X

News & Insights

 
05Mar

Using Public Funds to Secure the Ready Status of Drivers and Fleet on COVID Instruction Days

3/5/2021| Reference Number : 165.0| Legal, School Bus | COVID, COVID-19, Gift of Public Funds, School Closure Days | | Return|

Across the nation, numerous school transportation contractors continue to experience the financial strain caused by school closures due to the coronavirus. The sudden elimination of in-person school days during the 2019-2020 and 2020-2021 school years has driven many school districts to refuse to pay their transportation contractors, citing that because no driving occurred, there is no service to pay for. However, even when no driving is performed, transportation contractors continue to provide services, such as the maintenance of fleet and continued payments for equipment, insurance, and rent. Still, school districts continue to argue that they should not pay their contractors, claiming that such payments to the contractors would be an improper use or “a gift of public funds” which is prohibited by state law. This note will explain why the school’s argument against payment on this point is an inaccurate interpretation of state law.

Click Here to Read More

Related

Cost Sharing and Openings Clauses in Transportation Service Agreements

Cost Sharing and Openings Clauses in Transportation Service Agreements

As school transportation contractors enter into bid season, it is in the interest of the contractor ...

Read More >
Legal Focus: Avoiding Pitfalls in the Recruitment and Hiring Process

Legal Focus: Avoiding Pitfalls in the Recruitment and Hiring Process

The demand for talent in today’s job market remains high. This can cause many employers to move qui...

Read More >
Executive Order on Marijuana Reclassification

Executive Order on Marijuana Reclassification

On December 18, 2025, President Trump signed Executive Order 14370 on expanding medical marijuana an...

Read More >
Traffic Offenses and CDL Disqualification

Traffic Offenses and CDL Disqualification

While everyone is aware of the November 2011 amendment to the Federal Motor Carrier Safety Regulatio...

Read More >
Pennsylvania Employer's Workers Compensation Obligations

Pennsylvania Employer's Workers Compensation Obligations

While business growth is exciting, it also increases the costs of labor and related expenses. Busine...

Read More >
Legal Updates for School Bus Contractors - Year in Review

Legal Updates for School Bus Contractors - Year in Review

2018 will see the effects of many laws and regulations that that were passed in the last year. Foll...

Read More >

Search

Categories