RESTRICTED PURPOSE REVENUES

Education Act

Restricted Purpose RevenueS

Historical version for the period October 5, 2020 to September 22, 2021.

Last amendment: 562/20.

Legislative History: 365/10, 157/11, 270/12, 116/13, 82/14, 205/15, 27/16, 221/16, 409/16, 550/17, 220/18, 380/18, 56/19, 285/19, 562/20.

This is the English version of a bilingual regulation.

Definitions

1. In this Regulation,

“capital asset cost”, in respect of a fiscal year, has the same meaning as “capital asset cost” or as “capital asset addition”, as the case may be, in the legislative grant regulation for the fiscal year; (“coût d’immobilisations”)

“legislative grant regulation” means a regulation made under subsection 234 (1) of the Act; (“règlement sur les subventions générales”)

“revenue from other sources” for the fiscal year, has the same meaning as in the legislative grant regulations for that fiscal year; (“recettes provenant d’autres sources”)

“school renewal expenditure” is an expenditure by a board that relates to a thing set out in subsection 6.2 (2). (“dépense de réfection des écoles”) O. Reg. 193/10, s. 1; O. Reg. 157/11, s. 1; O. Reg. 27/16, s. 1.

Interpretation

2. Subject to subsection 4 (3), nothing in this Regulation shall be interpreted to limit the amount that a board may use for a purpose set out in this Regulation. O. Reg. 193/10, s. 2; O. Reg. 27/16, s. 2.

Internal audits

3. A district school board shall use the amount calculated as follows, in respect of a fiscal year, only for the purpose of internal audits:

1. Take the amount determined for internal audits (part of the board’s administration and governance allocation) under the legislative grant regulation for the fiscal year.

2. If applicable, add the portion of the amount determined for the OMERS contributions supplement (part of the grant payable to the board) under the legislative grant regulation that is attributable to internal audits.

3. If applicable, subtract the portion of the amount determined for public sector compensation restraint (part of the board’s cost adjustment and new teacher induction program allocation) under the legislative grant regulation that is attributable to internal audits. O. Reg. 157/11, s. 2.

School renewal

4. (1) A board shall use the amount determined as follows, in respect of a fiscal year, only for the purpose of school renewal expenditures:

the school renewal allocation − the lesser of the shortfall amount and the amount, if any, the board has elected to use to address the shortfall amount

in which

“school renewal allocation” is the amount determined for the board’s school renewal allocation under the legislative grant regulation for the fiscal year,

“shortfall amount” is B − C

in which

“B” is the amount of the board’s depreciation for the fiscal year for tangible capital assets that are acquired as a result of expenditures made by the board that are school renewal expenditures, and

“C” is the amount of the board’s deferred capital contributions recognized in revenue in the fiscal year, in respect of the assets referred to in item B.

If B − C is negative, it is deemed to be zero.

O. Reg. 550/17, s. 1.

(2) A district school board shall use the amount held in its pupil accommodation allocation reserve fund on August 31, 2010 that is attributable to school renewal only for the purpose of school renewal expenditures. O. Reg. 193/10, s. 4 (2); O. Reg. 82/14, s. 1 (2).

(3) A board shall not use more than the amount calculated in accordance with the following formula, in respect of a fiscal year, for the purpose of school renewal expenditures that are not capital asset costs:

[(A + B + C) × 1.05]/3 + D + E – F

in which

“A” means the amount used by the board in the 2012-2013 fiscal year for the purpose of school renewal expenditures that are not capital asset costs,

“B” means the amount used by the board in the 2011-2012 fiscal year for the purpose of school renewal expenditures that are not capital asset costs,

“C” means the amount used by the board in the 2010-2011 fiscal year for the purpose of school renewal expenditures that are not capital asset costs,

“D” means,

(a) in respect of the fiscal years preceding the 2018-2019 fiscal year, the maintenance (operating) amount determined as part of the school renewal allocation for the board under the legislative grant regulation for the fiscal year, or

(b) in respect of the 2018-2019 fiscal year, the amount specified for the board in the Table to this subsection,

“E” means the total of all maintenance (operating) amounts, if any, determined for the board under legislation grant regulations for previous fiscal years that were not used by the board in the previous fiscal years, and

“F” means the maintenance (operating) amount used by the board in the fiscal year for the purpose of school renewal expenditures that are capital asset costs.

Table

Item	Column 1 Name of board	Column 2 Amount in dollars
1.	Algoma District School Board	120,884
2.	Algonquin and Lakeshore Catholic District School Board	97,512
3.	Avon Maitland District School Board	151,619
4.	Bluewater District School Board	151,364
5.	Brant Haldimand Norfolk Catholic District School Board	73,020
6.	Bruce-Grey Catholic District School Board	39,923
7.	Catholic District School Board of Eastern Ontario	92,559
8.	Conseil des écoles publiques de l’Est de l’Ontario	129,903
9.	Conseil scolaire catholique MonAvenir	135,357
10.	Conseil scolaire catholique Providence	85,996
11.	Conseil scolaire de district catholique de l'Est ontarien	108,150
12.	Conseil scolaire de district catholique des Aurores boréales	17,537
13.	Conseil scolaire de district catholique des Grandes Rivières	102,021
14.	Conseil scolaire de district catholique du Centre-Est de l'Ontario	173,148
15.	Conseil scolaire de district catholique du Nouvel-Ontario	87,300
16.	Conseil scolaire de district catholique Franco-Nord	36,744
17.	Conseil scolaire de district du Nord-Est de l’Ontario	34,059
18.	Conseil scolaire public du Grand Nord de l’Ontario	49,814
19.	Conseil scolaire Viamonde	122,942
20.	District School Board of Niagara	295,975
21.	District School Board Ontario North East	134,321
22.	Dufferin-Peel Catholic District School Board	516,050
23.	Durham Catholic District School Board	141,920
24.	Durham District School Board	496,179
25.	Grand Erie District School Board	217,110
26.	Greater Essex County District School Board	272,285
27.	Halton Catholic District School Board	227,409
28.	Halton District School Board	457,058
29.	Hamilton-Wentworth Catholic District School Board	208,114
30.	Hamilton-Wentworth District School Board	355,810
31.	Hastings and Prince Edward District School Board	144,468
32.	Huron Perth Catholic District School Board	33,682
33.	Huron-Superior Catholic District School Board	53,306
34.	Kawartha Pine Ridge District School Board	255,760
35.	Keewatin-Patricia District School Board	89,297
36.	Kenora Catholic District School Board	12,696
37.	Lakehead District School Board	92,704
38.	Lambton Kent District School Board	193,076
39.	Limestone District School Board	177,910
40.	London District Catholic School Board	146,329
41.	Near North District School Board	112,683
42.	Niagara Catholic District School Board	159,197
43.	Nipissing-Parry Sound Catholic District School Board	31,899
44.	Northeastern Catholic District School Board	37,695
45.	Northwest Catholic District School Board	19,075
46.	Ottawa-Carleton District School Board	606,443
47.	Ottawa Catholic District School Board	323,161
48.	Peel District School Board	1,002,362
49.	Peterborough Victoria Northumberland and Clarington Catholic District School Board	105,221
50.	Rainbow District School Board	136,403
51.	Rainy River District School Board	46,393
52.	Renfrew County Catholic District School Board	46,037
53.	Renfrew County District School Board	107,282
54.	Simcoe County District School Board	378,822
55.	Simcoe Muskoka Catholic District School Board	143,668
56.	St. Clair Catholic District School Board	68,855
57.	Sudbury Catholic District School Board	57,341
58.	Superior-Greenstone District School Board	51,205
59.	Superior North Catholic District School Board	23,825
60.	Thames Valley District School Board	618,419
61.	Thunder Bay Catholic District School Board	73,223
62.	Toronto Catholic District School Board	704,708
63.	Toronto District School Board	2,211,584
64.	Trillium Lakelands District School Board	149,880
65.	Upper Canada District School Board	258,513
66.	Upper Grand District School Board	250,159
67.	Waterloo Catholic District School Board	160,542
68.	Waterloo Region District School Board	448,147
69.	Wellington Catholic District School Board	50,577
70.	Windsor-Essex Catholic District School Board	151,547
71.	York Catholic District School Board	340,478
72.	York Region District School Board	793,345

O. Reg. 82/14, s. 1 (3); O. Reg. 409/16, s. 1; O. Reg. 380/18, s. 1.

(4) Revoked: O. Reg. 27/16, s. 3 (2).

School condition improvement

4.1 (1) A board shall use the amount determined for school condition improvement (part of the board’s pupil accommodation allocation) under the legislative grant regulations only for the purpose of school condition improvement expenditures within the meaning of subsection (2). O. Reg. 157/11, s. 4.

(2) An expenditure by a board is a school condition improvement expenditure if it meets all of the following criteria:

1. It is a school renewal expenditure.

2. It meets the criteria set out in subparagraphs 1 i, ii and iii of subsection 6.2 (1). O. Reg. 27/16, s. 4; O. Reg. 221/16, s. 1.

Temporary accommodation for pupils

4.1.1 (1) A board shall use the amount determined for temporary accommodation for pupils (part of the board’s pupil accommodation allocation) under the legislative grant regulations only for the purpose of temporary pupil accommodation expenditures within the meaning of subsection (2). O. Reg. 221/16, s. 2.

(2) An expenditure by the board is a temporary pupil accommodation expenditure if it meets one of the following criteria:

1. It is a cost incurred by the board for operating leases for temporary pupil accommodations needed for the provision of elementary or secondary pupil places, but not for temporary pupil accommodations needed for the provision of full day junior kindergarten and kindergarten.

2. It is a cost incurred by the board for the relocation and installation of temporary pupil accommodations needed for the provision of elementary or secondary pupil places, but not for temporary pupil accommodations needed for the provision of full day junior kindergarten and kindergarten.

3. It is a capital asset cost incurred by the board for temporary pupil accommodations needed for the provision of elementary or secondary pupil places, but not for temporary pupil accommodations needed for the provision of full day junior kindergarten and kindergarten. O. Reg. 221/16, s. 2.

Additions, retrofits and major renovations to school space for child care

4.2 (1) A board shall use the amount determined for additions, retrofits and major renovations to school space for child care (part of the board’s pupil accommodation allocation) under the legislative grant regulations only for the purpose of expenditures described in subsection (2). O. Reg. 116/13, s. 2; O. Reg. 550/17, s. 2 (1).

(2) An expenditure referred to in subsection (1) is an expenditure,

(a) that is in respect of costs incurred by the board for additions, retrofits and major renovations to space in buildings or on real property owned, leased or otherwise acquired by the board, for the purpose of providing child care for children who are younger than 44 months of age; and

(b) that meets the criteria for capitalizing a tangible capital asset set out in the most recent version of the document entitled “District School Board and School Authority Tangible Capital Assets: Provincial Accounting Policies and Implementation Guide”, revised August 2012, which is available for public inspection at the offices of the Education Finance Branch of the Ministry of Education and on the Ministry’s website. O. Reg. 116/13, s. 2; O. Reg. 550/17, s. 2 (2).

Special education

5. (1) Subject to subsection (2), a board shall use the amount calculated as follows, in respect of a fiscal year, only for the purpose of special education:

1. Take the amount determined for its special education allocation under the legislative grant regulation for the fiscal year.

2. If applicable, add the amount determined for the OMERS contributions supplement (part of the grant payable to the board) under the legislative grant regulation that is attributable to special education. O. Reg. 157/11, s. 5.

(1.1) For greater certainty, a board may use the amount referred to in subsection (1) for the purpose of applied behaviour analysis training. O. Reg. 380/18, s. 2.

(2) Where a board did not incur expenses in a fiscal year by reason of a strike or lock-out affecting the operations of the board, the amount referred to in subsection (1) shall be adjusted by deducting the portion of those unincurred expenses that is attributable to special education. O. Reg. 193/10, s. 5 (2).

(3) For the purposes of subsection (2), unincurred expenses shall be calculated in accordance with Ontario Regulation 486/98. O. Reg. 193/10, s. 5 (3).

ABA training

5.0.1 A district school board shall use the amount determined for ABA training (part of the special education allocation) under the legislative grant regulations only for the purpose of applied behaviour analysis training. O. Reg. 380/18, s. 3.

Mental health leaders

5.1 (1) Subject to subsection (2), a district school board shall use the amount determined for mental health leaders under the legislative grant regulations for the fiscal years preceding the 2018-2019 fiscal year only for the purpose of paying the salaries and benefits of mental health leaders (part of the board’s learning opportunities allocation under the legislative grant regulations for the fiscal years preceding the 2018-2019 fiscal year, part of the program leadership amount of the board’s administration and governance allocation under the legislative grant regulations for the 2018-2019 and 2019-2020 fiscal years and part of the program leadership allocation under the legislative grant regulations for the following fiscal years). O. Reg. 562/20, s. 1.

(2) Where a district school board did not incur expenses in a fiscal year by reason of a strike or lock-out affecting the operations of the board, the amount referred to in subsection (1) shall be adjusted by deducting the portion of those unincurred expenses that is attributable to mental health leaders. O. Reg. 82/14, s. 2; O. Reg. 205/15, s. 1 (2).

(3) For the purposes of subsection (2), unincurred expenses shall be calculated in accordance with Ontario Regulation 486/98 (Board Expenses not Incurred by Reason of Strike or Lock-out) made under the Act. O. Reg. 82/14, s. 2.

Learning opportunities programs

5.2 (1) Subject to subsection (2), a board shall use the sum of the amounts determined for all of the following programs (part of the board’s learning opportunities allocation) under the legislative grant regulations for the fiscal years preceding the 2018-2019 fiscal year only for the purpose of one or more of those programs:

1. Literacy and numeracy assistance.

2. Student success teachers and literacy and numeracy coaches, for grades 7 and 8.

3. Student success, grades 7 to 12.

4. Specialist High Skills Major Program.

5. School effectiveness framework.

6. Ontario focused intervention partnership tutoring.

7. Outdoor education. O. Reg. 205/15, s. 2; O. Reg. 221/16, s. 3; O. Reg. 380/18, s. 5 (1).

(1.1) Subject to subsection (2), a board shall use the sum of the amounts determined for all of the following programs (part of the board’s learning opportunities allocation) under the legislative grant regulations for the 2018-2019 and 2019-2020 fiscal years only for the purpose of one or more of those programs:

1. Literacy and numeracy assistance.

2. Student success teachers and literacy and numeracy coaches, for grades 7 and 8.

3. Student success, grades 7 to 12.

4. Specialist High Skills Major Program.

5. Ontario focused intervention partnership tutoring.

6. Outdoor education. O. Reg. 380/18, s. 5 (2); O. Reg. 562/20, s. 2 (1).

(1.2) Subject to subsection (2), a board shall use the sum of the amounts determined for all of the following programs (part of the board’s learning opportunities allocation) under the legislative grant regulations for the 2020-2021 fiscal year and the following fiscal years only for the purpose of one or more of those programs:

1. Literacy and numeracy assistance.

2. Student success teachers and literacy and numeracy coaches, for grades 7 and 8.

3. Student success, grades 7 to 12.

4. Tutoring. O. Reg. 562/20, s. 2 (2).

(1.3) Subject to subsection (2), a board shall use the sum of the amounts determined for all of the following programs (part of the board’s learning opportunities allocation) under the legislative grant regulations for the 2020-2021 fiscal year and the following fiscal years only for the purpose of one or more of those programs:

1. Specialist High Skills Major Program.

2. Outdoor education.

3. Experiential learning. O. Reg. 562/20, s. 2 (2).

(2) Where a board did not incur expenses in a fiscal year by reason of a strike or lock-out affecting the operations of the board, the amount referred to in subsection (1), (1.1), (1.2) or (1.3) shall be adjusted by deducting the portion of those unincurred expenses that is attributable to the programs set out in the subsection. O. Reg. 562/20, s. 2 (3).

Library staff

5.3 (1) Subject to subsection (2), a district school board shall use the amount determined for library staff (part of the board’s learning opportunities allocation) under the legislative grant regulations only for the purpose of paying the salaries and benefits of library staff. O. Reg. 221/16, s. 4.

Indigenous education lead

5.4 (1) Subject to subsection (2), a district school board shall use at least 50 per cent of the Indigenous education lead amount (part of the board’s Indigenous education supplemental allocation) under the legislative grant regulations for the 2016-2017 and 2017-2018 fiscal years only for the purpose of paying the salary and benefits of the Indigenous education lead. O. Reg. 380/18, s. 6.

(2) Where a district school board did not incur expenses in a fiscal year by reason of a strike or lock-out affecting the operations of the board, the amount referred to in subsection (1) as the minimum amount to be used for the purpose of paying the salary and benefits of an Indigenous education lead shall be adjusted by deducting the portion of those unincurred expenses that is attributable to the salary and benefits of an Indigenous education lead. O. Reg. 221/16, s. 4; O. Reg. 550/17, s. 3 (2).

Indigenous education board action plan

5.5 (1) For the 2016-2017 and 2017-2018 fiscal years, a district school board shall use the amount determined as follows only for the purpose of the board action plan referred to in the Indigenous education supplemental allocation under the legislative grant regulations:

A − B

in which

“A” is the greater of the census-based Indigenous amount (part of the board’s Indigenous education supplemental allocation) under the legislative grant regulations for the 2016-2017 and 2017-2018 fiscal years and the Indigenous education lead amount (part of the board’s Indigenous education supplemental allocation) under the legislative grant regulations for the 2016-2017 and 2017-2018 fiscal years, and

“B” is the portion of the Indigenous education lead amount (part of the board’s Indigenous education supplemental allocation) under the legislative grant regulations for the 2016-2017 and 2017-2018 fiscal years that the board uses only for the purpose of paying the salary and benefits of the Indigenous education lead.

O. Reg. 550/17, s. 4; O. Reg. 380/18, s. 7 (1).

(2) For the 2018-2019 fiscal year and the following fiscal years, a district school board shall use the amount determined in subsection (3) only for the purpose of the board action plan referred to in the Indigenous education supplemental allocation under the legislative grant regulations, if the following conditions are satisfied:

1. The district school board has used all of the amount determined for the Indigenous education lead component (part of the program leadership amount for the 2018-2019 and 2019-2020 fiscal years and part of the program leadership allocation for the following fiscal years) under the legislative grant regulations for the salary and benefits of the Indigenous education lead.

2. The total expenses incurred by the district school board for salaries, benefits, travel and professional development under the program leadership amount or allocation, as the case may be, is equal to or greater than the district school board’s program leadership maximum amount (part of the program leadership amount or allocation, as the case may be) under the legislative grant regulations. O. Reg. 380/18, s. 7 (2); O. Reg. 562/20, s. 3.

(3) The amount referred to subsection (2) is determined as follows:

A − B

in which

“A” is the census-based Indigenous amount (part of the board’s Indigenous education supplemental allocation) under the legislative grant regulations for the 2018-2019 fiscal year and the following fiscal years, and

“B” is the portion of the census-based Indigenous amount in a given fiscal year that the board has elected to use to pay for the benefits and salaries of the Indigenous education lead.

O. Reg. 380/18, s. 7 (2).

(4) If the conditions set out in subsection (2) are not satisfied, a district school board shall use the census-based Indigenous amount (part of the board’s Indigenous education supplemental allocation) under the legislative grant regulations for the 2018-2019 fiscal year and the following fiscal years, only for the purposes of the board action plan referred to in the Indigenous education supplemental allocation under the legislative grant regulation. O. Reg. 380/18, s. 7 (2).

(5) A district school board shall use the board action plan amount (part of the board’s Indigenous education supplemental allocation) under the legislative grant regulations for the 2018-2019 fiscal year and the following fiscal years, in addition to the amount determined under subsection (2) or (4), as the case may be, only for the purposes of the board action plan. O. Reg. 380/18, s. 7 (2).

Rural and northern allocation

5.6 (1) A board shall use the amount determined for the rural and northern allocation under the legislative grant regulations for the 2017-2018 and 2018-2019 fiscal years only for the purpose of expenditures described in subsection (2) that are incurred by the board in relation to a school included in the document entitled “List of Schools Eligible for Rural and Northern Education Fund Allocation”, revised September 2020, which is available on a website of the Government of Ontario, other than a school listed in that document under the heading “Schools added as part of the September 2020 Amendment”. O. Reg. 562/20, s. 4 (1).

(1.1) A board shall use the amount determined for the rural and northern allocation under the legislative grant regulations for the 2019-2020 fiscal year and the following fiscal years only for the purpose of expenditures described in subsection (2) that are incurred by the board in relation to a school included in the document entitled “List of Schools Eligible for Rural and Northern Education Fund Allocation”, revised September 2020, which is available on a website of the Government of Ontario. O. Reg. 562/20, s. 4 (1).

(2) The expenditures referred to in subsection (1) or (1.1) are expenditures for the purpose of,

(a) improving educational programs or support services for educational programs;

(b) improving transportation of pupils; or

(c) continuing the operation of a school identified in subsection (1) that would close if the expenditure is not made. O. Reg. 550/17, s. 4; O. Reg. 562/20, s. 4 (2).

Mental health workers staffing amount

5.7 (1) Subject to subsection (2), a district school board shall use the amount determined for mental health workers staffing (part of the mental health and well-being allocation) under the legislative grant regulations only for the purpose of paying the salaries, benefits or wages of health professionals who provide mental health services for secondary school pupils. O. Reg. 562/20, s. 5.

(2) Where a district school board did not incur expenses in a fiscal year by reason of a strike or lock-out affecting the operations of the board, the amount referred to in subsection (1) shall be adjusted by deducting the portion of those unincurred expenses that is attributable to mental health workers staffing. O. Reg. 562/20, s. 5.

(4) For the purposes of subsection (1), “health professional” means a member of a health profession within the meaning of the Regulated Health Professions Act, 1991. O. Reg. 562/20, s. 5.

Special equipment

6. (1) Subject to subsection (2), a board shall use the amount calculated as follows, in respect of a fiscal year, only for the purpose of special equipment:

1. Take the amount determined for special equipment (part of the board’s special education allocation) under the legislative grant regulation for the fiscal year.

2. Subtract the sum of all approved special equipment claims, as described in the legislative grant regulation, made by the board for pupils of the board for the fiscal year. O. Reg. 157/11, s. 6.

(2) The amount determined under subsection (1) shall not be used for the purpose of special equipment that is the subject of an approved special equipment claim. O. Reg. 193/10, s. 6 (2).

(3) The amount determined under subsection (1) for a fiscal year shall be used in accordance with any guidelines referred to in the legislative grant regulations for that fiscal year in respect of special equipment. O. Reg. 193/10, s. 6 (3).

Education development charges

6.1 (1) If a district school board sells, leases or otherwise disposes of real property that was acquired, in whole or in part, by the board or by another person, with funds withdrawn from an education development charge account, and the property was not used to provide accommodation for pupils, the board shall use the net proceeds (as described under subsection 6.2 (7)) of the sale, lease or other disposition, in the amount specified in subsection (2) or (3), in accordance with the following rules:

1. If the board has an education development charge by-law that applies to the area in which the property is located, the proceeds shall be allocated to the education development charge account established in respect of that by-law and used for the purposes set out in subsection 16 (2) of Ontario Regulation 20/98 (Education Development Charges — General) made under the Act.

2. If paragraph 1 does not apply but the board has an education development charge account established under subsection 23 (4) of Ontario Regulation 20/98 from which money may be used to acquire land or an interest in land in the area in which the property is located, the proceeds shall be allocated to that account and used for the purposes set out in subsection 23 (6) or (6.0.1) of that regulation, as the case may be.

3. If paragraphs 1 and 2 do not apply but the board has one or more education development charge accounts from which money may be used to acquire land or an interest in land in any part of the region prescribed under clause 257.101 (1) (d) of the Act in which the property is located, the proceeds shall be allocated to those accounts and used for the purposes set out in subsection 16 (2), 23 (6) or (6.0.1) of Ontario Regulation 20/98, as the case may be.

4. If paragraphs 1, 2 and 3 do not apply, the proceeds shall be allocated to the education development charge accounts established under section 16.1 of Ontario Regulation 20/98 and used for the purposes set out in subsection 16.1 (2) of that regulation. O. Reg. 365/10, s. 2; O. Reg. 56/19, s. 1 (1).

(2) In the case of real property that was acquired by the board or by another person before March 29, 2019, the amount referred to in subsection (1) shall be an amount no greater than the amount withdrawn for the property’s acquisition. O. Reg. 56/19, s. 1 (2).

(3) In the case of real property that was acquired by the board or by another person on or after March 29, 2019, the amount referred to in subsection (1) shall be the amount determined as follows:

1. Take the total cost incurred by the board or another person to acquire the real property.

2. Take the amount of funds withdrawn from an education development charge account to acquire the real property.

3. Divide the amount determined under paragraph 2 by the amount determined under paragraph 1.

4. Multiply the number determined under paragraph 3 by the net proceeds of the sale, lease or other disposition. O. Reg. 56/19, s. 1 (2).

Dispositions of real property

6.2 (1) Subject to subsection (5), a district school board shall use all proceeds of sales, capital leases and other dispositions of real property only for the following purposes:

1. Acquiring by purchase, capital lease or otherwise the things listed in subsection (2), if the costs to acquire those things meet all of the following criteria:

i. The cost is a capital asset cost.

ii. The cost is not incurred for increasing the gross floor area of a building.

iii. The cost is not incurred for retrofitting or repairing temporary pupil accommodations.

2. Subject to subsections (6) to (8), acquiring by purchase, capital lease or otherwise, real property to be used by the board for board administration purposes, and additions, alterations, renovations or major repairs to real property used by the board for those purposes. O. Reg. 27/16, s. 5 (1).

(2) The following are the things referred to in paragraph 1 of subsection (1):

1. Improvements to school sites.

2. School buildings, fixtures of school buildings or fixtures of school properties, or alterations, renovations or major repairs to school buildings, fixtures of school buildings or fixtures of school properties.

3. Installations on school properties to supply school buildings on the properties with water, sewer, septic, electrical, heating, cooling, natural gas, telephone or cable services, and alterations, replacements or major repairs to those installations.

4. Additions to school buildings for the purpose of improving the accessibility of the building or in relation to installations described in paragraph 3.

5. Furniture and equipment for the initial equipping of school buildings.

6. Furniture and equipment that are fixtures of school buildings.

7. Library materials for the initial equipping of libraries in school buildings.

8. Changes to the level, drainage or surface of school properties. O. Reg. 365/10, s. 2; O. Reg. 27/16, s. 5 (2, 3); O. Reg. 550/17, s. 5.

(3) Revoked: O. Reg. 27/16, s. 5 (4).

(4) Subject to subsection (5), every district school board shall use all proceeds of insurance on property of a kind referred to in subsection (2) only for the purposes referred to in subsection (1). O. Reg. 365/10, s. 2.

(4.1) If a district school board uses the proceeds referred to in subsections (1) to (4) in a fiscal year, those proceeds shall be used in accordance with the following rules:

1. The board shall use at least 80 per cent of the proceeds used in that fiscal year to pay for costs that relate to any of the following major group elements:

i. Substructure.

ii. Shell.

iii. Services.

2. The board shall not use more than 20 per cent of the proceeds used in that fiscal year to pay for costs that relate to any of the following major group elements:

i. Interiors.

ii. Equipment and furnishing, excluding moveable furnishings.

iii. Special construction and demolition.

iv. Building sitework. O. Reg. 27/16, s. 5 (5).

(4.2) For the purposes of subsection (4.1), major group elements shall be determined and classified in accordance with the American Society for Testing and Materials (ASTM) E1557 Standard Classification for Building Elements and Related Sitework - Uniformat II, as it read on September 1, 2015. O. Reg. 27/16, s. 5 (5).

(5) Subsections (1) and (4) do not apply to,

(a) proceeds that the board is required to use in accordance with the rules set out in subsection 6.1 (1);

(b) proceeds that the board is required to pay another board under an agreement approved by the former Education Improvement Commission; or

(c) proceeds that the board is required to pay to the Crown in right of Canada pursuant to an agreement under subsection 188 (3) of the Act. O. Reg. 365/10, s. 2; O. Reg. 56/19, s. 2.

(6) The amount that a district school board may use from the proceeds referred to in subsections (1) and (4) for the purpose described in paragraph 2 of subsection (1) shall not exceed the total of the board’s net proceeds from sales, capital leases and other dispositions of real property that, immediately before January 1, 1998, included buildings that were used by an old board for board administration purposes. O. Reg. 365/10, s. 2; O. Reg. 27/16, s. 5 (6).

(7) Subject to subsection (8), for the purpose of subsection (6), the net proceeds from a sale, lease or other disposition is equal to the proceeds from the sale, lease or other disposition, less the expenses incurred for commissions, legal fees, appraisal fees, registration fees and adjustments to tax and utility accounts in respect of the sale, lease or other disposition. O. Reg. 365/10, s. 2.

(8) For the purpose of subsection (6), if more than two hectares of land are included in property that is sold, leased or otherwise disposed of, the net proceeds from the sale, lease or other disposition shall be determined in accordance with the following formula:

A × (B ÷ C)

where,

A = the net proceeds from the sale, lease or other disposition, determined in accordance with subsection (7),

B = the fair market value, at the time of the sale, lease or other disposition, of a part of the property, not exceeding two hectares in area, that includes,

(a) the land on which the buildings used by the old board for board administration purposes were situated, and

(b) any other part of the property that was required to permit those buildings to be used by the old board for board administration purposes,

C = the fair market value, at the time of the sale, lease or other disposition, of all the property.

O. Reg. 365/10, s. 2.

(9) A district school board shall not use the proceeds referred to in subsection (1) for the purpose described in paragraph 2 of subsection (1) unless the following requirements have been met:

1. The board must publish the following on a publicly accessible website or in a newspaper that, in the opinion of the secretary of the board, is of general circulation in the board’s area of jurisdiction:

i. Notice of the board’s proposal to use proceeds for the purpose described in paragraph 2 of subsection (1).

ii. Sufficient information to permit the board’s supporters to understand generally the board’s reasons for the proposed use of proceeds, but excluding information that, in the opinion of the board, would prejudice the board’s position in negotiations for the proposed acquisition.

iii. Sufficient information to permit the board’s supporters to understand generally the board’s plans respecting use of the proceeds, but excluding information that, in the opinion of the board, would prejudice the board’s position in negotiations for the proposed acquisition.

iv. Notice of the time and place of a meeting of the board’s supporters at which the board’s proposal will be discussed.

v. Notice that the board’s supporters will be given the opportunity to make representations at the meeting.

2. The board must hold the meeting referred to in subparagraph iv of paragraph 1 on a day that is at least 21 days after the requirements of paragraph 1 have been met and must provide the opportunity to make representations referred to in subparagraph v of paragraph 1.

3. Within the period that begins three months after the meeting referred to in subparagraph iv of paragraph 1 and ends one year after that meeting, the board must pass a resolution that,

i. is consistent with the notices and information provided under paragraph 1, and

ii. directs the application of the proceeds referred to in subsection (1) for the purpose described in paragraph 2 of subsection (1). O. Reg. 365/10, s. 2; O. Reg. 27/16, s. 5 (7-9).

Insurance for employees

6.3 A board shall use any amount refunded to the board by insurers or associations in respect of payments made by the board under clause 177 (1) (b) of the Act only for the purpose of providing insurance or services under subsection 177 (1) of the Act. O. Reg. 270/12, s. 1.

Deferred revenue

7. Unless otherwise specified in a regulation made under the Act, a requirement under this Regulation to use an amount for a particular purpose shall not be interpreted as requiring a board to use that amount in the fiscal year for which the amount was provided or in which the amount was received. O. Reg. 193/10, s. 7; O. Reg. 157/11, s. 8.

Revenue from other sources, reserve funds

8. (1) Any revenue from other sources received by the board that is used by the board for a purpose set out in this Regulation is in addition to the amount that the board is required by this Regulation to use for that purpose. O. Reg. 193/10, s. 8 (1).

(2) Any amount that was held in a reserve fund of the board on August 31, 2010 for a purpose set out in this Regulation, and that is deemed to be an amount restricted for the same purpose under subsection 233.2 (1) of the Act, is in addition to the amount that the board is required by this Regulation to use for that purpose. O. Reg. 193/10, s. 8 (2).

9. Omitted (provides for coming into force of provisions of this Regulation). O. Reg. 193/10, s. 9.