New York State Providing $72.4 Million
In Financing for Rye Lake Water Plant
ALBANY—The New York State Environmental Facilities Corporation Board of Directors recently approved approximately $200 million in low-cost financing to assist communities in undertaking critical drinking water, stormwater and sewer projects while keeping costs affordable for local ratepayers.
Included in the funding approvals is nearly $78 million in financing for water infrastructure projects in the Mid-Hudson Valley region. The lion’s share of funding – $72.4 million – goes to the Rye Lake Water Filtration Plant in Harrison, NY. The plant, owned by Westchester Joint Water Works, is currently under construction with general contractor Yonkers Contracting Co. Inc.
The EFC Board approved low-cost financing of $40.3 million to the Village of Harrison; $12.1 million to the Town of Mamaroneck and $20 million to the Village of Mamaroneck in connection with the Rye Lake project.
In addition, the EFC Board approved $2.5 million in low-cost financing to the City of Poughkeepsie in Dutchess County for the replacement of biologically active filter media and underdrains of the six dual media filters in its water treatment plant and $3 million in interest-free financing to the Town of Rosendale in Ulster County for the second phase of constructing a 500,000-gallon water storage tank to replace the Sand Hill water storage tank.
Funding was provided through the Clean Water and Drinking Water State Revolving Funds, the state’s Water Infrastructure Improvement and Intermunicipal Water Infrastructure grant programs and the Governor’s Lead Infrastructure Forgiveness and Transformation Grant program.
Last week, New York Gov. Kathy Hochul announced the launch of the $225-million Clean Water for Housing program to help municipalities build the water infrastructure needed to support housing development. The state has made $175 million available for projects statewide, with an additional $50 million specifically for rural municipalities, where aging or inadequate water systems can pose significant obstacles to development. Applications and complete eligibility information are available on EFC’s website. Funding will be awarded on a first-come, first-served basis until all the available grant funds are awarded.
Published: October 28, 2026.