ABA Foundation – Facts – Self-Sufficiency

Federal Subsidies for Passenger Transportation, 1960-2009

Motorcoach operations form the backbone of the American transportation network by providing flexible cost effective traveling options to the public. Motorcoaches are part of the economic, transportation and environmental solution and should be included as a vital part of federal, state and local transportation planning. In terms of membership size and scope, ABA is the dominant motorcoach association. Nearly 70% of all the motorcoaches on the highways and roads today are owned and operated by ABA member companies.

The Study

This study compared the cost to tax payers to support transit, commercial aviation, passenger automobiles and private commercial buses. Researchers analyzed Federal government outlays on transportation and present estimates of Federal subsidies that take into account Federal revenues raised from aviation and highway-related excise taxes.

Key Findings

Commercial Buses are Self-Sufficient

From 2002-2009, private sector commercial buses received less than one percent of the total federal subsidy for passenger transportation.

Taxpayers Subsidize Amtrak and Commercial Air

From 2002-2009, subsidies per passenger trip were significantly different across transportation modes, with Amtrak and private sector commercial air passengers receiving subsidies as much as 400 times greater than passengers of less subsidized modes.