SCRANTON, PA (CelebrityAccess MediaWire) — Lackawana County has agreed to renew their management contract with Live Nation over the Toyota Pavilion at Montage Mountain, though not without a little help from county taxpayers.
According to the Scranton Times-Tribune, Live Nation will continue to promote and manage the venue, paying the county Performing Arts Center Authority approximately $640,000 annually to do so. This is approximately $110,000 less than the county's annual debt obligation on the shed, with the overrun being made up from the county's general fund.
Live Nation has been operating the Toyota Pavilion since 2002 and their original contract stipulated an annual payment to the county of $833,000 annually for a ten year term. However, the promoter balked at a similar level of payment going forward, stating that the amount would not be "financially prudent for them."
According to the Times-Tribune, when contract renegotiation began, Live Nation initially offered $350,000 annually but after extensive negotiations, settled on the $640,000 figure, aggregated from a $550,000 annual lease payment and a 50% stake in the naming rights proceeds, estimated at about $90,000 a year.
"This is one of those situations … where there is no good answer," Commissioner Corey O'Brien told the Times-Tribune. "It's just the least problematic answer." – CelebrityAccess Staff Writers
