This NJ Law Could Battle Flooding. So Why Isn’t Anyone Using It?

NEW JERSEY — In 2019, New Jersey passed a law that allows local governments to create utilities which can charge fees to properties that create excess stormwater runoff, a move that supporters called “flood defense” and opponents called a “rain tax.” Now – more than four years later – there are still no stormwater utilities in the Garden State. And this week’s wild weather is yet more proof of why they’re needed, some environmental advocates say.

A powerful winter storm dumped nearly four inches of rain on some parts of the state Tuesday night and Wednesday morning. Several rivers, especially in North Jersey and southeast Pennsylvania, are experiencing “moderate to major flooding” and will remain flooded though the week, the National Weather Service said.

Meanwhile, flooding and waterlogged roadways are being reported across New Jersey, where a state of emergency was declared on Tuesday evening.

Ironically, the Garden State has a mechanism that could make a big difference when it comes to reducing the impact of floods – it’s just not being used, according to Ed Potosnak, executive director of the New Jersey League of Conservation Voters (NJLCV).

“Frequent flooding from severe storms is causing millions of dollars in property damage, snarling traffic, threatening drinking water and endangering lives – and the problem is only getting worse because of climate change,” Potosnak said.

“We need long-term stormwater solutions to address flooding in our municipalities to defend families and businesses from flooding which will require money,” he added.

One such fix? Creating stormwater utilities, Potosnak said.

If they create a stormwater utility, a town, city, county or sewerage authority would have the ability to charge an “equitable” fee to any property that causes more than its fair share of stormwater runoff. The money would be used to fuel efforts to fight flooding, pollution and other negative effects of stormwater, and could not be diverted for any other purpose.

New Jersey has a lot of surface area that is particularly impervious to stormwater management, with asphalt and concrete having replaced many forests, meadows, beaches and other porous surfaces, according to The Pew Charitable Trusts.

“That means stormwater pools and runs off much quicker and in a higher volume than it once did, which in turn results in a lot of localized flash flooding that overwhelms stormwater management systems,” advocates said.

The most likely properties to be affected by stormwater fees would be large commercial developments such as malls and office parks with expansive parking lots, some reports say. However, other property owners could potentially face fees, including condo complexes and single-family homeowners.

Stormwater management is something that towns and cities are likely paying for anyway, according to nonprofit advocacy group New Jersey Future.

“Without a stormwater utility, the costs of managing flooding and runoff are included in other local government costs — typically either property taxes or water or sewer fees,” the group says. “This often leads to under-investment in managing stormwater, and can create inequities in who pays, since some property owners don’t pay property taxes, and some properties, while generating runoff, don’t pay a water or sewer bill.”

The idea hasn’t caught on since the 2019 law got a greenlight, however. According to the NJLCV, there are several towns and cities exploring the idea of creating stormwater utilities – “but as of yet, unfortunately, there are none in New Jersey.”

A campaign from some Republican and conservative critics who decried the law as a “rain tax” didn’t help matters, the nonpartisan group adds.

When the 2019 law was up for debate, Assemblyman Kevin Rooney (NJ-40) lamented that New Jersey is now “taxing the weather.”

“I’ve spoken to mayors within our district; they see it as a new tax,” Rooney said. “They cannot raise the taxes in their municipalities anymore.”

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Dealing with the fallout of storms isn’t something that falls on one side of the aisle or the other, however, Potosnak wrote in 2019.

“Rain isn’t political,” he asserted. “It doesn’t matter if you’re a Democrat or a Republican, or live in South, Central or North Jersey – everyone’s life has been affected by unprecedented amounts of rain.”

Despite the lack of interest in New Jersey, stormwater utilities are becoming increasingly common across the United States. More than 40 states have set up nearly 1,700 of them, according to New Jersey Future, which addresses some “common myths” about stormwater utilities here.

When asked why no New Jersey towns have rolled out a local stormwater utility yet, Potosnak told Patch that being the first one to get anything started is a challenge, especially when you're talking about money.

But it's never too late to right a wrong, he added.

“I think we're paying for the results of inaction on days like today with ruined homes and businesses,” he said. “Could we chip in a little to prevent that from happening? And I think the answer is, yes, we need to do a better job at helping people understand the benefits.”

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