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Senators urged to fund $30 million for state wastewater grants to clear backlog of local projects
Summary
Senate Bill 240 would appropriate $30 million over two years for state aid grants to wastewater projects. Sponsors and municipal representatives told the Finance Committee the funds will help pay the state’s historical 20–30% grant share on already-approved projects and keep new projects moving.
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Sen. Denise Ricciardi told the Senate Finance Committee that Senate Bill 240 would appropriate $30,000,000 over two years to fund state aid grants for wastewater infrastructure projects, saying the money is essential to public health, environmental protection and housing development.
Ricciardi and municipal advocates said the state’s long-standing state aid grant program (historically covering about 20–30% of eligible project costs) has been underfunded for years, leading towns to pick up costs that the state intended to share. Margaret and other municipal witnesses told senators the recent biennial budget included $27.9 million but that additional funding is needed to continue supporting new or previously authorized projects.
William Hounsell of the Granite State Rural Water Association and other municipal speakers described the program’s role in enabling multi-town wastewater projects that protect aquifers, enable housing density and unlock redevelopment. Hounsell said the program stabilizes local borrowing costs and can be leveraged with federal money and USDA Rural Development funds for communities under 10,000 residents.
Speakers emphasized projects already in the DES pipeline and the fact that many completed or nearly completed municipal projects apply for the state’s grant share after construction and warranty periods. “These are real projects,” a municipal witness told the committee, and supporters urged continued, predictable state funding to prevent a backlog that stalls housing and economic development.
Committee members asked for clarification about funds already in the current biennial budget and how new appropriations would be layered with previously approved grants. Testimony noted a trust fund and prior ARPA and state investments had supported earlier projects, and DES and municipal groups said lists of eligible projects exist and can be provided to the committee.
The public hearing record shows broad municipal and nonprofit support; the transcript includes no public roll-call committee vote on SB240 in the hearing section provided.

