Nishnabotna River Group Sues Co-op Over State's 'Sweetheart Deal' for Fish Kill

Be the reason future generations know what mattered in Decorah. Fund Decorah News today. A community-led water organization has filed a lawsuit against NEW Cooperative, Inc., for a 2024 fertilizer spill into the East Nishnabotna River that resulted in the death of more than 750,000 fish.The state reached a settlement with the cooperative in July 2025, asking the company to pay a $50,000 penalty and a payment of $50,000 toward a supplemental environmental project in the county. Nishnabotna Water Defenders and other environmental groups in the state called the $100,000 settlement a "sweetheart deal" for the company. Terry Langan, co-president of Nishnabotna Water Defenders, said local citizens have been "deprived" of the full use of the river. "The massive pollution event caused by NEW Cooperative—followed by ineffective enforcement of our water pollution laws by Iowa's Department of Natural Resources and Iowa Attorney General Brenna Bird make it imperative the citizens act to fill the gap that is harming the quality of the lives of those who live and work in Southwest Iowa," Langan said in a statement. The fertilizer spill occurred more than two years ago when an employee at the coop left a valve open on a clogged fertilizer line, which later became unclogged and leaked about 265,000 gallons of liquid nitrogen fertilizer, according to DNR.According to the petition filed by Nishnabotna Water Defenders, several incidences of heavy rain following the initial spill caused more of the released fertilizer to run into the river, despite attempts to contain the spill with berms and levies. The petition alleges that NEW Cooperative "has failed and refused to follow accepted industry standards of care" like state regulations for containing liquid fertilizer, adequate staffing, maintenance and installing pollution controls." Instead, NEW Cooperative has used, and continues to use, outdated or no technologies for discharge detection and shutdown," the lawsuit alleges. In addition to seeking restitution for the "value of the lost natural resources" the petition, filed in the Iowa District Court for Montgomery County, asks for injunctive relief to force the cooperative to "modify and upgrade equipment and practices" at the plant in Red Oak. NEW Cooperative, in a statement provided to Iowa Capital Dispatch, said it has not had time to review the lawsuit. "NEW Cooperative took this incident seriously and understood the gravity of the situation when it happened back in 2024," the statement said. "We took responsibility for what occurred and have fully cooperated with regulators at the state and federal levels. This has included paying penalties, remediation and developing a plan to restore natural resources." The cooperative also said it will "continue to cooperate" with authorities and "remain fully committed to being good environmental stewards throughout Iowa." The state settlement with the cooperative also included a three-year statewide injunction prohibiting future water quality law violations. DNR shifted the case to Iowa Attorney General Brenna Bird to seek a higher fine on the spill, since DNR has a $10,000 administrative fine cap. Recently, Democratic senators attempted to add language to a bill that would increase the damage amounts the DNR could issue. Lawmakers cited the spill on the East Nishnabotna River as an example for why the language was necessary, but the amendment was not taken up by the majority. James Larew, one of the attorneys representing Nishnabotna Water Defenders in the lawsuit, said in a statement that the state's response to the situation was a "mere slap on the wrist." "By allowing hundreds of thousands of gallons of toxic urea ammonium nitrate to flow unchecked into our public waters, NEW Cooperative committed an egregious violation of the Clean Water Act and state law," Larew said. "The state's failure to enforce meaningful penalties not only insults the local community but sends a dangerous message to every corporate polluter in Iowa: that destroying a river is simply the low cost of doing business." DNR reports show the spill stretched more than 50 miles, crossed state borders and eventually flowed into the Missouri River. According to DNR's fish kill report, the estimated cost of the more than 750,000 dead fish is nearly $226,000. The lawsuit does not name a figure for the value of lost natural resources for which the group seeks restitution. Carrie La Seur, co-counsel on the case, said the lawsuit is about "more than just one spill." "It is about the public trust doctrine, which holds state lands and waters in trust for the people of Iowa," La Seur said in a news release. "The state has a fiduciary duty to protect these public resources for the benefit of all Iowans. When the state abdicates its duty, the people must step in. This lawsuit is a necessary assertion that the public's right to clean living water is superior to any corporation's right to be careless." This article has been updated to include comment from NEW Cooperative. Stay connected and informed! Join the free newsletter for curated news, trending topics, and insider perspectives you won't find anywhere else.