In what Westchester officials are calling a victory, an arbitration panel ruled former Playland management company Standard Amusements had no right to back out of its contract without giving the county a proper opportunity to complete improvements at the park.
The decision found Standard’s notice of termination to manage the county-owned amusement park in January to be “invalid and void.”
Westchester County Executive Ken Jenkins, a Democrat, said in a statement that the panel’s ruling, in late June, was a win for county residents.
“This ruling exposes Standard’s effort for what it was: An irresponsible attempt to walk away from their obligations and shift blame onto the county,” Jenkins said, calling Standard’s “rush to terminate” the contract a “direct threat” to Playland’s future.
The 30-year deal between Westchester and Standard stipulated that the county was supposed to have substantially completed 70 percent of the projected capital project costs by April 30, 2024. Standard claimed the county only completed 31 percent of the work by the deadline, while the county argued it had completed at least 65 percent.
And even though there’s no debate that Westchester didn’t meet the full 70 percent threshold by last April, the arbitration panel decided the contract’s language legally prohibits Standard from exiting the contract without giving the county the “right to cure.”
Jenkins said the county is seeking damages from Standard for exiting its agreement, and “won’t stop until we have a settlement that works for the people on Westchester County.”
Standard declined The Record’s request for comment.
Westchester first partnered with the for-profit management company back in 2015 during the administration of then County Executive Rob Astorino. But Astorino, a Republican, left office before Standard assumed control of the park, and when his successor Democrat George Latimer took over, the relationship with Standard quickly soured.
Latimer, with Jenkins as his deputy, accused Standard of breaching its contract and was reportedly interested in getting out of the partnership. In 2019 Standard filed for bankruptcy ahead of Latimer’s plan to nix the contract – and after the matter was litigated for at least $5 million in taxpayer money in federal court, county and Standard officials negotiated a new deal to manage Playland, the Journal News reported.
In the wake of Standard’s official exit from the historic waterfront park in Rye, the management company and county reps have continued to point fingers at each other.
Westchester County Attorney John Nonna, while he declined comment on the arbitration, accused Standard this week of “abandon[ing]” Playland. However, Standard spokespeople, in prior communication, told The Record the company provided “ample time to prepare for the 2025 season – but the county squandered” that time.
Earlier this spring there was speculation that the county wouldn’t be able to open Playland on time this season, after declaring an “emergency situation” in order to hire an Italian ride manufacturer — Zamperla, Inc. — with a no-bid contract.
The $1.7 million deal with Zamperla to repair and maintain the rides runs through Sept. 30.
Westchester County scrambled to open the park over Memorial Day weekend, even with two-thirds of Playland’s rides shuttered. Since then, the county has slowly opened more rides, expanded hours, and added entertainment and food options at the park.
