 The Omaha Traction Company , which operated as the Street Railway Company , changed its name to the Omaha Transit Company when <unk> service ended in the city in 1952 . After World War II <unk> preferred their automobiles and new highways . When the Urban Mass Transit Act of 1964 was passed , Omaha 's private transit companies were not able to apply for federal subsidies available to public transit operators . The Omaha Transit Company ceased operations on June 30 , 1972 , when the City of Omaha assumed authority for public transportation in the city . City Transit Lines , another private company in Omaha , went out of business on that day as well . The Metro Area Transit Authority was created by the Nebraska Legislature , consisting of a five @-@ member board appointed by the mayor and confirmed by Omaha 's City Council and the Douglas County Commissioners . It acquired the assets of the Omaha Transit Company and selected assets of the City Transit Lines of Council Bluffs , along with more than $ 3 @,@ 000 @,@ 000 in federal funding . The Authority operates today as Metro Area Transit , or MAT . 
