Environment

Community Raises Questions of Sustainability and Access at Holland Lake Lodge Expansion Meeting

Representatives from lodge, USFS and ski resort company POWDR addressed frustrated crowd at Tuesday night meeting

By Denali Sagner
Holland Lake. Photo courtesy USFS

Representatives from the U.S. Forest Service (USFS), Utah-based ski resort company POWDR and Holland Lake Lodge responded to concerns about proposed expansions to the lodge at an Oct. 4 public meeting at Seeley Lake Elementary School.

The outlined project has become embroiled in controversy in recent weeks as residentsand longtime visitors to the Swan Valley have voiced apprehension surrounding USFS environmental assessment procedures, the privatization of public lands and the risks involved with developing the largely untouched swath of the national forest. In a contentious two-hour meeting, members of the public directed questions at the developers and USFS representatives, who attempted to clarify procedural issues and debunk rumors about the project as it heads into the next stage of review.

Built in 1924 as a small guest accommodation and rebuilt after a fire in 1947, Holland Lake Lodge currently consists of 16 buildings and structures, including a main lodge building, a boathouse, a horse barn and an owner’s residence. The lodge is located within the Flathead National Forest, requiring it to be operated through a special use permit that allows private individuals and corporations to provide concessions on Forest Service land. The lodge’s first special use permit was issued in 1924, and it has operated under such guidelines for nearly 100 years.

Currently, the lodge is owned by Christian Wohlfeil, who purchased it in 2002 from its previous owners after being an employee at the property for three years. Wohlfeil sold a portion of his stocks in the lodge to POWDR in 2021, hoping to disperse some of his own responsibilities as the sole owner and invest in an expanded future. POWDR, which is one of the largest ski resort operators in North America, owns 11 ski resorts, along with a collection of other adventure and experiential action sports businesses. Under the expansion plan submitted to USFS by Wohlfeil and POWDR, the remodeled lodge will include 32 new buildings, including 10 new cabins to replace five preexisting cabins, and the construction of a new 13,000-square-foot lodge with 28 rooms.

For many residents, the acquisition of the rustic lodge by a multi-million dollar corporation marks a threat to the serene nature of Holland Lake and is yet another example of out-of-state corporate interests reshaping northwest Montana, sentiments that were reflected in the nearly two hours of public questioning and over 5,800 letters submitted on the Forest Service’s public comment webpage. Throughout the meeting, often-heated discussions between residents and representatives from POWDR and USFS covered issues of accessibility, environmental sustainability and financial interests.

In an opening statement to the crowd, POWDR Vice President of Communications and Government Affairs Stacey Hutchinson attempted to set POWDR apart from other out-of-state corporations that have developed the area, as well as to dispel misinformation about the company’s plans for the lodge and address earlier procedural missteps.

“Our values are not California or New York,” she said. “We’re from Utah. Our values align very closely with the values you have here in Montana.” 

Hutchinson emphasized that POWDR plans to upgrade the lodge’s infrastructure, develop environmental education programs and implement dark sky friendly operations. The company will not introduce motorized boats into the lake or install ski operations, Hutchinson said.

Hutchinson also apologized for POWDR’s earlier failures to engage with locals. “I would have engaged with you all in the community much earlier on,” she said. “We are going to do better.”

Cheri Thornton, a Helena resident who attended the meeting, raised questions about POWDR’s intentions for the redevelopment and accused Hutchinson of responding dismissively to community concerns that the company would erect a ski lift at Holland Lake.

“You guys are one of the largest ski resort companies in the nation and your job is to build ski resorts,” Thornton said, adding that this would reasonably cause suspicion given that POWDR plans on operating the resort through the winter for the first time in its history.  

“I fully appreciate with our current businesses why someone would be skeptical,” Hutchinson said. “We have zero intentions to do that. You have my word. That will never, ever happen in this place.”

John Tapp, former president of the Swan Valley Fire Service Area who spoke at the meeting, questioned POWDR and USFS representatives about the ability of local emergency service providers to handle an increase in capacity at the lodge from 50 guests to 156 guests.

“We have one ambulance, we have a total of about 28 volunteers,” Tapp said. “Our concern is that if you double or triple the number of people that are going to visit Holland Lake on a daily basis, what’s that going to do to our medical unit?” 

In addition to the capacity of local emergency services, the issue of environmental sustainability was a major flashpoint, specifically regarding the Forest Service’s environmental assessment process. 

USFS and Holland Lake Lodge initially planned on pursuing a categorical exclusion for the development, a provision that allows actions on federal land to be “categorically excluded” from a comprehensive environmental review if they are determined to not have a significant impact on the environment.

Flathead National Forest Supervisor Kurt Steele in a Sept. 1 letter outlining the categorical exclusion request wrote, “Based on a preliminary assessment, intentions are to categorically exclude the proposed project from documentation in an environmental impact statement or an environmental assessment.”

Forest Service officials at the Oct. 4 meeting, however, implied that they would reconsider their pursuit of a categorical exclusion after the outpouring of public comment in opposition to the project, saying that they “missed the mark.”

Forest Service Public Affairs Specialist Tami MacKenzie told the Beacon on Oct. 5 that a final call has not been made on whether USFS will proceed with a categorical exclusion or will undergo a more comprehensive environmental assessment or environmental impact statement.

POWDR and Wohlfeil have defended their partnership in recent weeks and have publicly committed to a sustainable development strategy in light of environmental concerns. However, residents at the meeting pushed back on such promises and questioned the sustainability of any construction project in the Holland Lake area.

One speaker raised a question for the animals “who don’t have a voice,” asking POWDR and USFS representatives how they can “sleep at night” backing such a plan that will likely disrupt wildlife habitats.

POWDR representatives attempted to reassure the crowd that the company is wilderness-focused and that the proposed development is “the best we can do” in the face of the state’s rapidly developing tourism economy; however, the company’s representatives were interrupted by an audience member who yelled out, saying, “That is not the best we can do.” A representative from POWDR again said, “The best we can do as a business is to help Christian create something that is sustainable and that is more efficient,” which was met by an audience member yelling out that POWDR is “asking all of us to help Christian.”  

Environmental provisions encompassed in the development plan include creating nesting boxes for bats and certain bird species, maintaining a 20-foot shoreline protection zone in Holland Lake, installing 100% LED lighting rather than incandescent lighting and avoiding plastic bags, Styrofoam and pesticides entirely.

Many of those in opposition to the project, however, expressed that the only proper course of action to preserve the delicate ecosystem around the lodge would be to block POWDR and Wohlfeil’s development plan entirely, questioning claims by POWDR representatives that tourism growth and infrastructural development in the area is inevitable.

Letters submitted to the Forest Service during the public comment period, which ends on Oct. 7, reflected such concerns.

Mara Arlington, whose family owns a cabin in the area, wrote, “It absolutely is heart breaking to think that a development of this size is even being considered for the Holland Lake ecosystem. I cannot in any way, shape or form believe that this development would be positive for the lake, the surrounding environment and the people that have loved and enjoyed this area.”

“While improvements to the current facility would be beneficial, transforming it into a resort style community would be a detriment to the community members in the surrounding areas,” Flathead County resident Allie Simons wrote. “I implore you to consider the effects on residents of this area, rather than the effects on the wallets of those involved.”

In addition to thousands of letters from residents, the redevelopment plan attracted the attention of elected officials and those currently running for office. In a letter to Steele last month, U.S. Sen. Jon Tester urged USFS to expand its public comment period, as well as to “carefully consider whether the proposed categorical exclusion from additional environmental review is appropriate.” Representatives from both Sens. Tester’s and Daines’ offices attended the meeting, as well as representatives from various state and local offices and Democrat Monica Tranel and Republican Ryan Zinke’s congressional campaigns.

Issues of affordability and job creation also arose over the course of public questioning.

One resident said she would likely never be able to afford to stay at the lodge after POWDR’s redevelopment of the property and suggested the Forest Service take over the land to make it accessible to everyone.

On the concern of affordability, Hutchinson told the crowd that the lodge will offer different price points and will not be “$1,000 per night,” adding that she thinks the price points will be in line with what the lodge’s current rates are. The current cost of staying at Holland Lake Lodge ranges from $300 to $380 per night for one to two people, with the option of adding additional guests to rooms for an extra fee.

Wohlfeil told attendees that many billionaires attempted to purchase the lodge from him in prior years with plans that “sought to exclude people,” and that POWDR’s plan, on the other hand, aimed “to sell a recreation project to the public.”

“We’re not looking to have this be for the mega rich,” Wohlfeil said.  

POWDR and Wohlfeil also attempted to highlight the job creation that would come from the redevelopment. In a development plan submitted to the Forest Service, the resort company and lodge owner wrote that the lodge expansion will provide up to 25 new jobs in the Swan Valley, including management and maintenance jobs, as well as contract opportunities for recreation specialists, guides and caterers.

Many residents remained skeptical of the forecasted job creation, however, with one speaker questioning whether the created jobs will go to local residents. Hutchinson said that POWDR will “of course” prioritize residents in job creation, but that she does not know where job applicants will ultimately come from.

Another speaker who lives on nearby Placid Lake questioned if the anticipated creation of a “handful of jobs” will outweigh “thousands of tourists every year.” Public comments can be made through Oct. 7 on the Forest Service website. After the current comment window closes, USFS will continue its evaluation procedures, which will involve conversations with the U.S. Fish and Wildlife Service surrounding environmental feasibility and wildlife habitats. MacKenzie told the Beacon that another 30-day public comment period will open this winter after enough analysis has been conducted to address some questions raised in the public comment session. A decision on whether to move forward with the project is anticipated to be reached by March 2023.