Pittsburgh Water and Sewer Authority will receive a $209 million loan through the Pennsylvania Infrastructure Investment Authority to help pay for its Water Reliability Plan, a massive overhaul of part of the city’s drinking water system. 

PennVEST announced the PWSA loan Wednesday as part of $269 million awarded for 11 projects across the state. The loan has an interest rate of 1% for 30 years, and PWSA spokeswoman Rebecca Zito said that rate would save the authority about $156 million in interest and fees compared to traditional municipal bond financing.

The loan will help to pay for a series of projects expected to cost about $470 million over the next six years. That will include upgrades at the Lanpher reservoir in Shaler and Highland Park 2 reservoir above the Pittsburgh Zoo and PPG Aquarium so they can chlorinate water while the authority replaces the 114-year-old underground clearwell system at its purification plant along the Allegheny River near Aspinwall.

The multi-step project, part of which is required by the state Department of Environmental Protection, also includes replacing two pumping stations and refurbishing huge water lines that feed the reservoirs.

Some of the reservoir work has already started but replacing the clearwell, which provides the critical last step in purifying water, is an estimated $65.8 million project that will be done near the end of the work.

Ms. Zito said the authority also has applied for federal funding to help pay for the improvements and should hear about that by the end of the year.

“If we were able to get both batches of funding it would help to fund the entirety of the Water Reliability Plan,” she said.

She said the agency will make the upgrades whether or not it gets additional help.

Ed Blazina: eblazina@post-gazette.com, 412-263-1470 or on Twitter @EdBlazina.

First Published: July 20, 2022, 5:57 p.m.