THE STATE OF MAINS: Hoboken and SUEZ Renegotiate Water Contract
Hoboken’s infrastructure has been in the news a lot lately… way too much, to be honest.
Our frequent history of headline-grabbing, helicopter-attracting water main breaks has been wearying for all those impacted. Yet the existing contract between City of Hoboken and SUEZ Water implemented back in 1994 (City’s words) “requires SUEZ Water to make almost no proactive investment in our water infrastructure.” That 30-year contract was set to expire in 2024.
Today, however, Mayor Dawn Zimmer announced that her Administration and Suez Water have agreed on the terms of a renegotiated water service contract that would provide more than $31 million in infrastructure investments and a total of over $40 million in benefits to the City of Hoboken through 2034.
“Our aging water system is in need of expensive capital upgrades, yet the $350,000 provided annually by our existing water agreement from 1994 is not even enough for emergency repairs,” says Zimmer. “I am thrilled that our proposed agreement would provide on average over $1.8 million per year for capital investments. The City has already begun the process to invest $12 million in water main improvements, and this agreement will allow us to make the investments we need to modernize our water system.”
In addition to the investment capital for water main upgrades, the renegotiated agreement will forgive $10 million owed by the City to Suez under the terms of the existing agreement for excess repair and bulk water costs. The agreement would extend the contract from 2024 to 2034.
CLICK HERE to learn more about the new proposed plan. The agreement requires City Council approval.