Fort Saskatchewan focused on Heartland Association upon exit from Edmonton Global

· The Pulse
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e city east of Edmonton voted to exit Edmonton Global in late 2023, as did Strathcona County, Sturgeon County, Devon, and Parkland County. Each municipality had two years before the exit became final, and Edmonton Global offered each one a three-month extension to decide. Unlike the others, Fort Saskatchewan council passed a motion on Dec. 9 to take the extension, on the condition that Edmonton Global waive $29,063 in dues for the three-month period.

"It's like a marriage," said Coun. Gale Katchur, who was mayor for 15 years before being re-elected as a councillor in the latest municipal election. "You're separating, you're going through the divorce, and you say, 'Give me 90 more days. I'll really, really work at this.'"

However, the request for the unpaid membership extension failed after an informal discussion with Edmonton Global, a spokesperson for the City of Fort Saskatchewan told Taproot in an email. Fort Saskatchewan will now focus on "sub-regional collaboration" as part of the Heartland Association, a non-profit that works to attract investment in the lucrative petrochemical industry in Fort Saskatchewan, Lamont County, Sturgeon County, Strathcona County, and a slice of Edmonton.

Edmonton Global has now shrunk from 14 members to nine. Departed members may not rejoin Edmonton Global for a period of five years under its current rules. Sherri Bouslama, the director of strategic communications and brand for Edmonton Global, told Taproot the organization is not ready to comment on what may change. She added that CEO Daryn Edgar plans to meet with all affiliated municipalities in the New Year and that conversations about regional economic development are still possible with ex-members.

Most Fort Saskatchewan councillors cited a lack of return on investment in Edmonton Global as a reason to leave. Several said they have not seen a final investment decision in the municipality that was directly linked to Edmonton Global since it launched in 2018.

But who claims credit for a final investment decision is not black-and-white, Mustafa Sahin, Edmonton Global's executive vice-president of investment and trade, told council ahead of the Dec. 9 vote to seek an extension. He said Edmonton Global's international network and work on the Edmonton region as a brand have benefits that may not be immediately obvious. "We have one major criteria before we claim responsibility for an FID, and that is when the investor says to us explicitly, 'This deal, this final investment decision, would not have occurred without your involvement.'"

Administration recommended that Fort Saskatchewan continue its membership to maintain access to subject matter experts and collaborate as part of the region.

"Though no investment decisions have been finalized, withdrawing from Edmonton Global could mean missing out on future investment opportunities," Erin Brush Duncan, the city's director of economic development, said during the meeting. "Edmonton Global remains one of the last regional entities following the dissolution of the Edmonton Metropolitan Region Board, and leaving may limit opportunities for collaboration with regional partners."

A woman wearing a blue blazer seated in a chair next to a microphone

Coun. Gale Katchur during a Dec. 9 meeting about Fort Saskatchewan's membership in Edmonton Global. (YouTube)

Katchur didn't get the trial separation she proposed, but she had some ideas on how to keep the metaphorical marriage alive. She suggested a structure similar to the associate membership that Bruderheim, Gibbons, and Redwater hold in the Heartland Association, paying no dues and having less say. "They reap no benefit, but they want to be informed, and they still have access to economic development," Katchur said.

Katchur suggested mayors of municipalities could have more power within Edmonton Global's governance structure. "How do you justify sitting there being a shareholder?" Katchur asked. "You go to a meeting, you receive some information, you kind of shrug your shoulders and go, 'OK, yeah, I guess they're doing a good job.' But the shareholders actually don't feel empowered to make change."

Sahin said anything from membership dues to organizational structure could change, now that Edgar is CEO of Edmonton Global and other work to review the organization is underway.

"We are not stuck with the existing model," Sahin said. "That was something that our organization, for most of the past few years, was pretty insistent on — not being willing to introduce more flexibility into the model. And that has changed."

Other departing municipalities previously told Taproot that they would focus on opportunities created through the Heartland Association, Invest Alberta, and Invest Canada. Invest Alberta "offers very similar tailored assistance in investment attraction that Edmonton Global does, but without the shareholder fees," a spokesperson for Devon said.

Correction: This story has been updated to correct the number of current members of Edmonton Global.