Transportation department report January 25th 2011

CURRENT REPORTING SYSTEM Current system is “as the crow flies”, not actual miles driven. Doesn’t reflect what districts such as ours do get around waterways. Takes drivers away from concentration of the driving task. Cumbersome Didn’t account for added students during the year.

New: STARS Student Transportation Allocation Reporting System The new STARS will have a much different look and will account for miles driven. The counting will be done at the school rather than on the road at bus stops. We will count 3 times per year. It should generate more money for districts such as ours.

Governor’s Proposal to change the bus depreciation system. Currently we receive money each year for buses that are still on the depreciation schedule. New proposal: Districts would only receive money in the last year of depreciation. We would get the money, but it would be sporadic according to the fleet structure.

Proposed depreciation changes continued.. This change would save the State approximately 45 million dollars over each of the next two years. It would help fund any increases in the operations allocation from the change in the ridership formula. Sort of a “rob Peter to pay Paul” scenario.

What does this mean for Shelton School District? 2011/2012 school year we would only get approximately $4,000. in depreciation from the only bus that is due to come to the end of it’s depreciation cycle. Our current TVF has $176,000 in it. We have a loan that we owe $199,382.

In Summary: Shelton has four more loan payments, the last of which is due Dec. 2012, totaling $199,382. Total TVF balance will be $180,000 if the Governor’s proposal is passed. We will need approximately $20,000 from our general budget to complete the payments.

Summary Continued.. We would not get anymore depreciation money for bus replacement added to our TV fund until 2015. It may not be enough to purchase even one bus. Costs to maintain our fleet will go up. It will be very important to create a plan for bus replacement.

Questions?