Red Deer County Slashes Rural Connect Funding in New Multi-Year Budget

Red Deer County Council unanimously approved its 2026-2028 operating budget Tuesday, headlined by a multi-million dollar reduction in planned contributions to Rural Connect Ltd.

Rural Connect Funding Cut

The decision significantly scales back the county’s financial commitment to the rural internet provider over the next three years. Under the amended budget, the 2026 contribution to Rural Connect Ltd. was cut from $2.19 million to $1.33 million.

The reductions grow steeper in the following years. The 2027 contribution was slashed by $1.8 million, and the 2028 funding was reduced from $2.11 million to just $150,031. Total cuts to the provider over the three-year cycle exceed $4.6 million. Council discussed these specific contributions in a 44-minute closed session before the public vote, citing protections for third-party business interests and local public body confidences.

Conflict Over Dust Control Fees

While the overall budget passed unanimously, the 2026 Fee Bylaw saw a 6-1 split. Councillor Lee Girard cast the lone vote against the new fee schedule after an amendment changed how residents pay for road dust suppression.

Councillor Julie Brewster moved to set the fee for calcium chloride application at $9.60 per lineal metre, or $1,200 for a standard 125-metre stretch. This move forced an immediate $78,600 reduction in the 2026 Operating Budget's projected revenue. Girard, who initially moved to approve the fee bylaw, voted against it in both second and third readings following the amendment’s success.

Public Hearings See Zero Turnout

Two public hearings regarding major land-use concepts saw no participation from the community.

Council held hearings for Bylaw 1018/2025, involving the Waskasoo Local Area Structure Plan, and Bylaw 1019/2025 regarding Gasoline Alley West. In both instances, no residents appeared to speak and no written submissions were noted. Council subsequently passed both amendments unanimously, updated the land-use concepts and summary tables for both areas.

Land Re-designated for Manufactured Homes

Council gave final approval to a 60.8-acre re-designation on part of SW 32-37-27-4. The land was moved from Direct Control District #9 to Manufactured Home Park District (R-8). The move follows a previous public hearing held in November and clears the way for high-density residential development in that sector.

Other Business

* Economic Development: Council reduced annual funding for economic development by $25,000 for each of the next three years (2026–2028).
* ALUS Program: New rules were approved for the Alternative Land Use Services (ALUS) program. “Project Funding” can now be used for annual payments and administrative delivery costs, rather than being restricted to physical site improvements.
* Variance Report: Council accepted the September 30, 2025, budget variance report, which tracks spending through the end of the third quarter.
* Board Appointment: Councillor Lee Girard was appointed to the Central Alberta Economic Partnership Board of Directors.

What’s Next

The new Fee Bylaw, including the modified dust suppression rates, takes effect January 1, 2026. The 2026-2030 Capital Plan is now ratified, setting the schedule for major infrastructure spending over the next five years.