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Board tables $2.3 million in bus contracts after questions over increases, funding
Summary
After lengthy discussion about a 6% contractor increase, mileage and how to cover staff raises, the board voted to table fleet-service agreements with Haynes Buses Inc. and M & T Buses and requested a special meeting to resolve remaining questions.
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The Deming Public Schools board on Thursday voted to table approval of two fleet-service agreements covering the 2025–26 school year after members raised questions about contractor cost increases, mileage charges and how the district will cover staff raises.
District transportation staff summarized the contracts and a second amendment to a current-year agreement. Staff said a January amendment had reduced rental fees for a special-education bus and that the second amendment deducts $273 (2,730 miles at $0.10/mile) now that the vendor had delivered a bus in December.
For the upcoming year, staff presented a Haynes Buses Incorporated contract for $984,435.22 and an M & T Buses Incorporated contract for $1,382,184.88. Staff attributed a roughly 6% increase to contractor costs tied to vehicle maintenance parts, turnover and driver pay pressures; the district said it plans to absorb part of the increases through operational funds and to reflect required staff raises in the transportation fund as required by state guidance.
Transportation staff said district ridership was down from prior year counts by about 80 riders on the 120-day snapshot and that local ridership patterns shifted among pickup locations. Finance staff explained earlier guidance from state reviewers about the interaction of contractor pay and the district’s 4% staff raises and said the operational budget would absorb some increases.
Board members requested additional detail and a clearer breakdown of operational funding impacts and negotiation history. A board member moved to table both contracts pending that follow-up; the motion passed on a roll call. The board asked staff to list specific questions prior to a special meeting so the contractors and finance team could respond.
No contract was approved during the meeting; a separate amendment to a current-year lease related to a special-education bus was described but the new full-year contracts were held for further review.

