TAHOMA, Calif. — The Tahoe City Public Utility District is moving forward with its largest-ever infrastructure effort, the Tahoe Cedars Water System Reconstruction Project. Now, some Tahoma residents are raising concerns about potential environmental impacts tied to construction staging.
The project aims to fully rebuild the aging Tahoe Cedars water system, originally constructed in the 1940s and now considered actively failing. In 2021, TCPUD’s board adopted a comprehensive master plan recommending full replacement of the system following years of financial planning and evaluation.
At an estimated $72 million, the project is significantly larger, more complex and more costly than any previous water system reconstruction undertaken by the district. Funding is expected to come from a mix of water rates, property tax revenue, infrastructure charges and potential grants.
According to TCPUD, the overhaul will bring major improvements to the area’s water infrastructure, including replacing more than 15 miles of undersized and deteriorating water mains, installing 144 fire hydrants — many in areas that currently lack coverage — and adding more than 1,200 residential water meters. The district says the upgrades are critical to ensuring reliable drinking water and improving fire protection in the Tahoe Cedars service area.
However, the project has sparked concern among some residents, particularly over where construction staging will occur.
A group of Tahoma residents, have launched the ‘Save Tahoma Wilderness’ initiative, arguing that elements of the project could cause long-term ecological damage.
“Although this project is necessary for our community, a proposed staging site for heavy equipment would negatively affect a delicate area that serves as an access point to several hiking trails within Tahoe National Forest and Sugar Pine Point State Park,” the group states on its website.
Opponents have raised specific concerns about a potential staging location in a forested area at the top of Antelope Way near TCPUD’s water tanks. They argue that construction activity in the area could lead to soil compaction, increased wildfire risk and long-term ecological damage. Residents have also pointed to possible impacts on wildlife, including the protected Northern goshawk, which has allegedly nested in the area in recent years.
“The forest will take decades to recover,” the group states. “We are trading a permanent forest asset for a temporary logistical convenience.”
The group is urging TCPUD to instead use alternative staging sites, noting that already-developed areas identified by the district could support construction without disturbing forest land.
TCPUD officials say they are listening.
In a letter to the community, General Manager Sean Barclay said the district takes concerns about wildlife, recreation access and environmental conditions seriously.
“We have heard and take seriously the concerns about protecting critical habitat, recreation access, and environmental conditions,” Barclay said. “TCPUD has a strong track record of environmental excellence on all our projects, and the Tahoe Cedars Project will be no different.”
Barclay emphasized that all staging areas and construction activities will comply with environmental regulations and permit conditions, and that any disturbed areas will be restored to required standards.
He also noted that recent changes to Phase 1 of the project will remove the need for one of the most controversial staging areas — the site near Placer Street and Antelope Way above Elm Street — during the initial phase.
“With the removal of this line from the current phase, a potential staging area above Tahoma Heights near the upper water tank is no longer needed for Phase 1 construction,” said Barclay. “However, this is still a critical pipe segment that provides significant water flow benefits to the entire neighborhood, and the line will be included in a later phase of the Project.”
The deferment will allow more time to study biological and cultural resources in the area.
Barclay additionally pushed back on what he described as misinformation about the scale of the staging site, which some residents have referred to as an “industrial yard.”
According to TCPUD, the location is just one of more than 30 staging areas under consideration and would not function as a single centralized hub.
“By no means will the site above Tahoma Heights near the water tank be the only staging area, as doing so would be incredibly inefficient,” Barclay said.
He added that staging areas are a necessary, temporary component of large infrastructure projects, helping reduce truck traffic and improve construction efficiency. Removing one site, he said, could shift impacts elsewhere and increase disruption for other residents.
TCPUD maintains the project is essential. The district purchased the Tahoe Cedars system in 2018 and says it has since required disproportionate maintenance due to frequent leaks and outdated infrastructure.
“Tahoe Cedars represents 20 percent of our water customers, yet accounts for half of our utility crew’s time spent repairing leaks,” said Berkley. “The brittle nature of the old pipes means fire hydrant testing has been on a moratorium since 2022.”
The Tahoe Regional Planning Agency (TRPA) Hearings Officer will hold a public hearing on Thursday, April 16, 2026 at 2:00 p.m. to review TCPUD’s proposed Phase 1 of the Tahoe Cedars Water System Reconstruction Project.
