Wilbraham Fire Chief Francis Nothe said he believes the agreement with MGM Springfield is the best the town could hope for.
WILBRAHAM — The Board of Selectmen on Thursday night signed an agreement with MGM Springfield that would give the town $100,000 per year for 15 years for impacts from the proposed $800 million Springfield casino.
The agreement also provides that in the first and fifth years of the casino operation, the town would receive a $100,000 consultant fee to examine whether the financial impacts to the community from the Springfield casino are larger than $100,000.
Jonathan Silverstein, an attorney hired by the town to negotiate the agreement with MGM, said the town should be vigilant about documenting any impacts on traffic, school population and public safety so it can seek additional payments from either MGM or the state.
“This is the most protective contract we could negotiate,” Silverstein said.
Selectmen Robert Russell said the proposed Springfield casino is expected to generate $400 million in revenues per year and $100 million in taxes to the state.
From that the state will have an annual mitigation fund of $6.5 million, he said.
There will be money available for the surrounding communities to seek mitigating funds for unanticipated impacts, Russell said.
“What if MGM fails?” Selectman Robert Boilard asked.
MGM representative Dennis Murphy said that MGM is a Fortune 500 company and bases its decisions to build on marketing opportunities. MGM continues to feel confident about the Springfield location, he said.
Fire Chief Francis Nothe, who served on the negotiating committee for the town, said he believes the agreement is the best the town could hope for. Nothe said Wilbraham should experience less traffic impacts than some of the other surrounding communities.
Russell urged MGM to be a good neighbor. He said Wilbraham residents are not only MGM’s neighbors, but also potential customers.
Russell said he is very concerned about the impact of the proposed casino on the small business community, including restaurants, on Boston Road.
Other communities which have approved mitigating impact agreements with MGM Springfield are Ludlow, East Longmeadow and Agawam.
Longmeadow continues to negotiate with MGM.