TAMRMS#: B06
9.2
REQUEST FOR DECISION
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Collaborative Economic Development
Presented by: Bill Fletcher, CAO
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RECOMMENDED MOTION(S)
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That Mayor Heron, on behalf of Council, sign the Collaborative Economic Development MOU committing the City of St. Albert to CED for a two-year term.
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SUMMARY
A Memorandum of Understanding (MOU) has been developed to confirm regional partners’ continued participation in the Collaborative Economic Development (CED) initiative and to commit a budget to its implementation.
The key terms outlined in this new MOU are:
• A 2-year commitment to:
o CED membership
o Funding budget requirements
§ $12,000 per year for tool hosting and maintenance, to be divided equally between partners.
§ Up to $10,000 per year, per partner for administration costs including tool vendor management, tool training and framework support, Council support and facilitation of CED committees.
§ CED program administration costs will be incurred at the discretion and with the approval of the Strategic Committee.
• The initial term will automatically renew every two years beginning January 1st, 2027, unless a formal letter of intent to leave CED is provided to the CED Strategic Committee in accordance with the CED Governance Plan.
The signing of the MOU and commitment to the implementation of the CED Framework will support increased regional non-residential activity in the form of enhanced employment creation, increased investment and human capital attraction, innovation, and trade capacity expansion. Most importantly, CED will enable municipalities to seek an investment partner to offset costs and share in newly generated incremental non-residential tax revenue, which previously was not possible in our region.
ALIGNMENT TO COUNCIL DIRECTION OR MANDATORY STATUTORY PROVISION
On June 7, 2022, Council passed the following motion:
AR-22-239
That Council authorize the Chief Administrative Officer to execute a grant agreement with the Government of Alberta through the Alberta Community Partnership Strategic Initiatives Grant for $450,000 to support the development of the Collaborative Economic Development framework.
BACKGROUND AND DISCUSSION
In 2016, a blue-ribbon report titled “Be Ready or Be Left Behind” was commissioned by the Edmonton Region’s Metro Mayor’s Alliance. The report recommended that the Region’s municipalities need to work collaboratively in areas including economic development, transit, land use and infrastructure to enhance global competitiveness. The report pointed out that municipalities in the region need to collaborate on regional economic development to compete globally.
In 2017 Edmonton Global was founded as a regional economic development agency to advance foreign direct investment attraction, trade/export and brand awareness in external markets on behalf of Edmonton metropolitan regional municipalities.
In 2020 during the COVID-19 pandemic, the City of St. Albert brought forward a motion at the Edmonton Metropolitan Region Board (EMRB) to find a tactical regional economic development approach to aid in the economic recovery from the pandemic and the weakened economic environment. Though the EMRB did not approve this member motion, a subsequent meeting was called of the interested municipalities to determine a more nimble response to economic development. Out of these discussions, the concept of CED was formed.
CED is a scalable model to advance borderless economic growth across the entire region. It provides the ability for interjurisdictional cooperation to advance shovel-ready non-residential lands.
In April 2021, 13 Edmonton Region Municipalities signed a MOU directing the development of a framework to provide the necessary mechanisms and tools for intermunicipal and regional cross-boundary economic collaboration.
Over the last four years, the signatories to the 2021 MOU have developed the CED Framework to guide joint investment. The CED Framework, funded with proceeds from an Alberta Community Partnership grant, includes a governance plan, template agreements for revenue sharing, templates for business case development, tools to analyze sites, and instructional material to guide partners on the use of the CED Framework and tools.
A key differentiator of CED to other economic development initiatives are three tools that were built specifically for the Edmonton Region:
• Land Analysis: Industrial sector analysis that better informs municipalities on investment readiness and advantages of the region.
• Financial Analysis: An analysis that aids municipalities in the evaluation of the financial viability and revenue potential of a site within their municipality.
• Incentives: A list of potential financial and non-financial incentives that could be used to improve a project’s competitiveness to attract foreign direct investment nationally and internationally.
In all, the CED Framework offers a consolidated guide and supporting resources to enable multi-partner investment and the sharing of the financial and non-financial benefits, in projects across the region that would have otherwise not been realized.
STAKEHOLDER COMMUNICATIONS OR ENGAGEMENT
The launch of the CED initiative and its subsequent development over the past four years has been public. CED is a tool created by and for the participating jurisdictions, with input gathered from the Economic Development teams of all 13 municipalities.
Although industry consultation was not conducted, any future CED projects presented to Council will need to secure the support of willing landowners. This will initiate consultations in accordance with municipal statutory regulations and policies.
As an initiative within the Corporate Business Plan, progress on this work has been communicated through regular quarterly reports over the last several years.
IMPACTS OF RECOMMENDATION(S)
Financial:
If approved, an ongoing annual allocation of $16,000 will be applied against the savings from the discontinuation of the Edmonton Metropolitan Region Board (EMRB) Cost sharing. The net impact to the budget will be included as part of the 2025 budget adjustment.
Compliance & Legal:
None at this time.
Program or Service:
None at this time.
Organizational:
Administration will provide support to the CED Operational (quarterly) and Strategic (bi-annually) Committees. As CED transitions to an operational model, current project resourcing requirements will shift to a support role and future resourcing will be determined by engagement in potential future CED site investments.
Risks
None at this time.
ALIGNMENT TO PRIORITIES IN COUNCIL’S STRATEGIC PLAN
Economic Prosperity
Regional and Sub-Regional Economic Development
• Continue to participate in the Collaborative Economic Development (CED) project to develop a framework to expedite the availability of serviced industrial lands for economic growth.
ALIGNMENT TO LEVELS OF SERVICE DELIVERY
• B.4.3 Stakeholder Relations
Consultation, coordination, and collaboration with external business and economic development organizations.
o B.4.3.c - Regional Economic Development
Regular coordination, collaboration, and consultation with regional economic development organizations related to regional economic development initiatives. These organizations could include Edmonton Global, Villeneuve Landing Network, Collaborative Economic Development, and others.
IMPACTS OF ALTERNATIVES CONSIDERED
If Council does not wish to support the recommendation, the following alternatives could be considered:
ALTERNATIVE 1: Do not sign the MOU. This means the City of St Albert would no longer have access to the CED cloud-based tools.
Financial:
Financial savings of up to a maximum of $6,000/year for CED tool hosting and $10,000/year for CED tool administration.
Compliance & Legal:
None at this time.
Program or Service:
None at this time.
Organizational:
None at this time.
Risks
Risk of a missed opportunity to support the implementation of the CED Framework and the loss of access to the CED cloud-based tools to support analysis and decision making for future development opportunities.
While the City of St. Albert may be invited to participate in future CED investment opportunities as an external investor, that would be at the discretion of CED members.
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Report Date: April 15, 2025
Author(s): Christine Anderson, Regional Initiatives Strategic Advisor
Department: Office of the Chief Administrative Officer
Department Director: Trevor Duley, Senior Manager Government/Indigenous Relations and Environment
Chief Administrative Officer: William Fletcher