Article – Lethbridge city council hammered out a critical decision Monday night that will reshape the future of southern Alberta’s agricultural showcase. After months of community debate and financial scrutiny, councillors voted to split the Lethbridge & District Exhibition (LDE) into two separate organizations to manage the region’s newly minted Agri-Food Hub and Trade Centre.
The motion passed with a strong 7-2 majority, reflecting council’s desire to address operational challenges that have dogged the $70.6 million facility since its grand opening last year.
“This restructuring isn’t about placing blame,” said Councillor Jeff Carlson, who supported the split. “It’s about creating specialized management that can maximize what this facility means for our agricultural producers and the southern Alberta economy.”
The sprawling 268,000-square-foot facility, which opened in April 2023, has struggled to meet financial projections while carrying significant debt. According to City Manager Lloyd Brierley, the facility currently holds approximately $25 million in outstanding loans that require immediate attention.
“The potential is enormous, but we need governance that matches the scale of this operation,” Brierley told council during deliberations. “The status quo simply isn’t sustainable.”
Under the approved plan, one organization will focus exclusively on operating the Agri-Food Hub and Trade Centre as a convention and exhibition space, while a second will manage agricultural programming, including the beloved Whoop-Up Days festival that has been a community staple for generations.
The restructuring comes after an independent consultant’s report highlighted governance challenges within the current organizational structure. The report, commissioned last fall, recommended separation of duties to better serve both the facility’s commercial potential and its agricultural mandate.
Mayor Blaine Hyggen, who voted in favor of the split, emphasized the facility’s importance to the region’s identity and economic future.
“This isn’t just another building – it’s the cornerstone of our agricultural heritage and future,” Hyggen said. “Sometimes you need to make difficult decisions to protect what matters most to the community.”
The Agri-Food Hub represents one of the largest infrastructure investments in Lethbridge’s history, with funding coming from multiple levels of government. The federal government contributed $27.8 million through the Investing in Canada Infrastructure Program, while the provincial government added $25 million. The City of Lethbridge invested $17.8 million directly, with the Exhibition providing another $3.5 million.
Despite the financial challenges, the facility has already hosted notable events including livestock shows, trade exhibitions, and conferences that have brought visitors from across western Canada. Lethbridge Economic Development estimates the facility could generate up to $90 million in annual economic activity when operating at full capacity.
Not everyone on council supported the decision. Councillor Belinda Crowson, who voted against the split, expressed concerns about rushing the restructuring process.
“I worry we’re creating a solution before fully understanding the problem,” Crowson said during debate. “The facility has been open less than a year. We should give the current leadership more time to work through these growing pains.”
The approved motion directs city administration to return within 90 days with a detailed implementation plan, including governance structures for both organizations and a strategy for debt management. The plan will also address how to divide assets between the two entities and ensure a smooth transition for staff members.
Agricultural stakeholders who attended the meeting expressed cautious optimism about the change. James Villeneuve, a third-generation cattle producer who exhibits at the facility, hopes the restructuring will strengthen the facility’s agricultural focus.
“Farmers and ranchers need to know this place is still for them, not just for fancy conventions,” Villeneuve said after the vote. “If this helps secure the agricultural future of the facility, then I’m all for it.”
According to recent financial reports presented to council, the facility has operated at a $1.2 million deficit since opening, significantly higher than the $450,000 initially projected for first-year operations. City administration believes specialized management could help close this gap through increased bookings and operational efficiencies.
Exhibition CEO Mike Warkentin, who has led the organization through the facility’s construction and opening, acknowledged the challenges while expressing hope for the future.
“We’ve built something remarkable for southern Alberta,” Warkentin said. “Whatever governance structure emerges, the focus must remain on creating opportunities for our agricultural community and economic growth for the region.”
The Agri-Food Hub and Trade Centre represents a significant evolution from the old exhibition grounds that served Lethbridge for decades. Beyond its role hosting agricultural events, the facility was designed to attract major conventions, trade shows, and entertainment events to southern Alberta.
The two dissenting votes came from councillors who questioned whether splitting the organization addresses the underlying financial challenges. They suggested more direct financial support might be needed regardless of governance structure.
City administration expects the transition to two organizations will begin later this year, with full implementation targeted for early 2025. In the meantime, the current Exhibition leadership will continue managing upcoming events, including the annual Whoop-Up Days celebration scheduled for August.
As Lethbridge navigates this transition, the stakes remain high for a facility that represents not just the city’s agricultural heritage, but its economic future in an increasingly competitive global food economy.
