Sponsors (3)
The bill expands and directs federal funding and eligibility to support transportation demand management—improving mobility (especially for small jurisdictions and some rural areas) and reducing congestion/commuting costs, at the trade‑off of higher federal program spending, possible crowding out of other projects, and added administrative burdens for low‑capacity communities and applicants.
Rural residents gain new and targeted mobility options (vanpools, carpools, smart hubs, shared‑ride programs) and dedicated small‑project funding that improves access to jobs and essential services in areas with limited transit.
State, local, Tribal, and transit agencies (including jurisdictions under 1,000,000 people) get clearer, expanded funding pathways for TDM and smaller congestion relief projects (CMAQ, SMART, $20M annual set‑aside), increasing the ability to finance local demand‑management and quick‑build projects.
Commuters and employees may see lower out‑of‑pocket commuting costs through employer transportation fringe benefits and expanded employer incentive/shared‑ride programs.
Taxpayers may shoulder higher federal spending and reprioritized program dollars due to a new or redirected $20M annual allocation and greater grant use for TDM, which could increase budgetary costs or crowd out other federal priorities.
Shifting funds toward TDM and the set‑aside could reduce funding available for other local transportation projects (road repairs, larger highway/transit projects), delaying or downsizing those projects.
Rural and low‑capacity communities risk being underserved if most TDM funding/strategies target dense urban corridors or if local agencies lack administrative capacity, which could lead to unspent awards and reallocation away from intended rural uses.
Based on analysis of 5 sections of legislative text.
Defines TDM in law, allows TDM as eligible in several federal programs, and creates two $20M/year set‑asides for rural TDM and small congestion projects.
Official title: To provide for the development of transportation demand management strategies, and for other purposes.
Introduced January 30, 2026 by Marilyn Strickland · Last progress January 30, 2026
Creates a statutory definition of “transportation demand management” (TDM) and explicitly allows TDM activities to be funded through several federal transportation grant programs. It adds two $20 million per‑year set‑asides: one within rural transportation funding for planning and implementing TDM in rural areas, and one within the congestion relief program for small projects costing $500,000–$10,000,000. The bill expands eligible project lists across CMAQ, National Infrastructure Project Assistance, Local and Regional Project Assistance, and the SMART grant program to include TDM strategies such as vanpooling, parking management, telecommuting support, micromobility, trip‑planning, and employer incentives.