Old Bridge Municipal Utilities Authority

The primary discussion centered on senior discounts for water and sewer charges, specifically regarding eligibility based on income thresholds set by state statute (currently $10,000 over Social Security for individuals). Presenters clarified that eligibility is determined by state law, either through the income threshold or eligibility for the Pharmaceutical Assistance to the Aged and Disability (PAD) program. There was discussion encouraging legislative review of the outdated income limits, which were set in 1992. The authority confirmed they currently offer a 20 percent discount, which they had previously increased from 10 percent, and that they follow the township's policy by automatically granting discounts to those already approved by the township, thereby sparing residents from reapplying. The authority also confirmed they could legally adjust the discount percentage (currently 20 percent), subject to a financial analysis to ensure costs are not unfairly shifted to other ratepayers. Additionally, the possibility of providing discounts to active servicemen deployed during wartime was briefly discussed.

This document describes the DEP Wastewater Treatment Plant Regionalization Plan, an initiative established in the 1980s. The plan centralized wastewater treatment with the Middlesex Utility Authority in Sayreville for Old Bridge and surrounding communities, which is considered a beneficial approach despite imposing direct costs on taxpayers for pumping and treatment services.

The public rate hearing was held to discuss connection fee charges for the sewer and water divisions. Michelle Smith presented calculations for new connection fee rates, proposed rate changes for sewer and water connection fees, and resolutions for water and sewer division rates. The proposed fees included increases for sewer and water connections, new fees for hydrant maintenance and meter pit installation, and an increase in the hydrant meter deposit. The auditor, Robert Allison, reviewed the documents and supported the proposed rate structure. Commissioners discussed hydrant maintenance costs, meter pits, and concerns about future absorption of private maintenance costs by ratepayers.

The discussion revolves around comparing the Old Bridge MUA's water and wastewater costs to those of other towns. Studies have been conducted to determine the average 2017 residential monthly water/wastewater cost for Old Bridge MUA customers, based on 24,000 gallons of use. The comparison includes towns local to Old Bridge, such as Red Bank, Aberdeen, Milltown, Woodbridge, and Marlboro. The findings indicate that Old Bridge maintains a cost level below the middle of the pack in the state, with costs lower than most towns in the state.

The public rate hearing was held to discuss and establish new water rates for the Authority. The proposed restructuring involves reducing the minimum usage and allocating costs based on this minimum. The restructuring aims to address a revenue shortfall in the Water Division, and adjustments were made to avoid impacting low-end consumption users. The hearing included testimonies and a review of calculations to ensure mathematical accuracy and compliance with statutory requirements and bonding resolutions. Members of the public raised questions and concerns regarding the rate restructuring, its financial implications, and its connection to other financial decisions.