Quantifying the Purchasing Power of Public Transportation in Texas: Technical Report

Investments on public transportation in Texas contribute to the state and local economy by improving transportation options, which in turn creates benefits for individuals, businesses, and governments. Many different agencies provide public transportation services in Texas. Each of these agencies buys goods and services on an individual basis. The purpose of this research is to quantify the purchasing power of public transportation in Texas and to estimate the economic impact on state and local economies. The research also documents how cooperative purchasing can leverage buying power to reduce the cost of equipment, goods, and services and reduce the time and expense for administration of procurement activities for public transportation providers. Case study examples illustrate opportunities for public transportation providers to leverage buying power through cooperative purchasing.