Why the Authority is so Effective

The governing body of the Authority is comprised of nine board members, appointed for six-year terms. These dedicated people serve without compensation, and manage a rigorous schedule, often meeting up to four times a month.

The success of the Authority comes from its business-like approach and its commitment to efficiently serving the needs of the citizens of Maricopa County and the State.

An Efficient Operation
With a budget far below other public housing authorities and with no full-time staff, the Authority has administered more than $4 billion in bonds for a wide variety of housing stock and commercial facilities. The average annual operating budget of less than $450,000 compares favorably to a median operating budget at other housing finance agencies of $11 million and a median full-time staff of 130 people. (Source: National Council of State Housing Agencies State HFA Factbook Annual Survey of Results.)
 
No Reliance on Public Funds
The Authority is self-supporting. Sources of income include fees from past bond issues and fees paid by new users of the Authority's services.

High Quality Standards
The Authority sets high quality standards for its bond issues. It requires a minimum "A" credit rating from a nationally recognized rating agency on public debt offerings. For private placements, an investor letter is required. In addition, each bond issue is analyzed by the Authority's legal counsel, the Authority's review advisor and the Authority's Board of Directors before an issuance can be approved.

The Authority does all this with privatized third party services, based on an average annual operating budget of less than $450,000.
 
Open-Door Policy Encourages Innovation
Under the Authority's open-door policy, the party ultimately responsible for repayment of debt associated with its bond is entitled to assemble its own financing team, rather than having outside people imposed on the process. With this approach, the Authority can respond to creative ideas for financing almost as soon as the ideas are developed. Successful examples of this include:

  • Recycling private activity bonding authority for qualified single family mortgage revenue bonds.

  • Using taxable bonds to create affordable single family residences that benefit low-to- moderate income homebuyers.