Public finance law includes state and federal laws and regulations governing the financing of public organizations and projects. For example, public finance laws and regulations govern the sale and purchase of bonds to build or improve schools, parks, roads, airports, cultural facilities, recreational facilities, entertainment venues (sports arenas), and other public works projects.

Bonds are debts issued by governments (the debtor), for example, to purchasers of the bonds (the creditors), with a promise to pay the bondholder interest (a coupon) and repay the principal amount upon a certain date (maturity date)—similar to an IOU or loan agreement. Bonds are securities that can often be traded (bought and sold) to and from others on the secondary market.

In Nevada, public finance law is governed by both state statutes and federal regulations. These laws oversee the issuance and management of bonds by public entities such as state and local governments to fund various public projects, including schools, parks, roads, and cultural facilities. The state of Nevada has specific provisions under the Nevada Revised Statutes (NRS) that outline the procedures and requirements for issuing bonds. These statutes address the powers of public entities to incur debt, the types of bonds that can be issued, the purposes for which bond proceeds may be used, and the rights of bondholders. Additionally, federal laws, including tax laws and securities regulations, play a crucial role in the issuance and trading of municipal bonds. The Internal Revenue Service (IRS) provides guidelines on the tax-exempt status of certain municipal bonds, while the Securities and Exchange Commission (SEC) oversees the trading of these securities in the market. It is important for public entities in Nevada to comply with both state and federal laws when engaging in public financing activities to ensure the legality and fiscal responsibility of their debt obligations.