Senate Attempts to Block Water Rate Hike

The New Jersey Senate voted unanimously last week to block New Jersey American Water’s (NJAW) bid for a 20 percent rate increase.

In a statement released by the county, Burlington County Freeholder Director Bruce Garganio praised the legislators for standing against “the immense lobbying pressure” the company exerted during the critical hours leading up to the vote.

“It takes guts to stand up to a mega-monopoly like American Water,” Garganio said. “The feedback we received was that Senate leadership was under intense pressure to pull the resolution from consideration. Meantime, individual senators were being collared in the hallway. But everyone stood fast.”

The resolution, sponsored by Sen. Dawn Marie Addiego, calls on the New Jersey Division of Rate Counsel to stop negotiating with the utility, and instead demand a $46 million decrease in rates, according to the county release.

If passed, NJAW's rate increase would increase substantially. Cinnaminson joined the fight against the tax increase.

Garganio also responded to the latest correspondence from Stefanie Brand, director of the Division of Rate Counsel, writing “the very legislative body that created your job is now calling on you to , and start representing the consumers you are empowered to protect.”

Garganio expressed concern that a settlement with NJAW would result in yet another rate increase, and would deprive seniors and working families of the opportunity to have a judge decide their fate. He said time is running out; settlement discussions are ongoing while formal hearings are scheduled to begin before the Office of Administrative Law on March 28 in Newark.

- Information provided by the Office of Burlington County Freeholders