Fall River couple accuses Fall River of pay-to-play concerning marijuana agreements, Coogan disagrees

A Fall River couple accused city officials Monday of a pay-to-play concerning their proposed marijuana cultivation business.

Joseph and Stephanie Merkt stated at a special budget City Council meeting during citizens input that they were asked to pay $25,000 in fees for a host community agreement.

The Merkt’s stated that they have filed two applications and have gotten nowhere. They also allegedly had their non-refundable $2,500 deposit refunded after pointing out issues with the application format.

Joseph alleged that the paperwork involved a non-existent Fall River Cannabis Commission that led to an “escalation” with Mayor Coogan.

An emotional Merkt, who is afraid of retaliation, stated that he refused to pay the $25,000 and feels he would have the agreement if he had.

Stephanie stated that a friend suggested the Merkt’s make a donation to Coogan’s campaign. After not hearing from the city for some time, she received a call a half hour later to make an appointment after making a $250 donation.

The Merkt’s were reportedly told in an e-mail that the City of Fall River was temporarily suspending applications for a minimum of 90 days after they received a refund of their deposit.

City Councilor Shawn Cadime put in a resolution for next Tuesday’s meeting to get an update on marijuana applications and the process.

Cadime wanted dialog with the administration during Monday’s special budget meeting, however, no-one from the administration was in attendance so he requested their appearance at the Tuesday meeting in addition to a lawyer from KP Law.

City Councilor Bradford Kilby was uncomfortable with the words pay-to-play being used based on allegations and accusations.

In an interview on Fall River Raw on Tuesday, Coogan disagreed that pay-to-play was happening concerning marijuana agreements in Fall River.

Coogan stated that Fall River has set up a panel of 5 people headed by Ken Fiola with fee structures depending on the type of marijuana business. Coogan also said the deposit fee of $2,500 and the $50,000 is in line with other communities. The application fee of $50,000 and the $2,500 deposit goes to the city’s coffers. He stated that he told the Merkts that they were going to be the first to go through the panel and be the guinea pigs. The $2,500 check was not made out to himself or Fiola, according to Coogan. When pressed about why Fiola was heading the panel, Coogan stated that Fiola has the best handle on the economics of Fall River. “In the economic world of Fall River, whether you like him or dislike Ken, he knows A to Z. Right now he is working on two proposals in the industrial park. He obviously was a key ingredient in bringing both Amazon and the SouthCoast Plaza here.”

Coogan believes that having a panel make the decisions is better than just one person making decisions. The Panel consists of City Councilor Trott Lee, Police Chief Jeff Cardoza, Director of Health and Human Services Tess Curran, Physician Assistant Tom Hopkins, and Fiola.

Coogan stated that the deal went wrong when Ponte called the Merkts and told them that there was no Fall River Cannabis Commission which led to the Merkts calling Coogan. The Mayor went on to say that despite trying to tell the Merkts what was taking place, the seed was already planted in their minds. After Corporation Counsel Rumsey became frustrated with the Merkts, the City mailed their check back.

Coogan stated that the Merkts will not be given a host community agreement after the recent developments.