New Operator Sought for Paramount Center in Peekskill
The Paramount Board of Trustees recently voted to take legal action to clear the way for a new entity to manage and operate the historic Paramount Center for the Arts, which has been dark since early October.
The board’s legal counsel, Dorf & Nelson LLP, submitted a plan of dissolution in state Supreme Court November 16 that trustees felt was the best option to address the organization’s liabilities and allow the City of Peekskill to find a new operator for the 30-year-old theater on Brown Street.
“The Board of Trustees and the dedicated staff did everything humanly possible to keep the marquee lit and the theater operational amid immense financial challenges,” said Paramount Board President and former mayor Vincent Vesce. “The board wants to thank them, our sponsors, supporters, patrons and the community-at-large for their support of this most important institution over the last 30 years and for their understanding during this transition.”
“This amazing performance venue should never be taken for granted in the future,” Vesce added. “Admire it, enjoy it, but most importantly, support it. As we have done throughout this process, we remain committed to helping the city reopen the Paramount as soon as possible.”
According to the filing, the cessation of operations at the Paramount was caused by an overall decline in the economy, a precipitous drop in private, government and grant donations, and increased expenses.
The Paramount is a non-profit entity that seats 1,025. It paid the city $1 annually and received an annual $50,000 subsidy from Peekskill. The city also covered maintenance expenses and had been paying the electric bill the last two years.
The city has issued a Request for Proposals (RFP) seeking a new operator to take over management of the venue by February 2013.
The Hudson Valley Gateway Chamber of Commerce applauded the Paramount Board of Trustees for moving forward and encouraged city officials to thoroughly review the credentials of all prospective operators, including ensuring appropriate financial backing and theater management experience.
“We are hopeful the new entity will come forward with a different business model, yet one that continues the theater’s reputation as an amazing venue in which to view live performances, films and other entertainment,” the Chamber said in a statement. “The more the venue is used, the more foot traffic it will generate for downtown businesses and the more revenue it will bring into the city.”
“Lastly, we echo the sentiment of the outgoing Paramount Board: We should not take the Paramount Theater for granted in the future,” the Chamber added. “It is the cornerstone of our community and we all need to support it.”
Also to be resolved is possible remedies for ticket holders of shows that were cancelled. The Chamber has suggested the new operator give appropriate credit towards future shows for ticket holders and patrons with paid memberships.
Rick has more than 40 years’ experience covering local news in Westchester and Putnam counties, running the gamut from politics and crime to sports and human interest. He has been an editor at Examiner Media since 2012. Read more from Rick’s editor-author bio here. Read Rick’s work here: https://www.theexaminernews.com/author/pezzullo_rick-writer/
