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DNR and citizen groups sue over resort expansion near BWCAW

Situated near the BWCAW wilderness, Silver Rapids resort was built in 1919. (Photo via Northern News Now)

The Minnesota DNR and citizen groups have filed separate lawsuits against the Lake County Planning Commission, raising concerns about expanding Silver Rapids Lodge near the Boundary Waters Canoe Area Wilderness (BWCAW).

In early September, the Planning Commission approved preliminary plat and conditional use permits for the resort’s developers. As a result, state regulators and multiple residents voiced their concerns, arguing that the county ignored long-standing ordinances designed to protect the surrounding area and environment.

Many pushed for an Environmental Assessment Worksheet (EAW), which the county communicated wasn’t required for this project. Supporters of the development say that it would be an economic boost to businesses and tourism in the area. Developers say they’re taking into consideration the wilderness area and don’t want to turn it into a “Lake Minnetonka” type of environment.

Silver Rapids Lodge resort is 2 miles west of the wilderness. (Google Maps 2024/Quetico Superior Wilderness News)

Expanding the footprint

Silver Rapids Lodge is located 10 minutes east of Ely and straddles Farm and White Iron Lakes. Constructed in 1919, the lodge is part of an era of building that is starting to reveal its age. The resort has long offered visitors dining and lodging options, but the project would bring needed updates and accommodate more tourists.

The initial phase involves demolishing the existing resort, which sits on 62 acres. The second and third phases, which have raised issues with multiple groups, include plans for constructing multiple new cabins. Additionally, developers plan to build a new lodge and motel featuring a restaurant and indoor pool, as well as expand dock space to significantly accommodate more boats. The expansion is projected to cost at least $45 million.

The conceptual plan for resort expansion includes areas of shoreline along White Iron and Farm Lakes. (Image courtesy Lake County)

Regulation challenges

In their lawsuit, the DNR highlighted issues that the proposal violates shoreline development ordinances established by the county in the 1990s.

They voiced concerns regarding the Planning Commission’s approval to distribute 75 mooring spaces across two lakes. According to the agency, this approval contradicts subdivision ordinances that limit the lodge to 14 mooring spaces and centrally located docks. Katie Smith, ecological and water resources director for the DNR, told MPR News that “the planning commission’s recent approval of the project appears to disregard these ordinances in key areas.”

The DNR also opposed the proposed increase to 62 dwelling units, with 49 cabins designated for quarter fractional shared ownership, allowing multiple individuals to co-own properties. These units could serve as vacation homes.

Impact to the natural environment

Both regulators and residents emphasize the need to preserve the economic and natural values along the shorelines. With the BWCAW just 2 miles away, there are concerns about the impacts on the quiet, laid-back setting.

The Community Advocates for Responsible Development (CARD), a citizens group, claimed in their lawsuit that Silver Rapids would “cause irreparable harm to the residents and environmental conditions of White Iron, Farm, and Garden Lakes specifically, and the Superior National Forest, the BWCA and shoreland located within Lake County generally.”

In an article by MPR News, the Lake County Planning Commission and the developers of Silver Rapids Lodge have denied these allegations in court filings. Because of the ongoing investigation, they have provided no comment.

Recently, the DNR requested a District Court judge to reject the resort’s construction permit. Since then, a judge in Duluth has issued a temporary restraining order that stops the owners of Silver Rapids Lodge from proceeding with any construction related to the contested conditional use permit. This order will remain in effect until the hearing on the two related lawsuits on Nov. 27.

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