Recommendations Regarding 'Economic Revitalization' for South Shore Lake Tahoe

After attending the State of the South Shore Economy Public Forum held on October 23rd, 2012 I was inspired to draft a response to the questions about economic revitalization that were asked at the meeting. I feel like our group had many salient ideas that were not properly represented. Also, I have noticed that people are quick to offer ideas like “reduce unemployment”, “beautify the city”, and “improve recreation”, but they are typically unable to offer suggestions on how to make those ideas a reality. Below is a document that not only addresses the issues related to economic revitalization, but it also provides examples and potential solutions. I understand that everyone has limited time, but I hope that since this issue is important to the sustainability of the community you give it serious consideration.

Executive Summary:
In order to achieve economic revitalization we need: a) a vision for the future of South Lake Tahoe that strategically leverages our natural assets, is narrowly defined (it cannot focus on all existing sectors of the current economy), and is well-supported by the community, b) politicians that will stand up for a common vision that might not appease all businesses in the short-term, but will benefit the community in the long-term, c) a plan that includes projects, policies, and marketing campaigns to efficiently and effectively achieve the vision, and d) we need the City, the counties, TRPA, USFS, and the private sector to work together to implement projects towards a shared goal. Currently there are several soloed efforts to address economic revitalization, from the Prosperity Center and chambers, to the local governments and the Lake Tahoe Sustainability Collaborative. These groups might reduce duplicated efforts if they could collaborate and work towards a shared vision.

Recommendations Regarding “Economic Revitalization”
The following comments are in response to the State of the South Shore Economy Public Forum held on October 23rd, 2012. Listed are comments and issues shared within our group at the forum and by other community members who live and work in South Lake Tahoe. I openly admit that I am not an expert in city planning, civic leadership, or economic revitalization. I do not have a firm understanding of the “five economic pillars” that the Prosperity Center is working on, nor do I pretend to know all of the city ordinances; I am just supplying thoughts and views of community members that have a sincere interest in seeing improvements in their city. I tried to be as brief and as concise as possible (hopefully without repeating what others have said) while answering some of the questions presented on October 23rd.

What is “Economic Revitalization?”
Economic Revitalization is where initiatives are taken to allow the income and revenue of government entities, private businesses, and their employees to be sustainable and substantial enough to increase the standard of living for the entire community.

What are the barriers to “Economic Revitalization?”
Lack of a common goal
Financial obstacles
Lack of communication among stakeholders
Lack of regulatory consistency
Lack of politicians that will represent the community or stand up for new ideas

How can we achieve “Economic Revitalization?”
To answer this question it would seem that since a good majority of the community is interested in economic revitalization all that would be needed would be the removal of the barriers listed above. It is inherently more complicated than that so I hope to offer a few ideas in the examples below. Obviously there are many worthy examples, but hopefully some of these will generate thought and solutions.

Find a common goal. The goal, simply put, should be economic revitalization. If “re-branding” is a means to achieving this goal there are a few things to think about:

If Tahoe is to become a “Recreation Destination” instead of a Gaming and Resort area then we need to leverage our assets (lake, trails, ski resorts, etc.) and embrace our most important partners: the large landowners that make recreation possible. Without the access that the US Forest Service, State Parks, and agencies like the California Tahoe Conservancy provide, recreation would not be possible.

The community needs to promote the recreational opportunities that have been developed by these agencies better. i.e. We need to make people aware that even though the gate to Baldwin is closed in the winter they can still ski and hike to the lake and meadow. In turn the Forest Service should provide year-round parking and signage to make this activity more feasible. These agencies have already shown that they are open to public input. We can guide them further with more focus on connectivity, signage, and accessibility.
Maps and clearly signed walking and bike paths that connect the built environment to the natural environment are needed.

What kind of recreation destination forces people to walk from their “high-end” shopping experience at Patagonia through rundown hotels and dilapidated housing units in order to reach the lake? People want to connect their recreation spending to their recreation activity more easily. If they buy a pair of skis they can instantly board the gondola, but if they buy a bathing suit in the summer how do they easily access the lake? Mountain bikers in Mammoth can easily ride from the trail down to shops and restaurants. Why doesn't that connection exist here? We need to inform visitors how to get from their hotel to the Rim Trail, or to the lake, or whatever their recreation interests are. Having visitors navigate through the CVS parking lot near Balbijou Road so that they can access Timber Cove and the Jewel of the Sierra is unacceptable.

We can easily improve recreation sites that already exist.
i.e. Reagan Beach could be a great place to picnic but the playground facility has a recycled rubber tire mulch under the equipment that negatively affects the entire area. I applaud the use of recycled materials, but used tires are dirty and they off gas so many toxic fumes that no one wants to be within 50 yards of the playground. Beautiful view, but stifling smells in a region known for fresh mountain air and clear Tahoe water. It doesn't make sense if we are trying to encourage family style recreation. We shouldn’t be paying for mulch like this when there is an abundance of natural forest mulch and wood chips that we can replenish anytime for free.

Focus on areas that have the greatest potential for successful economic redevelopment.
Linking the “Y” to the Casinos via a network of worthy shops and restaurants that cater to locals and visitors would be a daunting task, but we could better focus our energy between the Globin Center (Sprouts) on Harrison Ave and Lakeview Center (Freshies) near Fremont Ave. At this site the link between lake recreation and shops and restaurants is clear. Here we have the greatest opportunity for successful redevelopment. This should be the heart of the town.

Reduce financial obstacles.
Finding funding sources is always a challenge, but there may be a way to encourage revitalization via other methods.
Small tax incentives could help small business owners comply with new city ordinances without them feeling threatened by increasing costs.
The financial incentive the City is providing to comply with the sign ordinance is a perfect example. But why does this incentive only apply to business between Ski Run and Trout Creek? And why has no one applied for funding through the program? Do people not know of it or is the application process to cumbersome?
Big tax incentives take serious political will but make a much more pronounced impact on the community, and they help to address the real issues behind economic revitalization.
Traditional property tax incentives are upside-down. They impose higher taxes on owners who construct or improve homes and commercial structures. They reduce taxes for owners whose buildings deteriorate. Want to see how it works and how to fix it? Go here.

The City or the Chamber of Commerce could provide free marketing to local businesses that share our common goal. By allowing everyone to advertise it reduces the overall strength of the message.
i.e. Lake Taco is one of Tahoe’s best kept summertime secrets. Nowhere else can you get lakeside views, recreation, and killer tacos. On the other hand Ken’s Tires probably shouldn’t be allowed to market on the same website (sorry Ken, I will always support you.)

Streamline permitting and bureaucracy to allow for positive and sustainable redevelopment by reducing inconsistencies between city, county, state, and regional agencies.

i.e. The regulations in the basin are no more strict than in other communities (e.g. BMPs are required in Portland), however the uncertainty in what a business must do and how long it will take due to the array of agencies and subjectivity in TRPA’s code is a huge issue.

Developers say that the cost of coverage is not the issue, it is the uncertainty created by the 1 week to 3 years that it takes to get the TRPA to verify coverage on site, the subjectivity in their rulings, and getting governing board approval that is the issue.

Further reduce permitting fees or offer tax incentives to new development projects that hire local workers. Bids for redevelopment projects typically go to out of town firms because the cost of wages and materials are higher here in Tahoe. Similar to the tariff system used for imported cars, we could protect our economy and the people who live here by making local bids more competitive. It makes sense to employ local workers, but we have to find a way to make hiring local more feasible.

Funding for projects is often facilitated by the use of key words. In my experience I have found that by using words and phrases like “Water Quality Issue” and “Safety Concern” it is much easier to get federal and state funding for projects than by saying “Beautification” or “Economic Revitalization”.
i.e. The number of unwarranted driveways in the Fairway Shopping Center (CVS, El Dorado Saving, Heidi’s) causes serious disruption to the flow of traffic on Hwy 50. It is a significant safety issue for pedestrians and bikers and it is a danger to drivers as they attempt to enter and exit traffic.

There are 4 driveways, each spaced 5 feet from one another, in this shopping center. One of them even has a traffic signal. By directing traffic through the signal and eliminating the need for the other useless driveways we can attempt to beautify the area, improve traffic flow, and increase the safety for drivers, pedestrians, and bikers. I can think of at least 10 other sites where useless driveways plague the city. We should be able to find a way to fund their demise. Achieve beautification through safety reform. Politicians need to stand up for community benefits over singular local business on certain issues.

Increase the number and diversity of job offerings.
Not only does South Lake Tahoe need to reduce unemployment by increasing the number of viable jobs, but we also need to make job diversity a priority. Economic sustainability will increase if jobs and revenue are not based on the unpredictable nature of the weather and tourism.
Let’s face it, the Hwy 50 corridor between the “Y” and Al Tahoe is not set up to accommodate visitor needs. Any amount of effort spent in the area will likely only benefit locals. No one visiting Tahoe will ever walk from the “Y” to Al Tahoe through a line of interesting shops and quaint restaurants. This area should be repurposed for business offices and local services that do not fluctuate with the ebb and flow of “tourist season” and are not influenced by climatic uncertainties. Zoning should be used to consolidate and concentrate commercial and tourist areas.

Incentives for new (non-tourist based) businesses need to be focused here in this blighted part of town where real estate is likely to be lower than properties near the lake. Tourist-based business should be located where the lake connection is more clear; not here where there will never be a return on your investment in tourist dollars. The argument that we should reduce the speed limit to encourage shopping here is not valid. People will only slow down if there is something interesting to look at and that won’t happen until they get to the lake. Don’t get me wrong, this part of Hwy 50 needs beautification, but these businesses should be local and unaffected by tourist dollars.

Why is it so difficult for new businesses to buy land here? The existing land owners often overvalue their property because of the belief that their (pre-1972/TRPA) over-covered lots are valuable for the coverage. We need to brainstorm a way to encourage new investment here.

To attract new (non-tourist based) businesses we should also invest in marketing the attractiveness of “the quality of life” here in Tahoe (great work/play balance, great recreation, excellent school programs, a safe place to raise a family, etc.).

Diversify businesses and reduce duplicity.
At one point we had 6 hardware stores in town all within three miles of each other, and three of them were located across the street from one another. We don’t need an Office Depot and an Office Max, or a Ross and a TJ Max. With duplicity like this the customer base is split between both stores and each business suffers financially. Reduce duplicity and diversify business offerings for our locals and our visitors so they don’t have to shop “off the hill”.

Define the future image of the business sectors that we want here and then partner with education programs to feed those sectors.
With a new high school media program and college level courses we have an opportunity to funnel students right into a high tech work force. Unfortunately, we do not have the local businesses to keep these people employed in Tahoe and they are going off the hill to find work. With our recreational opportunities and link to extreme sports we should be able to find a home for digital, audio, video, and media enterprises here. Develop a pathway into the workforce for our local student population be it media, health care, or some of the existing environmental agencies.

I’m sure there is more. If these ideas were nothing new, and you actually read this far, I apologize for wasting your time. But I suppose the most important component to realize in making this work is of course community involvement and a common desire to make “Economic Revitalization” a goal and a reality. So many of us are here to help, just ask. Second in importance would be finding a political leader ready to represent the community and support a vision that might not make all businesses happy in the short-run, but will most definitely benefit the entire community in the long-run. Compromise is important, but so is not losing sight of the goal.

— Scott Valentine is an instructor of Earth Sciences at Lake Tahoe Community College