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Board hears update on bus contract: insurance shift, proposed per-route payment and budget implications
Summary
School officials briefed the board on ongoing negotiations with bus contractors after a state law change requiring contractors to buy their own insurance. Staff proposed a $4,000 per-route payment to offset insurance costs and discussed targeting a 10–15% overall rate increase; the board will consider the contract at the next meeting.
District staff told the Rutherford County School System board that a state-law change now requires bus contractors to carry their own insurance, and staff presented a proposed contract adjustment that would pay contractors $4,000 per bus route to offset premium costs.
Under the prior arrangement the district provided insurance; staff said the state legislature last year altered that framework and the draft contract includes…
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