Report calls new Tahoe city or county viable

Wednesday, Oct. 23, 1996 | 11:59 a.m.

That was the conclusion of Nevada's largest law firm, which has been studying the possibility of establishing a separate political entity at the lake's Nevada shore for the last six months.

Harvey Whittemore of Lionel Sawyer & Collins explored three options: Creation of a city extending from the Stateline casino area north to Glenbrook; creation of a new county with roughly the same boundaries; and creation of a larger county including the North Shore communities of Incline Village and Crystal Bay.

All three possibilities are fiscally sound, he concluded.

"Is there a possibility you're going to get a better level of service? The answer is yes," Whittemore said.

Whittemore presented the 200-page report Monday before a crowd of roughly 200 people. He was hired last spring by the Tahoe Citizens Committee, a group of disgruntled Tahoe residents convinced people living at the lake are not getting adequate services from Douglas County for the tax dollars they pay.

The report predicted revenues of a new city would exceed expenditures by more than $1 million, the Reno Gazette-Journal reported.

Revenues for the larger county would also slightly exceed expenses, while the smaller county would be in the red by about $865,500. Revenue-generating options exist which could offset that problem, the report noted.

"They have created what I feel is an outstanding piece of work," said Mike Jabara, chairman of the Tahoe Citizens Committee. "We're very pleased that it shows all three options are viable."

The group's director will review the options and decide by next week which one to pursue.

Creating a new city could be sought by lake residents through a petition process and election. Formation of a new county is more complicated and would require approval by the Nevada Legislature.

But any course of action, particularly the creation of a new county, would involve a major political struggle, the lawyer said.

Douglas County and to a lesser extent Washoe County would suffer serious financial consequences. Such problems spelled the doom of efforts by Incline Village residents to break away from Washoe County last year.

"All of these are going to be very, very difficult to achieve politically. It's an absolute battle," Whittemore said. "What you're proposing is not for the timid."