ABSTRACT
This chapter examines public authorities as the major agents of government debt financing in the United States. It also examines the basic purposes and functions of public authorities, the types of projects and services funded "off-budget," the primary influences on authority operations, the key features of the debt-financing process, the various measures of authority performance, and the major financial and political issues that confront authorities. A public authority is a corporate entity that is chartered by one or more governments; that is governed by an appointed board; and that is responsible for various public service functions. There are two general categories of bonds offered by authorities: short-term bonds, and long-term bonds. Authorities use both types of bonds to finance several categories of public policy. Authority bonds finance economic development, education, environmental protection, health care, housing, ports, public facilities, public transportation, and utilities.
