Thursday, October 1, 2026
Critics of Liberty Water are continuing their push for the South Nassau Water Authority to acquire the private utility’s Town of Hempstead operations, arguing that a public takeover should move forward before a proposed rate increase goes into effect.
Members of the Merrick-based Long Island Clean Air Water & Soil rallied outside Hempstead Town Hall on Aug. 4, calling on town officials to hold their appointees to the water authority accountable and move quickly toward a potential acquisition of Liberty Utilities, which is headquartered in Merrick.
Liberty submitted a proposed rate hike to the New York State Public Service Commission in May that calls for a 37 percent increase for customers in the Merrick district and a 29.7 percent increase for customers in the Sea Cliff district.
Liberty officials have said the increases are necessary to fund infrastructure improvements, including iron removal, treatment for PFAS and PFOA contaminants, water main replacements and lead service line replacements.
The water authority was created by the state in 2021 specifically to acquire Liberty’s Hempstead operations. Water authority officials said earlier this year that they were prepared to begin negotiations with Liberty, with the process expected to take several months.
Claudia Borecky, a co-director of LI CAWS, said the environmental advocacy group’s goal is to ensure Liberty customers are not left with the financial burden while negotiations continue.
One of the group’s requests is for the Town of Hempstead to establish a special water district or dedicated fund that would direct tax revenue generated through Liberty customers toward efforts benefiting those customers, including a potential acquisition.
“What we’re asking for is instead of putting that into the town’s general fund ... set up a separate fund so the money paid by Liberty ratepayers will go to Liberty ratepayers,” Borecky said.
Borecky added that Liberty customers have faced different costs compared with residents served by municipal water systems, which do not operate under the same tax structure as private utilities.
“We’re asking them to set up a separate fund so when it’s time for us to purchase Liberty, the money will be there,” she said.
Borecky said the Aug. 4 rally was intended to bring attention to LI CAWS’s concerns and encourage town officials to act quickly.
“I was satisfied with the rally,” she said. “I think we made our point.”
She also criticized the proposed rate hike, saying the size of the increase highlights the need to move forward with a public takeover.
“Thirty-seven percent is no joke,” Borecky said, referring to the increase Merrick district customers will potentially face.
According to the Municipalization Stipulation contained in the Joint Proposal related to Liberty’s acquisition of New York American Water, a copy of which was provided to the Herald, the parties “shall negotiate terms” for acquisition of the relevant portion of the water system during Step 5 and “shall conduct such negotiations in good faith.”
Borecky said she believes the water authority should continue pushing ahead with negotiations and that Liberty should provide a timely response to any purchase offer.
“We are very close, I believe,” she said, adding that the water authority is expected to present Liberty with another purchase offer in the coming months.
Liberty officials said they remain committed to discussions with the water authority regarding a potential municipal takeover but declined to provide additional details because of confidentiality agreements.
“As part of Liberty’s acquisition of American Water, we committed to, and are actively having, good-faith negotiations around municipalization and will continue to do so,” Pamela Bellings, Liberty’s manager of regional communications, said. “All parties involved in the negotiations have signed a mutual confidentiality agreement, and therefore we are unable to provide any further information.”
