Olympic Valley, California — The Palisades Tahoe village expansion plan is one step closer to reality.
Last week, the Placer County Planning Board voted to recommend that the Board of Supervisors approve the proposed Palisades Tahoe Specific Plan project entitlements and the Environmental Impact Statement (EIS). While the size and scope haven’t changed from the prior proposal for a new base village, two significant changes have happened. The first is the addition of housing for 386 workers, which would be built in the first phase. The second is the California ski resort’s proposal to eliminate various attractions from the Mountain Adventure Center, including the water park-like features many opponents despised.
This is a complex thing to explain, so it’s probably good to start by diving into the situation at Palisades Tahoe. In the early 2000s, the Village at Palisades Tahoe opened, adding numerous new lodging, dining, and shopping options around the main base area. However, the Alterra Mountain Company, which owns Palisades, believes that more lodging and guest services are needed because many tourists stay in the surrounding towns and then go up to the ski resort, which has caused a traffic mess. Palisades Tahoe introduced parking reservations last winter, much to local disdain.
Throughout the 2010s, Palisades Tahoe (then known as Squaw Valley) tried to get an extensive base village development approved. However, resistance to these plans was fierce. Opponents, led by the Sierra Watch, pushed Intrawest (which then became the Alterra Mountain Company) into years of litigation. Ultimately, an appellate court found deficiencies in five key areas. In response, Placer County dropped their approvals.
However, Palisades Tahoe updated its proposal to address the noted deficiencies. In late 2022, Placer County released an updated Environmental Impact Statement (EIS). In August, Palisades Tahoe stated that it was moving forward with its plans to develop a new base village following Placer County’s release of the final EIS, despite most being against the idea.
“We are confident that the thorough assessment of this project will satisfy the concerns the appellate court raised, and allow for the plan’s re-approval when it goes back before the Placer County Board of Supervisors later this year,” said Dee Byrne, Palisades Tahoe president and COO, in the August press release. “It’s time for this plan to move forward. For our community and our resort, the cost of doing nothing is significant. We’ve long been in need of workforce housing, more visitor accommodations in the valley, structured parking for day skiers, and a plan that will generate significant funding for in-valley and regional infrastructure projects that can have a positive impact on us all. This is that plan.”
Two separate villages (Village Core and Village Neighborhood), totaling 85.5 acres, would be developed outside the existing one. They could add up to 850 residential/lodging units, with a maximum of 1,493 resort bedrooms. They also envision 297,733 square feet of new and replacement commercial space, including new spots for restaurants, bars, shops, and skier services. Parking structures would be created, meaning they wouldn’t lose any spots for drivers.
But wait, there’s more. Located 1.3 miles from Palisades Tahoe, the East Parcel would add 386 employee housing units, a fitness center for workers, a community market, and a shipping and receiver spot. Overall, 93.33 acres would be developed, most of which would happen on existing asphalt.
Over $5 million in recreational improvements are also planned. Flushable restrooms and more parking would be added at the Granite Chief and Shirley Canyon trailheads. At Olympic Valley Park, a new sewer line connection and flushable bathrooms would be created. Washeshu Creek, altered by channelization since 1960, would be restored. A fire station in the village is also part of this proposal.
Palisades Tahoe believes this new development will generate $25 million in annual tax revenue, which could be used for public transportation initiatives and projects.
Despite the minor revisions, opponents of this project, who make up the majority of public opinion, are not thrilled. They see the same issues as they did beforehand: traffic would increase due to the guests needing to come up and stay on the property, their wildfire evacuation plan is insufficient and would lead to dangerous situations, it would use up too much water, and the development would lead to environmental damage to Washeshu Creek and Lake Tahoe. Another notable gripe is that it could make Olympic Valley a construction zone for 25 years.
“It is the same damn plan,” said Sierra Watch’s executive director Tom Mooers to SFGATE in August. “We’re dealing with the same damn plan that we’ve been successfully stopping for more than 10 years.”
In addition, the Olympic Valley Municipal Advisory Council voted in August to advise that Placer County should not vote to certify the new EIS. They advised Alterra to involve the community in a more collaborative process and build a smaller village.
At the September 5th meeting, lots of locals showed up to speak out against the village proposal. However, Palisades Tahoe continued to defend its plans. According to SFGate, retiring GM Dee Byrne said the following to the Planning Commission:
“This do-nothing, stop-everything and delay approach simply is not in the best interest of this valley long term or of Tahoe. Things are falling apart, and businesses in the village cannot survive. We need a viable, vibrant Village, diverse base area offering, and updated infrastructure to meet the current winter demand and the summer demand that comes to this region that we cannot currently serve.”
However, she proposed at the meeting that the Mountain Adventure Camp no longer include a water park and indoor skydiving simulator, which led to loud applause. The indoor water park part of the building has been one of the core criticisms of opponents, who do not want a Disney-type experience at an already crowded destination. However, the Mountain Adventure Camp remains part of their plans, with pools, an arcade, and convention space being considered.
This resulted in the Planning Committee approving the proposal. The next step in the approval process is a review by the Board of Supervisors, scheduled for later this year. If approved, legal challenges are likely to follow.
Image Credits: Palisades Tahoe, Sierra Watch
