“Revenues earned from lift tickets, rentals, food and beverage, and other resort activities are intended to pay for the acquisition and support long-term operations.””

AIM

NEDERLAND — The Nederland Board of Trustees (BOT) started the new year off big by taking action as the Mountain Recreation Enterprise on Ordinance 882, regarding the authorization of the purchase agreement for the Town’s acquisition of Eldora Mountain Resort. 

During their regular meeting on Tuesday, January 6, 2026, the Board first received an informational overview of the proposed Bond Ordinance and Indenture of Trust, which establish the financial structure for the Town’s purchase of the Eldora Mountain Resort, offering the guidance necessary for the Town to follow through on the acquisition and to manage Eldora as a “long- term community asset.”

According to the Agenda Information Memorandum (AIM) prepared by Town Manager Jonathan Cain and Town Attorney Jennifer Madsen, this information was being presented prior to the Board’s decision on the Asset Purchase Agreement as preliminary knowledge about the bond financing involved with the purchase.  

In addition to funding the acquisition, as well as the cost of issuing the bonds, the bond proceeds would also cover transition services, the initial capital needs of the ski area, and the required reserves.

“Revenues earned from lift tickets, rentals, food and beverage, and other resort activities are intended to pay for the acquisition and support long-term operations,” the AIM reads, before proclaiming that enterprise revenue bonds are safe for the Town as they don’t use property taxes, sales taxes, or the Town’s general fund. 

KC Veio and Lindsay Conroy with Kline Alvarado Veio, P.C. are serving as bond counsel to the Town, while Matt Touchard and Dean Hirt with Butler Snow LLP are serving as disclosure counsel.

Both firms have been working with Town staff and the bond underwriters, RBC and Bank of America, to develop the Bond Ordinance and Indenture of Trust documents. 

The Bond Ordinance authorizes “the issuance of Mountain Recreation Enterprise Revenue Bonds, Series 2026, to fund the Eldora acquisition and related costs,” as well as setting the limit on the bond size, bond maturities, interest rates, and key terms.

The Indenture of Trust details how funds are allocated from resort operations into operating, maintenance, capital, and reserve accounts, and establishes “financial and operating covenants that support transparency and responsible management.” 

Cain noted that the Board should expect to review the finalized financial documents for a final vote of approval on January 20. 

But as for the agenda in front of Trustees on Tuesday night, there was but one item that the Board, the Mayor, Town officials, and residents of the Peak to Peak area have been waiting for action on since late 2024: the Asset Purchase Agreement for the proposed acquisition of Eldora Mountain Resort. 

After announcing the plan to acquire the recreational property, the Town spent the majority of 2025 locked in a due diligence process, during which they coordinated with consultants and legal counsel in order to assess the operation’s financial feasibility, the overall condition of the resort’s facilities, and its administrative accountability. 

The diligence, which included a full Property Condition Assessment and a Phase I Environmental Site Assessment (ESA), yielded results which proved to the Town that the resort is in “good overall condition and represents a high-quality, viable asset for the community.”

“The facilities and core infrastructure are well maintained and positioned to support continued, sustainable operations,” the Town’s AIM reads. “The Resort’s physical and financial condition, combined with its established role as a year-round recreation destination, reinforces its long-term value to the Town and its residents.” 

The established purchase price for Eldora Mountain Resort, of all its main assets, including land, buildings, equipment, permits, and “selected contracts that support day-to-day operations,” is $120 million. 

Closing conditions per the purchase agreement include approval of a new special use permit for the Town’s use of US Forest Service land, and an agreement with Alterra Mountain Company for the continued use of their Ikon Pass. 

Also included with the purchase agreement is a two-year Transition Services Agreement with POWDR, the current operator of Eldora, to utilize their management expertise and technical and administrative support to ensure that operations remain seamless as the Town takes control.  

“By continuing to rely on POWDR’s existing infrastructure during the transition, the Town can focus on building a stable, well-organized foundation for long-term local management,” the AIM reiterates. 

Further information regarding the financing and underwriting involved in the Eldora purchase was provided within the AIM, detailing how the revenue bonds used to finance the purchase of the resort are paid back from the ski area revenue and never from property or sales taxes or from the Town’s general fund. 

Built within this financing structure is a two-year debt service reserve, which works as a savings account from which bond payments can be made even when revenues from the ski area are lower than expected, due to poor weather seasons, for example. 

There were no further questions or discussion from Board members, nor were there any comments from the public regarding the Bond Ordinance and Indenture of Trust documents, which will be voted on by the BOT on January 20. 

As for the Asset Purchase Agreement, Board members had several questions, starting with Trustee Tierney Maris, who asked how confident Town staff was about the viability of the operation after having conducted the due diligence.  

“We are very confident in our consultants and what they have given us,” Cain answered. “They’ve looked at the historic revenue that’s generated by the mountain and they’ve modeled that out given different conditions on the mountain, and we’ve taken a conservative approach to make sure we have adequate debt service to cover the resort even in the case of a poor snow year.” 

Mayor Pro Tem Nichole Sterling asked for clarification on a supposed capital improvement plan for the resort, to which Cain specified how a percentage of revenue will be allocated to a capital plan to make sure Eldora’s facilities and equipment are maintained appropriately and properly. Cain added that the cost of any capital improvements that were planned before the acquisition have also been taken into consideration. 

Trustee Andrew Joslin asked about how the Town will ensure continuity and build morale for its new employees during the transition.

“Our primary concern is making sure that we’re communicating with the employees on the mountain and building structures that support them as we move forward,” Cain said. “We’re going to be working with some consultants that will help the transition from an HR perspective, and also the finance perspective, and all the different operating procedures that we need to address.”   

Trustee Luke Miller asked for more information regarding POWDR’s role through the transition, to which Cain clarified that POWDR will continue to employ a General Manager who will maintain operations at the ski area and will report to the Town Manager in accordance with municipal governing structure, maintaining alignment with Nederland’s goals and objectives. 

There was no public comment on the matter of the Town voting to purchase the ski area. 

The BOT was quick to thank all those involved in the process, especially Town Manager Cain and Town Attorney Jennifer Madsen, as well as Mayor Billy Giblin and Mayor Pro Tem Sterling for championing the prospect.  

“I want to thank the core team for all the work you’ve done to make this happen,” Mayor Giblin said. “I’m grateful to POWDR for deciding to sell in the first place and for continuing to work with us in being great collaborators. I’m super excited for the community and for the future; there’s immense possibilities in bringing together these two entities.” 

Sterling made a motion to approve Ordinance 882, authorizing, as the Mountain Recreation Enterprise, the execution of an Asset Purchase Agreement, and all related documents, for the acquisition of Eldora Mountain Resort. The motion was seconded and approved unanimously by the BOT. 

“Never say never,” Sterling said before making the final vote of approval. 

Ongoing community engagement regarding the acquisition of Eldora Mountain Resort includes Town Hall meetings scheduled for Tuesday, January 13; Thursday, January 29; and for Tuesday, February 10. A Frequently Asked Questions document, planned to address the community’s questions and concerns, will also be updated on the Town’s website by January 19.