Kirksville council authorizes one-year Kirk Tran contract amid unanswered 20% cost increase

The Kirksville City Council voted to authorize the city manager to execute a one‑year service agreement with Oates Inc to operate Kirk Tran, the city’s public transit service, while staff continues to seek a detailed explanation of a 20% cost increase reported by the operator.

Ashley Young, community and economic development director, told the council the resolution would allow the city manager to approve the agreement for the July 1, 2026–June 30, 2027 fiscal year. Young said Oates Inc requested a roughly 20% increase, citing higher fuel and insurance premiums, but that staff had not received a line‑item breakdown or an explanation for proposed reductions in service hours. Young said staff does not expect the city manager to finalize the contract until those questions are answered.

Young told the council that, as of the meeting, passenger fares would not change: a deviated fixed route would continue at $3 per trip and trips outside town within 15 miles would remain $4. She also said the recommended contract amount had been budgeted and the city expected to remain under budget even with the proposed increase, but emphasized the need for more detail from the operator.

Council members voiced concern about the lack of a breakdown and emphasized the importance of receiving Oates’ documentation before completing the contract; nonetheless, the council approved the resolution to permit the city manager to enter the agreement so service would not lapse on July 1.

What’s next: Staff will press Oates Inc for a cost breakdown and an explanation of any reduction in service hours before the city manager signs the agreement.