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Blog

Judge wants resolution to Conneaut Lake dispute

Posted on September 2, 2015 by Tom Rose

 

While summer is winding down on the operating season for Conneaut Lake Park, its’ future remains in limbo.

But there are indications the iconic amusement park could survive.

Chief Judge Jeffery Deller of the U.S. Bankruptcy Court’s Western District have told both sides “I don’t know why you folks can’t get together,” regarding a settlement of the park’s financial problems.

“I see no reason why a resolution can’t be had in this case,” Deller told all sides at the conclusion of a recent hearing on Conneaut Lake Park’s Chapter 11 bankruptcy filing. Deller indicated his belief that all sides appear to be interested in keeping the park open.

Deller has given the Trustees of the park an additional 14 days to revise its disclosure statement while at the same time meet with its creditors to come to a compromise. Deller is looking for the Trustees to provide more detail on how the amusement park will organize its debt.

The creditors continue to object to the Trustees disclosure statement and have called for a liquidation of the park’s assets to pay off some of its $3.9 million debt. This includes approximately $1 million in delinquent real estate taxes.

According to the current disclosure statement, Conneaut Lake School District, Crawford and Sadsbury and Summit townships would be paid in full over the course of 20 years.  The Trustees also want to sell an adjacent parcel of land that is not needed for the operation of the amusement park that could generate approximately $900,000 to $1.3 million in revenue.

Deller said he will schedule a hearing on the revised disclosure statement within 7 to 14 days after it is filed.

 

 

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