Oregon Revised Statutes Education and Culture § 332.427

(1) A district school board may enter into contracts whereby motor vehicles operated by, or under lease with, the district for transportation of school children may be leased or otherwise made available to qualified persons or agencies, public or private, or may use such motor vehicles, as agreed upon by the Department of Transportation, for public transportation purposes, subject to such terms and conditions as the district school board considers consistent with district use of such vehicles.

(2) Transportation provided pursuant to subsection (1) of this section shall only serve points along a route where the transportation provided will not be in competition with any passenger carrier operated under provisions of ORS chapter 825 or with any mass transit district organized under ORS chapter 267.

(3) Motor vehicles used for public transportation purposes pursuant to this section shall not be subject to ORS chapter 825.

(4) Only those vehicles operated by the district that comply with rules adopted by the State Board of Education under ORS 820.100 and 820.120, relating to standards of vehicle construction and equipment may be used for public transportation purposes. Drivers of the vehicles shall be at least 18 years of age and shall comply with rules adopted by the State Board of Education under ORS 820.110, relating to qualifications of school bus drivers.

(5) Nothing in this section shall limit the use of school buses for the transportation of nonstudents to or from school activities whether a fee is charged or not.