Swan Lake subdivision review is put on hold
The Lake County Commission has postponed its review of a controversial condominium development surrounding the historic Kootenai Lodge at the head of Swan Lake.
After a Tuesday meeting that was attended by roughly 100 people and lasted nearly five hours, the commissioners decided to continue with the subdivision review in two weeks.
Developer Paul Milhous was asked to report back with more information or measures to mitigate 11 different points of concern that the commissioners have regarding the development plans.
"My take on it was that the public brought forth a desire to have more information on certain aspects of the application," Commissioner Paddy Trusler said. "I personally felt those requests were justified and need to be further explored."
The Lake County Planning Department and Planning Board have recommended approval for the subdivision plan, which involves building 57 condominiums on the 40-acre property.
Built by Anaconda Mining Co. executives in 1921, the Kootenai Lodge used to be a retreat for notables such as Charlie Russell and Charles Lindbergh and is listed with the National Register of Historic Places.
Milhous, a part-time Swan Lake resident from Boca Raton, Fla., contends his plan is a tasteful use for the lodge property, which could otherwise be used for a hotel or casino.
But scores of residents in the Swan Lake, Ferndale and Bigfork areas are stridently opposed to the Milhous plan, mainly because of the density of the proposed development.
"I think it's fair to say that the majority of the public felt development of the Kootenai Lodge was inevitable, but they just feel this proposal is incompatible with the general area," Trusler said. "That's how I would sum it up."
Two attorneys and 56 Swan Lake neighbors filed a lawsuit last week aimed at stopping the Milhous development, mainly on grounds that state subdivision laws violate equal protection provisions in the Montana Constitution by favoring the interests of developers over public interests.
Dave DeGrandpre, a former Lake County planning director who now works as a consultant for the Milhous Group, said efforts are under way to address the commissioners' concerns by Friday.
"We'll respond Friday morning with supplemental material describing our approaches to all these issues," DeGrandpre said. "And we intend to address all of them head on."
Some concerns raised by the commissioners could be problematic for the developer, mainly one that involves plans to extend a sewer line a mile south of the subdivision to another subdivision called "The Ridge," where Milhous intended to build a sewage treatment plant on property he owns.
Recently, however, The Ridge Homeowners Association amended covenants to specifically prohibit sewage treatment plants in the subdivision.
"That is problematic," said DeGrandpre. But the Milhous group contends there is a possibility that amendment can be reversed, and if not, "we have a plan B and a plan C, for that matter," involving other nearby properties that could be used for a sewage treatment plant, DeGrandpre said.
The Milhous Group has contended that the sewage treatment plant, as proposed, actually provides a community service because it would be accessible to other property owners outside the subdivision.
But that's not how it's been received by critics, who say hooking up to the sewer system would likely be cost-prohibitive and because the sewer line parallels the lake shore, it presents a constant environmental threat to water quality, should the pipeline ever rupture.
Both DeGrandpre and Trusler said the "biggest issue" of concern involves the subdivision's development density.
DeGrandpre said the area is unzoned and their are no specific rules regulating density.
But Trusler said that reducing the density would effectively reduce other impacts associated with the development.
"If the number of units were reduced it would have an obvious impact on the other mitigation factors," he said.
One associated impact was raised by Lake County Sheriff Bill Barron, who told the commissioners that his department is already stretched thin at the north end of the county and the new development would likely worsen that problem.
"We've repeatedly said that the tax revenue from these future homes will far outpace the costs of providing services, because they are seasonal and they are high-end homes," DeGrandpre said.
The Milhous Group estimates the development would generate an additional $100,000 in property taxes for the county alone.
"We're saying that this kind of development will pay its own way," he said. "If we need to do more than that, then maybe we will."
Other concerns raised by the commissioners involve setbacks on the northern boundary of the property and along Johnson Creek, stormwater runoff, the potential for "fractional ownership" of condominiums, and public-safety issues resulting from additional vehicle and boat traffic.
The commissioners are scheduled to resume discussions on the subdivision proposal May 3 at 1:30 p.m. at the Lake County Courthouse in Polson.
Trusler said additional documents filed by the Milhous Group will be posted on the county's Web site for public review at:
Reporter Jim Mann may be reached at 758-4407 or by e-mail at jmann@dailyinterlake.com