U S Government Accountability Office (G
Published: 2013-06
Total Pages: 60
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Pursuant to a congressional request, GAO examined the condition of the intercity bus industry since its deregulation in 1982, focusing on: (1) the social and economic implications of this decline; (2) state efforts to support intercity bus service; and (3) policy strategies for the Department of Transportation (DOT) to consider as it develops guidelines to address intercity bus needs. GAO found that: (1) regulatory relief for the intercity bus industry in 1982 did not revitalize the industry, and shrinking rural populations, increased competition from air and rail transportation, and increased car ownership led to reduced bus ridership; (2) intercity buses went from serving almost 12,000 locations in 1982 to serving fewer than 6,000 locations in 1991, and over the same period, the bus industry's share of intercity passenger-miles on public transportation fell from 12 percent to 6 percent; (3) the social and economic effects of declining intercity bus service are difficult to assess because data on the number and characteristics of users of the abandoned routes are scant, but available evidence suggests that the affected riders are those least able to afford and least likely to have access to alternative transportation; (4) 20 states have ongoing efforts to maintain or support intercity bus service, which include financial support for individual bus routes, funding for construction or rehabilitation of intermodal terminals used by buses, and providing new vehicles to bus firms at reduced cost; (5) the Intermodal Surface Transportation Efficiency Act of 1991 recognized the need to expand federal transit activities by requiring states to spend at least 15 percent of their allocations to assist intercity bus service; and (6) some states could face difficulty using those funds effectively because DOT has not decided what activities will be eligible to receive set-aside funds and because of federal labor protection requirements.