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Owner of Island Park Water Company steps aside

BONNEVILLE COUNTY, Idaho (KIFI) - The owner of the Island Park Water company no longer wishes to operate the system. The company has agreed to put the water systems into a receivership.

The move comes amid a months long water boil order in homes connected to the water company's system.

The news came during a status conference hearing in Bonneville county court between lawyers for the Island Park Water company and the Idaho Department of Environmental Quality.

"We've entered into the joint stipulation," water company lawyer Marvin Smith said. "The document speaks for itself."

A receivership would put the company in some sort of independent operation and then ultimately sell or transfer the company and/or drinking water systems into new ownership and new management.

"The defendants have essentially informed us that they no longer wish to operate the system. They don't have sufficient assets for management and meeting the requirements of the department," Deputy Attorney General Hannah Young said. "They're in a situation essentially where they cannot, and we would certainly argue that they should not be operating."

Young says the stipulation between the two parties will allow the DEQ to take control of the water system. This would allow the DEQ to correct some of the more immediate threats stemming from the current state and current mismanagement of the system.

"To that end, the department has agreed to begin immediately providing sampling and public notice to items that are really critical for the protection of public health and to be honest, items that the department's really been undertaking already," Young said.

According to Young, the new deal brings the department into uncharted territory.

"We don't often find ourselves in situations where we're attempting to put facilities that we regulate into another party, hands or other persons control," Young said. "But that is the situation we're in today."

Safe water analyst Kelsey Carter tells us, "The DEQ and the Public Utilities Commission will be working together in the matter to get the process moving as quickly as possible."

DEQ is still going forward with their enforcement cases and the injunctive relief that was filed with the court, which means the DEQ will still be pursuing legal action against the company and company owners could face additional fines or penalties.

Article Topic Follows: Idaho

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Seth Ratliff

Seth is a reporter for Local News 8.

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