Federal transit operating subsidy options. Paper presented at the 54th Annual Meeting of the Transportation Research Board (TRB), Washington, January 1975.

The political and historical background of transit operating subsidies are reviewed. The issue discussed is not whether there should be operating subsidies, but rather which levels of government should provide them and in what fashion. Three arguments are reviewed: the fiscal, federal role, and pragmatic arguments. Four categories of operating subsidy options are examined.