City economic development director Selena McLean-Moore addresses council Monday evening.--News Photo Collin Gallant
cgallant@medicinehatnews.com@CollinGallant
City council has voted to re-invest in Invest Medicine Hat after debate Monday about the economic development office’s new structure and budget, bringing its staffing level back to pre-pandemic levels.
That comes at the expense of savings made over the past year since senior executives left the department, but restarts active development activities promised earlier this year when city manager Ann Mitchell was hired.
New economic director Selena McLean-Moore said that since taking over the top position in the summer, she’s met with business and community groups.
The current office of three workers will not be able to meet council’s goals to focus on local business retention, workforce development, attract investments and improve business processes at city hall.
“There is a real desire to get the economic development department up and going again,” she told council.
“We are facing challenges and need to define them … but we do have a lot going for us,” she said, citing stagnant population and fewer working age people, and a perceived lack of support from City Hall among Hatters.
On the upside, Medicine Hat has a low cost of living and municipal utilities compared to other urban areas.
Recently, farm equipment manufacturer S3 and the repurposing of the Aurora Sun facility for horticultural, show an “engaged” local business community, she says.
McLean-Moore said the city needs to “refresh the vision” of economic development to make a series of small successes leading to greater, larger investments in the future.
The stated city goals in a council priorities list include bolstering job opportunities for workers after a labour skills study done years ago, as well as helping retain existing businesses and assisting them to expand operations.
“Economic development is going to be a marathon, not a sprint,” said McLean-Moore.
The Invest office was left without senior staff in the spring of 2022 after several managers left.
A new budget request would add $279,000 in costs in 2024 after positions all were filled, bringing it to $1.81 million – “a wash,” said McLean-Moore comparing it to a previous full Invest budget of $1.79 million.
She suggests hiring three economic development officers to work on labour attraction, business retention and seek out new investors. Four new positions in total would include repurposing one half-time position in the finance office, but bring the working group back to early 2021 levels.
Coun. Darren Hirsch said he felt it important to get the office operating at a high level as soon as possible, after more than a year in flux, and that a relationship with the community would need to be remade.
“The gap makes us feel like we’re not in the game,” he said. “Building a solid foundation is a key piece, but it’s a department that needs to build on the fly.”
Coun. Shila Sharps said that as the largest municipality in the region, Medicine Hat needs to lead a regional economic strategy and put resources toward it.
Coun. Robert Dumanowski said he felt the the Invest model of seeking out potential investors was valuable and should be kept.
“We’re not reinventing the wheel for the sake of doing something different,” said Dumanowski. “Fundamentals need to be there for things to work.”
McLean-Moore said work in some targeted sectors would follow.
The office would advise and link businesses to government grants from the municipal to federal level, develop local tax incentive policy, market the city as a “film-ready” site for media and movie production and work to smooth out city hall processes.
An executive summary of the current economic development landscape states this local region is suffering from low population growth, a skills gap in the labour market and worry about affordability, but says an “adaptable and robust economy has room to grow.”
“(It shows) opportunities for growth alongside challenges in workforce development, housing, education and health care,” it concludes, adding that active government participation may be required.
New program funding
Medicine Hat will also put about $375,000 toward a partnership program that encourages immigrants to settle in the area under the “Rural Renewal Program.”
Grants and other partners will make up the balance of the $940,000 cost for three avenues in the program.
Council approved its support for a joint application with the towns of Bow Island and Redcliff and the counties of Cypress and Forty Mile in September 2022. That was accepted by the provincial government’s program in February.
Developing a five-year regional economic development strategy will account for $400,000 of the total cost. Initial meetings took place June 19, a background document states.
Settlement, integration and language programs to support retention would cost $464,000, and an “immigrant-focused labour market program” would total $75,000 and provide data to employers.
