Nearly $200 million in financial assistance has been approved for water infrastructure projects across New York State, following a decision by the Environmental Facilities Corporation (EFC) Board of Directors. The funding will support municipal access to low-cost financing and grants, enabling work on critical water and sewer infrastructure such as treatment processes for emerging contaminants, lead service line replacements, and system modernization.
Governor Kathy Hochul stated, “Clean water is a fundamental right, and New York is leading the way in making sure communities have the resources they need to protect it. This funding will help New York City and communities across the state make critical upgrades to aging infrastructure, reduce pollution, and deliver safe, reliable water, while protecting the pockets of New Yorkers.”
A significant portion of this investment includes $50 million directed toward New York City. Of that amount, $25 million comes from a federal Infrastructure Investment and Jobs Act (IIJA) grant dedicated to affordability programs for low-income customers. The remaining $25 million will be used as interest-free financing for stormwater management related to the Gowanus Canal Superfund Site cleanup.
Over the past 15 years, EFC’s financial assistance has saved city ratepayers more than $2.7 billion on water projects through various grants and financing mechanisms. Under Governor Hochul’s administration, these efforts continue with an emphasis on reducing local ratepayer burdens while building resilient neighborhoods.
The newly approved grants and financings come from both Clean Water and Drinking Water State Revolving Funds—programs combining federal and state resources at below-market interest rates with long repayment periods. Additional support stems from previously awarded state grants under programs like Water Infrastructure Improvement and Lead Infrastructure Forgiveness.
Maureen A. Coleman, President & CEO of EFC said: “Under Governor Hochul’s leadership, we are making historic investments that help communities take on complex, long-needed infrastructure projects without overburdening local ratepayers. Today’s announcement underscores the State’s unwavering commitment to affordable drinking water and wastewater service in New York City and communities statewide. We’re not just financing construction—we’re helping to deliver a cleaner, greener, more resilient future that New Yorkers deserve.”
Amanda Lefton of the Department of Environmental Conservation commented: “Investing in local water infrastructure and ensuring all communities have access to clean water is a top priority for New York. Across the state, municipalities large and small are challenged by aging water mains, crumbling wastewater treatment facilities, and outdated sewer systems. Governor Hochul continues to make generational investments that will help communities address critical infrastructure needs and protect water quality, water quantity, and our environment while keeping costs down for cash-strapped municipalities and New Yorkers.”
Dr. James McDonald of the Department of Health added: “Governor Hochul has made it clear that access to safe, clean drinking water is a top priority. This latest round of funding helps ensure those critical projects—like removing emerging contaminants—are both an affordable and achievable reality for communities across New York State. The State Health Department will continue to work with local municipalities and our state partners to make sure the water coming from the tap is safe and healthy for all New Yorkers.”
Walter T. Mosley noted: “Governor Hochul recognizes that clean water infrastructure is vital to public health, economic development and community quality of life. The Governor’s visionary commitment of $200 million in low-cost financing and grants provides local governments with the support they need to become more resilient, sustainable and prosperous well into the future.”
Federal representatives also highlighted their ongoing support for these initiatives:
Senator Charles Schumer said: “Everyone deserves access to clean drinking water… I am proud to deliver millions in federal funding… I am grateful for Governor Hochul’s partnership in the fight to turn the tide on our state’s aging water infrastructure…”
Representative Grace Meng stated: “From combating flooding to ensuring clean drinking water… I thank Governor Hochul for her leadership…”
Representative Joe Morelle remarked: “Everyone deserves to have confidence that the water from their kitchen faucet is clean… I’m grateful to Governor Hochul…”
Representative Tom Suozzi commented: “…The Port Washington project is a crucial investment… I will continue to work with the state…”
Representative Pat Ryan added: “…This funding is another step towards ensuring clean water for all…”
State Senator Pete Harckham said: “…Maintaining safe…drinking water sources…is integral…”
Assemblymember Deborah J. Glick noted gratitude especially regarding funds directed toward NYC improvements.
New York City DEP Commissioner Rohit T. Aggarwala acknowledged collaboration between EFC/DEP as positive progress.
Projects receiving funds span multiple regions:
– In Finger Lakes region towns like Leroy ($5M), Milo ($366K), Rochester ($24M) receive grants mainly targeting new district formation or lead line replacement.
– Long Island sees investments such as Farmingdale ($4.6M), Port Washington ($5M), Suffolk County Water Authority ($1.5M) focusing on contaminant removal systems.
– Mid-Hudson region’s Poughkeepsie receives $6.7M.
– North Country’s Port Leyden gets $8M.
– Western NY villages including Andover ($1.4M), Chautauqua ($7.7M), Clymer ($10.5M), Ellicott ($6.4M), Randolph ($4.5M), Westfield ($9.5M) benefit from new wells or plant upgrades.
– Mohawk Valley’s Middleburgh receives refinancing; NYC gains additional long-term financing; North Country’s Lowville secures nearly $9 million.
These actions aim not only at new projects but also at refinancing completed ones—a move projected by EFC officials [to save local ratepayers about $51 million](https://www.nysefc.org/) over time due lower interest payments tied into long-term loans replacing short-term construction finance arrangements.
According [to recent figures](https://www.nysefc.org/interactive-dashboard.html), more than $2 billion was allocated during fiscal year 2024 alone by EFC toward local projects statewide—with further rounds now open via www.efc.ny.gov—and total investments since 2017 expected soon reach about $6 billion when including allocations announced within this year’s enacted budget.
