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).