ABSTRACT
This chapter examines several ways to encourage the use of Value Capture (VC) mechanisms to fund transit projects. It concludes with a discussion of two key trends that should further incentivize use of VC mechanisms in the US in the long term. First, decreased federal funding and fiscal belt-tightening at all levels of government has required that transit agencies and municipalities aggressively explore alternative revenue sources to fund transit projects. Second, the increased emphasis on land use-transportation coordination in particular the efforts to reduce VMT and thereby reduce GHG emissions are likely to forge closer ties among transit agencies and local governments. Public transportation encourage many more local jurisdictions to find ways to create legal, institutional, fiscal and physical environments that would support using VC mechanisms to fund transit projects. In the US, federal public transportation dollars requires cost sharing on a 60/40 or a 50/50 federal-local cost share basis.
