Prohibits sewerage authority from imposing connection fee in certain circumstances.
Impact
The legislation aims to enhance redevelopment initiatives within communities by removing what is often a significant financial obstacle: the connection fees that can reach substantial amounts. By relieving property owners of the obligation to pay these fees, especially when they may have already been contributing to the sewerage system over years, the bill promotes a policy that recognizes the value of redeveloping underutilized properties. The state acknowledges that facilitating this process can lead to positive economic impacts and spur growth in local communities.
Summary
Senate Bill S1444, introduced in New Jersey's 221st Legislature, seeks to prevent sewerage authorities from imposing new connection or tapping fees on properties being redeveloped, provided that these properties have been connected to the sewerage system for 20 years or more. This prohibition encompasses scenarios where the property has not been actively used for any period, as well as situations where redevelopment involves alterations or changes to existing connections to the sewerage system. The intent of the bill is to encourage the revitalization of obsolete or vacant properties by alleviating the financial burdens that often accompany redevelopment efforts.
Contention
While the bill is designed to support redevelopment activities, it may also raise concerns regarding the financial viability of sewerage authorities. Critics may argue that eliminating connection fees could negatively impact the revenue streams essential for maintaining and improving sewer infrastructure. There could be fears that such a policy might lead to an over-reliance on state funds or other forms of financial support to cover infrastructure costs. Balancing the needs of property redevelopment with the financial health of sewerage authorities may become a point of contention as the bill progresses.