The applicant school board sought judicial review to quash clauses 10(2)(i) and (ii) of O. Reg. 20/98 under the Education Act as ultra vires.
The impugned regulations restrict the availability of education development charges (EDCs) to circumstances where a school board does not have board-wide surplus capacity.
The applicant argued this undermined the purpose of the EDC regime, which is to ensure growth pays for growth.
The Divisional Court dismissed the application, finding the regulations were consistent with the statutory grant of authority and the broader scheme of the Education Act, which includes strict financial oversight and efficient use of education funds.