One of a series of Memoranda developing procedures for evaluating alternative transportation proposals. This study devises a method for analyzing prospective modifications of intercity facilities. Current models for predicting travel demands deal with neither new transportation modes nor major improvements in existing modes. The proposed intercity travel model assumes that the user chooses among modes according to their attributes--e.g., travel cost, time, and safety--and selects the route that maximizes his trip's utility. A new mode may be introduced by specifying its attributes. In the proposed user-benefit model, the benefits received from transport improvements are measured in dollars and are aggregated over all origin-destination point pairs and time periods. (See also RM-5869.) 85 pp. Ref.