The City of Galveston is a political subdivision of Texas authorized by Texas Transportation Code Chapter 458 in 2018 and therefore receives state funds for transit services. Based on results of the 2010 U.S. Census, Hurricane Ike caused the City of Galveston to lose its status as a small urbanized area (UZA) and an urban transit district (UTD). Galveston County Transit District was created to assist in the planning, funding, and development of regional transit access for rural Galveston County. In 2018, Galveston County Transit District discontinued to serve as an UTD and the City of Galveston resumes its UTD status.
The City of Galveston operates fixed-route bus and ADA paratransit services for Galveston Island through Island Transit. Island Transit is administrated by the City of Galveston Transportation Department and is governed by the city council.
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