§ 47135 — Innovative Financing Techniques

(1) The Secretary of Transportation may approve an application by an airport sponsor to use grants received under this subchapter for innovative financing techniques related to an airport development project that is located at an airport that is not a large hub airport. (2) The Secretary may approve not more than 30 applications described under paragraph (1) in a fiscal year. (b) The purpose of grants made under this section shall be to— (1) provide information on the benefits and difficulties of using innovative financing techniques for airport development projects; (2) lower the total cost of an airport development project; or (3) expedite the delivery or completion of an airport development project without reducing safety or causing environmental harm. (1) In no case shall the implementation of an innovative financing technique under this section be used in a manner giving rise to a direct or indirect guarantee of any airport debt instrument by the United States Government. (2) In this section, innovative financing techniques are limited to— (A) payment of interest; (B) commercial bond insurance and other credit enhancement associated with airport bonds for eligible airport development; (C) flexible non-Federal matching requirements; (D) use of funds apportioned under section 47114 for the payment of principal and interest of terminal development for costs incurred before the date of the enactment of this section; and (E) any other techniques that the Secretary determines are consistent with the purposes of this section.