Because of the overriding concern for the safety of the youngsters it transports, the pupil transportation industry is one of the few enterprises that seek more rather than less government regulation. The role of the federal government in the industry is not as great as the state governments, but without federal involvement the standardization that characterizes the industry would not exist. Generally speaking, the federal government developments regulations and guidelines about various aspects of school bus safety. Occasionally Congress enacts new legislation that affects the industry. Federal agencies in turn develop regulations.
Most regulatory control occurs at the state level.
Currently more than 500 laws, and countless regulations, are on the books of states in the United States governing some aspect of the industry. New ones are being added regularly. Since school transportation is a state-funded and not a federally funded program, state laws, regulations and policies prevail. Once the buses are actually on the highway state laws and regulations take over and govern the operational aspects of school buses in service. The NTSB investigates catastrophic school bus accidents and issues various investigatory reports.