How to Become a School Bus Contractor Fact Sheet

Step by step instructions for becoming a school bus contractor in New Jersey:

To become a school bus contractor in the State of New Jersey, the below list of steps must be completed. It is important not to skip ahead prior to completing steps 1-4. For any questions, please contact the Office of School Bus Safety at OfficeofSchoolBusSafety@doe.nj.gov.

  • All business organizations that do business with a local contracting agency, including boards of education, must obtain a business registration certificate issued by the Department of the Treasury, Division of Revenue. A copy of the Business Registration Certificate must be submitted to the contracting agency at the time of the bid. Information on how a business can obtain this certificate can be found at Division of Revenue and Enterprise Services.
  • The New Jersey Administrative Code (NJAC) 6A:27-1 et seq. and Sample Bid Specifications for Student Transportation Services contain the rules with which the contractor must comply to legally transport school students in New Jersey.

All potential contractors must contact the New Jersey Department of Education, Office of Student Protection at OfficeofStudentProtection@doe.nj.gov to obtain a Memorandum of Understanding and to receive a NJDOE Contractor Code.

Note: The Contractor Code Number is used for criminal history checks.

Once a Contractor Code is received, contractors must contact the New Jersey Department of Education, Office of School Bus Safety at OfficeofSchoolBusSafety@doe.nj.gov to attend the mandatory new school bus contractor training program. Following the training, a certificate of completion will be awarded.

Upon completion of the mandatory training, contractors must contact the New Jersey Department of Education, Office of Student Transportation at Student.Trans@doe.nj.gov to receive a NJDOE Vendor Code.

Note: Vendor Code is used for contract bidding.

  • All school vehicles must be inspected twice a year by the Motor Vehicle Commission, prior to commencing student transportation and thereafter, and display a school bus certification inspection sticker. The Motor Vehicle Commission must be contacted to schedule these inspections by the School Bus Inspection Unit. You may contact the Inspection Unit at 609-633-9473 or SBIU@mvc.nj.gov. To learn more about school bus inspections, please visit School Bus Inspections.
    • School bus: A vehicle used to transport children to and from school or a school related activity that is originally designed by the manufacturer to carry 10 or more passengers, excluding the driver, must meet State and Federal construction standards for school buses. The bus must display a valid school bus inspection sticker. A school bus is registered with a license plate that contains:
      • “S1” if passenger capacity is 17 or more
      • “S2” if passenger capacity is 16 or less
    • Small school vehicle: A small school vehicle is any vehicle used to transport children to and from school or a school related activity that is originally designed by the manufacturer to carry 9 or less passengers, excluding the driver. This type of vehicle must display a valid school bus inspection sticker, weigh at least 3,000 lbs., and be registered with a license plate that contains “S2”.
      • Exception: Parents transporting their own child or children.
    • Dual purpose vehicle: A dual-purpose vehicle is not registered with an “S1” or “S2” license plate because the primary purpose of the vehicle is not school transportation. To be used for student transportation, the vehicle must be originally designed by the manufacturer to carry 9 or less passengers, excluding the driver, and must display a valid school bus inspection sticker.
      • Vans/Cars
      • Taxi/Limousine
      • Medical Transport/Ambulance
    • Charter/Coach buses: A charter/coach bus is not registered with an “S1” or “S2” license plate because the primary purpose of the vehicle is not student transportation. These vehicles are designed to carry more than 10 passengers, excluding the driver. If a coach bus is used under contract to provide transportation to and from school, the bus must display a valid school bus inspection sticker. A coach bus is not required to display a school bus inspection sticker when it is used only to transport school children on a preset route and schedule or chartered for school related activities.

  • Anyone providing transportation of students to and from school or school-related activities, or subcontracting to provide services, shall obtain automobile liability insurance for bodily injury and property damage in a minimum amount of $1,000,000.00.
  • Insurance shall be obtained through a company authorized to issue insurance in New Jersey. The certificate of insurance shall name the resident district board(s) of education and any coordinated transportation service agencies providing transportation services as an additional insured party to the policy. The certificate shall also name an additional insured party to the policy the resident board(s) of education for which another district board of education or agency provides transportation.

Note: School districts may require higher minimums of insurance.

Contractors must contact their Executive County Superintendent’s Office where they are headquartered to speak with the Transportation Coordinator. The coordinator will review all prior steps of completion to assist the contractor with the Annual Certification Process (see next step) and prepare for contract bidding.

Prior to commencing student transportation, a contractor must supply the Executive County Superintendent’s Office with the Annual Certification of School Bus Drivers and Aides. To learn more about the annual certification process, please visit Student Transportation.

  • School districts are required to advertise for bids at least ten days prior to the bid opening. Prospective bidders, therefore, are advised to review local newspapers (to include online newspapers) to be informed as to when districts are bidding for student transportation services and where they may obtain specifications for these bids.
  • The prospective bidder must obtain the individual district’s bid specifications which will detail the specific requirements of that particular district.
  • Bidders are required to provide with their bid evidence of their ability to obtain the required automobile insurance. If awarded the contract, bidders will be required to provide a certificate of automotive liability insurance in the amount specified by the bid specifications. In no case will the required coverage be less than one million dollars combined single limits.
  • In addition, a bidder’s guarantee must be submitted with the bid and, if awarded a contract, a performance surety bond equal to the amount of the contract is required.

  • Changes include physical address, email address, telephone number, point of contact, etc.
  • It is also important that school bus drivers and school bus aides contact the NJDOE if they make any of the above changes.

Requirements for School Bus Drivers

  1. The federal Commercial Driver’s License (CDL) law requires anyone who drives a school bus designed to carry 16 or more passengers to hold a valid CDL.
  2. NJAC 13:21-23.5 extends the federal CDL law by requiring that anyone who drives a vehicle registered as a school bus/vehicle, regardless of the vehicle capacity, to hold a valid CDL with an “S” endorsement, a passenger (P) endorsement and any other endorsements necessary for the type of vehicle they are driving.
  3. The federal CDL law also imposes drug and alcohol testing requirements on persons who hold a CDL. For more information on the drug and alcohol testing, please visit the Drug & Alcohol Clearinghouse.
  4. NJSA 18A:39-17 requires that school bus drivers submit to a criminal history background check. For more information on background checks, please visit the Office of Student Protection.
  5. NJAC 13:21-14.5 requires school bus drivers to obtain a physical (also called a Medical Certification), by a registered DOT physician, every 24 months. Pursuant to NJSA 39:3-10-1, bus drivers with a school bus (S) endorsement who are 70- to 74 years of age must submit to an annual State of New Jersey Medial Examination. Bus drivers with a school bus (S) endorsement who are 75 years of age or older must submit to a State of New Jersey medical examination every 6 months.
  6. A person who drives a vehicle registered with a taxi, livery, medical transport or no-fee plate is exempt from the CDL requirement. These drivers are, however, required to undergo a criminal background check if they have regular pupil contact.