Technology helps fuel Washoe County’s future

Washoe County’s present is dominated by the adjacent cities of Reno and Sparks, but its past is steeped in history, much of it focusing on the Indian tribe for which it was named.

The future? That’s anybody’s guess, but it’s a good bet that it won’t bear a strong resemblance to the present.

The Washoes lived off the land in what would become Northern Nevada. They were expert hunters and fishermen in the Sierra Nevada, especially in the area surrounding Lake Tahoe. In fact, the name Tahoe is believed to have originated from “da ow a ga,” meaning “edge of the lake” in the now-extinct Washoe language, and there remains a strong tribal presence in the Tahoe region.

Washoe County’s southwest boundary extends to the northeast shore of Lake Tahoe, including the unincorporated community of Incline Village, where the Washoes thrived. Farther north and east, the area becomes more densely populated, with Reno and Sparks — the county’s only cities — the anchors.

Northern Nevada, like the rest of the state, was hit hard by the economic downturn of the past decade. The economy in Reno and Sparks — Nevada’s third- and fifth-largest cities, respectively — still relies heavily on gaming, though less so than in previous years. Its casinos continue to struggle, in part because of the presence of successful Indian casinos in Northern California along Interstate 80 and U.S. Highway 50 that have reduced the number of visitors from Sacramento and the Bay Area, especially in winter.

In 2003, when Thunder Valley Casino opened near Sacramento, annual gaming revenue in Washoe County was $1,010,452, according to the UNLV Center for Gaming Research. In 2012, it fell to $727,006. The period of 2000 to 2012 saw a 36.25 percent revenue drop.

Downtown Reno’s Virginia Street perhaps best exemplifies the degree to which Washoe County took an economic hit. What was once a bustling collection of back-to-back-to-back casinos now includes pawnshops, inexpensive motels and shuttered buildings that formerly housed gaming, dining and nightlife. Some of the more established casinos — Harrah’s, the Eldorado, the Silver Legacy and Circus Circus — remain, but the legendary thoroughfare’s heyday has long passed.

Still, optimism is prevalent in Washoe County. Apple began construction this year on a $16 million, 50,570-square-foot data center along I-80 about 15 miles east of Reno that is expected to infuse a job market saddled with about 9 percent unemployment. That figure is down from its high of about 15 percent. The facility will support Apple’s iTunes, iBookstore, App Store and iCloud services. Downtown Reno, long shunned by many of the city’s residents, has undergone a major makeover, especially in the area along the Truckee River. Long-neglected Midtown, south of downtown, has been revitalized with new development, including trendy bars and gastropubs. The housing market, like that in Southern Nevada, has rebounded from a precipitous post-recession drop, particularly in some areas of Sparks and south Reno. And the University of Nevada, Reno, is thriving, with more than 17,000 students enrolled on its campus on Virginia Street north of downtown.

John Slaughter, who took over as county manager in November, said the mood in Washoe County these days is hopeful.

“We’re cautiously optimistic,” said Slaughter, who has worked for the county in various capacities since 1986. “Our last county budget was the first one since the recession hit where we didn’t have to make any cuts. Overall, we’re feeling pretty good about things, though we’re still in wait-and-see mode. Nobody is going gangbusters.”

One of the biggest changes in the county, Slaughter said, has been philosophical: evolving from an emphasis on gaming — which had been predominant since the days when Harolds Club, the Nevada Club, Fitzgeralds and the Horseshoe Club attracted gamblers to Virginia Street — to technology. All four of those casinos have closed.

Apple’s presence “is a significant development,” Slaughter said. “Microsoft has been here for several years, and that (technology) is clearly the direction we’re headed.”

Bill Anderson, Nevada’s chief economist with the Department of Employment, Training and Rehabilitation in Carson City, said that approach is likely to lead to increased job growth.

“Gaming is still going to be a major player, but we’re projecting more job growth as other sectors step to the forefront,” Anderson said. “(Washoe County’s) economy is becoming more diversified.”

Slaughter and others point to the county’s quality of life as one of its most attractive features, with outdoor activities — skiing, hiking, an increase in regional parks, proximity to Lake Tahoe — heading the list. It’s one of the reasons people continue to move to the area, he said.

“From my house, I can be skiing in the Tahoe Basin in 25 minutes,” he said.

Contact Steve Blust at sblust@viewnews.com or 702-380-4553.