N.Y. Comp. Codes R. & Regs. tit. 8 § 156.11

Current through Register Vol. 46, No. 43, October 23, 2024

Section 156.11 - Appropriate costs for a transportation contract

All contracts for the transportation of children authorized pursuant to paragraph (h) of subdivision 25 of section 1709 of the Education Law, and not specifically authorized by any other section of law, shall be subject to a test of "appropriate cost" pursuant to this section.

(a) In determining the appropriate transportation contract cost, the transportation service provider school district shall demonstrate that the contract reflects the true costs that a prudent person would incur in a competitive transportation business by calculating the contract cost based on the appropriate unit cost determined in accordance with subdivision (b) of this section.

(b) An appropriate unit cost for the proposed transportation service shall be determined by dividing the grand total of transportation expenditures for the preceding school year of all regular transportation services provided to students of the district by the service provider school district by the number of vehicles, passengers, miles traveled or other appropriate transportation service units represented by all such transportation services. The proposed transportation contract costs shall satisfy the test of "appropriate cost" required by this section if such proposed transportation contract costs are equal to the product of such resulting, appropriate unit cost and the number of comparable service units to be provided under the proposed contract. The grand total of transportation expenditures used in this calculation shall include all expenses that would be eligible for transportation aid if they were incurred under a transportation contract with a private contractor, including but not limited to the transportation related costs of operation, maintenance and repair of vehicles, fringe benefits, buildings, utilities, depreciation, training, insurance, interest payments, and administration. Written documentation of specific expenditures of the school district included in the grand total of transportation expenditures and the service units used in such calculations shall be retained by the transportation service provider school district for a period of at least three years after the termination of such contracted transportation service and shall be available for public inspection.

(c) This section shall not apply to the transportation of children of school age provided pursuant to provisions of the Education Law other than Education Law, section 1709 (25)(h), including but not limited to subdivision 24, paragraph (g) of subdivision 25 or subdivision 27 of section1709 of the Education Law.

N.Y. Comp. Codes R. & Regs. Tit. 8 § 156.11