Rep. Thompson Proposes $500 Million Annual Investment in National Bike Infrastructure and Tax Breaks

U.S. bicycle manufacturers and assemblers would benefit from duty-free imports of bike parts, lowering their production costs and making them more competitive. The bill sets ambitious goals of 2 million bikes assembled domestically within 5 years and 5 million within 10 years, which could create significant growth opportunities for small bike shops and assembly operations.

Elementary and secondary school students would gain access to on-bicycle safety education funded through federal grants. Updated safety guidelines would teach kids how to navigate roads, follow traffic rules, and use helmets. Safe Routes to School programs would also receive a higher federal funding match (95%), making it easier for states to build safer walking and biking paths near schools.

Indian Tribes are eligible for the new active transportation infrastructure grants and the bicycle transit integration program. The bill also requires at least 5% of federal lands and tribal transportation program funds to go toward active transportation projects like sidewalks, bike trails, and pedestrian signals on tribal lands.

The bill explicitly includes ADA compliance projects as eligible for active transportation funding, meaning new pedestrian infrastructure must be accessible. Motorized wheelchairs are specifically exempted from restrictions on motorized vehicles on recreational trails, and the bill references ADA Transition Plans as qualifying safety plans for increased federal funding.

Delivery drivers and other gig workers who use bikes or e-bikes could benefit from safer cycling infrastructure and better-connected bike networks. However, the tax-free commuter benefit only applies to employer-provided reimbursements, which may not reach most independent contractors.