Commercial Pool Allegedly Linked To Legionnaire’s Disease Sues State

In a complicated legal battle unfolding in Iowa, commercial pool operator, Jason Bailey, owner of Custom Fitness and Whole Health Natural Foods LLC, finds himself at the center of two lawsuits over the operation of a swimming pool. What began as an effort to maintain a community facility has spiraled into a dispute involving the state of Iowa and Linn County, as each side accuses the other of failing to uphold their responsibilities.

The Lawsuit Against Jason Bailey: Non-Compliance and Public Health Risks

Jason Bailey’s legal troubles began in October 2020 when Linn County inspectors and the Iowa Department of Public Health (IDPH) examined the pool and spa at Custom Fitness, a facility located on Wilson Avenue in Cedar Rapids. The inspectors found multiple violations at the pool, prompting concerns about public health and safety.

Among the issues were broken water heaters and filters, essential components for safe pool operation. Although Bailey replaced these parts promptly, inspectors determined that the repairs constituted “reconstruction” of the pool. Under state regulations, reconstruction of older pools—like the 1980s-era pool at Custom Fitness—requires the entire facility to meet updated building and safety standards.

IDPH notified Custom Fitness in January 2021 that if the issues were not resolved, the pool would have to close. While Bailey hired a pool architect and submitted new plans to bring the pool into compliance in March 2021, the pool remained shut down.

However, tension between Custom Fitness and local regulators escalated. In 2022, Linn County filed a lawsuit against the gym, alleging that Bailey had reopened the pool without authorization and removed closure signs posted by the county. According to court documents, the county accused Custom Fitness of defying health orders and continuing to allow public access to the pool.

The situation worsened when a case of legionnaire’s disease—a severe form of pneumonia—was traced to someone who had attended swim classes at the gym. The person had to be hospitalized, adding urgency to the county’s legal action. In December 2023, Linn County sought and was granted an injunction, formally prohibiting the use of the pool. The injunction took effect in February 2024, forcing Bailey to keep the pool closed pending further compliance.

A trial date for the county’s lawsuit is now scheduled for December 17, 2024.

Bailey’s Lawsuit Against the State: A Case of Bureaucratic Inaction

Frustrated by the three-year delay in reviewing his pool repair plans, Jason Bailey and Custom Fitness have now sued the state of Iowa, accusing it of failing to act on their permit application. The lawsuit, filed in Polk County District Court, names the Iowa Department of Inspections, Appeals, and Licensing (DIAL) as the defendant, as well as Linn County.

Bailey’s lawsuit claims that Custom Fitness followed every step required by the state to comply with pool regulations. According to the company, it submitted detailed architectural plans for repairs in March 2021, paying all necessary fees. However, the state has allegedly refused to review or approve the application for more than three years.

“Custom Fitness’s application of March 2021 has been languishing at the state for more than 1,200 days,” the lawsuit alleges. “We can take no further action to address the deficiencies identified in October 2020 without approval of our plans and issuance of a permit.”

Bailey’s frustrations intensified after the state transferred oversight of pools and spas from IDPH to DIAL in 2023, as part of a government reorganization. The lawsuit claims that DIAL’s refusal to act has placed the company in a “Catch-22” situation. According to Custom Fitness, Linn County won’t accept water samples from the pool until the state issues a permit, while the state refuses to review the permit application without water samples.

The lawsuit accuses both DIAL and Linn County of obstructing the company’s efforts to reopen the pool, stating that “the agencies have actively interfered with the compliance process.” The gym alleges that the delays and closure have cost it more than four dozen members and caused significant financial losses.

Legal Demands: Compensation and a Path Forward

In its lawsuit against the state, Custom Fitness is asking for financial compensation to cover the damages it has incurred from the pool’s prolonged closure. The company is also requesting a declaration from the court that replacing the water heaters and filters should not be classified as “reconstruction,” which would exempt the repairs from requiring a permit under Iowa law.

Bailey’s complaint emphasizes that Iowa Administrative Code requires the state to issue decisions on permit applications within 15 days, far from the three years it claims it has waited. “Despite requests in 2024 for the state to process Custom Fitness’s March 2021 plan and permit application, DIAL refuses to do so,” the lawsuit states.

If successful, Custom Fitness hopes the lawsuit will force DIAL to act on its application and reopen the pool for its 1,800 members.