RICHMOND, Va. – Nine schools across the country will soon add propane autogas curriculum to their automotive training through the Propane Autogas Vehicle Inspection Grant Program.

The schools incorporating the curriculum, Propane Autogas Vehicle Inspection: Introduction for Automobile Service Technicians, into their classrooms this fall are:

ACE Center at Virginia Randolph — Glen Allen, Virginia
Angelina College — Lufkin, Texas
Capital Region BOCES Career & Tech — Albany, New York
Cordova High School — Cordova, Tennessee
Florida State College at Jacksonville — Jacksonville, Florida
Future Ready Complex — Georgetown, Texas
Hudson High School — Hudson, Wisconsin
Iredell Statesville Schools — Troutman, North Carolina
Pierce County Skills Center — Puyallup, Washington

The grant program, offered by the Propane Education & Research Council, helps educational institutions and career centers expand existing automotive programs with propane-specific curriculum, hands-on resources, and instructor training. Each approved recipient receives up to $7,500 in grant support, including a propane autogas training aid valued at more than $5,000 and funds to support instructor participation in a Train the Trainer class and program marketing.

“Skilled automotive technicians are essential to keeping today’s fleets operating safely and efficiently,” said Elena Bennett, senior manager of industry training and education at PERC. “By bringing propane autogas curriculum into classrooms, these schools are giving students valuable exposure to proven alternative fuel technology and opening the door to more career opportunities in transportation, fleet service, and the propane industry.”

As part of the program, participating schools also identify a Propane Advisor to support instructors, answer propane-specific questions, and speak with students about propane’s role in their communities. They also assist the school in bridging the gap between schooling and a career and connecting them with the propane state association and OEMS for more specific engine training.

PERC extends its appreciation to the Propane Advisors and industry partners helping support these schools as they add the curriculum, including Blossman Gas, Inc.; Casella; Ferrellgas; Hillside Service & Repair; NEXIO Power, Inc.; Roush Cleantech; Superior Energy Services; and the Town of Mooresville.

For more information about the Propane Autogas Vehicle Inspection Grant Program, visit propane.com/autogasgrantprogram.

About PERC: The Propane Education & Research Council is a nonprofit that provides leading propane safety and training programs and invests in research and development of new propane-powered technologies. PERC is operated and funded by the propane industry. For more information, visit Propane.com.

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WOODRIDGE, Ill. – Hendrickson, a global leader in reliable ride solutions for the commercial transportation industry, is introducing ELECTRAAX, powered by Driventic, a high‑efficiency, lightweight electric drive axle engineered for Class 6–7 school bus and medium-duty truck applications.

Integrated, modular design for Electric Vehicle (EV) efficiency
ELECTRAAX features a fully integrated ePowertrain that combines the axle, single-speed gearbox, motor, and inverter into one system to maximize efficiency. This design helps deliver up to 94% system‑level efficiency, which can extend vehicle range and reduce energy requirements based on internal testing.

The fabricated, modular architecture is designed for ultimate flexibility, with a wide range of track width, gear train, suspension, and brake options to align with diverse chassis platforms and vehicle specifications. This integrated system design combined with a lightweight fabricated axle housing helps address EV weight and efficiency targets by reducing system mass, helping extend range, enabling potential battery reduction, and supporting lower total cost of ownership.

Key design advantages include:

Full motor torque regenerative braking, helping maximize energy recovery
Single-speed gearbox design, reducing friction and weight compared to multi-speed gearboxes

Ride quality, applications, and a new electric milestone
A single-speed gearbox provides a smooth ride without shift‑quality concerns for pickup‑and‑delivery duty cycles, while reducing component count to support increased long‑term reliability. Driventic’s electric drive system adds an efficient motor with a power‑dense inverter to deliver extended peak torque for sustained, consistent power during acceleration, hill climbs, and heavy hauling.

ELECTRAAX is purpose-built for Class 6–7 medium-duty commercial vehicles, focusing on school buses and pickup-and-delivery trucks (including food, beverage, and last-mile). This focus helps OEMs and fleets meet stringent battery and weight requirements, balance route performance and payload, and support more cost‑effective EV adoption by reducing weight and improving efficiency simultaneously.

Co‑engineered with Driventic (formerly Voith), ELECTRAAX combines Hendrickson’s 110+ years of ride solution innovation with Driventic’s 155 years of electric‑drive system expertise. With centuries of combined global engineering leadership, the partnership is delivering cutting‑edge EV technology and accelerating the shift to electrified mobility. ELECTRAAX gives OEMs and customers tangible validation of next‑generation electric drive suspension capability and reinforces Hendrickson’s position as an innovation leader in commercial vehicle systems. ELECTRAAX represents two milestones, one breakthrough: Hendrickson’s first drive axle and first electric axle, marking a new era in Hendrickson innovation for electric commercial vehicle systems.

Built on Hendrickson’s proven suspension heritage and aligned with its Reliable by Design philosophy, ELECTRAAX, powered by Driventic, is built to move what’s next for medium‑duty electrification.

About Hendrickson
Hendrickson, a Boler company, is a leading global manufacturer and supplier of medium- and heavy‑duty mechanical, elastomeric, and air suspensions; integrated and non‑integrated axle and brake systems; tire pressure control systems; auxiliary lift axle systems; parabolic and multi‑leaf springs; stabilizers; bumpers; and other components for the global commercial transportation industry. Based in Woodridge, IL, USA, Hendrickson has served the transportation industry for more than 100 years. Visit www.hendrickson-intl.com.

About Driventic
Driventic is the specialist for efficient drive technologies in commercial vehicles. Whether for use in used in e-mobility or conventional drives, Driventic’s complete systems and digital services are drivers of the mobility transition – because they enable manufacturers and operators alike to sustainably operate their trucks, buses and off-highway vehicles. The company’s 1,400 employees at 26 locations in 18 countries are dedicated to one mission: to combine ecology with technological progress in the service of efficiency. This is what Driventic understands by ‘Mobility beyond today’.

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At this writing, the U.S. Environmental Protection Agency had yet to announce the final award round for the Clean School Bus Program. At the same time, could the school bus industry be bracing for the end of the Diesel Emissions Reduction Act?

Since 2008, DERA has been responsible for replacing over 8,500 older operating school buses with cleaner alternatives. The Trump administration last month released its fiscal year 2027 budget request and asked Congress to cut over 52 percent of EPA’s discretionary funding. Included is a call on Congress to cancel DERA, which for nearly two decades has funneled hundreds of millions of dollars to the school bus industry via national grants, rebates and Tribal government awards.

Any attempt to end DERA at least in the Oval Office is unlikely. Congress still must pass its own budget appropriations. And a bipartisan DERA reauthorization bill has been in the works for the past year, which would extend the program at $100 million a year through fiscal year 2029. But the attempt demonstrates ongoing scrutiny over fiscal spending and, more aptly, funding alternative energy.

The $5 billion Clean School Bus Program was going to sunset one way or another after this year. But placing DERA funding in the crosshairs is the last headwind the industry needs on school bus replacements, a consultant shared with me. Another consultant noted that about a decade ago at an industry conference he asked the audience how willing they would be to continue to buy electric school buses if DERA funding dried up. Not one hand raised.

The question remains a good one today, since the electric school bus cost discrepancy is still two or three times that of diesel school buses. It was never attractive to pay upwards of $475,000 for a large electric school bus, and that’s before factoring in the charging infrastructure. If the Clean School Bus Program and DERA both end, where is the incentive to go green outside of a handful of states?

The cost of everything has gone up. At STN EXPO East in North Carolina earlier this spring, an attendee told me new diesel school bus purchases were running over $150,000 each. That includes a surcharge of $12,000 to $20,000 to pay for the warranties on the 2027-compliant engines. (The EPA continues to re-evaluate and finalize a new proposed Phase 3 GHG rule, but OEMs have already completed all necessary R&D and manufacturing to comply with the low NOx emissions levels.)

The Iran war and blockage on the Strait of Hormuz have also created substantial uncertainty for district budgets. While locking in bulk diesel prices creates insulation from price volatility, a gallon was selling at 30-percent premium after the war began. Meanwhile, April’s national average at-the-pump price exceeded $5.40 per gallon. In California, it’s well over $7 a gallon.

We also learned at STN EXPO East that the price of propane also increased, but by about 20 cents per gallon, when the fuel was already a fraction of the cost of diesel. Despite that silver lining, the question remains, how many propane school buses can and will be made available to the market?

School districts and bus companies cannot take for granted federal funds to help them purchase new school buses. Instead, already-strapped local and state budgets will be relied upon. School transportation professionals and their leaders need to increasingly make the case with voters that new school buses are necessary to keep up with service levels.

At the same time, however, public school enrollments are falling. The Brookings Institute found that U.S. public schools lost 1.2 million students from 2019 to 2023, and they aren’t coming back. Parents are homeschooling their children. They are sending them to charter and private schools. And increasingly they as well as school districts are using non-school bus vehicles to do it.

How willing will voters be to approve millions of more dollars via bond measures and levies for school bus purchases? Student transportation leaders can make no assumptions.

Simply put, funding is not keeping pace with rising costs. In seeking to proactively understand and manage all these intersecting challenges, student transporters will need to lean heavily into optimizing and rethinking service models, routing and resource allocation to maintain service levels with fewer resources.

Editor’s Note: As reprinted from the May 2026 issue of School Transportation News.

Related: EPA Commences Webinar Series as Clean School Bus Program Returns
Related: ‘Prepare and Pivot,’ Advises Texas Student Transportation Director
Related: EPA ‘Revamping’ Clean School Bus Program
Related: (STN Podcast E295) Something That’s Going to Work: Federal Updates + Future of School Bus Communications

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The U.S. Environmental Protection Agency Office of Inspector General says lessons from the first Clean School Bus rebates and grant rounds should inform future funding, especially as $2.37 billion remains available.

EPA is expected to announce the next CSBP funding rounds later this month or in June.

Ask a transportation director what makes a clean school bus project successful, and the likely answer goes beyond the bus itself. Directors share the importance of coordinating with utilities, ensuring charging infrastructure is ready, managing vendor timelines, or tracking federal and state funds.

A new summary report from the EPA Office of Inspector General, released April 1, points to that same balancing act. The report stated that the EPA has made improvements to the CSBP since its first rebate round in 2022. Earlier weaknesses in application review, recipient verification and fund management should continue to inform how the agency awards future dollars.

The report reviewed five prior EPA Office of Inspector General reports related to the agency’s management of Infrastructure Investment and Jobs Act funding for the 2022 Clean School Bus Rebates program. It identified two overarching issues: The application and selection process, and the management of funds. The summary report does not include new recommendations, but the OIG said the findings could help guide EPA decision-making for future CSBP awards, especially as money is still on the table.

Congress provided $5 billion over five years through IIJA to replace older diesel school buses with cleaner models, including propane, compressed natural gas and zero-emission buses. EPA has described the program as a way to reduce emissions in buses, loading zones and the communities they serve.

Report Highlights Rebate, Grant Awards to Date

At the beginning of fiscal year 2026, the CSBP had $2.37 billion remaining. As of February, EPA said it intends to revamp the program and issued a Request for Information seeking input from fleet operators, manufacturers, school officials and energy producers. The comment period closed April 6. The 146 filed comments included those from all major OEMs, dozens of school districts and other concerned citizens.

As of last November, EPA had awarded $865 million through the 2022 rebate program to 368 school districts for 2,328 replacement buses. The 2023 grant program awarded $950 million to 65 recipients for 2,696 buses, while the 2023 rebate program awarded $815 million to 458 school districts for 3,241 buses. All awards leaning heavily toward electric school buses. Find the breakdown of fuel funding on STN’s Green Bus Resources page.

But the EPA Inspector General said the initial process lacked adequate controls to verify certain applicant and bus eligibility information. Prior reports found EPA did not require enough documentation to verify applicant identity or the accuracy of information submitted, and applicants were not required to directly attest to the truthfulness of their applications. The OIG also said the agency had not established verification protocols before awarding funds.

That matters for districts because federal clean bus projects often require coordination among multiple parties, including school systems, contractors, original equipment manufacturers, utilities and infrastructure providers. The OIG noted that some eligible contractors were allowed to apply or initiate applications on behalf of eligible entities without their knowledge.

Another concern centered on whether local conditions were adequately considered, particularly for zero-emission buses. Under the IIJA, EPA must consider factors such as route length and weather conditions when awarding clean school bus funds. The OIG said prior reports found EPA was not ensuring applicants seeking electric buses had suitable local conditions, and it also cited utility delays as a potential risk to timely deployment.

Fund management was another issue flagged by the OIG. The report said EPA did not adequately monitor bus deployment status or recipient use of 2022 rebate funds, despite previously committing to do so. It also found that 2022 guidance did not clearly indicated for recipients whether CSBP funds should be kept in separate accounts, whether interest could be earned on those funds, or how any interest could be used.

According to the OIG, some recipients kept CSBP awards in accounts that included other funds, which increased the risk that program money could be used for other purposes.

Related: EPA ‘Revamping’ Clean School Bus Program
Related: Future of Clean School Bus Program?
Related: Updated: EPA Seeks to Expand Fuel Scope of Clean School Bus Program
Related: Inspector General Report Cites Inefficiencies in EPA Clean School Bus Program
Related: EPA Investigator General Cites Clean School Bus Program Inefficiencies, Utility Delays

EPA has since made changes. For the 2023 rebate round, the agency required electric bus applicants to submit a Utility Partnership Agreement verifying that districts had notified their local utility. EPA also updated guidance to require recipients to manage funds so they would not accrue interest, keep funds in separate accounts and use them only for eligible expenses. In 2024, EPA added a School Board Awareness Certification requiring applicants to verify that school boards were notified of intended program participation.

The OIG said EPA has completed corrective actions addressing several prior recommendations and was still implementing others. The report states that the agency had completed, or was in the process of implementing, corrective actions for all 11 prior recommendations reviewed.

EPA also reported taking additional oversight steps beginning in February 2025, including site visits to rebate recipients, reviews of concerns related to use of funds and weekly project status reports to the chief financial officer.

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A Long Island teenager and his mother are being praised after helping rescue a neighbor from a house fire while the boy waited for his school bus, reported People News.

The incident reportedly occurred March 31 when Jovani Moss, 15, heard “crackling” of flames coming from a house across the street from his family’s residence in Melville, New York.

“I didn’t notice the fire at first,” Moss told local news reporters. “But I heard the crackling of the fire, and I turned to look and called my mom.”

Moss said he immediately alerted his mother, Natechia Moss, and asked whether he should go to the house or call 911.

Natechia reportedly instructed her son to contact emergency responders while she rushed outside her house to warn the homeowner. She repeatedly rang the doorbell but got no response and thus began kicking the door until it partially opened. “I kept kicking the door,” she said via the article “Finally, I got it ajar a little bit, and all of a sudden, I saw her standing there and I grabbed her and said, ‘Your house is on fire!’”

The homeowner had reportedly attempted to re-enter the burning residence to retrieve her cat and jewelry before eventually escaping safely. Firefighters from the Melville Fire Department responded to the blaze. No injuries were reported.

Moss has since been hailed as a hero for reacting quickly, though the teen downplayed the attention. “A lot of people calling me a hero,” he said via the report. “I was like, ‘I’m not really a hero. I’m just being a good neighbor.”

He credited his mother with setting the example and teaching him to stay aware of his surroundings.

“Take out the ear pods. Keep your phone in your pocket until you get on that bus,” Natechia said of the advice she gives her son. “Always be aware.”

Melville Fire Chief Donald Barclay praised the family’s actions. “We are thankful no one was hurt and that Jovani did the right thing and helped his neighbor. The world needs more Jovani,” said Barclay via the article. He also commended the department’s volunteer firefighters, saying the incident reflected “the idea of helping your neighbor in multiple ways.”

Written with assistance from AI.

Related: Evacuated Family Grateful Georgia School Bus Driver Sees House Fire
Related: California Student Honored for Quick Thinking During School Bus Fire
Related: California Farmworkers Hailed as Heroes After Rescuing 20 Children from Burning School Bus
Related: Massachusetts School Bus Catches Fire

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REDWOOD CITY, Calif., – The Women Presidents Organization (WPO) has named Zūm to its list of the 2026 50 Fastest Growing Women-Owned/Led Companies, supported by J.P. Morgan Commercial Banking.

Zum ranks No. 4 on this year’s list, which highlights the impressive scale, growth, and impact of women-owned or led enterprises around the world. To be eligible, all companies must be privately held, women-owned or led, and must have reached annual revenues of at least $500,000 in each of the last five years.

“Zum is proud to be modernizing mobility systems in more than 4,500 schools nationwide through Zum CMX, a fully integrated system designed to eliminate the anxiety, uncertainty, and lack of visibility that have plagued student transportation for decades,” said Ritu Narayan, Founder and CEO of Zum. “We are honored to be recognized on this prestigious list of the 2026 50 Fastest Growing Women-Owned/Led Companies, and appreciate all of our team, customers, investors and partners who support our mission.”

“The women leading the 50 Fastest Growing Women-Owned/Led Companies are not only scaling successful businesses, they are navigating change, seizing opportunity, and setting the pace within their industries,” said Camille Burns, CEO of the Women Presidents Organization. “Their collective impact reflects the growing influence of women at the highest levels of business. These companies are redefining what scalable leadership looks like today.”Companies on the 2026 list represent a wide array of industries, including travel and hospitality, digital marketing, manufacturing, consumer packaged goods, human capital solutions, information technology and more. Combined, the 2026 50 Fastest generated $8.5 billion in revenue and employed more than 23,000 people in 2025 alone.

Zum’s technology-led and data-driven approach improves transparency, communication, and efficiency while delivering a safer, more reliable experience for students and families. The company recently announced a $100 million strategic investment from TPG, bringing its total funding to $430 million and valuing Zum at $1.7 billion.

Adopted in 17 states, Zum delivers its unified system across more than 4,500 schools, including Omaha Public Schools, Boston Public Schools, Kansas City Public Schools, Los Angeles Unified, and San Francisco Unified. Zum’s fully integrated Connected Mobility Experience (CMX) system connects people, vehicles, and operations in real time, reducing anxiety and creating reliable, safe and seamless transportation for families and schools.

The 2026 honorees will be formally recognized during the WPO Entrepreneurial Excellence Forum on May 7 in Hollywood, Florida. See the full list of the 2026 50 Fastest Growing Women-Owned/Led Companies at women-presidents.com/news-events/50-fastest.

To learn more about how Zum is leading the nation in safe and reliable student mobility, visit www.ridezum.com.

About Women Presidents Organization (WPO)
The Women Presidents Organization (WPO) is a non-profit membership organization where dynamic and diverse women business leaders around the world tap into collective insight with exclusive access to entrepreneurial equals, innovative ideas, and executive education. WPO members have guided their business to generate at least $2 million USD in gross annual sales (or $1 million USD for a service-based business). Each WPO chapter serves as a professionally-facilitated peer advisory group for members where they can harness the momentum of their successes and cultivate new strategies that will take them even farther. Learn more at women-presidents.com.

About J.P. Morgan Commercial Banking
J.P. Morgan Commercial Banking is a business of JPMorgan Chase & Co. (NYSE: JPM), a leading global financial services firm with assets of $4.4 trillion and operations worldwide. Commercial Banking serves emerging startups to mid-corporate businesses as well as government entities, not-for-profit organizations, and commercial real estate investors, developers and owners. Clients are supported through every stage of growth with specialized industry expertise and tailored financial solutions including digital banking and payments solutions, credit and financing, international banking, advisory services and more. Information about J.P. Morgan Commercial Banking is available at www.jpmorganchase.com/commercial.

About Zum
Zum is revolutionizing mass mobility with its Connected Mobility Experience (Zum CMX) system that connects and coordinates people, vehicles, and operations in real time. In the $50 billion student mobility market – the largest segment of the mass mobility industry – Zum CMX is transforming a daily source of anxiety and disruption into a reliable, transparent, and efficient mobility experience for students and families. Today, more than 4,500 schools rely on Zum CMX. Recognized globally for its innovative approach and operational execution, Zum has been named to Fast Company’s World’s Most Innovative Companies, CNBC Disruptor 50 and Changemakers, the World Economic Forum, and the Financial Times’ Fastest Growing Companies lists. Zum is backed by leading investors including Sequoia Capital, GIC, SoftBank, and TPG. Zum, Zum CMX, and associated logos are trademarks of Zum Services, Inc. All rights reserved. Learn more at www.ridezum.com.

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Student transportation leaders often encounter unique situations that require creative solutions to meet student needs. An island off the coast of Virginia’s Eastern Shore required a solution that looks very different from the classic yellow school bus.

Accomack County Public Schools serves about 5,000 students who attend 11 kindergarten through 12th grade. Three of these schools are located on islands off the coast of the state.

“Tangier Island is located off the western coast of Accomack County in the Chesapeake Bay, and unlike our other island, Chincoteague, Tangier is only accessible by boat or airplane,” explained Danielle Clark, the district’s public information officer.

The small island of Tangier only has a population of 436, and Clark shared that residents rely on ATVs, bicycles, golf carts and few cars for transportation. When a student with disabilities needed transportation to school, the district’s transportation department purchased a dedicated golf cart to ensure safe and reliable transportation.

“The driver, Mr. Kim Parks, is affectionately referred to as Mr. Kim or Sox by the students and staff,” said Clark. “He is the all-around handyman of the school and takes great pride in his role of helping students, staff and the community as a whole.”

Chris Reeder, transportation supervisor at Accomack, said his department is responsible for providing and maintaining the golf cart used on Tangier. He continued that when the batteries needed to be replaced, staff had to transport the new batteries by boat to the island.

“We also have to meet the boat for any trips the students go on there,” said Reeder. “They arrive over here on the boat, and we take them by bus to various locations of field trips.”

This is just one story of a unique geographical or needs-based scenarios that requires creative solutions from student transportation departments. In North Carolina, the state’s Department of Transportation posted a video of a school bus being transported to and from Knotts Island to provide transportation for students in Currituck County.

A similar situation exists in South Carolina where students are ferried from Sandy Island to the mainland where they board a school bus. Boats can also be more commonplace when transporting students in Alaska, British Columbia and other locations surrounded by large bodies of water.

Related: (STN Podcast E284) Always Something to Learn: Special Needs Takeaways from TSD 2025
Related: Districts Use Alternative Transportation to Support McKinney-Vento Homeless Students
Related: School District Directors Share Strategies for Transporting Students with Disabilities

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LAS VEGAS — Is there a world for autonomous school buses, after all? This industry might not have a choice, according to Rivian CEO and founder R.J. Scaringe.

Conversations increased at ACT Expo this week around autonomous commercial vehicles, with several experts indicating during sessions that self-driving trucks powered by AI will explode onto the scene over the coming decade. That point was punctuated Wednesday morning by Scaringe.

“We’re going to see changes that are maybe the most significant from [a] societal impact in the history of the adult world, where we’ll have AI capabilities that can do a very large percentage of tasks that today are done by humans, that’ll free up human bandwidth to do other things,” he said during a main stage fireside chat.

“I’m of the view that we as the humans are going to continue to find higher value ways to use our time,” he added.

Scaringe suggested that over the next decade a “significant portion” of both consumer and commercial vehicles will be electric. And they will be “connected, highly intelligent” and drive themselves.

“And when I say that, I think the important thing to consider is, if you don’t have those things, what does that mean?” he asked the audience. “By 2035, if you’re a large-scale vehicle manufacturer, whether it’s on the consumer side or the commercial side, and you don’t have a connected, highly intelligent platform that’s running the software and electronics vehicle, and the vehicle doesn’t have self-driving capabilities, it’s hard to imagine maintaining market share.”

The question remains will school buses be driving themselves? Based on ACT Expo, where the commercial truck and bus industry leaders gathered, it is looking more likely. Many truck innovations eventually work their way onto and into school buses.

Amid more chatter on the role autonomous will play, notably first for heavy-duty trucking and last-mile delivery, fleets have definitively increased the use of data and connected technologies to drive more ROI, as shown by this year’s State of Sustainable Fleets report released at the conference.

Nearly everyone agrees autonomous technology for school buses won’t mean adult-less routes to and from school with rowdy children left to their own devices. But as Scaringe, opined, autonomous school buses could beg the question of how to redeploy school bus drivers as safety aides. Might that improve the driver shortage that the school bus industry has long suffered with? A leading cause of drivers leaving school districts is student on-board behavior and a real or perceived lack of support in addressing challenges.

Scaringe also discussed his new robotics company, Mind Robotics focused on AI-powered robots for industrial automation, launched earlier this year. The venture is using factory data at Rivian to actively explore human-like capabilities for industrial applications. My mind immediately wandered back to the school bus. Humanoids working with the children? What about the potential implications on how school bus data — and that from other motorists in an increasingly connected world — could further train and automate route operations? A robot blocking traffic to allow students safer passage to and from their bus stops, perhaps?

The sky is the limit.

Re-energized Talks About Electric School Buses

Meanwhile, electric vehicles, which had been the main draw for ACT Expo over the last several years, re-emerged on day three with several exhibit floor presentations about V2G deployment following Scaringe’s talk on the mainstage.

V2G is showing gains, as charge management continues to be a must for fleets. This was evidenced by projects stretching from California and Oregon to New Jersey and New England. Challenges remain, presenters OpConnect, The Mobility House and the New Jersey Department of Environmental Quality admitted. The least of which being how utility providers are setting rates for what school districts can earn for feeding the grid. But the presentations also demonstrated the successes and learned opportunities. Those figures are only expected to increase as the EPA Clean School Bus Program is expected to return this spring.

On Monday after the exhibitor floor opened, Zenobe facilitated a discussion about a complex yet successful school bus electrification project in Massachusetts. It relied on a collaborative effort between Zenobe to identify grants and incentives as well as implement the charging infrastructure alongside school bus contractor Beacon Mobility, OEMs Micro Bird and Thomas Built Buses, Mass CEC and National Grid.

Also on Monday, propane school buses continued to show ROI. Anthony Jackson, director of student transportation for Bibb County Schools in Georgia, shared his experiences with the fuel. Savings from using propane rather than diesel has resulted in savings of nearly $3 million over the last several school years and an over 30 percent decrease in cost per mile in fuel alone, to $0.27 per mile when operating propane compared to $0.39 per mile with diesel. The maintenance savings were even better at a nearly 49-percent reduction, to $0.23 per mile with propane from $0.45 per mile with diesel.

Evident at ACT Expo was the wide reach of connected vehicles and data driving AI activity. That realization, after all, spurred an event rebrand by producer TRC Clean Solutions to expand the acronym that originally stood for advanced clean transportation to encompass AI and autonomous, connected and technology.

Eric Neandross, president of TRC Clean Transportation Solutions, on Tuesday asked an OEM panel, which included International Motors CEO Mathias Carlbaum, if in 25 years their companies will be technology providers rather than simply truck manufacturers. But the answers turned attention back to diesel remaining a major player for decades to come, burning cleaner and cleaner while continuing to supplement battery-electric and all the connected software that goes with it.

Things haven’t changed that much, after all.

Related: Intersection of Autonomous Vehicles and School Buses
Related: Autonomous Vehicle Implications
Related: You Can’t Spell Training Without AI

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A webinar dove into the 2026 State of Student Transportation report conducted in February by Zonar and School Transportation News as well as how technology can assist with both current and projected challenges.

Operational, Safety Challenges

Rachel Trindade, chief marketing officer for webinar sponsor Zonar, shared Thursday that almost 60 percent of the 118 survey respondents were transportation directors or assistant transportation directors. About two-thirds operate under 100 buses and the rest have over 100.

Hiring and maintaining drivers was the top reported operational challenge at 75 percent, followed by budget constraints at 52 percent, rising operational costs at 42 percent and aging fleet and maintenance issues at 30 percent.

Trindade noted that the school bus driver shortage and recent sharp fuel increases compound all these issues. This was confirmed by panelist Tony Harris, the director of transportation for Monongalia County Schools in West Virginia who oversees 135 buses transporting almost 12,000 students on mostly urban routes.

Tim Ammon, a longtime industry consultant, noted that these top four challenges create a feedback loop that keeps districts struggling.

The panelists agreed that modern technology, which supports things like preventative maintenance, reduced idling and optimized tire pressure, results in incremental savings that add up to a significant difference.

The most challenging student safety issues, per the survey, were parent communication gaps and driver behavior and compliance at 45 percent each, followed by tracking student ridership at 36 percent.

In both safety and operational challenges, on-time performance was still the number one Key Performance Indicator (KPI) ranking, Trindade noted.

Implementing Technology to Help

Harris shared that Monongalia County Schools will soon be implementing a student ridership tracking app, which he estimates will lead to a 50 percent reduction in parent calls to the office. He added that it will also help in data collection for reporting and reimbursement purposes.

As a consultant who works with both district and contracted fleets, Ammon noted that more districts are moving toward multi-modal transportation – often due to driver shortages or budget pressure – which means that parents want more visibility than ever into their children’s whereabouts.

When it comes to data management difficulties, over half the survey respondents ranked limited staff resources as number one. Manual processes and managing video footage volume came in at about 35 percent each.

The data problem is a people and process problem rather than a technology gap, Trindade explained, since many transportation teams are data-rich and resource-poor. Ammon noted that technology must be leveraged wisely. For instance, onboard video may be implemented to deal with behavior incidents, but staff could also utilize it for driver training and then to arrange more efficient student seating.

The survey found practically all respondents were either using or planned to use routing software. About half use parent communication apps and dashcams. Forty-one percent use student tracking, and 33 percent said they considered it for 2026, making this the most desired technology.

Related: School Bus Fuel Innovation, Technology Education Meet at STN EXPO West
Related: How Technology Powers Daily Student Transportation Operations
Related: (STN Podcast E302) Technology Tools for Bus Drivers: No More Struggling with Paper Route Sheets
Related: School Bus Adaptive Technology: Safer Rides, Stronger Teams, Better Access

Harris said that the student ridership tracking the district is adding will produce an accurate student ridership count, which previously had been attempted via onboard cameras. Ammon spoke on survey respondents’ interest in predictive maintenance, which shows districts want to better utilize school bus assets.

“Transportation has always been kind of behind when it comes to technology, and I think now we’re starting to move in the other direction, where we’re embracing technology,” Harris commented.

To help drivers accept new technology, he recommended showing them its advantages. For instance, he said, explained that onboard cameras can help protect drivers accused of improper behavior.

Before adding technology, Harris recommended seeking feedback from peers. Ammon advised determining what the district is trying to control, then taking that issue to vendors.

“Start small, look at what you’re wanting to accomplish first, and build from that,” Harris agreed. “Don’t just think you’ve got to jump in all the way because, if you do, you’re going to overwhelm yourself and it’s going to defeat the purpose.”

Future-Facing Outlook

The top transportation technology investment priorities for 2026 were student ridership verification, driver coaching and safety tech, real-time GPS tracking, and parent communication solutions.

The respondents’ primary overall transportation focus over the next two to three years is on addressing driver shortages, reducing operational costs and improving student safety and compliance. Trindade pointed out how these are all interconnected.

Harris and Ammon agreed that an effective leader will distribute the right information and grant technology access to the right people, so staff isn’t burdened with unnecessary concerns.

Ammon addressed how industry suppliers can use AI to become more intuitive and provide the most accurate reports to districts. Trindade added that AI can expedite manual processes and bring actionable insights to leaders, who can then make informed decisions.

Trindade quipped that Zonar’s motto is, “AI where you want it, humans where you don’t.” She noted that Zonar supports over half of all U.S. school districts with transportation technology.

Watch the webinar on demand.

The post How Technology Can Assist the 2026 State of Student Transportation appeared first on School Transportation News.

A North Greene alum and Marine Corps veteran was the first to assist students and staff after a school bus rollover Wednesday in Illinois. He helped guide passengers to safety before emergency crews arrived, reported My Journal Courier.

Kendrick Ballard, 44, of Jerseyville, said via the news report that he was driving his 12-year-old stepson to White Hall Park when they came upon the crash scene.

“The bus was on its side, and I knew the kids needed assistance getting out there and out of there as quickly as possible,” the ex-Marine told local news.

According to the article, Ballard immediately pulled over and began helping students exit the bus and moved them away from the roadway. Video recorded by his stepson shows Ballard directing students to safety and assisting them as they exited through the rear doors.

Rollover Crash Could Have Been Far Worse

Eleven students and one staff member were reportedly injured in the rollover crash. Ballard said most of the injuries appeared minor.

“There were some kids with some scrapes, and they were bleeding a little bit, but from what I saw, most of them were just really shook up,” he continued.

Ballard said he was unaware his stepson had begun recording video until later. The footage was subsequently shared with local media by a community member, who praised the ex-Marine’s willingness to act.

Ballard credited first responders and school staff, emphasizing their quick response. “It was a bad situation, but the first responders were fantastic, and North Greene’s teachers and staff were fantastic, too,” he said.

The incident reportedly marks at least the second time Ballard has been recognized for assisting others in an emergency. In 2010, the Marine Corps veteran helped rescue a woman and her two children from a car trapped in floodwaters in Springfield.

“I would like to think it was a natural instinct to go and save someone who was in trouble,” Ballard said at the time.

Related: ‘Hero’ Teacher Praised by Parent Florida School Bus Crash Evacuation
Related: Georgia School Bus Driver Named “Hidden Hero” After Saving Student’s Life
Related: Colorado School Bus Driver Hailed Hero After Fire
Related: Oklahoma Student Hailed Hero After Helping Bus Driver During Medical Emergency

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An 18-year-old student was arrested after he brought a loaded gun onto a school bus headed to a South Carolina high school, Blythewood High School.

According to the Richland County Sheriff’s Department, Kelvin Figueroa was charged with carrying a weapon on school property.

Deputies were alerted of the situation Monday morning after another student on the bus sent a text message to 911 communications reporting that Figueroa was in possession of a firearm. Authorities said the tip prompted an immediate response from law enforcement.

School resource officers assigned to Blythewood High School along with additional deputies located and intercepted the bus as it arrived on campus. Officials said Figueroa was quickly detained upon arrival.

A search of his belongings led to the discovery of a loaded pistol inside his bag. Investigators said there was no indication that Figueroa had attempted to use it during the bus ride. No injuries were reported in connection with the incident.

It remains unclear where Figueroa obtained the loaded gun. He was taken into custody at the scene and transported to the Alvin S. Glenn Detention Center, where he was booked. Jail records show he remains in custody, and no bond has been set as of Monday.

Officials have not said whether Figueroa will face disciplinary action from Blythewood High School or the Richland 2 School District. However, under state and federal law, firearm possession on school property typically carries a mandatory expulsion recommendation of at least one year, subject to district policy and due process.

Authorities Praise See-Something, Say Something Student

Richland County Sheriff Leon Lott praised the student who reported the gun, emphasizing the importance of speaking up in potentially dangerous situations.

“That took courage, and it made a difference,” Lott said in a statement. “Because of that student, we were able to intervene immediately and prevent a potentially dangerous situation.”

South Carolina State Director of Transportation Mike Bullman said while the incident was very serious, it was quickly and successfully contained. “In many cases, the most effective safeguard is human behavior rather than physical security,” he told STN. “From a transportation standpoint, we believe the system responded appropriately, and there is no evidence of a procedural breakdown based on what we know at this time.”

The incident underscores ongoing concerns about school safety and the role students can play in preventing violence via “See something, say something.” Law enforcement officials have increasingly encouraged the use of anonymous reporting tools and emergency communication systems to alert authorities to threats.

“We stress drivers and transportation officials the importance of being mindful and attentive to their surroundings, recognizing when something may be out of the ordinary, and the importance of the ‘See Something, Say Something’ culture,” Bullman said. “Certainly, in this case, it really paid off,” Bullman said.

Authorities have not released further details about potential motives or whether additional charges could be filed.

Related: South Carolina Man Arrested for Allegedly Pointing Gun at School Bus
Related: 9-Year-Old Arrested for Bringing Loaded Gun onto Florida School Bus
Related: North Carolina Student in Custody for Bringing Gun on School Bus
Related: Pennsylvania Student Arrested After Allegedly Bringing Gun on School Bus

The post Loaded Gun On South Carolina School Bus Leads to Quick Arrest appeared first on School Transportation News.

We are excited to announce that our RouteWise AI platform has identified over $100 million in cumulative savings for school districts to date. As districts nationwide face severe driver shortages and budget constraints, RouteWise AI has become an essential tool for returning millions of dollars to classrooms, capturing hundreds of thousands of hours of previously lost learning time, and supporting district staff and bus drivers.

The Design Canvas for Modern School Transportation
Unlike traditional software that simply rearranges vehicles and routes, RouteWise AI serves as a strategic design canvas. The software considers every possible vehicle, student locations and individual needs, district policies (bell times and boundaries), local dynamics (traffic and construction), and transportation team preferences (rider mixing and route preferences).

By analyzing billions of these data points, RouteWise AI is able to design the right routing solution, provide various scenarios, and iterate on that plan constantly as new information becomes available. The platform has allowed districts to “look before they route,” modeling complex scenarios in hours to uncover non-intuitive efficiencies.

By identifying over $100 million in savings to date, RouteWise AI has delivered high-value outcomes including:

Eliminating Underutilized Routes: Analyzing a district’s entire fleet of available vehicles to identify opportunities to eliminate underutilized routes. By identifying the right vehicle and the right stop pairings for every student, the platform enables districts to match low-occupancy routes with small-capacity vehicles, and high-capacity routes with large buses, thereby maximizing the utilization of CDL drivers.

Operating Cost Reduction: Reducing operating budgets by 10–12% by identifying efficiencies in routing and vehicle-to-student matching. These identified savings allow districts to bridge budget gaps and redirect millions of dollars back into the classroom to support teacher salaries, student programs, and competitive driver pay.

Capital Budget Optimization: Reducing the total number of routes required to serve the student population. For every nine routes reduced through RouteWise AI optimization, a district can eliminate 10 planned vehicle purchases, avoiding costs between $150,000 and $400,000+ per bus.

Efficiency Without Trade-Offs: Identifying improved routing and vehicle use while ensuring students experience no increase in transit time through custom student commute settings. This allows districts to set firm parameters on maximum ride times, ensuring efficiency never comes at the expense of the student experience.

Class Time Hours Added Back: Optimizing route efficiency and on-time performance to ensure students spend less time in transit and more time in the classroom. In Colorado Springs School District 11, RouteWise AI helped increase on-time arrivals, recovering over 17,000 hours of invaluable learning time for students in a single school year.

By automating modeling that previously took months, RouteWise AI serves as a force multiplier, giving transportation teams the tools to solve challenges without compromising service.

Real-World Impact
The financial efficiencies identified by RouteWise AI are being used by districts to solve their most pressing human resource challenges.

“RouteWise AI provides the clarity essential to maximizing our resources. As we navigate a district-wide bell time transition, the platform delivers sophisticated analyses on route design, service windows, and deadhead miles in a fraction of the time it once took to compile manually. This agility allows us to simultaneously optimize our network and resolve operational pain points, ensuring our transportation system more effectively supports student achievement.”

—Oz Flores, Director of Transportation , Aurora Public Schools in Colorado

“RouteWise AI helps us think outside the box to find solutions that were previously not possible with existing tools. By leveraging RouteWise AI optimization, we’ve effectively integrated complex schedules and substantially reduced overloads, which has helped us maintain an average of two uncovered routes per day, a significant reduction from last year. RouteWise AI isn’t about replacing our staff — it’s an essential enhancement that helps our team find creative solutions to eliminate route overlaps and drive efficiency. RouteWise AI effectively positions us to better accommodate the diverse needs of our young scholars while ensuring that each one gets to school and home safely and on time.”

—Dr. Stacey Benson Taylor, Associate Business Manager of Dayton Public Schools in Ohio

Transforming the Industry Through Multimodal “Right-Sizing”
RouteWise AI has empowered districts to embrace a multimodal transportation model — the practice of using the right vehicle for the right student at the right time. By right-sizing school bus fleets, districts have been able to allocate expensive 72+ passenger buses to high-density routes while using smaller buses, vans, and even small vehicles for low-occupancy or geographically dispersed routes — ultimately reducing the immense strain on bus drivers and transportation staff.

The post RouteWise AI Hits $100M in School Transportation Savings appeared first on School Transportation News.

MACON, Ga.-Blue Bird Corporation (“Blue Bird”) (Nasdaq: BLBD), the leader in electric and low-emission school buses, announced today its fiscal 2026 second quarter financial results.

“I am incredibly proud of our team in delivering another outstanding quarterly result,” said John Wyskiel, President & CEO of Blue Bird Corporation. “The Blue Bird team continued to exceed expectations, improving operations, navigating tariffs, and expanding our leadership in alternative-powered buses. We delivered an exceptional Adj. EBITDA of $51M / 14% for the second fiscal quarter of 2026, a new all-time second-quarter record for the Company.

“In our push to expand our leadership in alternative-powered school buses, we delivered 201 electric-powered buses this quarter. As of the end of the quarter, we had more than 900 EV buses in our firm order backlog, which supports our EV sales target for 2026.

“Additionally, we are very pleased with the timely closing and integration progress of our recently announced acquisition of Micro Bird. The acquisition strengthens Blue Bird’s position with the industry’s most comprehensive bus portfolio and expands our addressable market with the Buy America–compliant shuttle bus market.

“Based on our strong first half of 2026 and final closing of the Micro Bird acquisition, we are raising our 2026 full-year Adjusted EBITDA guidance to $245 million. We look forward to sustained profitable growth in the coming years as we march towards ~$2.5B in revenue and a 15%+ Adjusted EBITDA margin.”

FY2026 Guidance and Long-Term Outlook

“We are very pleased with our second quarter results, with our highest ever Q2 Adj. EBITDA and Free Cash Flow,” said Razvan Radulescu, CFO of Blue Bird Corporation. “Our business is in a very strong position and we continue to deliver ahead of the plan we have been messaging. With the strong first half we delivered, we are raising all full-year 2026 guidance metrics, as well as building in consolidated results for Micro Bird for the second half. 2026 Guidance is being raised to Net Revenue at ~$1.75 Billion and Adj. EBITDA to ~$245 million. Additionally, we are raising our long-term profit outlook towards an Adjusted EBITDA margin of $375+ million, or 15%+, on $2.5+ billion in revenue. We are confident in our profitable growth plans.”

Fiscal 2026 Second Quarter Results

Net Sales
Net sales were $352.6 million for the second quarter of fiscal 2026, a decrease of $6.2 million, or 1.7%, compared to $358.9 million for the second quarter of fiscal 2025. The decrease in net sales is primarily due to a 6.4% decrease in units sold resulting from a 6.7% decrease in the number of production days in the second quarter of fiscal 2026 when compared with the same period in fiscal 2025, which primarily resulted from the timing of holidays, and our corresponding plant shutdown, in our production calendar. As a result of producing fewer buses, we had fewer units that were available to sale. However, the decrease resulting from selling fewer units was partially offset by Bus customer and product mix changes and cumulative Bus price increases, including increases that were intended to mitigate the impact of increased procurement costs for certain of our imported inventory as a result of the imposition of tariffs beginning during the second half of fiscal 2025 and continuing into the first half of fiscal 2026, as well as an increase in Parts sales.

Bus sales decreased $7.6 million, or 2.3%, reflecting a 6.4% decrease in unit bookings that was partially offset by a 4.4% increase in average sales price per unit. In the second quarter of fiscal 2026, 2,148 units booked compared to 2,295 units booked for the same period in fiscal 2025. The increase in unit price for the second quarter of fiscal 2026 compared to the same period in fiscal 2025 was primarily due to customer and product mix changes as well as price increases implemented to offset increases in inventory costs.

Parts sales increased $1.4 million, or 5.4%, for the second quarter of fiscal 2026 compared to the second quarter of fiscal 2025. This increase is primarily attributed to price increases that were implemented to offset increases in inventory costs as well as higher fulfillment volumes and slight variations due to product and channel mix.

Gross Profit
Second quarter gross profit of $70.6 million represented a decrease of $0.2 million from the second quarter of last year. The decrease was primarily driven by the $6.2 million decrease in net sales, discussed above, and partially offset by a corresponding decrease of $6.0 million in cost of goods sold.

Net Income
Net income was $29.3 million for the second quarter of fiscal 2026, an increase of $3.3 million from the second quarter of last year. Among other smaller fluctuations, the increase in net income was largely driven by a decrease of $5.6 million in selling, general and administrative expenses, primarily due to the significant amount of share-based compensation expense recorded in the second quarter of fiscal 2025 resulting from the retirement of our former President and Chief Executive Officer, with no similar significant expense recorded for the acceleration of vesting of stock awards in the second quarter of fiscal 2026. Partially offsetting the decrease in selling general, and administrative expenses was a decrease of $3.4 million in other (expense) income, net, primarily due to $2.7 million in pretax costs relating to the acquisition of the remaining 50% of the outstanding common stock of Micro Bird effective April 1, 2026, with no such costs incurred during the second quarter of fiscal 2025.

Adjusted Net Income
Adjusted net income of $32.5 million represented an increase of $1.0 million from the second quarter of last year. The increase was primarily driven by the $3.3 million increase in Net Income, discussed above, when adjusting for the impact of expenses that are excluded in calculating Adjusted Net Income, including share-based compensation and Micro Bird acquisition costs, discussed above.

Adjusted EBITDA
Adjusted EBITDA was $50.8 million, which was an increase of $1.6 million compared with the second quarter of fiscal 2025. The increase primarily relates to the increase in Micro Bird earnings, when adjusted for the impact of expenses that are excluded in calculating Adjusted EBITDA, that was partially offset by a decrease in other income, net, when adjusted for the impact of expenses that are excluded in calculating Adjusted EBITDA, as discussed above.

Year-to-Date Fiscal 2026 Results

Net Sales
Net sales were $685.7 million for the six months ended March 28, 2026, an increase of $13.0 million, or 1.9%, compared to $672.7 million for the six months ended March 29, 2025. The increase in net sales is primarily due to Bus customer and product mix changes and cumulative Bus price increases, including increases that were intended to mitigate the impact of increased procurement costs for certain of our imported inventory as a result of the imposition of tariffs beginning during the second half of fiscal 2025 and continuing into the first half of fiscal 2026, as well as an increase in Parts sales. The Bus increases described above were partially offset by a decrease in Bus units sold resulting from a 4.3% decrease in the number of production days during the six months ended March 28, 2026 when compared with the same period in fiscal 2025, which primarily resulted from the timing of holidays, and our corresponding plant shutdown, in our production calendar. As a result of producing fewer buses, we had fewer units that were available to sale.

Bus sales increased $11.9 million, or 1.9%, reflecting a 5.3% increase in average sales price per unit that was partially offset by a 3.2% decrease in units booked. The increase in unit price for the first six months of fiscal 2026 compared to the same period in fiscal 2025 was primarily due to customer and product mix changes as well as price increases implemented to offset increases in inventory costs. This increase was partially offset by the impact of booking 4,283 units in the six months ended March 28, 2026 compared with 4,425 units during the same period in fiscal 2025.

Parts sales increased $1.1 million, or 2.1%, for the six months ended March 28, 2026 compared to the six months ended March 29, 2025. This increase is primarily attributed to price increases that were implemented to offset increases in inventory costs as well as higher fulfillment volumes and slight variations due to product and channel mix.

Gross Profit
Gross profit for the six months ended March 28, 2026 was $141.9 million, an increase of $10.7 million compared with the same period in the prior year. The increase was primarily driven by the $13.0 million increase in net sales. This was partially offset by an increase of $2.3 million in cost of goods sold, primarily corresponding the increase net sales.

Net Income
Net income was $60.1 million for the six months ended March 28, 2026, which was a $5.3 million increase from the same period in the prior year. Among other smaller fluctuations, the increase in net income was primarily driven by the $10.7 million increase in gross profit, discussed above, and partially offset by a $6.5 million increase in other expense. During the second quarter of fiscal 2026, the Company incurred approximately $2.7 million of pretax costs relating to the acquisition of the remaining 50% of the outstanding common stock of Micro Bird effective April 1, 2026, with no such costs incurred during the six months ended March 29, 2025. Additionally, during the first quarter of fiscal 2025, the Company sold certain state emissions credits that it was not projecting to use for approximately $2.6 million, with no similar income recorded during the first six months of fiscal 2026.

Adjusted Net Income
Adjusted net income for the six months ended March 28, 2026 was $65.0 million, an increase of $2.9 million compared with the same period last year, primarily due to the $5.3 million increase in net income, discussed above, when adjusting for the impact of expenses that are excluded in calculating Adjusted Net Income.

Adjusted EBITDA
Adjusted EBITDA was $100.9 million for the six months ended March 28, 2026, an increase of $5.9 million compared with the same period in the prior year. The increase primarily relates to the increase in (i) gross profit, when adjusted for the impact of expenses that are excluded in calculating Adjusted EBITDA, as discussed above and (ii) Micro Bird earnings, when adjusted for the impact of expenses that are excluded in calculating Adjusted EBITDA, that were partially offset by (iii) an increase in selling, general and administrative expenses, when adjusting for the impact of expenses that are excluded in calculating Adjusted EBITDA, and (iv) a decrease in other income, net, when adjusted for the impact of expenses that are excluded in calculating Adjusted EBITDA, as discussed above.

Conference Call Details
Blue Bird will discuss its fiscal 2026 second quarter and year to date financial results in a conference call at 4:30 PM ET today. Participants may listen to the audio portion of the conference call either through a live audio webcast on the Company’s website or by telephone. The slide presentation and webcast can be accessed via the Investor Relations portion of Blue Bird’s website at www.blue-bird.com.

Webcast participants should log on and register at least 15 minutes prior to the start time on the Investor Relations homepage of Blue Bird’s website at http://investors.blue-bird.com. Click the link in the events box on the Investor Relations landing page.

Participants desiring audio only should dial 646-844-6383 or 833-470-1428. The access code is 005726.

A replay of the webcast will be available approximately two hours after the call concludes via the same link on Blue Bird’s website.

About Blue Bird Corporation
Blue Bird (NASDAQ: BLBD) is recognized as a technology leader and innovator of school buses since its founding in 1927. Our dedicated team members design, engineer and manufacture school buses with a singular focus on safety, reliability, and durability. School buses carry the most precious cargo in the world – 25 million children twice a day – making them the most trusted mode of student transportation. The company is the proven leader in low- and zero-emission school buses with more than 25,000 propane, natural gas, and electric powered buses sold. Blue Bird is transforming the student transportation industry through cleaner energy solutions. For more information on Blue Bird’s complete product and service portfolio, visit www.blue-bird.com.

The post Blue Bird Reports Fiscal 2026 Second Quarter Results appeared first on School Transportation News.

LAS VEGAS — As fleet operators wrestle with volatile diesel prices, tightening emissions rules and the steep costs of electrification, a group of industry experts said the answer to cleaner, cheaper operations may be a fuel that has been around for a century: Propane.

During the ACT Expo panel, “A Simpler Path to Lower Costs: How Fleets Use Propane and Renewable Propane,” representatives from a major public transit system, a national propane supplier and a leading alternative-fuel vehicle manufacturer argued that propane — and increasingly, renewable propane — can deliver immediate cost savings and emissions reductions without the infrastructure headaches of electric or compressed natural gas options.

Moderator Mike Finnern, who leads the alternative fuels fleet and facilities group at global engineering firm WSP, framed the Monday session as a reality check for fleet leaders who feel locked into a diesel vs. electric debate.

“In my job, I help a lot of clients convert their fleets from diesel to something else,” Finnern told attendees. “Oftentimes the conversation is around electrification, but that’s hard in a number of different ways. Infrastructure is a big part of it, vehicle costs are a big part of it. One of the things we talk about a lot is: What’s your base goal? Why [do] you want to electrify? Because there are other options, and some of those options can be remarkably compelling.”

Propane Supplier Pushes Carbon Intensity Metric

For Doug Dagan of Suburban Propane, which has been in the propane business for nearly 100 years, the key to understanding propane’s role in the energy transition is shifting the conversation from technology labels to carbon intensity.

“We’re here to talk about the power of propane as a decarbonization and cost-effective solution for fleet vehicles,” Dagan said. “We really think the distinguishing factor for propane is carbon intensity, and that really should be the metric that everyone uses for making decisions about the climate benefits of a fuel.”

Dagan said traditional propane already offers a significantly lower carbon intensity than gasoline and diesel, and emerging renewable propane pathways drive those numbers even lower. Conventional propane, he noted, carries a carbon intensity score of around 80 in many models. Renewable propane produced from certain waste-based feedstocks can land in the 20 to 40 range and in some cases approach net zero, depending on the production method.

Suburban currently supplies propane, renewable propane and renewable natural gas. It is investing in hybrid solutions as well. But renewable propane faces a structural challenge: Like conventional propane, it is largely produced as a byproduct of refining other fuels, such as renewable diesel and sustainable aviation fuel. To expand supply, Dagan said, Suburban is investing in “on-purpose” production, including biogas-based routes that mirror the way renewable natural gas is made.

Despite questions about long-term feedstock volumes, Dagan argued that propane offers something many alternative fuels cannot – stability. While diesel and gasoline prices have spiked sharply during the Iran war and even prior to that, he said, propane has not tracked those swings as closely, because it is not as exposed to global crude dynamics and is abundant in the U.S.

Medium-Duty Fleets Find Real Savings

After Dagan laid out the fueling story, Todd Mouw of ROUSH CleanTech made the business case. Parent company ROUSH, known for its performance engineering heritage, spun up its CleanTech division in 2010 to focus on propane and other alternative powertrains.

“When we first started ROUSH CleanTech, we quickly saw that the pain point for fleets was in Class 4 through 7,” Mouw said. “That’s where diesel was creating a lot of cost and complexity. So, we shifted our focus to medium-duty diesel displacement.”

Mouw said ROUSH now has more than 55,000 propane vehicles on the road across more than 4,000 fleets, logging millions of cumulative miles. Many of these are the Blue Bird Propane Vision. The message to fleet managers, he said, is that the technology is proven, the infrastructure is mature and the economics are compelling.

“In a lot of these applications, even before recent run-ups in fuel prices, you’re saving on the order of 30 to 35 cents a mile vs. diesel,” he said. “You have infrastructure that’s easy and fast to deploy, no impact on payload, range comparable to diesel and engines that are already certified at ultra-low NOx.”

Mouw pointed to looming 2027 federal NOx standards that will further increase the cost and complexity of diesel engines. Against that backdrop, he said, propane powertrains with very low NOx certification allow fleets to get ahead of the curve without the sticker shock and infrastructure delays that often come with electrification.

Florida County’s Paratransit Program Banks Millions with Propane

The proof point came from Paul Strobis, assistant general manager of transportation in Broward County, Florida. He oversees paratransit services for riders with disabilities, which he described as the most expensive service per passenger in the public transit portfolio.

“When I was looking to implement an alternative fuel system, I needed the lowest cost solution that still improved our environment,” Strobis said.

He operates primarily Class 4 and 5 cutaway buses and some sedans, with service delivered under contracts that turn over every five to 10 years. That created a requirement for fueling infrastructure that could be flexible and movable enough to follow private contractors. Heavy, permanent compressed natural gas installations did not fit that model.

“What I found was propane met all of those needs,” he said.

Since launching propane service in January 2015, Broward County has consumed roughly 12 million gallons of propane, Strobis reported. Over about 10 years, taxpayers have contributed about $16.2 million, or an average of $1.34 per gallon. Comparable gasoline for the same service would have cost approximately $29 million, at an average of $2.84 per gallon, he said.

“We’ve saved over $13 million for our taxpayers just on the cost of fuel,” Strobis said.

When federal alternative fuel tax credits were active, Broward’s net cost dropped even further, to under a dollar per gallon. Strobis said his current price is about $1.45 per gallon for propane, compared to more than $4 for gasoline. Fueling times are comparable to gasoline, he added, and his contracted maintenance facilities did not need the costly ventilation and gas-detection upgrades required for CNG shops.

Related: Report Highlights Propane and Electric TCO for School Bus
Related: Panel Shares How Propane School Buses Deliver Students, Savings
Related: Transportation Director Shares How Propane Buses Benefit Special Needs Routes

Electrification, CNG and Safety

The panelists repeatedly contrasted propane with battery-electric and CNG options, particularly on infrastructure.

Dagan said fleets often discover that the grid simply cannot deliver enough power where and when they need it, or that the electrons they do get are not as clean as advertised. In many U.S. markets, he said, charging vehicles with grid power still relies heavily on fossil generation, undercutting environmental benefits. Taking propane straight to the vehicle, he argued, can be both cleaner and more efficient in many cases.

Finnern noted that a propane station can often be installed and operational within weeks, while some large EV charging projects remain bogged down for a year or more.

Tucker Perkins, president of the Propane Education & Research Council, said the emissions profiles of propane and natural gas are similar. But CNG infrastructure costs can be an order of magnitude higher because of the need for high-pressure compressors and specialized equipment. In contrast, propane stations operate at much lower pressures and can sometimes be installed by fuel providers at their own expense in exchange for a fuel contract.

Strobis said one of his early challenges was “managing fears and misconceptions” about propane safety. He recalled an incident two weeks before Broward’s propane buses entered passenger service, when an electrical fire destroyed one of the vehicles. The local fire chief, hearing propane was onboard, allowed the bus to burn rather than approach it, only to later find that the three-quarter-full propane tank had remained intact.

“These systems are built very, very safely,” Strobis said, noting that his insurance costs did not rise with the switch to propane.

Perkins pointed to the school bus market, where propane has gained significant share, as a strong endorsement. He said long-standing codes, standards and formal training for mechanics and drivers underpin the safety record, while children and operators benefit from cleaner air inside and around the vehicles.

Looking ahead, Dagan said the biggest lever for expanding renewable propane will be state and provincial low carbon fuel standards that reward lower-carbon fuels. Programs in California, New Mexico, Oregon, Washington and parts of Canada are already creating value for renewable propane through carbon credits, he said, which should gradually draw more production into the market.

Finnern closed by urging fleets to focus on fundamentals rather than hype.

“At the end of the day, this is about cost, emissions and practicality,” he said. “Propane offers a remarkably compelling balance of all three, and fleets can do it today.”

This article written with the assistance of an AI transcript.

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Heliox, A Siemens Business, a leader in EV charging solutions, is proud to highlight its VersiCharge Blue 80A, engineered for the most demanding fleet and commercial vehicle charging environments. Designed to deliver up to 80A AC (19.2 kW) power output, the VersiCharge Blue 80A ensures that fleet operators can keep vehicles moving efficiently and reduce operational downtime. With Level 2 charging capability via a J1772 connector and a 24-foot cable, this solution is compatible with most standard EVs, E-Trucks and School Buses, and streamlines installation and daily operation for maximum flexibility and reach.

This charger exemplifies robust quality, featuring Buy America compliance to meet government procurement requirements and ENERGY STAR certification to support lower operational costs and high energy efficiency. Safety remains paramount, as the VersiCharge Blue 80A holds multiple UL listings and carries a NEMA 4 and IK10 rating to ensure exceptional resilience against extreme temperatures, humidity, and physical impact. Backed by a 3-year warranty, customers gain peace of mind knowing their investment is safeguarded for the long haul.

Connectivity is central to the VersiCharge Blue 80A’s design, with cellular and Wi-Fi networking providing easy remote monitoring and flexible network-sharing in commercial deployments. Site safety and aesthetics are prioritized thanks to retractable cable management, reducing trip hazards and maintaining a clean, professional appearance. State-of-the-art smart charging features, including ISO15118-2 hardware readiness and OCPP 1.6J support, enable advanced load management, authentication, security, and future compatibility, while Sifinity Setup mobile app configuration simplifies multi-charger installations.

Precise energy tracking is guaranteed by embedded metering, helping operators optimize usage and manage costs. Built for resilient operation, the unit withstands wide temperature swings from -40°C to 50°C (>50°C with derating) and functions reliably in up to 98% humidity, making it ideal for harsh climates and challenging locations. Wall or post mounting options offer flexible installation for any site layout, and over-the-air (OTA) software upgrades future-proof investments by delivering remote updates and new capabilities.

Engineered for versatility, VersiCharge Blue 80A features rated current settings from 12A to 80A to easily accommodate varying power needs across fleet and facility applications. Its recommended wire cross section of 3 AWG with a 90°C minimum ensures safe, high-capacity wiring and consistent performance even under heavy usage. Built-in ground fault and overvoltage protection shield both users and vehicles against electrical risks, while multicolor LED indicators provide instant feedback on charging status, connectivity, and fault diagnostics to streamline site management.

Advanced OCPP and ISO15118-2 user authentication deliver enterprise-grade security and fleet management capability. The charger operates at altitudes up to 6,562 feet, expanding site possibilities in high-elevation regions, and customizable mounting options ensure seamless integration in diverse venues.

​​With VersiCharge Blue 80A, Heliox, A Siemens Business, is bringing a powerful blend of reliability, safety, and intelligent connectivity to the heart of fleet and commercial EV operations, enabling customers to scale with confidence as electrification demands grow.

About Heliox, A Siemens Business
Heliox, A Siemens Business, delivers world class EV charging equipment, EV charger maintenance and support services, and robust solutions for a broad range of EV fleets. Our portfolio encompasses all aspects of smart and efficient AC and DC charging infrastructure, including IoT-connected hardware, software, and a comprehensive service offering. Heliox manufactures UL compliant products that meet Buy America Act (BAA) and Build America Buy America (BABA) standards. Heliox’s high-quality, field-proven charging products are now backed by Siemens’ financial strength, global reach, and long-term stability—delivering the best of both worlds.

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The Bus Technology Summit and Green Bus Summit return to Reno, Nevada this July during the STN EXPO West conference.

The Bus Technology Summit begins Sunday, July 12 with live product labs presented by companies representing different facets of the student transportation space. Solutions include routing software, safety features, fleet optimization, student ridership, transportation communications and more. Attendees will select labs to attend based on operational needs and will interact with vendors to ask targeted questions and get a closer look at the technology solutions transforming the industry.

The Sunday labs will be presented by Transfinder, First Light Safety Products, Alpha Route, Geotab, Samsara, BusRight and Verra Mobility. Labs continue Monday, July 13 with SafeFleet, Tyler Technologies, School-Radio, CalAmp, Cummins/Accelera and HopSkipDrive.

Zonar CEO Charles Kriete will present a “CEO Talk” on Sunday morning to discuss the technology trends impacting the student transportation industry. The following morning, ZUM’s COO and co-founder Vivek Garg will present his “Tech Talk” to conference attendees.

Meanwhile, the Green Bus Summit will focus on green leadership that enables attendees to discover the latest advancements in sustainable transportation. A wide-range of speakers from OEMs, school districts using low-emission fuel options, and industry experts will share operational considerations, real-life experiences and tips to find the best fuel option for their operations. Sessions will be presented by Blue Bird, Thomas Built Buses, Micro Bird, the Propane Education & Research Council (PERC) and IC Bus. The Green Bus Summit sessions will also be held on Sunday and Monday.

The two Summits meet for an immersive outdoor experience Sunday night at the STN EXPO West Ride and Drive/Live Technology Demo. Attendees will ride electric, propane and low-emission diesel school buses from Blue Bird, IC Bus, Micro Bird, RIDE and PERC. In addition, they will visit Zonar, Tyler Technologies, Transfinder and ZUM for more live product demos and networking with vendors for real-time discovery of solutions to take home to their districts.

The evening will include an energetic networking atmosphere with food and beverages, interactive games and a live DJ. Attendees will not only network with companies providing transportation solutions but meet other transportation professionals to have the conversations that are driving innovation in the industry.

Find the full conference agenda and registration details at stnexpo.com/west. STN EXPO West will be held July 9-15 at the Peppermill Resort in Reno, Nevada. The conference will feature hands-on training classes including the National School Bus Inspection Training Program, educational sessions, the Transportation Director Summit leadership event, the STN EXPO West Trade Show and other unique networking events.

Related: Turkel to Uncover Secrets of Communicating Relevance at STN EXPO West
Related: WATCH: Active-threat Response Training Subject of Opening STN EXPO West Session
Related: WATCH: Exclusive Leadership Event Summons Transportation Leaders for Networking, Professional Development

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More U.S. Environmental Protection Agency news and webinars on funding, plus how clean energy demand intersects with AI’s need for resources. Conversations continue at ACT EXPO this week and the Green Bus Summit at STN EXPO West in July.

“The tragedy will never leave you.” Shocking real-life stories abound in this special extended episode as 91-year-old industry legend and consultant Richard “Dick” Fischer underscores the need for thorough safety leadership and training. He discusses student transportation history, school bus crashes in the news, drunk and criminal drivers, illegal passing and the Danger Zone. See him live at STN EXPO West and email him to sign up for his free safety newsletter.

Read more about safety and access safety resources.

This episode is brought to you by Transfinder.

Message from Kajeet.

Stream, subscribe and download the School Transportation Nation podcast on Apple Podcasts, Deezer, iHeartRadio, Spotify and YouTube.

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CINCINNATI, Ohio – First Student, North America’s largest student transportation services provider, today announced it has been named to the TIME100 Most Influential Companies 2026. First Student was named in the Industry Leaders: Transportation category, which honors organizations making an extraordinary impact in their industries. The recognition highlights First Student’s leadership in transforming and redefining student transportation through its proprietary HALO technology platform, which integrates real-time data, AI technology and predictive analytics.

HALO was developed in-house to address the growing complexity in K–12 operations and the long-standing problems of fragmented systems and a lack of real-time visibility in school transportation. With HALO, dispatching and routing intelligence, vehicle tracking, safety insights, preventive maintenance, and communication are all seamlessly connected, unifying First Student’s fleet of over 48,000 vehicles and supporting approximately 4.8 million student journeys each day for approximately 1,400 customers, creating a unified, real-time operating platform for student transportation at scale.

The impact of HALO is measurable across the business, driving improvements in workforce stability, operational efficiency, and safety outcomes.

In pilot programs conducted across six locations, HALO-enabled safety technology delivered strong early results, including:

81% reduction in inattentive driving events
63% reduction in forward collision rates
54% reduction in rolling stops

Beyond safety, HALO is also improving workforce and operational performance across the platform, including:

115% increase in driver interview completion rates
38% reduction in training time
“Being named to the TIME100 Companies list is a meaningful recognition for First Student and reflects the impact we’re making for millions of students and families every day,” said John Kenning, CEO and President of First Student. “At First Student, caring for students is at the heart of everything we do. Our mission is to provide the best transportation experience, so students arrive ready to achieve their full potential, and this recognition reflects our team’s commitment to living our values and delivering on that promise every day. As we look ahead, we remain committed to setting the highest standards in safety and service for the thousands of communities we serve.”

Enhanced through a strategic partnership with Samsara (NYSE: IOT), the HALO platform incorporates AI-powered cameras, advanced analytics, and predictive safety insights. The results are measurable with HALO driving meaningful improvements in safety, operational efficiency, and the student experience. From reducing road incidents to improving driver performance and streamlining claims management, the platform is helping deliver safer, more reliable transportation at scale. At the same time, HALO provides real-time visibility to parents and caregivers through its First View app, offering peace of mind and strengthening trust in every ride.

“HALO represents a fundamental shift from reactive to predictive operations in student transportation,” said Sean McCormack, CIO of First Student. “We’ve taken an industry that has long been siloed and reimagined it through AI-powered innovation at scale. By integrating real-time data across routing, safety, maintenance, and communications, HALO turns insight into action, improving outcomes for students, drivers, parents and school districts alike. This recognition from TIME underscores how purpose-built technology can transform complex, real-world systems and improve the transportation experience for millions of students and parents.”

By combining scale, technology, and a deep commitment to operational excellence, First Student is setting a new global standard for student transportation. The company is redefining how it operates at scale and delivering not just students, but confidence, safety, and a better start to every school day.

About First Student
First Student is reimagining the school bus experience, making approximately 4.8 million student journeys across North America every day. As a leader in K-12 transportation, the company completes approximately 860 million student rides annually, delivering not just students, but confidence, reliability, and peace of mind to families and school districts alike. Backed by a workforce of highly trained drivers and an industry-leading fleet of over 48,000 vehicles, including electric buses, First Student is a mission-driven partner in education.

Named one of Fast Company’s 2025 Most Innovative Companies, First Student offers cutting-edge services including special needs transportation, AI route optimization, fleet electrification, vehicle maintenance services, and charter services. First Student’s impact extends beyond logistics: every ride is designed to be a safe and supportive space where students can start their day with a great experience. With innovation at our core, First Student is driving the future of student transportation one ride at a time.

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LAS VEGAS — The Trump administration may have the revoked greenhouse gas (GHG) rules, but student transportation fleets are still barreling toward a major emissions change that will reshape diesel engine technology, maintenance practices and purchasing strategies as soon as Jan. 1, 2027.

That was the clear message from engine and truck executives during Monday’s ACT Expo roundtable, “What the Final Rule Means for Fleets, OEMs & Suppliers.” Cummins and International leaders urged fleets to prepare now for the new low nitrogen oxides (NOx) rules — and not be lulled into complacency by headlines regarding greenhouse gas (GHG) rollbacks.

GHG Push Eases, but NOx Crackdown is Full Speed Ahead

David Hillman, vice president of integrated technology sales at IC Bus parent company International, told attendees that many fleets still misunderstand the regulatory landscape. He said fleets often assume that because federal GHG actions were rescinded, tailpipe rules are off the table. That, he warned, is wrong.

He urged fleets to separate climate-focused GHG policy from criteria pollutant rules such as NOx. The federal GHG “endangerment” framework — which effectively pushed manufacturers toward battery-electric vehicles by requiring rapid fuel-efficiency gains — has been set aside.

But the EPA’s low-NOx rule remains, added panelist Andrea Lukas, the director of product management for the North American on-highway business at Cummins

“We’ve heard from high-level officials at EPA that’s sticking, so we need to prepare for that now,” she said.

The upcoming federal standard will tighten heavy-duty NOx limits to 35 milligrams, or 0.035 g/bhp-hr, starting Jan. 1. Hillman described the change as an approximately 80 percent reduction in NOx compared with current levels. That shift is substantial, even though the core diesel technology path of diesel oxidation catalysts, diesel particulate filters and selective catalyst reduction aftertreatment will remain largely familiar.

For school buses, that means diesel is not going away anytime soon, but the next generation of engines will be more complex, more tightly controlled and, almost certainly, more expensive.

“Speaking for International, we’ve been fairly direct that we are we’re very bullish on diesel … it’s hard to beat the efficiency of the diesel combustion cycle … diesel’s got a very enviable track record in position,” Hillman added. “I think it’s reasonable to expect diesel efficiency to still be applicable into the 2040 and beyond realm.”

Costs Less Than Early Numbers but Still Higher

A year to 18 months ago and even at the STN EXPO East conference in March, many fleets heard dire projections about price spikes for 2027-compliant vehicles. Hillman explained those early figures assumed not only new hardware but also much longer federal emission warranty and “useful life” requirements — in some proposals, up to 10 years.

He said roughly half of the anticipated price increase was tied to added hardware and design changes, while the other half came from extended emission warranties and the costly validation work to ensure engines would still meet the 35 mg NOx limit a decade after production.

More recent signals from EPA suggest warranty and useful-life requirements may revert closer to today’s norms, such as five years or 100,000 miles in the heavy-duty space. If that holds in the final rule, Hillman said fleets can roughly “cut in half” some of the largest price increases they heard discussed last year.

Still, the technology required to hit 35 mg NOx rule has its costs. Student transportation directors should budget for higher acquisition costs for 2027 and newer diesel buses, even if the final price tags fall short of the early worst-case scenarios. Exact numbers will not be clear until the EPA’s rulemaking language is finalized.

Fuel, DEF and Performance: Less Disruption than 2007, 2010

On performance, both Cummins and International stressed that fleets should not expect the kind of fuel-economy and drivability disruptions seen in the 2007 and 2010 emission changeovers.

Lukas said the focus is now building on mature architectures rather than introducing unproven concepts. Larger catalysts, new heating strategies to address cold-start NOx, and packaging changes are being paired with redesigned, lighter engine blocks and combustion improvements.

Lukas said Cummins is targeting fuel efficiency improvements on its new platforms and weight neutrality once lighter engine components and larger aftertreatment systems are balanced. She also said the company aims to keep diesel exhaust fluid (DEF) consumption in a similar range to today’s levels.

“We are utilizing a belt‑driven alternator, so pretty simple technology on the engine, and so that powers heaters in the aftertreatment … trying to simplify it as much as possible by using known designs,” she explained.

Hillman said International’s S13 powertrain is engineered to be fuel-economy neutral and weight neutral with the 2027 regulations in most applications. He expects DEF consumption to rise modestly — on the order of one percentage point relative to fuel, rather than a dramatic jump.

For school buses, that could mean routing, refueling infrastructure and gross vehicle weight ratings may not require wholesale redesigns. Instead, DEF logistics and range assumptions should be revisited once final product specifications are known.

Emissions Training and Tools

One message that came through clearly for maintenance managers: Training cannot wait.

Lukas said Cummins will begin rolling out technician training for 2027 products over the next one to two months, with materials pushed through OEM and dealer channels. She urged fleets to take every available opportunity to get technicians trained early, especially around new service tools.

For fleets running Cummins-powered trucks and buses, one major shift will be the retirement of Cummins Insight on the model-year 2027 and beyond fuel-agnostic HELM platforms. Instead, Cummins will rely on Guidanz as its primary diagnostic and service interface, with expanded digital capabilities, including portals, over-the-air diagnostics and remote calibration updates.

International, which carries over roughly 90 percent of the hardware in its S13 powertrain from current products, expects less disruption in its own toolchain. But Hillman echoed Lukas on the need for ongoing technician and driver training to keep pace with more sophisticated electronics and emissions controls.

Don’t Wait on Pre-Buys

Hillman and Lukas also warned that the back half of 2026 is likely to be production-constrained, as fleets across multiple sectors pull forward purchases to avoid first-year 2027 NOx rule pricing and complexity. This year’s State of Sustainable Fleets report unveiled Monday at ACT Expo stated that manufacturers are already selling out new build slots for the third and fourth quarters of 2026.

While the panelists said they do not expect a pre-buy on the scale of 2007 or 2010, both Cummins and International anticipate enough “front-loading” of demand to stress supplier capacity. In practice, that means school bus orders for the 2026–2027 school year could compete with a crowded market, especially for certain configurations.

Article written with the assistance of AI session transcript.

Related: Updated: EPA Seeks to Expand Fuel Scope of Clean School Bus Program
Related: Amid ‘Unprecedented Degree of Uncertainty,’ CARB Proposes Two Pathways for Emissions Regulations
Related: Micro Bird Officially Opens U.S. Manufacturing, School Bus Production Already Underway

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LAS VEGAS, Nev. — Now in its seventh year, the State of Sustainable Fleets 2026 Market Brief, released today, delivers a comprehensive, technology-neutral assessment of an industry building resilience through powertrain and fuel diversification amid an extended period of uncertainty. The Market Brief was unveiled at ACT Expo in Las Vegas, Nevada — North America’s largest fleet technology conference and expo, now in its 16th year. It was authored by TRC Companies, a WSP member company and leading construction, engineering, and consulting firm.

The Market Brief arrives as commercial fleets face a convergence of pressures that industry analysts are calling the most complex operating environment in modern trucking history. A prolonged freight recession now in its third consecutive year has been compounded by sweeping federal policy reversals, tariff-driven cost increases of up to $35,000 per new truck, and geopolitical volatility affecting global supply chains and energy markets. The rollback of federal greenhouse gas (GHG) vehicle standards, the expiration of zero-emission vehicle (ZEV) tax credits worth up to $40,000 per eligible medium- and heavy-duty (MD/HD) vehicle, the cancellation of federal clean transportation funding, and the nullification of California’s clean truck regulations have restructured the policy landscape from a federally driven system to a decentralized patchwork of state policies and market-driven factors.

Yet across all this disruption, the data reveals a picture of an industry in structural adaptation rather than retreat. TRC estimates that more than $5 billion in state, local, and utility program funding remains available annually through 2028 supporting clean fleet investment. Fleet technology markets are maturing across nearly every fuel and drivetrain type. Artificial intelligence has moved from pilot projects to mainstream fleet operations. And the central strategic finding of this year’s Market Brief is clear: fleets managing total cost of ownership (TCO) across a portfolio of powertrain technologies  rather than concentrating on a single solution or waiting out the uncertainty are demonstrating measurably greater resilience. In a freight economy where external shocks can rapidly change the economics of any single technology, including conventional diesel, powertrain diversification has become both a financial strategy and a risk management imperative.

Penske Transportation Solutions and Volvo Trucks North America serve as title sponsors of the 2026 State of Sustainable Fleets Market Brief. Exelon Companies and S&P Global Mobility serve as supporting sponsors. Each sponsor contributes expertise and data that enhances credibility of the findings.

The 2026 Market Brief identifies key findings shaping the sustainable fleets landscape:

Artificial Intelligence and Autonomous Trucking: From Pilot Projects to Commercial Operations

AI-powered fleet management has moved from experimentation to mainstream operations: approximately half of fleets in the annual survey report using AI for route optimization, dispatching, predictive maintenance, and maintenance diagnostics with users reporting measurable cost savings, greater vehicle uptime, and improved fleet utilization.

Fleet AI adoption is expected to accelerate rapidly: survey respondents project that 35% of their fleets will be AI-enabled by 2027, nearly doubling from an estimated 20% across the fleet in 2025. Among respondents, 49% reported that none of their fleet had been AI-enabled as of 2025, signaling a significant near-term adoption runway.

Autonomous freight is advancing from Sun Belt pilots to commercial-scale operations: driverless light-duty vehicles have logged millions of miles, and HD autonomous trucks entered commercial freight service in 2025. Broader heavy-duty rollouts across more routes and regions are expected by end of 2026.

Policy and Funding: Federal Cuts Reshape the Landscape; States, Markets, and New Biofuel Mandates Take the Lead

Federal clean transportation funding has been substantially reduced: zero-emission tax credits of up to $40,000 for eligible MD/HD vehicles expired; DOE’s Vehicle Technologies Office budget was cut approximately 90%; $2.2 billion in hydrogen R&D funding was rescinded, including so-called “Hydrogen Hubs”; and the DOT’s National Electric Vehicle Infrastructure (NEVI) program was suspended for six months.

Despite federal cuts, available funding for clean fleet projects remains well above pre-2022 levels: more than $5 billion in state, local, and utility programs is estimated annually through 2028. California maintained over $1 billion in active grant funding for on-road trucks and buses in 2025. Low-carbon fuel standards (LCFS) in California, Oregon, Washington, and New Mexico continue generating meaningful revenue streams supporting multiple clean technology pathways.

The EPA finalized record-high Renewable Fuel Standard (RFS) volume obligations for 2026 and 2027 in April 2026, requiring approximately a 60% increase in biodiesel and renewable diesel production and use compared to 2025 levels — a major structural tailwind for renewable fuel adoption. Regulatory responsibility for GHG and criteria pollutant standards is also increasingly shifting to the state level, though significant questions remain for fleets and their partners.

Diesel Vehicles: Efficiency Gains and Drop-In Renewable Fuels Displace Conventional Diesel at Scale

New Class 8 tractor registrations declined 16% in 2025 according to S&P Global Mobility data amid the prolonged freight recession, tariff-driven cost increases, and economic uncertainty. Fleets and OEMs have focused on diesel fuel efficiency: more than one-third of survey respondents reported using efficiency technologies, with leading heavy-duty adopters in the logistics sector achieving 8.5+ mpg and best-in-class operations demonstrating 11.5 mpg or higher.

Renewable diesel (RD) and biodiesel (BD) drop-in fuels that work in existing diesel engines and infrastructure are displacing conventional diesel at scale: the two fuels combined to replace 74% of conventional diesel used in California transportation in 2024 and 71% in the first three quarters of 2025. More than half of annual fleet survey respondents now report using RD or BD, with near-100% B99 biodiesel adoption expanding in 2025.

The EPA’s Clean Trucks Plan establishing MY 2027 NOx and particulate matter (PM) standards for MD/HD vehicles remains on track, with incremental per-vehicle costs expected to range from $8,000 to $18,000. Final warranty and useful-life provisions are still pending.

Natural Gas Vehicles: 15-Liter Engine Delivers Diesel-Equivalent Performance; RNG Enables Carbon-Negative Fleet Operations

The Cummins X15N 15-liter natural gas engine completed its first full year of commercial availability in 2025 and delivered diesel-equivalent performance, range, and payload capacity alongside compelling fuel cost savings. The U.S. leads the world in commercial use of compressed natural gas (CNG) and liquefied natural gas (LNG) for trucking — a competitive advantage built on years of fleet adoption and infrastructure investment that no other market has matched.

Total MD/HD natural gas vehicle (NGV) registrations fell 15% in 2025, driven in part by the freight recession and the fleet transition period as the market shifted to 15-liter platform deliveries. Straight trucks comprised 82% of 2025 NGV registrations, followed by transit buses (10%) and tractor trucks (7%) according to S&P Global Mobility data.

Renewable natural gas (RNG) sourced from organic waste enables carbon-negative fleet operations and continues to grow: RNG accounted for 97% of all natural gas fuel used in California transportation in 2025. Among NGV-using fleets in the survey, 65% report RNG use, which they estimate accounts for 78% of their total fueling volume.

Propane Vehicles: Cost Savings Drive Steady Growth; New Role as EV Charging Power Source Expands Market

The propane vehicle fleet grew 3.1% in 2025, with school bus and upfitter markets continuing as key adoption sectors. The fuel delivered operational cost savings for 39% of propane fleet operators compared to the vehicles they replaced, reinforcing propane’s role as a cost-effective, practical option in a diversified powertrain portfolio.

Renewable propane use surged: 32% of propane-using fleets reported using it in 2025, up from just 10% in 2023 — a nearly threefold increase that reflects fleet demand for low-carbon, drop-in fuel options requiring no vehicle modifications.

Propane is expanding into a new application as a power source for EV charging infrastructure, offering fleets an alternative to or temporary solution while awaiting utility grid connections with installation cost savings of up to 75% — a development that may accelerate BEV adoption in segments where grid access and utility timelines have been barriers to uptake at scale.

Battery-Electric Vehicles: MD Registrations Set Records as Cost Benefits Demonstrated; HD Vehicles Show Signs of 2026 Growth

MD/HD BEV registrations increased in 2025, led by pickup trucks and delivery vans that set a new record in the MD segment. Fleets operating MD BEVs and HD yard electric tractors reported total cost of ownership benefits compared to the vehicles they replaced, confirming that fleet electrification is delivering financial returns in duty cycles where range and infrastructure align.

Global market signals point to long-term BEV competitiveness in heavy-duty applications: BEVs now represent 22% of China’s HD truck market, and battery costs in that market have fallen to $90/kWh — a level widely cited as cost-competitive with conventional powertrains. Battery costs have fallen below $100/kWh in some markets, a leading indicator for future U.S. fleet economics.

Near-term U.S. growth faces headwinds from the expiration of EV tax credits and manufacturer production pivots. However, data from a California funding program and other signals show that Class 8 truck deployments should exceed the 1,000 annual deployments mark for the first time.

Hydrogen Vehicles: Funding Cuts Cloud Long-Term Outlook; Duty-Cycle Fit for Long-Haul and Heavy Payloads Remains Promising

The hydrogen vehicle sector faced its most challenging year in 2025: hydrogen fuel cell electric vehicle registrations dropped 12%, the cancellation of much of the Hydrogen Hub funding removed a critical development resource, and two prominent Class 8 FCEV manufacturers exited the market.

Despite these setbacks, Hyundai, Toyota, Honda, and Cummins continue advancing fuel cell modules and vehicle programs. Real-world fleet operations continue to confirm hydrogen’s operational fit for long-haul, heavy-payload duty cycles where truck weight and range constraints are most acute, with some deployments achieving 400+ miles per day with faster refueling times than EVs.

Long-term hydrogen sector viability for heavy-duty transportation is expected to depend on sustained federal investment in research, development, and fueling infrastructure that private capital alone will not provide at scale. Coordinated government investment remains the defining variable for hydrogen’s commercial future in freight.

“This year’s Market Brief accurately captures the continuing use of AI in fleet technology and how it allows for fleets to drive enhanced fleet and MPG performance and ultimately sustainability.”

— Paul Rosa, Senior Vice President Procurement and Fleet Planning, Penske Truck Leasing

“Volvo Trucks has been clear and consistent in our commitment towards zero emissions,” said Peter Voorhoeve, president, Volvo Trucks North America. “We continue to invest across a broad range of technologies because we believe meaningful progress requires more than a single solution. By investing in multiple solutions, we’re giving fleets the confidence that they can reduce emissions with the solution that makes the most sense for their business.”

— Peter Voorhoeve, president, Volvo Trucks North America

“In a very short time we’ve moved from ‘what’s the best AI-enabled drivetrain’ to ‘how do I utilize each where it works best’ to manage cost and uncertainty. Adoption of multiple advanced, clean technologies for medium- and heavy-duty fleets has emerged as the defining strategy instead of the retreat that many had predicted.”

— Nate Springer, Vice President, Market Development, TRC Companies

To access the full 2026 Market Brief and receive ongoing updates and analysis from State of Sustainable Fleets, visit www.StateofSustainableFleets.com.

About State of Sustainable Fleets
The State of Sustainable Fleets Market Brief is the foremost authority on sustainable technology adoption within America’s on-road fleets. This annual analysis compiles real-world data from early adopter fleets nationwide, offering sector-specific insights into the uptake of battery-electric vehicles, natural gas, propane, and hydrogen fuel cell electric vehicles, alongside renewable fuels, benchmarked against diesel and gasoline vehicles. The annual Market Brief provides essential data and analysis for year-round education on the rapidly developing market via regular webinars, Academy webinar series, fleet guides, and trend briefs. State of Sustainable Fleets is authored by the Clean Transportation Solutions group of TRC Companies.

About Penske Transportation Solutions
Penske Transportation Solutions is the universal brand for Penske Truck Leasing, Penske Logistics, Epes Transport Systems, Penske Vehicle Services, and related businesses. Our businesses provide innovative transportation, supply chain, and technology solutions to keep the world moving forward. Visit GoPenske.com to learn more.

About Volvo Trucks North America
Volvo Trucks North America, headquartered in Greensboro, North Carolina, is one of the leading heavy-duty truck manufacturers in North America. Its Uptime Services commitment is delivered by a network of nearly 400 authorized dealers across North America and the 24/7 Volvo Trucks Uptime Center. Every Volvo truck is assembled in the Volvo Trucks New River Valley manufacturing facility in Dublin, Virginia. Volvo Trucks North America provides complete transport solutions for its customers, offering a full range of diesel, alternative-fuel, and all-electric vehicles, and is part of the Volvo Trucks global organization.

About ACT Expo
ACT Expo is North America’s largest fleet technology conference and expo, bringing together more than 12,000 fleet operators, OEMs, shippers, technology providers, infrastructure developers, energy companies, and policymakers for four days of peer-to-peer education, real-world case studies, and direct

access to the solutions shaping the industry. Now in its 16th year, ACT Expo 2026 takes place May 4–7 at the Las Vegas Convention Center. The 2026 program expands on ACT Expo’s long-standing leadership in clean transportation with increased focus on the digital frontier, including AI, autonomy, connectivity, and software-defined vehicles. More than 500 exhibitors will showcase the advanced vehicles, charging and fueling solutions, equipment, software platforms, and digital tools redefining commercial transportation. For more information, visit www.actexpo.com.

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