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MEMORANDUM OF AGREEMENT <br /> Between <br /> City of Pequot Lakes <br /> and <br /> Minnesota Department of Transportation <br /> Background <br /> In the spring of 2002, the Minnesota Department of Transportation (Mn/DOT) began to <br /> officially study the four-lane expansion of Trunk Highway (TH) 371 from Nisswa to Pine <br /> River. This included the portion that now lies within the city limits of Pequot Lakes. At <br /> that time Mn/DOT embarked on the process of developing an Environmental Impact <br /> Statement (EIS) required by State and Federal Law. <br /> The Draft EIS (DEIS) outlined five alternatives that were studied, three of which had <br /> direct impacts on the City of Pequot Lakes. Alternative 2 proposed that the future <br /> highway stay on or very near the present TH 371 alignment. Alternatives 3 and 4 <br /> proposed that the new TH 371 alignment be an easterly bypass of the business district <br /> of Pequot Lakes. <br /> During development of the Final EIS (FEIS), the City of Pequot Lakes was heavily <br /> involved in the discussion and determination of the preferred alternative. This included a <br /> number of hearings and open houses intended to solicit public input related to the <br /> proposed alternatives. <br /> On February 3, 2004 the Pequot Lakes City Council voted and passed a resolution to <br /> support the through-town option or Alternative 2 as defined by the DEIS. This action <br /> finalized the alignment preference with regard to Pequot Lakes and allowed Mn/DOT to <br /> move forward with the environmental documentation process including the development <br /> of a FEIS alignment. <br /> On January 7, 2005, the FEIS was approved and on March 9, 2005 the Record of <br /> Decision (ROD) was signed by the Federal Highway Administration (FHWA). This <br /> established Alternative 2 as the preferred and accepted alternative for the TH 371 <br /> alignment. This action by the FHWA concluded the environmental documentation <br /> process required by State and Federal law. <br /> Since the signing of the ROD, Mn/DOT and the City of Pequot Lakes have worked very <br /> closely to further develop the details of the through-town alignment to a point where it <br /> eventually would meet both the needs of the City and the standards required by <br /> Mn/DOT. <br /> A final layout that met these criteria was being developed when, on June 6, 2006, the <br /> Pequot Lakes City Council voted and passed a resolution to change their position <br /> regarding the through-town alignment associated with the four-lane expansion of TH <br />