Allen ISD is paying far more than planned to keep its buses running, and a district administrator says the fuel bill could pass $1 million this school year.
The district buys fuel in bulk and usually sees a fairly steady price, Kyle Penn, Allen ISD's assistant superintendent for business and technology, told KERA News in a story published Wednesday. The district had expected to spend $400,000 to $500,000 for the year.
In February, that projection jumped to $650,000, which Penn called the sharpest increase the district has seen and compared to about four teachers' salaries.
"I think this year exceeding a million dollars in fuel is definitely not out of the realm," Penn told KERA.
Bids climbing
Allen ISD refills its bulk tanks every couple of weeks, sending fuel requests to several suppliers and buying from the lowest bidder, Penn said. The bulk price the district pays has risen by about $1 a gallon for unleaded gasoline and nearly $2 a gallon for diesel. "It's the most we've ever been bid for fuel and diesel," he said.
The district is now looking for a supplier that would lock in a fixed price over a longer contract. Penn told KERA the risk is that if prices later fall, the district would be stuck paying the higher rate.
