PWSA receives $65M loan for water main replacement
The Pittsburgh Water and Sewer Authority is getting a $65 million low-interest state loan for the first phase of a planned five-year, $326 million water main and lead service line replacement project.
The loan will finance replacement of more than 80,000 linear feet of aging water distribution mains, publicly owned portions of more than 2,000 water service lines and approximately 850 lead public service lines. It also will pay for the replacement of private lead service lines.
“This funding will allow us to continue and expand our infrastructure renewal efforts,” said PWSA Executive Director Robert Weimar. “By proactively replacing aging water mains throughout our system, we can improve system reliability and reduce the frequency and severity of service disruptions while also continuing to aggressively replace lead service lines.”
According to Jake Pawlak, a PWSA spokesman, the 20-year loan at 1% interest will save PWSA customers approximately $20 million in finance charges.
Mr. Pawlak said the loan from the Pennsylvania Infrastructure Investment Authority, also known as PennVEST, will fund the first two years of the project, with work starting in the 2020 construction season.
He said PWSA hasn’t decided where in its system the work will start, but it will consider age of the water mains, past repair history and the presence of lead service lines in prioritizing the work.
Eric Menzer, chairman of the PennVEST board of directors, said the authority is committed to helping PWSA fund the remaining 80% of the project as needed.
The PWSA loan is a big chunk of the more than $119 million investment in water and sewer infrastructure grants and loans for projects in 16 counties announced by Gov. Tom Wolf Wednesday.
“Every day, we see more and more evidence of the impact that neglected infrastructure and environmental irresponsibility have on our communities,” Mr. Wolf said. “Significant investments like the ones made by PennVEST today and programs like Restore Pennsylvania continue to put the commonwealth on the right track to clean water and healthy living environments.”
PennVEST’s project funding comes from a combination of state and federal sources, including the state Growing Greener and Marcellus Legacy funds, federal grants from the Environmental Protection Agency, and recycled loan repayments from previous
PennVEST funding awards.
“Tackling Pittsburgh’s aging infrastructure after decades of disinvestment hasn’t been easy,” Pittsburgh Mayor Bill Peduto said, “but with the leadership of Gov. Wolf, PennVEST and PWSA, we’re making sure our water is safe and clean for generations of future residents.”
PWSA conserves more than 300,000 residents in metropolitan Pittsburgh.