Phillipsburg Approves Sewer Rate Hikes Amid $21M System Upgrade

Town moves to sell aging wastewater infrastructure as costs rise and regulatory compliance challenges mount.

Published on Feb. 12, 2026

The Phillipsburg Town Council has unanimously approved two ordinances to update sewer user charges, including revising quarterly flat fees and usage rates for 2026. This continues a series of incremental increases adopted annually since 2022 as the town's aging wastewater system faces rising costs, infrastructure challenges, and regulatory compliance issues. An analysis found four of the five emergent conditions defined by New Jersey's Water Infrastructure Protection Act apply to Phillipsburg's sewer system, prompting the town to explore a $21 million sale of the infrastructure.

Why it matters

Phillipsburg's sewer rate hikes reflect the growing costs and infrastructure needs facing many municipalities as they grapple with aging water and wastewater systems. The town's decision to potentially sell its $21 million system highlights the difficult choices local governments must make to address these challenges and comply with state regulations.

The details

The new sewer rates in Phillipsburg will be based on water usage measured by the local utility, plus a flat quarterly fee. Usage rates will now be expressed per 100 gallons, or 'billing units.' An analysis found Phillipsburg's sewer system faces violations of the Safe Drinking Water Act, inadequate water pressure and distribution, significant inflow and infiltration issues, and a lack of sustainable maintenance - all conditions defined by New Jersey's Water Infrastructure Protection Act.

  • The Phillipsburg Town Council unanimously advanced the sewer rate ordinances on Tuesday, February 12, 2026.
  • The new sewer rates will take effect starting in 2026.

The players

Phillipsburg Town Council

The governing body of Phillipsburg, New Jersey that approved the sewer rate hikes and is exploring a $21 million sale of the town's aging wastewater infrastructure.

Remington and Vernick

The engineering consultants who conducted an analysis finding that four of the five emergent conditions defined by New Jersey's Water Infrastructure Protection Act apply to Phillipsburg's sewer system.

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What’s next

The Phillipsburg Town Council will decide whether to approve the $21 million sale of the town's sewer system at a future meeting.

The takeaway

Phillipsburg's sewer rate hikes and potential $21 million system sale highlight the growing infrastructure challenges facing many municipalities as they work to upgrade aging water and wastewater systems to meet regulatory requirements. These difficult decisions reflect the broader need for increased investment in America's aging water infrastructure.