A public transportation benefit area (PTBA) is a Washington State Special Purpose District whose sole function is to provide public transportation in a designated area. The Clallam County PTBA, with the trade name Clallam Transit System, was formed on July 24, 1979. Voters of Clallam County subsequently approved the collection of a sales tax not to exceed 0.3 percent (0.3%) of one cent ($0.01) to fund the transportation services provided by Clallam Transit System.
On October 13, 1980 CTS began its operations with a fleet of 12, 22-passenger vehicles servicing 10 fixed routes. In 1981, paratransit operations began through contracted services to meet the needs of Clallam County's disabled and elderly populations. In 1984 the west end of the county (Forks, La Push, Clallam Bay, Sekiu, and Neah Bay) were annexed into the PBTA. In 2000 after the elimination of the state motor vehicle excise tax (MVET), voters approved an additional 0.3 percent (0.3%) of one cent ($0.01) to replace the lost revenue from the MVET and establish needed revenue to continue the public transportation services provided by Clallam Transit System. In 2011 CTS assumed operations of paratransit services.