Viability reviews for municipalities

A review can be started in one of 3 ways:

Council request

Councils can write to the Minister of Municipal Affairs to request a review if:

• they have completed the self-assessment questionnaire
• they have implemented the mitigation tools found in the capacity building toolkit
• they believe the municipality is in jeopardy or no longer sustainable

A completed self-assessment questionnaire must be included with the written request.

Citizen petition

Citizens of a municipality can petition the Minister of Municipal Affairs to begin a review.

To petition the minister, citizens must complete a petition that includes:

• the signatures of 30% of the municipality’s eligible voters (50% of eligible voters for summer villages)
• a statement of representative of petitioners
• an affidavit for each person that witnessed signatures

All legislated requirements for petitions are outlined in the information handout on petitions.

Before starting a petition, citizens should contact the Municipal Viability Team by phone at 780-427-2225 or email at [email protected].

Minister’s discretion

The Minister of Municipal Affairs can initiate a viability review if they believe it’s warranted.

A viability screening is not required in advance of a viability review but may be completed under certain circumstances to help the minister decide if a review or another process is necessary. This can involve staff gathering information and documents to understand any issues and why the council request or citizen petition was made.

A viability screening may also take place when a municipality is considered at risk for three consecutive years through the municipal indicators.

If the minister decides a viability review is necessary, the minister will commit to holding a vote of the electors on the question of dissolution at the conclusion of the review.

The information collected for the review comes from:

• ministry staff
• information supplied by the municipality being reviewed
• information supplied by the receiving municipality
• the municipality’s infrastructure assessment or audit
• stakeholder engagement and community involvement, which can include:
  • written submissions
  • surveys
  • open houses
  • public meetings

During a review, municipalities can apply for funding through the Alberta Community Partnership program to pay for the completion of an infrastructure assessment.

After the review, ministry staff provide a report to the municipality.

The report includes 2 options for the municipality:

• recommendations for the municipality to reach viability
• a description of the changes and impacts to residents if the municipality was dissolved

The report is also sent to residents and presented at a public meeting.

After the public information session for residents, a vote of electors is held and administered by ministry staff in accordance in accordance with the Local Authorities Election Act (LAEA).

To be eligible to vote, a person must be:

• at least 18 years of age
• a Canadian citizen
• a resident of Alberta and their place of residence is located in the local jurisdiction on election day

According to the LAEA, residents of another municipality, or who own property but whose primary place of residence is not in that municipality, are not eligible to vote.

A person’s primary residence is usually the one to which their tax returns are addressed, is on their driver’s licence, or the address their mail is addressed and delivered

In order to vote, eligible electors must produce identification for inspection. Acceptable forms of identified can be found here: Voter Identification Requirements

A public vote is held on the following 2 options:

1. implement changes to achieve viability, or
2. dissolve and become part of a neighbouring municipality

If a majority of residents vote for option one (implement changes), the minister will issue directives which the review municipality must comply with. If the majority of residents vote for option 2 (dissolve), minister is required to recommend dissolution to the provincial cabinet, who will then make the final decision on dissolution.

For more information about dissolution, see the Dissolution section on Municipal restructuring.

Depending on the outcome of the vote, the minister will either issue a ministerial directive or recommend municipal dissolution to the cabinet, who will make the final decision to dissolve the municipality.

The Town of Grande Cache was dissolved and became part of the Municipal District of Greenview on January 1, 2019.

Public notices and reports

• Town of Grande Cache Report

The Town of Granum was dissolved and became part of the Municipal District of Willow Creek on February 1, 2020.

Public notices and reports

• Town of Granum Report

Current status

A vote of the electors of Manning on the question of dissolution was held October 28 and October 29, 2020, in accordance with the Local Authorities Election Act.

Of the 367 valid ballots cast, 88% (324 ballots) supported remaining as a town, while 12% of voters (43 ballots) supported dissolving and becoming a hamlet in the County of Northern Lights.

The Minister has issued directives to Manning to achieve viability, based on the recommendations within the viability review report. The Town of Manning will have to provide annual updates on the progress of the directives for 4 years.

Public notices and reports

• Town of Manning Viability Report
• Letter to Town of Manning residents and property owners – February 2021

Current status

A vote of the electors of Bawlf on the question of dissolution was held October 20 and October 21, 2020, in accordance with the Local Authorities Election Act.

Of the 166 valid ballots cast, 54% (90 ballots) supported remaining as a village, while 46% of voters (76 ballots) supported dissolving and becoming a hamlet in Camrose County.

The Minister has issued directives to Bawlf to achieve viability, based on the recommendations within the viability review report. The Village of Bawlf will have to provide annual updates on the progress of the directives for 5 years.

Public notices and reports

• Village of Bawlf Viability Report
• Letter to Village of Bawlf residents and property owners – February 2021

Current status

Following a vote of electors in which electors voted to remain a village, the minister provided the Village of Berwyn with directives through a Ministerial Order to ensure continued viability. The village will continue to report on the implementation of the directives until June 2023.

Public notices and reports

• Village of Berwyn Report

The Village of Cereal was dissolved and became part of the Special Areas on January 1, 2021.

Public notices and reports

• Village of Cereal Viability Review Report

Current status

The minister decided on December 11, 2018, based on the input from the public and the VRT, a vote would not be conducted and viability directives were issued.

The village completed its update regarding progress on the minister’s directives in May 2019 and will provide annual updates until June 1, 2023.

Public notices and reports

• Village of Champion Report

Current status

The minister reviewed the council decision and the recommendations from the VRT and issued directives (MO No: MSL:054/16) to the municipality. The village is providing annual reports until June 1, 2021 to the ministry on the completion of the directives.

Public notices and reports

• Initial Findings Report
• What We Heard and Viability Determination Report
• Viability Plan

The Village of Dewberry was dissolved and became part of the County of Vermilion River on January 1, 2021.

Public notices and reports

• Village of Dewberry Viability Report – October 2020

The Village of Ferintosh was dissolved and became part of Camrose County on January 1, 2020.

Public notices and reports

• Village of Ferintosh Report

The Village of Gadsby was dissolved and became part of Stettler County on February 1, 2020.

Public notices and reports

• Village of Gadsby Report

Current status

At the request of the Village of Halkirk, the minister initiated a viability review of the village in March 2020. The review included an infrastructure study funded by the Alberta Community Partnership program. Following the analysis of the village’s local governance, administrative and operational capacity, finances, infrastructure and services, the review provided 14 recommendations required to ensure ongoing municipal viability of Halkirk.

The viability review report was provided to residents and property owners in early February 2022. This was followed by a public information session on the viability report and the vote of electors.

A vote was conducted on the question of dissolution on March 8 and 9, 2022, in accordance with the Local Authorities Election Act. Of the 55 valid votes cast, 33 (60%) supported Option 1 (remain a village), and 22 (40%) supported Option 2 (dissolve). As a result, Halkirk will remain as an incorporated municipality.

The minister has ordered the Village of Halkirk to address the recommendations, and to annually provide updates over the next 5 years.

Public notices and reports

• Village of Halkirk Report

Current status

The minister issued directives (MO No: MSL:122/17) to the municipality on December 19, 2017.

The village is directed to develop an action plan (including timelines) as to how the council plans to address each of the recommendations in the viability plan, to prepare a 10-year capital plan, and to provide copies of the 2 plans to Municipal Affairs.

The village is to report to the ministry annually, until June 1, 2023, on the progress of the implementation of the plans.

Current status

The minister issued directives (MO No: MSL:072/18) to the municipality on October 3, 2018.

The village is directed to develop an action plan (including timelines) as to how the council plans to address each of the recommendations in the viability plan, to prepare a 10-year capital plan, and to provide copies of the 2 plans to Municipal Affairs.

The village is to report to the ministry annually, until June 1, 2023, on the progress of the implementation of the plans.

Public notices and reports

• Hussar Viability Plan
• Read the minister's letter to residents on completion of the viability review.

Current status

On June 9, 2021, the Lieutenant Governor in Council approved the dissolution of the Village of Hythe.

Effective July 1, 2021, the Village of Hythe will be dissolved and become a hamlet in the County of Grande Prairie No. 1.

Public notices and reports

• Order in Council 168/2021
• Village of Hythe Viability Report – March 2021

Current status

Following a vote of electors in which electors voted to remain a village, the minister provided the Village of Innisfree with directives through a Ministerial Order to ensure continued viability. The village will continue to report on the implementation of the directives until June 2023.

Public notices and reports

• Innisfree Viability Plan

Current status

The minister issued directives (MO No: MSL:055/18) to the municipality on July 19, 2018.

The village is directed to develop an action plan (including timelines) as to how the council plans to address each of the recommendations in the viability plan, to prepare a 10-year capital plan, and to provide copies of the 2 plans to Municipal Affairs.

The village is to report to the ministry annually, until June 1, 2023, on the progress of the implementation of the plans.

Public notices and reports

• Village of Rycroft Viability Plan
• Read the minister's letter to residents on completion of the viability review.

The Village of Wabamun was dissolved and became part of Parkland County on January 1, 2021.

Public notices and reports

• Village of Wabamun Viability Report 

Current status

The Minister of Municipal Affairs initiated a viability review of the Village of Warner in December 2020 following a sufficient petition request made by electors of the village. The review included an infrastructure study funded by the Alberta Community Partnership program. Following the analysis of the village’s local governance, administrative and operational capacity, finances, infrastructure, and services, the review provided 15 recommendations required to ensure ongoing municipal viability of Warner.

The viability review report was provided to residents and property owners in February 2022. This was followed by a public information session on the viability report and the vote of electors.

A vote of the electors of Warner on the question of dissolution was held March 30 and March 31, 2022, in accordance with the Local Authorities Election Act. Of the 166 valid ballots cast, 90.4% (150 ballots) supported remaining as a town, while 9.6% of voters (16 ballots) supported dissolving and becoming a hamlet in the County of Warner. As a result, Warner will remain as an incorporated municipality.

The minister has issued directives to Warner to achieve viability, based on the recommendations within the viability review report. The Town of Warner will have to provide annual updates on the progress of the directives over the next 5 years.

Public notices and reports

• Village of Warner Report