By Win Gruening
To maximize the economic potential of Juneau’s municipally owned ski area, the CBJ Assembly this week conditionally approved a $2 million investment in a used gondola system for year-round operations. An additional $6.2 million will be required for construction and installation.
This is a huge step on the road to Eaglecrest’s self-sufficiency.
Full disclosure: I’ve been a fan of Eaglecrest since its inception. Growing up in Juneau in the 1950-60’s, I hiked three miles up into the Douglas Ski Bowl to ski on a short tow rope staffed by volunteers. Decades later, when the Eaglecrest Ski Area was built, I served on its first board of directors. My kids learned to ski there and I spent many weekends driving them to lessons, working Mitey Mite races, and helping to raise money for the Juneau Ski Club.
Eaglecrest is unique in allowing families to participate in a sport together outdoors in Juneau’s natural surroundings. Skiing is a multi-generational activity enjoyed by residents and visitors alike and, with Juneau’s school programs, is available inexpensively to kids of all abilities and income levels.
Like other CBJ recreation venues; swimming pools, softball fields, hockey rink, trails and parks, it requires a subsidy from the city. Despite Juneau’s variable weather and snowfall, it has historically recouped 70% of its operational expenses.
Ever since its beginning, ideas to minimize Eaglecrest’s financial subsidy have been discussed. Privatization and housing developments were considered and discarded as impractical. However, as Juneau’s visitor industry has developed, it became clear that a summer operation was feasible.
In 2019, Mayor Beth Weldon formed an Eaglecrest Summer Operations Task Force comprised of members of the Eaglecrest Board and CBJ Assembly. Since then, over two dozen public meetings have been held while researching possible summer operation opportunities. This has resulted in a projected operations plan encompassing a number of adventure rides and amenities, including a gondola lift, which would complement Eaglecrest’s summer zipline tour that has operated since 2006.
A public meeting was held recently via Zoom hosted by Eaglecrest General Manager Dave Scanlan. He outlined the current request and answered questions from the public for almost two hours. Several important points were highlighted during this presentation.
— The total $8.2 million gondola cost (installed including contingency) is approximately one-third the cost of purchasing a new turnkey system.
— This isn’t just about tourists. A gondola ride would open up Eaglecrest to a whole new alpine experience for locals for hiking, snowshoeing, tubing, mountain biking, and other activities, such as a mountain coaster and expanded Nordic ski trails.
— At historic visitor levels, an Eaglecrest summer program would not compete directly with existing visitor venues but would complement them. Local tour operators would partner on offerings. Eaglecrest will also be catering to a younger, more active visitor than has been the norm in the past.
— Additional summer bus traffic on North Douglas Highway would constitute a fraction of that generated by the hundreds of skiers who visit Eaglecrest on a winter day.
— Planning has focused on confining summer tourism activities to an area that minimizes conflict with traditional local uses at Eaglecrest.
— If the gondola project ultimately fails to materialize, the purchased system will still retain its value and could be re-sold to recover costs.
— Extensive financial modeling and research indicate that a combination of grants, loans, and public/private partnerships could finance the venture and allow Eaglecrest to eliminate the current city subsidy. Information on the Eaglecrest summer development program and financial projections can be viewed at skieaglecrest.com/summer.
The current $2 million appropriation only secures the purchase and delivery of the gondola system and the CBJ Assembly has requested additional financial information prior to its shipment to Juneau. As I have called for in other city-owned projects, Eaglecrest should expect a rigorous examination of its financial projections and any market studies before proceeding to the next level allowing construction and installation.
Nevertheless, the case made thus far is compelling and deserves serious consideration.
As envisioned, this concept would not only enhance Juneau as a travel destination and open up recreational opportunities for residents, but it would also free up precious tax dollars for other CBJ activities.
• After retiring as the senior vice president in charge of business banking for Key Bank in Alaska, Win Gruening became a regular Opinion Page columnist for the Juneau Empire. He was born and raised in Juneau and graduated from the U.S. Air Force Academy in 1970. He is involved in various local and statewide organizations. Columns, My Turns and Letters to the Editor represent the view of the author, not the view of the Juneau Empire. Have something to say? Here’s how to submit a My Turn or letter.
