New York state officials have approved $250 million in financing and grants to support water and sewer infrastructure improvements in communities across the state, Gov. Kathy Hochul announced Friday.
The funding, approved by the Environmental Facilities Corporation Board of Directors, is designed to help municipalities upgrade aging systems, address emerging contaminants and replace lead service lines — without increasing local water rates.
The financing package combines both state and federal dollars, routed through programs such as the Clean Water and Drinking Water State Revolving Funds and the state’s Water Infrastructure Improvement and Intermunicipal Grants, officials said.
Major regional projects included in the funding:
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Rochester — $38 million in grants and interest‑free financing to replace 3,245 lead service lines.
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Poughkeepsie — $31.6 million for the replacement of 766 lead service lines across two separate projects.
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Village of Hempstead — $23 million for sewer infrastructure upgrades.
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Westchester Joint Water Works — $30 million for construction of the Rye Lake Water Filtration Plant.
In New York City, two projects are receiving a combined $20 million through the state’s Environmental Bond Act. Funding will go toward building a stormwater conveyance system in the Tibbetts Brook watershed in the Bronx and improving water management infrastructure in Central Park.
In addition to new project financing, the board approved a $456 million bond sale that will be used to refinance previously approved water infrastructure projects and fund remaining costs for 18 recipients. State officials say the refinancing is expected to save approximately $21.3 million for local ratepayers over time.
The investment is part of a broader effort by state leaders to modernize water systems, reduce health risks from contaminants such as lead, and improve long‑term resilience in the face of aging infrastructure and environmental pressures.
