Vail Resorts – the real Winner in last week’s Election

OK.  The ECT will prove it.

Prove what?  The fact that last weeks (May 6th 2014) big winner in Tuesday’s election was Vail Resorts.  Let’s begin.

After engaging in what some folks refer to as “extortion politics” the lawyers from both sides – Vail Resorts and the Beaver Creek Homeowners agreed to put on a Ballot Question for Beaver Creek Homeowners to vote on last Tuesday, May 6th.BC-Alpine-Slide

The Gist of the question?  Shall the Beaver Creek Homeowners pay Vail Resorts $5 Million Dollars to move the proposed Beaver Creek Alpine Side from the base of Beaver Creek Mountain to the top of the Centennial Lift at the location known as Spruce Saddle?

BC Voters decided:

Yes – 167

No – 38

Be advised the Homeowners agreed to purchase a $5 million dollar bond with a 30 year payoff of ~$20 Million.  For reasons best known to Beaver Creek homeowners they choose ~$20 Million in debt rather than (years) of Alpine Slide litigation with Vail Resorts.  ECT folks now wondering if lawyers (on both sides) have a personal financial interest in the Bond company doing the financing…

Interesting legal precedent now (set) for a Ski Resort operator?  Propose an unpopular new item for development (Alpine Slide?) in a Resort Community and insist you’ll “leave if you get paid millions”.  Legal tactic now seems to work – you decide.

ITEM 2 – The Water District Election – Eagle River Water and Sanitation District

FACT:  Did you know…that the (4) newly elected Water Board members have a DIRECT connection with Vail Resorts?  Each is either a current VR employee or a retired VR employee.  Let’s name their (4) names, shall we?  Paul Testwuide, Rick Sackbauer, Tom Allender and Bill Simmons.

FACT:  Vail Resorts has applied for and has received some preliminary (Town of Vail) approvals for what VR calls their proposed new development named “EverVail”.  In short it is a new Vail Mountain “portal and base area” to get Skiers up Vail Mountain.

FACT:  EverVail’s proposed location is exactly where the Water Districts Vail plant is located today.  Just west of Lionshead on Gore Creek.

Now look at the view from Vail Resorts financial perspective.   VR’s view (of the perfect scenario) is that the Water District agrees to move their Vail Sewer Plant – and have the District’s Water and Sewer customers – pay for the move…

Remember:  4 out of the 7 Water Board seats have a (connection?) with Vail Resorts

More Facts:  Last Tuesday the majority of Water District voters, vote (foolishly) to surrender their TABOR Rights.  This vote to now “de-Bruce” has resulted in the Water Districts Board removing (District Customers) from their Voice (read: their vote) to control and discipline spending in the District.  The majority of voters voted “yes” to below.

ERW&SD-Ballot-Issue-B

FACT:  It is important to point out this lesson from Eagle County’s recent history.  Circa (2009-2010) Eagle County Commissioners “side-stepped” TABOR and Eagle County Taxpayers/Voters and “issued ~$24 Million in long term Debt” using a financial vehicle called “Certificates of Participation”.  The $24 Million being used to remodel the Eagle County Jail and Courthouse.  The Commissioners knew at the time the County voters/taxpayers would never have agreed to the $24 Million so they “side-stepped” them (and their TABOR voter rights) by spending the $24 Million by issuing CoP debt!

Q.)  What is to stop today’s newly elected Water District Board from issuing as much “Certificates of Participation” debt to move their Vail Sewer Plant – should the Board be motivated to do that?

Answer:  Now that the District has voted to “de-Bruce” the answer is – nothing to stop 4 out of the 7 Water Board members from doing just that.

Will that happen at some future date?  Time will tell.

You’ll need no time to tell – Vail Resorts had an exceptionally good Election last week and many of you are going to pay dearly for it.

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