Panel backs $600,000 pilot to test student bus-route software; districts must report savings

The Joint Finance-Appropriations Committee approved a one-time $600,000 general fund pilot to pay for student transportation routing software, directing participating districts and charters to report cost and savings to the Legislature after the pilot year.

Jared Tetro, budget and policy analyst with the Legislative Services Office, said the central services funding item was reduced from earlier requests; the $600,000 pilot represents a smaller version of an originally larger request. Tetro told the committee the agency surveyed districts and charters and received responses from roughly 70 entities, with about 43 expressing interest in participating.

Senator Woodward moved the FY2026 program-maintenance motion to add $600,000 one time for the pilot; Representative Petzke seconded. Representative Petzke described the pilot as a way to gather objective data, saying the motion "adds in some language that will request that any districts or charters that use this software report to us the savings that they generate so that we can hopefully fund this at a higher level in the future." Staff said the $600,000 equates to $1,500 per bus and would fund roughly 400 buses.

Committee members debated whether a short pilot would yield meaningful results. Representative Petzke said districts would have about four months of data if contracts and implementation occur in August, allowing an interim report next session; he also noted a fuller evaluation might require multiple years of data. Senator Ward Engelking questioned whether vendors would participate in a small pilot rather than a larger, statewide contract; Representative Petzke and staff said several districts already use routing software and vendors could work with smaller pilots, though economies of scale would make statewide contracting more cost-effective.

The committee approved the motion on a roll call: combined tally 15 ayes, 5 nays. The committee also approved language requiring participating districts and charters to track and report any necessary data — including costs and savings — and directed the Department of Education to report to the Legislature after one full year of implementation.

The pilot is one-time funding. Committee members said they will consider continuation only after reviewing the data and cost-savings reports from participating districts.