City ponders extra $3.6M

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This article was published 16/04/2011 (5376 days ago), so information in it may no longer be current.

City politicians will consider giving the Canadian Museum for Human Rights a $3.6-million break to help cover part of the museum’s budget shortfall.

Next week, council’s executive policy committee will review an administrative report that recommends Winnipeg give up $3.63 million worth of payments to boost its contribution to the federal museum by 18 per cent.

The report says the museum asked the city for additional money to cover its capital costs in January. If approved, the city will give up $3.63 million in payments in lieu of taxes the Canadian Museum of Human Rights would have made to Winnipeg, so the money can be directed back towards the cost of constructing the $310-million building.

EPC and city council have yet to approve the plan.

Unlike private museums, national museums make payments in lieu of taxes to the municipality where they are located every year. To date, Winnipeg has received $119,652 in payments from the federal government for the Canadian Museum of Human Rights.

That amount is expected to rise every year as the museum is completed and its value is reassessed.

Mayor Sam Katz said the museum’s budget problems are well known, and he supports the additional funding. The museum will make payments to the city of Winnipeg every year in perpetuity, and Katz said the museum will bring economic spinoffs and tourism dollars to the city down the road.

Winnipeg has previously pledged $20 million towards the museum’s development.

“I think we all know why they need it — they’re over-budget. That’s why they’ve gone to all three levels of government and put in an ask,” Katz said.

Canadian Museum for Human Rights spokeswoman Angela Cassie said the museum has asked all three levels of government for additional money to cover their capital costs, though she would not confirm the amount the museum wants from the provincial and federal governments.

She said discussions with the Manitoba government are ongoing, and talks with the federal government are on hold due to the election campaign.

Cassie said Winnipeg is the first level of government to come forward with additional funding.

“I think they really understand what the impact of this museum is,” she said.

Initially, the cost to build the Canadian Museum for Human Rights was estimated at $265 million. That was later revised to $310 million.

Cassie said the museum has asked each level of government to contribute proportionally to cover the extra capital costs. She said the federal government initially committed $100 million, the province pledged $40 million and Winnipeg agreed to commit $20 million towards the museum’s capital costs.

“We continue to be on budget at $310 million for the building and contents,” Cassie said.

jen.skerritt@freepress.mb.ca