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Lawsuit filed over Utah Lake islands project

Utah Lake
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PROVO, Utah — The company pushing a controversial proposal to dredge Utah Lake and build islands on it has filed a lawsuit against the state, challenging its rejection of their permit application for the project.

Lake Restoration Solutions filed the lawsuit on Wednesday in Provo's 4th District Court, arguing that Utah's Division of Forestry, Fire & State Lands broke state law when it rejected their application.

"The Division did not analyze how the Project would affect the value of the affected lands or other assets, how it would increase and enhance commerce, navigation, wildlife habitat, public recreation or other public trust value, or how it affects management costs and opportunities," the lawsuit states. "Instead — and contrary the to the Division’s own regulations—the ROD [record of decision] myopically focused on the last factor and concluded that the exchange is not in the public’s interest."

The division rejected Lake Restoration Solutions' application, deeming it would not pass constitutional muster and it would be "detrimental to the citizens of Utah." The company appealed that decision to Utah Department of Natural Resources Executive Director Joel Ferry. He upheld the division's decision.

In a statement to FOX 13 News, division director Jamie Barnes defended the decision to reject Lake Restoration Solutions' application.

"We believe the court will stand behind our decision to maintain public ownership for the enjoyment of future generations," she wrote.

The division has been doing clean up work already at Utah Lake to restore its habitat, including removing invasive plant and fish species. The lake feeds into the Great Salt Lake through the Jordan River.

Lake Restoration Solutions has faced hurdles in its efforts to dredge Utah Lake and use some of the sediment to build islands for habitat, housing and recreation. There has been public opposition and the Utah State Legislature created a longer process requiring input from state agencies, lawmakers and the governor before anything moves forward. The company has said the project could cost billions, but would be a joint public-private partnership. The company has a separate application pending before the U.S. Army Corps of Engineers.

"Lake Restoration Solutions is committed to its mission of helping to restore and rejuvenate a struggling Utah Lake to once again be a gem for all Utahns to enjoy. The legal and technical questions raised by the Division of Forestry, Fire, and State Lands are issues that need resolution to find the optimal solutions for Utah Lake," the company said in a statement to FOX 13 News on Thursday.

"We are now asking the state district court to help resolve these legal questions as part of the standard process to settle technical and legal questions. Our desire is to quickly resolve this matter and to continue working collaboratively with our state leaders to advance the critical work of restoring Utah Lake."

Lake Restoration Solutions has another lawsuit pending. The company filed a defamation lawsuit against a Brigham Young University professor who has been critical of their project. Benjamin Abbott has filed a countersuit accusing the company of using litigation to try to silence him in violation of his free speech rights. A court hearing is scheduled next week.