Contrary to claims by many advocates of rail transit, the high capital cost of rail lines is rarely made up for by rail’s lower operating costs relative to buses. This can be seen from data in the National Transit Database’s annual time series capital use spreadsheet. This spreadsheet has capital costs for all transit agencies and modes dating from 1992 through 2018.
Click image to download a four-page PDF of this policy brief.
Capital funds are generally spent on things that last for many years while operating costs are spent mainly on one year’s activities. Thus, comparing them is difficult, but it is possible. This policy brief will make a first approximation for transit projects nationwide, but care must be taken in comparisons for specific projects. Continue reading
