Kokomo's City Line trolley ridership is up more than 35 percent this year,a press release from the city says.
The city added three new lines in 2013, more than doubled the number of stops and installed new shelters.
The bus system saw 403,000 riders in 2014, up from 297,000 the previous year.
Kokomo Mayor Greg Goodnight says the bus system gives people access to jobs, schools, grocery stores and doctor's appointments no matter where they live.
"By expanding the routes, the city has demonstrated its commitment to providing our citizens with reliable public transportation," Goodnight said in a statement.
City Transportation Director Tammy Corn said 2014 started off rough for the city.
"But a strong economy pushed demand for public transit led by commuters heading to and from work and school," Corn said.
The city also says enrollment increases at IU Kokomo and Ivy Tech led to steady increases in the number of student riders.