Involving Private Providers in Public Transportation Programs: Administrative Options

摘要

This report compares the two options for involving private taxicab, van and bus operators as service providers in public transit programs. The paper examines provider-side subsidies, in which funds are paid to a provider for offering specified services and fare levels, and user-side subsidies, in which selected users may obtain transportation vouchers at discounted prices and then purchase services from the providers of their choice. The report reviews experience to date with both techniques, and develops a preliminary assessment of their performance. The report should be of special interest to local government transportation departments, social service agencies, and similar groups.