US HB7301

Establishes a formal definition of "transportation demand management" (TDM) in federal law, encompassing strategies like carpooling, vanpooling, parking management, telework promotion, HOV/HOT lanes, and micromobility to reduce congestion and improve air quality

Creates a $20 million annual set-aside within the Rural Surface Transportation Grant Program specifically for rural TDM projects, with eligible recipients including state DOTs, tribal governments, transit agencies, and nonprofits

Expands eligibility for TDM projects under multiple federal grant programs including the Congestion Mitigation and Air Quality Improvement Program, National Infrastructure Project Assistance, and SMART grants

Modifies the Congestion Relief Program by removing the population threshold of 1 million, allowing smaller communities to participate, and creating a $20 million small project set-aside for projects between $500,000 and $10 million

Cites 2024 traffic congestion costs of $74 billion nationally and notes rural households spend more on transportation than urban households due to limited transit options