Governance
Review
Today…and into the Future
Amalgamations and
Dissolutions
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Agenda
1. Review of Legislation
2. History of Amalgamations in Alberta
3. History of Dissolutions
4. Recent Studies
5. Planning Implications of Amalgamations and
Dissolutions
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Municipal
Government Act
• Amalgamations – Section 100 to 112 of MGA
– May be initiated by Minister or Municipality
– Minister may initiate if the he/she believes that
the operation would be more effective or
efficient
– Must give notice to the municipal authorities
– May invite comments from the municipal
authorities
– May invite comments from the public
– May hold public meetings
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Municipal
Government Act
• Municipality may initiate by giving written
notice to other municipal authorities (usually
parties agree to consider amalgamation process
together)
• Report on Negotiations to be prepared including
summary of public consultation
• No legal requirement for vote in MGA, but all
municipal initiated amalgamations have included
vote
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Municipal
Government Act
• Dissolutions – Sections 129 to 134 of MGA
• The Minister must undertake a dissolution study
before a municipality is dissolved
• The Minister must undertake a study if
– A request is received from the Council of the
municipality
– A sufficient petition is received with 30%
support of the population
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Municipal
Government Act
• The Minister may undertake a dissolution study if
the Minister believes:
– The municipality cannot balance its revenues
with its required expenses
– The municipality is no longer viable
– The municipality does not meet the
requirements in Sections 78 to 82
– Vacancies on a council cannot be filled, or
– The dissolution will lead to more effective or
efficient municipal operations
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Municipal
Government Act
• The Minister, before completing a dissolution
study:
– Must contact all local authorities that the
Minister considers would be affected by the
dissolution and invite them to comment,
– May conduct a public meeting
• After completing a dissolution study, the Minister
may hold a vote on the proposed dissolution
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CPA 2010
History of
Dissolutions
•
Over the past 15 years several villages
have dissolved in Alberta to become hamlets.
The most recent include:
– Kinuso (2009)
– Thorhild (2009)
– Sangudo (2007)
– Mirror (2006)
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Dissolution
Process Issues
• History has shown that the majority of
dissolution studies and votes result in the
majority of residents opposing dissolution
• Currently the Minister has negative votes before
him from dissolution studies for Donalda,
Gadsby, Innisfree and Vilna
• Votes will be held in the next two months for
New Sarepta and Derwent
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CPA 2010
History of Regional
Municipalities
• Crowsnest Pass
• Town of Drumheller
• City of Cold Lake
• Wood Buffalo (Fort McMurray)
• Lac La Biche – Lakeland County
• County of Thorhild
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Specialized Municipality
of Crowsnest Pass
• Created by Special Act in Jan. 1979
• Formed as Town called the Municipality of
Crowsnest Pass from Towns of Coleman and
Blairmore, Villages of Bellevue and Frank, and
I.D No. 5
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Town of
Drumheller
• Amalgamated the City of Drumheller and
the M.D. of Badlands to form the Town of
Drumheller on October 31, 1997
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City of Cold Lake
• Amalgamated the Town of Cold Lake, the
Town of Grand Center and by annexation
of land from the M.D. of Bonnyville on
September 30, 1996
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Regional Municipality
of Wood Buffalo
• Amalgamated Improvement District No.
143 and the City of Fort McMurray to
form a specialized municipality having
the name "Municipality of Wood
Buffalo.”
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Lac La Biche
County
• Forms a municipal district having the
name "Lac La Biche County" by the
amalgamation of the Town of Lac La
Biche and Lakeland County.
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Other Regional
Municipalities
•
•
•
•
County of Thorhild
Strathcona County
Mackenzie County
Municipal District of Opportunity
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Issues Facing Many
Towns/Villages in Alberta
1. Ability to attract and retain staff;
2. Rising cost of providing services;
3. Dependent on residential tax based to fund
municipal operations;
4. Limited commercial and industrial tax base;
5. Limited financial resources to address rising
costs;
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CPA 2010
Issues Facing Many
Towns/Villages in Alberta
6. Relatively high property tax rates;
7. Aging Infrastructure;
8. Many property owners are on fixed
incomes;
9. Most of the municipal equipment is old and
in need to replacement;
10. Loss of elevators, railway, etc..
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Advantages of
Amalgamation
(Regional Government)
•
•
•
•
•
•
•
One Stronger Municipality
Service Delivery
Better long term planning
Capital infrastructure
Staffing requirements
Utility Services
Financial savings (1 Council, 1 Administration,
Commissions, Authorities)
• Equitable Distribution of Property Tax Base
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Why Do Some Votes
Succeed?
Why Do Some Votes
Fail?
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Lakeland County
Town of Lac La Biche
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Black Diamond
Turner Valley
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Town of Two Hills
County of Two Hills
Villages of Derwent,
Myrnam, Willingdon
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Why Should a County
Worry about its Towns
and Villages?
• County residents are dependent on their urban
neighbours for services, schools, hospitals, etc.
• A strong region needs vibrant towns and villages
to attract new businesses
• Eventually most County residents will move into
one of the urban centres when they retire
• Everyone benefits over the long term
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County Issues Re:
Amalgamation
•
•
•
•
•
•
Staffing, severances, etc.
Council representation/size
Office consolidation
Land title changes/transfer
Policy coordination
Infrastructure
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The Small
Municipalities
• Sustainability . . . . . What Sustainability?
‘Staff and Councils of small municipalities dutifully
completed their Municipal Sustainability Plans” .
. . . . with many projecting to their public that
sustainability is at hand . . . Was that the most
prudent thing to do?”
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CPA 2010
The Small
Municipalities
• Land Use Planning left many of them behind in
1995 . . . . Dissolution of the Regional Planning
Commissions resulted in many municipalities
being without reasonably priced professional
advice . . . . .
• In the years following . . . Little long range
planning projects were undertaken . . .
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Planning Issues Following
Dissolution/Amalgamation
• The good . . . .
– The dissolved municipality has a land use
bylaw that is somewhat current (10 years old or
newer)
– Few land use “variances” exist
– Infrastructure is adequate . . . and inventoried
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Planning Issues Following
Dissolution/Amalgamation
• The good . . . .
– Dissolved municipality to be incorporated
within the Land Use Bylaw as soon as possible
following dissolution
– Community SWOT Analysis to be undertaken
through engaging the community
– Area Redevelopment Plan to be prepared 12
months following dissolution
– Infrastructure Plan to be prepared 12 months
following dissolution
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CPA 2010
Planning Issues Following
Dissolution/Amalgamation
• The bad . . . .
– The dissolved municipality has a land use bylaw
that not current (20 years old or newer)
– Some land use “variances” exist
– Infrastructure is lacking . . . However inventoried
and been repaired where needed
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CPA 2010
Planning Issues Following
Dissolution/Amalgamation
• The bad . . . .
– Community SWOT Analysis to be undertaken
through engaging the community
– Area Redevelopment Plan to be prepared 12
months following dissolution
– Infrastructure Plan to be prepared 12 months
following dissolution
– Dissolved municipality to be incorporated
within the Land Use Bylaw upon completion of
Plans
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CPA 2010
Planning Issues Following
Dissolution/Amalgamation
• The ugly . . . .
– Municipality has a land use bylaw that is really old
(1980’s cookie cutter regional planning
commission documents)
– Encroachments, sub-standard serviced lots and
non-conforming uses abound . . .
– Infrastructure consists of a patchwork of pipes and
roads that are mismatched and sized
inappropriately for the community
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CPA 2010
Planning Issues Following
Dissolution/Amalgamation
• The ugly . . . .
– Infrastructure Assessment and Plan to be
prepared immediately following dissolution
– Community SWOT Analysis to be undertaken
through engaging the community
– Area Redevelopment Plan to be prepared 24
months following dissolution
– Dissolved municipality to be incorporated
within the Land Use Bylaw upon completion of
Plans
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CPA 2010
Case Study
Lac La Biche County
• Amalgamation of the Town of Lac La Biche
and Lakeland County effective August 2, 2007
• Total population 9,000 . . . . Equalized
Assessment $3,249,088,373 or $360,000 per
person
• In comparison . . . The Village of Derwent,
currently preparing for a vote on dissolution,
has an equalized assessment per capita of
$22,600 per person . . . . Clearly there are
“haves” and “have nots” in the Province.
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CPA 2010
Case Study
Lac La Biche County
• High Priority for the Public was building
recreation and culture facilities
• $2,000,000 community hall in Hamlet of Plamondon
(population 375)
• $55,000,000 multiplex in Hamlet of Lac La Biche
(population 3,000)
• Low Priority for the Public was updating land
use documents
• To date no Municipal Development Plan created
• Staff still work with two different land use bylaws . .
. Former Town and Former Lakeland County
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CPA 2010
Case Study
Lac La Biche County
• What has been learned
- Land Use Planning is as important as
building roads and recreation and cultural
facilities following amalgamation
- Community Engagement is vital and should
not be ignored . . .
- Staffing is critical . . . . You need planning
staff with an “urban” set of skill sets to
handle issues relating to urban development
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CPA 2010
Case Study
Lac La Biche County
• What has been learned
- A new Municipal Development Plan, or
alternatively, a new Hamlet Plan, should have
prepared within one year following
amalgamation or dissolution
- Land Use Bylaw maintenance issues should
have been addressed quicker
- Staff need resources to do their jobs . . .
Servicing Studies undertaken and standards
prepared
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CPA 2010
Case Study
Hamlet of Mirror
• Dissolution of the Hamlet of Mirror into
Lacombe County effective January 1, 2004
• Lacombe County engaged its citizens through
the preparation of an Area Structure Plan in
2006 and incorporated any necessary
amendments into their Land Use Bylaw in 2007
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CPA 2010
Case Study
Hamlet of Mirror
• High Priority for the Public was maintaining
“soft services” related to urban life
-
Library
Community Hall
Community Open Spaces
FCSS Services
• Low Priority for the Public was the tax savings.
Town residents, in general, desired that some
services be maintained and were willing to pay
for them . . .
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CPA 2010
Case Study
Hamlet of Mirror
• What has been learned
- Lacombe County proved that community
engagement is successful . . .
- When tax rates in Mirror were lowered to the
County’s tax rates, the amount of money
collected barely paid to keep the streetlights
on . . . . .
- Some sort of equitable levy applied to Mirror
properties may have enabled the County to
direct funds towards community
revitalization projects
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CPA 2010
Municipalities in
Alberta
Cities
Specialized Municipalities
Town
Villages
Summer Villages
Improvement Districts
Total
64
5
109
97
51
7
339
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CPA 2010
“In the long run, are the smaller towns and
villages in Alberta sustainable?
Is Regional Government Inevitable ?
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CPA 2010