Kathryn Gray: Scorched Earth and Grass Roots on Donner Summit

Published on Apr 1, 2009 - 7:26:24 AM

By: Kathryn Gray, Donner Summit

Scorched Earth

Early last December, a Sand Hill Road-Menlo Park Venture Capitalist fired off an email concerning the Royal Gorge LLC proposed development which absolutely galvanized the Donner Summit community. This email was forwarded extensively, and, apparently, ultimately even posted in the lobby of the Soda Springs Post office.

Here's a portion of the email's opening paragraph, with many of the juicy bits redacted, and names left out (sorry):

"I talked with {principal} tonight for quite a while. He's the guy that bought Royal Gorge. He is a defeated man, as all of the efforts to block his development on the summit have prevailed. Royal Gorge loses $1m per year operating as a ski area. He just isn't going to keep it open. This will be the last season Royal Gorge exists as we know it. He told me to tell anyone that I know up on the summit 'congratulations, you have won.' Now you have to be prepared to live what what that will mean => no Royal Gorge ski area."

For an opening paragraph, this was quite an eye catcher. The comments as to Royal Gorge being a money loser reinforced statements Royal Gorge LLC's program manager had made to local newspapers. However, this venture capitalist's email engendered serious suspension of disbelief issues. First off, Royal Gorge LLC has never even filed an official development proposal with Placer County, aside from submitting their preliminary plans in 2007. Those plans were deemed insufficient, and Royal Gorge LLC was sent back to the drawing board by the county.

Second, those who have followed the long-playing saga of Royal Gorge LLC's proposed development on Donner Summit are well aware that major problems with water, sewer, Placer County's requirement for emergency exit roads, dams, moving high voltage trunk lines, protecting the historic Emigrant trail, avoiding migratory corridors,and infrastructure costs persist. Our dire economy, and fears that a large subdivision would gut cross country skiing also serve to make the assumptions underlying the following paragraph more than a little questionable:

"I think the summit lake community is making a massive mistake at torpedoing this development. He said if he could get approval to put 600-700 homes on his 3600 acres they could keep the property from having some far less desirable fate, and he would donate 80+% of the acreage to cross country and mtn biking. Even if he was willing to donate 50% of the land to a xc area you would be coming out way ahead imo, as 50% of something is better than 100% of nothing."

The author of the email grouses, vents, ignores the fact the "open space" he refers to is unbuildable land, and after being generally ill-tempered towards those opposed to large development on Donner Summit for a few more paragraphs, he then attempts to close the deal:

"If you want I am happy to try and help somehow with {principal}. He will listen to me if he thinks I am trying to mediate a deal with folks on the other side of the table that are serious about putting together something that is economically viable.

At this point he just wants to get out and dump the property to cut his losses. He is so upset he wants to cut up the property into these 160 acre ranches just to deprive those that blocked him from any development from having their ski area. You are staring down the barrel of a real mess that I'd say has less than a month to get resolved or the window is closed forever.

Please let me know if I can help. Can you coordinate a meeting for me with some of the folks that are playing Russian roulette with {principal} on behalf of Summit Lake? It's not a war of attrition that they are going to win by dragging it out. He simply has no obligation to keep losing money by running Royal Gorge...."

Speaking for myself, I truly admire someone who can craft such a gem as, "It's not a war of attrition that they are going to win by dragging it out." Needless to say, there was intense discussion as to how genuine this email was, whether it was bait dangled to lure the credulous on Donner Summit to accept 600-700 homes, or, maybe simply a product of too much Chateau d'Y'quem on a nippy winter's night.

Behind Closed Doors

A few months later it was revealed that the Serene Lakes Property Owner's Association Board (SLPOA), a voluntary membership organization restricted to Serene Lakes, rose to the bait. Here's some excerpts from SLPOA's president, Bill Oudegeest's message to SLPOA members:

"SLPOA meets bi-weekly with our allied groups (Sierra Club, Sierra Watch, MAPF, DSAA, SYRCL, Palisades, and No. Fork American River Alliance.)" ... "Some time before Christmas an email was circulated purporting to express {principal}'s feelings about the state of things on Donner Summit" ... "a list of frustrations culminating with they would just fence all the property, restrict access; and close Royal Gorge. Finally, they'd simply divide the property into 160 acre parcels and sell it all off." ... "I called Todd Foster and suggested a 'frank' discussion. Todd was amenable and we met just before Christmas." ... "The result was that we agreed to talk substantively. Naturally there was anguish a lot to overcome on the way to talking. Both sides are suspicious." ... "There followed a series of conversations about what subjects should we talk about, who should be included, ground rules, etc." ... "Simultaneously we were talking to the other groups. Some feel we have no business talking to the developers and others think talking could be good."

Mr. Oudegeest offered a series of reasons to rationalize SLPOA's unilateral decision to negotiate with Royal Gorge LLC, summing up with:

"The corollary to that is 'let's drag the developers into bankruptcy.' Do we really want the Royal Gorge lands to be sold at a deep discount to someone else with resources to do even more?"

Does it strike anyone, as a little, er, presumptious to negotiate with developers, with, I would imagine, the goal of coming to some sort of an agreement BEFORE the developer has actually started the application process with Placer County? As an aside, Mr. Oudegeest is, as well as SLPOA's president, a member of the Sierra Lakes County Water District Board (SLCWD). SLCWD is currently considering voting to acquire lands and a lake bottom from Royal Gorge LLC in eminent domain; might there not be possible concerns when a water board member is also in ongoing negotiations with the developer as to how many houses are acceptable to his homeowner's group?

Myriad questions abound surrounding the "allied groups" referenced by Mr. Oudegeest. Who appointed them? Do they represent the broad range of concern about the effect of large scale development on Donner Summit? What are their agendas? Are they "no-growth, "pro-growth", "wise-growth"? (The latter is considered an oxymoron by some.) Will these "allied groups" look after their own interests? Will they 'split the difference' on some issues? What if one group, say, Palisades (purely hypothetically), favors development that will get Pahatsi Road paved and give them winter access-- will the rest of the "allies" defer to them? Do these groups actually want to save Donner Summit from over the top development, or are they more interested in group dynamics? The questions could go on and on.

Code of Silence on Donner Summit

Lots of questions, no answers. You see, these groups have been meeting in almost complete secrecy, and have not been reporting anything to the public. Now, in the case of a group such as SYRCL, with their clear mandate to protect the South Yuba River, and their demonstration of dedication to the Summit environment, as evidenced by both their Headwaters Campaign, and associated work, including the thorough comments submitted regarding the draft of the Donner Summit Public Utility District's (DSPUD) permit to discharge effluent into the South Yuba River, I'm not too worried. In my mind, their environmental credentials are sterling. That said, secret meetings regarding Royal Gorge LLC's proposed development, by essentially self appointed groups, with no communication to the public, and no opportunity for public input, can act to co-opt genuine community involvement in an issue of great concern to many citizens.

Secret meetings strike against a foundation of trust. Negotiating with Royal Gorge LLC before plans are even filed with Placer County makes a mockery of the citizen comment phases in CEQA. Secret meetings marginalize the larger community, and risk turning people away from participating in the planning process. People kept in the dark about secret meetings might just be a little slower to whip out the check book and write checks to "Save Donner Summit".

I wonder, is this just what the developer ordered?

Grass Roots on Donner Summit

Just as grass needs water and sunlight to grow, informed community involvement in planning issues needs, you guessed it, INFORMATION. The developers' confidant/venture capitalist planted a gnarly weedpatch of misinformation, and, if the Summit did not cave into the developers' desires for a large development, painted a scorched earth picture of the future of Royal Gorge Cross Country Ski Resort. Is it time for a little weeding?

How can grass roots be nourished on Donner Summit? First off, it would be beneficial if the "allied" groups started sharing their views, and information with the greater public concerned with the impact of large scale development on the Summit. That way, people could decide whether the "allies" represent views they share, or whether to form their own organizations to better represent the range of ideas, and increase chances of protecting special places on Donner Summit.

Second, and especially if the Summit's wall of silence does not fall, those concerned with Summit issues should continue to regularly read the indispensable YubaNet, which publishes information on a wide range of issues concerning the Sierra.

Third, through the magic of "google" (sorry for the product placement), research "Save Donner Summit", or "Save Serene Lakes", or, even "Save Royal Gorge", and you'll find quite a lot of information. There is now even a "Save Our Summit" facebook group started by someone concerned about loosing the beauty and solitude of Royal Gorge Cross Country-- give it a look-see, and consider joining.

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