School bus contractors are adjusting to a changing industry as new pressures arise and others begin to ease. This year’s survey of both small and large private operators shows caution blending with innovation and modernization.

Here’s a look at what trends contractors from across North America reported this year.

What Trends Stood Out from This Year’s Survey Responses?

• The largest contractors are generally getting larger, as mergers and acquisitions reduce competition.
• There was a large gap in average fleet size across respondents this year. A few mega-contractors dominate volume, while most remain small to mid-sized.
• The driver shortage continues to affect contractor fleets, though to a lesser extent than in previous years. Pay rebounded this year, crossing the $25/hour threshold.
• Diesel remains dominant, though its use is not growing. Instead, we’re seeing much more diversification. Gasoline and propane usage both saw sizeable jumps in 2026. Electric adoption is still on the rise, but not by much, likely due to changes in federal funding and regulations.
• New bus purchases are more uncertain compared to recent years, a likely result of fuel price volatility, general cost pressures, and policy uncertainty.
• More drivers are represented by a union, with driver memberships jumping from 17% two years ago to 29% last year and 35% this year.
• Technology adoption increased again, with over half of contractor fleets using parent apps, tablets, in-cab cameras, and predictive maintenance.
• Operational challenges saw a sharp shift this year, as insurance and staffing topped contractors’ concerns, and supply chain strain fell off. In short, we appear to be moving from disruption management to cost and risk management.

Note: All data was compiled from qualified survey respondents at private contracting companies, collected in February and March 2026. To see your voice represented in these results next year, watch for announcements about 2027 survey dates and share your insight to help us identify challenges, opportunities, and report on the state of school bus contracting.

2026 Survey Results

• Contractor Fleet Size in School Buses: Average: 4,476 | Median: 86
• School District Contracts: Average: 155 | Median: 7
• Students Transported Daily: Average: 322,545 | Median: 8,500
• Average Terminal Manager Salary (Annual):$72,952

Technology in Contractor Fleets

• Parent communication increased again this year, with over half (60%) of contractors using parent communication technology, up from 50% last year and 39% the year before.
• Camera usage jumped this year, with 82% of contractors equipping all buses and 18% some buses with video surveillance. Last year, 69% of contractors had cameras installed across their entire fleet.
• Tablet adoption is increasing again as more contractors report using mobile data terminals on their buses (12% have mobile data terminals on all buses, 53% on some, and 35% on no buses). Last year, 50% said they didn’t use any, compared to 69% the year prior.
• 71% of respondents said all or some of their buses are equipped with predictive maintenance technology. Last year, 56% did.

Find the full results in the June/July 2026 issue of the magazine, coming soon!