TO: Board of Supervisors
FROM: Steven Lederer, Director of Public Works
REPORT BY: Leigh Sears, Concessions Manager
SUBJECT: Lake Berryessa Concessions Agreement and Update
RECOMMENDATION
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Receive a status update on each of the Napa County controlled resorts; and approve Agreement No. 8708 with Wild Haven LLC to conduct environmental studies, site investigations, prepare environmental documents, and enter into negotiations for a long-term agreement for development and operations of resort concessions at the Spanish Flat Resort area. (No Fiscal Impact, Discretionary)
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BACKGROUND
In 1957, the Federal Bureau of Recreation (BOR) completed the Monticello Dam. The BOR issued 50 year leases and oversaw operation of 7 resorts during this period. When those leases expired most of the resorts were closed and their infrastructure was removed. The BOR made several attempts to contract with new operators for the resorts but ultimately were not successful. Without the resorts operating, this area’s economy suffered dramatically. In the interest of mitigating this damaging situation, Napa County volunteered to take over the process of redeveloping some of the resorts. Napa County signed a Managing Partnership Agreement (MPA) with the BOR in 2020, allowing the County to proceed with a process to obtain developers to develop sites on a 55-year lease agreement. The MPA covered a total of 7 sites, 4 of which came under Napa County’s control.
Pursuant to the Managing Agreement, the County issued Request for Proposals (RFP) for resort concession areas at Lake Berryessa for Steele Canyon, Spanish Flat, Monticello Shores and Berryessa Point.
Steele Canyon:
Napa County is in a signed ENA with a local developer (Tim Wilkens) in collaboration with Camp Margaritaville and is in the design/environmental phase. The developer has stated that he is in need of a much longer lease in order to obtain financing for the development and has been discussing this with the BOR and their superiors in Washington, DC. The developer has stated that he cannot proceed with his project if he cannot obtain the longer lease. Little definitive progress has been made to date, and therefore the status of the ENA may be subject to change in the near future.
In the meantime, the site remains open. It is operated by a local business owner under an interim contract with Napa County. The site focuses on camping, RV camping and boat launching.
Berryessa Point:
This site is currently being marketed for a long term concessionaire.
Monticello Shores:
Panoramic Advisors have spent the past months doing a deep dive on diligence items including scope, infrastructure and architectural designs.
Spanish Flat:
Request for approval of ENA between Napa County and Wildhaven Napa LLC for long term resort-marina development and operations as requested in this Board item.
In the meantime this site remains open and operating. It is operated by a local business owner under an interim contract with Napa County. The site focuses on dirt camping, RV camping and boat launching.
Requested action: Approve and authorize Agreement No.8708 with Wild Haven LLC for the Spanish Flat Resort area.
FISCAL IMPACT
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Is there a Fiscal Impact? |
No |
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Is it currently budgeted? |
No |
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Is it Mandatory or Discretionary? |
Discretionary |
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Discretionary Justification: |
Long-term concession agreements are needed to attract private investment in the resort areas and improve recreational opportunities for residents and visitors |
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Is the general fund affected? |
No |
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Future fiscal impact: |
County will receive increased revenue from operation of the resort area if a long-term agreement is reached. |
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Consequences if not approved: |
County will not realize the private investment needed to improve the resort area. |
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Additional Information |
Strategic Initiative: Build Healthy, Connected Communities |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: For Spanish Flat Resort, the activities contemplated by the Agreement are either not a project subject to CEQA pursuant to CEQA Guidelines sections 15060(c)(3) and 15378, or consist of information gathering and investigations categorically exempt from CEQA pursuant to CEQA Guidelines section 15306.