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There are many schools in a university. School of Engineering, School of Music, etc.

In most U.S. universities there is a hierarchy: university contains colleges which contain schools.

And for comparison, my experience of Scottish (and possibly other UK country) universities has been:

University -> Faculty (e.g. Faculty of Technology) -> School (e.g. School of Engineering) -> Department.

But this does vary from institution to institution.

Not sure about the rest of the unis down south, but I definitely remember Cambridge and Oxford have some sort of "college" system which had no real relation to your subject (i.e. you could read Philosophy at Foo College, Oxford, or Bar College, Oxford). Maybe someone oxbridge-y can clarify.

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