Transportation Management Organizations (TMO)

TMOs vary widely in size, structure, membership, funding, and services. TMOs operate at various scales: larger organizations oversee entire cities or regions, while smaller associations manage transportation needs for medical facilities, shopping centers, business districts, and industrial zones, among others.

TMOs are established solely to implement transportation demand management (TDM) programs and services within a community. Regardless of its structure, a TMO applies carefully selected TDM strategies to facilitate the safe and efficient movement of people and goods within an area. TMOs play an essential part in shaping and implementing TDM programs with specific objectives that typically include:

• Reducing single-occupancy vehicle (SOV) commuter trips
• More efficient allocation of parking resources
• Reducing peak-period traffic levels
• Shifting traffic to off-peak periods
• Promoting alternatives to single-occupancy vehicles
• Improving transportation accessibility and system performance

In the 1980s, TMOs emerged as public-private partnerships to address traffic congestion and air quality issues in communities across the United States. More than 125 TMOs operate today throughout the country, 8 of which are in Colorado.

The appeal of a TMO lies in multiple organizations and individuals banding together to address and accomplish more than any one government agency, employer, developer, or resident could alone. The need for a TMO stems from recognizing that each group significantly influences transportation and air quality and can make significant contributions to improving mobility and air quality.

Member-controlled transportation management organizations are more responsive than most government-run TDM initiatives because they are not encumbered by administrative red tape and can implement new policies more quickly and with greater flexibility. They also play a key role in supporting smart growth initiatives and land-use patterns that align with mixed-use models favored by many forward-looking municipalities.

The geographic scope of a TMO varies with each organization. Across the nation, one-third of all TMOs offer services region-wide, and one-fifth serve a central business district. The remainder serve suburban business parks, residential areas, transportation corridors, and tourist venues. TMO services also vary by organization. The most common services are rideshare promotions and member advocacy.

If you are interested in establishing a TMO/TMA in your area, Colorado offers seed-funding grants. More information is available on the OIM Grants Page and the TMO Seed Funding Grant.

The Transportation Management Organizations (TMO) Guidebook provides comprehensive information to help the NFRMPO identify the role TMOs can play and how funding can be allocated to TMO programs and services via a Call for Projects process.