WALL, N.J. — Student Transportation of America Ltd. (STA) has reported seeing an increase in the number of school districts interested in transitioning from public to private school bus fleets.

"Budget constraints are forcing local municipalities, school districts and state officials to decide between cutting programs, laying off teachers or purchasing new school vehicles and funding in-house transportation departments," said Denis J. Gallagher, STA chairman and CEO. "We're pleased to see the more these government operations learn about contracted transportation services, and the true cost of their own operations, in time and money, the more they see the economic and operating advantages that we can bring to their already depleted municipal budgets.”

Gallagher said that STA has completed several successful conversions in the past few years and has recently submitted several new bid and conversion proposals to school districts.

According to recent SCHOOL BUS FLEET research, about 72 percent of school buses in the U.S. are owned by school districts. About 26 percent are contractor-owned, and the remaining 2 percent are state-owned.