After 28 years, the Central Alberta Economic Partnership (CAEP) is shutting down.

The board of directors passed a motion this week to proceed with dissolution.

In a letter dated Oct. 27, CAEP Chair Jean Barclay, who is also mayor of Innisfail, notes careful consideration was given to the decision, adding that dissolution is expected to be completed within 60 days.

Rocky Mountain House Mayor Shane Boniface says he will not be lamenting the end of CAEP.

“It’s run its course,” he says, adding that much of the focus has been on the Highway 2 corridor, including Red Deer, Penhold, Innisfail and Red Deer County, with little benefit to more far-flung communities such as Rocky Mountain House and Stettler.

Additionally, the mayor believes that while CAEP may have been worthwhile at its inception, many member communities, including Rocky Mountain House, have developed their own ability to build their economies and attract investment.

Boniface adds that Rocky Mountain House will be just fine without CAEP, pointing to town council’s efforts to attract investment and expand housing on the north end of town.

Boniface says any council-appointed positions on CAEP will be dissolved.

Clearwater County Reeve Jordon Northcott has been a member of CAEP. He was reappointed to the board by county council the same day the organization’s dissolution was announced.

94.5 Rewind Radio reached out to Clearwater County and Reeve Northcott but did not hear back in time for publication.

Changing conditions

Barclay writes that the decision reflects the changing economic landscape in Central Alberta, evolving priorities among regional partners and the financial realities of maintaining a sustainable regional organization.

In a subsequent interview with rdnewsNOW, Barclay said changes to the provincial funding CAEP receives will make it difficult for the organization to continue.

CAEP was to receive $125,000 this year, with 50 per cent allowed to go toward operations. Last year, according to Barclay, 75 per cent could be used for operations, but next year that figure will drop to zero.

“We looked at the future years scenario, and knew how much we needed to raise the per capita amount for membership,” said Barclay. “To be honest, around the board table it got a lot of pushback, so we decided there was really no path forward for CAEP.”

Membership currently costs municipalities 90 cents per capita, a rate that has been in place for at least three years.

Barclay says that amount is not much for a community of 1,500, but it is a different story for Red Deer and other larger municipalities.

Despite the rise of organizations such as Central Alberta First and Red Deer D.R.I.V.E., Barclay does not feel CAEP was becoming redundant, adding that it had a distinct role in the economic development landscape.

She pointed out that while most communities have an economic development officer or team, CAEP filled that role for some much smaller communities.

She cited Trochu and Beiseker as examples of communities that could struggle to fill the gap.

“Every municipality is facing extreme budgetary pressures.”

CAEP’s fall general meeting and all other courses and events will be cancelled. Registration fees already paid will be refunded.

CAEP Executive Director Paul Salvatore spoke with rdnewsNOW in September about the launch of a new Team Central Alberta strategy.

Barclay said the inability now to move forward with that initiative, among others, is disappointing.

“One of the initiatives Paul brought on was the economic data dashboard through CityViz, a great platform for municipalities to use for investment attraction and expansion, and doing community profiles. The data was updated automatically from Statistics Canada, and that was available to member municipalities for free,” she said.

“Last year, we completed the Howse Pass feasibility study into today’s numbers and today’s economic environment, and that was a wonderful project.

“There will be gaps given what CAEP has done over 28 years, but maybe something else rises from the ashes that fits today’s environment better.”

~ with files from rdnewsNOW | Josh Hall