Alberta Health Services is closing the Little Bow Continuing Care Centre in Carmangay. Alberta Health Services is closing the Little Bow Continuing Care Centre in Carmangay. (CBC)

Residents of the village of Carmangay in southern Alberta are keeping up the fight to save the local long-term care facility.

The Little Bow Continuing Care Centre is home to 18 people who have dementia.

Alberta Health Services announced earlier this month it plans to shut the Care Centre down.

About 150 people rallied in Carmangay on Monday afternoon to put pressure on AHS to reverse the decision.

Wildrose Party leader Danielle Smith says the facility is vital to the villlage of 250 people.

"I think this facility employs about a quarter of the town.This can spell the death knell for a community," Smith said.

Alberta Health Services issued a written statement on Monday saying the facility, "built in 1958, no longer meets the needs of residents," and needs major capital upgrades.

The village had been told the facility would close in two to three months, but Monday's statement from AHS says there is no deadline for moving residents to new facilities.