This bill amends existing laws to prohibit sewerage authorities, municipal authorities, and local units of government from charging interest on unpaid sewer fees and charges that are attributable to the State or local entities, including housing authorities. Specifically, the bill introduces new language stating that "No interest shall be charged on unpaid sewerage service charges attributable to the State or a local unit, or any of their agencies and authorities, including, but not limited to, a housing authority." Additionally, it allows municipal authorities to charge interest on unpaid rents, rates, fees, or other charges for sewerage services, but similarly prohibits interest on those charges that are attributable to the State or local units.

The bill also clarifies that local units may charge interest on unpaid rates or rentals for sewerage services, with the same restrictions regarding State and local entities. This legislation aims to ensure that while authorities can collect fees for services rendered, they cannot impose additional financial burdens on governmental entities that may be struggling to pay these charges. The bill is set to take effect immediately upon passage.

Statutes affected:
Introduced: 40:14A-21, 40:14B-22, 40:14B-22.1, 40A:26A-10