Table 1 Infrastructure Financing and Funding Practices
From: ‘The governance of local infrastructure funding and financing’
Temporality | Type | Examples |
|---|---|---|
Established, ‘Tried and tested’ | Taxes and fees | Special assessments; User fees and tolls; Other taxes. |
Grants | Extensive range of grant programmes at multiple levels (e.g. federal national, province, state, supranational) | |
Debt finance | General obligation bonds; Revenue bonds; Conduit bonds; National Loans Funds (e.g. PWLB). | |
Tax incentives | New market/historic/housing tax credits; Tax credit bonds; Property tax relief; Enterprise Zones. | |
Developer fees | Impact fees; Infrastructure levies. | |
Platforms for institutional investors | Pension and Insurance infrastructure platforms; State infrastructure banks; Regional infrastructure companies; Real estate investment trusts; Sovereign Wealth Funds. | |
Value capture mechanisms | Tax increment financing; Special assessment districts; Sales tax financing; Infrastructure financing districts; Community facilities districts; Accelerated development zones. | |
Public private partnerships | Private finance initiative; Build-(own)-operate-(transfer); Build-lease-transfer; Design-build-operate-transfer. | |
Asset leverage and leasing mechanisms | Asset leasing; Institutional lease model; Local asset-backed vehicles. | |
Newer, ‘Innovative’ | Revolving infrastructure funds | Infrastructure trusts; “Earn Back” / “Gainshare” funds. |
