THE FUNDING AND FINANCING OF MANAGED LANES PROJECTS

The lane concept is currently being considered on major freeway projects in Texas cities. While the high-occupancy vehicle (HOV) concept is familiar in most urban areas, motorists are less familiar with lanes. The term managed encompasses a variety of facility types, including HOV lanes, high-occupancy toll (HOT) lanes, single-occupancy vehicle (SOV) express lanes, special use lanes, and truck lanes. The premise of the lanes concept is to increase freeway efficiency and provide free flow operations for certain freeway users by packaging various operational and design strategies. The strategies deployed offer the flexibility to be adjusted to match changing corridor and regional goals. This report documents research on the funding and financing of lanes projects. This report highlights the financial aspects of operating lanes projects. Additionally, it discusses innovative financing techniques and their applicability to various types of projects. The report describes various financing and funding strategies for given lane project scenarios. Successful implementation of a lanes project will require careful planning and a willing community. Managed lanes projects can be successfully implemented when the project is designed around the goals of the community or region. These goals will affect project financing too. It is important to match the financing with the goals of the project.