Paiutes Seek Resort Proposals For Pyramid Lake

RENO GAZETTE-JOURNAL
Thomas J. Walsh

7/28/2004

The austere desert surrounding ancient, azure Pyramid Lake, 35 miles northeast of Reno, could be the home of a new tribal resort catering to fishermen and water sports enthusiasts — and perhaps a few gamblers.

The Pyramid Lake Paiute Tribe has issued a “request-for-proposals” document to developers, outlining a “destination resort, hotel, restaurant and casino facilities, etc.” for the reservation. The tribe has identified two possible locations: immediately north of the reservation community of Sutcliffe, which has a marina by the western shore of Pyramid Lake, or near the southern tip of the lake in Coal Creek Canyon, three miles west of the reservation town of Nixon.

The tribe also seeks a partner for a truck stop near the Wadsworth exit of Interstate 80, which would include a small casino. “We were looking at ways of bringing our revenues up by way of different sources,” said Tribal Chairwoman Bonnie Akaka-Smith. “It’s been talked about for many years now, but now we have an economic development director, a committee and a planner.” Akaka-Smith said she wants construction on the two developments started within a year. She is seeking proposals from developers by September.

“The tribe in the past has been a little hesitant,” she said. “Now we have a council that sees the possibilities.”

Natural wonder

Pyramid Lake, known for its stark beauty, unusual wildlife and fisheries, has about 110,000 surface acres and a shoreline of 125 miles. It is 15 miles long and 11 miles wide and up to 350 feet deep. Its is fed by the Truckee River from Lake Tahoe.

The Pyramid Lake Paiute reservation has about 510,000 acres within the borders of three counties — Washoe, Lyon and Storey. The project would be developed in the area closest to Washoe County.

“The nature and scope of (the) project are preliminary at this time subject to completion of fully scoped feasibility studies and joint venture negotiations with a suitable joint venture partner,” the request states. “The tribe is also open to other ventures such as a ‘get-away’ resort featuring camping trips, horseback rides, and cattle round-up participation.”

The tribe’s Web site says it gets permit revenue from the lake by fishers, boaters and campers. The tribe’s unemployment rate was pegged at 44 percent in 1993, but Akaka-Smith said that figure has declined in recent years.

Other sources of income include taxes collected from mining operations on the reservation, land taxes from several retail operations and cigarette taxes from the I-80 Smoke Shop and Campground and other stores.

Eye to the future

Of the 2,250 members, about 1,600 live at the Pyramid Lake reservation. The tribe convened its own gaming commission last year to prepare for the resort initiative.

Akaka-Smith said it’s frustrating that the many fishermen who visit the lake pack up and go home when the weather turns bad.

“That’s why we’d like to have more of a destination resort, to keep them around a while longer, with other things to do.” She added that the resort would be very limited in scope, with a “lower impact visibility,” and that there would be only one resort on the lake. “Open spaces are at a premium these days, and we know that’s why a lot of people come out here,” she said.

Akaka-Smith envisions a small two- to three-story hotel, a fine dining restaurant, a café and small casino. As a model, she cites the Sheraton Wild Horse Pass Resort & Spa, a tribal development on the Gila River near Phoenix.

The Wild Horse features a casino, pool and spa and two 18-hole championship golf courses, and 500 guest rooms. Akaka-Smith has about 150 rooms in mind.

The Wild Horse also has a conference center, something that Ben Aleck, the collections manager at the Pyramid Lake Museum, said would be important to bringing any development at Pyramid.

“Tourists are already spending their money in Reno for day trips,” Aleck said. “But for people who are looking for a place to stay, this could work if it was nicely done and they didn’t cut corners.

“The tribe needs to be thinking about it. And in Sutcliffe, since it’s already developed to some extent, we should create a nice area for tourists with a place to hold meetings.”

The prospects

Developing a resort on a reservation, rather than on land placed in trust by the U.S. government, means the tribe can move quickly on any project, said Dennis Conrad, president of Reno-based Raving Consulting Co.

“Longer term, there might be some opportunity,” Conrad said. “In terms of it being a resort — that’s probably a stretch, short term. It’ll be a challenge.”

Still, Conrad said the Pyramid Highway generates a lot of traffic.

“There won’t be any major players beating down their doors, unless they know something I don’t know,” he said. “But with some of the smaller players who have done smaller deals, there might be some interest.”

Akaka-Smith said she has had very preliminary talks with developers in and out of state.

Ferenc Szony — president and chief executive officer of The Sands Regent, the company that owns the Sands Regency Casino & Hotel in downtown Reno, the Rail City Casino in Sparks and the Gold Ranch Casino in Verdi — said he was unaware of the tribe’s plans.

“Until you really look at the demographics and what’s going on and what the plan is, you don’t really know,” he said. “When you’re a public company like ours, we’re always looking for opportunities for growth.”