“Any increase in prices affects the budget of the district,” said district CFO Karin Slater.
Around the country, school districts are struggling with the increase in energy prices. This includes fuel for buses and energy used within the schools.
 Montrose County School District Re-1J Middle School students wait in line to board the bus in Homestead Subdivision last week. First Students, the bus service the district uses, takes two trips to the subdivision to pick up students to save the district money. (Joel Blocker / Daily Press) Advertisement |
Of course, Montrose County school district is slightly different.
It has only 38 route buses, compared to Jefferson’s 358 buses. Montrose’s travel area is larger though, covering 1,121 square miles, compared to Jefferson’s 780.
Montrose school district buys its fuel in bulk, getting it from the best bidder, said Slater. It also contracts with First Student for its buses and their drivers.
“The district purchases tanker loads of diesel using a competitive bid process,” Slater said. “Each load is bid out as needed. The district is tax-exempt, which greatly helps this bid price.”
In the 2006-07 school year, the cost of diesel for route buses was $135,842, she said. That cost increased by 23 percent in 2007-08 to $167,953.
For the 2008-09 budget, the district increased fuel costs and utilities by 15 percent.
Contracting out with First Student has its benefits.
The contact with the company is based on a per bus rate, with a 60-mile base rate, Slater said. In 2007-08, the district paid $181.91 a day per bus. That only increased to $185.37 for this school year.
“The main benefit to having a contractor for busing services is that they are responsible for the hiring/firing, training of the employees to meet federal and state safety requirements and purchasing/maintenance of the equipment,” she said.
In 2006-07, the route buses traveled 395,850 miles. Those miles decreased to 374,500 miles last year. Slater said the district will continue to look at routes and miles, cutting down stops that are unnecessary.
First Student is also assisting in energy efficiency, installing a “no idle policy,” said Cindy Shipley, contract manager for First Student. Bus drivers are required to shut off the school buses as they wait outside the schools, with the exception of bad weather.
Making two trips with one bus is also saving the district some money. In some cases, a bus will take elementary students home first and then return to pick up middle school students.
The district also had to increase its budget for food costs because of the increase in “drop charges” that transportation companies are charging for delivery. Slater said companies who never charged are now starting. The district’s distributor of its commodities is charging $5.50 per case, creating a $40,000 increase in delivery costs alone, she said.
But diesel isn’t the only expense for the district, and it’s not the highest.
“While the diesel fuel used by First Student would be the first thought of everyone, actually, cost of diesel for the route buses has a relatively small dollar amount impact,” Slater said.
The largest area of impact in the district is the rising prices of utilities. In 2006-07, the district’s electric cost was $555,367. That increased by 18 percent to $657,151 in 2007-08.
“While the percentage increase is less than the percentage increase in our diesel costs, the dollar amount is over three times as much,” she said.
The district has been replacing school lighting, a five-year project in its third year, to cut costs. It’s also stressing “unplug and turn off” policies for all electric appliances and lights, Slater said. Controlled thermostats are installed in all buildings.
For deliveries, the district works with Delta and Mesa schools to consolidate if possible and is buying in bigger bulk, she said.
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