TRPA divies up 232 building allocations among counties in Lake Tahoe Basin

LAKE TAHOE, Calif./Nev. - It is allocation season again, the one time every two years when people who are on "the list' have the opportunity to build a home on their vacant lot in the Lake Tahoe Basin. One may remember the days in the 80s when people would camp out in line so they could be first to get the golden ticket, but now people are selected off of a list created on a first-come, first-serve basis.

The Tahoe Regional Planning Agency (TRPA) was tasked with curbing development in the Lake Tahoe Basin over 50 years ago.

"TRPA was called on to put the brakes on the rampant over-development and residential subdivisions that were threatening Lake Tahoe’s pristine environment," said the agency's Executive Director Joanne S. Marchetta in 2013.

At that time there were 43,000 private parcels with only around 4,000 still vacant. Depending on the rate of allocations it could have meant there would be no vacant lots in two decades.

With better mapping tools and single-family and multi-family residential allocations distributed since 2013, the number of private parcels is closer to 41,000 and within that, the number of vacant parcels is still just over 4,000.

"We know the limited building allocations are a hot commodity every year and want to support Lake Tahoe's construction trades wherever possible," said TRPA Public Information Officer Jeff Cowen.

"Regionally, we have continued to distribute 130 residential allocations annually, but the basin only averages 60-70 new homes a year," added Cowen. "Demand is high in the City of South Lake Tahoe and the El Dorado County portions of the basin, where there are usually waiting lists for allocations. Of the approximately 450 new residences built since 2013, approximately three-quarters have been in El Dorado County and the City of South Lake Tahoe."

In the last decade, most permitting is being done at the jurisdiction level and not at the TRPA level.

The 2012 Regional Plan predicted full residential buildout by 2045. Buildout with single and multi-family residential units could take more time, but at the set rate of allocation distribution, it can’t take less time.

"Having a limited number of new residential building allocations means there is less pressure on the Lake and there is more time for environmental restoration projects to respond to the impacts of development. It also means new home construction can continue for a longer period of time before all the vacant parcels disappear. Ultimately, this all leads to a healthier environment and a clearer Lake because what happens on the land at Lake Tahoe affects the water," said Marchetta in the 2013 article HERE.

There is a defined set of criteria the TRPA uses when determining how many allocations go to a jurisdiction every two years. Each entity starts with a base allotment of allocations and performance in scoring areas can earn them more, or less, of the coveted necessity to build in Tahoe.

The TRPA review committee reviewed all categories for Lake Tahoe counties and shared their finding with the TRPA Governing board on April 21, 2021. Involved in scoring:

Short-Term Rental Neighborhood Compatibility: In 2019, TRPA’s Local Government and Housing Committee convened a Short-Term Rental (STR) Neighborhood Compatibility Working Group to develop STR Neighborhood Compatibility Guidelines and a Code amendment to make STR neighborhood compatibility a third criterion of the Performance Review System. The Guidelines were developed to provide local jurisdictions a range of options and flexibility in implementing and achieving STR neighborhood compatibility. TRPA maintains information developed by the STR Neighborhood Compatibility Working Group and links to local jurisdiction STR (also referred to as Vacation Home Rentals, or VHRs) permitting and enforcement programs at: https://www.trpa.gov/regional-plan/codeamendments/. Guidelines shall receive their full allotment of residential allocations, be penalized one increment of a deduction for a score between 75 and 89 percent, or be penalized two increments of a deduction for a score below 75 percent.

The City of South Lake Tahoe scored 100 in the VHR category, El Dorado County 92, Douglas County 90, Placer County 90, and Washoe County 70.

TMDL Implementation: According to the Lahontan Regional Water Quality Control Board and Nevada Division of Environmental Protection, all jurisdictions in California and Nevada achieved their 2019 and 2020 Lake Tahoe Total Maximum Daily Load (TMDL) credit targets. The detailed results are documented on the Lake Tahoe Info Lake Clarity Tracker Urban Uplands Results page (https://clarity.laketahoeinfo.org/Results/Detail/UrbanUplands) and in the 2020 TMDL Performance Report. As a result, the TRPA staff is not recommending any deductions to allocations because all jurisdictions are in compliance with TMDL crediting targets.

Residential Audits: In 2019 and 2020, TRPA staff completed residential project review and code compliance audits for each local jurisdiction (City of South Lake Tahoe, Douglas County, El Dorado County, Placer County, and Washoe County), as required by the TRPA Code of Ordinances Section 50.5.2.E. The purpose of these audits is to (1) ensure residential projects reviewed and inspected by Memorandum of Understanding (MOU) partners on behalf of TRPA comply with the TRPA Code and Rules of Procedure, (2) identify project review training and education opportunities for MOU partners, and (3) provide the Performance Review Committee with a summary of MOU performance for the distribution of residential allocations.

In the MOU residential project and compliance review audits, the City of South Lake Tahoe received an average score of 95 percent, as did Douglas County and El Dorado County. Placer received 94 percent and Washoe County 96 percent.

Each region met its base allotment during review except for Washoe County. During its board meeting in April, the TRPA board decided to provide the following allocations:

Douglas County (Base is 10/year) . . . . . . . . . 20 allocations
El Dorado County (Base is 30/year) . . . . . . . . 60 allocations
Placer County (Base is 37/year). . . . . .. . . . .74 allocations
City of South Lake Tahoe (Base is 33/year). . . . .66 allocations
Washoe County (Base is 10/year). . . . . . . . . . 12 allocations
- Total 232 allocations

While building permits in South Lake Tahoe and El Dorado County are in high demand, the other regions are far from hitting their allocation potential. Demand is low at the lake in Placer, Douglas, and Washoe counties.

Unused allocations are put into a "bank" for withdrawal at a later time.

Allocations not distributed under the Performance Review System will be assigned to TRPA’s Residential Allocation Incentive Pool. Individuals can apply for an allocation from the Residential Allocation Incentive Pool in exchange for retiring a sensitive lot and local jurisdictions can apply for allocations in exchange for restoring stream environment zones, building multifamily housing in Town Centers, transferring residential development rights to Town Centers, maintaining a Certified Local Government Moderate Income Housing Program, and demonstrating progress towards other Regional Plan Goals and Policies.

To review the staff letter on allocations to the board, visit HERE.