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Tuesday, January 27, 2009

01-21-09 612 Associates, L.L.C. v. North Bergen Municipal Utilities Authority, et al.

01-21-09 612 Associates, L.L.C. v. North Bergen Municipal Utilities Authority, et al.

We interpret portions of the Sewerage Authorities Law (SAL), N.J.S.A. 40:14A:1 through -45, and the Municipal and
Counties Utilities Authorities Law (MCUAL), N.J.S.A. 40:14B:1 through -78. The trial court erred when it concluded that only
the sewerage or utilities authority to which a housing development is directly connected is entitled to a sewerage
connection fee, even though such entity does not ultimately treat the effluent. We conclude the entity that actually treats the effluent is entitled to collect from a new user a nonduplicativ connection fee representing a fair contribution for the past capital costs of its treatment facility even though the actual connection is only indirect.