Today, the U.S. Environmental Protection Agency (EPA) announced more than $92 million from President Biden’s Investing in America agenda for Minnesota drinking water and clean water infrastructure upgrades. The funding is part of the more than $50 billion investment in water infrastructure upgrades from President Biden’s Bipartisan Infrastructure Law – the largest such investment in American history. Today’s announcement will support essential water infrastructure that protects public health and treasured water bodies across the state. Almost half of this funding will be available as grants or principal forgiveness loans, ensuring funds reach underserved communities most in need of investments in water infrastructure.
“Investments in water infrastructure are essential to the health and safety of families across our state,” said Sen. Amy Klobuchar. “These resources will update water, storm water, and wastewater systems.”
“Minnesotans know the value of clean water—in fact, we were the first state to put statewide water quality standards in place over 50 years ago,” said Sen. Tina Smith. “This is an investment in the health and safety of Minnesota families, including families living in underserved communities who have historically been left out of infrastructure upgrades. I was proud to support the President’s legislation to deliver this funding.”
“Clean drinking water and properly treated wastewater are basic human rights, yet too many communities still lack access to this critical resource and public health necessity, said Rep. Ilhan Omar. “This funding will help ensure underserved areas receive crucial improvements through expanded grants and loan forgiveness programs targeting those most in need. I look forward to seeing the tangible benefits these infrastructure dollars deliver for Minnesotans across the state.”
Communities across the country are facing water infrastructure challenges. Many cities and towns have aging water infrastructure – old, broken or lead pipes carrying drinking water and wastewater treatment plants in need of major upgrades. Some communities struggle to maintain adequate stormwater infrastructure to effectively manage flood impacts from climate change and others need to upgrade their water treatment to address emerging contaminants like PFAS.
The funding EPA announced for Minnesota is part of a $5.8 billion investment through the Clean Water and Drinking Water State Revolving Funds (SRF), one of EPA’s signature water investment programs. This multi-billion-dollar investment will fund state-run, low-interest loan programs to address key challenges, with $2.6 billion going to the Clean Water SRF for wastewater and stormwater infrastructure and $3.2 billion going to the Drinking Water SRF for drinking water infrastructure nationwide. Today’s announcement includes allotments for Bipartisan Infrastructure Law General Supplemental funds and Emerging Contaminant funds for SRF programs for fiscal year 2024. EPA anticipates announcing allocations for billions in additional resources in fiscal year 2024 for the Bipartisan Infrastructure Law Lead Service Line Replacement fund later this Spring.
The Drinking Water State Revolving Funds and the Clean Water State Revolving Funds have been the foundation of water infrastructure investments for more than 30 years, providing low-cost financing for local projects across America. SRF programs are critically important programs for investing in the nation’s water infrastructure. They are designed to generate significant and sustainable water quality and public health benefits across the country. Their impact is amplified by the growth inherent in a revolving loan structure – payment of principal and interest on loans made are available to address future needs.
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