The Healey-Driscoll Administration has announced that 67 projects across Massachusetts are now eligible for approximately $1.24 billion in low-interest loans. These funds are intended to support construction efforts aimed at improving water quality, upgrading or replacing aging drinking water and wastewater infrastructure, and reducing energy use and costs at treatment plants.
“Our administration is committed to delivering support for our communities to make sure Massachusetts continues to have the cleanest drinking water in the country,” said Governor Maura Healey. “These funds help cities and towns upgrade wastewater and drinking water infrastructure at an affordable cost, while ensuring residents across the state have access to safe and clean water.”
Lieutenant Governor Kim Driscoll emphasized the importance of the funding, saying, “State Revolving Funds are critical to helping communities meet the needs of their residents. The State Revolving Fund helps ease the burden on municipal budgets by supporting financing and helping communities cut energy costs. By modernizing critical water infrastructure, we are stimulating the economy with construction jobs and protecting public health.”
These funds are intended to support construction efforts aimed at improving water quality, upgrading or replacing aging drinking water and wastewater infrastructure, and reducing energy use and costs at treatment plants
Treasurer Deborah B. Goldberg, Chair of the Massachusetts Clean Water Trust, added, “These projects are critical to the health and wellbeing of everyone here in Massachusetts. The grant funding and low-interest rate loans from the Trust helps cities and towns to finance cost-effective projects, especially in our most vulnerable communities.”
The financing is administered through the State Revolving Fund (SRF) by the Massachusetts Clean Water Trust, which supports water infrastructure projects in cities, towns, regional water supply and wastewater districts, and the Massachusetts Water Resources Authority (MWRA). The package includes 35 clean water construction projects totaling approximately $858 million and 32 drinking water projects amounting to about $293 million. Municipalities must decide by June 30, 2025, whether to move forward with these projects and secure local funding authority.
Energy and Environmental Affairs Secretary Rebecca Tepper highlighted the need for such projects due to the challenges posed by climate change, stating, “As our climate gets warmer, drier conditions mean we have less drinking water supplies available. Warmer air leads to heavier bursts of precipitation causing flooding, which results in an increase of contaminants in our water supply. This round of funding is meeting the moment we are in by financing projects that address emerging contaminants and manage our drinking water in a changing climate.”
MassDEP Commissioner Bonnie Heiple also underscored the importance of these efforts: “Massachusetts has some of the oldest housing stock and water infrastructure in the nation and lead service lines remain a threat to public health, particularly for young children. Every dollar of these funds helps us to meet our core mission to provide clean and safe water for everyone.”
Nearly $162 million will be allocated to forgive loans for renewable energy projects and those in communities that meet affordability criteria established by the Massachusetts Clean Water Trust
A portion of the funds will also be used for loan forgiveness. Nearly $162 million will be allocated to forgive loans for renewable energy projects and those in communities that meet affordability criteria established by the Massachusetts Clean Water Trust. These criteria take into account per capita income, unemployment rates, and population trends.
The SRF has already provided over $9.6 billion to Massachusetts projects through its Clean Water Fund, established in 1989, and its Drinking Water Fund, which began in 1999. This year, the Clean Water SRF is providing $885.8 million in financing, including $480 million for 26 new construction projects and $377 million for 10 previously approved multi-year projects. An additional $3 million is allocated for emergency needs, $5 million for septic system remediation, and $15 million for PFAS-related planning and design.
The Drinking Water SRF is providing $364 million in financing, including $123 million for 13 new projects, $170 million for 19 multi-year projects, and $5 million for emergency needs. Another $10 million is set aside for PFAS projects, while $39.5 million will fund lead service line replacement.
The SRF program is a collaborative effort among the Massachusetts Department of Environmental Protection (MassDEP), the Executive Office of Administration and Finance, and the State Treasurer’s Office. To qualify for these loans, municipalities and districts submitted applications last year demonstrating the projects' significant public health or water quality benefits, local funding authorization, and a commitment to filing a timely loan application.
Projects on the 2025 SRF list must now submit loan applications and receive approval from MassDEP to access the funding.
