[Code of Federal Regulations]
[Title 23, Volume 1]
[Revised as of April 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 23CFR656.5]

[Page 245-247]
 
                           TITLE 23--HIGHWAYS
 
 CHAPTER I--FEDERAL HIGHWAY ADMINISTRATION, DEPARTMENT OF TRANSPORTATION
 
PART 656--CARPOOL AND VANPOOL PROJECTS--Table of Contents
 
Sec. 656.5  Eligibility.

    (a) Projects which promote ridesharing programs need not be located 
on but must serve a Federal-aid system to be eligible for Federal-aid 
primary,

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secondary, or urban system funds depending on the system served. The 
Federal share payable will be in accordance with the provisions of 23 
U.S.C. 120. Except for paragraph (c)(3) of this section, for all 
purposes of this regulation the term carpool includes vanpool.
    (b) Projects shall not be approved under this regulation if they 
will have an adverse effect on any mass transportation system.
    (c) The following types of projects and work are considered eligible 
under this program:
    (1) Systems, whether manual or computerized, for locating potential 
participants in carpools and informing them of the oppportunities for 
participation. Eligible costs for such systems may include costs of use 
or rental of computer hardware, costs of software, and installation 
costs (including both labor and other related items).
    (2) Specialized procedures to provide carpooling opportunities to 
elderly or handicapped persons.
    (3) The costs of acquiring vanpool vehicles and actual financial 
losses that occur when the operation of any vanpool is aborted before 
the scheduled termination date for the reason, concurred in by the 
State, that its continuation is no longer productive. The cost of 
acquiring a vanpool vehicle is eligible under the following conditions:
    (i) The vanpool vehicle is a four-wheeled vehicle manufactured for 
use on public highways for transportation of 7-15 passengers (no 
passenger cars which do not meet the 7--15 criteria and no buses); and
    (ii) Provision is made for repayment of the acquisition cost to the 
project within the passenger-service life of the vehicle. Repayment may 
be accomplished through the charging of a reasonable user fee based on 
an estimated number of riders per vehicle and the cost of reasonable 
vehicle depreciation, operation, and maintenance. Repayment is not 
required under the following conditions:
    (A) When vehicles are purchased as demonstrator vans for use as a 
marketing device. Vehicles procured for this purpose should be used to 
promote the vanpool concept among employees, employers, and other groups 
by allowing potential riders and sponsors to examine commuter vans; or
    (B) When vehicles are purchased for use on a trial commuting basis 
to enable people to experience vanpooling first hand. The trial period 
must be limited to a maximum of 2 months. That part of the user fee 
normally collected to cover the capital or ownership cost of the van 
would be eligible for reimbursement as a promotional cost during the 
limited trial period. As with established vanpool service, all vehicle 
operating costs must be borne by the user(s) during the trial period.
    (4) Work necessary to designate existing highway lanes as 
preferential carpool lanes or bus and carpool lanes. Eligible work may 
include preliminary engineering to determine traffic flow and design 
criteria, signing, pavement markings, traffic control devices, and minor 
physical modifications to permit the use of designated lanes as 
preferential carpool lanes or bus and carpool lanes. Such improvements 
on any public road may be approved if such projects facilitate more 
efficient use of any Federal-aid highway. Eligible costs may also 
include costs of initial inspection or monitoring of use, including 
special equipment, to ensure that the high occupancy vehicle (HOV) lanes 
designation is effective and that the project is fully developed and 
operating properly. While no fixed time limit is being arbitrarily 
prescribed for the inspection and monitoring period, it is intended that 
this activity be conducted as soon as possible to evaluate the 
effectiveness of the project and does not extend indefinitely nor become 
a part of routine facility operations.
    (5) Signing of and modifications to existing facilities to provide 
preferential parking for carpools inside or outside the central business 
district. Eligible costs may include trail blazers, on-site signs 
designating highway interchange areas or other existing publicly or 
privately owned facilities as preferential parking for carpool 
participants, and initial or renewal costs for leasing parking space or 
acquisition or easements or restrictions, as, for example, at shopping 
centers and public or private parking facilities. The lease or 
acquisition cost may be computed

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on the demonstrated reduction in the overall number of vehicles using 
the designated portion of a commercial facility, but not on a reduction 
of the per-vehicle user charge for parking.
    (6) Construction of carpool parking facilities outside the central 
business district. Eligible costs may include acquisition of land and 
normal construction activities, including installation of lighting and 
fencing, trail blazers, on-site signing, and passenger shelters. Such 
facilities need not be located in conjunction with any existing or 
planned mass transportation service, but should be designed so that the 
facility could accommodate mass transportation in the event such service 
may be developed. Except for the requirement of the availability of 
mass/public transportation facilities, fringe parking construction under 
this section shall be subject to the provisions of 23 CFR part 810.106.
    (7) Reasonable public information and promotion expenses, including 
personnel costs, incurred in connection with any of the other eligible 
items mentioned herein.