A scaled-down proposal for a subdivision on the shores of Moosehead Lake north of Greenville has been endorsed by the staff at the Land Use Regulation Commission.

In June 2006, LURC rejected a plan to build 70 houses on 246 acres in the Piscataquis County town of Beaver Cove after determining that the project was too far from existing development and failed to protect the natural, unspoiled qualities of the area.

Developer Hank McPherson responded by reducing the number of lots to 31 and moving the proposed subdivision closer to the town of Beaver Cove. The changes were enough to garner McPherson’s latest rezoning proposal a recommendation from LURC’s staff.

LURC’s board will consider the staff recommendation next Wednesday during a meeting in Rockwood. At the same meeting, the commission will also discuss the timeframe for its review of the much larger and more controversial development proposal for the Moosehead Lake region submitted by Plum Creek Timber Co.

McPherson has proposed rezoning 271 acres to create 17 shorefront lots and 14 nonwaterfront lots on the Burnt Jacket peninsula, which juts into the center of Moosehead just north of Greenville. Houses would be located on lots ranging in size from 1.5 to 6.5 acres and arranged in groups with common green space.

Even if the rezoning is approved, McPherson will still need to get LURC approval for his subdivision plans before he can start building.

LURC staff and commissioners criticized McPherson’s first proposal because the subdivision was too far from existing development to comply with the commission’s standards for orderly growth. Houses in the original proposal would have also been more visible from Moosehead, and LURC staff expressed concerns about the development’s impact on traditional uses.

Under the new plan, the Burnt Jacket subdivision would be adjacent to a “development district” that includes nearly 200 seasonal and year-round houses, a retail store and a marina.

“Due to the proposal’s location within the cove and across from a highly developed area, it is not characterized as being visually prominent from the lake nor is it an undeveloped and pristine natural area characterized by a sense of remoteness and natural splendor,” the staff recommendation reads.

The staff wrote that the location of the development also “conserves and protects the natural beauty and unspoiled qualities of the waters, shorelands, scenic vistas and trails” on the peninsula.

McPherson, of Hampden, said Thursday that he was pleased with the staff recommendation and hopes the full commission will agree.

“We worked with the staff to come up with this proposal,” McPherson said.

The vast majority of local residents and landowners who spoke at an August public hearing on the revised project urged the commission to either reject or make significant changes to the proposal. Critics said the project would harm the area’s scenic and peaceful qualities as well as increase traffic on the already dangerous road between Greenville and Beaver Cove.

Opponents also questioned whether Beaver Cove needed another 31 house lots when there are already numerous properties for sale.

But underlying much of the opposition was the fear that, if the current proposal was approved, McPherson would return to LURC later with plans to develop more of Burnt Jacket peninsula. McPherson openly acknowledges that as a possibility, but said he wants to see how the first subdivision goes before proposing additional development.

The commission will meet at 9:30 a.m. Wednesday, Nov. 7, at the Rockwood Community Center.

The commission is also expected to discuss a new public hearing schedule for Plum Creek Timber Co.’s proposal to create 975 house lots and two resorts near Moosehead. LURC director Catherine Carroll said she would like to hold the public hearings in December, if possible.

Public hearings were originally slated to begin this weekend, but were postponed after Plum Creek made additional changes to the company’s development concept plan.