New Jersey-2020-A2565-Introduced

An Act establishing the Mercer Regional Water Services Commission and supplementing Title 40A of the New Jersey Statutes.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. The Legislature finds and declares that:

a. Trenton Water Works is a public utility that is responsible for providing a safe, clean, and adequate water supply to certain residents and businesses located in Ewing Township, Hamilton Township, Hopewell Township, Lawrence Township, and the City of Trenton in Mercer County.

b. Although five municipalities and approximately a quarter millions individuals are serviced by Trenton Water Works, the public utility is owned, operated, and controlled by one municipal government.

c. The New Jersey Department of Environmental Protection has, on multiple occasions, cited Trenton Water Works for numerous violations related to technical, operational, and managerial deficiencies.

d. Despite administrative consent orders mandating that Trenton Water Works take corrective action related to systems operations, emergency response plans, adequate staffing, and mandated progress reports, violations and complaints related to water and service quality issues have persisted.

e. The continuing problems and inadequate oversight of Trenton Water Works has become a public health concern that necessitates legislative action to ensure the welfare of the customers of Trenton Water Works and the citizens of this State.

2. a. There is established a Mercer Regional Water Services Commission. The purpose of the commission is to oversee rate-setting, service quality, and infrastructure operations of Trenton Water Works, and to facilitate efficient and effective remediation of problems arising therefrom.

b. The commission shall consist of 13 members as follows:

(1) The Mayor of Ewing Township, ex officio, or the mayor's designee , serving as a voting member;

(2) a member of the Ewing Township Council, selected by a majority vote of a quorum of the council members , serving as a voting member;

(3) the Mayor of Hamilton Township, ex officio, or the mayor's designee, serving as a voting member;

(4) a member of the Hamilton Township Council, selected by a majority vote of a quorum of the council members , serving as a voting member;

(5) the Mayor of Hopewell Township, ex officio, or the mayor's designee , serving as a voting member;

(6) a member of the Hopewell Township Committee, selected by a majority vote of a quorum of the committee members, serving as a voting member;

(7) the Mayor of Lawrence Township, ex officio, or the mayor's designee, serving as a voting member;

(8) a member of the Lawrence Township Council, selected by a majority vote of a quorum of the council members, serving as a voting member;

(9) the Mayor of the City of Trenton, ex officio, or the mayor's designee, serving as a voting member;

(10) a member of the Trenton City Council, selected by a majority vote of a quorum of the council members, serving as a voting member;

(11) the Commissioner of Environmental Protection, ex officio, or the commissioner's designee, serving as a non-voting member ;

(12) the Commissioner of Community Affairs, ex officio, or the commissioner's designee;serving as a non-voting member; and

(13) the President of the Board of Public Utilities, ex officio, or the president's designee, serving as a non-voting member.

c. All appointments to the commission shall be made no later than 45 days following the date of enactment of P.L. , c. (C. ) (pending before the Legislature as this bill). The commission shall organize as soon as practicable, but no later than 45 days following the date of enactment of P.L. , c. (C. ) (pending before the Legislature as this bill). At the initial organizational meeting, the commission shall select by vote of six voting members a chairperson, a vice chairperson, who shall serve as chairperson of the commission in the chairperson's absence, and a secretary, from among the commission's members. Annually thereafter, the commission shall select by a vote of six voting members a chairperson, a vice chairperson, and a secretary from among the commission's members.

d. If a commission member, who is appointed pursuant to paragraph (2), (4), (6), (8), or (10) of subsection b. of this section, vacates his or her position on that municipal body, then that member's replacement on the commission shall be selected as follows: the members of that municipal body shall select from its members a replacement, by majority vote of a quorum and within 30 days of official vacancy.

e. (1) The commission shall meet at the call of the chairperson or upon agreement of six voting members of the commission. Meetings shall be held no less than once every 90 days, and additional meetings shall be convened as necessary for the commission to discharge its duties, at any location in Mercer County. The meetings shall be held at such times deemed appropriate for the commission to fulfill its charge, with due consideration for the opportunity to maximize public attendance and participation.

(2) The commission shall be considered a "public body" and in all respects shall comply with the provisions of the "Senator Byron M. Baer Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.). In addition to the requirements of section 4 of P.L.1975, c.231 (C.10:4-9), adequate notice, as defined in section 3 of P.L.1975 c.231 (C.10:4-8), shall also be given by publication in the official newspaper, if there is one, or in a newspaper of general circulation, for Ewing Township, Hamilton Township, Hopewell Township, Lawrence Township, and the City of Trenton. A municipality may also publish notice on the municipality's internet website.

f. Six voting members of the commission shall constitute a quorum for the transaction of official business. Action may be taken and resolutions adopted by the commission at a meeting by the affirmative vote of six voting members of the commission.

g. Mercer County shall, upon request of the commission, provide legal, stenographic, technical, clerical, and other staff and resource assistance to the commission.

h. Commission meetings shall be open to the public as provided in the "Senator Byron M. Baer Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.); provided, however, that, by affirmative vote of nine voting members, the commission may conduct a part of a meeting in closed session if the agenda item concerns a matter provided in subsection b. of section 7 of P.L.1975, c.231 (C.10:4-12).

i. A member of the commission shall not be an employee of Trenton Water Works or the Department of Public Works of the City of Trenton. In the case of an individual who, pursuant to this section, is designated as an ex officio member of the commission but is employed by Trenton Water Works or the Department of Public Works of the City of Trenton, then a replacement shall be appointed in the place of that member pursuant to this section.

3. a. Notwithstanding any provision of law to the contrary, upon the adoption of a resolution or ordinance by the Trenton City Council that concerns Trenton Water Works, the Trenton City Council shall promptly transmit a copy of the resolution or ordinance to the members of the Mercer Regional Water Services Commission. Unless otherwise provided by P.L. , c. (C. ) (pending before the Legislature as this bill), the ordinance or resolution shall not take effect without first receiving the review and approval of the commission. If the commission does not issue an approval or disapproval within 90 calendar days of transmittal by the Trenton City Council, the ordinance or resolution shall be deemed approved.

b. Notwithstanding any provision of law to the contrary, approval of the commission shall be required for any proposal concerning Trenton Water Works to:

(1) enter into, renew, or amend a contract, which directly concerns Trenton Water Works, that is necessary and material to the operation of Trenton Water Works, and which concerns consideration or value greater than $10,000;

(2) fix and collect rates, fees, rents, and other charges, pursuant to "County and Municipal Water Supply Act," N.J.S.40A:31-1 et seq.; and

(3) hire, suspend, or terminate the employment of managerial or executive personnel of Trenton Water Works; provided, however, that such action may be taken without commission approval on an interim basis for a period of up to 90 days, pending the convening of the commission.

c. Notwithstanding any provision of law to the contrary, the commission shall, at its discretion, hold hearings, take testimony, and refer matters to the appropriate State department or agency on any public or internal complaint regarding Trenton Water Works involving:

(1) water and service quality;

(2) infrastructure and reliability;

(3) rates and fees, if the amount in dispute is greater than $1,000; and

(4) misfeasance, malfeasance, or nonfeasance, of an employee of Trenton Water Works, or other material issues related to appropriate staffing and training; provided, however, that nothing in this section shall preclude or limit any other civil or criminal action or remedy available by law.

d. Notwithstanding any provision of law to the contrary, the commission shall, with regard to Trenton Water Works, monitor:

(1) compliance with the "Water Quality Accountability Act," P.L.2017, c.133 (C.58:31-1 et seq.) and the "Safe Drinking Water Act," P.L.1977, c.224 (C.58:12A-1 et seq.), and notify the Department of Environmental Protection of concerns regarding violations thereof;

(2) adherence to an adequate emergency response plan, including but not limited to, providing timely notification to customers served by Trenton Water Works of water quality and service problems;

(3) progress reports required to be prepared by Trenton Water Works, pursuant to law, regulation, court or administrative order, or consent agreement;

(4) hiring, adequate staffing, and proper training of personnel; and

(5) proper payment of fines and penalties.

e. By affirmative vote of nine voting members, the commission may waive or deem approved any provision of oversight responsibility mandated by this section, for a period of up to 365 days. By affirmative vote of nine voting members, the commission may continue to waive or deem approved any provision of oversight responsibility mandated by this section for separate periods of up to 365 days.

f. For purposes of this section, "local unit" and "water supply facilities" shall have the same meanings as those terms are defined in N.J.S.40A:31-3.

4. a. On or before the first day of the 60th month next following the date of enactment of P.L. , c. (C. ) (pending before the Legislature as this bill), the Mercer Regional Water Services Commission shall prepare and file with the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), with the Legislature, a status report concerning Trenton Water Works. The report shall analyze, with particular emphasis on improvements and problems during the prior 60 months: the state of water quality, service quality, rate-setting, and infrastructure; information concerning any adopted asset management program and emergency response plan; adequate staffing and training for personnel; any federal, State, or local violations or citations received in the prior 60 months, and the measures taken to remediate the issues; the efficacy of the Mercer Regional Water Services Commission as an oversight body, and recommendations to broaden or limit the scope of the commission's responsibilities; and any other relevant information concerning Trenton Water Works deemed appropriate by the commission. The report shall be adopted by the affirmative votes of six voting members of the commission.

b. Upon receipt of the report, the Legislature may adopt a joint resolution that dissolves the commission. If a joint resolution dissolving the commission is adopted by the Legislature and approved by the Governor, the commission shall be dissolved and its responsibilities pursuant to P.L. , c. (C. ) (pending before the Legislature as this bill) shall end; provided, however, that the commission may take administrative action as may be necessary to complete the work of the commission.

c. If the Legislature does not adopt, or the Governor does not approve, a joint resolution that dissolves the commission, then the commission shall continue to prepare and file reports with the Legislature and the Governor on a bi-annual basis, pursuant to this section.

5. This act shall take effect immediately.

STATEMENT

This bill establishes the Mercer Regional Water Services Commission (commission). The purpose of the commission is to oversee rate-setting, service quality, and infrastructure operations of Trenton Water Works (TWW), as well as to receive information about and facilitate the resolution of problems arising from TWW and its operations.

The commission is to be comprised of 13 voting members in the following categories: (1) the mayors of Ewing Township, Hamilton Township, Hopewell Township, Lawrence Township, and the City
of Trenton, or their designees; (2) one representative from the municipal governing bodies of the aforementioned municipalities, as selected by a majority vote of the council (or committee) members; (3) the Commissioner of Environmental Protection, or a designee; (4) the Commissioner of Community Affairs, or a designee; and (5) the President of the Board of Public Utilities, or a designee. Members of the commission are prohibited from being employed by TWW or the Trenton Department of Public Works.

Meetings may be called by the chairperson or by agreement of six members of the commission, and may be held at any location in Mercer County. The first appointments to the commission, and the initial organization meeting, are required to be conducted no later than 45 days after the date the bill is enacted. The commission is required to meet at least once every 90 days. Additional meetings may be convened as necessary. Meetings should be scheduled so as to afford maximum opportunity for public attendance and participation. The commission is to be considered a "public body" and in all respects shall comply with the provisions of the "Senator Byron M. Baer Open Public Meetings Act" (OPMA). In addition to the requirements of the OPMA, adequate notice of commission meetings is required to be published in newspapers circulating in each of the aforementioned municipalities and may be posted on the municipalities' website. Mercer County is to provide staffing for the commission.

Six members of the commission would constitute a quorum for the transaction of official business. Except as otherwise provided in the bill, commission action may be taken and resolutions may be adopted upon the affirmative vote of six commission members. Commission meetings are to be open to the public. However, by a supermajority vote of nine members, the commission may conduct a part of a meeting in closed session if discussing one of the matters allowing for closed session as provided in the OPMA.

At the first organizational meeting, the commission is to select a chairperson, a vice chairperson, who shall serve as chair of the commission in the chairperson's absence, and a secretary, from among the commission's members. Every year, the commission is to select a new, or reappoint an existing, chairperson, vice chairperson, and a secretary from among the commission's members.

The bill requires that an ordinance or resolution that adopted by the Trenton City Council and concerns TWW be referred to the commission for ratification. The ordinance remains inoperative until receiving the review and approval of the commission. If the commission does not approve or disapprove the ordinance or resolution within 90 calendar days of transmittal by the Trenton City Council, the ordinance or resolution is deemed approved.

For any proposal concerning TWW, the approval of the commission is necessary to: (1) enter into a contract, to which TWW is a party, that is necessary and material to the operation of TWW, that concern amounts greater than $10,000; (2) fix and collect rates, fees, rents, and other charges; and (3) hire, suspend, or terminate the employment of managerial or executive personnel of TWW, though this type of action may be taken without commission approval on an interim basis for a period of up to 90 days.

The commission may hold hearings, take testimony, and refer matters to the appropriate State department or agency, on any public or internal complaint regarding TWW and: (1) water and service quality; (2) infrastructure and reliability; (3) rates and fees, if the amount in dispute is greater than $1,000; and (4) issues related to improper or illegal actions by an employee of TWW, including concerns over appropriate staffing and training.

The commission is required to monitor TWW's: (1) compliance with the "Water Quality Accountability Act" and the "Safe Drinking Water Act," including notifying the Department of Environmental Protection of concerns regarding violations; (2) adherence to an adequate emergency response plan, including providing timely notification to customers served by TWW of water quality and service problems; (3) progress reports required to be prepared by TWW, pursuant to law, regulation, court or administrative order, or consent agreement; (4) hiring, staffing, and training of personnel; and (5) proper payment of fines and penalties. However, by a supermajority vote of nine members, the commission may waive or deem approved any of the aforementioned oversight responsibilities, for a period of up to 365 days. Thereafter, by a supermajority vote of nine members, the commission may continue to waive or deem approved those responsibilities.

The bill requires that no later than the first day of the 60th month (approximately five years) after enactment of the bill, the commission is required to prepare and file a status report with the Governor and Legislature. The report is to analyze, with emphasis on the prior five years: (1) the state of water quality, service quality, rate-setting, and infrastructure; information concerning any adopted asset management program and emergency response plan; (2) adequate staffing and training for personnel; any federal, State, or local violations or citations received in the prior five years, and the measures taken to remediate the issues; the efficacy of the commission as an oversight body, and recommendations to broaden or limit the scope of the commission's responsibilities; and (3) any other relevant information concerning TWW deemed appropriate by the commission. The report is to be adopted by the affirmative votes of six members of the commission.

Upon receipt and review of the report, the Legislature may adopt a joint resolution that dissolves the commission, ending its existence as a body and terminating its oversight responsibilities. However, if the Legislature does not adopt, or the Governor does
not approve, a joint resolution that dissolves the commission, then the commission is required to continue to prepare and file reports with the Legislature and the Governor biannually until it is dissolved.