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The proposed $45 million Silver Rapids Resort redevelopment project is now being opposed by the Minnesota DNR.
The state agency believes the project parameters should be under Lake County’s residential ordinance instead of the DNR’s standards.
In a letter from DNR ecological and water resources division director Katie Smith, the agency even brought up pursuing legal action against the county.
“As part of Lake County’s consideration of this application, DNR has previously clarified that the county ordinances - particularly those relating to planned unit developments - are indeed applicable. Those ordinances were developed in the mid-90s after the DNR worked with the county Planning Commission and elected leaders to approve the county’s shoreland regulations.
“The county initially viewed the statewide standards as being too restrictive in some areas and too permissive in others. After much discussion, the DNR and the county came to an agreement on a set of regulations that reflect the character and environmental values of the area. Those ordinances were approved in 1995.
“The Planning Commission’s recent approval of the project appears to disregard these ordinances in key areas. One such area relates to the project’s proposed density. Instead of relying on the county ordinances to calculate the maximum number of approved units, it appears the Planning Commission applied less-restrictive statewide standards for commercial PUDs. The Planning Commission reasoned that ‘there is no clear language on commercial use in the Lake County Subdivision Ordinance, so the DNR shoreland commercial PUD requirements were used to make a decision.’ To the contrary, article 6 of the Lake County subdivision ordinance contains clear provisions regarding planned unit developments, both residential and commercial. Accordingly, DNR maintains that those standards, not the statewide commercial PUD standards, form the applicable regulatory framework for this project.”
The letter went on to say the DNR wants the county to reverse its ruling by Sept. 30.
“Absent these changes, the DNR understands that it has thirty days from the September 6, 2024 Notice of Decision to appeal the Planning Commission’s decision to the district court. As always, the DNR remains interested in working with the County and the applicant to bring the development into conformance to protect the shoreland resources, rather than through the legal system.”
State Rep. Roger Skraba said he plans to question the DNR on this letter.
“I plan to meet with DNR officials to find out why the agency is doing this. I served on the St. Louis County Planning Commission and having the DNR tell a county how to do their jobs is not acceptable. I have questions I want answered,” said Skraba.
Lake County commissioner Joe Baltich who represents Fall Lake Township said he was shocked at the letter.
“This is a typical anti tactic again. I’m sick and tired of it,” said Baltich. “It’s more of the not in my back yard and it’s all from people from far away places. The local support I’ve had for this project is unbelievable.
“I feel the whole thing is arbitrary and capricious. But these people will use any tactic. There is county support for this project, it’s a boon for the entire region. These people are not helping Ely, they’re not helping Lake County, they’re throwing fire bombs and leaving,” said Baltich.
The developers received approval for a total of 62 units including 33 in the Tier One area (within 300 feet of the shoreline) and 29 in Tier Two.
The DNR concerns include the “number/location of mooring spaces and the project’s general impact on rare species and protected waters associated with the adjacent lakes.”
The DNR also said that even if the statewide commercial PUD standards were applicable, the density calculations would only permit 48 units in total. The current approval allows for 62 units, along with a new main lodge facility, bar/restaurant and resort amenities.
