By Teresa Mulvaney
ALBANY — New York opened a $225 million grant program on Friday to pay for water, sewer and stormwater work that housing projects depend on. The money is open only to communities the state has certified as “Pro-Housing.” In Erie County, most cities, towns and villages are not yet on that list, including several of the suburbs issuing the most building permits.
The Clean Water for Housing program, announced by Gov. Kathy Hochul, is administered by the state Environmental Facilities Corporation. It sets aside $175 million for communities in general and $50 million for rural communities with 3,500 or fewer residents.
“No family should be unable to buy a home because their community’s water and sewer systems can’t support housing growth,” Ms. Hochul said. “With $225 million in new funding, we’re helping communities make critical improvements that unlock housing growth, strengthen local economies and give more New Yorkers the opportunity to find a home they can afford.”
The rules
According to the program’s grant summary, grants can cover up to 75% of a project’s cost, with a maximum of $30 million. The last 20% of each grant is held back until construction starts on the housing the pipes are meant to serve. Applications are reviewed “on a first-come, first-served basis,” and no municipality may receive more than two awards.
Projects must address a water or sewer capacity limit that is holding back housing. They must have “a documented commitment from a developer or similar entity,” support at least 20 homes (rural communities are exempt from the minimum), and begin infrastructure construction within a year of the award. Developers cannot apply themselves; a municipality has to sponsor the work, even when it is on private land.
Eligibility depends on certification. An applicant must be a certified Pro-Housing Community, or have submitted a complete application and be certified before the award. Counties can apply for projects inside certified municipalities.
“Governor Hochul created the Pro-Housing Communities Program to incentivize cities, towns and villages to support communities that improve their infrastructure so that more housing can be created and preserved,” said RuthAnne Visnauskas, commissioner of New York State Homes and Community Renewal, which certifies communities. The state says more than 460 communities are certified and that certification opens access to up to nearly $1 billion in state discretionary funding.
Where Western New York stands
Homes and Community Renewal’s public Pro-Housing dashboard, whose data were last updated Oct. 16, lists 12 certified municipalities in Erie County:
- the cities of Buffalo and Lackawanna;
- the towns of Amherst, Eden, Evans, Grand Island and Tonawanda;
- the villages of Angola, Hamburg, Lancaster, Orchard Park and Springville.
In Niagara County, the dashboard lists five: the cities of Niagara Falls, Lockport and North Tonawanda, the Town of Newfane and the Village of Wilson.
Several fast-growing Erie County towns have filed letters of intent but are not shown as certified. They include Clarence, which issued 255 residential building permits in 2023 by the dashboard’s count; the Town of Hamburg, with 236; and West Seneca, with 99. Cheektowaga, Boston, Holland and the villages of Depew, East Aurora and Williamsville are also listed as pending. In Niagara County, the towns of Niagara and Porter and the Village of Youngstown are in the same position. HCR says on its program page that there “may be small delays in reporting,” so some recent certifications may not appear yet.
For the uncertified towns, the timing matters. Because grants are awarded first-come, first-served, a town that finishes certification after the money is committed could be left out of this round, even if it is building more housing than some certified neighbors.
Why water matters for development
The program is aimed at what the grant summary calls “water infrastructure capacity constraints that impede housing development.” In practice, that means a sewer line or treatment plant that can’t take more connections, which can stop a subdivision or apartment project no matter how the land is zoned. “By investing in the essential systems that make housing possible, Governor Hochul is helping communities turn housing plans into new homes and thriving communities,” said Maureen A. Coleman, president and chief executive of the Environmental Facilities Corporation.
“New Yorkers need safe housing with reliable access to water in the neighborhoods they call home,” said Amanda Lefton, the state’s environmental conservation commissioner.
Questions about the program go to the corporation at NYSWaterGrants@efc.ny.gov, according to the grant summary.
The Buffalo Chronicle has asked the governor’s office and the Environmental Facilities Corporation how much of the $225 million is expected to reach Western New York and whether pending Pro-Housing applications will be fast-tracked. This article will be updated with any response.
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