The South Orange Village Council will hold a special meeting on July 29 to vote on an ordinance that would allow for a referendum on November 5 deciding on whether or not to sell the township’s water utility to New Jersey American Water.
After years of discussion, research and a bidding process, South Orange recently received a bid of $19.7 million for its water utility from New Jersey American Water which also includes a “commitment of $50M in infrastructure upgrades over the next 10 years and the replacement of all lead lines on the utility and customer side.”
The July 29 virtual meeting will include a presentation of information and an opportunity for members of the public — and the governing body — to ask questions.
The Council will then vote on the ordinance — deciding whether or not to move ahead with the ballot question. The July 29 meeting is the second reading of the ordinance, which was introduced earlier this month.
See Village Green’s reporting here:
- South Orange Voters Could Decide Fate of Water Utility: To Sell or Not to Sell?
- South Orange Receives $20M Bid for Water Utility
Read South Orange Village’s release announcing the July 29 special meeting here:
July 23, 2024 – South Orange Village has scheduled a special meeting of the Village Council focusing on the adoption of an ordinance advancing the sale of the South Orange Water System. The ordinance, if passed, will authorize a ballot referendum for consideration by voters during the general election on November 5, 2024 regarding the sale of the Village’s water system to New Jersey American Water, Inc.
According to the ordinance, if the voters approve the sale, the Village would then be able to adopt a resolution to proceed with the contract, which would include a commitment from New Jersey American Water to purchase the system for $19,700,000, plus an additional $50 million in infrastructure upgrades over the next 10 years, and the replacement of all lead lines on the utility and customer side.
If a majority of voters say no to the ballot question, the Village will retain its water system and will immediately begin a process to increase rates to the extent required to address the need for additional capital improvements, a lead line replacement program and other necessary maintenance initiatives.
“The adoption of this ordinance would allow us to move forward and place this question on the ballot allowing the public to decide,” said South Orange Mayor Sheena Collum, adding, “should this ordinance move forward we’ll begin an extensive community conversation that will continue over the next three months, including town halls, printed information and other opportunities for our residents to participate, learn and vote.”
The link to attend this virtual meeting can be found on the Village website calendar.
