NIC offers three ways to pay for eGovernment portals:

Self-Funding

NIC absorbs the costs to build the portal's technical infrastructure and develop eGovernment services.

After the applications have launched, NIC and its government partners share a portion of the fees generated from electronic transactions.

Nineteen states currently have self-funding arrangements with NIC, and most of our long-term contracts range from three to seven years in length.

The self-funding model encourages NIC and its government partners to:

• Build online services that constituents want
  
• Work efficiently to identify and create new online services
  
• Invest in marketing activities to drive eGovernment adoption
  

Fee-Based

Governments pay NIC contractually determined fees on a fixed time, fixed cost, or time & materials basis.

Hybrid

Governments pay NIC a mix of upfront revenues to fund the infrastructure and development of eGovernment services. Once the applications have launched, additional revenue from transactions are shared between NIC and its government partners.