The Placer County Board of Supervisors has unanimously approved the Village at Palisades Tahoe Specific Plan during its meeting in North Lake Tahoe. This plan outlines the redevelopment of an 85-acre resort village at the west end of Olympic Valley, located in northeastern Placer County. The project includes 8.8 acres for employee housing, a community market, shipping and receiving facilities, and employee parking. An additional area, called the “eastern parcel,” will be developed 1.3 miles east of the resort near the Olympic Valley entrance.

The plan envisions an all-season mountain resort community with a hospitality and recreation focus. It allows for up to 850 hotel, condominium-hotel, and fractional ownership units, capped at 1,493 resort bedrooms. Additionally, the project includes 297,000 square feet of new and replacement commercial space for dining, retail, recreation, and skier services.

Key infrastructure improvements include a new fire station within the village, housing for 386 employees, and enhancements to public transit to mitigate transportation impacts. The plan also features upgrades to local trails, including flushable restrooms, trailhead parking for Granite Chief and Shirley Canyon, sewer connections at Olympic Valley Park, and restoration of Washeshu Creek, which was previously affected by channelization in the 1960s.

The board’s approval encompassed the certification of the final environmental impact report (EIR), development standards, design guidelines, amendments to the Olympic Valley General Plan and Land Use Ordinance, rezoning of specific plan acreage, a development agreement, and a water supply assessment.

The project was initially approved in November 2016 but faced legal challenges. The appellate court found deficiencies in the EIR regarding wildfire evacuation, construction noise, public transit, and water quality impacts on the Lake Tahoe Basin. In response, Alterra Mountain Company, the project developer, collaborated with county staff and environmental consultants to revise the EIR while retaining the original 2016 proposal.

The revised development agreement includes additional workforce housing units, all of which will be built during the first phase of construction. Measures to reduce vehicle trips in the area include a lodging fee expected to generate $20 million for vehicle miles traveled (VMT) reduction and a $2 million Tahoe Regional Planning Agency mobility fee. Alterra will also enhance the Route 89/Olympic Valley Road intersection and implement traffic management and parking plans for peak visitation days, along with annual traffic analyses.

The plan commits $7.5 million annually to local transportation and VMT reduction efforts, supplementing Placer County’s $10 million investment in the eastern region. A transportation technical review advisory committee will oversee the distribution of new funding and track mitigation efforts.

Additionally, Alterra has pledged $3.4 million for local park and trail capital improvements over the plan’s lifespan. A parks committee may be formed to guide the use of these funds.

During the September 5 Planning Commission meeting, Alterra revised the plan to exclude several features from the proposed mountain adventure camp, including simulated skydiving, skate parks, lazy rivers, and water-based activities. Alterra also introduced a 15% local resident discount for the camp in the development agreement.

Published November 20, 2024 https://www.placer.ca.gov/10036/Board-approves-Palisades-Tahoe-plan