More than $153 million has been made available to support water and sewer infrastructure projects in over two dozen communities across New York State. The funding, announced by Governor Kathy Hochul, will help local governments carry out upgrades such as removing contaminants from drinking water without shifting high costs to residents.
“Strong communities start with strong infrastructure,” Governor Hochul said. “Clean water is a basic human right, which is why we’re prioritizing investments that ensure safe, affordable water for New Yorkers while protecting local taxpayers. These targeted grants and low-cost financing will empower communities to protect public health and our environment while building a more resilient future for generations to come.”
The Environmental Facilities Corporation (EFC) Board of Directors approved the use of federal and state grants along with low-cost financing through the Clean Water and Drinking Water State Revolving Funds. These funds combine federal resources—including those from the Infrastructure Investment and Jobs Act—with state dollars to finance community projects aimed at improving clean water access.
According to the EFC, the State Revolving Funds are central to advancing clean water goals in New York. Each year, they deliver over $1 billion statewide for infrastructure construction. By utilizing these funds rather than borrowing on the municipal bond market, communities can save up to 75 percent in interest payments. Repayments feed back into EFC’s resources, allowing ongoing support for additional projects.
Fully funded revolving funds are seen as essential for maintaining and upgrading aging systems throughout the state. Access to affordable financing helps prevent costly system failures and can reduce pressure on utilities to raise rates—benefiting families facing high water bills.
The Board also approved previously awarded grants from the Water Infrastructure Improvement program. Approval by EFC is required before communities can access funds and begin work on their projects. Combining federal with state investments is expected to increase the impact of each dollar spent.
Environmental Facilities Corporation President & CEO Maureen A. Coleman stated: “These Board approvals ensure that no community is left behind when it comes to clean water. Under Governor Hochul’s leadership, EFC continues to make projects affordable, delivering lasting financial solutions that protect public health and keep water service within reach for every New Yorker.”
New York State Department of Environmental Conservation Commissioner Amanda Lefton added: “Investing in water and sewer infrastructure to ensure all communities have access to clean water is a top priority for Governor Hochul and DEC. From Brooklyn to Brookhaven to Buffalo, municipalities need resources to develop, improve, and implement affordable projects to remove contaminants and improve aging sewers and the Clean Water and Drinking Water State Revolving Funds help bridge the funding gaps that enable communities statewide to address and meet critical infrastructure needs.”
State Health Commissioner Dr. James McDonald said: “Today’s announcement is a testament to Governor Hochul’s commitment to ensuring safe and affordable drinking water for all New Yorkers. The Department of Health’s Bureau of Water Supply Protection will continue to work with our state and local partners to protect public health and help facilitate these critical infrastructure projects from initial design to the twist of the tap.”
Secretary of State Walter T. Mosley commented: “New York State continues to be a leader when it comes to investments in clean water infrastructure to build projects that are vital to public health, quality of life, economic development and environmental sustainability. This $153 million investment will safeguard drinking water, strengthen resiliency, combat climate change and create green jobs for generations to come.”
Senator Charles Schumer remarked: “Everyone deserves access to clean drinking water. These major federal investments will ensure families from Ellicott to Port Washington have safe drinking water and our beautiful waterways stay clean, all while creating new good-paying jobs, jobs, jobs. I am proud to deliver millions in federal funding and will fight to preserve funding to modernize drinking water and water-sewer systems in the upcoming budget. I am grateful for Governor Hochul’s partnership in the fight to turn the tide on our state’s aging water infrastructure to keep our communities safe and healthy.”
Senator Kirsten Gillibrand said: “New Yorkers deserve safe, clean water that doesn’t come at an unreasonable price. Low-cost financing and targeted grants like these will not only save local ratepayers money but also help communities modernize aging infrastructure and protect public health. I have always been a fierce advocate for investing in infrastructure that benefits New Yorkers and I will continue working to bring home the funding that delivers the critical improvements our communities need.”
Representative Paul Tonko noted: “Clean, safe drinking water is not a privilege for the wealthy few — it’s a fundamental right for every American… Today’s announcement is yet another example of our Bipartisan Infrastructure Law paying dividends… Going forward I’ll continue working to ensure every community has access to the resources they need to guarantee safe affordable water for all.”
Representative John W Mannion said: “Investing in and maintaining strong infrastructure is what good government delivers… The $5 million for the City of Oneida’s Glenmore Dam Reservoir is a major win… protecting public health… strengthening our water supply… saving ratepayers money… I commend Governor Hochul…”
State Senator Harckham stated: “Access to clean water is a basic human right… This $153 million investment…will improve public health…create good-paying jobs…and drive economic growth…”
Assemblymember Deborah J Glick said: “…By combining state & federal resources this funding will help local governments replace outdated infrastructure address harmful contaminants & ensure residents have safe reliable water…”
Communities across regions such as Capital Region (Town of Poestenkill), Central New York (City of Oneida), Finger Lakes (Towns including Castile), Long Island (including Towns like Hempstead), Mid-Hudson (Town of East Fishkill), Mohawk Valley (Village of St Johnsville), North Country (Village of Brownville among others), Southern Tier (Village of Endicott), Western New York (Village of Akron) were listed among recipients.
Short-term project financing typically transitions into long-term arrangements after construction concludes—sometimes up 30 years—which saves municipalities significant interest costs compared with independent borrowing strategies.
For example:
– In Finger Lakes region:
– Village of Newark received $430k long-term interest-free financing
– Village of Perry received $6.5m
– Village of Waterloo received $9.2m
Long-term financings are projected by EFC estimates based on current conditions https://www.epa.gov/dwsrf/learn-about-drinking-water-state-revolving-fund-dwsrf-programs#how-save-municipalities-interest-costs.html to save ratepayers about $25.9 million over time due largely due lower interest rates compared with standard municipal bond markets.
Governor Hochul recently announced over $20 million more via Green Innovation Grants https://www.governor.ny.gov/news/governor-hochul-announces-over-20-million-grant-awards-support-green-innovation-and-wastewater . In addition https://www.nysenate.gov/newsroom/in-the-news/2024/kirsten-gillibrand/gillibrand-schumer-secure-additional-federal-funding-new-york , this round reflects continued emphasis on community-driven solutions supported by both state allocations ($500m set aside in FY26 Enacted Budget) https://budget.ny.gov/pubs/archive/fy25/enact/fy25enacted-environment.html , bringing total investments since 2017 close https://efc.ny.gov/about-efc/news/2023-06-01/new-york-state-invests-nearly-700-million-clean-water-infrastructure-projects-over-two-years.html to $6 billion.
Any municipality seeking assistance may contact EFC directly or track funded project progress using its interactive dashboard https://efc.ny.gov/project-impact-dashboard .
