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Board hears case for one-year extension with First Student as district declines to bid this year

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Summary

Administration recommended a one-year extension with First Student for charter, athletic and field trip routes at a 5.7% renewal (from $70 to $74), citing driver shortages and unreliable bid markets; staff said going to bid could return rates at or above $85 per route.

District staff recommended a one-year extension of the contract with First Student for charter, athletic and field-trip routes, proposing a 5.7% renewal that would raise the rate from $70 to $74 per route.

Staff said the market for bus drivers remains tight and that recent bids in other districts have been high or bidders have failed to meet staffing obligations. "Given that we're still seeing a lot of companies not get to the staffing level they need... routes are canceled or significantly delayed," a staff presenter said, explaining why the district considers a renewal preferable to going out to bid this year.

Staff estimated that an open bid this year could produce a minimum of around $85 per route, based on recent market signals and peers’ experience, though staff said they would provide sample bid results and comparators ahead of a formal vote. Board members asked for additional comparative data and for staff to produce district-by-district examples before returning the extension for formal approval.

Staff also reported that co-curricular and charter transportation is budgeted in a specific line (estimated in discussion around $570,000) and that projected spending in the current year is likely to come in under budget by a significant amount, partly due to internal adjustments in athletics and event logistics.

No final contract vote was recorded in the committee; staff said the extension will be recommended for board action in two weeks and that they will supply comparative bid information requested by the board.