[Code of Federal Regulations]
[Title 49, Volume 7]
[Revised as of October 1, 2006]
From the U.S. Government Printing Office via GPO Access
[CITE: 49CFR605.11]

[Page 23-24]
 
                        TITLE 49--TRANSPORTATION
 
CHAPTER VI--FEDERAL TRANSIT ADMINISTRATION, DEPARTMENT OF TRANSPORTATION
 
PART 605_SCHOOL BUS OPERATIONS--Table of Contents
 
                     Subpart B_School Bus Agreements
 
Sec.  605.11  Exemptions.

    A grantee or applicant may not engage in school bus operations in 
competition with private school bus operators unless it demonstrates to 
the satisfaction of the Administrator as follows:
    (a) That it operates a school system in its urban area and also 
operates a separate and exclusive school bus program for that school 
system; or
    (b) That private school bus operators in the urban area are unable 
to provide adequate transportation, at a reasonable rate, and in 
conformance with applicable safety standards; or
    (c) That it is a state or local public body or agency thereof (or a 
direct predecessor in interest which has acquired the function of so 
transporting schoolchildren and personnel along with facilities to be 
used therefor) who was so engaged in school bus operations:
    (1) In the case of a grant involving the purchase of buses--anytime 
during the 12-month period immediately prior to August 13, 1973.
    (2) In the case of a grant for construction or operating of 
facilities and equipment made pursuant to the FT Act as amended (49 
U.S.C. 1601 et seq.), anytime during the 12-month period

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immediately prior to November 26, 1974.