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The turnaround in the fortunes of the Alexandra Blossom Festival was noted by the Vincent Community Board this week and "rewarded" with a grant of $26,000 for this year's event.
The amount had already been included in the board's budget for the coming year and was granted on the condition the festival committee provided an event plan and draft budget in advance and a set of accounts afterwards.
This year's festival float parade will be staged on Saturday, September 22.
Central Otago District Council tourism marketing manager Alison Mason recommended the board approve the festival grant.
"The Alexandra Blossom Festival Committee has re-invigorated a long-standing festival to run another successful event in 2011," Mrs Mason said.
"Each event run during the festival resulted in a positive financial balance," she said.
Board member Barrie Wills congratulated the committee for "pulling the festival back" from the brink of financial disaster two years ago.
"It's been two years and one month since I was on the front page of the paper saying the festival was dead, so it's been a success story for the whole community and we need to keep it going," board member and former festival committee chairman Tim Cadogan said.