New York Approves $250 Million for Water Infrastructure Upgrades

State board approves financing and grants to replace lead service lines, treat contaminants, and modernize aging sewer systems across New York.

• By Jesse Jacobs
• March 13, 2026

State officials have authorized more than $250 million in financial assistance to modernize water and sewer systems across New York. The funding, cleared by the Environmental Facilities Corporation Board of Directors, includes a combination of low-cost loans and grants aimed at infrastructure improvements without placing the full financial burden on local ratepayers.

The authorized funds target several critical areas, including the replacement of lead service lines, treatment of emerging contaminants such as PFAS, and the mitigation of flooding through resiliency projects. This round of funding includes $20 million specifically for two New York City projects focused on stormwater management at Tibbetts Brook in the Bronx and Central Park in Manhattan.

A significant portion of the package is directed toward lead pipe remediation. Under the Lead Infrastructure Forgiveness and Transformation (LIFT) program, the cities of Rochester, Poughkeepsie, and Ogdensburg received approval for grants to identify and replace lead service lines. Rochester alone was cleared for $38 million to replace more than 3,200 lines.

In addition to lead remediation, the board approved a $456 million bond sale to refinance existing debt for 18 municipalities. State officials estimate this move will save local ratepayers approximately $21.3 million by taking advantage of current market conditions to reduce long-term debt service payments.

Regional highlights from the approval include:

• Long Island: The Village of Hempstead received $23 million for sewer piping replacement, while Williston Park was awarded $5 million for PFAS treatment.
• Hudson Valley: Westchester Joint Water Works was granted $30 million for the construction of the Rye Lake Water Filtration plant.
• North Country: The Village of Saranac Lake was cleared for $44 million in grants and low-cost financing for wastewater treatment plant improvements.
• Western New York: The Village of Portville received $7 million for wastewater plant upgrades.

The funding is drawn from several sources, including the Clean Water and Drinking Water State Revolving Funds and the Clean Water, Clean Air, and Green Jobs Environmental Bond Act of 2022. These programs are designed to provide recurring annual support for municipal infrastructure needs statewide.