Playing Smart changelabsolutions.org | kaboom.org 40 As the idea of joint use gains broader appeal and acceptance, a critical question tends to arise: How do we pay for it? Chapter 4 Financing Joint Use In this chapter,43 we look at traditional sources of funding, such as bonds and grants, as well as emerging funding mechanisms like lease-purchase agreements and advertising rights. We also show how these various financing options can support different components of a joint use venture – from infrastructure and facilities construction to ongoing maintenance and daily operations to program staff and equipment. Different funding streams generally finance different aspects of joint use. For example, some funds can be used to build new facilities while others can be used for renovation; some funds can only be used for capital expenditures while others can cover operational costs. Typically, a joint use endeavor will be funded by combining financing from a variety of sources. To leverage these funds, it’s helpful to form partnerships with organizations that, together, have access to a variety of funding streams and can pool these resources. This type of coordinated effort is especially critical when developing a capital infrastructure project. Working together from the inception of the project to visualize the joint use potential of a facility can present funding opportunities that might not be available if joint use is an afterthought to the facility’s design, construction, and use. The various funding options, with all their complexities and limitations, can be overwhelming. Start by focusing on the real needs of the particular joint use program you want to create. Sometimes, expanding joint use opportunities in your community may be more about forming relationships to “unlock a gate” or resolving concerns about legal liability than about amassing the funds to build a new facility. When financial resources are needed for a joint use venture, finding the money will always require creative thinking. This chapter is designed as a basic primer to help you learn about different financing mechanisms and how they can be used to fund a joint use project. Financing Options General Fund Revenue Even in challenging economic times, states, cities, and school districts can allocate general funds to finance all aspects of joint use ventures, including site acquisition, facility construction, building repairs/improvements,
RkJQdWJsaXNoZXIy NTkzMzk=