$71 Million in State Water Infrastructure Funding Headed to Rutherford, McDowell Counties

The State Water Infrastructure Authority approved more than $472 million in funding for 145 water and wastewater projects across North Carolina on Feb. 18, 2026, with communities in western North Carolina among the largest recipients. The awards will help strengthen infrastructure, improve drinking water safety, and increase resilience against storms and flooding.

In Rutherford County, the town of Lake Lure will receive $31 million for its BFM Design and Construction project, the largest award in the county and among the state’s highest in this funding round. The town of Forest City was approved for $10 million in drinking water resiliency improvements and $5 million for sewer system resiliency, while Carolina Water Service of North Carolina received $1.2 million for upgrades to its Fairfield Mountain tank and booster.

McDowell County also secured substantial support, with the city of Marion receiving $9.46 million for the Buck Creek Hazard Mitigation and Resiliency project. Additional projects in the county include $7.45 million for countywide water resiliency improvements and $3.54 million for the Providence Hill Water Line Extension. The town of Old Fort received $300,000 in Asset Inventory and Assessment grants for both water and sewer projects.

“These investments will make our infrastructure more resilient in the face of future severe weather or disasters and improve access to clean drinking water for North Carolinians across the state,” said DEQ Secretary Reid Wilson.

The funding comes from a mix of programs, including the State Revolving Funds (low-interest loans for drinking water and wastewater projects), SRF Helene funding for communities affected by Hurricane Helene, Community Development Block Grants, and Viable Utility Reserve grants. Projects supported include drinking water and wastewater system upgrades, lead service line replacement, and infrastructure planning and assessments.

Governor Josh Stein highlighted the critical need for water infrastructure upgrades after Hurricane Helene, which left tens of thousands of residents without clean water for weeks. “Upgrading our state’s aging water infrastructure must be a priority,” Stein said.

For more information on funding programs and the full list of awarded projects, visit the NC Department of Environmental Quality’s Division of Water Infrastructure website.