E$9-43.($Reporting entity$)$ The State Turnpike Commission $($STC$)$ was established as an instrumentality of the state to construct, operate, and maintain the state turnpike system. The STC was created as a severning body consists of eight ers to issue revenue bonds payable from for $10-$year terms and three state officials serving ex officio members appointed by the governo state comptroller, and the appointed superintendent of highways, the elected state treasurer, the electifficient. The state cannot access its assets or surpluses, nor is it ob$.$

The STC is financially self$-$st$.$ The state does not approve STC rates or the STC budget. The bond ligated to subsidize STC defict of the STC is not an obligation of the state. However, state statutes authoagreement states that the dector to include in the budget submitted to the legislature an amount sufficient rize the state budget director to in payments on STC bonds in the event STC revenues are insufficient to make the principal and rements. Is the STC a component unit of the state? If so$,$ how should the state to meet debt service requities of the STC$?($Adapted from GASB Statement $14,$ par. $142)$ report the financial activities of the STC$?($Adapted inom