HomeNewsCuts in Property Tax Revenue Trigger Consolidated School Bus Service in Indianapolis

Cuts in Property Tax Revenue Trigger Consolidated School Bus Service in Indianapolis

A first-of-its-kind program in the Indianapolis area is scheduled to begin in the fall that adopts business models employed by regional commercial airlines to consolidate student transportation services, reduce costs and liability of school districts, and improve customer service.

Since 1970, Indiana state law has required regional educational service centers to assist districts with cooperative purchasing of text books, computer technology and other large-bulk items, and provide professional development training and substitute teacher services. But transportation services were never included. At the request of parents, Central Indiana Educational Services Center (CIESC), one of nine regional centers in the state, is changing that for the 2011-2012 school year.

Franklin Township Community School District was to be the charter member of the transportation co-op after school busing was eliminated this spring when voters rejected a $13 million school budget referendum designed to use increased property taxes to plug budget holes created as state education funding has shrunk over the past few years. Michael LaRocco, director of the Office of School Transportation at the Indiana Department of Education, said total state education has been cut by approximately $300 million since 2009, which has equated to a 7- to 15-percent reduction in local school district general education funding. Transportation has historically accounted for 5 to 7 percent of a school district’s total budget.

LaRocco added that there was a small $10 to $15 million increase in state education funding this year, but that amount does little if anything to help the state’s schools.

As a result, the Franklin Township school board voted on June 20 to approve the closure of the district’s transportation department and the transition of services under CIESC’s umbrella. The co-op was then authorized by the CIESC board the following day.

“Parents in Franklin Township requested a transportation option for the 2011-2012 school year,” said Dr. Mary Ann Dewan, executive director of CIESC. “We are very pleased to be able to offer parents a low-cost alternative. We want to commend the Franklin Township Community School Board for their concern and desire to search for creative solutions for their community.”

Justin Wilczynski, the former Frankin Township transportation director was named the new director of the CIESE transportation division. He said seven other school districts were interested in joining the program, and he added that the goal is to eventually attract all 18 area member school districts within the next five years. Meanwhile, he said that, a much more long-term goal is to establish transportation co-ops at the other regional education service centers. He said the theme being adopted for transportation are business models written by the likes of JetBlue Airlines and Southwest Airlines. In fact, all new CIESC transportation staff are required to read “Flying High” by JetBlue founder David Neelemen.

“In principal, they do the same thing we do, move people off of a first-class service,” Wilczynski said, adding that reducing costs does not mean decreasing safety.

The majority of Franklin Township transportation employees, and any staff at other local districts that decide to join the co-op, were expected to be hired by CIESC to continue route service, and parents agreed to share the costs to help keep costs down. Families who opt for the school bus service through CIESC will pay a maximum of $55 per month, per student. Enrollment was scheduled to begin the week of July 11.

An additional benefit of consolidation, Wilczynski added, is to remove liability and risk from individual school districts and place them on the shoulders of CIESC and other regional co-ops. Eventually, he said most school transportation director positions will be eliminated in favor of area supervisors who are each responsible for three or four locations. He added that training of employees will also be more rigorous. For example, current school bus drivers will receive complete, detailed re-training “from the ground up.”

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