Pickled Zucchini with Herbs

2 pounds fresh, firm squash (zucchini and/or yellow squash), cut crosswise into 1/4 inch slices
2 small onions, thinkly sliced
1/4 cup Kosher salt
water
3 cups white vinegar
2 cups sugar
1 tbsp mixed peppercorns
2 tsp mustard seed
1/2 tsp turmeric
8 sprigs lemon thyme or dill
1 jalapeno, diced

Place squash and onion slices in a large nonreactive bowl along with the salt and add enough water to cover by 1 inch.  Set aside for 2 hours; drain thoroughly.  Place squash and onions in a large nonreactive pot and set aside. 

Combine remaining ingredients in a separate pan and bring to a boil.  Pour over sliced vegetables and let stand for 2 hours.  Prepare canning jars and lids according to manufacturer's directions.

Bring the pot to a boil; reduce heat to a simmer and cook for 5 minutes.  Divide vegetables evenly among 3 sterilized pint jars, then cover with enough hot cooking liquid to leave about 1/4 inch of space at the top of each jar.  Cover with sterilized lids and bands and then process for 15 minutes in a boiling water canner.  Remove and set aside to cool.