Palisades Tahoe Settles 14-Year Dispute Scaling Back Olympic Valley Development

A landmark settlement has been reached between Palisades Tahoe resort owners and environmental groups Keep Tahoe Blue and Sierra Watch, ending a 14-year legal battle over the controversial Olympic Valley development project. The agreement significantly scales back the project's footprint by reducing the number of bedrooms by 40% and commercial space by 20%, while eliminating plans for a large indoor water park, which was a major point of contention. Additionally, a conservation easement will protect land at the base of Shirley Canyon, preserving public recreation and trail access, and no further development will be allowed within the plan’s boundary for 25 years. The revised plans, pending Placer County approval, aim to balance economic development with environmental preservation and community values in the Lake Tahoe region. As part of the deal, the environmental groups will drop their lawsuit challenging the project's previous approvals. Leaders from both conservation groups and Palisades Tahoe emphasized that collaboration was key to achieving a solution that supports the social, economic, and environmental needs of the area.