January 18, 2003
Harveys Tahoe Management Company has filed
a lawsuit against the Tahoe Regional Planning Agency that
states it is wrongfully being denied the right to develop
land it owns behind the Lakeside Inn & Casino.
The suit contests a decision made by the TRPA Governing
Board to deny development rights on land behind Lakeside
on Laura Drive because of a 1980 violation admitted to by
Harveys.
Harvey's Inn (now Lakeside) requested a permit in 1976 to
expand its parking lot, which already covered more land
than allowed by the planning agency.
Despite the parking lot already deemed by agency staff to
be too large, the TRPA Governing Board deadlocked when it
met to vote on the issue. Douglas County, however, approved
the parking lot expansion.
The gaming company interpreted the Governing Board indecision
as a "deemed approval," according to TRPA documents, and
went ahead with expansion. The agency pursued the act as
a violation and crafted a settlement agreement that involved
Harveys handing over four vacant lots it owned to Douglas
County with the requirement that the land be used for "permanent
open space as a neighborhood park."
Douglas County never used the land to build a park, and
in 1990, the county deeded the land back to Harveys. In
2001, Harveys sought TRPA approval to develop the land.
The TRPA Governing Board denied the request in April 2002
and denied an appeal in October 2002.
"It was a unanimous decision by the Governing Board," said
Jordan Kahn, assistant counsel at the TRPA. "The Governing
Board agreed with the staff that those four lots cannot
be developed today unless or until an appropriate package
is reviewed and approved by the TRPA that addresses the
1980 violation -- the over coverage."
Michael K. Johnson, an attorney based at Stateline, filed
the lawsuit in federal court in Reno on Dec. 23. By law
the suit must be served within 120 days of its filing. Johnson
declined to comment on the suit, or to say if it would be
served on the TRPA.
But the lawsuit makes clear that Harveys believes it has
made good on its 1980 settlement agreement and is entitled
to develop the land.
One section of the document states: "TRPA's actions have
damaged Harveys' property interests. Furthermore, there
is no public use being served by such conduct. Therefore,
TRPA's actions constitute an unlawful taking of Harveys'
property."
-- Gregory Crofton can be reached at (530) 542-8045 or by
e-mail at gcrofton@tahoedailytribune.com