Anchorage Daily News

PALMER -- Plans for a hotel in Denali State Park are on hold after the Matanuska-Susitna Borough Planning Commission raised questions about the builder's finances and about its potential impact on the park.

The commission spent more than an hour discussing the project before putting Anchorage businessman Dale Van Doren's request for a conditional use permit on hold until April 7.

"I don't want to turn this down lightly," said Chairwoman Helga Larson. "At this point, I think we need to give it a little chance."

Van Doren, of Anchorage, has said the 60-room lodge he wants to build on six privately held acres near Mile 135 Parks Highway would provide much-needed jobs and hotel rooms for the area. He also said it will blend in with the surrounding park much more than existing businesses.

But the commissioners expressed concern it could spur another Glitter Gulch, a strip of highway outside Denali National Park packed with hotels, gift shops, cafes and other tourist-oriented businesses.

They also wanted to know if Van Doren could pay for what he has estimated is a $12 million project.

The developer grew testy, however, when quizzed about his finances.

"I'm not going to get into that in very much detail," he responded.

Borough planning staff, writing in opposition to Van Doren's request, stated they considered requiring him to show proof of his financial wherewithal.

Online databases of state and federal court records show Van Doren has had at least 21 small-claims cases and six debt cases filed against him in the past 15 years in Alaska. He also filed for bankruptcy in Anchorage in 2004 on behalf of himself and his then-businesses, Byers Creek Store and Station and Denali Holdings Inc.

Van Doren has acknowledged the bankruptcy in an interview, but denied having financial problems.

Van Doren also seemed rattled when Commissioner Vern Halter asked him to show proof the land's owner, Kevin Staudt of Fairbanks, was transferring the property to him.

"That's a question I'll ask my lawyer," he said.

LAST-MINUTE CHANGES

In addition to financial concerns, the commissioners said they wanted more time for staff to review the project because Van Doren's plan lacked key information, and he submitted a revised site plan just before the meeting that the public had no chance to review.

The commission, for example, was given the results of area soil tests, but Van Doren couldn't say where the samples were taken.

A topographic map of the site also did not depict an area behind the planned lodge. Because of that, commissioners said they could not judge how wastewater drainage might affect the nearby Chulitna River.

Van Doren maintained that his three-story lodge would be buffered by trees, take up no more than 2 acres and fit in with the surrounding wilderness. It would also be eco-friendly, relying on solar panels and wind turbines for power and tapping filtered runoff from the roof for fire fighting and toilets, he said.

"I want to see quality development done here that's not going to take away from the beauty, integrity and character of the park," he told the commissioners.

VOICES PRO AND CON

Van Doren needs borough approval because the site is within the park and is governed by a borough land-use plan that requires a construction permit. The property is located across the highway from the site of a proposed National Park Service visitor center and Van Doren hopes to capitalize on traffic drawn to the center.

During the hearing, three people testified against the permit request. Two others backed it. Carlos Chavesta, a 22-year-old medically retired Marine Corps veteran, said the hotel would provide needed jobs, and Clyde Armistead, an Eagle River resident who owns an adjoining parcel, said he supports responsible development in the area.

In contrast, 20 individuals and groups, including local community councils, an area state parks director, and the Mat-Su State Parks Citizen Advisory Board submitted written comments before the meeting. All were opposed.

Find S.J. Komarnitsky at adn.com/contacts/skomarnitsky or call her in Wasilla at 907-352-6714.

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