Makes $1.3 billion in federal funds available to DEP for use in New Jersey Environmental Infrastructure Financing Program for lead service line replacement projects.
Impact
The bill allows the DEP to reserve allocated funds for financial support, working alongside the New Jersey Infrastructure Bank (NJIB) through the New Jersey Environmental Infrastructure Financing Program (NJEIFP). This initiative aims to facilitate significant improvements in environmental infrastructure, especially regarding the aging water service lines that may pose health risks due to lead contamination. By prioritizing these projects, the state aims to enhance water quality considerably, reflecting a commitment to public health and environmental security.
Summary
Bill S754 proposes to allocate $1.3 billion in federal funding to the New Jersey Department of Environmental Protection (DEP) aimed at supporting lead service line replacement projects. These projects are crucial for safeguarding public health by removing lead from water supply infrastructures. The funding is contingent upon the availability of federal resources allocated for recovery from the COVID-19 pandemic, specifically from the Coronavirus State Fiscal Recovery Fund. This legislative measure is part of a broader effort to enhance environmental infrastructure across New Jersey while ensuring that drinking water sources are safe for all residents.
Contention
A key provision of S754 is the requirement for matching funds from public water utilities or other suppliers of water undertaking these projects. While small water suppliers—defined as serving no more than 3,300 customer connections—are exempt from providing upfront matching funds, they may need to commit to future contributions. This aspect has generated discussions regarding the financial feasibility for smaller utility providers, prompting concerns from some stakeholders about affordability and access to the necessary financial mechanisms to support infrastructure upgrades.
Makes $1.3 billion in federal funds available to DEP for use in New Jersey Environmental Infrastructure Financing Program for lead service line replacement projects.
Makes $100 million in federal funds available to DEP for grants to local governments for drinking water, wastewater, and stormwater infrastructure projects.
Makes $100 million in federal funds available to DEP for grants to local governments for drinking water, wastewater, and stormwater infrastructure projects.
Establishes Renewable and Efficient Energy Financing Program; authorizes BPU to transfer up to $20 million annually in societal benefits charge revenues to New Jersey Infrastructure Bank for purposes of program.
Requires DEP and New Jersey Infrastructure Bank to provide priority for principal forgiveness on environmental infrastructure project loans to municipalities in coastal areas.
Makes $1.3 billion in federal funds available to DEP for use in New Jersey Environmental Infrastructure Financing Program for lead service line replacement projects.
Amends current law so that private side lead service replacement costs, financed by the water supplier's customers that may be eligible for reimbursement from the state, would no longer be subject to appropriation by the general assembly.
Allows municipalities to enact ordinances that would permit municipalities and water suppliers to enter properties to perform lead service line replacements and permit tenants to request and schedule private side lead service line replacements.
Allows municipalities to enact ordinances that would permit municipalities and water suppliers to enter properties to perform lead service line replacements and permit tenants to request and schedule private side lead service line replacements.
Ensures public access to lead service lines to determine the existence of lead within the water connection. This act also ensures mitigation measures and replacement lines are consistent with the current version of 40 C.C.R. 141 Subpart I.