In March 2019, Governor Murphy signed into law the Clean Stormwater and Flood Reduction Act which gives local government entities the ability to establish stormwater utilities. With this enactment, New Jersey joined more than 40 states where stormwater utilities were already authorized. According to the 2019 Western Kentucky Stormwater Utility Survey, there are over 1,700 stormwater utilities across the United States today.

New Jersey’s law allows, but does not require, local governments to establish stormwater utilities. If established, stormwater utilities must collect fees based on the amount of stormwater a property generates. These utilities can be established by municipalities, counties, groups of municipalities, and sewerage and improvement authorities. Funds generated from the fees are dedicated solely to stormwater management and cannot be used for any other purposes, ensuring that the negative impacts of stormwater can be addressed.  

For a detailed discussion of the Clean Stormwater and Flood Reduction Act, and the full text of the law, please click here for the resources section of this website.