EPA awards $14.8 million loan to Palmdale Water District

Palmdale Water District secures $14.8 million EPA loan for a drought-resistant water project using recycled water and innovative technology.
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  • $14.8 million WIFIA loan to fund advanced water purification facility
  • Project aims to create drought-proof drinking water supply for 125,000+ residents
  • First loan under a $145 million master agreement
  • Expected to save $4 million in interest and create 50 jobs

The U.S. Environmental Protection Agency (EPA) announced on July 11 a $14.8 million Water Infrastructure Finance and Innovation Act (WIFIA) loan to the Palmdale Water District Opens in a new tab.(PWD). This funding will support the district’s advanced water augmentation program, which aims to provide a reliable and drought-resistant drinking water source for over 125,000 residents in southern California.

A Solution for Drought-Stricken California.

California is no stranger to drought, and the need for drought-resilient water infrastructure has become increasingly critical. PWD’s innovative project addresses this challenge by purifying recycled water for potable use, reducing reliance on the drought-affected Antelope Valley Basin.

EPA Acting Assistant Administrator for Water, Bruno PigottOpens in a new tab., emphasized the importance of such investments, stating, “We are thrilled to help the Palmdale Water District advance their project ensuring a plentiful and resilient water supply through EPA’s low-cost financing. The Biden-Harris Administration has been prioritizing critical water infrastructure projects across the country through the investing in America agenda.”

Investing in Innovative Technology.

The WIFIA loan will enable PWD to construct a small-scale demonstration facility to test water purification technologies. This includes exploring direct air capture, an emerging technology that converts brine into a solvent, capturing carbon dioxide and lowering operational costs.

“We are grateful to the EPA for awarding this loan for our Pure Water Antelope Valley Demonstration Facility,” said PWD General Manager Dennis D. LaMoreauxOpens in a new tab.. “It gives us the funds needed to build a project that will enable us to be more drought-proof, have local control of our water, and improve the groundwater quality and quantity.”

The data collected from the demonstration facility will inform the design and construction of a full-scale advanced water purification facility and new groundwater injection wells.

Economic and Environmental Benefits.

This initial loan marks the first step in a $145 million master agreement between the EPA and PWD. Compared to traditional financing, it is projected to save the district $4 million in interest while also creating approximately 50 jobs.

Since 2018, the EPA’s WIFIA program has announced over $20 billion in funding for water infrastructure projects nationwide, totaling over $44 billion in investments and creating over 140,000 jobs.

This investment in the Palmdale Water District highlights the EPA’s commitment to supporting innovative and sustainable water solutions, especially in regions experiencing drought impacts.

About the WIFIA Program.

Established in 2014, the WIFIA program is a federal loan program administered by the EPA. It aims to accelerate investment in water infrastructure by providing low-cost financing for regionally and nationally significant projects. The program has a robust pipeline of pending applications, reflecting the growing demand for sustainable water solutions nationwide.

Image of Palmdale, CaliforniaOpens in a new tab., licensed under public domain.

Deborah

Since 1995, Deborah has owned and operated LegalTech LLC with a focus on water rights. Before moving to Arizona in 1986, she worked as a quality control analyst for Honeywell and in commercial real estate, both in Texas. She learned about Arizona's water rights from the late and great attorney Michael Brophy of Ryley, Carlock & Applewhite. Her side interests are writing (and reading), Wordpress programming and much more.

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