The operating grant program, if created, could create a window of opportunity for HALO Air Ambulance. Eli J. Ridder/CHAT News

By Eli J. Ridder

CITY HALL

Medicine Hat staff to examine options for non-profit operating grant application process

Mar 17, 2025 | 10:25 PM

City staff will start preparing options for the creation of an operating grant application process for Medicine Hat non-profits after council approval on Monday, a directive that was approved with some hesitation.

Coun. Cassi Hider originally proposed creating the grading process to mirror the city’s capital grants initiative, giving organizations like HALO Air Ambulance an opportunity to have their requests rated.

Darren Hirsch, Allison Knodel and other councillors were concerned by the financial implications that such a program could have on the city.

Hirsch pointed out the city had other financial challenges to worry about, Knodel was worried about being tied to large, repeating grants and most of council wanted more information.

Hider’s motion was amended to ask staff to return to council with options. That version passed unanimously, though it did not include a deadline for administration.

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The initial motion to direct staff to create the program was met with apprehension around the council horseshoe.

“Introducing something that is brand new un-budgeted certainly gives me some pause because I think our mandate within the community is to provide good governance,” Hirsch told reporters after Monday’s meeting.

“I have no problem taking a look and to see what’s what’s the options but it would have to win me over pretty big.”

Medicine Hat city council pictured after Monday’s meeting was adjourned. Eli J. Ridder/CHAT News

Coun. Allison Knodel asked during the meeting if setting up a long-term operating grant would create a “financial noose” for the city.

Medicine Hat’s chief administrator Ann Mitchell, in response, said it was a good question that staff would dive into.

“The setting up of the actual grant program is not something that would take time,” Mitchell said.

“We really need to explore whether this is something that council wants to enter into, and is it for a year? Is it a pilot project? How (many) funds are attached to it?”

Mitchell pointed out the city has other major expenditures around the corner, such as the city’s broad energy transition, future facility costs and more.

“Is this something more that we want on our financial plate, but also on the services that we’re providing?”

Despite their reservations, several councillors said they wanted to hear more.

“I would support the exploration of the possibility of what it would look like,” said Coun. Andy McGrogan.

“Like others have said, I’m just concerned about the dollar ramification.”

City council, facing requests from several non-profits for money, asked staff to create a more structured way to rate their asks last year.

The aim was to replace one-off council decisions tied, in part, to timing and emotions, councillors said.

The city in February revealed its new application process, however, it was only for capital grants, leaving requests for operating cash without its own process.

Hider’s motion aimed to fill the gap so that organizations like HALO, which requested $250,000 a year in operating cash from the city last year, could also have a standardized process.

Hider said at Monday’s meeting that the objective of the operating grant program is to work in parallel to the capital grant program the City of Medicine Hat activated earlier this year.

She was not opposed to the changes.

“That’s actually very reasonable for us,” said Hider after council.

“It’s not about me wanting to have an open check for grant programs for sure. It’s we’ve looked at other municipalities and their programs and I think the operational grant would just be an extension of the capital grant.”

Another councillor, Robert Dumanowski, raised questions over what metrics could be involved if the program was created.

“Would this act as a seed grant of some sort? Operational to initiate some kind of non-profit in the form of an incubator?” he asked.

Dumanowski later added that the “devil’s in the details” and that he was open to exploring them.

Hirsch still appeared to be on the fence before voting in favour of the amended motion.

“I wonder outloud whether it’s the best utilization of our staff’s time to even look at this when we, as the City of Medicine Hat, have recognized that we’re already financially challenged,” Hirsch said.

Mayor Linnsie Clark echoed the concerns raised by her colleagues around the horseshoe.

“I agree with the budgetary concerns for sure. I also agree that it’s worth looking into,” Clark said during the meeting.

“I’m just going to support it so we can get a better idea of what’s possible and how we could perhaps event limit requests so that they know what we’re going to be dealing with.”