On Dec. 11, 2025, TART (Tahoe Truckee Area Regional Transit) Connect’s microtransit services ceased operations in Incline Village and Crystal Bay. The reason: funding.
The on-demand, curb-to-curb shuttle program connecting the Truckee/Tahoe region for free, while also reducing greenhouse gas impacts and road congestion, has been seen as a success since its 2017 implementation — providing more than 1 million rides, with 65% of its ridership full-time residents.
But the Nevada side of North Tahoe (Washoe Tahoe, a term being used by TART) has struggled to maintain a consistent revenue stream to keep TART afloat. Sources in the past included Washoe County, RTC Washoe, Travel North Tahoe Nevada, the Reno-Sparks Convention and Visitors Authority, Tahoe Fund, and the League to Save Lake Tahoe. During the 2025 Nevada legislature session, there was an effort to introduce Business Improvement District (BID) legislation (SB 420), which would create the option for private sector funding mechanisms. It did not pass.
TART’s main bus service still serves Washoe Tahoe.
Funding on the California side of the Basin, meanwhile, reveals a stark difference. In Eastern Placer County, TART services stem from a dedicated source — TOT-TBID Dollars at Work, a program reinvesting locally generated funds into community-forward initiatives. Further, just two days before Washoe Tahoe’s cease of microtransit services, the North Lake Tahoe TBID (Tourism Business Improvement District) was renewed for 10 years by the Placer County Board of Supervisors.
Part of the reason for decreasing TART Connect funding in Nevada, as explained in a November 2025 press release by Tahoe Truckee Transit, is declining tourism revenue in Incline and Crystal Bay.
I reached out to Andy Chapman, president and CEO of Travel North Tahoe Nevada, to further understand; and also checked in with Eastern Placer County and Truckee about microtransit funding.
~ AH
To your knowledge, has the Tahoe Basin collectively witnessed a downturn in tourism over the past year? What would you attribute the decrease in international (and national?) visitation to? What specific inventory was decreased in Washoe Tahoe?
Speaking specifically about what we saw in Washoe Tahoe, we saw softer international visitation consistent with national trends, with international tourism spending down 11% compared to 2024.
Total room revenue was down by 30%, with total rooms occupied falling by 18% and average daily rates down 14.5% when compared to 2024.
Domestic visitor spending, however, remained stable, with a shift toward more day trips and shorter visits.
We have seen lower numbers this past summer. Vacation rentals saw an 8% drop compared to 2024 but are up 30% from 2019 levels.
The Tahoe Biltmore is offline, and the Hyatt is currently undertaking significant upgrades, which temporarily limits the inventory available on the hotel side as well.
Meanwhile, the motel category has shown strong growth, up 12% from 2024 and an impressive 209% from 2019.
Why do you think implementation of a Business Improvement District found success on the California side of the Tahoe Basin, versus the Washoe Tahoe area?
While we weren’t successful in getting the legislation to enable a BID in Washoe Tahoe during the most recent legislative session, we were very encouraged by the number of business and community members who supported the concept. As with many legislative changes, it can take multiple legislative sessions to build consensus among legislators.
California’s side of the Tahoe Basin’s Tourism Business Improvement District has proved successful because it provides a dedicated funding source that complements existing state and local funds rather than replacing them altogether. Currently, Nevada does not have a statute enabling BIDs. We hope Nevadans will see the successes driven by the TBID in California and want to replicate it here.
With a TBID, Crystal Bay and Incline Village could generate dedicated funding for visitor services, economic development, and other community programs and projects that support tourism vitality and visitor impact mitigation, business growth, transportation enhancements, and community priorities.
Have any new solutions come forward since the late-November 2025 announcement about reduced TART services?
The reality is that we need to secure long-term funding for initiatives like TART Connect and other programs that mitigate visitor impacts in our communities. Travel North Tahoe Nevada is continuing to push forward proposals like the creation of the BID, and we encourage community members and businesses who want to solve these challenges to join us in advocating for this approach. Half measures and piecemeal funding approaches are unsustainable, and we are laser-focused on creating a long-term, local solution.
~ Andy Chapman, president and CEO of Travel North Tahoe Nevada
Has Eastern Placer County has seen a similar softening in tourism over the past year or so?
TOT and TBID collections in Eastern Placer County through the fall point to a low single-digit reduction in overall occupancy year-over-year, but we haven’t yet received final numbers through the end of 2025 to offer anything more exact. Occupancy is forecasted to grow year-over year in 2026 by 0.5%, however, there are variables like the slow start to winter that can have an impact on overall visitation.
That said, with the business community’s decision to renew the TBID, North Lake Tahoe is in a unique position to continue reinvesting tourism-generated revenues into projects and programs aligned with community priorities.
~ Tony Karwowski, president and CEO of the North Tahoe Community Alliance
What about Truckee?
Truckee has certainly seen shifts in visitation trends since the peak years following Covid. Like many mountain destinations, we experienced unprecedented growth during that time, and while visitation remains steady, we are seeing some flattening when looking at lodging. As an example, Truckee’s Transient Occupancy Tax (TOT) collections have declined 8% from fiscal year 2022/23 to fiscal year 24/25. We have yet to release our economic impact report from 2025, but you can take a look at 2024 for additional context in terms of overall visitor spending.
That said, Truckee is in a unique position. Our community recognized the value and success of TART Connect in providing sustainable transportation options. So much so that voters passed Measure E in 2024. This half-cent sales tax paid by residents, visitors, and second homeowners is estimated to generate $3.5 million annually to fund essential services like wildfire prep, transit services, stewardship projects, etc. in Truckee.
~ Jackie Calvert, Visit Truckee-Tahoe executive director
