North Penn transportation presentation highlights propane bus conversion, rising contract and IU costs

Dennis Ryan, transportation presenter for North Penn School District, told the Finance Committee that the district has expanded its propane bus fleet and is bringing some routes back under district control to lower contractor costs.

Ryan said the district recently took delivery of five buses, eight propane buses and five nine‑passenger vans and that the five newest buses would be on the road within weeks. "The 5 most recent ones that we were delivered will actually be on the road, within the next couple weeks here," Ryan said. He said about 87% of the district fleet now runs on propane and that the district received $125,000 from the Environmental Protection Agency’s Clean School Bus program toward the recent propane purchases.

The presentation placed large emphasis on rising contracted transportation costs. Ryan said the district’s current daily cost per contracted route is about $417 and that the extension with contractor First Student reflected roughly a 27% increase over the prior contract cycle. To limit future expense growth, the district has brought seven runs back in‑house and consolidated two nonpublic runs, an action Ryan said saved approximately $300,000 this year.

Ryan also told the committee that the district has an RFP open for a propane fuel contract and that their current gross price for propane is "about a dollar 13 a gallon," which nets to roughly $0.77 per gallon after the alternative fuel tax credit of $0.36 per gallon is applied. He said diesel remains more expensive and that propane purchases have driven a decline in diesel consumption.

Specialized transportation through the Montgomery County Intermediate Unit (MCIU) is a separate, growing budget pressure. Ryan said district use of MCIU services for specialized transportation has "almost doubled" in the last two years and that contractor-driven increases for those IU trips are a major reason the district is requesting an additional $1,500,000 to cover IU transportation costs. He explained higher costs stem from required bus assistants or nurses and specialized equipment such as wheelchair accessible vehicles.

Ryan said the district will continue to compare the long‑term cost of in‑house operation versus contracting and plans to bring additional routes back when new parking/operation space from a planned transportation center and the high school project is available.

In public comment after presentations, resident Jason Lanier asked whether the district’s transportation numbers were being used to inflate grant applications; the committee’s members responded that transportation capacity and ridership are distinct and that the district offers transportation so students have consistent access to school regardless of family transportation circumstances.

The committee did not take formal action on transportation tonight; Ryan answered questions from board members about grant availability, RFP timing and the impact of the high school construction on routing and bus parking.