Going with the flow: Pueblo water filter business rebounding from EPA 'stop sale' order

A change in enforcement of federal regulations for the water filter industry forced a Pueblo business to slash its staffing levels in half last year, but the resilient family-owned company has pivoted to developing and manufacturing its own products.

It's a move that James Enterprise Inc. founder Todd Emerson believes will help the company rebound to a business as strong, if not better, than it was before. In the late 1990s, Emerson, who worked for the Pueblo Fire Department at the time, and his wife, Sandie, started the business as a way to generate income so she could stay at home to raise their children.

The couple developed an internet business, BerkeyFilters.com, which helped them become the largest distributor of the popular Berkey water filter products. They obtained the filters directly from the manufacturer, New Millennium Concepts Ltd.

Berkey's gravity-fed water filters, which can filter out contaminants without the use of electricity, were in huge demand, especially in hurricane-prone communities.

It was a partnership that allowed James Enterprise Inc., known as JEI, to grow from a home-based business to the 26,000-square-foot Blende facility the business moved into in 2020. The staff grew from a mom-and-pop operation to 50 employees and eventually encompassed two generations of the family, making the business "special and unique," said McCall Knecht, the company's public relations manager.

Emerson was able to leave the fire department in 2013 after a 23-year career there, retiring as a captain.

James Enterprise Inc. founder Todd Emerson conducts a quality inspection on a set of Boroux water filters on Wednesday, January 17, 2023.
James Enterprise Inc. founder Todd Emerson conducts a quality inspection on a set of Boroux water filters on Wednesday, January 17, 2023.

The 'filter showdown'

It was the "filter showdown," as Emerson refers to it, that changed everything. It happened in late 2022, when staff with the Environmental Protection Agency first conducted an unscheduled inspection at the Pueblo business, followed by the issuance of a Stop Sale or Removal Order preventing any sales of Berkey water filter system products.

The reason for the order, according to what EPA Region 8 Inspector Christine Tokarz told the James Enterprise staff, was that “Berkey water filter systems were unregistered, misbranded pesticides" because they claimed to remove 'pests' in the water such as bacteria and viruses, which are living organisms. The EPA reportedly was cracking down on virus claims because of COVID-19.

According to the U.S. Environmental Protection Agency website, devices subject to pesticide regulations include water filters "for which claims are made to kill, inactivate, entrap, or suppress the growth of fungi, bacteria, or viruses in various sites." The "Pest Control Devices and Device Producers" regulation has been in effect since late 1976.

New Millennium Concepts Ltd. tried to comply with the EPA regulations throughout 2023 with several measures, including removing claims, repackaging and eventually a lawsuit, which was dismissed. It became clear to Emerson that his company wasn't going to be able to continue in the water filter industry without making big changes.

They closed down the BerkeyFilters.com website last month. The staff has shrunk from 50 to 25 employees.

Warehouse manager Kyle Andrew boxes up Boroux foundation filters at the James Enterprise Inc. facility on Wednesday, January 17, 2024.
Warehouse manager Kyle Andrew boxes up Boroux foundation filters at the James Enterprise Inc. facility on Wednesday, January 17, 2024.

The rebirth of Boroux

James Enterprise Inc. has pivoted to developing and expanding its Boroux (pronounced BOH-row) line of glass drinkware, which the Emersons started making 15 years ago. Boroux is a nod to borosilicate glass, which is more durable.

The Boroux line also will include stainless steel drinkware. The company has started developing and manufacturing its own carbon-activated water filter line that will include a full filter system, fluoride filters, and even a shower filter.

Because of lessons learned over the past year, they were "easily able to create a filter that met the criteria the EPA was happy with," Emerson explained.

A set of the innovative, high-tech filters has the potential to last up to five years, or about 10,000 gallons of water, Emerson said. The shower filters will have similar longevity.

Why shower filters?

"We are developing a shower filter because water contains chlorine and when it gets hot, the chlorine vaporizes and we breathe in chlorine gas. The filter goes in between the shower head and the water source and removes the chlorine from the water," Emerson explained.

The chlorine-free water also is "better on your skin because chlorine can dry your skin out," Emerson said. Knecht pointed out that chlorine also can dry out hair.

McCall Knecht fills a Boroux full water system at the James Enterprise Inc. office on Wednesday, January 17, 2023.
McCall Knecht fills a Boroux full water system at the James Enterprise Inc. office on Wednesday, January 17, 2023.

Staying positive through challenging times

Emerson said he never felt like giving up.

"You've got to be resilient and roll with the punches. It is never easy to run a business, so we always try to stay positive," he said.

"It was difficult to stay positive and I was upset when the EPA came here and shut us down. But everything happens for a reason," Emerson explained.

"So we stayed busy trying to solve the problem and never lost faith we would find a path. I believe hardship and the forced education from the EPA put us in a lot better place where we understand the regulations and that is what is going to propel us in this industry," Emerson said.

Products will be sold online

As they become available, products can be purchased online. Customers can find out more about the Boroux foundation filter at Boroux.com.

"We started out on the internet and it's where we've had the greatest success because we can reap the benefits of a larger market," he said.

Thanks to the company's employees, who are experts in marketing, logistics, shipping and finance, the international business is able to navigate everything from its social media presence to working with online retailers like Amazon.

Emerson said because health concerns are universal for people, they are "growing in an industry that supports healthy choices."

Pueblo proud and a silver lining

Emerson said his service to the community started in his role as a firefighter and continues as an employer offering good-paying jobs. James Enterprise Inc.'s "presence helps the community," he said, and gives back to an area of the state where his family has lived since the early 1900s and his wife's family has homesteaded.

Emerson is confident the company will get back to full staff.

"My crystal ball says we will be back up to 50-plus employees. We have a great product and I have confidence we will be back up to full speed in no time," he said.

"If there is a silver lining, this pushed us out of our comfort zone and into developing and manufacturing our own products."

More on JEI: Local company's orders surge due to hurricanes

Chieftain reporter Tracy Harmon covers business news. She can be reached by email at tharmon@chieftain.com or via X, formerly Twitter, at twitter.com/tracywumps. Support local news, subscribe to The Pueblo Chieftain at subscribe.chieftain.com.

This article originally appeared on The Pueblo Chieftain: Pueblo water filter business rebounds from EPA 'stop sale' order

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