School & Employee Bus Transportation NAICS 485410

Mar 17, 2025 - Transit and Ground Passenger Transportation Revenue Soars

• Total revenue for transit and ground passenger transportation increased 22.1% year over year in the third quarter of 2024, according to the US Census Bureau. Contributors to revenue spikes in the mass transit sector include a record year for Amtrak, which saw ridership increase to an all-time record of 32.8 million customer trips. Amtrak revenue increased 9% in 2024 to $2.5 billion. In addition, the Infrastructure Investments and Jobs Act of 2021 flooded the industry with $1.2 billion in government spending to modernize US transportation systems. Intercity bus travel also saw significant success as more travelers sought it out as a more affordable option to air travel. Added city-to-city routes, competitive pricing, and amenities like Wi-Fi and luxury seating have allowed bus services such as FlixBus (also the owner of Greyhound) to post double digit revenue growth in 2024.
• Commercial bankruptcy filings decreased 1% year over year in November after increasing 8% year over year in October, according to Epiq AACER, a provider of US bankruptcy filing data. Employee bus transportation services may be impacted by changes in the number of bankruptcy filings. Commercial chapter 11 filings decreased 22% year over year in November. Small business filings, captured as subchapter V elections within chapter 11, increased 28% in November. "While still below the levels recorded prior to the pandemic, the steady growth in filings reflects the growing financial challenges faced by distressed companies and consumers,” said American Bankruptcy Institute Executive Director Amy Quackenboss.

• School districts nationwide have found that Wi-Fi on buses can extend learning beyond the classroom, according to School Transportation News. Providing students with internet access during their commutes and in locations where home internet may not be accessible offers a unique approach to narrowing the homework gap, especially for students in remote or economically disadvantaged areas. Several organizations have called for expanded eligibility within the Federal Communications Commission’s E-Rate program, which provides discounted telecommunications services to eligible schools. The program has evolved to meet the growing technology needs of these institutions, advocates argue, but current restrictions limit its full potential. Expanded E-Rate eligibility could help make internet-equipped buses a more viable option for schools struggling with connectivity gaps, advocates say.
• Workplace occupancy, an indicator of demand for employee bus transportation service, was 51.4% for the seven-day period ending on December 18, down from 53.7% for the seven-day period ending on December 11, according to data gathered from swipes of access control cards in buildings with security systems provided by Kastle Systems. Occupancy rarely hit the 50% mark from the early days of the coronavirus pandemic through early 2024 despite attempts by many organizations to bring employees back. The Houston, TX, metropolitan area had the highest occupancy for the seven-day period ending on December 18 at 60.3%. The San Francisco, CA, metropolitan area trailed all others tracked at 39.1%.