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Special Session–Christa Court. Local governments provide a wide range of services and infrastructure such as water, sewer, and stormwater to their residents. In many jurisdictions, utilities are the most capital-intensive government function and the most visible one. Long-term debt is an indicator of utilities’ financial health. Currently, local governments in the U.S. hold more than 1.7 trillion long-term debt. Particularly, due to population loss and population density, West Virginia water system is under financial constraints more than other states. By investigating important factors that explain long-term debt, we focus on the effects of different types of ownership on water utilities’ long-term debt in West Virginia, where common types of water utility ownership include municipalities, public service districts, private utilities, and water associations. Results show the public service districts and municipalities have higher long-term debt. |
