Water restored to Tahoe Keys Marina

4:30 p.m. update: At 3:35 p.m. Friday afternoon the water was turned back on at the Tahoe Keys Marina. The two parties, Tahoe Keys Property Owners Association and Tahoe Keys Marina Management Inc., were able to work out an arrangement to get things flowing again.

The marina's lawyer Michael Matuska said he will file notice with the court to vacate the August 3 hearing as the two parties will be working on a continued relationship out of court.

Matuska did not release the specifics of the arrangement that restored the water service which has been down since July 11.

Chris Williams, manager of Tahoe Keys Boat Rentals, said that even without water they had been able to stay open and help customers throughout the ordeal. The launch ramp also remained opened.

The Fresh Ketch restaurant will reopen on Saturday for lunch according to their Facebook page though the phone message hasn't been updated.

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For the fourth time since July 12, representatives from the Tahoe Keys Marina and Tahoe Keys Property Owners Association (TKPOA) were once again in El Dorado County court on Thursday.

The result: The water remains turned off at the marina and the businesses, 12 apartments and Fresh Ketch restaurant located on the property owned by Tahoe Keys Marina Management, Inc.

Judge Suzanne Kingsbury, who has had three of the appearances in her court, ruled the water can be turned on while lawyers hammer out details if Tahoe Keys Marina Management, LLC, the owner of the marina, posts a $250,000 bond or deposits $79,725.50 in cash with the court.

"I am concerned about the tenants being kept from their homes," said Judge Kingsbury.

As of Friday morning the funds had not be deposited with the court. The marina's lawyer Michael Matuska of Carson City told South Tahoe Now they were deciding today what to do.

A notice was placed at the property by the City of South Lake Tahoe bBuilding Department on July 12, saying the structure was unfit for human occupancy due to no water. The El Dorado County Health Department closed the Fresh Ketch down on July 11 for the same reason.

At dispute is an unpaid water bill, equal to the cash requirement Kingsbury required for water to be turned back on.

Lawyer for the TKPOA, Michael Rounds, argued that his client didn't think the marina had the ability to pay the bill and that there is a lot of hearsay being argued on the part of the marina and that the issues at hand are a "moving target."

The Tahoe Keys Marina is managed by Robert Spinnato and owned by developers Robert and Donna Krilich of Chicago. The marina says they paid their water bill but TKPOA used the funds to pay a water quality/ week removal bill instead of for their water bill.

The marina folks say they had a verbal agreement with TKPOA where certain launch fees of the association would be waived in exchange for weed removal in the Keys.

Lawyers for both sides will be back in court next week, but this time it will be in civil court. That date is, tentatively set for August 3, depending on Kingsbury's availability with a trial going on.

The judge couldn't hear the case last week because the marina wasn't operating with correct business paperwork on file with El Dorado County. Matuska said that has been corrected and the correct business name on file is now Tahoe Keys Marina Management, Inc instead of the previous business name of Tahoe Keys Marina and Yacht Club, LLC.