RIBBLE Valley Council is to give £7,500 of grant aid to the Trinity Community Partnership towards projects at Clitheroe's Grand Cinema.
The council's policy and finance committee agreed to the extra funding on top of its planned grant aid of up to £25,000 for specific arts development projects.
Grants to the sum of £23,244 have already been awarded to and claimed by Trinity, who had initially asked for an extra £15,000 from the council's community committee at a meeting earlier this month.
Members agreed to half that figure, before passing the matter on to the policy and finance committee for approval.
In August, the Grand Cinema Working Group met with representatives from Trinity and volunteers who have supported the cinema, to review its progress and to look forward.
At the meeting it was noted that plans for the future of the cinema had changed in light of the listing of the building, with the intention now to establish an arts centre on a different site, preferably the council's market car park, which would be the location of the new cinema. But cash flow projections showed a shortfall of around £21,000 for the current financial year.
The cinema was purchased by the Lancaster Foundation, run by Ultraframe founder John Lancaster in March last year.
Trinity manager Geoff Jackson said: "The Lancaster Foundation's commitment to spend up to £3.25 million on developing the Grand Cinema as a base for youth arts and to part-fund the development of a new arts centre on a site yet to be determined, will be the single most important influence ever in the development of arts, cultural and leisure provision in Clitheroe and the Ribble Valley.
"These initiatives will give a tremendous boost to the lives of local communities, giving particularly strong messages of support and encouragement to children and young adults."
Director of commercial services John Heap said: "The Trinity Community Partnership has faced problems in mixing new arts activities with its operation as a cinema, while trying to keep film exhibitors happy.
"However, it is encouraging to see that attendances have returned to 1997 levels and appear still to be growing."
The extra funding is expected to go towards projects as its film clubs and to bringing commercial films to the screen earlier than had been planned.
Members also agreed that the provision for spending must be made subject to a lease being signed by both Trinity and the Lancashire Foundation.
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