Eligibility Guidelines for Water Quality Improvement and Resilient Infrastructure Projects to be Funded by the New York State Environmental Facilities Corporation

Note: This notice was published in the March 15, 2023 edition of the Environmental Notice Bulletin

The New York State Environmental Facilities Corporation (NYS EFC) has developed the following eligibility guidelines to implement funding under the Clean Water, Clean Air, and Green Jobs Environmental Bond Act of 2022 (Bond Act).

These guidelines apply to financial assistance payments for municipal projects to reduce, avoid, or eliminate point and non-point source discharges to water as authorized by the New York State Water Improvement Infrastructure Act of 2017 and Public Authorities Law §1285-s (Intermunicipal Water Infrastructure Grant Program) pursuant to ECL § 58-0903(1)(e). Grant eligible critical water infrastructure projects include those that combat emerging contaminants such as PFOA, PFOS and 1,4 dioxane with system upgrades and innovative pilot technologies, along with those that address combined and/or sanitary sewer overflow impacts from extreme weather events, and those that combine green infrastructure and nature-based features to ensure climate resilient infrastructure.

New York State Water Infrastructure Improvement Act (WIIA)

Eligible projects include water quality infrastructure projects at municipally owned sewage treatment works or municipally owned public water systems for:/P>

  • Construction, replacement, or repair of infrastructure; and
  • Compliance with environmental and public health laws and regulations related to water quality and climate adaptation.

Each WIIA project must meet the following criteria:

  • Result in construction for the requested scope;
  • Not have started construction before the October 1 preceding the funding application deadline;
  • Not have completed construction before the funding application deadline; and
  • Include the applicable NYS EFC terms and conditions in contracts under construction.

New York State Intermunicipal Water Infrastructure Grant Program (IMG)

Pursuant to the IMG, NYS EFC will provide grants for infrastructure projects to be undertaken by two or more cooperating municipalities for consolidation of infrastructure or services. IMG funding will be awarded for construction, replacement or repair of a drinking water or sewage treatment infrastructure project that serves multiple municipalities, such as shared water quality infrastructure that protects public health, the environment, or results in compliance with environmental and public health laws and regulations related to water quality and climate adaptation.

Each IMG project must meet the following criteria:

  • Serve multiple municipalities;
  • Be a shared drinking water or sewage treatment infrastructure project, such as:
    • More than one municipality undertaking a capital improvement project jointly,
    • Consolidation of intermunicipal facilities,
    • Shared water quality infrastructure,
    • Regional wastewater treatment facilities, or
    • The interconnection of multiple municipal water systems;
  • Have a valid and binding project Intermunicipal Agreement (IMA) between at least two cooperating municipalities related to financing of the IMG project that describes the proposed project, the role of each municipality, and the costs attributable to each municipality;
  • Designate a "lead municipality" that applies on behalf of all cooperating municipalities;
  • Result in construction for the requested scope;
  • Not have started construction before the October 1 preceding the funding application deadline;
  • Not have completed construction before the funding application deadline;
  • Include the applicable NYS EFC terms and conditions in contracts under construction; and
  • Not be for the construction of water infrastructure that exclusively supports residential or commercial development.

A WIIA grant or IMG grant is available only to a municipality, which is defined to include a county, city, town, village, district corporation, county or town improvement district, school district, Indian Nation or tribe recognized by the state or the United States with a reservation wholly or partly within the boundaries of New York State, any public benefit corporation or public authority established pursuant to the laws of New York or any agency of the State that is empowered to construct and operate a water quality infrastructure project.

NYS EFC will evaluate projects based on factors including protection of public health and water quality; governmental and community support; environmental justice consideration; and the readiness of the project to proceed. Disadvantaged communities will receive no less than 35 percent of the benefit of this funding.

Public comments on the guidelines will be accepted until Friday, April 14, 2023, at 5:00 p.m. and are to be submitted in writing to the contact listed below.

Contact: Máire Cunningham, New York State Environmental Facilities Corporation, 625 Broadway, Albany, NY 12207-2997
Phone: (518) 402-6924, E-mail: [email protected]