Central Dauphin School District, Central PA News

Central Dauphin legal fees hit $279,000; lease back fees top $395,000

Folks:

In August, 2009, the Central Dauphin School District published a Transportation Alert and reported outsourcing transportation would save taxpayer $775,000 annually. The District promised, “Detailed information regarding Durham Transportation Services will be coming in our district-wide community newsletter, entitled, ‘Working Together’ this fall.”

There was even a headline entitled, “What does this mean to you as a taxpayer?” The District failed to deliver the newsletter, but it’s time to answer the questions.

Legal costs. Rhoads & Sinon billed for 27.82 hours for outsourcing transportation in May, 2009, billed for 99.45 hours for outsourcing transportation in June, 2009, and billed for 205.73 hours for outsourcing transportation in July, 2009 for a subtotal of 330 hours or $59,400.

Rhoads & Sinon’s bill for outsourcing transportation from August, 2009 to January, 2010 was $145,786.89.

The dedicated legal cost to taxpayers to illegally outsource transportation from May, 2009 through January, 2010 was $205,186.89.

On June 2, 2010, the CDBDA filed a RTK request for Rhoads & Sinon legal fees from January to May, 2010. (Enclosure) After a preliminary review of the invoices, it appears the law firm tacked on an additional $74,735.91 in legal fees during this period.

Legal fees to break a midterm contract from May, 2009 to May, 2010 cost Central Dauphin taxpayers: $279,922.80.

Lease back fees: The District sold off its fleet under the cover of secrecy on October 21, 2009. The taxpayers fee for leasing its own vehicles back from Durham is $79,131.00 per month through June, 2010 or $395,655.

Total cost to taxpayers to outsource transportation from May, 2009 through June, 2010: - $675,577.80.*

vs.

District's projected taxpayer savings: + $775,000.

* Costs do not include billing invoices from Post & Schell.

Sincerely,

Eric Epstein, Business Manager Central Dauphin Bus Drivers Association

R & S final bill (PDF)

Both parties approve of ruling

From the Patriot News:

Representatives of Central Dauphin School District and its bus drivers union both claim victory in the Commonwealth Court decision last week about the district's outsourcing of transportation.

The former school board president and former school district lawyer said the decision means the district can outsource because it already has complied with the court-ordered procedures.

The Central Dauphin Bus Drivers Association business agent said the decision means the district can't outsource because it hasn't followed those procedures.

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Board urged to halt bus dispute

From The Patriot News:

The Central Dauphin School Board on Aug. 10 voted 5-1, with three members absent, to replace the district's student transportation system with Durham School Services of Downers Grove, Ill. The next day, the union representing the district's 131 bus drivers filed an unfair-labor practice complaint against the district for failing to honor its contract. The contract expires June 30, 2011.

Since then, the issue has dominated many school board meetings and involved lawyers, hearing rooms and court rooms. Dauphin County Judge Richard Lewis in November ruled that the school district did not follow proper procedure when it broke its contract with the bus drivers' union. The district is appealing the decision.

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Injunction Issued in Central Dauphin School District Bussing Dispute

November 5, 2009

Contact: (717)-541-1101
Eric Epstein, Business Manager
Central Dauphin Bus Drivers Association

(Harrisburg, PA) -  President Judge Richard A. Lewis of Dauphin County of Common Pleas issued an injunction halting the outsourcing of  Central Dauphin transportation services to Durham School Services (Enclosure). A hearing is scheduled for November 10, 2009.

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