Municipality

Municipality, in Anglo-Saxon law, public corporation created by a state and under its legislative control, typically a town, village, or other regional administrative unit. Until recently municipal corporations were formed by a special charter designating specific powers. Now, however, they may be formed under general statutes. Among the more important provisions in a charter and the general laws of a municipality are those that give a municipality the power to tax and the power to pass ordinances effective as law for the protection of the public health, safety, morals, and general welfare. The rate of taxation that a municipality may levy is limited in many states by the municipal charter. Among other rights that may be granted under a charter are the power to sell bonds or notes, to award franchises, to acquire property, to construct public improvements, and to operate public utilities. Municipalities are essential units of local government.