Which funding method involves jurisdictions using available cash to pay for projects?

The funding method that involves jurisdictions using available cash to pay for projects is known as "pay as you go." This approach allows governments to finance projects upfront without incurring debt. By utilizing existing cash reserves, jurisdictions can avoid interest payments and the long-term financial obligations that come with borrowed funds.

Using current cash balances for project financing is attractive as it enhances budgetary control and financial stability. It also implies a commitment to fiscal responsibility, as it prevents excessive reliance on debt financing, which can strain future budgets. Pay as you go can be particularly suitable for smaller projects or when funding is readily available, as it offers a straightforward and financially prudent way to fund capital expenditures.

In contrast, methods such as joint ventures or privatization often involve partnerships with the private sector, and revenue bonds rely on future income streams rather than current cash. These alternatives involve different financial mechanisms and risk profiles, making "pay as you go" a distinctive and effective choice for jurisdictions seeking to manage their immediate financial resources efficiently.