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Plum Borough SD declines to move forward with electric school bus purchase after cost and operational review

2365233 · January 28, 2025
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Summary

After reviewing grants, infrastructure estimates and operational concerns, the Plum Borough School District recommended cancelling its electric school bus contract and voted to not proceed with the purchase.

The Plum Borough School District Board on Feb. 11 accepted district staff's recommendation not to move forward with an electric school bus purchase and directed staff to process contract cancellation.

District staff said a combination of high infrastructure costs, uncertain federal incentives and operational risks made the project too risky at this time. The board recorded a five-vote majority in support of the recommendation not to proceed.

Dr. Boyers summarized the district's due diligence, saying staff conducted a needs assessment, examined federal funding opportunities and met with other districts and private fleet operators. "On paper, it looked like a great opportunity financially," Dr. Boyers said, but visits and vendor conversations revealed uncertainties about rebates and ongoing costs.

Mister Manzer, the district's chief financial officer, described the financial analysis. "The transaction would require either a large upfront investment or a significant ongoing lease cost," Manzer said. He said the district prefers investments with low financial risk and concluded the electric bus transaction carried too much risk to proceed now.

Staff cited an estimate of about $2.2 million to bring electrical service to the district's bus garage, battery and maintenance costs, and examples from other operators where electric buses required dedicated personnel and had higher-than-expected shop time. Staff also noted operational timing concerns: short turnaround windows between morning and afternoon runs could limit recharge opportunities and force continued diesel backup buses.

Board members thanked staff for the extensive review, noting that community members had expected a quick decision but praising the district's due diligence. The board voted to cancel or not to move forward with the contract; staff said the cancellation will be processed as an upcoming action item.

District leaders said they will continue to monitor technology and funding; no further procurement or expenditure was approved at the Feb. 11 discussion meeting.