96. School Buses

Summary

Summary of "The Economics of Everyday Things" – Episode 96: School Buses

Introduction

In Episode 96 of The Economics of Everyday Things, hosted by Zachary Crockett from the Freakonomics Network, the intricate and often overlooked world of school buses is explored. The episode delves into the economic, logistical, and human challenges surrounding the transportation of 26 million K-12 students in the United States. Through interviews with school bus drivers, transportation directors, and industry experts, Crockett unveils the complexities that ensure children safely reach their classrooms each day.

The Essential Role of School Bus Drivers

The episode opens with the story of Jada Melendez, a dedicated school bus driver in Burlington County, New Jersey. Melendez’s day begins early, meticulously preparing her 87-passenger Bluebird bus. She emphasizes the multifaceted responsibilities of her role:

"You’re looking at your tires, you’re looking at the lights, the stop arm, your wipers, your horn, making sure all your nuts and your bolts and stuff is all there." ([01:15])

Driving a school bus, Melendez explains, is not merely about transportation but also about safety and care:

"A lot of people don’t appreciate us. They look at us like being an Uber driver and we’re not. We’re taking care of your kids. We’re a babysitter, we’re a nurse, we’re a therapist. It’s a lot that we do to keep the kids safe." ([09:59])

Financial and Logistical Challenges

School districts bear the significant financial burden of operating thousands of buses. Each traditional diesel bus costs between $90,000 and $120,000, while electric buses can range from $400,000 to $500,000 per vehicle ([04:11]). Maintaining and replacing fleets is a continuous financial strain, with districts often replacing 5-15% of their buses annually to ensure safety and reliability ([04:33]).

Zachary Crockett interviews Mark Medina, the Supervisor of Transportation in the Farmendale School District on Long Island, who highlights the budgetary struggles:

"Transportation is at the bottom of the totem pole when it comes to, you know, the funds and stuff like that. Some districts are laying teachers off and laying workers off. They don’t want to throw money into transportation." ([07:15])

Driver Shortages and Labor Market Competition

One of the most pressing issues discussed is the nationwide shortage of school bus drivers. With an average wage of around $21 per hour, school bus driving is less lucrative compared to other transportation jobs, making it difficult to attract and retain workers. This shortage has been exacerbated by the COVID-19 pandemic, which saw many experienced drivers leave the profession permanently ([18:13], [18:42]).

Keith Corso, co-founder of BusRight, explains the depth of the problem:

"Quitting at record rates, and the driver shortage has been an issue for over a decade." ([18:47])

Moreover, competition from companies like Amazon, which are actively seeking drivers with commercial driver's licenses (CDLs), further depletes the available workforce:

"They can drive for Amazon, make more money, and they’re driving around packages and no one’s screaming at them." ([20:08])

Innovative Solutions and Technological Innovations

In response to the driver shortage and logistical challenges, various solutions are being explored. BusRight, represented by Keith Corso, offers technological tools designed to streamline operations and enhance efficiency:

"We affix rugged military grade tablets to the dashboard of every bus in your fleet. Those tablets provide turn by turn driver navigation that’s engineered for a school bus and the route that drivers taking at that moment." ([21:40])

Additionally, some districts are implementing creative measures such as enlisting private cab companies to transport students or offering financial incentives to parents to opt out of bus services:

"In St. Louis, district leaders temporarily enlisted private cab companies to get kids to school. In Philadelphia, the district has experimented with paying parents $300 a month to opt out of bus service." ([20:39])

Personal Stories and Daily Realities

Mark Medina shares his journey from selling car insurance to becoming a transportation supervisor, underscoring the dedication required to manage transportation for over 4,000 students:

"I oversee the whole transportation department, so we run about close to 100 buses." ([07:09])

He further describes the relentless nature of the job:

"There’s a lot of hardworking transportation professionals and they roll up their sleeves. They come to work early, they stay late, and it’s not an easy thing." ([22:58])

Parent-Driver Dynamics and Increased Scrutiny

The relationship between school bus drivers and parents has become increasingly strained. With heightened concerns over child safety, parents often inundate transportation departments with inquiries and complaints, transforming these departments into call centers:

"These transportation departments are looking more like call centers. A call center just for parents to give you a sense of just how concerned and worried these parents are." ([16:56])

Jada Melendez recounts confrontations with parents who overstep boundaries:

"I’ve had some parents that would come to your bus and want to tell you how to run your bus. No, ma’am, you don’t tell me how to run my bus." ([16:15])

Efforts to Enhance Efficiency and Attract Drivers

Districts are implementing strategies to optimize bus routes and improve operational efficiency despite limited resources. Medina likens route planning to a game of Tetris, requiring creative adjustments to cover all routes with a dwindling number of drivers:

"It’s like a game of Tetris, where you have to fit these pieces to make the operation work." ([19:02])

Additionally, districts are offering significant incentives to attract new drivers, including $10,000 sign-on bonuses and paid training programs. However, these measures are often not enough to stem the tide of departing drivers.

Conclusion

Episode 96 of The Economics of Everyday Things sheds light on the critical yet challenging world of school bus transportation. Through the experiences of dedicated drivers like Jada Melendez and transportation supervisors like Mark Medina, the episode highlights the economic pressures, logistical hurdles, and human elements that keep millions of students moving safely each day. The exploration of innovative solutions and the ongoing struggle to attract and retain drivers underscore the broader implications for public education and community safety.

Notable Quotes

• Jada Melendez: "You’re looking at your tires, you’re looking at the lights, the stop arm, your wipers, your horn, making sure all your nuts and your bolts and stuff is all there." ([01:15])

• Mark Medina: "Transportation is at the bottom of the totem pole when it comes to, you know, the funds and stuff like that." ([07:15])

• Keith Corso: "They’re popping up everywhere." ([20:06])

• Jada Melendez: "A lot of people don’t appreciate us. They look at us like being an Uber driver and we’re not." ([09:59])

• Keith Corso: "We affix rugged military grade tablets to the dashboard of every bus in your fleet." ([21:40])

Final Thoughts

This episode not only underscores the indispensable role of school bus drivers but also calls attention to the systemic issues that threaten the stability of school transportation systems across the nation. As districts continue to navigate financial constraints and labor shortages, the stories shared by Crockett offer a compelling glimpse into the heart of public education logistics.

Transcript

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[Zachary Crockett]

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[Zachary Crockett]

In the early morning hours before kids have gotten out of bed for school, Jada Melendez is out in a parking lot preparing for the day ahead.

[Jada Melendez]

You're looking at your tires, you're looking at the lights, the stop arm, your wipers, your horn, making sure all your nuts and your bolts and stuff is all there.

[Zachary Crockett]

She ignites the engine on her 87 passenger Bluebird, checks her mirrors and departs the depot at exactly 7:28.

[Jada Melendez]

Take deep breaths, calm down. You definitely gotta relax when you're driving that bus and then, you know, just go for it. Like driving a big car.

[Zachary Crockett]

Melendez is a school bus driver in Burlington County, New Jersey. She's one of around 200,000 workers around the country who are tasked with safely and efficiently transporting K12 students to school. Driving a school bus is not a job for the weak. You have to deal with screaming kids, helicopter parents, outdated navigation systems, and split schedules that take up the whole day, often for an hourly rate that is hard to pay the bills with. In recent years, many school bus drivers have quit, and school districts are facing driver shortages that require creative problem solving.

[Keith Corso]

They're trying to figure out, how am I going to get 2,000 kids to school when I'm down 19% of my drivers? They're looking at a map, trying to game plan. What routes can I merge? What stops can I consolidate?

[Zachary Crockett]

For the Freakonomics radio network, this is the economics of everyday things. I'm Zachary Crockett Today, school buses around half of all students in kindergarten through 12th grade rely on buses to get to and from school. That's 26 million kids. And there are 480,000 school buses in operation around the country to accommodate them.

[Keith Corso]

School buses make up the largest mass transit system in the U.S. in fact, if you add up all of the planes, trains, public transit buses and other forms of mass transit, there are significantly more school buses.

[Zachary Crockett]

That's Keith Corso. He's the co founder of a technology company called busright.

[Keith Corso]

If you can't get kids to school, there is no school. And so the school bus is more than a big tin can on the road. It's access to education.

[Zachary Crockett]

Every school district is responsible for handling its own transportation, whether it's thousands of buses in New York City or a single bus in rural Kansas. Around two thirds of school districts choose to own and operate their own fleets. They buy their own buses, have their own storage yards and hire their own drivers. Some districts charge parents a fee for bus access, but in most cases, the cost comes out of public funds and it can be very expensive.

[Keith Corso]

A traditional diesel bus will run you between 90 to $120,000. Electric vehicles can run you between 400 to $500,000 per vehicle.

[Zachary Crockett]

If you're a district with say 500 buses, that's at least $50 million worth of vehicles. And they need to be replaced pretty frequently.

[Keith Corso]

A lot of districts will on average replace 5 to 15% of their fleet every single year because a lot of different districts have rules and policies such that they replace a certain percentage no matter what, just to make sure they're refreshing their fleet in full every X number of years.

[Zachary Crockett]

Districts need to rent or buy land where they can store all of those buses. They need to employ in house mechanics to maintain them, and they need to find and pay hundreds of bus drivers to operate them on a daily basis. A third of school districts choose to outsource all of this to a private bus company instead.

[Keith Corso]

There is for students, Student Transportation of America, Presidential Transportation, Desert Choice Transport, Beacon Mobility. The reality is that it's actually cheaper for a district to run their own fleet. But if you can't hire transportation leadership, routers, dispatchers, driver trainers, the list goes on. Then that's where these districts like, look, we're willing to pay a significant premium to outsource this service under a contract.

[Zachary Crockett]

With a private school bus company. A district often pays a fee for each bus that covers everything they need.

[Keith Corso]

If you want to contract out to a bus company Each one of those buses will run you between 65 to $110,000 a year, depending on where you are across the country. And that includes the entirety of the service, from the driver to the vehicle itself to the gas.

[Zachary Crockett]

Working out this math is one of many decisions that typically fall on the shoulders of a school bus district's transportation director.

[Mark Medina]

I'm on top of it, like, almost to the point where they're like, mark, are you okay? What are you doing over there?

[Zachary Crockett]

That's Mark Medina.

[Mark Medina]

I'm the supervisor of transportation in the Farmendale School District on Long island, and I'm also the president of the New York association for People Transportation.

[Zachary Crockett]

Medina started his career in transportation in the aftermath of the Great Recession. At the time, he was selling car insurance, but he was interested in a government job that had more stability and better benefits. He took a part time gig as a school bus driver and eventually moved into the back office. Today he's in charge of getting over 4,000 kids to and from school.

[Mark Medina]

I oversee the whole transportation department, so we run about close to 100 buses.

[Zachary Crockett]

Like many transportation directors, Medina has to fight for every dollar of his budget.

[Mark Medina]

Transportation is at the bottom of the totem pole when it comes to, you know, the funds and stuff like that. Some districts are laying teachers off and laying workers off. They don't want to throw money into transportation.

[Zachary Crockett]

Figuring out how to pay for school buses is just one part of the job. Medina and his team have to plot out the home addresses for each bus rider and identify the most efficient stops to pick up groups of kids. The logistics can get pretty messy.

[Mark Medina]

You have a bus and it's going to cover a general area. You're going to try to centralize these bus stops as best you can for every student with the intention that every student's going to be riding the bus. You might have five or six kids assigned to a stop and only one kid is using it, and that kid's around the block. So you might make a minor adjustment, you know, to help out.

[Zachary Crockett]

Once Medina has the stops planned out, he maps out the best route for each bus, turn by turn.

[Mark Medina]

That's me sitting in front of a computer and looking at every single route. There's streets where you don't want to make a left on. There's streets that, you know, where there's a traffic light that it's safe to make a left. This is our baby. We have to treat it as such. We're not shipping around, you know, boxes, right? This is very precious cargo.

[Zachary Crockett]

In most districts, these Routes are circulated to bus drivers on paper. Keith Corso says that's not an ideal system.

[Keith Corso]

I'd say half the time it's printed out through a routing software. The other half of the time it is written in hand or typed out on word and printed out. And it says drive 200ft, turn left onto Bryant Ave. On Bryant Ave. In 200ft, you'll be arriving at Zach Stop. And it has pages and pages of this information. Now the challenge is that you have to read this in detail. At six in the morning, it's pitch blackout. You don't know where you're going. The mailbox is tucked behind a bush and you can't read the number on it.

[Zachary Crockett]

This is all complicated, even more by the fact that many kids need to be picked up or dropped off at different places on different days of the week.

[Keith Corso]

Half of these families have split custody arrangements. So a student might go to this house on this day, but they alternate every other day, whereas this other student alternates every other week, whereas this other student does one month with this parent and one month with that parent. You have to tell John the bus driver we need to pick them up at their front door instead of down the street. They might be given a scribbled note from the transportation director. And that's kind of how these things are done.

[Zachary Crockett]

So what does it take to pull this off? And what's it like to drive around a giant yellow school bus every day?

[Jada Melendez]

A lot of people don't appreciate us. They look at us like being an Uber driver and we're not. We're taking care of your kids. We're a babysitter, we're a nurse, We're a therapist. It's a lot that we do to keep the kids safe.

[Zachary Crockett]

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[Zachary Crockett]

Jada Melendez didn't plan on being a school bus driver. She started her career in the military, then worked in law enforcement while raising three children as a single mom. But in 2023, she decided she wanted to transition to something safer and more predictable. She took some classes and got a commercial driver's license, a requirement for driving a school bus. Today she works part time for Shepherd Bus, a private company that owns and leases more than 600 vehicles to school districts in New Jersey.

[Jada Melendez]

Most bus drivers is considered part time, even though it feels like we have full time hours. So I get like six and a half hours a day.

[Zachary Crockett]

Like many school bus drivers, Melendez works on something called a split shift. She works for three hours in the morning running routes for high school and elementary schools. Then another three hours in the afternoon when kids get out of class. Her schedule is planned out down to the minute.

[Jada Melendez]

I dropped them off at their school between 7:55 and 8. They are a short route. My high schoolers, my elementary is more of a longer route. And I normally start them like first pickup is like 8:08 and I'm done with them about 8:45, 9. I get home about 9:30. So then you have to be back at the yard at 1:45.

[Zachary Crockett]

Some drivers are able to pick up shifts in between their morning and afternoon routes. But most days, Melendez says it's not quite enough time to work a second job.

[Jada Melendez]

Split shift always feels like you have an extremely long day. I was just trying to like, I have a Wendy's across the street from my house. I got a Chick Fil a. I just tried to go somewhere where I could just do something like for a few hours. But some jobs you just need at least five hours. It definitely isn't enough time to. I mean, unless you do like doordash or Uber eats or something like that, then that's like the only type of jobs that you could probably really do in between time.

[Zachary Crockett]

Even if Melendez did have enough time to work a second job between shifts, she says safely operating a school bus full of children is taxing enough yelling.

[Jada Melendez]

And screaming, Getting up out of your seats while the bus is in motion, changing seats while the bus is in motion, eating water. Buses in motion. You have to be the eyes and the ears on the bus and looking forward and in traffic. So you're multitasking. And a lot of my students, the little elementary, you can't even see them above their seats. It's look like you're driving a bus with nobody on it. You just hear them.

[Zachary Crockett]

But a bigger challenge is dealing with all of those kids. Parents.

[Jada Melendez]

I've had some parents that would come to your bus and want to tell you how to run your bus. No, ma' am, you don't tell me how to run my bus. This is my bus. I run my bus the way I see fit. They don't like it, then they can take their own kid to school.

[Zachary Crockett]

Keith Corso says that over the past few decades, parents have become an increasing nuisance to transportation departments.

[Keith Corso]

You now have more helicopter parents. There's this heightened pressure and concern over where children are. New parents today can see exactly where their 2 or 3 year old is in childcare, right, because of all the cameras that are constantly watching those children.

[Zachary Crockett]

But school buses, most of them aren't set up to be tracked in real time. And that drives parents nuts.

[Keith Corso]

These transportation departments are looking more like call centers. A call center just for parents to give you a sense of just how concerned and worried these parents are. When is the bus getting here? How dare you miss my child like that. We were just coming out the door when your driver left. You should fire that driver. Parents used to be okay with their kid getting picked up and dropped off at the same place, and they'll figure it out.

[Jada Melendez]

And.

[Keith Corso]

And that's no longer acceptable across the country.

[Zachary Crockett]

Even when drivers bend over backwards to accommodate all of these demands, parents often don't have their kids ready to go on time. In Melendez's district, some kids are picked up at their house and others at designated stops. And in some cases, the state of New Jersey requires a grace period before driving off. This extra time can throw off a bus driver's schedule for the whole morning.

[Jada Melendez]

If you're at a house, you have to wait two to three minutes to see you know they gonna come or not. Corner stops is like a minute or two. That's what majority of time is going. It's waiting at the stops.

[Zachary Crockett]

Nationally, the average wage for school bus drivers is around $21 an hour, considerably lower than the average across all transportation jobs. For many drivers, the relatively low pay isn't worth the hassle of dealing with kids, parents, and a schedule that doesn't easily accommodate other jobs. And it's led to a serious bus driver shortage. In districts across the country, drivers are.

[Keith Corso]

Quitting at record rates, and the driver shortage has been an issue for over a decade.

[Zachary Crockett]

School bus driver employment has been on the decline for the past 15 years, while the number of students has grown. Mark Medina says the problem only got worse during COVID when many older drivers quit and didn't come back.

[Mark Medina]

We've been dealing with an extreme, extreme school bus driver shortage. So much so that you know, as a transportation supervisor, when you're putting together your routes, you have to get creative. If I have 24 high school routes that need to be covered, but there's only 20 drivers, I have to figure out a way to get those four routes covered with those 20 drivers that I have right. You look at the map, what schools are close to each other, do their times work? Maybe we can combine those schools. It's like a game of Tetris, where you have to fit these pieces to make the operation work.

[Zachary Crockett]

Districts and private school bus companies have faced increasing labor market competition from companies like Amazon, which are constantly looking for workers with A commercial driver's license or cdl. And school bus drivers are perfect candidates. In the area where Medina works, there are at least five Amazon warehouses nearby. And the e commerce giant has plans to build more.

[Mark Medina]

They're popping up everywhere.

[Zachary Crockett]

Are drivers going to those warehouses?

[Mark Medina]

Well, they are. And you know what? I don't blame them. There's so many demands that are put on a driver. They can drive for Amazon, make more money, and they're driving around packages and no one's screaming at them.

[Zachary Crockett]

Jada Melendez has seen a lot of fellow bus drivers leave for jobs like this.

[Jada Melendez]

They want to do more money. They love the fact that they really don't have no one over their shoulder, that it feels more like they're the boss of their own job.

[Zachary Crockett]

Districts are trying all kinds of things to attract and retain bus drivers, including $10,000 sign on bonuses, paid training, and extended hours and benefits. In the meantime, they're taking dramatic action to fill the void. In St. Louis, district leaders temporarily enlisted private cab companies to get kids to school. In Philadelphia, the district has experimented with paying parents $300 a month to opt out of bus service. And Corso says he's seen cases where some districts are even flying in school bus drivers from out of state.

[Keith Corso]

Think about how many other industries that you hear about, oh, they're dealing with a labor shortage. I guarantee you they're not flying people in from other states.

[Zachary Crockett]

Corso sees a potential solution in technology. His company, busright, makes tools aimed at reducing some of the day to day annoyances that drivers and transportation directors face.

[Keith Corso]

We affix rugged military grade tablets to the dashboard of every bus in your fleet. Those tablets provide turn by turn driver navigation that's engineered for a school bus and the route that drivers taking at that moment. Our web app sits on a computer in the transportation office so the secretary, router, dispatcher, and transportation director can build routes in 60 seconds. They could track their vehicles in real time for the first time. They could communicate to parents in one click. And then we have a parent bus tracking app that thousands of parents will have right in their hand so they could see exactly where their child is going to and from school, similar to what you might expect for Uber or Lyft.

[Zachary Crockett]

For the service, Busrite charges a district anywhere from $1,000 to $3,000 per bus per year, depending on fleet size. Pitching cash strapped districts on yet another expense may seem like a hard sell, but the company now has hundreds of customers in 33 states. Mark Medina sees promise in the idea, but he says in the meantime, you can find him sweating away in his small office where he and his colleagues are doing everything they can with the resources they have.

[Mark Medina]

There's a lot of hardworking transportation professionals and they roll up their sleeves. They come to work early, they stay late, and it's not an easy thing. A lot of times it's overlooked. Sometimes I don't grasp the magnitude of what we're able to accomplish on a daily basis. I'm able to walk out of the office right now and be like, listen, every kid got home safe. Every bus got to where it was supposed to. That's a successful day, man. You know what I mean?

[Zachary Crockett]

For the Economics of Everyday Things, I'm Zachary Crockett. This episode was produced by me and Sarah Lilly and mixed by Jeremy Johnston. We had help from Daniel Moritz Rapson and shout out to our listeners Julie Wells and Eric Biter for suggesting this topic. If you have an idea for an episode, feel free to email us@everyday thingsreakonomics.com Our inbox is always open. All right, until next week.

[Mark Medina]

When parents call, I'll say to a parent very nicely, right, listen, they're hiring if you want to do it, and I'll make sure you get put on your kid's bus.

[Zachary Crockett]

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