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Select Board waives host community agreement requirement for ComCan; town will continue to receive sales‑tax share
Summary
After a history of five years of HCA payments from ComCan, the Select Board voted unanimously to approve a Host Community Agreement waiver form for ComCan; board members said regulatory changes and liability for invoicing make continuation impractical.
The Select Board unanimously approved a Host Community Agreement (HCA) waiver for ComCan Incorporated on May 19, ending the town’s option to continue a negotiated HCA for that retail cannabis operator.
A ComCan representative — who recused themself from the board’s consideration — described the company’s five years of payments under the original HCA and urged the board to approve a waiver given recent regulatory changes at the Cannabis Control Commission. The representative stated that, under the earlier agreement, the town received roughly $622,538 from the medical license and $1,457,550 from the adult‑use license over the five‑year term. The representative also described the town’s decision to take 3% of the state 20% sales tax and said that, when added together, Millis received about $4.175 million from ComCan across the five‑year period (figures provided by the speaker during the meeting).
Town counsel and the town administrator had reviewed the matter with staff and concluded there was no compelling reason to continue an HCA under current CCC rules, which now require towns to invoice vendors for any specific cost items and show a direct nexus. Board members said that process created administrative burdens and legal exposure; one member noted Uxbridge litigation that returned funds in a prior dispute.
A motion to approve the Host Community Agreement Waiver Form for ComCan was moved, seconded and passed unanimously. Board members said the town will continue to receive its share of applicable taxes under state law even without the local HCA.
