Steinbach Economic Development to continue despite city funding cut

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The ending of a five-year pilot project that saw the City of Steinbach support the Steinbach Economic Development Corp. (SEDC) will not threaten the organization, at least in the short term.

Council voted unanimously to end their $65,000 annual support to SEDC, at the end of 2025, the conclusion of the five-year pilot project.

After Tuesday’s meeting, Mayor Earl Funk said the news wasn’t a surprise to SEDC, whom he had met with before the decision was official.

NICOLE BUFFIE CARILLON ARCHIVES 

SEDC board president Christine Beaumont said the organization will continue operating while they explore alternative funding.
NICOLE BUFFIE CARILLON ARCHIVES SEDC board president Christine Beaumont said the organization will continue operating while they explore alternative funding.

“We felt that we held true to our bargain with the five-year pilot, but we just felt it was time,” he said. “I think that what we learned about our city, what we learned about the businesses that are in our city, and the type of businesses that want to come; I think going forward it will make us a stronger community.”

Funk said if the organization continues, the city will support their efforts in other ways.

“We’ll be at the table to work with them, 100 percent,” he said.

At the meeting, Coun. Jac Siemens brought forward the motion to continue their funding commitment to the end of December but end it as the pilot project expires.

He said having an economic development office was something many councillors campaigned on during the 2018 election, and admitted the success was difficult to evaluate.

“The city has put in $65,000 a year for the last five years, from 2021 to current,” he said. “We haven’t seen the development that we would have liked to have seen. At this point in my opinion, if we need to keep the economic development office it should be run under the umbrella of the Chamber of Commerce and the funding that we provide.”

Coun. Bill Hiebert agreed, saying he was one of those who ran on the need for an economic development office.

“I haven’t seen what I was expecting to see,” he said. “I don’t see the value that I thought I would see.”

Hiebert said local business people and developers already do a great job of attracting business and boosting economic growth.

Coun. Jake Hiebert agreed and said he too had campaigned on a promise to see an economic development office created.

“I do not see the results that I expected,” he said.

SEDC board president Christine Beaumont was out of the province on vacation but issued a news release responding to the council decision.

She said the organization will continue, despite the loss of funding.

“Although the city’s funding commitment concludes at the end of 2025, SEDC has significant reserve funds that will allow its operations to continue in the near term,” the release stated. “The board of directors will revisit SEDC’s focus and priorities, seeking input from the private-sector stakeholders who contributed the other half of the original funding to get the project off the ground.”

SEDC will also explore alternative funding sources including provincial, federal and private-sector opportunities.

“For a city the size of Steinbach and growing at the pace it is, the economic development office fills a key role in the strategic advancement of industry for our community,” Beaumont said. “We understand the city will continue to invest in essential infrastructure to support growth, and despite the discontinuation of municipal funding, SEDC remains committed to moving in the same direction – collaborating with and supporting city-led initiatives.”

While councillors decried the lack of progress, SEDC said they’ve celebrated milestone achievements, underscoring Steinbach’s growing role as a hub of economic leadership, workforce innovation and investment.

Achievements according to SEDC include laying the groundwork for positioning Steinbach as a compelling destination for business investment, resulting in significant increases in inquiries and interest from outside investors.

They add that they’ve made meaningful connections within Manitoba’s and Canada’s broader economic development ecosystem which unlocks new avenues for collaboration and funding.

They also prioritized the local workforce, helping employers attract and retain talent helping secure Steinbach’s participation in the Rural Community Immigration Pilot.

“Today, 24 local employers are designated participants in the program,” they said.

They also take credit for expanding local education.

“Starting in September 2025, Assiniboine Community College will offer nurses training in Steinbach, thanks to the successful efforts of SEDC.”

Beaumont said Steinbach has amazing opportunities to grow.

“SEDC remains committed to building the foundation needed to harness these opportunities and advance our mission of creating a healthy, prosperous region,” she said.

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