authority bond

authority bond definition - finance
A bond that is issued by a government entity to provide funds for revenue-producing agencies. The bond is paid for from revenues earned by the agency, or authority, which may operate toll roads, transportation hubs such as bridges and airports, or public utilities. The authority bond contract may include bondholder protections. Authority bonds are similar to revenue bonds, which are paid for from the taxing revenues of a public agency.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

Comments
Improve this definition.
Do you have more to add? Share your linguistic knowledge or observation.
/Register to save your comments.