Alive
The flag is old but that doesn't mean it's not still alive. This is a living flag, and it gets old just like other living things.
Imagine the old flag with a face and mouth and eyes and nose... it talks and listens and everything else. It's a flag that's alive D:
きょ
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The flag that is old and alive is actually a Buddhist relic (that's why it's alive, in fact ... and old!). But, it's a really dumb relic, so it's put in Little Kyoto (きょ).
Not as cool as a real relic, it's put in this dumb Little Kyoto shrine that's basically just a tourist attraction. Eh, whatever.