Since the Ministry of Transportation and Communication reissued the licenses for tourist coaches in September 1991, the quantity of tourist coach has increased dramatically. Because of the keen competition, the proprietors invested in the commuting buses in addition to sightseeing buses. However, the regulation of commuting buses is not well defined and the operational information is difficult to obtain. Besides there are similar services offered by competing bus companies in the market. The service level of commuting buses and traffic safety problems have gradually affected the service level of public transit. In this paper, we propose quantity control, distribution control and level of service supervision to improve the service quality of commuting buses. These strategies construct a solid administration system which would benefit both the industry and the government.