Chilliwack is pledging a $1 million capital contribution for the $9-million expansion of the YMCA of Chilliwack.
Ever since the YMCA of Greater Vancouver announced details about their expansion and renovation plans for the Chilliwack YMCA in October, city and Y officials have been hammering out a series of related agreements.
“The YMCA is about to embark on its building project, and is asking for help,” said Mayor Sharon Gaetz, before council voted Tuesday on the capital contribution and partnering agreements.
“We are so very proud they are part of our community,” Gaetz said.
The $1 million capital contribution from the city, approved in a unanimous vote of council Tuesday, will be paid once the construction starts next year.
City of Chilliwack already provides the Y with an annual CDI service subsidy of $153,000 for programs.
“With this expansion and renovation, the YMCA has committed to becoming self-sustaining by the end of the 10 years and will no longer be in need of the annual service subsidy.
“This agreement will increase the servicing subsidy, for the increased and improved services to be provided with the capital project, from $153,000 to $200,000 starting a year after the initial contribution and continuing for 10 years,” according to the agreement.
Included in the “partnering agreement” is a future-looking request of council to provide a 30-year tax exemption for the property. The YMCA is looking for a 30-year term as that would be the “life” of the project and will provide them with certainty on how the property would be taxed.