Hochul announces over $453M in grants for statewide local water infrastructure improvements

James V. McDonald M.D., M.P.H. Health Commissioner at New York State Department of Health
James V. McDonald M.D., M.P.H. Health Commissioner at New York State Department of Health
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Governor Kathy Hochul has announced that more than $453 million will be distributed to 83 water infrastructure projects throughout New York State. The funding, provided through the Water Infrastructure Improvement and Intermunicipal Water Infrastructure Grant programs, aims to help local governments undertake essential upgrades without shifting significant costs to residents and businesses.

“New York families should not be burdened by rising water bills and outdated systems,” Governor Hochul said. “With this funding, the State is helping communities take on essential projects without passing unsustainable costs to residents and businesses. These investments will protect public health, support local economies, and help ensure reliable, safe water for years to come.”

The grants are expected to support over $1.3 billion in infrastructure improvements statewide. Projects include efforts to modernize aging drinking water and sewer systems, address emerging contaminants such as PFAS, strengthen resilience against environmental threats, regionalize services, and foster economic development. The state estimates these measures will save local ratepayers approximately $1.1 billion while creating 20,000 jobs.

A complete list of grant recipients by region is available on the Environmental Facilities Corporation’s website.

In Albany County—where the announcement was made—a $25 million grant will assist in upgrading the North and South Treatment Plants from the 1970s. These updates are intended to provide reliable wastewater treatment for eight communities served by the Albany County Water Purification District and improve Hudson River water quality.

Of the total funds awarded, $227.3 million will go toward 51 drinking water projects while $225.8 million is allocated for 32 sewer projects across regions from Western New York to Long Island. The New York State Environmental Facilities Corporation (EFC) administers these programs in partnership with the Department of Health (DOH) and Department of Environmental Conservation (DEC). Since 2015, more than $3.4 billion has been awarded through these initiatives.

Recognizing financial challenges faced by small, rural, and disadvantaged municipalities—even after receiving state aid—Governor Hochul increased grants for these communities from covering 25 percent up to 50 percent of eligible project costs in this round.

Several enhanced awards were highlighted:

– Village of Bloomingburg: $2.4 million for a wastewater plant upgrade.
– Cayuga County Water and Sewer Authority: $16.5 million for new sewer district construction.
– Chautauqua County South and Center: $16.8 million for a lake sewer extension.
– Other municipalities received similar grants aimed at eliminating failing septic systems or improving compliance with environmental regulations.

To further address risks posed by emerging contaminants like PFAS in drinking water supplies—substances linked with various health effects including cancer—the state awarded enhanced grants covering up to 70 percent of eligible project costs:

– Village of Chatham: $5 million for a new well source addressing PFAS contamination.
– Village of Valatie: $5.5 million for a PFAS treatment facility.
– Westbury Water District: $10.8 million for dioxane treatment at Well 12.

Additional funds totaling over $16 million were also granted to Long Island communities reliant on a sole-source aquifer system.

Small municipalities often lack resources needed for complex upgrades; since launching its Community Assistance Teams program in 2023, EFC has provided technical assistance resulting in nine participating municipalities securing grants during this cycle—including those listed above as well as Massena ($5M), Monroe ($2.3M), Syracuse ($5M), Warwick ($8M), Watertown (three separate awards).

EFC President & CEO Maureen A. Coleman stated: “Governor Hochul is delivering funding that not only makes these essential projects possible but also drives affordability for communities that need it most…Our Community Assistance Teams stand ready to assist communities…especially the enhanced grants for small, rural, and disadvantaged communities show how that support can help transform water systems across the State.”

New York State Health Commissioner Dr. James McDonald said,“Under Governor Hochul’s leadership, New York State continues to be a national leader in the regulation, testing and mitigation of PFAS or ‘forever chemicals’ in drinking water that may come with a wide range of health effects including cancer, effects on early life development, the immune system, the cardiovascular system and the liver. The enhanced grants awarded to protect drinking water from emerging contaminants means municipalities can safeguard the health of their communities without going broke in the process.”

Other officials echoed praise:

Amanda Lefton (DEC Commissioner): “The $453 million announced today complements record investments being made by DEC…Dozens of critically important infrastructure projects throughout the state will use this infusion…to significantly enhance water quality.”

Walter T Mosley (Secretary of State): “These strategic investments…will strengthen community resiliency…combat climate change…and advance economic development.”

Daniel P McCoy (Albany County Executive): “Much of this infrastructure was built decades ago…With State’s support we can move forward with upgrades that ensure our sewer treatment system is safer…”

Stephen J Acquario (NYS Association of Counties): “Counties play a critical role…these investments acknowledge both importance and cost…will help counties modernize aging systems…”

Barbara Van Epps (NY Conference of Mayors): “Cities/villages are on front lines providing safe/reliable services…this funding/technical assistance is essential especially in smaller/rural areas…”

Christopher A Koetzle (NY Association Towns): “…towns across NY facing significant challenges modernizing aging systems while addressing PFAS/emerging contaminants…grants help meet evolving standards…”

Bill Ulfelder (Nature Conservancy): “…funding makes clean water projects affordable…water infrastructure safeguards clean drinking water/improves public health/prevents pollution…critical funding benefits people/wildlife across our great state.”

Jenny Ingrao-Aman (American Water Works Association NY Section): “…critical support especially small/rural/disadvantaged facing complex challenges like PFAS/aging infrastructure…collaborates closely with EFC/NYSDOH/DEC…”

Adrienne Esposito (Citizens Campaign Environment): “…ongoing efforts have created meaningful impacts…hypoxia at record low/dangerous chemicals filtered/residents replacing polluting septic systems…program accomplishes affordable clean water…”

Julie Tighe (League Conservation Voters): “…record investment reflects commitment kept/will impact health/well-being/tackling emerging contaminants/investing pipe replacements/septic/sewer upgrades/protecting our waters…”

Since fiscal year 2017 New York has invested nearly $6 billion into its clean-water infrastructure—with more planned under future budgets—and encourages any community needing assistance with their own projects to contact EFC.



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