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Serving Northern St. Louis County, Minnesota

Land exchange deal signed after 12 years

U.S. Forest Service acquires 265 acres adjacent to BWCA

Tom Klein
Posted 11/19/14

CRANE LAKE – A land deal initiated a dozen years ago was finally sealed when the U.S. Forest Service and Crane Lake Sustainable Land Corp. signed an agreement late last month.

“I’m …

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Land exchange deal signed after 12 years

U.S. Forest Service acquires 265 acres adjacent to BWCA

Posted

CRANE LAKE – A land deal initiated a dozen years ago was finally sealed when the U.S. Forest Service and Crane Lake Sustainable Land Corp. signed an agreement late last month.

“I’m delighted that it’s done,” said Ruth Carlson, who helped negotiate a land swap between private landowners, the township and U.S. Forest Service. “I believe this is a win-win for the town, which gains some land it needs for development, and the Forest Service, which will acquire property that abuts the Boundary Waters Canoe Area Wilderness.”

“USFS views the Crane Lake land exchange as a great example of providing and contributing to economic stability of local communities,” said Forest Supervisor Brenda Halter. “With this exchange we acquire some really nice parcels of land for future conservation and Crane Lake is allowed economic development opportunities.”

Under the deal, the U.S. Forest Service will acquire 265.72 acres from the township and private landowners in exchange for 352.17 acres of federal land. Private landowners involved in the transaction are Bill Congdon and Arthur “Butch” Eggen.

Because the Forest Service wanted to negotiate with just one entity on the land swap, the township, Eggen and Congdon joined forces and formed the Crane Lake Sustainable Land Corp. to represent all the parties at the bargaining table.

Congdon had to pay the Forest Service $7,000 in an equalization fee because he will receive more acreage than he is trading with the agency while the township will be paid $3,250 from the Forest Service for additional acreage it will acquire from the township.

The parcels being traded are not contiguous but the township will gain property along Handberg Road, including land where the Crane Lake Fire Department garage is located, previously owned by the federal government. Congdon and Eggen will acquire land along the Gold Coast Road.

In the works for years

Indeed, it was the fact that the fire department’s garage was on land owned by the federal government that initiated attempts at a land swap in 2002.

“Kaylee Klaysmet originally got the ball rolling on this because of the fire department’s situation,” said Carlson.

Jeff Sanborn, chief of the Crane Lake Fire Department, said the Forest Service never charged any rent for the property and the township only will charge a token rent of $1 annually to the department. But having the property in the township’s hands helps removes uncertainty about the future of the property.

Another catalyst for the land swap was a community action plan that identified the need for more land for private development as a key concern for area residents.

“Only 20 percent of the land in the township was privately owned,” said Carlson. “The rest was all owned by the government.”

That created a unique situation for Crane Lake Township, which needed to buy land that it could swap with the U.S. Forest Service. Because existing rules prohibited townships from taking out loans for more than five years, special legislation was needed to assist Crane Lake.

The special legislation was approved, allowing Crane Lake to borrow $250,000 on a 30-year loan. The township has been making payments on the interest but not on the principal for the time being, but expects to begin paying down the principal once it divides lots and sells them to private parties, according to Clerk Jo Ann Pohlman.

Carlson said a portion of the land received by the township will be reserved for a future town hall for Crane Lake, but the sale of tracts of land will help broaden the township’s tax base.

The completion of the long-gestating deal will be celebrated on Saturday, Dec. 13 at the Voyagaire Lodge in Crane Lake. The celebration will commence at 6 p.m. with remarks scheduled at 7:30 p.m.

Maps depicting the lands that have been exchanged will be on display. Coffee, cake and hors d’oeuvres will be served and there will be a cash bar.

The event is being hosted by the Crane Lake Sustainable Land Corp and is open to the community.

BWCAW, Crane Lake, Superior National Forest