Governor Josh Stein has announced $270 million in funding to repair and improve water systems in western North Carolina areas affected by Hurricane Helene. The North Carolina Department of Environmental Quality (DEQ) will distribute these funds for 58 projects involving water, wastewater, and septic systems across 26 counties.
This initiative is the first among states impacted by Hurricane Helene to award money from the 2025 State Revolving Fund Supplemental Appropriations for Hurricanes Helene and Milton as well as the Hawai’i Wildfires. To qualify for this funding, each project must enhance the long-term resilience of local water infrastructure against future flooding.
“Hurricane Helene laid bare North Carolina’s need to upgrade its water infrastructure,” said Governor Josh Stein. “I applaud the Department of Environmental Quality’s quick work to award this funding faster than any other Helene-impacted state. Making these investments today makes us more resilient in the face of future disasters.”
“Safe drinking water and healthy waterways are basic necessities for health and quality of life,” said DEQ Secretary Reid Wilson. “Hurricane Helene inflicted serious damage to water systems, imperiling water supplies throughout our mountain communities. These awards will help communities rebuild to ensure that systems are less vulnerable to future flooding.”
Among the funded projects:
– Chimney Rock Village in Rutherford County will receive over $11 million for a drinking water system resiliency project, a new wastewater treatment plant with sewer improvements, and sewer line extensions.
– The Town of Old Fort in McDowell County is allocated $15 million for both drinking water and sewer system resiliency projects.
– Western Piedmont Council of Governments will use $7.5 million to repair 300 damaged or failed septic systems across several counties.
– Burnsville in Yancey County receives more than $13 million for upgrades to its drinking water supply, distribution improvements, and sewer line enhancements.
– Clyde in Haywood County will get about $9.3 million for connecting its drinking water system with neighboring towns and improving wastewater resilience.
– Crossnore in Avery County is awarded over $10 million for both drinking water and wastewater system upgrades.
A complete list of approved State Revolving Fund (SRF) Helene projects can be found on the North Carolina Department of Environmental Quality website. The State Water Infrastructure Authority (SWIA), an independent body responsible for awarding state and federal funds for such projects, approved these grants at its December 10 meeting.
Federal SRF Helene funds remain available through DEQ’s Division of Water Infrastructure until March 2, 2026. Applications received before specific deadlines are reviewed at upcoming SWIA meetings; recent rounds saw $86 million awarded from applications submitted by August 1 and $270 million from those submitted by November 3.
Eligible applicants include local government units and nonprofit or investor-owned corporations operating public drinking or clean water systems that can document damage from Hurricane Helene. Funding comes as zero-interest loans or principal forgiveness loans aimed at increasing flood resilience.
For septic system repairs or replacements under Clean Water SRF Helene funding, eligible recipients include local governments, nonprofits, community development financial institutions, or organizations assisting homeowners with repairs in storm-damaged areas.
To help prospective applicants understand requirements and processes, DEQ’s Division of Water Infrastructure hosted information sessions throughout May in Boone, Hickory, Rutherfordton, Asheville—and offered follow-up training sessions during July and August at multiple locations including Clyde and Research Triangle Park/Durham. Virtual resources remain available online along with a recorded webinar explaining how to apply.
Additionally, SWIA has granted another $9 million toward lead service line inventory/replacement efforts statewide along with $750,000 under a pilot program targeting septic system repairs in two counties.
More details on funding programs can be accessed via the Division of Water Infrastructure’s web page.
