Section 1 Short title
This Act may be cited as the “Maximizing Transportation Efficiency Act”.
Maximizing Transportation Efficiency Act
A BILL
To provide for the development of transportation demand management strategies, and for other purposes.
Sec. 2 Findings
Congress finds that—
transportation demand management (as defined in section 101(a) of title 23, United States Code) (referred to in this section as “TDM”) increases the efficiency of the existing transportation infrastructure of the United States, provides greater access to jobs and services, and strengthens communities and families across the country;
compared to their urban counterparts, rural communities have a disproportionate number of elderly and disabled residents, elevated poverty levels, and limited access to essential services like schools, healthcare facilities, stores, and banks, and the implementation of TDM strategies can help to address these disparities;
TDM can provide transportation options to those in rural communities who lack access to a car;
according to the Bureau of Transportation Statistics, rural households spend more on transportation than urban households;
limited transit options in rural areas increase dependence on owning a vehicle;
in 2024, traffic congestion was estimated to cost the United States $74,000,000,000;
TDM works to lower the cost of congestion by increasing efficiency in the transportation system;
other modes of transportation are well-suited to rural communities, particularly carpooling and vanpooling;
carpool and vanpool systems are essential for helping employees reach their worksites and residents access essential services in rural locations; and
implementing TDM is a cost-effective use of transportation dollars.
Sec. 3 Transportation demand management
Definition of transportation demand management— Section 101(a) of title 23, United States Code, is amended—
by redesignating paragraphs (32) through (36) as paragraphs (33) through (37), respectively; and
by inserting after paragraph (31) the following:
“(32) Transportation demand management
“(A) In general—The term transportation demand management means the use of strategies to inform and encourage travelers to maximize the efficiency of a transportation system, leading to improved mobility, reduced congestion, and improved air quality, including strategies that use planning, programs, operations, policies, marketing, communications, incentives, pricing, data, and technology.
“(B) Inclusions—Transportation demand management may include—
“(i) encouraging employers to offer qualified transportation fringe benefits (as defined in section 132(f) of the Internal Revenue Code of 1986);
“(ii) incentives, subsidies, and use of game-like elements such as points, leaderboards, and challenges to encourage engagement and participation in desired transportation choices;
“(iii) appropriate pricing of parking, tolls, transit, and other options;
“(iv) carpooling and vanpooling;
“(v) trip planning and ridematching;
“(vi) the implementation of State laws and local ordinances relating to transportation demand management, commute trip reduction, or other similar regulations;
“(vii) parking management;
“(viii) use of high occupancy vehicle (HOV) and high occupancy toll (HOT) lanes;
“(ix) promotion and support of telecommuting, remote, and hybrid work schedules;
“(x) marketing, outreach, and education to inform people about options and shift behavior;
“(xi) support of micromobility and pedestrian infrastructure;
“(xii) active transportation (as defined in section 11529(l) of the Infrastructure Investment and Jobs Act (23 U.S.C. 217 note; Public Law 117–58)); and
“(xiii) other activities that will disperse the demand on the transportation system.”
Congestion mitigation and air quality improvement program— Section 149(b)(7) of title 23, United States Code, is amended—
by adding “or” after the semicolon at the end;
by striking “program shifts” and inserting the following: “program—
“(A) shifts”
by adding at the end the following:
“(B) is for the purpose of implementing transportation demand management strategies;”
National infrastructure project assistance— Section 6701 of title 49, United States Code, is amended—
in subsection (d)—
in paragraph (1)—
in subparagraph (E)(ii), by striking “or” at the end;
in subparagraph (F), by striking “and” at the end and inserting “or”; and
by adding at the end the following:
“(G) for the purpose of implementing transportation demand management (as defined in section 101(a) of title 23) strategies; and”
in paragraph (2), in the matter preceding subparagraph (A), by inserting “for any project other than a project described in paragraph (1)(G),” before “the eligible project costs”; and
in subsection (h)(1)—
in subparagraph (A), by striking “and” at the end;
in subparagraph (B), by striking the period at the end and inserting “; and”; and
by adding at the end the following:
“(C) activities related to the implementation of transportation demand management (as defined in section 101(a) of title 23) strategies.”
Local and regional project assistance— Section 6702(a)(3) of title 49, United States Code, is amended—
in subparagraph (G), by striking “and” at the end;
by redesignating subparagraph (H) as subparagraph (I); and
by inserting after subparagraph (G) the following:
“(H) a project to implement transportation demand management (as defined in section 101(a) of title 23) strategies; and”
Strengthening mobility and revolutionizing transportation grant program— Section 25005(e) of the Infrastructure Investment and Jobs Act (23 U.S.C. 502 note; Public Law 117–58) is amended—
in paragraph (1)(A), by adding at the end the following:
“(ix) Transportation demand management—The implementation of transportation demand management (as defined in section 101(a) of title 23, United States Code) strategies.”
in paragraph (2)—
in subparagraph (A)(viii), by striking “and” at the end;
in subparagraph (B)(vii), by striking the period at the end and inserting “; and”; and
by adding at the end the following:
“(C) activities related to the implementation of transportation demand management (as defined in section 101(a) of title 23, United States Code) strategies.”
Sec. 4 Rural transportation demand management set-aside
Section 173 of title 23, United States Code, is amended—
in subsection (c), in the matter preceding paragraph (1), by striking “The Secretary” and inserting “Except as provided in subsection (p), the Secretary”;
in subsection (e)(1), in the matter preceding subparagraph (A), by inserting “and in subsection (p)” after “paragraph (2)”;
in subsection (f), in the matter preceding paragraph (1), by striking “An eligible entity” and inserting “Except as provided in subsection (p), an eligible entity”; and
by adding at the end the following:
“(p) Rural transportation demand management set-Aside
“(1) In general—Of the amounts made available for the program for each fiscal year, the Secretary shall use $20,000,000 to provide grants for the development and implementation of transportation demand management strategies in rural areas to improve mobility, increase access to jobs, and bring more modal options to families and communities in rural areas.
“(2) Eligible recipients—An entity eligible to receive a grant under this subsection is—
“(A) a State department of transportation;
“(B) a metropolitan planning organization (as defined in section 134(b) of title 23, United States Code) serving 1 or more rural areas;
“(C) a unit of local government;
“(D) a Tribal government;
“(E) a public transit agency;
“(F) a regional transportation planning organization; and
“(G) a nonprofit organization or institution of higher education engaged in rural transportation planning and commuter service programs, including transportation management associations.
“(3) Eligible activities—Funds from a grant under this subsection may be used for—
“(A) development of transportation demand management plans and policies to optimize rural transportation networks;
“(B) marketing and public outreach campaigns to encourage shared mobility, transit use, and alternative transportation modes;
“(C) data collection and analysis to evaluate rural travel patterns and assess congestion reduction strategies;
“(D) implementation of innovative transportation demand management strategies to encourage shared and alternative modes of transportation, including—
“(i) vanpooling programs;
“(ii) carpooling programs;
“(iii) employer-based or local or Tribal government commuting incentive programs;
“(iv) real-time traveler information systems;
“(v) smart rural transportation hubs;
“(vi) intelligent transportation system applications to enhance rural mobility; and
“(vii) deploying trip-planning applications, mobility-as-a-service platforms, and behavioral incentives;
“(E) coordination of public-private partnerships to leverage technology solutions for rural travel efficiency; and
“(F) costs associated with managing and operating transportation demand management strategies, including staff salaries.
“(4) Unutilized funds—For any fiscal year, if the Secretary determines that the amount set aside under paragraph (1) will not be fully utilized for grants under this subsection, the Secretary shall use the unutilized amounts to provide grants for other projects under the program.”
Sec. 5 Congestion relief program
Section 129(d) of title 23, United States Code, is amended—
in paragraph (1)(A)—
in clause (i), by striking “with a population of more than 1,000,000”; and
in clause (ii), by striking “with a population of more than 1,000,000”;
in paragraph (5)(D), by striking “A grant” and inserting “Except as provided in paragraph (8), a grant”; and
by adding at the end the following:
“(8) Small project set-aside
“(A) In general—Of the amounts made available for the program for each fiscal year, the Secretary shall use $20,000,000 to make grants to eligible entities for projects under the program with an estimated cost that is—
“(i) not less than $500,000; and
“(ii) not more than $10,000,000.
“(B) Unutilized funds—For any fiscal year, if the Secretary determines that the amount set aside under subparagraph (A) will not be fully utilized for grants described in that subparagraph, the Secretary shall use the unutilized amounts to provide grants for other projects under the program.”