LAKE COUNTY, Calif. – If you’ve ever wondered about what happened to the Lake County redevelopment effort to reduce blight and improve the economy on the Northshore, it turns out to be a subset story of all redevelopment agencies in California.

Basically, redevelopment was funded by a state revolving loan paid back with the incremental increase in property taxes for a city or county. This was called the tax increment financing program, or TIF.

Gov. Jerry Brown stopped the TIF program that has been used since 1945 to revitalize slum areas and kick start local economies.

Brown, when mayor of Oakland, revitalized that city using a TIF program, but the view of the redevelopment program changes based on where you sit and the economic times. So if you’re curious, check out “The Life and Death of America’s Biggest Redevelopment Program.” You can still find it online: https://nextcity.org/features/view/tax-increment-financing-programs-california-redevelopment-agencies.

For Lake County District 3, the County Redevelopment Agency’s Northshore revitalization program using TIF consisted of purchasing Holiday Harbor, the old Lucerne Hotel known by many as the “Castle,” and a blighted shoreline in Lucerne.

When the state scuttled redevelopment, the county land purchase projects completed were the addition of beautiful Alpine Park lining the shore of Lucerne and a mostly restored Castle. There were additional projects such as repaving Upper Lake’s Main Street. Nothing could be done with Holiday Harbor except fence it in and put it up for sale.

For Lucerne, the improvements were not quite enough to kickstart change. Water prices had increased for 14 years, putting a stranglehold on pocketbooks and Highway 20 frontage businesses. Stores closed and new businesses had trouble getting through a first year. The fundamentals for a good economy were still not right and the job not finished. Lucerne remained a great promise with empty storefronts.

The issue became even more acute since fire disasters resulted in a loss to the county general fund. This fund fuels needed public services, not to mention law enforcement.

Until the burned areas’ economy returns, improving the potential economic engine in the Northshore with its 70,000 vehicles per week using Highway 20 is paramount. No other highway travels through the county with stunning views of both the lake and hills, passing directly through so many towns and by store fronts. Not a place for billboards.

An almost two-year effort working in the Public Utilities Commission world resulted in the private water company restructuring its pricing to stabilize the Lucerne water rates to a lower level. A couple of the many empty storefronts have now filled with hopeful entrepreneurs whose view is now on what else needs to be done.

One important detriment is the deferred maintenance on the Lucerne Harbor, which was built 50 years ago and only dredged once.

The harbor complex is a parking lot and launch ramp with breakwater, noted for trees and shrubs growing in the sediment and lack of tie-down docks for visiting boats. These were never put in although the space would allow for it.

Boats launch but go elsewhere to tie up and no one can visit Lucerne from another part on the lake to have lunch or shop as they do in the districts with city ramps. The beautiful park calls but boaters do not answer.

The county was aware of the problem as harbor dredging was put in the 2014-15 budget as a first step, but diverted instead in 2015 to dredge Holiday Harbor’s access channel. Holiday Harbor was up for sale although no redevelopment funds were available to refurbish it.

Funds to dredge the Lucerne Harbor were again placed in the 2015-16 budget but once again redirected to Holiday Harbor for retaining wall maintenance. It’s hard to sell a harbor if it’s falling apart.

No funds were budgeted for Lucerne Harbor in 2017 because of continuing fire disaster conditions and it seemed the first step would not be completed for the docks to be added.

In 2017 a State Boating and Waterways grant application was submitted for dredging and additional tie-downs. This was turned down by the state because it didn’t meet their criteria.

The only hope became the sale of Holiday Harbor and some funds directed to Lucerne Harbor.
Holiday Harbor has now sold and the time for completing a vision is here.

A viable Lucerne Harbor will not only improve the chances for filled storefronts but also improve the image of the Castle awaiting its next occupant.

It’s all about completing the job that was envisioned so long ago and not forgetting, it’s about the fundamentals.

Jim Steele is the District 3 supervisor.