The Western Monmouth Utilities Authority is looking to a 10-year capital improvement program which will upgrade portions of the plant and pumping stations around Marlboro Township.
The WMUA is applying for an New Jersey Environmental Infrastructure Trust loan, which would enable the commission to borrow 75 percent of the money to upgrade at 0 percent interest while the authorities surplus will remain to keep rates flat for customers.
Joe Pernice, Marlboro Township Commissioner, said the WMUA is required to have a five-year plan but the authority is looking past that because of the damage Hurricane Sandy caused.
"We run it like a business. We look to see if we need to borrow money if it makes sense," Pernice said. "This will have no impact whatsoever on the rate."
The WMUA services 29 pump stations in Marlboro and Manalapan, 28 of which are in Marlboro Township. The NJEIT loan would cover $5.2 million and service the five stations the WMUA say need upgrading as well as some upgrades within the plant.
"We're trying to stay one step ahead of everything."
The WMUA needs a resolution from both the Marlboro Township and Manalapan Township councils before applying for the loan. A resolution will hit the desks of Township council members before the end of the year.