The First Student bus center in House Springs will close this summer, resulting in up to 127 people being laid off, the company said in a filing to the state on May 1.
First Student, which is owned by First America of Cincinnati, Ohio, had provided transportation services to the Northwest R-1 School District for the last 15 years but recently lost the contract. As a result, the company said it will close the bus center, 4260 Gravois Road, when the contract with the school district ends next month.
Northwest’s seven Board of Education members voted unanimously March 19 to change bus companies. Instead of renewing its contract with First Student, the board hired Durham School Services, which is headquartered I Lisle, Ill., and provides services in 32 states, according to the company’s website.
The contract calls for Northwest to pay Durham $4,640,824.84 for the 2020-2021 school year, $4,779,078.21 for the 2021-2022 school year and $4,921,545.05 for the 2022-2023 school year, with options to pay the company $5,068,062.74 for the 2023-2024 school year and $5,219,188.67 for the 2024-2025 school year, according to district documents.
When the board first authorized the district to negotiate with Durham on Feb. 20, Chief Operating Officer Geoff Macy said Durham’s annual bid came in $75,000 lower than other bidders for the first year and would save the district about $355,000 over five years. First Student was among four companies that submitted bids for the transportation contract, Northwest documents said.
In its letter to the Missouri Department of Higher Education and Workforce Development, First Student said it plans to close its bus center when its contract with Northwest ends June 30.
The company said part-time drivers, part-time monitors and aides, and maintenance and administrative employees will be laid off. Of those projected to be laid off, 119 are members of the Teamsters union and eight are not union members, the filing said.
“It is our goal to place personnel at other First Student Inc. locations if possible, no later than May 31,” the company said.
Jessica DiPaolo, director of administrative services for the Northwest district, said Durham had indicated it is open to hiring bus drivers and other people who have been working for First Student at the Northwest School District.