The Rutherford County School Board voted June 24 to adopt a revised student transportation policy that restricts the number of bus-route contracts any single contractor may hold and establishes a lottery for awarding new or unfilled routes.
The adopted policy sets a 10-contract limit for contractors during any school year, while grandfathering existing contracts signed under current terms through the end of the current contract term. The board also removed the old tiered priority system and approved an amendment to use a random-draw (lottery) system — modeled on the district’s summer-school route draws — for unfilled or newly created routes.
Board members and transportation staff debated the change for more than an hour. Supporters said the limit protects the county’s small, family‑owned bus operators from concentration of routes in the hands of a few companies, reduces accusations of favoritism, and fosters competition for routes. Opponents warned that imposing a cap while a multi‑year contract remains in force could be seen as altering negotiated agreements and could complicate filling immediate openings; staff explained that signed contracts would remain valid and that the new policy applies to routes contracted going forward.
Transportation staff said the number chosen (10) affects only a small number of contractors — four contractors currently have more than 10 routes — and that the policy’s intent is to protect small operators who provide the backbone of local service. The board added a practical detail in the policy: entities with common ownership will be treated as a single contractor for counting purposes, preventing owners from creating multiple corporate shells to circumvent limits.
During discussion a board member flagged alleged past contract irregularities and said district staff had referred suspected falsified records to the state comptroller; the board said it would pursue additional policy action and oversight as appropriate. The policy passed after the board agreed on the lottery amendment and a roll-call vote.
Board members asked staff to report on the policy’s effect and any issues that arise as routes are assigned under the new system; staff said they would bring implementation details and any needed clarifications back to the board.