What started as a hullabaloo over church and state could turn into a money-making venture for the town of Dillon as the Town Council looks to potentially open up the Dillon Amphitheater to private rentals.

For months, the Dillon Town Council has been considering a formal policy for which outside groups can request to use the amphitheater. The discussions kicked off this spring, when town staff, including the town attorney, raised concern that a longstanding policy allowing the Dillon Community Church to use the space could violate the U.S. Constitution’s First Amendment.

Now, after setting off a First Amendment firestorm with a vote, which was later retracted, to temporarily allow the church to continue using the venue, the Dillon Town Council is crafting a policy that could allow the amphitheater to be rented by private individuals, businesses and nonprofits.

At a work session Tuesday, July 9, Mayor Carolyn Skowyra said that if the town were to open the amphitheater to private rentals, it would be to make a dent in the about $4 million of debt the town still owes on the venue.

“Presumably, I think the goal is because we want to dig into some of that debt and try to make up for when we lose money on a nonprofit rental,” Skowyra said of opening the amphitheater up to commercial and private rentals.

Dillon events director Jessie Klehfoth told the Town Council that the amphitheater hosts a busy schedule through the summer season, with only about four days each month where there would be room on the current schedule for rentals to outside groups.

Klehfoth said that during a work session last month, she heard from the Town Council that “it’s really hard to create a fee structure that is one-size-fits-all.” She said to get a better sense of what an appropriate rental price for the amphitheater might be, she did “a competitive analysis of all the venues nearby us,” including a lot of municipal facilities, to learn how they structured their rates.

A lot of the other municipal venues in the region are quite a bit smaller than the amphitheater, Klehfoth said. The Dillon Amphitheater has a capacity of 3,656 people. The Gerald R. Ford Amphitheater in Vail has a capacity of about 2,565, while the Riverwalk Center in Breckenridge has either about 750 seats or 1,000 standing capacity, the Vilar Performing Arts Center in Beaver Creek has just 530 seats and the the Silverthorne Pavilion has about 300 seats, she said.

“None of these compare apples to apples, obviously,” Klehfoth said. “Some are indoors. Some are outdoors. Some have built-in equipment. Some have other types of facilities. But I really just tried to look at all our neighbors in the mountain region.”

Private and commercial rentals of the Ford Amphitheater start at $15,000. Red Rocks Amphitheater – which has about 2.5 times the capacity of the Dillon Amphitheater, and non-ticketed private rentals start at $125,000. For private ticketed events, Red Rocks takes 11% or a minimum of $20,000, Klehfoth said. The Riverwalk Center charges $2,060 for private rentals and $1,030 for nonprofit rentals, while the Silverthorne Pavilion charges $3,000 Monday through Thursday, $4,500 Friday and Sunday and $5,750 on Saturdays for private rentals.

Klehfoth laid out proposed usage fees for the Dillon Amphitheater, starting with $4,000 for commercial, private and nonprofit rentals and a Dillon-based nonprofit rate starting at $2,000. That would not include costs for required events staff, cleaning or use of the venue’s sound equipment or backstage areas, which would cost extra, she said.

Council member Dana Christiansen said that his takeaway from the previous work session, was that the majority of the Town Council members “want to see the Dillon Community Church and other churches back in the amphitheater.”

“I think in order to do that, we need to do two things,” Christiansen said. “One, an ordinance opening it up to nonprofits and churches. And the second thing is a price that actually works for those users because it’s a little disingenuous to have a fee structure that none of them can afford.”

But Skowyra said that much of what is driving the rental rates is the need to recoup the costs of staff time and other costs associated with hosting an event. She said she is not in favor of operating the amphitheater at a financial loss for any outside group that it would not partner with for a town-sponsored event.

“As long as the town can sponsor and partner with it, then that to me is the threshold of ‘everybody in the community is welcome here,'” Skowyra said. “If the town has some sort of conflict with partnering for that event, then I don’t think the whole town and all the people who pay taxes should be subsidizing events they may not be participating in.”

Council member John Woods questioned whether the town should open up the Dillon Amphitheater to more than just nonprofit rentals but also to private rentals, like weddings or other events.

“Did you ever think to yourself, maybe we could make money renting this out?” Woods said. “Could we not move country dancing to the (Marina Park) pavilion, if we could get someone to pay $10,000 for the amphitheater?”

Council member Renee Imamura said she would be in favor of renting out the amphitheater for private rentals if it could help reduce the debt the town owes on the venue. Council member Rachel Tuyn also said she would be OK with opening up the amphitheater to nonprofits, commercial businesses and private individuals.

“We’re not going to make money on the nonprofits, but we’re doing it because we want to give back to the community,” Tuyn said.

Skowyra said that for a commercial rate, the Dillon Amphitheater should look to the Silverthorne Pavilion as an example. Based on the $5,750 Saturday rate at the pavilion, she said she thinks the amphitheater could have a commercial rate starting closer to $6,000 or even $10,000.

“Around here, if you want a cheap wedding venue you go to the Silverthorne Pavilion because it’s affordable,” Skowyra said. “So if that’s the crowd we’re trying to get, the crowd that is going to dig into our debt, I don’t think that’s going to get us there.”

Klehfoth also pointed to the $5,750 Saturday rate at the Silverthorne Amphitheater, saying “I think we’re under-valuing some of our assets, actually.”

Council member Oliver Luck looked at the rental costs for Dillon’s Marina Park pavilion, which costs $1,800 to rent for a half-day on peak weekend or half that for Dillon-based nonprofits, and suggested that the nonprofit rate for the amphitheater be based on those. He said it makes sense that the amphitheater would cost more, so he suggested a $2,000 rental fee for nonprofits at the amphitheater with a 50% discount for Dillon-based nonprofits.

Skowyra said, “that seems insane because, again, the (Marina Park) pavilion is $1,800.”

The Town Council did not settle on a final fee structure for amphitheater rentals but instructed staff to come back with another draft that includes separate rates for nonprofits and private or commercial rentals.

Wood said that in the meantime locals should know that the Town Council is working toward a policy to open the amphitheater up to all groups.

“What would make me happy as a politician, if they put it in the paper that the town of Dillon, they’re going to open (the amphitheater) up to nonsecular and secular, to anyone who wants to rent,” Woods said. “That’s enough. Then we can work out the details.”