PRESS RELEASE
Lease for renovation, operation, and maintenance of the North Tahoe Event Center. This will be the fourth public workshop or meeting the Board of Directors has held to provide information and answer questions from the community about a proposed public-private partnership with Laulima Kings Beach Event Center LLC. Over hundred people have attended the three meetings, and more than 150 questions have been asked, and the answers posted to the District’s website.
If the Resolution is approved by the Board of Directors, the clock starts on a variety of required actions for the District and Laulima as outlined in the lease. Within 30 days, the District will file a Validation Action with Placer County Superior Court to confirm the lease meets the deed restriction on the property. Laulima’s responsibilities include providing information to the District to verify financial ability within sixty days and submitting renovation design concepts to the District within thirty days. The District will hold a public meeting within thirty days of receiving design concepts. Laulima must begin construction on the renovations within one hundred eighty days of receiving final judgment on the Validation Action and construction must be completed within 300 days and tenant is taking possession by June 1, 2019.
At the July 12, 2016, Board meeting, Laulima Partners LLC were selected from three (3) proposers that responded to a Request for Proposals for operation and management of the North Tahoe Event Center. An Agreement to Negotiate Exclusively (ANE) with Laulima Partners, LLC was signed to set the groundwork to negotiate a lease agreement for the operation and management of the North Tahoe Event Center.
When negotiations began in November 2016, the Board of Directors identified five key priorities to be included in any partnership; based on legal considerations and input from Board, staff, and the public. These five priorities are explained in depth on the website, but they came down to protecting the interest of the District and its residents by making sure there is no violation of the deed restriction, allowing for access by District residents and nonprofits at free and/or affordable rates – although access may be secondary to rack rates, eliminating the annual operating deficits and generating dependable and fair revenue for the Parks Department with a goal being a reduction in the need for an increase to CFD 94-1, a Benefit Assessment increase or transfer of property tax to recreation which impacts sewer rates.
A primary goal of the District’s Strategic Plan is to seek financial solvency for the Recreation and Parks Department. The Event Center has consistently operated at an annual operating deficit averaging $90,000 over the last 12 years with the need for an additional $80,000 a year for deferred maintenance which also hasn’t been achieved. While numerous ideas have been explored over the years, none have been able to erase the deficit and cover deferred maintenance.
Information on NTPUD board meetings, including agendas and packets, may be obtained on the District’s website. Residents are strongly encouraged to sign up on the District’s email list to receive agendas, press releases and other information from the District at ntpud.org. The sign up link is available on the homepage.
