Financing Tools

Financing tools include regulatory strategies, exactions, and incentives designed to generate revenues for local transportation projects. Federal and state transportation funding sources such as gas taxes are expected to continue shrinking in the years to come. In addition, the priority for available federal and state funds will be on maintenance of the existing system, with relatively little left for new projects or expansions.

In order to support desired economic and community development goals, local communities must find creative, equitable methods to generate revenues for transportation improvements. The tools presented in this section emphasize innovative, relatively low-cost approaches used in Montana and throughout the country, and include a focus on strategies that promote partnerships with private sector developers.