The Americans with Disabilities Act of 1990 requires transit agencies be accessible to individuals with special needs. For the NTST, buses fall into the following categories:
Type “A” are equipped with more than 35 seats
Type “B” are equipped with 25 - 35 seats
Type “C” are equipped with less than 25 seats
Type “AB” are extra-long buses that measure between 54 and 60 feet.
Historically, type “C” buses have comprised the largest percentage of lift- or ramp-equipped vehicles, currently showing a 98 percent level of compliance. This is expected due to this class’ low average fleet age.
Type “A” bus compliance increased from 73 percent in 1998 to 98 percent in 2007.
Type “B” bus compliance decreased from 87 percent in 1998 to 99 percent in 2007.
Type “C” bus compliance increased from 92 percent in 1998 to 98 percent in 2007.
Type “AB” bus compliance increased from 68 percent in 1998 to 100 percent in 2007.
Figure 34: ADA Compliance - Bus

Operating funds are the funds transit agencies receive from Federal, state, local and directly generated sources that are applied to operating expenditures. These funds are applied in the year in which they resulted in liabilities for benefits received whether or not receipt of the funds actually took place within the report year.
Federal funds are the financial assistance used to defray some of the operating costs of providing transit service.
Operating funds applied to transit operations increased 44 percent over the last 10 years.
Figure 35: Total Operating Funds 1998 – 2007

Figure 36: Federal Operating Assistance as a Percentage of Operating Funds 1998 - 2007

Figure 37: Total Federal Operating Assistance per Trip 1998 - 2007

Figure 38: Federal Operating Assistance per Trip by Urbanized Area Size 1998 - 2007

Fare revenues are funds earned through carrying passengers in regularly scheduled service. It includes the base fare, zone premiums, express service premiums, extra cost transfers and quality purchase discounts applicable to the passenger’s ride.
Recovery ratio (also known as working ratio) is the percentage of operating funds applied (operating expenses) paid through fare revenues.
Figure 39: Farebox Recovery Ratio by Urbanized Area Size 1998 – 2007

Figure 40: Recovery Ratio (*) 1998 - 2007

(*) Recovery ratio shows a shows a sharp decline in 2007 due to the implementation of GASB (Government Accounting Standards Board) by many large transit agencies GASB requires transit agencies to accrue the cost of other post-employment benefits over the career of an employee and to disclose the amount of any unfunded liability. This new requirement significantly increased operating costs and thus decreased recovery ratios.
Subsidies are financial assistance received from Federal, state and local governments. Subsidies also include directly generated funds including: grants from private foundations, directly levied taxes and other funds dedicated to transit.
Subsidy per trip increased approximately 66 percent over the last 10 years.
Medium and small urbanized areas had a rate of increase greater than the rate of increase for large urbanized areas. This is due in part to the expansion of fixed route service in low-density areas combined with the expansion in demand response services. Demand response service accounts for a substantial portion of the service provided in medium and small urbanized areas.
Figure 41: Total Operating Subsidy per Trip 1998 – 2007

Figure 42: Total Subsidy per Trip by Urbanized Area Size 1998 - 2007

Operating funding sources include:
Fare revenues
Federal assistance
State assistance
Local assistance
Other funds.
Other funds include non-transportation funds, subsidies from other sectors of operations, auxiliary transportation funds, charter service, freight tariffs, school bus funds and directly levied taxes.
For large urbanized areas, the share of fare revenues decreased significantly from 1998-2007. A decrease in the share of fare revenues was compensated for by increases in Federal, state and local assistance.
Small and medium urbanized areas are more dependent upon operating subsidies than large urbanized areas. Fare revenues account for approximately 20 percent for these areas.
Comparison of Share Funding Sources by UZAs
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Figure 45: Equal to or More than 200,000 and Less than 1 Million Population – 1998 |
Figure 46: Equal to or More than 200,000 and Less than 1 Million Population – 2007 |
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Capital funds are the funds that the transit agencies receive from Federal, state, local and directly generated sources and that are applied to capital projects. Directly generated sources include any funds generated or donated directly to the transit agency including passenger fares, advertising revenues, donations and grants from private entities.
Capital investment increased by approximately 46 percent over the last 10 years. The role of the Federal government accounted on average for 43 percent of all capital invested in transit during the same period.
Figure 49: Total Capital Assistance — 1998 - 2007

Figure 50: Percent of Federal Share of Total Capital Assistance 1998 - 2007

Most of capital invested in transit comes from Federal sources. Federal funds account for most of all capital invested in small and medium urbanized areas. Large urbanized areas rely primarily on Federal funds and directly levied taxes to pay for capital projects.
Uses of Capital include the following categories:
Revenue vehicles: Vehicles used to provide transit service for passengers. Capital funds for revenue vehicles may be used for replacement, rehabilitation, remanufacture, rail overhaul and expansion of fleet.
Guideway: Buildings and structures dedicated for the operation of transit vehicles such as: at grade, elevated and subway structures, tunnels, bridges, track and power systems for rail modes and paved highway lanes dedicated to bus.
Communication and Information systems: Communication systems include two-way radio systems for communicating between dispatchers and vehicle operations, cab signaling and train control equipment in rail systems, automatic vehicle locator systems, automated dispatching systems, vehicle guidance systems, telephones, facsimile machines and public address systems. Information systems include computers, monitors, printers, scanners, data storage devices and associated software that support general office, accounting, scheduling, vehicle and non-vehicle maintenance and customer service functions.
Fare revenue collection equipment: Includes capital expenses for the acquisition of fare revenue collection equipment such as turnstiles, fare boxes (drop), automated fare boxes, and related software, money changers, etc.
Maintenance facilities: Central / overhaul maintenance facilities, light maintenance and storage facilities.
Passenger stations: Boarding/alighting facilities with a platform, including: transportation / transit / transfer centers, park and ride facilities, and transit malls with the above components, including those only utilized by buses. Passenger stations do not include: bus, light rail, or cable car stops.
Administration buildings: Include capital expenses for administrative buildings including the cost for design and engineering, land acquisition and relocations, demolition, and purchase or construction of administrative buildings.
Service (non-revenue) vehicles: Service, supervisory and other vehicles other than revenue vehicles.
Other including passenger shelters, signs and amenities, furniture and equipment that are not integral parts of buildings and structures.
Figure 54: Capital Expenditures — 1998 - 2007

Large and medium-sized urbanized areas operate almost all rail systems in the nation, and guideway and facilities account for a significant portion of the overall capital costs.
For small urbanized areas, bus and demand response are the most common modes. Thus, most uses of capital are revenue vehicles and facilities.
Figure 57: UZAs with Less than 200,000 Population

Bus systems require less capital investment than rail systems. Generally, rail systems are located in high-density corridors within the larger metropolitan areas of the United States. The high levels of service supplied in these areas require large investments in transit infrastructure (e.g. track, signals and communication systems, complex maintenance facilities, passenger stations, inter-modal terminals, real time data acquisition systems and other cost intensive items).
Bus systems do not require the same level of investment in infrastructure as rail. Therefore, revenue vehicles are the main use of capital for bus.
Figure 58: Percent of Uses of Capital Net of Revenue Vehicles Capital Expenditures 1998 — 2007
