I agree with everyone else who has posted here. Tell her that you won't be responsible for taking her children to school, if she can't get them there then she needs to send them to one that she can get to.
What Flashy said about your mate is scary, it sounds like she'll be wanting to drink your bath water next!
Move house and 'lose' her phone number.
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Old aunts used to come up to me at weddings, poking me in the ribs, cackling and telling me
'You'll be next.' They stopped when I started doing the same to them at funerals.