Special Needs Transportation NAICS 485991

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Industry Summary
The 3,600 special needs transportation providers in the US offer transport services to the infirm, elderly, or handicapped. Organizations generally receive funding from a combination of fares, government programs, Medicaid NEMT, and service contracts. The industry excludes firms that focus on school or employee bus transportation for special needs individuals or ambulance services.
Dependence On Government Funding
Special needs transportation providers often rely on multiple sources of government funding, including the Federal Transit Administration (FTA), Medicare, Medicaid, and the Veterans Health Administration.
Specialized Vehicle Requirements
Riders with special needs often require specially-equipped vehicles.
Recent Developments
May 23, 2025 - Major US Airport Shuttle Firm Sued for Lack of Wheelchair Access
- Three wheelchair users have filed a class action lawsuit against SuperShuttle Express, an airport transportation company serving 70 US cities. The suit contends that SuperShuttle does not offer wheelchair-accessible accommodations despite claiming to do so on its website. The plaintiffs argue that the lack of access runs afoul of the Americans with Disabilities Act (ADA), as well as various state laws.The suit asks SuperShuttle to either provide wheelchair access accommodations themselves, or partner with third-party transportation providers to do it for them, as well as seeking unspecified damages. According to the US Census Bureau, there are 5.5 million American adults who require a wheelchair, or roughly 2.3% of the population. Plaintiffs of the lawsuit contend that even a small fraction of those statistics translates into tens of thousands of individuals who fall under the ADA that are not being served by ShuttleExpress.
- Paratransit services nationwide could hit a speedbump in 2025 if the Federal Transportation Authority (FTA) adopts a proposed rule requiring rideshare companies who participate in paratransit programs to drug test drivers. Paratransit - demand-driven, door-to-door public transportation services for those with disabilities - is required under the Americans with Disabilities Act. Recent partnerships with rideshare companies like Lyft and Uber to broaden paratransit offerings beyond buses and trains are now available in about 80 cities across the US. The FTA said it erred in not making rideshare driver testing a condition of partnering with a transit agency to offer paratransit services. Industry pushback against the change has been aggressive, with many rideshare companies arguing they already have safety procedures in place and the FTA rule adds a redundant safety layer and increases costs, which could force them to end paratransit partnerships.
- About 96% of transit agencies surveyed by the American Public Transportation Association reported a workforce shortage, and 84% of those reporting a shortage said that it is affecting their ability to provide service. Shortages are most acute at entities serving large, urbanized areas and/or with greater ridership, but reports from across the country indicate that the shortage has forced service reductions regardless of ridership size, service area population, or fleet. Shortages of operators and mechanics are particularly acute.
- Total revenue for transit and ground passenger transportation increased 22.9% year over year and 8.1% quarter over quarter in the second quarter of 2024, according to the US Census Bureau. Special needs transportation industry employment increased slightly while average wages for nonsupervisory employees decreased moderately during the first nine months of 2024, according to the US Bureau of Labor Statistics. Special needs transportation industry sales are forecast to increase at a 5.67% compounded annual rate from 2024 to 2028, faster than the growth of the overall economy, according to Inforum and the Interindustry Economic Research Fund, Inc.
Industry Revenue
Special Needs Transportation

Industry Structure
Industry size & Structure
The average special needs transportation provider operates a single location, employs about 18 workers, and generates $1-2 million in annual revenue.
- The special needs transportation industry consists of about 3,600 firms that employ about 64,000 workers and generate around $56.2 billion annually.
- The top 50 organizations account for 45% of industry revenue.
- Most special needs transportation providers operate within a limited geographical market or metropolitan area and may work in conjunction with public transportation systems.
- Access Services of Los Angeles, CA is one of the largest public operators of paratransit services in the US.
Industry Forecast
Industry Forecast
Special Needs Transportation Industry Growth

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