Transportation Innovation Act

Transportation Innovation Act - Stipulates, under the Federal Aviation Act, that any application for a certificate or permit, or change therein, or for a change in any rate, fare, or charge, classification, rule, regulation, or practice, or for any other action which would affect service to the public shall be accompanied by an estimate of public benefits and losses resulting therefrom, including any unusual benefits or losses to identifiable major groups within the public.

Authorizes the conduct of a demonstration program by the Civil Aeronautics Board to enable Congress to evaluate the advantages and disadvantages of a contract method of providing air service to small communities. Directs the Board to enter into contracts with air carriers by which such carriers undertake to provide air service to and from small communities selected by the Board. Sets forth factors to be considered by the Board in selecting the small communities to be serviced, including: (1) the need for sufficient diversity among the various small communities selected; (2) the availability and practicability of alternative means of transporation to and from the various small communities; and (3) the views of the small communities and of the appropriate agencies of the government of each State.

Directs the Board to report annually to the Congress on the progress of the demonstration program.

Authorizes appropriations of up to $2,000,000 per fiscal year to carry out the provisions of this Act.

Directs the Secretary of Transportation to carry out demonstration programs in order to determine whether (1) airport congestion may be reduced through increased user charges and (2) highway congestion may be reduced through the establishment of tolls on heavily used highways and streets during peak hours.