A 2 percent rate hike that would raise residential sewer rates by $9 a year was approved August 3 by the township Sewerage Authority.
The rate hike was proposed in July by the authority’s interim executive director, state Assemblyman Joe Danielsen.
Averaging out to about 75 cents per month, the rate hike was incorporated into the $14.4 million budget adopted by the Authority at its June 1 meeting.
In suggesting the rate increase at the July meeting, Danielsen said the move was the “reasonable and most responsible thing to do.”
“In the absence of that increase, we have one or two choices: spend down our cash, which puts us possibly in a more risky position, or borrow more, and if you borrow more there’s more interest,” he said.
“The more efficient thing to do is regular, small, incremental increases, which is de minimus to the ratepayers,” Danielsen said in July. “If you don’t, you might be hit in several years with a need to raise it.”
Danielsen said the Authority has not raised rates in about three years. He said most other rate increases before that were for $25 or $30 per year.
The rate increase will go into effect on Nov. 1.