I am planning a trip to Durango next Summer. I have never been there and would like to know about it from someone who has. I am looking for family entertainment. I understand there is a chuckwagon dinner and also a great melodrama there. Does anybody know about these? Any help is appreciated.

April

The chuckwagon is touristy but fun. Haven't been to the melodrama, but I've heard it similarly described. You can wait until you get them to obtain tickets for both.
What should be at the top of your list is a visit to nearby Mesa Verde, truly one of the great sites in this country. Plan on spending at least a day there.

Oops, that last sentence in the first paragraph should read, "You can wait until you get there...." Sorry.

My family spent a few days in Durango in the summer of 99, and we had a great time. We did go to the melodrama, it's called the Diamond Circle Melodrama and Vaudeville Review, and I believe the theater is in the Strater Hotel. They have 2 shows that alternate nights, with no performance on Sunday. We really enjoyed it, it was lots of fun. Make sure you buy your tickets as soon as you get to Durango, because it's very popular and can sell out (plus you want to get good seats).
If you enjoy horseback riding there are several outfits that offer trail rides. We used Millers Stables at Lemon Lake, a little ways south of town. They don't have a brochure or do much advertising as far as I know, but our hotel recommended them. They were great, very accomodating to us, and took us on a beautiful ride by the lake and up a mountain.
We went rafting on the Lower Animas River for a half day trip. It was a fairly mild ride, with mostly Class 1 and 2 rapids, maybe one or two class 3's (not very thrilling for a serious whitewater enthusiast), but it was fun and scenic, and we stopped for a swim. This is a fine activity for taking kids along, unless they are very small.
You really should take the steam train ride to Silverton, the scenery is spectacular. Try to get tickets for an outside car, and if you can, get on the last car because then you can see the view behind you as well. You should call for tickets as soon as you know what date you want to go, because they do sell out early. We got ours several months ahead of time. Silverton is kind of interesting, too, for a short visit (they give you a couple of hours there). You have the option of taking the train both ways, or taking a bus back to Durango, which is a shorter ride. Make sure you dress in layers and take a jacket, because even if it's hot in Durango, it will be cool, maybe even cold, in Silverton because of the high elevation.
I also second Howard's recommendation of visiting Mesa Verde, the ancient Anasazi cliff dwellings, it's an amazing place. We spent a night there at Far View Lodge, which was quite nice, but it's an easy drive from Durango for a day trip. We took the all day guided tour, which I thought was great, because we got so much more information about the history, geology, wildlife, plantlife, and culture of the area than we would have gotten if we'd toured on our own, which made it much more interesting.
There is also a rodeo in Durango that runs from the middle of June to the end of August, but we didn't go to it, so I can't tell you how that is. There are lots of neat shops and galleries in Durango, and we ate in some very good restauants, although I can't remember the names of any of them to give you a recommendation. Durango is a beautiful and interesting place, I'm sure you'll have a great time.

Durango is wonderful. Mesa Verde is very interesting. If you have time, the Junior Ranger program for kids is a great learning experience for all.

The Durango-Silverton train is a must see and if you have time, try to go to Black Canyon near Gunnison. It is stunning.

There are numerous horse-back riding outfits. One takes you on a breakfast ride near Vallecito Lake which is about 10 miles east of Durango.

Ouray is north of Durango on US 550 which is one of the most breath-taking drives. Ouray is like a small Swiss village.

Enjoy your visit.