The primary question posed in this study is whether premium or regular gasoline is more cost effective for the Montgomery County Public School (MCPS) bus fleet, as a whole, when miles-per-gallon, cost-per-gallon, and repair costs associated with mileage are considered. On average, both miles-per-gallon, and repair costs-per-mile favor premium gasoline by a slight margin. However, cost-per-mile significantly favors the use of regular gasoline with the net result that the total cost-per-mile is approximately one-half cent less for regular gasoline. Based on a bus fleet operation of 7,973,488 miles annually, the potential savings for MCPS by the use of regular gasoline are $39,070 or approximately 2.6 percent of the $1,475,200 budgeted in Fiscal Year 1979 for bus operation and maintenance. Study results confirm the decision a year ago to convert the school bus fleet to regular gasoline. If the difference in cost between regular and premium gasoline continues to increase, the projected savings from that decision will also increase. Secondary study results suggest the need for continuing to monitor the scope of bus operations, to enable effective management decisions concerning this matter. (Author/KM)