Vienna in negotiations with marijuana entrepreneur for locating business facility at Coffey Industrial Park

Luara Schiermeier, Staff Writer
Posted 7/17/19

VIENNA — Members of the Vienna City Council say they want to be as transparent as possible with city residents but still have a lot of questions about a potential entrepreneur in …

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Vienna in negotiations with marijuana entrepreneur for locating business facility at Coffey Industrial Park

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VIENNA — Members of the Vienna City Council say they want to be as transparent as possible with city residents but still have a lot of questions about a potential entrepreneur in Missouri’s emerging medical marijuana industry locating in the city’s Thomas Coffey Industrial Development Park. 

At the city council’s July meeting, when asked about what the council members can and cannot tell the media who will inform the public, North Ward Alderman Tyler James said there is no agreement at this time and nothing has been signed with Hippo’s LLC. He said the city has an offer and they are negotiating back and forth. He added he thinks they are really close to making an agreement. At this time, “The ball is in our court,” he said.

South Ward Alderwoman Brenda Davis said they have nothing to hide. She has spoken to several citizens and told them what she knows, which is that Hippo’s LLC is or has applied for licensing to be a medical marijuana facility. The council members believe Hippo’s has applied for three to five licenses for cultivation and manufacture of medical marijuana. There is a large, 16,000 sq. ft. spec building at the industrial park that can be used if the company leases or purchases the 18-acre industrial park. 

Davis said medical marijuana was approved by voters last year and it is now a legal industry that is forming with the licensing. She said she has been telling city residents that the industry now is legal and that Vienna certainly could benefit from the new jobs. She said the main reason council members have kept this quiet is because there are variables they are uncertain about and they have no written agreement. Also, all of this is contingent upon the company getting a license from the state. Missouri has received about $3.9 million in licensing fees from companies and business entrepreneurs competing for the licenses in this new state industry. 

James said what Hippo’s LLC does will depend on the type of license the company gets and if Hippo’s LLC actually gets a license. He said the council wants to do whatever it can to not harm the company’s chances of getting a license, but they also realize the people have a right to know what’s going on in their town. 

Davis said there are three types of state licenses—cultivation, manufacturing, and dispensary. At this point the council members do not know which type was applied for by the company. Nor can the council say how many jobs or how much money the company owner will be investing in the project. James said the owner was optimistic, however. 

Davis said the state statute on the new medical marijuana industry is very specific and “tight” about who can and can’t work at these marijuana facilities. James said he thinks the jobs will need to pay well to draw workers. 

Davis commented it will be a good for the city if it brings people into the Vienna community, people who will purchase land and build homes, send their kids to school here, and pay taxes to the school and the county. However, there are a lot of unknowns right now with this possible location of a marijuana-type industry at the industrial development park. James said good jobs and more people paying taxes is what they all are hoping for. 

Davis said there is talk about this around town and is mostly coming from people who live outside of the city. “If someone asks me I will tell them what I know, which is not a lot,” she said. 

It was noted in the plans the council saw, there will be tight security with the marijuana facility with one entrance and a three-man shift of guards. 

In other business at the July Vienna City Council meeting:

• At least one city council member plans to attend a meeting about how to establish city ordinances for medical marijuana. 

• Mayor Jeremy Smith signed the rental agreement for the Vienna Senior Center, which uses the city’s building at the park. The senior center pays $25 a month in rent and maintains the building. Utilities Superintendent Shon Westart said the senior center board plans to have some work done to the ceiling and floors and may paint the walls. Davis said the city does not charge the senior center much for rent because the senior center provides a service to the community. 

• The council approved ordinance 19-02 amending the city’s budget for fiscal year July 1, 2018 through June 30, 2019. It includes amending the General Fund revenues from $317,550 to $335,332, and the General Fund expenses from $320,187 to $298,245. The Water Fund revenues were amended from $166,750 to $164,114, and the Water Fund expenses were amended from $145,652 to $137,607. The Street Fund revenues were amended from $97,500 to $102,308 and the Street Fund expenses were amended from $304,712 to $266,554. The Sewer Fund revenues were amended from $75,500 to $82,017 and the Sewer Fund expenses were amended from $221,136 to $208,660.

The city came in under budget in all of its funds and Davis complimented the city employees on being prudent with city funds.

• In talking about the current budget approved last month, Westart said he did not include any street paving in the budget. However, he has plans to paint the roof on the senior center building and on the youth building. The black paint includes a polymer epoxy in the paint. Also, the screws in the roof will be checked and sealed if needed. 

The new restroom/concession stand building previously discussed was not included in the budget for fiscal year 2019-2020. Davis commented the city has accomplished a lot over the last several years. James said the restroom/concession stand building is “on the back burner” and the council still would like to do it. Even if it’s not in the budget the city still could do the project but first will need a plan. 

• Westart said an environmental group contacted him about tearing down the old hat factory. He told them to come to a meeting, which is public. Davis said the city has no jurisdiction over the hat factory area because it is not city property. Westart said he can’t say where the EPA is with the hat factory project because he has not talked to the city’s EPA contact in about a year. 

• In the financial report, Clerk Sherry James reported cash fund balances: General Fund $65,943.66, Water Fund $37,986.36, Street Fund $38,859.87, and Sewer Fund $14,537.02.

Clerk James reported fund revenues and expenses year-to-date for June, which is the last month in the fiscal year: General Fund revenues $335,332.31 (106 percent of budget) and expenses $298,245.87 (93 percent of budget); Water Fund revenues $164,114.33 (98 percent) and expenses $137,607.60 (94 percent); Street Fund revenues $102,308.48 (105 percent) and expenses $266,554.33 (87 percent); and Sewer Fund revenues $82,017.23 (109 percent) and expenses $208,660.56 (94 percent).