School Transportation Regulation

By Matt Burress, matt.burress@house.mn

Tim Strom, tim.strom@house.mn

School Transportation

Regulation

July 2023

Overview

This brief outlines various Minnesota Statutes governing school-related transportation. The

regulatory structure under state law can be categorized into a few areas:

 driver qualifications such as driver licensing, background checks, and drug testing

 training for both drivers and the pupils being transported

 vehicle registration and taxation along with tax exemptions

 vehicle and equipment standards like light systems, color, and vehicle inspections

 passenger restraints for transporting students

 traffic regulations specific to pupil transportation

 loss of driving privileges due to various incidents and convictions

A number of requirements vary depending on the circumstances of the transportation. That

is, different regulations can apply depending on (1) the specific vehicle used, (2) whether the

transport is to and from school (e.g., on routes with school bus stops) or for school-related

activities (such as a sports event), and (3) whether the driver is employed specifically in order

to transport students.

The brief is divided into three parts. First, two tables summarize school-related

transportation regulations. One presents the types of vehicles used in school transportation,

which consist primarily of traditional school buses of various size and passenger automobiles.

The other table outlines some of the regulations that apply for each type of vehicle used in

the transport. Second, the bulk of the brief provides a review of regulations, beginning with

the general context and some definitions. Finally, an appendix provides a summary of

relevant legislative activity in recent years.

Contents

Vehicle Classifications Summary Table ................................................................... 2

Regulations Summary Table ................................................................................... 3

Pupil Transportation Context .................................................................................. 4

School District Powers and Duties .......................................................................... 6

Minnesota Regulations ........................................................................................... 7

Appendix: Recent Law Changes ............................................................................ 24

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Vehicle Classifications Summary Table

Vehicle Type Description

2020-21

Fleet

A Smallest of the traditional yellow school buses, built on a

cutaway front-section chassis, with a passenger entrance

door behind the front wheels and a separate left-side

driver’s door. They are further divided into type A-I

buses and type A-II buses based on vehicle weight (at

14,500 pounds).

1,518

B Moderate-sized bus built on a stripped chassis, with a

passenger door located behind the front wheels. They

are further classified into type B-I and type B-II based on

weight (at 10,000 pounds).

144

C Large conventional school bus common throughout

Minnesota. The engine is located in front of the driver

and the entrance door is behind the front wheels. It can

be built on a chassis with a hood assembly, or on a

cutaway truck chassis or truck chassis with a cab having

a gross vehicle weight greater than 21,500 pounds.

8,467

D Large, transit-style bus with an entrance door in front of

the front wheels. The engine is not located in front of

the windshield, and is often in the rear.

1,389

III A passenger automobile (including minivans, SUVs, and

station wagons), van, or in some cases a vehicle

commonly considered a school bus. It must have

(1) capacity for ten or fewer people including the driver,

and (2) a maximum weight of 10,000 pounds. See page

6,166

MFSAB A “multifunction school activity bus” (MFSAB) is a school

bus that lacks some features specific to other school

buses. See page 8.

Motor

coach

A motor coach is not a school bus and is not specifically

defined in state statute. Generally it has an entrance

door in front of the front wheels, storage capacity

underneath the passenger seating area, separated seats,

and an upgraded interior.

Images sources: https://pixabay.com; http://busspecifications.com; http://www.vanandcardesks.com;

http://online.wsj.com; http://www.coachne.com; http://www.schoolbusfleet.com; http://www.ford.com;

https://www.trackschoolbus.com

Counts include school district and contractor-owned vehicles in Minnesota. Additional data is available at:

https://public.education.mn.gov/MDEAnalytics/DataTopic.jsp?TOPICID=47

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Regulations Summary Table

Category

General Pupil

Transportation

Transportation for

Activities

Smaller Vehicle Pupil

Transportation

Vehicles Type A, B, C, or D school

bus or MFSAB

Type A-I school bus or

MFSAB

Type III vehicle

Allowed forms of

transportation

To and from school,

except in MFSAB; for

activities

For activities only (not to

and from school)

To and from school; for

activities

Driver’s employment

status

Not specified Cannot be employed

solely for pupil

transportation

Employed by school or

bus contractor

Minimum class of

driver’s license

Class C, B, or A with both

school bus and

passenger endorsements

Can be class D

(depending on vehicle

weight & capacity)

Class D with no

endorsement

Physical exam Required Required Might be required

License verification Annual Annual Annual

Background check Required Required Required

Pre-employment

drug testing

Required None Might be required

Drug and alcohol

testing

Required If employer requires Might be required by

statute or employer

Driving incident notification to employer:

By employee Required Required Required

By courts On certain offenses On certain offenses On certain offenses

Removal of driving

privileges

On certain offenses On certain offenses On certain offenses

Driver training Annual Annual Annual

Ownership of vehicle Not specified Must be owned, leased,

or contracted by school

Must be owned, leased,

or contracted by school

Vehicle inspections:

By State Patrol Annual Annual Annual

By driver (pretrip) Required for each day Required for each day Required for each day

Restriction highlights Cell phones Cell phones; stop-arm

and lighting systems

Pupil loading /

unloading; cell phones

Notes

This set of regulations applies to MFSABs that are equivalent to type A-I school buses in size and capacity.

This is required except that employees of a school are exempt if not hired solely to drive type III vehicles. Minn.

Stat. § 171.02, subd. 2b.

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Pupil Transportation Context

Types of Student Transportation

Student transportation takes place in various circumstances. Despite the variety, school

transportation can be divided into two basic types. They are (1) “to and from” transportation,

which refers to transporting students to school and back to their homes or a drop-off/pickup

location, and (2) “point-to-point” or “activities” transportation, which refers to transporting

pupils to educational activities or school-related programs. To and from transport generally

occurs on a regular schedule and fixed route, whereas point-to-point transportation is more

likely to be occasional.

Transportation is provided by school districts, private school bus contractors, nonpublic

schools, private and public preschools, and other childcare providers. Employees of these

organizations who drive may do so professionally (working full-time as a driver), have some

amount of driving as part of the person’s job role, or perform driving as an incidental or

occasional part of the job. Examples include:

 an employee of a private bus company who transports students to and from school

daily, under contract with a school district;

 a school district employee who is the primary person providing transportation to

special events, which is done as part of his or her regular job duties; and

 a teacher or coach taking a few students in a van to an event, whether regularly

throughout the school year or on occasion.

Jurisdiction and Application

The state of Minnesota has primary jurisdiction over school bus equipment, safety, operations,

inspections, school district auditing, and driver licensing. The structure of state regulations

applies when a school (directly or through a bus contractor) provides transportation to its

students, including when transporting pupils to and from home as well as for activities such as

sports and academic trips. State statutes governing pupil transportation do not typically draw a

distinction among public schools, school districts, charter schools, and traditional nonpublic

schools (e.g., private parochial schools). (Unless otherwise noted, the laws apply to all types of

schools.)

Multiple state agencies are involved in pupil transportation policy and enforcement.

 The Department of Public Safety is designated in statute as having primary

responsibility over school transportation safety, which is through an Office of Pupil

Transportation Safety in the State Patrol. Minn. Stat. § 169.435.

 The Department of Education administers transportation-related state funding to

school districts and is involved in various school district transportation operations

and policy matters. For more information on the fiscal aspects of pupil

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transportation, see the Minnesota House Research Department report Minnesota

School Finance: A Guide for Legislators.

 Driver licensing is handled by Driver and Vehicle Services in the Department of Public

Safety, which oversees any required knowledge and road tests, and establishes

conditions for physical exams and background checks.

The state’s role in school transportation oversight preempts policies set by school districts, but

the districts can establish additional requirements, procedures, and administrative details (such

as in setting busing routes).

There are federal regulations as well, which mainly apply to vehicle manufacturers (establishing

various vehicle design and engineering standards) and commercial driver’s license holders

(covering things like limits on the number of traffic tickets a bus driver can get before a

commercial driver’s license is suspended, and drug and alcohol testing for such drivers).

Restricted Use of School Buses

State statutes limit use of traditional yellow school buses only to pupil transportation, although

there are exceptions for some situations. In particular, when a vehicle was originally

manufactured as a school bus but is not actually used as a school bus or Head Start bus, it

cannot:

 bear a “school bus” sign;

 be painted yellow; or

 be equipped with school bus-related equipment (which presumably includes the

stop-arm and lighting systems). Minn. Stat. §§ 169.441, subd. 3; 169.448, subd. 1.

There are exceptions to the equipment and appearance limitations when (1) the vehicle is

owned by or under contract to a school district and operated as a charter or leased bus; (2) the

bus is used under contract with a tax-exempt entity for a special event and in conformance with

motor carrier regulations; (3) the bus is operated by a day activity center and a specified set of

conditions are met; or (4) the bus is operated by a licensed childcare provider and some

additional conditions are met. Minn. Stat. §§ 169.011, subd. 71 (a); 169.4475; 169.448, subd. 1.

Buses used by childcare providers under the exception must:

 have the stop-arm removed;

 have the lighting systems deactivated;

 be identified as a “childcare bus” on the front and rear; and

 have the name, address, and phone number of the provider on the vehicle door.

Minn. Stat. § 169.448, subd. 1.

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There also are driver-related requirements for operation of childcare provider buses (which

match several prerequisites for some drivers of type A-I school buses).

School District Powers and Duties

Mandatory Transportation

Minnesota law requires school districts to transport any student to and from school if the

student lives more than two miles from the school. Minn. Stat. § 123B.88, subd. 1. A school

district is also required to provide equal transportation for nonpublic school children residing in

its district boundaries. However, there are exceptions, such as when a student’s eligibility to

ride has been revoked.

A charter school is subject to the same two-mile mandate as school districts for its students

who live within the borders of the school district where the charter school is geographically

located. A charter school may choose to (1) arrange for transportation itself, or (2) require the

school district where it is geographically located to provide this service and forgo related

funding. Minn. Stat. § 124E.15.

State law requires school districts to provide additional transportation services under other

circumstances, including:

 to a student with a disability when included in the student’s individualized education

program (IEP);

 to a nonresident pupil who attends a school in the district through open enrollment,

providing transportation from the serving district’s border to the school being

attended; and

 to a resident pupil attending a charter school that is located within the district, if the

charter school has declined to provide transportation services to its students.

Districts have discretion to provide transportation services beyond the minimum set in state

statutes, such as within the two-mile radius or for extracurricular activities. A school district can

provide pupil transportation services by operating its own fleet of school buses, contracting

with a private vendor, or using a combination of district-operated and contracted services.

The driver regulations are that: the bus operator is not solely hired to provide transportation; the transport is not

“to and from” residences and the school or childcare center; the employer (e.g., childcare center or bus transport

contractor) has a program for operator training and certification; the driver has a physical examination; the driver

possesses a medical examiner’s certificate or other proof of medical qualification; there is a background

investigation; the driver’s license is annually verified; the driver has not been recently convicted of various

automotive and DWI-related offenses; and the driver is trained on use of child safety restraints.

Minn. Stat. §§

169.448, subd. 1; 171.02, subd. 2a.

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School Bus Routes and Stops

Minnesota Statutes grant substantial authority to the board of a school district or charter

school to oversee the logistics of pupil transportation. The statute states:

“When transportation is provided, scheduling of routes, establishment of the

location of bus stops, manner and method of transportation, control and

discipline of school children, the determination of fees, and any other matter

relating thereto must be within the sole discretion, control, and management of

the board.” Minn. Stat. § 123B.88, subd. 1.

This is the general authority schools rely on when setting bus schedules and locating school bus

stops. However, the authority is further constrained by both state statute and administrative

rule to ensure that school buses do not stop to load or unload students in locations that could

endanger students. For instance, school buses must load and unload on the right side of the

road, and there is a general prohibition on loading or unloading students in a right-turn lane

unless specific conditions are met.

Minn. Stat. § 169.443, subd. 2; Minn. Rules parts 7470.1000,

7470.1100.

Minnesota Regulations

This section reviews a variety of safety regulations governing school-related transportation,

focusing on relevant definitions, driver qualification requirements, training, equipment

standards, and special traffic regulations. The requirements and regulations for Head Start bus

drivers and buses operated by childcare providers are generally the same or similar, but some

differences are not discussed.

Definitions and Classifications

School Buses

State law categorizes school buses as type A, B, C, or D, and it defines two additional special

classifications of vehicles used to transport students: multifunction school activity buses and

type III vehicles. Minn. Stat. § 169.011, subd. 71. The type A to D buses comprise what is

traditionally considered a school bus; key characteristics include a yellow color, markings

indicating that it is a school bus, special flashing lights, and a stop sign located on an arm that

swings out from the driver’s side of the bus. The difference in types rests mainly on the bus

design (such as chassis and door location) and vehicle weight.

Type A school buses are further categorized into type A-I buses, which can weigh up to 14,500

pounds, and type A-II buses, which weigh over 14,500 pounds and up to 21,500 pounds.

Following a 2017 law change, the conditions for using a right-turn lane are that (1) the bus stop is designated by

the district’s transportation safety director, (2) the driver stops at the extreme right side of the turn lane, and (3)

the driver uses warning amber lights, red lights, and stop-arm system, unless directed otherwise by the school

board. A corresponding administrative change to conform with the revised statute is impending.

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Multifunction School Activity Buses

A multifunction school activity bus (MFSAB) is physically the same as a type A, B, C, or D school

bus, except that the vehicle:

 does not have a stop-arm that extends from the side;

 does not have flashing lights for loading and unloading students; and

 cannot be painted the standard school bus yellow.

Further, an MFSAB cannot be used to transport students to and from home. 49 C.F.R. Part 571;

Minn. Stat. §§ 169.011, subd. 71; 169.4501, subd. 1.

Type III Vehicles

Type III vehicles are distinct from the traditional yellow school bus. The classification is

essentially for vehicles that are not commonly viewed as school buses but nonetheless are used

to transport students in a school-related context. A type III vehicle is a passenger car (including

a minivan, SUV, or station wagon), van, or in some cases a vehicle that matches the design of a

small school bus. The difference between a family automobile and a type III vehicle is not the

vehicle itself but instead lies in its use: type III vehicles are used by schools for pupil

transportation.

A type III vehicle must:

 be built to carry no more than ten people, including the driver;

 weigh 10,000 pounds or less; and

 either (1) be model year 2007 or newer, or (2) meet federal occupant safety

standards that apply to school buses. Minn. Stat. §§ 169.011, subd. 71; 169.454,

subd. 2.

While typically a passenger automobile, the type III vehicle classification includes a vehicle

normally recognized as a school bus if it meets the capacity and weight limits. (It cannot have a

stop-arm or eight-light warning system and cannot be painted school bus yellow. Minn. Stat. §

169.454, subd. 3.) Note that because of seating capacity, the definition of a type III vehicle

excludes 15-passenger vans.

Arguably, type III vehicles are not included within the usual meaning of “school bus” in some

parts of Minnesota Statutes.

Due to their distinct status, type III vehicles are not included in references to a “school bus” within this

information brief unless they are specifically identified.

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Other Types of Vehicles

A motor coach is not specifically defined in statute. It is typically a large bus that has storage

facilities, a restroom, and passenger seating amenities, such as is used by Jefferson Lines,

Greyhound, and private tour bus providers.

Motor coaches are operated under a regulatory framework of state and federal motor carrier

laws that are distinct from the requirements that govern school bus operation. The laws cover

many of the same general topics that are addressed in pupil transportation regulations (like

driver’s licenses, qualifications, offenses that cause driver disqualification, and vehicle

inspections), but they apply to carriers that transport passengers.

A school district is explicitly prohibited from acquiring, owning, or operating a motor coach.

Minn. Stat. § 169.448, subd. 2. The school district can, however, contract with a carrier to

obtain some transportation services on a motor coach. (This option is more likely to be used for

longer trips.)

A nonpublic school is prohibited from operating a motor coach for school activities unless the

school meets the regulatory requirements for motor carriers. For instance, the school must be

registered with the Minnesota Department of Transportation as a motor carrier of passengers,

and the vehicle operator must have a commercial driver’s license with a passenger

endorsement (discussed in the next section).

Although not explicitly defined in statute, a commercial bus includes a vehicle originally

manufactured as a school bus but used for activities besides pupil transportation. While some

exceptions apply, such vehicles are generally registered as buses and bear a “BY” plate. Minn.

Stat. § 168.013, subd. 1f.

Types of Driver’s Licenses

Driver’s licenses are divided into four classes that establish a range of vehicles the license

holder can legally operate. Class D, which is a standard driver’s license, is the most restrictive.

Commercial driver’s licenses consist of classes C, B, and A (each of which reflect expanding

driving privileges, so that class A is the least restrictive).

Licenses can also have endorsements, which are added privileges for vehicle operation in

special circumstances (such as to operate a motorcycle). Each endorsement works as an

optional add-on to enable the additional privileges. Some endorsements are only available for

certain classes of license. For pupil transportation the two relevant endorsements are a school

bus endorsement and a passenger endorsement.

For more information on regulations, see the Minnesota Department of Transportation handbook Minnesota

Commercial Truck and Passenger Regulations, available at:

https://www.dot.state.mn.us/cvo/mntruckbook/index.html.

For more information on endorsements, see: https://dps.mn.gov/divisions/dvs/Pages/commercial-drivers-

license-endorsements-and-restrictions.aspx.

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Driver Qualifications

Driver’s License

In general, to transport students a driver needs a commercial driver’s license (CDL) with a

school bus endorsement as well as a passenger endorsement. This requirement applies to all

type B, C, or D school buses and corresponding MFSABs (i.e., within the same weight and

seating capacity limits), as well as to drivers of a type A school bus with some exceptions. Minn.

Stat. §§ 171.02, subd. 2; 171.321, subd. 1.

However, a commercial driver’s license with the relevant endorsements is not required in some

scenarios. Noncommercial drivers can operate:

 a type III vehicle; and

 some type A-I school buses or corresponding MFSABs, depending on the capacity of

the bus

and if the transportation is for activities (not “to and from” transportation

such as pickup and drop-off at bus stops).

The two situations are separate, but in both cases the vehicles can be driven with just a class D

license if various conditions are met. (Applicable regulations are discussed throughout this

brief; for a summary listing see Regulations for Noncommercial Drivers, starting on page 21.)

Driver’s License Verification

School districts and bus contractors must annually verify that each bus driver who “regularly

transports students” has a valid license. This includes a driver of a type III vehicle or

multifunction school activity bus. Minn. Stat. § 171.321, subd. 5. Under separate provisions,

drivers of type A-I school buses and type III vehicles are subject to an annual license

verification. Minn. Stat. § 171.02, subds. 2a (g), 2b (g).

Age

The minimum age for a school bus driver is 18 (or 21 if providing interstate transportation).

Minn. Stat. § 171.322; 49 C.F.R. § 391.11.

Physical Exam

A physical examination is required for a school bus endorsement or operating a type A-I school

bus without an endorsement. It is also required of a driver whose only duty is to transport

students in a type III vehicle. The exam is required every two years. Minn. Stat. § 171.321, subd. 2.

Background Checks

The Department of Public Safety is required to conduct a background check of applicants for a

new or renewed commercial license with a school bus endorsement. The check consists of the

Among the conditions, the bus must have a gross vehicle weight rating of no more than 14,500 pounds and be

designed to transport no more than 15 passengers. Minn. Stat. § 171.02, subd. 2a (p) and (q).

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person’s criminal history and driving record in the state, and must include a national criminal

history check if the person has resided in Minnesota for less than five years. The department is

authorized to conduct additional checks while the person is licensed. Minn. Stat. § 171.321,

subd. 3.

A background check is also required for drivers of a type A-I school bus (or corresponding

MFSAB) without a school bus endorsement, as well as for drivers of a type III vehicle. The

regulations governing the check depend on the type of employee (the check might have already

been done for teacher licensure or school district employment). Minn. Stat. § 171.02, subds. 2a

(e), 2b (d).

For driver’s license holders with a school bus endorsement, the background check is repeated

as part of license renewal (normally every four years).

Drug and Alcohol Testing

Under federal law, drivers with a commercial driver’s license are subject to testing for drugs

and alcohol. Employers of licensed commercial drivers are required to perform pre-

employment testing, random testing, reasonable suspicion testing, return to duty testing,

follow-up testing, and post-accident testing. While pre-employment testing is for controlled

substances, the other types of testing are for both alcohol and controlled substances. 49 C.F.R.

Part 382.

District or transportation contractor policies may include drug testing, but it is not required

under state law for some noncommercial type A-I school bus drivers (who are operating the bus

under the noncommercial driver provision; see Regulations for Noncommercial Drivers, starting

on page 21). An applicant for a job that has driving type III vehicles as its sole purpose is

required to undergo pre-employment drug testing, and employees must comply with the

employer’s drug and alcohol testing program. Minn. Stat. §§ 171.02, subd. 2b; 181.951, subds.

2, 4, 5.

Training

Driver Training for School Buses

Minnesota Statutes identify a number of basic areas in which a school bus driver (including a

type A-I driver operating without a commercial driver’s license) must have training or

experience in order to be qualified to transport students. Knowledge requirements are set out

in general terms, and consist of competency in:

 safe operation of the school bus;

 understanding student behavior;

 encouraging orderly behavior and handling student misconduct;

 knowing relevant laws, rules of the road, and local school bus safety policies;

 handling emergency situations; and

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 safely loading and unloading students. Minn. Stat. §§ 171.02, subd. 2a (d); 171.321,

subd. 4.

In addition, a person driving a type A-I school bus without a commercial driver’s license must

receive training in the use of child restraints following federal guidance, if restraints are used in

the vehicle. Minn. Stat. § 171.02, subd. 2a (l).

Driver Training for Type III Vehicles

The training requirements listed above apply to type III drivers, who must in addition receive

training in:

 performing pretrip vehicle inspections;

 proper use of seat belts and child restraints;

 specific restrictions and requirements for safe loading and unloading of students;

and

 complying with employer notification of certain convictions. Minn. Stat. § 171.02,

subd. 2b (c).

Frequency

Schools and busing contractors must provide training annually to school bus drivers. Minn. Stat.

§ 171.321, subd. 4.

Assessment

An assessment of knowledge is required for the initial training, after which there is an annual

requirement of either: (1) at least eight hours of training on school bus transportation; or (2)

assessment of skills and knowledge. Minn. Stat. § 171.321, subd. 4.

Student Training

State law requires public school students enrolled in kindergarten through grade 10, as well as

some other types of students, to receive training in school bus safety. The Minnesota

Department of Education is required to develop a model training program. The training must

cover several concepts, including:

 school bus transportation as a privilege (not a right);

 district policies for school bus safety;

 conduct on school buses;

 school bus danger zones;

 procedures for boarding and departing the bus;

 procedures for crossing the street; and

 school bus evacuation.

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Students riding in a type A-I school bus or type III vehicle must receive the training as well. A

school bus evacuation drill must also be conducted annually. Minn. Stat. § 123B.90, subd. 2.

State and District Policies

Following a statutory requirement, the Department of Public Safety has developed a model

School Bus Training Manual.

The manual serves as a model and basic set of training and

evaluation requirements. The manual is based upon knowledge areas listed above,

encompassing driving skills, student behavior, emergency management, vehicle inspection,

laws and regulations, and special needs. Schools can add additional district-specific policies and

procedures to their training.

(A handful of schools also have assessment exceptions, which

must be authorized by the department.)

In addition to meeting statutory training requirements, districts must develop a comprehensive

policy on transportation safety. The statute identifies in broad terms the key areas that the

policy must cover, including operating rules and procedures, a system for reporting accidents,

discipline of passengers, and rules governing type III vehicles. Minn. Stat. § 123B.91.

Vehicle Registration and Taxes

The following highlights key registration and vehicle taxation provisions in state law (although

some fees and local option taxes are not discussed).

Registration

School buses along with type III vehicles must be registered and bear a license plate. Most

school buses and type III vehicles can be registered as tax-exempt, which carries a $5

administrative fee and a $10 plate fee. The plate fee only applies the first time the vehicle is

registered and when the plates are replaced. Tax-exempt vehicle registration is biennial. Minn.

Stat. § 168.012, subd. 1c.

Registration Tax

In addition to the fees, a registration tax might be due on a school bus depending on the

circumstances.

 When registered as tax-exempt, no registration tax is due for school buses owned by

schools and used only for transporting pupils to and from school. Minn. Stat. §

168.012, subd. 1 (a)(2).

 The registration tax is $25 for school buses used exclusively in pupil transportation

by contract with a school district (i.e., being registered by a bus contractor) or in

It is available at: https://dps.mn.gov/divisions/msp/commercial-vehicles/Pages/school-bus-safety.aspx.

Additional resources from the Minnesota Department of Education are available at:

https://education.mn.gov/MDE/dse/schfin/Trans/Safe/index.htm.

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transportation for nonprofit educational institutions.

Minn. Stat. § 168.013, subd.

18.

For other buses (for instance, commercial buses not used in pupil transportation) the

registration tax varies with vehicle age and weight. The tax increases with higher weights but is

on a reduced tax schedule beginning with vehicles that are four years old. Minn. Stat. §

168.013, subd. 1f.

Local Option Wheelage Taxes

Counties and cities each have local authority for wheelage taxes. Minn. Stat. §§ 163.051;

426.05. Nearly two-thirds of counties throughout the state impose a wheelage tax. A vehicle

that is not subject to the registration tax is also exempt from county wheelage taxes, which

includes some school buses (as outlined above). Counties can set a rate of up to $20 per year.

Motor Vehicle Sales Tax

The motor vehicle sales tax, or MVST, is due on all school bus and type III vehicle purchases.

Minn. Stat. §§ 297B.01, subd. 11; 297B.02. MVST is a 6.875 percent tax applied to the sale of

new and used motor vehicles based on the purchase price.

It is imposed instead of the state

general sales tax.

Vehicle Standards

General Design Standards

There are detailed requirements surrounding design and construction of school buses, which

primarily arise from three sources. First, federal regulations establish safety standards for bus

manufacturers, covering bus design features such as rollover and crash protection, bus body

strength, and the stop-arm system. 49 C.F.R. Part 571. Second, Minnesota statutes incorporate

specifications developed by the National Congress on School Transportation, a

nongovernmental national standards organization of education and motor safety officials.

Finally, state statutes add various Minnesota-specific adjustments to the incorporated national

specifications. Minn. Stat. §§ 169.4501 to 169.4504.

Among numerous requirements, school buses must be equipped with a warning and safety

system that consists of:

 a stop-signal arm (i.e., a mounted stop sign that rotates out on the driver side of the

bus);

 prewarning flashing amber lights;

 flashing red signals; and

School buses can also be used for nonschool-related special event transportation involving a tax-exempt entity.

Minn. Stat. § 169.4475.

The 2023 Legislature raised the MVST rate, effective July 1, 2023. Laws 2023, ch. 68, art. 3, § 30.

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 for any bus manufactured after January 1, 2013, a school crossing arm.

A school bus or Head Start bus can also have a strobe light. Minn. Stat. § 169.442.

Type III Vehicle Equipment

There are separate equipment regulations for type III vehicles, which include:

 vehicle manufacture as model year 2007 or later, unless the vehicle is a bus that

meets a federal safety standard covering occupant protection

;

 a fire extinguisher;

 a first aid kit and a bodily fluids cleanup kit;

 not having exterior vehicle identification as a “school bus”;

 not being painted national school bus yellow; and

 not having a stop-arm or eight-light warning system.

Properly registered and insured type III vehicles that are used “in a nonscheduled situation” are

exempt from the equipment requirements listed above if the vehicle is operated by a licensed

driver who is an employee or agent of the school district. Minn. Stat. § 169.454.

Inspections

State law requires annual inspection of all school buses by the State Patrol, and allows the State

Patrol to perform random inspections at other times. An inspection certificate must be

displayed on the vehicle. Operating a school bus without displaying a valid inspection certificate

from the State Patrol is a misdemeanor. The inspection requirement applies to all school buses,

including type A-I buses, and to type III vehicles. Minn. Stat. §§ 169.451; 171.02, subds. 2a (n),

2b (o).

Passenger Restraints

General Requirements

There are two basic categories of passenger restraints: seat belts and child restraint systems

(e.g., an infant car carrier, safety seat, convertible seat, or booster seat). With exceptions, use

of a seat belt or child restraint system is mandated for all ages in:

 passenger vehicles (such as cars, minivans, and pickup trucks);

 type III vehicles;

 some smaller school buses; and

 commercial motor vehicles. Minn. Stat. §§ 169.685; 169.686, subd. 1.

There are separate statutes on seat belts and on child restraint systems for younger children,

and they work in conjunction with each other. In general, children who are both under age

The federal safety standard regards “compartmentalization,” which is a design requirement that concerns

passenger seating in school buses to protect occupants in the event of a vehicle crash. 49 C.F.R. § 571.222.

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eight and under four feet nine inches tall, and are traveling in a vehicle equipped with seat

belts, must be secured into a child restraint. Once either the age or height threshold is reached,

the passenger can then be transported with just a seat belt. There are various exceptions from

the mandate to use child restraints. Minn. Stat. § 169.685, subds. 5, 6.

Restraints in Pupil Transportation

In transporting pupils, child restraints for younger passengers are mandated on:

 all type III vehicles (both passenger automobiles and type III vehicles that are

manufactured as buses); and

 type A-I school buses that have a gross vehicle weight rating (GVWR) of 10,000

pounds or less.

A federal safety standard requires all school buses with a maximum gross vehicle weight of less

than 10,000 pounds to be manufactured with an approved lap and shoulder belt assembly (a

three-point system) for passenger seating.

49 C.F.R. § 571.208. Passenger seat belts are not

required to be installed in larger school buses, but school bus seats can be equipped with an

approved seat belt assembly. Minn. Stat. § 169.447. Seat belts must be used by passengers

when a school bus is so equipped. Parents and guardians can opt their children out of this

provision (as can students age 18 or older) by notifying the school district in writing. Minn. Stat.

§ 169.447, subd. 2a.

The following table outlines the basic passenger restraint requirements for pupil

transportation.

Summary of Passenger Restraint Requirements

Vehicle Age

Height

0 to 4’ 8” 4’ 9” or Taller

Type III

0 to 7 Child restraint Seat belt

8 or older Seat belt Seat belt

Small school bus (10,000

lbs. GVWR or less)

0 to 7 Child restraint Seat belt

8 or older Seat belt

Seat belt

School bus (over 10,000

lbs. GVWR)

0 to 7

None

8 or older

None

Notes

Some buses might not be equipped with seat belts (if manufactured prior to the change in

federal regulations).

Note that the federal requirement only applies to type A-I school buses weighing less than 10,000 pounds, while

under Minnesota law a type A-I school bus can weigh up to 14,500 pounds. Thus, seat belts are not mandated on

type A-I buses weighing between 10,000 and 14,500 pounds.

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Vehicle Age

Height

0 to 4’ 8” 4’ 9” or Taller

Seat belt use is required on a school bus if it is so equipped, with parental opt-out.

There are separate requirements for wheelchair securement.

Minn. Stat. §§ 169.447; 169.685; 169.686.

Other Restraint Provisions

All school buses must be equipped with a seat belt for the driver, and the bus driver is required

to wear the seat belt. Minn. Stat. § 169.447, subd. 2.

Minnesota Statutes contain some liability protections related to seat belts. In a personal injury

or wrongful death lawsuit, a school district or school bus contractor (including any agent such

as the driver or a volunteer) cannot be held liable (1) solely based on failure of an injured

passenger to use a seat belt, or (2) for failure to assist a passenger in seat belt fastening or

adjustment. The liability protections only apply if the school district or bus contractor has

maintained all equipment in good working order and has complied with relevant laws and

school district policies. Minn. Stat. § 169.447, subd. 2a.

Operating Regulations

Inspections

School bus drivers must perform vehicle inspections that cover a range of vehicle conditions. In

each day of pupil transportation, the driver must perform (1) a pre-trip inspection prior to

operating the vehicle that includes evaluation of features in the interior, engine bay

mechanicals, and equipment; (2) a vehicle performance check; and (3) a post-trip inspection

that includes checking for students and personal property.

Use of Electronic Devices

State law prohibits school bus drivers from making cell phone calls for personal use when the

vehicle is part of traffic, including through a hands-free feature. The cell phone ban also applies

to type III vehicle drivers. Minn. Stat. § 169.443, subd. 9. (There is a separate prohibition on

handheld cell phone use as well as texting and electronic messaging; it applies to all drivers.

Minn. Stat. § 169.475.)

Operating Rules for School Bus Drivers

Drivers of a school bus must comply with a variety of regulations that are specific to pupil

transportation. They include stopping at railroad crossings, requirements for use of the stop-

arm and lighting system, methods for proper loading and unloading of students, and times of

day to use headlights and taillights. Minn. Stat. §§ 169.28; 169.441 to 169.444; 169.48.

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Operating Rules for Type III Vehicle Drivers

Many school bus operation regulations do not apply to type III vehicles. For example, type III

vehicles do not need to stop at railroad crossings, and the vehicles do not need to use a stop-

arm or flashing red lights since they are not equipped with them. Minn. Stat. § 169.28, subd. 1.

However, there are some aspects of type III vehicle operation that carry similar requirements as

for operating a school bus.

Pre-trip inspection of a type III vehicle is required, similar to that undertaken for school buses. A

pre-trip inspection form for that day must be filled out and kept in the vehicle while it is being

driven.

The driver of a type III vehicle is also subject to passenger loading and unloading requirements.

Drivers loading or unloading passengers in a type III vehicle must (1) use the right-hand or

curbside side of the vehicle, (2) place the vehicle in park, and (3) use hazard lights while loading

and unloading. Minn. Stat. §§ 169.443, subd. 6; 169.28, subd. 1. A driver may not load or unload

passengers:

 in a traffic lane or turn lane (unless it is a parking lane);

 on the roadway shoulder;

 so that the passenger has to subsequently cross the road, unless it is otherwise

impractical; or

 in a manner that stops other traffic. Minn. Rules part 7470.1500.

Operating Rules for Other Motorists

Drivers who encounter a school bus face additional traffic regulations that are specific to school

buses. A driver must:

 stop at least 20 feet away from a stopped school bus that is displaying the stop-arm

signal and flashing red lights (which does not apply if the bus is on a separate

roadway);

 not pass on the right side of a school bus that is displaying warning flashing amber

lights;

 stop for a column of children who are crossing a street, as well as for a school safety

patrol or crossing guard who is helping children cross or stopping traffic with an

official signal; and

 yield to a school bus that is attempting to enter that motorist’s lane after loading or

unloading pupils. Minn. Stat. §§ 169.20, subd. 7; 169.21, subd. 2; 169.444.

Violation of the law on stopping for a school bus is a misdemeanor. Some violations carry a

minimum $500 fine, and the penalty increases to a gross misdemeanor in some situations.

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Driving Privileges

Notification of Driving Incidents

Upon conviction for specific disqualifying offenses, the courts must determine if the offender is

a school bus driver and if so, must within ten days give notification of the conviction to the

Department of Public Safety as well as the school district. Minn. Stat. § 631.40, subd. 1a.

Federal regulations also require a commercial driver’s license holder who is convicted of a

traffic violation (other than for parking) to notify both the state and that person’s employer,

such as a school district or busing contractor. 49 C.F.R. § 383.31. The notification must be made

within 30 days of the conviction. If a commercial driver’s license is suspended, the license

holder must notify any employer of the suspension. 49 C.F.R. § 383.33.

If a type III vehicle driver, or a type A-I driver operating without a school bus endorsement, is

convicted of various offenses (outlined below), the person must notify the employer within ten

days of the conviction. Minn. Stat. § 171.02, subds. 2a (r), 2b (k). Also, a type III vehicle or type

A-I driver (without an endorsement) must inform an employer of loss of driving privileges (such

as license suspension, cancellation, or revocation) by the day after receiving notice of the loss

of privileges. Minn. Stat. § 171.02, subds. 2a (s), 2b (l).

Removal of Privileges: School Buses

Privileges to drive a school bus can be denied or removed for a variety of offenses, and the

length of time for lost privileges depends on the type of violation.

First, following a conviction for a “disqualifying offense,” the Department of Public Safety must

permanently deny or cancel the person’s school bus endorsement (or for nonresidents, the

person’s school bus driving privileges). Minn. Stat. § 171.3215, subd. 2.

“Disqualifying offenses” include:

 any felony offense;

 some drug-related violations (if not a petty misdemeanor);

 violation of some specified prohibitions relating to minors (such as fifth-degree

criminal sexual conduct and dissemination of harmful materials to minors); and

 a DWI violation while operating a school bus. Minn. Stat. § 171.3215, subd. 1.

Other incidents that can trigger loss of bus driving privileges include the following.

 Upon conviction for a DWI violation that does not take place when operating a

school bus, the department must cancel the person’s school bus endorsement for at

least five years (if the violation occurs while operating a school bus, it is a

This section identifies ways in which school bus driving privileges can be removed under school bus regulations.

The discussion does not identify other laws leading to license suspension, cancellation, or revocation that apply

universally to all drivers.

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disqualifying offense as discussed above). Minn. Stat. § 171.3215, subd. 2. The

endorsement cannot be reinstated until the driver has successfully completed an

alcohol or controlled substance abuse treatment program.

 Conviction of a fourth moving violation within three years causes cancellation of an

endorsement for one year from the date of the last conviction. Minn. Stat. §

171.3215, subd. 2.

 The department must disqualify a person from driving a commercial motor vehicle

for various offenses identified under federal regulations. These range from using a

vehicle to commit a felony to a number of serious traffic offenses. Minn. Stat. §

171.165, subd. 1.

 The department must revoke a school bus endorsement if the driver is convicted of

some misdemeanor offenses related to school bus operation and children’s safety

around school buses. Minn. Stat. § 171.17, subd. 1 (b).

 The department can cancel a school bus endorsement if the person is convicted of a

gross misdemeanor or a series of violations that are determined to be a risk to public

safety. Minn. Stat. § 171.3216.

 A person cannot obtain a school bus endorsement if the person has a pending

charge of a felony against another. A person’s failure to notify the employer about

felony charges causes revocation of an existing endorsement. Minn. Rules part

7414.0400 subp. 3.

Removal of Privileges: Type A-I School Buses/MFSABs and Type III Vehicles

A person cannot operate a type A-I school bus or equivalent MFSAB (without a commercial

driver’s license), or a type III vehicle, if convicted of:

 any of the previously identified “disqualifying offenses” (which permanently

removes school bus and type III vehicle driving privileges);

 a DWI or implied consent violation (which removes driving privileges for five years);

 operating a school bus, type III vehicle, or Head Start bus with any evidence of

alcohol consumption in the bloodstream (which removes driving privileges for five

years); or

 some repeat violations: (1) a fourth moving violation within three years in the case

of type A-I school bus drivers; or (2) a third moving violation within three years in

the case of type III vehicle drivers (both of which remove driving privileges for one

year from the date of the last conviction). Minn. Stat. §§ 169A.31; 171.02, subds. 2a,

2b.

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Regulations for Noncommercial Drivers

This section summarizes the regulatory structure for drivers who transport pupils without

holding a commercial driver’s license and the requisite endorsements. Examples of such drivers

include teachers who drive students occasionally or school staff who have multiple duties that

include some transportation.

Type A-I School Buses/MFSABs

As previously outlined, a type A-I school bus or equivalent MFSAB can be operated without a

commercial driver’s license (and accompanying endorsements) but several conditions must be

met.

Key requirements are that (1) transportation can only be for school-related activities

and not for transport to and from student residences or pickup and drop-off points, and (2) the

driver is not employed solely to provide pupil transportation.

Other requirements are that:

 the bus is designed to carry a maximum of 15 people or less, including the driver;

 vehicle weight is no more than 14,500 pounds (the cutoff for type A-I school buses);

 the vehicle operator is an employee of the school bus owner, lessor, or contractor;

 the employer (e.g., school district or bus transport contractor) has a program for

driver training and certification;

 there is a background investigation;

 the driver undergoes a physical examination and possesses a medical examiner’s

certificate or other proof of medical qualification;

 the driver’s license is annually verified by the school district or bus contractor;

 the driver has not been recently convicted of various traffic or DWI-related offenses;

 the driver notifies their employer:

o within ten days of a conviction for any offense that prevents operating the

vehicle, and

o immediately following notice received by the driver of a loss of driving

privilege (such as license suspension, cancellation, or revocation);

 students receive school bus passenger training;

 the driver is trained on the use of child safety restraints;

 the district or school bus contractor maintains documentation that annually certifies

that the requirements are being met;

 the vehicle has a State Patrol inspection certificate; and

Part of the policy rationale behind allowing operation of type A-I school buses without a commercial driver’s

license (but subject to a narrower set of driver regulations) regards 15-passenger vans. The relatively easier

requirements for type A-I school buses likely reflects state and federal interest in shifting pupil transportation

away from 15-passenger vans and the policy goal of enhancing pupil safety.

A separate statute requires annual license verification by a school district or busing contractor of “each

employee who regularly transports students.” Minn. Stat. § 171.321, subd. 5.

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 the term “school” on the front and rear of the bus is replaced by the term

“activities.” Minn. Stat. § 171.02, subds. 2, 2a.

If the requirements listed above are not met, a commercial driver’s license with school bus and

passenger endorsements is necessary for pupil transportation using the vehicle.

Type III Vehicles

Regulations related to driving type III vehicles without a commercial license are similar to those

for type A-I school bus drivers.

The type III vehicle requirements are that:

 the vehicle operator is an employee of the school bus owner, lessor, or contractor;

 the employer (e.g., school district or bus transport contractor) has a program for

driver training and certification that covers specific statutory items;

 there is a background investigation of the driver, which must meet specific

requirements for different types of employees;

 the driver’s license is annually verified by the school district or bus contractor;

 if the person is hired solely to transport students in type III vehicles:

o the driver must undergo a physical examination,

o the driver must possesses a medical examiner’s certificate or other proof of

medical qualification,

o the employer has to have a mandatory drug testing program for job

applicants (i.e., pre-employment testing), and

o the driver must comply with a testing program (that the employer may

optionally establish);

 the driver has not been recently convicted of various traffic or DWI-related offenses;

 the driver notifies their employer:

o within ten days of a conviction for any offense that prevents operating the

vehicle, and

o immediately following notice received by the driver of a loss of driving

privilege (such as license suspension, cancellation, or revocation);

 students receive school bus passenger training;

 the district or school bus contractor maintains documentation that the requirements

are being met;

 the type III vehicle has a State Patrol inspection certificate; and

 the vehicle meets various equipment requirements (see Vehicle Standards, page 14).

Minn. Stat. §§ 169.454; 171.02, subds. 2, 2b.

The requirements are arguably designed to regulate transport of students in vehicles that would be familiar to a

typical driver (such as a minivan or SUV), in a manner that does not require a commercial driver’s license but

does set some safety requirements parallel to those faced by holders of a commercial license.

A separate statute requires annual license verification by a school district or busing contractor of “each

employee who regularly transports students.” Minn. Stat. § 171.321, subd. 5.

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A couple of the requirements, regarding a physical exam and drug and alcohol testing, do not

apply if the driver “is not employed for the sole purpose of operating a type III vehicle.” Minn.

Stat. § 171.02 subd. 2b (p). (The exceptions are particularly aimed at teachers and other school

staff who are employed mainly for other purposes but provide pupil transportation on

occasion.)

Type III Vehicle Operation by Volunteers

The regulations prohibit volunteers from driving type III vehicles for school functions or

activities. Minn. Stat. § 171.02, subd. 2b (b). Volunteers are not able to drive if the school is

involved in providing the vehicles, organizing or coordinating the transportation, or giving

compensation for transport. The regulations do not limit parents from giving rides to their

children or arranging carpools independent of the school.

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Appendix: Recent Law Changes

This section reviews the highlights of legislative changes in recent years that impact pupil

transportation, particularly with regard to type III vehicle regulations, child restraint systems,

seat belts, and school bus equipment standards.

2023

School bus inspections. Changes in 2023 modified school bus inspection requirements,

including to (1) set a maximum 30-day window to temporarily operate a school bus with a

corrected defect that remains to be reinspected; and (2) establish a gross misdemeanor penalty

for operation of a school bus that had failed an inspection, without the defect being corrected.

Laws 2023, ch. 68, art. 5, §§ 27-29.

Type III vehicle age. A legislative change eliminated the 12-year age cut-off for type III vehicles,

which was replaced with a requirement that the vehicle is either (1) from model year 2007 or

newer, or (2) manufactured in compliance with federal occupant safety standards for school

buses. Laws 2023, ch. 68, art. 5, § 30.

2022

There were no relevant law changes made in the 2022 legislative session.

2021

School bus inspections. The 2021 Legislature amended school bus inspection requirements to

codify inspection standards. The changes include basing inspections on vehicle standards

developed by a national organization for pupil transportation standards and clarifying

procedures. (This replaces administrative rules on school bus inspections that are repealed.)

Laws 2021, 1st spec. sess., ch. 5, art. 4, §§ 61-62, 151 (e).

Other changes. Other pupil transportation provisions included:

 permitting some type III vehicles to continue in operation beyond the 12-year

vehicle age cut-off, temporarily until August 31, 2022;

 directing the Department of Public Safety to ensure availability of adequate time

slots for school bus endorsement knowledge tests, until December 31, 2021; and

 making a onetime $14.8 million General Fund appropriation over the FY 2022-23

biennium for grants to install school bus stop-arm camera systems, with a legislative

report on grants and violations due by December 15, 2023. Laws 2021, 1st spec.

sess., ch. 5, art. 1, § 4, subd. 5; art. 4, §§ 131, 135, 138.

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2020

2020 legislation made a handful of changes that included:

 allowing new or used school buses being sold by a school bus dealer to be operated

on public roads under an interim inspection certificate issued by the dealer;

 directing type A-I vehicle operators to provide notice to employers following

conviction for various offenses that would disqualify the person from driving the

vehicle, as well as following loss of driving privileges; and

 requiring type A-I school bus and type III vehicle operators to possess proof of

medical qualification to operate the vehicle. Laws 2020, ch. 100, §§ 8-10, 12-13.

2019

School bus lighting and signs. The 2019 Legislature temporarily authorized school buses to be

equipped with supplemental lighting systems (designed to provide additional visibility to the

bus when it is loading and unloading students.) The additional lights activate in conjunction

with existing prewarning and stoplighting systems. In addition, the change broadened the

options for signage that must be placed on the rear of a school bus, so that a changeable

electronic message sign can be used instead of static lettering (which outlines no passing the

bus when red lights are flashing). Approved messages display when the lighting systems are in

use, and text can differ depending on whether the bus is preparing to stop or is stopped.

Installation of the supplemental lighting system is at the discretion of school districts and bus

contractors. Each system is subject to approval by the Department of Public Safety, which must

also evaluate relevant research and consult with stakeholders. The authority runs from July 1,

2019, to August 1, 2022; buses outfitted with an authorized supplemental lighting system

during that time can remain equipped with it on an ongoing basis. Laws 2019, 1st spec. sess.,

ch. 3, art. 3, §§ 47, 51-52.

Other changes. Other statutory modifications included:

 directing motorists to yield to a school bus attempting to enter a lane after loading

or unloading students;

 eliminating a certificate of inspection requirement for child care provider buses;

 permitting the rub rail (along the beltline) on a school bus to be black or yellow,

instead of just black; and

 revising technical standards for strobe lights. Laws 2019, 1st spec. sess., ch. 3, art. 3,

§§ 40, 49, 50, 58.

Minnesota House Research Department provides nonpartisan legislative, legal, and

information services to the Minnesota House of Representatives. This document can

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