Availability payments are made to a private concessionaire by a public project sponsor based on project milestones or facility performance standards in exchange for particular services. Federal-aid grants may be used to pay the capital portion of availability payment installments. Availability payments are currently being used on at least ten P3 projects in the U.S. Further detail on availability payments is available at the Build America Transportation Investment Center (BATIC) Institute: An AASHTO Center for Excellence.
Pass-through tolls (also known as shadow tolls) are per-vehicle or per-vehicle-mile fees paid by a state or local agency or authority to a private concessionaire as reimbursement for particular services. Federal-aid grants may be used to pay pass-through toll capital reimbursements. In the U.S., the State of Texas has entered into several pass-through tolling agreements with local agencies to help repay their upfront investments in highway projects with pass-through tolls. Texas' experience with this project financing tool is detailed in a TR News article from 2011. Further detail on pass-through tolls is available at the Build America Transportation Investment Center (BATIC) Institute: An AASHTO Center for Excellence.
