The controversy over a large housing project planned for Fish Lake in Otter Tail County has spilled into court.
The Pelican Lake Property Owner's Association is asking an Otter Tail County District Court judge to order an environmental impact statement for the Preserve at Echo Bay.
Otter Tail County commissioners recently decided that an environmental assessment worksheet completed for the project was enough to move the process to the next step - the granting or denial of a conditional use permit.
If a permit is approved, the project would put more than 200 additional housing units on Fish Lake, which now has 62 residences.
Among claims made in the suit is that the EAW does not adequately address the effect that 87 new boat slips would have on lake traffic and water quality.
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Otter Tail County Attorney David Hauser said the EAW answered questions officials had about the project and county commissioners determined the plan would not significantly affect the environment.
Hauser said the county's insurer is preparing a response to the suit.
The Otter Tail County Planning Commission will review the permit Feb. 8, when developers are expected to submit potential changes based on concerns board members had about the plan.
Developer Dan Passolt said the 252 housing units initially proposed could be reduced to 214.
Passolt said more changes are also possible, but he declined to discuss specifics.
Passolt said he is open to settling the suit short of a court decision.
"We've made it known all along we want to develop this land, but we want to do it in a prudent manner," he said.
Tami Norgard, an attorney representing the property owner's association, said 214 new housing units are still too many for the 261-acre body of water.
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"It (Fish Lake) is just too tiny to have that many boats and that many people on it," Norgard said.
In addition to the lake association, Norgard said the Minnesota Department of Natural Resources is on record as calling for an environmental impact statement.
Norgard said the association is agreeable to working out a settlement, but she said no formal alternatives have been offered.
Readers can reach Forum reporter Dave Olson at (701) 241-5555