(1) The governing body of each county shall create a county school fund.

(2) When a county governing body transfers federal forest reserve receipts under ORS § 294.060 (4) subject to a condition that such moneys be used only for a purpose described in ORS § 328.205 (1)(a) or (c), a school district receiving a share of such moneys may not use the moneys for any other purpose. [Amended by 1965 c.100 § 43; 1965 c.491 § 1; 1967 c.107 § 1; 1971 c.294 § 4; 1989 c.579 § 2; 1997 c.821 § 19; 2003 c.226 § 6]

[Amended by 1963 c.544 § 17; 1965 c.100 § 44; repealed by 1975 c.64 § 1]