Allows DEP to authorize reformation assessment of certain water and wastewater treatment and conveyance systems.

This bill allows the New Jersey Department of Environmental Protection to authorize a "reformation assessment" for certain water and wastewater treatment and conveyance systems that face serious risks due to aging infrastructure or damage beyond the system's capacity to repair. The assessment would be an independent evaluation to analyze the system's current condition and identify options for transferring ownership, governance, or management to a capable private or public entity with the resources to improve operations and maintenance. The bill defines a "capable entity" as one that owns a system serving a similar number of accounts and is not currently subject to significant enforcement actions for violations. This change aims to give public entities the option to reform, transfer, lease, or sell assets when emergent conditions threaten drinking water or the environment.