New Jersey American Water has signed an agreement to acquire the wastewater assets of the Borough of Mount Ephraim for approximately $1.4 million, adding about 1,800 customers to the water and wastewater utility company.
The agreement follows a voter referendum that took place in November 2018, in which about 80 percent of voters approved the sale of the system to New Jersey American Water.
As part of the acquisition agreement, New Jersey American Water will invest more than $4 million in needed sewer system improvements in the next four years, while freezing current sewer rates for residents for two years and increasing rates no more than 3 percent annually for the three years after that. These necessary improvements include main replacements, upgrades to two pump stations, GIS (geographic information system) mapping the entire sewer pipe system and more. Additionally, the company will coordinate sewer and water pipeline replacements with the borough’s road paving schedule to minimize disruption. New Jersey American Water will also complete curb-to-curb paving after each major project.
New Jersey American Water expects to complete the acquisition in the first half of 2019, pending approval from the New Jersey Board of Public Utilities.