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NEWS of the Red Deer Region - December 1-15, 2011

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News of the Red Deer Region
snippets and summaries of news from local resources including media, press releases and personal knowledge
December 2011 Part 1


Dec. 15, 2011
Olds Council Passes Budget; Taxes Up 3.4%
Olds town council has passed a $21 million operating budget and $4 million capital budget for 2012 that will result in an average 3.4% increase in property taxes. The operating budget includes a 3.4% increase in salaries and wages. The capital budget includes $1.2 million for road, sidewalk and trail improvements and repairs, $1.5 million for water and waste water infrastructure improvements and repairs, and $1.3 million on equipment and general infrastructure.


Dec. 14, 2011
Red Deer County Defines Protected Natural Areas
Staff and consultants at Red Deer County have identified 27 sites considered to be of environmental significance due to natural features essential to biodiversity, soil, water or natural processes. If adopted by county council, the inventory of "natural capital" will be included in the municipal development plan, currently under review, giving the sites special protection. Conventional agriculture will be permitted and the landowner will be considered the primary steward of the land. The new boundaries for the protected sites are similar to the original environmentally significant areas map drawn in 1990 but a number of sites have been modified, added or eliminated from the original map.
Homelessness Projects Funding Determined
Red Deer city council has determined which projects will share in the more than $1 million grant from the Federal Homelessness Partnership Strategy program. The Red Deer Housing Team operated by the Central Alberta Women's Outreach Society will receive $500,000. The Red Deer Youth and Volunteer Centre will receive $110,000. The Red Deer and District Community Foundation will receive just over $190,000. The Red Deer Native Friendship Society will receive just over $281,000. Much of the funding will go toward staffing for various programs to reduce the number of homeless in the region.
Lacombe Council Passes Budget; Taxes Up 3%
The City of Lacombe council has adopted a $25.5 million operating budget and a $25.9 million capital budget that will boost property taxes by an average of 3%. Part of the tax increase will go toward a 2.5% wage increase for the city's 95 full-time employees. Utility rates have been increased by about 4.5%. Capital projects include $12.8 million in Highway 2A improvements, a $2.5 million upgrade of the storm sewer system, $1.1 million in vehicle and equipment replacement and various road and recreational projects. About $18.5 million of the capital budget is funded through provincial grants.
Shoppers Drug Mart to Open 3rd City Store
Red Deer city council has approved a development permit for an 18,500 sq. ft. Shoppers Drug Mart in Clearview Market Square at the southeast corner of 30 Avenue and 67 Street on the east side of the city. The pharmacy and general merchandise store is expected to open in the summer of 2012. It is the third outlet in the city for the junior anchor. Once built out, Clearview Market Square covers about 22 acres and will have about 263,000 sq. ft. of leasable space. Four banks are already under construction.  Canadian Brew House and three commercial retail buildings are also expected to be completed by summer. Loblaws has indicated that it will build a large grocery store.
City Apartment Vacancy Rate Drops Sharply
Canada Mortgage and Housing Corp. (CMHC) reports that the apartment vacancy rate in Red Deer has dropped to 3.2% in October from 7.5% a year earlier and that it could result in higher rents. The vacancy rate for two-bedroom units dropped to 3.9% from 9% in October 2010 and bachelor suites dropped to 0.4% from 9.4%. One-bedroom apartments slipped to 2.5% from 5.1% and units with three or more bedrooms slipped to 3.6% from 5.9%. The majority of the city's 4,500 rental apartments are one or two bedroom. In migration and increased employment are considered factors in the change. Rents so far have remained similar to last year at an average of around $765.
Vacancy Rates Down in Lacombe, Up in Sylvan
Canada Mortgage and Housing Corp. reports that the average rental apartment vacancy rate in Sylvan Lake has increased to 5% in October from 0.9% a year earlier. The increase was attributed to people moving from rental accommodation to home ownership in the town. In spite of the increase, rental rates also increased to an average $800 from about $690 a year earlier. In Lacombe, the vacancy rate dropped to 5.7% from 11.6% in October 2010. Average rental rates increased slightly to around $730.


Dec. 13, 2011
Sites Chosen for City Skateboard, Spray Parks
Red Deer city council has decided to locate the city's second skateboard park at Glendale School in the north part of the city although some councillors thought that the Dawe Centre, also in the north, would be a better location. There are currently plans to build a community centre with a youth focus at the Glendale site in 2014. Council also decided to locate the city's first spray park at Rotary Recreation Park near the recreation centre, museum and Golden Circle. Both facilities are expected to be completed in 2013.
Busy Sylvan Lake Gravel Road to be Upgraded
A 1.6 km east-west gravel road in Sylvan Lake will be upgraded to a 2-lane paved road in 2012 due to modifications made at Highway 11 and 50 St. that has shifted traffic to the road known as Memorial Trail. Alberta Transportation has given the town $4.5 million for the upgrade that links 50 St. with Highway 20. The road will eventually be expanded to four lanes. Meanwhile the speed limit on the road has been reduced from 80 km/h to 50 km/h.
Sylvan Lake Sets $27 Million Budget
Sylvan Lake town council has passed a 2012 operating and capital budget of $26.9 million, about $540,000 over last year, resulting in an overall tax increase of 3.5%. Residential property taxes will rise an average 2.7% while business taxes increase by 2.9%. The recreation levy will increase by 25%. Capital projects will include design and location of a new fire hall, improvements on the Lakeshore Drive cabin area and parking, lighting and trail development in Centennial Park, design work on the community complex, and modernization along 40th Street.
Hotel Marketing Fund Reaches $400,000
The Red Deer Destination Marketing Fund has accumulated around $400,000 towards marketing the hospitality industry since January 2011. About half came from a 1% room tax from ten participating hotels in Red Deer and Gasoline Alley representing half of all accommodations, or 1,208 rooms. The other half of the fund came from a Tourism Alberta initiative.
Former Ponoka Treatment Plant Repurposed
The 29-year-old former water treatment plant in Ponoka was recently reopened as a 3,300 sq. ft. community centre in one of the town's neighbourhoods. The plant was decommissioned when the town joined the regional water system in 2006. Instead of demolishing the building, the town decided to repurpose it as part of the green spaces plan.


Dec. 10, 2011
Improvements Made at Highway Intersection
Alberta Transportation has made several improvements to the intersection of Highways 11 and 20 immediately southeast of Sylvan Lake. Traffic increased significantly when another intersection west along Highway 11 was changed to right-in, right-out only. Left turning signals and an additional left-turning lane have been added for southbound traffic on Highway 20 wanting to turn east onto Highway 11 toward Red Deer.


Dec. 9, 2011
Stettler Waste-to-Energy Project Aims for 2013
A first-of-its-kind waste-to-energy project proposed by Regina-based Prairie BioGas Ltd. for the Stettler area, is being planned for a 2013 start-up. The pyrolysis technology uses heat in an oxygen-free environment to convert municipal waste into products that can generate electricity. The process produces syngas, oil, water and char, a substance that can be used like coal. The plant will process between 15 and 20 tonnes per day of organic waste including food, newspaper, cardboard, wood, plastic and rubber.
Red Deer Multi-Family Housing Starts Up
Canada Mortgage and Housing Corp. (CMHC) reports that there were 36 housing starts in November, up from 32 starts during the same month a year ago. Multi-family starts accounted for the increase, rising from 6 to 21 units. Single family detached homes decreased from 26 to 15. Year to date, total starts have fallen from 534 in 2010 to 515 this year.
City Approves Southeast Side Multi-Family Project
Red Deer municipal planning commission has approved site development for a 111-unit, $25 million residential project in the Vanier Woods neighbourhood on the southeast part of the city. Two 4-storey buildings will consist of 22 1-bedroom units and 77 2-bedroom units. The project also includes 12 3-bedroom townhouse units. A previous 141-unit project was approved in March 2008 but it never proceeded. Construction on the townhouses is expected to start in the spring.
Lacombe Sisters Make History as Rockettes
Three sisters from Lacombe -- Kristin, Lisa and Alison Jantzie -- have made history as the first trio of sisters to perform in the 79 years of the New York-based Rockettes dance troupe. They are part of the Radio City Music Hall Christmas Spectacular and participated in the Macy's Thanksgiving Day Parade.


Dec. 8, 2011
Westerner Seeks Additional Building Space
At the annual general meeting held recently, Westerner Park indicated that there is an urgent need for 70,000 sq. ft. of additional trade and exhibition space as well as 130,000 sq. ft. of conference space at the site. The two projects would require about $75 million to complete. Although part of the cost could be paid for out of revenues, support from all levels of government would be necessary to proceed. At the recent Agri-Trade farm show, every available space was used and there were still 100 exhibitors on a waiting list. Meanwhile the Centrium arena is currently being expanded by 1,000 seats. Gross revenues for Westerner Park in 2011 is expected to be $6.4 million, of which $1.6 million came from the annual Westerner Days. A net profit of about $260,000 is expected this year.
Riverside Complex Expected to be Ready by March
The 3-building residential and commercial complex, called Elements at Rivers Edge, on the north end of Red Deer's downtown is expected to be ready for occupancy by March. Both interior and exterior infrastructure is close to completion and some tenants are already doing preliminary work on their space. A 5-storey building overlooking the river will have the upper floors as residential condominiums, half of which have already been sold. The lower floors will be for commercial use. The other two 2-storey buildings are also for commercial use with over two-thirds of the space committed. Next year, a fourth 3-storey building will house a restaurant.


Dec. 7, 2011

Real Estate Sales Up 25% Over Last Year
The Central Alberta Realtors Association reports that, during the first 11 months of 2011, there have been 1,477 home sales through MLS in Red Deer and another 2,093 in the surrounding area representing an increase of over 25% from the same period last year. In November, there were 126 homes sold in the city and 174 in the outlying area. Average sale price last month in Red Deer was over $290,000 and almost $235,000 in the region.
32 Street Crossing Strip Mall Completed
The new 32nd Street Crossing strip mall where the Red Deer County administration centre was once located is finished construction with two tenants already open -- the Breathing Room yoga studio and Cornerstone Dental Group. Also committed are a convenience store, a pharmacy, an 8-doctor family medical clinic and a medical office. Only four small bays remain available for lease.


Dec. 6, 2011
City Seeks Company to Repaint Green Onion
The City of Red Deer is looking for a business that wants to repaint the landmark 'green onion' water tower that oversees the downtown. Officially known as the Hortonspheroid, the tower was named after the company that built it in 1958-59 and was painted Niagara green because that was the colour the company had on hand at the time. The spheroid stores 2.27 million litres (500,000 gallons) of water and stands 40 metres tall.


Dec. 3, 2011
Year to Date City Building Permits Best in 3 Years
During the first 11 months of 2011, the City of Red Deer has issued over $160 million in building permits, compared to less than $110 million last year during the same time period and $134 million in 2009. In 2008 between January and November, the City issued over $250 million and the year before, the City issued almost $415 million. During November of this year, $13.6 million worth of work was approved (compared to $15.2 million in November 2010), consisting of $9.3 million in residential (compared to $4.4 million during the same month last year), $2.7 million in commercial (compared to $7.6 million), $1 million for industrial (compared to $50,000) and $471,000 in public projects (compared to $3.1 million).


Dec. 2, 2011
Location Sought for Heritage Destination Project
The Forth Junction Heritage Society is currently exploring several possible sites between 40 and 160 acres for a major transportation heritage park to celebrate the evolution of trails, transit and the railway in Central Alberta that will one day become a world-class destination for the Red Deer area. At least five sites south of the city, three sites west and two sites north will be looked at. Depending on the site chosen, the park will include at least two heritage centres, a family theme park, a working 1/8 scale replication of a historic Jubilee steam locomotive and the replication of several historic railway stations of the region. It could also include a heritage-entertainment-gathering centre and observation tower restaurant that was originally proposed for downtown Red Deer. The society's short term objectives include the completion of a management/feasibility study, the acquisition of building plans for the stations and steam locomotive, the leasing of storage space for transit and railway artifacts, the development of self-guided regional historic tours, and the initiation of fundraising activities.
Three P3 Teams to Bid on New Schools
Alberta Education has announced that three P3 (public private partnership) teams have been invited to submit proposals for the design, building and maintenance of 13 new schools in the province including the four to be built in the Red Deer area. A 300-student kindergarten to Grade 5 Catholic elementary school in Clearview Ridge in the northeast part of the city, a 500-student pre-kindergarten to Grade 5 public elementary school in Timberlands also in the northeast part of the city, a 250-student kindergarten to Grade 12 francophone school at an undetermined site in Red Deer and a 500-student regional junior/senior high school in Penhold are all expected to be completed in 2014. The public elementary school in Timberlands will include a public library branch.
Lacombe Students Promote Green School Projects
A group of Lacombe Composite High School students have formed a club called EcoVision to promote green ideas to the Wolf Creek School Division. The club has already created a solar energy system for their high school and is now promoting an environmentally-friendly and energy-efficient community greenhouse to be built on the west side of the school. The $80,000 project has already received $18,000 from corporations operating in the area including BP, Dow and MEGlobal. The greenhouse provides educational opportunities in a variety of student programs. Produce grown in the facility will be used in the school cafeteria as well as sold to the general public and donated to the food bank. Soil will be replenished by compost generated from cafeteria waste and heat will be generated by a solar collector.
CAEP Recognizes Regional Economic Initiatives
Central Alberta Economic Partnership (CAEP) has announced the recipients of the fourth annual achievement awards. Red Deer Regional Economic Development (RDRED) received the Promotion Award for its development of marketing materials under the Central Alberta: Access Prosperity banner. The Town of Ponoka, Ponoka County, Ponoka Stampede & Exhibition Association and Ponoka Agricultural Society collectively received the Collaboration Award for their work on the Ponoka Ag Event Centre. A.C. Dandy Electrical Products Ltd. of Wetaskiwin received the Innovation Award for businesses. Formed in 1998, CAEP consists of 42 municipal and First Nations band members and 14 associate members.
Manufacturer Moving From Edmonton to Ponoka
An Edmonton manufacturer of expanded polystyrene (eps) sheet goods used for insulation and acrylic building stucco as well as eps blocks for insulated wall systems is moving to Ponoka in the new year. EPS Molders Inc. will move into an existing 30,000 sq. ft. building that will be upgraded. A 15,000 sq. ft. addition is planned. Six to twelve semi loads of product is expected to move per day and about 30 employees will be on the payroll.


Dec. 1, 2011
Housing Construction Rebound Expected in 2012
Local builders are bracing for a significant increase in housing starts in 2012 due to several factors. The supply of residential lots will increase to between 600 and 800 with new serviced land in three neighbourhoods on the east side and another on the north end of the city, compared to only 47 available lots at the end of September. The local economy is improving with 2,700 new jobs created between October 2010 and October 2011 bringing the unemployment rate from 8.8% to 4.9%. A Canada Mortgage and Housing Corp. (CMHC) forecast last month predicted 340 new housing starts next year, a jump of 10%, but that is considered conservative.
City Library to Partner with New School
The Red Deer Public Library has partnered with the City of Red Deer and Red Deer Public Schools to create the library's third branch in a new elementary school to be built in the Timberlands neighbourhood on the east side of the city. Expected to be ready in three years, the new library will be 400 square metres (4,300 sq. ft.). The main branch is downtown and a second branch is located at the Dawe Centre on the north side of the city.
Centre Eyed for Lacombe Performing Artists
The Lacombe Performing Arts Centre Foundation is collecting funds to conduct a feasibility study to determine if Lacombe can build and sustain its own theatre similar to the Red Deer College Arts Centre. Although the Lacombe Memorial Centre is a good site for parties, meetings and events, it is considered inadequate for live theatre.

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