Tahoe Lawyer

September 14, 2001

Board plans defense counsel selection next month; intervention suit filing imminent

Michael Johnson, attorney
By Rick Adair, Bonanza Staff Writer

By consent, the Board of Trustees approved the formation of a committee to interview three defense attorneys being considered for the lawsuit filed against the Incline Village General Improvement District to open access at Burnt Cedar and Incline beaches.

Also, for the first time, IVGID provided an estimate of the cost and duration of the case.

The suit was filed in July by 2001 Beach Access, Inc., to open access to owners of all properties within IVGID. The deed transferring the beaches to IVGID in 1968 limited access principally to owners of properties within IVGID's boundary then. There are now about 450 parcels outside the 1968 boundary, including all of Crystal Bay.

District general counsel Scott Brooke recommended the attorneys, whose names he didn't provide, and said he was familiar with the abilities of each.

Board Chair Kenny Kinsman agreed to serve on the committee. Also serving will be Brooke, General Manager John Danielson and Trustee Ted Fuller, who is away on vacation, and was appointed in absentia. Kinsman said the committee would hold its first meeting next month.

In response to a pubic query, Brooke estimated the case could last 2 years, and cost between $50,000 and $100,000, but added, "it is hard to estimate because we can't foresee the course of events."

During public comments, members and representatives of the Village League to Save Incline Assets, Inc., said they intended to file an intervening suit by next week opposing wider beach access, and urged all who now have beach access to join their efforts.

"Many, many people are joining with me," said League incorporator Maryanne Ingemanson. "The purpose of this suit is to protect our property values."

In comments earlier this month, Ingemanson said the League's board included herself, Tom Menning, Joyce Anderson Bock, Chuck Otto and Jeffrey Quinn.

The League's attorney, Mike Johnson, also spoke, and addressed the relevance of a Connecticut suit, Leydon v. Greenwich, with some parallels to the IVGID suit. Johnson said the Connecticut suit, which opened access to a residents-only Greenwich park to all on free speech grounds, didn't apply to IVGID's case because Greenwich had no covenant granting its residents an easement to use the beach.

"There was no private interest in the Greenwich case, which is why First Amendment considerations applied," he said. "In contrast, IVGID's involvement is simply to administer the private easement that allows the residents to use the beach."

Although most in attendance favored keeping the access limited, Manny Sylvester, a long-time Incline resident whose efforts helped found Incline Village, forcefully urged that opening it to all IVGID properties.

"I think the board made a mistake by turning aside an opportunity to let Crystal Bay in," he said. "All I'm talking about here is a business decision. The Connecticut case is not the first one. Hawaii went through the same thing and lost. You are risking 100 percent of the value of the beach (by defending your suit), versus a 3 percent diminution by letting Crystal Bay in. If you had followed a decision tree, you would have been led to that decision."

But Brooke pointed out that this board, like several before it, were following the only course available to it in defending limited access.

Some expressed concern that a 2001 Beach Access, Inc., board member lists a Reno address. As reported in an Aug. 3 *Bonanza* story on the suit, the articles of incorporation for group lists Charles Bluth, Bruce Gray and Lee Herz Dixon as directors, and Bluth as its incorporator. The information for Dixon contains typographic errors, citing "Lee Herz Bixon."

Although the incorporation papers list a Reno address for Dixon, public records list Dixon as a co-owner of a Lakeshore residence. Gray is listed as the owner of a residence in Crystal Bay.


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