7. (1) Before an education development charge by-law is passed, the board shall do the following for the purposes of determining the education development charges: 1.  The board shall estimate the number of new dwelling units in the area in which the charges are to be imposed for each of the years, for a period chosen by the board of up to 15 years, immediately following the day the board intends to have the by-law come into force. The board’s estimate shall include only new dwelling units in respect of which education development charges may be imposed. 2.  The board shall identify different types of new dwelling units and estimate, for each type, the average number of new school pupils generated by each new dwelling unit who will attend schools of the board. 3.  For each of the years referred to in paragraph 1, the board shall estimate the total number of new school pupils using the estimated number of new dwelling units and the estimated average number of new school pupils generated by each new dwelling unit and, subtracting from that number, the number of existing school pupil places that, in the opinion of the board and subject to the Minister’s approval under section 10, could reasonably be used to accommodate those new school pupils. 3.1  The board shall estimate the total number of new school pupils who were or who are, for each of the years referred to in paragraph 1, expected to be generated by new dwelling units that were, since the coming into force of the currently in force or, subject to subsection (2), the most recently expired by-law, as the case may be, built in the area in which the charges are to be imposed under the proposed by-law. 3.2  The board shall determine the number of existing and planned school pupil places that, in the opinion of the board and subject to the Minister’s approval under section 10, could reasonably be used to accommodate the estimated total number of new school pupils referred to in paragraph 3.1. 3.3  The board shall subtract the number determined under paragraph 3.2 from the number estimated under paragraph 3.1. 3.4  The board shall add the number determined under paragraph 3.3 to the number estimated under paragraph 3. 4.  The board shall estimate the net education land cost for the school sites required to provide pupil places for the number of new school pupils determined under paragraph 3.4. 5.  The board shall estimate the balance of the education development charge account, if any, relating to the area in which the charges are to be imposed.  The estimate shall be an estimate of the balance immediately before the day the board intends to have the by-law come into force. 6.  The board shall adjust the net education land cost with respect to any balance estimated under paragraph 5. If the balance is positive, the balance shall be subtracted from the cost. If the balance is negative, the balance shall be converted to a positive number and added to the cost. 7.  The net education land cost as adjusted, if necessary, under paragraph 6, is the growth-related net education land cost. 8.  The board shall choose the percentage of the growth-related net education land cost that is to be funded by charges on residential development and the percentage, if any, that is to be funded by charges on non-residential development.  The percentage that is to be funded by charges on non-residential development shall not exceed 40 per cent. 9.  The board shall determine the charges on residential development subject to the following: i.  The charges shall be expressed as a rate per new dwelling unit. ii.  The rate shall be the same throughout the area in which charges are to be imposed under the by-law. iii.  The rate shall be an amount that does not exceed the maximum rate, which is determined for each year of the proposed by-law by taking the lesser of, A.  the rate that, if applied over the period referred to in paragraph 1 to the estimated residential development in the area to which the by-law would apply and for which charges may be imposed, would not exceed the percentage of the forecasted growth-related net education land cost that is to be funded by charges on residential development, and B.  the rate determined under paragraph 9.1. 9.1  The rate referred to in sub-subparagraph 9 iii B shall be determined as follows: i.  In respect of the first year of the by-law, take the greater of, A.  the product of 1.05 and, 1.  if a by-law is currently in force, the residential rate set out in that by-law that would apply, on the day immediately before the day the proposed by-law would come into force, to the area to which the proposed by-law would apply, 2.  if a by-law is not currently in force, the residential rate set out in the most recent by-law that would have applied, on the day that by-law expired, to the area to which the proposed by-law would apply, or 3.  zero, if a by-law has never applied to the area to which the proposed by-law would apply, and B.  the sum of $300 and, 1.  if a by-law is currently in force, the residential rate set out in that by-law that would apply, on the day immediately before the day the proposed by-law would come into force, to the area to which the proposed by-law would apply, 2.  if a by-law is not currently in force, the residential rate set out in the most recent by-law that would have applied, on the day that by-law expired, to the area to which the proposed by-law would apply, or 3.  zero, if a by-law has never applied to the area to which the proposed by-law would apply. ii.  In respect of the second year of the by-law and each subsequent year, if applicable, take the greater of, A.  the product of 1.05 and the residential rate determined under subparagraph 9 iii in respect of the previous year of the by-law, and B.  the sum of $300 and the residential rate determined under subparagraph 9 iii in respect of the previous year of the by-law. 10.  Despite paragraph 9, if the board intends to impose different charges on different types of residential development, the board shall determine, i.  the percentage of the growth-related net education land cost to be funded by charges on residential development that is to be funded by each type of residential development, and ii.  the charges on each type of residential development, subject to the rules in subparagraphs 9 i, ii and iii. 11.  If the charges are to be imposed on non-residential development, the board shall determine the charges, which shall be expressed as a rate to be applied to the board-determined GFA of the development and shall satisfy the following requirements: i.  The rate shall be the same throughout the area in which charges are to be imposed under the by-law. ii.  The rate shall be a rate determined such that it does not exceed the maximum rate, which is determined for each year of the proposed by-law by taking the lesser of, A.  the rate that, if applied over the period referred to in paragraph 1 to the estimated non-residential development in the area to which the by-law would apply and for which charges may be imposed, would not exceed the percentage of the forecasted growth-related net education land cost that is to be funded by charges on non-residential development, and B.  the rate determined under paragraph 12. 12.  A rate referred to in sub-subparagraph 11 ii B shall be determined as follows: i.  In respect of the first year of the by-law, take the greater of, A.  the product of 1.05 and, 1.  if a by-law is currently in force, the non-residential rate set out in that by-law that would apply, on the day immediately before the day the proposed by-law would come into force, to the area to which the proposed by-law would apply, 2.  if a by-law is not currently in force, the non-residential rate set out in the most recent by-law that would have applied, on the day that by-law expired, to the area to which the proposed by-law would apply, or 3.  zero if a by-law has never applied to the area to which the proposed by-law would apply, and B.  the sum of $0.10 and, 1.  if a by-law is currently in force, the non-residential rate set out in that by-law per square foot that would apply, on the day immediately before the day the proposed by-law would come into force, to the area to which the proposed by-law would apply, 2.  if a by-law is not currently in force, the non-residential rate set out in the most recent by-law per square foot that would have applied, on the day that the by-law expired, to the area to which the proposed by-law would apply, or 3.  zero if a by-law has never applied to the area to which the proposed by-law would apply, and ii.  In respect of the second year of the by-law and each subsequent year, if applicable, take the greater of, A.  the product of 1.05 and the non-residential rate determined under subparagraph 11 ii in respect of the previous year of the by-law, and B.  the sum of $0.10 and the non-residential rate determined under subparagraph 11 ii in respect of the previous year of the by-law. O. Reg. 438/18, s. 1; O. Reg. 55/19, s. 1; O. Reg. 371/19, s. 2 (1-6). (2) For the purposes of estimating the number of new school pupils under paragraph 3.1 of subsection (1), the board shall only consider the most recently expired by-law if that by-law came into force no more than six years before the day the board intends to have the proposed by-law come into force. O. Reg. 371/19, s. 2 (7). (3) For the purposes of determining the rate under subparagraphs 9.1 i and 12 i of subsection (1), (a)  if, with respect to the area to which the proposed by-law would apply, the area is currently the subject of more than one in force by-law, more than one expired by-law, or a combination of the two, the board shall use the lower of the rates set out in those by-laws; and (b)  if, with respect to the area to which the proposed by-law would apply, part of the area is currently the subject of an in force or expired by-law and part of the area is not the subject of any in force or expired by-laws, the board shall use zero. O. Reg. 371/19, s. 2 (7). Alternative Projects — Notice