image description

Pittsfield Sells $28M Bond, Rates High For Bond Credit

By Brittany PolitoiBerkshires Staff
Print Story | Email Story

PITTSFIELD, Mass. — The city of Pittsfield sold a large bond for financial health and scored the highest possible rating by a municipal bond credit rating agency.

Last week, the city sold a $28,420,000 bond. The transaction includes refinancing of $10 million of older bonds that will provide gross budget savings of $1,049,382 for the city over 10 years and support various municipal projects.

Projects in the borrowing include the Tyler Street Streetscape Design for $200,000, Clapp Park improvements for $355,000, Springside House exterior renovation for $400,000, and the Tyler Street and Woodlawn Avenue intersection design at $185,000.  

In a press release, Finance Director and Treasurer Matthew Kerwood said taking advantage of these refinancing opportunities are key components in controlling the city's debt. Bond proceeds will refinance city bonds originally issued March 1, 2008, Oct. 1, 2010, and Jan. 15, 2011.

This type of refinancing is a common occurrence and supports the city's debt management strategy.  The bids for the bonds and notes were accepted in Boston at the offices of the city’s Financial Advisor.

Kerwood explained that the city also issued $7 million in bond anticipation notes along the way in separate transactions that are a part of the larger bond. These are short term, interest-bearing security issues in advance of a larger, future bond issue.


"We do this as a regular thing, sell bonds and bond anticipation notes in a cycle doing an issuance in February and then an issuance in June," Kerwood said. "When we do bond anticipation notes, those are like short-term loans, and then when those loans mature we either roll them or we ultimately then take out a long-term loan which again is through the sale of a bond."

In addition, the city is scoring high in bond credit ratings.  

Municipal bond credit rating agency S&P Global Ratings cited the city's "strong budgetary flexibility, very strong liquidity, and strong institutional framework" as positive credit factors. Because of this, Pittsfield was rated an "A-plus" underlying bond rating by the agency and assigned the highest short-term rating: Standards & Poor's plus-1 to the notes.  

S&P Global Ratings also assigned the "AA" enhanced rating to the bonds as debt service is secured by the State Qualified Bond Act local state aid intercept program.

This confirms the city's sound financial stance, Kerwood said, and is reportedly why the city is able to attract quality buyers to the bond issuances.  


Tags: bonding,   

If you would like to contribute information on this article, contact us at info@iberkshires.com.

Pittsfield Celebrates Robert 'Bob' Presutti on Arbor Day

By Brittany PolitoiBerkshires Staff

Bob Presutti, right, is presented the Hebert Award in 2017 for his volunteer efforts at Springside Park. He died in 2023 at age 88.

PITTSFIELD, Mass. — A tree has been planted next to the Berkshire Athenaeum in honor of local "giant" Robert Presutti.

Officials celebrated Arbor Day on Friday by installing a commemorative plaque next to the American elm sapling. This is a tree that James McGrath, the city's park program manager, said Presutti would have been particularly proud of.

"Today is a day where we yes, celebrate trees, but today is also a day where here in the city we intentionally try to acknowledge the good work of folks in our community who spend their time and their efforts and their talents to make Pittsfield a more beautiful place," he said to a crowd of about 20 people.

"Today we are honoring a longtime community volunteer named Bob Presutti. I'm sure a lot of you here know Bob and know his contributions to the city, not only when it comes to trees and parks but also to the Retired Senior Volunteer Program."

The longtime volunteer passed away last year at the age of 88. He contributed more than 10,600 hours to RSVP and had great impacts on the Parks Department over the years from sharing his knowledge and talents to ensuring that workers were safe when working on trees.

"This morning I went through my emails to see how many emails Bob Presutti sent me since the year 2001 when I started with the city. Bob Presutti sent me 14,000 emails and nearly every single one of those was about trees," McGrath said, prompting laughter and smiles from attendees.

One thread struck him as particularly important because it showed Presutti's empathy when it comes to the safety of city workers while caring for trees.

"There were multiple emails from Bob about the need to get the Parks Department maintenance guys into a program learning about chainsaw safety and learning about ladder safety. He was really into making certain that our city workers were well cared for and had all of the instruction that they needed and in fact, he even offered his own time and services after he became certified to teach our city workers," McGrath said.

View Full Story

More Pittsfield Stories