Raritan Township Leads the Way with New Stormwater Utility
RHA is thrilled to celebrate a major milestone: Raritan Township has officially established a stormwater utility, the first of its kind in the Upper Raritan River watershed. This marks a transformative step in creating a fair and dedicated funding stream for stormwater management, placing the township among a small but growing group of New Jersey municipalities taking proactive steps to reduce flooding, protect property, and invest in resilient infrastructure.
Rather than relying on general taxes or sewer charges, which often exempt large properties, such as schools, medical campuses, religious institutions, nonprofit centers, and commercial parking lots, this new utility bases its fees on the amount of impervious surface on a property. Simply put, if your property generates more runoff, you pay more. This model ensures that every property owner contributes appropriately, preventing scenarios where tax-exempt entities avoid stormwater costs while benefiting from the system.
For example, many tax-exempt institutions in communities across New Jersey—such as hospitals with large parking areas or houses of worship with extensive rooftops—generate substantial runoff but do not pay property taxes or water/sewer fees. In New Brunswick, which launched a stormwater utility in 2024, more than half of the landowners were previously exempt from property taxes; however, they now contribute through the utility fee based on their impervious coverage. By adopting a similar system, Raritan Township ensures all contributors to runoff share in the cost of managing it.
Equally important is that the revenue from the stormwater utility is deposited into a dedicated enterprise fund—a legally protected account used solely for stormwater-related expenses. Unlike the general municipal budget, which can be diverted to other departments or priorities, this enterprise fund can only be used for specific projects, such as drainage maintenance, green infrastructure improvements, flood mitigation, and watershed education. Residents already pay for stormwater management through taxes, but this model ensures those dollars remain focused on protecting homes, roads, and waterways from flooding and pollution.
When Hurricane Ida struck in September 2021, it left a devastating impact on Hunterdon County, claiming six lives, prompting dozens of emergency water rescues, and damaging roads, bridges, and homes across the region. In the years since, severe storms and repeated flooding have become a distressingly common occurrence. New Jersey now ranks third in the nation for repetitive-loss flood-prone properties, with nearly 70% of those properties flooding five or more times. Hunterdon County, with its mix of river valleys, aging infrastructure, and expanding development, remains particularly vulnerable. The need for targeted, local investment in stormwater solutions has never been more urgent—or more vital to protecting lives, property, and the stability of our communities.
Raritan Township now joins only two other New Jersey municipalities—New Brunswick and Maplewood—in establishing a stormwater utility. As the first in the Raritan Headwaters watershed to take this step, the township demonstrates leadership, fairness, and foresight in tackling one of the region’s most persistent and costly challenges.
RHA applauds this forward-thinking move and looks forward to supporting Raritan Township through public education, green infrastructure planning, and long-term watershed protection. Together, we can ensure that every stormwater dollar works harder, smarter, and more equitably for our communities.
For more information, visit https://www.raritantwpnj.gov/government/news/537-township-committee-adopts-ordinance-establishing-stormwater-utility
To learn more about Stormwater Utilities, visit https://stormwaterutilities.njfuture.org/
