North Marion board authorizes superintendent to seek one‑year amendment with First Student at 2% rate increase

The North Marion School District board voted to authorize Superintendent Dan Bush to negotiate and execute a one‑year amendment with First Student that would cut a planned 10% rate increase to 2% for the final year of the current transportation contract.

District staff told the board First Student offered the lower 2% increase and asked that capital improvements be deferred unless the district agreed to a one‑year extension; in that case the company indicated it would proceed with 13 new buses. The board approved a motion authorizing the superintendent to complete negotiations and sign the amendment by voice vote.

Why it matters: Transportation is a major line‑item for the district budget. The presenter told the board the 2% increase, compared with the contract’s previously anticipated 10% rise, will reduce near‑term cost pressure and limit compounding increases while allowing the district more predictable budgeting for the coming year.

Superintendent Dan Bush framed the decision as both fiscal and relationship focused, saying the reduction and possible extension "is a really significant investment in their relationship to keep our business that they've had for a very long time." He also noted staff intend to proceed with a request for proposals in spring 2028 rather than the next year, to allow the district time to budget and plan.

Board procedure: A board member moved to authorize the superintendent to negotiate and execute a contract amendment; the motion was seconded and approved by voice vote with no recorded opposition. The board planned to share the outcome with First Student in short order.

What wasn’t resolved: The precise terms of any amendment, including exact dollar amounts and whether the capital improvements will be included, remain to be finalized in the negotiated contract. The board and staff said they will return to the RFP process in spring 2028 if the extension is accepted.