Thursday, December 27, 2007

School District Transportation Supervisor Expects First Student's Contract Costs To Rise As A Result Of Laidlaw Merger

Only two months late to the merger party, Council Bluffs, Iowa School District Transportation Supervisor Mike Bell told The Daily Nonpareil that he expects their transportation costs to go up, not just because of rising fuel costs and expanded bus service in the region, but also because of less competition.
He said he expects costs to go up for a number of reasons.

"This acquisition has created one huge student transportation company, and the result will be seriously less competition and probably higher contractor rates," he said.
This was an issue that was brought up before the US Dept. of Justice to try and dissuade them from approving the merger back in October.

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