City, county discuss cost-share of Sawtooth Bluffs master plan and development of steering committee
With the new year well underway, city and county officials are still working to determine how to move forward with developing an updated master plan for Sawtooth Bluffs.
The Sawtooth Bluffs is a 640-acre site along the Gunflint Trail west of the Grand Marais water tower. It comprises land owned by the City of Grand Marais and Cook County.
During the Feb. 25 meeting, the Grand Marais City Council reviewed and discussed a proposal from Cook County to establish a Sawtooth Bluffs steering committee in partnership with county officials and a member of the Grand Portage Tribal Council.
The second portion of the proposal included a request for the city to contribute financially to help cover the cost of updating the Sawtooth Bluffs master plan.
In August of 2025, the county received a draft proposal for the scope of work to update the master plan from HKGi, a Twin-Cities based planning and landscape architecture company. The estimated cost is $51,180.
County Parks and Trails Coordinator Mitch Travis attended the Feb. 25 meeting and presented the two items to the city council. The financial proposal included a request from the county for the city to contribute 50% of the final contract cost with HKGi, totaling $25,590.
The county previously allocated $29,500 in Payment in Lieu of Taxes (PILT) funding to cover the cost of updating the Sawtooth Bluffs master plan. Federal PILT funding is provided to Cook County to make up for lost private property taxes for land within the Boundary Waters Canoe Area Wilderness.
Travis said the county’s intent was not to use the general fund or county taxpayer dollars to develop the master plan, but instead to allocate $29,500 of PILT funding.
City Councilor Ben Peters said he agrees that it makes logical sense for the county to use PILT funds to develop the master plan. However, he said, “If Grand Marais were to contribute, we don’t have PILT.” Instead, city taxpayers would be responsible for covering 50% of the cost, he said.
Grand Marais Mayor Tracy Benson said she was aware that the city administration had preemptively set aside funds for this project if the council chose to move forward and participate financially.
Benson said she supported the request for the city to be involved in developing the master plan and for adding more outdoor recreation opportunities for the public close to town. “I think it’s important to be part of that change and to have a voice.”
She said, “I would rather be at the table than not.”
While specific projects for Sawtooth Bluffs have not been identified, city and county officials have discussed the potential for hiking and mountain biking trails, disc golf, a campground, and other outdoor recreation opportunities.
View of Sawtooth Bluffs in Grand Marais | Photo by M Baxley
Councilor Michael Garry said he agrees and would like the city to be involved in the process. Councilor William Lovaas also agreed and said he recognizes the value of protecting the Grand Marais hillside from large-scale development, but he also uses the area for outdoor recreation activities, and sees the value of a trail system for the public.
“If we can find a way to pull it off, I think it’s a good idea,” Lovaas said.
Peters and City Councilor Craig Schulte shared concerns about the long-term maintenance and upkeep of the property once trails and projects are developed, and whether that responsibility would fall to city staff.
“Developing and building this and doing things up there is one thing, but then maintaining it and taking it into the next 20, 25, 30, 35, 40 years is another thing,” said Schulte.
Travis said the county’s main objective of updating the Sawtooth Bluffs master plan is to designate the site as a regionally significant park, thereby increasing funding opportunities through the Greater Minnesota Regional Parks & Trails Commission (GMRPTC). He said that being approved for regional designation could make Legacy Funds available to cover and address ongoing maintenance needs.
Schulte said he would like the city council to spend more time discussing the financial commitment to the project.
“If you’re going to go down that road, then you have to look at the money you’re spending, and the more money you’re probably going to be spending, and that’s the decision that we need to discuss,” Schulte said.
He added that when the city council set its 2026 goals, “this wasn’t even on the 2026 goals.”
Benson said the immediate ask for the city is participate in developing the master plan, but the long-term intent is not to allocate city staff to maintain the property or facilities once something is developed.
Peters said he worries about the “slippery slope” of going down this path, where the city spends $25,590 now and, in the near future, may face a request for more money to allocate to the project.
He said he agreed that the city should be involved with the steering committee, but, “As far as far as the finances go on this initial, my vote would be to opt out of that.”
Travis said the initial proposal to split the $51,590 cost evenly between the county and city was a suggested number. “I’m not in any way expecting anything from any of you.”
Benson suggested that the city council defer the decision to allocate city funding until the next council meeting, given that council members expressed different views on how the master plan should be funded.
Travis said to move forward with phase one of the planning process, HKGi requires the development of a steering committee comprised of city and county officials. Once the master plan is finalized, Travis said the city and county must form a joint powers agreement before HKGi submits the master plan and application to the Greater Minnesota Regional Parks & Trails Commission.
The previous Sawtooth Bluffs master plan was created in 2018, but county officials have said it is insufficient for submission to the GMRPTC and needs updating to qualify for the regionally significant designation application.
Sawtooth Mountain Bluffs Graphic provided by Cook County
Kalli Hawkins February 27, 2026
