News of the Red Deer Region from Jan. 1 to 16, 2006

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NEWS of the Red Deer Region - January 1-16, 2006

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News of the Red Deer Region
snippets and summaries of news reports from local media (primarily Red Deer Advocate and Red Deer Express)
January 2006 Part 1

Jan. 13, 2006
Red Deer Council to Tackle Budget and Tax Increases
A 10% increase in projected expenditures for the coming year will keep Red Deer city councillors busy trying to find a happy medium between the costs of maintaining a fast growing city and the taxes required to fund it. Increased assessments will contribute to the funding but will not cover it all making a tax rate increase almost inevitable. However with one of the lowest tax rates in the country and balanced budgets in previous years, officials believe taxpayers will understand the need to bump the rate. The population has increased by 16% over the past 5 years putting a strain on maintaining expected services.
Nova Contributes $1 Million to Expansion of Red Deer College
In the company's largest single education investment to date, Nova Chemicals has contributed one million dollars towards the Centre for Trades and Technology and the Centre for Innovation in Manufacturing, two of six new projects proposed for Red Deer College. Al Poole, site manager for the Joffre plant, presented the cheque Thursday. This is in addition to the $29 million contributed by Alberta Advanced Education in September. The four other projects in the College plan include the Centre for Business Enterprise, the Centre for Visual Arts, the Centre for Regional Sport and Fitness and the Centre for Health Education. Construction on the first phase of the $40 million project, the largest since the College began in 1964, is expected to start this year.
More Residential Projects Approved Around Sylvan Lake
Lacombe County has approved another 145 residential lots on the northwest side of Sylvan Lake. This is in addition to 82 lots approved earlier. Twenty-nine conditions go with the approval including preservation of a municipal reserve along the shore and development of communal water and sewer systems.

Jan. 12, 2006
Red Deer Among Lowest Taxes and Utilities in Country
Among 24 Canadian cities, Red Deer ranks number 2 for lowest property taxes and utility charges. An average home in Red Deer pays $3,225 annually, second only to Medicine Hat at $3,096. Toronto residents pay $4,513. It's the taxes where Red Deer excels -- the average utility charges were rated 15th in the national survey. Red Deer no longer has a separate business tax.
CMHC Anticipates Housing Starts in Red Deer Will Remain High
Canada Mortgage and Housing Corp. expects single-family housing construction will remain at its current pace, multiple family housing will increase and fewer older homes will be listed for sale in Red Deer during 2006. One continuing restraint is the competition for skilled labour in hotel construction and in the booming oil and gas industry.
County Delays Annexation Discussions with City
Due to scheduling conflicts, the County postponed its scheduled meeting with City officials this week to discuss the City's intention to annex land for industrial expansion in the north west quadrant. At issue is 1,300 acres west of Hwy. 2 and south of Hwy. 11A. Relations have been strained lately when the County decided not to sell 320 acres of that parcel to the City last month. The County wants some assurance from the City that land south and southwest of the City will not be annexed in the foreseeable future.
Prosperity Should Be Sustained for Next Decade Says Bank Boss
Larry Pollock, president and CEO of Canadian Western Bank, stated Wednesday in his address to the Red Deer Chamber of Commerce that he expects the prosperity of the region to remain for at least the next 10 years. He also stated that eight of nine of the fastest growing economic municipalities in the country are in Western Canada creating an economic shift from the east.

Jan. 11, 2006
Building Permits Soar in Central Alberta
Over $42 million of the $52 million in building permits issued for Innisfail in 2005 was for industrial purposes, including $36 million for expansion of the Johns Manville insulation plant. In Sylvan Lake, building permits doubled to $86 million over 2004 including $7 for industrial development and $44 million for single family residential. Permits in Blackfalds almost doubled from $12 million in 2004 to $19.5 million in 2005 including $2 million in industrial. Industrial development keeps residential taxes down and living in booming communities more affordable. Larger communities like Lacombe and Red Deer, although still enjoying the economic boom, did not see the same degree of building permit increases, partly due to construction labour shortages and reductions in serviced commercial and industrial land.

Jan. 6, 2006
Red Deer Rebels Coach Leads Canada to Juniors Gold Medal
Owner, general manager and coach of the Red Deer Rebels, Brent Sutter, coached the Canadian Juniors Hockey Team to a world championship by beating the Russian team in Vancouver Thursday night. It is the second straight year that Sutter has lead the Canadian team to the world title with a perfect no loss record.
New Health Clinic Starts Transformation of Riverlands
A group of Red Deer doctors has purchased the ATCO property in Cronquist Park in Red Deer for a modern high-tech medical clinic that's expected to cut wait times and improve service. The 17 doctors from the Associate Clinic, the Central Alberta Hip and Knee Clinic, the hospital's cast clinic and a number of orthopedic surgeons are expected to move to the 50-60,000 square foot 3 storey facility. There will also be space for health related businesses. The property is located in the proposed Riverlands area which, over the next several years, is anticipated to develop into a cultural, residential, commercial and open space focal point close to the Red Deer River.
SPCA Proposes New $3 Million Facility
After many years of overcrowding and difficulty in achieving its goals, the Red Deer and District SPCA is starting a fund-raising campaign to build a new facility close to their current 30-year-old converted trailer. Many dogs and cats have been turned away over the past few years due to the facility being filled to capacity. The new proposed building would have new and larger spaces, a reception area, a public education area and a grieving area.

Jan. 5, 2006
Calfrac Undergoing $4 Million Expansion
A growing well service company is not only expanding its existing facility but is also developing an additional 5 acre parcel across the road in Red Deer's Edgar Industrial Park. The new development consists of a cement bulk plant, CO2 and nitrogen storage and extra parking. Red Deer is the company's largest district and growing.
Innisfail Overpass Damaged for 8th Time
A southbound truck travelling on Highway 2 (QE2) with a high load struck the overpass at Innisfail which led to a second collision resulting in minor injuries. It was the eighth time since 1995 that the overpass was hit by an oversize load. The latest incident resulted in $50,000 damage. A collision in 2004 caused $250,000 damage and one in 2002 caused $275,000 damage. Even though the overpass is well signed, Alberta Transportation has decided to lower the roadway within the next two years as part of a $11 million reconstruction of the highway.

Jan. 4, 2006
Red Deer 2005 Building Permits Exceed Quarter Billion Dollars
A red hot housing market and rapid industrial growth helped push construction activity in Red Deer to record levels in 2005. Cumulative building permit values last year reached $254.1 million, which is $8.2 million higher than the previous record set in 2002. The number of building permits issued in 2005 was also a record -- 2,752 compared to the previous record of 2,470 set in 2004. The bulk of the permits were for residential projects at 2,255 representing $153.6 million. The largest industrial project was the Olymel expansion. The largest commercial project was the Bower Place Shopping Centre renovations. Four hotel projects were approved including Comfort Inn, Ramada Inn, Motel 6 and Days Inn.
Construction Officials Expect Another Great Building Year in 2006
Soaring demand for new housing, plenty of residential land and a hot provincial economy combine to keep expectations high for a continuation of the residential construction boom in the City. There is also an expectation of increased multiple family housing construction. Two major public projects expected to go ahead in 2006 are the $11.3 million Michener Centre administration building transformation and the $60 million Healthy Communities Complex at Red Deer College. Although the supply of industrial lots in the City is tight, there is plenty of industrial land available in the County of Red Deer and surrounding areas. Red Deer's location in the center of the Calgary-Edmonton corridor make it an ideal location for residential, commercial and industrial development.
Government Announces Affordable Housing Projects in Lacombe and Ponoka
$1.4 million has been granted to the Lacombe Foundation by the provincial government to build a $3.8 million 28-unit affordable housing complex in Lacombe. Another $1.2 million is expected to be announced for a similar project in Ponoka. The homes will be a first step to addressing housing shortages in the area and will be available to all age groups from young families to seniors.

Jan. 2, 2006
Caroline Considers Hamlet Status
The Village of Caroline, with a population of 556 in 2001 located in Clearwater County, is considering changing their status from village to hamlet. A study on the pros and cons is to be undertaken by Alberta Municipal Affairs as a result of some residents requesting the change as it would likely reduce property taxes. If the status changes, the hamlet would be administered by the County. In 2003, the Village of Mirror in Lacombe County changed their status to hamlet and saw a 69% drop in taxes.

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