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Parent Transportation Contract Minimums

Friday, August 6, 2021

 

Several districts have contacted DPI about parent transportation contracts, which are an option for districts when the cost of transporting a student would be significantly above average. State law specifies that the minimum amount for these contracts is the greater of $5 per mile or the previous year’s per-pupil transportation costs, excluding specialized and midday kindergarten transportation (Wis. Stats. § 121.55(3)(a)).

The districts that contacted DPI stated they are concerned that transportation costs and ridership decreases due to COVID-19 in 2020-21 result in an artificially inflated per-pupil average for 2021-22 contracts, and would like to offer contracts using the previous year’s amounts (2020-21 contracts based on 2019-20 data). They are also concerned about the timeline, as state law requires districts to notify parents of their intent to offer transportation contracts at least 30 days before the start of the school year (Wis. Stats. § 121.55(3)(c)).

Requesting a Waiver

A district may inform parents of its intent to offer contracts now, meeting the 30-day requirement, and then its school board may request a waiver from DPI under Wis. Stats. § 118.38 of the parent contract minimum. As with all waiver requests, the board must specify the reason for which they are requesting a waiver and hold a public hearing before submitting the request. Below is an example of language that may be included in a waiver request:

The school board of _____ requests the Department of Public Instruction waive the calculation for parent transportation contract payments under Wis. Stats. s. 121.55(3)(a), due to a temporary fluctuation in the district’s transportation costs and enrollment related to the COVID-19 pandemic. Current law generally requires parent transportation contracts be the greater of $5 per mile or the district's average cost per pupil for bus transportation in the previous school year. The district’s per-pupil average transportation costs were $_____ in 2019-20 and $_____ in 2020-21.

This waiver request applies to the 2021-22 school year only, during which the district will calculate the minimum payment for parent transportation contracts based on the district’s per-pupil average transportation costs in the 2019-20 school year, rather than the 2020-21 school year.

The waiver request must specify the date on which a public hearing was held and be signed by the board president and district administrator. When complete, please submit the waiver request to the DPI School Financial Services Team at dpifin@dpi.wi.gov.

Notices to Parents

Updated August 6, 2021

If a school district has already sent the notice to parents required by Wis. Admin. Code § PI 7.05(3) and intends to pursue a waiver of the parent contract minimum, the district should, as soon as reasonably possible, send an updated notice which includes the required information from the original notice and:

  • Identifies the district intends to pursue a waiver;
  • Specifies amount of compensation to be provided under the contract if the waiver is approved;
  • Includes written documentation required under Wis. Admin. Code § PI 7.05(2) for the calculation of the amount of compensation to be provided if the waiver is approved; and
  • Includes a statement that notice will be provided as soon as action is taken on the waiver.

If a school district has not already sent the notice to parents required by Wis. Admin. Code § PI 7.05(3) and intends to pursue a waiver of the parent contract minimum, the district’s notice should:

  • Be in writing;
  • Include a statement the contract is being offered under Wis. Stat. § 121.55(3);
  • Include a statement the board intends to pursue a waiver of the parent contract minimum;
  • Specify the amount of compensation to be provided under the contract if the waiver is approved and if the waiver is not approved;
  • Include a statement that if the contract is rejected, the board is not obligated to provide transportation;
  • Include all of the written documentation required under Wis. Admin. Code § 7.05(2) for both amounts of compensation identified; and
  • Include a statement notice will be provided as soon as action is taken on the waiver.

In any request to DPI to resolve a dispute over the amount of compensation in a parent transportation contract (Wis. Admin. Code § PI 7.06(3)), DPI will consider the sufficiency of the notice of the proposed lower waiver amount to the parent.