Red Lodge daily news combined with Carbon County news., 1934-04-04
ANNOUNCE PLAN
TO HOUSE PLANT
IN OLD SCHOOL

PlanS Tor the establish
ment Of a brand new $780,
600 industry in Red Lodge
that will add nearly two
score workers to pay rolls
in this community and ma
terially replenish tax cof-
fers of city, county and
school district No. l, and
provide a new market out
let for grain farmers of the
locality were revealed here
this week by the Yellow
stone Distilleries, Inc, in
their negotiations in the
purchase of the old Jeffer-
son school building from the
board of trustees Of school
district No. l to remodel in
to a whiskey distillery.
Completion of the sale Of the
South Broadway school building,
which was abandoned some time
ago by the board and is now con-
sidered worthless for use as a
school building in the district,
rests with voters in district No. 1,
the attorney for the distillery
company declaring that a clear
title to the property could not be
transferred to the company by the
board without first gaining the
consent of the majority of quail
fled electors in district No. /.
Plans for the operation of a dis
tillery here have been under con-
sideration since last November
when the recently organized dis
tillery corporation was granted an
option on the Jefferson school by
the board, after considering a
proposition that if they would sell
the dilapidated building to the
Yellowstone Distilleries, Inc, the
company would erect their dis
tillery here instead of elsewhere.
With the granting of the option
by the board here, the distillery
corporation made application to
the Federal Alcohol Control adj
ministration at Washington, d. c.,
and last week the permit was
granted, it was announced.
If confirmation of the boards
action in selling the school prop
erty to the company is made by
the electors, remodeling of the
building into a modern whiskey
distillery here will get under way
at once, company spokesman said.
1t is planned to build an addition
to the building and a government
bonded warehouse will also be
erected here. Selection of the JEFF
ferson building was made because
of its inadaptability for further
use as a school institution and be-
cause of the desire of the company
in getting their industry in oper-
alton here at once.
The distillery here will be the
only one Of its kind in Montana
and one of the few established in
western states. 1t will give steady
employment to about thirty per-
directly, and furnish, Indirect
ly, employment for many others.
More than $500 will be expended
every day in the locality by the
company for the purchase Of grain
and payments for labor. Two hum
bred bushels of grain will be con-
sumed every day of the year in
furnishing raw material for whis-
key manufacture. Two government
officials viii be stationed here at
all times and taxes to the federal
government alone will amount to
more than $4,000 a day. The I'M
equalled purity Of Red Lodge wa
ter, spokesman said, was an inn
portant factor in the granting of
the distillery permit by the FACA.
If consent Of the voters is Sc
cured grounds of the school build
ing viii be beautified and an inn
posing structure will be remodeled
from the old school building. AS
it stands now, the dilapidated
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