MCTS says the lost boy, who was less than a year old, was wearing just a diaper and onesie when driver Irena Ivic spotted him December 22 along her route in Milwaukee.
Ivic stopped the bus and ran out to scoop up the baby, as seen in a video released by the transit system.
A passenger noticed the youngster was shivering so put her jacket around her to keep her warm. She carried the baby to the bus, where passengers gathered in disbelief.
The bus driver was honoured at a commendation ceremony on Thursday. Kasim told the station he believes his wife, who he said has a mental illness, took the baby to a church across the freeway and later forgot about her. The boy was chilled after spending time outside in the freezing temperatures.
The MCTS said in a statement that the baby was unharmed.
Ivic sat talking to the coat-swaddled baby, stroking her hair.
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Ivic quickly ran across the busy street, stopping traffic in the process, to grab the cold and crying child.
According to Milwaukee County Transit System, police said the baby's mother left him outside and he was reunited with his father.
"Oh my God, I'm shaking", Ivic can be heard saying when she returns to the bus with the girl.
"I used to be a teacher and I have children of my own, so I'm so happy I was able to help this sweet, innocent baby", Ivic said.
Abele said this was the ninth lost or missing child found by drivers in recent years.