Changes in the law and innovations in financing have created a wide array of financing options for highways that complement and enhance existing pay-as-you-go financing from fuel and other traditional highway user taxes. These techniques range from fairly modest strategies that permit States greater flexibility in satisfying the standard matching requirements for receipt of Federal funds to very ambitious credit enhancement strategies. These "innovative financing techniques" can be used to accomplish four things:
• Maximize the ability of States and other project sponsors to leverage Federal capital for needed investment in the nation's transportation system;
• More effectively use existing funds;
• Move projects into construction more quickly than under traditional financing mechanisms; and
• Make possible major transportation investments that might not otherwise receive financing.
Many of these new techniques involve partnering with the private sector. This section identifies several new approaches to financing highways that may be applicable to Public-Private Partnerships, and explains the eligibility criteria, procedural requirements, and any other conditions to participating. It also identifies the advantages of each approach, and provides references to more detailed guidance.