Indiana town fights for control of water utility

MOORESVILLE, Ind. - An Indiana town is using a rare legal strategy in its fight to regain control of its water utility.

The Indianapolis Business Journal reports Mooresville wants to use eminent domain to take its utility from Indiana American Water. It sued the company in December after its attempt to purchase the utility for $6.5 million failed.

The eminent domain push follows a 10-year legal battle in Fort Wayne to force the sale of part of its water utility's service area. The Indiana Supreme Court sided with the city in 2007.

Legislation introduced this year at the Statehouse could make it harder to use the strategy. A Senate bill allows communities to buy water utilities only if the utilities have failed to fix repeated violations. Voter approval would be required.

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