NYSAC Report Highlights Growing Costs of Preschool Special Education Transportation

This week, NYSAC released a new report examining the rising cost of preschool special education transportation and calling for reforms to better align transportation responsibilities with the school districts that already serve children with disabilities.

The report, Rethinking Preschool Special Education, highlights the growing financial burden counties face under New York's unique system, which requires county governments to arrange and pay for transportation for preschool children receiving special education services, despite having little control over the decisions that drive those costs.

According to the report, average annual county transportation costs have increased by 170 percent since 2020, rising from $1.2 million to $3.25 million in 2025. While the State is nominally responsible for reimbursing 59.5 percent of approved costs, outdated reimbursement caps leave many counties paying substantially more than their statutory 40.5 percent share.

The report also finds that school district-provided transportation can cost three to five times less than private contractor arrangements, highlighting opportunities to improve efficiency by leveraging existing school transportation infrastructure.

Drawing on county case studies and statewide data, the report outlines seven policy recommendations, led by a phased transfer of preschool special education transportation responsibility from counties to school districts, with adequate state funding. Additional recommendations include raising or eliminating transportation reimbursement caps, providing targeted state aid, and strengthening county-school district partnerships.