Friday, October 23, 2026

Pennsylvania American Water Receives PENNVEST Funding

PENNVEST funding totals $42,650,000 for Pennsylvania American Water water and wastewater infrastructure projects in two counties.

Water Data Prize Newsroom
American Water logo with a blue star and waves above red lettering.
American Water logo with a blue star and waves above red lettering. Photo: American Water

Pennsylvania American Water has been awarded $42,650,000 in grants and low-interest loans for water and wastewater infrastructure projects in Lackawanna and Montgomery counties. Funding from the Pennsylvania Infrastructure Investment Authority, known as PENNVEST, will support lead and galvanized service line replacements in Norristown and combined sewer overflow reduction in Scranton. The projects include a $38 million loan for wastewater storage facilities and separate grant and loan funding for approximately 240 service line replacements. Both loans carry a 1.00% interest rate for 20 years.

Norristown Service Line Replacements

A PENNVEST grant of $3,020,943 and a loan of $1,629,057 will fund replacement of approximately 240 identified lead and galvanized water service lines in Norristown Borough, Montgomery County. The work will remove leaded components from the public water supply system, with federal funds financing the project. More information is available through Pennsylvania American Water’s lead information page.

Tony Nokovich, vice president of engineering at Pennsylvania American Water, said:

“At Pennsylvania American Water, we strive to provide our customers with high-quality, reliable water and wastewater services while also meeting environmental standards and state and federal regulations. We're thankful to PENNVEST for approving our funding requests and supporting us in that mission. These projects will have a positive impact on the service provided for our customers by enabling us to continue our efforts to improve water and wastewater infrastructure across the state.”

Scranton Wastewater Storage

A $38,000,000 PENNVEST loan will fund 0.4-million- and 2.0-million-gallon storage facilities in Scranton, Lackawanna County. The facilities will capture stormwater and sewage before untreated flows reach the Lackawanna River, reducing combined sewer overflows and untreated discharges during wet weather.

State Sen. Marty Flynn said:

“This $38 million investment will address critical wastewater infrastructure needs in Scranton and help protect the Lackawanna River. I want to thank Governor Shapiro and his administration for recognizing the importance of these improvements and making this funding possible. Through PENNVEST, Pennsylvania American Water can move forward with this project while benefiting from low-interest financing that reduces the overall cost of the improvements. Maintaining and improving the infrastructure we already rely on is a responsibility we cannot afford to overlook, and this investment will help ensure our wastewater systems remain reliable for years to come.”

Statewide PENNVEST Support

Since July 2024, PENNVEST has awarded Pennsylvania American Water more than $304.2 million for statewide water and wastewater infrastructure projects, including $32.7 million in grants and $271.5 million in low-interest loans.

Governor Josh Shapiro said:

“Every Pennsylvanian has a constitutional right to clean water, and my Administration is committed to protecting that right by investing in the infrastructure our communities need. We're helping communities modernize aging water and wastewater systems, replace lead service lines, and address emerging contaminants to protect public health and ensure our residents have access to clean, safe drinking water for generations to come.”

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