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In the aftermath of a 1982 transit strike, a new industry arises in poorer neighborhoods of New York outside Manhattan. The "dollar van" business provides privately-owned and operated competition to public buses. As some 50,000 people daily come to choose vans over public buses, their success and growth come to pose a threat to the public system. This case recounts the story of the growth of the dollar vans, describes their immigrant owner/operators, and details regulatory steps initiated by the New York Transit Authority to limit their role and spread. The case raises two key issues. Is public transportation a natural monopoly that should be protected by regulation? Does government have an obligation to ensure that certain vehicle standards are maintained -- even if that means effectively eliminating the private competition of public systems? Supported by a grant from the Institute for Justice.