The South Grindrod Drainage District was organized in October 1949. Its purpose was to develop a drainage ditch from properties south of Grindrod that had been flooded by marshlands and the 1948 flood, and to divert the waters under the C.P.R. railway and into the Shuswap River. John Shykora was elected chairman of the trustees; William Mikalishen was elected secretary. The ditches were dug, filled with concrete tiles and pipe, and buried with fill by December 1949, for a total cost of $1,342.01. In order to pay off a loan of nine hundred dollars borrowed from the Bank of Montreal, the group was organized as an improvement district under the supervision of the Water Rights Branch. Letters of patent and bylaws were adopted on January 15, 1950, whereby the secretary was appointed assessor and collector of taxes. A total of 67 acres were assessed, shared by 8 property owners: Mike Shykora (1), George Shykora (3), Adolph Karras (6), John Shykora (6), Walter Smyrichinsky (8), J. Mikalishen (11), William Mikalishen (12), and Steve Brodoway (20).