This trail hits my Fave List primarily due to my love for the region and the jaw dropping views. The name "Tahoe Flume Trail" is an appropriate one since it was once used for transporting logs during the Virginia City mining era, now it's used by mountain bikers as well as others seeking a high sierra getaway.
The trailhead is at the east end of the parking lot (see directions below), ride down the small slope towards the lake and connect with the dirt road on the left. This dirt road will take you north, 6 miles uphill (the hardest part of the ride), at the top you will descend to Marlette Lake, at the bottom turn left and ride onto the point where you will find sign describing the Flume. From here you will travel around Marlette Lake clockwise to the dam, descend the back side of the dam (a short but sweet technical section) and after a couple of stream crossings you will be 2,000 feet above Lake Tahoe on the edge of the mountain on... The Flume!

The Flume Trail, Lake Tahoe, CA.

Looking down on Sandy Harbor

From here I recommend that you carry a reliable map, at times I have found some of the signs to be missing, there are a few different ways to go but they will all lead you back to Marlette Lake and that 6 mile uphill will be a nice downhill but BE CAREFUL! Before I discovered the advantages of front suspension I came around a corner doing 25-30 MPH, hit a water bar, did a Superman over the bars and landed in the downside of the water bar. On that note make sure you are prepared for weather changes as it does change quick up there and a trip down that hill late in the day and/or season while wet from a water bar is a cold one... I KNOW!

To get to the trailhead from Interstate 80: exit I-80, go south on either Hwy 89 or thru downtown Truckee to Hwy 267, both will put you onto Hwy 28, proceed east towards Incline Village and a left into Spooner Lake State Park.
There is a small fee for parking and when in stock will include a trail map. Camping is available for an additional fee, facilities include bathrooms and phone.
The picture: lower left is Sand Harbor, upper middle peninsula is Crystal Bay, NV where the bulk of the north shore casinos are. Click on the 2nd photo for more trail info on Lake Tahoe.