The New Bern Board of Aldermen have agreed to seek nearly a million dollars in grant funding to go towards the creation of a state of the art Pepsi Museum in downtown New Bern. The move is the first step in what could be a lengthy process towards finalizing plans for the new facility.
During their April 11 meeting, the board voted 7-0 to apply for a $950,000 Rural Transformation Grant through the NC Department of Commerce in order to develop a 6,000-8,000 square foot, city-owned museum dedicated to the historical legacy of Pepsi. The soft drink was invented by local pharmacist Caleb Bradham in 1893 and trademarked a decade later.
Rural Transformation Grants can be used for Main Street and downtown investment and revitalization efforts that support downtown economic development. The current grant cycle will close on May 3 and approved grants will be announced on June 13.
The move by the city to seek the grant was requested by Bradham’s Legacy, a local non-profit that was registered by Lynne Harakal, the executive director of Swiss Bear, Inc., in March 2020 to be the governing body for the planned museum.
In January, Mayor Odham and New Bern City Manager Foster Hughes were both appointed to the nine-member board of Bradham’s Legacy, which also includes representatives from Tryon Palace, Swiss Bear, and PepsiCo.
Though the question was raised by Alderman Rick Prill during the meeting, City Attorney Scott Davis said there was no conflict of interest in Odham sitting on the Bradham’s Legacy board while also voting on the grant application.
Davis said that future funding requests could raise issues, however.
“In theory going forward it could be something that we need to be mindful of, for sure,” Davis noted.
The April 11 grant vote came after a presentation by Bradham’s Legacy Chairman John Haroldson. The presentation was originally scheduled for the board’s March 28 meeting but was pushed back after the board approved by a 4-3 vote a motion from Alderman Hazel Royal to table the item. Royal explained she was concerned about updated information from Bradham’s Legacy the board received just prior to the start of the meeting.
According to the presentation by Haroldson and agenda packet information provided to the board, there is no plan in place for where the Pepsi Museum would be located. An agenda packet given to the board prior to their March 28 meeting stated that a proposed location for the museum was city-owned land at the intersection of Hancock and South Front streets. An updated packet simply states that the proposed location is “Downtown New Bern which is within six blocks of Five Points.”
Haroldson said there have been a number of other potential locations discussed for the museum, including New Bern’s former Firemen’s Museum and the historic Union Station depot.
“At the end of the day the city would still own the property, but it would have been gifted $950,000 to improve the property,” he commented.
The new information from Bradham’s Legacy also scales back the anticipated economic impact the museum would have on New Bern. The original packet listed approximately $46 million in total direct sales, including lodging, transportation and retail, while the new packet imagines just over $6 million in total direct sales. The museum is projected to create 13 new full-time jobs and 34 part-time jobs.
The economic impact numbers are based on an average museum ticket price of $8 per person and annual visitation of at least 50,000.
The role of Swiss Bear, which has implemented the Main Street program since 1980, has been minimized from acting as “fiduciary agent of the funds resulting from grants and donations” to simply “coordinating and implementing a capital campaign to raise the remaining project funds.”
According to Haroldson, Bradham’s Legacy would be responsible for the bulk of any remaining fundraising efforts. He said that although the board’s vote to apply for the grant does not include any additional financial commitment going forward, that could change with future requests.
Haroldson said he was optimistic about New Bern’s chances of receiving the grant.
“The impact would be enormous and I think the state recognizes that,” he commented.
On April 11 New Bern Now received a large number of documents from the city through a public records request that are related to Bradham’s Legacy and the Pepsi Museum. Over the coming weeks staff will be going through the documents and will report on any information important to this ongoing story.
Pepsi Museum would be operated by Bradham’s Legacy
According to the plan presented to the board of aldermen, the Pepsi Museum would be run and maintained by Bradham’s Legacy through a lease agreement with the city, likely for $1 a year.
The total cost of the project is estimated at approximately $5-$6 million. In addition to the Rural Transformation Grant being sought, a $750,000 grant from the PepsiCo Foundation has already been secured. According to Bradham’s Legacy, the funds will go toward building and exhibit design and installation.
Bradham’s Legacy has also received $100,000 in local donations for the project.
According to the presentation, the remaining funds will be solicited through a combination of state/ local foundations, and regional/local businesses and donors.
Bradham’s Legacy is projecting that 99% of the funds needed “will be obtained by corporate, foundation, and public grants as well as targeted private giving,” while the remaining funds will come from small public donations.
The museum’s exhibits would come from several sources. In November 2021, Tryon Palace received historical items donated from the late Mitchell Slotnick for the planned Pepsi Museum. According to Bradham’s Legacy, numerous artifacts were donated to the Tryon Palace Commission and PepsiCo, Inc. has a second significant collection that they intend to donate as well.
Numerous private collectors have also expressed an interest in sharing items from their collections with the museum, Haroldson reported.
“I feel like this is an exciting time in New Bern, I feel this is an exciting opportunity,” he told the board.
By Todd Wetherington, co-editor. Send an email with questions or comments.
Related articles: Bradham’s Legacy’s “Comparable Exhibit” study suggests connection to PepsiCo, Aldermen push back vote on grant to build Pepsi Museum to April 11