Council approves 5.5-year Colonial Theatre management contract amid library and downtown concerns

The Laconia City Council approved a new management agreement with Spectacle Management, Inc. for the Colonial Theatre on April 27, voting unanimously to adopt the contract. Councilor Hoffman moved for approval and Councilor Haynes seconded; the roll-call vote was 6-0.

Public commenters at an earlier hearing offered both support and concerns. Johanna Helperin, who said she works for Powerhouse Theater (the Colonial’s resident company), said her group was asked to collaborate with Spectacle when the venue reopened and expressed support for the new contract. Angela Jorgenson, president of the New Horizons Band, said past concerts at the Colonial had been “magical” and supported continued community use.

Several speakers asked for greater guarantees for local use. John Moriarty, chair of the Library Trustees, said the library had razed its auditorium and negotiated an agreement with the Colonial and the New Hampshire Attorney General’s Office that reserved 12 days per year of use for 50 years; he handed documents to the council and identified four contract provisions he wanted addressed. John Ash (Ward 5) questioned whether the city was paying Spectacle while not receiving sufficient benefit for Laconia, especially for school usage. Melissa McCarthy, a downtown business owner, said she was disappointed by a lack of active promotion of downtown businesses by Spectacle during events.

City Manager Kirk Beattie said the proposed contract had been through discussions, and noted that the contract structure is effectively two years with three automatic one-year renewals; the city may withdraw with one year’s notice. Councilors discussed whether the city manager could be given authority to mediate nonprofit scheduling disputes under the contract. The contract’s stated fiscal impact included a first-year operating subsidy of $166,935.19, with 3% increases for each additional year.