Bill Text: NJ A4933 | 2024-2025 | Regular Session | Introduced
Bill Title: Establishes New Jersey Low Income Household Water Assistance Program to provide water service and water bill payment assistance to certain low-income households; appropriates $25 million.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced) 2024-10-21 - Introduced, Referred to Assembly Telecommunications and Utilities Committee [A4933 Detail]
Download: New_Jersey-2024-A4933-Introduced.html
Sponsored by:
Assemblywoman ROSAURA "ROSY" BAGOLIE
District 27 (Essex and Passaic)
Assemblywoman ANNETTE QUIJANO
District 20 (Union)
SYNOPSIS
Establishes New Jersey Low Income Household Water Assistance Program to provide water service and water bill payment assistance to certain low-income households; appropriates $25 million.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning water service and water bill payment assistance for certain households, supplementing Title 52 of the Revised Statutes, and making an appropriation.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. As used in P.L. , c. (C. ) (pending before the Legislature as this bill:
"Arrears" means debt owed by a customer of a water system for unpaid water service bills.
"Assistance" means financial and other assistance provided to or on behalf of an eligible household to reduce the household's costs of water service.
"Board" means the New Jersey Board of Public Utilities.
"Commissioner" means the Commissioner of Community Affairs.
"Department" means the Department of Community Affairs.
"Eligible household" means a household that pays for its own water or sewer services and which has a monthly household income at or below 60 percent of the New Jersey State median income to be established by the department based on the most recent Statewide data from the United States Census Bureau.
"Fund" means the New Jersey Low Income Household Water Assistance Program Fund, established pursuant to section 3 of P.L. , c. (C. ) (pending before the Legislature as this bill).
"Local authority" or "authority" means an authority, as defined in N.J.S.40A:5A-3, or a water district established pursuant to R.S.40:62-96 et seq., that provides water or wastewater service.
"Municipal utility" or "utility" means a municipal public utility, as defined in N.J.S.40A:1-1, a joint meeting or regional service agency, as defined in section 3 of P.L.2007, c.63 (C.40A:65-3), or a water commission appointed pursuant to R.S.40:62-109 that provides water or wastewater service.
"Program" means the New Jersey Low Income Household Water Assistance Program, established pursuant to section 2 of P.L. c. (C. ) (pending before the Legislature as this bill).
"Public utility" means and includes a public utility as defined in R.S.48:2-13 that provides water, wastewater, or sewer service.
"Qualifying customer" means a residential customer who has been approved by the department to participate in the program.
"Residential customer" means a residential customer of record of a local authority or municipal utility, or any residential tenant of a residence where the owner of the residence, or any agent or other representative thereof, is a customer of record of the local authority or municipal utility.
"Vendor contract" means one or more written agreements entered into between a local authority or municipal utility and the department to effectuate the local authority or municipal utility's participation in the program, which agreement or agreements shall allow qualifying customers of the local authority or municipal utility to participate in the program.
"Water service" means service provided by a water system.
"Water system" means all of the following:
a. a public community water system, as defined in section 3 of P.L.1977, c.224 (C.58:12A-3);
b. a stormwater utility established pursuant to section 4 of P.L.2019, c.42 (C.40A:26B-4); and
c. an authority, as defined in P.L.1983, c. 313 (C.40A:5A-3), municipal public utility, as defined in P.L.1960, c.169 (C.40A:1-1), or public utility, as defined pursuant to R.S.48:2-13, that provides sewer service.
2. a. The Commissioner of Community Affairs, in consultation with the Board of Public Utilities, shall establish the "New Jersey Low Income Household Water Assistance Program" not later than the first day of the sixth month next following the enactment of P.L. , c. (C. ) (pending before the Legislature as this bill). The purpose of the program shall be to provide grants to public utilities, local authorities, and municipal utilities to assist eligible households by:
(1) providing financial and other assistance to, or on behalf of, eligible households throughout New Jersey;
(2) reducing the cost of water services to those households;
(3) preventing the disconnection of water service to households due to inability to pay; and
(4) restoring water service to households disconnected due to inability to pay.
b. The program, to the greatest extent possible, shall ensure that the costs of water services are affordable for all eligible households and shall provide the following types of assistance:
(1) direct assistance;
(2) assistance to renters and other households who do not receive a bill from a water system but pay other amounts, fees, or charges related to residential water system service;
(3) water crisis intervention assistance;
(4) water efficiency, leak detection, and plumbing repair measures; and
(5) debt relief for arrears, including arrears accrued prior to implementation of the program.
c. In addition to the assistance provided pursuant to subsection b. of this section, the program shall also offer short-term financial support to water systems that are not public utilities as defined by R.S.48:2-13 to administer program components, including initial startup costs.
d. The program may provide financial support to a water system that is not a public utility as defined by R.S.48:2-13 to provide assistance pursuant to subsection b. of this section to eligible households provided that the total amount of funds used for this purpose shall not exceed three percent of the program's total annual budget.
e. If the commissioner secures federal funding that may be used to provide assistance under the program prior to the first day of the sixth month next following the enactment of P.L. , c. (C. ) (pending before the Legislature as this bill), the commissioner shall begin to operate the program on an emergency basis, consistent with any applicable conditions on the State's receipt of such federal funding.
f. The commissioner shall coordinate the program with any existing assistance programs to the extent practicable.
g. In developing the program, the commissioner shall review and consider adapting program design elements of one or more existing low-income energy assistance programs, including the Universal Service Fund and the Low Income Home Energy Assistance Program.
h. In administering the program, the commissioner shall consult and coordinate with the board to develop and publish performance metrics that are disaggregated by authority or utility name, type of water service provided, municipality, and zip code or, to the maximum extent practicable, census tract in lieu of zip code. Performance metrics shall include, but are not limited to, enrollment levels, disconnection of water service for inability to pay, and on-time payment levels. The commissioner shall coordinate with the board to collect data to track the performance metrics.
i. The commissioner shall, as may be necessary, coordinate and consult with other State agencies concerning aspects of the program and resolve disputes, through use of memorandums of understanding, as may be necessary.
j. The commissioner shall authorize local authorities and municipal utilities to impose a surcharge on their customers who are not eligible households to pay for the costs experienced by the local authority or municipal utility to comply with the requirements of P.L. , c. (C. ) (pending before the Legislature as this bill).
3. a. There is created in the Department of Community Affairs a separate trust fund, to be used for the exclusive purposes as provided in this section, and which shall be known as the "New Jersey Low Income Household Water Assistance Program Fund." The fund shall be a non-lapsing fund. All monies appropriated annually by the Legislature, federal and other grants received by the State, and any other monies made available for the purposes of the fund shall be deposited in the fund. Additionally, the department shall seek to maximize any available federal funding which may be used for the purposes of administering this program. The department shall be permitted to utilize annually up to 10 percent of the monies available in the fund for the payment of any necessary administrative costs related to the administration of the program, pursuant to subsection a. of section 2 of P.L. , c. (C. ) (pending before the Legislature as this bill).
b. Monies in the fund shall be used by the department for the purposes provided in subsections b., c., and d. of section 2 of P.L. , c. (C. ) (pending before the Legislature as this bill).
4. a. To participate in the program, each public utility, local authority, or municipal utility shall enter into a vendor contract with the department, on a form and in such manner as determined by the commissioner, to provide assistance to qualified customers. Notwithstanding any provision of law or regulation to the contrary, and to the extent permitted under federal law, the vendor contract shall not prohibit a public utility, local authority, or municipal utility from undertaking any of the following actions after enactment of P.L. , c. (C. ) (pending before the Legislature as this bill):
(1) assessing interest on the unpaid balance of the water or wastewater service charges of any qualifying customer;
(2) discontinuing the water or wastewater service of any qualifying customer for non-payment, except in the case of a qualifying customer who is enrolled in a deferred payment agreement with the public utility, local authority, or municipal utility and complies with all requirements of the agreement; and
(3) placing, selling, or enforcing a lien on real property for the unpaid balance of the water or wastewater service charges of any qualifying customer.
b. (1) If a public utility, local authority, or municipal utility fails to enter into a vendor contract with the department, or otherwise fails to allow qualifying customers to receive assistance under the program, the public utility, local authority, or municipal utility shall be prohibited from:
(a) discontinuing the water or wastewater service of any residential customer for non-payment; and
(b) placing, selling, or enforcing a lien on real property for the unpaid balance of the water or wastewater service charges of any residential customer.
(2) Upon entering into a vendor contract, each public utility, local authority, or municipal utility shall advertise, pursuant to paragraph (3) of this subsection, eligibility for the program:
(a) on the bills of every residential customer;
(b) on the official Internet website of the local authority or municipality, as applicable; and
(c) in any written communication provided by the public utility, local authority, or municipal utility to a residential customer in connection with an overdue water or wastewater bill.
(3) Within 14 calendar days following the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), the department shall prescribe the form and manner in which a public utility, local authority, or municipal utility shall advertise eligibility for the program pursuant to paragraph (2) of this subsection, except that before such time, each public utility, local authority, and municipal utility shall advertise eligibility for the program in a form and manner determined by the public utility, local authority, or municipal utility.
(4) Notwithstanding any provision to the contrary, this section shall not apply to any municipal lien that was sold to a third party before the effective date of P.L . , c. (C. ) (pending before the Legislature as this bill) or to the payment of unpaid water or wastewater charges by a third party lienholder.
c. (1) Within 10 calendar days following the effective date of P.L . , c. (C. ) (pending before the Legislature as this bill), the department shall provide written notice to each public utility, local authority, or municipal utility concerning the provisions of this section.
(2) A public utility, local authority, or municipal utility shall document its compliance with the requirements of paragraph (2) of subsection b. of this section, and the department shall require the public utility, local authority, or municipal utility to submit written documentation to the department attesting to such compliance.
d. (1) A public utility, local authority, or municipal utility that violates the provisions of paragraph (1) of subsection b. of this section shall be subject to a penalty of $500 for each calendar day in which water or wastewater service is discontinued for a residential customer and a fine of $100 for each instance in which the public utility, local authority, or municipal utility fails to advertise eligibility for the program pursuant to paragraphs (2) and (3) of subsection b. of this section , including each residential customer bill that fails to include this information. Any penalty imposed under this section shall be collected, with costs, in a civil action by a summary proceeding under the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.). The Superior Court and the municipal court shall have jurisdiction over such proceedings.
(2) If a public utility, local authority, or municipal utility discontinues the water or wastewater service of a residential customer for non-payment, in violation of the provisions of this section, the discontinuance shall be nullified and service shall be restored immediately.
(3) If a public utility, local authority, or municipal utility places, sells, or enforces a lien on the real property of a residential customer for the unpaid balance of water or wastewater service charges, in violation of the provisions of this section, the lien shall be deemed null and void.
5. a. Within 14 calendar days following the effective date of P.L . , c. (C. ) (pending before the Legislature as this bill), the department shall provide written, plain language instructions to each public utility, local authority, and municipal utility concerning the duties and responsibilities of the public utility, local authority, or municipal utility under the vendor contract, any other duties and responsibilities of a public utility, local authority, or municipal utility that enters into a vendor contract, and any other information that the department may deem appropriate. The instructions shall also include direct contact information for one or more employees of the department who are responsible for administering the program, which persons may assist the public utility, local authority, or municipal utility in the implementation of the program.
b. Within 14 calendar days following the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), and every 14 calendar days thereafter, the department shall provide written notice to each public utility, local authority, or municipal utility, which notice shall indicate:
(1) the name, address, and utility account number of each residential customer of the public utility, local authority, or municipal utility that has submitted an application to the department for the program;
(2) the name, address, and utility account number of each residential customer of the public utility, local authority, or municipal utility that has been approved or denied by the department to participate in the program; and
(3) any other information that the department deems appropriate.
c. After a public utility, local authority, or municipal utility receives written notice from the department, pursuant to paragraph (2) of this subsection , that a qualifying customer has been approved to participate in the program, the public utility, local authority, or municipal utility shall immediately suspend any enforcement action undertaken against the qualifying customer resulting from the non-payment of water or wastewater charges.
d. Within 14 calendar days following the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), and every 14 calendar days thereafter, each public utility, local authority, and municipal utility shall provide written notice to the department, which notice shall indicate the name, address, utility account number, and current unpaid balances owed for each residential customer of the public utility, local authority, or municipal utility who is in arrears. The department shall use the written notice to encourage otherwise eligible households to participate in the program. The written notice shall be considered confidential and shall not be available for public disclosure.
6. Within one year following the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), and annually thereafter, the department shall submit a written report concerning the operations of the program to the Governor, and to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1). In addition to any other information that the department deems appropriate, the report shall indicate:
a. the number of persons who applied for the program;
b. the number of persons who have been approved and denied for the program, respectively;
c. the number of public utilities, local authorities, and municipal utilities that have entered into a vendor contract, including the names of any such public utility, local authority, or municipal utility; and
d. the amount of funding that has been expended on the program, including administrative expenses and program assistance payments, respectively.
7. The commissioner, in consultation with board and pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations to effectuate the provisions of P.L. , c. (C. ) (pending before the Legislature as this bill).
8. There is appropriated from the General Fund to the Department of Community Affairs the sum of $25,000,000 to provide grants to effectuate the purposes of P.L. , c. (C. ) (pending before the Legislature as this bill).
9. This act shall take effect immediately.
STATEMENT
This bill requires the Commissioner of Community Affairs (commissioner), in consultation with the New Jersey Board of Public Utilities (board), to establish the "New Jersey Low Income Household Water Assistance Program" (program). The purpose of the program is to provide affordability assistance for water and sewer services to eligible households throughout New Jersey. Under the bill, "eligible household" means a household that pays for its own water or sewer services and which has a monthly household income at or below 60 percent of the New Jersey State median income, to be established by the Department of Community Affairs based on the most recent Statewide data from the United States Census Bureau.
Under the bill, the programs would provide the following types of assistance:
· direct assistance;
· assistance to renters and other households who do not receive a bill from a water system but pay other amounts, fees, or charges related to residential water system service;
· water crisis intervention assistance;
· water efficiency, leak detection, and plumbing repair measures for eligible households; and
· debt relief for arrears, including arrears accrued prior to implementation of the program.
The commissioner is required to coordinate the program with any existing assistance programs, and in developing the program, the commissioner is also required to review and consider adapting elements of one or more existing low-income energy assistance programs, including the Universal Service Fund and the Low Income Home Energy Assistance Program.
The bill also establishes the "New Jersey Low Income Household Water Assistance Program Fund." The fund would be a non-lapsing fund to contain monies appropriated annually by the Legislature, federal and other grants received by the State, and any other monies made available to fund the water affordability assistance required to be provided in the bill.
To participate in the program, each public utility, local authority, or municipal utility is required to enter into a vendor contract with the department, on a form and in such manner as determined by the commissioner, to provide assistance to eligible households.
The bill requires the commissioner to submit an annual written report concerning the operations of the program to the Governor and to the Legislature, which is required to include information concerning:
· the number of persons who applied for the program;
· the number of persons who have been approved and denied for the program, respectively;
· the number of public utilities, local authorities, and municipal utilities that have entered into a vendor contract, including the names of any such public utility, local authority, or municipal utility; and
· the amount of funding that has been expended on the program, including administrative expenses and program assistance payments, respectively.
The bill appropriates $25 million from the General Fund to the Department of Community Affairs to provide grants to effectuate the bill's provisions.