Governor Hochul Announces $43 Million to Make Local Water Infrastructure Projects Affordable Across New York State

Low-Cost Financing and Grants Minimize Ratepayer Burden for Critical Improvements Statewide

Funding To Help Pay for Lead Service Line Replacement in Utica

Governor Kathy Hochul today announced $43 million to help communities statewide afford water and sewer infrastructure improvement projects. The Environmental Facilities Corporation Board of Directors approved low-cost financing and State and federal grants that empower local governments to advance crucial upgrades — such as replacing lead service lines, treating harmful emerging contaminants and modernizing aging systems — without passing high costs on to local ratepayers. These investments protect public health and the environment, reduce future risks and support good-paying jobs.

“This funding means communities don’t have to choose between clean water and affordable rates,” Governor Hochul said. “Stronger infrastructure, safer water, lower costs — that’s our commitment to New Yorkers.”

EFC’s Board approved low-cost financing and previously announced grants through New York’s premier water infrastructure investment programs that help communities avoid costly rate increases. Board approval is a milestone in the funding process and allows communities to enter into agreements and access these funds for their projects.

Funding is provided through:

The Clean Water and Drinking Water State Revolving Funds: A mix of State and federal dollars that delivers over $1 billion in low-cost financing and grants annually to New York communities.

Governor Hochul’s Lead Infrastructure Forgiveness and Transformation grants: Loan forgiveness grants to help communities pay for lead service line replacement by covering costs not fully paid for by federal grants. The Board approved this grant for a project in the City of Utica.

The State’s Water Infrastructure Improvement Grants: Proven vehicles for affordability that have saved over $7.2 billion for ratepayers statewide since 2015.

Combining federal and State funding ensures every dollar goes further in modernizing aging infrastructure across the state, protecting public health and the environment. Fully funded State Revolving Funds are necessary for New York to meet the ongoing need for communities to affordably repair, rehabilitate and modernize aging infrastructure in the future.

Funding was approved for projects in the following regions:

Finger Lakes

• Town of Parma – $3.4 million in State grant and low-cost financing for the formation of Water Improvement Benefit Area No. 1, including the installation of approximately 30,000 linear feet of watermains, valves, hydrants, and appurtenances.
• Town of Sheldon – $2.6 million in State and federal grants and low-cost financing for the replacement of approximately 6,500 linear feet of watermains, hydrants, valves, and appurtenances along Route 98, Route 20A, and School Street, and the replacement of a well pump house.
• Town of Stafford –$318,000 State grant for the formation of Water District No. 14, including installation of approximately 2,500 linear feet of watermains and appurtenances including hydrants, valves, and service meters.

Long Island

• Greenlawn Water District – $3.2 million federal grant for the installation of four granular activated carbon pressure vessels to remove PFAS, PFOS, and other volatile organic compounds from Well Nos. 10 and 15.

Mohawk Valley

• Upper Mohawk Valley Regional Water Finance Authority – federal grant, interest-free financing, and a State loan forgiveness grant for a $12.7 million project to replace 1,388 lead service lines in the City of Utica.
• Town of Vernon – $2.2 million State grant for the construction of a pump house, a 154,000-gallon elevated storage tank, and approximately 33,000 linear feet of watermains and related appurtenances to extend public water to 178 properties for the new Vernon Center Water District.

North Country

• Village of Castorland – $549,000 State grant for the construction of a 150,000-gallon storage tank, installation of system communications improvements, and installation of emergency backup power supply at the water treatment plant.
• St. Regis Mohawk Tribe– $9.9 million State grant to replace the wastewater treatment plant.

Western New York

• Town of Friendship – $8.3 million in State grant and interest-free financing for the installation of standby power facilities for Well Nos. 4 and 5, the development of a new groundwater supply facility, and blending of water supplies.

New York State continues to increase its historic investments in water infrastructure. Governor Hochul set the national standard with a transformational $3.75 billion water infrastructure investment plan, which would bring total clean water investments to $10 billion since 2017.

EFC is currently accepting applications for $5.5 million in grants through the Wastewater Infrastructure Engineering Planning Grant and SECURE cybersecurity grant programs. Municipalities and eligible entities can find more information and apply on EFC’s website. The Community Assistance Teams are available to provide one-on-one consultations to help municipalities understand funding options and prepare strong applications.

New Yorkers can track projects benefiting from EFC’s investments using the interactive project impact dashboard.