afbd802f_Infrastructure_Replacement__Disadvantage
[Funding Mechanism] Revenue Bonds [Advantage] � Available to issuers that do not have taxing authority � Does not usually require voter approval � Does not go against government�s debt limitation � Debt structure flexibility [Disadvantage] 
� Since debt is secured only by revenues received from operations, interest rates generally higher than GOs � Restrictive covenants coverage requirements, debt service reserves, O&M reserves, etc. � More complex process resulting in longer time to market and higher issuance cost
Infrastructure Replacement
Disadvantage