Policy and Fiscal Committees June 4, 2012

Policy and Fiscal CommitteesJune 4, 2012

A Review of Transportation

EEC’s Authority to Regulate Transportation

There are two sources of authority for EEC to regulate transportation: Department of Early Education and Care Regulations

• 606 CMR 7.13 (since 2005)

Policy Statement: • Procedures for the Drop-Off and Pick-up of Children by

Transportation Providers and Parent/Program Notification (December 12, 2011)• Provides additional obligations for the Transportation

Providers to follow beyond the Regulations.

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Topic 606 CMR 7.13 (Old) EEC’s Policy Statement (New)

Management Responsibility

• Programs providing or contracting for transportation must:

• Establish child safety policies and procedures;• Ensure compliance with ADA and Rehabilitation Act;• Include any contract with sub-contractor with

Transportation Plan (include duties regarding notification of accidents, vehicle breakdowns, moving violations);

• Copies of policies and procedures made available to educators, drivers, monitors, or parents. (606 CMR 7.13(3)(a)-(d)).

• Provider is responsible for full compliance with transportation laws/policies, regardless of how transportation is provided.

Parent Notification

• General reference regarding parent notification.

• Program must establish policies and procedures that are intended to keep children safe during transport. The policies and procedures must specify … the actions the driver and/or monitor must take if the child is not present at the pick-up location, or if the parent or approved adult is not present to receive the child at drop-off … (606 CMR 7.13(3)(a)(9)).

• Providers shall notify parents immediately if/when a child does not arrive at child care within 30 minutes of his/her scheduled arrival time, unless parents have previously notified the program of the child’s absence or alternative arrival time.

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Adult Monitor(s)

• General reference to adult monitors. • In addition to the driver, an adult monitor is required – based on the number of children, ages, length of routes. The monitor shall be seated in a manner to ensure proper supervision and observation of activities.

Vehicle Monitoring

Devices

• No reference to vehicle monitoring devices. • All vehicles designed to transport 6+ children shall be equipped with monitoring devices approved by the State that prompt staff to inspect. This is not required for vehicles that only transport school aged children, unless the children are developmentally or physically disabled or on vehicles that are only used for occasional field trips or other similar trips.

Passenger Logs • General reference regarding passenger logs.

• Driver must take attendance before and after each trip and conducts a complete vehicle inspection after every trip to ensure no children are left alone in the vehicle. (606 CMR 7.13(4)(j)).

• The driver shall carry and complete a passenger log for each route, identifying the name of each child transported, the time picked up, the time dropped off and initialed by the educator or parent/guardian. The driver shall sign the passenger log at the conclusion of the route, certifying completion of the inspection of each seat, surface area, etc. If a monitor is required on the vehicle, the driver shall give the passenger log to the monitor (or additional reviewer, if no monitor required), who shall physically inspect the vehicle in the same fashion and sign off.

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Secondary Vehicle

Inspection

• No reference regarding secondary vehicle inspections.

• Driver must take attendance before and after each trip and conducts a complete vehicle inspection after every trip to ensure no children are left alone in the vehicle. (606 CMR 7.13(4)(j)).

• Immediately upon dropping off the last child, the driver shall physically walk through the vehicle; inspect all seat surfaces, under all seats and in all compartments or recesses in the vehicle’s interior; sign the passenger log, with driver’s full name and time, indicating that each and every child is unloaded; and if a monitor is required on the vehicle, the driver shall give the passenger log to the monitor (or additional reviewer, if no monitor required), who shall physically inspect the vehicle in the same fashion and sign off.

Transportation Performance

Standards

• No reference regarding Transportation Performance Standards.

• Develop customized transportation performance standards, based upon those created by the Human Service Transportation (HST) Office of EOHHS, to be incorporated into all EEC contracts for transportation services. Standards must be adhered to by all transportation providers and are applicable to all Family Child Care Systems/Providers.

Policy Statement for Income Eligible Child Care Subsidy – Transportation: Subject to funding availability, programs will be reimbursed at the EEC-

approved rate for one way or round trip transportation, based on an individual assessment of the family’s need for transportation.

Factors for contracted provider or CCR&R to consider:• Availability of public transportation;• Whether parent has a car;• Any physical incapacity of the parent;• Whether parent’s work schedule prevents transportation of child; and• Distance between child’s home and child care program (1/2 mile of provider).

Exceptions to 1/2 Mile Rule:• Parent has no car;• No public transportation; and• Parent’s work schedule would not allow time for parent to walk child to child

care;• Child’s disability prevents him/her from walking or being transported by

stroller, carriage, or other similar means; or• Parent’s disability prevents him/her from walking child to care.

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Topic Background EEC’s Transportation Safety Training

Transportation Training

• 7.09 (17) Requires licensees to provide an orientation to all employees on program policies and procedures including the program’s Transportation Plan.

• The Transportation Plan says what situations must be addressed but not how to address them.

• Most existing training is on vehicle safety and maintenance and/or using passenger restraints with only a brief mention of the risks of hyperthermia and ensuring children are not left alone in a vehicle.

• Drivers are not required by regulation to register in EEC’s Professional Qualifications (PQ) Registry.

EEC developed a narrated PowerPoint posted on EEC’s website that includes:

• A self-assessment for participants on the training’s content;

• A certificate of completion; and• A handout for broader distribution.

The training is intended to:•Increase awareness in all adults, including parents;•Relate real-life events about children left in vehicles;•Explain hyperthermia and other risks;•Provide information on EEC regulations, policies and best practices; and•Share links to additional resources.

Transportation Safety Training

Transportation Safety Training (cont…)

EEC is taking the following next steps:

Vehicle Drivers:1. Develop a safety module to the training that specifically reviews the

safety requirements for the vehicle drivers to follow (i.e., completing the passenger logs) and emergency procedures;

2. Require all vehicle drivers to take the safety training one time per year; and

3. Require all vehicle drivers to register in the PQ Registry.

Parents and Other Staff:1. Individualize the training to highlight the most important ways a

parent, an educator, or program can keep the children safe;2. Define the required orientation to the field for new staff in 7.09(9) as

including the training; and3. Incentivize current staff to take the training by awarding 1

professional development hour towards their annual required training.

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Financial Impact - Transportation Rate Increase

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Current Proposed Difference

One Way Transportation Rate $6.00 $8.25 $2.25Round Trip Transportation Rate $9.00 $12.25 $3.25Supportive Care(DCF) add-on-rate $17.22 $20.47 $3.25Average cost per child - IE $6.79 $9.24 $2.45Average cost per child - DTA $7.15 $9.73 $2.58No. of Children Transported - Income Eligible 8,026 8,026 0 - DTA 5,558 5,558 0 - Supportive (80% of 5,834 per mth.) 4,667 4,667 0 Total Children Transported (Actuals) 18,251 18,251 0Expense based on Actual Round Trip Rates $9.00 $12.25 - Income Eligible $18,853,074 $25,661,129 $6,808,055 - DTA $24,979,986 $29,694,560 $4,714,574 - Supportive $20,975,458 $24,934,241 $3,958,783

1. Total Expense Estimate for Roundtrip at Actual Rate ($9 & $12.25) $64,808,519 $80,289,929 $15,481,411

Expense based on Actual Billed Expenditures - Income Eligible $14,220,727 $19,356,013 5,135,286 - DTA $10,365,476 $14,108,582 3,743,106 - Supportive $20,975,458 $24,934,241 $3,958,7832. Total Expense Estimate for Transportation

at Avg. Cost per Child in FY12 $45,561,661 $58,398,836 $12,837,175

The following chart provides a comparison of the transportation costs currently incurred compared to the proposed rate of $12.25 per round trip and the average cost per child per day for FY12.

The following assumptions have been incorporated for analysis purposes.1. There are 261 business days in the year.2. 80% of the children receiving services subsidized by Supportive (DCF) use transportation.3. A incremental increase for Supportive (DCF) of $3.25 is provided to children receiving transportation services only.4. Number of children is FY12 average of children billed for transportation July 2012 thru March 2012.5. Average transportation cost per child is based on actual dollars billed and actual number of children transported July 2012 thru March 2012.6. Proposed average cost per child estimate is proportional to actual average transportation cost at approximately 77.4% of $9.00.

Recommendations

Commissioner will implement all of the recommended transportation policy changes.

Increase the transportation provider rates to the following: From $9.00 to $12.25 per child for round trips; and From $6.00 to $8.25 per child for one-way trips. As a requirement for the transportation rate increases,

contractors must dedicate 1 hour each day towards administrative oversight (i.e., review policies and procedures) for every 5 children being transported.

Commissioner will modify the EEC contracts to require the vehicle drivers to: (1) attend the transportation safety training one time per year and (2) enroll in the PQ Registry.

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A Review of Transportation

Appendix

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1. Policy Statement for Income Eligible Child Care Subsidy – Transportation

2. Transportation Working Group Background Information and Recommendations

3. Transportation Training

4. Transportation Costs

A Review of Transportation - Appendix

1. Policy Statement for Income Eligible Child Care Subsidy – Transportation

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Policy Statement for Income Eligible Child Care Subsidy – Transportation Each program that provides or coordinates transportation must develop

written transportation policies and designate a specific staff person responsible for transportation services.

Providers must discuss with parents their transportation policies, and inform parents of the identity of the transportation coordinator.

Policies must include, at a minimum, the following:1. Procedures to be followed when children or parents are not ready for pick-

up or available at time of drop-off;2. Maximum amount of time drivers will wait for unprepared families or the

return of an absent adult at drop-off;3. Amount of time professional staff will assume responsibility for trying to

locate an absent parent or other emergency contacts prior to taking additional steps such as filing 51A;

4. Process for addressing misbehavior or children during transport;5. Documentation and reporting of accidents; and6. Possible consequences for family’s misuse of transportation.

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2. Transportation Working Group Background Information and Recommendations

Background Information on Transportation Working Group (TWG)

TWG is composed of a cross section of different stakeholders: • Small, independent, and large transportation providers;• Representative from the Registry of Motor Vehicles;• Representatives from Head Start;• Representatives from Child Care Centers;• Representatives from YMCA; and• Representatives from EEC.

TWG was charged with reviewing the EEC’s recent changes to transportation regulations (December 12, 2011), discuss its impact on the field, and proffer recommendations to the Board of Education.

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TWG’s Participants:

Edward Madaus, Guild of St. Agnes George Richardson, Alliance Services of Metro Boston Margaret Rohanna, RMV Mal Hughes, Massachusetts Head Start Association Ardith Wieworka, Child Development and Education, Inc. Bill Restuccia, Child Development and Education, Inc. and Transpro, LLC Liz Acosta, Transpro, LLC Bill Power, AMBTA Debbie Amaral, YMCA Evelyn Tobin, Massachusetts Alliance of YMCA George Flynn, NRT Bus, Inc. JoAnn Howell, Community Teamwork, Inc. Karen M. Pac, YMCA Southcoast Pamela Henry, AMBTA Gail Perry, EEC Carmel Sullivan, EEC John Swanson, EEC

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TWG’s Meetings:

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Date Location Topic(s)

January 6, 2012 EEC’s Central Office•Management Responsibility

•Parent Notification Requirement

January 20, 2012 EEC’s Central Office

•Adult Monitor Requirement

•Vehicle Monitoring Devices

•Transportation Rates

February 3, 2012 EEC’s Central Office

•Passenger Logs

•Secondary Vehicle Inspections

•Transportation Performance Standards

March 9, 2012 EEC’s Central Office •Summary Review Meeting

March 23, 2012 EEC’s Central Office•EEC Board Update

•Discussion on Transportation Rates Study

April 27, 2012 EEC’s Central Office •Transportation Rates Study Update

May 18, 2012 EEC’s Central Office •Transportation Update

Management Responsibility:

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EEC’s Policy TWG’s Discussion Point(s) TWG’s Recommendation(s)

•Provider is responsible for full compliance with transportation laws/policies, regardless of how transportation is provided.

•Basis: must be an assumption of responsibility for the child while the child is being transported to and from the child care program, as well as during child care hours.

•Transportation Provider has first contact with child during day.

•Insurance concerns: umbrella coverage is extremely expensive to protect from lawsuits.

•Cannot leave children in vehicle while escorting other children into programs.

•Difficult navigating so many traffic rules (i.e., three minute idling rule).

•Anyone who contracts and/or receives money is responsible for the child.

Parent Notification Requirement:

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•Providers shall notify parents immediately if/when a child does not arrive at child care within 30 minutes of his/her scheduled arrival time, unless parents have previously notified the program of the child’s absence or alternative arrival time.

Basis: ensures that children are accounted for and promotes accurate attendance. Consistent with best practices.

•Provider should not be responsible for notification if the provider does not have custody of the child.

•Parent availability concerns: some parents’ phones are disconnected, parents do not provide emergency contact information, etc.

•Insurances concerns for their drivers: if driver uses phone to notify Provider immediately of child’s absence, could receive a $500 fine for using phone while driving vehicle – goes against driver’s record.

•Change language in the Policy’s first paragraph from “Parents and guardians are strongly urged to promptly notify the child care program that their child will be absent or will arrive later than scheduled that day” to “Parents and guardians must promptly notify the child care program that their child will be absent or will arrive later than scheduled that day.”

•Adopt a “three strikes and you’re out approach” – this would place the onus on the child’s parent(s).

Parent Notification Requirement (cont…):

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•Third paragraph of Policy places an undue burden on Providers.

•Delete Policy’s third paragraph on page 3 in its entirety:

•“For any child who is privately transported or is transported on a vehicle supplied by a public school and who fails to arrive at the child care program within thirty minutes of his or her scheduled arrival time, the provider should contact the parent and/or the school to determine the child’s location, unless notified by the parent or the school that the child will be absent or will arrive later than scheduled that day.”

Adult Monitors:

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•In addition to the driver, an adult monitor is required – based on the number of children, ages, length of routes. The monitor shall be seated in a manner to ensure proper supervision and observation of activities.

•Basis: ensures that children are supervised during transport and provides second set of “eyes” for driver compliance. Consistent with best practices.

•Programs have different requirements for adult monitors (i.e., YMCA always requires an adult monitor on the bus).

•Monitors come at an additional cost: (a) need to train monitors and (b) monitors take up additional seats (one less child to transport on vehicle).

•Cheaper to install a monitoring device than to hire a monitor.

•If monitors are required, prefer to only have monitors for the age group of children that are too young to get out on their own (infants, toddlers, and preschoolers) – however, additional funding would be needed.

•Add language about an electronic monitoring device (child reminder system) if no monitor is available as a confirmation that the vehicle was verified.

•3/13/12 - Board discussed whether there should be particular child ages that require vehicles to have an adult monitor or an electronic monitoring device on board. •5/7/12 - Subcommittee commented that not all preschoolers have the ability to get out of their seat belts.

Vehicle Monitoring Devices:

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5/7/12 – Subcommittee asked whether it is better to place money towards a monitor as a “second set of eyes” rather than spending money on a monitoring device.

Passenger Logs:

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•The driver shall carry and complete a passenger log for each route, identifying the name of each child transported, the time picked up, the time dropped off and initialed by the educator or parent/guardian. The driver shall sign the passenger log at the conclusion of the route, certifying completion of the inspection of each seat, surface area, etc. If a monitor is required on the vehicle, the driver shall give the passenger log to the monitor (or additional reviewer, if no monitor required), who shall physically inspect the vehicle in the same fashion and sign off.

•Basis: ensures that no children are inadvertently left on vehicle. Ensures that drivers physically walk through vehicle as required and that vehicle is safe and in operable condition.

•Getting parental signatures is time consuming (especially for those stops with multiple children).

•Generates an enormous amount of paperwork.

•Signature vs. initialing – what is best practice?

•Difficulty getting parents’ signatures – some are so busy, they don’t have time to sign log.

•Could get complicated with parents that do not speak English as primary language.

•Include language that states the following: “EEC expects that the Transportation Provider and the System or the Early Education and Care Licensed Provider, as appropriate, shall agree upon the form of the passenger log to reduce duplication.”

•Obtaining parent/guardian signatures should be considered a best practice not a requirement.

5/7/12 – Subcommittee member asked what is the type of oversight for managers to ensure that the logs are completed by drivers? How does EEC confirm this is happening?

Secondary Vehicle Inspection:

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3/13/12 - Board requested clarification on TWG’s recommendation of changing the language to “when safety allows.” Suggested changing it to “as soon as possible.”

Transportation Performance Standards:

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5/7/12 – Subcommittee disagreed with the TWG’s recommendations: (1) abuse and neglect is not part of the CORI reports and (2) what happens if the driver gets injured - how would monitor treat children? Subcommittee recommended that both driver and monitor receive training in CPR/first aide.

Transportation Performance Standards (cont…):

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•3/13/12 - Board discussed the training available for drivers to address emergencies and accidents. •5/7/12 – Subcommittee wanted the language to be simplified in TWG’s recommendation.

Transportation Provider Rates:

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3/13/12 - Board stated that the TWG needs to provide a breakdown as to how it justified the recommendation for the $20 per child per round trip.

Transportation Provider Cost Analysis:

TWG developed a survey and distributed it to the Transportation Providers across the state.

35 companies provided responses to the survey - represents approximately 5,000 children being serviced.

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Questions Posed to the Field:

1. “What type of transportation vehicles do you own/lease?”2. “How many transportation vehicles do you operate each day? Add any

substitute vehicles if they are registered and ready to operate.”3. “What is the average rate of pay for you school Bus drivers per hour?”4. “If applicable, what is the average rate of pay for monitors per hour?”5. “What is your average insurance cost per vehicle?”6. “What is the average age of your Fleet?”7. “In light of the fleet vehicles being operated for both more years and miles

due to overall poor economics in the preschool transportation business, what is your maintenance cost, etc.?”

8. “How much does it cost today to transport one child each day to and from the Pre-School Centers or Family Home Care Programs in your organization? Using the Simple Method, add all annual business costs devoted to this market area, divide by 260 revenue days per year and divide this number by the average number of children you transport each day. This will result in your cost per day per child.”

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Findings of the Transportation Provider Cost Analysis:

Survey indicated that the vehicles utilized by the 35 companies ranged from school buses to mini vans; however, majority of vehicles used were converted 10-12 passenger vans.

Average cost to Transportation Providers is $12.25 per child per day for round trip; $8.25 per child per day for single trip.

Average pay rate for Drivers is $13 per hour with no benefits.

Average pay rate for Monitors is $9 per hour with no benefits.

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Impact of Rate Increase to Levels of Quality in Transportation:

Current reimbursement rate is $9.00 per child; $6.00 per child for one way.

The first two cost estimates provided by TWG are being presented by fiscal for comparative purposes. Current costs for Transportation Providers is $12.25 per child; $8.25 per child

for one way. If an additional Monitor is required, costs would escalate to $16.51 per child.

The following cost estimates were not considered in Fiscal’s analysis because training will be handled separately and the other items are out of scope: For Driver, Monitor, Training, and Drug/Alcohol Testing two times per year, the

costs would escalate to $16.81 per child. For salary improvements to recruit/stabilize professional work force, the costs

would escalate to $17.40 per child. Reserve for new vehicle purchase and RMV mandated upgrades, the costs

would escalate to $18.75 per child. For Transportation Providers to profit, the costs would escalate to $20.00 per

child.

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3. Transportation Training

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Look Before You LockTransportation Safety in Early Childhood Education

EEC developed a training to: Increase awareness in all adults, including parents; Relate real-life accounts about children left in vehicles; Explain hyperthermia and other risks; Provide information on EEC regulations,policies and transportation best practices; Share links to additional resources.

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The Training Consists of: A narrated PowerPoint that will be posted on EEC’s website; A self-assessment for participants on the training’s content; A certificate of completion;

A handout for broader distribution.

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Next steps:

Revise licensing policy so this training is part of the required orientation for new staff;

Encourage drivers to join the Professional Qualifications (PQ) Registry; Incentivize staff to take the training by awarding 1 EEC professional

development hour towards their annual in-service training requirement; Translate the training into multiple languages.

5/7/12 – Subcommittee recommended that there be 2 modules: an overall training and a driver-specific training.


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4. Transportation Costs

EEC Data and Assumptions

EEC reimburses IE and DTA providers at a rate of $9/Round Trip/day.

EEC reimburses IE and DTA providers at a rate of $6/one way/day.

EEC pays Supportive (DCF), Teen Parent, and Homeless providers an add-on rate of $17.22/day. This reimbursement rate includes the cost of transportation.

The cost assumptions assume that if the transportation rate is increased, the Supportive (DCF) add-on rate will increase only for children who are provided transportation.

Number of DCF Children PER MONTH on Average Receiving Transportation uses a factor of 80% of all children served in a month.

Data used is from 7/2010 through 03/2012.

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Number of IE, DTA, and Supportive (DCF 80%) Children PER MONTH on Average Receiving Transportation.

IE and DTA• FY11 14,186 per month• FY12 13,584 per month

Supportive(DCF)• 4,667 (5,834 per month x 80%)

The transportation cost for FY11 was approximately $29M dollars for IE & DTA.

The Transportation Study Group calculated the current cost to providers as $12.25 per day per child. For comparison purposes, at a cost or $12.25 per day per child the total annual cost would be $39.5M.

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To date, the FY2012 transportation cost for IE & DTA is approximately $20.9M; the annualized cost will be approximately $27.9M.

The annualized cost at $12.25 per day would be approximately $37.9M.

Supportive (DCF) cost for approximately 4667 children per month annualized cost is $11M.

The rate increase per day round trip from $9 to $12.25 will add approximately $10M dollars in cost for IE & DTA and additional $4M for Supportive(DCF)

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• Cost Assumptions are based on TWG Cost Analysis

Each vehicle transports 7 children, 1 monitor, and 1 driver.

Each vehicle makes 3 round trips per day.

Twelve hours a day is required to accommodate transportation of children, therefore two drivers per day are needed per vehicle.

On average to date in FY12 18,251 children have been transported. EEC estimates to transport the children at full capacity per van, 869 vans and 1,738 drivers would be needed.

Retention stipend and training cost EEC proposes a retention stipend of $250 per driver for one year of continued

employment. Cost estimate based on assumptions would be $434,500.

Training expense is not included in daily rate. It is estimated that training cost per person on average would be $50 per session. Training for 1,738 drivers would cost $86.9K.

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How Much More Will It Cost to Provide Transportation?

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This chart provides a summary of transportation costs from each source.

Cost per Child per Day Total CostAdditional Cost per Year

Compared to Average Number of Children at $9

per Day

Caseload Reduction to Accommodate

Additional Transportation Cost

Supportive Bid Transportation Cost $11.98 $57,066,862 $14,195,263 1,182

MADCA Estimate with Monitors $25.00 $119,087,775 $76,216,176 6,348

MADCA Estimate with Monitors; backed out some projected expense for

comparison$21.21 $101,034,068 $58,162,469 4,845

MADCA Estimate without Monitors $18.96 $90,316,169 $47,444,570 3,952

MADCA Estimate without Monitors; backed out some projected expense for

comparison$14.31 $68,165,842 $25,294,243 2,107

Provider Estimate 1 (March 2012) $15.00 $71,452,665 $28,581,066 2,381

Provider Estimate 2 -Drivers without Benefits. No Monitors

$12.05 $57,400,308 $14,528,709 1,210

Provider Estimate 2- Drivers with Benefits. No Monitors

$13.58 $64,688,479 $21,816,880 1,817

Provider Estimate 2 - Drivers with Benefit and Monitors on every vehicle

$24.00 $114,324,264 $71,452,665 5,952

Transportation Working Group - Current Costs

$12.25 $58,353,010 $15,481,411 1,290

Transportation Working Group - with Monitor

$16.51 $78,645,567 $35,773,968 2,980

Transportation Working Group - recommended

$20.00 $95,270,220 $52,398,621 4,365

Days261

21 Mth. Avg. # of children per day (FY11/12 to date) 18,251

FY12 Expense Estimate for Comparison$42,871,599

Annualized Daily Rate (Avg. Daily Rate per Child is $46)

$12,005 `

Percentage Increase from Current to Proposed Rates

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Comparison of Daily Rate (Round Trip) Rates

% comparison to current EEC Rate

Provider Estimate 2 - Drivers with Benefit and Monitors on every vehicle $24.00 167%MADCA with monitors adjusted $21.21 136%Transportation Working Group - recommended $20.00 122%

Transportation Working Group - with Monitor $16.51 83%Provider Estimate 1 (March 2012) $15.00 67%MADCA without monitors adjusted $14.31 59%

Provider Estimate 2- Drivers with Benefits. No Monitors $13.58 51%Transportation Working Group - Current Costs $12.25 36%Supportive Bid Transportation Cost $11.98 33%

Current Round Trip Rate $9.00

Documents

Policy and Fiscal Committees June 4, 2012