Commission on the Reform of Ontario's Public Services

Encouraging Efficient Student Transportation
Transporting students to school is a challenge for school boards. Costs associated with
transportation can be difficult to contain, in large part because fuel prices are volatile. To their
credit, the government and school boards have tried to reduce the growth of transportation
costs. The challenges of transportation costs were noted in the 2002 Report of the Education
Equality Task Force. 21 The task force’s recommendations led to the adoption of a consortia
model, which called for co-operation in service delivery among coterminous boards. By 2006,
the ministry had integrated the consortia model into its funding formula. 22 This approach
encouraged efficiencies through co-operation among adjacent school boards.
Despite these efforts, student transportation expenses have continued to increase.
The Student Transportation Grant in the Grants for Student Needs has increased from
$629 million in 2002–03 to an anticipated $845 million in 2011–12, an increase of over
34 per cent (an average of 3.3 per cent per year). The ministry has also recently placed a
moratorium on new competitive procurement in the sector while it consults with sector
stakeholders. 23 This moratorium delays the achievement of efficient, effective student
transportation service through competitive bidding in the sector.
Recommendation 6-15: The province should immediately lift the moratorium on the
competitive procurement requirement for student transportation, so that competitive bids are
used for the 2012–13 school year.
While the government should continue to address student transportation expenses, the
<strong>Commission</strong> also sees an opportunity to promote sustainability through revenues. A modest
user fee for student transportation would shift a portion of the costs of transportation to those
who use the service. Such a fee could encourage boards to look for efficiencies to better
serve their clients, and would provide an incentive for families to examine other methods of
transportation. Similar approaches have been permitted and adopted in Alberta. 24
21 Education Equality Task Force, “Investing in Public Education: Advancing the Goal of Continuous Improvement in Student Learning and
Achievement,” December 2002, downloaded from http://www.edu.gov.on.ca/eng/document/reports/task02/complete.pdf, pp. 48-51.
22 Ministry of Education, “Education Funding for 2006–07,” downloaded from
http://www.edu.gov.on.ca/eng/funding/0607/2006_07MemoB8.pdf.
23 Downloaded from http://www.edu.gov.on.ca/eng/policyfunding/memos/june2011/TransportJune.pdf.
24 Province of Alberta, School Act, s. 51(3).
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