CAPE MAY — The familiar blue water tank on Madison Avenue is currently hidden beneath a white tent for renovations.
The project began in late September and is expected to be completed by the end of the year. The city awarded a contract to Allied Painting Inc. for $1,283,500.
“The water tower is making good progress,” City Manager Paul Dietrich said during a City Council meeting Nov. 2. “They’ve pretty much completed the inside painting.”
Dietrich added that the contractor started sandblasting that day and is on track, barring inclement weather.
“It will probably be done by Thanksgiving, so we’re looking forward to that process,” he said.
In February, Dietrich said the city was ready to go out to bid on the water tower but thought it would need more funds to finish and cover construction administration costs.
The water tower renovation comes as Cape May moves forward with a major project to replace and improve its desalination plant. That project will help address the overwhelming demand on the resource, especially during heavy tourism months.
A groundbreaking ceremony was held Oct. 19 at the future water treatment plant site, 830 Canning House Lane. The project comes with a price tag in the range of $36 to $40 million.
Dietrich said in November 2025 that the city had received a number of grants for the project, including principal forgiveness from the New Jersey Infrastructure Bank in the amount of $8 million, $2 million from the Department of the Interior and a $500,000 Army Corps of Engineers Water Resource Development Act grant anticipated in the amount of $9.5 million.
The plant was built to address saltwater intrusion into the city’s aquifers. It is housed in the city’s waterworks building, which was built around 1926. The building will be preserved and a new plant will be constructed in what is now a parking lot.
The city partnered with Columbia University School of Professional Studies & The Climate School to research sustainable solutions for water needs and environmental protection.
This past Fourth of July, the city saw record water usage totaling 2.9 million gallons July 4-5, which was 200,000 gallons more than the record set in 2024.
The high water use came during high temperatures, humidity and statewide drought conditions. The city reached out to local restaurants and requested they conserve as much water as possible over the holiday weekend, including serving water only upon request.
By RACHEL SHUBIN/Special to the Star and Wave
