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Select Board renews town transportation contract through June 2028; town to front costs for monthly reimbursement
Summary
The board renewed a transportation service contract that the town fronts monthly and then seeks reimbursement for; meeting discussion clarified reimbursement terms and insurance responsibilities and confirmed contract term through 6/30/2028.
The Town of Hubbardston Select Board approved renewal of the town’s transportation service contract, extending the agreement through June 30, 2028, and maintaining current program terms.
Town staff described the arrangement as a reimbursement program in which the town pays driver wages, fuel and direct service costs monthly and then submits a reimbursement request to the sponsoring agency; the town is reimbursed 100% of direct costs and up to 33% of indirect costs. Staff said some indirect costs have been zero in recent years but could appear as the program’s billing basis changes. The board noted the program’s fare structure is currently free to riders but that a minimum fare of 50 cents one way is required under program rules.
Board members confirmed the town does not own the vehicles used in the service; vehicles are furnished by the provider and insured through the town for drivers. The contract contains termination options, including annual cancellation provisions tied to appropriation or cause. After questions from board members about whether the contract is a multi‑year agreement with annual opt‑outs, staff clarified it is a three‑year contract with annual termination options.
A motion to renew the contract was seconded and approved by the Select Board. Staff said they will continue monthly reimbursement requests and monitor any forthcoming indirect cost claims tied to facility or technology changes.
