September 24, 2026
Mr. Riley of New York (for himself and Mr. Gallagher) introduced the following bill; which was referred to the Committee on Science, Space, and Technology
To direct the Secretary of Transportation to establish a multimodal transportation demonstration program, and for other purposes.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
Section 1. Short title
This Act may be cited as the Improving Rural Transportation Act
.
Sec. 2. Multimodal transportation demonstration program
(a) In general
Subchapter I of chapter 55 of title 49, United States Code, is amended by adding at the end the following new section:
5508. Multimodal transportation demonstration program
(a) Establishment
The Secretary may establish a program to make grants to eligible entities to carry out demonstration projects in small- or mid-sized communities for advanced transportation technologies related to surface passenger transportation modes (including any technical support and planning costs related to such projects), which may include any of the following:
(1)
A project related to data availability or interoperability, a traveler support tool or service, an automated vehicle, an active demand management, micro-transit, or a micromobility device to demonstrate first-mile and last-mile transportation and intermodal connections to a regional transportation system, including with respect to the following:
(A)
Local transit, intercity bus, rail, and aviation systems.
(B)
Electric or zero-emission systems.
(2)
A project related to developing a ride-share program for persons in rural communities.
(3)
Any other project the Secretary determines appropriate.
(b) Application
If the Secretary establishes the program described in subsection (a), an eligible entity that seeks a grant under such program shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require, including information relating to how such entity would collaborate with any of the following:
(1)
Institutions of higher education.
(2)
States.
(3)
Units of local government.
(4)
Regional transportation planning organizations.
(5)
Nonprofit research organizations.
(6)
Private sector entities.
(c) Priority
If the Secretary establishes the program described in subsection (a), the Secretary shall prioritize any application submitted under subsection (b) from an eligible entity that demonstrates scalability, operational reliability, cost efficiency, and technology validation with respect to real-world conditions.
(d) Funds
(1) Federal share
If the Secretary establishes the program described in subsection (a), the Federal share of the cost of a demonstration project with respect to which a grant is made under such program may not exceed 80 percent of such cost.
(2) Sources
If the Secretary establishes the program described in subsection (a), the non-Federal share of the cost of a demonstration project with respect to which a grant is made under such program may include amounts made available to the recipient of such grant under any of the following:
(A)
Section 504(b) of title 23.
(B)
Section 505 of such title.
(e) Definitions
In this section:
(1) Eligible entity
The term eligible entity means any of the following entities:
(A)
A State department of transportation.
(B)
A unit of local government.
(C)
A metropolitan planning organization.
(D)
A public transportation agency.
(E)
Any other entity the Secretary determines appropriate.
(2) Institution of higher education
The term institution of higher education has the meaning given such term in section 101 of the Higher Education Act of 1965 (20 U.S.C. 1001).
(3) Metropolitan planning organization
The term
metropolitan planning organizationhas the meaning given such term in subsection (b) of section 5303.(4) Micromobility device
The term micromobility device means a wheeled vehicle that satisfies the following requirements:
(A)
Includes a low-powered electric motor.
(B)
Is designed for human transport.
(C)
Weighs not more than 100 pounds.
(D)
Is not capable of attaining a maximum speed greater than 20 miles per hour.
(5) Public transportation agency
The term
public transportation agencyhas the meaning given such term in section 1402 of the National Transit Systems Security Act of 2007 (6 U.S.C. 1131).(6) Regional transportation planning organization
The term regional transportation planning organization means an organization designated under subsection (l) of section 5304.
(7) Ride-share program
The term
ride-share programmeans a commercial service whereby a passenger may use a smartphone app to request private, point-to-point transportation from an independent driver for a fee.(8) Secretary
The term
Secretarymeans the Secretary of Transportation.(9) Small- or mid-sized community
The term small- or mid-sized community means an area with a population of not more than 200,000 individuals.
(b) Clerical amendment
The table of sections for chapter 55 of title 49, United States Code, is amended by inserting after the item relating to section 5507 the following new item: