HB 293 Summary

• Establishes the School District Transportation Consolidation Pilot Program under which the Department of Education awards competitive grants to consortia of two or more school districts and an educational service center to regionalize student transportation.

• Sets maximum grant award at $5 million per consortium, with funds used to pay start-up costs for regionalization agreements including school buses and related goods and services.

• Requires regionalization agreements to specify cost-sharing formulas, savings distribution methods, potential use of regional transit authorities, and administrative fees capped at 7% of agreement value (subject to controlling board approval if over 4%).

• Requires participating school districts to report progress by December 31, 2015, and mandates the Department of Education to issue a comprehensive report to the General Assembly and Governor by July 1, 2016.

• Appropriates $25 million from the General Revenue Fund for fiscal years 2014 and 2015 for Transportation Consolidation Grants; pilot program terminates July 1, 2018.