Performance of transit agencies in the United States improved during the 1980s. At the beginning of the decade, Americans had become disenchanted with transit; legislation was passed that required agencies to report performance and accept regular audits. Theory underlying these policies is examined in four components: dimensions for policy objectives, indicators, information systems and incentives. Three programs are examined: federal triennial reviews that monitor compliance with planning and grant requirements, California performance audits that analyze goals and track performance on five indicators and the Los Angeles program that encourages improvement by offering incentive payments for better-than-average performance. The California audits have been the most successful.
