HOUSE BILL 205

49th legislature - STATE OF NEW MEXICO - first session, 2009

INTRODUCED BY

Jane E. Powdrell-Culbert

AN ACT

RELATING TO SCHOOL TRANSPORTATION; GIVING SCHOOL DISTRICTS THE FIRST OPTION TO PURCHASE SCHOOL BUSES WHEN A CONTRACT HAS BEEN TERMINATED OR NOT RENEWED; APPLYING OVERPAYMENTS TO THE PURCHASE PRICE OF THE BUSES; DECLARING AN EMERGENCY.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     Section 1. Section 22-16-3 NMSA 1978 (being Laws 1967, Chapter 16, Section 221, as amended) is amended to read:

     "22-16-3. SCHOOL BUS SERVICE CONTRACTS.--

          A. A school district may provide transportation services to students through the use of school bus service contracts. School districts may enter into school bus service contracts with individual school bus owner-operators or with school bus fleet owners or with both. A school district shall not enter into any school bus fleet service contract with any person who is simultaneously employed by that school district as an individual school bus owner-operator.

          B. All contracts entered into by a school district to provide school bus service to students attending public school within the school district shall be approved by the local school board. The contracts shall be in writing on forms approved by the [state board] department.

          C. In addition to approving the form of the contract, the [state board] department shall, by regulation, establish the parameters of school bus service contracts to include recognition of fuel costs, operation and maintenance costs and employee salary and benefits costs. In entering into school bus service contracts, school districts shall give preference to in-state service providers and the use of multiple providers. Upon request, the department shall provide assistance to local school districts in the negotiation and award of school bus service contracts.

          D. A school district may enter into a school bus service contract for a term not to exceed five years. A school bus service contract may provide, at the expiration of the term of the contract, for annual renewal of the school bus service contract on the same terms and conditions at the option of the local school board.

          E. [In the event] If a contract with a school bus operator is terminated or not renewed, the buses owned by the operator that are used pursuant to [his] the operator's school bus service contract shall be appraised by three qualified appraisers appointed by the local school board and approved by the state transportation director.

          F. The school district shall have the first option to purchase all of the buses of the operator at the appraised value minus any overpayments owed to the school district by the operator pursuant to Section 22-8-27 NMSA 1978. The option shall be exercised by giving written notice to the operator within fifteen days of receipt of the appraisal. If the school district exercises its option to purchase the buses, it shall do so within fifteen days after delivery of the notice of election to the operator.

          G. If the school district does not exercise its option to purchase, it may require the operator succeeding to the contract [shall] to purchase [with the approval of the operator whose contract was terminated] all of the buses owned by the former operator at their appraised value."

     Section 2. EMERGENCY.--It is necessary for the public peace, health and safety that this act take effect immediately.

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