Pennsylvania American Water Receives $25+ Million in PENNVEST Funding for Infrastructure Improvement Projects in Lackawanna and Lawrence Counties

Low-interest funding helps keep customer costs down while advancing dam safety and lead line removal projects

MECHANICSBURG, Pa., April 16, 2026 /PRNewswire/ -- The Shapiro administration yesterday announced that Pennsylvania American Water was awarded grants and low-interest loans from the Pennsylvania Infrastructure Investment Authority (PENNVEST) totaling $25,872,000. The funding will support two infrastructure improvement projects in Lackawanna and Lawrence counties.

"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," said Pennsylvania American Water Vice President of Engineering Tony Nokovich. "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."

In Lackawanna County, the company's Griffin Dam rehabilitation project received a PENNVEST loan of $16,922,000, which will be used to make upgrades that bring the dam into compliance with current dam safety practices. The project includes efforts to help ensure stability during the probable maximum flood and modifications to the spillway exit channel, outlet works, and seepage collection system. The interest terms for the loan are 1% for the first five years and 1.743% for the remainder of the 20-year loan period.

A PENNVEST grant of $3,769,099 and loan of $5,180,901 will fund the replacement of approximately 603 identified lead and galvanized lead-impacted water service lines in New Castle, Lawrence County. The removal of all leaded components will provide direct water quality improvements to customers and is consistent with regulatory and Pennsylvania American Water initiatives to eliminate lead-containing lines from the public water supply system. Learn more at pennsylvaniaamwater.com/leadfacts. The interest terms for the loan are 1.00% for the full 29-year loan period.

"Every Pennsylvanian has a constitutional right to pure water, and my Administration is continuing that work by investing in projects that protect public health, modernize drinking water infrastructure, and support local economies," said Governor Josh Shapiro in the Commonwealth's official announcement. "We're investing in dozens of projects all across the Commonwealth to ensure more Pennsylvanians have clean, reliable drinking water when they turn on the tap."

About American Water 

American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886 and celebrating 140 years in 2026, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to approximately 14 million people with regulated operations in 14 states and on 18 military installations. American Water's approximately 7,000 talented professionals leverage their significant expertise and the company's national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders. For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.

About Pennsylvania American Water

Pennsylvania American Water, a subsidiary of American Water, is the largest regulated water utility in the state with approximately 1,200 dedicated employees working to provide safe, clean, reliable and affordable water and wastewater services to approximately 2.5 million people.

SOURCE American Water