At least four and perhaps all seven privately run Lake Berryessa resorts may be closed for the summer of 2009, as the U.S. Bureau of Reclamation announced Monday that it needs to rebid contracts for all the lakeside resorts.

In a press release, the Bureau of Reclamation stated that its original contracts “did not fully conform to legal requirements governing reimbursement for capital improvements. On that basis, the negotiations for new contracts have been canceled.”

Pete Lucero, regional public affairs officer for the bureau, said Monday afternoon that the contracts called for the bureau to compensate resort operators for their investments in infrastructure — such as boat ramps and other facilities — determined to still have value at the end of the contracts.

Lucero said Monday that while agencies such as the National Park Service have the authority to repay resort operators at the end of contracts, the Bureau of Reclamation does not. Lucero said under the law, the bureau “can’t promise to spend government money when you don’t have that money available.” Since the contracts made that promise, they are off the table.

For months the bureau had been in negotiations with the Pensus Group, an Arizona-based operator of marinas and resorts, to take over five sites at Berryessa — Rancho Monticello, Spanish Flat, Lake Berryessa Marina, Putah Creek and Steele Park. Pensus was awarded the rights to run the resorts after long-term leases at the resorts had expired and the bureau had decided to remake the lakeshore, removing more than 1,000 mobile homes and creating amenities — from hotels to camp sites — to attract a variety of visitors.

Despite assurances that the deal was close, time dragged on without a signed contract, prompting concern from Berryessa-area residents, businesses, Napa County Supervisor Diane Dillon and Rep. Mike Thompson, D-St. Helena.

Georgi Maule-Ffinch, counsel for the Pensus Group, who last week said the company was merely waiting for a Bureau of Reclamation sign-off, declined comment Monday.

Lucero said the bidding process will begin anew.

Meanwhile, he said, the agency will proceed with cleanup and removal of facilities at Rancho Monticello, Berryessa Marina, Putah Creek, and Spanish Flat to prepare for new operators in 2010.

Lucero also said the bureau hopes to work with the current operators at Markley Cove, Pleasure Cove and Steele Park to keep those resorts open in 2009.

Peter Kilkus, head of the Lake Berryessa Chamber of Commerce and publisher of the Lake Berryessa News, said Monday’s news is grim.

“I think the bureau is trying to minimize in its statement the thoroughly disastrous impact this is going to have on our economy at the lake,” said Kilkus.

Kilkus characterized the notion that Steele Park may be able to remain in operation as the only “bright spot” of the day’s news.

Asked if the lake concessions will be less valuable to bidders without compensation for improvements, Lucero said, “We hope not. ... It may mean we’ll see more modest investments by contractors, but that remains to be seen. We still believe that Lake Berryessa is a prime recreation location for the Bay Area. We believe there is plenty of opportunity for a concessionaire to come in and do very well for themselves and the public.”

The press release issued by the bureau Monday states all government-run recreation areas at Berryessa “will be fully operational, including a free two-lane boat-launch ramp at Capell Cove; hand-launch ramps at Eticuera and Oak Shores; areas for picnicking, fishing, and swimming at Smittle Creek and Oak Shores Day-Use areas; and a visitor center and water education center at Reclamation’s headquarters.”

The news is a setback for the county. Residents of Berryessa Highlands, near Steele Park, and Napa County officials are counting on the operator of Steele Park to contribute about $4 million towards a $14 million upgrade to the water and wastewater systems in the area.

Property owners in what is known as the Lake Berryessa Resort Improvement District voted in 2007 to pay an assessment to cover the cost of the upgrades. Bureau of Reclamation officials have said the company that got the Steele Park concession would be required to pay about 30 percent of the assessment. Without the contribution from the Steele Park operator, bonds have not been issued and work has not begun on the water systems, which are outdated and have been found to be in violation of state environmental regulations.

Lucero said the bureau hopes to have the contracts awarded later this year.