South Brunswick Twp. facing rising water rates
Mayor is unhappy with request for proposed increase of 23 percent
BY CHRIS MURINO Staff Writer

SOUTH BRUNSWICK - New Jersey American Water has requested an increase of about 23 percent for theirwater rates, and South Brunswick is one of the 10 towns in Middlesex County that will be affected.

"It is a real impact to us," Mayor Frank Gambatese said. "They just got finished raising the rates. I'm concerned. I don't know what the impact will be."

According to Lendel Jones, a spokesman for New Jersey American Water, rates were increased by 12.5 percent in March 2007. The last one before thatwas about five years ago. "It affects old people especially,"Gambatese said. "The economy is really poor. People are struggling just to keep up with gas increases. It's difficult for people."

Thewater company said it has its reasons for increasing the rates.

"Besides the $350million of capital work we've done - we have to spend money before we ask for it - there are rising energy and chemical prices," Jones said.

Gambatese is upset that the water company is passing on its costs to the public.

"When I have [something] break, I pay for that," the mayor said. "I don't pass it on to other towns. Every customer has to pay for this."

Gambatese said he can't ask for an increase to helpwith utilities because the town has a self-sustaining budget for it.

The request was filed on Jan. 14 to the state Board of Public Utilities. After a thorough review and public hearing, the board will decide on the increase. This process can take anywhere from nine months to a year, so Jones said the rates will probably not go into effect until late 2008 or 2009.

Gambatese said BPU will probably reduce the request for a 23 percent rate increase.