United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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Tax Increment Financing (TIF) is a value capture revenue tool that uses taxes on future gains in real estate values to pay for new infrastructure improvements. TIFs are authorized by State law in nearly all 50 States and begin with the designation of a geographic area as a TIF district. Plans for specific improvements within the TIF district are de
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
In this time of declining revenues and increasing fiscal requirements, it is imperative that the transportation industry be equipped with the knowledge and tools needed to evaluate project finance, revenue, and procurement options at the right time in the program delivery process. By being knowledgeable about a wide range of options, both tradition
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
Solar photovoltaic technology provides a promising option for deriving value from highway rights-ofway and other land owned by State departments of transportation (DOTs). Solar power installations can be sited on or above highway alignments and interchanges, rooftops, or elevated structures above parking lots or other DOT owned facilities. Solar po
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
Special assessments are a form of value capture. They involve assessing incremental property taxes on land and buildings deriving direct benefits as a result of a transportation improvement. The tax levied typically represents a portion of the estimated benefit to the properties located with a designated zone in close proximity to the improvement.
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
Many State and local governments lack sufficient funding to pay for surface transportation projects up front. Project finance innovations can significantly increase the ability to deliver these transportation projects, accelerating construction, reducing costs, and enabling the use of innovative revenues. The Center for Innovative Finance Support (
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
The traditional project delivery process has no stage specifically labeled "funding," yet funding challenges affect each stage of the process - from right-of-way (ROW) that cannot be purchased due to unavailable funds to a project that completes the environmental process only to have policymakers reject the chosen source of funding. Funding challen
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The Federal Highway Administration's (FHWA's) Fostering Multimodal Connectivity Newsletter is intended to provide transportation professionals with real-world examples of ways that multimodal transportation investments promote economic revitalization, provide access to jobs, and achieve safer communities through support of accelerated project deliv
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
The Federal Highway Administration (FHWA) recently implemented a policy that will allow State Departments of Transportation (DOTs) to use Federal-aid funds in innovative long-term contracts with private developers. In such agreements, the State grants exclusive rights (a “concession”) to a developer—concessionaire—who assumes responsibility for the
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
Under traditional procurement, private contractors construct projects based on a public design with public financing and turn them over to the public sector upon completion for operations and maintenance. Under P3 models, the private sector may also participate in design, finance, operations, maintenance, and tollrevenue collection. “Availability p
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
Public–Private Partnerships (P3s) are contractual agreements between a public agency and a private entity that allow for greater private participation in the delivery of transportation projects. Typically, this participation involves the private sector taking on additional project risks, such as design, construction, finance, long-term operation, a
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
Public–Private Partnerships (P3s) are contractual agreements between a public agency and a private entity that allow for greater private participation in the delivery of transportation projects. Typically, this participation involves the private sector taking on additional project risks, such as design, construction, finance, long-term operation, a
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
With a form of highway Public–Private Partnership (P3) called a concession, a concessionaire invests its own money (known as equity) and borrows additional funds to pay for construction of a highway project. If the facility is already constructed (e.g., an existing toll road), the concessionaire uses a combination of equity and debt to pay the publ
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
The use of Public–Private Partnerships (P3s) marks a shift away from traditional ways of procuring and financing highway projects. Under traditional procurement processes, private contractors construct projects based on a public design by using public funding. The projects are then operated and maintained by public agencies. With the P3 model, a pr
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
Joint Development involves the development of a transportation project and adjacent complementary private real estate development where a private developer either implements the real estate improvement directly or gives money to a public sector sponsor to offset the costs. Joint development may involve public participation in market-oriented develo
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
Negotiated Exactions involve payments made by a developer as a condition for receiving municipal approvals. Negotiated exactions are determined on an ad hoc basis for individual projects, usually as part of the development approval process. They often take the form of one-time land transfers or cash payments, but may also involve construction activ
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
Right-of-Way (ROW) Use Agreements are a form of value capture that involves the sale or lease of development above, below, or adjacent to transportation ROWs or real properties. In active real estate markets, development rights are often transferred from historic properties to nearby properties. This practice can also be applied to highway or trans
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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PDF
The Land Value tax is a levy on the value of unimproved land. It disregards the value of buildings and shifts the basis of property taxes to the assessed value of land and away from that of the improvements on it. The land value tax has also been referred to as an annual charge on the rental value of land. It may be thought of as a payment for the
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United States. Department of Transportation. Federal Highway Administration. Office of Innovative Program Delivery
2017-01-01
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Naming rights generate revenue by selling the right to name transportation assets to the private sector. Naming rights are an alternative means to generate revenue for transportation agencies that are looking for new sources of funding other than taxes and fees. One of the most common examples of selling naming rights is within the context of profe
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United States. Department of Transportation. Federal Highway Administration
2017-01-01
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The Turner-Fairbank Highway Research Center (TFHRC) is the home of the Federal Highway Administration’s (FHWA) Office of Research, Development, and Technology (RD&T). TFHRC conducts innovative research to provide solutions to transportation problems both nationwide and internationally. Our advanced research and development apply new highway technol
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United States. Federal Highway Administration. Exploratory Advanced Research Program
2016-12-31
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The Exploratory Advanced Research (EAR) Program addresses the need for longer term, higher risk research with the potential for long-term improvements to transportation systems—improvements in planning, building, renewing, and operating safe, congestion-free, and environmentally sound transportation facilities. The EAR Program seeks to leverage adv
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