The move will see the responsibility of making sure children and young people get from home to the classroom and back safely changing from education and social work to the transport planning unit run by development services.
At the moment the scheme which involves over 4000 youngsters at primary and secondary school costs £3.66 million a year.
The education executive was told the new integrated Children’s Services Transport Policy will be more efficient.
In his report director of Children’s Services Robert Naylor, said: “This move will ensure all Children’s Services transport provision is co-ordinated and managed by the development services transport planning unit which will ensure consistency of approach and a more efficient process of delivery.”
As well as school runs, the council provides help with transport for looked after children and young people and their families using taxis and volunteer drivers.
An independent review of transport arrangements across social work and education in 2014 recommended all council transport should be organised by one service.
Mr Naylor said: “The new policy and the proposal to transfer the overall management of this, including the management of pupil transport assistants and volunteer drivers, to the development services transport unit will ensure full compliance with this recommendation.
“Greater efficiency should also be achieved with all transport functions managed by one service.”