Authorities say the driver safely evacuated the 22 Paramus High School students minutes before the bus became engulfed in flames.
Jose Rodriguez, of Paterson, had just picked up the students when he saw smoke. Police say the fire began in the bus engine compartment, and Rodriguez pulled over in front of Eastbrook Middle School and ordered everyone to evacuate through the rear.
Police say the fire doesn't appear suspicious. No one was hurt.
Fire engines from Paramus Engine Company 2 and Engine Company 2 responded and extinguished the blaze, which totally consumed the bus.
As a result of the fire, approximately 20 to 40 gallons of diesel fuel was spilled on to the roadway and an adjoining parking lot, which required the response of the Paramus and Bergen County HazMat teams.
Spring Valley Road was totally closed for approximately 3 hours.
(The Associated Press contributed to this report)