Hi Kelly,
I would recommend simply exporting the PROD project and importing onto the DEV server.
When it comes to CMS and PROD/DEV planning, I have a couple of other suggestions.
1. Have 1 CMS environment, the project has a PROD and DEV project variants. This way, a developer can freely do DEV work in DEV variant using the latest content data without worrying about content migration/sync.
2. Have 1 CMS cluster, but 2 servers in this cluster, one for PROD and one for DEV. Have a PROD project, when a DEV project is needed, make a copy from PROD project. When doing server intensive DEV work, use the DEV server of the cluster, so crashing that server would not crash PROD server.
The con of this 2 approaches is that only 1 license key, which may not have enough SmartTree license to support all user activities.
-Jian