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Transportation Glossary
Term Description

Locally Derived Expense

Ratio equating fare, charter, and other revenue plus local operating assistance to total operating expenses. This measure is used to indicate the level of financial responsibility accepted at the local level for transit operations. A relatively high ratio is preferred. Increasing fare revenues, charter service, and other revenues, and/or increasing local operating assistance or decreasing operating expenses may increase the ratio.

NDSU Dept 2880P.O. Box 6050Fargo, ND 58108-6050
(701)231-7767ndsu.ugpti@ndsu.edu