Telluride Ski Resort, nestled in the San Juan Mountains, is known for its unrivaled skiing and vistas, historic downtown, and passionate community. However, the resort has recently faced scrutiny due to its contentious relationship with its owner, Chuck Horning.
Telluride Ski Resort
History of Telluride Ski Resort
The Telluride Ski Area started in 1970-71 with the construction of five lifts and the founding of the Telluride Ski School. Growth in the region between 1984 and 1986 included the opening of the Telluride Regional Airport (TEX) and the start of construction on the Mountain Village. Mountain Village, Colorado, was founded in 1987 and incorporated in 1995 as a home rule municipality.
In 1992, the addition of an 18-hole golf course in Mountain Village transformed the Telluride Ski Area into the Telluride Ski & Golf Company. By March 2001, Morita had acquired 100 percent of the Telluride Ski and Golf Company (TSG). The free pedestrian gondola opened on December 20, 1996. In winter 2007-2008, they opened the Black Iron Bowl. In winter 2009, Telluride Ski Resort announced Gold Hill Chutes 2-5 would open for full public access to Gold Hill Chutes 1-10.
Chuck Horning's Ownership and Controversies
Chuck Horning, who made his multi-billion dollar fortune with nursing homes, has angered Telluride locals over claims he's contributed nothing to the economy. Tensions have reached a boiling point in the town. There’s been a high profile scrap over Horning’s unwillingness to support a 25-year concert series. The mogul has also faced accusations of sexual harassment and assault, which he denies, with one case being settled out of court.
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In October, Horning scolded elected leaders in a letter issued to the local community, stating:
'A sane local government in an extraordinarily challenging and difficult remote resort area would seek to work with the ski company, the region’s economic engine.'
Instead, for years now, the town has imposed a litany of illegal, unconstitutional and grossly inequitable burdens and obstacles on the ski company.' He then clashed again with leaders over the Sunset Concert Series concert, a tradition in Mountain Village that has rain annually since 2000. Horning had allowed the show to be held on his land, but this year he said no. The town had to relocate the concert before later agreeing to return to the original site.
Other issues include his company's reversal on building affordable housing for employees or other qualified buyers.
Community Impact and Reactions
Telluride Mayor Teddy Errico expressed frustration, saying, 'It’s very frustrating. They don’t understand the big picture of being a ski resort owner. We have to have that mentality that we’re all in it together. I think this underscores the glaring need for both (Telluride) and the community to have a competent and engaged CEO running the resort.'
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Dirk de Pagter, a Telluride real estate investor, noted, 'In the beginning his noncorporate image was something we all liked. He was different and we hoped he would be good for us.'
In response to local concerns, Horning has canceled discount merchant ski passes available to local businesses and town employees, as well as senior passes.
Mountain Village Town Manager Paul Wisor criticized Horning for neglecting both the resort and the community, emphasizing the need for major infrastructure upgrades and engaged ownership.
In a statement to the outlet, a ski resort spokesperson said: 'For ski resorts, it is often perceived as ‘biting the hand that feeds you’. And for towns, they often have a sense of entitlement for supporting the ski resort, and this can lead to friction.
Telluride is indeed a stand-out in the resort industry. Not only for its unrivaled skiing and vistas, its historic downtown and passionate community, but, recently, the community’s contentious relationship with Horning.
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Labor Disputes and Ski Patrol Strike
The Telluride Professional Ski Patrol Association voted to strike after contract negotiations failed to yield an agreement on pay. In an unprecedented move, Horning announced he will close the resort.
“Telluride didn’t make this decision - the strike nor the timing of it,” reads a statement from Horning published the day after the ski patrol union voted to strike. “We are naturally disappointed that the ski patrol made this choice during such a busy time.
The ski patrol association, in a separate statement on Thursday, said it reduced its contract demands, including reducing the wage expectations and no longer asking for healthcare or an increased stipend for equipment, all of which, it says, reduced its demands by about $220,000.
Ski patrollers in Telluride make a minimum of $21 per hour, with supervisors making an average of about $38.17 per hour, according to the union, or about $43,680 to $79,393 per year, before taxes.
Telluride Mayor Teddy Errico called the strike and closure "unprecedented. He said he's in touch with both parties and hopes they can resolve the dispute quickly, considering the economic impact of a strike and closure during the resort's busiest time of the year."
The popular Telluride Ski Resort in Mountain Village, Colorado, was shuttered Saturday, with no date set for reopening, due to a labor dispute with the ski patrol union over wages.
Ski patrol comprises specially trained rescue workers who hike, ski, or snowmobile to injured skiers, treating their injuries, and often bringing them off the mountain to a separate area for more advanced medical care or transportation to a hospital.
“He’s being a bully. This is what bullies do, take their toys and run,” Dennis said.
Ski patrollers sometimes argue for more pay on the grounds that the cost of living is high in ski towns and they are responsible for people’s safety.
Local businesses have been working on messaging around activities beyond riding lifts. They are discussing special events to help visitors who are already in town. “While this situation is not optimal, the destination is mobilizing to provide alternate activities for guests currently in town and those arriving, in addition to the many experiences Telluride & Mountain Village regularly offer,” reads a statement from Kiera Skinner, the executive director at the Telluride Tourism Board.
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Water Rate Increase and Snowmaking
The town of Mountain Village report suggested that depreciation costs, maintenance costs and snowmaking costs could warrant a 350% spike in water costs, with charges of $12.91 per 1,000 gallons of pond water and $14.03 per 1,000 gallons from hydrants. The report suggests the town could phase in those costs with three years of 59% increases followed by annual 3% increases for several years.
Horning, through his attorney, warned council members to “carefully consider a broader perspective” of the economic and environmental benefits of snowmaking that ripple across the region before spiking the cost of water. Those water rights, in a deal forged by the ski area’s previous owners Ron Allred and Jim Wells, were “an asset of immeasurable value,” the lawyer wrote. That agreement required the town to deliver snowmaking water at the lowest rate it charges any other water user or the actual cost of the water delivery.
Echoing Horning’s threat to delay the resort’s opening, Whitmore said the council should weigh “the ramifications on businesses, visitors and residents.” A lack of snowmaking could also create less dependable conditions throughout the season, which could reduce tax revenues for Telluride and Mountain Village.
The timing of the water rate increase has nothing to do with the condemnation consideration or the lift tax, Wisor said. “I think we have some palatable ideas that would be helpful for everybody and we hope those are received in the spirit of collaboration in which they are conveyed,” Wisor said.
Telluride Ski Patrollers Strike
Telluride Ski Resort Key Statistics
| Statistic | Value |
|---|---|
| Skiable Terrain | 2,000+ acres (810+ hectares) |
| Beginner Runs | 23% |
| Intermediate Runs | 36% |
| Advanced/Expert Runs | 41% |
| Minimum Ski Patrol Hourly Wage | $21 |