A Henry County Circuit Court judge ruled Tuesday that two of the five plaintiffs suing the city of Kewanee over water service will be able to keep their water on. The city turned off water to two of the city’s mobile home parks last week after promised payments from the bank who owns the property never materialized.
In the lawsuit brought by Southwind Mobile Home Estates tenant Anna Holmberg, Judge Colby Hathaway granted a preliminary injunction for Southwind Mobile Home tenants Holmberg and Ty Nelson. Holmberg was granted an emergency temporary restraining order on June 4 barring the city from cutting off her water.
The injunction will again block the city from disconnecting water service to those two mobile homes. In the same ruling, the judge denied an injunction for three other plaintiffs seeking to keep their water service. The judge cited inconsistent rent payments from the three tenants who had recently joined Holmberg on the lawsuit.
City Attorney Zac Lessard argued that the last week’s water shutoffs were driven not just by non-payment but by leaks in the park’s infrastructure, which increased water costs of which the city isn’t being paid. He told the court that multiple failing lines significantly expanded the problem.
Court-appointed receiver for the Kewanee trailer parks, Ira Lauter, testified via Zoom that many water line leaks had been repaired and that bills had dropped since he took over receivership in January. His rent records also confirmed regular lot rent payments from plaintiffs Nelson and Holmberg, with sporadic payments from the other three plaintiffs.
Lauter also noted that the bank had stopped paying water bills and is asking the court to end his receivership.
“It’s clear to me they are not willing to fund bills or repairs, and they aren’t willing to pay me any longer,” Lauter told the court.
Southwind tenant Nelson is 65 and on disability and just one of a few Southwind residents whose water has remained on. He testified that his trailer, which he owns, has a water meter that was previously used under the park’s former owner. Water payments went to a company in Michigan, he said. He currently pays $300 monthly for lot rent, which includes water and trash.
When asked by Attorney Kathryn Liss what hardships he would face if the city were to turn off his water, Nelson said he’s invested and put everything he’s had into his home. He lost his wife to cancer while living in his current residence, he said, and testified he has nowhere else to go.
Holmberg, who has lived in the park since 2010, told the court that she purchased her home in 2020 and signed a lease in 2021 that included water and trash. When asked by Plaintiff’s Attorney Liss if she’d be open to direct billing from the city for her water, Holmberg said she would.
City Manager Gary Bradley testified that fixing the mobile home parks’ infrastructure would cost around $5 million. The city had applied for a grant to help fix the infrastructure but was denied. He also testified about programs, loans and nonprofit groups that might help tenants connect their water to city lines.
Under cross-examination by Liss, Bradley confirmed that all mobile homes are connected to city water through shared service lines, which could be shut off but would affect multiple residents. He acknowledged that the number of homes per service line varied in different areas of the parks. Liss also pressed him on assistance eligibility such as USDA loans and grants for mobile home tenants, noting that mobile home residents don’t own the land that their homes sit on, which could complicate funding options.
Liss pointed out that all plaintiffs have water meters. When asked if the city could use them for billing, Bradley said he didn’t know if they worked and noted that the city lacked personnel to read them. He admitted he wasn’t aware of the meters until the lawsuit.
After consideration, Judge Hathaway ruled that the city will keep water service on for Nelson and Holmberg at Southwind Mobile Home Estates. The judge said the city will need to make the determination about whether to let any leaks continue or to fix them.
A hearing on case consolidation is scheduled for July 9.
