By Josh Hall (Twitter: @Vancan19)

catch 22

Extensive downtown recovery program in the works for Red Deer post-pandemic

Apr 30, 2020 | 6:33 PM

Put between a rock and hard place, Red Deer city council approved the Business Improvement Area (BIA) Business Tax Bylaw on Thursday.

Council had to do so by May 1, as per the Municipal Government Act (MGA). The City did advocate to the province for an extension by way of ministerial order, but that never materialized.

The BIA Business Tax Bylaw funds the budget of the Downtown Business Association, and more time would have allowed for a required consultation process, also under the MGA. Consultation would’ve meant changes could be made to the DBA budget that better reflect the state of things during COVID-19.

The DBA budget is approved every December.

“The pandemic has put local businesses in an unprecedented situation. The City has endeavoured to make every financial move possible with respect to the BIA tax rate bylaw that we were able to in a short period of time,” says Mayor Tara Veer. “We did defer payments, there was a complete cancellation of supplementary tax, as well as a resolution today to hopefully — in subsequent budget years — work with the DBA to manage costs on a go-forward basis [including for] their 2021 budget, and to find other financial relief for this year’s budget.”

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This year, the tax levy for the approximately 800 members of the BIA is going from $187 to $192. City Manager All Seabrooke says this is a prime example of where the DBA will need to look in the future in terms of how it can give that money back to struggling businesses.

“We know during these times, with the shutdown of many businesses in the downtown area, we definitely want the DBA to work with businesses and and we will also do everything we can to support businesses when they come back,” he says.

This year’s DBA budget is worth $419,900, but much of that will go unspent as it was originally intended, says Amanda Gould, the association’s executive director.

“The DBA definitely recognizes the impact COVID-19 has had on the entire business community. The DBA has also laid off 75 per cent of its office staff,” she shares.

:Although the budget may not have changed, it is definitely not business as usual. The savings we’re seeing will be used to fund an extensive downtown recovery program. Other savings will go towards a reduced budget.”

Gould wants all member businesses to know the DBA is there to help if assistance is required in finding information or applying for federal programs to help businesses make it through to the other side.

“I know it’s an incredibly tough time, and the DBA is feeling it too. Reach out to us if there’s anything we can do to help you make it through this terrible time.”