Water is a fundamental human right, but for many working people and families in New Jersey, paying for it has become an increasingly difficult challenge. Rising water and sewer rates are burdening those who can least afford it. While programs exist to assist with energy utility bills, water bill assistance remains largely unaddressed in the state.
In alignment with the Peace Ministries’ core value of the Preferential Option for the Poor and Vulnerable, we are called to act in solidarity with those who face economic hardship and environmental injustice. This stance is informed by the tradition of our sponsors, the Sisters of St. Joseph of Peace, who are inspired by Scripture such as Isaiah 58:5-12 (i.e., true worship is to work for justice and care for poor and oppressed people.) Water, as a life-giving and sacred resource, must be protected and made accessible to all, particularly to those most vulnerable and marginalized. The preferential option compels us to advocate for the most vulnerable populations—those of our neighbors who are disproportionately affected by rising water rates and limited access to assistance programs.
The Reality of Water Affordability in New Jersey
Using data from the ALICE (Asset Limited, Income Constrained, Employed) database and NJ Poor People's Campaign fact sheets, it's clear that poor and low-income families in New Jersey are disproportionately affected by high water costs. For low-income households, the cost of water represents a far higher percentage of their income compared to wealthier households. For example, the ALICE data highlights that families with lower incomes are often forced to make difficult choices between paying for essentials like water, food, and shelter. For too long, unemployment has been a marker for affordability but the measurement is not indicative of lived experiences saddled with astronomical bills.
In many areas of New Jersey, water and sewer rates continue to rise, creating significant financial strain for low-income residents. The challenge is compounded by the fact that publicly owned water systems are not required to offer discounted rates, despite similar programs existing for energy utilities in the state. This gap leaves many households without a safety net when they face unaffordable water bills. Waterspirit is working to advocate for more reliable affordability criteria directly with the NJ Department of Environmental Protection and through public comments, such as the February 4, 2025 hearing regarding the proposed updates to the Intended Use Plans for the Clean Water State Revolving Fund (CWSRF) and Drinking Water State Revolving Fund (DWSRF). We encourage you to submit your own comments here until February 18, 2025.
S286: A Step Toward Water Bill Relief
A piece of legislation—S286—seeks to bridge this gap, making it easier for low-income residents to afford water services without risking shutoffs. The proposed S286 bill seeks to address this issue by allowing publicly owned water and sewer systems to offer discounted rates to low-income customers—something that already exists for energy utilities in New Jersey and water utilities in other states. However, despite the clear need for such a program, these discount programs have been under-enrolled and small in scope in many places.
The bill is a critical step toward addressing the affordability crisis. If passed, it would explicitly authorize discounts for low-income residents, allow for flexible repayment plans, and provide protections against shutoffs during times of financial hardship. These provisions are similar to those already in place for energy utilities under the Low Income Energy Assistance Program (LIHEAP) and the Low Income Water Assistance Program (LIWAP), both of which have proven effective at helping vulnerable households.
The Benefits of the S286 Bill
Discounted Water Rates: S286 would allow public utilities to offer discounts on water and sewer rates to low-income households. Through explicit permission of these discounts, this bill removes the ambiguity that currently exists under state law and provides a clear pathway for public utilities to offer relief.
Flexible Repayment Plans: Many residents struggle to pay their bills on time, leading to mounting debt. This bill would enable utilities to offer flexible repayment options to help people manage their water bills without the threat of service disruption.
Shutoff Protections: In times of financial crisis, families face the threat of having their water shut off—compounding their hardship. The bill would provide protections to prevent shutoffs, ensuring that essential water services are maintained.
Strengthening Public Health: Public health protections—like access to clean water—are essential. This bill guarantees that maintaining high environmental and health standards for water and wastewater does not come at the cost of making services unaffordable for those who need them the most.
Even if the bill were passed into law, the need for implementation would require local advocacy. This is where you come in; everyone can be an advocate for water affordability. Waterspirit offers advocacy training starting with a primer you can take in at your own pace. Civics are what is needed most for people to understand budget allocations and future plans rooted in water scarcity.
Preventing Water Shutoffs: A New Initiative to Address the Crisis
As part of our ongoing efforts to fight water insecurity, there is legislation requiring water utilities in New Jersey to report shutoff data. This law mandates that utilities report where shutoffs are occurring, broken down by zip code level. This is a critical tool for identifying areas where the water shutoff crisis is most severe and ensuring that vulnerable communities aren’t left in the dark. Too often it is the poorest communities among us that reflect a high percentage of shutoffs relative to the number of accounts.
We must all feel a sense of responsibility to help prevent water shutoffs in New Jersey, make sure that no one is left without access to essential water services, especially in communities already struggling with poverty.
Who is Supporting S286?
A broad coalition of advocates is pushing for this critical change, including organizations such as AARP NJ, the League of Municipalities, and the National Resources Defense Council (NRDC). The bill has also garnered support from legal services organizations focused on utility affordability and environmental justice.
Leaders such as former Assemblyman (currently Senator) Mukerji and Senator Stack, both from Northern New Jersey’s Hudson County, initially championed this bill in a previous legislative session due to the pressing concerns around wastewater and water rates in the region. They, and current co-prime sponsor, Senator Singleton, recognize that we cannot sacrifice the health and well-being of residents to keep water and sewer rates affordable—there must be a way to balance both.
Moving Forward: From Legislation to Action:
While S286 has made it through several legislative hurdles, it still requires final approval. Once passed, the next step will be ensuring that local utilities actually implement the discounted rates and protections that the bill authorizes. Advocates like the New Jersey Poor People's Campaign and Waterspirit, who have a strong presence in local communities, are key players in pushing for these changes at the community level.
In the longer term, the challenge of affordability will require continued advocacy and more comprehensive policy solutions. For example, the Intended Use Plan—which determines the capacity of communities to pay for water infrastructure—could be broadened to take into account water bills as a share of income. This would allow policymakers to better assess the true financial strain that water costs place on low-income households.
Additionally, the State Revolving Fund (SRF), which helps fund water infrastructure improvements, could be directed toward affordability programs to ensure that federal resources are used equitably. There is concern that current federal funding allocation methods may not adequately prioritize the needs of the most vulnerable communities.
The affordability of water in New Jersey is an issue that affects many families, especially those already struggling to make ends meet. With the support of grassroots organizations and environmental advocates, it’s time to make water affordability a priority in New Jersey. Stay up to date and send in comments via Waterspirit’s Calls to Action page.