Westchester: County of Tomorrow April 29, 2016 Local Government funding options for consideration

Government budgets are tight in every jurisdiction throughout the country. Public officials find themselves continually stretched between addressing constituent needs while also trying to plan and implement solutions for roads and bridges, water resources, traffic congestion, energy options, clean air, workforce readiness, technology upgrades and economic development. Sadly, public funding for large public projects (as well as many smaller initiatives) is not coming back anytime soon…but critical needs, left untended, become more serious with each passing week. Collaboration, innovation and alternative funding are the tools that must be embraced if we are to stay competitive in an ever changing global world. The following funding sources are currently some of the most attractive options. And, the examples of successful, innovative projects make us realize that almost everything is possible through collaboration. Mary Scott Nabers Introduction

 TIGER Discretionary Grants – surface transportation projects  Advanced Transportation and Congestion Management Technologies Deployment Program – intelligent transportation systems & more  Flood Mitigation Assistance Program – planning to reduce future risks  USDA Broadband Grants for Rural Communities  Rural Broadband Access Loan and Loan Guarantee Program  USDA Economic and Community Development Funds – various types of projects  Public Works and Economic Adjustment Assistance Programs – initiatives that address evolving economic conditions Funding Options

 Community Development Block Grant (CDBG) – many types of projects  Hospital FHA mortgage insurance – construction, renovation, major equipment purchases, teaching hospitals  Brownfields Economic Development Initiative (BEDI) Flood Mitigation Assistance Program – redevelopment projects  Emergency Solutions Grants (ESG) – shelters, centers, etc.  Emergency Capital Repairs Program – rehabilitation, modernization, retrofitting of structures  NeighborWorks America – community revitalization projects Funding Options

 Covenant Grants – funds for hospitals, schools, wastewater systems, and more  State, Tribal, and Local Plans and Grants Division of the National Parks Service (NPS) – funds for projects that address preservation of historic places or history  Technical Assistance Program (NPS) – economic development projects, natural and/or cultural initiatives  State or regional economic development corporations (EDCs) – tax credits for a variety of economic development projects often focused on job creation Funding Options

 Smart Growth America – an organization with funding available for initiatives that are tied to ‘smart growth’ and technology solutions  Partnership for Sustainable Communities – funding for capital infrastructure projects  USDA Rural Development Community Facilities Direct Loan and Grant Program – various types of projects can qualify for funding  Federal Highway Administration (FHA) Recreational Trails Program – initiatives that involve new or enhanced trail projects  NPS Land and Water Conservation Fund – funds for land acquisition and outdoor recreation projects  EPA Brownfields Grants and Funding Programs – various types of redevelopment projects Funding Options

 Social Impact Bonds (SIBs) – sometimes referred to as “pay for success” bonds. Success criteria (established by public entities and selected funding sources before projects are initiated) result in various types of ROI for investors  Impact Investing – investors provide funds for initiatives that results in a social or environmental improvement – ROI is determined by project type and success criteria  EB-5 – usually used for large public private projects but can be used for other types of large public initiatives as well  Social Innovation Fund – workforce development programs and more Funding Options

 Transportation Infrastructure Finance and Innovation Act (TIFIA) – projects that are transportation related – funding is used when projects because of their size and complexity would likely be delayed because of funding  Water Infrastructure Finance and Innovation Act (WIFIA) – the Federal government makes funding available at low cost to incentivize the launching of projects that deal with water infrastructure, wastewater and desalination plants, drinking water and clean water initiatives. Funding Options

 Private Activity Bonds (PABs) – funding for large projects involving private sector partners  Qualified Public Infrastructure Bonds (QPIBs) – airports, ports, mass transit, water and more  Clean Renewable Energy Bonds (CREBs)-renewable energy projects of all types  Qualified Energy Conservation Bonds (QECBs) – numerous types of projects including energy efficient upgrades in public buildings  Tax Increment Financing (TIF) Bonds – for urban redevelopment and economic development projects Funding Options

Some states and local governments are experimenting with crowdsourcing to fund public projects such as bike sharing, street cars, public transit, parks, and other structures. Examples of successful crowdsourcing projects include the following:  Newark350 – year long celebration of Newark’s 350 th anniversary  Patronicity – development of an arts district  CommunityFunded – an online community funding portal Funding Options

Town of Fletcher, North Carolina The Town of Fletcher worked with the Land of Sky Regional Council (LOSRC) to obtain an EPA brownfields cleanup grant of $200,000 and a $50,000 sub grant from the LOSRC Revolving Loan Fund Program, funded by EPA, to remove and rehab contaminated soil and groundwater. Once the project was completed. the town rezoned the site for downtown development, put property tax incentives in place to attract developers, and received a $350,000 grant from the North Carolina Department of Transportation to build an access road. Fletcher was then awarded a $5 million Community Facilities loan from USDA Rural Development to construct a 25,400-square foot Town Hall and Public Safety Building. These facilities will anchor the new Heart of Fletcher district. Example Projects

Port of Baltimore, Maryland The port of Baltimore won a $10 million federal grant to build more roadway access to rail, expand storage terminals and widen the channel to accommodate larger ships. The state has issued a grant of $19.5 million to pay for upgrades that will enhance Baltimore's port and make it more competitive because it will be able to accommodate ‘super ships’ coming from the Panama Canal. Example Projects

National Harbor, Washington, DC A $4 billion waterfront redevelopment project that received funding from a public-private partnership as well as from tax increment financing (TIF) bonds was completed in It consisted of a waterfront hotel that was marketed as a resort destination. The project was successful and the area has increasingly become more mixed-used, with growing residential and rail transit development. There are many houses that are home to military families from nearby bases as well as retail establishments of all types. National Harbor generates $15-$18 million per year in tax revenue. Example Projects

City of Austin, Texas The city has initiated a new facilities development model – a Request for Proposal (RFP) process where the city selects a developer for the project. The developer will be expected to bring financing and land to the deal. The agreement will use a Credit Tenant Lease structure where the city will lease-to-own the asset over 20 years. Example Projects

Strategic Partnerships, Inc. “Partnering public and private entities” Company Information