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Toll Revenue Bond

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Toll Revenue Bond

A type of municipal bond used to build a public project such as a bridge, tunnel or expressway. The bond is repaid with revenues from tolls paid by users of the public project in question.

Notes:

The main reason municipalities use these revenue bonds is because the bonds allow them to avoid reaching legislated debt limits.

Toll revenue bond

A municipal bond that is repaid with revenues from tolls that are paid by users of the public project built with the bond revenue.

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