The Yorkton Brick Flour Mill Committee once again appeared before the regular meeting of Yorkton Council looking for a commitment of $300,000 toward its proposed build.
At the July 29, 2019 Council meeting, the Brick Mill Committee requested additional funding from the City for further improvements and expansion plans for a Brick Mill Interpretive Center.
The estimated costs of the entire project are $1,200,000 and the request was for the City to commit $300,000 to show support. The committee would continue to apply for grants and do fundraising. The request was referred to 2020 Budget deliberations.
The request before Council today is to acknowledge that the project can be sustainable and set aside $300,000 for the Yorkton Brick Mill Heritage Society Inc. These funds would be used for future capital projects estimated at $1,200,000 providing that the committee complies with the above conditions, stated a report circulated to Council and presented by City Manager Lonnie Kaal.
Terry Tyson, General Manager of Grain Millers Canada Corporation is a member of the Yorkton Brick Flour Mill Committee and was in attendance at the Council meeting to answer questions.
Tyson said the proposed project is a good one, noting that the plan was reviewed by Community Futures which looks at many projects.
“They vetted it and consider it a viable plan,” he said.
Tyson also noted the committee has already raised, and invested some $330,000 in the site.
The financial projections noted by the Yorkton Brick Flour Mill Multi-Function Cultural Interpretive Centre Business Plan report estimates $5,000 in monthly income with $4,000 in expenses. Since volunteers are involved, the salary costs are low. Further, there would be no debt on the building and thus obtaining a break-even position is easier to achieve.
Tyson said the plan for the building creates a flexible area which will be “favourable to capitalizing on some market opportunities.
It’s also a project that will build on tourism, and people’s desire to learn about history.
“We believe we can survive in a competitive market,” said Tyson, in large part by creating “a quality experience.”
By formally allocating the $300,000 to the committee, they can proceed with their building plans, and continue to apply for grants and raise funds. Future discussions will unfold regarding building costs and required funds on hand, prior to any City reserve funds being disbursed, noted Kaal.
“Your support is so valuable in terms of momentum,” said Tyson.
The recommendation by City Administrations was that Council set aside $300,000 for the Multi-Function Cultural Interpretive Centre project that the Yorkton Brick Mill Heritage Society Inc. has planned, and these funds be placed in a reserve for this project with disbursements from this account subject to certain conditions, including that the Yorkton Brick Flour Mill Committee can demonstrate that they have the resources to complete each component prior to starting construction, and the concept and estimated costs be presented to City Administration for approval prior to proceeding.
Council was generally on-side with the investment.
Councillor Mitch Hippsley called it “a no-brainer,” adding “you have my total support.”
“I’m really astounded with what’s been before us,” said Mayor Bob Maloney. He added such projects “always take a bit of a leap of faith ... but I think you do have to invest in your history .... It’s something I think this city should be involved in.”
Coun. Darcy Zaharia was also in favour, but his support initially came with some conditions, the primary one being a desire to see the mill in the hands of the committee not the City as a way to ensure the taxpayer would not be on the hook for potential operational cost shortfalls.
Tyson said they are open to discussions of ownership, although at this point it is a city property and as a heritage site the municipality will always have some input and control.
Kaal added the specifics of operations, including who pays, could be laid out in a letter of understanding as well.
“I’m really glad you’ve left the ownership open,” said Coun. Ken Chyz.
Zaharia also worried the rental space would impact the already open location in the City’s downtown area.
It was noted the space available will be small, and will be for generally niche businesses dovetailing with the site history experience.
Ultimately, Council would be unanimous in its approval.
The $300,000 would come from the City’s Rainy Day Fund, moved to a dedicated reserve until required for the mill project.
Next up for the mill committee is to formally launch its capital campaign to raise their $900,000 towards the project.
