Prior to COTA's founding, bus service in the area was managed by the privately owned Columbus Transit Company (CTC). In 1971 the CTC was in the midst of budget problems, so in order to maintain bus service in the area, the local governments of central Ohio created COTA. COTA acquired the assets from the CTC on January 1, 1974 and began operations the same day. COTA acquired the CTC bus service for $4.8 million. In mid-1974 COTA established its Park & Ride program and sets up the first routes at area shopping centers. At that time, cash fares were 50 cents.