Pittsburgh receives $139M for drinking water, security improvements

Oct. 31, 2022
PENNVEST awarded the Pittsburgh Water and Sewer Authority with a combination of loans and grants to replace aging water mains and lead service lines, replace roughly 3,600 catch basins, and enhance security at PWSA facilities.

The Pennsylvania Infrastructure Investment Authority (PENNVEST) awarded the Pittsburgh Water and Sewer Authority (PWSA) with $133 million in low-interest loans and a $6 million grant for water main, lead service line, and catch basin replacement projects, as well as security improvements.

“Thanks to the continued support of the PENNVEST Board, Governor Wolf, state legislative leaders, and the City of Pittsburgh, we are well on our way to establishing a new standard of quality service for our customers,” says PWSA Chief Executive Officer, Will Pickering. “These projects will allow PWSA to continue to remove lead service lines, replace aging water mains, secure critical infrastructure, and manage the stormwater on our roadways.”

The awards will save ratepayers approximately $105 million compared to traditional municipal bond financing.

About $77 million of the low-interest loan and the entire $6 million grant will provide funding to replace 8 miles of aging water mains and remove hundreds of lead service lines. The improvements are part of PWSA’s 2022 Water Main Replacement Program.

Roughly $46 million of the low-interest loan of the low-interest loan will go toward the replacement and modernization of 3,600 catch basins, commonly known as storm drains, across the authority’s service area over the next three years.

Lastly, $10 million of the loan will be used to enhance security measures at all PWSA facilities. The funding will advance important security upgrades to PWSA’s facilities and assets and provide customers with greater confidence knowing that measures are in place to protect the quality and resiliency of their drinking water system.

“PWSA has established an effective partnership with PENNVEST that is essential for advancing the important work we have undertaken to improve our infrastructure,” says Ed Barca, PWSA’s Director of Finance. “We appreciate their recognition of the extensive improvements we are making across Pittsburgh. This additional funding helps to expedite our work while over time reducing the onus on ratepayers.”

The award is the second largest PWSA has received, behind the $209 million awarded to our Water Reliability Plan in July. Since 2018, PWSA has received from PENNVEST a combination of $533 million in low interest loans and $26 million in grants, totaling $559 million.

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