to Cohen, was what he called "favored nations" clause. The provision states MGM would not enter into a more favorable agreement with another abutting community.
Cohen said the entire process with MGM was very friendly and transparent. He also said it was in the best interests of everyone to work together.
Springfield Mayor Domenic Sarno said the agreement shows that MGM has been very genuine in their commitment, not only to Springfield but to the surrounding communities.
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