Board Rejects Five-Year Transportation Contract with First Student
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Description
The Merrimack Valley School Board considered but ultimately rejected a proposed five-year student transportation contract with First Student that included the $1.3 million purchase of the district’s bus fleet and guaranteed hiring of current drivers at $31.10 per hour. Despite projected annual savings of $300,000 to $500,000 and defined rate escalators, the motion to award the contract for July 1, 2026 through June 30, 2031 failed on a 6–5 roll call vote.
Contract Details
Contract Amount
$2,800,000 annual in-district transportation budget; potential yearly savings estimated between $300,000 and $500,000; $1.3 million purchase of district fleet, tools, and equipment; drivers at $31.10/hour
Vendor
FIRST STUDENT
Agency
Merrimack Valley School District, NH
Contract Type
TRANSPORTATION
Document Date
April 6, 2026
Contract Term
July 1, 2026 – June 30, 2031 (five-year contract with 4% annual increase, projected 5% increase after five years)
Renewal Date
2031-06-30
Renewal Info
Proposal contemplated a five-year base term with 4% annual rate increases and a projected 5% increase after the term; First Student indicated guaranteed employment of current drivers if the contract were renewed. No contract was executed due to the board vote, so renewal options remain hypothetical.
More from FIRST STUDENT
More from Merrimack Valley School District
Merrimack Valley School Board Meeting Agenda March 2026
Merrimack Valley School Board Meeting Minutes March 9 2026
Merrimack Valley School Board Meeting Agenda February 2026
Merrimack Valley School Board Meeting Agenda February 2026
Merrimack Valley School Board Meeting Agenda February 2026
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