Clean Water Coalition Urges Legislature to Restore Full Water Infrastructure Funding in FY2027 Budget
The Clean Water, Healthy Families, Good Jobs Campaign today called on the Legislature to restore full state funding for New Jersey’s water infrastructure programs in the FY2027 State Budget, warning that continued underinvestment will increase long-term costs for residents, strain local systems, and delay critical infrastructure upgrades across the state.
The coalition is urging lawmakers to restore the state match for federal water infrastructure funding to $60 million through the New Jersey Water Bank program.
“New Jersey’s aging water infrastructure requires sustained investment,” said Senator Linda Greenstein. “Communities across the state are already facing rising water costs, increased flooding risks, and growing infrastructure challenges. Restoring this funding will help protect public health, support economic growth, and keep essential projects moving forward.”
Over the next 20 years, New Jersey is projected to require approximately $77 billion in water and wastewater infrastructure investment, roughly $3.8 billion annually, simply to maintain systems in a state of good repair.
The coalition noted that these estimates do not fully account for additional costs associated with stormwater upgrades, PFAS treatment, lead service line replacement, and climate resilience investments.
In 2025, New Jersey received only about $336 million in annual federal water infrastructure funding: roughly 7 percent of the state’s projected annual need. Coalition members said state investment is necessary to leverage additional federal resources while helping communities manage rising infrastructure costs.
The New Jersey Water Bank provides low-interest financing and additional subsidies for drinking water, wastewater, and stormwater infrastructure projects statewide. According to the New Jersey Infrastructure Bank, every additional $15 million in state funding can support approximately $150 million in project financing through leveraging capacity.
The coalition also emphasized the growing affordability challenges facing residents across New Jersey as utility costs continue to rise.
“Failing infrastructure and delayed upgrades ultimately cost families and communities more,” said Kate Gibbs, ELEC 825. “Strategic investment now helps avoid costly emergency repairs later while supporting good jobs and long-term economic stability.”
“New Jersey cannot afford to continue deferring infrastructure investment while costs escalate and systems deteriorate,” said Diane Schrauth, New Jersey Future. “Restoring the full state match is a fiscally responsible step that will leverage federal dollars, support local communities, and reduce long-term burdens on taxpayers and ratepayers alike.”
“New Jersey must act decisively to safeguard our waterways, drinking water supplies, and the health of our communities,” said Allison McLeod, New Jersey League of Conservation Voters.
