Mohegan Sun Guarantees Medford up to $700,00 Annually and the Funding of a $450,000 Study of Wellington Circle
Mayor Michael J. McGlynn announced today that the City entered into a Surrounding Communities Agreement with Mohegan Sun that mitigates many of Medford’s concerns resulting from a proposed casino in Revere, MA.
This agreement addresses a litany of issues that could effect Medford. It contains provisions for job opportunities, a study of Wellington Circle and business opportunities for Medford merchants. It also allows for future adjustments. “I compliment Mohegan Sun’s Attorney, Jeffrey Mullan, on the professional manner in which he worked with the City to address the complex issues of mitigation” said the Mayor.
Beginning on July 15, 2017 and on an annual basis the Developer shall pay to the City Six Hundred thousand dollars ($600,000) as an Annual Impact Payment, which will be increased based upon gross gaming revenue (“GGR”) on the following conditions:
– For GGR between $850,000,001 and $925,000,000, the payment increases to $625,000;
– For GGR between $925,000,001 and $975,000,000, the payment increases to $650,000;
– For GGR between $975,000,001 and $1,000,000,000, the payment increases to $675,000; and
– For GGR above $1,000,000,001, the payment increases to $700,000.
If, at any time after the end of the initial or subsequent term of the License, the GGR is reported at greater than $1,000,000,001 for two consecutive years, the Parties will negotiate an adjustment to the payment.
The Developer will study traffic mitigation solutions at Wellington Circle in cooperation with the City. The Developer will expend approximately $450,000 on the study.
The Developer will use reasonable efforts to promote the City’s hotels, restaurants, arts, entertainment and cultural institutions.
Annually the Developer will utilize its best efforts to purchase Fifty Million Dollars ($50,000,000.00) in goods and services from vendors within a 15 mile radius of Revere and will hold annual vendor fairs.
The Developer will support the City’s requests for funds from the Community Mitigation Fund.
The Developer shall use reasonable efforts to ensure that at least seventy-five percent (75%) of the permanent workforce for the Project shall be individuals who reside within a fifteen (15) mile radius of Revere. The Developer will use its best efforts to open employment opportunities for minorities, women, veterans, and other.