Review of Transportation Policies and Costs Fiscal Committee December 2, 2013.

Review of Transportation Policies and Costs

Fiscal CommitteeDecember 2, 2013

Transportation History

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This presentation provides additional information to the Fiscal Committee relative to transportation history, costs, and policies.

Transportation Rate Increase History

The last transportation rate increase was in May 2006 when the one way rate increased from $5 to $6 and the round trip rate increased from $7.50 to $9.00.

In June 2012 the Board voted as follows:

Subject to a supplemental budget appropriation the Board approves an increased transportation provider reimbursement rate of $16.51 for round trip transportation and $11.11 for one-way transportation for all infants, toddlers, and preschool age children with the requirement that, if the recommended reimbursement rate increase is funded, entities that receive transportation payment from EEC for infants, toddlers, and preschool age children must dedicate one adult monitor on all vehicles. The transportation rate of $9.00 per day round trip and $6.00 per day for one way transportation will remain in effect for all transportation providers that transport school age children.

Transportation: Recognition of Costs

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November 2012: FY14 Aspirational Budget

The Board votes to recommend to the Governor a funding request of $17,586,713 for the FY14 Aspirational Budget to increase the rate paid for transportation to support improvements in the system and the addition of one adult monitor on all vehicles carrying infants, toddlers, and preschool children. The request includes an increase in the add-on rate from $17.22 to $24.73 for infants, toddler, and preschool children. Transportation for school age children would remain at $17.22.

November 2013: FY15 Aspirational Budget

The Board votes (again) to recommend to the Governor a funding request of $17,586,713 for the FY15 Aspirational Budget to increase the rate paid for transportation to support improvements in the system and the addition of one adult monitor on all vehicles carrying infants, toddlers, and preschool children.

Transportation: Service to be Provided

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Infant, Toddler & Preschool

School Age

FY13 9.00$ 9.00$

Proposed FY15 16.51$ 9.00$

FY13 6.00$ 6.00$

Proposed FY15 11.11$ 6.00$

Transportation Rate Comparison

DTA and Income Eligible

Round Trip

One Way

What does the Rate of $16.51 for Round Trip Transportation Provide?

The rate of $16.51 per round trip would make providers whole for the staff time already directed to satisfying the following recommendations:

Management Responsibility Parent Notification Passenger Logs Secondary Vehicle Inspection

AND places an adult monitor on vehicles based on the number of children, ages, and length of routes.

Vehicle monitoring devices will not be required.

Transportation Costs

An increase in the transportation rate would support the following expenses at roughly the percentages shown.

Driver Expenses: 34.7% Monitor Expenses: 23.1% Gas and Maintenance: 24.9%

• Note that the sum for driver, monitor, and gas and maintenance expense is 82.7% of the total

Equipment: 3.4% Insurance: 3.7% Training: .9% Contract Services: 3.1% Other: .2% Admin Expenses: 5.8%

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Transportation Expenses

TRANSPORTATION: Current Estimated Cost $18,034,933

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FY2013 Actual ExpendituresTransportation

CostAverage Daily

Cost

Average No. of Days Transportaion

Provided

Average No. of Infant, Toddler &

Preschool

Average No. of School Age

DTA 11,832,448$ 8.55$ 221 3868 2457

Income Eligible 13,758,271$ 8.12$ 232 1954 5821

Income Eligible Flex 528,048$ 8.30$ 214 145 160

Sub Total 26,118,767$ 8.32$ 222 1989 2813

Supportive 25,523,811$ 17.22$ 261 3904 1775

Total 51,642,578$

FY2013 Restated with Proposed Rates

Transportation Cost

Average Daily Cost Infant, Toddler and Preschool

Average Daily Cost School Age

Estimated Cost. of Infant, Toddler &

Preschool

Estimated Cost. For School Age

DTA 18,050,542$ 15.69$ 9 13,407,175$ 4,643,367$

Income Eligible 17,697,956$ 14.89$ 8 6,745,590$ 10,952,366$

Income Eligible Flex 752,933$ 15.22$ 8 469,988$ 282,945$

Sub Total 36,501,431$ 15.27$ 8 20,622,753$ 15,878,678$

Supportive 33,176,081$ 24.73$ 17 25,198,485$ 7,977,596$

Total 69,677,512$

Estimated Transportation Cost Increase using FY13 Data **

18,034,933$

June 2012 Board Vote 17,586,713$

Change in Estimate 448,220$

The FY13 average daily cost for Income Eligible and DTA is 90% to 95% of the round trip transportation rate of $9.00.These percentages were applied to the proposed round trip rate of $16.51 to calculate the cost estimate for comparison purposes.The estimates for School Age children remains at the current rate of $9.00 for IE and DTA and included in the add on rate for school age children.The estimated increase in cost could fluctuate due to changes in caseload and children eligible for transportation.

Transportation: Monitoring Responsibilities

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The following represent the areas of transportation review, EEC unit responsibility, and if the SAO audit has noted a concern.

Area of Review: Transportation Subcontractor RecordsEEC Responsibility: ContractsSAO Audit Observation: Some providers do not maintain records for subcontractor drivers. Contract providers think it is the subcontractor's responsibility to maintain these records.

Area of Review: Subcontractor Drive CORI ChecksEEC Responsibility: LicensingSAO Audit Observation: Some contract providers think it would be redundant to do CORI checks themselves. Some providers are running CORI checks on subs and some are not.

Area of Review: Transportation LogsEEC Responsibility: Licensing, Audits, ContractsSAO Audit Observation: There is not as much emphasis placed on transportation logs as there should be. Some contract providers receive transportation logs from their transportation subcontractor, and some do not. It is not clear how long transportation logs should be kept. The policy doesn’t address length of time to maintain the log or where it should be stored. In December 2011 EEC required that transportation logs be signed to prove that a van is empty. There is no consistency among providers.


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Area of Review: Vehicle InspectionsEEC Responsibility: LicensingSAO Audit Observation: 7D records are hard to come by. (The auditors did not that 7D records are on the RMV website and if you type in the VIN, you can find it.) Inspections are not performed. In particular, for buses, there are no records and no copies.

Area of Review: First Aid/ CPREEC Responsibility: LicensingSAO Audit Observation: Our policy is not clear relative to how frequently CPR training must be done for drivers.

Area of Review: PQR RegistrationEEC Responsibility: Contracts, Audit response to incidentSAO Audit Observation: All transportation employees are not registered in PQR.

Area of Review: Driver Safety TrainingEEC Responsibility: Audit Response to IncidentSAO Audit Observation: There is a Spanish version of one presentation, but there is no audio.


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Area of Review: Insurance CoverageEEC Responsibility: LicensingSAO Audit Observation: 606 CMR specifies the minimum levels of insurance coverage that is required. It looks like most people don't have the minimum level of insurance, but the umbrella or blanket policy of $1M seems to address this. (The auditors are going to continue looking at this.) Sometimes files were incomplete.

Area of Review: Subcontractors No Longer in Business.EEC Responsibility: UnclearSAO Audit Observation: Contract providers are unsure if they would be able to secure records from these transportation subcontractor companies that are defunct. There should be a policy to have records on an ongoing basis.

Area of Review: CDL LicensesEEC Responsibility: LicensingSAO Audit Observation: Are CDL licenses good for driving a bus?

Area of Review: Transportation PlanEEC Responsibility: Licensing, Audits, ContractsSAO Audit Observation: NA


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Area of Review: Transportation Plan for ChildEEC Responsibility: Licensing, AuditsSAO Audit Observation: NA

Area of Review: Driver Assigned to Specific RoutesEEC Responsibility: LicensingSAO Audit Observation: NA

Area of Review: No Smoking in VehicleEEC Responsibility: LicensingSAO Audit Observation: NA

Area of Review: Car Restraints / Infant SeatsEEC Responsibility: LicensingSAO Audit Observation: NA

Area of Review: Attendant Present for 8 or MoreEEC Responsibility: LicensingSAO Audit Observation: NA


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Area of Review: AirbagsEEC Responsibility: LicensingSAO Audit Observation: NA

Area of Review: Sharp or Dangerous ObjectsEEC Responsibility: LicensingSAO Audit Observation: NA

Area of Review: Release of Children to Authorized PersonEEC Responsibility: LicensingSAO Audit Observation: NA

Area of Review: Ability to Make Emergency Phone CallsEEC Responsibility: LicensingSAO Audit Observation: NA

Area of Review: Transportation IncidentsEEC Responsibility: Licensing, AuditsSAO Audit Observation: NA


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Area of Review: Supervision of Drivers and MonitorsEEC Responsibility: Contracts, ??SAO Audit Observation: NA

Area of Review: Notice of Substantial Change in ServicesEEC Responsibility: ContractsSAO Audit Observation: NA

Area of Review: Policy for Notifying ParentsEEC Responsibility: Licensing, Contracts, AuditsSAO Audit Observation: NA

Area of Review: Conducting Post Trip ChecksEEC Responsibility: Licensing, Contracts, AuditsSAO Audit Observation: NA

Area of Review: Child Health and SafetyEEC Responsibility: Licensing, ContractsSAO Audit Observation: NA

Transportation: Service Scenarios

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Type of Provider Transportation EEC Oversight

1Licensed Contract Provider/Center based Owns Transportation Company and drivers are employees

Licensing ReviewAudit Response to Incident

Contract Condition

2Licensed Contract Provider/Center based

Subcontracts to one or more transportation companies ; drivers are not employees

Audit Response to IncidentContract Condition


Util izes Publ ic School system transportation for age group not bi l led for. Example: Cape Cod YMCA is contracted for I/T but uses school buses for School chi ldren for afterschool program No EEC oversight; Review ESE Oversight?


Util izes subcontracts with a loca l transportation company that i s a lso Publ ic School system transportation; bi l l s EEC for services Unclear of oversight

5Licensed Center Based Provider or FCC Provider

Signs a Transportation Addendum with a Chi ld Care Resource and Referra l Agency (CCRR) Unclear of oversight

6Contract Provider/Fami ly Chi ld Care System (FCC)

Not Licensed for care; Owns Transportation Company and drivers are employees


7Contract Provider/Fami ly Chi ld Care System (FCC)

Not Licensed for care; Subcontracts to one or more transportation companies ; drivers are not employees


8Licensed Center Based Provider

No contract with EEC or Addendum with CCRR. Owns Transportation Company and drivers are employees Licensing Review

9Licensed Fami ly Chi ld Care Provider

Addendum with CCRR.OwnsTransportation Company and drivers are employees Could happen.

10Licensed Fami ly Chi ld Care Provider

Addendum with CCRR. Subcontracts to one or more transportation companies ; drivers are not employees Could happen.

Transportation: Next Steps

Immediate Next Steps

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Hire a Transportation Monitor: Resumes are being reviewed. Prepare Corrective Action Plan for Auditors: Based on the

initial “issues” (not yet “findings”), prepare a response for each area of review.

Review Regulations and Policies: Already had an internal meeting. Legal will be reviewing.

Uniform Application: Ensure that new policies include and address the various service scenarios.

Create a Monitoring Package: Implement a monitoring package similar to that used in RTTT which allows programs to know what will be monitored and allows EEC to say in an organized way a result of the on-site and file review.

Long Term Steps Transportation as a Service: Are we committed to providing

transportation as a service? Bid for Transportation Service: Do we want to consider a

statewide bid for the delivery of transportation for children in care?

Review of Transportation Policies and Costs Fiscal Committee December 2, 2013.

Documents

Transcript of Review of Transportation Policies and Costs Fiscal Committee December 2, 2013.