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WIFA says $211 million in conservation grants are awarded; rural fund remains targeted to small systems
Summary
WIFA told senators it awarded about $211 million in water conservation grants seeded by ARPA, reports those projects will yield substantial long‑term savings, and described a rural revolving fund that offers up to $2M in grants or $3M in loans per project to help small water providers.
The Water Infrastructure Finance Authority told the Arizona Senate Natural Resources Committee that it has allocated roughly $211 million in Water Conservation Grant Fund awards — seeded initially with federal ARPA money and supplemented by later allocations — and that those projects are expected to deliver large, durable water savings.
“Because these were funded with federal ARPA dollars, each of these projects is on a very tight time frame to complete construction. They will all be done by June 2026,” WIFA Director Chelsea McGuire said. She added that grantees will be required to report their measured water savings back to WIFA as projects are completed.
McGuire said the conservation program allowed WIFA and volunteer technical and finance committees to review more than 300 applications and select projects that maximize water savings. WIFA reported the portfolio is expected to save approximately 6.6 million acre‑feet of water (figure quoted by WIFA in the presentation).
Separately, McGuire detailed the state 'water supply development revolving fund' (the rural fund) intended for providers outside the Phoenix, Tucson and Pinal AMAs. She said the rural fund provides grants up to $2,000,000 or loans up to $3,000,000 (a maximum combined total of $5,000,000 per project) for conveyance, storage, reuse, groundwater replenishment, conservation and other supply projects.
Committee members pressed WIFA on how quickly conservation savings can be analyzed and compared across projects. McGuire said WIFA is working with partners to track realized savings and plans to use that data to design future funding rounds. She also said staff can provide hands‑on assistance to smaller utilities that lack engineering or hydrology capacity and that the rural fund will have a more predictable annual application cycle to relieve timing pressure on small applicants.
The committee received the update and asked WIFA to continue regular reporting on realized water savings, application timelines and technical assistance options.
