Local Water Infrastructure Projects Receive Over $175M

Governor Kathy Hochul today announced the Environmental Facilities Corporation Board of Directors approved over $175 million in financial assistance for water infrastructure improvement projects across New York State. The Board's approval authorizes municipal access to low-cost financing and previously announced grants to get shovels in the ground for critical water and sewer infrastructure projects. These investments help make projects more affordable, reducing the need for higher rate increases to fund improvements.

“An investment in our state's water systems is an investment in New Yorkers’ quality of life – from safeguarding our drinking water to protecting the rivers and lakes we use for recreation,” Governor Hochul said. “By ensuring communities have the resources they need to complete crucial water infrastructure projects, we can create good-paying jobs and boost local economies while working toward a healthy environment for all New Yorkers.”

Environmental Facilities Corporation (EFC) Board approved grants and financing to local governments from the Clean Water and Drinking Water State Revolving Funds – a mix of federal and state dollars dedicated to financing community water infrastructure projects. State Revolving Fund interest rates are below market rate, and with long repayment periods, communities may save significantly on debt service compared to traditional financing.

The Board also approved executing previously awarded grants from the state’s Water Infrastructure Improvement program. EFC Board approval is a critical step in the funding process and will allow communities to access these funds for project implementation. Leveraging federal funding with state investments maximizes the impact of each dollar spent, empowering local communities to make critical system improvements they need to keep their residents safe and ensure cost is not a barrier for project implementation.

Environmental Facilities Corporation President & CEO Maureen A. Coleman said, “The Environmental Facilities Corporation is proud to support communities across New York State that invest in clean, safe, and reliable water infrastructure. These approvals are symbolic of Governor Hochul’s commitment to affordability, public health, environmental protection, and economic resilience. By making these investments affordable, we’re helping municipalities tackle urgent infrastructure needs while minimizing the financial impact of these projects on local ratepayers.”

New York State Department of Environmental Conservation Acting Commissioner Amanda Lefton said, “Under Governor Hochul’s leadership, New York continues to make nation-leading investments in clean water and transformational infrastructure projects that protect water quality and maintain the health and safety of all New Yorkers. Communities of all sizes across New York, from Cheektowaga to Port Jervis, will benefit from these investments and the ability to undertake vital upgrades and projects to protect public health, quality of life, and the environment.”

New York Secretary of State Walter T. Mosley said, “Clean drinking water is the number one priority for healthy communities around New York State. Governor Hochul’s proactive investments, including over $175 million to provide support for critical water infrastructure improvements, will equitably help create environmentally sound cities by building groundwork projects that will lead to a better quality of life for millions of New Yorkers for generations to come.”

Senator Charles Schumer said, “Access to clean drinking water and modern water-sewer systems is fundamental. This major federal investment will ensure families from Sylvan Beach to Port Jervis have safe drinking water and our beautiful waterways stay clean, all while creating new good paying jobs. I am proud to deliver this major funding from our bipartisan Infrastructure & Jobs Law to help turn the tide on our state’s aging water infrastructure and keep our communities safe and healthy.”

Senator Kirsten Gillibrand said, “Access to clean water is a critical component of public health and a right for all New Yorkers. These projects will improve drinking water quality, protect the environment, and boost local economies across our state, and I am proud to see federal dollars being used to support these efforts.”

Representative Nick Langworthy said, “Helping our struggling municipalities upgrade their aging water and sewer infrastructure is vital to maintaining overall public health and economic viability, particularly in our rural communities. I’m pleased the Town of Erwin and the Village of Mayville will benefit from this announcement through grants for the construction of wastewater treatment plant improvements and the installation of new groundwater wells. These projects are critical to our region, and I look forward to working with the Governor to expand access so even more municipalities can benefit from this program.”

Representative John Mannion said, “Long-term, interest-free financing means that the Village of Waterville in NY-22 and communities across New York can make critical upgrades without placing a heavy burden on ratepayers. I commend Governor Hochul and EFC for making these smart forward-looking investments that ensure clean water and strong infrastructure to support future growth while protecting local taxpayers and the environment.”

Funding was approved for projects in the following regions:

Central New York

• Town of Mexico – $2.5 million state grant for the installation of approximately 60,000 linear feet of water main and associated appurtenances to serve the new water service area no. 6.

Finger Lakes

• Village of Naples – $22.2 million grant and interest-free financing package for the planning, design, and construction of new sanitary sewers and a wastewater treatment plant expansion.

Mid-Hudson

• City of Port Jervis – $20 million grant and interest-free financing package for the planning, design, and construction of water meter replacements and sanitary sewer rehabilitation.
• Town of Thompson – funding for two projects:
  • $3.2 million grant and low-cost financing package for the planning, design, and construction of pump stations and force main improvements in the Emerald Green/Rock Hill Sewer District.
  • $2.2 million grant and interest-free financing package for the planning, design, and construction of the Sackett Lake Sewer District collection system improvement project.

Mohawk Valley

• Village of Sylvan Beach – $51.1 million grant and low-cost financing package for the planning, design, and construction of upgrades at the East Oneida Lake Water Pollution Control Plant.

North Country

• Town of Chazy – $6.9 million grant and low-cost financing package for the planning, design, and construction of wastewater treatment plant improvements
• Village of Clayton – $8.2 million grant and low-cost financing package for the replacement of the aged raw drinking water intake and approximately 25,000 linear feet of aged water main and associated appurtenances.
• Town of Diana – $5.1 million grant and low-cost financing package for improvements at existing Well Nos. 1 and 3, installation of an approximately 350,000-gallon drinking water storage tank and new water mains.
• Village of Lyons Falls – $1.6 million grant and interest-free financing package for the planning, design, and construction of wastewater treatment plant improvements.
• Village of Malone – $14 million grant and low-cost financing package for the installation of a third production well and 5,300 linear feet of transmission main to connect the new well to the existing drinking water treatment building; construction of a 20' x 16' building around the new production well and a 20,000-gallon concrete storage tank to provide raw water storage; and installation of upgraded instrumentation, controls, and flow meters.
• City of Plattsburgh – $3.6 million in grants for the second phase of drinking water system improvements including construction of a new groundwater source and associated electrical supply, upgrades to the water filtration plant electrical system, and replacement of an asbestos-cement water main.

Southern Tier

• Town of Erwin – $10.8 million grant and low-cost financing package for the design and construction of wastewater treatment plant improvements and extension of sanitary sewers along Route 417.

Western New York

• Village of Mayville – $7.5 million grant and interest-free financing package for the installation of a new groundwater well and/or installation of treatment for the existing well that is currently contaminated with PFOA.

Refinancing Completed Projects Will Achieve Long-Term Debt Service Savings

The Board also took action to help ensure continued, long-term affordability of existing projects. EFC provides short-term financing for design and construction of projects. Once project construction is completed, the short-term financing is typically refinanced to long-term financing for up to 30 years. Based on current market conditions, these long-term interest-free financings are projected to save local ratepayers an estimated $23 million in interest payments over the life of the financings.

The Board approved long-term financing for projects undertaken by communities in the following regions:

Mohawk Valley

• Village of Waterville – $2.6 million long-term interest-free financing for the planning, design, and construction of system improvements at the wastewater treatment plant.

Western New York

• Town of Cheektowaga – $14 million long-term interest-free financing for the planning, design, and construction of sanitary sewer rehabilitation to reduce sanitary sewer overflows.

Project Impact Dashboard

New Yorkers can track projects benefiting from EFC’s investments using the interactive project impact dashboard. The map can be filtered by funding type and shows a project’s stage of construction. Each project announced today will be included on the map once the community executes a funding agreement with EFC.

New York State's Commitment to Water Quality

New York State continues to increase its nation-leading investments in water infrastructure, including more than $2.2 billion in financial assistance from EFC for local water infrastructure projects in State Fiscal Year 2024 alone. With an additional $500 million proposed for clean water infrastructure in Governor Hochul’s FY26 Executive Budget, New York will have invested a record $6 billion in water infrastructure since 2017.