Description: In Lithuania, public transport is managed on two levels. Rail and intercity coaches are managed at the state level. Meanwhile, bus service in urban and suburban areas is organized by municipalities. There are 60 municipalities in Lithuania and such decentralization of urban and suburban transport in a country with a population of 2.8 million creates a situation where only large cities have a sufficient quality of a public transport and small municipalities cannot ensure modern needs for communication. The consequence is the increasing use of cars. In order to make public transport in rural areas, small towns and municipalities more effective, the Ministry of the Interior has undertaken an extensive study of the public transport system which is carried out by Smart Continent. The study answers questions about more efficient management model and possible technical and organizational solutions at the country level.