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Consultants outline stormwater utility feasibility to Salem City Council, cite state mandates and fee options

Salem City Common Council · November 12, 2024
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Summary

Ramboll/Kleinfelder presented a Stormwater Utility Feasibility Study on Nov. 12, describing intensified NJDEP MS4 Tier A permit requirements, local flooding and infrastructure needs, and fee-structure options (tiered and ERU) to fund stormwater operations and compliance; next steps include stakeholder engagement and ordinance development.

Consultants from Ramboll/Kleinfelder presented a Stormwater Utility Feasibility Study to the Salem City Common Council on Nov. 12, summarizing why a dedicated stormwater funding mechanism may be needed and outlining possible approaches and next steps.

The consultants said new state regulatory obligations and local conditions are driving the evaluation. They noted that New Jersey’s MS4 Tier A permit requirements — in effect Jan. 1, 2023 — and updates to stormwater rules (including Inland Flood Protection considerations) have increased planning, mapping, maintenance, outreach, and capital demands for municipalities. The presentation listed recurring local challenges: more frequent flooding after extreme rainfall events, aging infrastructure, deferred maintenance and limited Department of Public Works capacity to meet expanded permit obligations.

As a potential response the consultants described a stormwater utility: a dedicated fee system that raises revenue based on a property’s impervious-surface contribution to runoff. Fee-design options reviewed included tiered systems and Equivalent Residential Unit (ERU) models; the consultants provided worked examples and case comparisons (e.g., New Brunswick, NJ; Lancaster, PA) to illustrate how impervious-area calculations translate into annual fees. The presentation made two operational points: impervious area can be measured via desktop GIS for billing, and a utility’s revenue must be commensurate with services and cannot be diverted to unrelated purposes.

The consultants also outlined eligible stormwater-utility expenditures under state law, including capital projects, operations and maintenance, asset-management, monitoring and enforcement, public outreach, and activities required under NJPDES permits. They closed with an implementation roadmap that begins with public outreach and proceeds through ordinance adoption, staff training and billing-system setup.

Council did not take any formal action on the presentation during the caucus; consultants recommended stakeholder meetings and an open house to solicit public feedback before any ordinance or fee is proposed.