Kansas University and the city of Lawrence have both signed five-year contracts with MV Transportation to service their coordinated transit system, the university announced Wednesday.

MV has provided bussing for Lawrence’s transit system for the past 13 years and KU’s for about six and a half years. The new agreement, which includes operation of KU’s Park and Ride, SafeRide and SafeBus programs as well as special events transportation, will extend the relationship between KU and MV through December 2018.

The estimated total cost per year would go down from $2.62 million in the first year, to $2.54 in the second, and then eventually work its way up to $2.66 million for 2018.

About two-thirds of those costs are covered by KU student fees, with the other third coming from parking fees, Kaiser said.

The city announced details of its own contract with MV earlier this week. The city is set to pay $3.57 million to MV Transportation in 2014, which is up less than 1 percent compared to 2013 totals, said Bob Nugent, the city’s public transit administrator. City payments to MV are projected to decline slightly in 2015 and 2016, Nugent said.

Although the city and KU coordinate their transit system, they contract separately with MV because of the different services and needs each requires.