FSAWWA SPEAKING OUT
Aging Infrastructure: Bridging the Funding Gaps Emilie Moore, P.E., PMP, ENV SP Chair, FSAWWA
T
he need for upgrades to aging infrastructure has been welldocumented for many years. Since 1998, the American Society of Civil Engineers (ASCE) has estimated the investment needed to help maintain infrastructure in the United States in a state of good repair. The most recent ASCE analysis, as reported in its 2021 study, “Failure to Act” (www.asce.org/failuretoact), has identified that the long-term investment gap continues to grow, and has risen from $2.1 trillion to $2.59 trillion over 10 years. Additionally, ASCE estimates that, by 2039, continued underinvestment in infrastructure at current rates will cost $10 trillion in gross domestic product (GDP) and more than 3 million jobs, and $2.24 trillion in exports over the next 20 years. Furthermore, ASCE reports, per the 2021
study, that the category of water/wastewater/ stormwater has the second highest infrastructure category funding gap, calculated at $434 billion, based on current trends, through 2029. Surface transportation has the highest infrastructure category funding gap, calculated at $1.2 trillion, based on current trends, through 2029. The total funding gap, based on current trends and extended to 2029, is $2.6 trillion.
AWWA Annual Survey Results The American Water Works Association (AWWA) conducted its annual survey of issues facing the water community between October and December 2021. This survey has been conducted annually since 2004 and tracks water professionals’ perceptions of their ability to safeguard public health, support and strengthen communities, and protect the environment. The results from the 2021 survey are documented in AWWA’s 2022 “State of the Water Industry” (SOTWI) report. A large portion (about 48 percent) of participants reported having 20 or more years of water sector experience. The top 10 of the 20 issues identified in the report, as ranked by survey participants, are:
An aged train trestle. (photo: Emilie Moore)
50 August 2022 • Florida Water Resources Journal
S Renewal and replacement of aging water infrastructure S Financing for capital improvements S Long-term drinking water supply availability S Aging workforce/anticipated retirements S Public understanding of the value of water systems/services S Emergency preparedness S Watershed/source water protection S Public understanding of the value of water resources S Groundwater management and overuse S Cybersecurity issues Per the AWWA survey, the top two water issues are renewal and replacement of aging water infrastructure and financing for capital improvements. Additionally, the report summarizes the optimism of water professionals about the health of the water industry, as shown in Figure 1, based on a scale of 1 (not sound) to 7 (very sound). Though optimism slid from the 2021 report to the 2022 report, it still trends above the 19-year average.
National Funding Opportunities and Updates Utilities are familiar with nationwide financial programs that help support infrastructure projects. The American Rescue Plan Act (ARPA) is a $1.9 trillion package that was signed into law in March 2021 and is managed through the U.S. Treasury Department. The ARPA has provided a path for utilities to obtain financial support for critical capital needs related to pandemic relief assistance. About $362 billion has been allocated by ARPA for state and local fiscal recovery and $10 billion for capital projects. Some eligible funding needs include investments in water infrastructure and providing premium pay for essential workers. The U.S. Infrastructure Investment and Jobs Act was signed into law in November 2021 and is also known as the Bipartisan Infrastructure Law (BIL). It targets $1.2 trillion in spending and earmarks $82.5 billion in critical water investments, with the largest investments allocated to improving safe drinking water and sanitation. The act reauthorizes a number of existing drinking water programs, appropriates
