The Pennsylvania developer of Ski Yellowstone has worked out an arrangement that will allow him to continue making payments on land he almost lost in a foreclosure action.

The settlement was reached recently in a court action filed against Ski Yellowstone by Ammon and Rhea Benson of Provo, Utah.Ski Yellowstone, a resort that has been controversial since it was proposed in the 1970s, remains undeveloped.

In their suit, the Bensons contended that Ski Yellowstone developer John Hall of Harrisburg, Pa., had failed to pay off the mortgage for 20 acres of property by 1987, as agreed. Hall still owed $93,000 when the suit was filed last year, Benson has said.

Hall's attorney, Bob Planalp, said Benson had given Hall an oral extension for a promissory note on the land purchase.

Gallatin District Judge Joseph Gary originally ruled in favor of the Bensons, saying any modification of the mortgage should have been in writing. But he later revoked that decision and planned to hold a trial on the matter.

Planalp said the settlement allows Hall to continue buying the property and making payments to the Ammon Benson Family Trust.

Hall must still file a response to a 1987 U.S. Forest Service biological study of the proposed year-round resort on Mount Hebgen. That study said the resort may harm grizzly bears and bald eagles, both protected under the Threatened and Endangered Species Act. But it determined that if the resort was open in the winter only, it would have no effect on the animals.

Hall, in a telephone interview, declined to comment about his plans for Ski Yellowstone.