WAILUKU — A hearings officer for the state Department of Health ordered Maui County to assess what emergency actions are needed to assure west Molokai residents have drinking water and sewage treatment services if Molokai Ranch's utilities operations shut down, The Maui News reported today.

But the order issued Thursday afternoon does not demand that the county take over the water and wastewater systems now operated by three utility companies owned by Molokai Properties Ltd.

A Health Department spokeswoman said that hearings officer Thomas Rack is expected to issue an order applying to the three utility companies, Molokai Public Utilities Inc., Wai'ola O Molokai and Mosco Inc.

"That's what he's working on now," said health information officer Janice Okubo at 4:30 p.m. Thursday, after the order to the county was issued.

Noting that the county had been developing a plan to deal with the emergency, Mayor Charmaine Tavares said Thursday that she is hopeful the state will hold the companies responsible for continuing to operate beyond Aug. 31.

"While we are gratified by this ruling - we hope that with the state's assistance and intervention, water and wastewater services for the west end of Molokai will not be interrupted," Tavares said.

Because of the urgency of the threat posed by Molokai Properties, Okubo said, Rack chose to issue the order to Maui County immediately.

The three utilities owned by Molokai Properties advised the state in April that they would shut down at the end of August, claiming that they were losing money and could no longer afford to continue operations.

The state Public Utilities Commission responded with a move for emergency utility rate increases for Molokai Public Utilities and Wai'ola O Molokai, the companies that provide water to Maunaloa and Kaluakoi customers. The temporary rate hikes - setting rates of $4.48 and $4.10 per 1,000 gallons on the two water systems - were intended to keep the utilities operating until a permanent utility operator can take them over.

For its part, the Department of Health issued an order for Maui County to take immediate steps to take over the utilities, with an order to Molokai Properties to keep the utilities operating for 90 days until the county could take them over.

Tavares objected, saying there is no legal authority for the state to order the county to take over private utility systems and arguing that it would be irresponsible for the county to take over the utilities without knowing what it would cost to maintain and operate them.

The dispute resulted in the hearings before Rack that ended Wednesday with state attorneys still demanding that Maui County must take over the utility systems that Molokai Properties is threatening to abandon.

In the amended order issued Thursday, Rack notes that his findings of fact, conclusions of law and decision are being prepared. But he ordered that the county be the lead agency, working with state agencies, in assessing what is needed to provide emergency water and wastewater services.

The order requires the state Civil Defense Agency and two Health Department divisions - the Safe Drinking Water Branch and the Wastewater Branch - to participate in the assessment and in developing an emergency plan to provide alternative drinking water and wastewater services to the affected communities.

"The County of Maui will also invite appropriate federal agencies (i.e. FEMA, etc.) to participate in the emergency plan process," Rack's order said.

There was no indication that federal agencies can be required to participate in the process or if any have even been notified of the situation.

The order requires the county to submit an initial assessment to Health Director Chiyome Fukino by Aug. 18 and to submit an emergency plan by Aug. 25.

Tavares said the county will continue to prepare for the potential emergency.