Bill > A2694

Introduced Session

This bill would permit municipalities, counties, and certain authorities to establish and operate stormwater utilities. New Jersey faces an extensive set of problems due to inadequate stormwater infrastructure and management. When storms occur, rainwater runs off of impervious surfaces like roads, roofs, and parking lots into stormwater sewer systems and ditches or into waterways. This stormwater runoff carries with it debris, bacteria, and chemicals such as pesticides, fertilizers, and gasoline, which pollutes water bodies and drinking water sources. Additionally, when there is no open space or stormwater management infrastructure to help absorb and capture water, runoff in large volumes and force can result in major flooding and property damage. New Jersey, in particular, is prone to pollution and flooding problems, with over 10 percent of its land area covered in impervious surfaces. These problems affect the health, safety, economic well-being, and quality of life of the State's residents. Unlike drinking water supply and wastewater systems, New Jersey's stormwater infrastructure lacks a dedicated source of funding, and receives few upgrades and little maintenance once built. Often times, stormwater systems go unmonitored and unattended until they break down. In some cases, the infrastructure is inadequate to manage stormwater, especially as increased development and large storm events generate more runoff. The United States Environmental Protection Agency has ranked stormwater management as New Jersey's most expensive water-related funding need, requiring $15.6 billion. While the New Jersey Department of Environmental Protection (DEP) has adopted regulations requiring municipalities to manage stormwater, many municipalities do not have the resources to do so. There is currently no explicit authority in State law for municipalities or counties to create stormwater utilities. This bill would authorize municipalities, counties, and certain local authorities to create and operate stormwater utilities. The bill would permit municipalities and counties to finance the creation, operation, and maintenance of stormwater utilities through the imposition of user fees and the issuance of bonds. Among other statutory changes, the bill would amend the "sewerage authorities law," the "municipal and county utilities authorities law," the "county improvement authorities law," the "Municipal and County Sewerage Act," and the "Municipal and County Flood Control Financing Act" to permit municipalities, counties, and combinations of municipalities and counties to manage stormwater through utilities. The bill would also require the DEP to create a stormwater utility guidance manual to provide guidance to municipalities, counties, and authorities seeking to establish stormwater utilities. The guidance manual would provide local units with rate structure guidance, including the means and method of computing rates for stormwater utility charges. Such charges would be directly related to the specific costs of the stormwater utility. Under the bill, the DEP would receive five percent of the annual fees collected by stormwater utilities as stormwater utility charges to fund program planning, implementation, and coordination activities related to stormwater utilities. Finally, the bill would authorize municipalities, counties, and authorities to contract with private firms for the operation or improvement of stormwater utilities.

AI Summary

Committee Categories

John McKeon (D)*,  Nancy Pinkin (D)*,  Cleopatra Tucker (D)*,  Clinton Calabrese (D),  Ralph Caputo (D),  Robert Karabinchak (D),  Raj Mukherji (D),  Verlina Reynolds-Jackson (D), 

Substituted by S1073 (SCS/2R) (on 01/31/2019)