3 Cannabis Stores Threaten To Sue Newton

NEWTON, MA — Three marijuana dispensaries have threatened to sue the city if it does not refund community impact fees the businesses have paid throughout their years of operation.

Garden Remedies on 697 Washington St., Ascend on 1089 Washington St., and Redi on 24 Eliot St. all pay the city as part of their host community agreements, which all began within the last six years.

“These host community agreements are a requirement under state law in order for marijuana businesses to obtain a state license and conduct business in any city or town,” Mayor Ruthanne Fuller said. “Under state law and through these HCAs, cities and towns collected community impact fees of up to three percent of each business’s gross sales.”

According to Fuller, all three establishments fully agreed to the costs originally and acknowledged them as reasonable and described the lawsuit as outrageous. Ascend and Redi have ceased making payments to the city. The businesses are arguing that appropriate updates were not made to their agreements after changes to the state law took effect in 2022.

The community impact fees have reportedly been used to fund entities such as the police department, school district, and public works.