Birmingham Secures $171M EPA Loan for Safe Drinking Water Infrastructure
In a significant move for the development of safe drinking water infrastructure, the city of Birmingham has secured a substantial loan of $171 million from the Environmental Protection Agency (EPA) under the Water Infrastructure Finance and Innovation Act (WIFIA).
A Welcome Initiative
Reflecting on the loan’s benefits, U.S. Representative Terri A. Sewell remarked, “This is great news for the residents of Birmingham. Not only will this loan improve the city’s water supply and ensure safe drinking water, but it will save the city money and create more than a thousand jobs.” Funding from this federal loan program, despite its long acronym, leads to substantial improvements in water quality and mitigates financial burdens on communities.
The WIFIA Program
The WIFIA program, administered by the EPA, aims at accelerating investment in the country’s water infrastructure. This is achieved by providing long-term, low-cost supplemental credit assistance for regionally and nationally significant water projects. The newly-acquired loan will enhance the quality of drinking water for over 770,000 Birmingham metro residents.
First Loan of Its Kind in Alabama
This loan marks a significant milestone as it is the first of its kind awarded in Alabama. The fund will primarily be spent on two significant projects – the improvement of the Lake Purdy Dam and replacement of lead service lines, thereby reducing the risk of lead exposure for residents.
Benefits of the Loan
According to the EPA, the Birmingham Water Works will save approximately $50 million by utilizing a WIFIA loan instead of traditional financing. The loan is not just a financial boost but is projected to generate around 1,200 jobs through the construction and operation of the new infrastructure.
Enthusiastic Response from the EPA
Acting EPA Region 4 Administrator, Jeaneanne Gettle, expressed her enthusiasm about the decision during her recent visit to Birmingham for the loan announcement. She said, “Water is essential to healthy, thriving communities. That’s why EPA’s $171 million low-interest loan is so important for the residents and businesses in Birmingham. It will help upgrade aging water infrastructure, including reducing water main breaks and removing legacy lead pipes, while reducing project costs.”
A Great Leap Forward
This significant milestone has been widely welcomed by the city’s residents and stakeholders, who look forward to the positive changes this loan will bring about. The news marks a great leap forward for Birmingham, emphasizing its commitment to providing safe, clean drinking water to its residents while also driving economic growth.
Author: STAFF HERE BIRMINGHAM WRITER
The BIRMINGHAM STAFF WRITER represents the experienced team at HEREBirmingham.com, your go-to source for actionable local news and information in Birmingham, Jefferson County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Sidewalk Film Festival, Sloss Music & Arts Festival, Magic City Classic, and civil rights commemorations. Our coverage extends to key organizations like the Birmingham Business Alliance and the Birmingham Civil Rights Institute, plus leading businesses in healthcare, finance, and manufacturing that power the local economy such as UAB Medicine, Regions Bank, and Encompass Health. As part of the broader HERE network, including HEREHuntsville.com, we provide comprehensive, credible insights into Alabama's dynamic landscape.
