Op-Ed: A step backward for paratransit? What riders stand to lose

Feb. 10, 2025
FTA issued guidance that may limit agencies’ ability to integrate TNCs into their demand-responsive paratransit services, potentially reducing service availability and increasing costs.

For many paratransit riders, transportation dictates what is possible in a day. A rigid system requires advance planning and limited options, while a flexible one adapts to real needs as they arise. It’s about having the freedom to participate fully in daily life. 

But a new federal policy clarification could make that harder. 

On Dec. 30, 2024, the Federal Transit Administration (FTA) issued guidance that may limit transit agencies’ ability to integrate transportation network companies (TNCs) into their demand-responsive paratransit services. This change could reduce service availability for riders and dramatically increase costs for transit agencies. 

Worst of all, this abrupt policy change came with no warning and no industry involvement, leaving agencies scrambling to adapt long-established service models without a transition plan or clear guidance. A shift of this magnitude shouldn’t be imposed without collaboration, as it directly impacts the mobility and independence of riders who rely on these services every day. 

In a public comment submitted to the Federal Register, one person wrote, "Before TNC programs were available, my life was dictated by the strict schedules and inflexibility of traditional paratransit. To go anywhere, I had to plan my life at least 24 hours in advance, if not more…Thanks to the mobility on demand service, I can travel on demand - just like everyone else. Whether it’s a doctor’s appointment, a last-minute errand or simply visiting a friend, I have the ability to live my life without constant logistical hurdles." 

Why flexibility matters for riders and agencies 

Paratransit services must accommodate every eligible ADA ride request, but dedicated fleets alone cannot always meet demand. Many agencies have successfully incorporated TNCs not as a replacement but as a complement to their contracted services, allowing them to provide more trips at lower costs and a higher service quality. 

We’ve seen firsthand how this approach benefits both riders and agencies: 

  • Operational costs for paratransit services have decreased by over 70 percent in some cases, a critical improvement for agencies where the average subsidy per trip often exceeds $100. 
  • Paratransit riders have gained access to same-day transportation, giving them more opportunities to move freely in their communities without extensive pre-planning. 
  • Agencies have optimized their fleets, using dedicated vehicles for trips in high-density areas while deploying TNCs for lower-density trips, reducing inefficiencies and improving service coverage. 

By restricting the use of TNCs and taxis, this policy removes a valuable tool that has helped agencies expand service and control costs. Instead of giving agencies the flexibility to determine the best approach for their riders, it could result in longer wait times, reduced service coverage and increased costs—ultimately wasting taxpayer dollars and failing to serve the people who rely on these services most. 

Forcing agencies backward with outdated models 

If agencies can no longer leverage modern technology to integrate TNCs, they may be forced to return to outdated paper voucher programs and manual dispatching, which: 

  • Increase administrative burden and inefficiencies for agencies. 
  • Drive up costs while limiting service availability. 
  • Reduce flexibility, leading to longer wait times and fewer trip options for riders. 
  • Is very prone to extensive waste, fraud and abuse. 

Rather than embracing proven solutions that improve efficiency and accessibility, agencies could have to rely on paper-based or manual systems that create unnecessary barriers for riders. 

In a recent Newsweek op-ed, disability advocate Alex Elegudin highlighted how outdated regulations have historically made transit unnecessarily difficult for people with disabilities. He explained how flexible transportation options have allowed riders greater independence, giving them the ability to run errands, get to medical appointments and connect with their communities without unnecessary delays. 

Restricting these advancements would return paratransit to a system where riders have fewer choices, longer wait times and less control over their mobility. 

A smarter path forward 

This discussion shouldn’t be framed as TNCs versus dedicated transit vehicles. The key question is how do we ensure transit agencies have the flexibility to provide the best service possible? 

Rather than limiting agencies' ability to modernize, policies should: 

  • Enable agencies to use dedicated fleets, TNCs and taxis to strategically meet rider demand. 
  • Encourage service models that improve efficiency. 
  • Prioritize riders by ensuring that policy decisions reflect real-world impact. 
  • Help agencies serve more rides using the same budget. 

Paratransit is a lifeline, not a luxury. Riders deserve the same level of flexibility and reliability as any other transit user, and agencies need the tools to provide that service. 

As we consider the future of accessible transportation, let’s ensure we’re making decisions that support independence, dignity, and mobility, not creating new barriers that hold people back. 

About the Author

Kristoffer Vik Hansen | CEO and Co-Founder, Spare Labs

As Spare’s CEO and co-founder, Kristoffer brings considerable knowledge of data-driven mobility platforms as a lead solution architect to the table. A native of Norway, Kristoffer moved to Canada to pursue his bachelor’s degree in Integrated Engineering at the University of British Columbia (UBC) in 2010. Before starting Spare, he co-founded Awake Labs, a wearable technology company committed to improving the lives of individuals with developmental disorders before shifting gears.