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Governor Hochul Highlights $142 Million for Local Water Infrastructure Projects Across New York State

Government and Politics

April 11, 2024

From: New York Governor Kathy Hochul

Governor Kathy Hochul today announced the Environmental Facilities Corporation Board of Directors approved $142 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, including treatment processes to remove emerging contaminants from drinking water.

“My administration is tackling water quality issues head-on with strategic investments that will benefit New Yorkers for generations to come,” Governor Hochul said. “These funds are crucial to help communities modernize and protect critical infrastructure so that all New Yorkers have access to clean water.”

The funding approved today includes significant investments from the federal Bipartisan Infrastructure Law (BIL) and the state’s Water Infrastructure Improvement (WIIA) grant program. The Villages of Alexandria Bay in Jefferson County, Newark in Wayne County, and Perry in Wyoming County will receive funding from both BIL and WIIA for projects that will safeguard drinking water and significantly improve water quality. The Board also approved WIIA funding for an additional nine projects across the state, triggering municipal access to these state grants.

Environmental Facilities Corporation President & CEO Maureen A. Coleman said, “As we celebrate another significant infusion of State and federal investment to modernize local drinking water and sewer systems, EFC also celebrates the long tenure of Commissioner Basil Seggos, who chaired his last EFC Board meeting today. Through his leadership, partnership, and deep-seated commitment to a cleaner, greener New York, Commissioner Seggos has helped cultivate New York’s legacy of environmental protection and improvement, leading to healthier communities and thriving ecosystems across New York State.”

New York State Department of Environmental Conservation Commissioner and EFC Board Chair Basil Seggos said, “Thanks to Governor Hochul’s sustained commitment to making generational investments and bolstering efforts to address emerging contaminants and other pollution, communities statewide are improving aging wastewater systems and ensuring access to clean water. New York is leading national efforts to invest in critical water infrastructure improvements, making upgrades more affordable for municipalities across the state and building resilient infrastructure to withstand our changing climate.”

New York State Health Commissioner Dr. James McDonald said, “Under the leadership of Governor Hochul, New York continues to make clean and healthy drinking water a top priority throughout New York State. For many communities looking to safeguard their drinking water, this financial assistance can be the difference between a well-intended plan to update water infrastructure and actual shovels in the ground on critical projects that will protect the wellbeing of residents for years to come.”

Secretary of State Robert J. Rodriguez said, “New Yorkers continue to have greater access to clean drinking water thanks to Governor Hochul’s efforts to help communities modernize their aging infrastructure systems across the State. The Environmental Facilities Corporation’s Board approval of $142 million will help local governments get low-cost financing and shovels in the ground to create environmentally sustainable communities while capitalizing on the economic return on these vital investments.”

Senate Majority Leader Charles Schumer said, “Access to clean water and modern water systems are a right for all New Yorkers, and thanks to my Bipartisan Infrastructure and Jobs Law I led to passage, millions are flowing to make major water infrastructure improvements in every corner of New York State. From Alexandria Bay to Wyoming County, this major investment will ensure our children and families have clean drinking water, free from harmful contaminants, and the resources needed to upgrade our state’s aging water systems. I am proud to help deliver the funding that will boost our communities’ public health and power us towards a cleaner environment, all while creating a steady stream of jobs, jobs, jobs. I thank Governor Hochul for continuing to put the federal dollars I delivered to good use to turn the tide on our water infrastructure to keep our communities safe and healthy.”

EPA Regional Administrator Lisa F. Garcia said, “Every project supported by the Bipartisan Infrastructure Law is an investment in a cleaner, healthier future for all of America. And here in New York, communities are leading by leveraging these resources to bring essential water infrastructure projects to life. I want to thank our New York State partners for supporting this work and my friend, Basil Seggos, for his service—I wish him the best in his next chapter and know the great work will continue with his legacy as a guide.”

The Board's approvals include financings through the Clean Water State Revolving Fund (CWSRF) and Drinking Water State Revolving Fund (DWSRF), and grants already announced pursuant to the WIIA program. BIL funding for water and sewer infrastructure is administered by EFC through the State Revolving Funds.

Clean Water Projects:

- Village of Clifton Springs, Ontario County – $2,798,102 short-term interest-free financing from the CWSRF, and a $407,134 WIIA grant for the design and construction of wastewater treatment plant improvements.

Drinking Water Projects:

- Village of Alexandria Bay, Jefferson County – $8,103,000 short-term interest-free financing and $2,000,000 grant from BIL, and a $3,000,000 WIIA grant for the replacement of water mains in select areas, replacement of the Rockwell Street water storage tank and rehabilitation of the Walton Street water storage tank, replacement of water meters and the existing filtration system, and other water treatment plant upgrades.

- Town of East Fishkill, Dutchess County– $1,036,117 short-term interest-free financing and $2,072,235 short-term market-rate financing from the CWSRF, and a $3,055,960 WIIA grant for interconnection of the Hopewell Hamlet, Fishkill Plains, Revere Park and Hopewell West water districts.

- Village of Farmingdale, Nassau County– $3,000,000 WIIA grant for the installation of an Advanced Oxidation Process (AOP) treatment system for the removal of 1,4-dioxane and a Granular Activated Carbon (GAC) treatment system for the removal of PFOA and PFOS.

- Village of Garden City, Nassau County– $5,460,000 WIIA grant for the installation of new equipment at the village's Park Plant for the treatment of emerging contaminants in Well Nos. 15 and 16.

- Town of Hempstead, Nassau County– Seven WIIA grants totaling $51,180,000 for the installation of new equipment at the Uniondale Water District Well Nos. 5 and 6 for the treatment of emerging contaminants; multiple AOP treatment systems for 1,4-dioxane removal and the installation of multiple GAC treatment systems to remove PFAS, quench residual hydrogen peroxide and remove AOP byproducts; and new equipment at the Roosevelt Well Field for the treatment of emerging contaminants.

- Village of Newark, Wayne County– $1,795,500 short-term interest-free financing and $724,185 grant from BIL, and a $3,591,000 WIIA grant for the replacement of the existing 4-million-gallon Allerton Hill Reservoir with a new 4-million-gallon above ground concrete storage tank.

- Village of Perry, Wyoming County– $2,200,000 short-term interest-free financing and $2,000,000 grant from BIL, and a $3,000,000 WIIA grant for upgrades to the water treatment plant, including upgrades to the clarifier, raw water intake, low lift pump station, clear well storage tank, chemical feed system and elevated water storage tank, and installation of a mixing system.

- Town of Schroeppel, Oswego County– $992,000 WIIA grant for the establishment of the new Bankrupt Road Water District.

- Suffolk County Water Authority– Three WIIA grants totaling $4,500,000 for the construction of new AOP systems to remove 1,4-dioxane from groundwater at the Albany Avenue well field located in North Amityville, Town of Babylon, the Montauk Point State Boulevard well field located in Montauk, Town of East Hampton, and South Spur Drive well field located in East Northport, Town of Huntington.

- City of Syracuse, Onondaga County– $2,059,441 WIIA grant for the installation of approximately 3,000 linear feet of water main along East Brighton Avenue and East Seneca Turnpike, disconnection and abandonment of the Lafayette Reservoir and associated equipment, upgrades to various pressure reducing valve structures, a new water booster pump station on East Brighton Avenue, and improvements along the existing water main along Lafayette Road.

- Water Authority of Western Nassau County– Four WIIA grants totaling $31,458,870 for the installation of a new AOPtreatment system and a new granular activated carbon filtration system to remove 1,4-dioxane, PFOA and PFOS from Well Nos. 20, 28, 35A and 40.

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. The Board approved long-term, interest-free financing totaling $7,566,269 for projects located in the Villages of Red Hook in Dutchess County and Saranac Lake in Franklin County.

Short-term financing provides capital 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, saving municipalities significant interest expenses versus financing on their own. Based on current market conditions, these long-term financings are projected to save local ratepayers an estimated $7 million in interest payments over the life of the financings.

New York's Commitment to Water Quality

New York State continues to increase its nation-leading investments in water infrastructure, including $325 million in grant opportunities made available in January. With Governor Hochul’s Executive Budget’s proposed $500 million over two years, New York will have invested a total of $5.5 billion in water infrastructure since 2017. This funding announced today complements Governor Hochul’s State of the State initiative to increase water infrastructure grants for small rural communities from 25 to 50 percent of net eligible project costs to help support smaller communities. To leverage these investments and ensure ongoing coordination with local governments, the Governor expanded EFC’s Community Assistance Teams to help small, rural, and disadvantaged communities leverage this funding and address their clean water infrastructure needs. Any community that needs help with their water infrastructure needs is encouraged to contact EFC at efc.ny.gov/CAT.

The funding is in addition to other substantial water quality investments, including the voter-approved $4.2 billion Clean Water, Clean Air and Green Jobs Environmental Bond Act of 2022?which is advancing historic levels of funding to update aging water infrastructure and protect water quality, strengthen communities' ability to withstand severe storms and flooding, reduce air pollution and lower climate-altering emissions, restore habitats, and preserve outdoor spaces and local farms. The first round of funding under the Environmental Bond Act was awarded through the WIIA/IMG programs in December, when Governor Hochul announced $479 million in grants to 156 projects across New York State. Disadvantaged Communities will receive at least 35 percent of the benefits of Bond Act funding, with a goal of 40 percent.