Community projects across southeast Sask. face fundraising challenges with inflation
Volunteer groups across southeast Saskatchewan are dealing with the effects of inflation while trying to raise money for community projects.
“We’ve raised a little over $2 million, looking at the building here today that’s basically all spent. We pretty much need another $1 million to finish the inside,” explained David Harris, referring to Yorkton Brick Mill Heritage Society’s new Interpretive Cultural Centre.
“There’s no plumbing, there’s no electricity. The floor is in the building, but we’re hoping to raise another $1 million to finish the project.”
The not-for-profit started fundraising for the project back in 2021. Although they have received donations from individuals and businesses in the community, along with federal grants worth over $800,000, the group said they are still short to completion because of production costs.
“The cost of materials, sub-trades have all exploded, as we're aware from other projects,” expressed the group’s president Larry Pearen.
“We're disappointed because we thought we were close to our target of fundraising. Our plan was to raise $2 million and we've done that. I also have to give credit to the federal government, we’ve applied for three federal government grants and received all three of them.”
Pearen pointed out adjustments to the project have been made in an effort to keep expenses to a minimum.
“Initially we had a two-storey building, it’s been reduced to one-story. We had a basement, we took it out to reduce the costs,” he said. “We’re trying to put it more into perspective of what we can afford as volunteers fundraising.”
One business said the project plays an important role to Yorkton’s history of agriculture and would like to see it complete.
“I can see in the projects we look at with our business, $2 million does not get you very far anymore,” said Harvest Meats president Geoff Propp.
“Projects we were looking at a number of years ago have nearly doubled. Although things have seemed to calm down recently, it’s still very difficult to plan for those kinds of things. These volunteers have done an amazing job with controlling and adjusting as the building as gone on.”
Pool facility faces similar situation
Another group in the Town of Rocanville has also been forced to make changes to their indoor pool facility as they continue with renovations.
"When they first started this project and came up with a number of $2.3 (million), they couldn't have had any foresight that pricing would've done what it has done in the past few years here,” expressed Mayor Ron Reed.
- Get the CTV News app for Saskatchewan breaking news alerts and top stories
Since budgeting for the project in 2022, the community received a quote of about $2.3 million for refurbishing its Rocanville Aquatic Centre. Now, expenses have increased to over $4 million to repair the 50-year-old building.
"The pool has been a big part in the community for years. It went up in the 1970s with a big help from the local mine. I believe they had put a lot of money towards the project at that point in time,” Reed said.
“It’s employment for our young students. It’s not just a job you go to and then go home at the end of the night, there’s responsibilities there as far as first aid, life saving skills, and swimming is a big part in Saskatchewan.”
Reed added the community is still working hard to fundraise for the project with the goal of opening the facility by spring of next year.
Keeping up with inflation for ongoing projects
One economist explains why inflation has impacted community projects that started years ago.
“If I started a project at this point in time and I think it’s going to cost me this much, if I buy it today, the longer you take to get it done, the more it’s going to cost you,” said economist Dr. Jason Childs at the University of Regina.
“Imagine you say I’m going to buy groceries today, but prices keep rising. You go to buy groceries in two years, it’s going to cost you more than you budgeted.
When planning for future projects, Childs suggests people budget for inflation in order to keep up with costs by the time they are finished.
“If we think the Bank of Canada is going to meet its inflation targets, you can expect about two per cent increase in costs per year,” Childs explained.
“If I’m looking to do something in about three years, six to six and a half per cent is usually a pretty safe bet. But again, we are just coming out of a period of really exceptional inflation, inflation that most people haven’t really experienced in their lifetime. Last time we saw inflation like this was before the early 1990s.
“These last few years is really exceptional in that front and that’s going to make the difference.”
CTVNews.ca Top Stories
Sparks fly as MPs question minister on pension implications of proposed election date change
Sparks flew at a parliamentary committee Thursday as MPs questioned Canada's democratic institutions minister about a widely opposed provision in electoral reform legislation that seeks to delay the next fixed election date by one week.
'There is no electricity': Canadian travellers in Cuba urge caution in hurricane's wake
Cuba's power grid was knocked out by Hurricane Rafael, which ripped across the country as a Category 3 storm. In western Cuba, it toppled buildings and pushed 50,000 people to find shelter elsewhere. Cubans were already enduring rolling blackouts due to energy shortages.
Three charged in One Direction singer Liam Payne's death
Three people have been charged in relation to One Direction singer Liam Payne's death in a fall from his Buenos Aires hotel balcony last month, Argentine authorities said on Thursday.
RCMP already 'on high alert' for potential wave of migrants after Trump election
Canada's federal police force has been preparing for months on a contingency plan for a potential massive influx of migrants across the border following Trump's promise of 'mass deportations' of millions of undocumented immigrants in the U.S.
'There was no stopping this baby from coming': Woman gives birth while aboard Newfoundland ferry
A young family from Codroy Valley, N.L., is happy to be on land and resting with their newborn daughter, Miley, after an overwhelming, yet exciting experience at sea.
Volkswagen models recalled for airbag safety precaution
Recall notices have been issued for some Volkswagen models from 2006 to 2019 for airbag safety issues.
Canmore wildlife and landscape defender Karsten Heuer dies peacefully at 56
Canmore conservationist Karsten Heuer, who was a biologist, park ranger, author and activist, has died.
America votes: How celebrities are reacting to Trump's decisive victory
Celebrities from Hulk Hogan to Ariana Grande are sharing their reactions to the U.S. election, which will see Donald Trump return to the White House.
3 Winnipeg police officers charged with breach of trust, theft
Three members of the Winnipeg Police Service have been charged with breach of trust, obstruction of justice and theft following a lengthy investigation