Business & Finance
High diesel prices force U.S. school districts to adjust transportation budgets
Surging fuel costs are prompting districts to alter bus routes, tap reserve funds, and adopt alternative vehicles as the school year starts.
The short version
- U.S. school districts are restructuring busing operations to handle a sharp rise in diesel fuel prices.
- Districts are consolidating routes, staggering bell times, using rainy-day funds, and limiting non-essential trips like field trips to control costs.
- About 90% of the nation's 480,000 school buses rely on diesel, making transportation budgets especially vulnerable to price swings.
- Long-term fiscal impacts remain dependent on fuel market stability and districts' ability to maintain budget cuts without affecting classroom instruction.
Key facts
- The U.S. national average price for diesel reached $5.62 per gallon, up from $3.70 per gallon at the same time in the previous year.[NPR]
- Approximately 90% of the 480,000 school buses operating in the United States run on diesel fuel.[NPR]
- A May survey indicated that over half of surveyed school districts reported diesel costs pushed them beyond their allocated budgets.[NPR]
- The Yakima School District in Washington estimated fuel price surges could raise its diesel spending by 38%, leading to route consolidations and schedule shifts designed to save $400,000 to $500,000.[NPR]
- The Boise School District faces a $600,000 rise in transit costs this year while incorporating eight federal grant-funded electric buses to explore long-term savings.[NPR]
What remains uncertain
- The extent to which temporary measures, such as drawing from reserve funds or altering bus schedules, will safeguard classroom instruction budgets if diesel prices remain high.[NPR]