Item 1. Business
Item 1. Business.
The terms “the Company,” “we,”
“our,” and “us” collectively refer to Middlesex Water Company (Middlesex) and its subsidiaries, including Tidewater
Utilities, Inc. (Tidewater) and Tidewater’s wholly-owned subsidiaries, Southern Shores Water Company, LLC (Southern Shores) and
White Marsh Environmental Systems, Inc. (White Marsh). The Company’s other subsidiaries are Pinelands Water Company (Pinelands Water)
and Pinelands Wastewater Company (Pinelands Wastewater) (collectively, Pinelands), Utility Service Affiliates, Inc. (USA) and Utility
Service Affiliates (Perth Amboy) Inc. (USA-PA).
Overview
Middlesex was incorporated as a water utility
company in 1897 and owns and operates regulated water utility and wastewater systems primarily in New Jersey and Delaware. Middlesex also
operates water and wastewater systems under contract on behalf of municipal and private clients primarily in New Jersey and Delaware.
Across our regulated utility systems, we serve approximately 128,000 customers. We operate water and wastewater systems under unregulated
contracts for governmental entities and private entities.
Our principal executive offices are located at
485C Route 1 South, Suite 400, Iselin, New Jersey 08830. Our telephone number is (732) 634-1500. Our website address is www.middlesexwater.com.
Information contained on our website is not part of this Annual Report on Form 10-K. We make available, free of charge through our website,
reports and amendments filed or furnished pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, after such material
is electronically filed with or furnished to the United States Securities and Exchange Commission (the SEC). We also periodically provide
certain information for investors on our website, and our investor relations website, investors.middlesexwater.com. This includes press
releases and other information about dividends on the Company’s equity securities.
Middlesex System
Located in New Jersey, the Middlesex System provides
water services to approximately 61,000 retail customers, primarily in eastern Middlesex County and under wholesale contracts to the City
of Rahway, Townships of Edison and Marlboro, the Borough of Highland Park and the Old Bridge Municipal Utilities Authority. The Middlesex
System treats, stores and distributes water for residential, commercial, industrial and fire protection purposes. The Middlesex System
also provides water treatment and pumping services to the Township of East Brunswick under contract. The amount of water supply allocated
to the Township of East Brunswick is granted directly to the Township by the New Jersey Water Supply Authority. The Middlesex System produced
approximately 67% of our 2024 consolidated operating revenues.
The Middlesex System’s retail customers
are located in an area of approximately 55 square miles in Woodbridge Township, the City of South Amboy, the Boroughs of Metuchen and
Carteret, portions of the Township of Edison and the Borough of South Plainfield, all in Middlesex County, and a portion of the Township
of Clark in Union County. Retail customers include a mix of residential customers, large industrial concerns and commercial and light
industrial facilities. These customers are located in generally well-developed areas of central New Jersey.
The contract customers of the Middlesex System
comprise an area of approximately 110 square miles with a population of over 200,000. Contract sales to the Townships of Edison and Marlboro,
the City of Rahway and the Old Bridge Municipal Utilities Authority are supplemental to the water systems owned and operated by these
customers. Middlesex is the primary source of water for the Borough of Highland Park and the Township of East Brunswick.
Tidewater System
Tidewater, together with its wholly-owned subsidiary,
Southern Shores, provides water services to approximately 62,000 retail customers for residential, commercial and fire protection purposes
in over 480 separate communities
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in New Castle, Kent and Sussex Counties, Delaware. The Tidewater System produced approximately 24% of
our 2024 consolidated operating revenues.
USA-PA
USA-PA operates the City of Perth Amboy, New Jersey’s
(Perth Amboy) water and wastewater systems under a ten-year agreement, which expires in December 2028. In addition to performing day-to
day operations, USA-PA is also responsible for emergency responses and management of capital projects funded by Perth Amboy. USA-PA produced
approximately 3% of our 2024 consolidated operating revenues.
Pinelands Systems
Pinelands Water provides water services to approximately
2,500 residential customers in Burlington County, New Jersey. Pinelands Water is not physically interconnected with the Middlesex System.
Pinelands Water produced approximately 1% of our 2024 consolidated operating revenues.
Pinelands Wastewater provides wastewater collection
and treatment services to approximately 2,500 residential customers and one municipal wastewater system in Burlington County, New Jersey.
Pinelands Wastewater produced approximately 1% of our 2024 consolidated operating revenues.
USA
USA operates the Borough
of Avalon, New Jersey’s (Avalon) water utility, sewer utility and storm water system under a ten-year operations and maintenance
contract expiring in 2032. In addition to performing day-to-day service operations, USA is responsible for emergency responses and management
of capital projects funded by Avalon.
USA operates the Borough
of Highland Park, New Jersey’s (Highland Park) water utility and sewer utility under a ten-year operations and maintenance contract
expiring in 2030.
Under a marketing agreement
with HomeServe USA Corp. (HomeServe) expiring in 2031, USA offers residential customers in New Jersey and Delaware various water and wastewater
related home maintenance programs. HomeServe is a leading national provider of such home maintenance service programs. USA receives a
service fee for the billing, cash collection and other administrative matters associated with HomeServe’s service contracts.
USA produced approximately
3% of our 2024 consolidated operating revenues.
White Marsh
White Marsh operates or maintains water and/or
wastewater systems that serve approximately 4,300 service connections under 28 separate contracts, primarily in New Castle, Kent and Sussex
Counties, Delaware. White Marsh also owns two commercial properties that are leased to Tidewater for its administrative office campus
and its field operations center. White Marsh produced approximately 1% of our 2024 consolidated operating revenues.
Financial Information
Consolidated operating revenues, operating income and net income are
as follows:
(Thousands of Dollars)
Years Ended December 31,
2024
2023
2022
Operating Revenues
$ 191,877
$ 166,274
$ 162,434
Operating Income
$ 53,210
$ 39,223
$ 47,333
Net Income
$ 44,351
$ 31,524
$ 42,429
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Operating revenues were earned from the following sources:
Years Ended December 31,
2024
2023
2022
Residential
51.0 %
52.1 %
52.3 %
Commercial
16.6
14.4
14.0
Industrial
7.2
7.0
6.9
Fire Protection
7.4
7.6
7.8
Contract Sales
11.0
11.5
11.6
Contract Operations
6.8
7.4
7.4
Total
100.0 %
100.0 %
100.0 %
Water Supplies and Contracts
Our New Jersey and Delaware water supply systems
are physically separate and are not interconnected. In New Jersey, the Pinelands System is not interconnected with the Middlesex System.
We believe we have adequate sources of water supply to meet the current service requirements of our present customers in New Jersey and
Delaware.
Middlesex System
Our Middlesex System produced approximately 14.3
billion gallons in 2024 from:
●
The Carl J. Olsen Surface Water Treatment Plant (CJO Plant)-10.3 billion gallons;
●
Company-owned wells (ground water)-2.9 billion gallons; and
●
The balance purchased from a non-affiliated water utility regulated by the New Jersey Board of Public Utilities (NJBPU) under an agreement which expires February 27, 2026. This agreement provides for minimum purchases of 3.0 million gallons per day (mgd) of treated water with provisions for additional purchases.
The Middlesex System’s distribution storage
facilities are used to supply water to customers at times of peak demand, outages and emergencies.
The principal source of surface water for the
Middlesex System is the Delaware & Raritan Canal, which is owned by the State of New Jersey and operated by the New Jersey Water Supply
Authority (NJWSA). Middlesex is under contract with the NJWSA, which expires November 30, 2048, and provides for average purchases of
27.0 mgd, with a peak up to 47.0 mgd, of untreated water from the Delaware & Raritan Canal, augmented by the Round Valley/Spruce Run
Reservoir System. The untreated surface water is pumped to, and treated at, the CJO Plant.
Tidewater System
Our Tidewater System, together with our wholly-owned
subsidiary, Southern Shores, produced approximately 3.3 billion gallons in 2024, primarily from 172 wells. Tidewater expects to submit
applications to Delaware regulatory authorities for the approval of additional wells as growth, customer demand and water quality warrant.
Tidewater augments its water production with annual purchases of up to 75.0 million gallons of treated water from the City of Dover, Delaware.
Tidewater does not have a central water treatment facility for the over 480 separate communities it serves. As the number has grown, many
of Tidewater’s individual systems have been interconnected, forming several regional systems that are served by multiple water treatment
facilities owned by Tidewater.
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Pinelands Water System
Water supply to our Pinelands Water System is
derived from four wells which produced approximately 141.1 million gallons in 2024. The aggregate pumping capacity of the four wells is
2.2 mgd.
Wastewater Facilities
Pinelands Wastewater System
The Pinelands Wastewater System discharges into
the South Branch of the Rancocas Creek through a wastewater treatment plant that provides clarification, sedimentation, filtration and
disinfection. The total capacity of the plant is 0.5 mgd, and the system treated approximately 92.6 million gallons in 2024.
Human Capital Management
The Company strives to attract and retain employees
by offering competitive compensation and benefits along with career development and training opportunities in a safe, supportive and inclusive
work environment. Our mission, our business philosophy and the manner in which we deliver value for our customers, our shareholders
and our employees is inherent in what we, as an enterprise, profess to be our core values of Respect, Integrity, Growth, Honesty
and Teamwork. Our employees’ success is a key element of the Company’s success.
Workforce
As of December 31, 2024, the Company had 360 employees. None of our
employees is subject to a collective bargaining agreement. We believe our employee relations are positive.
Employee Compensation
and Benefits
We offer comprehensive competitive employee compensation
and benefit programs consistent with job functions, skill levels, experience, knowledge and geographic location. These programs are periodically
independently evaluated by a nationally recognized consulting firm to gauge effectiveness and are benchmarked against industry peers and
the overall markets in which we operate our businesses. Compensation increases and incentive compensation are based on merit, which is
communicated to employees and documented in our bi-annual performance evaluation process. Benefits include a variety of programs to enhance
employee overall physical, mental and financial health and well-being, including healthcare insurance, employer funded retirement savings
plans, life insurance, disability insurance, accident insurance, tuition reimbursement, flu shots, wellness newsletters and webinars,
flexible hybrid office and remote work capabilities, incentive programs for achieving fitness milestones, financial counseling, elder
care assistance, substance abuse support and more.
Safety
The Company has implemented safety programs and
management practices designed to promote a culture of safety to protect its employees. This includes required trainings for employees,
as well as specific qualifications and certifications for certain operational employees. All employees have been empowered to report,
and immediately stop work which, in their personal judgement, is unsafe or is not consistent with our safety policies and procedures.
They can take this action without fear of reprisal.
Employee Development
and Training
The Company employs various training and other
educational programs and has developed company-wide and project-specific training and educational programs, including tuition assistance
for full-time employees enrolled in pre-approved undergraduate or graduate courses or professional licensing courses. All employees receive
training to identify and report operational and financial risks, as well as risks to Company brand and reputation, which fosters a personal
culture of accountability and reinforces our commitment to a safe and sustainable workplace. All employees receive cybersecurity training
and other education regarding their use of sensitive data. Our Executive Management team and our Board of Directors continually assess
succession plans, leadership development progress
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and policies and strategies regarding recruitment, retention, career development, diversity,
equity and inclusion. Formalized succession planning strategies have been developed for key leadership positions.
Belonging & Inclusion
The Company is committed to fostering a workplace where employees feel valued,
respected, and empowered to contribute their unique perspectives. The Company is focused on recruitment and/or development of both external
and internal candidates so that all prospective and current employees are provided an opportunity to advance their careers. Statements
on belonging and inclusion can be found on our website and are not part of this Annual Report on Form 10-K.
Competition
Our business in our franchised service areas is
substantially free from direct competition for growth with other public utilities, municipalities and other entities. However, our ability
to provide contract wholesale water supply and operations and maintenance services that are not under the jurisdiction of a state public
utility commission is subject to competition from other public utilities, municipalities and other entities. Although Tidewater has been
granted exclusive franchises for its existing community water systems, the ability to expand service areas can be affected by the Delaware
Public Service Commission (DEPSC) awarding franchises to other regulated water utilities with whom we compete for such franchises and
for projects.
Regulation
Our rates charged to customers for utility services,
the quality of the services we provide and certain other matters are regulated by the state public utility commissions in the states where
we operate, including the NJBPU and the DEPSC (collectively, the Public Utility Commissions).
Our USA, USA-PA and White Marsh subsidiaries are
not regulated public utilities as related to rates and service quality. However, they are subject to federal and state environmental regulations
with respect to water quality and wastewater effluent quality to the extent such services are provided.
We are subject to environmental and water quality
regulation by the following regulatory agencies (collectively, the Government Environmental Regulatory Agencies):
●
United States Environmental Protection Agency (USEPA);
●
New Jersey Department of Environmental Protection (NJDEP) with respect to operations in New Jersey; and
●
Delaware Department of Natural Resources and Environmental Control, the Delaware Department of Health and Social Services-Division of Public Health (DEDPH), and the Delaware River Basin Commission with respect to operations in Delaware.
In addition, our issuances of equity securities
are subject to the prior approval of the NJBPU and require registration with the United States Securities and Exchange Commission. Our
issuances of long-term debt securities are subject to the prior approval of the respective state Public Utility Commissions.
Regulation of Rates and Services
For regulated rate setting purposes, we account
separately for our regulated utility operations to facilitate independent rate setting by the applicable Public Utility Commissions.
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In determining our regulated utility rates, the
respective Public Utility Commissions consider the revenue, expenses and utility infrastructure used and useful in providing service to
the public. Rate determinations by the respective Public Utility Commissions do not guarantee achievement by our regulated utility companies
of specific rates of return for our regulated utility operations. Thus, we may not achieve the rates of return authorized by the Public
Utility Commissions. In addition, there can be no assurance that any future rate increases will be granted or, if granted, that they will
be in the amounts requested.
Middlesex Rate Matters
The approval by the NJBPU in February 2024 of
the negotiated settlement of the Middlesex 2023 base rate case is expected to increase annual operating revenues by $15.4 million, effective
March 1, 2024. The approved tariff rates were designed to recover increased operating costs as well as a return on invested capital of
$563.1 million, based on an authorized return on common equity of 9.6%. Middlesex has made capital infrastructure investments to ensure
prudent upgrade and replacement of its utility assets to support continued regulatory compliance, resilience and overall quality of service.
In August 2023, Middlesex and 3M Company (3M) executed a settlement agreement (Settlement Agreement) to resolve a lawsuit Middlesex previously
initiated claiming 3M introduced Perfluoroalkyl Substances (PFAS) into the Company’s water supply for its Park Avenue Wellfield
Treatment Plant (Park Avenue Plant). The rate case settlement provided that the net proceeds from the 3M Settlement Agreement were to
be used to mitigate the increase in customer rates and reimburse Middlesex for previously incurred costs for the construction of the Park
Avenue Plant PFAS treatment upgrades, including depreciation and carrying costs. This resulted in the reclassification of $48.3 million
from Regulatory Liabilities to Contributions in Aid of Construction from the December 31, 2023 balance sheet. In 2024, the Company also
recognized the recovery of $0.9 million for depreciation and $4.1 million for carrying costs associated with the Park Avenue Plant PFAS
treatment upgrades, as well as the recovery of $2.6 million of previously incurred operating treatment costs while the Park Avenue Plant
PFAS treatment upgrades were in process.
The Middlesex Lead Service Line Replacement (LSLR)
Plan, which was approved by the NJBPU in January 2024, has commenced and Middlesex is currently recovering $1.2 million of costs for replacing
customer-owned lead service lines incurred through June 2024, which are being recovered between September 2024 and February 2025. Costs
of $0.6 million for replacing customer-owned lead service lines incurred between July 2024 through December 2024 will be recovered beginning
in March 2025 through August 2025. The LSLR surcharge is required to be reset every six months over the life of the LSLR Plan. Cost recovery
for replacing Company-owned lead service lines are recoverable through traditional rate making in connection with general rate case filings.
In October 2023, the NJBPU approved Middlesex’s
petition for a Distribution System Improvement Charge (DSIC) Foundation Filing, which is a prerequisite to implementing a DSIC rate that
allows water utilities to recover investments in, and generate a return on, qualifying capital improvements to their water distribution
system made between base rate proceedings. Middlesex is authorized to recover DSIC revenues up to five percent (5%) of total revenues
established in Middlesex’s 2021 base rate proceeding, or approximately $5.5 million. Semi-annually, beginning in April 2024, the
Company must file for a change in its DSIC rate seeking recovery for DSIC-eligible investments made during the period. DSIC rates remain
in effect until Middlesex’s next base rate case increase subsequent to the March 1, 2024 increase. Under the terms of the Foundational
Filing, the Company is required to file a base rate petition before November 2026.
In May 2024, the NJBPU approved a DSIC rate, effective
May 26, 2024, that is expected to result in $0.5 million of annual revenue. In November 2024, the NJBPU approved a DSIC rate, effective
November 26, 2024, that is expected to result in an additional $0.6 million of annual revenue. Middlesex expects to file for an additional
DSIC rate increase in April 2025.
In February 2025, the NJBPU approved Middlesex’s
petition to reset its Purchased Water Adjustment Clause (PWAC) tariff rate to recover additional annual costs of $0.5 million, primarily
for the purchase of treated water from a non-affiliated water utility regulated by the NJBPU. A PWAC is a rate mechanism that allows for
the
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recovery of increased purchased water costs between base rate case filings. The PWAC is reset to zero once those increased costs are
included in base rates. The new PWAC rate will be effective March 1, 2025.
Tidewater Rate Matters
In September 2024, the DEPSC approved Tidewater’s
petition to recover up to $2.1 million of costs associated with Tidewater’s obligation to identify and inventory lead service lines
throughout Tidewater’s service area, as required by federal law and Delaware regulations. Recovery of these costs began February
1, 2025 and is expected to continue through January 2028. Through December 31, 2024, Tidewater has spent $1.8 million, which is included
in Regulatory Assets.
In August 2024, Tidewater filed an application
with the DEPSC to increase its general rates for water service. In the application, Tidewater seeks an overall increase in annual operating
revenue of $10.3 million or 25.66% over current revenue. The request for rate increases will allow Tidewater to recover prudently incurred
investments made in the last ten years to support continued regulatory compliance, enhanced water quality, service reliability, security
and resiliency of the water utility infrastructure assets. Effective October 30, 2024, Tidewater received approval of the DEPSC to suspend
its DSIC rate and implement an interim rate increase, which is expected to result in approximately $2.5 million of annual revenues, subject
to refund pending the outcome of the rate case application.
In February 2025, Tidewater and the Town of Ocean
View, Delaware’s (Ocean View) joint application of Tidewater’s purchase of all of the rights, title, and interest in the water
utility assets of Ocean View for $4.6 million was approved by the DEPSC. Ocean View serves approximately 900 customers in Sussex County,
Delaware. Tidewater currently provides water service to most residents of Ocean View other that the 900 customers currently served by
Ocean View. Closing on this purchase is expected by April 2025.
Southern Shores Rate Matters
Southern Shores provides water service to a 2,200
unit condominium community in Sussex County, Delaware under a DEPSC-approved agreement expiring December 31, 2029 . Under the agreement,
rates are increased when there are unanticipated capital expenditures or regulatory related changes in operating expenses exceed certain
thresholds. In 2024, capital expenditures did exceed the established threshold. In addition, rates are increased annually by the lesser
of the regional Consumer Price Index or 3%. Effective January 1, 2025, Southern Shores rates were increased $0.1 million or 6.51%.
Regulatory Service Matters
Twin Lakes Utilities, Inc. (Twin Lakes) –
Twin Lakes provides water services to approximately 115 residential customers in Shohola, Pennsylvania. In January 2021, the Pennsylvania
Public Utility Commission (PAPUC) appointed a large Pennsylvania based investor-owned utility as the receiver (the Receiver Utility) of
the Twin Lakes system. In November 2021, the PAPUC issued an Order ordering the Receiver Utility to acquire the Twin Lakes water system
and for Middlesex, the parent company of Twin Lakes, to submit $1.7 million into an escrow account within 30 days. In January 2025, the
United States Court of Appeals for the Third Circuit (Third Circuit Court) upheld the PAPUC Order. Following the Third Circuit Court’s
decision, Middlesex will not pursue further litigation in the federal courts and intends to submit the required escrow payment to complete
the Receiver Utility’s acquisition of the Twin Lakes system. The estimated loss recorded by the Company related to this matter,
and the financial results, total assets and financial obligations of Twin Lakes are not material to Middlesex.
Water and Wastewater Quality and Environmental Regulations
Government environmental regulatory agencies regulate
our operations in New Jersey and Delaware with respect to water supply, treatment and distribution systems and the quality of the water.
They also regulate our operations with respect to wastewater collection, treatment and disposal.
Regulations relating to water quality require
us to perform tests to ensure our water meets state and federal quality requirements. We participate in industry-related research to identify
technologies that may reduce the level of
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organic, inorganic and synthetic compounds found in water. The cost to water utilities to comply
with any proposed water quality standards depends in part on the limits set in the regulations and on the method selected to treat the
water to the required standards. We regularly test our water to determine compliance with government environmental regulatory agencies’
water quality standards.
In April 2024, the USEPA finalized drinking water
regulations for PFAS, establishing maximum contaminant levels (MCLs) for three PFAS compounds (Regulated PFAS) that are lower than the
current New Jersey Department of Environmental Protection MCLs adhered to by the Company. Under the new USEPA regulations effective April
2024, water systems must monitor for Regulated PFAS and have three years to complete initial monitoring (by April 2027), followed by ongoing
compliance monitoring. Water systems must also provide the public with information on the levels of Regulated PFAS in their drinking water
beginning in 2027. Water systems have five years (by April 2029) to implement solutions that reduce Regulated PFAS if monitoring shows
that drinking water levels exceed these MCLs.
Beginning in April 2029, water systems that have
Regulated PFAS in drinking water which exceeds one or more of these MCLs must take action to reduce levels of these PFAS compounds in
their drinking water and must provide notification to the public of the violation.
In anticipation of these new USEPA standards,
in 2023, the Company began implementing its strategy to meet these lower MCLs for Regulated PFAS and is currently performing preliminary
engineering studies to ensure that effective PFAS treatment approaches are implemented.
We treat the groundwater supplies in our Middlesex
System with chlorination for primary disinfection purposes and use air stripping for removal of volatile organic compounds.
Surface water treatment in our Middlesex
System is by conventional treatment; coagulation, sedimentation and filtration. The treatment process includes pH adjustment, ozone and
chlorination for disinfection, and corrosion control for the distribution system.
Treatment of groundwater in our Tidewater System
is by chlorination for disinfection purposes and, in some cases, pH adjustment and filtration for nitrate and iron removal and granular
activated carbon filtration for organics removal. Chloramination is used for final disinfection at Southern Shores.
Treatment of groundwater in the Pinelands Water
System (primary disinfection only) is performed at individual well sites.
Treatment of wastewater in the Pinelands Wastewater
System includes the use of rotating biological contactors.
The NJDEP and DEDPH monitor our activities and
review the results of water quality tests that are performed for adherence to applicable regulations. Other applicable regulations include
the Lead, Copper and Lead Service Line Rules, the Federal Surface Water Treatment Rule and the Federal Total Coliform Rule and regulations
for maximum contaminant levels established for various volatile organic compounds.
The Company must comply with various environmental
laws and regulations promulgated by the USEPA, NJDEP and other governmental agencies, including the Toxic Catastrophe Prevention Act,
the Spill Prevention, Control, and Countermeasure Rule and the Discharge Prevention Program of the New Jersey Spill Compensation and Control
Act.
Seasonality
Customer demand for our water during the warmer
months is generally greater than other times of the year due primarily to additional consumption of water in connection with irrigation
systems, swimming pools, cooling systems and other outside water use. Throughout the year, and particularly during typically warmer months,
demand may vary with temperature and rainfall timing and overall levels. In the event that temperatures during the typically warmer months
are cooler than normal, or if there is more rainfall than normal, the customer demand for our water may decrease and therefore, adversely
affect our revenues.
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Management
Upon the retirements of President and Chief Executive
Officer Dennis W. Doll, and Senior Vice President, Treasurer and Chief Financial Officer Bruce O’Connor, the Company named Nadine
Leslie its new President and Chief Executive Officer effective March 1, 2024 and Mohammed G. Zerhouni its new Senior Vice President,
Chief Financial Officer and Treasurer effective June 24, 2024. Ms. Leslie was also appointed to the Board of Directors effective March
1, 2024.
In December 2024, the Company named Gregory Sorensen
its new Vice President and Chief Operating Officer. His responsibilities include water and wastewater operations, capital program planning
and delivery, safety and security, sustainability, and growth initiatives.
This table lists information concerning our executive management team:
Name
Age
Principal Position(s)
Nadine Leslie
61
President, Chief Executive Officer and Director
Mohammed G. Zerhouni
49
Senior Vice President, Chief Financial Officer and Treasurer
Gregory Sorensen
54
Vice President and Chief Operating Officer
Robert K. Fullagar
58
President – New Jersey Operations
Lorrie B. Ginegaw
49
Vice President - Human Resources
Jay L. Kooper
52
Vice President - General Counsel and Secretary
Georgia M. Simpson
51
Vice President -Information Technology and Chief Technology Officer
Bruce E. Patrick
56
President- Delaware Operations
Brian Hague
52
Vice President - Communications and Corporate Affairs
Robert J. Capko
51
Corporate Controller and Principal Accounting Officer
Nadine Leslie –
Ms. Leslie joined the Company as President and Chief Executive Officer in March 2024. Ms. Leslie is an accomplished leader with more than 25 years of domestic and international experience in the Water
Industry. She previously served as Chief Executive Officer of Suez North America from 2019 to 2022. Ms. Leslie holds a Bachelor of
Science degree in civil engineering from the Faculte des Sciences in Haiti and completed an internship/scholarship program in urban
planning at La Cambre University in Belgium. Ms. Leslie currently serves as a Director on the Board of Directors of Provident Financial Services,
Inc. (since June 2021) and Syensqo SA/NV (since December 2023).
Mohammed G. Zerhouni – Mr. Zerhouni,
a Certified Public Accountant, joined the Company in June 2024 as Senior Vice President, Chief Financial Officer and Treasurer. He was
most recently the Senior Vice President of Finance and Principal Accounting Officer of SJW Group. Prior to joining SJW Group, he was the
Chief Financial Officer for Veolia North America’s regulated utility business. Mr. Zerhouni served in various roles of increasing
responsibility up to Senior Manager in the audit practice of PricewaterhouseCoopers LLP. Mr. Zerhouni attended Franklin University, where
he received a Bachelor of Science in Accounting and a Masters in Business Administration.
Gregory Sorensen - Mr. Sorensen joined
the Company in December 2024 as Vice President and Chief Operating Officer. Prior to joining the Company, Mr. Sorensen served as President,
West Region at Liberty Utilities where he led a team of 800 professionals delivering safe and reliable water, wastewater, and electric
service in Arizona, California, Texas and Chile. At Liberty, Mr. Sorensen had nearly 20 years of progressive leadership roles including
in accounting, customer service, engineering, operations and general management. Before joining Liberty, Mr. Sorensen worked in
various roles in accounting and finance for an international call center company in Arizona and in public accounting in North Carolina
and Georgia, where he maintains his Certified Public Accountant license. Mr. Sorensen attended Wake Forest University where he received
a Bachelor of Science in Accounting.
Robert K. Fullagar – Mr.
Fullagar, a licensed professional engineer, joined the Company in 1997, was named Assistant Vice President-Operations in January 2019
and promoted to Vice President-Operations in July 2019. In
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February 2025, Mr. Fullagar was promoted to President-New Jersey Operations.
Mr. Fullagar attended the New Jersey Institute of Technology, where he received a Bachelor of Science Degree in Civil Engineering. Mr.
Fullagar serves as Sector Chair of the New Jersey Infrastructure Advisory Committee and is a Member of the NJDEP’s Licensed Operator
Advisory Committee.
Lorrie B. Ginegaw – Ms. Ginegaw joined
Tidewater in 2004 and in 2007 was promoted to Director of Human Resources for Middlesex. In March 2012, Ms. Ginegaw was named Vice President-Human
Resources. Prior to joining the Company, Ms. Ginegaw worked in various human resources positions in the healthcare and transportation/logistics
industries and is a Society for Human Resource Management Certified Professional. Ms. Ginegaw attended Wichita State University,
where she received a Bachelor of Arts in Field Studies, Business and Psychology, and Wilmington University, where she received a Master’s
in Business Administration. Ms. Ginegaw serves as a volunteer director on the Board of the New Jersey Utilities Association.
Jay L. Kooper – Mr. Kooper joined
the Company in 2014 as Vice President and General Counsel and serves as Secretary for the Company and all subsidiaries. Prior to joining
the Company, Mr. Kooper held various positions in private and public entities as well as in private law practice, representing electric,
gas, water, wastewater, telephone and cable companies as well as municipalities and private clients before 17 state public utility commissions
and legislatures, federal agencies and federal and state appellate courts. Mr. Kooper serves as a volunteer director on selected
non-profit utility industry-related Boards including the National Association of Water Companies (current Director and Chairman of the
New Jersey Chapter) and the New Jersey State Bar Association’s Public Utility Law Section (current Consultor and Past Chairman)
and on other non-profit boards based in New Jersey, including as President of Temple B’Nai Abraham in Livingston, New Jersey and
as a Director of the Crohn’s and Colitis Foundation’s New Jersey Chapter.
Georgia M. Simpson – Ms. Simpson
joined the Company in 2009, was named Assistant Vice President-Information Technology in January 2019 and promoted to Vice President-
Information Technology in July 2019. In April 2022, Ms. Simpson was named Chief Technology Officer. Prior to joining the Company, Ms.
Simpson held various Information Technology positions and has gained an extensive array of technical and business computer certifications.
Ms. Simpson graduated from Monroe College in New York with a Bachelor’s Degree in Information
Systems. Ms. Simpson serves as a member of the Delaware Cyber Security Advisory Council, the Society for Information Management, New Jersey chapter
and the Project Management Institute, New Jersey chapter.
Bruce E. Patrick – Mr. Patrick, a
licensed professional engineer, joined Tidewater in February 2002 as Vice President of Engineering. He was promoted to Vice President
and General Manager in April 2012, Executive Vice President in April 2023, and President in December 2023. Mr. Patrick has extensive
experience in regulatory compliance, permitting, planning and design. Prior to joining Tidewater, he served as Kent County, Delaware Public
Works Director and County Engineer where he had overall responsibility for the County’s regional wastewater facilities. Mr.
Patrick also held prior positions with the Delaware Department of Natural Resources and Environmental Control as well as
the Delaware Division of Public Health.
Brian Hague – Mr. Hague joined the
Company in February 2025 as Vice President, Communications and Corporate Affairs. For more than 20 years, Mr. Hague has held numerous
management positions in both the public and private sectors, most recently as Director of Government Affairs & Communications at American
Dream. Mr. Hague holds a Bachelor of Arts degree from Rutgers University and is, and has been, a board member for various state
and local business associations, advocacy groups, and non-profit organizations.
Robert J. Capko – Mr. Capko, a Certified
Public Accountant, joined the Company in 2009 as Corporate Controller. On March 28, 2023, Mr. Capko was appointed Principal Accounting
Officer of Middlesex. Mr. Capko is also a Director and Treasurer of Tidewater and White Marsh and Controller of USA, USA-PA, Pinelands
Water and Pinelands Wastewater. Prior to joining Middlesex, Mr. Capko was an Audit Senior Manager with Deloitte & Touche LLP, with
a focus on publicly traded regulated utilities including several regulated public utility clients subject to the jurisdiction of the NJBPU.
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