City of Revere $11,234,522 general obligation bond anticipation notes weighted average net interest cost 3.2876%

City of Revere CFO reports competitive bids from note underwriters

Special to The Advocate

City of Revere Chief Financial Officer Richard Viscay announced that the City received competitive bids from note underwriters on Tuesday, February 6, 2024, for a $11,234,522, six-month bond anticipation note issue. Piper Sandler was awarded $6,234,522 at an average interest rate of 3.228% and Jefferies Financial Group was awarded $5,000,000 at an average interest rate of 3.362%. The City received a total of six bids on the notes. Note proceeds will be used to fund various municipal projects.

Prior to the sale, S&P Global Ratings, a municipal credit rating agency, reviewed the City’s credit status with the City’s financial management team. The review covered updates on the local and regional economy, the City’s management practices, finances, debt position and other obligations, including other post-employment benefits and pension obligations. Following the review, S&P’s rating committee affirmed the City’s AA underlying bond rating and assigned a rating of SP-1+ to the notes, the highest attainable short-term rating. The rating agency cited the City’s stable tax base, continued maintenance of very strong reserves, moderate debt with low fixed costs and strong institutional framework as positive credit factors. Additionally, S&P assigned the AA+ enhanced rating to the City’s outstanding debt secured by the State Qualified Bond Act local state aid intercept program.

The bids for the notes were accepted at the offices of the City’s Financial Advisor, Hilltop Securities Inc., which is located at 54 Canal St. in Boston, Mass.

For further information, please contact Chief Financial Officer/City Auditor/Budget Director Richard Viscay at City Hall (281 Broadway, Revere, MA 02151); telephone: 781-286-8131.