Skip to main content
Transportation Funding & Financing

Anticipation Notes

Anticipation notes come in several forms, but generally speaking, all are securities issued when moneys are anticipated from a specific source. In the case of transportation finance, the anticipation notes' revenue source is expected Federal-aid grants. Two types of anticipation notes exist in transportation finance:


Grant Anticipation Revenue Vehicles (GARVEEs)
GARVEEs are used to fund major highway capital projects with debt backed by future Federal-aid disbursements.

Grant Anticipation Notes (GANs)
GANs are used by transit agencies to borrow against future Federal formula or grant funding.