Dedham families who rely on special education busing paid inflated prices for years because two transportation companies secretly agreed not to compete with each other, Massachusetts Attorney General Andrea Campbell said Monday. The town will now get a share of a $2.4 million settlement.

What happened.

Beacon Mobility Corporation, which operates through subsidiaries Van Pool Transportation LLC and NRT Bus, Inc., agreed to the settlement after the AG's office alleged it colluded with an unnamed competitor to divide up school bus contracts and raise rates in Dedham, Lynn and Saugus between 2022 and 2025.

How it played out in Dedham specifically.

According to the AG's settlement, when the town's existing busing company proposed a steep rate hike for special education routes in mid-2022, Dedham officials reached out to Beacon about taking over the contract. Beacon never followed up. An internal email cited in the settlement shows why: "Like us, they need to get their rates up as well and now all the business managers are freaking out," a Beacon employee wrote. With no competing bid on the table, Dedham had no choice but to accept the higher price.

Where the money goes.

Most of the $2.4 million will go to the three affected communities, though the AG's office hasn't said how much each town will receive. The Boston Globe reported that officials say it's unclear exactly how much the price-fixing cost each municipality individually.

Why this hits home for Dedham's budget.

Town Manager Leon I. Goodwin connected the settlement to budget pressures the town has faced since the pandemic. "In order for us to provide safe and reliable services to our residents, we must have trust in our vendors and contractors, and this includes fair and transparent pricing because profits cannot come before people," Goodwin said. "It is reassuring to see the Attorney General's Office investigate one of the root causes of this issue and hold a company liable for their illegal actions." The Dedham School Committee's 2025-2026 goals specifically flagged "unsustainable cost increases" and the need to keep the budget supporting students with diverse needs.

What Beacon has to do now.

Beyond the payment, the settlement requires Beacon to maintain an antitrust compliance program for at least five years, notify the AG's office of any transportation company acquisitions for 10 years, and cooperate with future investigations. Scott Sheridan, senior vice president for Beacon's New England operations, said the company is "pleased this matter is resolved" and wants to focus on providing transportation services. Beacon runs busing for 500 school districts nationwide.

What's still unresolved.

The AG's office says it's continuing to investigate the unnamed competitor involved in the collusion, though a spokesperson declined to identify the company.