NEWS of the Red Deer Region - January 1-15, 2007

 
News of the Red Deer Region
snippets and summaries of news reports from local media (primarily Red Deer Advocate and Red Deer Express).
January 2007 Part 1

Jan. 15, 2007
Innisfail CF-104 Jet Dedicated
A CF-104 Starfighter Type F trainer jet, only one of two still in existence, has been mounted at an 80 degree angle in front of the Innisfail Legion branch 104 and was dedicated on Saturday. The Canadian-built planes were retired in 1987. The Legion's jet was built in 1960 and was part of the U.S. air force stationed in Germany until it was retired in 1971. A search for the plane was first launched in 1980 by the Legion with no luck until they found an American air force officer who found and restored the jet for $70,000. In Canada, the aircraft was nicknamed the "Widowmaker" as 100 of 239 fighters used in Canada were lost along with 37 pilots.

Jan. 13, 2007
Lacombe Step Closer to Annexation
Lacombe County has passed first reading on amendments to the Intermunicipal Development Plan (with the town of Lacombe) that will pave the way for the town to annex 300 acres from the county for industrial expansion. Both the town and the county have scheduled public hearings in February. The town is expected to apply for annexation later this year.
Farmgate Guide Expected to Expand
The Sylvan Lake Farmgate Guide, which is entering its second year, was so successful that the group of 19 rural entrepreneurs wants to expand to about 40 businesses this year within an area from Red Deer to Leslieville between Highways 12 and 42. The brochure produced last year featured a range of businesses that included bed and breakfasts, U-picks, a general store and a greyhound race track.

Jan. 12, 2007
Lacombe County Plans Higher Housing Density
Higher densities of rural housing in Lacombe County has been given first reading by county council. For developments that have communal water and sewer systems, the bylaw amendment would reduce the minimum lot size from 1.25 acres to .75 acres and reduce the maximum size from 6 to 4 acres. The purpose of the change is to reduce the amount of agricultural land being taken out of production for development. Meanwhile, a proposed development in the Milton/Morningside area north of Lacombe is being studied.
Red Deer Curling Club Looks for City Funding
A request for $1 million is going to Red Deer city council Monday for the construction of a new curling rink to replace the old facility on the edge of the downtown, built in 1953. The Red Deer Curling Club is looking for a 3 to 4 acre site in the city or county to construct a $4.4 million 32,000 sq. ft. structure with a 10-sheet ice surface expandable to 16 sheets, viewing area, bar and concession, lower level locker and meeting rooms, and a pro shop. The remaining funding would come from club contributions, donations, grants, the sale of the old building and a request to Red Deer County for $300,000. The current facility has hosted the Brier and Scott Tournament of Hearts.

Jan. 11, 2007
MLA Tells Chamber Municipalities Must Share
Mary Ann Jablonski, MLA for Red Deer North, told a gathering of Red Deer Chamber of Commerce members on Wednesday that the city and county need to share services and plans in order to get the greatest benefit from the current economic boom. She emphasized that municipalities throughout the province should co-operate on regional water systems, waste water systems, regional planning and other services. Jablonski further indicated that municipal disputes stagnate development. She believes that the province can play a major role in creating a new way of thinking about growth for adjoining municipalities. All growth urban areas in the province are struggling with inter-municipal conflicts.
Proposed Lacombe Meat Plant Stalled
A multi-million-dollar meat processing plant planned for Lacombe has been delayed indefinitely due to rising construction costs. South River Foods had planned to build a $18.5 million, 35,000 sq. ft. beef processing plant on 10 acres in the Wolf Creek Industrial Park and have it completed in late 2006 or early 2007. The plan may be revived in the future and the company would still like to locate in Lacombe. Meanwhile, another meat packing plant is under construction and hopes to be completed by April. Canadian Premium Meats is building a 31,000 sq. ft. facility that will process 100 head of cattle, elk, bison and other species per day.

Jan. 10, 2007
County Approves Land Sale to City
Red Deer County has approved the sale of 320 acres (2 quarter sections) of land to the city of Red Deer in the northeast for future housing and a new major roadway. The area was identified in the 1999 Intermunicipal Development Plan as a growth area for eventual annexation. Northland Drive and a new river bridge is being planned to connect Highway 11A with 30 Ave. initially and later to a new 20 Ave. major arterial road that could eventually become an expressway-style ring road. Current disputes between the two municipalities involve areas that were not identified as city growth areas in the intermunicipal plan.
$42 Million County Budget Tabled
Red Deer County has tabled a $42 million budget for 2007 consisting of $20 million for operating expenses and $22 million for capital projects. The budget includes borrowing $7.2 million in order to move forward with the completion of the waste transfer facility near the Hwy. 42/2 junction, construction of the Petrolia Park reservoir and treatment facility near Gasoline Alley East and improvement to the Burnt Lake Business Park intersection. Borrowed funds will be paid back from off-site levies. The capital budget also includes $8 million for road upgrades. $1.7 million has been set aside for intermunicipal funding, facility upgrades, open spaces development and recreation board support. Tabling the budget allows for public input and further council discussion. Budget approval is set for the Jan. 23 council meeting. Tax rates won't be set until the spring when education levies will be known, but it is expected that taxes will not increase significantly except for those properties that assessments have increased dramatically.
City's Major Shopping Centre Plan Questioned
Red Deer County has expressed concerns about a planned commercial power centre in the northeast part of Red Deer around the intersection of 67 St. and 30 Ave. The focal point of a concept plan for the 277-acre area includes a 33-acre shopping core with big box and specialty retail stores similar to Southpointe Common in the south part of the city. The county's main objection is that the plan does not conform with existing plans and consistency is required before the county can give its blessing. The city is claiming that the proposal does conform to existing plans. Another concern is the effect of increased traffic on neighbouring county roads.
Police Station for Sylvan Lake Moves Forward
The town of Sylvan Lake has hired a project manager for the location, design and construction of a new police station for the town. An earlier proposal to combine the police facility with a new fire hall and town office has been abandoned.
City Housing Starts Defy CMHC Predictions
A year ago, Canada Mortgage and Housing Corporation predicted a decrease in single family housing starts in Red Deer in 2006 and an increase in multi-family housing. Overall, the city enjoyed a 12.5% increase in total housing starts with 22% more single family housing starts than predicted but an 80% decrease in multiple family starts predicted. Single family construction accounted for 1,095 units, an increase of 245 over 2005. Multi-family construction accounted for 334 units, a decrease of 50 from the previous year. Red Deer's single family starts were third in the province, behind only Calgary and Edmonton.

Jan. 9, 2007
Red Deer MLA Advocates Regional Planning
Mary Ann Jablonski, MLA for Red Deer North, is pushing for a new regional planning act as a result of the rising number of annexation disputes around the province. She wants regional planning commissions, dropped in the mid 1990's, to be brought back in a new and improved form that would recognize the rights of urban and rural municipalities to grow and allow regional players and the public to sit at the same table and hash out compromises. She also wants the province to takea more active role in pursuing regional water and waste water treatment options.
Red Deer Civic Yard Relocation Approved
The Red Deer Municipal Planning Commission has given approval to the $115 million relocation of the city's civic yards from the west downtown to Three Mile Bend. The nine industrial buildings that will house administration, transit and civic garages, vehicle and salt storage will have an attractive look and be built with environmental principles and systems. Tenders are expected to go out in February for the administration building and underground works. The massive project should be completed by mid 2008 to early 2009.

Jan. 8, 2007
Tourism Centre Sees 23% Increase in Visitors
The Red Deer Tourism information centre on Highway QE2 reports a 23% increase in the number of visitors stopping at the centre in 2006. Over 73,000 visitors were recorded compared to over 59,000 the previous year. Website hits were also up from 192,704 in 2005 to 221,508 in 2006.

Jan. 6, 2007
City Annexation May Take a Year to Process
The city is hoping for a spring hearing from the Municipal Government Board for the annexation of 1,300 acres in Red Deer County west of Highway QE2 for much-needed industrial land but the city may have to wait up to a year due to a long waiting list of annexation proposals around the province. The hearing process could get complex and long as the county is disputing the application.
Real Estate Sets Records in 2006
The number of homes sold and the average price of homes sold both broke records in Red Deer and the area in 2006 according to the Red Deer and District Real Estate Board. The average selling price of a home in Red Deer was up over a third to $325,955 compared to 2005's $243,444. In communities outside the city, the average price was up 45% at $241,212 compared to $165,935 a year earlier. The number of regional sales processed by the Board's members was up dramatically from 4,775 in 2005 to 5,926 in 2006. The total value of sales reached $1.3 beating the old record of $825 million set in 2005. The Board estimates that prices of homes will not appreciate as much in 2007 at around 10% to 15% but sales will likely surpass 2006 figures.
Car Dealership Plans Move to County Later in Year
Festival Ford has sold its city premises and is working toward a move to Gasoline Alley next to its sister company, Festival RV. Site work has already begun for the 40,000 sq. ft. building on the 7-acre lot and the company expects to be ready to move by fall. The purchaser of the current site, Scottsville Holdings, has not indicated as yet what its plans are.

Jan. 5, 2007
Affordable Housing Shortage Negative Side to Economic Growth
Finding a job in an economic boom isn't that difficult but finding affordable housing in the city is another story. Houses and apartments can't be built fast enough, the vacancy rate for rental units is close to zero and rental rates are increasing to a point where many people can no longer afford to rent. Homelessness is becoming a bigger problem although several social agencies, with programs like 'Inn from the Cold', are doing their best to deal with it. During the summer, many people lived in campgrounds but in the winter, that is generally not an option. Various proposals are being sought to provide temporary housing until housing catches up with the influx of workers.
Red Deer Hospital Sees Baby Boom
A record number of births was experienced by the Red Deer Hospital during 2006, with 2,274 babies being born as compared to 1,984 in 2005. The handle the increase in births at the hospital, an education room is being turned into two labour rooms and some private rooms are being converted into semi-private rooms.

Jan. 4, 2007
Two Local Companies Among Alberta's Fastest Growing
Alberta Venture magazine has released its top 50 fastest growing companies in the province and two Red Deer area companies are in the top 20. High Arctic Energy Services of Red Deer, placed 15th among companies with revenue in excess of $20 million. Exact Canada Industries of Red Deer County, which fabricates and repairs oilfield equipment, placed 18th among companies with revenue less than $20 million. In previous years, other Red Deer companies were on the list, including Community Savings, Red Flame Hot Tap Services and Parkland Income Fund.
Three City Apartment Buildings Lead New Construction
For a combined total of $17.2 million, three apartment buildings were approved in Red Deer for construction permits in December. A $10 million 52-unit apartment-style condominium project will be built on the south hill between Gaetz Ave. and Taylor Drive. A $4.2 million 46-unit apartment building will be constructed in Riverside Meadows near the river. A $3.4 million 55-unit apartment building will be constructed on Jordan Parkway on the north side. In addition, a $1 million commercial permit was approved for continuing renovations at Bower Mall related to the new Toys 'R' Us location and a $1.5 million renovation was approved for the Canada Post distribution centre which will add 10,000 sq. ft.

Jan. 3, 2007
City Sets New Building Permit Record
Three apartment buildings with a combined value of $17.5 million were approved in December to bring the total building permits for the year to $282.6 million, almost $29 million above last year's record. The number of permits also broke a record at 3,396 compared to the record set in 2005 of 2,747. Of the total for the year, 3,080 permits were issued for residential construction at a value of $201.6 million, almost $50 million above the previous year. Commercial permits in 2006 were valued at $40.2 million, industrial at $35.8 million and institutional at $5 million.
New City Manager to Start in March
Twelve years after leaving Red Deer, Craig Curtis is returning as City Manager in March from Owen Sound, Ontario, where he is City Manager there. When Mr. Curtis was in Red Deer 12 years ago, he was Community Services director and was involved in the master plan for Waskasoo Park, the construction of the Centrium and downtown revitalization. Prior to that, he was director of the Red Deer Regional Planning Commission, a body that was disbanded by the provincial government in the early 1990's. Mr. Curtis has degrees in architecture and urban planning. Current Community Services director Colleen Jensen will be acting city manager until his arrival.
Major Commercial Development Proposed for South Red Deer
Qualico Developments has purchased 90 acres of land southeast of Red Deer College and west of Taylor Drive and Southpointe Common. Half of the area will be dedicated to commercial development with the rest for multi-family residential and preservation of a treed natural area with existing trails. About 600-700 residential units are anticipated, mostly in the form of apartments and townhouses. Construction is expected to begin in the fall.

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