OKEECHOBEE- Diesel fuel has become one of the most expensive line items school districts didn't plan for this year.

The national average price of diesel reached $6.53 a gallon on September 22, a record according to AAA. That price is up nearly 77% from the $3.69 average a year earlier, with the U.S. conflict with Iran disrupting the flow of fuel worldwide.

Diesel powers freight, heavy industry, agriculture and construction, so higher prices tend to show up first in business costs and then, over time, in consumer prices. Diesel costs also play a huge role in the transportation budgets for school districts. About 90% of the nation's 480,000 school buses run on diesel, and budgets are usually locked in long before the fuel is bought.

In Okeechobee County, the school district is now searching its budget for savings to cover the gap.

"The district is adjusting to the recent increase in diesel fuel prices," said Dr. Joseph Stanley, assistant superintendent for Okeechobee County Schools. "Our transportation operations consume approximately 560 gallons of diesel each day, and based on current projections, higher fuel prices are expected to add approximately $100,000 in unbudgeted costs."

Dr. Stanley said an unexpected expense of that size forces the district to take a hard look at its overall budget and find spending that can be cut or put off. He says the district will keep weighing its options while trying to limit any effect on students and essential services.

In Glades County, Superintendent Dr. Alice Beth Barfield said grant-funded electric buses have helped soften the blow from the spike in diesel prices.

The Glades County School District received 13 new electric buses thanks to a $5.1 million grant in early 2025. Dr. Barfield said the grant covered both the buses and the charging infrastructure, letting the rural district add electric buses without placing the cost on local taxpayers. Every route run with an electric bus, she noted, is a route where the district isn't buying diesel, and that benefit grows as prices climb.

One of the new electric buses in 2025 next to Moore Haven Middle- High School. [Photo courtesy the Moore Agency]

"As educators, we have to remember that every dollar we can save outside the classroom is a dollar we can protect for inside the classroom," Dr. Barfield said. "When grant funding allows us to reduce transportation costs without sacrificing safety or service, that ultimately benefits our students."

The Glades County School District's finance and transportation departments monitor fuel spending closely and adjust as needed, but the electric buses give the district another tool to limit its exposure.

"In a rural district, transportation isn't optional. Our students may travel significant distances every day simply to access their education," Dr. Barfield said. "That means transportation decisions are educational decisions, and we have a responsibility to find the safest, most efficient and most financially responsible way to get our students to school."

Dr. Barfield said her district has been pleased with how the buses perform day to day, and called the project a strong example of why grant opportunities matter so much to rural districts.

Electric buses cost far more upfront than diesel models, which is why grant funding has been the deciding factor for many districts that have switched. For districts still running all-diesel fleets, relief depends largely on where fuel prices go next, and with supply still tight, few are counting on a quick drop.