PWSA Receives $37.3 Million in Grants and Low-Interest Loans from PENNVEST

Funding will replace approximately 4 miles of water main in two Pittsburgh neighborhoods
PWSA contractor crews coordinate the replacement of a water main PWSA contractor crews coordinate the replacement of a water main

Pittsburgh, PA – Today, the Pittsburgh Water and Sewer Authority (PWSA) was awarded a $37.3 million funding package from the Pennsylvania Infrastructure Investment Authority (PENNVEST) for upcoming Small Diameter Water Main Replacement projects. These projects will improve water reliability and safety through the replacement of aging or undersized water mains. In line with PWSA’s role to protect public health, we’ll replace any lead service lines encountered as part of the replacement work at no cost to the customer.    

“With continued support from the PENNVEST Board, Governor Shapiro, state leaders and the City of Pittsburgh, PWSA can effectively extend the useful life of our water distribution system while minimizing the impact to ratepayers,” said PWSA Director of Finance, Ed Barca. “Our partnership with PENNVEST is vitally important for strengthening the water system that every Pittsburgh resident and business relies on.” 

The funding package is split between $2.5 million in grants, which do not need to be repaid, and $34.8 million in low-interest loans. As a public water utility, PWSA is eligible for these more cost-effective grants and loans, which are invested directly back into the system without profit motive. Over time, funding from state and federal partners helps to reduce the cost to ratepayers during a period of unprecedented investment in our essential water systems. 

Construction will take place in Brighton Heights and Squirrel Hill South beginning in the spring of 2024 and will continue through mid-2025. Under this contract, we’ll replace any lead service lines found at the 621 locations we’ll touch as part of the water main replacement efforts. 

PWSA's water main replacement programs create contracting opportunities for construction firms based in Pittsburgh and across the state. The use of PENNVEST funding and PWSA’s own procurement policies requires a robust and thorough Disadvantaged Business Enterprise (DBE) solicitation process. Investing in DBE firms improves the economic vitality of our region and can help to create jobs that stay in our community.   

Outreach to vendors through the Pennsylvania Department of General Services Supplier Search ensures DBE firms are aware of opportunities and the ability to compete for work funded by EPA financial assistance dollars. PWSA's Supplier Diversity Policy states a goal of 10% – 25% of all contracts are to be awarded to DBE firms. To learn of these upcoming PWSA opportunities, DBE firms are encouraged to register with our procurement portal.  

Since 2018, PWSA has received from PENNVEST a combination of $619 million in low-interest loans and $48 million in grants, totaling $667 million.  

As a publicly owned and operated water utility, every dollar we receive is reinvested back into the water systems that serve those living and working in Pittsburgh. To learn more about the Authority’s finances, please visit http://www.pgh2o.com/about-us/finance.