Pittsfield Local Receipts Trending High, Cannabis Revenues Dropping

By Brittany PolitoiBerkshires Staff
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PITTSFIELD, Mass. — Halfway through fiscal 2023, the city's collected more than 50 percent of its projected receipts and seems on track to take in more than expected.

"I think we are tracking in a way where local receipts will yet again exceed the actuals, will exceed our estimates," Finance Director Matthew Kerwood reported to the Finance subcommittee on Thursday, adding that this is one of the ways that free cash is generated.

Some $6,604,208 was collected by the end of the second quarter on Dec. 31, 51.4 percent of the estimated total of $12,845,725.  Free cash is now at more than $17 million, up from around $5.3 million in fiscal 2021.

These receipts, which include meals and hotel/motel taxes, plummeted in fiscal 2021 due to the pandemic but have been rebounding since.  

A couple of years ago, cannabis tax dollars surpassed expectations due to a boom in new dispensaries. But market saturation is bringing prices down and revenue numbers are now dropping.

Of the estimated $800,000 in cannabis tax, $332,491 was collected by the end of the second quarter, representing 41.6 percent.  

"When you're the only game in town you can charge $300, I'm just making that up, but when there are four players in town, the price point is going to fluctuate," Kerwood said.

There are about seven dispensaries in the city including Temescal Wellness, Berkshire Roots and Bloom Brothers.

Kerwood said he may have to make adjustments downward in that local receipt if the trend continues to happen.

Twenty-five percent of cannabis revenue goes into the public works stabilization account that was created in 2019, 25 percent goes to the stabilization fund, and 50 percent goes to the general fund.


The stabilization fund currently totals $5,148,695, the public works stabilization fund $255,670, and there is $17,130,565 in free cash certification as of Dec. 15.

During the meeting, the subcommittee voted against transferring and appropriating $2 million from certified free cash to the general stabilization account and transferring and appropriating $2 million from certified free cash to the Other Post-Employment Benefits trust account.

They did vote in favor of transferring $2 million in free cash to the public works stabilization account.

Council President Peter Marchetti suggested putting the additional $2 million into public works over the general stabilization account because it will still make more money in investment and can be used to purchase new equipment or do additional road work.

Kerwood also pointed out expenses to watch, which included a 123.2 percent spending of the $800,000 budget for winter maintenance and overtime. 

"This is as of Dec. 31, so anything associated with the Christmas storm would not be part of this expense," he explained.

"But between the two accounts, it's $800,000, there [was a] $3,150 budget adjustment. As of Dec. 31, what had been spent was $486,687. There was another $503,204 encumbered as of Dec. 31, which if you take what has been actually been spent in the encumbrance, it is at 123 percent."

Under state law, this is the only account that can be deficit spent.


Tags: fiscal 2023,   pittsfield_budget,   

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Prospect Meadow Farm Opens New Vocational Barn

By Breanna SteeleiBerkshires Staff

A charcuterie board at the event displays fare from some of the regional producers.

PITTSFIELD, Mass. — Prospect Meadow Farm last week officially opened a new barn to sell plants and other goods it produces.

Prospect Meadow Farm Berkshires is an expansion of ServiceNet's first farm in Hatfield that has provided meaningful agricultural work, fair wages, and personal and professional growth to hundreds of individuals with intellectual and developmental disabilities since opening in 2011. 

The Berkshires farm opened on Crane Avenue two years ago and has now introduced a new vocational and unwinding space for the more than 25 farmhands who get paid a minimum wage.

"This is a facility for our folks who work on the farm to learn additional skills and do additional work," said Vice President of Vocational Services Shawn Robinson at the Friday event. "So we have a food packaging space, we've got a walk-in cooler space, we've got a floral design space, we've got a farm store room for staff, lunch room, and then a meditation room that we're standing in now, which is when you're having those hard moments and you need to get away from everything.

"This is going to be a peaceful place you can find and sort of find some comfort, and then hopefully get back to work."

The barn was built by funds from the state Executive Office of Economic Development and the state Department of Agricultural Resources that equated to around $600,000, with ServiceNet contributing around the same amount. The structure took over a year to build.

The state's Department of Developmental Services Commissioner Sarah Peterson spoke on how meaningful this farm and ServiceNet is to her and that this place is important to those who need it.

"Places like this are so crucial because they create opportunities for people living with disabilities that aren't plentiful," she said. "People living with developmental and intellectual disabilities have an unemployment rate over 25 percent five times the rate for people without disabilities, even more jarring is under appointment, which is at 80 percent. That means that four out of every five people with disabilities earn below market rate wages and have limited upward mobility.

"The building itself is really impressive, but what you're really seeing here is the result of vision. It's about opportunity, it's about community, and it's founded in the belief that every person deserves the chance to learn and work and contribute to thrive under the leadership of ServiceNet."

One aspect of the barn will be the market where produce from the farm and other local growers will be sold as well as keeping the tradition of Jodi's Seasonal, which previously occupied the location, alive with plant sales. The market will be open Monday through Saturday from 10 a.m. to 3 p.m.

"Everything you see in terms of the tomatoes, the fresh produce, that's all done with the hands of our farm hands here, individuals with disabilities who get out every single morning, get in those greenhouses, put their hands in the dirt, and make all of this happen, and this is just the start," said Robinson. "This farm is a little over a year old at this point, but give it another two years, and we hope to be growing enough food to share throughout the Berkshires."

Robinson said the farm is focused on local food security, recently partnering with the Hatfield Council on Aging and planning to work toward making enough food to partner with places in the Berkshires.

He said the barn serves the Hatfield farm and what the employees here needed.

"We've been able to learn the needs of the farm hands who work there and so we have learned that they need a comfortable break space for those times where it's hard to be out in the fields, we've learned that a quiet space for when you're going through something you need to be away from people are key, and then also we have a small farm store in Hatfield, but we've seen increasing interest in retail work from our participants, so we thought it was time for a larger-scale farm store," he said.

Robinson noted that Prospect Meadow Farm has helped the individuals working there feel valued and head.

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