The regular meeting of the Incline Village General Improvement District will be held starting at 6:00 p.m. on Wednesday, December 10, 2014 in the Boardroom, 893 Southwood Boulevard, Incline Village, Nevada.

A. PLEDGE OF ALLEGIANCE*

B. ROLL CALL OF THE IVGID BOARD OF TRUSTEES*

C. ROLL CALL OF THE IVGID BOARD OF TRUSTEES-ELECTS* Tim Callicrate Kendra Wong

D. PUBLIC COMMENTS* (During the Public Comment section of the agenda, the public may comment on any subject pertaining to Incline Village General Improvement District, that is in Reports and/or on the Consent Calendar and/or is not on the agenda for action. Comments from the public, relating to a General Business agenda item, will be taken during the Board's consideration of that item. When recognized by the Chair, speakers are requested to come to the podium at the front of the room, state their name and address, and direct their comments to the Chair. All speakers are made aware that their comments will be included in the minutes of the meeting. Speaking time is limited to three minutes and yielding of time is prohibited. Persons are invited to submit comments in writing on the agenda items and/or attend and make comment. The Chair may or may not provide a response or may take the comment under advisement. The Board of Trustees conducts the business of Incline Village and Crystal Bay and its citizens during its meetings. The Chair may order the removal of any person whose conduct disrupts the orderly, efficient or safe conduct of the meeting. Warnings against disruptive behavior may or may not be given prior to removal. Reasonable restrictions may be imposed upon the time, place and manner of speech.)

J. REPORTS TO THE IVGID BOARD OF TRUSTEES* - PART ONE

1. Nevada Department of Transportation Presentation on Crosswalks

E. DISTRICT STAFF UPDATE – GENERAL MANAGER – pages 1 - 2

F. APPROVAL OF AGENDA (for possible action)

G. CONSENT CALENDAR (for possible action)

1. Diamond Peak Ski Education Foundation (DPSEF) Three Year Agreement starting with the 2015/2016 Ski Season and Donation, by the Board of Trustees, of two dedicated parking spaces, each year, at the Diamond Peak Ski Resort (DPSR) Parking Lot (Requesting Staff Member: General Manager Diamond Peak Ski Resort Brad Wilson) – pages 3 - 16

2. Unemployment Insurance Contract Renewal – First Nonprofit Companies, Inc. in the amount of not to exceed $263,000 – Period: January 1, 2015 to December 31, 2015 (Requesting Staff Member: Director of Human Resources Dee Carey) – pages 17 - 19

Incline Village General Improvement District Incline Village General Improvement District is a fiscally responsible community partner which provides superior utility services and community oriented recreation programs and facilities with passion for the quality of life and our environment while investing in the Tahoe basin. 893 Southwood Boulevard, Incline Village, Nevada 89451 • (775) 832-1100 • FAX (775) 832-1122 www.ivgid.org

Agenda for the Board Meeting of December 10, 2014 - Page 2

H. GENERAL BUSINESS (for possible action)

1. Presentation and Acceptance of June 30, 2014 Comprehensive Annual Financial Report including an Unqualified Opinion by the District’s Auditor (Requesting Staff Member: Director of Finance, Accounting, Information Technology and Risk Management Gerry Eick) – pages 20 - 22

2. Establishing Special Revenue, Capital Projects, and Debt Service funds, as well as related sub-funds, for Community Services Fund and the Beach Fund, effective for July 1, 2015 (Requesting Staff Member: Director of Finance, Accounting, Information Technology and Risk Management Gerry Eick) – pages 23 - 26

3. Amend General Manager Employment Agreement, 3.7 Periodic Evaluation (Requesting Staff Member: Director of Human Resources Dee Carey) – pages 27 - 52

4. District’s Legal Services (Requesting Staff Member: General Manager Steve Pinkerton) – pages 53 - 78 (1) Authorize the General Manager to execute the necessary engagement letters or similar agreement to appoint the law firm of Reese Kintz Brohawn Guinasso, LLC as District Legal Counsel effective January 1, 2015 at a monthly retainer rate of $10,000 per month; and (2) Authorize the General Manager to provide ninety days notice to terminate agreement with Brooke • Shaw • Zumpft (as per the prior authorization granted by the Board for the current fiscal year), but with the request they consider allowing us to utilize their services, on an as needed basis, through June 30, 2015

I. RELEASE OF PAYMENT FOR BILLS OVER $10,000 DURING THE PERIOD STATED (for possible action) – pages 79 – 85

J. REPORTS TO THE IVGID BOARD OF TRUSTEES* - PART TWO

1. District Staff Updates (written updates may have been provided; if there are any questions, from the Board of Trustees, they may be asked at this time)

2. District General Counsel T. Scott Brooke

3. Golf Wrap-Up – Senior Head Golf Professional Michael McCloskey – pages 86 - 89

4. Ski Preview – General Manager Diamond Peak Ski Resort Brad Wilson – pages 90 - 100

5. Incline Lake – Director of Public Works Joe Pomroy – pages 101 - 120

Agenda for the Board Meeting of December 10, 2014 - Page 3

K. BOARD OF TRUSTEES UPDATE (NO DISCUSSION OR ACTION) ON ANY MATTER REGARDING THE DISTRICT AND/OR COMMUNITIES OF CRYSTAL BAY AND INCLINE VILLAGE, NEVADA*

L. CORRESPONDENCE RECEIVED BY THE DISTRICT* – pages 121 - 198

M. PUBLIC COMMENTS*

N. REVIEW WITH BOARD OF TRUSTEES, BY THE DISTRICT GENERAL MANAGER, THE LONG RANGE CALENDAR (for possible action) – pages 199 - 201

O. ADJOURNMENT (for possible action)

CERTIFICATION OF POSTING OF THIS AGENDA

I hereby certify that on or before Friday, December 5, 2014 at 9:00 a.m., a copy of this agenda (IVGID Board of Trustees Session of December 10, 2014) was delivered to the post office addressed to the people who have requested to receive copies of IVGID’s agendas; copies were either faxed or e-mailed to those people who have requested; and a copy was posted at the following six locations within Incline Village/Crystal Bay in accordance with NRS 241.020:

1. IVGID Anne Vorderbruggen Building (Administrative Offices) 2. Incline Village Post Office 3. Crystal Bay Post Office 4. Raley’s Shopping Center 5. Incline Village Branch of Washoe County Library 6. IVGID’s Recreation Center

/s/ Susan A. Herron, CMC Susan A. Herron, CMC Clerk to the Board of Trustees (e-mail: [email protected]/phone # 775-832-1207)

Board of Trustees: Joe Wolfe, Chairman; Bruce Simonian, Bill Devine, Jim Hammerel, and Jim Smith Notes: Items on the agenda may be taken out of order; combined with other items; removed from the agenda; moved to the agenda of another meeting; moved to or from the Consent Calendar section; or may be voted on in a block. Items with a specific time designation will not be heard prior to the stated time, but may be heard later. Items listed in the Consent Calendar section of the agenda are voted on as a block and will not be read or considered separately unless removed from the Consent Calendar section by Board action. Once a motion is made on the Consent Calendar, Trustees may or may not ask questions regarding an item on the Consent Calendar prior to the vote being taken. Those items followed by an asterisk (*) are items on the agenda upon which the Board of Trustees will take no action. Members of the public who are disabled and require special accommodations or assistance at the meeting are requested to call IVGID at 832-1100 at least 24 hours prior to the meeting. Copies of the packets containing background information on agenda items are available for public inspection at the Incline Village Library.

IVGID'S agenda packets are now available at IVGID's web site, www.yourtahoeplace.com. Go to "Board Meetings and Agendas”. A hard copy of the complete agenda packet is also available at IVGID’s Administrative Offices located at 893 Southwood Boulevard, Incline Village, Nevada, 89451. Nancg Parent, County Clerk

PO Box 11130, Reno, NV 89520-0027 1001 East 9th St., Reno, NV 89512

November 20,2014

Election of General Improvement District Representative to the Washoe County Debt Management Commission

Ladies and Gentlemen:

Nevada Revised Statute 350.0115 (Debt Management Commission: creation, composition, selection, and terms of members) provides that one representative of the general improvement districts, to be chosen by their governing bodies jointly, shall serve on the Debt Management Commission, which representative is to be chosen in January of each odd numbered year for a term oftwo years.

Pursuant to the above statute, please forward one nomination from your General Improvement District (either a member of your Board or your General Manager) to the office of the Washoe County Clerk no later than December 22, 2014 or submit your nomination by telephoning my Board Records and Minutes staff at 784-7275. After all nominations are received, ballots will be forwarded to the Districts for the election ofthe member representing the General Improvement Districts to serve on the Debt . Management Commission.

Nancy Pare t, Washoe County Clerk and ex officio Secretary ofthe Debt Management Commission jd

Phone 775-784-7287 Fax 775-784 1 www.washoecounty.us/clerks DISTRIBUTION LIST

GERLACH GENERAL IMPROVEMENT DISTRICT P.O. BOX 209 GERLACH, NV 89412

GRAND VIEW TERRACE WATER DISTRICT 295 KENNEDY DR RENO, NV 89506

PALOMINO VALLEY GEN. IMPROVEMENT DISTRICT P.O. BOX 615 SPARKS, NV 89506

VERDI TELEVISION DISTRICT P.O. BOX 221 VERDI, NV 89439

SUN VALLEY GENERAL IMPROVMENT DIST 5000 SUN V ALLEY BLVD. SUN V ALLEY, NV 89433

INCLINE VILLAGE GENERAL IMPROVEMENT DIST 893 SOUTHWOOD BLVD. INCLINE VILLAGE, NV 89451

WASHOE COUNTY CLERK BOARD RECORDS & MINUTES P. O. BOX 11130 RENO, NV 89520-0027

2 TO: Board of Trustees

THROUGH: Steve Pinkerton General Manager

FROM: Brad Wilson General Manager Diamond Peak Ski Resort

SUBJECT: Diamond Peak Ski Education Foundation (DPSEF) Three Year Agreement starting with the 2015/2016 Ski Season and Donation, by the Board of Trustees, of two dedicated parking spaces, each year, at the Diamond Peak Ski Resort (DPSR) Parking Lot

DATE: November 25, 2014

I. RECOMMENDATION

A. Staff recommends the Board of Trustees authorize the District General Manager to execute the attached Three Year Agreement with DPSEF. This agreement will be reviewed by District General Counsel.

B. That the Board of Trustees considers extending the donation (over the term of this agreement) of two parking spaces, located in the upper lot of the resort, for DPSEF fundraising purposes.

II. BACKGROUND

A. DPSEF is a valuable program to Diamond Peak Ski Resort (DPSR). The program attracts a large number of young skiers and their families to the resort. Through coaching, training and competition, young skiers learn valuable life lessons while acquiring skills they will take with them through adulthood. DPSEF has programs for young children all the way up to young adults. DPSR's association with DPSEF is a valuable marketing strategy putting the resort on the same playing field as Mammoth, Heavenly, Squaw and Northstar. Programs, like DPSEF, can be operated by the resort (and have been in the past), but usually at a significant cost, far exceeding the benefits offered in this agreement.

B. DPSEF is asking the board to renew their three year agreement in advance of the 2015/2016 season so they can auction off the two donated parking spaces during the 2014/2015 ski season, for use in the 2015/2016

3 Diamond Peak Ski Education -2- November 25, 2014 Foundation (DPSEF) Three Year Agreement starting with the 2015/2016 Ski Season and Donation, by the Board of Trustees, of two dedicated parking spaces, each year, at the Diamond Peak Ski Resort (DPSR) Parking Lot

season. Over the last four years, DPSEF has been allowed to auction parking spaces as a fundraiser during their Ullerfest event. The first year they auctioned off one spot and in subsequent two years they were allowed to auctioned off two spots. DPSEF staff is responsible to manage these spots (including signage) with the exception of snow removal. These spaces have proven to be one of the most lucrative fundraising components to the foundation and staff recommends that the Board of Trustees continue to donate two parking spaces to DPSEF through the term of this agreement.

III. FINANCIAL IMPACT AND BUDGET

The financial impact to the resort is minimal. Season pass and ticket considerations are more than off-set by the incremental business brought by the increase in business in season pass and ticket sales (during races).

IV. ALTERNATIVES

This program is a valuable feeder and marketing program for DPSR and operating the program in-house is not an option; therefore, Staff has no alternatives to offer.

V. COMMENTS

Staff is recommending approving this three year contract. DPSEF has shown Staff that they can abide by the guidelines of their agreement and work well with the Resort's operating team. All pricing in this agreement assures that non-IVGID Picture Pass holders will not pay less than Picture Pass holders.

The two donated parking spaces have little impact on the resort operation and DPSEF is responsible to manage those spots. The parking spots do represent a big opportunity for fundraising, helping to support the foundation.

4 INUIHt VILLAGE UK£ TA"OE Diamond Peak Ski Race Team Agreement Page 1 of 12 This agreement is between the Incline Village General Improvement District, a political subdivision of the state of Nevada, and the owner and operator of the Diamond Peak Ski Resort, 1210 Ski Way, Incline Village, NV 89541 (hereinafter referred to as "District" or "DPSR"); and the Diamond Peak Ski Education Foundation, Post Office Box 5591, Incline Village, NV 89450 (hereinafter referred to as "DPSEF"), for the purpose of conducting a ski educational race program at DPSR.

DPSR and DPSEF hereby agree to the following terms and conditions:

I. DPSEF'S RESPONSIBILITIES

District will allow DPSEF to undertake activities on its property and at DPSR. as follows:

A. Provide all services pertaining to the coaching and training needs of all U.S.S.A. Far West Master's; U18, U16, U14, U12, U10 and Tahoe League, Mighty Mites, Freeride, and Adventure Team. DPSEF will not compete with DPSR programs.

B. DPSEF will prepare schedules of competitions to be held at DPSR for submittal to the Mountain Operations Manager of DPSR or their designee by November 1 of each year, for review and approval. Changes to this schedule must be submitted and approved no less than 48 hours prior to the event or cancellation of the event may result.

C. DPSEF will conduct race meetings subject to U.S.S.A. standards for sanctioned races and provide services as needed for non-sanctioned races.

D. DPSEF will formulate necessary practices and procedures for use of equipment, facilities, training and competition, for review and approval by the Mountain Operations Manager of DPSR or their designee. All practices and procedures must be approved in writing by the 1st of October each fall prior to the winter season.

E. DPSEF representatives will adhere to the dress and conduct codes as set for all DPSR employees.

F. DPSEF representatives and participants will adhere to the code of conduct as set for all DPSR employees and will conduct themselves in this manner at all times.

G. DPSEF representatives and participants understand and abide by the "Your Responsibility Code" as well as all safety regulations of DPSR. DPSEF representatives shall further be responsible for insuring that all participants understand and abide by the "Your Responsibility Code" as well as the safety regulations set by DPSR.

H. DPSEF will maintain building integrity and cleanliness of race department headquarters.

I. DPSEF will make restitution for utility charges for the race department headquarters' building.

5 IHCWU tillLAIif UlE TAiIO! Diamond Peak Ski Race Team Agreement Page 2 of 12 J. DPSEF representatives will be responsible to ensure that all DPSEF participants carry a valid season pass or a current day pass whenever they are using the ski area facilities.

K. DPSEF will provide all of the necessary alpine training equipment.

M. DPSEF will seek final approval by DPSR General Manager for any materials utilizing the DPSR logo. DPSEF will use the names DPSR on all race related equipment including but not limited to: race bibs, banners, gate panels and patches.

N. DPSEF will des~gnate one individual by 1 November of each operating season as the program "Head Coach". This person will act as the primary liason with DPSR for the purposes of scheduling as well as daily supervision and conduct of program participants.

O. The two designated parking spots donated by the IVGID Board of Trustees as a fund raising opportunity for the DPSEF, will be managed by the DPSEF staff and not the DPSR staff, other than snow removal.

II. DISTRICT'S RESPONSIBILITIES

A. District, through DPSR. will make available portions of the mountain for production of the following races: • Approximately four (4) Far West race events; and • Approximately four (4) non U.S.S.A. race events. The location and scheduling of races will be by mutual agreement of DPSR and the DPSEF.

Initial slope grooming will be provided by DPSR for all DPSEF sponsored races. All other race production costs will be at DPSEF'S expense.

B. DPSR will make available portions of the mountain for ski race training. Routine slope grooming will be provided, but is not guaranteed as to frequency or quality.

C. DPSR will donate up to (25) photo 10 (non transferrable season ski passes) to DPSEF for the sole use of their race coaching staff. Two transferable season passes will be provided to the DPSEF as recruiting and marketing tools for use by the DPSEF to attract new youth to the program.

D. DPSR will provide up to twenty (20) race day ski comp tickets to be used by DPSEF race volunteers on the day of a DPSEF race only. DPSR will provide one race day ski comp ticket per eight (8) athletes registered to be used by visiting coaches on the day of a DPSEF race only. It is DPSEF'S responsibility to see that these comp tickets are used only in conjunction with a DPSEF race. It will be the sole responsibility of DPSEF to assure that these tickets are never sold through any method currently available or yet available, particularly through the Internet. To assure this compliance, all these tickets will be date restricted. 6 IHnHU ,nuu lAKE TAHOE Diamond Peak Ski Race Team Agreement Page 3 of 12

E. DPRS will supply office space and a locker room for the DPSEF race staff on the grounds of DPSR

F. All DPSEF race program IVGID Picture Pass Holder participants will purchase season ski passes from DPSR at its early season eligible rate. Non-IVGID Picture Pass Holders members of the race team will pay an additional $10 over the IVGID Picture Pass Holder age rate. All IVGID Picture Pass Holder parents of DPSEF members who join the team after early bird pricing has expired can continue to purchase season passes at the early bird rate. All non- IVGID Picture Pass Holder parents can purchase season passes at the current IVGID Picture Pass Holder season pass rate, plus an additional $10.00.

G. Diamond Peak Ski Resort will provide and facilitate the sale by DPSEF of Discounted Daily lift Tickets ("DDLTtf) to participants in DPSEF racing events and, in the case of youth races U 18 and younger, for the race participants' parents. DDLT per-day-ticket­ pricing will be established once each ski season by agreement between DPSEF and DPSR management no later than November 1 prior to the start of the ski season ("DDLT Price"). Revenue from DDLT sales will be split 50%/50% between DPSEF and DPSR This split will be achieved by the following billing and payment method: DDL T lift ticket requests must be submitted to DPSR no less than 2 days before race day. Prior to each race day, DPSR will print a block of DDLT tickets for sale by DPSEF in the morning of each race. DPSR will invoice DPSEF for the DDL T at 50% of the DDLT Price. DPSEF will then sell the DDL T each morning on race days. Any unused or unsold DDL T will be returned to DPSR within one week after conclusion of the race event. for a full credit against the price so invoiced. Payment for all DDLT per the invoice will be made by DPSEF to DPSR within 30 days after the final race date, with full credit for the DDL T so returned.

Example: Assume that DPSR prints and delivers 300 DDLT for a Tahoe League Race, and assume that the DDLT Price that season is $35. DPSR will invoice DPSEF 300 x $17.50 for that block of tickets. (i.e., $35 x 0.5 = $17.50.) If DPSEF sells only 200 of those tickets, it will return the 100 unsold tickets to DPSR within seven days after the race, along with a written report stating the number of tickets sold from that block (i.e., 200). (See Part VII (D), below.) DPSEF will remit 200 x $17.50 to DPSR within thirty days after the race.

H. DPSR will make available the base lodge for DPSEF charity functions as may be agreed by DPSR General Manager and DPSEF. Any such function will be conducted during times that are outside of DPSR's normal operating hours and require no DPSR staff labor to support. such as clean up, set up, etc.

I. DPSR will provide twenty five (25) identified non-transferrable fifty percent (50%) off food passes for the DPSEF coaches. These passes cannot be used to purchase food and/or non-alcoholic beverages for anyone but the pass holder. DPSR shall have the exclusive right, and at its discretion, to revoke any pass at any time for any reason. Any purchases made for anyone other than the passholder is an example of when revocation could occur.

7 Ui(llJu: VIlUGHUI fAK{lE Diamond Peak Ski Race Team Agreement Page 4 of 12 III. STANDARDS OF OPERATION

A Standards for routine race training will be followed as set forth in the "Standards of Operation for Routine Ski Race Training" hereto attached as Exhibit A

B. Standards for ski race production will be followed as set forth in the "Standards of Operation for Race Production" hereto attached as Exhibit B.

C. DPSEF will not have exclusive rights or access to the DPSR facilities. Use of the DPSR facilities by DPSEF is under the sole discretion of the DPSR General Manager.

D. The administration and organization of the DPSEF race program will be the direct responsibility of the DPSEF Head Coach. All activities taking place on the grounds of DPSR will require the approval, in advance, of the Mountain Operations Manager of DPSR or their designee.

E. The DPSEF ski team will be identified as the DPSR Ski Team.

F. DPSR reserves the right to produce its own races.

G. Prior written consent must be obtained from the General Manager of DPSR before any event to be held on the premises may be scheduled or advertised by DPSEF.

H. Any DPSEF use of DPSR equipment (including, but not limited to copy machine, typewriters, paper goods, etc.) will be allowed by DPSR only on a second priority basis after the needs of DPSR: its prior consent is required. Paper may be purchased per 500 piece unit at cost from DPSR The copy machine may be used at cost at $.05 per individual copy. The FAX machine may be used at a cost per phone call. All costs are payable upon receipt of monthly invoice.

I. At no time is the DPSEF to compete with or infringe upon the program offers of the DPSR Child Ski Center. DPSEF will not allow enrollment of any child in its program that will not be at least six (6) years of age by December 1sl of the pertinent ski season, unless the following conditions are met to the satisfaction of DPSR General Manager:

The child must have completed and successfully "graduated" from the DPSR Child Ski Center programs

If the child has relocated to the area and has already successfully completed a training program with another ski area or ski areas, the child must complete and pass a "ski off' test to be administered by the DPSR Child Ski Center Manager or appropriate deSignee.

Children under six (6) entering the DPSEF will need to demonstrate that they are able to load and unload safely from a quad chairlifl.

8 Uf(WtE VILl.AG.E lUf JAMOl Diamond Peak Ski Race Team Agreement Page 5 of 12 Standards for loading and unloading chairlifts is attached as Exhibit C.

IV. TRAINING PROGRAMS

DPSEF will submit the alpine racing program including price structures, annually to the Ski Resort Manager for review and approval by 1 November of any ski season. The approved list of programs will be attached as Exhibit C. DPSEF participation fees do not include the required season ski pass to DPSR.

DPSR realizes that some modifications to programs may be necessary due to participants' unknown future needs and demands. DPSEF must obtain prior consent from the DPSR, General Manager before any changes are made.

V. CHILD ABUSE PREVENTION

DPSEF agrees to comply with the District's personnel policy and ensure that any of the DPSEF personnel, eighteen (18) years or older, who supervises or have routine contract with children under the age of sixteen (16) years, will undergo background checks conducted by DPSEF and approved by the District. Any DPSEF staff member who fails to pass the background check or fails to cooperate in those checks will be terminated by DPSEF. All expenses incurred in conducting these background checks will be the responsibility of DPSEF.

VI. COMPLIANCE WITH LAWS

A. DPSEF will meet all local, state and federal laws pertaining to the operation of a business of this type (i.e. Education Foundation), and will obtain any permits or licenses required.

B. DPSEF will meet all local, state and federal laws pertaining to minimum wage, workers' compensation insurance, unemployment insurance, taxes, social security and any other mandated employer contributions.

VII. COLLECTION OF ALL RACE EVENT FEES

A. Collection of DPSEF race program tuition will be the responsibility of the DPSEF.

B. All DPSEF race program tuition will be the property of the DPSEF.

C All race fees, head taxes and any additional fees will be collected by DPSEF.

D. Ski Lift ticket sales for event entrants will be conducted by DPSEF staff with daily sales reporting provided to the DPSR Ticketing Department within one (1) week of the event. See Part II (G), above.

E. All race fees will be the property of DPSEF.

9 Il~dlJ:.,T UIUIIU VIUU'.( UU TA~U11 Diamond Peak Ski Race Team Agreement Page 6 of 12 F. Payment of any required fees and dues to the U.S.S.A. will be the responsibility of DPSEF.

G. Lift ticket revenue collected by DPSEF will be disbursed to DPSR within (30) days of the event.

VIII. INDEMNIFICATION

DPSEF agrees to indemnify and hold harmless District, and the DPSR, and all of its Trustees (past and present), its officers, employees, and agents from and against any and all claims, demands, losses, defense costs, or liability of any kind or nature against or incurred or which may be imposed upon any of them for physical or emotional injury or the death of any person(s), or damage or loss to any property as a result of or arising out of performance under the terms of this contract, excepting only liability arising out of the sole negligence of DPSR.

IX. INSURANCE

A. With respect to performance under this agreement, DPSEF shall maintain the following insurance:

1. Comprehensive general liability insurance with a combined single limit of not less than $1,000,000 per occurrence. Such insurance shall include products/completed operations liability, blanket contractual liability, personal injury liability, and broad form property damage coverage. Such insurance shall:

a. Name District/DPSR as additional insured; and b. Be primary with respect to any insurance or self-insurance programs maintained by DistrictlDPSR; and c. Contain standard cross liability provisions.

2. Workers' compensation insurance which complies with the CDS of Nevada regulations.

B. DPSEF shall furnish properly executed certificates of insurance to DPSR prior to signing this agreement. Such certificate shall:

1. Clearly evidence all coverage required above, including specific evidence of a separate endorsement naming District and DPSR as an insured, as well as all exclusions to the policies;

2. Indicate whether coverage provided is on a claims made or occurrence basis;

3. Provide that such insurance shall not be materially changed, terminated or allowed to expire except on thirty (30) days' prior written notice to District; and

4. Be forwarded to:

10 IMCWU VllUCiE. Uk[ TAUt. Diamond Peak Ski Race Team Agreement Page 7 of 12

Incline Village General Improvement District Director of Finance, Accounting and Risk Managment 893 Southwood Boulevard Incline Village, Nevada 89451

C. If DPSEF, for any reason, fails to maintain insurance coverage which is required pursuant to this agreement, the same shall be deemed a material breach of contract. District at its sole option, may terminate this agreement and obtain damages from the DPSEF resulting from said breach. Alternatively, District may purchase such required insurance coverage, and charge DPSEF for the premiums incurred.

X. INDEPENDENT STATUS

DPSEF in all respects shall serve as an independent contractor and shall not in any respect serve as an agent or employee of District or DPSR. DPSEF shall have no authority to financially obligate District or DPSR, or otherwise commit any of District's resources for any purpose whatsoever. DPSEF will hold District and DPSR harmless from any and all claims or liability and indemnify them from any liability arising out of DPSEF's activities on the hill, whether under this contract or otherwise.

XI. DEFAULT

In the event of default of any terms of this agreement by DPSEF, District and DPSR reserve the right to cancel all programs and races listed in this agreement after providing DPSEF with written notice of default and the opportunity to correct same within fourteen (14) days.

XII. ACCESS TO RECORDS

DPSEF shall keep adequate financial records to account for the collection and expenditure of all funds under this agreement. DPSEF shall make all financial records available to District and its agents, upon request.

XIII. AMENDMENTS

Both the DPSEF and District hereto reserve the right to make amendments to this agreement after execution of the agreement. Any amendments will be effective only when made in writing and approved and signed by both the DPSEF and District.

XIV. TERM

The term of the agreement shall be for three (3) winter ski seasons at DPSR commencing on the date of Signing of the agreement by both parties and terminating at the end of the ski season. DPSR makes no warranty as to the amount of snow or length of season and it is at the sale discretion of DPSR whether or not to open the ski resort for any activities whether or not the DPSEF has races scheduled or not.

11 ilHUNt Vllt"G.llIoU 'tAHOI Diamond Peak Ski Race Team Agreement Page 8 of 12 XV. TERMINATION

District reserves the right to suspend or terminate the agreement, or services thereunder, for default, upon written notice as per paragraph XI. Upon termination, District reserves the right to award all or any portion of the agreement to another party.

XVI. ASSIGNMENT

This agreement will not be assigned by DPSEF without the written agreement of District. No part of this agreement may be subcontracted by DPSEF, without the prior written approval of District. The agreement shall automatically terminate upon the sale or lease of DPSR for operation other than by the District.

XVII. SIGNATURE REQUIREMENTS

Authorized representation of DPSEF and District shall be indicated on all documents by the presence of two (2) signatures: the signature of the President and the Signature of the Secretary.

XVIII. ATTORNEY'S FEES

Should any dispute arise thereunder the prevailing party shall be entitled to recover, along with any damages it may incur, its actual costs and a reasonable attorney's fee.

IN WITNESS WHEREOF, the parties have hereunto subscribed their names on this day, this day of ,2014

Approved as to Form: INCLINE VILLAGE GENERAL IMPROVEMENT DISTRICT

By: Steve Pinkerton By: Joseph Wolf District General Manager Chairman of the Board of Trustees

T. Scott Brooke By: Jim Smith District General Counsel Secretary of the Board of Trustees

DIAMOND PEAK SKI EDUCATION FOUNDATION

By: DPSEF President

By: DPSEF Secretary

12 11I(LINl VllLA6t LAKE TAIOOE Diamond Peak Ski Race Team Agreement Page 9 of 12 EXHIBIT A

Standards of Operation For Routine Ski Race Training As Established by Diamond Peak Ski Resort Management

1. Space for race training courses may be restricted or canceled due to weather, crowds, and snow conditions. Setting of race courses is at the discretion of the DPSR Mountain Operations Manager or his designee.

2. The responsible race coach will check for instructions with the DPSR Mountain Operations Manager or his designee before any training course is set. Race training schedule will be submitted to the Mountain Operations Manager and approved weekly one (1) week prior to taking effect.

3. Training gates and equipment will be taken up the lift only by the responsible coach unless permission is obtained from the DPSR Lift Supervisor or DPSR Mountain Operations Manager.

4. After training, the course will be side slipped to the satisfaction of the DPSR Mountain Manager or his designee. Adequate time will be allotted by the responsible coach so as not to delay lift opening or closing time.

5. The average number of training courses will be two (2), though some flexibility may be allowed at the discretion of the DPSR Mountain Operations Manager or his designee.

6. Use, type and display location of any sponsorship materials may be approved by DPSR General Manager.

13 IlttUHE VILlIIGE uu rAMO! Diamond Peak Ski Race Team Agreement Page 10 of 12 EXHIBIT B

Standards of Operation For Race Production As Established by Diamond Peak Ski Resort Management

1. Races at DPSR will not be scheduled by the DPSEF without prior consent by the DPSR Mountain Operations Manager or his/her designee.

2. A Race Information Sheet will be circulated to the DPSR Mountain Operations Manager at least two (2) weeks before a scheduled race.

3. All pre-race and race day registration will be the responsibility of the DPSEF. Race Registration must be set up and operational at least three (3) hours prior to race start. Race Registration location will be cooperatively determined by DPSEF and DPSR General Manager or their designee. As soon as Registration is complete, DPSEF will return the area to its proper order.

4. Machine grooming of the race course will be the responsibility of DPSR. The final machine groomed surface will not be guaranteed because of changing weather or snow conditions. Final course preparation (side slipping, boot packing and course setting) will be the responsibility of the DPSEF race department.

5. Installation of all crowd control fencing will be the responsibility of the DPSR Ski Patrol. "S­ Netting" and speed control fenCing will be the responsibility of DPSEF.

6. All race courses, start and finish areas, and line up area clean up will be the responsibility of the DPSEF race department to the satisfaction of the DPSR Mountain Operations Manager.

7. Lift line cutting privileges will be only at the discretion of DPSR General Manager.

8. Use, type and display location of sponsorship materials may be approved by DPSR General Manager.

14 IS(LISt VIlUGE tAU TAKOI Diamond Peak Ski Race Team Agreement Page 11 of 12 EXHIBIT C

Standards of Lift Operations as Established by DPSEF

Diamond Peak Ski Team Lift Procedures (must always be followed):

1. Obey all the Signs and Procedures maintained and established by the Resort.

2. Sit all the way back on the seat with back against back of seat. (Yes, we know that this is not comfortable for smaller kids, as their legs will be straight out in front and not bent at the knees, but it is the safest position).

3. Hold on to the side arms or center bar.

4. Sit facing forward.

5. Pay attention -- do not fuss with clothing, equipment or food.

6. Absolutely no horseplay will be tolerated.

7. When a coach is loading with children, and a child does not make it safely onto the chair before the end of the loading zone, the coach is not to attempt to pull them onto the chair. Mis-loaded children should be guided into the catch pits at the end of the loading zones.

8. Children under 51 inches (measured with skis and helmet on) will not be allowed to ride any lift by themselves, regardless of age or ability level.

Diamond Peak Ski Team Lift Guidelines (Children, parents and staff must use their own judgement as to when to apply):

1. Follow the Guidlines established by the Resort according to your own judgement.

2. Smaller children should sit in seats 1 and 4 (outside seats) so that they can grab the side arms.

3. On lifts equipped with a safety bar, children who are large and strong enough to lower and raise the bar safely should lower the safety bar.

Coaches will be encouraged to do the following:

1. During early load mornings and whenever lift lines permit. U12. U10, Tahoe League and Mighty Mites will ride 2 children per chair unless accompanied by an adult (coach, parent or reasonably proficient bystander)

15 IN(WU VIlUGE tAl[ 'WiDE Diamond Peak Ski Race Team Agreement Page 12 of 12 EXHIBIT C (continued) Standards of Lift Operations as Established by DPSEF

Parents are encouraged to do the following:

1. Talk to your kids about assuming responsibility for their actions.

2. Speak with coaches and Ski Patrol to determine for yourself if you want your children to lower the bar when unaccompanied by an adult.

3. Speak with coaches and Ski Patrol to determine for yourself if you want your children to ride in positions other than 1 and 4 on the chair.

4. Ride the lift with their children when you feel appropriate for example on very windy, icy. rainy. cold times when the chairs are the most slippery.

5. Report horseplay to coaches or Ski Patrol when you see it.

16 TO: Board of Trustees

THROUGH: Steven J. Pinkerton General Manager

FROM: Dee Carey Director of Human Resources

SUBJECT: Unemployment Insurance Contract Renewal - First Nonprofit Companies, Inc. in the amount of not to exceed $263,000 - Period: January 1, 2015 to December 31, 2015

DATE: November 26, 2014

I. RECOMMENDATION

That the Board of Trustees makes a motion to authorize Staff to enter into a contract for a 12 month renewal from First Nonprofit Companies, Inc. (FNC) at a total not to exceed $263,000 to continue to provide the Bonded Service Program that assists with managing and containing the District's unemployment insurance costs. This renewal period would be January 1, 2015 to December 31, 2015.

II. BACKGROUND

Since 1985, IVGID has participated in a Bonded Service Program for unemployment insurance coverage. Under this program, IVGID elects the State's reimbursement option and then enters into a contract with a provider who assumes responsibility for all claims reimbursement for a set fee. This set fee is lower than the amount IVGID would pay under the State's taxable method. The set fee also includes unemployment cost management services.

Ten years ago, in 2004, the District moved our Bonded Service Program to First Nonprofit and continues to experience an aggressive, professional, claims management program with the few protestable claims being handled in a professional competent manner. We saved thousands of dollars with this move and we are convinced that we have partnered with a company who has been successfully serving nonprofit organizations for more than 25 years and who will continue to provide us exceptional service.

17 Unemployment Insurance Contract -2­ November 26, 2014 Renewal - First Nonprofit Companies, Inc. in the amount of not to exceed $263,000 - Period: January 1, 2015 to December 31,2015

Although the State of Nevada is no longer experiencing the highest unemployment rate, it is still ranking high in the Nation (7.6% in August 2014). The District has also seen a slight drop in our unemployment claims. Last year, we received a reduction of 12% for a term fee of $263,000 from First Nonprofit. First Nonprofit's proposal for next year's contract is for no change with the term fee remaining at $263,000. This means if our claims are less than $197,250, IVGID will receive 50% of the difference between claims paid and the difference of $197,250. Once again there will not be a charge back fee if claims exceed $197,250.

The table below summarizes IVGID's unemployment claims history with First Nonprofit. You can see the dramatic increase in the cost of claims beginning in the 4th quarter of 2008, when the State's Extended Benefits began.

IVGID Unemployment Claims History I Year Q1 Q2 Q3 Q4 Totals

2004 $46,302 I $20,247 • $17,612 i $22,360 $106,521 i

2005 $28,237 i $22,045 ! $16,187 . $24,768 $91,237 i

i 2006 $33,370 . $20,330 I $12,417 $22,844 $88,961 i

i 2007 $28,204 $22,879 $13,727 $23,214 $88,024 i

i 2008 $31,664 $32,962 $21,400 $49,961 $135,987

i 2009 $58,378 $45,159 $28,931 i $84,195 $216,663

2010 $73,244 i $46,936 i $28,195 $85,538 $233,913 .

2011 $89,985 I $55,314 $47,135 i $110,456 $302,890 ! 2012 $98,254 I $57,022 $18,941 $69,917 $244,134 2013 $59,769 $33,536 $5,896 $50,065 $149,266 $103,394 . 2014 $56,024 $33,564 I $13,806 I (Jan-Sept) I

We continue our efforts to contain costs, if needed the Human Resources personnel will contact individuals who have been laid-off from a seasonal position who are collecting unemployment for a second season. These phone calls inform the ex-employee of opportunities at IVGID and we encourage the individual to consider employment during the new season. We also continue to discuss with management/supervisory personnel the importance of documenting performance issues and the "why's and "when's" employees leave as additional efforts to control unemployment costs. Lastly, we monitor and challenge any protestable claim. We have continued to be slJccessful in olJr efforts.

18 Unemployment Insurance Contract -3- November 26,2014 Renewal - First Nonprofit Companies, Inc. in the amount of not to exceed $263,000 - Period: January 1, 2015 to December 31,2015

III. FINANCIAL IMPACT AND BUDGET

The financial impact to the District will be a zero increase and the contracted price will remain at $263,000 for the calendar year 2015.

IV. ALTERNATIVES

Not accept the recommendation and chose to move to the direct taxable or direct reimbursable methods with the State which are more costly options.

19 TO: Board of Trustees

THROUGH: Jim Hammerel Chairman, Audit Committee

FROM: Gerry Eick Director of Finance, Accounting, Risk Management and Information Technology

SUBJECT: Presentation and Acceptance of June 30, 2014 Comprehensive Annual Financial Report including an Unqualified Opinion by the District's Auditor

DATE: November 5,2014

I. RECOMMENDATION

Staff recommends, with concurrence by the District's Audit Committee, that the Board of Trustees makes a motion to adopt the June 30, 2014 unqualified audit report as submitted.

The District's auditor, Kafoury, Armstrong & Company, have completed their audit of the District's 2013-2014 financial report and have issued an unqualified opinion on the report. An unqualified (clean) opinion, which is the best audit report that can be issued, states that the financial statements are fairly presented in conformity with generally, accepted accounting principles.

II. BACKGROUND

As required by Nevada Revised Statue 354.624, an annual audit will be concluded and the audit report submitted to the Board not later than five months following the close of the fiscal year and adopted no later than thirty days from that submission unless an extension has been requested from the Department of Taxation.

Kafoury, Armstrong & Co.'s scope of work for 2013-14 included consideration of audit work on the Single Audit Act. However, the District did not meet the thresholds that create that audit requirement. The report includes a Report on

20 Presentation and Acceptance of -2- November 4,2014 June 30, 2014 Comprehensive Annual Financial Report including an Unqualified Opinion by the District's Auditor

Compliance and Internal Control in relation to the audit of the basic financial statements. Our auditors also reported no material weaknesses in our controls.

III. COMMENT

Once the Board has adopted the report, it will be distributed to a number of Local, State and Federal agencies, as well as bond consultants, banks, the Securities and Exchange Commission and the general public. The audit report will also be posted on the District's website.

21 The Comprehensive Annual Financial Report is included, in its entirety, within the Audit Committee materials.

22 MEMORANDUM

TO: Board of Trustees

THROUGH: Steven J. Pinkerton General Manager

FROM: Gerald W. Eick, CPA CGMA Director of Finance, Accounting, Risk Management and Information Technology

SUBJECT: Establishing Special Revenue, Capital Projects, and Debt Service funds, as well as related sub-funds, for Community Services Fund and the Beach Fund, effective for July 1, 2015

DATE: December 1, 2014

I. RECOMMENDATION

That the Board of Trustees makes a motion to authorize Staff to assemble and report an Operating and Capital Budget for the fiscal year beginning July 1, 2015 to the State of Nevada Department of Taxation. Local Governments Division, that utilizes Special Revenue, Capital Project, and Debt Service Fund accounting for the Community Services Fund (which is comprised of the sub-funds Golf, Facilities, Ski, Recreation, Other Recreation, Parks and Tennis) and for the Beach Fund.

II. BACKGROUND

Staff has identified that the District's determination of fees and charges no longer is best reflected by an accounting under the Enterprise Fund format. The premise of Enterprise Funds is that pricing policies establish fees and charges designed to cover its costs including capital costs (such as depreciation or debt service). This premise will remain reasonably in place though the year ending June 30, 2015 to have continued to use and be consistent with our historical format. However, it is clear the magnitude of what the District does, as a responsible asset manager, requires the District to put as much planning and operating efforts into capital expenditure which in turn requires multi-year decision making and carries operating consequences. An example of such consequences is our building reserves for future projects. Another example is repurposing amounts that once were used to pay debt service to fund capital expenditures.

23 Establishing Special Revenue, -2­ December 1,2014 Capital Projects, and Debt Service funds, as well as related sub-funds, for Community Services Fund and the Beach Fund, effective for July 1, 2015

Measurement and reporting of these consequences no longer is served effectively by using the Enterprise Fund format however Utilities would continue as our only Enterprise Fund.

Accounting is both an art and a science. The science comes from the many standards that exist. For governments, it is mostly in the form of generally accepted governmental accounting principles. The art comes mostly in how information is assembled and communicated. Over the last few years, the District has set facility fees with stated elements for operations, capital, and debt, with an occasional eye to reserves. This has been done balancing the context of the total fee and long term capital expenditures and debt service and is as such identified, by the District, as "smoothing". We are pushing the definition for use of an Enterprise Fund. Our perspective is heavily affected by multi-year approach not a single operating period.

A number of community members have expressed frustration with not understanding our financial reports. Much of this complexity is caused by the standard by which Enterprise Funds report operations, which does not really reflect a flow of resources. A flow of resources format would ultimately make it clear how much goes to operations versus capital expenditure and debt service. That is why the District has presented budgets in two ways - based on operating results and Total Sources and Uses. However, despite a desire to provide maximum information, the result has been even greater confusion about why two budget formats.

Utilization of the Special Revenue Fund, which isolates operating revenues and expenditures, along with Capital Projects and Debt Service Funds, will allow the District to clearly identify the three main elements of the flow of transactions for Community Services and the Beach. Financial statement users, regulators, internal managers, and the public will all have one format and one consistent measurement of revenues and expenditures. Our internal management budgets, monthly reporting, audit reporting, and State budget document will be more concise and have a similar appearance. This simplicity and clarity alone justifies the change.

24 Establishing Special Revenue, -3- December 1,2014 Capital Projects, and Debt Service funds, as well as related sub-funds, for Community Services Fund and the Beach Fund, effective for July 1,2015

III. FINANCIAL IMPACT AND BUDGET

The effects of these changes are a matter of where transactions are reported. It does not change the total dollars. Many common elements of our current Total Sources and Uses budget would be used but will be separated by those which constitute Special Revenue (operations), versus Capital Projects, and Debt Service. Separation occurs both for revenue and expenditure. Under this model, the District would be able to demonstrate, through budgeting, accounting and reporting, the separate uses of the facility fee for operating, capital and debt. We have talked about it many times and presented it many ways in special reports, but we find users are still confused. Use of this new format would help to eliminate this confusion. Also, compliance with a restriction such as sales of coverage, which can only be used for capital, would be easier to identify and track over time, as would the accumulation of reserves for any category.

IV. ALTERNATIVES

The District could continue to utilize the Enterprise Fund format. Our auditors have acknowledged they can see both our current interpretation and our reasoning for change. They will support the change when we conclude it should be made. We are still close enough to either definition to consider both. However, as time progresses and we make more financial decisions with a longer view, the community will not be served either for understanding nor a reflection of what is occurring by using the Enterprise Fund format for Community Services and the Beach. Staff feels the change is inevitable and should be made now. We are already making multi-year decisions relative to capital plans. The change also minimizes the complexity and misunderstanding we have with those who read our reports. Not changing does not seem appropriate.

V. COMMENTS

Our new General Manager has many decades of experience with governmental accounting and reporting as a user. One of his first observations was why we were not utilizing Special Revenue Funds to report our Community Services and Beaches. Special Revenue Fund standards get its name from the recognition that governments often receive a revenue source for a particular purpose. Demonstrating compliance with both the measurements and the actual functional use of those revenues is an important part of the community's comfort with the

25 Establishing Special Revenue, -4- December 1, 2014 Capital Projects, and Debt Service funds, as well as related sub-funds, for Community Services Fund and the Beach Fund, effective for July 1, 2015 operation of its government. This is opportunity for the District to be clear and transparent with the flow of resources, how they are used, and because of the separate funds, also demonstrate a pattern of compliance, readiness or instances where these objectives are not met.

The District has recently upgraded its accounting system. During this process, Staff has already developed a revised chart of accounts that would facilitate the new funds. Also, for the last five years, under the current system, the Director of Finance has monitored a process by which all activity could be converted to the new format once the change is adopted. It may not be necessary to convert all years but it is possible if the need is determined. The most common use of historical data is the prior and current year comparison we use as we develop a future budget. We'd expect to convert the years ending June 30, 2014 and 2015 to facilitate the new budget.

26 MEMORAND'y'M

TO: Board of Trustees

FROM: Dee Carey Director of Human Resources

SUBJECT: Amend General Manager Employment Agreement, 3.7 Periodic Evaluation

DATE: November 26, 2014

I. RECOMMENDATION

That the Board of Trustees makes a motion to amend the General Manager Employment Agreement, attached hereto, as follows:

Remove 3.7, Periodic Evaluation. in its entirety and replace with the following:

3.7 Periodic Evaluation.

UIVGID will publically evaluate the EMPLOYEE at least annually, during the 1st meeting of the Board of Trustees in August every year. EMPLOYEE will provide the Board of Trustees with a report of proposed goals during the

first Board of Trustees meeting in October every year. 11

For clarification purposes, this change would mean that the General Manager's first public evaluation would take place in August 2015.

II. BACKGROUND

The General Manager Employment Agreement was negotiated by Board of Trustees Chairman Joe Wolfe, Board of Trustees Secretary Jim Smith and Steve Pinkerton in early February of 2014; it was passed unanimously, by the Board of Trustees, on February 12, 2014 (see the minutes attached hereto). During those negotiations, Section 3.7 was written as follows:

IIIVGID will publically evaluate the EMPLOYEE at least annually, during the 1st meeting of the Board of Trustees in December every year. EMPLOYEE will provide the Board of Trustees with a report of proposed goals during

the first Board of Trustees meeting in June every year. 11

27 Amend General Manager -2- November 26,2014 Employment Agreement, 3.7 Periodic Evaluation

The General Manager and the Director of Human Resources are proposing to change the date of the review from December every year to August of every year. This would allow for the review to be better coordinated with the District's annual budget cycle. It is also being proposed that the General Manager's report of proposed goals be presented no later than October each year. This will allow the General Manager to incorporate feedback received in the August Performance Review into the report of proposed goals for the upcoming year.

For this initial year, since October has already passed, it is recommended that the report of proposed goals be presented at the first meeting in March 2015. This will allow time for any initiatives proposed by the newly seated Board of Trustees to be incorporated into the report. The goals that were submitted in June of this year would also be considered as null and void.

In addition to assessing the General Manager on his ability to achieve the goals proposed each year, it is also recommended that the Board of Trustees use the attached evaluation form to provide specific feedback on seven areas of core competency.

III. PROCESS

If the above motion is made and passed by the Board of Trustees at its December 10,2014 meeting, the process will be as follows:

1. On or about June 30, 2015, the Director of Human Resources will e-mail a performance evaluation form to each member of the Board of Trustees to complete and return. The due date will be July 17, 2015. Each Board member will be responsible for evaluation the General Manager on seven competencies which are correlated to the job description of the General Manager. 2. The General Manager will prepare a self-evaluation and it will be included in the same Board packet as each Board members evaluation; all of which will be a public record. These documents will be a part of the August Board packet which this item will be agendized for possible action. 3. During the agendized public meeting, the Board will have the opportunity to publicly discuss the General Manager's review and, as applicable, each evaluation submitted. 4. Any related action will also be appropriately agendized.

28 INCLINE VILLAGE GENERAL IMPROVEMENT DISTRICT GENERAL MANAGER EMPLOYMENT AGREEMENT

Page 1 of 17

TABLE OF CONTENTS

Recitals ...... , ...,...... t •••••••• , ...... , •••••••• 3

Section 1 - Employment; Term of Agreement 1.1 Employment ...... ,...... 3 1.2 Term of Agreement...... 3 1.3 Extension ...... 4

Section 2 - EmployeeJs Representations arid Residency 2.1 Employee's Suitability ...... " ...... 4 2.2 Residency ...... 4

Section 3 - Performance of Services 3.1 Employee's Duties and Obligations ...... 4 3.2 Performance of Duties to Reasonable Satisfaction of IVGID ...... 5 3.3 Place of Employment...... 5 3.4 Morals, Ethics and Personal Conduct ...... 6

3.5 No Conflict ...... !t' ...... , ...... 6 3.6 Non·IVGID Engagements ...... 6 3.7 Periodic Evaluation ...... 6

Section 4 - Compensation, Fringe Benefits, and Expense Reimbursement

4 .. 1 SaJary...... ~ ...... lofl ••••••• ,. ••••• " ...... " •• , ...... 7 4.2 Retirement Plans ...... 7 4.3 Benefits (Vacation. Sickness, Health Insurance and Miscellaneous)...... 7 4.4 Automobile Allowance ...... 8 4.5 Business Expenses ...... 8 4.6 Dues and Subscriptions...... 9 4.7 Professional Development...... 9 4.8 Indemnification...... 9 4.9 Recreational Benefits...... 10 4.10 Discretionary Salary Adjustment ...... 10

Section 5 - Loyalty. Return of IVGID Property. and Intellectual Property 5.1 Employee Loyalty ...... 10

5.2 Reserved ...... "...... ,...... t,_ II" ...... '.!I' ...... , ••••••••• '.t, ••••••• 10 5.3 Ft~1lJ1TI ()f 1I/(3IIJ 1'1tI1'E'r1)r...... ••....•....•...... •.••.....•.••...... •.•~ S. Pinkerton Initials .

29 INCLINE VILLAGE GENERAL IMPROVEMENT DISTRICT GENERAL MANAGER EMPLOYMENT AGREEMENT

Page 2 of 17

5.4 Intellectual Property ...... 10

Section 6 - Noncompetition 6.1 Noncompetition...... 11

Section 7 - Termination of Agreement 7.1 By Employee...... 11 7.2. By IVGID...... 11 7.3 Death ...... 11 7.4 Severance Pay ...... 12 7.5 Termination Adjacent to Election ...... 12

Section 8 - Reserved ...... , ...... 12

Section 9 - Miscellaneous 9.1 Payment of Taxes ...... 13 9.2. Assignment; Third Party Rights ...... 13 9.3 Further Documents and Acts ...... 13 9.4 Entire Agreement; Modification ...... 13 9.5 Binding Agreement ...... 13 9.6 Approval of Agreement...... 14 9.7 Nonwaiver...... '* ...... 14 9.8 Invalidity, Severability ...... ;...... 14 9.9 Construction...... 14 9.10 Employee's Review and Representation ...... 15 9.11 Governing Law ...... 15 9.12 Choice of Forum ...... :...... 15 9.13 Counterparts; Duplicate Originals ...... 15 9.14 Attorneys' Fees ...... 15 9.15 Notices ...... 16

Execution of Agreement (Signatures) ...... 17

s. Pinkerton Initials ~ 30 INCLINE VILLAGE GENERAL IMPROVEMENT DISTRICT GENERAL MANAGER EMPLOYMENT AGREEMENT

Page 3 of 17

THIS EMPLOYMENT AGREEMENT ("Agreement") is entered into on the _ day of February, 2014, by and between the INCLINE VILLAGE GENERAL D IMPROVEMENT DISTRICT, hereinafter referred to as "IVGID , a political subdivision of the State of Nevada, and STEVEN J. PINKERTON, hereinafter referred to as "EMPLOYEE."

RECITALS

WHEREAS, IVGID is in need of a qualified individual to serve as its General Manager; and

WHEREAS, IVGID has tentatively found EMPLOYEE to be qualified to serve as its General Manager; and

WHEREAS, IVGID wishes to contract with EMPLOYEE, and EMPLOYEE wishes to contract with IVGID, for that purpose.

NOW, THEREFORE, in consideration of the mutual covenants, and conditions contained herein and other good and valuable consideration, the parties hereto agree as follows:

WITNESSETH

SEC"nON 1 • EMPLOYMENT; TERM OF AGREEMENT

1.1 Employment.

IVGID hereby employs EMPLOYEE and EMPLOYEE hereby accepts employment in accordance with the terms, conditions and covenants set forth in this Agreement.

1.2 Term of Agreement.

The term of this Agreement shall be for a period of thirty-six (36) months from 28 April 2014 (the "Effective Date") through 27 April 2017, unless terminated earlier by either party in accordance with the provisions set forth herein or by the death or permanent disability of EMPLOYEE.

S. Pinkerton Initials k 31 INCLINE VILLAGE GENERAL IMPROVEMENT DISTRICT GENERAL MANAGER EMPLOYMENT AGREEMENT

Page 4 of 17

1.3 Extension.

The term of this Agreement shall automatically renew and extend for an additional three (3) year term beginning on 28 April 2017 unless written notice not to renew and extend is given by IVGID to EMPLOYEE no later than nine (9) months prior to the renewal date (Le., not later than 28 July 2016). If notice of non-renewal is given by IVGID, the Agreement shall remain in effect for the remaining term and EMPLOYEE will be expected to continue EMPLOYEE's duties for the remainder of the Agreement term, unless the Agreement is terminated earlier as set forth herein. The parties expressly agree that notice of non·renewal shall not be deemed a termination triggering any severance payment whatsoever; however, in the event of automatic renewal the termination provisions set forth in Section 7 shall apply.

SECTION 2 - EMPLOYEE'S REPRESENTATIONS AND RESIDENCY

2.1 EMPLOYEE's Suitability.

EMPLOYEE represents and warrants that he is free to enter into this Agreement for employment with IVGID and that he is not bound by any employment agreement, nondisclosure agreement, noncom petition agreement or any other agreement or obligation that may infringe on his ability or in any manner prevent EMPLOYEE from performing any of the duties that may be required of EMPLOYEE during the course of his employment with IVGID, or that may result in liability of IVGID in any manner concerning EMPLOYEE's prior employment with any former employer or the termination thereof.

2.2 Residency.

EMPLOYEE shall establish residency within the DISTRICT on or before 27 July 2014, and shall maintain such residency during the term of this Agreement.

SECTION 3 - PERFORMANCE OF SERVICES

3.1 EMPLOYEE's Duties and Obligations.

(a) Subject to the supervision and direction of IVGID's Board of Trustees, EMPLOYEE shall act as IVGID's General Manager. EMPLOYEE is hired and employed by IVGID to perform the functions and duties as determined from time to time by the IVGID Board of Trustees and as may be de~

S. Pinkerton Initials 32 INCLINE VILLAGE GENERAL IMPROVEMENT DISTRICT GENERAL MANAGER EMPLOYMENT AGREEMENT

Page 5 of 17

in the approved job description and as are customarily performed by one holding the position of General Manager of a Nevada governmental entity. Notwithstanding any Personnel Policies or Rules of IVGID to the contrary, EMPLOYEE shall be directly responsible to the IVGID Board of Trustees, and shall serve under the Board's supervjsion, direction and poJicies. EMPLOYEE shall report directly to the Chairman of the Board of Trustees and shall be available to all Trustees.

(b) IVGID shall fix any such other terms and conditions of employment as it may reasonably determine from time to time relating to the job duties and performance of EMPLOYEE not in conflict with the terms and conditions stated herein, including the annual Goals and Objectives established for EMr::-LOYEE, and EMPLOYEE agrees to comply therewith. The parties will collaborate in the establishment of IVGID goals and objectives.

(c) The General Manager is an exempt employee as defined and consistent with the Fair Labor Standards Act. EMPLOYEE is hired with the understanding that he is responsible for accomplishing the duties required of a General Manager. EMPLOYEE does not have set hours Of work; he is expected to be available at all times. It is recognized that EMPLOYEE must devote a great deal of time to the business of IVGID outside of IVGID's customary office hours, and to that end EMPLOYEE's schedule of work each day and week shall vary in accordance with the work required to be performed and in accordance with any spectfic direction provided by the Board of Trustees.

3.2 Performance of Dyties to Re@sonable Satisfaction of IVGID.

EMPLOYEE shall devote his full business time, attention and energies as necessary to fully perform his duties hereun.der. EMPLOYEE agrees that he will at all times faithfully, industriously, and to the best of his ability, experience and talent, and in good faith, perform all of the duties that may be required of and from him pursuant to the express and implicit terms hereof, to the reasonable satisfaction of IVGID.

3.3 Place of Employment.

Unless the parties agree otherwise in writing, EMPLOYEE shall perform his services primarily at IVGID's administrative offices currently located at 893 Southwood Boulevard, Incline Village, Washoe County, Nevada, and ~ S. Pinkerton Initials 33 INCLINE ViLLAGE GENERAL IMPROVEMENT DISTRICT GENERAL MANAGER EMPLOYMENT AGREEMENT

Page 6 of 17

other locations as directed by IVGID J or as otherwise required by the nature of said services.

3.4 Morals. Ethics and Personal Conduct

EMPLOYEE is advised that the duties of General Manager mean that the EMPLOYEE is held accountable as the Chief Executive Officer of IVGID. EMPLOYEE will be expected to conduct himself in a manner commensurate with this title. FurtherJ EMPLOYEE will be required, within the first one hundred twenty (120) days of hiring, to attend an educational session with the .Nevada POOL regarding Ethical Conduct, Open Meeting Law, and Positive Governance.

3.5 No Conflict.

EMPLOYEE shall not engage in any employment, activity, consulting service. or other enterprise, for compensation or otherwise, which is actually or potentially In conflict with, inimical to, or which interferes with the performance of EMPLOYEE's duties to IVGID. Further, EMPLOYEE shall not, during the term of this Agreement, individually, as a partner, joint venture, officer or shareholder, invest or participate in any business venture conducting business within IVGID's geographic boundaries (except for stock ownership in any company whose capital stock is publicity held and regularly traded) without prior approval of the Board of Trustees. For and during the term of this Agreement, EMPLOYEE further agrees, except for a personal residence or residential property acquired or held for future use as EMPLOYEE's personal residence, not to invest tn any other real estate property improvements within IVGID's geographic boundaries without the prior consent of the Board of Trustees.

3.6 Non-IVGtD Engagements.

EMPLOYEE shall not spend more than eight (8) hours per month in teaching, consulting, expert witness testimony, speaking, or other non-1VGID connected business for which compensation is paid without express prior consent of the Board of Trustees. EMPLOYEE will take personal leave (i.e. vacation time) for all outside activities of this nature.

3.7 Periodic Evaluation.

IVGID will publically evaluate EMPLOYEE at least annually, during the 1st meeting of the Board of Trustees in December every year. EMPLOYjp

S. Pinkerton Initials

34 INCLINE VILLAGE GENERAL IMPROVEMENT DISTRICT GENERAL MANAGER EMPLOYMENT AGREEMENT

Page 7 of 17 provide th~ Board of Trustees with a report of proposed goals during the first Board of Trustee's meeting in June every year.

SECTION 4 - COMPENSAnON, FRINGE BENEFITS, AND EXPENSE REIMBURSEMENT

4.1 Salary.

For services rendered under this Agreement, IVGID will pay EMPLOYEE an annua' base salary approved by the IVGID Board of Trustees, payable in installments on IVGIO's regular pay days, and full time employee benefits. EMPLOYEE's initial annual gross salary shall be One Hundred Seventy-Five Thousand Dol1ars ($175,000.00) ($14,583.33 monthly).

4.2 Retirement Plans.

Under the standard terms and conditions of IVGID's Personnel Policies, no employee may partiCipate in IVGID's retirement plans until after the employee's first six (6) months of successful employment with IVGID. EMPLOYEE shall be entitled to participate In all IVGID retirement plans in the same manner as an employee in a Department Head pOSition as de'fined in IVGID's Personnel Policies, Section 6. Benefits.

4.3 Benefits (\{acation: Sickness, Health Insurance and Miscellaneous).

Except as otherwise expressly set forth in this Agreement, EMPLOYEE shall be entitled to the customary benefits normally made available by IVGID to its Department Heads as defined In IVGID's Personnel POlicies, Section 6. Benefits.

(a) Initial Leave. Upon· execution of this Agreement, EMPLOYEE shall be granted forty (40) hours of vacation time and forty (40) hours of sick leave time.

(b) OngOing Leaye. EMPLOYEE shall accrue twenty (20) vacation and fifteen (15) sick days per year on a prorated basis each pay period.

(c) Moving Expenses. Within ten (10) days of the Effective Date, IVGIO will reimburse EMPLOYEE the sum of Ten Thousand Dollars ($10,000.00) as and for moving expense reimbursement.

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(d) IVGID will contribute the amount of 12.3% of EMPLOYEE's income toward retirement benefrts, by way of IVGID's existing 403(b) plan or such other mechanisms as IVGID may implement in the future with EMPLOYEE to be deemed fully vested in the retirement plan at the end of the initial contract term unless prohibited by law.

(e) Health Savings Account. EMPLOYEE may elect to not participate in IVGID's health benefit plans as offered to IVGID's other full time employees. In the event of that election and so long as permitted by law. IVGID will contribute to EMPLOYEE's Health Savings Account ("HSA") in an amount equal to what the cost of EMPLOYEE's health benefits would have been had EMPLOYEE accepted IVGID's health benefits, less those amounts that HSA participants are required to self-contrlbute. While IVG1D anticipates establishing an HSA Program for its employees before the Effective Date, it has yet to do so. In the event no HSA program is implemented the parties will renegotiate this provision.

(f) Deferred Compensation. IVGID will contribute an amount equal to five (5) percent of EMPLOYEE's base salary to EMPLOYEE's Deferred Compensation Account each pay period.

(g) Life Insurance. IVGID will pay the premium for the purchase of a One Million Dollar ($1,000,000.00) life insurance policy insuring EMPLOYEE's life provided that the annual cost of the premium to IVGID does not exceed Two Thousand Dollars $2,000.00.

4.4 Automobile Allowance.

IVGID shall reimburse EMPLOYEE for mileage for his personal vehicle, per IRS regulations. This amount constitutes reimbursement for and recognition of EMPLOYEE'S daily use of his personal vehicle for District purposes to include mileage, insurance, fuel, and all other costs associated with such use, all of which shall be the EMPLOYEE'S sole responsibility. The EMPLOYEE will provide the District with proof of insurance by listing the District ~s an additional insured on the EMPLOYEE's auto insurance policy.

4.5 Business Expenses.

In addition to the foregoing, IVGID agrees to reimburse EMPLOYEE for all reasonable, customary and usual expenses and disbursements necessarily S. Pinkerton Initials ~ 36 INCLINE VILLAGE GENERAL IMPROVEMENT DISTRICT GENERAL MANAGER EMPLOYMENT AGREEMENT

Page 9 of 17 incurred by him on behalf of IVGID; provided, however, that such expenses and disbursements are consistent with IVGID's pOlicies In effect from time to time. EMPLOYEE agrees to promptly provide a detailed account of such expenses and disbursements, and the purpose thereof, as well as receipts and other evidence necessary or convenient for valid governmental purposes.

Notwithstanding anything herein contained to the contrary I expenses must be approved by the Chairperson of IVGID's Board of Trustees, utilizing standard IVGID expense reporting forms prior to reimbursement.

4.6 Dues and Subscriptions.

IVGID acknowledges and agrees to consider the payment and budgeting of EMPLOYEE's professional dues and subscriptions to associations and organizations which are desirable for his continued professional participation and which are for the benefit of IVGID. Such costs and payments shall be in the discretion of IVGID, through the Chairperson of IVGID's Board of Trustees. The payment of dues and subscriptions on behalf of EMPLOYEE will be considered on a case-by-case basis.

4.7 Professional Development.

IVGID agrees to consider, on a case-by-case basis, necessary travel and per diem expenses of EMPLOYEE to attend conferences and other seminars and institutes which are beneficial to IVGID.

4.8 Indemnificgtion.

IVGID shall indemnify, defend and hold EMPLOYEE harmless from and against any and all claims, losses, liabilities and damages, including attorneys' fees and costs, that arise from or relate to (i) EMPLOYEE's duties under this Agreement, and (Ii) EMPLOYEE's acts and omissions as an employee of IVGID, as provided by NRS ehapter 41 or other law provided that such acts or omissions were done or omitted in good faith. Such indemnification shall not include acts outside the scope of employment or any illegal acts. Such indemnification shall not include EMPLOYEE's bringing an action in his own name and in his own right. This provision shall not apply to any employment actions brought by either party hereto against the other.

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4.9 Recreational Benefits.

EMPLOYEE and his immediate family shall receive the same recreational benefits as are allowed any other full-time, year-round IVGID employee.

4.10 Discretionary Salary Adjustment.

At the Board of Trustees' sole discretion, increases in salary may be given to EMPLOYEE at or around the time of his annual review and evaluation.

SECTION 6 • LOYALTY; RETURN OF IVGID PROPERTY; AND INTELLECTUAL PROPERTY

5.1 EMPLOYEE Lovalty,

. EMPLOYEE acknowledges that he has and owes IVGID a duty of utmost loyalty and confidentiality.

5.2 Reserved

5.3 Return o'f IVGID Property.

In the event of any discharge of EMPLOYEE from his employment hereunder or any termination of this Agreement, EMPLOYEE shall return to IVGID within one (1) business day after said discharge or termination all documents, materials, equipment, machines, credit cards, customer lists, keys and all tangible property of IVGID and shall maintain confidential any information of IVGID which cannot be returned.

5.4 Intellectual Property.

EMPLOYEE hereby sells, transfers and assigns to IVGID the entire right, title and Interest of EMPLOYEE in and to all inventions, ideas, disclosures and improvements, whether patented or unpatented, and material subject to copyright or trademart protection, made or conceived by EMPLOYEE, solely and jointly, in whole or in part, during the term hereof. EMPLOYEE shall communicate promptly and disclose to IVGID, in such form as IVGID may reasonably request, all information, details and data pertaining to the aforementioned intellectual property; and, whether during the term hereof or thereafter, EMPLOYEE shall execute and deliver to IVGID such formal transfers and assignments a;;;;

S. Pinkerton Initials

38 INCLINE VILLAGE GENERAL IMPROVEMENT DISTRICT GENERAL MANAGER EMPLOYMENT AGREEMENT

Page 11 of 17 other papers and documents as may be required of EMPLOYEE to permit IVGID or any person or entity designated by IVGID to file and prosecute the ownership of any such property.

SECTION 6 - NONCOMPETITION

6.1 Noncompetition.

During the term of this Agreement, EMPLOYEE will not. directly or indirectly. either as an employee, employer, consultant, agent, principal, partner, stockholder. bondholder, officer, director or in any other individual or representative capacity. engage or participate in any business or activity that is in competition or in conflict with the business of IVGID.

SECTION 7 - TERMINATION OF AGREEMENT

7.1 By EMPLOYEE

Nothing contained in this Agreement shall prevent. limit or otherwise interfere with EMPLOYEE's right to resign his position with IVGID at any time, by giving not less than ninety (90) days prior written notice to IVGID. rVGID may shorten the period of any such notice and terminate Employee's employment at any time following such notice. in its discretion. In the event that IVGID does accelerate EMPLOYEE's termination date, EMPLOYEE shall be entitled to those severance benefits described in Section 7.4 limited, however. to a maximum period of sixty (60) days beginning on the date of such notice by IVGID to EMPLOYEE.

7.2 By IVG!D.

IVGID may terminate this Agreement and the employment of EMPLOYEE with or without "cause" at any time, in its discretion pursuant to the terms and conditions stated herein regarding termination by IVGID.

7.3 Death.

In the event of EMPLOYEE's death this Agreement shall terminate immediately and any and all compensation then due EMPLOYEE shall be paid and delivered to his named beneficiary or the representative of his estate or trust, as the case may be.

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7.4 Severance Pay.

If EMPLOYEE is asked to resign or is terminated by IVGID, then EMPLOYEE shall be eligible to receive a cash payment equivalent to the sum of EMPLOYEE's the.,..current monthly salary multiplied by six (6) (or nine (9) if within ninety (90) days of a Board election) and the cash value, as determined by IVGID, of EMPLOYEE's monthly non-salary COBRA-eligible benefits or the like as stated herein multiplied by six (6) (or by nine (9) if within ninety (90) days of a Board election). This cash payment will be made on a prorated, monthly baSis over the number of months involved, subject to termination of the severance obligation for altemative employment set forth in this section, below. EMPLOYEE shall also be paid for any accrued, but unused t annual leave, but not accrued sick leave. Eligibility for such severance payment is expressly conditioned upon EMPLOYEE's execution of (i) a waiver and release of any and all of EMPLOYEE's claims against IVGIO and all of Its Trustees, and (iI) a covenant not to sue. All normal payroll taxes and withholdings as required by law shall be made with respect to any amounts paid under this section. EMPLOYEE agrees to provide notice to IVGID within two (2) business days of accepting employment elsewhere, and IVGIO's obligation to pay any severance benefit to EMPLOYEE shall terminate upon EMPLOYEE's acceptance of such aHernative employment.

7.5 Termination Adjacent to Election.

No action by the Board of Trustees to terminate EMPLOYEE, other than for gross mismanagement or an act of moral turpitude will be made within ninety (90) days before a Board of Trustees' election or immediately following a Board of Trustees' election. Termination contrary to this section will give rise to an additional three (3) months' severance (nine (9) months instead of six (6) months) as set forth in Section 7.4. Nothing in this paragraph alters the liat will" status of EMPLOYEE's employment with IVGID.

SECTION 8 - RESERVED

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SECTION 9 • MISCELLANEOUS

9.1 Payment of Taxes.

Any taxes due as the result of the payment or bestowal of any benefits by IVGID to EMPLOYEE of the referenced salary, auto allowances or benefits, or the like, shall be the sole responsibility of EMPLOYEE. EMPLOYEE hereby agrees to hold IVGID free and harmless of any responsibility therefore.

9.2 Assignment: Third Party Rights.

(a) This Agreement may not be assigned by either party.

(b) Except as may be expressly set forth herein, the parties hereto do not intend to confer any rights or re'medies upon any person other than the parties hereto.

9.3 Further Documents and Acts.

Each party shall execute and deliver all such further instruments, documents and papers, and shall perform any and all acts necessary to give full force and effect to all of the terms and provisions of this Agreement.

9.4 Entire Agreement: Modification.

(a) This Agreement expresses the entire agreement of the parties hereto and ,supersedes all prior promises, representations, understandings, arrangements and agreements among the parties with respect to the subject matter hereof. The parties further acknowledge and agree that neither of them has made any representation to induce the execution and delivery of this Agreement, except as specifically set forth herein.

(b) This Agreement may be modified, amended or waived only by written instrument executed by both parties.

9.5 Binding Agreement.

This Agreement shall be binding upon and inure to the benefit of both parties including heirs at law and executors. administrators or trustees of EMPLOYEE.

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9.6 Approval of Agreement.

This Agreement shall not be effective unless and until the IVGID Board of Trustees approves same by a minimum majority vote, all in compliance with Nevada's Open Meeting Law, as set forth in NRS Chapter 241.

9.7 Nonwaiver.

No delay or omisslon on the part of either party in exerCising any of its rights or remedies shall operate as a waiver, estoppel or other preclusion against the exercise of such right or remedy at any time. A waiver of any right or remedy on anyone occasion shall not serve as a waiver for any subsequent or prior occasions.

9.8 Invalidity; S~verabmty.

If any provision of this Agreement, as applied to any party or to any circumstance, shall be found by a court of competent Jurisdiction to be void, invalid or unenforceable 1 the same shall in no way affect any other provision of this Agreement, the application of any such provision in any other circumstance, or the validity or enforceability of this Agreement.

9.9 Construction.

(a) Each party has cooperated in the drafting and preparation of this Agreement. Hence, in any construction to be made of this Agreement, the same shan not be construed against any party on the basis of that party being the "drafter."

(b) By executing this Agreement, each party acknowledges that it has read and understood this Agreement in its entirety, and that it has had full and fair opportunity to obtain clarification of any and all terms contained herein, and to consult with legal and other professionals of its own choosing.

(c) In the event of a conflict between any terms or conditions contained in this Agreement and IVGID's Personnel Policies, or any documents, the language of this Agreement shall govern.

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9.10 EMPLOYEE's Review pnd Representation.

IVGID has advised EMPLOYEE, and EMPLOYEE acknowledges such advice. that EMPLOYEE should seek the review of this Agreement by an attorney and tax advisor representing EMPLOYEE.

9.11 Governing Law.

This Agreement is govemed by and shall be construed and interpreted in accordance with the laws of the State of Nevada. The parties each acknowledge that this Agreement was signed and executed in Nevada, and that performance will occur in Nevada. In all matters of interpretation. whenever necessary to give effect to any provision of this Agreement, each gender shall include the others, the s(ngular shall include the plural, and the plural shall include the singular. The titles of the paragraphs of this Agreement are for convenience only and shall not affect the interpretation of any provision or condition of this Agreement.

9.12 Choice of Forum.

IVGID and EMPLOYEE agree that the exclusive jurisdiction for any claim, action or proceeding in con nectlon with this Agreement shall be in the appropriate state court located in the County of Washoe. State of Nevada. Both parties acknowledge that all negotiations concemlng this Agreement, as well as the execution hereof, occurred in the State of Nevada. No legal action of any type or kind shall be filed or maintained in, or removed to, any federal court provided that the forum selected herein has Jurisdiction over the claims asserted.

9.13 Counterparts; Duplicate Qriginals.

(a) This Agreement may be executed in two or more counterparts, which taken together, with the signature of each party, shall constitute the whole of the agreement as between the parties.

(b) The total of these counterparts may together constitute duplicate originals of this same Agreement.

9.14 Attomeys' Fees.

(a) If a party hereto brings an action against the other arising out of this Agreement, the party who is determined to be the prevailing party s~

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Page 16 of 17

entitled to recover from the other all reasonable costs and expenses of suit, Including reasonable attorneys' fees Incurred in connection therewith.

(b) For the purposes of this Agreement a party may be a prevailing party if the court finds the party not to be liable on the claim/claims of the other. If multiple claims are brought. the court may take into consideration the following factors, among others, in the exercise of the court's sound discretion: the nature of the wrong alleged; the good faith basis upon which the action was brought or defended; and whether or not the respective party negotiated settlement in good faith.

(c) The parties agree that the determination of the "prevailing partyll shall be the party in whose favor judgment is rendered. and shall not be dependent on a monetary award entered for that party.

9.15 Notices.

Arty notice required or permitted to be given under this Agreement shall be sufficient if in writing and sent by registered mail or courier service requiring acknowledgment of receipt to the addresses set forth below:

Any notice or demand to IVGID shall be given to:

Board of Trustees Incline Village General Improvement District 893 Southwood Boulevard Incline Vinage, NV 89451

With a copy to:

T. Scott Brooke, Esq. Brooke • Shaw • Zumpft 990 Ironwood Drive, Suite 300 Minden. NV 89423

Any notice or demand to EMPLOYEE shall be given to:

Steven J. Pinkerton 641 Bianco Court Davis, CA 95616 s. Pinkerton Initials -b 44 INCLINE VILLAGE GENERAL IMPROVEMENT DISTRICT GENERAL MANAGER EMPLOYMENT AGREEMENT

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A party may, by virtue of written notice in compliance with this Paragraph 9.15, alter or change the address or the identity of the person to whom any notice, or copy thereof, is to be sent.

Notice shall be deemed received five (5) business days from the date of mailing, properly addressed and postage prepaid.

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the last day and date set forth below.

Dated this 12th day of February, Dated this 11 th day of February, 2014 2014

"IVGID" "EMPLOYEE"

INCLINE VILLAGE GENERAL IMPROVEMENT DISTRICT

By: By: Joe Wolfe Chair, Board of Trustees

By: Jim Smith

Secretary I Board of Trustees

APPROVED AS TO FORM:

By: T. Scott Brooke General Counsel, IVGID

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A party may, by virtue of written notice in compliance with this Paragraph 9.15, alter or change the address or the identtty of the person to whom any notice, or copy thereof, is to be sent.

Notice shall be deemed received five (5) business days from the date of mailing, properly addressed and postage prepaid.

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the last day and date set forth below.

Dated this 12th day of February, Dated this 11th day of February, 2014 2014

"IVGID" "EMPLOYEE"

INCLI NE VILLAGE GENERAL IMPRO MENT DISTRICT 7 By: By: Steven J. Pinkerton

By: it ~~~. Board of Trustees

APPROVED AS TO FORM:

By: T. Scott Brooke General Counsel, IVGID

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Page 17 of 17

A party may, by virtue of written notice in compliance with this Paragraph 9.15, alter or change the address or the identity of the person to whom any noticet or copy thereof, is to be sent.

Notice shalt be deemed received five (5) business days from the date of mailing, properly addressed and postage prepaid.

IN WrrNESS WHEREOF, the parties hereto have executed this Agreement as of the last day and date set forth below.

Dated this 12th day of February, Dated this 11 th day of February, 2014 2014

IIIVGID" "EMPLOYEE­

INCLINE VILLAGE GENERAL IMPROVEMENT DISTRICT

By: By: Joe Wolfe Steven J. Pinkerton Chair, Board of Trustees

By: Jim Smith Secretary, Board of Trustees

By: T. Brooke General Counsel, IVGID

S. Pinkerton Initials ___

47 Minutes Meeting of February 12, 2014 Page 4

2. SE Group Presentation (Requesting Staff Member: General Manager Diamond Peak Ski Resort Brad Wilson)

3. Adoption of Resolution No. 1823 which adopts the District Boundary Description and further authorizes Staff to submit same to Washoe County for recording (Requesting Staff Member: Interim General Manager/Director of Public Works Joe Pomroy)

4. Utility Rate Study Presentation (Requesting Staff Member: Interim General Manager/Director of Public Works Joe Pomroy)

Trustee Simonian made a motion to approve the agenda as revised Trustee Devine seconded the motion. Chairman Wolfe called the question and the motion was passed unanimously.

E. CONSENT CALENDAR (for possible action)

There were no items on the Consent Calendar.

F. GENERAL BUSINESS (for possible action)

F.1. General Manager's Employment Agreement (was General Business Item F.4.)

Clerk to the Board of Trustees Susan Herron said that there is a small typographical error that needs to be corrected which does not impact the document.

Trustee Smith thanked Chairman Wolfe for his excellent lob of working with him and thanked District General Counsels Brooke and Zumpft as well as the Director of Human Resources and the Director of Finance, Accounting and Risk Management. Trustee Smith then provided a brief background and stated that he felt comfortable with the contract, he is excited. and willing to answer any questions about the contract Chairman Wolfe thanked Trustee Smith and said that he did an admirable job. For the public. this contract represents a savings of $37,000 for the total pay package and noted that Mr. Pinkerton wants to come here and that he wants this to be his last job.

Trustee Devine said, regarding the automobile allowance, this contract differs in that the previous General Manager had the use of a District

48 Minutes Meeting of February 12, 2014 Page 5

vehicle and the new General Manager will be using his own vehicle and submitting a mileage reimbursement at a rate set by the I RS. Chairman Wolfe confirmed that to be correct.

Trustee Simonian made a motion to accept this contract as presented; Trustee Hammerel seconded the motion.

Trustee Hammerel said that the contract had no mention of a bonus and asked if we have removed any type of bonus. Chairman Wolfe said yes, there is no bonus offered in this contract.

Hearing no further Board discussion, Chairman Wolfe opened the matter for public comment.

Aaron Katz said that this is one of the few times where he has come before this Board and supported something that this Board is about to do. He can't think of anything that is better and thanked the Board for taking this action. He is very impressed with Mr. Pinkerton as he is so over the top for what we should have as a General Manager and knows that we are very lucky.

Hearing no further public comments, Chairman Wolfe brought the matter back to the Board and called the question - the motion was unanimously passed.

F.2. SE Group Presentation

General Manager Diamond Peak Ski Resort Brad Wilson gave a brief overview of this item and introduced Mr. Kent Sharp and Ms. Claire Humber from the SE Group who gave a PowerPoint presentation which is incorporated herewith by reference. The Board asked a couple of questions to which the SE Group representatives responded.

At 5:00 p.m., Chairman Wolfe called for a recess; the meeting reconvened at 5:10p.m. at which time Chairman Wolfe asked for public comments.

Aaron Katz said number 1, isn't it great that we have Staff to spend all their time helping to develop this presentation yet when a resident wants part of our Staff's time, it's not available. Who are all these things for? They are for the local hotels not for us so why are we doing this for the hotels. Does

49 Incline Village General Improvement District General Manager Evaluation Form Performance Review Period: ______

A. POLICY FACILITATION AND BOARD RELATIONSHIP Exceeds Requirement - ER; Meets Requirement - MR; Needs Improvement - NI

Rating

Facilitative Leadership - Builds cooperation and consensus among and within diverse groups helping them identify common goals and act effectively to achieve them, recognizing interdependent relationships and multiple causes of community issues and anticipating the consequences of policy decisions.

Facilitation of Board Effectiveness - Assists elected officials in developing policies that can be implemented • effectively and that serves the best interests of the community. IPreparation - Provides sufficient staff reports and related agenda materials to allow for effective Board j discussion/decision-making. Provides information to Board members in a timely manner. Obtains and Ievaluates relevant information and implements or recommends appropriate solutions to problems. : Professionalism - Displays a professional attitude/image that assures public confidence. Accessibility - Is accessible and responsive to Board member requests and communications.

Planning - Plans effectively to address upcoming issues. Identifies needs, studies issues and provides alternative solutions. Responsiveness - Responds in a timely manner to issues and opportunities that arise.

Comments:

B. LEADERSHIP EFFECTIVENESS Exceeds ReqUiremen t - ER , Mees t R eQUIrement - MR, Nee ds Improvement ­ NI I Rating Coaching/Mentoring - Provides direction, support, feedback and recognition to enable others to meet their potential. Team Leadership - Facilitates teamwork between departments, with the Board of Directors, and with the community. Empowerment - Creates a work environment that encourages responsibility and decision-making at all levels. Delegation - Assigns responsibility to others effectively. Supports innovative problem-solving by involving others in implementing better methods and procedures. Role Model - Sets a professional example and strong work ethic in and out of the workplace. Inspires others to achieve results. Fairness - Consistently strives to be fair and consistent in working relationships, and shows respect for others. Shows appreciation for the contributions of staff.

Comments:

Pa 50 f4 Incline Village General Improvement District General Manager Evaluation Form Performance Review Period: ______

C. PLANNING. INITIATIVE. RISK-TAKING Exceeds Requirement - ER; Meets Requirement - MR; Needs Improvement - N I

Rating Strategic planning - Facilitates planning processes for the District to anticipate future needs and trends. Articulates a vision to the District and the community. Plan implementation - Creates implementation plans which follow the adopted direction of the Board.

Initiative - Demonstrates a personal orientation toward action and accepting responsibility for results. Resists the status quo and removes barriers which delay progress toward goals.

Risk-taking - Develops new ideas or practices. Urges the District toward initiative, change, and prompt action.

Comments:

D. FUNCTIONAL AND OPERATIONAL MANAGEMENT Exceeds Requirement - ER; Meets Requirement - MR; Needs Improvement - NI

Rating Financial Management - Plans, implements and directs a comprehensive financial program for the District's long-range goals. Effectively communicates financial information to the Board and the public. Anticipates financial needs or potential impacts and addresses them in advance. Management of Resources - Maintains a high level of quality and quantity in staff work and facilitates operational procedures and service delivery that maximize effectiveness. Sets standards and measures results. Service Delivery - Understands the basic principles of service delivery in the District's service areas: water, sewer, trash, recreation, and capital project delivery. Promotes efficiency and effectiveness in delivery of services. Operational Knowledge - Understands the basic principles of operational needs including: revenue sources, budgeting, financial tracking, human resources, staffing, work operations, and technological advancements. Promotes efficiency and effectiveness in all operations.

Responsiveness - Follows-ups recommendations, concerns or complaints as promptly as possible.

Comments:

Pa 51 If 4 Incline Village General Improvement District General Manager Evaluation Form Performance Review Period: ______

G. HUMAN RELATIONS SKILLS Exceeds Requirement - ER; Meets Requirement - MR; Needs Improvement - NI

Rating j Consistently strives to be fair and consistent in working relationships, and shows respect for others. Shows appreciation for the contributions of staff. Is straight-forward in communications, and is capable of being firm when circumstances warrant. Uses i criticism constructively and objectively, while demonstrating sensitivity to the feelings of others. ! I Follows-ups recommendations, concerns or complaints as promptly as possible. I

Comments:

H. SUMMARY EVALUATION Exceeds Requirement - ER; Meets Requirement - MR; Needs Improvement - NI

Rating A. Policy Facilitation and Board Relationship B. Leadership Effectiveness C. Planning, Initiative, Risk-Taking D. Functional and Operational Management E. Representation, Advocacy and Citizen PartiCipation F. Integrity, Communications and Personal Development • G. Human Relations Skills

Overall Evaluation:

__ Exceeds Requirements __ Meets Requirements ___ Needs Improvement

Board Chair Board Vice Chair

Board Secretary Board Treasurer

Board Trustee

General Manager Date

Pa, 52 f4 ------TO: Board of Trustees

THROUGH: Steven J. Pinkerton General Manager

FROM: Gerald W. Eick, CPA CGMA Director of Finance, Accounting, Risk Management and Information Technology

SUBJECT: District's Legal Services

(1) Authorize the General Manager to execute the necessary engagement letters or similar agreement to appoint the law firm of Reese Kintz Brohawn Guinasso, LLC as District Legal Counsel effective January 1, 2015 at a monthly retainer rate of $10,000 per month; and (2) Authorize the General Manager to provide ninety days notice to terminate agreement with Brooke • Shaw • Zumpft (as per the prior authorization granted by the Board for the current fiscal year), but with the request they consider allowing us to utilize their services, on an as needed basis, through June 30, 2015

DATE: December 1, 2014

I. RECOMMENDATIONS

(1) That the Board of Trustees makes a motion to authorize the General Manager to execute the necessary engagement letters or similar agreement to appoint the law firm of Reese Kintz Brohawn Guinasso, LLC as District Legal Counsel effective January 1, 2015 at a monthly retainer rate of $10,000 per month

(2) That the Board of Trustees makes a motion to authorize the General Manager to provide ninety days notice to terminate agreement with Brooke • Shaw • Zumpft (as per the prior authorization granted by the Board for the current fiscal year), but with the request they consider allowing us to utilize their services, on an as needed basis, through June 30, 2015.

53 District Legal Services -2- December 1, 2014

II. BACKGROUND

The District General Manager has led a process for considering the appointment of new Legal Counsel for the District This process has included published notice to identify interested firms and subsequent review for this professional service. As a result of this process, the firm of Reese Kintz Brohawn Guinasso, LLC is being recommended by Staff.

III. FINANCIAL IMPACT AND BUDGET

A key component of the process was to identify a fee for service that allowed for a more predictable cost for both budgeting and managing the relationship. A requested service was regular office hours on District premises to better facilitate transactional elements of the District's business.

The recommended firm has offered to provide legal services for a monthly retainer of $10,000 per month. That is slightly above what was spent last year with our current provider for the same listed services and also includes the onsite office hours. The District budget has a base monthly fee of $8,150. The only exclusion would be in the event the District requests counsel to lead litigation. That would be the similar to the current provider agreement. The District has budgeted $60,000 for the current year for additional litigation, although it is not expected to be needed to that degree as nearly all outstanding litigation issues have been resolved. As part of our proposed agreement with the Reese firm, the fee structure would be reevaluated after six months.

While these actions will in effect create an overlap of providers for three months, the District will endeavor to minimize duplication of effort or costs. We believe that we should be able to stay within budget for these legal services.

This item is not subject to competitive bidding within the meaning of Nevada Revised Statute (NRS) 332.115 as described in subsection (b) Professional Services. Staff has made its recommendation based on the proposed services, experience, and verification of references.

IV. ALTERNATIVES

The District could choose to not appoint new legal counsel at this time. However, the current agreement expires June 30, 2015. Staff believes it is important to have some degree of overlap to facilitate the transition from one provider to another. This is why a process has been undertaken at this time. The Board of Trustees could delay the appointment.

54 District Legal Services -3- December 1,2014

V. COMMENTS

While the current provider agreement calls for a ninety day notice of termination, the Reese firm has specified they wish to omit any such clause from their engagement. Rather they want to approach this as if our continued satisfaction is the driver for their involvement. Attached is their proposal response dated September 15, 2014.

55 DEYONT. REESE' st7SA1\'NA TRU.\.-'; KINTZ' SEAN t. BROIL\WN J •.\SON D. GUL"ASSOte KIll M. GUINASSOt D. GENO lIENCH£TIlt. RY"''iW.flERRlCKt . ('I CRYSTALR. \V1LUS' ~ .. ,; RACHEL l. "1SE' JORDA." Dl'Nl..u>e 11I0MAS w. SMITH. ·Iicensed in Nevada. California & Illinois. $Licensed. in N"eYada &: Maryland 'tLkensed in Nevada 6Lkensed in Califoroia oLicensed in Penns~..h·a.r.ia ,OfCounsel •

September 15,2014

HAND DELIVERED

Incline Village General Improvement District Attention: Susan Herron Clerk to the Board of Trustees 893 Southwood Boulevard Incline Vi1lage, NV 89451

Mr. Steve Pinkerton General Manager Incline Village General Improvement District 893 Southwood Boulevard Incline Village, NV 89451

RE: Incline Village General Improvement District Proposal for Legal Services

Dear Trustees, Mr. Pinkerton and Ms. Herron:

Thank you for the opportunity to respond to the Incline Village General Improvement District's RFP to provide legal services to the District. As I have previously indicated, Reese Kintz Brohawn Guinasso ("RKBG") would be honored to represent the District and I believe we have the experience and commitment to Incline and the broader Tahoe Basin Community that is required to represent the District in its diverse legal needs.

Our specific response to your request is included. We have attempted to answer all of the questions outlined in the September 4,2014 RFP while not duplicating our earlier submission. We take no exceptions to the District's Standard Legal Services Agreement.

I am available the following dates in September for an interview: 15, 18, 19, 22-26. If you have any additional questions please do not hesitate to contact me.

Devon T. Reese Esq.

DTRJlom 936 SOUTHWOOD BLVD, SUITE 301, INCLINE VILLAGE, NEVADA 89451 190 W HUFFAKER LANE, SUITE 402, RENO, NEVADA 89511 2300 W. SAHARA AVE, SUITE 800, LAS VEGAS, NEVADA 89012 PH,775.832.6800 I FX.775.832.6801 I WWW,RKBPARTNER5.[OM

[email protected] ISusa [email protected] @rkbpartners,com I [email protected] [email protected] j DGM@rkbpartners,com 56 (bpart ne rs,com ICrystal@guinassolaw,com Jorda n@rkbpartners,com I Rach el@rkbpartners,co l s @ r k b part n e rs. com IDeIi a@rkbpartners. com FIRM EXPERIENCE

The attorneys of RKBG have represented a number Nevada Public Entities including IVGID. Attorney D.G. Menchetti was previously the General Counsel for IVGID. Attorney Partner Devon T. Reese will be the primary point of contact for the District in any General Counsel capacity. Collectively the attorneys of RKBG have represented governing bodies, public boards, municipal entities, counties, non-profit organizations, special improvement districts, towns, and fire districts in a broad range of legal matters for over 100 years.

A representative list of current and former clients includes:

• The North Lake Tahoe Fire Protection District; • The Incline Village & Crystal Bay Visitors Bureau; • The Incline Village General Improvement District; • The Reno-Sparks Convention and Visitor's Authority; • The Reno Tahoe Airport Authority; • The Town of Pahrump; • The County of Yolo; • The City of Sacramento; • West Hills Hospital; • Reno Police Protective Association; • Washoe County Sherriff's Deputy Association;

Our attorneys have had multiple and varied experiences furnishing legal advice and opinions, drafting resolutions, negotiating and defending public entity torts (including Section 1983 Claims and wrongful death actions) and construction law related claims. The firm has more than 100 years of combined experience in a wide range of legal areas that would benefit IVGID.

Our attorneys have significant experience with Nevada's Open Meeting laws (NRS Chapter 241) and Ethics in Government laws (NRS Chapter 281 A). We represent elected and appointed officials in all aspects of compliance with both issues. We routinely hold Board retreats and seminars to educate our clients on changes and subtle nuances to Nevada's ever -changing laws. Our lavllyers have also been asked to speak and write about these types of issues for professionally accredited seminars. More specifically, our attorneys have specific significant experience with NRS 318 which provides the framework for the creation and operation of GIDs in Nevada.

Our attorneys have particularized experience with Nevada and Washoe County property law. More importantly, we have been involved in hundreds ofInc1ine Village and Lake Tahoe specific property issues. Mr. Reese was previously employed as the General Counsel for Becker General Contractors one of the largest regional builders in Northern Nevada. Attorney Shareholder Sean Brohawn has represented builders, developers, homeowners, landlords, and tenants in a variety of litigation matters and arbitrations related to development issues. Attorney Shareholder Susanna Kintz has her LLM in Taxation which is often of critical importance in these types ofmatters.

57 FIRM CAPACITIES

Reese Kintz Brohawn Guinasso 936 Southwood Blvd, Suite 301 Incline Village, NV 89451

190 W Huffaker Ln Ste 402 Reno, NV 89511

2300 W. Sahara Ave. Ste. 800 Las Vegas, NV 89012

775-832-6800 Phone 775-832-6801 Fax

Primary Contact: Devon T. Reese, Esq. Managing Partner, Incline Village Government Services and Public Entities Labor and Employment Disciplinary Actions Appellate Law

Other Attorneys: D. G. Menchetti, Esq. Of Counsel, Incline Village Public Entities Real Property Disputes

Sean L. Brohawn, Esq. Partner, Incline Village Real Estate Litigation

Susanna Kintz, Esq. Partner, Incline Village Tax, Contracts, and Business Law

Ryan W. Herrick, Esq. OfCounsel, Reno Public Entities Litigation Appellate Law

Jason Guinasso, Esq. Managing Partner, Reno Workers Compensation Employment Litigation

Assistants: Delia Barajas Sally Welch

Accounting Support: Brandi Rathbun

58 PROPOSED COMPENSATION The firm provides a number of flexible fee structures for our clients. We work with our clients to develop a fee structure that best fits the individual client’s needs – one size “does not fit all”. We do not charge for indirect costs (normal copying, postage, or materials) or routine travel. We propose to minimize costs by using appropriate in-house staffing and in collaboration with the District’s staff.

Our hourly rate is highly dependent on the attorney responsible for the service. Our hourly fees range between $250 and $450 per hour. Our public entity clients generally pay a significant reduced fee of $250 per hour.

We propose to submit all deliverables requested in the District’s September 4, 2014 “Request for Proposal” on a “fixed fee” per month basis. We believe that whatever fee structure we ultimately agree upon with the District is contingent on a broad set of variables, some of which are unknown to both RKG and the District at this time. We view ourselves as a trusted advisor and partner to the District and believe our billings should be subject to review and revision in the event that the District is not receiving value for the services being provided.

RKG has reviewed the District’s historical billing records for the past six months and believes that the District, and ultimately the residents of Incline Village, would benefit from a “fixed fee” retainer of $10,000 per month with review at the end of 3 months. Our proposal is based on our belief that the District has averaged approximately 32 hours per month of legal services over the past 6 months and is requesting additional services of approximately 8 hours in the District’s September 4, 2014 “Request for Proposal”. During the first 3-6 months we believe your general counsel will be required to expend significantly more that 40 hours per month reviewing contracts, attending trainings, and reviewing general policies and procedures. Based on the assumption that the District requires at a minimum 40 hours of service per month, our effective billing rate would be $200.00 per hour (a reduction from the District’s current rate) and would include all normal and customary indirect costs which have averaged $105 per month over the past 6 month period.

Such a “fixed fee” retainer would cover, at a minimum the following: • Attendance and active participation in all Board of Trustees meetings (open and closed); • Devon Reese and D.G. Menchetti will attend all Board meetings for the next 12 months; • Advice to the Board on agenda items and procedural matters; • Guidance and training regarding all applicable Nevada laws; • Provision of designated office hours at the District’s Administrative Offices; • Draft, review and/or revise legal documents, contracts, ordinances, etc. • Annual reporting; • Draft and comment on District policies; • Provide advice and direction to District Staff.

Anticipated exclusions from the “fixed fee” retainer • Representation of the District in litigation. Such representation would be generally unanticipated and therefore, outside of the scope of the monthly retainer. Any such representation would be undertaken at a significantly reduced hourly rate and based on a pre-approved scope of work, budget, and timeline to be approved by the General Manager and Trustees. • Performance of extraordinary legal work not contemplated by either party at the time of this engagement.

REFERENCES

60 September 9, 2014

To Whom It May Concern,

For several years the North Lake Tahoe Fire Protection District has had the opportunity to retain the legal services of Devon Reese as Co-Counsel for our Fire District.

Mr. Reese has and continues to provide valuable direction and insight into numerous areas. Our Fire District has had no major legal issues and this can be attributed to having Legal Counsel and his staff available when needed for assistance with numerous matters such as contracts, agreements, labor negotiations, and any challenging issues that may arise from county, state, federal agencies and/or members of the public.

Mr. Reese is very involved and knowledgeable in regards to local, state and national issues that might face an organization. He is always very available to me, staff and Board of Directors. The conversations and directions he has provided to us concerning labor issues, community issues and potential legislation challenges is a prime example of his priority to both our fire department and community.

Without any reservation, I highly recommend Devon Reese for General Counsel for your agency and would hope that he be provided the privilege of representing your agency, in our community, as he has and continues to provide to our organization the North Lake Tahoe Fire Protection District.

If I may be of any assistance for questions concerning Devon Reese or his firm, I may be reached at: (775) 833-8104.

Sincerely, ~ North Lake Tahoe 'vJ!>....J.~~ Fire Protection Michael D. Brown District Fire Chief 866 Oriole Way lncline Village, NV 89451 775/831-0351 Fax 775/831-2072 www.nltfpd.net

Michael D. Brown Fire Chief 61 CI LAKE TAHOE INCLINE VILLAGE & CRYSTAL BAY

September 8, 2014

Steve Pinkerton General Manager IVGID 893 Southwood Blvd Incline Village, NV 89451

Dear Steve, Reese, Kintz, Browhan (RKB partners) has provided excellent legal advice and representation for the Incline Village Crystal Bay Visitors Bureau over the past five years, with individual representation by current attorney Geno Menchetti for over twenty years.

They are extremely well versed in Nevada's open meeting laws, and changes to Nevada Revised Statutes affecting public agencies. RKB has shown a rare combination of knowledge, integrity and leadership that helps guide our public agency activities in an efficient and productive manner. I recommend them highly.

~~Bill Hoffman Executive Director Incline Village Crystal Bay Visitors Bureau

LAKE TAHOE INCLINE VILLAGE CRYSTAL BAY VISITORS BUREAU 969 Tahoe Boulevard, IncH ;e, Nevada 89451-9500 (775) 832-1606 " (800) 4( 62 e Fax (775) 832-1605 ADVOCACY INVESTIGATION SERVICES P.O. Box 40502 Reno, Nevada 89504 Telephone: 775-830*8877 FAX: 755-348-4662 Nevada License No: 1002/1002A E-Mail: [email protected] MemberBBB

LETTER OF REFERENCE DEVON THOMAS REESE, Esq.

September 6, 2014

Incline Village General Improvement District 893 Southwood Blvd. Incline Village, Nevada 99451

Dear IVGID Manager and Trustees:

I have known Devon Thomas Reese, Esq. in a professional capacity and am honored to provide a letter of reference for him. Devon is a highly skilled professional lawyer who has represented clients with extreme due diligence, compassion and integrity. He is an honorable individual and is a dedicated, tenacious advocate for his clients.

As a retired law enforcement Major Crimes Detective for the Reno Police Department I have worked with and for numerous attorneys throughout my twenty-six plus years of service. As a licensed private investigator and process server in Nevada and also as a representative for numerous employee associations and individuals in our great state I have been fortunate to work with professional attorneys both in a Labor and Management setting. Devon Reese is an exceptional attorney who ranks as being one of the top five attorneys that I have worked with and for over the past forty years. Devon, in my opinion, has a unique gift of not only providing excellent advocacy to his clients, but provides empathy and sympathy as well to those he represents. He truly cares!

Devon's character is above reproach. He is an asset to the many organizations that I represent and I look forward to continuing working with him in the future.

Please contact me at 775-830-8877 should you have any questions regarding this letter.

Sincerely, Rolf [)P'eiveF

Ronald P. Dreher Executive Director cc: file

63 RESUMES

64 Devon T. Reese, Esq. 936 Southwood Blvd. Suite 30 I Incline Village, NY 89451 775.832.6800 [email protected]

PROFESSIONAL PROFILE

• Results-oriented leader, mentor and manager; proven track record of building departments, developing strong teams and creating infrastructure to meet demands.

• Accomplished lawyer and executive; broad knowledge of Nevada public entities law, real estate and development law, employment laws, organizational development, employee/labor relations, training and development.

• Demonstrated ability in deploying progressive and cost effective techniques to manage resources issues; strong organizational skills and budget management.

• Respected professional and business partner adept at ensuring that practices are aligned with culture, mission and standards.

• Recognized for ability to identity, attract and retain key personnel; proven expertise in administrative regulations and contract negotiations.

• Strategic planner and visionary with outstanding interpersonal skills.

EXPERIENCE

Reese Kintz Brohawn Guinasso, Incline Village, NY ~ Full Service General Legal Practice Managing Partner, 2008 to present

• Manage caseload in an active general law practice with an emphasis on government affairs and counseling, real property development and disputes, construction disputes, business disputes, administrative law, employment investigations, litigation and disputes, and labor counseling.

Becker General Contractors Reno, NY ~ Western Regional Land Developer and Construction Company Vice President and General Counsel, 2006 to 2008

• Managed the day-to-day operations of a $35million company, with 200+ employees, which included the analysis, development, implementation and administration of policies and programs covering employment, staffing, compensation, benefits and employee relations. • Experienced with exempt and non-exempt employees. Keen knowledge of union environments and collective bargaining agreements. • Provided advice and counseling to executive management team on real estate development, employee issues, a variety oflegal issues, and overall company strategy. • Led the organizational change initiatives that resulted from a difficult real estate market, while retaining critical employees through completion of projects. • Responsible for community outreach, client development, drafting and reviewing of contracts, marketing, and budget analysis.

Devon T. Reese - Resume Page i of 2 65 Curiale, Dellaverson, Hirschfeld, and Kraemer, Reno, NY ~ National Boutique Employment Defense Firm Primarily Serving the Fortune 1000 Managing Attorney, 2004 to 2006

• Advised employers on best practices; creating employee and manager handbooks, and drafting employment agreements and severance agreements. • Served as human resources department for several companies. • Designed and delivered training seminars and symposiums for hundreds of employees and supervisors (including Google, Palm, and Sanmina). • Integrated Winograd & Reese into California based labor and employment firm, creating synergy between two cultures and offices throughout and post merger. • Quickly built a thriving regional law practice based on knowledge, trust and strong relationships with my clients.

Winograd & Reese, Reno, NY Partner, 2003 to 2004

• Founded boutique defense insurance litigation practice, with emphasis on personal injury, employment litigation, counseling, investigations and training, construction law, and general business disputes. • Managed the acquisition ofthe firm by Curiale, Dellaverson. • Built a successful practice through solid relationships, networking, and trust.

LaxaIt & Nomura, Ltd. Reno, NY Associate, 2001 to 2003

• Managed caseload in an active insurance defense litigation practice with emphasis on personal injury defense, construction defect litigation, and employment litigation.

The Honorable Justice CliffYoung - Nevada Supreme Court, Reno, NY Law Clerk, 2000 to 2001

• Conducted legal research and drafted bench memoranda concerning various areas of state and federal law, prepared court documents for publication.

EDUCATION and ACCREDITATIONS

University of Kansas School of Law Lawrence, Kansas J uris Doctorate, 2000 • 1999 Janean Meigs Memorial Scholarship Recipient

University ofMissouri Kansas City, Missouri BA English, 1996 • Chancellor'S and University of Missouri Trustee's Scholar • First Team All-American 1996; National Champion Debate Team 1994 and 1995

Nevada State Bar SBN #7496, Admitted, September 2000

Devon T, Rees2 - ReSLIrne 2 of 2 66 SUSANNA TRUAX KINTZ. ESQ REESE KINTZ BROHA\\IN, LLC [email protected]

lIT Chicago-Kent College of Law, JD 1989, with Honors Chicago,IL Member: Chicago Kent Law Review Publication: Seventh Circuit Review, Securities Law, Fall Ed. 1988 Judicial Extern: Judge Plunkett, Federal District Court, Northern District of Illinois Thomas Jefferson School of Law, LLM International Tax 2009, with Honors San Diego, California University of Southern California, BA 1983, Mathematics and Economics Los Angeles, California

Illinois, Active Member since 1987 California, Active Member since 2006 Nevada, Active Member since 2010

Reese Kintz Brohawn, LLC, Incline Village, Nevada Partner, 2010 - present • Business law including mergers, stock and asset purchases, relocations, entity formation, contracts, partnership and shareholder agreements, employee and independent contractor agreements, non-disclosure and confidentiality agreements, non-qualified stock option and incentive compensation plans, and tax planning • Estate planning including wills & trusts, business succession planning, gift & estate tax planning, charitable gifting, special needs and Medicaid planning, probate, and trust litigation • Asset protection • Family law

67 Vedder Price, Chicago Illinois, Associate 1986 - 1989 • Securities law including public and private offerings, and investment company formation, offerings and regulation compliance • Investment advisor representation • Employee stock option and other incentive compensation plans • Business law including mergers, relocations, asset purchases, entity formations, contracts, and partnership and shareholder agreements Pro Bono Legal Work 1995 2005 • Assisted with defamation claim brought by son's Swim Coach, and in her defense in a wrongful solicitation claim • Prepared contracts, releases and other legal services for sports clubs, home owner association, and other organizations

Raised Four Children:

Samuel Kintz Stanford Business School, 2104 Stanford University, Honors Director of Business Development and Marketing, Biodesy, Inc. Natalie Kintz University of Southern California, Fellow and PhD Candidate, Neuroscience University of Southern California, Honors Matthew Kintz Graduate, University of California, Berkeley, Phi Beta Kappa, Honors Law Clerk, Lewis, Feinberg, Lee, Renaker & Jackson, Oakland, California Corydon Kintz University of San Francisco, Suma Cum Laude, Honors Payments Intern, Invoice2go, Inc.

Velocity Volley Ball Club, Organizer, Manager and Coach Shoreline Volleyball Club, Manager and Coach Scouts Aquatics Club, Board Member Lake Forest Junior Women's Club, Board Member Onwentsia Gardens Home Owner Association, Board Member

SUSANNA TI 68 CNTZ, ESQ. Sean L. Brohawn Member, Reese Kintz Brohawn, LLC 936 Southwood Boulevard, Suite 301 Incline Village, Nevada 89451 (775) 832-6800 .

Sean 1. Brohawn represents clients in litigation and transactional work primarily involving commercial and residential real estate sales and leasing, commercial and residential property development, construction and business contracts, and Nevada limited liability companies and corporations. Sean has significant experience negotiating, drafting, and resolving disputes involving the following: Nevada condominiums and hotel-condominiums, design and construction contracts, mechanics liens, construction defects, HOAs, CC&Rs, and real property matters such as easements and leases. Sean also handles professional liability defense and professional licensing issues on behalf of architects, engineers, general contractors, subcontractors, mortgage brokers, and real estate agents.

Sean graduated with honor from the University of Maryland School of Law in 1998. In law school, Sean served as a notes and cominents editor of the Maryland Law Review, received several awards for scholastic excellence in litigation and civil procedure, and was a founding Fellow of the school of law's Legal Writing Center. Following law school, Sean served as a law clerk to the Honorable James R. Eyler of the Maryland Court of Special Appeals. Sean has served as a guest lecturer on business law topics at Truckee Meadows Community College, in Reno, Nevada.

Sean is admitted to practice in the state courts ofNevada and Maryland, the U.S. District Courts for the Districts of Nevada and Maryland, and the U.S. Court of Appeals for the Ninth Circuit.

Sean's regular clients include Grand Sierra Resort & Casino, and Max Baer Productions, Ltd.

69 JASON D. GUINASSO, ESQ. 190 W. Huffaker Lane, Suite 402 . Reno, NV 89511 . (775) 853-8746 J [email protected]

ADMITTED

Nevada Bar, 2003 Federal District Court of Nevada, 2004 California Bar, 2005

LEGAL EXPERIENCE

Reese Kintz Brohawn Guinasso., Managing Partner Present

• Practice focuses almost exclusively on employment and labor law, general litigation advice and counseling.

Guinasso Law, Ltd., Managing Shareholder December 2008 to August 2014

• Advocate for employers, insurers and third party administrators. Practice focuses almost exclusively on employment and labor law with an emphasis on workers' compensation advice and litigation. • Maintains a significant appellate practice, which has included preparation of petitions for judicial review of administrative decisions, extraordinary writs, and appeals to the Nevada Supreme Court. • Also advises clients on workplace safety, investigations, employee discipline, and employee handbooks and policies and counsel my clients on the interaction of workers' compensation laws with state and federal laws prohibiting discrimination due to disability and/or laws mandating medical leaves of absence. • Teaches focused courses, lecture at seminars and provide training to managers, claims examiners, and lawyers on a broad range of employment-related SUbjects. • Dedicated to contributing to community by providing pro bono legal services to faith-based organizations, non-profits, and civic organizations. Actively involved in a number of organizations that minister to people in need, influence the development of law and policy, and provide leadership.

I 70 Littler Mendelson,P,C' J Associate Attorney May 2006 to November 2008

• Primary practice area: employment and labor law with emphasis on workers' compensation defense; experience handling almost every variety of workers' compensation case; regularly appeared before workers' compensation administrative Hearing Officers and Appeals Officers; significant appellate experience, including petitions for judicial review, extraordinary writs, and appeals to our Nevada Supreme Court. • Specific regular activities of practice included providing clients with advice on how to administer and manage claims; preparing pleadings, motions, briefs, and legal memoranda; preparing case status letters to clients; reviewing medical records and communicating with doctors; analyzing risk of exposure to liability under various claims; assessing a claimant's entitlement to temporary total disability, vocational rehabilitation, and permanent partial disability (PPD) ratings under the 5th Edition to the AMA Guides to the Evaluation of Pennanent Impainnent; contribute to a wide variety of Littler Mendelson publications.; contribute commentary on employment law issues in local newspapers and journals.

Thorndal, Armstrong, et. al., Associate Attorney January 2004 to May 2006

• Workers' Compensation Defense, Administrative Law, Commercial Real Estate, Business Law, Wills and Trusts, Family Law.

OTHER EXPERIENCE

City of Reno Office of the City Manager, Internship 12/99 06/00

• Improved constituent relations and customer service by implementing a constituent contact and response program. • Researched issues and reported findings to Mayor and City Council.

EDUCATION

University of Oregon School of Law, Doctor of JurisprUdence, 2003

• Moot Court: National Appellate Advocacy Competition - Western Regional Competition (One of four students selected to represent the Law School); Client Counseling Competition Finalist; Negotiation Competition - Semi-Finalist,

University of Nevada, Reno, Graduate Program - Public Administration, 1999-2000

• Political Science Teaching Assistantship. • Completed one year of graduate studies before beginning law school.

University of Nevada, Reno, Bachelor of Arts - Political Science cum laude, 1998

2 71 RYANW. HERRICK 3663 Hemlock Court a Reno. Nevada 89509

LEGAL EXPERIENCE

Reese Kintz, Incline Village, Nevada Partner, 2011 - Present " Handle civil litigation matters for a wide variety of individual, corporate, and municipal clients.

E) Guide clients through complex real estate transactions, assist with corporate formation, aud advise clients regarding asset protection strategies.

Jones Vargas, Rello, Nevada Stockholder, 2001- 2010 \J Concentrated on civil litigation and appeals. e Managed all aspects of case management from inception through completion inc1ud:ing preparing pleadings, briefs, and motions; planning and conducting discovelY; attending hearings, administmtive proceedings, trials, and arguing appellate matters. \) Chair, Marketing Committee, 2010

Nevada Supreme Court, Carson City, Nevada Judicial Law Clerk, Justice Deborah A. Agosti, 2000 - 2001 . II Researched legal issues, prepared bench memoranda, reviewed record on appeal, and assisted in drafting written dispositions.

EDUCATION

University ofthe Pacific, McGeorge Schof,ll of Law, Sacramento, Califomia JUJ'is Doctor, 2000 . Il Graduated With Distinction 13 Dean's Honor List, 1997 1998 o Chief Articles Editor, McGeorge Law Review

I) Research Assistant, Professor Franklin Gevurtz

University of Nev.ada, Reno, Reno, Nevada Bachelor ojArts in Political8cience, 1996 o Legislative lntem, Nevada State Assemblyman Bernard Andel'son, 1995 Session o London Study Program, University ofLondOll, England; 1993

AFFILIATIONS

o Access to Healthcare Network, Board ofDirectors, 2010 II Nevada Alliance for Arts Education, Board ofDirectors, 2001 - 2005 o State Bar ofNevada, Board ofEar Nevada B.ar Exam Grader, 2003 - 2009 II Arnorican Inns of Court, Bruce R. Thompson Chapter, Member, 2000 - 2002 i!I Mt. Rose Ski Tahoe, Falcon Ski Team, Assistant Head Coach, 1992 -1996

G High Sierra Soccer League, Volunteer Coach, 1994 Iil Nevada Museum ofArt, Member III Nevada DiscoyelY Museum, Member

72 PUBLICATIONS AND SEMINARS

.. Small Business Litigation, Presenter (State Bar ofNevada), 2007

III Document Destruction andRetention, Presenter (Lorman). 2004. 2007

& Communicating with Employees ofa Represented Corporation: Who is Fair Game and Who is Off . Limits, Nevada Lawyer, December 2003 \) Practice Before the Supreme CourtofJ.levada, Presenter (State Bar of Nevada), 2002 .. MTBE or Not to Be?: Clean Air, Dirty Water, and Common Law Nuisance, COlmnent, 30 McGeorge L. Rev. 1325 (1999)· .

@ While Citizemr' Complaints May be Frivolous, Unfounded or Exonerated, Are they Enough to Deny a Peace Officer a Promotion?, Legislative Note, 30 McGeorge L. Rev. 759 (1999) " Hurry Up AndGet On With It: Judicia! Revie'w OJ Prosecutorial Recusal Orders by Extraordinary Writ, Legislative Note, 30 McGeorge L. Rev. 555 (1999)

73 D. G. "GENOI! MENCHET'l'I Of Counsel, Reese Kintz, Ltd. 936 Southwood Boulevard, Suite 301 Incline Village, Nevada 89451 Telephone: 775-832-6800 Facsimile: 775-831-1404 Email: [email protected]

Employment:

June 1979 - Present: Private Practice, General Law! Incline village! Nevada. Representative clients have included the Tahoe Biltmore Lodge & Casino, Incline village Crystal Bay Visitors

and Convention Bureau J the North Lake Tahoe Fire Protection District, American Honda Finance Corporation, First American Title Company, stewart Title Company of Nevada, Nevada Refining Company. Also involved in miscellaneous other business enterprises, have served as Judge Pro Tempore in Incline Village

and Sparks, Nevada. Licensed ArbitratorJ National Arbitration Forum. Real estate law - Mexico. Martindale Hubbell AV rated lawyer since 1984.

July 1975 - June 1979: Chief, Criminal Division, Nevada Attorney General's Office. Responsible for supervision of four other attorneys and support staff, with a case load of approximately 100 new cases each month. In addition to prosecutions and appeals, this division represented over ten state agencies in civil matters as well. Also served as a lobbyist for the Nevada Law Enforcement Community in the 1977 and 1979 legislative sessions.

July 1974 - July 1975: Deputy Attorney General I Nevada Attorney

General's Office l Civil Division. Representative clients

included Nevada State Labor Commission J Department of Fish and

Game J Bureau of Mines I Department of Agriculture, and Local Employee Management Relations Board. July 1974 - 2001: Instructor (part-time) at western Nevada Community College. Have taught undergraduate level courses in

Criminal Law, Corrections I Arrest l Search and Seizure; Real Estate Law and Conveyancing. June 1967 - August 1971: Served in United states Air Force. Honorably discharged; Captain.

1

74 Eduoation:

1974 - Juris Doctorate, McGeorge School of Law, University of the Pacific, Sacramento, California.

1967 - Graduate courses, Valdosta State Teacher1s College, Valdosta, Georgia.

1966 B.S. in Education, State University of New York at Cortland, New York.

Bar Admissions and Affiliations;

State Bar of Nevada United States District Court - District of Nevada Ninth Circuit Court of Appeals united States Supreme Court Nevada Bar Association Washoe County Bar Association Incline Village Bar Association

Personal: Born: Pearl River, New York B.irthdate: November 1, 1944 Lived in Incline Village, Nevada since 1974 civic Activities:

Past Chairman - Incline Village/Crystal Bay Visitors & Convention Bureau (presently serve as counsel) Past Director - North Tahoe Property Owners l Association Charter Member and Past President - Incline Village Rotary Club Past Director and Past President Incline Village-Crystal Bay Chamber of Commerce Member - Incline Village Optimists Club Past Director - Incline Village Red Cross Past Director - Incline Village Hospice Director Emeritus - Pet Network Humane Society Past Director Inclined To Help Past Director - Lake Tahoe Community Trust Charter Member and Past President - Tahoe-Incline Rotary Club Chairman Emeritus - Lake Tahoe Shakespeare Festival Founder, D.G. Menchetti Young Shakespeare Program Past Chairman and Trustee - Reno/Tahoe Airport Authority County Director ~ Reno Air Race Association

2

75 ALAN R. WECHSLER REESE KINTZ BROHAWN, LLC 936 Southwood Blvd., Suite 301, Incliue Village, NV 89451 [email protected]; (775) 832-6800

EXPERIENCE:

REESE KINTZ BROHAWN, LLC, Incline Village, NV Of Counsel Aug.2014 Present Practice as senior litigation counsel on all aspects and phases of general business litigation in California courts, federal courts, and private arbitration.

HAYNES AND BOONE, LLP, Irvine, CA Counsel Dec. 2010-Aug. 2014 Practice as senior litigation attorney on all aspects ofcomplex commercial and general business litigation in state courts, federal courts, and private arbitration. Subject matters of cases handled include commercial contract disputes, trademark/trade dress infringement litigation, indemnity, unfair competition, employee stock agreement and earn-out agreement disputes, and real estate development. Supervise litigation associates. Second-chaired a trademark and trade dress infringement trial in federal court, obtaining a jury verdict for the plaintiff client on all claims awarding actual and punitive damages of more than $8.1 million. Assist Orange County Public Law Center with pro bono matters and clinics.

DUBIA, ERICKSON & TENERELLI, LLP, Irvine, CA Associate Feb. 2006 - Dec. 2010 Practiced as senior litigation associate on complex and general business litigation matters. Represented both plaintiffs and defendants in all aspects of state and federal litigation. Handled commercial contract and real estate disputes involving a wide range of legal issues, including business torts, unfair competition, construction defect, landlord/tenant matters, and bankruptcy. Clients included lending institutions, developers, real estate brokerages and smaller entrepreneurial companies.

SMITH. ELLISON, Irvine, CA Associate Feb. 2003 Feb. 2006 Practiced as litigation associate on complex business litigation and insurance coverage matters. Took and defended numerous depositions. Argued motions and attended court hearings. Drafted motions, briefs, legal memoranda, and complex settlement agreements. Propounded and responded to written discovery. Performed extensive legal research. Worked with joint defense groups and participated in collective case strategy and case management.

[RELL & MANELLA LLP, Newport Beach, CA Associate Oct. 2000 Dec. 2002 Summer Associate Summer 1999 Practiced complex business litigation, including cases involving employment, breach of contract, real estate, construction defect and insurance coverage issues. Drafted motions, briefs, and discovery documents. Participated in strategy discussions with colleagues and clients. Conducted legal research and drafted research memoranda. Conducted and defended several depositions. Assisted with preparation for several trials.

U. S. DISTRICT COURT, EASTERN DISTRICT OF CALIFORNIA, Sacramento, CA Judicial Extern to U.S. Chief Magistrate Judge Gregory G. Hollows Summer 1998

THE SCRIPPS RESEARCH INSTIT1JTE, DEPT. OF IMMUNOLOGY, La Jolla, CA Research Assistant, Dr. Burton April 1995 - June 1997 Lab Technician, Dr. Theofilopoulos Summer 1995 Assisted researchers with work on prion diseases (e.g., mad-cow disease), ebola, herpes, and HIV. Performed DNA testing procedures and recombinant DNA techniques to produce antibodies. Mapped a gene, Jak 3, thought to contribute to the occurrence in mice of the autoimmune disease Lupus, and published article re same.

EDUCATION:

UNIVERSITY OF CALIFOR,'\'IA, DAVIS SCHOOL OF LAW (KING HALL) Juris Doctor, 2000 AmJur Awards: Civil Procedure, Legal Writing Member, D.C. Davis Law Review; Moot Court Participant Student Attorney, King Hall Civil Rights Clinic 76 UNIVERSITY OF CALIFORNIA, SAN DIEGO B.A. History, 1997; Minors in Biology and Chemistry Provost's Honors 6 quarters Worked 20 hours per week to underwrite college expenses Dartmouth College Exchange Program, Spring 1996

SELECTED PL'BLICA TlONS:

Co-author, "U.S. Supreme Court Says 'Enough, Already' - Nike's Broad Covenant Not To Sue Mooted Its Competitor's Cancellation Counterclaim," h1tellectual Property Today (April 3, 2013)

"Consequences ofUsing Outside Service Providers for Business-Related E-Mails: The Stored Communications Act And The Potential Impact of0 'Grady," ABTL Report Orange County, Vol. X No.2 (Surruner 2008)

"Shareholder & LLC Member Suits: Direct or Derivative," ABTL Report Orange County, Vol. VIV No.3 (Fall 2007)

ADMISSIONS:

California u.s. District Court for the Eastern District of California U.S. District Court for the Northern District of California U.S. District Court for the Central District ofCalifornia U.S. District Court for the Southern District of California U.S. Bankruptcy Court for the Northern District of California

PROFESSIONAL ACTIVITIES:

Incline Business Network Board of Directors, U.C. Davis School of Law Alumni Association Federal Bar Association, Orange County 'Chapter Orange County Bar Association, Business Litigation Section Association of Business Trial Lawyers (ABTL), Orange County American Bar Association, Litigation Section

77 S. Jordan Dunlap (775) 832 - 6800 [email protected]

EDUCATION University of Oregon School of Law. Eugene. OR Juris Doctor, August 2010 - December 2012 • The Journal of Environmental Law and Litigation (~IELL) o Articles Editor, 2011-2012 o Winner of the 2012 Journal Writing Competition, Note discussed American Water Law, published Fall 2012 • Research Assistant: o Prof. Adell Amos: The application of modern water law in the western United States o Prof. Eric Priest: Changes in copyright law and their application to academic copyrights o The Hon. Karsten H. Rasmussen: The impact of discovery on trial rates in the United State • Extracurricular Activities: o BAR BRI Bar Review Course, Campus Representative, 2010-2012 o Team In Training, Charity Fundraiser and Participant o Public Interest and Environmental Law Conference (PIELC) Rollins College. Winter Park, FL Bachelor of Science, Cum Laude, August 2004 - May 2007 • Major: Environmental Science, Concentration in Environmental Policy ADMISSIONS California State Bar Nevada State Bar: Awaiting results from July 2014 Bar Exam LEGAL EXPERIENCE Reese Kintz & Brohawn, LLC. Incline Village, NV December 2013 - Present, Associate Participates in case-work-up for civil litigation in California and Nevada. Researches and prepares estate plans compliant with California and Nevada law. Lane County District Attorney Office, County Counsel's Office, Eugene, OR May 2012 - October 2013, Law Clerk Researched and drafted memoranda, pleadings, and advisory opinions concerning: constitutional challenges, employment and union disputes, land use regulations, Anti-SLAPP actions, tax foreclosures, prisoner rights, extradition agreements, FHAA actions, zoning ordinances, litigation strategies, and statutory interpretations. The Honorable Karsten H. Rasmussen. Lane County Circuit Court. Eugene, OR September 2011 - May 2012, Research Assistant Summer 2011, Judicial Extern Researched and drafted opinions, memoranda, and judicial orders. Assisted law clerk and judicial assistant with courtroom proceedings, file management, and document maintenance. Western Environmental Law Center, Eugene. OR August 2012 - December 2012, Clinic Participant PartiCipated in case organization, strategy, and litigation and research and drafted memoranda relating to federal administrative procedures and current environmental issues. Tahoe Regional Planning Agency, Stateline. NV November 2008 - August 2010, Paralegal Assisted the General Agency Counsel and Assistant Agency Counsel with day-to-day office management and long-term organization. Participated in case work up and created several large-scale administrative records. Assisted in the drafting pleadings, correspondence, and administrative determinations for counsel. Became familiar with both TRPA Code, NEPA, and CEQA procedures and guidelines.

Page 1 of 1 78 BILLS ($10,000.00 and Any Final CIP Payments)

Project Name, Description & CIP Amount Department Program information

"'**Due to the change over from Accounting Systems MS Govern to Innoprise the check run was extended....

1 10/29 thru 11117/14 Averill Consulting

i 2 Group 18,161.58 * Additional Consultant SeNices - $150.00 - 3 All IT assist with Sysaid seNer - 11/04 Additional Consultant SeNices - $975.00 - 4 All IT assist with internet issues seNer - 11/11

IT Infrastructure Project 1 I I F\~ - $14,786.58 - Labor for IT 5 All IT equipment installed - inv 11/11 Project Mgr - Eick, CIP #1213C01505, Total Contract $393,060.00, Complete to Date 6 $144,159.58 or 36.68% IT Infrastructure Project Ip; - $2,250.00 - Labor for IT equipment 7 All IT installed - inv 11/11 Project Mgr - Eick, CIP #1213C01505, Total Contract $393,060.00, Complete to Date 8 $146,409.58 or 37.25%

Burdick Excavating 9 CO, Inc. 305,668.50 * Watermain Replacement Project ­ $101,282.74 - Professional seNices contract 10 Eng PW for Dale Drive - inv 10/29 Project Mgr - Lefrancois, CI P #2299WS11 01, Total Contract $734,743.43, Complete to Date 11 $494,577.15 or 67.31 % Watermain Replacement Project ­ $92,114.01 - Professional seNices contract 12 Eng PW for Knotty Pine - inv 10/29 Project Mgr - Lefrancois, CI P #2299WS11 01, Total Contract $734,743.43, Complete to Date 13 $586,691.16 or 79.85% Watermain Replacement Project ­ $57,198.66 - Professional seNices contract 14 • Eng PW for Willow Court - inv 10/29 Project Mgr - Lefrancois, CIP #2299WS11 01, Total Contract $734,743.43, Complete to Date 15 $643,889.82 or 87.63% Watermain Replacement Project ­

i $55,073.09 - Professional seNices contract 16 Eng PW for Lark Court - inv 10/29 Project Mgr - Lefrancois, CIP #2299WS11 01, Total Contract $734,743.43, Complete to Date 17 $698,962.91 or 95.13% BJG Architecture & 18 Engineering 15,825.50 * 79 BILLS ($10,000,00 and Any Final CIP Payments)

Project Name, Description & CIP Amount Department Program information

Public Works Equipment Storage Building Project - $5,202.50 - Professional services 19 Eng PW contract for architectural design - 10/28 Project Mgr - B. Johnson, CIP #2297BD1301, Total Contract $123,750.00, Complete to Date 20 $54,450,00 or 44% Diamond Peak Base Facilities Maintenance and Improvements Project - $735.00· Professional services contract for structural 21 Eng Ski engineering - inv 10/27 Project Mgr - B. Johnson, CIP #3464L11501, Total Contract $6,000,00, Complete to Date 22 $3,885,00 or 64,75%

Diamond Peak Base Facilities Maintenance and Improvements Project - $9,888.00 - Professional services contract for construction 23 Eng Ski documents and schematic design - inv 10/28 Project Mgr - B. Johnson, CIP #3464L11501, Total Contract $24,720,00 Complete to Date 24 $20,764.80 or 84%

25 Centrisys Corporation 39,040,60 *

Wastewater Treatment Plant Improvements Project - $32,565.60 - Rebuild and servicing 26 Trt Plant PW of two solids dewatering centrifuges - 10/27 Project Mgr - Jenks, CIP #2599SS1102, Total Contract $39,040.60, Complete to Date 27 $32,565,60 or 83.41 %

Wastewater Treatment Plant Improvements Project - $6,475.00 - Rebuild and servicing of 28 Trt Plant PW two solids dewatering centrifuges - 10/27 Project Mgr - Jenks, CIP #2599SS1102, Total Contract $39,040,60, Complete to Date 29 $39,040,60 or 100%

30 Champion Chevrolet 29,618,33 * I $525.00 - Misc repair rhino liner and wiring ­ I 31 Fleet PW 10/27 $88.32 - parts for repair (container, pump, 1 32 Fleet PW grommet) - inv 10/28 i

33 Fleet PW $18.70 - repair parts (clamp) - inv 11/05 Replacement 2003 GMC 314-Ton Pick-up #519 - $28,842.25 - New 3/4 ton truck - inv 34 Fleet PW 10/27 80 BillS ($10,000.00 and Any Final CIP Payments)

Project Name, Description & CIP Amount Department Program information

Project Mgr - Allen, Total Contract 35 PW $28,843.25, Complete to Date 100%· FINAL

! 35 Fleet PW $143.06 - repair part (housing) - inv 11/05 Recreation Center Lobby Update Project ­ Steam clean floor, strip and apply 2 coats of 36 Dura-Stone 11,425.00 .. Bldgs Rec sealer - inv 10/28 Project Mgr - Springsteel, CIP #4899FF1501, Total Contract $11,425.00, Complete to Date 37 100% - FINAL

38 ERSI 10,000.00 .. Eng PW Arc GIS software license renewal - inv 10/30 $79,062.17 - Oct 2014 residential Trash Independent services, $10,750.00 - Oct recycling services 39 Sanitation 89,812.17 .. General PW 11/03

Liquivision Live diving to inspect and clean all 13 IVGID 40 Technology, Inc 13,725.00 .. Trt Plant PW water reservoirs - inv 10/27 11/08/2014 to 11/08/2015 - insurance for

I Mike Menath Public Officials Management Liability - inv • 41 Insurance, Inc 16,200.00 .. General Admin 10/28 Oct 2014 energy cost for alllVGID facilities­ 42 NV Energy 81,788.19 .. All All inv 11/25 Pacific States Rec Center Cabling & Phone System Communication of (Unbudgeted Project) - Install phone system 43 Nevada, Inc. 3,292.05 .. Admin Rec and cabling for rec - inv 10/29 Project Mgr - Eick, CIP #4999C01501, Total Contract $24,761.03, Complete to Date 100% 44 I FINAL

. 45 Wilbur-Ellis Company 16,795.40 .. Champ $2,656.55 - Bayer utility pac/agency ­

46 Maintenance Golf chemicals for course maintenance - 10/29 I Champ $11,724.90 -Instrata/Agency chemical for 47 Maintenance Golf course maintenance - inv 10/29 Mtn $2,413.95 - InstratalAgency chemical for 48 Maintenance Golf course maintenance - inv 10/29 Replace 2002 Winch Cat Grooming vehicle # 531 Project - New LiDAR processing WSI A Quantum equipment for Cat Grooming vehicle - inv I 49 Company 1,223.00 * Eng Ski 10/27 i Project Mgr - B. Johnson, CIP #3463NL490, I Total Contract $1,223.00, Complete to Date i 50 100% - FINAL I .Ck run 111fJ4 • 51 11117114 Sub-Total 652,575.32

52 11/18 thru 11/18/14

81 BillS ($10,000.00 and Any Final CIP Payments)

Project Name, Description & CIP Amount Department Program information

Effluent Export Line - Phase II - 16" 300 ball 53 Cassel & Associates 15,175.39 * Admin Rec valve for effluent line modifications - inv 11/07 Project Mgr - B. Johnson, CIP #2524SS1010, Total Contract $15,175.39, Complete to Date 54 10% - FINAL

55 Doppelmayr 7,968.53 * Lakeview Lift Return Terminal Guide Frame Assembly and Bull Wheel (Unbudgeted ProJect)- $5,042.64 - 56 Lifts Ski Professional services contract - 08/28 Project Mgr - Bandelin, CIP #3462HE1504, Total Contract $31,309.00, Complete to Date 57 $28,383.11 or 90.65% Lakeview Lift R.eturn Terminal Guide Frame Assembly and Bull Wheel (Un budgeted Project) - $2,566.68 - 58 Lifts Ski Professional services contract - 09102 Project Mgr - Bandelin, CIP #3462HE1504, Total Contract $31,309.00, Complete to Date 59 $30,949.79 or 98.85% Lakeview Lift Return Terminal Guide Frame Assembly and Bull Wheel (Unbudgeted Project) - $359.21 Professional 60 Lifts Ski servicees contract - inv 09102 Project Mgr - Bandelin, CIP #3462HE1504, Total Contract $31 ,309.00, Complete to Date 61 100% - FINAL Pacific States IT Infrastructure Project (Unbudgeted Communications of Project) Professional services contract for • 62 Nevada, Inc. 12,071.94 * Admin IT Ski Wifi cabling - 50% deposit - inv 11/18 Project Mgr - Eick, CIP #1213C01505, Total Contract $24,143.88, Complete to Date 63 $12,071.94 or 50%

64 Sub-Total 35,215.86 Combined 11/17 & 65 11/18/2014 687,791.18 11119 thru 66 11/25/2014 Replace Roof Recreation Center Project ­ Alpine Roofing, CO., Professional services contract to replace rec 67 Inc 47,511.00 Bldgs Rec center roof - inv 11118 Project Mgr - Bell, Total Contract $265.696.00, Complete to Date $153,603.90 68 or 57.81%

82 BILLS ($10,000.00 and Any Final CIP Payments)

Project Name, Description & CIP Amount Department Program information IT Infrastructure (Unbudgeted Project) - Hardware purchase from Dell for updating of 69 Dell Marketing LP 15,020.97 All IT computer infrastructure - inv 11/06 - 11/07) Project Mgr - Eick, CIP #1213C01505, Total Contract $24,185.22, Complete to Date 70 $15,020.97 or 62.11 % Replace Commercial Water Meters, Vaults, F.W. Carson Lids Project - Professional contract services 71 Company 10,685.49 Pipeline PW for Meter Pit #3 - inv 11/07 Project Mgr - Bendorf, CIP #2299DI1103, Total Contract this vendor $10,685.49, 72 Complete to Date 100% - FINAL Kassbohrer All Terrain

I 73 Vehicles, Inc. 675,238.00 * Replace 2002 Winch Cat Grooming vehicle # 531 Project -$356,119.00 - New snow groomer with SNOWsat coordination &GIS 74 Fleet Ski execution - inv 11/07

Project Mgr - Allen, Total Contract i 75 $370,632.00, Complete to Date 100% - FINAL Replace 2004 Snow Cat # 551 Project- $319,119.00 - New Snow Cat replacement I with SNOWsat coordination & GIS execution - 76 inv 11/07

Project Mgr - Allen, Total Contract 77 $333,632.00, Complete to Date 100% - FINAL

Replace Irrigation and Drainage - Fields 2 Rapid Construction, & 3 Project - Professional Services Contract 78 Inc 177,560.74 * Parks Rec for the period 10101 thru 10/31 - inv 10/30 i Project Mgr - B. Johnson, CIP#4378L11304, i Total Contract $305,591.00, Complete to Date: 79 $281,285.74 or 92.05% S &G Transportation, 80 Inc 11,063.82 *

Course $9,610.99 - 274.48 tons of mortar sand - inv 81 Maintenance Champ Golf 11/14 ! ! Course $1,452.83 - 26.45 tons of top-dress sand - i 182 Maintenance Mtn Golf 09/04 I

Nov 2014 energy cost for alllVGID facilities­ 83 Southwest Gas 10,557.33 * All All inv 11/20

84 Tri Sage Consulting 18,097.50

83 BillS ($10,000.00 and Any Final CIP Payments)

Project Name, Description & CIP Amount Department Program information Watermain Replacement Project ­ i $2,660.00 - Professional services contract for 85 Pipeline PW consulting - inv 11/03 Project Mgr - Lefrancois, CIP #2299WS 1101, Total Contract $38,000.00, Complete to Date 86 $29,830.00 or 78.50% Watermain Replacement Project ­ $15,437.50 - Professional services contract 87 for consulting - inv 11/03 Project Mgr - Lefrancois, CIP #2299WS11 01, Total Contract $38,000.00, Complete to Date 88 100% - FINAL Walker River 89 Construction, Inc 102,537.39 .. Village Green Restroom Remodel ADA Compliant Project - $67,696.25 - i Professional services contact for the period 90 Parks Rec Oct 2014 - inv 10/28 IproJect Mgr - B. Johnson, CIP #4378BD1204, Total Contract $219,846.00, Complete to Date 91 $94,691.97 or 43.07% Ski Beach Bathroom Remodel ADA Compliant Project - $34,841.14 - Professional services contract for Oct 2014 ­ 92 Beaches Rec inv10/28 Project Mgr - B. Johnson, CIP #3999BD1303, Total Contract $180,577.26, Complete to Date. 93 $55,870.28 or 30.94% I 94 Sub-Total 1,068,272.24 ! Combined 11117, 95 11118 & 11125 1,756,063.42 96 11/25 thru 12/02114 1$78,824.55 - Nov 2014 reSidential trash Independent service, $10,750.00 - Nov 2014 recycle fee ­ 97 Sanitation 89,574.55 • General PW inv 12/01

North Lake Tahoe 2014-2015 defensible space cost - thin & pile­ 98 Fire Protection District 13,384.72 General PW inv 11/05 99 Petty Cash - A TM 10,000.00 * General Ski Funds to load ATM at Ski - inv 12/02 Effluent Export Line - Phase 1/ Project ­ Rapid Construction, Construction of "Reception Facility" for 100 Inc. 23,320.00 Eng PW effluent export line - inv 11/24

Project Mgr - B. Johnson, Total Contract 101 $23,320.00, Complete to Date 100% - FINAL Effluent Export Line - Phase /I Project ­ U.S. Pipe and i Professional services contract for misc parts 102 Foundry CO, LLC 22,294.00 : I Eng PW for effluent export line modifications - 11/19

84 BILLS ($10,000.00 and Any Final C1P Payments)

Project Name, Description &CIP Amount Department Program information

! Project Mgr - 8. Johnson, CIP #2524551010, Total Contract $22,294.00, Complete to Date 1 103 100% - FINAL 104 Sub-Total 158,573.27

Combined 11/17, 105 11118, 11125 &12102 1,914,636.69

85 MEMORANDUM

TO: Board of Trustees

THROUGH: Steven J. Pinkerton General Manager

FROM: Michael McCloskey Senior Head Golf Professional

SUBJECT: December 10, 2014 Board Meeting Report - Golf Wrap Up

DATE: December 2,2014

The 2014 golf season at the Championship & Mountain Golf Courses have come to a close and we have many positive things to report from our successful th season. The golf courses opened jointly on May 9 , the first time both golf courses have opened on the same day along with one of the earliest opening th dates in recent history. The Mountain Course closed on October 5 , while the th Championship Course closed on October 26 • The Golf Course conditions were spectacular from start to finish, some local golfers considered "our courses to be in the best shape they have ever seen them." This is a gratitude to Jeff, Shaun and all of the Golf Maintenance team.

For the 2014 season, the Championship Course played 23,456 rounds compared to 23,326 in 2013. Mountain Course played 14,415 rounds compared to 14,261 in 2013. Here is how our round statistics compare to our 'Playbook' from the Global Golf Advisors:

Actual Rounds GGA Benchmark Played Recommendation Champ Course 23,456 18,000-24,000 Mountain Course 14,415 20,500-26,500

The Championship Course rounds statistics are well within the range of our GGA Playbook recommendations and showed a slight increase from the previous year. The Mountain Course round statistics are well below the range of the GGA Playbook Recommendation. Although the benchmark figures are forecasted recommendations that maturate 2017/2018 season, we are currently struggling to see the exponential growth in rounds at the Mountain Course to obtain this benchmark at the moment. We have made a number of unique changes to the operation to try and attract more golfers over the past few seasons but we need

86 December 10, 2014 Board -2- December 2, 2014 Meeting Report - Golf Wrap Up to continue to challenge ourselves to think of fun and creative ways to attract new and retain current customers.

The key revenue metrics for the golf season are:

Champ 2014 Champ 2013 Revenue per Round $119.25 $112.86 Cost per Round $142.21 $133.62

Mountain 2014 Mountain 2013 Revenue per Round $40.21 $42.29 Cost per Round $63.64 $64.75

The simplified focus for the future of the Champ Course has been to increase the revenue per round amount each year. In 2014. we were able to increase that statistic by $6.39 compared to 2013. Unfortunately, the cost per round increased as well. There are many determining factors to that increase but we need to become even more critical on our spending in the future seasons, particularly now that food & beverage is reported on the golf fund. The Mountain Course simplified focus for the future was to increase rounds played while keeping the revenue per round static. As we increased rounds in 2014 we saw a decrease in our revenue per round average. This is partly contributed to the new offerings in the past two seasons of the 9 hole rate and $1 hole golf. These are both grow the game initiatives to speci"fically draw more rounds to the facility but do play a significant role in the decreasing revenue per round because they are close to half price of a rack fee of 18 holes. We are still learning how to price the Mountain Course accordingly to bring a better balance of more rounds and static revenue per round.

We accomplished many of our intended operational goals throughout the season. We continued to get better at our yield management techniques to offer variable pricing strategies based on consumer behaviors. We use tools like our website reservation platform, GolfNow, and golf programs to accomplish our yielding tasks. We saw an increase of 13% more reservations in 2014 from the 11 am­ 2pm timeframe, which is our main target for yield management.

We offered a multitude of new programs at both golf courses in 2014. The need of better programming allows for us to introduce new golfers to the sport while also providing a less intimidating method to play the game. Our programs generate an approximate of $37,500 in revenue.

87 December 10, 2014 Board -3- December 2, 2014 Meeting Report - Golf Wrap Up

Another successful goal accomplished this season was our effort to keep the golf course materials up to date. With the addition of the new IVGID Marketing Manager we were able to keep all of our social media outlets and course information materials current. We utilized the beautiful course conditions to complete both new photography and video for our marketing collateral. This will allow for us to generate more effective and appealing advertising to residents and guests alike.

We showed an increase in rounds at both golf courses, while also showing a slight increase on the tee time utilization percentage. The Championship Course utilized 62% of its total tee times available in 2014, a 5% increase from 2013. The Mountain Course utilized 46%, a 2% increase from 2013. Here are the percentage breakdowns of the utilization of rounds played (who used the tee times):

CHAMP COURSE MOUNTAIN COURSE Prime Time (Open-3:50pm) Prime Time (Open-2:50pm) Picture Pass Holder 60% Picture Pass Holder 50% Guest of PPH 12% Guest of PPH 9% Non-Res. 20% Non-Res. 33% Other 8% Other 8% Twilight (4pm-Close) Twilight (3pm-Close) Picture Pass Holder 68% Picture Pass Holder 84% Guest of PPH 12% Guest of PPH 5% Non-Res. 7% Non-Res. 6% Other 13% Other 5%

The food and beverage team celebrated a successful year with their golf/food & beverage operations. The Grille saw a 28% increase in revenue from 2013, a $55,328 increase. Both the lunch time business and happy hour business th increased significantly in 2014. The Grille opened on May 9 , because of the th significant increase in business, the Grille remained open until October 30 , the longest operating season in many years.

The local Golf Clubs continue to be a key customer to the IVGID Golf Facilities. The Golf Clubs have seen an increase in membership over the past two seasons bringing the total golf club members to approximately 525. The Golf Clubs utilized 90% of the reserved tee times in 2014; this is a 13% increase from 2013. Total rounds played at the Championship Course between the five Golf Clubs amounted to 5,416. This is a valuable 23% of our total rounds in the season. Their presence is also Significant in our food and beverage operation. The golf

88 December 10, 2014 Board -4- December 2, 2014 Meeting Report - Golf Wrap Up clubs brought approximately $110,000 in Food & Beverage revenue with their catered events. The Golf Clubs continue to be flexible customers in the coordination of their tee time requests by mixing in both morning, mid-day, and afternoon tee times to allow for our other customers the opportunity to reserve some of the tee times they desire.

Looking towards the future, for 2015, we are poised to continue to bring a high quality golf experience to our community. We will continue building new programs to introduce, grow, and perfect our customer's golf skills while continuing to mature our current programs. We will look at ways to continue an increase of play at the Mountain Course facility by developing better yield pricing, business networks, and creative attractions, following in line with the GGA recommendations. We thank all of our customer's residents, guests, and non residents alike for your continued support of our golf facilities. Thank you for a great year.

89 MEMORANDUM

TO: Board of Trustees

THROUGH: Steve Pinkerton General Manager, Incline Village General Improvement District

FROM: Brad Wilson General Manager, Diamond Peak Ski Resort

SUBJECT: December, 2014 Board Meeting Report - Ski

DATE: November 28, 2014

Overview:

Diamond Peak Ski Resort is entering its 48th year in operation. The resort is budgeted to service 115,000 skiers and snowboarders for the 2014-2015 season, over the course of 121 days in operation. Revenues of $7.7 million are projected. On a busy day the resort can see well over 3,000 skiers, however the average visits per day is under 1,000.

The last three seasons have been some of the driest and warmest on record, contributing to the drought conditions in the west. These dry conditions have kept skier visits well below what was the 10 year average of 115,000 visits.

Year 2010-2011 2011-2012 2012-2013 2013-2014 Skier Visits 131,371 98,872 103,397 93,861 Snowfall 331 152 109 102

Almost as important as the overall snowfall and cold temperatures is the timing of these conditions. The reason the 2012-2013 season's skier visits were higher was because the bulk of the season's snowfall (74 inches) came prior to the Christmas/New Year's holiday.

The resort employs over 250 people during the December-April winter operations. Like all ski areas, Diamond Peak's operation is very labor intensive with:

90 December, 2014 Board Meeting -2- November 28,2014 Report - Ski

• 7 lifts to operate • 75% of the resort's developed terrain can be covered with snowmaking • Grooming of 30 trails • Adult and child's ski & snowboard and lessons to give • Multiple food outlets to operate • Over 1 ,000 skis and snowboards to rent • Tickets and programs to sell • Social media and marketing/sales to manage • Terrain parks to build and maintain • 655 acres to patrol • Parking lots to manage • Facilities to maintain.

Labor costs represent the greatest expense in the overall ski operation.

Offseason:

The number one question we are asked after the resort closes for the season is, 'what do you do all summer?'

As we are gearing up for the season I want to take this opportunity to outline what our team did during the offseason to prepare for the upcoming 2014-15 winter operation:

Mountain Operation's 6 full-time year round and summer seasonal staff maintain the resort's significant infrastructure, including: Slope Maintenance's grooming /vast snowmaking lift Maintenance projects, repairs and required testing; Base Operation's maintenance and repair of our buildings and base area amenities.

IVGID's Marketing and Sales team develops new strategies and graphic direction in conjunction with the creative agency, evaluates existing programming, looks for new opportunities in the marketplace and implements new campaigns.

Skiing Services (Rentals, Hyatt Shop, Child Ski Center and Ski and Snowboard School) is gearing up for the season focusing on increasing yields during peak time and improving conversion rates for first time skiers and snowboarders.

91 December, 2014 Board Meeting -3- November 28, 2014 Report- Ski

Food and Beverage department evaluated their operation and is making significant improvements and additional offerings for the upcoming season.

The Ticket/Revenue department has its challenges using our internally developed ticketing software. They will be spending considerable time this winter evaluating ticket systems to replace our existing software.

Resort's management team is evaluating our customer service and safety programs along with assessing the challenges of finding qualified employees in an improving economy.

(Please see attached Organizational Chart for reference)

Mountain Operations:

Slope Maintenance uses the off season to maintain and repair our snowmaking infrastructure, grooming equipment, terrain park features and prepare the slopes for the winter. Here are some examples of the projects accomplished this summer:

• Replaced 7 lateral air and water lines on School Yard • Performed maintenance on: o 242 air water hydrants o 14 fan guns o 67 air/water guns o Installed 15 new low energy tower guns o Checked out 15 miles of underground air/water pipes o Maintained the water pump house that is capable of delivering 3,000 gallons of water per minute o Air House that delivers 20,000 CFM

• The crew also: o Cut 20 acres of brush on existing trails o Treated 10 acres in the tree island between Battleborn and Diamondback to improve defensible space o Contracted to have the base area and beginner trails grass mowed

Slope Maintenance is also responsible for:

• 5 Snowcats, including a new Winch Groomer and Park Groomer • Maintenance of 18 Terrain Park features

92 December, 2014 Board Meeting -4- November 28, 2014 Report- Ski

Lift Maintenance is required to inspect and maintain all 6 chair lifts and one surface lift. This includes:

• 5 miles of haul rope inspected o Lodgepole haul rope shortened 7 feet and re-spliced this year • 420 carriers (chairs) and haul rope grips o 20 % NOT (non-destructive testing) tested • 61 towers inspected, including 778 haul rope sheaves and 2.3 miles of safetyl communication lines • 14 loading and unloading stations closely inspected. We found a potential catastrophic crack in the loading carriage of Lodgepole, which caused a major repair project led by the manufacturer Doppelmayr with assistance by DP's lift maintenance crew. • Make sure all lifts adhere to ANSI standards, manufacturer guidelines and are ready for lift inspection and operation. • This summer conducted required maintenance (based on number of hours of operation) on Crystal Quad including: o Replacement of the haul rope grip operating rollers, tongues and terminal conveying system components

Base Area Operations works to get buildings and base area facilities ready for the upcoming season with:

• Touch up paint on exterior and interior of all public spaces • Repair of siding, railings and walking surfaces • Restroom maintenance and repair • Repair and replacement of all base area signage • Repairs and improvements to Snowflake Lodge including: o Refinishing the inside and outside bars o Repaired wooden decking o Painted inside and outside o Repaired outside furniture o Replacing the inside table tops to match o Replaced two TV's o Installed inside drinking fountain o Replaced flooring behind the bar

Mountain Operation's Challenges:

• Aging infrastructure (lifts, snowmaking pipe, Snowflake Lodge)

93 December, 2014 Board Meeting -5- November 28, 2014 . Report - Ski

• Unpredictable climate puts huge importance on snowmaking • Finding employees willing to work under adverse conditions while offering excellent customer service • Getting employees to return when we can only offer them winter employment

IVGID Marketing and Sales started planning for the upcoming ski season in July:

The new Diamond Peak website that came online last winter saw a significant increase in visits over the summer months. • Total web visits from May-Oct 2014 were 107,505, versus 43,097 in May­ Oct 2013 • The increase in visits to the resort's website was partially driven by more interest in the resort's season pass program and the views from the high definition web cam. • Posts on the resort's social media channels also drove increased interest to the website.

Traditionally the season pass sale is the first marketing and sales program of the season. This season's Early Bird pass sale stared on July 1st and ended on st October 31 . By the end of the sale revenue was up over 22% compared to last season and represented record season pass revenue. The key factors for this increase include:

• Marketing and Sales expanding the resort partner program. Last season we created a partnership with Homewood Mountain Resort and their sister resort Red Lodge Mountain Montana. Drawing off of industry contacts, the team was able to include Boreal Mountain Resort and June Mountain into the partnership. • Each partner offers 4 free (non-holiday) lift tickets to the participating resort's season pass holders. o Thanks to this partnership all paid Diamond Peak Season Pass holders can receive up to 16 free lift tickets, four from each participating resort. • Employee passes and the 'free' 6 and UnderlOver 80 are not included in this program • Well targeted and effective advertiSing and social media campaign resulted in a 200% increase (over 2013114) in web visits during the length of the Season Pass Sale (July-Oct)

94 December, 2014 Board Meeting -6- November 28,2014 Report- Ski

The marketing/sales team will continue to promote Diamond Peak as a family friendly, value oriented resort featuring the best views in Lake Tahoe. The resort's collateral features new photography and attention-grabbing tag lines highlighting the great views, laid back vibe and family-friendly atmosphere.

Here is a collage of some of the new marketing collateral:

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Diamond Peak's target demographic continues to focus on:

• Primary: Families with children 14 years of age and younger • Secondary/Local: Value oriented skiers and riders

Our Geographic focus:

• Local market: Incline Village/Crystal Bay, Tahoe Vista, Kings Beach, Tahoe City, South Lake Tahoe, Reno, Carson City

95 December, 2014 Board Meeting -7- November 28, 2014 Report - Ski

• Out-of-Market: Bay Area - San Jose, Silicon Valley, San Francisco, Mill Valley, East Bay

Our Marketing and Sales Goals for the season include:

1. Maintain skier visits while increasing skier yield. a. Goal for skier visits: 115,000 b. Leverage profit centers (closer to market rate) while narrowing the gap in lift ticket rates with major competitors 2. Continue to increase revenue through yield management: lift ticket yields, ski school products and rentals. Work to create the more balanced PriceNalue relationship. Our efforts this season include: i. Raised adult lift ticket rates to $64 non-holiday and $69 holiday. A $5 increase over last season and $20 increase (holiday) over the last three seasons ii. IVGID Picture Pass Holder rates remained the same at: $25/$35 1. PPH rates in 2010/11 were $39 iii. Created holiday pricing for rentals and Private Ski School lessons iv. Increasing our efforts to attract school groups and new skiers/riders 3. Increase exposure in the marketplace through advertising, social media, promotions and special events. 4. Increase market penetration by leveraging partners in the lodging sector, corporate sales and group sales.

Marketing Challenges:

• Risk of losing Christmas/New Year's vacation business o Almost 1/3 of our revenue is generated in the last two weeks of December o Unpredictable winters are increasing the odds of missing this key period o Summer operations would significantly offset a disastrous holiday week with limited or no skiing • Our location is 'Last on the left'; our visitors have to drive by every one of our competitors to reach Diamond Peak. o This is why we have to be visible in the marketplace and advertise/promote • Being the smallest (destination) resort in the basin required us to offer a more value oriented lift ticket rate.

96 December, 2014 Board Meeting -8- November 28, 2014 Report - Ski

• Competing for a smaller and smaller portion of the available skier market. 40% of active skier and snowboarders in the region have a season pass at a competing mountain(s). o Our BYOP (Bring Your Other Pass) program is designed to capture some of the committed season pass holders by offering a $35/$45 lift ticket with a season pass from another area. • Making sure Diamond Peak is considered when people are planning their ski vacations. The resort is outspent 10/1 by the big players in the region. o Outdoor (billboards) allow us to reach nearly every snow sports user driving to Lake Tahoe o Targeted TV spots allow us to show off the views and family fun at the resort to a well targeted group. • Our zip code data collected from credit card purchases allowed us geo-target the most lucrative regions in the Bay Area for Diamond Peak o Social Media and great views from our webcam help drive return visits to the website

Skiing Services includes the Ski and Snowboard School, Child Ski Center, Hyatt Shop and Rental Shop. Managers use the pre-season to focus on hiring, evaluating existing programs and implementing new programs.

Ski &Snowboard School/Child Ski Center

• New "Three and Free" program aimed at increasing participation and retention. Pay $119 and receive three Beginner lesson packages. Upon completion of three visits, the guest receives an all mountain lift ticket and rentals at no charge. • Created a new helmet policy for all employees who are skiing and riding while working. • Managers/Supervisors attended PSIA trainings and seminars • Working on improvements utilizing "Terrain based teaching" in the beginner areas • New holiday priCing • Doubled the Host staffing • Expanded efforts to increase participation with local kids including: o Stellar Students Ski Free/ Straight A's Program - K through 12th grade (Incline/Crystal Bay) o Midweek School Programs - various ages o Carson City's 6 Week Sunday Program - ages 4-15

97 December, 2014 Board Meeting -9- November 28, 2014 Report- Ski

Rental Shop and Hyatt Shop

• First season with holiday pricing on Rental Skis and Snowboards • Replaced approx 30% of our ski poles • Restructured ski and snowboard boot racks to maximize seating for guests • Tested all 1110 pairs of ski bindings as required by the manufacturer • Transformed the Hyatt Shop from Golf to Ski and reopened on November th 5 •

Challenges:

• Finding full time instructors is a challenge. We are considering looking into using J-1 and H2B visa workers (New Zealand, Australia and South America) for the 2015/16 season. • Changing demographics, 'ski bums' are a thing of the past and the younger generation does not have the same affinity for the mountains as their parents. • Limited online sales to Private Lesson only • Need another Conveyer Lift to improve beginner experience • Hyatt Shop computer system IPOS are difficult to use, particularly when trying to do more than one task at a time.

Food and Beverage: Team starts working at the resort after the two golf courses close for the season.

• Reevaluated menus, making changes to improve quality and selection • Thoroughly cleaned facility and inspected all appliances • Introducing 'Wild Bills BBQ,' utilizing a new professional smoker that will be located on the base lodge deck. o Uses propane and wood to give authentic BBQ flavor o Creating house made BBQ sauces o Will operate Fri-Sun and during all holidays o Pricing will be very reasonable and the quality will be excellent • Will continue to work on making the Loft Bar a lively apres ski experience o Working with Marketing to create events to drive business late afternoon o Working with vendors to create specialty days

Challenges:

98 December, 2014 Board Meeting -10- November 28,2014 Report - Ski

• Tough to find experienced front line staff • Food Court kitchen is challenging in size and configuration • Huge swing in business from busy holidays & weekends to slow mid week makes the operation challenging

Ticketing/Revenue Department splits their time between the golf courses and ski resort.

• Almost entire ski staff is returning • Working with Sales to make sure all ticket orders are fulfilled o Lodging partners o Costco gift card o Corporate partners • Google • Recreation Connection o Third party ticket sellers • Liftopia • Get Ski Tickets

• Working with IVGID IT department to make sure ticket scanning and networking is functional for the season opening • Evaluating and vetting new ticketing software with intent to implement in the spring

Challenges:

• Limited programmer assistance with internally built Ski POS • Online reservations limited to Flex Ticket, Season Passes and Private Lessons • Resort is not 100% EMV credit card processing capable • Integration with new Rec Center software that is replacing our proprietary CAPSTONE

Resort's Management Team consists of Mountain Operations Manager, Skiing Services Director, Child Ski Center Director, Marketing Manager, Sales Manager, Food and Beverage Manager and Administrative Clerk.

• Works on resort-wide policies including: o "Bee Safe" Program designed to keep safety in the forefront of our operation o Wrote resort's new helmet policy

99 December, 2014 Board Meeting -11- November 28, 2014 Report- Ski

o Customer Service initiatives including: • 5/10 Rule, Customer Engagement • Customer Care Card • Updates the 'Employee Handbook' • Organizing the Job Fair and Employee Orientation • Works on employee recognition programs

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100 MEMORANDUM

TO: Board of Trustees

THROUGH: Steve Pinkerton General Manager

FROM: Joseph J. Pomroy, P.E. Director of Public Works

SUBJECT: Report on the District's 5-Acre Parcel Near Incline Lake

DATE: December 1, 2014

I. BACKGROUND

The following materials provide general background information on the 5-acre parcel near Incline Lake owned by the Incline Village General Improvement District. The District purchased this parcel in 2006 from the Incline Lake Corporation with $772,500 of State Grant Funds and $227,500 of District funds for a total cost of $1,000,000. The attached fact sheet or "White Paper" was written in 2006 and discusses the many questions about the parcel and its potential purposes. There is also a copy of the deed which describes the allowable uses for the parcel as well as two maps showing the location of the original 770-acre Incline Lake Corporation Parcel and the District's 5-acre parcel.

The United States Forest Service (USFS) which owns the property that encompasses the actual Incline Lake is considering the long term uses of the lake on the property. The lake has been drained but the existing dam infrastructure is still in place. There has been analysis at the Federal level about the safety of the impoundment dam and what is the long term best use of this property. The USFS is in the decision making process on this issue and more information may be available at the time of the Board meeting.

Staff will be presenting a general overview of the materials included for the benefit of the Board of Trustees and the public.

101 White Paper Proposed Purchase of 5-Acre Parcel at Incline Lake

PURPOSE

As the time for IVGID Board decision on whether or not to purchase the 5-acre parcel at Incline Lake nears, the community's interest has heightened and the need to disseminate clear and accurate information is paramount to allow the Board and public to make a well informed decision. This White Paper seeks to consolidate the most up to date information on the issue and answers many of the questions heard from interested parties.

BACKGROUND

IVGID has been involved in the proposed federal purchase of the 770-acre Incline Lake lands for over a year. On January 11, 2005, the Board approved sending a District letter in support of the Southern Nevada Public Land Management Act (SNPLMA) application for purchase of the lands by the United States Forest Service (USFS). On November 9, 2005, the Board approved a Letter of Intent for IVGID to purchase the 5-acre parcel which is part of the original 770-acre parcel. The matter was heard by the Board at a meeting on February 8, 2006 and a public hearing was held on March 8, 2006 during which public comments were made and questions, regarding the proposed purchase, were answered by Glen Williams and Jacques Etchegoyhen of Terra Firma Associates LLC representing the Incline Lake Corporation (lLC), and by IVGID staff. During the past 15 months, IVGID Board members and staff have met and worked with representatives of ILC, Washoe County, State of Nevada, USFS and Senator Ensign on many diverse and complex details involving the purchases proposed by the USFS, Nevada Department of Transportation (NDOT), Nevada Division of State Lands, and IVGID.

The remaining portion of the White Paper is presented in question and answer format.

1. What is being proposed for "buy-out" of the Incline Lake Corp assets?

Of the 770 acres, approximately 755 acres are being offered to the USFS under the SMPLMA process at a ball park estimate, to be confirmed by appraisal, of $75,000,000. Ten acres, more or less, are being sold to NDOT for its hard coverage that NDOT can restore and then use on needed transportation enhancement projects throughout the Nevada side of the Tahoe Basin. Nevada Division of State Lands is using available Tahoe Regional Planning Agency (TRPA) excess coverage mitigation funds and other sources to enhance its coverage bank by purchasing 184,000 square feet of potential coverage for $1,700,000. IVGID has signed letters of intent to purchase the 5-acre parcel for $1,000,000 and purchase available water rights, the precise quantity is subject to approval by the Nevada State Engineer's Office. for $12.000 per acre foot.

PagE 102 March 23, 2006 INCLINE ~_VILlAGE GI N[RAl.it1N

White Paper Proposed Purchase of 5-Acre Parcel at Incline Lake

Secretary of the Interior Gail Norton approved the purchase of the USFS portion in Round 6 of the SNPLMA process in February 2006. The appraisal process will be beginning soon.

2. Describe the 5-Acre Parcel offered to IVGID.

The proposed 5-acre parcel is located on the west and north side (left side heading up Mount Rose Highway - State Route (SR) 431) with about 1,335 feet of highway frontage extending back toward Lake Tahoe from the edge of Tahoe Meadows aka Sheep Flats. The existing dirt road, accessing Incline Lake and the existing building, is the north boundary. The property has a long panhandle that is about 100 feet wide widening out to the south with views to Incline Lake, Tahoe, and the peaks to the west. The parcel is within the Tahoe Basin and is Class 6 land capability except for about a % acre on the north end that is outside the basin. The site is forested with moderate to minimal slope and lies adjacent to the existing NDOT dirt parking area that is just south of the existing Incline Lake access drive. Access to the site would be directly off SR 431 at the location of the existing access road to Incline Lake. This would require a minimum of snow removal and driveway maintenance. There are currently no structures on the site.

The proposed purchase price is $1,000,000 payable in 12 equal quarterly installments, including nominal interest, beginning upon closing. The closing date may be as late as November 2006 according to USFS althou~h Senator Ensign has stated that he would like the purchases to close on August 10t .

3. Why would IVGID be interested in purchasing the 5-Acre Parcel?

IVGID operated cross country skiing between the mid 80's until 2000 first at the Mountain Golf Course, and finding that inadequate, moved the operation to the east­ side of the Mount Rose Highway about a mile towards Tahoe from the proposed 5­ acre parcel. The 1999 visioning effort continued to identify the desire for a top notch cross-country to augment our downhill operations at Diamond Peak and attract families that desire both downhill and cross country ski experiences that currently go elsewhere with their vacation dollars. The reason the operation was discontinued was because IVGID could not find any non-USFS land to place the necessary ski lodge and parking area. This purchase would give IVGID a parcel for a lodge and allow the operation to resume.

In addition, IVGID recognizes the value in partnering with Washoe County, Tahoe Rim Trail Association (TRTA), Sierra Nevada College (SNC), NDOT, USFS and other potential partners to further recreational goals in the Incline Lake and Sheep

PagE 103 March 23, 2006 lNCLINE ""-VlllAGE GINIKAi IMM!OVIHIN'I DI~nICT White Paper Proposed Purchase of 5-Acre Parcel at Incline Lake

Flat areas as identified in the USFS Forest Management Plan, The potential partnership would necessarily spread the cost of building and operating a facility at that location. Clearly, the area can be a utilized recreational asset for the Incline Village/Crystal Bay communities as well as the growing Truckee Meadows population. In addition, growing needs for summer activities relative to hiking, fishing, equestrian trails, environmental programs, and summer children's programs has led to partnering discussions with Washoe County Regional Parks, TRTA, and other agencies to evaluate joint use of the Incline Lake property.

4. Can we operate cross country skiing at the Mountain Golf Course?

IVGID operated cross country skiing at the Mountain Golf Course as a Recreation Department program in the 1980's but found the site to be un-suitable for the following reasons: A) Very poor for beginners because of hilling terrain; B) Inconsistent snow coverage especially in light snow years and largely southern exposure caused snow to crust-up and melt off quickly; C) Difficult connection from parking lot and trails due to very steep hill causing a hazard especially for beginners; D) Short trail system because only holes 1, 6 through 11, and 18 could be used without crossing the road and getting into very steep areas of holes 2 through 5, and 12 through 17; E) Needed to barricade tees and greens to prevent snow compaction that would lead to turf damage which further restricted trail opportunities; and F) Di'fficulty in converting club house to winter use as a lodge.

5. Assuming IVGID purchases the 5-Acre Parcel, what steps would be needed to operate cross country ski?

IVGID Staff has met with USFS personnel a number of times, as recently as March 20, 2006, to discuss potential uses and the steps to obtain a special use permit (SUP) for cross country skiing on and around the Incline Lake lands. While the USFS, under the National Environmental Protection Act (NEPA) cannot be "pre­ determinational" about future uses without going through the NEPA process, the steps to obtain a SU P, similar to those obtained in the past for both the previous cross country ski area and for Diamond Peak, are well known to IVGID staff and include: 1) USFS completes a resources inventory of the lands to identify special attributes (Le. flora, fauna, riparian areas, etc.) that require special protection and to identify appropriate uses of the property; 2) IVGID and its partners would sponsor an environmental impact study identifying "preferred alternatives" and proceed into the NEPA process; 3) Multiple public hearings and input sessions would be solicited to flush out the preferred alternatives so as to allow development of a management plan and development of special conditions appropriate for the subsequent SUP; and 4) If everything is in order and meets with USFS Basin Supervisor's approval, a

PagE 104 March 23, 2006 INCLINE "·VILlAGE Gt NUlAl IMPIiO\If.MtNl DlsTI1ICT White Paper Proposed Purchase of 5-Acre Parcel at Incline Lake

SUP would be issued. Staff would not expect this process to be shorter than 3 years from date of purchase.

During the SNPLMA process, the USFS Basin Unit Forest Supervisor issued a letter of support, dated November 18, 2004, in which she stated, "Public recreation opportunities can be spread over a larger geographic area thereby reducing crowding and user conflicts." She acknowledged the need for recreation planning and said "The anticipated primary recreation uses will include activities centered on hiking, fishing, boating, mountain biking, skiing, snow-shoeing, picnicking, outdoor education and other forest and water base opportunities." She committed to, ".. .participate with Terra Firma, the State of Nevada, Washoe County, and other agencies and public interest organization to work on an acquisition plan that considers non federal ownership and use of the developed facilities and associated land for public purposes." Clearly she saw the value of cross country skiing on the Incline Lake parcel and the need to work with other regional and local pubic entities to share management and operational responsibilities.

6. Assuming the Board approves purchase, what steps would IVGID take before proposing development of the 5-Acre Parcel?

Any development of the parcel would be subject to the same strict steps IVGID takes before committing on any capital project, namely to reaffirm public interest and need through the annual capital improvement program (CIP) process. The project would compete for funding with all the other CIP projects based on need to improve service levels and rate of return on investment. Staff would refine the assumptions inherent to business planning and would complete a plan that clearly showed the projected financial performance of the operation and the means of financing which could include outside funding potentially through partnerships, Washoe County recreation construction taxes (use of Washoe County 4A and 4B funds is being reviewed at this time). and endowments. IVGID has had an initial conversation with NDOT on construction of a parking lot and ascertained that they do have need for off-highway parking and would be open to negotiations on this matter.

7. What is Washoe County's position on the proposed sales?

Washoe County Commissioners, Manager and Regional Parks Director have long supported the proposed sale and expressed interest in a partnership with the USFS, IVGID, NDOT, TRTA, and others to plan, develop and manage the resource to the best benefit of the local recreating public. At this time, no formal action has been taken by the Washoe County Board. Washoe County leaders have been working with IVGID staff on potential uses and operating scenarios that leverage the proven abilities of both organizations. Washoe County has a nationally recognized regional

PagE 105 March 23, 2006 ~'INCLINE ,Q VILLAGE GlNf.RAl h'1f'ROVfMENI DKTRICT White Paper Proposed Purchase of 5-Acre Parcel at Incline Lake

parks operation with an established ranger program, while IVGID has the premier family ski resort and has a proven track record with cross country skiing, therefore the logical "division of responsibilities" discussed thus far have been along those lines. Washoe County supports IVGID's purchase of the subject parcel and is committed to work on programmatic and operational issues when the time is right. They participated with IVGID and other potential partners in a preliminary planning session where the joint use of a future lodge building was discussed.

They will support IVGID's efforts to obtain funding through State Question 1 Fund; Federal Land, Water and Conservation Fund; and are requesting a determination from the State Attorney General's Office to the possible use of Construction Tax revenues (Le. District 4A and 4B Funds) to be used for the purpose of acquiring and/or developing the 5 acre parcel.

Washoe County recognizes that the existing buildings may be partially removed due to concerns expressed by the USFS and does not see that as a significant impediment to the eventual summer use of the area for hiking, biking, fishing, boating, picnicking and other similar uses common within their regional park system. At this time, Washoe County expects to pursue these potential uses under a special use permit from the USFS.

8. If IVGID buys the land, will it be open to the general public or limited?

IVGID would operate the facilities located on this parcel. They would be open to the public just as Diamond Peak, golf courses, and park facilities, including the Recreation Center, but minus the beaches, are open to the public. Preferred pricing for IVGID residents would be anticipated.

9. How can the District finance the purchase of the land?

The Board is currently considering at least two recommendations to cash purchase the parcel as follows: A) Increase recreation fee to impose a $10 per quarter charge for the 12 quarters coinciding with the proposed purchase schedule. This would amount to a $40 per year surcharge to sunset after three years; and B) Dedicate existing revenue derived from the sale of surplus assets, including land coverage and un-usable land, to pay for the majority of the purchase. Currently the Recreation Fund contains $702,000 from coverage sales and the Utility Fund has $93,000 from the sale of a strip of land for the Starbucks center. The Board restricted these funds, amounting to $795,000, for capital or land acquisition and not for operations. Therefore, their use to bolster the operational reserve can be questioned. Notwithstanding these options, Staff will pursue the use of Washoe County 4A and 4B funds and Nevada Question 1 funds for purchase the land as a recreation site.

PagE 106 March 23, 2006 INCLINE ~_VILlAGE Gr.NlRAl IHI'f

White Paper Proposed Purchase of 5-Acre Parcel at Incline Lake

10. Why isn't there a business plan at this time?

At the Board's direction, staff evaluated the feasibility of developing a concrete business plan to accompany the purchase recommendation. However, IVGID managers are prevented because of the multitude of possibilities, funding opportunities, and assumptions that are inherent in business planning. At this time, a business plan would not accurately project the potential of the asset because of the uncertainty of assumptions and operating conditions. The District does not have a memorandum of understanding with Washoe County, NDOT or TRTA at this time to define the roles played in the potential partnership.

11. How would Incline Lake and developed area around the Lake be accessed?

Staff is developing a memorandum of understanding with Washoe County outlining the responsibilities of both parties. Access to and maintenance of the existing dirt road would not be IVGID's responsibility based upon current thinking.

However, NDOT has discussed the possibility of constructing the parking lot with maintenance shared with the District once a building was constructed on the site.

12.What other development issues are there?

Staff is working with the USFS for access to the existing spring for potable water. The spring is about 1/3 mile from the site. USFS has agreed to provide an easement to a future septic area for sewer disposal within % mile of the site and outside of the Tahoe Basin where septic is allowable. Power is about % mile down SR 431 from the site. The parcel contains a number of good building sites. Staff held a preliminary programmatic workshop where the size of a building for purely cross country ski purposes was estimated to be 2,000 to 3,000 square feet. The budget costs would be $650,000 to $1,000,000. As stated previously, Staff anticipates NDOT participation on the parking lot and highway apron to access the site.

13. Have you considered how many more millions it will cost IVGID for improvements and upkeep?

We have considered future costs but do not have any reliable estimates for improvements or maintenance since we do not know exactly how the land will be used in the future. We are confident that there will be other sources of funding other that just IVGID recreation fees to accomplish many of the uses discussed up to now.

PagE 107 March 23,2006 White Paper Proposed Purchase of 5-Acre Parcel at Incline Lake

14. Does it make good sense to purchase land because you think it's an "opportunity of a lifetime"?

There are numerous logical reasons to acquire the land. It gives IVGID a voice along with Washoe County, the State of Nevada and the USFS as to what is done with and on the 770-acre Incline Lake estate. If Washoe County becomes the operator of the developed area around Incline Lake, IVGID does not want to be left out of the decision process. Second, beyond a Nordic Center, there are numerous summer recreational programs, which can be held on the 5-acre parcel as well as the 770 acre parcel. Third, once developed, there would be adequate and safe parking for Tahoe Meadow snow play participants. Fourth, the appraised value of the parcel significantly exceeds the purchase price. Fifth, if not purchased now, it will be unavailable in the future.

15.Why can't residents and visitors to Incline Village travel an additional 1,000 yards up Mount Rose Highway to utilize Tahoe Meadows for snowmobiling, snowshoeing and cross country skiing?

They can but there is not a developed trail system which is so important to the sport of cross country skiing. IVGID would not compete with the snow activities available in the Meadows nor would it propose to change these uses especially the long fought agreement achieved by the USFS establishing snow mobile use in that area. The 5-acre parcel would provide the opportunity to improve off highway parking, an asset much needed to improve safety in the area.

16. How can we manage a facility with 15 feet of snowfall?

Staff has experience with operating a cross country ski center in the area and knows how to deal with the snow levels experienced on the 5-acre parcel. Clearly, snow removal and grooming will be an important element to any operating plan and is the primary reason IVGID never proposed a facility beyond a stones throw of SR 431. Incline Lake is the wettest area of the driest state and is known to have the best snow conditions in the region for cross country skiing.

17. What is the timetable for the decision?

Terra Firma, who represents ILC, needs an answer very soon; otherwise they have been instructed by their client to find another buyer.

PagE 108 March 23, 2006 INCliNE ~-VILlAGE GENERAL IHf'1l(NlMlN1 DI'.TRIC' White Paper Proposed Purchase of 5-Acre Parcel at Incline Lake

18. Does IVGID have the legal authority to buy and operate on land that is not contiguous to District boundaries?

Yes, we have operated the 900-acre wetlands, owned by IVGID, in Carson Valley for effluent disposal and a waterfowl hunting program for over 20 years.

19.What is our exit strategy if the Board determines later that we cannot or do not wish to develop the land? Can we sell it?

There is nothing in the purchase agreement or in the land covenants that would limit IVGID from re-selling the land at a later date. The land will be restricted to public recreation and therefore could not be used for private development. Potential future buyers would include the USFS, Nevada Parks System, or Washoe County Regional Parks. It is likely that the selling price would be higher than our price of $1,000,000. The book value of the potential coverage alone is $970,000 based on the average sales price for development purposes from the IVGID coverage sales program.

20.lf we pay for it on our own, will we be able to limit use to IVGID members only?

While it may be possible to do so, it would be to our interests financially, just as it is at the golf courses and Diamond Peak, to invite non-resident use. There are no restrictions by agreement or covenants to non-residential use such as those on the beaches.

21.lf we used Washoe County Recreation Tax Funds can we still limit usage?

If we use Washoe County 4A or 4B funds, then the land must be open to the public with no restrictions. We can still have preferred pricing, as we do at the Recreation Center, which was partially funded with these funds.

22. Will it give us any privileges on the use of Incline Lake?

No, the 770 acres will soon be owned by the USFS and open to the public even if it is operated under a SUP by Washoe County.

23. How many season passes were sold for the cross country ski area the last year it was open? Does the Diamond Peak marketing staff have any ideas about the potential for annual pass and daily pass sales?

During the last winter of operation in 1999/2000, IVGID sold 56 season passes and generated total revenue of $7,860 for season passes. A total of 5,730 daily passes were sold that year. Diamond Peak management does see the need for cross

Page 109 March 23, 2006 INCLINE VillAGE CrNE""!. IMl'I

White Paper Proposed Purchase of 5-Acre Parcel at Incline Lake

country skiing, as they did with the high-speed quad, not as a hard business element as much as a qualitative means of enhancing the total ski experience. This will attract families who want both varieties of skiing and snow play that are not currently visiting or returning to Diamond Peak.

24. Can a cross country ski area be established for next winter?

As discussed above, the process to get a SUP will take at least 3 years, notwithstanding the business planning and generation of development funding. At the appropriate time, Diamond Peak management would submit an operating and capital budget to the IVGID Board for consideration during the annual budget process.

25. Does the elected Board have the power to spend IVGID resources this way?

The IVGID Board has the legal right to approve operating and capital budgets including the purchase of the 5-acre parcel. Each May, on the third Thursday, by statue, the Board approves the Recreation Fee charged to every privately owned parcel within the District boundary. This fee is collected by the Washoe County Treasurer in four installments and remitted to IVGID four times a year. IVGID does not collect taxes from the residents of Incline Village and Crystal Bay directly. IVGID qualifies by statue to receive property tax funds and C-Tax funds through the State of Nevada according to a complex formula that sets the amount distributed to public agencies within the State. These funds are accounted for in IVGID's General Fund which provides accounting, information technology, human resources, and government functions such as the General Manager's office and Board support which in part support the Community Services Fund (recreation) and the Utility Fund (water, sewer and trash services).

Page 110 March 23, 2006 I 3765889 06/02/2009 04:22:14 PM Requ.sted By BROOKE SHAW ZUHPT A.P.N. 048-041-15 (poI1ion) Washoe County Recorder Kathryn l. Burke - Recorder RECORDING REQUESTED BY: Fee: $21.00 RPTT: $0.00 Incline Village General Improvement District Page 1 of 8 893 Southwood Blvd Incline Village, NY 89451 CONFORMED COpy

WHEN RECORDED MAIL TO: Nevada Division of State Lands r:C=-=O:-::------. Question I Program PY -has not been compared 901 S. Stewart St., Suite 5003 with the Original Document - WCR Carson City, Nevada 8970 I

NONREVOCABLE AGREEMENT TO RESTRICT PROPERTY

This NONREVOCABLE AGREEMENT TO RESTRICT PROPERTY ("Agreement") is made and entered into this §____ day of June 2008, by and between Incline Village General Improvement District, a political subdivision of the State of Nevada undcr Nevada Revised Statutes Chapter 3 18 ("Grantee"), and the State of Nevada ("State"). Grantee and State are sometimes hereinafter referred to collectively as the "Parties."

Recitals

WHEREAS, Grantee is the owner orthat certain real property located in Washoe County, State of Nevada, described as follows:

A five (5) acre portion of Was hoc County Assessor Parcel Number 048-041-15, (hereinafter "Property"). For a complete legal description of the Property see "Exhibit A" attached hereto and incorporated herein by this reference.

WHEREAS, This deed restriction is given to insure that the Property is maintained and used in a manner consistent with the regulations (NAC Section 321) adopted by the State for the Conservation and Resource Protection Grant Program, hereinafter referred to as "Question 1 Program." Regulatory authority is provided by Subsection 1-35, Section 2 of Assembly Bill No.9 of the It h Special Session of the Nevada Legislature, Chapter 6, Statutes of Nevada 200 I. The referenced regulations require the Nevada Division of State Lands, (hereinafter "State Lands," an agency of the State), when entering into a Funding Agreement, to include pertinent nonrevocable deed restrictions and appropriate reversionalY clauses to ensure that at all times the land is maintained in a manner consistent with the purpose of the Question 1 Program.

WHEREAS, Grantee has entered into a State Lands Question 1 Program Funding Agreement which provides funding to implement the project entitled the "Washoe County Urban Parks and Greenbelts Acquisition" and which has been assigned Question 1 Program Project ID No. WI-LW-04000.

Nonrevocab!e Agreement to Restrict Property Page I of8

111 WHEREAS, State Lands has allthority to award grants of money from the sale of general obligation bonds to state agencies, counties, municipalities or private nonprofit organizations, including the County, to acquire land and water or interests in land and water tor urban parks and greenbelts. Money awarded under this authority mllst be for the protection and preservation of the property and natural resources of the state, or tor the purposes of obtaining the benefits thereof.

Declarations

NOW, THEREFORE, in consideration of the grant funds received and the covenants and agreements contained herein, the Parties hereto agree as follows:

I. Recitals. The foregoing recitals are tme and correct.

2. Nonrcvocable Restriction of Prom:rtY. Grantee agrees that the Property will be used only for Urban Park Purposes and Greenbelt Purposes and that it will not allow for the Property to be llsed for any other purpose. For purposes of this Agreement, the term "Urban Park Purposes" means a use that provides an opportunity for casual recreational activity and includes, without limitation, any natural area, area of scenic value, area of physical or biological importance, wildlife area, land that provides outdoor community space and land that provides a connection to another publie area. For purposes of this agreement, the term "Greenbelt Purposes" means a use that provides an open area of real property that is cultivated or maintained in a natural or semi natural state and used: (i) As a buffer between land uses, (ii) To mark the edge ofan urban or developed area, or a natural feature, such as a lake; or (iii) To create a linear corridor tor the provision of trails or other amenities.

3. Authorized I.l~~s. State acknowledges that Grantee intends to use the property for recreation purposes, as authorized by NRS 318.143. The purpose of the project is to purchase approximately five (5) acres of private land from the Incline Lake Corporation (portion of APN 048-04 J-l 5) lor the proposed future development of a trailhead, parking lot, all-season trails, informational kiosks, educational and recreation programs and other related trail and recreation amenities as budget, IVGID's partners, and the public see fit for the area. A Day Lodge is envisioned to hOllse visitor information services, restrooms, and to operate cross-country ski and snow play areas.

4. Unauthorized Uses. If at any time the Property, or any portion of it, is determined to have been used by Grantee tor some purpose other than that stated in paragraphs 2 and 3 above, then Grantee shall promptly take the following actions subject to the cure provisions found in subparagraph 8.B. below:

A. Remit to the State a sum equivalent to the amount of the Grant, together with interest thereon at the rate of 10% per annum, commencing from the date of the Grantee's acquisition of the Property until the date paid, and;

Nomevocable Agreement to Restrict Property Page 2 of8

112 B. Offer to convey the Property, for no consideration, to the State for the Permitted Use; or, it: said offer is rejected by the State or if the State fails to respond to the oHer within ninety (90) days of the date of the offer, then Grantee shall offer to convey the Propelty, for no consideration, to each reasonably identifiable Nonprofit Conservation Organization active in Washoe County, Nevada. For purposes of this Agreement, the term "Nonprofit Conservation Organization" means a nonprofit organization, qualified in the State, that has as one of its primary purposes the acquisition of property for the protection, preservation andlor conservation of land, water, open space and/or the natural communities, resources and wildlife located thereon, and; C. Any offer made herein by Grantee must be made: (a) by delivering a written offer to the party to whom the offer is being made via certified U.S. Mail or hand delivery, and (b) by providing public notice of the orter, which public notice shall include, without limitation, notice of such ofter by publication no less than three (3) times at one-week intervals in a newspaper of general circulation in the County of Washoe. Both the written after and the public notice described herein shall state that in the event multiple Parties are interested in accepting the otTer and are otherwise qualified to accept the ofter, the party to whom the Properly will be conveyed will be determined promptly by the Grantee in its sole and absolute discretion. The written ofter and public notice shall also include the date by which a qualified party mllst accept the ofter in writing, which date shall be not less than sixty (60) days nor more than ninety (90) days alter the date of third publication, and shall identify the representative to whom the written acceptance must be made and the place where sllch written acceptance must be delivered. The Grantee shall bear all costs for any ofter required to be made by it hereunder, and;

D. Should an offer described herein be accepted, Grantee shall, at its sole cost and expense, promptly deliver to the qualitied party accepting said offer, a duly executed warranty, grant bargain sale, or quitclaim deed capable of being recorded in order to convey clear title to the Property to said party.

E. Specific Unauthorized Uses: The following primary Unauthorized uses and their accessory structures are expressly prohibited:

[Jed & Breakfast Facilities Eating and Drinking Places Employee Housing Food and Beverage Retail Sales General Merchandise Stores Golf Courses Local Assembly and Entertainment Outdoor Retail Sales Privately Owned Assembly and Entertainment Professional Offices Recreation Centers Snowmobile Courses Storage Yards Transient Dwelling Units Transmission and Receiving Facilities

Nonrevocable Agreement to Reslnct Property Page 3 of 8

113 5. Jransfer ofPrope[ty. In the event the Grantee desires to sell or otherwise transfer the Property, prior to any sllch sale or transfer of the Property by Grantee, Grantee shall offer to convey the Property, to the entities described in subparagraph 3(8) above, subject to the same terms and conditions, and according to the same procedures, set forth therein. If, after complying with the provisions of subparagraph 3(8), neither the State nor a qualified Nonprofit Conservation Organization has accepted Grantee's offer, Grantee may sell the Property to any other person or entity for fair market value, based on an appraisal for the highest and best use of the property at the time of transfer. Upon such sale, Grantee shall promptly transmit to the State the amount of the Grant, together with interest thereon at the rate of 10% per annum, commencing from the date of the Grantee's acquisition of the Property until the date paid.

6. Condemnation. Any and all grant funds received by Grantee in connection with any portion of the Property taken by right of eminent domain or by condemnation shall be delivered pro rata promptly to the State as reimbursement, in whole or part, for the amount of the Grant. If only a portion of the Property is taken by right of eminent domain or by condemnation, and if Grantee thereafter desires to dispose of that portion of the rropcrty not taken by right of eminent domain or condemnation, Grantee shall offer to convey the portion of the Property not taken by right of eminent domain or by condemnation, for no consideration, to the cntitics described in subparagraph 3.8. above, subject to the same terms and conditions, and according to the same procedures, set forth therein. It~ after complying with the provisions of the preceding sentence, neither the State nor a qualified Nonprot1t Conservation Organization has accepted Grantce's offer, Grantee may sell said portion of the Property to any other person or entity for fair market value. Upon slich sale, Grantee shall promptly transmit to the State the gross sale price of the portion of the Property sold, based on an appraisal for the highest and best use of the property at the timc of condemnation, or the amount of the grant, which ever is greater, together with interest thereon at the rate of 10% per annum, commencing from the date of the Grantee's acquisition of the Property until the date paid.

7. Enforcement. The State, or any person, has the right to prevent any activity or use on this property that is inconsistent with the permitted use as described in paragraph 2 of this Deed Restriction. The terms and conditions in this Deed Restriction may be enforced as follows:

A. Enforcement of the provisions of this Agreement shall be at the discretion of enforcing party. Any forbearance in the enforcement of rights and interest under this Agreement in the event of a violation or infringement, or threatened violation or infringement, of any provision of this Agreement shall not be deemed or construed to be a waiver of such provision or of any subsequent violation or threatened violation of the same or any other provision of this Agreement, and any failure to act shall not be deemed a waiver or forfeiture of thc right to enforce the provisions of this Agreement in the future.

Noorevocab!e Agreement to Restrict Property Page 4 0[8

114 B. In the event of a violation or infringement, or threatened violation or infringement, ofany provision of this Agreement, the State, or any person, shall give written notice to Grantee and request that the Grantee take corrective action sufficient to cure the violation or prevent the threatened violation. Grantee shall have 30 days to comply with the request. If the State, in its sole discretion, determines that circumstances require immediate action to prevent or mitigate significant damage to the permitted lise of the property as described in paragraph 2 of this deed restriction, State may pursue its remedies under this section without prior notice to Grantee or without waiting for the period provided for cure to expire. Nothing in this Deed restriction shall be constmed to impair State's, or any person's right to seck temporary or permanent injunctive or other relief to enforce the tcrms of this Deed Restriction against a violation or threatened violation hereof.

C. Grantee will not be responsible for injury to or change in the property subject to this Deed Restriction resulting from natural causes or environmental catastrophe beyond State's control, such as fire, nond, storm and eat1h movement, or from any pflldent action taken by Grantee under emergency conditions to prevent, abate, or mitigate significant injury to the property resulting from such causes.

D. IfGrantee fails to cllrc a violation or threatened violation of the terms and conditions as expressed herein after receiving written notice orthe violation or threatened violation, the State or any person may institute a suit to enjoin the violation or infringement and/or to reqllire the restoration to the condition lhat existed prior to the violation or infringement; in addition, the State or any pcrson enforcing this Agreement may seek damages to which they may be entitled including reimbursement to the State ofall or a portion ofthe grant funding provided to Grantee for acquisition ofthe property herein. The enforcement rights under this subparagraph shall apply equally in the event ofeither actual or threatened violations ofthe provisions of this Agreement. The Grantee agrees and acknowledges that the remedies at law for any violation of the provisions ofthis Agreement are inadequate and that any person enforcing this Agreement shall be entitled to the injunctive relief described in this subparagraph, both prohibitive and mandatory, in addition to slich other relief, including damages, to which the enforcing persoll may be entitled, including specitic performance ofthe provisions ofthis Agreement, without the necessity of proving either actual damages or the inadequacy ofotherwise available legal remedies.

E. If a cOllrt determines that this Deed Restriction has been breached Grantee will reimburse the State or any other person bringing suit for relief under this section, for reasonable costs of enforcement, including court costs, reasonable attorney's fees, and any other payments ordered by the court.

8. Recordation. This Agreement shall be recorded in the Office of the Washoe County Recorder and shall run with the land.

9. Amendments. This Agreement shall not be amended except upon the written agreement of the Parties after public notice by publication no less than three (3) times at one-week intervals in a newspaper of general circulation in Washoe County.

Nonrevocable Agreement to Restrict Property Page 5 of8

115 10. Entire Agreement. This Agreement constitutes the entire agreement of the Parties \vith respect to the specific matters contained herein and supersedes all previous discllssions, understand ings and agreements.

11. Further Assurances; Additional Documents. The Parties agree to execute any and all further documents, deeds and other writings, and to undertake any further action necessary to consummate the transactions contemplated herein.

12. Authority. Grantee and State, respectively, represent and warrant that, as of the date of this Agreement, each has the full right, power and authority to enter into this Agreement and to consummate the transaction contemplated herein, and that each has duly and properly taken all action required of it, to authorize the execution, delivery and performance by it of this Agreement.

13. Binding Eftect.. This Agreement is binding upon the representatives, SLlccessors, and assigns of the Parties hereto.

14. Captions. The captions and headings of the sections of this Agreement are for convenience of reference only and shall not be construed in interpreting the provisions hereof.

15. Severability. Ifany term or provision of this Agreement is deemed unenforceable by a court of competent jurisdiction, the remaining terms and provisions shall remain in full force and eHect so long as the purpose and intent of this Agreement may be achieved.

16. Governing Law. This Agreement shall be governed by and construed and enforced in accordance with the laws of the State.

17. j\ttomeysIees. In the event of any controversy, claim, or dispute relating to this Agreement or to the violation or infringement thereof, the prevailing party shall be entitled to recover from the losing party reasonable attorneys' fees and costs.

Nonrevoeable Agreement to Restrict Property Page 6 of8

116 IN WITNESS WHEREOF, the Pm1ies hereto have entered into this Agreement as of the date first written above.

DATED this ~t",-,h,,--_ day

"Grantee" INCliNE VILLAGE GENERAL IMPROVEMENT DISTRICT B: k&,~ N:m=-~ E:LIU_-~~_'-=--"._.­

Its: (!jai,{()O.lJJ!2::~ __~

"State" STATE OF NEVADA

APPROVED as to Form: CATHERINE CORTEZ MASTO Attorney Gen~ral

BY:~L." L__ .~ r \ Date: ,,~Ileoo-&.-Hemlng\Y-ay- l\.\\.v\ I"·~,. :"\.I':"i\ Deputy Attorney General \1

APPROVED as to Form:

STATE OF NEVADA ) } SS. COUNTY OF WASHOE

This instrument was acknowledged before me on the ~ YIJ day of.~ .

." .. ,,,,.,,' ...... ,,,, ...,,, .. ,,, .....,',,.j': SUSAN A. HERr:lON ! Nclmy PubliC Stale of Nevada I MPC,r,lme,,1 R",orded In W~~.hQl'; COJnty 1 No 98·27J?·2 EX~l'eS De<:.~~.::::..~:.~~,~~..l c.. " ...." ......

Nonrevocable Agr~ement 10 Restric! Property Page 7 of8

117 Proforma CLTA Standard Coverage Policy -1990 Order Number: 07002531 Policy No. 07002531·1·E

EXHIBIT "AH

All that certain real properly situate in the County of Washoe, State of Nevada, described as follows:

A parcel ofland located within a porlion of Section 35, Township 17 North, Range 18 East, MDM, Washoe County, Nevada, being more particularly described as follows:

BEGT;-.JNING at a point on the Westerly right·of-way line ofNDOT State Route 431 which bears S. 23° 13'37" W., 1865.84 feet from the Northeast comer of said Section 35, said Jloint also being 100.00 feet left ofh1J.)OT State Route 431 centerline Station "P"343+S7.48; thence departing said right-of-way line, the following ten courses:

L) N. 72°10'07" W., 241.59 feet; 2.) N. 39°56'04" E., 22332 feet; 3.) N. 19°56'50" W., 236.55 feet; 4.) N. 06°48'45" E.. I} J.2.5 feet; 5.) N, 63°24'52" E., 293.10 feet; 6.) N. 16°35'06" E., 112.78 feet; 7.) 453.10 feet along the arc of a curve to the right, having a radius of 2 \ 50.00 feet and a central angle of 12"04'79" (chord bears N. 22°31'20" E., 452.26 feet): 8.) N. 89°51'01" E., 37.77 feet; 9.) N. 80"13 '23" E., 32.78 feet; to.) N. 74°44'49" E., 59.39 feet to a point all said Westerly right-of-way, said point also being 100.00 feet left of NDOT State Route 43 I centerline Station "P"356+67.S4;

Thence along said right-of-way, 511.8) feet along a curve to the left, having a radius of 2050.00 feet and a central angle of 14°1&' J7" (chord bears N. 23°44' 16" W., 510.48 feet);

Thence continuing along said right-of-way, S. IGo35'{)6" W., 823.22 feet to the PorNT OF BEGINNING.

BASIS OF BEARING: TIle centerline of State Route 431 between Stations "P"302+72.36 PC and "P"J35+&6.41 PC, per NDOT ConslTuction Plans, Contract No. 2509, dated APlil20, 1992. (S. 29°35'06" W.)

APN: a portion of048-041·15

Required pursuant to Section l.NRS 111.312:

Legal Prepared by: Darryl M. Hal1'is, P.L.S. #6497 Resource Concepts, Inc. Adclress: P.O. Box 11796212 Elks Point Road, Suite 443 Zephyr Cove, Nevada 89448

From: Helen Abel To: Herron, Susan Subject: Delay the MIG vote Date: Friday, November 14,2014 12:57:57 PM

----~-----

It is time to STOP. Stop and get input from home owners who pay the bills and your salary. The DPMP only had 285 full time residents and 153 part time residents that took part and completed the survey. Many of us did not know of this plan and did not take part in a survey which will change our town. The MIG have no idea why we live here and NOT at Northstar or South Shore or you would not be proposing this plan that will change our community for ever.

A simple survey that EVERY HOMEOWNER is mailed with complete detailed information of what is being proposed is the only honest way to proceed.

There should be no vote now or in the near future until you notify property owners who chose to buy and live here of your full intentions for Diamond Peak.

Please include this communication in the board packet for 11/19/2014 and give a copy to each trustee and Mr. Pinkerton.

Helen Abel

Sent from my iPad

121 From: marY ansari To: HerrOD. SUsan Subject: Diamond Peak Master Pia n--Phase I Date: Wednesday, November 12, 20149:01:55 AM

Please distribute to all trustees and incorporate in the materials of the 11/12/14 BOT meeting:

Dear Trustees,

As a 20-year resident of Incline and a 50-year resident of Washoe County, I find the increasing commercialization of our community and Lake Tahoe most disturbing. Last summer every time I went near to lake, I felt as though I was witnessing Lake Tahoe being loved to death. In the past couple of years the entire culture of the Tunnel-Creek-Road-hike to the flume has drastically changed. Gone is the solitude; replaced by busloads of hikers and bikers and clouds of pulverized dust that eventually end ends up in the lake .. The same thing is happening on almost every trail in the Tahoe Basin. All the natural venues that caused many of us to want to call Incline home are rapidly being over run.

What happened to the concept of having the recreational venues in Incline be mainly for the use of the residents of Incline? If the Diamond Peak Master Plan is such a good idea, why do you need to spend a large sum to pay consultants to find a way to sell the plan to the residents? Why is this happening at a time of year when so many residents are not here? Why and how can we compete with Squaw Valley, North Star and Heavenly? When did we as a village sign up to become another Aspen? How much money will it take to keep Tahoe Blue if we continue to head in the direction that is being proposed?

I don't agree with the direction that is charted in the DPMP, and I urge you not to spend $263,647 of our money to hire MIG,

Thank you.

Mary Ansari 1108 Lakeshore Incline Village

122 From: Nazir Ansari To: Herron, Susan Subject: DPMP Update Date: Wednesday, November 12, 2014 11:39:50 AM

With this e mail, I wish to express my opposition to the planned update of Diamond Peak Master Plan. I feel that the Plan's update has not been fully discussed with the residents of IV who will be ultimately impacted by the changes caused and the financial implications that will arise from any action taken. I urge that you take more time and get the community more actively engaged before making any decision to spend such a significant amount of money on consulting fees. This email is intended to be brought to the attention of all Trustees. Thanks. Nazir A. Ansari Property owner, 1108 Lakeshore, IV.

123 From: Chris Bryan To: Herron Susan Subject: Ms. Heron Date: Tuesday, November 11, 20141:58:22 PM

Ms. Heron

Please forward this email to all of the IVGID trustees and Gen. Mgr. Pinkerton before the Wed meeting of IVGID.

Also please add this elnail to the minutes of the meeting.

I would like to oppose the proposal to spend $ 263,647.00 as stated on H-4 of the agenda for the meeting of November 12, 2014.

I am also opposing spending any funds on the Diamond Peak master plan until after the new board takes office.

Thank you,

Franny and Chris Bryan

124 From: bigdoQQoooes@ao!.com To: HerrOD, Susan Subject: Diamond Peak Master Plan and MIG Plan Date: Monday, November 17, 2014 7:26:30 AM

I want it known that my wife and I are both opposed to the Diamond Peak Master Plan and espeCially the MIG group planned contract to spend $263,000 on a public relations campaign to mould public opinion. Spend the money on beach facilities or other useful hard improvements to Incline. not a big PR campaign. Please include my comments in the permanent IVGID Board record.

Respectfully, Bruce and Darlene Gomes - 900 Southwood Blvd. #5

125 From: Bill Echols To: Wolfe, Joseph; Hammerel. Jim; Deylne, Bill; Smith, Jirr; Simonian Bruce E Cc: HerrOD, Susan; Pinkerton, Steve 3. Subject: Opposition to the DP master plan Date: Tuesday, November 11,201412:30:19 PM Attachments: Oppositioo to the Dr master p!ao,docx

To: The IVGID Board members and the public at large,

I am a 10- year homeowner; 3-year full time reSident; volunteer DP Ski Patroller and presumptive Steering Committee member. I have no commercial interests in IV,

My wife and I researched a number of mountain communities (Utah, Colorado, Montana, Wyoming and various locations in the Tahoe Basin) before picking Incline Village (IV). We picked IV because it was not a resort community. We picked IV because it was a bedroom community inside the one of the most beautiful locations on this planet. We think of IV as a gated community without the gate. We do not want to see it turned into King's Beach, Tahoe City or NorthStar, We like it the way it is and not what the IVGID board and the city's commercial interests seem to be trying to turn it into.

If IV needs a bigger economic base, let's try to expand the base of full time residents. There are 74 million baby boomers retiring over the next 20 years. All we need is 300 or 400 couples living in IV full time, spending $2000 or $3000 / month at Raleys, at Ace Hardware, the various service contractors, the restaurants and the golf courses, month in and month out, in November and Mayas well as July and December, to revive the local merchants. A monthly annuity stream will be vastly superior to an incremental surge in an already crowded summer season,

Rather than spending $263,000 on consulting for DP let's spend half that much in advertising to tell the IV / Lake Tahoe story. Ads in the weekend edition of the Wall Street Journal, The Dallas Morning news, The Chicago Tribune, etc., etc. will create some awareness with the reasonably affluent, healthy, active 60 something year olds and allow them the opportunity to consider this most beautiful place to spend their retirement years.

At the candidate forum, a member of the audience asked the crowd who was for the DP Master Plan. One individual indicated he did not have enough information. No one else indicated they were for it (50 attendees). Obviously this is not a scientific sample but it is a good proxy as to how the concerned citizens of IV feel about this topic.

I am totally opposed to spending any more money on the DP master plan. Please do not move forward on any expenditures before the board ascertains the wishes of the property owners who will ultimately bear the costs of the changes proposed in the DP Master Plan both in terms of dollars and the neighborhood impact.

126 Bill & Judy Echols I H) 775-832-5406 I C) 214-334-8421 983 Wander Way, Incline Village, NV 89451

127 From: [email protected] To: HerrOD Susan Subject: Diamond Peak Master Plan Date: Tuesday, November 11,2014 9:41:45 AM

Susan,

Would you please forward this E-mail to each Board Member and Steve.

I just received the Board Packet and was shocked to see a request for $263,000 to hire yet another consultant to basically facilitate the Diamond Peak Master Plan process. Added to the roughly $150,000 already spent on this effort, this will be over $400,000 in consulting fees!

I spoke in support of the Board receiving the initial Master Plan and having a balanced Committee really examine each element of the plan, particularly the lack of a competitive scenario/response, the financial assumptions and a risk assessment. With all of the talent our Incline residents and a General Manager leading the Committee, I can't understand spending nearly a quarter million dollars to manage the process.

And, I believe we are putting the cart in front of the horse. The first thing that needs to be done before more traffic studies, noise studies, financial evaluation, etc. is to determine what Incline Village/Crystal Bay is to be in the future. At one end of the spectrum is a Disneyland-like Destination Resort and on the other a quiet and more-private small community. The answer probably lies somewhere on that spectrum (Opinion: hopefully, closer to the latter). A representative committee with a strong facilitator and appropriate Community interaction should deal with this subject before anything else is done! We don't need to spend $263,000 to do this!

I do believe that we need a Master Plan---just not this Master Plan. Certain elements of it may be ok (Snowflake Lodge, hiking/biking, possibly a zip-line), but the rest of it is highly questionable and goes to what our Community wants to be.

Yes, we have a diverse group of property owners with a wide-ranging demographic. Will it be difficult to herd the cats? Probably. Do we have an in-house herder? Probably. Are we snowbirds, 2nd homeowners shut out of the process? Definitely! Timing?

I truly hope that this is not a pre-determined outcome. I am looking forward to learning who is on the Community Committee--that will tell a lot. I also hope that a Sr. Staff member does not try to recruit high schoolers and Ski Team members to tomorrow's meeting as was done previously---people who pay the recreation fee should be the customers for any Plan that is developed.

Finally, any recommendation coming forth should be brought to a Community vote. There is precedence for this---the Chateau renovation. Once voted on, there was no further controversy. I've heard the argument that our voters are not educated on the matter, do not understand the Plan, would not know the reasons to vote for or against it. etc. Well, this happens all the time in elections. The interested electorate tries to understand the issues or candidates and gets to the polls. Others vote on emotion, hearsay and party loyalty. Yet, others stay home. But, everyone has the opportunity to be counted if they are interested. Same is true for the Diamond Peak Master Plan---communicate all the info, state the pro's and

128 cons clearly and let the people speak.

Chuck Otto

129 From: John and Aetna To: HerrOD, Susan Subject: Diamond Peak Master Plan & Expenditures Date: Thursday, November 13,20145:03:52 PM

Please distribute the following to all trustees and include with the material for the 11/19/14 BOT meeting. Thank you.

Dear Trustees,

I have lived in Incline Village full time since 1996. I have never felt the Board of Trustees and now the (new) General Manager were so out of touch with the residents of our little Village until this past year. First, the Waste Management proposal, then the Ordinance 7 fiasco, and now it appears the Diamond Peak Master Plan are all in opposition to the quality of life many of us wanted when we chose to buy and live here. It seems like I am always writing these letters and must attend BOT meetings just to protect myself and my investment from BOT actions.

Most people I talk to, also residents, do not want our little town turned into an Aspen or Vail. If that was what we wanted, we would have bought at Northstar or Squaw. We like quiet little Incline Village, we want to be able to go to our beaches (but that has become a problem due to the number of non-residents on our "private" beaches), we want to protect our real estate investments (with year round free pine needle disposal and Ordinance 7), and we do NOT want Diamond Peak turned into an amusement park! Most residents of Incline are laughing at the thought of using the zip line or other proposed features in the Diamond Peak Master Plan. Most of us don't want more tourists than we already have, and those of us footing the bills with our recreation fees are getting tired of paying for tourists to use our facilities for lower cost than we pay (Diamond Peak ski costs) or even free (Sierra College Students at the Rec Center).

In addition to opposing your plans for Diamond Peak, I think it is very wrong to pay an outside conSUlting group (MIG) to "talk" us into something we don't want. If you want us to support your plans, YOU, the BOT and the GM, should present your case and if it is good for Incline, the residents will support you. The Diamond Peak Master Plan is not good, the quarter million dollars to sell us on it is not good and it is REALLY NOT GOOD to move ahead with any of this before the new BOT is seated and while many residents are gone for the winter. Most of us will NOT support you and this will be a repeat of the Ordinance 7 fiasco.

I urge you to NOT approve this expenditure and repeal your vote to proceed with the Diamond Peak Master Plan.

130 Thank you,

Aetna Nicewonger 104 Pine Cone Road Incline Village

131 From: Gabriella ManzQne To: HerrOD, Susan Subject: 2 new Voices of Opposition Date: Tuesday, November 18, 2014 4:02:04 PM

Dear Susan, The follOWing letter is addressed to the Boaro of Trustees Pease be kind enough to distribute this letter to each of the trustees and include it in the next board packet

To the IV::;:O Board of Trustees,

My husband and I are time Incline Vllage homeowners, now retired and permanent residents We strongly oppose the addition of summer amusements to our Lake Tahoe resident al We have not consented to the review or of Phase 1 of the Diamond Peak Master Plan. 'Ne also oppose the use of our taxpayer dollars to finance it We urge you to vote General Steve Pinkerton's request fo' $363,000 to "Ire MIG to sel! the ~'Ian to us. As our Board of Trustees, we expect you to rer::rese~t Ov[ Interests and our community values Very truly yours,

Gabriella and DOMeniCO Vanzone 971 Mica Court Incline Village, NV

132 From: [email protected] To: Herron. Susan Subject: letter to the Board of Trustees Date: Monday, November 10, 20146:37:15 PM

Dear Susan,

Please be kind enough to distribute the following Letter to the Board of Trustees and include it in the next Board packet.

Many thanks,

Linda & Mark Newman

To the Board of Trustees:

We strongly object to General Manager, Steve Pinkerton'S request to hire MIG as lead consultant for the implementation of Phase 1 of the Diamond Peak Master Plan. We believe that the General Manager and the Trustees starting point for the initiation of the Plan, should begin with the consent of our community. We continue to support an independent survey to accurately assess the community's interest in pursuing this plan and paying for it. We would also support the opportunity for all homeowners and residents to submit a straight up or down vote. Authorization of an additional $268,000 in pre-planning expenses to implement Phase 1 is unjustifiable by any standard.

To date, respected members of our community have raised important concerns. These range from the Master Plan's anecdotal assumptions to exaggerated revenue projections. Safety, nOise, congestion, summer fire danger, lack of an infrastructure and questionable evacuation routes, along with liability and rising insurance premiums have also been highlighted. Future competition from South Shore and other resorts close by --should also be considered. Of critical importance, most homeowners and residents reside here for the existing facilities. They did not choose Incline Village/Crystal Bay for its proximity to a year round Amusement Park and the opportunity to finance it.

Sincerely,

Linda and Mark Newman, Incline Village

133 From: Robert McDowell To: Herron. Susan Subject: Consultant fee; summer expenses at Diamond Peak Date: Saturday, November 15,20142:44:16 PM

Hi Susan,

As a resident of IV at 516 Sugarpine Drive, I am totally opposed to the retaining the consultant and also opposed to the concept. Thank you.

Best regards,

Robert J. (Dewey) McDowell, J.D. [email protected] 858-412-6099 (h) 858-736-6888 (c)

134 from: Detty klein [email protected] To: Herron. Susan Subject: Diamond Peak Expansioo Plan Date: Sunday, November 16,2014 10:36:44 PM

To the Board members of IVGID.

This letter is my expression of dissatisfaction with the way IVDID has persued the Diamond Peak expansion. Why is this project from the beginning so lacking of transparency? Our community would wellcome a honest discussion about its future and the financial cost it will have to shoulder. Has the board so little faith in the people who elected them? Where is the fiscal responsibilty we were promised? It certainly annoys me to read that the board members need more than #$250 ODD. just to make up their minds how to spend this communities money! And what about a fair bidding process to the lowest and most qualifed? I am not against change in general, but this kind of wastefullness is unsupportable. Sincerely Elisabeth Lernhardt

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135 From: ArnQld To: Herron. Susan Cc: [email protected] Subject: Diamond Peak master plan Date: Monday, November 10,2014 1:32:47 PM

Susan:

Please registerthis email with the IVGID Board priorto the upcoming Wednesday Board Meeting.

Prior to spending money on studies with consultants the board should hold a community meeting where voting residents can express their concerns either in person or by email. As previously stated by me in emails to the board I personally am opposed to the expansion of Diamond Peak to accommodate non taxpaying visitors thru the recreation fee or bonded indebtedness on Incline properties. I further am specifically opposed to the coaster and zip line contemplated improvements because they will change the character of the community.

Maybe I am a voice in the wilderness but at a campaign meeting for one of the newly elected members no one spoke in favor of these improvements but many questioned why anyone would want these improvements.

Arnold landau 7758481318

136 From: Ann NichQls To: Herron, Susan Subject: Stop IVGID from hiring MIG Consulting Date: Tuesday, November 11, 2014 12:50:56 PM

Dear Susan,

Please be kind enough to distribute the following Letter to the Board of Trustees and include it in the next Board packet.

Regards,

Ann Nichols

To the Board of Trustees:

The General Manager, Steve Pinkerton lead the community to believe he would analyze the Diamond Peak Master Plan and assess the resident's desire to implement the scope of work FIRST. Not hire MIG as lead consultant for the implementation of Phase I of the Diamond Peak Master Plan, The General Manager and the Trustees starting point for the initiation of the Plan, should begin with the consent of our community. An independent survey should be required to assess the community's interest in pursuing this plan and paying for it. The authorization of an additional $268,000 in pre-planning expenses to implement Phase 1 is shameless.

All the ski areas at Tahoe are installing zip lines and "Forest Flyers", Incline will not be unique in the rush to become an Amusement Park. To date I believe $150,000 has been spent on SE's boilerplate solution to ski area snow woes. What a great business model for SE and a poor investment for the community.

Sincerely,

Ann Nichols

137 From: John P Woll MD To: Herron, Susan Subject: Diamond Peak Master Plan - opposed Date: Monday, November 17, 2014 10:58:50 PM

Dear Ms Herron,

I am writing to you as the board secretary. I would appreciate it if you might communicate my correspondence to all the members of the board.

Dear IVGID Board of Trustees,

We are writing to you to express our opposition to the Diamond Peak Master Plan which includes building additional summertime attractions at that site.

These are not needed to make Incline a great place to be in the summer. It already is great: our beaches, our golf courses, our pools, our tennis center, and our recreation center help make it so, I feel that we are already at capacity at the beaches and at other summer venues, Even something as basic as the Raley's center parking lot is often jam packed during the summer.

The bottom line is that we do not need to bring additional people from outside the area to Incline.

Residents do not need (or want) zip lines or an alpine coaster.

Even more, we do not want to shell out additional money to fund the studies, let alone the project itself.

If it were truly money-making, investors would be lining up to finance it. They are not. The only people who stand to benefit from this project are the consultants and those contractors building the new infrastructure.

We urge you to vote against the study and then plan. It will not add value to the community and it will only add a tax/bond liability to the residents of Incline Village.

Sincerely,

John and Lisa Woll

809 Rosewood Circle Incline Village, NV

138 From: Crajg Young To: HerrOD. Susan; Wolfe. JQseph; Hammerel Jim; Devm€. Bill; Smith. Jim; Simonian. Bruce E.; Pinkerton. Steve J. Subject: Vote AGAINST the $263647 Expenditure Date: Wednesday, November 19,20149:09:34 AM

To: The IVGID Board of Trustees

I am an Incline Village property owner and full time resident.

Please vote AGAINST the $263,647 expenditure associated with the proposal on Diamond Peak.

It is completely inappropriate to spend this amount of money at this point in the process. The very first step you should take is to simply ask the Incline Village property owners if they are willing to accept ANY level of financial risk associated with capital expenditures at Diamond Peak. Since the property owners are the ones who will bare the burden of the financial risk, they and they alone, should have veto power on this project. I am certain that you will hear a resounding "NO, we do NOT want this risk" from the property owners. In which case, the Diamond Peak expansion project should end immediately with no additional expenditures of money, time, or other resources. Asking the property owners this basic question should be a simple and inexpensive matter of contacting the owners based on the property tax records.

Please note that any money already invested in Diamond Peak is SUNK COST. Spending additional money does NOT protect the previous investment.

I moved to Incline Village because it felt like a quiet "bedroom" community. The last thing I want Incline Village to become is a tourist town similar to Tahoe City. While the various recreation facilities seemed like a nice feature when I was deciding to move here, I have since found that the recreation facilities, as currently utilized, are a net negative to the quality of life in Incline Village. The beaches especially are a major disappointment due to the extreme crowds during the summer. I am very concerned that my property value, as well as my quality of life, will decrease if Incline Village becomes more and more crowded.

As IVGID's Board of Trustees, I want you to work AGAINST any project or proposal that will bring any additional people to Incline Village during the summer or during ski season.

Please spend your time working on ways to resolve the following basic problems facing Incline Village: 1) There are too many non-residents in Incline Village during the summer and during ski season. Especially at the beaches during the summer. 2) No Incline Village property owner should be required to subsidize anyone else's ski day, or golf day, or gym day or anyone else's use of any recreation facility. When a property owner is forced to pay a recreation fee for a facility he neither uses, nor wants, he is being forced to subsidize someone else's recreation - this is fundamentally wrong!

Sincerely,

139 Craig Young 796 Tyner Way Incline Village

140 From: ~ To: Herron, Susap Subject: Additional DP Consultant Expenditure Date: Tuesday, November 11,20148:50:11 AM

Susan,

Please distribute to each of the trustees, and include in the board packet, if possible. Thank you.

Dear Trustees,

You are about to vote on spending another almost quarter of a million dollars on yet another consultant regarding proceeding with the Diamond Peak summer activities project. Please proceed slowly and cautiously. We have just elected two new trustees to the Board -- wouldn't it be prudent to delay this expenditure until they have an opportunity to discuss it with the other board members and vote on it, since they'll be living with the consequences? They ran on fiscal responsibility platforms.

You have selected a Steering Committee, members of which are about to be announced. Why not allow them to start preliminary discussions without the benefit of yet another expensive consultant? I'm sure there is discussion leadership talent among the residents to help with this process -- which would be far less expensive than hiring a consultant. For example, who led the 20/20 discussions? Is that person available to assist with the new Steering Committee? Perhaps he/she would even donate their services until such time as it would be necessary to have help gathering more information.

I believe that another survey. sent only to parcel owners who will be paying for this project. should be conducted after the steering committee comes up with a preliminary plan. Again, please proceed slowly and carefully before spending such large amounts of money on this questionably income producing project.

Svata Trossen Tyrolian Village

141 From: Fra nk Wrig ht To: Herron Susan Subject: Objection to spending Rec money Date: Monday, November 10,20148:56:51 PM

Incline Village General Improvement District

Susan, please add to the board packet Frank

Members of the board,

You were elected to protect the citizens of this community from theft, wasteful spending of our money. So far you all have done nothing to stop the "Staff' from blowing millions. Two of you board members will soon be out of office and on your way out you will blow another 263,000.00 plus dollars of our money on a worthless consultant to study what we already know. The DPMP is a farce, and our beloved staff is a joke! Mr. Simonian has been a discrace to this community, Mr. Wolfe hates to come to meetings and very seldom does he turn on his hearing aid, Not only is he void of knowing what is going on, he could care less. So continue to vote yes for wasteful spending, continue to be the joke of the community. For you other members serving out your last two years good luck, your going to need it, the community is getting it! IVGID is a FARSE! It is not just "Two community members" now it is a herd, and they all are seeing the waste. What still amazes me is that all of the board members are getting ripped off just like every other parcel owner in Incline/Crystal Bay and they don't understand it's money out of their pockets as well. Joe do you know how many beers you could have bought? Frank Wright Crystal Bay

142 Herron. Susan

From: Keith Hansen [[email protected]] Sent: Wednesday, November 19, 20144:32 PM To: Pinkerton, Steve J.; Herron, Susan Subject: FW: Diamond Peak Master Plan

Just making sure all intended recipients got our message. Keith

From: [email protected] To: [email protected] CC: joe [email protected]; hammerei [email protected]; devine [email protected]; smith [email protected]; bruce [email protected] Subject: Diamond Peak Master Plan Date: Wed, 19 Nov 2014 16:28:33 -0800

Dear Steve & members of the Board, we want to register our concern about the proposed quarter mission dollar study which we understand is part of a $18.2 million plan to upgrade facilities at Diamond Peak.

As full-time residents of Incline Village, we value all of our recreational facilities including Diamond Peak and are happy to support their maintenance and, as needed, upgrading. We are not opposed to making Diamond Peak a more useable, year-round facility, but we need to consider alternatives which are supported by the community and which will not stress our budget.

However, what we have learned about current plans for Diamond Peak appear to be ill advised, at least without a full vetting of our community. As you did regarding the beaches, at a minimum the Board should pulse the desires and concerns of citizens before marching forward with such an expensive project, including the study. We appreciate ideas coming from the Board on our behalf, but those ideas must be presented and explained to the community before funds ofthis magnitude are committed.

Earlier this year we were disappointed when the Board put itself on a track to promote an idea about beach access that apparently came from the IVGID Staff but which lacked vetting by the community. Fortunately, the community finally was able to voice its opinion and stop that plan. The Diamond Peak initiative appears to be falling into the same trap. I suspect you will hear many complaints about this process at tonight's meeting.

We are grateful that folks are dedicated enough to serve on the IVGID Board, including the General Manager, and hopefully are committed to seeking what is best for our community. However, all of you are servants of the community and must stay in tune with the desires ofthe citizenry and avoid getting out in front with expenditures and initiatives that lack community support.

We hope there will be a clearing ofthe air on this issue tonight and that the Board will step back and serve the community by soliciting ideas and reactions to possible initiatives before the Board runs up a large bill for something the community most likely does not support but yet for which we all must pay if unchecked. Thus, until we see that the Board has made the effort to listen to the community, we cannot support the Diamond Peak Master Plan as it now is being pursued.

Sincerely, Keith & Marji Hansen 143 Herron. Susan

From: Ransom, Mark [[email protected]] Sent: Thursday, November 13,20145:23 AM To: Herron, Susan Cc: [email protected] Subject: Diamond Peak redevelopment

M r. Pinkerton:

We are quite dismayed at the continued efforts of yourself and the IVGID Board of Trustees to remake Incline Village into a tourist destination with the redevelopment of Diamond Peak Ski Resort. We purchased a residence in Incline Village approximately ten years ago, with the knowledge that it was, and would continue to be, a residential community, with limited retail establishments to support the residents.

The proposed plan to redevelop Diamond Peak Ski Resort into a year-around tourist attraction provides extremely limited benefits to the residents of Incline Village. For those residents whose homes are in the vicinity of Diamond Peak, the redevelopment will be a net negative as they will experience a significant increase in traffic and crime from the use of Diamond Peak by non-residents, which will ultimately result in a decline in property values.

As General Manager of the Incline Village General Improvement District, your responsibility is to manage Incline Village for the benefit of the owners of the Village, which are the residents. The redevelopment of Diamond Peak is a folly being perpetrated to enhance the visibility a nd reputation of the General Manager and the Board of Trustees, and is clearly not in the best interests of the owners/residents of Incline Village.

We most adamantly oppose the redevelopment of Diamond Peak Ski Resort and the expenditure of $263,647 of our money to study the issue.

Sincerely,

Barbara and Mark Ransom

321 Ski Way #151 Incline Village, NV

5774 loch Maree Ct. Dublin, Ohio 43017

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144 Herron, Susan

From: Mike Abel [[email protected]] Sent: Monday, November 10, 20142:05 PM To: Herron, Susan Cc: Pinkerton, Steve J. Subject: MIG Contract

Follow Up Flag: Follow up Flag Status: Completed

I see in looking at the agenda for the Meeting this Wednesday, that IVGID proposes to enter into a contract with MIG for $263K.

I am quite distressed that in light of IVGID's new "push for open-ness and transparency" that this proposal is suddenly "popped" onto the agenda.

Also, while there is a synopsis ofthe work that MIG is doing, their actual contract is not shown in the "packet".

Question......

Is that MIG contract available for public review?

In light of the large amount involved in the contract and the fact that: 1. there is no contract for the public to inspect. 2. That we have a "lame duck" board with only two meeting till the new board is installed. 3. That this is only been brought to my attention today. (I did not see it on the IVGID web site last week)

It seems that any attempt to talk about engaging the public in the discussion of the DPMP, or any attempt to talk about open-ness and transparency in light ofthis sudden revelation, is disingenuous.

The MIG proposal says: MIG will review the client's website and make suggestions for how to promote the project and invite public participation.

My opposition to Phase one of the DPMP is well known. I want the plan discussed in the community NOT PROMOTED! We have a well paid and educated IVGID staff that could do any task mentioned in the MIG synopsis. If we need more help, hire that help at rates below $100-150/hr that we have to pay these "consultants".

145 Herron, Susan

From: Margaret Martini [[email protected] Sent: Monday, November 10, 20143:35 PM To: Herron, Susan Subject: Agenda item 4-h

11-10-2014 Hi Susan, I did not see a copy of the contract that is proposed to be approved and signed by Mr. Pinkerton in the board packet. Was it omitted for any specific reason? Please send me a copy of it today or tomorrow so that I can review it before the board meeting. Or is it posted on line anywhere so that anyone can review? There is much conversation and emails about this proposed expenditure and I have been asked if I have seen the contract. Sorry, I assumed it would be in the board packet or I would have requested a copy earlier.

When exactly did Mr. Pinkerton request a contract and when did he receive it? I really would like an answer to this as it is an agenda item and proposed to be accepted on Wed!!!

This is very disconcerting to me as it shows an utter lack of transparency! Transparency was promised when he was hired esp in financial affairs.

Thanks, Margaret

146 Herron, Susan

From: Reinhild Moeller [[email protected]] Sent: Sunday, November 09, 20144:06 PM To: Herron, Susan Subject: BULK

Importance: Low

Ms. Heron

Please fOlWard this email to all of the rVGID trustees and Gen. Mgr. Pinkerton before the Wed meeting of IVGID.

Also please add this email to the minutes of the meeting.

I would like to oppose the proposal to spend $ 263,647.00 as stated on H-4 of the agenda for the meeting of November 12, 2014.

] am also opposing spending any funds on the Diamond Peak master plan until after the new board takes office.

Thank you,

Reinhil Moeller

Sen! via the Sm:l5ung Gala 'Y S'" Ill. Ai &1' 4(J [ r F smartp""nc

147 Herron, Susan

From: Dick Warren[[email protected]] Sent: Tuesday, November 04, 20143:11 PM To: Herron, Susan Subject: Diamond Peak Master Plan

Dear Ms. Susan Herron,

This letter is addressed to the IVGID Board of Trustees and should be distributed to each Trustee and included in the next BOT meeting packet.

Thank you for your assistance in this matter.

Dick Warren

> > »My name is Dick Warren, and I am an owner (along with my wife Mary) of a condo in Incline Village, at 947 Incline Way, Incline Village, NV, Unit #185. Our telephone number in Incline Village is 775831 0109. Our primary residence is 2449 Funston Avenue, San Francisco, CA 94116, telephone number 4157314369. » » I am opposed to the Diamond Peak Master Plan for the following reasons: » »To finance Phase I of the Master Plan calls for the issuance of a $4,000,000 General Obligation Bond over 10 years. Have the taxpayers been informed of the cost of the repayment of interest and principal for these bonds? The taxpayers pay for the bonds, should they not understand the cost of what they are paying for before it occurs? » »On September 10, 2014, the IVGID Trustees approved Phase I of the Diamond Peak Master Plan; however, the resolution did not address the evaluation or implementation of Phases 2, 3, or 4. More importantly, it purposely omits community acceptance. Why would the Trustees ignore community acceptance? » »Why have not the residents ofIncline Village/Crystal Bay been consulted before pursuing Phase I of the Master Plan? Phase I of the Master Plan calls for the issuance of bonds to fund every other Phase, so why don't we find out if the folks that are going to pay for the debt obligation agree with the purpose of the debt? » » The individuals, or organizations, pursuing this scheme do not want to include the folks that will have to pay for it. Does that seem fair, or sensible? In other words, why are they trying to push forward something that the folks that will pay for it do not understand, or agree with? » »Based on everything I know to date, I say no to moving forward with this. > >

148 Herron. Susan

From: Eric Haskin [[email protected]] on behalf of [email protected] Sent: Wednesday, November 12, 20147:19 PM To: Herron, Susan Subject: Comments on Proposed Contract with MIG Attachments: 20141112 Haskin-to-IVGID.pdf

Susan:

The attached comments are addressed to the IVGID Board of Trustees. I request that they be distributed to each Trustee and included in the next BOT meeting packet. If there is a problem (e.g., you prefer another file format), please let me know.

Thank you, Eric Haskin

149 November 12, 2014

To the IVGID Board of Trustees:

I have been a full-time resident of Incline Village since August of 2005. I offer the comments below regarding District General Manager Steve Pinkerton's proposal to enter into a contract with MIG as documented on pages 50 through 67 of the Board Packet for the meeting originally scheduled for November 12, 2014.

I oppose Phase 1 of the SE Group's so-called Diamond Peak Master Plan because it fails to adequately or realistically address:

1. The need for local consensus regarding the appropriateness of various contemplated new activities and facilities at Diamond Peak. 2. The potential impact of such contemplated new activities and facilities on the large negative cash flow resulting from current Diamond Peak operations. (Excluding the recreation fee subsidy and adding expenses not properly allocated to Diamond Peak, I estimate the loss to a private owner operating in the same manner would easily exceed $2,OOO,OOO/yr).

In my opinion, IVGID did insufficient homework regarding Item 1 prior to sole-sourcing work to the SE Group. IVGID has continued this pattern by failing to organize (let alone respond to) local comments. Mr. Pinkerton's proposal would pass much of the still incomplete homework to an expanded set of out-of-state consultants.

I listened with hope to Mr. Pinkerton's idea of utilizing a local Steering Committee to flush out the pros and cons of the Diamond Peak Master Plan. My hope was dashed by Mr. Pinkerton's proposal to spend even more money on out-of-state consultants hired to "guide" the Steering Committee and to "educate" Incline Village & Crystal Bay residents. Perhaps Mr. Pinkerton believes Nevadans are incapable of guiding or educating themselves, or perhaps he believes hiring enough consultants will assure there are others to blame when things go wrong. What would be the financial impact of Mr. Pinkerton's proposal? Up to $267,000 more down a potential rat hole, and $200,000 of that would flow to California and Colorado not to our local economy.

The proposed scope of work does acknowledge a few of the concerns raised by residents; however, timing of the proposed work is unacceptable. Many part-time residents are out of town and will not return prior to the targeted May 31, 2015 completion date. Imagine, for example, how a part-time resident living near Diamond Peak in the summer months might feel about noise tests simulating an incline coaster being conducted in the winter.

Mr. Pinkerton's memorandum includes no formal Request for Quotation (RFQ), and no evidence of any serious attempt to find or solicit bids from local consultants. Two buzz-word filled paragraphs under BACKGROUND are completely inadequate to justify sole-sourcing to Moore lacofano & Goltsman (MIG) or the proposed out-of-state sub-consultants. Also, although it may exist, I did not find any certification that Board members and key IVGID employees lack affiliations with or financial interests in the proposed consulting firms.

Collectively, Incline Village and Crystal Bay residents have a wealth of experience, knowledge, intelligence and common sense. Rather than bring in additional out-of-state consultants, it's time to tap our local resources.

I voted for several of the current Board members based on their promises to be fiscally responsible. It would be nice to see them keep those promises by voting against the contract proposed by Mr. Pinkerton.

Eric Haskin, PO Box 6974, Incline Village NV 89450-5974

150 Herron, Susan

From: jeff gerwin [email protected]] Sent: Tuesday, November 11, 2014 11 :03 AM To: Herron, Susan Cc: Pinkerton, Steve J.; Claudia Gerwin Subject: Letter in Opposition to the DP Plan

Follow Up Flag: Follow up Flag Status: Completed

Dear Sarah:

Please be so kind as to forward this email to the Board ofTrustees.

Ladies and Gentlemen ofthe IVGID Board ofTrustees:

I am an Incline Village resident and property owner.

I am writing this letter in opposition to moving forward with any expenditure regarding the DP master plan. In my opinion, the proposals have not been adequately disseminated and horne owners have not had a proper say in the matter.

Incurring debt without our consent is not appropriate. Spending money on implementation plans before a substantial majority ofthe homeowners are on board is a deeply flawed process.

My own personal view is that it is improper in the extreme to ask Incline Village property owners to guarantee the debt to build what amounts to an amusement ride for Reno residents and other non-residents. Particularly without our overwhelming consent.

If IVGID were a private entity and wanted to build an amusement ride, then there would be no issue.

But that is not the case here. You are spending MY money and incurring debt that I will have to pay back. You should ask the parcel owners first for our consent before moving forward on such a large project. It is the only proper thing to do.

Sincerely,

Jeffrey A. Gerwin

151 Herron. Susan

From: Herron, Susan Sent: Monday, November 10,20141:00 PM To: '[email protected]' Cc: Wolfe, Joseph; Simonian, Bruce E.; Smith, Jim; Hammerel, Jim; Devine, Bill; Pinkerton, Steve J.; [email protected]; [email protected] Subject: RE: November 12, 2014 BOT Meeting - Agenda Item H(4) - Follow Up - Request for Proposed MIG Contract

Aaron,

I would like to make the following clarifying statements regarding your records requests so that it is dear to the new recipients what has actually occurred:

Your request for Mr. Brooke's October statement (and only Mr. Brooke's October statement) was in an e-mail request dated 11/4 which was when I was out of vacation thus I answered it this morning as I was working on the older of your multiple requests first. The request for the MIG contract and subsequent SE Group invoices came in on Sunday, 11/9 so Ijust received it this morning (11/10) and I will respond within the 5 required business days.

Your remaining comments stand as received at 12:48 p.m. today.

Susan A. Herron, CMC Executive Assistant/Clerk to the Board of Trustees Incline Village General Improvement District 893 Southwood Boulevard, Incline Village, NV 89451 P: 775-832-1207 F: 775-832-1122 M: 775-846-6158 [email protected] http://ivgid.org

From: [email protected] [mailto:[email protected]] Sent: Monday, November 10, 2014 12:48 PM To: Herron, Susan

Cc: Wolfe, Joseph; Simonian, Bruce E.; Smith, Jim; Hammerel, Jim; Devine, Bill; Pinkertonl Steve J.; Pinkerton, Steve J.; [email protected]; [email protected] Subject: November 121 2014 BOT Meeting - Agenda Item H(4) - Follow Up - Request for Proposed MIG Contract

Hello Susan ­

On November 7,2014 I sent you the e-mail below asking to examine a copy of Mr. Brooke's October 2014 billing statement to IVGID, as well as the proposed contract with MIG (and NOT its "proposed scope of work") the subject of agenda item H(4) of this Wednesday's BOT meeting.

Although this morning you were kind enough to send me a copy of Mr. Brooke's billing, you said nothing re my request for the proposed MIG contract. Will that contract be forthcoming and if so when given the public hearing as to whether or not to enter into that contract is set for Wednesday evening?

As you know the staff memorandum in support of this agenda item asks the Board to "authorize the General Manager to EXECUTED CONTRACT DOCUMENTS (with MIG) at a cost not to exceed $263,647," yet nowhere have those "documents" been provided for examination prior to taking the action our GM has requested. I have been a critic in the past, and I am a critic today, of the Board approving entrance into any written contract where the proposed contract is not furnished for review and approval prior to taking formal action. 152 So where is the contract?

I am sending a copy of this e-mail to the Board and our newly elected trustees asking the Board defer action on this agenda item until staff presents for its and the public's review, comment and approval of MIG's proposed contract. I hope I don't have to remind the Board that when similar approval was sought for the SE Group DPMP contract, over my objection the actual contract was not produced. When it was eventually produced, you will recall it called for a "fixed fee" of $111 K. Nevertheless when everything was said and done, the cost ended up being well in excess of $150K! Do we have to go through this mistake again? Or can we be more professional asking that before consent is sought to enter into a written contract, the proposed contract itself be produced for examination?

Thank you for your cooperation.

Aaron

----Original Message---­ From: [email protected] Sent: Nov 7, 2014 1 :32 PM To: "Herron,Susan" Subject: Re: Two Agendas from IVGID for November 12,2014 - Both Meetings will be held at the Chateau: 5 pm Audit Committee and 6 p.m. Regular BOT Meeting Thank you Susan ­

I would like to examine a copy of the proposed contract with MIG that is the subject of agenda item H4.

I also remind you that I wanted to examine Scptt Brooke's most recent billing for October, 2014. Given his bills close out at the 31 st day of the month (October) and are sent to IVGID via e-mail, I suspect you already have the billing.

I am out of town so I can't yet examine the Board packet.

However I see you've prepared the minutes for the September 10, 2014 meeting. I saw your preliminary preparation shared with Linda Newman where rather than setting for the substance of the comments of each speaker relative to the DP Master Plan Update, you merely kept score as to who was in favor, against, and neutral.

If this is how your proposed minutes submitted for approval read, we're going to have a problem.

I specifically asked at the beginning of the meeting that the comments of each speaker be included in the minutes. Not a scorecard based upon someone's subjective opinion. The failure to include the substance of the comments of each speaker, when they have been requested, represents an Open Meeting Law violation. So if you haven't included substantive comments, I ask that you go back and prepare them prior to the meeting, for review by members of the public.

Thank you for your cooperation.

Aaron ----Original Message----­ From: "Herron, Susan" Sent: Nov 7,20148:21 AM To: "Herron, Susan" Subject: Two Agendas from IVGID for November 12,2014 - Both Meetings will be held at the Chateau: 5 pm Audit Committee and 6 p.m. Regular BOT Meeting

Have a wonderful Friday!

Susan A. Herron, CMC Executive Assistant/Clerk to the Board of Trustees Incline Village General Improvement District 153 893 Southwood Boulevard, Incline Village, NV 89451 P: 775-832-1207 F: 775-832-1122 M: 775-846-6158 [email protected] http:Uivgid.org

154 Herron. Susan

From: Herron, Susan Sent: Thursday, November 13,20143:00 PM To: '[email protected]' Cc: [email protected]; [email protected]; Wolfe, Joseph; Simonian, Bruce E.; Smith, Jim; Hammerel, Jim; Devine, Bill Subject: RE: Proposed Minutes of the IVGID Board's Sept. 10,2014 Meeting

Aaron,

As you have been advised previously when you have made this same complaint, and done so on numerous occasions, the minutes of the meeting are a summation of the actions at the meeting. They stand, as submitted, and if it is the Board's desire to revise them, they are free to do so at the meeting in which they will be considered.

Susan A. Herron, CMC Executive Assistant/Clerk to the Board of Trustees Incline Village General Improvement District 893 Southwood Boulevard, Incline Village, NV 89451 P: 775-832-1207 F: 775-832-1122 M: 775-846-6158 [email protected] http://ivgid.org

-----Original Message----­ From: [email protected] [mailto:[email protected]] Sent: Monday, November 10, 2014 1:09 PM To: Herron, Susan Cc: [email protected] [email protected]; Wolfe, Joseph; Simonian, Bruce E.; Smith, Jim; Hammerel, Jim; Devine, Bill Subject: Proposed Minutes of the IVGID Board's Sept. 10, 2014 Meeting

Hello Susan ­

As you will recall, at the Board's Sept. 10, 2014 meeting I made request, on the record, that the comments of all speakers providing public comment on the Board's proposed "re~eipt" of the Diamond Peak Master Plan Update (lithe DPMP"), be recited verbatim in the written minutes to be prepared of that meeting.

I have now examined your proposed minutes of that meeting, most particularly at pages 73-74 of the Board packet, and note that you HAVEN'T provided those comments. Rather, you have characterized those comments as being in favor, against and neutral to the motion.

This is not what I requested.

As I have shared with you before, and now do so again for the Board's benefit, NRS 241.035(1) states that,

"Each public body shall keep written minutes of each of its meetings, including:(a) The date, time and place of the meeting. (b) Those members of the public body who were present, whether in person or by means of electronic communication, and those who were absent. (c) The substance of all matters proposed, discussed or decided and, at the request of any member, a 155 record of each member's vote on any matter decided by vote. (d) The substance of remarks made by any member of the general public who addresses the public body if the member of the general public requests that the minutes reflect those remarks or, if the member of the general public has prepared written remarks, a copy of the prepared remarks if the member of the general public submits a copy for inclusion."

Given I requested that the minutes reflect the substance of the remarks made by all members of the public (including myself) relative to the motion to receive the DPMP, in my opinnion they should be included in the formal written minutes of the meeting. Given they have not been included in your proposed minutes, I am asking you to correct your proposed minutes ahead of time to include them.

And assuming you don't, I am sending a copy of this e-mail to each member of the Board asking they NOT vote to approve the minutes of this meeting until they are corrected to reflect the substance of all comments made by all members of the public on the motion to receive the DPMP. let me remind the Board that if it refuses to do as I ask and I file an Open Meeting law complaint, one of the consequences will be that all action taken in violation this provision will be void [see NRS 241.036].

Why subject the Board and the public to this unnecessary expense and duplicative action when the proposed violation can be so easily remedied?

Please correct the proposed minutes and provide me with a copy prior to Wednesday's Board meeting so I can confirm they are now in compliance with my request.

Thank you for your cooperation. Aaron

156 Herron. Susan

From: [email protected] Sent: Tuesday, November 11,20147:58 AM To: Wolfe, Joseph Cc: Simonian, Bruce E.; Smith, Jim; Hammerel, Jim; Devine, Bill; Pinkerton, Steve J.; Pinkerton, Steve J.; [email protected]; Wong Kendra; Herron, Susan Subject: How Did We Let Public Salaries and Benefits Become What They Are in Incline Village?

I read with interest this article in the Bonanza: http://www.tahoedailytribune.com/northshore/13744441-113/public-package-money-salary. I suggest you do also if you haven't already.

When you let the wolf rule the chicken's nest, this is exactly what you get. And it describes IVGID to a itT."

You want to know some of the things you can do to fix IVGID? I suggest listening to the author of this article as a starter. I have been informed that the Director of Parks and Recreation for the County of Douglas is paid somewhere in the $50K range. Hal Paris is paid more than twice this amount. And this doesn't even take into consideration the cost of his lavish benefits. And unlike Douglas County, we're not even a general government.

And here's something additional I have been asking for several years which staff has refused to disclose: the bonuses they unilaterally award to our IVGID employees. How is it that salaries are public records and the bonus portions thereof are not? What is it that staff has to hide? What happened to transparency in our financial affairs? And why exactly do PUBLIC employees expect bonuses in addition to their public salaries for doing nothing more than their public jobs? If the reason they are working for us is the expectation of a bonus, then my suggestion is that they find a private sector employer who awards bonuses.

And what exactly have any of our employees done to deserve a bonus? Budgeting for a nearly $7M annual loss and managing to only incur a $6M loss? And then what happens to the savings? They're awarded to our employees in the form of secret bonuses.

The Board is charged with the duty to fix the compensation of our public employees [see NRS 318.185]. When did any of you even suggest fulfilling your duty on this issue? When did you even ask what bonuses are meted out to our public employees? When did you share this information with the public? When did you direct staff to make this information public after I asked you to do so after I was stonewalled in my request for examination of these public records?

WHEN DID YOU FULFILL YOUR FIDUCIARY DUTIES OWED TO THE PUBLIC (and yes, this is one of those duties)?

After reading the referenced article, I ask that at least one of you ask for an agenda item whereby the Board adopts a policy which PROHIBITS IVGID management from awarding ANY employee ANY bonus unless explicitly approved by the Board. Some of you may call this "micro­ managing." I call it fulfilling your fiduciary duties owed to we parcel owners who are involuntarily financing everything you do.

Respectfully, Aaron Katz

157 11~13-2014

To: IVGID Board From: David and Lynne Briscoe RE: MIG Contract and proposed Diamond Peak expansion

Dear IVGID Board,

Please consider our strong opposition to the proposed Diamond Peak expansion plans/ feasibility study, and MIG contract.

We feel no additional debt and expenses should be incurred by the District for these items.

IVGID should do more to benefit and include residents in district recreation venues and should listen to their concerns and wishes.

As always, our experience with IVGID employees has been favorable.

Thank you,

David and Lynne Briscoe 592 lariat Circle Incline Village, NV 89451 775-832-2282

158 November 15, 2014 TO: IVGID BOARD OF TRUSTEES RE: PROPOSED DIAMOND PEAK MASTER PLAN

Dear Trustees, Having already expressed my opposition to the proposed Diamond Peak Master Plan by letter, (8/26/14), to the IVGID Trustees, and the Bonanza Newspaper, (10/2/14), I can only suggest that a vote for/against this future project and expenditure be taken by all property owners. Youlll never reach all property owners any other way, or act in fairness to those footing the bill. A simple letter of explanation and returnable ballot by mail or e-mail, would do it. Please spend a few minutes and dollars to attempt to get the full voice of the community in this matter.

Sincerely, \,•./- 1) A)Lc--t_"'~1 «. .{/f.JtC L--"l'-../ Doris L. Spain' P.O. Box 5678 Incline Village NV. 89450 775-831-8815

159 IVGID BOARD MEETING - NOVEMBER 19, 2014 COMMENTS BY CLIFFORD F. DOBLER general comments

ITEM 1 The Board by approving the Multi yearCapital Plan has effectively approved the Phase 1 and Phase 2 expansion at Diamond Peak

Improvement costs for phase 1 and 2 are included in the Multi Year Capital Plan

Criteria for inclusion in Multi Year Capital Plan- See Project Criteria on page 144 of the capital plan (attached) DEFINED PLANNED JUSTIFIED SCHEDULED FUNDED (Think set aside or restricted cash for sewer pipeline) DESIGNED OR SPECIFIED

~ o~ decided to pass off to a Steering Committee a review of the expansion plans to avoid a vote on an approval already made Steering Committee Engaged to review the Diamond Peak Master Plan and report back to Board of Trustees SE Group Assumptions on page 54 (Master Plan August 2014) are assumptions from Proprietary data base SE Group hired to provide the best guess estimates based on Proprietary data base Members of Steering Committee do not have such knowledge Can only debate assumptions of the future costs, revenues and expenses Debate will be attempting to find the "answers to the future" Howmany? What percentage? How big, how small ? What rates to charge for usage? ECT, ECT, ECT' Unknown criteria for selection of members to the committee Power Control through MIG contract

TRUSTEES ARE DUCKING A VOTE AND SEEKING COVER ON A CONTESTED PROJECT BY SPENDING UNECESSARY CAPITAL with MGI ITEM 2 The Big Picture Based on the budget - past two years actual and current year budget 2013 2014 2015 Revenues excluding capital grants and borrowed funds 34,152,000 34,760,000 36,256,000 Operating Expenses (24,739,000) (25,697,000) (27,518,000) Net Operating 9,413,000 9,063,000 8,738,000

Debt Service (3,283,000) (2,657,000) (2,669,000)

Excess cash flow 6,130,000 6,406,000 6,069,000

Capital Improvements (9,967,000) (5,156,000) (8,089,000)

Net Cash Flow (3/837,000) 1,250/000 (2,020,000)

Grant funding RECEIVED to offset negative cash flow 3,148,000 825,000 150,000 ...a. en ...a. Capital available Approximately $6,000,000 per year

Multiyear Capital Plan (AS APPROVED) 2014·2015 8,088,000 2015-2016 9,841,000 2016·2017 10,116,000 2017·2018 11,023,000 2018·2019 13,419,000 52,487,000 Estimated cash shortage net of excess cash flow WHICH MUST BE BORROWED 22,487/000

Four Main Capital Projects Sewer output pipeline Funded by funds set aside by additional sewer fees 23,000,000 Beach Rehab To be proposed in Spring 2015 no information Mountain Golf Course Scheduled in Capital Budget in 2019 2,350,000

Diamond Peak Expansion Phase 1 scheduled in 2015 to 2017 4,250,000 Phase 2 2017 to 2019 6,450,000 Item 3 Obtain a vote from the recreational pass holders for the main three capital improvement projects - 5 year plan Community members get a crack at input WITH AN ABSOLUTE YES OR NO VOTE ONE PAGE FACT SHEET WITH PROS AND CONS ­ Avoids waste of time, waste of money and and will avoid descent and misinformation WITHIN the community

Dobler commitment of $25,000 if matched by IVGID to conduct the vote.

Item4 Public Debate on any issue - I would like to have one with General Manager restricted or set aside funds carry forward of capital improves what a capital cost is and what an expense is ..... establishment of reserves en deferred maintenance IV ItemS There is no rush TO IMPROVE OR "ENHANCE" the three recreational venues year of the MYCP. Ongoing projects. budgeted in previous capital plans. and identified as carryover pro­ jects. are not repeated in the current MYCP. They are presented in a separate schedule.

How the Capital Process Works

The CPC oversees the MYCP process and consists of key District staff members that review each pro­ posed capital data sheet. Though managing the capital process is on-going, each year's capital process officially begins in October and ends with the adoption of the Fiscal Year Capital Budget in Mayas re­ quired by the Nevada Revised Statutes (NRS). Since the CPC is an ongoing committee. capital project data sheets can be submitted to the CPC throughout the year. which allows more accurate cost analysis on each project. At the start of the process. the departments are required to prepare and submit re­ quests for both the upcoming budget year and items for the MYCP. Requests at a minimum should con­ sider the 5 Year Summary as required by the NRS.

Input from the Board of Trustees is valuable for setting the tone for capital planning. In November 2010 the Board requested a review of the scheduling of projects to minimize the need for changes in the sup­ porting Facility Fee. This was affirmed by the Board of Trustees each year since. where this process adopted the term "smoothing". Considerable effort has gone into reviewing the scheduling for projects. with a goal of maintaining the current Facility Fee levels over the coming 5 years.

The CPC meets with each department manager or capital projects mangers to evaluate and prioritize departmental requests within the funding level provided by the Finance and Accounting Department. Once the CPC team has met with all the departments, information is shared with the Board of Trustees during budget work sessions. The MYCP will go through several iterations before being brought back to the Board of Trustees. The following outlines the key timeframes for the MYCP:

October - review existing projects and set planning for next MYCP November - Capital project data sheets are released for updating and for submittal of new capital data sheet(s). Information about the direction of the MYCP and related factors are shared at the Board Annual Retreat. December - complete submission or updates of capital data sheets January - review all capital data sheets. meets with department and division managers or capital pro­ ject managers. review scope of the project. prioritize projects. determines funding, and compiles the first draft of the MYCP February - identify Fiscal Year Capital Budget and 5 Year Summary projects to Board of Trustees through agenda items or work sessions March or April- reach agreement with the Board of Trustees on the first year of MYCP to be adopted in May May - Adopt the Fiscal Year Capital Bud et and 5 Year Summary

A project is established within the Multi Year Capital Plan when it has met these criteria (as appropriate to the nature of the project): Defined Planned Justified Scheduled Funded Designed or Specified 163 Herron, Susan

From: Mike Stone [[email protected]] Sent: Tuesday, November 11, 2014 11 :27 AM To: Herron, Susan Cc: Mike Stone Subject: Diamond Peak Master Plan

Follow Up Flag: Follow up Flag Status: Completed

Susan Herron:

This Letter is addressed to the IVGID Board ofTrustees and should be distributed to each Trustee and included in the next BOT meeting packet.

Based upon the information available to me at this time I am totally opposed to the implementation of Phase 1 ofthe DPMP, as well as any new expenditure to MIG for contract services.

Whatever demonstrable need there may be for increased revenue to support IVGID, I do not believe this is a good long term solution to those problems. I realize there are significant local business interests that support this initiative, and it is this group whom the DPMP may ultimately benefit, not the average Incline Village homeowner. The basic idea is to have all tax-paying homeowners pick up both the risks and the cost for trying to expand the clientele for certain businesses by creating a four season destination resort on our own property. This is a costly and risky adventure which even if successful financially for some poses considerable downside to the status quo for others.

The quality of life is chief among the reasons many of us have chosen the area as a place to live. This is an area which is NOT a four season carnival attraction or a Mecca for Tourist activity in the Village itself. As a retirement destination versus tourist destination Incline attracts a variety of relatively affluent nature loving residents, and is likely to continue to so on an ever increasing basis as "Baby-boomers" look for an attractive active retirement community. The residents themselves are a resource which increasingly can support this community and its needs.

As a local ski resort Diamond Peak serves the home-owners in Incline well. I am sure most of them are willing to support improvements to the ski resort insure its continued operation. It should not be used as a bargaining chip to promote business development. There is enough ofthat going on around the Lake as it stands. I have been coming to Tahoe since the 1940's, and the Incline Village area is one of the few that retains the unspoiled character of that era to some degree. It is one of the few in which I would choose to live in the Tahoe Basin, and I am sure many others feel as I do, precisely because ofthe lack of extensive commercial development. Let's not spoil it.

I hope you will consider these comments and those of others who feel as I do regarding the proposed development, bearing in mind your responsibility to act in the best interests of home-owners, and not as facilitators for the development of IVGID property for certain groups with business aspirations.

Michael Stone

164 1000 Apollo Way Incline Village

165 Herron, Susan

From: Ramona Bigelow [[email protected]] Sent: Tuesday, November 11. 2014 1 :29 PM To: Herron, Susan Subject: MIG expenditure

I understand the board is to vote on a $263,000 + contract to consult on whether we should or should not go forward. with the Diamond Peak Master plan. I also understand that the steering committee which Mr. Pinkerton has appointed will be working with MIG. I thought the purpose of the steering committee was to get the temperature of citizens to see whether we should go forward or not. Now we are to throw more money at this before the committee has had an opportunity to do its work? I remain opposed to the master plan as it has been outlined and I am opposed to additional funds being spent to try to convince us that this is a fiscally sound proposition. I also feel that the new board should be taking this up not the current board, Thank you. .... BAN~C

SRECT REAL ESTATE

: h './ ! V r

www.RamonaBigelow.com

775-8311515 Office 800-998-4996 Toll free 775-772-2505 Cell 775-737-7723 E- Fax 931 Tahoe Blvd Ste.1A Incline Village, Nv, 89451

166 Herron, Susan

From: Ric Steinberger [[email protected]] Sent: Wednesday, November 12, 20144:20 PM To: Herron, Susan Cc: Pinkerton, Steve J. Subject: BULK Diamond Peak Master Plan

Importance: Low

Please distribute to all of the IVGID Board of Trustees:

Dear IVGID Board members: My name is Ric Steinberger. I've lived in Incline full time for almost a decade and part-time for several years before that. I've taught skiing at Diamond Peak, Mt. Rose and Northstar.

I want to urge you in the strongest possible terms: Please do not invest any IVGID funds in any DP Master Plan actions that are designed to draw tourists in the summer. I've visited Squaw Valley, Northstar and Heavenly in the summer and they are almost completely empty. Squaw has a pool and hiking trails. Heavenly has a zip line. Northstar has golf, hiking and biking. With all of those activities, these resorts, all much larger than Diamond Peak, draw very few summer visitors.

People visit in Lake Tahoe in the summer to go to beaches, for boating, kayaking, standup boarding, and some hiking and biking. They rarely go to ski resorts to hike, or swim, or use zip lines. It's a fantasy fueled by outside consultants to believe that IVGID can make money during the summer by drawing people to Diamond Peak. Money available for summer investments should be focused on golf, tennis, biking, hiking and most of all, lake related activities.

I strongly oppose spending any IVGID funds on anything related to trying to attract tourists to Diamond Peak in the summer. Please consider my views when discussing Diamond Peak. Thank you.

Best

Ric Ste ricst .ne"­

H +1 775.832.8026 M +1 650.302.4322 F +1 206.350.6802

(8 ricsteinberger d: F5BBA27838FF506B

167 Herron. Susan

From: [email protected] Sent: Wednesday, November 12, 201410:20 AM To: Herron, Susan Subject: MIG plan

I have owned in Incline since 1987 and lived here full time since 2001. This is the biggest waste of my money I have ever seen. This little town can not support the influx of people this would generate. Have you seen the results of the visitors on 4th of July? The amount of trash and congestion these visitors cause is crazy.

The information contained in this communication is confidential and intended only for the use of the recipient named above, and may be legally privileged and exempt from disclosure under applicable law. If the reader of this message is not the intended recipient, you are hereby notified that any dissemination, distribution or copying of this communication is strictly prohibited. If you have received this communication in error, please resend it to the sender and delete the original message and copy of it from your computer system. Opinions, conclusions and other information in this message that do not relate to our official business should be understood as neither given nor endorsed by the company.

168 Herron, Susan

From: Schmenk, Dianne [[email protected]] Sent: Tuesday, November 11, 20144:09 PM To: Herron, Susan Subject: New Proposed Contract with MIG

Susan,

Please distribute to each of the trustees, and include in the board packet. Thank you.

Dear Trustees,

Why has this new proposal been so "under the radar"? IV residents are still digesting the Disneyland Diamond Peak Proposal. Why the rush to push yet another large expenditure and throw more/our money at a flawed DP proposal?

I am opposed to this new proposal on the same grounds as the DP proposal. These singularly promoted IVGID proposals only serve to alienate those residents who will potentially be footing the bill. It's all about the money. It is not about what is best for the community, the environment or the future. This is not good leadership or good governance.

There is an elephant in the room. But this issue doesn't have a prayer of generating revenue so is why it has been ignored ... The DP base should be addressed first and foremost. It DOES NOT work and has been allowed to grow without an intelligent and updated evaluation of the setting in which DP exists. DP is surrounded by several older, established residential neighborhoods. There is basically only one road in and one road out. There is no visibly marked fire lane and no evacuation plan was mentioned in the DP proposal. There are residents, visitors, vehicle parkers, busses, shuttles, trams, commercial vehicles, bicycles and hikers all competing for the same 2-lane thru road - depending on the season. During heavy use days there are people wandering out into traffic who are unaware there is a thru road hidden within the parking areas.

Please, I implore all of you to slow down the current process, to work together to build a sound consensus with the residents, the new trustees and the new Steering Committee. Don't rely solely on consultants who are hired to create proposals but who are not deeply vested in the communities their proposals are intended to impact. Each will be long gone if/when their proposal is done and paid for.

Dianne Schmenk Tyrolian Village

169 Herron, Susan

From: Tim Slater [[email protected]] Sent: Wednesday, November 12,20141 :58 PM To: Herron, Susan Subject: November 19th, 2014 meeting, agenda item H(4) - Message for the Board of Trustees

Dear Ms. Herron;

I'm v\lriting in reference to the upcoming November 19th, 2014 meeting, agenda item H(4) and ask that you forward this communication to the Board ofTmstees to assist them in making their decision concerning the Diamond Peak Master Plan Update.

I \\lrite to express strong opposition to the proposed summer time improvements in the Diamond Peak Master Plan Update. I am against having these improvements paid for either directly or indirectly with my rec fees.

Reading the memo concerning this matter was shocking to me as an area resident and property owner. As I read the memo drafted by Steve Pinkerton, it is clear to me that the proposal is to hire a propaganda firm to sell an idea to area residents. Surely the Board of Trustees must acknowledge that this presents a major ethical dilemma, and their approval of this request would be an extreme disservice to the public. If the Diamond Peak Master Plan Update has any validity or presents any substantive benefit to the public, then the public will recognize that value and support the initiative. The fact that the General Manager and the Board seem to feel that a propaganda firm needs to be involved to sell the idea to the local residents and taxpayers is an open admission that there is no benefit to the Master Plan Update. I urge the Trustees to think and act as responsible politicians and truly serve the public, rather than treat the public as a target for an ill-conceived propaganda campaign. I additionally decry the incredible expense of this particular contract, especially considering how little is proposed for deliverables by the firm to be hired, and suggest that at a minimum there should be two more firms solicited for competing quotes to accomplish the same work. The fact that the General Manager is too lazy to reach out for more competitive quotes and feels the need to hide behind NRS 332.115 (page 52, Item III) is no excuse to not use the public's money wisely. I additionally point out that lack of detail and professionalism in the description ofthe effort to be undertaken by the propaganda firm - "interviewing stakeholders" (page 55, Task 2.1) is, for instance, nothing but boilerplate management garbage which frankly means that MIG will sit down with the friends of the General Manager for cocktails and cigars and a chat about how to "put some lipstick on this pig" to sell it. What a disappointment. Finally, the entire project concept for MIG is flawed, seriously flawed, as it assumes from the beginning that the Diamond Peak Master Plan Update is valid and needs to be foisted on an unsuspecting public via a commercially-driven propaganda campaign. Every sentence ofthe proposal contains a built in assumption that the Master Plan needs to be implemented, and the only objective here is to find a way to grease it down the public's throat by offering the public the illusion that they are being involved in the decision in some way, without being told that the decisions have already been made and that their input will never do anything but line the trash can of the General Manager. What a disappointment. This view is supported by the lack of effort put into looking at alternate approaches (Page 53, section VI ALTERNATIVES): "Not approving the Staffs recommendation... could impact Diamond Peak's ability to stay competitive in the market place." Wow, that's some good investigation of alternatives right there. What a joke. The time-honored approach of mid level bureaucrats since the Roman Empire - "well, the Staff already has the best plan right here, so there's no reason to do anything else. And we know best!" I've seen similar statements for decades, and honestly I've never actually seen that plans presented by professional bureaucrats are even adequate, let alone the best that can be had. If the Trustees truly wish to serve the public, rather than rubberstamp the General Manager's secretively conceived plans to waste taxpayer funds, they should have involved the public from the very beginning and asked the public what they really think should happen. A simple postcard campaign to every local address would have achieved this for less than one tenth of what is being proposed here. The arrogance and deceit of this approach are so disheartening from the perspective of a taxpayer.

I have little faith in the ability ofthe General Manager or the Board ofTrustees to make good decisions or to act in the best interests of the public, based on what I have seen happen in the last eight years that I've owned property in Incline Village and Crystal Bay. I urge you to start changing my low opinion of the Board, beginning with a decision against engaging MIG in the proposed propaganda campaign.

Thank you, Tim Slater 22 Somers Drive, Crystal Bay NV

170 Ronald C. Young 1020 Saturn Court P.O. Box 8210 Incline Village, NV 89450-8210 (775) 831-4400

December 1, 2014

IVGID Board Incline Village General Improvement District 893 Southwood Blvd Incline village, NV 89451

Dear IVGID Board:

In 2008 the Incline Lake Corporation divided their land into a 777 acre parcel which they sold to the Forest Service and a 5 acre parcel which they sold to the Incline Village General Improvement District. Rather than sell to a developer, they wanted to see the land used for public recreation. The 5 acre parcel purchased by IVGID was set aside to allow construction of parking and other facilities for recreational use, including cross country skiing.

Funding for the Forest Service's purchase came from the Southern Nevada Public Land Management Act, authored by our Nevada senator. In this bill public land was sold adjacent to Las Vegas to provide the funds for the Forest Service to purchase the Incline Lake property. Funding for IVGID's purchase came 25% from IVGID and 75% from Nevada State Lands.

The understanding at the time was that IVGID and the Forest Service would work as a team to create facilities that would provide a unique recreational opportunity. However the Forest Service has proceeded to develop plans without documented input from IVGID that would permanently remove Incline Lake from the Incline Lake property along with all human disturbance footprints.

In their Incline Lake Dam Project Environmental Assessment http://www.fs.usda.gov/Internet/FSE DOCUMENTS/stelprd3815336.pdf and their Draft Decision Notice http://www.fs.usda.govlInternet/FSE DOCUMENTS/stelprd3815338.pdf they consider 3 options for the 18-20 acre lake area:

1. No action 2. Completely remove dam and all human disturbance footprint 171 3. Reconstruct the dam and restore Incline Lake

One of their arguments for not selecting option 3 is that it would significantly increase human traffic in the area and there are no facilities (parking, restrooms, etc.) available. Providing those facilities is exactly why the 5 acres were set aside during the purchase for IVGID ownership. Other than showing the 5 acre IVGID parcel as "Incline Village GID" on their maps, no mention is made of IVGID being involved in this process.

The Forest Service has made the decision to deal with the dam first, before planning public access and recreational uses for the area.

While the Forest Service appears to have met their legal requirement for public notification by publication in the Bonanza and RGJ, including a meeting held at the IVGID board room on Monday, July 8, 2013 (See Appendix E), I do not believe Incline or Reno residents are aware of the Forest Service plans to permanently remove Incline Lake from the Incline Lake property. This is evident by receiving only 20 responses during the objection period, including none from IVGID. Almost all of the responses they received supported keeping Incline Lake, including the Nevada Division of Wildlife.

On December 4, 2014 Deputy Regional Forester Ron Ketter is expected to make a decision on the dam and Incline Lake. That decision would be their option 2, to permanently remove the dam and Incline Lake. This decision differs significantly from what was proposed when the Forest Service and IVGID purchased their parcels.

I am requesting tllat IVGID get involved in this process before the final decision is made. The Forest Service may be contacted at either of their locations:

United States Department of Agriculture Forest Service Pacific Southwest Region 1323 Club Drive Vallejo, CA 94592 707-562-9004 or -9014 (publlc affairs) Ronald Ketter, Deputy Regional Forester for Operations 707-562-8737 Randy Moore, Regional Forester: Incline Lake Dam Project

Lake Tahoe Basin Management Unit (LTBMU) 35 College Drive South Lake Tahoe, CA 96150 530-543-2600 Nancy Gibson, Forest Supervisor

172 In addition, if required, our Senator(s) may want to get involved since the plan currently being considered by the Forest Service does not meet the intent or the Southern Nevada Public Land Management Act.

Finally I could not find any mention of the 5 acres in the Diamond Peak Master Plan. Since cross country skiing is no longer available at Spooner there is a need that is currently not being met.

Following is some background information from Forest Service publications and news paper articles.

BACKGROUND The 5 acres is mentioned on the IVGID WEB site at http://www.yourtahoeplace.com/ivgid/about-ivgid/history-of-ivgid which includes

"In September 2008, the District added to its real estate holdings with the purchase of five acres near Incline Lake."

Attached are newspaper and Forest Service articles on the Incline Lake property which describe some of its history.

APPENDIX A March 8, 2005 PI.lblic Agencies Could Acquire Incline Lake Property

APPENDIX B Land Swap for Incline Lake

APPENDIX C IVGID to decide on Incline Lake March 24/ 2006

APPENDIX D Incline Lake: IVGID 5 acres on the backburner July 13/ 2009

APPENDIX E Forest Service releases proposal to address Incline Lake Dam June 14/ 2013

APPENDIX F Forest Service might not refill Incline Lake after all June 18, 2013

173 APPENDIX G Forest Service opts to restore wetlands, remove Incline Lake Dam

APPENDIX H State makes last-ditch push to save Incline Lake November 14, 2014

APPENDIX I Feds urged to reverse Incline Lake decision November 25, 2014

Sincerely,

V "I ,cL{J~ ,"'- (;~<'~ rio'.:; I .> Ronald C. Young

174 APPEDIX A Public Agencies Could Acquire Incline Lake Property http://contentdm.library.unr.edu/cdm/ref/collection/ltresources/i d/301

Video: http://imedia.unr.edu/Tahoe/l07 incline lake corp.asx Text: Segment Al07: Incline Lake Air Date: March 8, 2005 Tease @ 28:42 "This half buried home here is a part of the Incline Lake Corporation. It's a very private, very secret, wonderful piece of property at the top of Mt. Rose. I'm Shelly Purdy, I'll take you on an exclusive tour coming up on the Lake Tahoe Report."Anchor Intro: Incline Lake sits near the top of the Mount Rose Highway. It is a unique piece of private property surrounded by tens of thousands of acres of Forest Service land. It's vicinity to Lake Tahoe and it's incredible surroundings make the property very desirable to developers. In tonight's Lake Tahoe Report, Shelly Purdy takes us on an exclusive tour of Incline Lake and explains how the current owners are trying to work out a deal to sell the land to the Forest Service. ((TAKE PKG)) ((track 1)) Incline Lake has a very colorful past. The property was once owned by flamboyant millionaire George Whittell who, at the time, owned nearly all of Lake Tahoe's east shore. Whittell sold the property in 1939 and it became the Incline Lake Corporation. The property is divided into 28 shares. 20 shareholders currently own interest in the Corporation. Some of Nevada's and some of Hollywood's biggest movers and shakers have spent time at Incline Lake over the years. ((sot @ 17:42 Glen Williams, Terra Firma, Land Use Consultants))"This lake was the first place that Lucille Ball ever caught a trout. On the back of the deck of the clubhouse there one of the board members told us that Bill Lear and Howard Hughes are sitting down drawing jet designs on cocktail napkins. Supreme Court justices have stayed here ...all kinds of interesting folks."((track 2)) The property includes the lake, six buildings ranging from a clubhouse to a 14-thousand square foot lodge with a telescope and indoor swimming pool, small cabins and a caretaker's home. The parcel was split into a 40-lot subdivision decades ago ...though that subdivision was never developed. And, 56 of Incline Lake's 777 total acres actually sits outside the area of the Tahoe Basin ... making it extremely attractive to developers. ((sot @ 21 :40))"It appears that there is a phenomenal amount of coverage associated with this property which is land the TRPA recognizes as buildable land coverage."((track 3)) But instead of selling to a developer, the shareholders owners want the Forest Service to buy it so the land can be opened to the public. ((s/u @ 27:31 Shelly Purdy))"If the sale of this Incline Lake property really does to through with the Forest Service it's an incredible opportunity to put an amazing piece of property into public hands, if the sale does not go through, the property could very well be purchased by a developer."((sot@ 19:20))"They are willing sellers of course. It all depenrlc; nn the final a ppraised value. But there 175 is a group of the shareholders that would like to see this protected in perpetuity and would like to see the benefit that some of their families have enjoyed carried over to the public at large."((track 4)) The property has been listed for consideration under the Southern Nevada Public Land Management Act where surplus lands in Southern Nevada is sold to purchase more desirable and environmentally sensitive lands in other parts of the state. Whether it all happens still remains to be seen. With the Lake Tahoe Environmental Education Coalition, I'm Shelly Purdy for KOLO News Channel 8. Anchor Tag: The forest Service is very interested in purchasing the land, but they do not want the responsibility of maintaining the buildings on the property. Washoe County has stepped-in and offered to build parking and trailheads at the site and also manage the buildings. The land owners have said if the deal goes through, they will give the county an endowment to help pay the cost of managing the property.

176 APPENDIS B Land Swap for Incline Lake (KOLa) http://www.kolotv.com/home/headlines/1667856.html

High Sierra landscapes don't get better than this. But this is a view few have had of Incline Lake. Most of us have only glimpsed briefly through the trees as we descended into Tahoe along the Mount Rose Highway. It has been for more than 70 years a private retreat. The lake itself was built by Norman Biltz, millionaire, tireless promoter of the Silver State when it needed it most and it must be said a pivotal figure in Nevada history. He invited the rich and influential to join him here and many did. A list of those who owned a piece of this Sierra paradise or visited includes local figures like Wilbur May and Bill Lear as well as senators, supreme court justices and Hollywood figures. Fireside conversations here guided politics and development of the state for decades. These days it hosts members of the Incline Lake corporation ... many of them descendants of the original owners ... they are about to share it with the rest of us. Norm Nash is Norman Biltz' grandson. He says his grandfather would approve. Senator John Ensign says he wants to see that happen and soon. Ironically it will be urban growth at the other end of the state that makes it possible. Under the Southern Nevada Public Land Management Act which he co­ authored ... pubJic land is sold there allowing Las Vegas to grow and the proceeds are used for purchases like this. It's been used before, but Ensign says this purchase is special. There are already a lot of plans for Incline Lake and its surroundings. A park, fishing, hiking, a nature trail, even an observatory for students already on the property. But it's not a done deal. Others in Washington have had designs on these funds in the past, so Ensign wants to move quickly. The transfer will involve a lot of agencies and interests. He cautioned them all today to work toward a common goal. So if all goes as planned in a year or so, this view, trlis piece of the Tahoe Basin could be in public hands.

177 APPENDIX C IVGID to decide on Incline Lake http://www.tahoedailytribune.com/article/20060326/I\IEWS/l03260022

March 24, 2006 A half-dozen Incline residents shocked by the possibility that Incline might pass up the opportunity to buy five aces of the Incline Lake parcel for public use have formed a coalition to lobby the Incline Village General Improvement District to follow through with their purchase of the property.Coalition members have spent the past week putting together a position paper in support of the property's acquisition, lobbying board members and encouraging the public to do the same.IIThis is a huge opportunity that should not be squandered,lI said Jim Nowlin, an Incline resident who said he is determined to prove to the board the value the property has to Incline and its residents. liThe potential use of that piece of property is so high on a year round basis - it gives Incline a lot of advantages. liThe coalition says those advantages include recreational, educational and political opportunities.Scott Murray, former cross country coach at Incline High School hopes the district will use the land to establish recreational facilities such as a cross country ski area, mountain biking course and interpretive nature trails. "People already use that area a lot," Murray said. liTo have that resource up there for these recreational possibilities ... there is no doubt that we're going to be very happy we bought this in the future - and very unhappy if we don't."Murray said the lake's location is some 1,000 feet higher than any other cross country ski area in the region. IIWe'd have the longest season and the best snow of any cross country area (in Tahoe)," Murray said.In addition to advocating the recreational possibilities of the area, Jim Nowlin said he sees the potential purchase of the property as an important part of Incline's struggle for self determination."If Washoe County purchases this property, all of a sudden they own something in our backyard," Nowlin said.Nowlin said he is concerned county plans for the property might not turn out to be amenable to the interests of the Incline community."We could end up playing 'mother may I' with the county (if they buy it)," Murray said, emphasizing Nowlin's pOint.Inciine resident Dave Straley, a backcountry skier, stressed the importance of recognizing the historical role Incline Lake has played in the village's history. lilt is within the historical, political and geographic vision of Incline, it was all part of the package," Straley said, adding that some of the original year- round residents of the Incline Village area lived on Incline Lake. " ... That is why it is called Incline Lake, not Washoe Lake or Mt. Rose Lake. "Straley also pOinted out the majority of the property (an estimated quarter acre notwithstanding) is within the Tahoe Basin/ arguing that Incline likely has a greater personal investment in the land than communities in other parts of the county.Of significant contention during IVGID board meeting discussions on whether or not IVGID should purchase the property has been from where the estimated $1 million dollars needed to make the purchase will come.One proposal would charge Incline Village residents a one time recreation fee of $125 to -'"'.. '"'~ ",e cost of the purchase.The 178 proposal caused some disturbance among residents who challenged the likelihood of the fee being limited to $125 and expressed concern that it would not just be a "one time" charge."we believe that a purchase such as the Incline Lakes property is part of the charter for which IVGID was founded - trade surplus land assets for desirable land that fits our mission and our future vision as a community," reads the position paper created by the group.As an alternative the coalition advocates using the funds collected by IVGID from land sales to help cover the cost of the Incline Lake property purchase. The fund, which is earmarked for capital expenditures, has a current balance of approximately $700,OOO.Dave Straley said the Arthur B. Schultz Foundation of which he is a member is willing to contribute an additional $150,000 towards the purchase of the land.Beverly Mapps, IVGID board of trustees treasurer said she has reservations about using the money in the reserve fund for the purchase of the property. "My concern is that we need to deal with some capital improvement issues at the venues that we already own," IVlapps said. "I am very hesitant to commit our resources to a project that we do not know much about.'The coalition in favor of the purchase contends there is no better use for the money."What else are you going to use that money for?" queried Straley. "This is exactly what that fund is for. "Wayne Fischer a member of the Incline Vision recreation subcommittee, said he thinks $1 million dollars for the purchase of the property is "a bargain," and that the purchase of the parcel is in line with the vision the recreation committee is interested in creating for Incline's future.The district signed a letter of intent to purchase the property from the 19 shareholders of the Incline Lake Corp. last November. Originally, the property was part of the 770-acre, $70 million Incline Lake acquisition brought forth by Sen. John Ensign using money from the Southern Nevada Public Land Management Act.Terra Firma separated the prime five-acre parcel and offered it to IVGID in the fall. Both Terra Firma representatives and district officials at the time noted the district's independent operation of the land would make it easier to build a "gateway facility" or center because it is not the forest service's policy to build or maintain structures on its lands. The coalition advocating for the purchase of the property said they respect concerns which is why they are proposing different payment options.The board of trustee's deciSion on the purchase of the five-acre parcel is on the agenda for the upcoming Incline Village General Improvement District meeting at 6:30 p.m. Wednesday, March 29 at 893 Southwood Blvd. For an analysis on the parcel purchase visit: www.ivgid.org/newsite/homepage and click on "Incline Lake White Paper" or see page 14 of today's Bonanza.

179 APPENDIX D Incline Lake: IVGID 5 acres on the backburner http://www.tahoedallytribune.com/article/20090713/NEWS/907139993

July 13, 2009 Bonanza INCLINE VILLAGE, Nev. - Plans to develop and potentially construct a cross­ country ski area on 5 acres of land on the 754-acre Incline Lake parcel north of Incline Village are indefinitely on hold, Bill Horn said last week. "I'm not in the mood to ask the board to take on anything at this point that has no outflow of money," said Horn, general manager of the Incline Village General Improvement District citing the nation's uncertain economy. "There are many projects going on in the heart of the community that have to take precedence." Incline Lake lies on the Nevada side of Lake Tahoe primarily within the U.S. Forest Service Lake Tahoe Basin Management Unit and is adjacent to the Mount Rose Wilderness and the Sheep's Flats area of the Humboldt-Toiyabe National Forest. The U.S. Forest Service purchased the parcel in late July 2008 for $46 million from the privately-owned Incline Lake Corporation. With that transaction, IVGID's 5-acre parcel, which it agreed to purchase for $1 million more than three years ago, once the entire property became publicly-owned. A deal also was struck with Nevada State Lands to secure about 75 percent of the $1 million in Question One bonds, leaving IVGID to shoulder the other 25 percent, or $257,400 - of the total selling price of the five acres. That money already is in IVGID hands, funded by the district's recreation fees. While no concrete plans have formed, the most popular option for the land among reSidents, according to past published reports, is a cross-county ski area, perhaps similar to the Spooner Lake Cross County Ski area west of Incline. Horn estimated such a project could cost between $3 million and $3.5 million, with $1 million to $1.5 million covering a permitting process with the forest service, a process that could take 3 to 5 years to complete. "I just don't see where the money is going to come from to make it profitable," Horn said, adding that the Spooner area benefits fiscally from being a year-round facility.

180 APPENDIX E Forest Service releases proposal to address Incline Lake Dam

http://www.fs.usda.govIdetail/ltbmuI news­ events/?cid=STELPRDB5424311

Release Date: Jun 14, 2013

Contact(s): Public Affairs, Cheva Heck (530) 543-2608, or Usa Herron (530) 543-2815

Initial public comment period closes July 19, 2013

fO(([5T5[~ U~S ~,.onOF~ South Lake Tahoe, Calif.- The U.s. Forest Service Lake Tahoe Basin Management Unit is seeking public input on a proposal to remove the Incline Lake dam and restore the area impacted by it. The Forest Service purchased the 777-acre Incline Lake parcel, located off State Route 431 in Washoe County, Nev., on July 29, 2008, for its recreational, scenic and natural resource values. During the acquisition process, a site investigation and assessment determined that the Incline Lake dam and spillway do not meet federal, state or local standards for a high-hazard dam (designated as such due to downstream development). Incline Lake has been drained and has not been allowed to refill.

The Forest Service is proposing to remove the major dam and spillway and recontour the area to match adjacent contours and grades. The agency proposes converting the minor dam to a low-water crossing. The project goal would be to restore the groundwater-dependent ecosystem in 30 acres disturbed by the dam, which over 15-20 years would become a system of small- to medium sized ponds, fens and marsh. In the short-term, the project activities would ensure the stability of the site.

The Forest Service would implement the project in summer 2015. Funding for the project comes from the Southern Nevada Public Land Management Act. Once the Forest Service reaches a decision on the future of the dam, it will begin management planning for the remainder of the parcel.

181 Comments during this initial round of public input will be most helpful if received by July 19, 2013. To review the project documents and find out how to submit comments, visit http://www.fs.usda.gov/goto/ltbmu/InciineDam. For more information, contact Matt Dickinson (530) 543-2769 or Anjanette Hoefer, (530) 543-2822. The Forest Service will hold a project open house to discuss the proposal on Monday, July 8, 2013, from 5:00 p.m. until 7:00 p.m. at the Incline Village General Improvement District Board Room, 893 Southwood Blvd., Incline Village, Nev. 89450. The agency may schedule an additional open house. To receive notification directly, email [email protected] and provide a contact email address.

182 APPENDIX F Forest Service might not refill Incline Lake after all June 18, 2013

ASSOCIATED PRESS RENO - The U.S. Forest Service is leaning toward abandoning plans to restore a small lake overlooking Lake Tahoe to the way it was when the rich and famous vacationed at the private enclave a half century ago and instead let it return to a natural wetland.

The federal government bought Incline Lake for $43.5 million in a land deal five years ago with the intention of repairing a small dam built in 1942 and refilling the scenic Sierra Nevada lake that sits at an elevation above 8,000 feet.

Forest Service officials drained it in 2009 because the dam was unstable and vulnerable to failure in the event of an earthquake.

But now the agency is seeking public comment on a preferred alternative that would leave most of the lake empty to capitalize on its rich system of natural ponds and marshes that are rare at such high elevations.

"That's the direction we're proposing to head, to remove the dam and restore the area," Cheva Heck, spokeswoman for the Forest Service's Lake Tahoe Basin Management Unit, told the Reno Gazette-Journal.

While $5 million in federal funds was set aside in 2008 for possible reconstruction of the Incline Lake dam, seismic concerns would have prevented restoring the lake to its full splendor, Heck said. The Forest Service considered rebuilding a smaller dam to allow a smaller lake.

"We definitely couldn't rebuild the dam at the same scale," Heck said. "It would be a smaller lake. It would be different."

Ultimately, planners determined there are sufficient recreational opportunities offered by other lakes in the region and that removal of the dam and restoration of 30 acres into a system of small- to medium-sized ponds, fens and marshes is the most preferable path forward, Heck said. 183 Dave Piccinini, owner of Reno's Mark Fore and Strike Sporting Goods store, was disappointed to learn that a lake he thinks could offer a popular fishery for the region might not be restored.

"What a shame. I think that would be a great asset to have," Piccinini said.

He questioned whether the government should have purchased the land if the lake will go away in the end.

"A lot of the value of that land had to do with the fact that lake existed," Piccinini said. "I get frustrated with the government spending money on good property and making it a lesser property and then saying it's OK."

The more than 7SD-acre parcel, an island of private land surrounded by national forest, was purchased for its overall scenic and recreational value, not just for the now-drained lake, Heck said. Also, seismic hazards posed by the lake and its dam were unknown at the time the acquisition occurred.

The Forest Service has initiated a formal "scoping" process to collect public input through July 19 before a final decision on the property is made. Removal of the dam and restoration work could begin during the summer of 2015.

The agency has scheduled an open house to answer questions about the project at S p.m. July 8 at the Incline Village General Improvement District board room.

184 APPENDIX G Forest Service opts to restore wetlands, remove Incline Lake Dam Release Date: Sep 3, 2014

Contact(s): Public Affairs, Cheva Gabor (530) 543-2608, or Lisa Herron (530) 543-2815

Basin Management Unit plans to restore wetlands and remove the dam at the site of the former Incline Lake, according to a decision by Forest Supervisor Nancy Gibson issued today.

"Removing the dam will allow us to address public safety concerns, protect water quality and improve aquatic and wetland habitat, wrlile continuing to provide recreational opportunities, such as fishing in streams and enhanced wildlife viewing as a result of the restored wetlands" said Gibson. "!\Jow that we have a decision on the future of the dam, we'll be working to engage the community in planning for the entire 777-acre property, which is a spectacular addition to public lands in the Lake Tahoe Basin."

The Forest Service purchased the Incline Lake parcel, located off State Route 431 in Washoe County, Nev., in 2009, for its recreation, scenic and natural resource values. During the acquisition process, a site investigation determined that the Incline Lake dam and spillway do not meet federal, state or local standards for a high-hazard dam. The dam is designated as high hazard due to development downstream along Third Creek. The sellers drained Incline Lake prior to completion of the acquisition by the Forest Service, and the lake has not been allowed to refill.

The Forest Service will remove the major dam and spillway and recontour the area to match the surrounding landscape. The minor dam would become a low-water crossing. A variety of techniques would be used to stabilize the area and reestablish wetland vegetation. In the short term, the work would stabilize the site. Over 15-20 years, the project goal is to restore the 30-acre area disturbed by the dam to a series of small- to medium-sized ponds, fens and marsh.

"While rebuilding a smaller dam could be done in a way that provides some assurance for downstream safety W"M ...i""I,..S will increase as the structure 185 ages, and there is no assurance that an extreme weather or geologic event wont cause a dam failure," said Gibson. "Rather than incurring additional liability and operations and maintenance costs for the Forest Service, I am selecting the action that best protects public safety and enhances the environment. "

The decision launches a 4S-day period during which anyone who filed a formal comment on the project can file an objection to the decision, for review by Pacific Southwest Regional Forester Randy Moore. For more information, visit http://www.fs.usda.gov/goto/ltbmu/lnclineDam.

186 APPENDIX H State makes last-ditch push to save Incline Lake

.tJeff Delong, RGJ 12. d1, PST !Vovem[)cr 1,4, 2( 14

Nevada wildlife officials are pursuing a last-ditch effort to have a now­ drained Sierra lake repaired, refilled with water and made into what they say could become a premier trout fishery. After the Nevada Department of Wildlife last month submitted a formal objection to the U.S. Forest Service's September decision to keep Incline Lake dry and restore the area to a meadow, Forest Service officials have agreed to conduct an "objection resolution conference" to discuss the issue Nov. 24.

"Basically it's our last step in the process. It was our only option," said Mark Freese, supervisory habitat biologist for the Department of Wildlife,

Once a private enclave for Nevada's rich and famous, Incline lake - located on a forested ridgeline west of Reno and overlooking lake Tahoe - was acquired by the Forest Service in 2008. The complicated transaction paid the former owner of the lake and 777 acres of land, the Incline lake Corp., $43.5 million.

Original plans called for the lake and surrounding structures to remain, but lakeside cabins were ultimately razed. The lake itself was drained during the public acquisition process after inspectors determined its dam could fail during an earthquake and flood areas of nearby Incline Village. It remained mostly empty over the last five years as the Forest Service considered options for the property's future.

On Sept. 3, Nancy Gibson, supervisor of the Forest Service's Tahoe unit, determined that the dam should be removed and the lake should be restored into a wetland meadows to address public safety concerns, protect water quality and improve natural habitat.

That decision ran counter to the desires of the Department of Wildlife, which is pushing to repair the dam, refill the lake and establish a recreational fishery for threatened lahontan cutthroat trout.

"We see it as a great opportunity," said Kim Tisdale, supervisory fisheries biologist for NDOW. "It's a beautiful setting and it was a productive fishery when it was held privately. We know it would provide for a great 'fishery."

187 In his objection letter to the Forest Service, Freese agreed that "dam safety is indeed of utmost importance" but argued an improved dam could be built and the public protected.

Funding for the lake's acquisition was provided through the Southern Nevada Public Land Management Act, with $5 million set aside at the time for the dam1s repair. Spending the money for other purposes is improper, Freese argued.

"We believe that using this funding for planning and implementing a project outside the scope of its intended purpose is inappropriate and misleading to the supporters of the project," Freese wrote.

Freese also urged the Forest Service to meet with other parties with a stake in Incline Lake's future, including the Department of Wildlife, Washoe County, the Incline Village General Improvement District and the Nevada Division of State Lands "to discuss opportunities for partnerships and to explore and ensure the right decision is being made." He suggested a public meeting on the issue be held in Reno as well.

Cheva Gabor, spokeswoman for the Forest Service's Tahoe unit, said she couldn't comment on the Department of Wildlife's position in detail but confirmed discussions will be held concerning its formal objection.

"The process needs to play out," Gabor said. "We will see where we end up after that."

Incline Lake was once owned by the millionaire recluse George Whittell, who sold the land to the Duke of Nevada, Norman Biltz, in 1937. Others who frequented the scenic property while it was in private hands included philanthropist and dairy king Max Fleischmann, longtime U.S. Sen. Patrick McCarran, and Moya Lear, philanthropist and wife to Bill Lear, creator of the Lear jet.

188 APPENDIX I Feds urged to reverse Incline Lake decision

November 25, 2014 http://www.rgj.com/story/news/2014/11/24/feds-urged-reverse-incline­ lake-decision/70064692/

State wildlife officials and north Lake Tahoe residents Monday urged the U.S. Forest Service to save Incline Lake, insisting doing so would not only offer a major recreational opportunity for the region but also reduce problems with bears and mosquitoes.

The future of the lake, now drained, was the subject of a "objection resolution conference" between Forest Service officials and others opposing the government's recent decision to keep the lake empty and turn it into a meadow. A decision by Deputy Regional Forester Ron Ketter is expected as soon as next week.

"We haven't felt that it's been a completely transparent process," said Mark Freese, supervisory habitat biologist for the Nevada Department of Wildlife.

"We just feel the Forest Service is rushing the decision. II

Incline Lake before it was drained in 2009. The Nevada Department of Wildlife has objected to the U.S. Forest Service's decision to keep the lake drained and restore the area as a meadow.(Photo: RGJ file) 189 Once a private enclave for Nevada's rich and famous, Incline Lake - located on a forested ridgeline west of Reno and overlooking Lake Tahoe - was acquired by the Forest Service in 2008. The complicated transaction paid the former owner of the lake and 777 acres of land, the Incline Lake Corp., $43.5 million.

Supporters of the deal originally planned for the lake and surrounding structures to remain. But the structures were torn down and in 2009, after inspectors determined the lake's dam could fail in an earthquake and flood parts of Incline Village, the lake was drained. In September, Forest Service offiCials determined the dam should be removed and the area be restored into a wetland meadow.

Officials from the Nevada Department of Wildlife objected, insisting a new and safer dam could be built, the lake re-filled to some level and be made into a fishery for Lahontan cutthroat trout. They point to some $5.5 million in federal funding specifically set aside for the dam's reconstruction.

Sen. Pat McCarran, right, talks to the chef at Incline Lake at a barbecue in the 1950s.(Photo: Provided by Norm Nash)

Steve Romero, regional geotechnical and dam engineer for the Forest Service, agreed during Monday's hearing that a safer dam could indeed be built but said some level of threat would always remain to Incline homes clustered closely to a creek that would flood in event of a failure.

"It's not about building a reliable dam. It's really about the consequence of a failure," Romero said. "We would end up with a high-hazard dam we would be responsible for. II 190 Incline Village resident Ron Young urged the Forest Service to work with the Incline Village General Improvement District to pursue what he describes as a major recreational opportunity for the public. Cross-country skiing and ice skating could be other activities pursued in the area, he said.

"I'm in favor of keeping the lake. I think it's a fantastic recreational resource," Young said. "The residents of Incline Village would strongly support restoration of the lake and very likely would contribute dollars to make that happen."

Norman Blitz, the 'Duke of Nevada,' is second from left in this photo taken at Incline Lake in the 1950s.(Photo: Provided by Norm Nash)

Donald Kanare, a director of the nonprofit Incline Tahoe Foundation, also argued in favor of re-filling the lake and said doing so might help address mounting problems between black bears and people, which he said have increased steadily since the lake was drained.

"There's been a dramatic increase in each of the ensuing years," Kanare said. "To me, it's a really big issue when I look at how that lake provided perfect habitat. They have no choice but to go elsewhere in search of food."

Since the lake was drained, the area has also been populated by a large number of mosquitoes living around the two small pools that remain, Kanare said. Restoring the area to a wetlands could increase the mosquito population further, presenting a potential threat to human health, he said.

191 USDA Forest Service Chapter 1, Introduction

Figure 1-1 Project Area Context

To/we Nanonoi rOI est

1 Miles -=~- Legend = Highways --- National Forest System Road ENLARGEMENT Perennial Stream/River _ Project Area Boundary :t'~ Wilderness County InciineGID Private State US Forest Service (LTBMU only) c:::ILTBMUBoundary

,1~•• ij§ Incline Lake Dam P,oject Proposed Action Lake Tahoe Basin Management Unit ~_' ~~~J ""'~'

1-3 Incline Lake Dam 192 USDA Forest Service Chapter 1. Introduction

Figure 1-2 Project Area

Legend ClLTBMUBoundary Project Area = Highways ,: : : Former Incline Lake Footprint - National Forest System Road -- Access Road Contours 40 foot • Dam Spillway

Ephemeral Stream ~am --Perennial River/Stream Incline GID ownership US Forest Service (LTBMU only)

~ Incline Lake Dam Project Proposed Action Lake Tahoe Basin Management Unit

Environmental Assessment 1-4 Incline Lake Dam 193 USDA Forest Service Chapter 2. Alternatives, Including the Proposed Action

Figure 2-1 Alternative 1 - tlNo Action" Alternative

Historic Diversion

N o 250 500 Feet A

Legend .- . Access Road Project Area ~ ::. : Dam Breach Area Highways ~ : : Former Incline Lake Footp(int Channel Construction - National Forest System Road Spillway Ditch T(ee Removal Incline GID ownership ~lnor Dam (to (emain) D Infill Area US Forest Service (LTBMU only) Perennial River/Stream

~ Incline Lake Dam Project Proposed Action Lake Tahoe Basin Management Unit

Assessment 2014 2-3 Incline lake Dam 194 USDA Forest Service Chapter 2, Alternatives, Including the Proposed Action

Figure 2-3 Alternative 2 - Full Restoration Alternative

N 1..-==2:J150__5.00 Feet A

Legend , Access Road Stabilize Headculs in Channels = Highways Minor Reshape of Soil Surface - National Forest System Road Remove Dam and Spillway Incline GID ownership Reconstruct Shallow Channel US Forest Service (LTBMU only) E'llnfill Area (Shape 8. Stabilize) Project Area t~:;Qj Replace Dam with Low Water Crossing Perennial River/Stream Stabilize Headcuts in Ditch Decommission Spillway Ditch Tree Removal

"'~~ ~ Incline Lake Dam Project Proposed Action Lake Tahoe Basin Management Unit (~;

' ••, ...... 1

EnVironmental Assessment August 2014 2-7 Incline Lake Dam 195 USDA Forest Service Chapter 2. Alternatives, Including the Proposed Action

Figure 2-6 Alternative 3 - Dam Replacement

New Lake Approx, 18 -20 Acres

N 250 500 Feet A

Legend . Access Road Reconstruct Dams and Spillway = Highways ~ Infill Area (Shape & Stabilize) - National Forest System Road Recol1struct Spillway Ditch Incline GID ownership Stabilize >-teadcuts in Channels US Forest Service (LTBMU only) Stabilize Headcuts in Ditch Project Area Tree Removal Perennial River/Stream New Lake Water Area

~ Incline lake Dam Project Proposed Action

rll\/Uum'lfo'l1Ia Assessment 2-12 Incline Lake Dam 196 Chapter 3. Affected Environment and USDA Forest Service Environmental Consequences

Aquatic surveys for fish, amphibians and reptiles were conducted using standardized protocols from 2009 through 2013. Fish assessments utilizing back-pack electro fishers were conducted from 2009 to 2010. Amphibian and reptile surveys were conducted 2009 through 2013. Surveys were conducted within the project area and analysis area.

Figure 3-1: Incline Lake Dam Project Area and Aquatic Analysis Area.

o InCllneDamSpiliway - InclineLakeDams

.~~ Nevada state Route 431 Roads o watershedAnalysisBoundary RecreationSitePolygon c::::::J InCline Village GID ~ :. "".! LTBMUiHT Fores! Boundaries ~~~~~~~~~~

Environmental Assessment August 2014 3-5 Incline Lake Dam

197 USDA Forest Se Nice Chapter 3. Terrestrial Wildlife Species and Habitat

03 n.e t..1i"'J I I o Incline Lake Dam Project Area CJ \Vildlife Analysis Area Goshawk Protected Activity Center (PAC) • Goshawk Detections

Marten Detections Incline Village GID +

Figure 3-10. Incline Lake Dam Project and Wildlife Analysis Areas

3-90 I ncline Lake Dam

198 DATE DAY OF TIME LOCATION MEETING ITEMS SLATED FOR CONSIDERATION THE WEEK

--- DECEMBER 2014 Tuesday 2t04 p.m. Boardroom Board Retreat Board logistics fW02/'O"12/03/2014 Wednesday 12 to 1:30 p.m. Chateau All Employee Holiday Luncheon 12/10/2014 Wednesday 4to 5 p.m. large CR at Admin Litigation Meeting ----­ 12/10/2014 './Vednesday _5 to 5:30 p.m. Boardroom Audit Committee Meeting 12/10/2014 Wednesday 6to 9 p.m. Boardroom Regular Monthly Board Meeting DPSEF Agreement (Ce) Unemployment Ins. Renewal (Ce) Creation of new funds (GB) GM's Emp. Agreement amendment(GB) Legal Counsel (GB) Incline lake (R) Audit Report Approval (GB) Golf Wrap-Up (R) Ski Preview (R) NDOT Presentation on Crosswalks (R) --­ --­ 12/11/2014 Thursday 9 to 1 p.m. Boardroom* Training by POOL/PACT of the Board of Trustees POOL/PACT Training: Open Governance, Ethics, OpenM Law -­ ---'-----­ .... JANUARY 2015 u:> ~ +R1;1 Fsaa't' ~ CRateal;l liIeaFEI RetFeat Holiday and cancelled in deference to Training u:> by UNR -rescheduled to Thursday, January 15, 2015 ------­ 01/08/2015 Thursday 9 a.m. to 5 p.m. Chateau Training by UNR of the Board of Trustees 01/09/2015 Friday 9 a.m. to 5 p.m. Chateau Training by UNR of the Board of Trustees 01/05/2015 Monday Board Packet ;s made available [)lstribution will be no later than 5 p.m. I 01/14/2015 Wednesday 5:3Q to 6 p.m. Chateau Meet and Greet ----­ ----­ 01/14/2015 Wednesday 6p.m. Chateau Regular Monthly Board Meeting 7/4 and 7/5 (2014) activities (R) Personnel Policies Update (Ce) Swearing in of our two new Trustees Public Hearing on Ord. 1 (PH) MIG Contract (GB) Various Policy Revisions (GB) -­ 01/06/2015 Tuesday Board Retreat Packet is made available Distribution will be no later than 5 p.m. 01/15/2015 T!Jursday _ 2 to 4 p.m. Chateau Board Retreat '------­ --­

* =Chateau is unavailable, private event already booked (CC) = Consent Calendar Item (GB) =General Business Item (PH) = Public Hearing (R) =Report Item LONG RANGE DRAFT CALENDAR Wednesday, December 03, 2014 DATE DAY OF TIME LOCATION MEETING ITEMS SLATED FOR CONSIDERATION THE WEEK

--­ ---­ --~--- FEBRUARY 2015 01/27/2015 Tuesday Board Retreat Packet is made available Distri~tion will be no later than 5 p.m. --­ 02/05/2015 Thursday 2 to 42.f!1. Chateau Board Retreat ------­ --­ 02/16/2015 Monday Board Packet ;s made available {)istribution will be no later than 5 p.m. 02/25/2015 Wednesday 6Jo 6:30p.m. Chateau Meet and Greet 02/25/2015 Wednesday 6:30 p.m. Chateau Regular Monthly Board Meeting Utility Rate Study Presentation MARCH 2015 -­ --­ 02/24/2015 Tuesday Board Retreat Packet is made available Distribution will be no later than 5 p. m. -­ 03/05/2015 Thursday 2 to 4 p.m. Chateau Board Retreat -­ 03/10/2015 Tuesday Board Workshop Packet ;s made available Distribution will be no later than 5 p.m. !-----'-,-- ­ 03/19/2015 }hursday 1_to 4 p.m. Chateau Budget Workshop 2015-2016 District Budget Items 03/16/2015 Monday Board Packet is made available Distribution will be no later than 5 p.m. !--'--­ 03/25/2015 Wednesday 6 to 6:30 p.m. Chateau Meet and Greet 1-­ 03/25/2015 Wednesday 6:30 p.m. Chateau Regular Monthly Board Meeting Set Date for Public Hearing on Ord. 2 and 4 amendments including Utility Rates ;--­ _Quarterly Community Workshop Topic: - APRIL 2015 I'J 24/2015 Tuesday Board Retreat Packet is made available Distribution will be no later than 5p.rn 0 )2/2015 Thursday 2 to 4 p.m. Chateau Board Retreat ------­-­ i- 0 U/2015 Tuesday Board Workshop Packet ;s made available Distribution will be no later than 5 p.rn ! 04/09/2015 Thursday 1 t()4 p.m. Chateau Budget Workshop 2015-2016 District Budget Items 04/13/2015 Monday Board Packet is made available Distribution will be no later than 5 p. m. --­ -­ 04/22/2015 Wednesday 6 to 6:EIO p.m. Chateau Meet and Greet 04/22/2015 Wednesday 6:30 p.m. Chateau Regular Monthly Board Meeting MAY 2015 -­ --­ 04/28/2015 Tuesday Board Retreat Packet is made available Distribution will be no later than 5 p.m. -­ 05/07/2015 Thursday 2 to 4 p.m. Chateau Board Retreat

----~ 05/12/2015 TuesdEY Budget Approval Packet is made available Distribution will be no later than 5 p.m.

OS/21/2015 Thursday 9 a.m. Chateau Budget 41"'" "'>< Meet/IIY (required by NR5) 2015-2016 District Budget 05/18/2015 Tuesday Board Packet is made available Distribution will be no later than 5 p.m. --­ OS/27/2015 Wednesday 6 to 6:30 p.m. Chateau Meet and Greet OS/27/2015 Wednesday 6:30 p.m. Chateau Regular Monthly Board Meeting Public Hearing on Ord. 2 and 4 including Utility Rates -­ -­ - --­ Ord. 2 and 4 including Utility Rates (GB) * =Chateau is unavailable, private event already booked (CC) =Consent Calendar Item (GB) = General Business Item (PH) =Public Hearing (R) =Report Item LONG RANGE DRAFT CALENDAR Wednesday, December 03,2014 DATE DAY OF TIME LOCATION MEETING ITEMS SLATED FOR CONSIDERATION THE WEEK

------­ ------­ ------­

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----­ ---­

1---­ ----­ r--.---­ - JULY 2015

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------­ --r-­ ------­ ------­ AUGUST 2015

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SEPTEMBER 2015 ,---­

----­ OCTOBER 2015

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* = Chateau is unavailable, private event already booked (CC) = Consent Calendar Item (GB) = General Business Item (PH) = Public Hearing =Report Item LONG RANGE DRAFT CALENDAR Wednesday, December 03, 2014 TO: Steven J. Pinkerton General Manager

FROM: Gerald W. Eick, CPA CGMA Director of Finance, Accounting, Risk Management and Information Technology

SUBJECT: Status Report for October 2014 - Finance/Accounting, Risk Management and Information Technology

DATE: November 14, 2014

Finance and Accounting

Audit for the year ending June 30, 2014 Kafoury Armstrong performed their final review and wrap up during the month. They will with the Audit Committee and Board December 10 and anticipate acceptance that same date.

Initiative for Fiscal Year 2015-16 Service Measures The General Manager has directed we explore formats of accounting and presentation that emphasize service levels. We reviewed this format with the auditors during fieldwork. We are planning a presentation to the State ahead of requesting Board approval for the application of accounting for Community Services and the Beaches through Special Revenue Funds and also creating Debt Service and Capital Project Funds for better reporting of all aspects of our operations.

The Budget Analyst and the Director of Finance have begun modeling measurements and metrics for service levels. The starting point is to define operating periods and identify high, medium and low volume days that could have a consequence to staffing or other operating costs. The second area reviewed relates to those costs which are basic to operations versus those that would fluctuate with larger scale changes in the volume of units of service. While our budget always has to pick some single point of assumed activity, we want to also develop a process to consider a range of possibilities before a single one is selected.

Implementation of Accounting System Upgrade The Project Manager for Harris spent a week with staff finishing the implementation of the Innoprise Accounting system. Our staff has been able to execute many of the conversion functions.

One District - One Team 202 Status Report for October 2014 -2­ November 14, 2014 Finance, Accounting, Risk Management And Information Technology

This will result in savings by not having it done by the vendor. The implementation is on track for the go live date of November 3 for the accounting staff and during November, as trained, for other users.

2004 Recreation Refunding Bond is Retired The District made the final payment on this bond October 1. The Bond was supported 36% by the Beach Fund and 64% by Community Services.

Risk Management Safety Initiatives

The Safety Committee continues to work on hazardous material handling and cataloging the materials we use in operations.

A number of safety inspections were completed including at ski. Our Safety Specialist is working with them on policies for employee helmets and language for general releases by customers. A ski association meeting provided access to several new training videos for the snow making crew.

Our Safety Specialist led the District staff through the Washoe County Emergency Operations Center to participate in the Fall Shake Out, practicing for earthquake drills.

He is also working on updating our preparedness with FEMA in the event of a larger scale event. Such preparedness allows us to be reimbursed for costs incurred if an emergency is declared.

Information Technology

IT Report and Plan At the September 24 meeting, the Board authorized a plan that emphasized utilizing mature technology and operating third party software under a combined internal staff for daily support and outside contractors for system management and annual compliance reviews. We immediately began ordering some of the listed equipment, while other orders were predicated on refreshing the original quotes. During this process we were given a chance to reconsider several of our switch selections and have found a newer version from Dell may be preferable over other vendors. It has been introduced with more features that are a better match to our needs and at no more cost. We received a test unit and added it to the bench testing we were doing for other network components. We concluded to go with the Dell switches as they have better features and functionality for the same or less cost. They also allow us to better

One Dis 203 1e Team Status Report for October 2014 -3- November 14, 2014 Finance, Accounting, Risk Management And Information Technology monitor and manage the system. The major storage units and support systems have been ordered. The network is expected to be fully bench tested and validated through the early part of November. Then installations will begin at Ski to provide them functionality ahead of starting the ski season. This should include Wi-Fi.

The Vermont Point of Sales System has been ordered and they immediately began and implementation schedule and staff assignment. District staff has begun the process review portion of the implementation.

The ShoreTel phone system and cabling project was commenced on September 25. The connections and implementation are coordinated with the completion of the Recreation Center Lobby project. Full use of the system occurred early in October.

We have received for Wi-Fi equipment. During October we identified the likely locations for the individual devices that provide coverage. We continue discussion with both AT&T and Charter Communications to assess the possibility of increase fiber network access. The fiber connections for the Administration Building was recently increased in September and the coming months we will continue conversations with a variety of sources about the possibility to improve fiber connections to our venues. Fiber is a key factor in allowing greater throughput, which in turn offers us a better opportunity to offer public service, once the District's needs have been met at a location.

Our Web Coordinator has been working with the web site project staff to follow up on immediate updates, procedures going forward for keeping content current and reflecting on the punch list to wrap up the project. Several enhancements have been requested to add functionality to the web site for Public Works.

One Dis; 204 1e Team Status Report for October 2014 -4- November 14, 2014 Finance, Accounting, Risk Management And Information Technology

Incline Village General Improvement District Transaction Authority for Identified Vendors for the fiscal year ended June 30, 2015

Vendor Board Octobe r Number Vendor Authorization YTD

Fue I purchases under buying group, aggregate $250,000 02663 Allied Washoe Petroleum Inc. 02735 Flyers Energy, LLC 30,922 02745 Petroleum Distributors 21,140 02744-2 Thomas Petroleum, LLC 9,243

Incline Village General Improvement District Transaction Authority for Identified Vendors for the fiscal Year ended June 30, 2015

Purchases of Inventory for Resale 01293 Callaway Golf 100,000 5,332 01886 Capital Beverage 40,000 7,874 02434 Comstock Wine & Spirits 75,000 23,345 02726 Pepsi Beverage Co. 45,000 10,864 01918 Produce Plus 28,000 9,724 02245 Sierra Meat Co. 75,000 20,043 02177 Sysco Food Services 200,000 15,105 01339 TaylorMade SD,ooo 15,272 01038/01039 Titleist/Footjoy 70,000 16,563 02532 US Foodservice, Inc. 200,000 59,004

One Dis. 205 '1e Team Status Report for October 2014 -5- November 14, 2014 Finance, Accounting, Risk Management And Information Technology

Incline Village General Improvement District Transaction Authority for Identified Vendors for the fiscal year ended June 30, 2015

Vendor Board October Number Vendor Authorization VTO

Known single or series transactions totaling more than $25,000 02786 Cal First National Bank (Championship-Carts) $ 55,886 $ 27,943 02786 CalFirst National Bank (Mountain-Carts) 38,176 19,088 02514-3 Harris Computer (MS Govern) 43,000 33,889 02630 Hercules (Ashland Specialty Chemicals) 60,000 10,098 02090 High Sierra Patrol, Inc. 58,000 33,996 02281 Hill Brothers Chemical Company 30,000 7,873 03002 Mark E Smith Foundation (Bear Services of IV) 30,000 12,033 01945 North Lake Tahoe Fire Protection District 200,000 1,075 02749 Olin Corporation 70,000 11,036 02124 Washoe County Public Works (street cuts) 70,000 9,164

Annual spending (non-CIP) anticipated greater than $25,000 01818 Alsco 40,000 15,001 02998 Belkorp AG, LLC 26,000 5,178 01902 Burgarello Alarm, Inc. 32,000 6,828 02549 California Electronics Assets Recovery 28,000 6,009 01052 Crop Production Services, Inc. 36,000 16,017 01790 Data Print, LLC (includes Data West) 52,000 12,695 01692 Dell Computer 30,000 7,977 01760 Doppelmayr USA, Inc. 40,000 13,940 01328 Grainger 40,000 15,678 01004 Kassboher All Terrain Vehicles 40,000 3,523 01750 Office Max Inc. 30,000 8,233 02892 Porters Auto Parts, Inc. 30,000 4,725 01256 PSC Environmental Service, LLC 35,000 13,977 02272 S& G Transportation 60,000 16,173 01854 Sierra Chemical Co 27,000 2,782 02161 Sierra Nevada Media Group 35,000 3,642 01729 Sierra Pacific Turf Supply, Inc. 42,000 30,041 01182 Tahoe Supply Company, LLC 50,000 17,399 02287 Target Specialty Products 25,000 02223 Turf Star, Inc. 25,000 4,156 01915 Village Ace Hardware 49,000 15,810 01862 Western Nevada Supply 60,000 37,496 02181 Wilbur-Ellis Company 35,000 4,344

One Disl 206 1e Team

M E M O R A N D U M

TO: Steve Pinkerton General Manager

FROM: Dee Carey Director of Human Resources

SUBJECT: Human Resources Status Report for October 2014

DATE: November 11, 2014

Recruiting: We have filled our Parks Supervisor and Base Operations Manager/Parks Crew Supervisor positions with internal candidates. We are actively recruiting for the winter season with staff attending job fairs at Truckee Meadows Community College, Sierra Nevada College and Carson Valley. Staff was also involved in planning for Diamond Peak’s Job Fair held on October 25. We continue to support District Departments with updates to job descriptions and as limited turnovers occur.

Training: Weekly District Orientations and bi-weekly Customer Service Trainings continue for new employees, with returning employees attending our Customer Service Refresher training. The Customer Service trainings remain interactive and utilize real scenario’s to demonstrate what empowerment involves. We are coordinating additional Customer Service trainings for ski employees prior to opening day. The Customer Care Card program continues to be utilized by our employees.

Employee Relations: We had two staff members speak to two business classes at SNC in October. This is a great experience for all and more exposure for the District. We also had staff members attend workshops through Nevada Public Agency Insurance/Public Agency Compensation Trust (POOL/PACT) and Northern Nevada Human Resources Association (NNHRA). We are coordinating the IVGID Benefits Fair for November 5th and inviting our health, financial and wellness providers to come and educate our employees on their services. The exciting thing with the benefits fair is you don’t need benefits to benefit from the fair! This is open to all employee statuses. We will also have flu and pneumonia shots available through our health care provider Prominence Health free for covered employees and their eligible dependents.

Workers’ Compensation: October Workers’ Compensation: There were no new workers’ compensation claims for the month of October. Two claims were closed, one id the Ski department and one in Utilities. This brings the current total number of open claims to seventeen (17). There is one (1) open claim from FY 1999. The total number of claims assigned to individual divisions is: Ski (6), Parks & Recreation (3), Grounds (1), Utilities (5), Tennis (1), & Golf (1).

MEMORANDUM

TO: Board of Trustees

THROUGH: Steven Pinkerton General Manager

FROM: Hal Paris Parks & Recreation Director

SUBJECT: OCTOBER 2014 STATUS REPORT - PARKS AND RECREATION

DATE: NOVEMBER 14, 2014

"---~-~----..~------~----~- -­ Incline Village Parks & Recreation Status 2012 2013 2014

Recreation Center Monthly Touches 8,809 8,491 7,829 Fiscal (YTO) Touches 41,274 38,984 39,724

Parks & Rec Counter Monthly Touches 5,202 3,874 4,205 Fiscal (YTO) Touches 37,644 30,668 34,485

Seniors Monthly Touches 967 807 620 Fiscal (YTO) Touches 4,256 4,391 3,812

Aquatics Monthly Touches 4,924 4,985 3,226 Fiscal (YTO) Touches 22,116 16,365 15,674

Fitness Monthly Touches 2,481 2,456 2,517 Fiscal (YTO) Touches 10,601 9,994 11,315

Youth/Family/Events Monthly Touches 1,740 2,041 2,138 Fiscal (YTO) Touches 4,298 5,285 5,832

Sports Monthly Touches 920 498 773 Fiscal (YIO) Touches 2,936 2,771 2,716

Facility & Field Rentals Monthly Touches 2,050 3,815 4,175 Fiscal (YTO) Touches 19,300 23,990 25,350

Monthly Beach Touches w/o boat & Jet 0 0 0 Fiscal (YTO) Touches 131,653 134,451 137,092

Monthly Tennis Touches 1,519 1,413 1,460 Fiscal (YTO) Touches 10,285 9,836 10,629

Department Monthly Totals 28,612 28,380 26,943 De~artment Fiscal YTD Totals "04,363 276,735 286,629 208 OCTOBER 2014 STATUS -2- NOVEMBER 14, 2014 REPORT - PARKS & RECREATION

Customer feedback received from comment cards:

"Just wanted to you to know that Coach Marcus is super. He really likes kids and that comes through. He's good at spotting where they need improvement and how to communicate to them." - Grable

"So happy to see you remove the redundant check in desk in the Rec Center. Move in the right direction. Efficiency and use of center." - Ramona

"Please consider opening Rec Center, especially pool, at 5:00am." -- Alison

"All praise for all Tennis office personnel." -- Larry

"Great season - lots of clinics and activities. Many new players came out, It was a terrific summer, one of the nest ever at tennis" -- Charlotte

Looking Ahead to October Department Highlights:

Senior Programs: • Transportation: Tuesdays to Reno-Nov 4 &18 fTuesdays to Carson City-Nov 11 &25; All Wednesdays-Local; Wed, Nov 19 - LocalfTruckee. • Conversation Cafe - Nov 6, 13, &20. Special Thanksgiving Potluck hosted on Nov 20 meeting. (No Conversation Cafe on Nov 27 due to Thanksgiving Holiday) • Digital Photography regular meeting Nov 13 (No Digital Photography on Nov 27 due to Thanksgiving Holiday) • The Incliners -monthly Potluck, Nov 4, and Catered Dinner, Nov 18; singles group and book club. • IVICB Veterans Club general membership does not meet in November, however the board does - Nov 19. • Tuesday Senior Snowshoe Series begins (weather permitting): Register in advance and meet at the Recreation Center at 10:00am for fun and exercise at local venues. • Senior Bowling night is scheduled for Wed, Nov 12, from 4:00-6:00pm. • S.T.E.P. OUT Excursion: Apple Hill, Monday, Nov 17, 9:00am-5:00pm.

Parks: • Capital improvement project for irrigation and drainage at Incline Park fields #2 & #3 completion. • Capital improvement project to replace Village Green and Ski Beach restrooms continues • NV Tahoe Conservation District for "rain garden" installation at West Park as part of the Incline Green Streets Project will take place • Eagle Scout project completing improvements to station #17 on the Fitness Course to take place • Additional bear boxes to be installed at Beaches and Parks 209 OCTOBER 2014 STATUS -3- NOVEMBER 14, 2014 REPORT - PARKS & RECREATION

Fitness, Heath & Wellness: • Gong Immersion Workshops • Received Pilates Reformers (CIP purchase) and will install in November • Continue to hire another trainer and sUbstitute fitness instructors • Precor Treadmills arriving in November. • Implementing the Pilates Personal Training in November with instructor Peggy Patterson.

Youth, Family, and Special Events: • Attending parent group meetings at each school • Meeting with the Brunch with Santa committee • Parents Night Out • Tiny Timbers program in full swing • Beginning three new youth dance classes

Sports: • Volleyball Clinic begins Nov. 10- Dec. 8 with 11 registered with coach Tony Graeber. • Adult Volleyball and Soccer will continue 3 days per week. • Little players will continue. • Play like a champion will continue • New Monday night youth soccer league will begin. th • Guys night in will be on November 14th at the Rec. Center grades 4_a .

Tennis • Pro Shop Closed for the season • A few courts will remain open on first come first serve basis weather permitting

Aquatics: th • The first session of swim lessons will end November a and has shown average numbers for this time of year, swim team has picked up slightly; and we're joining forces with Northern Nevada Aquatics which will increase our numbers and allow our swimmers to compete in USA Swimming • We're re-organizing our Flying Fish Swim Program, with session I starting November 14th • Session II of swim lessons begins November 17th

210 MEMORANDUM

TO: Steven J. Pinkerton General Manager

THROUGH: Joe Pomroy, P.E. Director of Public Works

FROM: Ronnie Rector Public Works Contracts Administrator

SUBJECT: Public Works Department's Monthly Status Report for October, 2014

DATE: November 13, 2014

DIRECTOR HIGHLIGHTS

District staff had the privilege of hosting the California-Nevada American Water Works Association Regional Conference attendees for a tour of the Burnt Cedar Water Disinfection Plant. It was a full tour that included water plant operators from as far south as San Diego, engineers and regulators. It was a great opportunity to show off our newly refurbished plant with cutting edge technology for disinfecting water.

Lake Tahoe dipped below its rim of 6,223 this month. However, this does not affect our ability to draw our water supply from the lake, and there are no restrictions on our water supply from the Nevada Regulators. Only the State of California has passed mandatory water restrictions for California water users.

The Director met with representatives of the Nevada Department of Wildlife and Washoe County to discuss the potential for a wildlife technician to assist the community in response to low level wildlife concerns. Although NDOW appreciated the offer to fund such a position, it is not possible for them to delegate this authority to a local authority. NDOW and Washoe County will continue their public outreach efforts on being "Bear Smart."

The table below presents the trash violation statistics for the current and previous fiscal year, plus the totals for the last nine years (since the inception of the trash violation enforcement program). The goal of the Public Works Department is to achieve trash compliance through proactive enforcement and education by using internal staff and responding to trash complaints from the public. Fines are issued for violations of the Solid Waste Ordinance and credits are issued for installation and use of animal-resistant containers. All fines are collected through the utility bill.

211 Public Works Department -2- November 13, 2014 Monthly Status Report - October, 2014

r--Year July 1 to Credits Net of Total I June 30 l Fines Paid Issued Fines , Complaints L!913-14 $37,670.00 I$11,845.00 $25,825.00 229 i 2014-15 I $30,915.00 $9,676.00 L$21,239.00 132 I 2005-14 I $129,369.091 $39,123.00 I $90,246.00 1149

WASTE NOT ,HIGHLIGHTS

Madonna met with Zack Hymanson of the Tahoe Environmental Research Center to discuss aquatic invasive species surveys for IVGID properties in spring 2015.

Staff reestablished the Garbage Can Enclosure (Bear Box) Rebate Program in July. $150 rebates are available to customers who install a metal bear box on their property. To date, 97 applications for rebates have been received. Staff is providing product selection assistance and site location assistance, processing applications, verifying site installations and proof of payment - then initiating rebate payment upon completion of this process.

Waste Not AmeriCorps member Joe Hill assisted with an Incline Elementary School field trip with 60 kindergarteners to Sand Harbor State Park. The students learned about weather, nature and erosion. Mr. Hill was in charge of the erosion station, where students learned what erosion was, and then conducted experiments with sand castles to demonstrate the power of this natural process.

ENGINEERING HIGHLIGHTS

The Engineering Department is working on several CIP projects currently under construction, including: • Effluent Export Line Conditions Assessment Project - Fast-moving project to determine the condition of the remaining portions of steel effluent export pipeline. Work will be completed via in-situ analysis and will occur between Spooner Pump Station and the junction of State Route 28 and Highway 50. • Recreation Center Roof Replacement - This project was awarded to Alpine Roofing in October, 2013 and was delayed due to weather. Work is now 100% complete and final close-out of this project is in process. • 2014 Watermain and Fire Flow Enhancement Project - This project was awarded to Burdick Excavating, Inc. by the Board on July 30,2014 and work began September 2, 2014. This project replaced approximately 2,700 lineal feet of watermains and related appurtenances along Dale Drive, Knotty Pine, Willow Court and Lark Court. Notice of Completion was Signed on November 7, 2014 and final close-out of this project is in process.

212 Public Works Department -3- November 13, 2014 Monthly Status Report - October, 2014

• Ski Beach and Village Green Restrooms Replacement Project - This project was awarded to Walker River Construction by the Board on July 30, 2014 and work began on September 2, 2014. This project will replace the aging and failing bathrooms at Ski Beach and Village Green with two packaged restroom buildings supplied by Romtec, Inc. Project work currently focuses on finishing the building roof systems, application of exterior stucco, and start of interior finishes. The project is scheduled to be complete in January 2015. • Incline Village Baseball Field Improvements Project - This project was to improve the drainage and irrigation at Incline Park Fields 2 & 3, and was awarded to Rapid Construction by the Board on August 13, 2014. Work is 100% complete. Final close­ out of this project is in process.

In addition, the Engineering Department is overseeing a number of other projects in the planning and design phase including the Beach Facilities Study, the Mountain Golf Course Facilities Study, the Diamond Peak Incline Creek Culvert Rehabilitation, the Public Works Cold Storage Building, and the second phase of the Effluent Export Pipeline Replacement Project.

UTILITIES HIGHLIGHTS Monthly compliance reports were submitted to the state and local agencies for the water and wastewater systems with no permit violations. Water production was 2.7 MGD and Wastewater flows were .87 MGD.

Wastewater Operations Along with routine operations, staff assisted Centrisys with the removal of the #1 centrifuge for rebuild and clean-up of the hydraulic tank and bowl cover. Crews pulled the #3 south recirculation pump for Reed Electric to overhaul and installed the rebuilt #2 pump set. Opt-10 surface overflow issues were corrected and the plant's south clarifier was taken out of service due to lower influent flows, which will reduce detention times. Operators recalibrated the RAS pump control and removed debris from inside the north side WAS pump.

Water Operations In addition to routine inspections, laboratory analysis, instrument calibration, chemical deliveries, and routine maintenance, staff met all regulatory requirements for the production of potable water. The BCWDP met all treatment requirements for the month. All ultraviolet transmittance and intensity sensor calibrations and checks were completed. Staff cleaned and prepared the BCWDP for the AWWA Conference tour, which was presented by the Public Works staff with over 40 attendees present.

213 Public Works Department -4- November 13, 2014 Monthly Status Report - October, 2014

Water Pump Stations All tank transducers have been winterized and the quarterly water pump station preventative maintenance tasks (PM's) have been completed. Liquivision completed inspection and cleaning of all 13 water reservoirs, with a final report to follow. Staff repaired the heater and a small transducer leak at WPS 3-A1.

Sewer Pump Stations Most sewer pump stations PM's were completed and stations continued to provide reliable service throughout October with the exception of SPS 14, which is still experiencing slightly higher than normal grease flows. Staff also assisted Thunderbird Communications with the SCADA upgrades to the ACE 3600 units.

Water Distribution In addition to the normal work load, staff repaired 6 water main leaks including 1 failed saddle, assisted in 3 water main shutdowns and bypasses for contractors, performed 72 extensive line locations, and scheduled and tested 4 commercial meters with minimal disruption to the customers. Staff raised several manholes and valves after the County micro-seal project, rebuilt 1 commercial meter vault lid, and installed a new air relief valve on Knotty Pine. Staff worked with the contractor to install 4 new meters and lids plus received bids from contractors and is working on the next round of commercial and large meter replacements.

Scheduled work consisted of winterizing all of the parks' irrigation meters, hard facing the loader chains and preparing winter snow removal equipment. Post indicator valve inspections and flushing dead-end water mains were carried out and staff assisted on non-pay water turn-offs.

Wastewater Collection Pipeline crews completed 175 feet of sewer main TV work and 9,462 feet of sewer main hydro-"Hushing, and are still monitoring the check valve on the sewer main line feeding the Hyatt Lone Eagle for "I~ow and other issues. Staff also repaired 1 sewer main which had been damaged. As a precautionary measure, crews installed one Full Circle Repair Clamp on the export line that had been scratched during excavation by S.W. Gas administrators near Highway 395 and Plymouth Dr. Crews are continuing on our 15 year hydro-flushing plan to clean all of our sewer mains

Miscellaneous I Training I Safety Staff attended the monthly District Safety Committee meeting.

Staff continued hauling of bio-solids from the treatment plant, green waste products from the golf course and spoils from the pipeline yard, plus backhauling of base rock materials for storage.

214 Public Works Department -5- November 13, 2014 Monthly Status Report - October, 2014

Pipeline staff has completed annual uniform orders, and started on the fall District-wide BMP drain interceptor cleaning. 5 employees completed the OSHA 10 hour refresher training, and 2 completed the 30 hour OSHA refresher training. 2 members completed their essential management skills training and 2 attended the new Federal forklift training. Chris Orton conducted a PRV clinic for all, Drew Morris passed his Grade III Collection System test and Robert Lyle passed his Grade I Water Distribution test. Congratulations go out to them.

Treatment Plant staff continues to hold its bi-weekly workshops with the Director of Public Works identifying individual pump stations and developing advanced SOP's and station improvement plans.

There were a total of 12 alarms from the Plant Division and 2 call-out responses for the Pipeline Division. Call-outs consisted of customer service assistance, pump station power outages, RAS flow issues, intrusion alarm and plant checks. Plant staff attended to several brown outs and power issues which occurred over a 5 day period directly related to SPPCO issues that also affected Crystal Bay and Incline Village water and sewer pump stations.

BUSINESS OFFICE HIGHLIGHTS • Staff posted 40 delinquent accounts for shut-off; 2 accounts were shut off due to nonpayment. There are currently a total of 7 accounts which are shut off for delinquent balances. • 217 accounts received E-statements through the new Online Account Access. • Potential leak notifications were indicated for 382 accounts on their monthly statement. • 19 changes in ownership were processed on utility accounts. • Staff processed $0.00 in credits related to water leaks. • No liens were recorded. • No Releases of Lien were recorded. • Staff is working on contract administration for various CIP projects, including the 2014 Watermain and Fire Flow Enhancement Project, Baseball Field Improvements Project, Ski Beach and Village Green Restrooms Replacement Project and the Recreation Center Roof Project. FLEET HIGHLIGHTS • Fleet has received arid put into service several new pieces of equipment as part of the 2014/15 CIP. Diamond Peak has received the new Winch Cat and the new Terrain Park Cat. A new tractor was received for Parks department and one also for Golf Maintenance operations. The new Fuel Management system is has also been installed and in operation for Public Works fuel pumps

215 Public Works Department -6- November 13, 2014 Monthly Status Report - October, 2014

• Several pieces of equipment that were replaced went to auction results are still pending Department Highlights • Sweetwater shop );> All shop activities are running smooth at this time and the mechanics are keeping up with workloads. );> Fleet is in the process of bringing the winter equipment out of storage and making preparations for the upcoming snow removal season. • Ski shop );> All shop activities are running smooth at this time and the mechanics are keeping up with workloads. );> Special fabrication projects have been the focus of work in September with the completion of some which include a gate on lodge deck to push to push snow out during snow removal, Modifications to plumbing and installation of filter to diesel fuel pump. Other projects are in progress but not yet completed. • Golfshop );> All of the golf operation vehicles and equipment are fully repaired, serviced and ready for use. The golf shop operation is running smooth at this time and the mechanics are keeping up with the workload.

BUILDINGS HIGHLIGHTS

Staff completed the annual F&B Ansul fire system inspection.

• Administration Repaired all parking lot lights Removed, repaired and upgraded exterior security light perimeter of facility • Public Works Assisted IT staff with installation of the new Fleet gas pump system Repaired all parking lot lights Winterized boiler glycol in preparation for seasonal change • Treatment Plant Repaired generator vent on Crystal Bay pump station Repaired faulty check valve on fire suppression system • Chateau Repaired drain lines to floor sink from ice machine in Grill F&B kitchen Ordered and installed new fire rated door in Grill F&B kitchen Completed new boiler install CIP Fireproofed wood support beams per code in the boiler room Repaired all four paper towel dispensers in downstairs bathrooms Winterized boiler glycol in preparation for seasonal change

216 Public Works Department -7- November 13, 2014 Monthly Status Report - October, 2014

• Aspen Grove Repaired and cleaned refrigerator following facility event • Golf Completed new fire monitor install in Champ Golf maintenance building Purchased new Reznor heater for Mt Course maintenance building • Ski Completed striping all Ski parking lots Winterized boiler glycol in preparation for seasonal change • Parks Repaired cracked toilet in women's family restroom, Preston Field Painted new handicap parking symbols at Preston Field • Tennis Closed down facility for season • Recreation Center Repaired front walkway light damaged by vandalism Prepped and painted exterior stair railing at southwest 2nd 'Hoor entrance Repaired CO problem - tightened gaskets Repaired leak at heat exchanger for swimming pool Winterized boiler glycol in preparation for seasonal change Repaired failed return fan 5 after electrical outages Electrical power outages caused full facility shut downs and restarts • Incline Beach F&B Completed winter shutdown • Burnt Cedar Beach F&B Completed winter shutdown • Beaches Completed floor repairs & replacements at Burnt Cedar playground bathrooms Reset toilets and partitions in Burnt Cedar bathrooms; replaced toilet in Men's room Hooked up winter bypass pump at main pool and switched electrical from chlorinator Winterized pool facility

217 TO: Steve Pinkerton General Manager

FROM: Brad Wilson General Manager of Diamond Peak

SUBJECT: Department Monthly Report - Ski

DATE: November 13, 2014

Administrative Summary

We spent the month of October finishing lift projects, getting the snowmaking system ready for the season, gearing up for Ski Show season and preparing for our annual Job Fair.

The largest lift maintenance project on the Crystal Quad Express will 'finish up by mid-November. Most of the other annual maintenance projects are completed for opening (see below for details). Slope Maintenance had a very busy month finishing up brush cutting and their defensible space work. They completed all testing on the snowmaking system and took advantage of the first cold night in November!

Marketing was busy on social media with the brief snow storm and snowmaking. The annual brochure was completed and available for the first Ski Show of the season in San Francisco on November 1-2. The Marketing Manager and Resort General Manager attended the Governor's Conference on Tourism in Reno.

st The Early Bird Season Pass sales ended at midnight on October 31 • Sales YTD are 18% up over last season. Much of this increase can be attributed to our extended Resort Partnership Program. We extended our partnership this year to include Boreal Mountain Resort and June Mountain along with last season partners Homewood Mountain Resort and Red Lodge Mountain in Montana. Diamond Peak Season Pass holders can receive 4 free lift tickets from each participating resort. We in turn give their pass holders the same privilege.

th We had our annual Job Fair on October 25 , although the turnout was not as large as we expected, we did see more people applying for jobs than last season.

218 Department Monthly Report - Ski -2- November 13, 2014

IVGID Marketing

October 2014 Marketing Monthly Report (Time period: 10/1/14-10/31/14) Google Web Analytics:

Website # of # of I% of Avg time / Notes sessions sessions i growth on site October October '14 '13 i www.diamond[2eak. 33,849 11,292 199.76% :49 vs 2:43 86% of traffic was com new visitors to the I site; the most visited

I page was Season I i I Passes Since the consolidation of the former websites, metrics will be recorded differently. The . comparison will now be year-to-date pages vs. website sessions, average time on site, i and most viewed pages within secondary pages. I www.golfincline.co 1,809 2,595 Idown , :47 vs 1:50 I Most viewed page I m vs /golf-incline ' are the rates (1,809 I views) www.inclinefacilitie 1,526 1,888 down . 1 :05 vs 2:21 I Most viewed page is

s.com vs I The Chateau (1,210 /meetings-and- I I views) I weddings www.inclinerecreati 2,111 4,360 down 1:03 vs 2:13 Most viewed page is .

on.com vs /parks- I the Rec Center (964 , recreation r------.­ L I views) www.ivgid.org vs I 2,992 7,859 ! down 1:05 vs 2:04 Most viewed page is livgid Departments 628 I ( 1 . views)

www.l!ourtahoe[2lac 3,524 12,031 , up I 1 :04 vs. :48 The most viewed e.com I secondary site is

old site vs. new i Parks & Rec /public-works ' 1,295 Didn't - 1:25 Most viewed page is , • exist Waste Not (190 views) i /jobs 2,808 Didn't ! - :38 . Most viewed page is exist : ~:;:re Profile (799 : i I I

Facebook Stats: Page # of I # of fans: # of fans: % of posts: i 10/1 10/31 growth Diamond Peak 24 /11,278 11,390 0.99%

219 Department Monthly Report - Ski -3- November 13, 2014

Top Posts: 10/27 (photo) - 451 likes, 47 comments, 34 shares, 6,780 people reached

, . .;:" 'lg I~ I ! are 0il S IS: r I"

10/16 (photo) - 281 likes, 10 comments, 11 shares, 3,356 people reached

~ DIJI'1ond Pp~k S~I Resort ~

i ' :, 11,:.h

Events Attended: 10/9: SNC Job Fair (JMR) 10/9: Lake Tahoe TV golf tournament (KA) 10/11: Dog Days of Fall; Diamond Peak promotion &season pass sales (EK) 10/16: NLTRA Chamber Mixer @ Incline Library (KA) 10/17: NL TRA Membership Luncheon (KA) 10/25: Diamond Peak Job Fair (EK, JJ, BW) 10/28-29: Governor's Conference (KA, BW) 10/31: End of Season Pass Sale

220 Department Monthly Report - Ski -4- November 13, 2014

Press releases (or blurbs) sent: Jackie's Tip(s) of the Week for the I The Grille at The Chateau Open Through Oct. Bonanza: th 30 Getting prepared for Tahoe ski season IVGID Launches New Website Staying safe this Halloween season What's New PR to MY21 Note: The Tip column is now alternating with Electric Car Charging Stations - Tahoe the GM Corner Quarterly Ski Preview - Sacramento Bee Articles (not including Tip of the Week): Season Pass Sale - Sliding on the Cheap # of positive articles that mention IVGID- 51 Tahoe Ski Preview - SF Chronicle # of positive name mentions- 180 Multiple releases - On the Snow What's New & Press Kit - Sierra Ski News . Season Preview - Los Angeles News Group &

! InsideSoCal.com

Notable PR: The Travel Guys in Reno, visiting the Championship Course: http://youtu.be/OXY247jZlvc News Channel 4: Diamond Peak snowmaking coverage: http://www.clipsyndicate.com/video/playlistl25504/5415604 Bonanza 10/30/14: Diamond Peak snowmaking photo on front page Tahoe Powder Winter 2014: The ultimate Tahoe winter OnTheSnow.com: Diamond Peak Expands Season Pass Partnership

Email stats:

I List DaylTime sent . Subject 1# Ofl% \#Of i subscrib . open clic I i ers 's • ks i IVGID Wed, Oct 01, • The Grille at The Chateau OQen i 523 49.8 116 04:29 pm I Through Oct. 30th . % • Golf i Wed, Oct 01, ! The Grille at The Chateau OQen 686 ·49% 121 04:46 pm . ThrouQh Oct. 30th I i Diamond Peak Thu, Oct 02, First Snow! Season Pass Sale 22,024 i 15.8 I 334 01:43 pm Ends 10/31 1% • i ·IVGID Fri, Oct 03, 02:00 . IVGID Launches New Website .523 57.6 ·87 I pm % i Beach Facility Mon, Oct 06, Join IVGID's General Manager 646 error erro Presentation 02:00 pm Steve Pinkerton at the Chateau r for the Beach Facility OQen· I House, Wed., Oct. 15, 2014 at 61 , Q!J1 Public Meetings liMon, Oct 06, Join IVGID's General Manager 2,166 error erro Special 02:24 pm Steve Pinkerton at the Chateau r Announcements for the Beach Facility Open. I:use, Wed., Oct 15, 2014 at 61

221 Department Monthly Report - Ski -5- November 13, 2014

Recreation Mon, Oct 06, Join IVGID's General Manager 1,931 error erro Center 02:27 pm Steve Pinkerton at the Chateau r

for the Beach Facilitv Open i I House, Wed., Oct. 15, 2014 at 6 I ~~____~__~~~-=I __-=~~m~m~~-=~~__~_-=____~~~-r~~~~ Golf ! Wed, Oct 08, Play the Championship Course 5,332 18.4 61 I 10:55 am this Fall % r-----~----~------Diamond Peak Wed, Oct 15,. Ready for Winter? Season Pass 21,934 13.3 299

. 09:46 am ! Sale Ends 10/31 ! % Golf Fri, Oct 17, 01:45 • Last Chance to Golf: Champ, 5,314 . 17.5 50

pm ! Course Closes 10/26 ... I . I % I

\-iI-V-G-ID-Em-pl-oy-e-e-s-+-'-M"-o-n-,-Oct 20, I IVGID Venue Dates & Diamond I' 343--+--4-5.-3--+-1 14- ---l l , 09:46 am ! Peak Updates % i , Diamond Peak Fri, Oct 24, 12:42 ' Last Week to Save Plus Winter. 21,872 '12.7! 231 pm Preview Video % I

Diamond Peak Thu, Oct 30, Only 2 Days Left to Get the Early 21,911%112.9 I, 192 03:43 pm ----.l--:;B;;,;,:ir~d.,;,..R.::::a~te=---______._.'--__.__... .L~____----'

Favorable customer reviews: According to the Augustine 2013-14 Strategic Marketing Plan, a goal is an increase of 20% favorable reviews (rating of 4-5)

TripAdvisor Yelp October October 2013 October 2014 October 2013 [ 2014 , Diamond Peak No reviews 2 (3-4 stars) No reviews, 136 2 (4 star), 223

i views i views

Championship ! 1 (5 star) 1 (4 star) I ~o reviews, 82 I No reviews, 67 Course . views ! views Mountain Course . No reviews 1 (4 star) I No reviews, 20 1 No reviews, 19 1. i , i I views I\lie~

Sales: • Reported on September Golf Voucher redemption. As of 9.17.14 148 rounds were generated equaling $8,873 in revenue. • Prospected and solicited new and existing clients for the winter ski season • Worked with third party ticket sellers to update online content and test 2014/2015 e-tickets. • Followed up with International Wholesalers, continued relationship building. • Met with President of Bay Area Ski Council while in San Francisco, we will be working together to bring ski clubs back to Diamond Peak. • Hosted the Navy Birthday Golf Tournament with great success. • Worked with Liftopia to finalize multi-day lift products. • Sent Group Definite for Nachtspektakel.

222 Department Monthly Report - Ski -6- November 13, 2014

• Continued negotiations with Entertainment Benefits, third party ticket seller. • Setup and Organized Bay Area Tradeshows for 10.31.14 and 11.08.14 • Discussed on call shuttle service with Tahoe Biltmore, Guest Services, and Property Ops. • Reported on the 2014/2015 Season Pass Sales, as of 11/4/2014, DPSR is $61,437 ahead of 2013/2014 • Furthered negotiations with wedding vow renewal group for late January • Sales communicated with resort partners to strengthen relationships and strengthen the program. • Sales met with a prospective client who is looking to hold a cross country skier cross at Diamond Peak. • Sales and Marketing met with Club Tahoe to discuss ticketing opportunities and on property marketing opportunities • Sales received the initial Costco wholesale gift cards order, worked with ticketing office to fulfill and ship out the units via Fed Ex. • Sales and, Marketing attended the SF SnowBomb Tradeshow, representing DPSR to over 5000 people in attendance. • Sales began coordinating to attend the Winter Wine and Ski Expo held in Reno on 11.19.14

Mountains Operations October Status Report Capital Project Update • Project 3462HE1502 - Crystal Express lift major component replacement - in progress

Lift Maintenance & Operations • Installed all Non Destructive Tested haul rope grips in chairs • Installed all Non Destructive Tested chairs on the lifts • Completed re-assembly of dismantled Crystal Express lift rope grips • Electrical service on lifts • Continued work on Crystal Express Major component replacement • Lift operations staff interviewing and hiring

Slope Maintenance • Continued brush cutting on trails • Defensible space work between Diamondback and Battleborn trails • Snowmaking Air and Pump house maintenance • Staging of all airlwater and fan snowmaking guns on the Crystal ridge, Sunnyside, Lodgepole and Schoolyard • Final snowmaking facility preparations

223 Department Monthly Report - Ski -7- November 13, 2014

• Snowmaking air compressor machine start up and testing • Snowmaking water pump house machine start up and testing • Snowmaking and grooming staff interviews, hiring and snowmaker training

Property Operations • Interviews and hiring of new Base Operations Manager • Continued painting and miscellaneous repairs in and around the base area buildings • Summer maintenance at Snowflake lodge

Ski Patrol • Ski Patrol staff interviewing and hiring • Began re-installing trail and mountain signage • Began re-installing lift tower and snowmaking hydrant padding

224