Ridership on traditional fixed-route public transit services in the United States has been declining. And service quality on many of these transit systems has been lackluster. To combat these problems, many regions have developed a supplementary transit option called microtransit.
Microtransit is an on-demand service that connects low-density areas within a metro area to business and activity centers or nearby transit stops. These systems connect riders through their first or last mile of public transit. Microtransit can assist an underserved transportation niche and be particularly valuable for people with limited mobility.
While transit agencies are still experimenting with this new type of service, several operate cost-effective, reliable services with relatively high ridership. For example, Denver’s Regional Transportation District (RTD) has succeeded with its microtransit system FlexRide. With 26,000 new FlexRide users since 2022 and an increase in overall transit boardings of five million rides two years, FlexRide complements Denver’s fixed-route transit system.
FlexRide operates in low-density suburban areas and connects riders from the first and last mile of their journey to fixed-route transit services—buses, light rail and commuter rail. Similar to other on-demand transportation services, like Uber and Lyft, microtransit riders can request to be picked up for a ride in just 10 minutes or schedule one up to 30 days in advance. Then, a minibus takes riders to the closest bus or light-rail station to complete their journeys.
Denver’s Regional Transportation District’s microtransit system has proven very cost-effective. Of RTD’s $784 million operating budget, less than 6% funds FlexRide. But FlexRide has bolstered ridership by more than 10% in lower-density areas, making it a more cost-effective option. However, not all transit agencies have had the same success. Microtransit alone cannot fix a transit system with higher operating costs.
In contrast to Denver, the Des Moines Area Regional Transit Authority (DART) has struggled with low ridership and high costs. The agency is eliminating the service in two of the three regions that it operates. Despite the 18,000 riders using DART’s traditional microtransit service in 2024, DART On Demand, 40% of the system’s total fixed-route bus service would have been cut if not for a $3.6 million dollar grant from the metropolitan planning organization (MPO).
Despite the introduction of microtransit service and some recent growth— DART says its overall ridership was up 10% from July 2023 to May 2024, Des Moines’ transit ridership is still down from its pre-COVID-19 ridership numbers.
There are numerous differences between Denver and Des Moines that impact transit services and ridership, but it is worth considering how FlexRide is able to encourage ridership cost-effectively while DART On Demand struggles with high costs.
Both are public transit agencies, but DART On Demand operates all of its own services. DART’s in-house staff conducts the maintenance, operates the bus service, and cleans the vehicles. In contrast, Denver RTD contracts with Transdev, a private transit contractor, to clean, operate, and maintain FlexRide’s bus operations.
Having transit agencies directly operate service is standard practice in the United States. It often leads to higher costs and lower-quality service.
When service quality dips, so does ridership. Public agencies rarely meet the same performance standards as private contractors, and even if they must meet metrics, there is rarely a penalty for noncompliance. DART On Demand is a typical example of a transit agency–operated service. The average pick-up time for ride requests has reached 20 minutes, and dissatisfied riders have understandably quit using the service.
That said, not everybody is unhappy.
“The last time we did a customer satisfaction survey of our riders (2022), the majority of DART On Demand riders (80%) reported being either satisfied (33%) or very satisfied (47%) with their overall DART On Demand experience,” DART spokesperson Sarah Welch emailed* after the initial publication of this article. “Most riders (73%) think they will definitely continue to ride a year from now and 71% are very likely to recommend the service to a friend or family member.”
Given that the same agency in charge of overseeing service is also operating that service, political concerns and bureaucratic conflict interfere with incentives to improve service. Bureaucratic hurdles slow the decision-making process and reduce the responsiveness to rider problems. So, despite public requests for service improvements, governments’ overly bureaucratic decision-making processes often delay change.
For DART to initiate change, for example, the board of commissioners votes on pressing matters in a meeting held once a month. The board then takes comments from the public to add to the next meeting’s agenda. When an item moves to the approval stages, the commission needs to approve the changes formally.
Compare Des Moines’ approach with how Denver RTD operates its microtransit. As with most contracts, private entities must operate a high-quality service to have their contracts renewed. For Transdev, high-quality service means timely vehicle arrivals, reliable drivers, a safe system, and real-time updates to service changes. Considering these metrics, 76% of riders reported being satisfied with the RTD’s service. With high overall rider satisfaction, Transdev makes it more likely it will remain the microtransit provider for RTD.
The Des Moines Area Regional Transit Authority is experimenting with different types of microtransit services. One promising answer is Flex Connect which contracts with Uber as its primary operator. Although only available in one geographic area, the service has seen promise. Instead of using minibuses, Flex Connect gives riders a voucher for Uber during the workweek. Since Flex Connect is a first-mile/last-mile service that connects to existing fixed-route services instead of a traditional microtransit provider, it’s challenging to make an apples-to-apples comparison. However, transit riders throughout Des Moines could benefit from a fixed-ride service that better connects to the existing network.
“Given the demand we are seeing for the on-demand service, there is a possibility we may be able to serve more people at a lower cost using fixed route in the future,” Welch emailed.
By using an independent operator instead of directly operating service, the Des Moines Area Regional Transit Authority’s FlexConnect system might be able to respond better to rider requests and market incentives. By increasing the number of FlexConnect zones, DART could increase ridership on its system and possibly mirror some of Denver’s Regional Transportation District’s success.
All metropolitan transit agencies should consider microtransit and other innovative ways to serve riders, reduce costs and improve efficiency.
*Editor’s Note: This post has been edited for clarity and added statements from the Des Moines Area Regional Transit Authority.