Village of Canal Flats Foreign Direct Investment Action Plan, 2017 1
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Village of Canal Flats Foreign Direct Investment Action Plan, 2017 2
Table of Contents
Executive Summary 4
Study Purpose and Background 5
Industrial Land Supply and Demand 9
Sector Analysis: Labour Force Skillset 13
Sector Targeting 28
One Page Foreign Direct Investment Action Plan 33
Next Steps 34
Village of Canal Flats Foreign Direct Investment Action Plan, 2017 3
EXECUTIVE SUMMARY
Conducted in 2017, an analysis of Canal Flats’ workforce and business base, in context of broader Columbia Valley industrial land supply and BC Government sector targeting yields recommended Target Economic Sectors amenable to foreign direct investment:
Primary Attraction Focus 1) Agrifoods
OBJECTIVE – ATTRACT PROCESSING INVESTMENT (NICHE CROPS, GREENHOUSES, FABRICS, AQUACULTURE, DISTILLERY) 2) Fabricated Metal Product Manufacturing
OBJECTIVE – LEVERAGE BID GROUP METAL FABRICATION ENTERPRISE INTO ADDITIONAL METAL FABRICATION CLUSTER ACTIVITY 3) Forestry – Wood Products Manufacturing Secondary Investment Attraction Focus 4) Mining 5) Transportation Some detailing of these sector opportunities is presented in this Plan. Additional micro foreign direct investment opportunities have been identified as follows: 1) Mountain Mercantile – partial conversion of a former school building into a mixed-use community commercial, residential and activity hub. 2) Kootenay Landing – capitalize creation of innovative “sea can” housing on a 24 acre riverside property to provide a missing housing rental market in Canal Flats, serving employment centre lands. This site also features potential to develop a highway-facing hotel (40-50 units) on an existing, serviced 1.5 acre parcel within the bigger site. 3) Work-Live (Village Centre) - Canal Flats is seeking pioneer investors that will re-build the downtown in a form unique to the Columbia Valley: work-live. “Work-live” refers to a building where the primary use is commercial, but the entrepreneur lives on the second floor...connected to the commercial enterprise. 4) Resort/Hotel - a 25-acre site in the Village offers potential to develop an amenity-based resort. 5) Immigration – the Village of Canal Flats welcomes new immigrants who invest in start-up enterprises or purchase existing enterprise(s). This targeting has been incorporated into: 1) investment opportunity sheets; 2) a more general Investment Guide; and 3) investment-focused website content that forms part of a larger, impending Village website redesign that will better position investment and tourism opportunities, and community development vision.
I) STUDY PURPOSE This FDI Action Plan builds a foundation of understanding of the structure of the local and Columbia Valley economy, and relates it to BC strategic sector targeting to development of foreign direct investment positioning for Canal Flats. This is an important activity given a Canfor mill closure in 2016 that, in turn, has opened up 400 Village of Canal Flats Foreign Direct Investment Action Plan, 2017 4 acres of industrial land for potential development. At this size, this land will be of interest to foreign direct investment, including large industrial enterprises and multinationals. At the same time, Canal Flats’ and the Columbia Valley’s economic and labour force features present additional, more micro scale foreign direct investment potential, identified in this Plan. II) BACKGROUND DEVELOPMENT CHALLENGE In 2015 the Village of Canal Flats lost its major employer, Canfor, when it permanently shut down the sawmill. The mill site had been in operation for 100 years. Canal Flats is struggling with population decline (-7% from 2011 to 2016) largely due to closure of this single, large forestry employer in a one industry community. This sector in this form will not re-establish in Canal Flats.
The future for Canal Flats by necessity will look nothing like the past – from workforce skillset to development concepts.
Factors complicating economic revival include geographic location in the south end of the Columbia Valley (investment has focused further north in the Valley - within a 3-hour drive time of a primary Calgary region market), a largely vacant land downtown, a community size that is not critical mass to viably and sustainably provide and re-invest in infrastructure and amenity, 50% of the community being mobile-home based, no rental housing to meet workforce requirements, and a school within 10 students of School District consideration of closure. The school, for example, is vital given closure would greatly threaten ability to attract working BC families. A NEW DEVELOPMENT DIRECTION On the other hand, Canal Flats’ very low residential density, large amount of commercial, industrial and residential vacant land (including the former Canfor lands – which is the only large block employment centre development opportunity in the Columbia Valley and therefore offers catalytic economic development opportunity for the entire Valley), spectacular location between the Kootenay River and Columbia Lake, amenable climate (including for agricultural production/processing), BID Group purchase of the Canfor lands and openness to development concepts and land sale that would drive a successful community bottom line, and proximity to significant tourism and other amenity in the Columbia Valley presents a generational opportunity to re-imagine and redevelop the future of a community.
In 2016, the Village of Canal Flats generated an Economic Development Strategy. The Strategic Vision for the community is: We are the affordable, family-friendly village building a new future in housing, quality of place, tourism, and a unique live-work downtown. We will be a key employment centre in a Columbia Valley that reconnects people to nature….and each other. Key value propositions are: 1) Largest/Last Large Block Employment Centre lands in the Columbia Valley, 2) Affordable housing relative to Columbia Valley and BC, and 3) Access to backcountry amenity. A Strategic Goal is growing to a population of 1000 people (30% increase) – which makes the community more financially and economically sustainable. Target demographics to achieve this goal are: Working families, Younger working generation, Entrepreneurs, Early retirees, Transition of part-time recreational property owners to more full-time status. The Economic Development Strategy has two complementary goals:
• Goal 1: Generate Employment (recreational property owner transition to more full-time status in Canal Flats, and development of employment centre lands (former Canfor lands));
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• Goal 2: Build a Distinctive Community (downtown quality of place and work-live planning policy, and specified quality of life initiatives).
To achieve this vision and these goals, the Economic Development Strategy has three action-focused pillars, the first of which forms the focus of this Foreign Direct Investment Action Plan as a matter of industrial investment:
1) Redevelop Employment Centre Lands – BID Group (owner, purchased from Canfor in 2017) – work with Province and developer to facilitate re-subdivision and redevelopment of lands. To provide an idea of the scale of these lands, at approx.. 400 acres gross on the core mill site, this represents 1.5% of industrial lands in the Metro Vancouver region (28000 acres). A key challenge at the moment is to work with the Ministry of Environment to release these lands for re-subdivision. Complementary to that, this FDI Action Plan – in identifying positioning/targeting of lands, helps the landowner fast track pursuit of market opportunities, in turn helping the Village achieve its employment/population growth/taxation objectives.
A comparable net developable area (225 acres) economic impact assessment of a property in West Abbotsford, using industry standard calculations (Src: West Abbotsford Industrial Park Supply and Demand for Industrial Land and Economic, Employment and Taxation Impacts Based on ALR Exclusion, 2012 – (https://abbotsford.civicweb.net/document/32044/Appendix%204%20-%20Supply%20and%20Demand%20for%20Industrial%20Land.pdf? handle=D5D43A0F29EF474DA114B7AD433BC7EC) suggests the following extremely rough economic benefits for the Canal Flats and the Columbia Valley related to development of the former Canfor lands:
• 4600 job years (direct and indirect) – project development • 4,800 new permanent full-time jobs • $500 million – finished project value • Annual payroll: $280 million • Annual municipal taxes: $11 million • Net present value: $2.9 billion • This impact would be felt across the entire Columbia Valley.
2) Generate Housing Innovation to Increase Permanent Population - innovative housing will appeal to both a local workforce (feeding generation of the industrial development benefit noted above) and recreational property owners. Accelerated housing development and sales will generate tax revenue for the Village. New population will drive demand for more commercial and other services, creating a cycle of positive employment and taxation growth. Densification of Canal Flats improves the Village's financial picture by improving per capita ability to pay for and reinvest in services and amenities. A range of housing innovation that will nurture permanent population growth has been identified – including smaller home size, smaller lot size, work-live buildings (Grainger downtown), live-work buildings (Burns – gateway), secondary suites, garden suites, and materials (e.g. sea cans). Best practices and policy options are currently being researched. 3) Convert Recreational Property Owners To More Full Time Status - a 25% permanent population increase is possible from Canal Flats recreational property owners (44% of all resident-owned properties in Canal Flats) who say that greater personal connection would lead to consideration of full-time residency. Connectivity factors, in order of importance, have been identified as follows: More commercial services, In-community recreation amenity, Expanded lake access, Village communication, and Community events.
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BID GROUP LANDS (FORMER CANFOR LANDS) 400 ACRES: THE LAST BIG BLOCK EMPLOYMENT CENTRE LANDS IN THE COLUMBIA VALLEY AN AFFORDABLE INDUSTRIAL LOCATION TO SERVE A GLOBAL MARKET Former sawmill site. Property purchased from Canfor by BID Group in 2017. Owner will consider all development proposals, including industrial, commercial, and mixed-use development. Re-subdivision process and Environmental Certificate of Compliance (Province) required. BID Group operates a 20-employee metal fabrication business on-site, serving North American forestry projects. As a comparable, this land area represents approx. 1.5% of industrial land in Vancouver metro.
ECONOMIC IMPACT OF EMPLOYMENT LANDS All businesses can be categorized as being “basic” or “non-basic” in terms of relationship to the local economy. “Basic” business primarily involves service to non-local markets (export-oriented) and/or non- retail markets. “Non-basic” industry is largely population-related and is geared to the local residential and business market. It is typically retail or service sector-based. Basic industry is the engine of economic growth. Basic industries generate new income for the community, driving an inflow of revenue and employment. Maintaining an adequate export-oriented business base is fundamental to generating additional business, employment and income opportunities for the community. Non-basic industry supports basic industry by providing the internal market with needed goods and services. Non-basic industries circulate the income earned by basic industry in the community. Without a healthy non-basic sector the income earned from the basic sector will flow out of the community. Employment lands are important in communities like Canal Flats and the Columbia Valley because they primarily accommodate basic, export-oriented employment. From an economic development
Village of Canal Flats Foreign Direct Investment Action Plan, 2017 7 perspective, maintaining an adequate base of employment land (generally zoned for industrial or office uses) is fundamental to providing local export-oriented business and employment opportunities. At the same time, adequate commercial lands are necessary to ensure a healthy non-basic sector and that revenues earned by the community remain with the community. TARGETING In general, economic development activity should execute against stepping stones that build toward a vision. We live with a dichotomy in economic development. A “descriptive” world of corporate investment attraction evaluates potential site location based on the hard, quantitative facts of business related to proximity to inputs to production and business costs. On the other hand, an ongoing labour force shift to services, knowledge, and creativity brings with it a more “prescriptive” world of people more emotively attracted to communities of choice based on softer quality of life considerations.
In the convergence sits the notion of targeting. Traditionally, municipalities do not show favouritism toward one business or another, one business sector or another, or one area of initiative emphasis over another, but rather position a community development program and conduct shotgun marketing to promote an amenable business climate and high quality of life. The real world says otherwise. Any given community only appeals to a segment of the broad population and/or business community for very specific reasons (i.e. a value proposition). This applies to three levels of targeting: 1) Demography; 2) Psychographic (e.g. Alberta SouthWest - http://www.albertasouthwest.com/seeking_big_sky_adventurers); and 3) Economic Sectors.
Targeting doesn’t exclude other facilitative municipal activity. Targeting is a matter of aligning activity with pursuit of vision, targeting the hardest element of vision to achieve (because the market may not fully realize the opportunity and go do it on their own), and generating best return on investment for taxpayer investment.
BID GROUP LANDS TARGETING In 2016, BID Group purchased the Canfor forestry mill site. The core site, in three parcels, is 400 acres. Additionally, there is a former log yard at 90 acres that is contiguous with the core site. The site is serviced, but requires four things to be investment ready:
1) An Environmental Certificate of Compliance (Province). 2) Re-subdivision. 3) A development concept with corresponding land use amendments, if any. 4) Business/industrial park infrastructure installation (on-site services, road(s), streetlights, etc.)
Given the scale of the lands, the landowner has indicated considerable flexibility to consider development options. This could include arrangement with a commercial land developer for some or all lands and/or private developer(s) of a portion of the lands, and/or partnership with an industrial/commercial real estate brokerage.
IF WE CONSIDER
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1) That the Village is interested in honing its targeted investment / business attraction efforts for these lands to achieve three objectives:
a) Accelerate timeline for land sales. b) Generate quality employment. c) Generate new taxes that support Village infrastructure and amenities.
2) That a 490 acre parcel would take a very long time period to fully develop as a purely industrial property given market supply and demand conditions.
3) That there is currently not a solid understanding of a broader spectrum of industry sector/enterprise opportunities for Canal Flats, and associated Canal Flats value proposition positioning relative to regional, provincial and/or national “competitors.”
Then to achieve objectives, notably to: 1) promote build-out of the entire 490 acres within a more diversified economic activity and land use profile on the BID Group lands; and 2) identify industry sector opportunities, this suggests that the FDI Action Plan needs to focus on a current knowledge deficiency – namely identification of industry sector/enterprise opportunities (incl. a comparative /competitive positioning).
Of note, this form of opportunity identification can apply to all Village economic development activity and targeting, and is not restricted to marketing of BID Group lands.
III) INDUSTRIAL LAND SUPPLY Developed industrial land supply in the Columbia Valley totals 200 acres: Invermere – 130 acres • M2 (heavy industrial) - 7 acres • M1 (light industrial) – 124 acres Radium – 54 acres • Canfor forestry mill site – M2 heavy industrial Canal Flats – 10 acres • Estimated portion of old forestry mill site used to BID Group metal fabrication enterprise • Remainder of the site (480 acres gross) is presently zoned I-2, Heavy Industrial Invermere and Radium do not have intent to develop further industrial land in policy nor as a matter of corporate intent. A wildcard in terms of future supply of lands is First Nations. 1) The Shuswap Band (Invermere area) has developed commercial property in Invermere. If future pattern follows the past, it can be anticipated that future activity would be more hybrid commercial-industrial (e.g. the Kicking Horse Coffee plant and café); 2) Akisqnuk First Nation (Windermere/Fairmont area), who have recently serviced a commercial property.
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More details are provided as follows:
Invermere
M-2 Heavy Industrial - approx. 7 acres) • Three enterprises (Rona, Certainteed Gypsum, Helmer Construction). Stable. No change/development opportunity anticipated.
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M-1 Light Industrial Land – 124 acres • Developed – 49 acres o 38 parcels. 35 occupied/developed. • Undeveloped – 25 (net) • Crown – 13 (Mainroads Highways yard – currently Crown-owned; Invermere negotiating to acquire). Unserviced. Significant development costs given floodplain location. -Two vacant parcels have environmental restrictions hindering development. -Less than maximized development pattern.
Radium
Total - 54 acres (two sites) • Majority owned by Canfor (forestry mill site). • One storage yard – Forester’s Landing Road. • No municipal initiative to add to industrial land supply. • Undeveloped Canfor lands intended to be retained by Canfor.
Further employment lands analysis is available via the Columbia Rural Development Institute (http://www.cbrdi.ca/employment-lands/) • Canal Flats - http://www.cbrdi.ca/wp-content/uploads/CanalFlatsEmploymentLandAnalysis.pdf • Invermere - http://www.cbrdi.ca/wp-content/uploads/InvermereEmploymentLandAnalysis.pdf • Radium - http://www.cbrdi.ca/wp-content/uploads/RadiumHotSpringsEmploymentLandAnalysis.pdf
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DEMAND Industrial land absorption (demand) is difficult to measure in the Columbia Valley. Historically, industrial development has tended to occur in the form of large, resource-based anchor land purchase/development in the form of forestry mill sites. Macro-economic conditions suggest that the forestry industry will not be expanding in the Columbia Valley in future. Canfor, for example, solidified a singular presence in the Columbia Valley with upgrading of its Radium mill site, and closure of its Canal Flats mill site.
Smaller scale industrial development has concentrated almost solely in Invermere given land availability and centrality. Development of light industrial land has occurred in two phases: Phase1: • Developed In the 1970s • 14 lots (18 acres at roughly 1.3 acres/lot) • 15-year development period • Absorption rate very roughly 1 acre/year Phase2: • Developed in the mid 1980s • 20 lots (26 acres at roughly 1.3 acres/lot) • 17 sales over 20-year period • Absorption rate very roughly 0.5 acre/year Analysis – Future Demand Industrial land availability is not a constraint for foreign direct investment. At 490 acres (gross) developable industrial land in Canal Flats, there is very ample supply of industrial land in the Columbia Valley for an extended horizon line. The contiguous nature of the industrial land block in Canal Flats generates ability to offer small to very large parcel sizes for virtually any form of enterprise. Based on the Invermere example of absorption rate, land availability in Canal Flats suggests a 300-400 year supply on a net land area basis. Absorption rate is a function of Valley-based industrial servicing, and larger scale industrial enterprise investment (incl. FDI investment, multinationals – typically on larger parcel sizes). Locally-driven demand for industrial land to support and service the population in the Columbia Valley is limited. Population projections for the region forecast an average annual growth rate of approximately 0.9% between 2011 and 2030 (Src: Resident Attraction and Retention Strategy for the Columbia Valley, MDB Insight, 2016): • Invermere – rising from 3,503 to 4,065 people. • Radium Hot Springs – rising from 920 to 1,905 people. • Canal Flats – rising from 775 to 850 people. Modest mining activity (e.g. gypsum) remains in the Valley. There is active exploration in the area (e.g. http://markets.businessinsider.com/news/stocks/MGX-Minerals-Commences-Exploration-and-Permitting-at-Kootenay-and-Wonah-Silicon- Projects-Metallurgy-Process-Design-for-Testing-of-Solar-Grade-Silicon-Applicability-Completed-1011613990), which may create industrial land demand if any projects come to fruition. An additional opportunity stems from industrial land constraints in Vancouver metro. Anecdotally, pricing and land supply is driving residential, commercial, and industrial search for affordable places to do business in BC – with access to Vancouver metro in terms of shipping/trucking/import/export. Canal Flats can position itself accordingly, with the added advantage of being within a three-hour radius of Calgary metro (1.3 million) – which drives recreational property purchase in the Columbia Valley, and can also be a source of investment/entrepreneurship in industrial development.
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Based on land availability, two scenarios present themselves for Canal Flats industrial land: 1) Reduce purely industrial land component and develop more mixed industrial/commercial/residential development on a portion of the lands. 2) Identify export-based target sectors/industries. OTHER FACTORS Canal Flats has a key competitive advantage with respect to availability of water supply for industries such as agricultural processing that are water intensive. Gas-based energy is presently provided by propane. At large scale and depending on industry need, it is possible to construct a gas line connection to Skookumchuck (28 km south). Canal Flats also features potential connectivity to a fibre network installed in the Kootenays by the Columbia Basin Trust, with a PoP in the old school building in the centre of the Village. IV) SECTOR ANALYSIS: LABOUR FORCE SKILLSET 1. OVERVIEW
1.1 LOCATION Located at the headwaters of the Columbia River, Canal Flats is the southern gateway into the Columbia Valley in British Columbia - called the Valley of a Thousand Peaks - that lies between the Rocky Mountains to the east and the Purcell Mountains to the west. The community has ease of access to a large market (Calgary - 320 km NW), an international airport (Cranbrook - 80 km S), a full array of local services (Invermere - 50 km N), and key recreation amenity like Panorama mountain resort (70 km NW) and Kootenay National Park (65 km N). 1.2 DEMOGRAPHY • Population 668 – Census Canada, 2016 • 7% population decrease (2011-2016) due to Canfor mill closure. • 8500 - permanent resident population of the Columbia Valley (Edgewater, Radium, Invermere, Fairmont, Canal Flats). • 20000 – Valley summer population with influx of seasonal residents. • 50% of Columbia Valley’s yearly population are part-time seasonal residents. • 0.9% - projected annual growth rate for the region (to 2030). (Src: Statistics Canada, 2016, Resident Attraction and Retention Strategy for the Columbia Valley, 2016)
Figure 1 – Village of Canal Flats Population
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Canal Flats’ population is aging 2x faster than the BC rate of aging, and has the fastest rate of aging in the Columbia Valley. This is a key economic development issue as a labour force supply challenge. On the other hand, generation of job opportunities on employment centre lands will attract a younger, working age family population. Attracting labour isn’t anticipated to be a challenge given proximity to a large urban population (Calgary) and relative affordability of housing in both the Columbia Valley and Canal Flats.
Figure 2 – Village of Canal Flats Age Structure, 2016 Census of Canada
Table 1 – Village of Canal Flats Median Age, 2006-2016
Median Age 2016 2011 2006 Change 2006- 2016 Canal Flats 46.7 41.8 39.6 7.1 Invermere 42.9 45.8 41.3 1.6 Radium 52.3 47.4 45.3 7 BC 43 41.9 40.8 2.2
Src: Census of Canada, 2006, 2011, 2016
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2. WORKFORCE ANALYSIS 2.1 WORKFORCE BY OCCUPATION
2.1.1 Occupational Strengths (2016) • Trades, Transport, Equipment Operators • Sales and Service • Business, Finance and Administration • Natural Resources; Agriculture and Related
Compared to the Columbia Valley, Canal Flats has more people proportionately working in Trades/Transport/Equipment Operators (+15%), Natural Resources; Agriculture (+4.1%), and Business, Finance and Administration (+1.8%). Canal Flats has fewer people proportionately working in Management, Health, Education; Law and Social; Community/Government, and Manufacturing and Utilities. The remaining occupational groupings are close to average.
Compared to BC, Canal Flats has proportionately more people working in Trades/Transport/Equipment Operators (+20.3%), and Natural Resources; Agriculture (+8.7%). Health. Canal Flats has fewer people proportionately working in Management, Education/Law, Art/Culture/Recreation/Sport, and Manufacturing/Utilities. The remaining occupational groupings are close to average.
Consistent strengths relative to Columbia Valley and BC are: Trades/Transport/Equipment Operators, and Natural Resources/Agriculture.
Figure 3: Workforce Composition by Occupation, 2016 Compared to Columbia Valley and BC
Src: Census Canada, 2016
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2.1.2 Occupation Strength Shifts (2006-2016)
As a proportion of the total labour force and compared to the Columbia Valley and BC, Canal Flat’s Top 3 strengthening occupations as a proportion of the total workforce are Business/Finance/Administration, Natural Resources/Agriculture, and Natural/Applied Sciences. Stand-out weakening occupations as a proportion of the total workforce are Sales and Service, and Manufacturing/Utilities.
Figure 4: Workforce by Occupation (Proportionate Change 2006-2016) Canal Flats Compared to Columbia Valley and BC
Src: Derived from Census Canada 2006, 2011, and 2016
Table 2: Top 3 Occupations 2006 vs 2016 Canal Flats Compared to BC
2016 2006 Canal Flats BC Canal Flats BC
Trades, Transport, Equipment Sales and Service Sales and Service Sales and Service Operators Sales and Service Business, Finance Trades, Transport, Equipment Business, Finance and Administration Operators and Administration Business, Finance and Trades, Transport, Manufacturing/Utilities Trades, Transport, Administration Equipment Equipment Operators Operators
Src: Derived from Census Canada 2006 and 2016
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2.2 WORKFORCE BY INDUSTRY
2.2.1 Canal Flats Workforce Sector Strengths
Compared to the Columbia Valley, Canal Flats has more people proportionately working in Agriculture/Forestry/Fishing/Hunting (+10.5%), Manufacturing (+5.6%), Retail (+3%), and Transportation/Warehousing (+3.4%). Canal Flats has fewer people proportionately working in Construction, Administrative/Waste Management, Arts/Entertainment/Recreation, and Accommodation/Food Services. The remaining occupational groupings are close to average.
Compared to BC, Canal Flats has proportionately more people working in Agriculture/Forestry/Fishing/Hunting (+12.9%), Mining/Oil and Gas (+4.5%), Manufacturing (+6.2%), Retail (+2.4%), and Accommodation/Food Services (+2.8%). Canal Flats has fewer people proportionately working in Construction, Information/Cultural Industries, Finance/Insurance, Real Estate, Professional, Scientific and Technical Services, Educational Services, and Public Administration. The remaining occupational groupings are close to average.
Table 3: Summary Top Village of Canal Flats Industry Sectors by Employment, 2016
Sector % of Workforce Employment Growth Proportionate Shift 2006-2016 in Labour Force 2006-2016 1. Agriculture/Forestry/Fishing/Hunting 15.5% 35 8.9% 2. Retail Trade 14.1% 35 9.2% 3. Manufacturing 12.7% -175 -72.1% 4. Accommodation/Food Services 11.3% 30 8% 5. Healthcare/Social Assistance 7% 15 3.8%
Src: Census Canada 2016
2.2.2 Canal Flats Workforce Fastest Growing Industry Sectors by Employment (2006-2016)
Thirteen of 20 economic sectors recorded employment growth between 2006 and 2016. Two sectors recorded declines (Manufacturing, Public Administration). The loss of 220 jobs in the Manufacturing sector between 2006 and 2016 reflects downsizing and eventual closure of the Canfor mill.
Six of Canal Flat’s 20 economic sectors had absolute growth rates exceeding 75% between 2006 and 2016 (Agriculture/Forestry/Fishing/Hunting, Mining/Oil and Gas, Retail, Educational Services, Healthcare/Social Assistance, Accommodation/Food Services).
“The Heavyweights”
Table 4: Fastest Growing Industry Sectors by Number Additionally Employed in Sector, 2006-2016
Change in Raw Number Employed by Sector (2006-2016) Agriculture/Forestry/Fishing/Hunting 35 Retail 35 Construction 20 Transportation/Warehousing 20 Accommodation/Food Services 30
Src: Derived from Census Canada 2006 and 2016 Village of Canal Flats Foreign Direct Investment Action Plan, 2017 17
“The Movers and Shakers”
Table 5: Fastest Growing Industry Sectors by Proportionate Shift in Workforce, 2006-2016
Proportionate Shift of Workforce (2006-2016) Retail Trade 9.2% Agriculture/Forestry/Fishing/Hunting 8.9% Accommodation/Food Services 8% Transportation/Warehousing 5.6% Professional, Scientific and Technical Services 4.2% Other Services 4.2
Src: Derived from Census Canada 2006 and 2016
“The Upstarts”
Table 6: Fastest Growing Industry Sectors by Rate of Sector Workforce Growth, 2006-2016
% Growth of Sector # Added to Workforce (2006-2016) (2006-2016) Accommodation/Food Services 300% 35
Retail 233% 10
Agriculture/Forestry/Fishing/Hunting 175% 35
Healthcare/Social Assistance 150% 10
Mining/Oil and Gas 100% 15 Educational Services 100% 30
Src: Derived from Census Canada 2006 and 2016
“The Decliners”
Table 7: Fastest Declining Industries as a Proportionate Shift of Total Workforce, 2006-2016
Proportionate Shift of Workforce Change in Workforce (2006-2016) (2006-2016) Manufacturing -72.1% -220 Public Administration -3.3% -10
Src: Derived from Census Canada 2006 and 2016
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Table 8: Workforce by Industry (Top 5 Industries 2016 vs 2006)
2016 2006 Camal Flats BC Canal Flats BC % % % % Workfor Workforce Workf Workforce ce orce Agriculture/Forestr 15.5% Retail 11.7% Manufacturing 72.1% Retail 12.6% y/Fishing/Hunting Retail 14.1% Health Care, 11.2% Agriculture/ 6.6% Health Care, 10.7% Social Assistance Forestry/Fishing Social /Hunting Assistance Accommodation 11.3% Accommodation 8.5% Retail 4.9% Manufacturing 9.4% and Food Services and Food Services Health Care, Social 7% Construction 8.2% Mining/Oil and 3.3% Accommodation 8.9% Assistance Gas and Food Services Construction 5.6% Professional, 8.1% Educational 3.3% Professional, 7.9% Mining/Oil and Gas 5.6% Scientific and Services Scientific and Technical Technical Services Services
Src: Derived from Census Canada 2006 and 2016
2.2.3 Canal Flats Workforce Relative Sector Strengths (2016)
Based on industry sector (classified according to the North American Industrial Classification (NAIC)) share of total employment, Figures 5 and 6 indicate leading sectors relative to the Columbia Valley and BC while Figure 7 indicates Location Quotient (LQ) sectors with values greater than 1 (suggesting economic base/export activity):
Table 10: Summary of Canal Flat’s Relative Industry Sector Strengths
Canal Flat’s Relative Sector Strengths as Canal Flat’s Economic Canal Flat’s Economic Sectors Proportion of Canal Flats Labour Force Sectors With LQ > 1 With LQ > 1 Compared to BC (2016) Compared to Columbia (2016) Valley (2016) Agriculture/Fishing/Forestry/Hunting Agriculture, Forestry, Fishing Agriculture, Forestry, Fishing and Hunting (3.11) and Hunting (6.05) Retail Wholesale (2.26) Mining/Oil and Gas (5.28) Accommodation and Food Services Transportation/Warehousing Accommodation/Food Services (2.59) (1.32) Healthcare/Social Assistance Mining/Oil and Gas (2.01) Retail (1.21) Mining/Oil and Gas Retail (1.27) Arts/Entertainment/Recreation (1.18)
Src: Derived from Census Canada 2016, LQ quotients independently calculated.
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Figure 5: Canal Flats Employment Distribution Compared to Columbia Valley and BC, 2016
Src: Labour Force by Industry, Census Canada 2016
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Figure 6: Proportionate Change in Industry Employment Distribution, as % of Total Employment, 2006 -2016
Src: Census Canada 2006 and 2016
Location Quotients By Workforce Sector Employment, 2016
Location quotients (LQ) measure the relative degree of concentration of an industry sector in a municipality. LQ calculation measures relative industry sector employment in a municipality divided by the relative industry sector employment in a broader, benchmark area. Canal Flats is compared with the Columbia Valley and BC.
• A LQ of 1.0 results if local sector employment is the same as provincial sector employment. • A LQ less than 1.0 indicates a concentration of economic activity that is less than the Columbia Valley and/or BC. • A LQ over 1.0 indicates a concentration of economic activity that is greater than the Columbia Valley and/or BC.
As a general guide, basic industries (LQ greater than 1) are those exporting from the community and bring wealth from outside a community, while non-basic (or service) industries support basic industries.
Figure 7 indicates industry sectors that differentiate Canal Flats from the Columbia Valley and/or BC. Note: zero scoring indicates lack of presence of the sector in a selected geography.
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Figure 7: Canal Flats Location Quotients (LQ) Compared to the Columbia Valley and BC, 2016
Src: LQs independently calculated based on Census Canada 2016 figures.
Two industry sectors have considerably above average representation in Canal Flats compared to BC: • Agriculture/Forestry/Fishing/Hunting 6.05 • Mining/Oil and Gas 5.23
Three industry sectors have modestly above average representation in Canal Flats compared to BC: • Accommodation and Food Services 1.32 • Retail 1.21 • Arts/Entertainment/Recreation 1.18
Four industry sectors have considerably above average representation in Canal Flats compared to the Columbia Valley: • Agriculture, Forestry, Fishing/Hunting 3.11 • Transportation/Warehousing 2.59 • Wholesale 2.26 • Mining/Oil and Gas 2.01
One industry sector has modestly above average representation in Canal Flats compared to the Columbia Valley are: • Retail 1.27
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Location Quotients By Workforce Employment, 2006 to 2016
Sector strength shifts in Canal Flats can be compared over time.
Compared to BC (2006 to 2016), Canal Flats’ economy has shifted relative to BC with the emergence of new sectors, and the disappearance of the Manufacturing sector (mill closure). fewer sectors showing above average concentration. Data indicates an emergent sector strength in tourism services-related sectors (Accommodation, Food Services, Retail), and Creative Industries (Arts/Entertainment/Recreation).
Table 11: Canal Flats LQ Compared to BC, 2016 vs 2006
2016 2006 Agriculture/Forestry/Fishing/Hunting 6.05 Manufacturing 7.65 Mining/Oil and Gas 5.28 Mining/Oil and Gas 4.31 Accommodation and Food Services 1.32 Agriculture/Forestry/Fishing/Hunting 2.29 Retail 1.21 Arts/Entertainment/Recreation 1.18
Src: Derived from Census Canada 2006 and 2016, LQs independently calculated.
Table 12: Canal Flats LQ Compared to the Columbia Valley, 2016 vs 2006
2016 2006 Agriculture/Forestry/Fishing/Hunting 3.11 Manufacturing 5.2 Wholesale 2.26 Mining/Oil and Gas 1.84 Transportation/Warehousing 2.59 Agriculture/Forestry/Fishing/Hunting 1.42 Mining/Oil and Gas 2.01 Retail 1.27
Src: Derived from Census Canada 2016 and 2006, LQs independently calculated.
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Figure 8: Canal Flats Location Quotients Compared to Columbia Valley and BC, 2006
Src: Derived from Census Canada 2006, LQs independently calculated.
2.3 Workforce Movement Economic boundaries are not fixed and the Canal Flats economy both imports and exports its workforce. An understanding of workforce movement allows for consideration of strategic pathways that work to reduce outflow on a broad and/or sectoral basis, and/or work to “repatriate” jobs in Canal Flats tapping skillsets the Canal Flats workforce has that are currently being exported.
2.3.1 Commuter Ratio
With 26% of the labour force working in Canal Flats in 2016 (4.6% from home, 21.5% from commercial/industrial premises), there is significant labour force leakage. This is a limiting factor for expansion of commercial services, and can be improve via development of employment centre lands.
Five percent of the labour force works from home (2016), below an 8.9% BC average.
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Nineteen percent of the Canal Flats labour force has no fixed work place, which is generally a characteristic of the construction, transportation and warehousing sectors. This is higher than the BC average of 14%. Not surprisingly, Canal Flats’ labour force reflects a more trades-oriented profile.
Figure 9: Level of Education – Village of Canal Flats Canal Flats’ labour force education levels reflect a trades skillset.
Src: Census Canada, 2016 2.3.2 Workforce Inflow/Outflow While 180 Canal Flats residents leave the community to work, there is no inflow of Columbia Valley residents into the community to work (Figure 13). The workforce is being exported, which reflects closure of the forestry mill in 2016 (Src: Census Canada 2016, Commuting Flow – Census Subdivisions).
Figure 10: Workforce Inflow/Outflow, 2016
Commuting flow data source: http://bit.ly/2mQSdGd Village of Canal Flats Foreign Direct Investment Action Plan, 2017 25
2.4 Other Village of Canal Flats Workforce/Community Characteristics
• Median household income at $66,304 is only 5% below the provincial average of $69,995 (2016). • House resale prices (2017, inclusive of single and multi-family residences) that are 49% lower than the Columbia Valley average, 77% lower than the B.C. average, 85% lower than metro Vancouver average, and 66% lower than metro Calgary average together with the 8th lowest annual residential property taxes and charges ($1914) on a representative house, provides a significant cost of living competitive advantage for an industrial workforce (Srcs: Royal LePage Rockies West Realty - http://www.rockieswest.com/Statistics/page_2293964.html), Kootenay Real Estate Board - http://www.creastats.crea.ca/koot/, B.C. Real Estate Association - http://www.bcrea.bc.ca/news-and-publications/economics/markets-at-a-glance, Calgary Real Estate Board - http://www.creb.com/public/seller-resources/housing-statistics.php, BC Government - http://www.cscd.gov.bc.ca/lgd/infra/tax_rates/tax_rates2017.htm. • Canal Flats has an immigrant (8%)/visible minority (1.4%) population that is very small compared to BC (28% and 30% respectively). With Canadian policy indicating a welcoming of 1 million new immigrants to Canada over the next three years, this segment of population is an untapped potential in Canal Flats.
2.5 Canal Flats Business Base An analysis of local business licensing can provide a profile of industry sector strength that exists within Canal Flats boundary. Strengths represent competitive advantages, which are typically attractive to similar businesses (as per the principle of economic clustering), and can be capitalized on for corporate or self-employment investment attraction.
There are roughly 46 active businesses in Canal Flats, and 27 commercial/industrial land and building owners, roughly split into the following categories:
• Commercial/retail/restaurant – 7 • Accommodation – 1 • Mining – 1 • Ag – 2 (greenhouse, tannery) • Forestry – 2 (small sawmill) • Industry – 1 • Professional Services – 1 • Other Services – 11 • Construction – 8 • Transportation – 3 • Communications/Technology - 3
Of these, only one company – BID Group (metal fabrication to North American forestry projects) actively exports its outputs as a “basic” economic activity. Certainteed Gypsum has an active mine application east of Canal Flats, but processing will not take place in Canal Flats. Agriculture (greenhouse) offers some opportunity to export product into the Columbia Valley tourism industry.
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2.6 Canal Flats Workforce Profile: Conclusions Analysis of Canal Flats’ workforce and business licensing yields a number of conclusions about the changing nature of Canal Flats’ sectoral workforce:
• Decline of Manufacturing/Manufacturing Revival? – closure of the Canfor forestry mill has erased the presence of 100 years of manufacturing in the community. This is anticipated to be partially offset by the growth of BID Group’s metal fabrication export enterprise. • Trades/Technical Workforce Skillset – reflecting the community’s forestry past, the workforce possesses a technical skills capability (combined with general community spirit) that can be tapped for industrial activity. • Emergence of Creativity – though small, Canal Flats’ geography, water-based location, and affordability are attractive to a segment of the creative community (artists, musicians, etc.) • Economic Diversification – several industry sectors have moved from zero labour force presence in Canal Flats in 2006, to some presence in the community (Administrative/Waste Management, Other Services, Professional/Scientific/Technical Services, Transportation/Warehousing, Wholesale, Utilities). • Prevalence of Tourism Economy – strength of key sectors such as Accommodation/Food Services and Retail indicates the workforce in Canal Flats supports the broader Columbia Valley tourism-based economy.
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V) SECTOR TARGETING
The Province of British Columbia has identified sector strengths (Src: WWW.INTERNATIONAL.GC.CA/INVESTORS- INVESTISSEURS/CITIES-VILLES/WEST-OUEST/BRITISH_COLUMBIA-COLOMBIE_BRITANNIQUE.ASPX?LANG=ENG). From a broad economic development perspective, economic clustering is recognized for its ability to create a sum greater than the parts (productivity, access to labour/skills, etc.). Existing clusters/strengths recognize a location and/or region for its competitive advantages specific to the industry sector (markets, transportation, labour/skills, business costs, etc.). Investment attraction should therefore be mindful of, and work toward, capitalizing on sector strengths. BC SECTOR STRENGTHS
AGRIFOODS
With a diverse and growing selection of agrifood products including Canadian wine and seafood, an international reputation for high food safety standards, and a favourable location for international shipping, British Columbia’s agrifoods sector is well positioned for investment and growth in both existing and new markets.
FORESTRY
British Columbia’s forest industry has attractive investment opportunities in mills, forestry operations, the manufacturing of high-quality forest products and value-added wood products, and biofuels.
MINING
British Columbia is internationally recognized as a centre of expertise in mining, metallurgy, environmental engineering, mine safety, and geoscience. The province is home to the world’s largest concentration of exploration companies and mining professionals, with more than 800 mining and mineral firms and 400 service suppliers choosing Vancouver as their base of global operations.
NATURAL GAS AND LNG
British Columbia’s strategic Pacific Rim location, abundant resources and supportive business environment ideally position the province to become a global leader in the supply of liquefied natural gas. Opportunities abound in B.C., with numerous natural gas projects identified and a strong government commitment to building this new industry.
TECHNOLOGY
- including clean technology; information and communications technology (ICT) and wireless; film, television and digital media; and life sciences- British Columbia’s reputation for technology innovation provides a range of investment opportunities. If you want to invest in a thriving technology or media sector, or do business with innovative companies in these sectors, explore the advantages British Columbia offers.
TOURISM
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British Columbia is known around the world as an outstanding visitor destination. The province’s spectacular natural environment and welcoming, cosmopolitan cities provide memorable experiences and quality tourism products, as well as investment opportunities in tourism products and services.
TRANSPORTATION There are significant investment opportunities, including building and maintaining transportation infrastructure, in British Columbia. Some of this work is done through public-private partnerships (P3s), an area where the province is a recognized leader.
EAST KOOTENAY SECTOR TARGETING The East Kootenay does not target specific economic sectors for investment attraction – e.g. imagine kootenay – www.imaginekootenaycom/invest-home.
VILLAGE OF CANAL FLATS INDUSTRIAL LANDS TARGETING: FOREIGN DIRECT INVESTMENT Based on BC sector strength, Canal Flats and Columbia Valley workforce analysis, land availability, and key site selection criteria such as transportation connectivity, labour skillset, and water availability, the following sector targeting is recommended: Primary Investment Attraction Focus 1) Agrifoods
OBJECTIVE – ATTRACT PROCESSING INVESTMENT (NICHE CROPS, GREENHOUSES, FABRICS, AQUACULTURE, DISTILLERY) Opportunity The future of farming may well divide into mega-farms on one side and boutique operations that fill niches in the food industry on the other. New mechanisms like a food incubator or farm succession/apprenticeship need to be explored to more fundamentally leverage business opportunity from land-based production. In addition, corporate investment in value-added production is desired, but is a wildcard. Smaller scale niche production catering to the grow-local/organic market trend offers more direct connection to the Columbia Valley’s entrepreneurial enablement direction. Canal Flats has a distinct competitive advantage with water supply. Canal Flats has extensive industrial land area to accommodate processing. Canal Flats envisions incorporation of “urban farming” into housing innovation within the Village. Canal Flats has a microclimate within the Columbia Valley that is amenable to growing fruits and vegetables…and even grapes. • Farm to table processing (jams, cheeses, berry syrup, meats, fruits, vegetables, etc.)/retail linked to tourism/local supply to restaurants. Organic (higher margin) packaged product potential. o Supported by co-op approach, regional “brand” for products, and farm-stay tourism (food/education) that offers potential to create a sum greater than the parts. • Hydroponic/vertical greenhouse (https://goo.gl/6LkFOc). Vertical farming - https://goo.gl/clctjv. o Note: Sprung Structures (Aldersyde, AB) has a greenhouse option with a vertical farming element. • Fibre Manufacturing (e.g. clothing – alpaca, hemp) - https://goo.gl/G5BJgo. • Brewery – e.g. (Rossland) - https://goo.gl/asUDLd. • Distillery/Cidery – e.g. Pemberton Distillery - https://goo.gl/F7xY6z, Turner Valley Eau Claire Distillery - https://goo.gl/7B7kHA.
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Vision • Capitalization on vertical greenhouse opportunity to supply Calgary region fresh food market. • Three to five farm to table product specialties, with a region-based brand stamp to be leveraged by the tourism industry. • An emergent distillery/brewery market to serve BC and AB “fresh” market. Supporting Initiatives 1) Develop Niche Crop Focus – work with Valley agricultural industry to identify one to two product development priorities that align with local climate/growing capability/greenhouse specialty. This include food, but could also include nutraceuticals, and should consider ethnic food production potential. 2) Create a Food Manufacturing Incubator – transition one community hall, church or Legion kitchen in Columbia Valley into a commercially-licensed food production facility. Consider construction level/licensing to be able to support export outside BC. The vision is to create a commercially-licensed kitchen that nurtures growth of micro- business/start-up food manufacturing enterprises that face a significant initial – even “non-starter” barrier with respect to regulatory requirement to produce in a commercially-licensed kitchen facility. These types of enterprises, nurtured locally, then grow into larger enterprises. 3) Explore Vertical Farming (Greenhouse) Opportunity - vertical farming offers a signature opportunity in context of growing consumer interest in organic and/or fresh produce. This interest translates to restaurants, farmer’s markets, and grocery stores that are adding locally grown produce to the supply chain. Intensification of production combined with fewer inputs to production (water, chemicals) offers a new form of agricultural economic opportunity, and integrates well with the Columbia Valley tourism industry. E.g. Bevo Agro Inc. (Vancouver, http://www.bevofarms.com) has a patent pending Cubic Farming technology which has been several years in development and production. Licensed to CubicFarms Systems (www.cubicfarms.com), the system is dedicated to managing the opportunity for businesses and entrepreneurs to own and operate a cubic farm by providing world-class systems, processes and support to the cubic farmer. 2) Fabricated Metal Product Manufacturing
OBJECTIVE – LEVERAGE BID GROUP METAL FABRICATION ENTERPRISE INTO ADDITIONAL METAL FABRICATION CLUSTER ACTIVITY The Fabricated metal product manufacturing industry comprises establishments primarily engaged in forging, stamping, forming, turning and joining processes to produce ferrous and nonferrous metal products, such as cutlery and hand tools, architectural and structural metal products, boilers, tanks and shipping containers, hardware, spring and wire products, turned products, and bolts, nuts and screws. Src (incl. sector profile - https://www.workbc.ca/getmedia/ac3d61dd-1455-4bdb-9300-8875295c4cac/Profile-Fabricated-Metal-Product- Manufacturing-compressed.pdf.aspx). An Equipment Manufacturing component of the sector includes: agricultural, construction and mining machinery manufacturing; commercial and service industry machinery manufacturing; engine, turbine and power transmission equipment manufacturing; industrial machinery manufacturing; metalworking machinery manufacturing; other general-purpose machinery manufacturing; ventilation, heating, air-conditioning and commercial refrigeration equipment manufacturing. The Kootenay Region is anticipated to have highest growth rate in this industry sector in BC through 2015. Resource - https://www.workbc.ca/Labour-Market-Industry/Industry-Information/Industry- Outlooks/Manufacturing.aspx More broadly, this sector forms part of an Advanced Manufacturing sector that is increasingly incorporating technology (productivity) to be able to compete with lower cost labour locations globally.
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3) Forestry – Wood Products Manufacturing Niche, small scale, high value output ranging from hobby craft to industrial production. The local labour force has advanced skillset in this industry sector. What’s important is to communicate the vision/targeting and nurture the woodworking skillset, together with entrepreneurial spirit. Though fibre can come from anywhere, access to area forest for smaller scale industry is an issue (e.g. Canfor lease). Whether it is a Community Forest model or alternative, allowance needs to be made for SME fibre access. Examples – cabinets, windows, prefab building components, tourism products (e.g. furniture) Secondary Investment Attraction Focus 4) Mining There are two potential roles industrial land in Canal Flats could serve: 1) Distribution/service centre; 2) Processing centre. This activity is highly dependent on mineral resource exploration activity/in-ground resource. 5) Transportation Location on a rail line and primary road network suggests potential for a transportation, logistics, and distribution hub in Canal Flats. Functionally this would look like warehouses, serviced by trucking firms. This is indicated as a secondary investment attraction focus given the sweet spot for this activity is hub-based storage (e.g. Vancouver port, Calgary inland redistribution hub). While Canal Flats lies between the two cities and offers some potential given direct rail spur/rail line access, this potential is a wildcard. There is potential to service the Columbia Valley from a logistics hub in Canal Flats. Note: The Village envisions a “lighter,” greener future for industrial activity in the Village, including measures that reduce impact (noise, visual, dust, etc.) on Village quality of life. These sector opportunities have been reflected in two investment opportunity sheets generated as part of ICCI grant funding: • Industrial Lands • Koochin Lands This targeting has been incorporated into a more general Investment Guide, and investment-focused website content that forms part of a larger, impending Village website redesign that will better position investment and tourism opportunities, and community development vision.
VILLAGE OF CANAL FLATS NICHE TARGETING: FOREIGN DIRECT INVESTMENT There are micro foreign direct investment opportunities in Canal Flats as follows: 1) Mountain Mercantile – partial conversion of a former school building into a mixed-use community commercial, residential and activity hub. An investor is sought to complete the conversion with the addition of in-building residential units, and laneway housing (pilot housing innovation project in Canal Flats). 2) Kootenay Landing – an investor is sought to capitalize creation of innovative “sea can” housing on a 24 acre riverside property to provide a missing housing rental market in Canal Flats, serving employment centre lands. This phasing is temporary to accommodate potential foreign or other large investment in a resort redevelopment adjacent to the Kootenay River, with access to significant backcountry recreation opportunities. This site also features potential to develop a highway-facing hotel (40-50 units) on an existing, serviced 1.5 acre parcel within the bigger site. 3) Work-Live (Village Centre) - Canal Flats is seeking pioneer investors that will re-build the downtown in a form unique to the Columbia Valley: work-live. “Work-live” refers to a building where the primary use is commercial, but the entrepreneur lives on the second floor...connected to the commercial enterprise. The benefit is a form and
Village of Canal Flats Foreign Direct Investment Action Plan, 2017 31 function that steps beyond home-based business while creating an entrepreneurial form that is lighter on the pocketbook overall. That leaves ability to focus on the business - whether it is a creative artistic enterprise, provides tourism services, commercial services to the Columbia Valley, or operates globally as an Internet business. The Village is currently working through policy adjustments to full enable this potential. Canal Flats is looking for those who see the vision...one that isn’t there now but is fully realizable in a community in an inspired location, with a new vision of itself. 4) Resort/Hotel - a 25-acre site in the Village offers potential to develop an amenity-based resort. The site is treed and was formerly a golf course. Comparables in the Valley include golf (e.g. of a fit with Canal Flats and changing market - http://www.wickenburgranch.com/lil-wick-9-hole/), and fractional/whole ownership, managed by resort operator. 5) Immigration – the Village of Canal Flats welcomes new immigrants who invest in start-up enterprises or purchase existing enterprise(s). These micro foreign direct investment opportunities have been reflected in a series of investment opportunity sheets generated as part of ICCI grant funding: • Kootenay Landing: Lifestyle-priced river residential and recreational living • Mountain Mercantile: Canal Flats Activity Hub • Work-Live: Village Centre • Resort/Hotel
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VI) ONE PAGE FOREIGN DIRECT INVESTMENT ACTION PLAN 5.1 INVESTMENT READINESS: LAND ✓Support the strengthening of employment lands market readiness (including related building assets).
Actions:
1.Support BID Group (political, administrative) discussion with BC Government to obtain Environmental Certificate of Compliance that releases industrial lands for re-subdivision. 2. Complete Industrial Land Strategy via BC Rural Dividend Fund grant. 3. Support BID Group re-subdivision (an eventuality) through planning process/amendments. 3. Explore municipal tools, tax incentives, program supports, policies to improve market readiness. 4. Assess community economic infrastructure asset enhancements and/or gaps (e.g. fibre network connection), and address. 5. Maintain employment lands database for lead generation conversation with investors. 6. Explore policy options and pass Land Use Bylaw amendments that better enable work-live developments. 7. Work with owners of vacant industrial/commercial land to improve visual appeal component of market readiness (site maintenance, signage, etc.).
5.2 INVESTMENT READINESS: MARKETING ✓Support the marketing of investment opportunities.
Actions:
1. Generate sector and opportunity specific investment profiles – completed as part of ICCI funding. 2. Update Village of Canal Flats Investment Guide – completed as part of ICCI funding. 3. Redesign Village of Canal Flats website to focus more effectively on salesmanship around community development vision and investment opportunities – ongoing, investment content completed as part of ICCI funding, website to be fully completed in Spring 2018. 4. List vacant land and building opportunities on Village of Canal Flats website. 5. Draft additional land/business opportunity sheets as required. 6. Maintain business leads contact list and facilitate investment process. 7. Socialize Canal Flats vision and investment opportunities through regional and provincial networks.
Actions to be completed by contract Village of Canal Flats Economic Development Officer through 2018.
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VII) NEXT STEPS With this foundational information in place, a Next Step is to leverage this targeting and positioning information into an Industrial Land Strategy. The Village of Canal Flats generated a submission to the BC Rural Dividend Fund in December, 2017) that will seek to identify a number of deeper development considerations to facilitate creation of “shovel ready” industrial lands: development concepts (land use/parcel sizing), new land use policy requirements, new Official Community Plan policy requirements, ROI on industrial development (servicing costs, absorption rate, Net Present Value calculation, development model (private, public, other models), rail spur needs assessment (currently there), economic impact modeling (construction labour, employment, taxation, development charges/community infrastructure and amenity re-investment), and broadband considerations (potential for tie in to Columbia Basin Broadband Corporation (Columbia Basin Trust) fibre point of presence in downtown Canal Flats.
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