Outsourcing of school transportation service is one of the fastest-growing areas in government contracting, according to a new report by Onvia. This finding comes in the 2017 edition of the commerce intelligence company’s annual “10 Hotspots in Government Contracting” research. The report uses current, future and historical government transaction data from the company’s B2G Intelligence System to show the most significant rates of growth in published solicitations.
In the area of pupil transportation, Onvia’s system found that from 2015 to 2016, there was a 10% increase in school bus service bids and requests for proposals issued by public districts. The report also highlights the top 10 states for school bus service bids and requests for proposals, with New York and New Jersey at the front of the pack.
Meanwhile, a separate study released last year by the Mackinac Center for Public Policy shows long-term growth in outsourcing school transportation services. For example, in Michigan the number of school districts contracting out for busing has risen from 21 districts in 2005 to 137 districts in 2016.
A number of states own the school buses that each district operates. But more and more are contracting out for their school buses as these studies show.