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Bill > A1961


NJ A1961

NJ A1961
Permits certain local units and authorities to reduce water, sewer, and stormwater fees and other charges for low-income persons; appropriates $200,000.


summary

Introduced
01/11/2022
In Committee
03/14/2022
Crossed Over
Passed
Dead
01/08/2024

Introduced Session

2022-2023 Regular Session

Bill Summary

This bill permits certain local units and authorities to reduce water, sewerage, and stormwater fees, and other charges for low-income persons. Specifically, under the bill, a local unit or authority that operates a water, sewerage, or stormwater management system (local unit or authority) is permitted to reduce the fees or other charges it collects from a person residing in its district or service area, provided that: (1) the person is the owner or tenant of a dwelling unit in the district or service area and the person resides in the dwelling unit; (2) the dwelling unit is a single-family dwelling or a dwelling unit in a two-family dwelling; and (3) the household income for the person who resides in the dwelling unit is at or below a percentage of the most recent federal poverty guidelines, which percentage is to be established by the local unit or authority. A local unit or authority that establishes a reduction under the bill is required to adopt procedures for eligibility for a reduction and for obtaining a reduction, and advertise the availability of the reduction in the bills submitted to residents in the district or service area, or in special periodical mailings to residents in the district or service area. The bill requires that its provisions are only to apply if there is available an undesignated fund balance or there exists a sufficient amount of unreserved retained earnings set aside and designated to offset the projected loss in revenues that may be attributable to providing a reduction. Further, the bill authorizes a regional sewerage authority to increase charges in excess of the two percent statutory cap, subject to Local Finance Board approval, in order to allow for reasonable increases in fees and other charges that are necessary to compensate for reductions provided for low-income persons under the bill

AI Summary

This bill permits certain local units and authorities to reduce water, sewerage, and stormwater fees and other charges for low-income persons. Specifically, local units and authorities are allowed to reduce fees or charges for residents whose household income is at or below a percentage of federal poverty guidelines, which the local unit or authority will establish. The local unit or authority must adopt procedures for eligibility and advertising the availability of the reduction. The provisions only apply if the local unit or authority has sufficient undesignated funds or unrestricted net position available to offset the projected revenue loss. The bill also authorizes regional sewerage authorities to increase charges in excess of the two percent statutory cap to allow for reasonable increases necessary to compensate for reductions provided to low-income persons. Additionally, the bill appropriates $200,000 to the Division of Local Government Services to fund the expenses of implementing the required rate studies.

Committee Categories

Budget and Finance, Transportation and Infrastructure

Sponsors (4)

Last Action

Reported out of Asm. Comm. with Amendments, and Referred to Assembly Appropriations Committee (on 03/14/2022)

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