EPIC Comments on Pennsylvania's Federal Fiscal Year (FFY) 2026 Intended Use Plan

At EPIC, we are conducting a review of several states’ Drinking Water State Revolving Fund (DWSRF) programs. Through this process, we have gained a deeper understanding of how these programs are administered and how the presentation of information in state IUPs can be enhanced. While analyzing Pennsylvania’s DWSRF program for our DWSRF Funding Tracker project, we’ve noted the following points about the Department of Environmental Protection’s (DEP) and Pennsylvania Infrastructure Investment Authority’s (PENNVEST) administration of its DWSRF funds. Our intention is to support Pennsylvania in its efforts to make its IUPs even more user-friendly and informative and direct funds where they are needed most.

Summary of EPIC's Recommendations:

  • Consider making more strategic use of set-asides to support outcomes for small communities

  • Provide up to 100% principal forgiveness for state-defined DACs and small systems that would struggle to repay SRF loans

  • Consider leveraging Pennsylvania’s program to expand financial capacity and meet growing program demand

  • Improve program transparency by providing clarity on policy decisions discussed in the IUP