DE will not treat a lice outbreak, plus it is dangerous to eyes and breathing, as well as being overpriced. You will need to use a proven lice treatment on your flock and coop to get rid of them. Lice must be treated every 10 days at least twice, to get the lice, and the newly hatched lice before they reproduce. Permethrin is one that is commonly used, and comes in dust and liquid spray. The permethrin 10 concentrate can be mixed with water to make gallons of spray for a spray bottle or garden sprayer, good for treating coop, nest boxes, and roosts, once beeding is all removed and discarded. Martins or Gordons are common brands that work. The dust is labeled garden dust, and is used during cold weather. The yellow liquid in the poop could be a liver issue, a reproductive problem, or less likely, coccidiosis.
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