Credit Support and Infrastructure Investment: The Case of the Transportation Infrastructure Finance and Innovation Act (TIFIA) Program
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2020-09-30
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Edition:Final Report 03/31/2019 – 09/30/2020
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Abstract:Infrastructure project development in the United States frequently relies on debt financing. Project sponsors typically borrow money for project design and construction through private capital markets, but the Transportation Infrastructure Finance and Innovation Act (TIFIA) program of the U.S. Department of Transportation (USDOT) also provides a complementary public financing program for surface transportation infrastructure development projects. This research empirically evaluates whether and how the TIFIA program’s creditworthiness profile, measured via credit ratings, changed between the Moving Ahead for Progress in the 21st Century (MAP-21) and Fixing America’s Surface Transportation (FAST) Act periods. The findings provide meaningful insights, and follow-up research will be important.
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