More than $153 million in state and federal funding has been made available to help over two dozen communities across New York State advance water and sewer infrastructure projects. Governor Kathy Hochul announced the funding, which was approved by the Environmental Facilities Corporation (EFC) Board of Directors through a combination of low-cost financing and grants. The aim is to support local governments in undertaking upgrades such as removing contaminants from drinking water, while limiting costs for ratepayers.
“Strong communities start with strong infrastructure,” said Governor Hochul. “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 EFC Board’s approvals draw on resources from the Clean Water and Drinking Water State Revolving Funds—New York’s main financial tool for clean water initiatives. These funds are supported by both federal dollars, including those from the Infrastructure Investment and Jobs Act, and state resources. According to state officials, these revolving funds deliver more than $1 billion annually statewide for constructing clean water infrastructure. By using this approach instead of traditional municipal bonds, communities can save up to 75 percent in interest payments.
Fully funded State Revolving Funds are seen as essential for ongoing efforts to repair and modernize aging infrastructure across New York. Affordable financing options may prevent system failures and reduce pressure on utilities to raise rates.
Previously awarded grants under the Water Infrastructure Improvement program also received board approval—a necessary step before construction can begin on many projects.
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 on the broader impact: “New York State continues to be a leader when it comes to investments in clean water infrastructure… This $153 million investment will safeguard drinking water, strengthen resiliency, combat climate change and create green jobs for generations to come.”
Senator Charles Schumer highlighted federal involvement: “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…” Senator Kirsten Gillibrand echoed similar sentiments about affordability: “Low-cost financing and targeted grants like these will not only save local ratepayers money but also help communities modernize aging infrastructure…”
Representative Paul Tonko referenced recent legislation: “Today’s announcement is yet another example of our Bipartisan Infrastructure Law paying dividends…”
The new round of funding includes specific project allocations throughout regions such as Capital Region (e.g., Town of Poestenkill), Central New York (City of Oneida), Finger Lakes (Town of Castile; Village of Geneseo; Monroe County), Long Island (Town of Hempstead; Village of Mineola; Port Washington Water District; Town of Riverhead), Mid-Hudson (Town of East Fishkill; Town of Newburgh), Mohawk Valley (Village of St. Johnsville), North Country (Village of Brownville; Towns including Dannemora; Hounsfield; Villages including Lake Placid; Rouses Point; Turin), Southern Tier (Village of Endicott), Western New York (Villages including Akron; Cassadaga; Towns including Ellicott; Westfield).
Short-term capital provided during construction will be refinanced into long-term interest-free loans—potentially saving local ratepayers an estimated $25.9 million over time.
Projects receiving long-term refinancing include those in Finger Lakes’ villages Newark ($430k), Perry ($6.5m), Waterloo ($9.2m).
Governor Hochul recently announced additional grant awards exceeding $20 million through EFC programs aimed at green innovation planning [https://www.governor.ny.gov/news/governor-hochul-announces-more-20-million-grant-awards-support-water-infrastructure-projects]. In total since 2017—and with $500 million set aside in next year’s enacted budget—New York has invested approximately $6 billion into its water systems [https://www.budget.ny.gov/pubs/archive/fy26/en/approp/nysfy26-enacted-approp-bills.pdf]. Communities seeking assistance or wishing track funded projects can use tools provided by EFC at www.efc.ny.gov.
