Denver (Jan. 29, 2026) — Many Coloradans have cleaner, safer water thanks to projects funded by the Colorado State Revolving Fund Program through the federal Infrastructure Investment and Jobs Act, passed in 2021. So far, the state has distributed over $300 million to more than 60 communities across the state for projects such as:
- Replacing 7,600 lead service lines in Denver through Denver Water, accelerating a program that will help protect more than 700,000 Coloradans from the serious health effects of lead in drinking water.
- Removing harmful PFAS chemicals from drinking water in South Adams County through the South Adams County Water and Sanitation District, reducing exposure for approximately 58,000 Coloradans.
- Expanding and improving the wastewater and drinking water treatment facilities in the City of Sterling and the town of Silt, benefiting more than 17,000 Coloradans.
“The Infrastructure Investment and Jobs Act enables vital investments that safeguard public health, assist our most disadvantaged communities, and ensure water systems across Colorado meet both today’s needs and tomorrow’s standards,” said Keith McLaughlin, executive director of the Colorado Water Resources and Power Development Authority. “This investment is especially critical for our economically disadvantaged communities, where aging infrastructure and lead service lines pose serious risks. By prioritizing lead line replacement and tackling emerging contaminants like PFAS, we’re not just upgrading systems—we’re ensuring safe, reliable water access for all Coloradans, now and for generations to come.”
Last year (2025) was the fourth of a five-year funding cycle. Colorado expects to receive a total of $560 million for projects through 2026. More than half of the $300 million in funding distributed so far has been in the form of principal forgiveness. This means that communities will not need to repay that money. Over $150 million of the construction work is complete.
Jill Hunsaker Ryan, executive director of the Colorado Department of Public Health and Environment, said, “The State Revolving Fund has brought much-needed improvements to water utilities in communities that otherwise may have taken years to initiate and complete. The projects these funds make possible help advance public and environmental health throughout our state.”
Many of the projects are in Colorado’s rural communities. For example, during peak summer months, the town of Buena Vista sometimes used 100% of its available drinking water supply to meet demand. The town also needed to improve its water treatment system. The State Revolving Fund awarded Buena Vista a 30-year, $4,300,000 loan at an interest rate of 1.75%, enabling it to upgrade its treatment plant and increase its capacity. More than $2 million of the loan principal was forgiven, making the project significantly more affordable.
Similarly, the town of Yampa was able to initiate a wastewater system project with a finance package that included a $1.07 million loan with principal forgiveness.
“We had been looking down the barrel of a very daunting wastewater system upgrade and replacement project since 2017, a project that had frankly stalled because of the price tag,” said Mary Alice Page-Allen, Yampa treasurer and planner. “We paired other resources with a well-timed and appreciated combination of loan/principal forgiveness funding to undertake the first phase of the project. We wouldn't be this far along if the federal funds had not been available.”
The State Revolving Fund Program provides financial assistance to Colorado government agencies and private, non-profit public water systems. The Colorado Water Resources and Power Development Authority, the Colorado Department of Local Affairs, and the Colorado Department of Public Health and Environment jointly administer the program. Funding is currently available. Entities interested in applying for a loan can visit the program web page to learn more.
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