Provides that contract cost adjustments in the middle of contract terms for school districts transportation contracts shall be at no additional cost to the state, locality or school district unless such amendment is necessary to comply with the statewide transition to zero-emission buses and provided that it has been established by the contractor that there has been at least an equivalent increase in the amount of such contractor's cost of operation.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A5073
SPONSOR: O'Pharrow TITLE OF BILL:
An act to amend the education law, in relation to contract cost adjust-
ments in the middle of contract terms for school districts transporta-
tion contracts
PURPOSE OR GENERAL IDEA OF BILL:
This legislation would allow for amendments of pupil transportation
services contracts in situations where it's necessary to comply with the
statewide transition to zero-emission buses.
SUMMARY OF PROVISIONS:
Section 1 allows for amendments of pupil transportation services
contracts in situations where it's necessary to comply with the state-
wide transition to zero-emission buses, provided that it has been estab-
lished by the contractor that there has been at least an equivalent
increase in the amount of such contractor's cost of operation.
Section 2 establishes the effective date
DIFFERENCE BETWEEN ORIGINAL AND AMENDED VERSION (IF APPLICABLE):
N/A
JUSTIFICATION:
In 2022, New York state passed landmark legislation starting the transi-
tion of school buses to zero emission. The enacting law permitted
discretionary reopening of existing pupil transportation services
contracts at the school district's discretion. However, NYSED has iden-
tified another section of law that must be updated in order for the law
to be unambiguous in allowing for contract modification. This bill
updates that necessary section of law.
PRIOR LEGISLATIVE HISTORY:
N/A
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
To be determined.
EFFECTIVE DATE:
This act shall take effect immediately.
STATE OF NEW YORK
________________________________________________________________________
5073
2025-2026 Regular Sessions
IN ASSEMBLY
February 12, 2025
___________
Introduced by M. of A. O'PHARROW -- read once and referred to the
Committee on Education
AN ACT to amend the education law, in relation to contract cost adjust-
ments in the middle of contract terms for school districts transporta-
tion contracts
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Paragraph d of subdivision 14 of section 305 of the educa-
2 tion law, as added by chapter 552 of the laws of 1995, is amended to
3 read as follows:
4 d. Notwithstanding the provisions of paragraphs a, b and c of this
5 subdivision, the board of education or the trustee of a district and a
6 contractor providing pupil transportation services to such district may
7 amend a contract for pupil transportation services upon a finding that
8 such amendment is necessary to comply with any federal, state or local
9 law, rule or regulation imposed after the execution of such contract, or
10 to enhance the safety of pupil transportation, as determined by the
11 board or trustee subject to the approval of the commissioner pursuant to
12 regulations which shall require demonstrable enhancements in pupil safe-
13 ty and/or increased savings consistent with maintaining pupil safety.
14 Such amendment shall cause no additional cost to the state, locality or
15 school district unless such amendment is necessary to comply with the
16 statewide transition to zero-emission buses pursuant to section thirty-
17 six hundred thirty-eight of this chapter and provided that it has been
18 established by the contractor that there has been at least an equivalent
19 increase in the amount of such contractor's cost of operation. The
20 commissioner shall not approve such an amendment if the commissioner
21 finds that it circumvents the competitive bidding requirements contained
22 in paragraph a of this subdivision, or otherwise violates this section
23 or any other provision of law, or fails to increase or maintain the
24 safety of pupil transportation.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD09134-01-5
A. 5073 2
1 § 2. This act shall take effect immediately; provided, however, that
2 the amendments to paragraph d of subdivision 14 of section 305 of the
3 education law made by section one of this act shall not affect the expi-
4 ration and repeal of such paragraph and shall be deemed repealed there-
5 with.
