Something worth noting, I wrote a pretty high level detailed post about how Server Authority works:
The above links to what I think may explain the hitches you are seeing. Server Authority is more CPU intensive on the Client, primarily when it needs to make corrections. Higher latency to server leads to a bigger performance spike. For example, if you have a player with 100ms RTT latency, you can expect their simulation load to increase 6x with Server Authority enabled because normally at 60Hz they simulate 16.6ms of physics, but with Server Authority they may need to roll back and resimulate.
There is some work we want to do to reduce these hitches, so participating in a playtest would be very useful to me to see how a real game uses Server Authority.
and shots occasionally not registering as expected
I would be curious how you are implementing hit detection, since for the time being we’re missing the “Server Rollback Hit Detection” logic that most common AAA shooters use. If you look at our Laser Tag demo, we still rely on a pretty loose server side “was this shot possible” check.