Gloucester Township Council convened for a special meeting on Aug. 9 where residents filled the room to voice concerns over the proposed sale of the township’s sewer utility to New Jersey American Water.
The meeting focused on an ordinance approved at the meeting that outlines the proposed sale and puts the decision on selling to voters in the Nov. 5 election.
Business Administrator Tom Cardis explained the process that lead to the proposed sale.
The township began exploring the idea after dissolving the its Municipal Utilities Authority (MUA) in 2023. Council reviewed bids, ultimately selecting American Water’s $143-million offer, which includes a commitment of $90 million in capital improvements over the first decade and a freeze on rate increases for the first two years.
During the meeting, residents were passionate about the sale, questioning its long-term impact on the community and the risk of privatizing sewer services.
Dena Hendry of Somerdale asked for clarification on the 23 MUA employees who would be offered positions by American Water. Cardis explained that employment would be guaranteed for six months and then be performance-based, but he did not offer a guarantee beyond that period.
Hendry also raised concerns about who would handle sewer line cleanouts, with Cardis confirming that will be the purview of the public works department.
Longtime township resident Timothy Rodic also voiced his opposition to the sale, urging the council to consider the potential negative impact on taxpayers.
“If it ain’t broke, don’t fix it,” Rodic said, while emphasizing that residents have been satisfied with the current system.
Ray Palador of Erial questioned the potential for future rate increases, citing concerns that the proposed 9% cap in the proposal may not hold based on precedents in other municipalities. He also criticized the lack of transparency about the sale and suggested council ensure residents fully understand the implications before voting.
Another township resident, David Leader, was concerned about council’s diligence in involving the public in the decision-making process. He questioned whether there had been enough working meetings and opportunities for residents to provide input before moving forward.
He also warned that once the utility sale is approved, “there’s no turning back. If you vote to sell the sewer division, you’ll never get it back.”
Resident Michael Shuck echoed Leader’s concerns, questioning whether council had the necessary facts to make an informed decision.
“If you don’t have all the facts,” he said, “how do you expect the residents to make an informed, intelligent decision when this is put on the ballot?”
Councilman James Nash acknowledged residents’ concerns but emphasized that the final decision on the sale should be made by the entire community, not just those at the meeting.
“We’ve done extensive research on the facts available today,” Nash noted. “It’s our duty to hear the voice of every single voting person in the township. This decision should be made by all the residents, not just a small group.”
