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Committee extends Transdev/1st Transit contract while staff finalizes vendor‑insurance arrangement

Nashua Finance Committee · August 6, 2026
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Summary

The committee approved amendment #7 extending the city's transit operating contract through Sept. 30 while staff works out administrative procedures to shift liability to the contractor's insurance; Matt Sullivan said staff will return with a full multi‑year contract and cost details in September.

The finance committee approved contract amendment number 7 to extend the existing five‑year transit operations contract with Transdev/1st Transit through Sept. 30 while the city completes negotiations and administrative procedures to use the vendor’s insurance rather than the city’s self-insurance.

Matt Sullivan, community development director, said including a bid alternate to use the contractor’s insurance led to extensive negotiations and that the proposed change "is a fairly significant change in the structure of the contract." He said staff and risk management believe the change would remove certain liability from the city, though it may or may not save money in every year; staff will return with a longer term (likely three‑year) contract and full cost analysis in September.