Environmental Economics

State Use of Alternative Financing Mechanisms in Environmental Programs

This study presents the results of a study of states' current use of alternative financing mechanisms (AFMs) to support environmental programs. The study focused on their use to fund the administrative and operating costs of regulatory programs rather than project or facility construction costs. Information on states' use of these mechanisms was obtained from program manages in 11 states: Florida, Georgia, Iowa, Louisiana, Missouri, Nebraska, New Jersey, Ohio, Oregon, Pennsylvania, and West Virginia.

The major findings were:

  • Many states are already using or considering the use of AFMs in their environmental programs. Nearly one-third of all states make widespread use of AFMs.
  • States already using AR<s have knowledge that could be tapped by other states. Many states have successfully used AFMs to fund part or all of their program operating costs
  • The real or perceived barriers to instituting or expanding the use of AFMs can be overcome. State officials with experience in using AFMs have worked out ways to overcome the barriers and sharing of information can alleviate some of these concerns.
    4. Economic Incentives and Other Innovative Approaches
    4. Economic Incentives and Other Innovative Approaches - Pollution Fees/Charges/Taxes
    Environmental Media:
    f. Multimedia
    EPA Project Officer/ Manager:
    Geographic Area:
    Florida, Georgia, Iowa, Missouri, Nebraska, New Jersey, Ohio, Oregon, Pennsylvania, West Virginia, Louisiana
    Study Purpose:
    Policy Evaluation
    Inventory Record #: EE-0546
  • Participating Organizations

    Research Organization:

    Environmental Protection Agency, Office of Policy, Planning, and Evaluation, Program Evaluation DivisionAddress:
    City: State: ZIP:
    Phone: Fax:
  • Report Details
    Number of Pages:
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    Date Linked: 08/29/2017