CEDTAP Forum 2000
Proceedings: CED in the Atlantic

COMMUNITY ECONOMIC DEVELOPMENT:  A STRATEGY OF THE SAINT JOHN HUMAN DEVELOPMENT COUNCIL

Community Enterprise Development:

Target Population

• Long-term unemployed (5 - 10 years).
• Average education: grade 12.
• Average income below poverty line.
• Government assistance recipient.

Initiatives

• Business Venture Group (Simply Good Café/Catering).
• New Brunswick Tea Company.
• Coverdale Centre/John Howard Society.
• Saint John Food Purchasing Club.

Example of Impact:  Business Venture Group

• Reduced medical costs.
• Improved employability profile (skills in group work, organization, planning and communication).
• Recruited $10,700 in start-up capital.
• Generated $1,300 in revenue in 2 months.

Saint John Community Loan Fund:

Characteristics

• Lender of last resort.
• Makes loans to people living on low incomes for business start-up, expansion and for getting back to work.
• Applicants need a business plan.
• Request is reviewed by a community committee.
• One-on-one follow-up with each borrower.
• Money for loans comes from community investors. Fishing

Highlights

• $60,000 in community capital recruited.
• Over 90 loan inquiries - mainly from HRD-NB, Enterprise Saint John and Y-Enterprise Centre.
• 10 loans - no defaults.
• Two loans repaid.
• One family off Income Assistance.
• Recently incorporated.
• Founding member of Canadian Association of Alternative Financing (CAAF).

Benefits to Community and Government

• Reduced costs to provincial and federal income assistance.
• Reduced medical costs.
• Reduced costs to Disability Pension.
• Decreased level of "poor bashing".
• Increased inter-agency co-operation.
• Increased community capacity.
• Improved social and economic policy.

Panelists:

Patricia Allan-Clark and Seth Asimakos, Saint John Human Development Council

ISLE MADAME, CAPE BRETON

Crisis in the Community:

• Fishing the mainstay of Island's economy since 1700s.
• Collapse of the Atlantic Groundfish Fishery in 1994:   500 jobs lost.

Response to Crisis - CED:

• Industrial adjustment services (IAS) report and recommendations.
• GTA report and recommendations.
• Economic task force.
• Social task force.
• Development Isle Madame (1995).
• Strategic Development Plan.

Initiatives:

Isle Madame Small Options Home

• Owned by Development Isle Madame.
• Provides care for 3 challenged individuals.
• Employs 3 full-time and 3 part-time staff.

Aquaculture Development

• Identified as an emerging sector.
• Isle Madame has 3 shellfish farmers.
• Scotia Rainbow is largest trout farm in North America.
• 100 - 200 jobs created.

Tradewinds Call Centre

• Development Isle Madame owns 90% - partnership with private sector.
• Capitalizes on community strengths.
• Uses the local French Training Institution.
• 2 full-time, 8 permanent, part-time jobs created.

Information Technology Centre

• Based on the Virtual CED Centre Projects.
• Bridging the "old economy" to the "new".
• Creating an IT cluster.
• CAP site/Service Canada.
• On-line course delivery.
• Web/software design
• Consultation, marketing and communications.

Community Investment Funds (CIFs)

• Investment capital is one of the most important vehicles in CED.
• Provides access to local capital.
• Development Isle Madame set up the province's first CIF.
• Second CIF to save local hardware store.
• Third CIF for renewed fishery .

Challenges:

Past Challenges

• Operational funding.
• Community/government buy-in.
• Parochialism.
• Understanding the process.
• Volunteer burnout .

Present Challenges

• Operational funding.
• Community/government buy-in.
• Communication strategy.
• Rationalization/centralization.

Panelist:

Jason Boudrot, Development Isle Madame

CAN THE UNEMPLOYED BECOME ENTREPRENEURS?:  AN EXAMPLE OF THE GASPÉSIE

Context:

• The Gaspésie has experienced a decline in the fishing, forestry and mining industries; fewer jobs and out-migration have been the results.
• Over the next five years, the population is expected to decrease from 102,000 to 86,000.

Agriculture in the Gaspésie

• Currently a sector that is underdeveloped due to the region's distance from large markets.
• The Commission sectorielle agricole du Conseil régional de concertation et de développement (CRDC) de la Gaspésie is working to develop and support the presence and labeling of local food products in the local market.
• Farm land hasn't been affected by heavy use of fertilizers and pesticides, so potential exists for sustainable agricultural production.

The Initiative:  The Volunteer Action Centre of Grande Corvée

• Established community gardens for 15 unemployed youth in 1999. 
• Overall objectives of the initiative include:   creating jobs in the agricultural sector; educating youth and the community on the importance of agriculture to the region's economy; developing a support network for those interested in pursuing an agri-business; and developing new skills. The organization also wants to develop partnerships with the two existing producers in the region. 
• Economic objectives include:  diversifying the local economy; and developing a food processing industry.

Panelist:

Thérèse McComber, les Oeuvres communautaires gaspésiennes