Evolving agriculture and events in Lethbridge

In a presentation from City Administration and the consultant firm of Deloitte, the Economic Standing Policy Committee (SPC) was briefed on governance options that will reposition the functions of Lethbridge & District Exhibition (LDE) to better serve the community.

The presentation outlined the administrative changes to create two distinct entities -– one to focus on agriculture promotion and one to operate the trade centre facility and event production elements currently delivered by LDE.

“In the coming months, Lethbridge & District Exhibition will go back to its 1897 roots and become Lethbridge & District Agricultural Society,” says Lloyd Brierley, City Manager and LDE Board Chair. “This will be much different than what LDE had grown into and will realign the Ag Society with its original intent of promoting agriculture in Southern Alberta.”

If today’s Economic & Finance SPC recommendation is approved at City Council, the trade centre facility will move to be operated by a temporary holding company (EventCo). This organization would employ all current LDE staff and allow the organization to operate the trade centre facility in the most sustainable and cost-efficient way possible, without needing to meet the criteria of an Ag Society. The City of Lethbridge will be the sole shareholder of EventCo and will be responsible for governance.

“It is important that the City maintains oversight of the facility,” says Darrell Mathews, City of Lethbridge Treasurer and Chief Financial Officer. “This is a tax supported venue and we need to do everything we can to continue to find efficiencies.”

Through a community board and shareholders, the Lethbridge & District Agricultural Society will focus on the promotion of regional agriculture, partnering with EventCo to host signature events like Ag Expo, Whoop-Up Days, & Farmers’ Markets. These changes are required to meet the Agriculture Society and Alberta Gaming Liquor and Cannabis (AGLC) regulations. This will ensure there is no loss of grant or gaming funds to the Ag Society.

In a recent announcement from the Government of Alberta, the Province added $4.03 million in one-time funding to help strengthen the seven regional Ag Societies, which includes Lethbridge. This strong provincial support is aimed at helping Ag Societies manage cost pressures and plan for the future, including achieving more sustainable operational models. It also includes a one-time investment of $2.87 million to support business transformation projects.

The Lethbridge & District Agricultural Society is projected to have a budget of $550,000 annually from provincial grants and fundraising.

“Through our ongoing work and discussions with the Government of Alberta, we will ensure the changes we make align with Provincial direction, while at the same time addressing key issues identified in the Deloitte review.” says Brierley. “We will create role clarity between the Ag Society and the operation of the facility and establish new operating models for both. This allows us to continue the much-loved ag events that our community enjoys while optimizing the use of the trade centre, making it more sustainable.”

As these changes progress, City Council will also consider the consolidation of other event attraction work through the potential creation of a Municipally Controlled Corporation (MCC).

In today’s presentation from Deloitte, SPC members heard various options for future governance models of the trade centre. This included the pros and cons of developing an MCC, Deloitte’s recommended governance model.

Deloitte will return with a business plan, implementation plan and budget to consolidate event attraction across the city into an MCC. Council will use this information in their decision-making process moving forward.

In the coming months, the agriculture community and interested stakeholders will be invited to become part of the Lethbridge & District Agricultural Society as they establish new shareholders and elect a community board. This work is expected to be completed by the end of the summer. 

Changes in the community, including new naming and branding, will evolve as more decisions are made around the future governance model for EventCo.

“These changes won’t happen overnight,” says Lethbridge Mayor, Blaine Hyggen. “It will take time to gather the right information to make informed decisions about what is best for the community.”

In an effort to be transparent and provide information to the public, an online resource is available at https://getinvolvedlethbridge.ca/lethbridge-district-exhibition. This site serves as the hub for any City news and Council decisions regarding LDE. 

Backgrounder

Untangling the functions of Lethbridge & District Exhibition (LDE) into two distinct organizations is complex and time consuming. Ultimately, this change will ensure the right people are focused on the right work as everyone moves towards a more sustainable future.

If City Council approves the SPCs recommendation to create an MCC holding company, the new governance structure below will begin to take shape.

In their presentation to Economic SPC, consultant Deloitte outlined the pros and cons of establishing an MCC and recommended this as the most viable governance structure for operating the trade centre facility.

Deloitte also provided the required milestones and timeline for the establishment of an MCC which could take approximately one year to be implemented.

The full SPC presentation can be found online and is available for viewing through the City’s YouTube channel.