Mount Olive, New Jersey Development News

Manala Township Council Discusses 5% Water and Sewer Rate Increases Amidst Financial Analysis

The Manala Township Council discussed a proposed 5% water and sewer rate increase for two consecutive years, starting in 2027, to ensure the utility remains self-sustaining and to push back the projected need for additional revenue from 2029 to 2030. This proposal includes a 5% increase in 2027 and another 5% in 2028. The analysis indicates that even with these increases, a 30% increase may be needed in 2030 if smaller, consistent increases are not implemented over time. The council also discussed the potential impact of a townwide meter replacement project, which could recover lost revenue due to inaccurate meters, but is a multi-million dollar project. Financing through the iBank might make the project eligible for loan forgiveness, potentially reducing the net cost. The discussion highlighted that operating costs such as salaries, other expenses, and payments to the Muscanet Sewer Authority are the primary drivers of rate increases, and current revenue from water and sewer bills is not keeping pace. The proposed quarterly increase for the average resident would be under $10 by 2028.