A method of decoding compressed video information with a video decoder, the method comprising: receiving, at the video decoder, compressed video information in a bitstream; and with the video decoder, decoding a bi-directionally predicted picture that includes plural macroblocks using the compressed video information, wherein the decoding includes decoding a set of bits that represents binary decision information signifying whether the plural macroblocks in the bi-directionally predicted picture are motion compensated using forward mode prediction or one of plural types of non-forward mode prediction, wherein, for each of the plural macroblocks of the bi-directionally predicted picture, a single bit within the set of bits is associated with the macroblock as part of the binary decision information of the set of bits, the single bit indicating whether motion-compensated prediction type for the macroblock is (a) the forward mode prediction or (b) one of the plural types of non-forward mode prediction, wherein the set of bits is signaled as one or more picture-level syntax elements, wherein a combination of picture-level and macroblock-level syntax elements indicates the motion-compensated prediction types for the plural macroblocks of the bi-directionally predicted picture, and wherein: for a first macroblock of the plural macroblocks of the bi-directionally predicted picture, the motion-compensated prediction type is forward mode prediction, and the single bit for the macroblock indicates the motion-compensated prediction type for the macroblock; and for a second macroblock of the plural macroblocks of the bi-directionally predicted picture, the single bit for the macroblock and a macroblock-level variable length code for the macroblock together indicate the motion-compensated prediction type for the macroblock, receiving, at the video decoder, compressed video information in a bitstream; and with the video decoder, decoding a bi-directionally predicted picture that includes plural macroblocks using the compressed video information, wherein the decoding includes decoding a set of bits that represents binary decision information signifying whether the plural macroblocks in the bi-directionally predicted picture are motion compensated using forward mode prediction or one of plural types of non-forward mode prediction, wherein, for each of the plural macroblocks of the bi-directionally predicted picture, a single bit within the set of bits is associated with the macroblock as part of the binary decision information of the set of bits, the single bit indicating whether motion-compensated prediction type for the macroblock is (a) the forward mode prediction or (b) one of the plural types of non-forward mode prediction, wherein the set of bits is signaled as one or more picture-level syntax elements, wherein a combination of picture-level and macroblock-level syntax elements indicates the motion-compensated prediction types for the plural macroblocks of the bi-directionally predicted picture, and wherein: for a first macroblock of the plural macroblocks of the bi-directionally predicted picture, the motion-compensated prediction type is forward mode prediction, and the single bit for the macroblock indicates the motion-compensated prediction type for the macroblock; and for a second macroblock of the plural macroblocks of the bi-directionally predicted picture, the single bit for the macroblock and a macroblock-level variable length code for the macroblock together indicate the motion-compensated prediction type for the macroblock, for a first macroblock of the plural macroblocks of the bi-directionally predicted picture, the motion-compensated prediction type is forward mode prediction, and the single bit for the macroblock indicates the motion-compensated prediction type for the macroblock; and for a second macroblock of the plural macroblocks of the bi-directionally predicted picture, the single bit for the macroblock and a macroblock-level variable length code for the macroblock together indicate the motion-compensated prediction type for the macroblock,