Vote near on Kootenai Lodge plan

| May 3, 2005 1:00 AM

The Daily Inter Lake

The Lake County commissioners are scheduled to take action this afternoon on a proposed subdivision of the historic Kootenai Lodge property.

If approved, the project would create 43 new single-family homes and four duplex units, plus renovate six homes, for a total of 57 dwelling units on 41 acres located at the foot of Swan Lake, on the east side of Swan River.

The subdivision has attracted significant opposition, including a lawsuit, since it was submitted earlier this year by developer Paul Milhous and the Milhous Group.

Now, even the current owners of the lodge are urging the commissioners to delay action on the proposal, at least until the property is sold.

Attorney Laurie Ragen, representing Kootenai Lodge owners Mark and Debi Rolfing, said in an April 28 letter to the commissioners that her clients "would not have submitted or supported a proposal to develop the property as described" in the Milhous subdivision application.

"In fact," Ragen wrote, "the Rolfings were told by the Milhous Group prior to entering into the purchase and sale agreement that it had no intention to commercially develop Kootenai Lodge."

The purchase agreement was entered into last August, she noted, but the deal hasn't closed yet.

Ragen also pointed out that the Lake County subdivision regulations require that a "joint application form" be signed and submitted by the property owner before a subdivision application is considered complete.

In this case, she said, the Rolfings haven't signed the form and don't intend to sign it because they "don't want to be viewed as supporting the proposed development."

Consequently, there's no legal basis for the commissioners to make a final decision, Ragen said. Only when and if the Milhous Group completes its purchase of the property, and signs the joint application form itself, "will it be legal and appropriate for the county to proceed" with its review.

Lake County Planning Director Sue Shannon said her office was aware of the issue with the joint application form.

However, based on a previous lawsuit elsewhere in the state, "we were advised by our legal counsel to proceed with the application even though it wasn't complete," Shannon said.

The planning office handled the issue by adding a condition of approval that essentially says nothing can happen with the project until the joint application form is signed and submitted by the property owner - whoever that ends up being.

The commissioners are scheduled to consider the Kootenai Lodge subdivision at 1:30 p.m. They could approve, amend or deny the proposal.